News From Dot

                                                                                                                            

 

 

U.S. Transportation Secretary Peters Unveils Bush Administration’s
New Approach for America’s Transportation Future

ATLANTA – A clean and historic break with the past is needed to encourage the future vitality of our country’s transportation network, said U.S. Transportation Secretary Mary E. Peters, who today unveiled the Bush Administration’s new plan to refocus, reform and renew the national approach to highway and transit systems in America.

“Without a doubt, our federal approach to transportation is broken. And no amount of tweaking, adjusting or adding new layers on top will make things better,” Secretary Peters said. “It is time for a new, a different and a better approach.”

The Secretary said the plan sets a course for reforming the nation’s transportation programs by outlining a renewed federal focus on maintaining and improving the Interstate highway system, instead of diverting funds for wasteful pet projects and for programs clearly not federal priority areas like restoring lighthouses.

Addressing urban congestion and giving greater flexibility to state and local leaders to invest in their most needed transit and highway priorities is another key focus of the reform plan, said Secretary Peters. Local leaders will have greater freedom and significantly more resources to fund new subways, bus routes or highways as they choose, based on the needs of local commuters instead of the dictates of Washington.

As part of this focus on congestion, the plan would create a Metropolitan Innovation Fund that rewards cities willing to combine a mix of effective transit investments, dynamic pricing of highways and new traffic technologies, the Secretary said.

The reform plan also calls for greatly reducing over 102 federal transportation programs which have proliferated over the last two decades replacing them with eight comprehensive, intermodal programs that will help focus instead of dilute investments, and cut the dizzying red-tape forced upon local planners, she said.

Secretary Peters said a hallmark of the plan is a refocused and redoubled emphasis on safety, using a data and technology-driven approach that also gives states maximum flexibility to tackle their toughest safety challenges. Using a data-driven approach, she said, we are and must continue focusing on issues that put drivers, commercial drivers, passengers and pedestrians at risk, including crashes involving drunk drivers, motorcycles, work zones and rural roads.

And to improve the current 13-year average it takes to design and build new highway and transit projects in the United States, the Secretary said the federal review process would be streamlined to ask the same stringent environmental and planning questions, but get answers more quickly.

The Secretary emphasized that central to any reform for transportation is finding new revenue sources to supplement the unpredictable and unsustainable gas tax, in order to fund maintenance and pay for new needed projects. She said the gas tax is an antiquated mechanism, underscored by the current climate of high gas prices. Americans are driving less and taking advantage of transit options, but less driving also results in less revenue for transit operations.

Secretary Peters said more direct pricing options like tolling are needed and states must be empowered to take advantage of the over $400 billion available worldwide for infrastructure investments from the private sector. “The idea is simple: use federal funds to encourage new sources of investments for transportation, instead of replacing them,” she said.

“Our plan will make it easier to pay for and build roads and transit systems. It will deliver fewer traffic tie ups, better transit services and a stronger economy. It will make our roads safer and give Americans new confidence that the money they invest in transportation will actually deliver results,” Secretary Peters said.

The Secretary said the plan lays out the Administrations’ framework for completely overhauling the way U.S. transportation decisions and investments are made, and is intended to spur local, state and federal debate about how best to incorporate the new reforms into surface transportation legislation slated to be considered by Congress in 2009. She will personally brief Members of Congress on the contents of the plan this week.

“I look forward to working with my colleagues on Capitol Hill over the next few months to really explore the innovative ideas contained in this proposal,” Secretary Peters said. “While I understand that this plan represents a significant departure from the status quo, I hope that Congress will shed partisan labels and come together to consider a piece of legislation that will keep our transportation system viable well into the next decade.”

A copy of the reform plan is available at www.fightgridlocknow.gov.

A copy of the remarks can be found at http://www.dot.gov/affairs/peters072908.htm.

Nearly 10 Billion Fewer Miles Driven in May 2008 than May 2007 Seven-Month Decline in Travel Reflected in Highway Trust Fund

WASHINGTON - New Federal data showing further steep declines in the number of miles Americans are driving is additional proof that the country needs new means - other than the gas tax - to finance the nation's transportation infrastructure, U.S. Secretary of Transportation Mary E. Peters said today.

"By driving less and using more fuel-efficient vehicles, Americans are showing us that the highways of tomorrow cannot be supported solely by the federal gas tax," Secretary Peters said. "We must embrace more sustainable funding sources for highways and bridges through more sustainable and effective ways such as congestion pricing and private activity bonds."

Secretary Peters said that Americans drove 9.6 billion fewer vehicle-miles traveled (VMT) in May 2008 than in May 2007, according to the Federal Highway Administration data. This is the largest drop in VMT for any May, which typically reflects increased traffic due to Memorial Day vacations and the beginning of summer, and is the third-largest monthly drop in the 66 years such data have been recorded. Three of the largest single-month declines - each topping 9 billion miles - have occurred since December.


VMT on all public roads for May 2008 fell 3.7 percent as compared with May 2007 travel, the Secretary added, marking a decline of 29.8 billion miles traveled in the first five months of 2008 than the same period a year earlier. This continues a seven-month trend that amounts to 40.5 billion fewer miles traveled between November 2007 and May 2008 than the same period a year before, she said.

As Americans drive less and rely increasingly on mass transit, carpooling or other options, the federal Highway Trust Fund receives less revenue from gasoline and diesel sales - 18.4 cents per gallon and
24.4 cents per gallon, respectively.

"Less driving means less money for the Highway Trust Fund," said Acting Federal Highway Administrator Jim Ray. "The status quo cannot and will not work in the 21st century."

To review the FHWA's "Traffic Volume Trends" reports for May 2008, visit http://www.fhwa.dot.gov/ohim/tvtw/tvtpage.htm.
 

Transportation Public-Private Partnerships Soar to Record Levels

The number of public-private partnerships in the U.S. transportation sector has soared to record levels in recent years and continues to climb, according to a new Department study, announced today by U.S. Transportation Secretary Mary E. Peters.

“This nationwide trend on the part of state and local governments is further proof that innovative approaches to financing and managing transportation are increasingly attractive compared to traditional tax and spend methods,” Secretary Peters said. “States and local governments across the country are recognizing public-private partnerships are an effective means to deliver transportation projects.”

The new report found that more transportation public-private partnerships were completed over the last three years than in any other compatible time period in history.  According to the report, more than 20 major highway and transit projects are currently being conducted in partnership with the private sector at various stages of development in the United States.

The report also found that the use of public-private partnerships is increasing at record pace due to their proven track record of relieving congestion and encouraging infrastructure development, Secretary Peters said.  They do this by substituting or adding private capital for fuel tax revenue and helping leaders tap into the more than $400 billion of private capital available globally today for investment in infrastructure.  Another find shows that states and localities can reduce project costs, accelerate project delivery, and transfer risks to the private sector while also protecting public sector interests through well-balanced concession agreements, she said. 
  
“Together, we can make more of these projects happen throughout Virginia and across America,” Deputy Secretary Thomas J. Barrett said today in announcing the study at a groundbreaking for new High Occupancy Toll lanes on the Capital Beltway in Virginia.

A full copy of the report, “Innovation Wave: An Update on the Burgeoning Private Sector Role in U.S. Highway and Transit Infrastructure,” can be found at http://www.fhwa.dot.gov/ppp/dotpppreport071808.doc

STATEMENT OF

JEFFREY F. PANIATI, EXECUTIVE DIRECTOR

FEDERAL HIGHWAY ADMINISTRATION

U.S. DEPARTMENT OF TRANSPORTATION

BEFORE THE

COMMITTEE ON ENVIRONMENT & PUBLIC WORKS

U.S. SENATE

HEARING ON SAVING LIVES ON OUR NATION’S HIGHWAYS

JULY 17, 2008

Chairman Boxer, Ranking Member Inhofe, and Members of the Committee, thank you for the opportunity to appear before you today to discuss the Federal Highway Administration’s (FHWA) role in saving lives on our Nation’s highways.   

            The safety of the traveling public is the United States Department of Transportation’s (DOT) most important priority.  As you well know, improving highway safety requires a comprehensive, multi-agency and multi-disciplinary effort.  Through the combined efforts of the entire highway safety community, our highways are safer than ever before, but with over 42,000 highway fatalities in 2006, much work remains. 

FHWA takes seriously its charge to ensure the safety, reliability, and efficiency of America's highways, roads, and bridges.  We are committed to continued work with you, the safety community, and our sister agencies, including the National Highway Traffic Safety Administration (NHTSA) and the Federal Motor Carrier Safety Administration (FMCSA), to reduce highway fatalities and injuries. 

            The Safe, Accountable, Flexible, Efficient Transportation Equity Act:  A Legacy for Users (SAFETEA-LU) (Public Law 109-59) significantly increased the national policy emphasis on safety and the resources available to reduce traffic fatalities and injuries on all public roads.  The Act also introduced new programs and provided greater flexibility to meet the challenges of improving safety.  Using the tools SAFETEA-LU provided, and working together, we are making progress and seeing results.  

Reducing Highway Fatalities

In 2006, the last year for which we have final data, the number of people who lost their lives on the Nation’s roadways fell by 868 deaths from 2005, equating to a fatality rate of 1.41 per 100 million vehicle miles traveled (VMT)—the lowest rate ever recorded.  The number of fatalities in 2006 represents the largest drop in total deaths in 15 years. 

Passenger car occupant fatalities declined for the fourth year in a row to 30,521, the lowest annual total since 1993.  The fatality rate per 100 million VMT for passenger vehicles also reached an all time low of 1.10 in 2006.  In addition, the number of people suffering incapacitating injuries as a result of motor vehicle crashes in 2006 was 26 percent lower than in 2000. 

            At 1.94 fatal crashes per 100 million large truck VMT, in 2006, the large truck fatal crash rate reached its lowest point since the Department began tracking these figures 30 years ago.  From 2005 to 2006, large truck fatalities decreased from 5,240 to 4,995, representing a 4.7 percent reduction. 

            Although final data are not yet available for 2007 and 2008, preliminary State data show promising signs of a further reduction in fatalities in 2007 (compared to 2006) and more significant declines in fatalities in at least 35 States in 2008 (compared to 2007).

            Despite the gains we have made in improving highway safety, 42,642 individuals still lost their lives in motor vehicle crashes in 2006.  Motorcycle rider fatalities continued their nine-year increase, reaching 4,810 in 2006—an increase of 5 percent over the 2005 number and a 127 percent increase since 1997.  Motorcycle rider fatalities now account for 11.3 percent of total motor vehicle fatalities, exceeding the number of pedestrian fatalities for the first time since DOT began collecting fatal motor vehicle crash data in 1975.  In 2006, 17,602 people were killed in the U.S. in alcohol-related motor vehicle crashes—about 40 percent of total motor vehicle fatalities.  This proportion has remained relatively unchanged since 2000.

            In 2005, according to the Centers for Disease Control, once again motor vehicle crashes were the leading cause of death for Americans for every age 2 through 34.  And, the associated financial costs are staggering—over $230 billion each year.

            These numbers are not acceptable.  That is why the DOT considers safety its top priority and remains committed to the goal of reducing highway fatalities to a rate of 1.0 per 100 million VMT by 2011.  To most effectively align program and policy actions needed to meet key challenges, the Department has established four fatality sub-measures—passenger vehicles, nonoccupants (e.g., pedestrians and bicyclists), motorcycle riders, and large-truck and bus-related fatalities—which represent the breadth of all highway users.  The purpose of this approach is to examine more closely the fatality rates of the various segments of highway users and develop targeted strategies to combat trends within these segments of highway users. 

            Additionally, data from the NHTSA Fatality Analysis Reporting System (FARS) highlight crash trends and areas where major fatalities are still occurring.  We use this information to assist States in maximizing returns from safety investments.  Some of the greatest gains in reducing fatality rates in the short term lie with influencing driver behavior.  Over 90 percent of crashes are caused by human factors, such as speeding, lack of seat belt use, and alcohol impairment.  The DOT has implemented a number of driver behavior programs, including the primary safety belt use law incentive grant program, the alcohol-impaired driving countermeasures program, and others. 

FHWA’s Role in Highway Safety

Comprehensive Safety Programs and Partnerships

            FHWA’s Office of Safety is responsible for leading FHWA in the development and delivery of a comprehensive range of programs that will enable the Department to meet its 1.0 safety goal.  FHWA actively pursues improved highway safety through a collaborative, multi-faceted approach that addresses the “4Es of safety”—engineering, education, enforcement, and emergency medical services.  Using a data-driven approach, we work with other safety agencies at DOT and with our safety partners to develop and deliver technologies, processes, and policies that direct resources to activities that can yield the highest highway safety gains.  While FHWA concentrates primarily on infrastructure-oriented solutions, we recognize that highway deaths are often the result of some failure of the driver or vehicle, in addition to the roadway, so we work closely with both NHTSA and FMCSA on intermodal activities such as the DOT Speed Management Strategic Initiative.  We not only work at the national level to provide leadership for highway safety, we work directly with roadway owners and operators at all levels to deliver safety-related programs and funding that yield benefits that include improvements in system conditions and operations.  As part of this comprehensive approach, FHWA safety funding is targeted at improving the safety of roadway designs and operations, removing roadway hazards, and advancing high-quality safety data collection and analysis systems in collaboration with others.  

FHWA’s efforts with our partners to improve data quality are extensive.  FHWA takes an active role, in conjunction with our partners at NHTSA and FMCSA, in the USDOT Traffic Records Coordinating Committee, an intermodal team that provides coordinated Federal leadership to maximize the efficiency and effectiveness of integrated roadway, traffic and safety data collection and analysis.  FHWA also supports NHTSA in the implementation of the State Traffic Safety Information System Improvement Grant program, authorized under SAFETEA-LU, which provides grants to States to improve their data systems.  FHWA has developed, in consultation with FMCSA and NHTSA, a Crash Data Improvement Program that gives States a detailed analysis of their crash data systems, training on how to make improvements, and individualized attention from data systems experts.  This program has been piloted in two locations, and we are in the process of expanding it to other locations. 

Perhaps one of the most difficult and wide reaching issues related to usable data is the availability of roadway information.  Many States have, via their asset management systems, good data on engineering features, but in many cases, these systems cover only State-owned roadways and do not include some safety-critical elements.  FHWA is working on the Model Minimum Inventory of Roadway Elements (MMIRE) program to more clearly define a set of standardized elements that will be beneficial in performing analyses to make program and project decisions.  In 2006, preliminary MMIRE elements were vetted with traffic records professionals and “cross-walked” with safety analysis tools available or under development.  FHWA has initiated a number of activities to move the concept forward, including establishing an executive steering committee, developing outreach materials on MMIRE for State and local partners, and initiating a contract to begin development of the MMIRE.  Through these efforts and others, FHWA will continue to emphasize the need for data-driven decision-making. 

SAFETEA-LU Implementation

            Since the enactment of SAFETEA-LU in 2005, FHWA has worked aggressively to make the authorized funds available, and issue guidance and regulations as necessary to carry out programmatic modifications in SAFETEA-LU.    

      Highway Safety Improvement Program.  SAFETEA-LU authorized the Highway Safety Improvement Program (HSIP) as a new core Federal-aid formula program and more than doubled the amount of highway safety funding for the States by authorizing $5.1 billion over 4 years.  The HSIP emphasizes a results-based, data-driven, strategic approach to improving highway safety.  The program provides States with flexibility to use funds for safety projects on all public roads and publicly-owned pedestrian and bicycle paths, and to focus State efforts on implementation of State Strategic Highway Safety Plans (SHSPs).  FHWA assisted States in developing their SHSPs.  We helped States convene the stakeholders necessary to solve highway safety problems and worked to analyze data to identify critical emphasis areas individualized for each State’s safety needs.  We are happy to report that every State now has an SHSP.   We are also pleased to report that 32 States identified data and data system improvements as a priority in their SHSPs and that, in 2007, 40 States used HSIP funds for data improvements.  FHWA's emphasis on a collaborative approach to improving safety is especially critical in the HSIP, where each State’s SHSP addresses all "4Es" of safety described above.  FHWA will continue to assist States with their SHSP implementation and safety planning so that safety funds will be used where they yield the greatest safety improvement. 

            We have cooperated with the Government Accountability Office (GAO) on its ongoing review of the HSIP and look forward to the issuance of its report on the program.

            Safe Routes to Schools.  SAFETEA-LU also authorized $612 million for a new Safe Routes to School (SRTS) program to:  enable and encourage children, including those with disabilities, to walk and bicycle to school; make walking and bicycling to school safe and more appealing; and facilitate the planning, development, and implementation of projects that will improve safety, and reduce traffic, fuel consumption, and air pollution in the vicinity of schools.  Working with States, FHWA moved quickly to implement this new program.  Each State has appointed a SRTS coordinator as required by SAFETEA-LU, and States are well underway in awarding grants and implementing projects.  We also have fulfilled another SAFETEA-LU program requirement, creating a national clearinghouse for SRTS.  The National Center for Safe Routes to School located at the University of North Carolina at Chapel Hill assists communities and States in developing successful SRTS programs and strategies.  The National Center offers training, technical assistance, case studies of successful programs, and information on how to start and sustain a SRTS program.  The Clearinghouse makes information available on its website at http://www.saferoutesinfo.org.  At Congress’ direction, we have also established and convened a Federal Advisory Committee that has studied and developed a strategy for advancing SRTS programs nationwide.  The report on the Committee’s findings will be transmitted to Congress soon.

High Risk Rural Roads.  Rural two-lane, two-way road fatality rates are significantly higher than the fatality rates on the Interstate.  The fatality rate for rural crashes is more than twice the fatality rate for urban crashes.  The High Risk Rural Road portion of the HSIP sets aside $90 million each year to address safety considerations and develop countermeasures to reduce these higher rural road fatalities.  On February 29, 2008, Transportation Secretary Mary E. Peters announced a new national strategy that will concentrate resources and technology on reducing deaths on the Nation’s rural roads.  The Rural Safety Initiative, led by DOT Deputy Secretary Thomas J. Barrett, is a comprehensive effort among several agencies within DOT that will help States and communities develop strategies to eliminate the risks drivers face on rural roads.  Approximately $287 million in existing and new funding is available to support the Rural Safety Initiative.  This new initiative highlights available resources and solutions and addresses 5 key goals:  safer drivers, better roads, smarter roads, better-trained emergency responders, and improved outreach and partnerships.  For example, the Rural Safety Innovation Program, a component of the Rural Safety Initiative, is offering $15 million to rural communities across the country to apply and evaluate innovative safety solutions. 

            Work Zone Safety.  SAFETEA-LU included an increased emphasis on work zone safety.  Fatalities in highway work zones currently number over 1,000 annually.  Four out of 5 of these deaths are motorists.  Under the Work Zone Safety Grants program, FHWA has awarded grants to nonprofit and not-for-profit organizations to provide training to prevent and reduce work zone injuries and fatalities.  SAFETEA-LU authorized $5 million for each fiscal year of the program, starting in 2006.  The grants may be used for construction worker training to prevent injuries and fatalities; development of guidelines to prevent work zone injuries and fatalities; and training for State and local governments, transportation agencies, and other groups implementing these guidelines.  SAFETEA-LU also authorized $1 million annually for a national nonprofit foundation to operate the National Work Zone Safety Information Clearinghouse.  The Texas Transportation Institute is operating this clearinghouse under contract with the American Road & Transportation Builders Association (ARTBA).  The Clearinghouse provides a wide variety of information related to improvement of roadway work zone safety available at http://www.workzonesafety.org/.   

            In addition, FHWA has been working with the American Association of State Highway and Transportation Officials (AASHTO) to advance and promote accelerated bridge construction technology, which enables bridge systems to be built offsite and then installed, in part or the whole bridge, at the job site over a weekend or overnight.  The technology reduces the exposure time in the work zone and significantly reduces traffic disruption. 

            Bridge Safety Efforts.  Highways, by definition, include bridges.  The Highway Bridge Program supports State and local efforts to improve conditions, and thus safety, of highway bridges.  The expansion of the Highway Bridge Program’s scope under SAFETEA-LU is recognition of the importance of preserving bridges that are in better condition, as well as replacing and rehabilitating bridges that have suffered from deterioration.  Since its inception, the Highway Bridge Program has been successful in reducing bridge deficiencies.  As of December 2007, there were 116,025 bridges out of 599,319 inventoried nationwide that were on the National Highway System (NHS).  Of those, 25,780, or 22.2 percent, were considered deficient.  That represents a reduction of 4 percent from 1997, when 33,558 out of 128,432, or 26.1 percent, of NHS bridges inventoried were deficient. 

            Thousands of well-trained and dedicated bridge inspectors in the National Bridge Inspection Program work every day to ensure the safety of the nearly 600,000 existing bridges in the National Bridge Inventory.  Through these inspections, critical safety issues are identified and acted upon to protect the traveling public.  With an aging infrastructure and limited resources, it is vitally important to continuously monitor the condition of the Nation’s bridges and frequently assess the load-carrying capacity of those bridges that are showing signs of deterioration.

Focused Approach to Safety 

            To reduce the number and rate of fatalities in traffic-related crashes, FHWA launched a performance-based approach to safety several years ago that better focuses our resources where the greatest opportunities to save lives exist.  To accelerate development and delivery of tools and technologies where they will make the biggest impact, we have focused resources on 4 areas where we see the greatest percentage of highway fatalities that are addressable by infrastructure-oriented solutions:  roadway departure crashes (58 percent of all highway deaths); intersection-related crashes (21 percent of all highway deaths); pedestrian crashes (11 percent of all highway deaths); and speeding-related crashes (32 percent of all highway deaths).  We maintain our focused approach to safety in the 4 critical areas in several ways, including:

Safety Research, Technology and Innovation 

            Developing new technologies and tools through a strong research and development program in highway safety is a key component of FHWA’s strategy to reduce highway deaths and injuries.  FHWA conducts its own research and collaborates extensively with others who sponsor highway safety research and technology, including States and universities.  Numerous safety research and technology projects that contribute to our highway safety objectives are currently under development with a strategic focus on areas with the greatest fatalities, including roadway departure, intersections, pedestrians, and speeding.  Examples of our research and technology efforts include:

            FHWA is also active, along with others throughout the safety community, in supporting the future Strategic Highway Research Program (SHRP2), established by Congress and managed by the Transportation Research Board (TRB).  Along with NHTSA and FMCSA, we are excited about the potential impacts of an increased understanding of crash causation, including how driver performance is affected by roadway features and conditions.  We are providing input to TRB as it studies SHRP2 implementation needs, and we look forward to further collaboration on this topic.

Program Guidance and Implementation

            FHWA Division Offices work closely with State and local officials to assure that highly-effective systems, technologies, and processes are utilized when investing Federal dollars in highway safety countermeasures.  We develop and disseminate guidance on program expectations and information on “best practices” on a continuing basis.  Most recently, we provided information to States on high-priority safety countermeasures, which we encourage all States to consider as part of their regular project development and delivery.  In addition, we work closely with national associations representing States, localities, enforcement officials, safety advocates, and others to facilitate sharing of information and tools to maximize the value of all our safety programs.

Conclusion

            Highway fatalities are a national tragedy, and FHWA is committed to reducing their numbers.  As we approach reauthorization, we look forward to continued work with this Committee, the States, and our partners in the transportation community to find solutions for the safety problems on our highways and develop methods to attain our safety goal.

            Thank you for the opportunity to appear before you today.  I would be happy to answer questions.

New Rule Reduces Risk of Fuel Tank Flammability on Passenger Jets

ASHBURN, Va.– Within two years, all new aircraft must include technology designed to significantly reduce the risk of center fuel tank fires as part of a final rule announced today by U.S. Transportation Secretary Mary E. Peters. In addition, passenger aircraft built after 1991 must be retrofitted with technology designed to keep center fuel tanks from catching fire, she said.

“We want to do everything possible to make sure safety examiners won’t have to investigate another plane shattered by an exploding tank,” said Secretary Peters. “We can’t change the past, but we can make the future safer for thousands of air travelers, and this rule does just that.”

The Secretary, who spoke on the day before the anniversary of the crash of TWA Flight 800, said the new rule was needed to help avoid a similar tragic incident. She said the rule requires aircraft to have technology to neutralize or eliminate flammable gasses from fuel tanks under the center wing of commercial passenger planes.

Secretary Peters noted that in the wake of the TWA crash researchers with the Federal Aviation Administration developed a breakthrough system that replaces oxygen in the fuel tank with inert gas, which effectively prevents the potential ignition of flammable vapors. She added that commercial aircraft manufacturer Boeing also has developed a similar system.

“Today’s rule will add another layer of safety reducing the chance that the vapors in the tank will ignite, even if there is a spark,” said FAA Acting Administrator Robert A. Sturgell.

Secretary Peters noted the cost of installing the new technology would range from $92,000 to $311,000 per aircraft, depending on its size. She said this cost could be as little as one-tenth of one percent of the cost of a new aircraft. The U.S. aircraft that will be retrofitted include approximately 2,730 aircraft belonging to the A320 family of 900 airplanes, 50 A330s, 965 Boeing 737s, 60 Boeing 747s, 475 Boeing 757s, 150 Boeing 767s and 130 Boeing 777s.

“I recognize that this is a challenging time for commercial aviation,” Secretary Peters said. “But there is no doubt that another crash like TWA 800 would pose a far greater challenge.”

The Secretary made the announcement while addressing accident investigators at the National Transportation Safety Board’s (NTSB) Training Facility in Virginia. Before addressing the examiners, the Secretary, Acting Administrator Sturgell and NTSB Chairman Mark Rosenker visited the remains of the TWA flight which are kept at the site as an educational tool for safety investigators.

The rule is published on the FAA and Federal Register’s web sites at: http://www.faa.gov/regulations_policies/rulemaking/recently_published/ or http://www.gpoaccess.gov/fr/index.html.

Secretary of Transportation Mary Peters Names Krakowski as FAA Chief Operating Officer

U.S. Secretary of Transportation Mary E. Peters today announced that Captain Henry P. (Hank) Krakowski has been selected to serve as Chief Operating Officer (COO) of the U.S. Department of Transportation’s Federal Aviation Administration’s (FAA) air traffic organization.

Krakowski will lead the FAA Air Traffic Organization’s 35,000 controllers, technicians, engineers, and support personnel whose daily efforts keep airplanes moving. As COO, Krakowski will oversee the operational and financial performance of the air traffic control system and the FAA’s research and acquisition programs. Krakowski is scheduled to start his new position on Oct. 1, 2007. His background includes all aspects of aviation, including flying, labor relations, air traffic and scheduling.

“Hank is the right person to help implement the next generation of aviation technology,” said Secretary Peters. “His commitment to safety, outstanding operational experience, and leadership abilities will advance our efforts to modernize our nation’s air transportation system.”

“I’m confident that passengers, aviation users, and the FAA will benefit from Hank Krakowski’s extensive aviation expertise,” said Acting FAA Administrator Robert A. Sturgell.

Krakowski joins the FAA following a distinguished, nearly 30-year career with United Airlines. As vice president of flight operations for United, Krakowski has been responsible for a worldwide staff of 8,000 employees and a $2 billion budget for all flight operations, flight training and standards, technology, and labor relationships. Previously, Krakowski served as vice president of corporate safety, security and quality assurance.

Krakowski is a Boeing 737 captain. He has flown the Boeing 747, 737 and 727 as well as the Douglas DC-10 and DC-8. He has held various positions within United’s operations, including director of flight crew resources, responsible for pilot manpower planning and scheduling; and director of flight operations control, where he was responsible for flight dispatch, air traffic, meteorology and crew scheduling.

Captain Krakowski holds a master's degree in business and management from National-Louis University and a bachelor's degree in aircraft maintenance engineering from St. Louis University.

For the past two years, Krakowski has served as co-chair of the Commercial Aviation Safety Team (CAST), an industry and government partnership that has helped implement safety enhancements to significantly reduce the leading causes of commercial aviation accidents in the United States. He also has served as chairman of the Star Alliance Safety Advisory Group, held numerous positions with the Air Line Pilots Association, and served in management positions at two previous airlines.

Airline financial data from the second quarter of 2007 and previous quarters are posted on the BTS website at TranStats, the Intermodal Transportation Database, http://www.transtats.bts.gov/Fields.asp?Table_ID=295. Data are compiled from quarterly financial and monthly traffic reports filed with BTS by commercial air carriers.

Financial and traffic data are preliminary and include data received by BTS as of Sept. 5. Data are subject to revision. BTS will release third quarter financial data on Dec. 17.

Ranked by 2nd Quarter 2007 Unit Costs

Ranked by 2nd Quarter 2007 Unit Costs

Ranked by 2nd Quarter 2007 Unit Costs

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Ranked by 2nd Quarter 2007 Revenue Yield

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Ranked by 2nd Quarter 2007 Revenue Yield

Ranked by 2nd Quarter 2007 Revenue Yield

STATEMENT OF

THE HONORABLE MARY E. PETERS

SECRETARY OF TRANSPORTATION

Before the

COMMITTEE ON TRANSPORTATION AND INFRASTRUCTURE

U.S. HOUSE OF REPRESENTATIVES

SEPTEMBER 5, 2007

Chairman Oberstar, Ranking Member Mica, and Members of the Committee, I am honored to be here today. Accompanying me is J. Richard Capka, the Federal Highway Administrator.

America was stunned on the evening of August 1, 2007, when the Interstate 35 West (I-35W) bridge over the Mississippi River in Minneapolis, Minnesota, collapsed. Numerous vehicles were on the bridge at the time and there were 13 fatalities and 123 people injured. We extend our deepest sympathy to the loved ones of those who died and to the injured.

We do not yet know why the I-35W Bridge failed, and our Department is working closely with the National Transportation Safety Board (NTSB) as it continues its investigation to determine the cause or causes. In the interim, we are taking every step to ensure that America’s infrastructure is safe. I have issued two advisories to States in response to what we have learned so far, asking that States re-inspect their steel deck truss bridges and that they be mindful of the added weight construction projects may bring to bear on bridges.

Immediately upon learning of the collapse, at the direction of President Bush, I deployed a team, led by Administrator Capka, to coordinate the Federal response on-site in Minneapolis. The morning of August 2, I was at the scene with them. The DOT team, including the continuous on-site support of the FHWA Minnesota Division Office and Deputy Federal Transit Administrator Sherry Little, is providing expertise in bridge engineering and construction, environmental assessments and planning, transit programs, and Federal contracting, to assist State and local officials in the recovery, debris removal, temporary traffic rerouting, and restoration of transportation services. This team is also working with the State to expedite the process for reconstructing the bridge.

Federal support has included a quick release of $5 million in Emergency Relief Federal-aid Highway funding to the State of Minnesota to initiate recovery operations. Those funds were made available the day after the disaster to help restore the traffic flow, to clear the debris, to set up detours, and to begin the repair work.

President Bush signed legislation on August 6 authorizing $250 million in emergency relief funding. The legislation also made available $5 million to reimburse Minneapolis for increased transit operations to serve commuters until highway traffic service is restored on the bridge. Fifty million dollars in Emergency Relief funds were released on August 9 to ensure the State's recovery efforts can proceed without delay. As the State completes the assessment of the total damage and the ultimate cost to replace this bridge, we stand ready to ensure that appropriate funding is made available to replace it. Indeed, with Congress' assistance, we are committed to making funds available to the State as they are needed to ensure that the bridge is rebuilt as quickly as possible.

While not part of the emergency response funding, we have also provided an additional $13.2 million in immediately available transit funds in connection with our announcement of Minneapolis as an “Urban Partner” under our Congestion Initiative, a broad initiative for managing surface transportation in the Minneapolis area.

The I-35W bridge over the Mississippi River in Minneapolis originally opened in November 1967 and became one of the critical facilities in a vital commercial and commuting corridor. The bridge was an 8-lane, steel deck truss structure that rose 64 feet above the river before its collapse. The main span extended to 456 feet to avoid putting piers in the water, which would have impeded river navigation. As of the 2004 count, an estimated 141,000 vehicles traveled per day on the bridge.

FHWA is assisting the NTSB as they conduct a thorough investigation, which includes a structural analysis of the bridge. Within days of the collapse, development of a computer model based upon the original design drawings for the bridge began at FHWA's Turner Fairbank Highway Research Center in McLean, Virginia. This model can run simulations to determine the effect on the bridge of removing or weakening certain elements to recreate, virtually, the actual condition of the bridge just prior to and during its collapse.

By finding elements that, if weakened or removed, result in a bridge failure similar to the actual bridge failure, the investigators' work is considerably shortened. While examination of the physical members of the bridge being recovered from the site provide the best evidence of why the bridge collapsed, the analytical model allows the evaluation of multiple scenarios which can then be validated against the physical evidence. This work is expected to take several months and my experts will be there, on the ground, to provide assistance. We need to fully understand what happened so we can take every possible step to ensure that such a tragedy does not happen again. Data collected at the scene, with the help of the Federal Bureau of Investigation's 3-D laser scanning device, are being used to assist in the investigation.

On August 2, the day after the collapse, I requested that the DOT Inspector General conduct a rigorous assessment of the Federal-aid bridge program and the National Bridge Inspection Standards (NBIS). The NBIS, in place since the early 1970s, generally requires safety inspections for all highway bridges in excess of 20 feet in total length on public roads at least every two years. Safety is ensured through hands-on inspections and rating of components, such as the deck, superstructure, and substructure, and the use of non-destructive evaluation methods, and other advanced technologies. The composition and condition information is collected in the national bridge inventory (NBI) database, maintained by FHWA.

The I-35W bridge has been inspected annually by the Minnesota Department of Transportation (MNDOT). The most recent inspection was begun by MNDOT on May 2, 2007. No imminent dangers were observed and MNDOT planned to continue inspecting the bridge in the fall following completion of construction work on the bridge.

Federal, State, and local transportation agencies consider the inspection of our nearly 600,000 bridges to be of vital importance and invest significant funds in bridge inspection activities each year. We strive to ensure that the quality of our bridge inspection program is maintained at the highest level and that our funds are utilized as effectively as possible. The Inspector General will be monitoring all of the investigations into the collapse and reviewing our inspection program to decide and advise us what short- and long-term actions we may need to take to improve the program. Though we will have to wait for the NTSB's report before we can conclude if the inspection program played any role in this collapse, we must have a top-to-bottom review to make sure that everything is being done to keep this kind of tragedy from occurring again.

In the aftermath of this tragedy, a necessary national conversation has begun concerning the state of the Nation’s bridges and highways and the financial model used to build, maintain and operate them. It is important to understand that, while we must do a better job of improving the Nation’s transportation systems, we do not have a broad transportation infrastructure “safety” crisis.

Since 1994, the percentage of the Nation’s bridges that are classified as “structurally deficient” has declined from 18.7% to 12.0%. The term "structurally deficient" is a technical engineering term used to classify bridges according to serviceability, safety, and essentiality for public use. The fact that a bridge is classified as "structurally deficient" does not mean that it is unsafe for use by the public. Since 1995 the percentage of travel taking place on roads that are considered “good” has increased from 39.8% to 44.2%. Overall, approximately 85% of travel takes place on pavement that is considered “acceptable.” FHWA estimates that it will cost approximately $40 billion a year to maintain the physical condition of our Nation’s highways and bridges and approximately $60 billion a year to substantially improve the quality of current roads and bridges. In 2005, Federal, State, and local governments together made over $75 billion in capital investment to rehabilitate highways and bridges in the U.S. and improve their operational performance. If we include operational, administrative, and debt service costs in addition to capital investments, the U.S. spent nearly $153 billion on highways and bridges in 2005.

These infrastructure quality numbers should and can be improved with more targeted investment strategies, but it is inaccurate to conclude that the Nation’s transportation infrastructure is subject to catastrophic failure. We have quality control systems that provide surveillance over the design and construction of bridges. We have quality control systems that oversee the operations and use of our bridges. And we have quality control over inspections of bridges to keep track of the attention that a bridge will require to stay in safe operation. These systems have been developed over the course of many decades and are the products of the best professional judgment of many experts. We will ensure that any findings and lessons that come out of the investigation into the I-35W bridge collapse are quickly learned and appropriate corrective actions are institutionalized to prevent any future occurrence.

A more accurate description of our current and broader problem is that we have an increasingly flawed investment model and a system performance crisis. Many are calling for a renewed national focus on our Nation’s highway infrastructure. I applaud Ranking Member Mica for starting the conversation about a multimodal National Strategic Transportation Plan. And while I agree that our infrastructure models need to be reexamined, it is imperative that we actually focus on the right problem.

When faced with an underperforming division, the response of any credible business organization is to assess the cause of underperformance and to implement policies and practices intended to reverse performance declines. In my assessment, the underperformance in the highway sector is fundamental, not incremental. In other words, increases in Federal taxes and spending would likely do little, if anything, without a more basic change in how we analyze competing spending options and manage existing systems more efficiently.

Because tax revenues are deposited into a centralized Federal trust fund and re-allocated on the basis of political compromise, major decisions on how to prioritize investments--and thus, spend money--are made without consideration of underlying economic or safety merits. The degree to which one capital investment generates more returns than a competing investment is the most basic question asked in virtually every other capital intensive sector of the economy. Yet, when it comes to some of our largest and most critical investments we make as a Nation – highways and bridges – there is virtually no analysis of this question. There is no clearer evidence of this failure to prioritize spending than the disturbing evolution of the Federal highway program. This program has seen politically-designated projects grow from a handful in the surface transportation bill enacted in the early 1980s to more than 6,000 enacted in SAFETEA-LU. The cost of these earmarks totaled $23 billion – a truly staggering figure.

The real cost of these earmarks is much higher. Looking at a sample of various recent earmarks, we found that the Federal earmark amounts themselves comprised on average only 10% of the total project cost. Because of this, State departments of transportation will typically either delay the earmarked project indefinitely or re-allocate resources from higher priorities to fill the funding gap. In addition, earmarks present large administrative burdens for States that must dedicate scarce personnel resources to managing lower priority projects that are subject to earmarking. In short, earmarks ripple through the entire Federal-aid program structure.

In addition to earmarks, there are more than 40 special interest programs that have been created to provide funding for projects that may or may not be a State and local priority. As a former State DOT director, I have had first-hand experience with the difficulties created when Washington mandates override State priorities.

While it is true that not all of these investments are wasteful, it is also true that virtually no comparative economic analysis is conducted to support these spending decisions. No business could survive for any meaningful period of time utilizing a similar investment strategy. Not surprisingly, new economic literature reveals that the returns on our highway investments have plummeted into the low single digits in recent years.

The Department is working with States to encourage them to regularly use benefit cost analysis (BCA) when making project selection decisions. Currently, approximately 20 States make some use of BCA, while 6 States use the technique regularly. The Government Accountability Office (GAO) recently conducted two studies to identify the key processes for surface transportation infrastructure planning and decisionmaking, with a particular emphasis on the role of economic analysis methods and the factors that affect the use of such methods.

These studies are Highway and Transit Investments: Options for Improving Information on Projects’ Benefits and Costs and Increasing Accountability for Results (GAO-05-172); and Surface Transportation: Many Factors Affect Investment Decisions (GAO-04-744). The former report noted that “the increased use of economic analytical tools, such as benefit-cost analysis, could improve the information available to decision makers and, ultimately lead to better-informed transportation investment decision making” (GAO-05-172, p. 6).

Among other reasons, GAO cited “political concerns” for why BCA is not more widely utilized in U.S. public sector surface transportation decisionmaking. GAO observed that projects may be important for a particular interest group or constituency even though it is not efficient from an economic standpoint. At a minimum, BCA would provide additional transparency to decisions that are less cost-beneficial. Ideally, BCA would actually begin to reverse inefficient decisions from being made in the first place.

GAO also noted that BCA results are rarely reviewed in light of actual project outcomes. In other words, not only is BCA underutilized in the project planning process, but it is also rarely utilized to assess the efficacy of previous investments. This is in stark contrast to typical capital investment models employed in the private sector. It is important that Congress and the Department work together to establish far more productive means to ensure that scarce resources are flowing to projects that benefit the public the most. BCA is likely to be one of our most effective tools to advance that objective.

Moreover, since Federal transportation funding levels are not linked to specific performance-related goals and outcomes, the public has rightfully lost confidence in the ability of traditional approaches to deliver. Performance-based management can help establish and maintain accountability. As former Washington State DOT Secretary Doug MacDonald noted, “transportation agencies need to demonstrate to taxpayers that they get a dollar’s worth of value for a dollar’s worth of tax.” The use of performance measures, by helping to identify weaknesses as well as strengths, can improve the transportation project selection process and the delivery of transportation services.

In addition to an insufficient performance and cost-benefit focus, the current gas tax-dependent model does virtually nothing to directly address the growing costs of congestion and system unreliability. Indirect taxes on gasoline, diesel fuel, motor vehicles, tires, property and consumer products – the dominant means of raising revenues for transportation - are levied regardless of when and where a driver uses a highway. This leads to a misperception that highways are “free,” which in turns encourages overuse and gridlock at precisely the times we need highways the most. Consistent with the views of almost every expert that has looked at the issue, GAO recently released a report arguing that gas taxes are fundamentally incapable of balancing supply and demand for roads during heavily congested periods.

The data simply do not lie in this case. Relying extensively on gas and motor vehicle taxes, virtually every metropolitan area in the U.S. has witnessed an explosion in traffic delays over the last 25 years. Meanwhile, in recent years, the increase in surface transportation funding has significantly outpaced the overall growth of non-defense, non-homeland security Federal discretionary spending. And, since 1991, capital outlays at all levels of government have nearly doubled. Economists have long understood the connection between payment mechanisms and system performance, but technology and administrative complexities limited the ability of policymakers to explore alternatives. Today, those barriers no longer exist.

This is one of the main reasons that our Department has been strongly supporting States that wish to experiment with electronic tolling and congestion pricing. Nationwide, the majority of projects in excess of $500 million currently in development are projected to be financed at least in part with electronic tolls. In the middle of August, we announced Federal grants in excess of $800 million to some of the country’s largest cities to fully explore the concept of electronic tolling combined with expanded commuter transit options and deployment of new operational technologies. Nationwide, the trends are inescapable and encouraging.

We believe that to the extent feasible, users should finance the costs of building, maintaining and operating our country’s highways and bridges. What is increasingly clear is that directly charging for road use (similar to the way we charge for electricity, water, and telecommunications services) holds enormous promise to generate large amounts of revenues for re-investment and to cut congestion. Equally important, however, prices send better signals to State DOTs, planners, and system users as to where capacity expansion is most critical. Prices are not simply about demand management, they are about adding the right supply.

The current financial model is also contradictory to other critical national policy objectives. As a country, we are rightfully exploring every conceivable mechanism to increase energy independence, promote fuel economy in automobiles, stimulate alternative fuel development, and reduce emissions. President Bush has urged Congress to pass laws that will substantially expand our alternative energy capabilities and increase Corporate Average Fuel Economy requirements for automobiles and light trucks. The Federal Government should be strongly encouraging States to explore alternatives to petroleum-based taxes, not expanding the country’s reliance upon them.

Finally, the current highway and bridge financial model fails to provide strong incentives for technology development and deployment, particularly when contrasted to other sectors of the economy. It is imperative that we find more effective means to ensure that the rewards of a given advancement – for example, in extended life pavements or more sophisticated traveler information systems – can accrue in part to those firms or individuals that come forward with creative ideas. It is no coincidence that we are seeing a technology boom in markets that have pricing structures that reward innovation. Pricing infrastructure usage more closely to its true costs will not only reduce congestion and more appropriately target resources, it will also provide new incentives for innovation.

The I-35W bridge collapse was both a tragedy and a wake-up call to the country. We have a duty to ensure a safe transportation system for all who use it. Moreover, our country’s economic future is tied in large part to the safety and reliability of our transportation infrastructure. Before reaching the conclusion that additional Federal spending and taxes is the right path, we should critically examine how we establish spending priorities today. We need a data-driven, performance based approach to building and maintaining our Nation’s infrastructure assets – a process where we are making decisions based on safety first, economics second, and politics not at all. And we need an underlying framework that is responsive to today’s and tomorrow’s challenges, not those of the 1950s.

I look forward to working with you and would be pleased to answer any questions you may have.

U.S. Transportation Secretary Mary E. Peters Announced Today More Than $128 Million In Emergency Funds To Repair Damaged Roads in Seven States and Various Federal Facilities

More than $128 million in additional emergency relief funds is now available to pay for repairs to roads and bridges damaged by a variety of natural and other emergencies, announced U.S. Transportation Secretary Mary E. Peters today.

“Natural disasters hit communities in the home, heart and pocketbook,” Secretary Peters said. “By rebuilding crucial roads and highways, these funds will help people to get back on the road and back to the relief of normal, day to day life.”

The funds will go to 7 states and other federal facilities, like parkways, to pay for damages caused by storms, floodings and earthquakes. In the case of California, the funds will go toward the repair of an interchange on I-580 in Oakland that collapsed because of a truck fire and of Mississippi toward the repair of roads damaged by Hurricane Katrina.

The Federal Highway Administration, a part of the U.S. DOT, will reimburse the states for expenses associated with these emergency situations. The funds will be used to reimburse states for fixing or replacing damaged highways and bridges, establishing detours, removing debris and replacing signs, lighting and guardrails.

"Transportation links are key to getting economies and people’s lives back on track,” said FHWA Administrator J. Richard Capka.

The emergency relief funds are part of an emergency appropriations package in the amount of $871 million, signed into law by President Bush in September 2005, to supplement FHWA's emergency relief program. The current release of funds, in addition to $675 million provided earlier this year, brings the total provided to more than $803 million with the balance still available to states upon request.

The program is used to reimburse states for certain costs resulting from natural disasters or other emergencies. A table detailing the funds can be seen at .

To Improve Rail Safety and Efficiency

Advanced brake technology will enable locomotive engineers to significantly improve train control and allow trains to safely travel longer distances between required brake tests under new proposed federal rules, announced U.S. Transportation Secretary Mary E. Peters.

“Trains with better brakes mean safer railroad operations and improved rail freight service,” said Secretary Peters, explaining that Electronically Controlled Pneumatic (ECP) brakes provide improved train control through simultaneous and graduated application and release of the brakes on all rail cars, a significant safety improvement over conventional air brake systems.

In addition, Secretary Peters noted that the proposed rule would permit a train to travel up to 3,500 miles—more than double the current maximum distance—between routine brake tests.

With ECP brakes, many long-haul trains can travel directly to their destinations without stopping because the technology performs continual self-diagnostic ‘healthchecks,’ she said.

“The safety benefits of ECP brakes are obvious and they make good business sense as well,” said Federal Railroad Administrator Joseph H. Boardman.

Boardman said that, under the proposal, an intermodal container train equipped with ECP brakes originating from West Coast ports could operate all the way to Chicago without stopping for a routine brake test, as it must do now. Similarly, many ECP brake-equipped coal trains could make quicker deliveries from western coal fields to eastern and southern power plants because stopping for the routine brake test would be unnecessary.

He added that ECP brakes can help avert some train derailments caused by sudden emergency brake applications, prevent runaway trains caused by loss of brake air pressure, shorten train stopping distances up to 60 percent under certain circumstances, and improve fuel efficiency and reduce emissions through better train handling. He further noted that the first ECP brake-equipped train operating under an approved waiver is expected to make its initial revenue service run in September.

A copy of the proposed rule, published in today’s Federal Register, can be found at: http://www.fra.dot.gov/us/content/321. Written comments may be submitted until November 5, 2007 by accessing the U.S. Department of Transportation’s Online Docket Management System web site at http://dms.dot.gov [Docket Number FRA-2006-26175].

Air Travel Consumer Report

The most recent report was issued September 2007

Includes data for the following periods:

2007