For the Week Ending November 3, 2000
This weekly report is written by the American Society of Civil Engineers? Government Relations staff. If you have questions or comments about any items in this report, please contact Brian Pallasch, Michael Charles, Martin Hight, Austin Fulk, or Liz Hermsen by e-mail or at 202/789-2200.
Inside This Week:
1. ELECTION DAY IS NOVEMBER 7
Election Day is quickly approaching. On Tuesday, November 7, millions of citizens across the nation will make their choices as to who should serve them in the public policy arena. Voting is the most important part of the election process. On Election Day, policy makers find out if their constituents believe they?re doing a satisfactory job, or not. Wondering why it?s important for you, as a civil engineer, to vote? Pondering what you have in common with elected officials? The answer is simple - you both have a profound effect on the quality of peoples? lives. Don?t be left out - voice your choice on Election Day. For more information contact ASCE Government Relations at (202) 789-2200 or govwash@asce.org.
2. HOUSE, SENATE PASS STOP-GAP FUNDING; RECESS THROUGH ELECTION
The U.S. House of Representatives on November 3 joined their Senate colleagues in an election recess after passing a continuing resolution to keep the government running through November 14 - finally sending members home to campaign in a cliffhanger election only four days away. The Senate recessed earlier in the week after deeming the continuing resolution to have been passed once the House acted. Congress will return to try to resolve a host of issues in a lame duck session beginning November 13 in the House and November 14 in the Senate in a new and uncertain political environment.
3. CONGRESS CLEARS WATER RESOURCES BILL WITH ASCE PROVISION
The House approved a bill on November 3 that authorizes the U.S. Army Corps of Engineers to spend about $7.1 billion to carry out 30 new flood control, navigation, environmental protection and restoration projects. The bill includes approximately $1.2 billion in funding to begin a major restoration program for the Florida Everglades. The Senate approved the Water Resources Development Act (WRDA) of 2000 on October 31. President Clinton is expected to sign the bill.
ASCE won congressional approval of a provision in WRDA that requires the Corps to use the two-phase competitive source selection process for awarding design-build contracts for projects authorized by the act. The bill gives the Corps the authority to carry out a maximum of five design-build projects for levees and other flood control projects on an experimental basis. However, the Corps is not required to use design-build on any project.
4. SCHOOL CONSTRUCTION FUNDING WILL INCREASE
Another issue in the Labor-Health and Human Services-Education appropriations bill and the tax bill is funding for school construction. Over the last few weeks various proposals and figures have been put in and taken out of the bill. Other issues such as Davis-Bacon have also clouded the school-funding picture.
Generally, funding for school construction has hovered around $1 billion - mostly in the form of tax-free bonds and some grants. Among the contentious issues is a Democratic proposal to apply Davis-Bacon Act requirements to the money. Regardless of the final outcome, federal support for school construction will increase, a position strongly supported by ASCE.
5. INTERIOR APPROPRIATIONS BILL HAS GOOD NEWS FOR STREAMGAGING
The Interior Appropriation Bill for Fiscal Year 2001, as signed into law on October 11, contains some good news for the United States Geological Survey?s (USGS) streamgaging program. First, all USGS programs will receive funds to cover the effect of inflation in costs (primarily in salaries) in FY2001. USGS also received a $2 million increase in its Federal Ground Water Resources Program. In terms of streamgaging, the appropriation includes an increase of $3.1 million for the Real-Time Hazards initiative that supports streamgaging stations and related network activities. Further, an additional $5 million was added to the FY2001 USGS budget for the streamgaging networks. Congress has made it clear that the $5 million should only be used for capital investments to improve the network rather than for long-term operations.
Because the budget information is only a couple of weeks old, the details of the plans are still very fluid. It is clear that USGS will be able to add or reactivate some stations that serve flood warning purposes, flood harden other flood prone gages, extend rating curves, add telemetry, and improve data delivery systems. All of USGS? plans for FY 2001 will be predicated on the general plan for the National Streamflow Information Program (NSIP). Although the specific details of what will be accomplished with these new funds are still being developed, two things are clear -- the funds will be very important to advancing the development of NSIP, and this congressional action reflects the high visibility and importance of the streamgaging network to stakeholders across the country.
The budget for FY2001 represents the second year in a row that USGS has received an appropriation increase additional Federal funding to enhance the streamgaging network. (The FY2000 budget included $2 million for Real-Time Hazards.) USGS views those two years as a modest but significant beginning to a proposed multi-year development process for the NSIP, Hirsch said. This Program when fully implemented will provide federal funds to support the infrastructure of baseline streamgaging station gages, the associated data analysis and delivery capability, and the technology development to support and maintain fully the federal responsibilities of the national network. ASCE supports hydrologic data collection programs such as USGS? streamgaging network. Inadequate hydrologic data collection, resulting from budget shortages, has long-term adverse affects on the efficiency and certainty of planning, design, construction, and operation of water and other projects.
6. SURGE IN ENGINEERING CONTRACTS A SIGN OF FUTURE GROWTH
A ?big jump in engineering services? is a positive indicator of ?future highway/transit market growth,? according to a new study by the American Road and Transportation Builders Association (ARTBA). A 27 percent increase in state department expenditures for engineering services on federal-aid highway and mass transit projects for 1998-99 indicates a strong potential for market growth, according to the ARTBA study.
The upward trend of increasing transportation expenditures is said to be triggered by the 1998 Transportation Equity Act for the 21st Century (TEA 21), which authorized $217 billion in federal investment for the nation?s highway and mass transit programs over six years. State departments of transportation preliminary engineering (PE) contracts and awards have increased from $1.528 billion in 1998 to $1.946 billion in 1999, according to data from the Federal Highway Administration. Private sector firms are also benefiting from this growth. ?In 1998, approximately 35 percent of state PE expenditures went to private firms,? the study reports. ?In 1999, the private sector share of PE contracts and awards grew by more than 42 percent.?
7. STATE BALLOT INITIATIVES
Over the past several issues of This Week in Washington, a number of state ballot initiatives have been mentioned that relate to civil engineering issues and could affect civil engineers. Following is a wrap-up of these initiatives. For more information on the following initiatives(s), or any other state government relations matters, please contact Austin Fulk, ASCE's Manager of State Government Relations, at (202) 789-2200 or via e-mail at afulk@asce.org.
Arizona
Proposition 202 would amend that state's statutes in a number of ways to slow growth including by requiring all municipalities with populations of over 2,500 people to establish growth management plans within two years of passage of the initiative. Growth and zoning changes outside of these areas would be severely restricted, and the ability of municipalities to extend municipal services including infrastructure outside of these urban growth areas would also be severely restricted.
California
Proposition 35 would allow the state to contract out engineering and other design services to private sector firms. Currently, because of two State Supreme Court rulings, it is almost impossible for the state to contract out design work.
Proposition 39 would lower the percentage of voters needed to authorize the issuance of school bonds by a municipality from two-thirds to 55 percent.
In San Francisco, voters will be facing two competing smart growth initiatives. Proposition K, backed by Mayor Brown, would allow 11 million square feet of new office space to be constructed, or about 20 times the volume of the Trans America Pyramid, one of the most familiar sights on the San Francisco skyline. Proposition L, would allow only 8.3 million new square feet of office space, and would ban new office development in certain neighborhoods.
Colorado
Tax cuts are on the ballot in the form of Amendment 21, which would mandate a $25 reduction per tax bill in a variety of taxes. Opponents of this initiative claim that it would lead to drastic reductions in state services, including reducing the amount of money available for transportation spending by one-third.
Voters also face a decision on Amendment 24 to amend the state constitution and impose growth restrictions by requiring localities to produce maps of areas, which must be contiguous with their communities, where future growth is expected to occur. These maps must include detailed service plans for future infrastructure expansions, which must include a plan for funding these expansions.
Florida
Voters will be asked to support a proposed monorail system linking the state's five largest metropolitan areas. The initiative has no funding provisions, but if passed, would require the state to proceed with the project.
Massachusetts
Question 6, which is appearing on the general election ballot, would require the state to use tax credits to reimburse commuters 100 percent for the cost to them of tolls and automobile excise taxes paid annually. Not only would this initiative drain funds that could be used for transportation infrastructure building and maintenance, it would also force non-drivers to subsidize automobile drivers. Question 4, which would cut the state's income tax with potentially negative effect on funds available for infrastructure spending, is also on the ballot.
New Jersey
A ballot initiative here asks the voters to decide whether to dedicate all tax proceeds from sales of petroleum and auto sales to the state's transportation fund. The fund, which is used to pay for highway and transit capital projects, would see its funding increase by an estimated $1 billion over the next four years if the measure passes.
Oregon
Oregon currently has some of the nation's strictest land-use regulations, but that could change if the state's voters approve Measure 7 this November. Measure 7 would expand the state constitution's "takings" clause to require the state to compensate property owners for state regulatory actions that reduce a property owner's land value. Currently, compensation is only required when the state actually takes an owner's property.
Ohio
State Issue # 1, a bond authorization, would make up to $400 million available for brownfields redevelopment and open space and farmland conservation.
Rhode Island
Question 1 would authorize the issuance of $34 million in state bonds for land purchases to help preserve open space. The money would be leveraged with other funds to provide $80 million for land acquisition.
South Carolina
Voters in Charleston County will vote on a proposal to raise a local sales tax by one-half cent to fund roads and transit. If passed, the tax is estimated to bring in an additional $1.2 billion in new funding.
Washington
Initiative 745 on the state ballot would require the state to spend 90 percent of its transportation funds on road projects. I-745 is sponsored by some of the same backers as 1999's successful I-695 as well as by the local branch of the Associated General Contractors (AGC).
