America's Infrastructure

[K.Snyder]

I'd like to create a thread that might give the world a bit of perspective here

Firstly, America has no business making it's own infrastructure last on their priority list!

Sadly, it takes thousands of deaths for people to get rightly concerned with how poor Americas infrastructure is!

Report Card 2009 Grades

Aviation D

Despite surging oil prices, volatile credit markets, and a lagging economy, the Federal Aviation Administration predicts a three percent annual growth in air travel. These travelers are faced with increasing delays and inadequate conditions as a result of the long overdue need to modernize the outdated air traffic control system and the failure to enact a federal aviation program.

Bridges C

More than 26%, or one in four, of the nation's bridges are either structurally deficient or functionally obsolete. While some progress has been made in recent years to reduce the number of deficient and obsolete bridges in rural areas, the number in urban areas is rising. A $17 billion annual investment is needed to substantially improve current bridge conditions. Currently, only $10.5 billion is spent annually on the construction and maintenance of bridges.

Dams D

As dams age and downstream development increases, the number of deficient dams has risen to more than 4,000, including 1,819 high hazard potential dams. Over the past six years, for every deficient, high hazard potential dam repaired, nearly two more were declared deficient. There are more than 85,000 dams in the U.S., and the average age is just over 51 years old.

Drinking Water D-

America's drinking water systems face an annual shortfall of at least $11 billion to replace aging facilities that are near the end of their useful life and to comply with existing and future federal water regulations. This does not account for growth in the demand for drinking water over the next 20 years. Leaking pipes lose an estimated seven billion gallons of clean drinking water a day.

Energy D+

Progress has been made in grid reinforcement since 2005 and substantial investment in generation, transmission and distribution is expected over the next two decades. Demand for electricity has grown by 25% since 1990. Public and government opposition and difficulty in the permitting processes are restricting much needed modernization. Projected electric utility investment needs could be as much as $1.5 trillion by 2030.

Hazardous Waste D

Redevelopment of brownfields sites over the past five years generated an estimated 191,338 new jobs and $408 million annually in extra revenues for localities. In 2008, however, there were 188 U.S. cities with brownfields sites awaiting cleanup and redevelopment. Additionally, federal funding for "Superfund" cleanup of the nation's worst toxic waste sites has declined steadily, dropping to $1.08 billion in 2008, its lowest level since 1986.

Levees D-

More than 85% of the nation's estimated 100,000 miles of levees are locally owned and maintained. The reliability of many of these levees is unknown. Many are over 50 years old and were originally built to protect crops from flooding. With an increase in development behind these levees, the risk to public health and safety from failure has increased. Rough estimates put the cost at more than $100 billion to repair and rehabilitate the nation's levees.

Inland Waterways D-

The average tow barge can carry the equivalent of 870 tractor trailer loads. Of the 257 locks still in use on the nation's inland waterways, 30 were built in the 1800s and another 92 are more than 60 years old. The average age of all federally owned or operated locks is nearly 60 years, well past their planned design life of 50 years. The cost to replace the present system of locks is estimated at more than $125 billion.

Public Parks & Recreation C-

Parks, beaches, and other recreational facilities contribute $730 billion per year to the U.S. economy, support nearly 6.5 million jobs, and contribute to cleaner air and water and higher property values. Despite record spending on parks at the state and local level, the acreage of parkland per resident in urban areas is declining. While significant investments are being made in the National Park Service for its 2016 centennial, the agency's facilities still face a $7 billion maintenance backlog.

Rail C-

A freight train is three times as fuel efficient as a truck, and traveling via passenger rail uses 20 percent less energy per mile than traveling by car. However, growth and changes in demand patterns create bottlenecks which are already constraining traffic in critical areas. Freight and passenger rail generally share the same network, and a significant potential increase in passenger rail demand will add to the freight railroad capacity challenges. More than $200 billion is needed through 2035 to accommodate anticipated growth.

Roads D-

Americans spend 4.2 billion hours a year stuck in traffic at a cost to the economy of $78.2 billion, or $710 per motorist. Poor road conditions cost motorists $67 billion a year in repairs and operating costs, and cost 14,000 Americans their lives. One-third of America's major roads are in poor or mediocre condition and 36% of major urban highways are congested. The current spending level of $70.3 billion per year for highway capital improvements is well below the estimated $186 billion needed annually to substantially improve the nation's highways.

Schools D

Spending on the nation's schools grew from $17 billion in 1998 to a peak of $29 billion in 2004. However, by 2007 spending fell to $20.28 billion. No comprehensive, authoritative nationwide data on the condition of America's school buildings has been collected in a decade. The National Education Association's best estimate to bring the nation's schools into good repair is $322 billion.

Solid Waste C+

In 2007, the U.S. produced 254 million tons of solid waste. More than a third was recycled or recovered, representing a seven percent increase since 2000. Per capita generation of waste has remained relatively constant over the last 20 years. Despite those successes, the increasing volume of electronic waste and lack of uniform regulations for disposal creates the potential for high levels of hazardous materials and heavy metals in the nation's landfills, posing a significant threat to public safety.

Transit D

Transit use increased 25% between 1995 and 2005, faster than any other mode of transportation. However, nearly half of American households do not have access to bus or rail transit, and only 25% have what they consider to be a "good option." The Federal Transit Administration estimates $15.8 billion is needed annually to maintain conditions and $21.6 billion is needed to improve to good conditions. In 2008, federal capital outlays for transit were only $9.8 billion.

Wastewater D-

Aging systems discharge billions of gallons of untreated wastewater into U.S. surface waters each year. The Environmental Protection Agency estimates that the nation must invest $390 billion over the next 20 years to update or replace existing systems and build new ones to meet increasing demand.2009 Report Card for America's Infrastructure

How in the world our Bridges managed a "C" is beyond me! Perhaps this study is a bit biased

How can anyone not be outraged at this?

[Ahso!]

Those are the consequences when a nation spends as much as ours does on military might and refuses to raise taxes. We're broke, its as simple as that.

[K.Snyder]

Ahso!;1274952 wrote: Those are the consequences when a nation spends as much as ours does on military might and refuses to raise taxes. We're broke, its as simple as that.


Try telling America that

[K.Snyder]

Scrat;1275001 wrote: Try telling American politicians that. Most Americans know this, the roads I drive down are getting worse, not better. My wife's car has blown it's second set of struts in 5 years.

Our Howard Hanson dam is being repaired as we speak but in all good sense it should be replaced outright. The "repair" is not a permanent fix. I guess spreading democracy is a higher priority.


I think a collective effort from the public can be more than enough to make America a better place to live

[K.Snyder]

Ahso!;1274952 wrote: Those are the consequences when a nation spends as much as ours does on military might and refuses to raise taxes. We're broke, its as simple as that.


They don't raise the taxes because that would instigate question as to where the tax dollars are going

No one can convince me that if this thread were embedded in the minds of a majority of Americans that this would continue

It's gone on far too long

And to think an appropriately conducted socialistic government would ever see a problem such as this is insulting and ignorant

Why is socialism frowned upon? Can anyone muster a legitimate answer because I've yet to hear one let alone one actually existing

[AussiePam]

Someone is actually trying to fix the health system.... and look where that's got. Total gridlock. Too many vested interests in all these things. Nothing can move. Good luck.

[K.Snyder]

AussiePam;1275018 wrote: Someone is actually trying to fix the health system.... and look where that's got. Total gridlock. Too many vested interests in all these things. Nothing can move. Good luck.


Oh but "it promises to screw up health care for millions of us who now enjoy at least some basic reliable health coverage"...

Here's what's "it promises to screw up health care for millions of us who now enjoy at least some basic reliable health coverage"Measure to Allow Drug Imports Fails

By ALICIA MUNDY

WASHINGTON -- A measure to allow the importation of cheaper prescription drugs from Canada and some other countries fell short in the Senate Tuesday night, but lawmakers were working on other ways to squeeze concessions from the pharmaceutical industry.

Drug makers have been in the sights of the White House and congressional Democrats since Congress began working on health-care legislation this spring. In June, the industry agreed to put up $80 billion over 10 years to support a health overhaul, including steps to improve drug coverage for seniors in Medicare, provided they wouldn't be asked for further contributions to the cost-cutting effort.

The deal continued to hold up in the Senate Tuesday as the drug-importation measure opposed by the industry fell short. Senators voted 51-48 in favor of the amendment, but it required 60 votes for adoption. A different amendment, supported by the industry that would have allowed the imports only with a safety clearance from the Food and Drug Administration, also fell short, with 56 votes in favor and 43 against.

A House bill passed in November demands bigger rebates from the pharmaceutical industry that would raise its commitment well beyond the $80 billion figure. Senate Democrats were working on provisions that might bring the final bill closer to the House language, said congressional staffers and industry lobbyists familiar with the talks.

The drug-importation bill was proposed by Sen. Byron Dorgan, a North Dakota Democrat who allied with some Republicans. Mr. Dorgan and Sen. John McCain (R., Ariz.) said the measure could save consumers some $80 billion over 10 years if they could buy their drugs from other countries directly via the Internet or mail order.

"This issue isn't rocket science. The American people are charged the highest prices in the world. They want Congress to stand up for their interests and do something about it," Mr. Dorgan said.

Pharmaceutical makers opposed the measure, saying the U.S. couldn't ensure the safety of drugs from Canada, Europe, Japan and Australia. Opponents cited a letter from the FDA's commissioner that called the Dorgan amendment "logistically challenging" and risky to consumers.

Democrats and Republicans were divided on the issue, and at one point it threatened to hold up the larger health-overhaul package making its way through the Senate.

After the vote, Mr. Dorgan said, "The drug industry has a lot of clout in this town, and they demonstrated that tonight." He added, "This is not over."

In the June deal, pharmaceutical makers agreed to help close part of the "doughnut hole," a gap in Medicare drug coverage that forces seniors to pay their own drug bills after they have racked up several thousand dollars in drug costs covered by Medicare. The companies said they would reduce some medicines' prices by 50% for seniors facing the doughnut hole.

The House bill called for additional rebates to cover the entire doughnut hole. On Monday, Senate Majority Leader Harry Reid of Nevada said the doughnut hole would be covered in the final package. Asked to elaborate, a spokesman said Tuesday that details will be worked out in conference with the House. Analysts said one possibility was to split the difference in the final bill and have drug makers cover 75% of drug costs in the doughnut hole.

However, a spokesman for the Pharmaceutical Research and Manufacturers of America, or PhRMA, which represents drug companies in Washington, said the companies aren't going to make further concessions.

The seniors' lobby AARP deemed the importation measure a top priority for its nearly 40 million members, and Senate staffers said the group triggered thousands of calls to members of Congress.

President Barack Obama campaigned in support of drug importation during the 2008 election.

Several industry lobbyists and congressional staffers said the $80 billion deal in June included a private promise by the administration that it wouldn't support importation.

PhRMA denied there was any quid pro quo. But earlier this year, the group and the White House said separately that if a health-care bill passed, the resulting lower drug prices would eliminate the need for drug importation. The White House didn't respond to requests for comment.

—Greg Hitt contributed to this article.Measure to Allow Drug Imports Fails - WSJ.com

[K.Snyder]

"Pharmaceutical makers opposed the measure, saying the U.S. couldn't ensure the safety of drugs from Canada, Europe, Japan and Australia" yet they allow contaminated dry wall and God knows what else to be shipped over here

What a joke

[yaaarrrgg]

America is rotting away from the inside out.

The last cost estimate I saw for the Iraq war (including long term medical economic impact) was about 3.6 trillion dollars. It's probably closer to 4 trillion now. That could have been used to retool and modernize our infrastructure. But if a person suggested spending that money on the U.S., rather than another country, they'd be labeled a socialist.

[mikeinie]

I have a question/statement:

Maybe part of the issue is confusion around responsibility. I would have thought that most of the infrastructures within each State would be the primary responsibility of the State.

I would have guessed that the infrastructure that fell under the federal responsibility would be things like the national highways and interstate kind of stuff.

Is the issue that the individual States are not maintaining their own? Or is the federal government not maintaining theirs? Or is no one sure who should be maintaining what?

Last summer, I drove from San Francisco up the coast through Washington and Oregon into Canada, and I thought the quality of the motorways were excellent.

[Ahso!]

mikeinie;1275199 wrote: I have a question/statement:

Maybe part of the issue is confusion around responsibility. I would have thought that most of the infrastructures within each State would be the primary responsibility of the State.

I would have guessed that the infrastructure that fell under the federal responsibility would be things like the national highways and interstate kind of stuff.

Is the issue that the individual States are not maintaining their own? Or is the federal government not maintaining theirs? Or is no one sure who should be maintaining what?

Last summer, I drove from San Francisco up the coast through Washington and Oregon into Canada, and I thought the quality of the motorways were excellent.I think you probably have it about right. Some of the highways and roads are in pretty decent shape but each year the funding doesn't go as far because tax revenues are not keeping pace with inflation and nobody is willing to raise taxes.

States rely heavily on sales tax revenue and sales are down so revenue is down. I think all the states have 'balanced budget amendments' so borrowing is limited. State also invested heavily in the stock market and the sale of state bonds is down.

We pay higher federal income tax and our defense budget eats up most of that and as you probably already know, we're in debt up to our ears. the federal government distributes some money back to the states in the form of grants but again since taxes have been reduced over the years the grants are smaller and more difficult to qualify for.

Fiscally, the U.S. is in very serious trouble. The idea which began in the Reagan administration was this crazy notion that with IRA's and 401k's and other investments America was going to turn into a huge Disney Land and we were all going to be rich, but thats not whats happened and certain sectors of our population still can't read the writing on the wall.

[K.Snyder]

Scrat;1275041 wrote: That argument is lame. What we end up doing is financing the subsidized drugs of other countries such as Canada. The bad thing is we could follow suit and the drug companies could still make a profit of everyone got on the same page. The profits of the drug companies are huge. It's a real mess.


It's the epitome of capitalistic ideology...

When you don't have companies competing then you have an extremely expensive commodity. The prescription drugs would be far more affordable. How does inflated prescription drug prices help our pitiful health care system?

[K.Snyder]

Ahso!;1275221 wrote: I think you probably have it about right. Some of the highways and roads are in pretty decent shape but each year the funding doesn't go as far because tax revenues are not keeping pace with inflation and nobody is willing to raise taxes.

States rely heavily on sales tax revenue and sales are down so revenue is down. I think all the states have 'balanced budget amendments' so borrowing is limited. State also invested heavily in the stock market and the sale of state bonds is down.




It's not at all to do with not having enough tax dollars...America's horrid infrastructure is entirely to do with Americans sitting around doing nothing until something breaks

How to Fix America’s Crumbling Infrastructure

By Julie Taraska

Posted August 9, 2005

Like most Americans, you probably don’t think about our nation’s infrastructure—the public works that serve as the backbone of our country—until something goes wrong: you find yourself snarled in a traffic jam, or hear a report about a possible contaminate in the water supply, or become frustrated at your plane’s two-hour delay. But waiting until one of these works fails is a critical mistake, says the American Society of Civil Engineers (ASCE). The group, which notes that a sound infrastructure not only helps the economy, but also is a quality-of-life issue, recently judged the country on 15 infrastructure categories ranging from aviation, drinking water, and hazardous waste to rail, schools, and security. The resulting “2005 Report Card for America’s Infrastructure” awards the U.S. an overall grade of “D”: a step below the cumulative D+ received in 2001, the last time the ASCE issued the report. The document also offers an analysis of each of the 15 areas, as well as breakdowns of infrastructure quality in each of the 50 states.

The ASCE estimates that $1.6 trillion needs to be invested in the next five years to solve the current and looming infrastructure problems. We spoke to ASCE president William P. Henry about the report, the potential what-ifs, and the ways through which we can get the infrastructure back in shape. Excerpts from the talk follow.

**

Can you pinpoint when the U.S.’s infrastructure began to fall into decline?

The first report on the infrastructure that I remember was during the Reagan administration in the late 1980s. That’s the baseline for where we are. And by that time the decline had already started: we were not receiving the needed funding to replace worn-out and obsolete equipment.

What is perpetuating the frail state of the infrastructure?

If something has worked, the tendency is to assume it’s always going to work; we as engineers know that that’s not the case. So while the general public may think, “Oh, there’s not a problem because I turn on the tap and there’s water there,” there may be problems that will be catastrophic if they are not dealt with.

It costs three to four times as much to fix a broken system as opposed to replacing it in an orderly way. So do you want to spend a dollar now or four bucks when it fails?

Has the emphasis upon highway development taken away some of the money for other infrastructure projects?

No. I think each of the transportation systems—air, water, rail, and road—has its own unique place in our economy and society and needs to be addressed.

Now about that $1.6 trillion that the ASCE estimates we would need to shore up America’s infrastructure: Could you explain that?

That $1.6 trillion is what we would need to make things work as they should. We’re probably going to spend something in the order of 60% of that anyway on our patch-and-pray approach. But what we’re not able to do is get over the hump and do the capital replacement.

If you were a home owner, for example, you know you’ll have to pay the electric and gas bills every month, you know that you’ll have to paint the place every once in awhile. That’s just the routine operation of the home.

It’s the same in infrastructure. If you are a home owner and have more children, you might you have to add a room onto the house. That’s increased capacity—the same need that arises when more people use our infrastructure. If you want to keep the dog in or the neighbors out, you have to put a fence, and that’s security. That’s a whole new ball game for our infrastructure.

Which infrastructure areas do you feel need attention immediately?

As engineers we are always concerned with public health, safety, and welfare. So the water and waste-water systems are the ones on which I personally place the highest priority. The third one is the road system, because there are traffic deaths every year and because the time wasted in traffic jams keeps people away from their families and communities.

Aside from more money, what steps could be taken to improve the situation?

Our country’s approach to infrastructure is piecemeal. So as a first step we need a body to develop a plan for sustainable infrastructure for the 21st century for the United States. We [at the ASCE] are working on a letter to the federal administration asking them to form such a commission.

Will the ASCE follow up on the report card findings in other ways?

Yes. We intend to keep informing our members when votes are coming up on [relevant] bills, so that they can contact their legislators. We will keep talking with members of Congress and educate them on the need for both a comprehensive infrastructure plan and attention paid to our infrastructure now.

We maintain close working relationships with the federal agencies: The Corps of Engineers, the Department of Transportation, the Federal Highway Administration, the Federal Aviation Administration. Many of our members will continue to work with the state counterparts of these agencies, too.

How would you sum up the response to your report card?

At our press conference for the report card, Don Plusquellic, the Mayor of Akron, Ohio who is also the president of the U.S. Conference of Mayors, spoke about the need for infrastructure improvements. Mayor Plusquellic, who had a bridge collapse in his area, saw first-hand what could happen if infrastructure went uncared for. As he said, “I would rather replace a bridge a year or two early than a day too late.”How to Fix America’s Crumbling Infrastructure



The American Society of Civil Engineers • Washington Office

101 Constitution Ave., NW Ste. 375 East

Washington, D.C. 20001

202-789-7850 (p) 202-789-7895 (f)

govwash@asce.org

American Recovery and Reinvestment Act of 2009

A Review for Civil Engineers

In its 2009 Report Card for America’s Infrastructure, the American Society of Civil

Engineers (ASCE) reported in January that the nation needs to invest approximately

$2.2 trillion over the next five years to maintain our infrastructure in good condition.

Even with current and planned investments from federal, state, and local governments

in the next five years, the “gap” between the overall need and actual spending will total

more than $1 trillion by 2014.

Acting in response to the present economic emergency, the Obama administration and

Congress completed work on a $787 billion emergency economic recovery package

less than a month after the new administration took office. Included in the American

Recovery and Reinvestment Act (P.L 111-005) were approximately $100 billion in

infrastructure investments designed to create jobs quickly.

ASCE welcomes the additional funding for infrastructure as a means to create jobs and

for the renewed commitment to improving the nation’s public works. The recovery

package, however, must be viewed as simply a down payment toward improving the

nation’s infrastructure. While the investments offered in the stimulus are significant, the

infrastructure investment gap identified in the Report Card is still greater, and much is

left to be done over the coming years.

The American Recovery and Reinvestment Act (ARRA) targets economic growth

through two paths: direct fiscal expenditures, or appropriations, and through tax

incentives. ASCE has compiled a summary of both the appropriations and tax

provisions of the package that relate directly to major infrastructure investments,

federal capital building projects, and engineering practice that are the focus of the

Report Card.

For more information, please visit ASCE’s Government Relations website at

ASCE Government Relations, or contact us with specific questions at govwash@asce.org

or 202-789-7850.

Ongoing processes of the recovery will be tracked on ASCE’s website. Information on

other provisions of the bill can also be tracked at a new government website

Recovery.gov

Page 2

Appropriations Summary

ARRA imposes few deadlines for expenditures of the funds. Assume that there is no

statutory deadline for all following items, unless specifically stated.

Department of Agriculture

Forest Service – The ARRA provides $650 million for priority road, bridge and trail

maintenance, including related watershed restoration and ecosystem enhancement

projects.

Natural Resources Conservation Service - provides leadership in a partnership effort to

help America's private land owners and managers conserve their soil, water, and other

natural resources.

ARRA invests the following amounts to restore the infrastructure in small watersheds

across the nation:

• $145 million to invest in structural and non-structural watershed infrastructure

improvements.

• $50 million to rehabilitate aging flood control infrastructure, with an emphasis on

projects that are in the greatest danger of failing and threatening public safety.

Rural Utilities Service - assists rural utilities expand and keep their technology for

systems such as electricity, telephone, water and waste disposal services up to date.

The stimulus invests $1.38 billion for water and waste disposal facilities in rural areas.

Priority for awarding funds must be given to those projects that can demonstrate the

ability to begin as soon as approved.

Department of Commerce

Economic Development Administration (EDA) - leads the federal economic

development agenda by promoting innovation and competitiveness, preparing American

regions for growth and success in the worldwide economy. The agency does this

through grants or “investments” to government entities and eligible non-profits to create

jobs and generate private investment.

ARRA invests $150 million in EDA Assistance programs with priority given to “areas of

the nation that have experienced sudden and severe economic dislocation and job loss

due to corporate restructuring.”

National Institute of Standards and Technology - promotes U.S. innovation and

industrial competitiveness by advancing measurement science, standards, and

technology in ways that enhance economic security and improve our quality of life.

ARRA invests:

• $360 million for the construction of new facilities and maintenance of existing

facilities;

Page 3

• $180 million reserved for the construction of science research buildings; and

• $220 million for scientific and technical research.

National Science Foundation

The National Science Foundation is the funding source for approximately 20 percent of

all federally supported basic research conducted by America's colleges and universities.

ARRA invests:

• $400 million for the construction of major facilities and research equipment, with

all funds to be available until Sept. 10, 2010;

• $2.5 billion for research and related activities;

• $200 million available for academic research facility modernization.

U.S. Army Corps of Engineers – Civil Works

The recovery package invests a total of $4.6 billion for water resources projects that

may be obligated quickly; that will result in high, immediate employment; and that will

provide a useful service without additional funding. The bill authorizes the Corps of

Engineers to carry out unlimited reprogramming of all funds appropriated under the Act.

ARRA directs the Corps to spend the funds for the following:

• $2 billion for construction;

• $375 million for projects on the Mississippi River and tributaries;

• $2.075 billion for operation and maintenance;

• $25 million for investigations to carry out studies for future projects; and

• $100 million for the cleanup of closed military bases under the Formerly Utilized

Sites Remedial Action Program (FUSRAP).

To ensure the funds are being invested in accordance with the legislation’s intent, the

Corps must report to Congress quarterly on the progress of projects funded under the

recovery package. The first report is due April 3, 2009.

While the Senate bill contained language establishing project funding priorities, this

provision was left out of the final bill. Additionally, another Senate proposal to fund levee

inventories and inspections under the requirements of the Water Resources

Development Act of 2007 was not retained in the final bill.

Page 4

Department of the Interior

Bureau of Reclamation - largest wholesaler of water in the country bringing water to

more than 31 million people, and providing one out of five Western farmers with

irrigation water for 10 million acres of farmland that produce 60% of the nation's

vegetables and 25% of its fruits and nuts.

ARRA provides $1 billion for water and related resources infrastructure. Similar to the

provisions in the Corps’ funding, the Interior Department must report to Congress

quarterly on the progress of projects funded under ARRA.

The legislation allows for:

• $50 million of the funds to be used for the Central Utah Project;

• $50 million for the California Bay-Delta Restoration Project; and

• Not less than $10 million shall be used for a bureau-wide inspection of canals

program in urbanized areas.

The first report is due April 3, 2009. There is no statutory deadline for expenditures

imposed, but no project funded by the Act will be eligible for future appropriations.

Bureau of Land Management is responsible for carrying out a variety of programs for

the management and conservation of resources on public lands managed by the federal

government. ARRA invests $180 million for the construction of roads, bridges, and

trails on Bureau lands.

Bureau of Indian Affairs - provides services to approximately 1.7 million American

Indians and Alaska Natives. ARRA invests $450 million for construction projects,

including improvements and repairs to buildings, roads, schools, and jails on Tribal

lands.

U.S. Fish and Wildlife Service (FWS) - dedicated to the conservation, protection, and

enhancement of fish, wildlife and plants, and their habitats. ARRA includes $115 million

for the construction of roads, buildings, energy conservation projects, and habitat

restoration on FWS lands.

National Park Service – preserves and maintains public lands designated for their

historic or natural significance. ARRA provides $835 million for the construction and

rehabilitation of major buildings, roads, and historic sites.

U.S. Geological Survey - focuses on biology, geography, geology, geospatial

information, and water, and is dedicated to the timely, relevant, and impartial study of

the landscape, natural resources, and natural hazards. $140 million is included in ARRA

for construction, repair, and restoration of buildings; upgrades and replacement of

stream gages, seismic and volcano monitoring systems, and map activities; and

deferred maintenance.

Page 5

The Department of Education

State Fiscal Stabilization Fund – ARRA creates the stabilization fund for states and

provides $53.6 billion. The law reserves 18 percent of the fund for public safety

programs and a portion of this may be used "for modernization, renovation, or repair of

public school facilities and institutions of higher education facilities" at the discretion of

state officials. It is not yet determined how much of the total will be devoted to school

infrastructure.

Department of Energy

ARRA provides $4.5 billion for electricity delivery and energy reliability to modernize the

nation’s transmission grid. Investments to build more than 3,000 miles of new or

modernized transmission lines will create jobs immediately and lower the number of

power outages, increase reliability, and allow for the transmission of electricity from

renewable sources.

Department of Energy’s Office of Science: ARRA provides $1.6 billion for research in

such areas as climate science, biofuels, high-energy physics, nuclear physics and

fusion energy sciences.

Advanced Research Project Agency-Energy (ARPA-E): The ARRA provides $400

million to support high-risk, high-payoff research into energy sources and energy

efficiency in collaboration with industry.

General Services Administration (GSA)

ARRA invests a total of $5.55 billion for the Federal Buildings Fund. Specifically the bill

invests:

• $750 million for the construction of federal buildings and federal courthouses;

• $450 million for a new headquarters building for the Department of Homeland

Security;

• $300 million for the construction of border stations and land ports of entry; and

• $4.5 billion to upgrade federal buildings to become high-performance green

buildings.

The first $5 billion must be obligated by the GSA no later than September 30, 2010, with

the remaining $55 million to be obligated by September 30, 2011.

Department of Homeland Security

U.S. Customs and Border Protection (CBP) - ARRA invests $420 million for the

planning, management, design, alteration, and construction of land ports of entry owned

by the CBP.

Page 6

U.S. Coast Guard – ARRA invests $142 million for the alteration or removal of

obstructive bridges that are determined to be ready for construction.

The Department of Homeland Security must report to Congress on a plan for spending

the funds by April 3, 2009.

Environmental Protection Agency (EPA)

ARRA invests funds to preserve and restore the nation’s natural resources through a

variety of methods. Specifically, the bill devotes:

• $4 billion for the Clean Water Act State revolving Loan Fund (SRF) program.

• $2 billion for the Safe Drinking Water Act SRF program.

Funds must be allocated to projects ready for construction by February 17, 2010. EPA

must reallocate all SRF funds for any project not under contract by February 17, 2010.

The bill waives the 20 percent matching requirement in current law for loans from both

SRF programs. At least 50 percent of all SRF funds must be used for grants, negativeinterest

loans, or loan forgiveness.

Additionally, ARRA invests:

• $600 million for Superfund to clean up hazardous waste sites on the National

Priorities List;

• $200 million for the Leaking Underground Storage Tank Trust Fund;

• $100 million for brownfields grants.

Department of Transportation

Federal Aviation Administration - $1.1 billion is invested for grants to airports to provide

capacity and safety improvements under the Airport Improvement Program. The money

is to remain available until September 30, 2010. Project sponsors must demonstrate to

the Department of Transportation that the project can be completed by February 17,

2011.

Federal Highway Administration – ARRA invests $27.5 billion for roads, bridges, and

other Federal Aid Highway Program infrastructure. The money is to remain available

until September 30, 2010. Priority will be given to projects that can be completed by

February 17, 2012. All funds not obligated by a state by February 17, 2010, will be

given to another state by the Department of Transportation.

Federal Railroad Administration – to improve, expand and modernize the nation’s

intercity passenger rail system, ARRA dedicates $8 billion for high-speed rail. The

money is to remain available until September 30, 2012. The Department of

Transportation must report to Congress by April 18, 2009, on its strategy for building

high-speed passenger rail systems funded by the Act.

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Additionally, $1.3 billion goes to Amtrak, with a maximum of 60 percent to be used for

the Northeast Corridor (Boston-Washington, D.C.) infrastructure. The money is to

remain available until September 30, 2010. All funds must be committed to projects no

later than March 19, 2009.

Federal Transit Administration – ARRA invests significant funds for modernizing and

expanding the nation’s transit systems to ease congestion and reduce greenhouse gas

emissions. Specifically, the legislation invests:

• $6.9 billion for capital assistance grants. The funds are to remain available until

September 30, 2010. All funds must be apportioned for obligation to projects by

March 10, 2009. Fifty percent of all unobligated funds will be redistributed to

other projects no later than August 16, 2009.

• $750 million for fixed guideway infrastructure investments, including track and

buildings. The funds are to remain available until September 30, 2010. All funds

must be apportioned for obligation by March 10, 2009. Fifty percent of all

unobligated funds will be redistributed to other projects by the Department no

later than August 16, 2009.

• $750 million for capital investment grants for new starts and small projects

already under construction or nearly ready to begin construction. The funds are

to remain available until September 30, 2010. Priority is to be given to projects

already under construction or that will begin construction by July 17, 2009.

Discretionary Competitive Grants – ARRA created a special discretionary competitive

grant program and invested $1.5 billion for a new program to fund large transportation

projects of all modes with costs between $20 and $300 million.

The Secretary of Transportation may allocate $200 million of these funds for the

Transportation Infrastructure Finance and Innovation Act credit assistance program.

The Secretary must develop regulations for the program within 90 days of the law’s

enactment, project applications are due in 180 days after the regulations are produced,

and project awards must be made within one year of the law’s enactment. The grants

will be available for all surface transportation systems that will have a significant

national, regional, or metropolitan impact. The funds must be balanced between urban

and rural projects and distributed equitably on a geographic basis. Funds are to remain

available through September 30, 2011.

Maintenance of Effort – 30 days after enactment of the law, individual governors must

certify states will maintain their effort on transportation investment. States must submit

a statement identifying state funding plans on the date of enactment of the bill in the

area of transportation through FY 2010. States failing to maintain their transportation

efforts will be prohibited from participating in the FY 2011 redistribution of federal

highway funds.

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Tax Provisions Summary

Three Percent Fee Withholding

The Tax Reconciliation Act of 2006 requires all federal, state, and local governments

that award more than $100 million in property or services contracts annually to firms in

the private sector to withhold three percent of the contract payment to close the “gap” of

unpaid income taxes. The withholding provision would apply to all contract payments

made after December 31, 2010. ASCE strongly opposes this law believing it rests an

unreasonable burden on firms providing engineering services.

In an ASCE-supported action, the House version of ARRA repealed the three percent

withholding provision outright, however, the Senate bill delayed the deadline from

December 31, 2010, to December 31, 2011. Congress adopted the Senate

amendment, and the three percent withholding will begin with all contract payments

above the regulatory threshold beginning January 1, 2012.

High-Speed Intercity Rail Facility Bonds

The Internal Revenue Code (IRC) allows taxpayers to deduct interest on income from

state or local bonds. While bonds on private activity are generally taxed, those that are

issued for the construction of high speed rail enjoy the same tax-exempt status as

municipal bonds. However, previous regulations only allowed the exemption on systems

that operate at speeds in excess of 150 miles – severely limiting the exemption’s

potential savings to buyers. ARRA, however, removed the restriction and now the

exemption applies to any high speed rail system that may operate at 150 mph. The

provision took effect February 17, 2009.

Qualified School Construction Bonds

ARRA created a new form of tax-credit bonds called “qualified school construction

bonds.” The bonds require that one hundred percent of the proceeds from the bond

issue go to the construction, rehabilitation, or repair of public schools or to buy land on

which to build a qualified school building. ARRA sets a national limit of $5 billion for the

calendar years 2009 and 2010 for qualified school construction bonds. Bond holders

will receive a tax credit rather than a deduction from their taxes. The provision applies to

all school bonds issued beginning January 1, 2009.