INTERMODALISM IN THE U'S': ISSUES AND PROSPECTS

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INTERMODALISM IN THE U.S. ISSUES AND PROSPECTS

• Joseph S. Szyliowicz
• Josef Korbel School of International Studies
• University of Denver

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Overview

• Introduction
• Pressures for Intermodalism
• Development of Intemodalism
• Critical Issues
• Towards Intermodalism?

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Introduction

• New Transportation Vision has emerged
• Many definitions of intermodalism
• simplest -- movement of containers
• intermodal system has two qualities
• modes integrated into a seamless system
• each mode within that system is used for the
  purposes for which it is best suited
• Such an intermodal system
• minimizes environmental impacts and the use of
  energy
• maximizes efficiency
• promotes safety and security
• offers more choices for personal and freight
  mobility
• promotes sustainable development

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Pressures for Intermodalism

• Globalization
• containers and the Ideal X
• deregulation and Technology
• global supply chains
• new pressures to distribute goods to global
  markets

• U.S. Scene
• growing demand for both passenger and freight
  transportation
• freight congestion
• automobility
• social, environmental, economic costs
• intermodalism optimizes existing resources and
  minimizes costs

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Development of Intermodalism

• Official Policy - ISTEA ACT of 1991
• Limited understanding
• many conferences on various dimensions
• realization
• education
• research
• TEA-21 (1998)
• SAFETEA-LU
• (2005-2009)

• National Transportation and Revenue Commission
• National Surface Infrastructure Financing
  Commission
• the current Federal surface transportation
  programs should not be 're-authorized' in their
  current form. We must begin anew. This New
  Beginning is the dawn of the third era in the
  modern history of the Federal surface
  transportation program.

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CRITICAL ISSUES

• NATIONAL PRIORITIES
• TECHNOLOGY
• EDUCATION AND TRAINING
• COORDINATION AND INTEGRATION
• INSTITUTIONAL STRUCTURES
• LAWS AND REGULATIONS
• INFRASTRUCTURE
• FINANCING

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NATIONAL PRIORITIES

• Vision of national surface transportation system
  lacking
• Federal Transportation Policy is
• Absent, Outdate, and Underperforming
• Lack of integration
• Politics and Pork
• Vision necessary for coherent strategy

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TECHNOLOGY

• Major US emphasis
• Passenger Intermodalism
• information technology not yet deployed
• seamless transit journeys not yet possible
• Freight Intermodalism
• EDI still inadequate
• Technology not panacea
• its effective use requires trained people,
  innovation culture, integration into existing
  systems
• range of issues concerning standardization
• coordination between modes and actors

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Education and Training

• New skills required
• conferences and studies found faculty still
  teaching old transportation
• lack of persons who are
• educated in intermodalism
• possess the skills required to help plan,
  manage, and operate intermodal systems
• who understand the ethical issues involved

• Reform difficult requires interdisciplinary
  cooperation
• at the most basic level, there is a lack of
  general awareness
• word processor believes that intermodalism is a
  misspelled word
• public needs to be educated to the promise of
  intermodalism

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Education and Training APEC Study

• Goal Identify required skills and knowledge and
  degree to which they were available
• Comprehensive multi phased analysis
• existing literature
• stakeholder consultations
• focus groups and interviews
• survey of existing transportation programs

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Priority Skill Areas

• FOUNDATIONAL KNOWLEDGE
• Transportation modes interactions Government.
  Laws, Regulations Policies
• Available Technologies
• Global Business Environment

• INTERPERSONAL SKILLS
• General Managerial Skills
• Labor Relations
• Marketing, Sales and Customer Service Skills
• Communications, Bargaining and Negotiation Skills
• Leadership and coalition building Skills

• ANALYTICAL SKILLS
• Environmental Impact Analysis
• Economic Financial Analysis
• Policy Analysis
• Strategic Planning and Forecasting Skills
• Systems Analysis
• Ethical Analysis

• TECHNICAL SKILLS
• Computer Applications
• Technology Management
• Modeling Skills
• Logistics Supply Chain Processes
• Data Gathering, Analysis
• Manipulation

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COORDINATION AND INTEGRATION

• Essential for achievement of intermodalism
• Variety of actors
• Government officials
• USDOT, State DOTs, MPOs, RTDs etc
• private sector, shippers, modal carriers
• public and public interest groups

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COORDINATION AND INTEGRATION

• Conflicting interests Resolving these always a
  challenge
• private sector fragmented and competitive
• differing private/public sector perspectives
• short term rather than the long term
• role of labor may view projects as threats
• intermodal policies and projects are regional
• lack of incentives for cooperation

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INSTITUTIONAL STRUCTURES I

• Continuing dominance of individual modes
  complicates the achievement of cooperation
• each mode has its own culture, resources,
  interests and supporters
• all agencies organized around modes until ISTEA
• Congress and its committees
• 1995 effort to restructure DOT fails
• intermodal forces few and weak
• National Commission
• Intermodal plans (which) by their nature tend to
  cut across different modal areas frequently
  suffer from the lack of an internal champion to
  advance them within those different areas.

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INSTITUTIONAL STRUCTURES II

• US Federalism
• states implement policies and projects
• state level actors conflict (MPOs, SDOTs)
• MPOs new powers from ISTEA but SDOTs control
  resources
• increasing role of public
• Reorganization of USDOT necessary
• strengthen intermodalism
• leadership in intersectoral cooperation (e.g.
  energy )

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STATE DOTs and INTERMODALISM

• NCIT Study (7 states)
• ISTEA, TEA-21, SAFETEA-LU mandates
• Results
• Organizational changes
• Institutional cultures questionable
• of intermodal projects in plans has increased
• Increasing of intermodal projects completed
• Intermodal Planning still needs improvement
• Concern with lack of funding for IM projects
• Concern with continuing power of highway
  interests
• Intermodalism not dominant paradigm of SDOTs ,
  legislators, and transportation community

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LAWS AND REGULATIONS

• Historically reinforced modes
• Deregulation major impetus but many still
  problematic
• Increase cost and time of transportation projects
• Many specifically handicap intermodal projects
• ability of state DOTs to spend on non-highway
  projects
• labor and liability laws differ among modes

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INFRASTRUCTURE

• U.S. infrastructure in sorry state
• maintenance essential
• Intermodalism requires
• elimination of existing bottlenecks
• creation of freight and passenger terminals
• increased connectivity between modes
• improved communication and information systems

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FINANCING

• Existing funding system broken (NSTFC)
• inadequate revenues (gas tax)
• poor investment decisions
• gap through 2020 155-200b
• obtaining intermodal funds always extremely
  difficultnow?
• GAO limited federal fundingin part due to
  statutory requirements
• Localities confront a shortage of funds
• Funding is historically allocated by modal
  agencies and highways have always been favored
• funds have to be shifted -- highways to transit
• decisions made within stovepipes with goal to
  minimize cost not benefit maximizing

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FINANCING

• Intermodal freight projects are expensive which
  the private sector cannot usually finance by
  itself.
• Difficult policy issues include
• how to identify the private sector activities
  that deserve governmental support for many
  possibilities exist
• ranging from rail facilities to roads leading to
  terminals
• how should the funding be arranged?
• many possibilities tolls, user charges, limited
  partnerships, taxexempt bonds, establishment of
  trust Funds.

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FUTURE ISSUES

• New policies likely
• NSTPRSC important reforms
• consolidate fragmented programs into ten
• infrastructure, freight, urban and rural
  mobility, safety, energy, environment,
  Technology, RD
• Only recommendations -- Problems can be foreseen
• how to link programs functionally and
  institutionally
• USDOT will need to take an active role..
• Present structure adequate?
• conflicting philosophical approaches (minority
  report)
• federal-local relationship,
• source of funds (tolls, privatization)
• allocations
• Heated debates likely

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FUTURE PROSPECTS

• Lack of an intermodal focus
• Many intermodal dimensions discussed
• improve connections between modes
• non traditional freight projects
• high speed rail
• more transit
• Improve intermodal elements but wont create true
  intermodal system
• technology
• infrastructure
• laws
• Education ignored

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RECOMMENDATIONS

• IM vision essential Create true IM System
• Better outcomes throughout including
• efficiency
• safety
• sustainable development
• Modal orientations, institutional structures
  remain powerful forces
• leadership required
• elite consensus for intermodal vision
• Gain support of all relevant publics
• difficult challenge
• has to be met if Americas future transportation
  needs are to be met in a sustainable manner