Monday, January 5, 2015

The loaded transportation agenda and the points of contention that could stymy it

In 2015, the to-do list on things transportation will be shared on Capital Hill as well as a mile down New Jersey Avenue at the US Department of Transportation.  On the list, lawmakers and transportation department employees will find boxes to tick on every topic: aviation, passenger and freight rail, highways, bridges, transit and water resources.  Also on the list are hot-button issues such as commercial drones and the safety of rail cars that carry volatile crude oil, banning cellphone conversations on planes and a slew of policy changes mandated by the last surface transportation bill two years ago.

There’s a strong and diverse coalition of groups — including business, labor and motorists — that have pushed for a gas tax increase as a way to increase federal spending on roads, bridges and transit systems. But that idea is largely a nonstarter on Capitol Hill; instead, support is building for using portions of revenues raised from corporate tax reform as a way to pay for increased infrastructure spending.

Some lawmakers could push for a broader tax overhaul package, an ambitious goal that could further complicate issues as members bicker over the nation’s overall tax structure as one-time revenue, and not a long-term fix. No matter what happens, lawmakers will have to address the Highway Trust Fund early in 2015 — the fund that pays for road, bridge and transit work will go insolvent by May. Even a simple one-year extension, which must be enacted by May 30, would cost around $15 billion because the trust fund takes in far less in gas tax revenues than it is authorized to spend each year.

Another major reauthorization, of the Federal Aviation Administration, doesn’t face the same money problem — the Airport and Airway Trust Fund that pays for over 80 percent of the bill isn’t in the same financial peril. It is increasingly under strain, however, and discussions have begun about whether and how to switch to some new system of financing, including possible privatization.

But the FAA bill brings its own set of policy disputes. West Coast lawmakers will undoubtedly again push to increase the number of long-distance flights into and out of Ronald Reagan Washington National Airport, the airport closest to the Capitol used by the vast majority of lawmakers. Republicans will scrutinize the multibillion-dollar cost of NextGen, a new air traffic control system that is taking years to implement. The airport and airline lobbies will scrap over whether to raise the current cap on fees passengers pay to use certain airports. And members of both parties will prod the FAA to chart a clear path forward on drones, which to date have been addressed through a series of one-off rulings.

Lawmakers also want to address Amtrak, which saw its congressional authorization expire in 2013. The House Transportation Committee unanimously approved a bipartisan measure in 2014, but things could get more complicated when the full House takes it up. Some hard-line lawmakers want to end Amtrak’s $1.4 billion-per-year federal subsidy, while some Democrats would like to boost the railroad’s funding to help it address a backlog of deteriorating infrastructure.

The Amtrak bill could also ignite a regional battle — the House measure ensures that money made by the profitable Northeast Corridor, the area between D.C. and Boston, gets plowed back into that region’s operations. For the rest of the country, where nearly all Amtrak routes lose money, keeping service levels intact would mean states — facing their own budget shortfalls — would need to offer more money.

Hill politicians also face work on another water resources bill in 2016, though the overwhelming bipartisan support for the 2014 version makes that less of a concern. There’s also a rail safety bill on the horizon that could offer a chance to deal with the rising number of trains carrying crude oil, several of which have had headline-grabbing accidents and spills.

Source: Politico


NYU study examines correlation between transportation access and income

A report by New York University's Rudin Center for Policy and Management links earning power to transportation access.  It examined 177 zip codes in the New York metropolitan area and found that Chelsea, a Manhattan neighborhood with the best access to transportation, had the highest median income and lowest unemployment rate, broadly concluding that in high income neighborhoods, 79% commute by walking or public transit, and only 10.9% by car.

Comparatively, neighborhoods with the worst access to transit (South Staten Island) had lower median incomes ($61,381) and slightly lower unemployment rates (9.7%), but more than 50% commuted by car.The neighborhoods with limited access to public transit, like the Flatlands in Brooklyn, fare the worst: their unemployment rate is nearly 12%, and their median household income is around $46,000.


“In New York, mass transit is the path to economic mobility, not education,” Mitchell Moss, Rudin's director, told the Wall Street Journal. “It’s far more important to have a MetroCard than a college degree.”

Source: Gothamist

List of five new transportation players to watch in Washington

As 2015 ushers in Republican control of both houses of Congress for the first time since 2006, the Hill compiled a list of key players in the world of transportation.  It is expected that this 114th Congress will make important decisions on highway, aviation and rail funding, and the following legislators and federal administrators are expected to lead those debates:

1) Sen. John Thune (R-S.D.) – Thune is the new chairman of the Senate Commerce, Science and Transportation Committee. Thune has expressed an interest in issues related to the federal government’s regulation of freight trains that carry crude oil and the U.S. automobile industry’s handling of part recalls.

2) Sen. James Inhofe (R-Okla.) – Inhofe is the new chairman of the Senate Environment and Public Works Committee, which will have a large role in crafting any new highway bill that passes Congress in the next two years. The current transportation funding bill is scheduled to expire in May.

3) Rep. Peter DeFazio (D-Ore.) – DeFazio is the new top ranking Democrat on the House Transportation and Infrastructure Committee. DeFazio has been vocal about the lack of a transportation funding increase in recent years, and he has pushed for replacing the 18.4 cents-per-gallon gas tax with an oil barrel tax to raise the additional road revenue.

4) National Highway Traffic Safety Administrator Mark Rosekind – Rosekind is the new chief of the highway safety agency, which has come under fire from lawmakers for its oversight of widespread recalls at auto companies like General Motors and Japan’s Takata. He will be tasked with repairing the highway safety agency’s image on Capitol Hill as Republicans promise to probe its handling of both GM and Takata’s problems.

5) President Obama’s eventual TSA pick – The Transportation Security Administration is starting off 2015 with an acting administrator, Melvin Carraway. Prior to his appointment, Carraway served as the agency’s Federal Security Director at the Albuquerque, N.M. International Airport. 


Sunday, January 4, 2015

Lessons for aviation industry in recent AirAsia flight crash, shares parallels with 2009 incident

It took nearly two years to find the black boxes from Air France Flight 447, but the Rio de Janeiro to Paris flight that fell into the Atlantic Ocean in the early hours of June 1, 2009, could offer insight into what may have gone wrong on AirAsia's Flight 8501. Both flights killed everyone on board, both were flying into storms when they disappeared, and — in both cases — it seemed to the pilots of the Airbus that a climb was the way out of their predicament.

In the Air France flight, the three pilots of the Airbus A330 were confused by faulty air-speed data after key sensors iced over. Then, about 25 minutes into turbulence, the autopilot and autothrust cut out, and the pilot at the controls began a steep climb, despite requests from the co-pilot in the cockpit to descend. Four minutes and 23 seconds after the first alarms sowed panic and confusion over how to regain control of the aircraft, the plane slammed into the ocean, plummeting belly first at nearly 11,000 feet (3,350 meters) per minute. The wreckage was found 12,800 feet (3,900 meters) beneath the surface, its black boxes intact.

Above the Java Sea, the pilot of the AirAsia Airbus A320 told air traffic control he was approaching threatening clouds, but he was denied permission to climb to a higher altitude. The plane lost contact minutes later. Search teams have not yet found the black boxes containing the same crucial information that pinpointed the causes of the Air France flight. The 2009 crash ended up being, at least in part, a lesson in the hazards of automation.

Industry wins latest round in tug of war over large truck driving restrictions

There are approximately 4,000 yearly fatal car crashes involving large tracks.  To decrease the number of these accidents, there have been efforts by the federal government led by the US Department of Transportation to control the number of hours truckers spend on the road. 

One such effort was dealt a severe blow recently when Sen. Susan Collins (R-Maine) included a deregulatory rider in the final budget that passed a couple of weeks ago.  The USDOT supported rules required drivers to work 70-hour work weeks with a 34-hour rest stop that covers two periods between 1am and 5am.  Sen. Collins' rider raised the allowed hours for truckers back to the 82-hours decreased by the Federal Motor Carrier Safety Administration in 2013. 

These rules have been the subject of litigation for years now, with the trucking industry arguing that they are too strong and safety advocates like Public Citizen and The Teamsters labor uninon, which represents a fraction of drivers, insisting that they're not strong enough.  USDOT vehemently opposed the rule weakening brandishing studies that show truckers who push themselves are less attentive to the road, frequently unable to assess their own levels of fatigue.  

Truckers opposed the rules also citing safety arguments: They say the early morning hours when the government wants them asleep are actually the quietest on the roads, which reduces accidents.  Their industry wants further studies that examine the law's unintended consequences.  The rule rollback initiated by Sen. Collins expires Sept. 2015, giving the Department of Transportation some time to reintroduce the rollback.

Case challenges Amtrak's dual role as government and for-profit entity

On Dec. 8, the Supreme Court heard oral arguments in Department of Transportation vs. Association of American Railroads, a case that will likely have enormous implications for the Constitution’s fundamental structure and the limitations on the growth of the administrative state.  A 2008 statute instructs the Federal Railroad Administration (FRA) and Amtrak to develop jointly what the statute calls “metrics and standards” for Amtrak’s performance. If they fail to agree, FRA appoints an arbitrator to assist the parties in resolving their disagreement.  Once the “metrics and standards” are in place, the law requires Amtrak and the freight railroads (who own almost all the track that Amtrak uses) to incorporate them into their operating contracts. If Amtrak fails to meet certain of these standards, the Surface Transportation Board (STB) can investigate and ultimately award damages and other relief against a freight railroad if Amtrak’s problems were attributable to that freight railroad.

But the requirement that FRA and Amtrak jointly develop the standards creates a problem: Although it has a federal charter, Amtrak is a separate corporation and by law is required to be run as a for-profit entity. Even if the purpose of the statute is to give Amtrak and FRA extra bargaining power against freight railroads (who must, under federal law, grant preference to Amtrak trains), the statute also gives Amtrak power over FRA. After all, Amtrak can withhold consent in an attempt to extract concessions from FRA. Thus, the statute gives Amtrak the shared power to write legally effective rules with FRA. The government’s oral argument centered around the legal significance of whether Amtrak is governmental or private.  Plaintiffs argue that Amtrak wields too much power as both a governmental and for-profit entity negotiating terms that affect the entire railway industry using Carter vs. Carter Coal Co of 1936 as proof.  In response, the justices cited various other precedent cases that hinted at their likely position the case. A ruling is forthcoming on the case in the next months. Stay tuned for this developing story.

Source: National Review Online 

Wednesday, December 31, 2014

Atlanta's Mayor Reed wants 45% of transportation funding dedicated to transit

For the first time in 50 years, streetcars prepared to criss cross the streets of Atlanta in a 2.7 mile route that connects residents and visitors to several tourist attractions, museums and entertainment venues. At a grand opening ceremony that unveiled the streetcars, which will operate free of charge to riders in their first three months of service, Mayor Kasim Reed offered some advice to lawmakers readying for a knock-down debate over transportation funding: They should apportion the transportation funding 55% in favor of roads and the other 45% for transportation.

“I think that we have to respond to peoples’ lifestyles and what the public is demanding,” said Reed. His statements were also connected to the recently published Joint Study Committee on Critical Transportation Infrastructure Funding's report that serves as a transportation blueprint for the state of Georgia. The long-awaited transportation blueprint offered no recommendations for a mass transit funding split, but suggested a historic investment to the growth of transit. It pointedly said lawmakers should encourage the “development of responsible, well-funded and coordinated public transportation” in metro areas.