Nov/Dec TB 2014

Nov.-Dec. 2014 TransportationBuilder 1

2015 ARTBA Chairman Nick Ivanoff

builder® Nov.-Dec. 2014

NOVDEC 2014VOL. 26, NO. 6contents

The official publication of the American Road & Transportation Builders Association

www.transportationbuilder.org

TransportationBuilder 3

FEATURES COLUMNS

2015 Transportation Construction Market Forecast

ARTBA Regulatory & Legal Advocacy Protects Industry’s Flank

Demanding Respect in the Zone: Innovation and Collaboration Protects Workers and Drivers

Chairman’s Message

President’s Desk

AEM Corner19

23

10 6

8

25

10

ON THE COVERNew ARTBA Chairman Nick IvanoffA Steady Hand in Stormy Seas14

14

Sept.-Oct. 2014

Nov.-Dec. 20144 TransportationBuilder

StaffPUBLISHERT. Peter [email protected]

DEPUTY PUBLISHER Matt [email protected]

EDITORIAL DIRECTOR Beth [email protected]

PUBLICATIONS EDITOR & GRAPHIC DESIGNERJenny [email protected]

CONTRIBUTING WRITERS

Dr. Alison Premo BlackARTBA chief economist

Beth McGinnARTBA director of public affairs and social media

Nick GoldsteinARTBA vice president of environmental & regulatory affairs

Rachel VarraRoyal Truck & Equipment, Inc. marketing representative

Transportation Builder® (TB) is the official publication of the American Road & Transportation Builders Association, a federation whose primary goal is to aggressively grow and protect transportation infrastructure investment to meet the public and business demand for safe and efficient travel. In support of this mission, ARTBA also provides programs and services designed to give its members a global competitive edge. As the only national publication specifically geared toward transportation development professionals, TB represents the primary source of business, legislative and regulatory news critical to the success and future of the transportation construction industry.

Transportation Builder® (ISSN 1043-4054) is published bi-monthly by the American Road & Transportation Builders Association (ARTBA). Postmaster: Send change of address to Transportation Builder®, c/o ARTBA, The ARTBA Building, 1219 28th Street, N.W., Washington, D.C. 20007. Telephone: 202-289-4434, Fax: 202-289-4435, Internet: www.artba.org; E-mail: [email protected]. Periodicals postage paid at Washing-ton, D.C., and additional mailing offices. Subscriptions are $105/year for ARTBA members, which is included in the dues; $120/year for non-members; and $200/year non-U.S. mailing addresses. Copyright ©2014 ARTBA. All rights reserved. Material may not be repro-duced in any form without written permission from the publisher. Reg. U.S. Patent & Trademark Office.

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builder®

Executive CommitteeChairman: Nick Ivanoff Ammann & Whitney, New York, N.Y.

Senior Vice Chairman: David S. ZachryZachry Construction Corporation, San Antonio, Texas

First Vice Chairman: Robert E. AlgerThe Lane Construction Corporation, Cheshire, Conn.

Northeastern Region Vice Chairman: Dave GehrParsons Brinckerhoff, Herndon, Va.

Southern Region Vice Chairman: Tom ElmoreEutaw Construction Company, Aberdeen, Miss.

Central Region Vice Chairman: Kathi HolstRoadway Construction & Maintenance Services,

Warrenville, Ill.

Western Region Vice Chairman: Steve McGoughHCSS, Sugar Land, Texas

Vice Chairman At-Large: Ward NyeMartin Marietta Materials, Inc., Raleigh, N.C.

Vice Chairman At-Large: Scott L. CasselsKiewit Infrastructure Group, Inc., Kiewit Corporation,

Omaha, Neb.

Vice Chairman At-Large: Melissa TooleySouthwest Region University Transportation Center, Texas

A&M Transportation Institute, College Station, Texas

Vice Chairman At-Large: John R. KulkaHRI, Inc., State College, Pa.

Vice Chairman At-Large: Mike DonninoGranite Construction Company, Lewisville, Texas

Vice Chairman At-Large: Paul Acito3M Traffic Safety & Security Division, St. Paul, Minn.

Treasurer: Tom HillSummit Materials, LLC, Denver, Colo.

Secretary: Pete RuaneARTBA, Washington, D.C.

ARTBA-TDF Board of Trustees Chairman: Leo Vecellio, Jr.Vecellio Group, Inc., West Palm Beach, Fla.

ARTBA-TDF Board of Trustees Vice Chairman: Paul YarossiHNTB, New York, N.Y.

Contractors Division President: Jeff ClydeW.W. Clyde & Co., Springville, Utah

Contractors Division First Vice President: Tim DuitTTK Construction, Edmond, Okla.

Research & Education Division President: Lily ElefterladouUniversity of Florida, Gainesville, Fla.

AEM Representative: Ron DeFeoTEREX Corporation, Westport, Conn.

Materials & Services Division President: Randy LakeOldcastle Materials, Inc., Atlanta, Ga.

Planning & Design Division President: Tim FaerberHNTB Corporation, Chicago, Ill.

Public-Private Partnerships Division President: Matt GirardPlenary Concessions, Denver, Co.

Traffic Safety Industry Division President: Sue ReissImpact Recovery Systems, San Antonio, Texas

Transportation Officials Division President: Paul GrunerMontgomery County Engineers’s Office, Dayton, Ohio

Council of State Executives: Mike PepperMississippi Road Builders Association, Jackson, Miss.

Immediate Past ARTBA Chairman: Doug BlackJohn Deere Landscapes, Alpharetta, Ga.

Past Chairman’s Council Chairman: Jim MadaraGannett Fleming, Allentown, Pa.

Young Executive Leadership Council Chairman: Ponch FrankRanger Construction Industries, West Palm Beach, Fla.

Joint Committee Representative: Matt CummingsAECOM, Philadelphia, Pa.

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In this issue of “Transportation Builder,” we introduce you to our new ARTBA Chairman, Nick Ivanoff, president & CEO of the New York-based engineering firm Ammann & Whitney. Beginning on page 14, we take a look at Nick’s personal journey, his accomplishments, and his agenda for the year ahead.

On page 23, my ARTBA colleague, Nick Goldstein, summarizes the association’s many 2014 initiatives on the industry’s behalf in the regulatory and litigation arenas.

Finally, on page 19, ARTBA Chief Economist Dr. Alison Premo Black provides a look at how the uncertainty over the future of the Highway Trust Fund might impact the transportation construction market in 2015.

We hope you enjoy reading this issue and please feel free to share your reactions at: [email protected].

Best wishes for safe and happy holiday season!

editor’s note

Jenny Ragone,

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from the chairman

Nick Ivanoff

President & CEO

Ammann & Whitney

2015 ARTBA Chairman

The Man [or Association] in the Arena New ARTBA Chairman Outlines Agenda

In a famous 1910 speech delivered in Paris, President Teddy Roosevelt

extolled the virtues of the “man who is actually in the arena, whose face is marred by dust and sweat and blood.”

In the same vein, and as it applies to a long-term fix for the Highway Trust Fund (HTF), I can tell you that ARTBA and its volunteer leaders will remain in the policy arena and are prepared to be marred with more dust and sweat and blood as we continue to take the fight to Congress.

To that end, in November and December, I authored a series of op-eds—eight as of this writing—that have appeared in the hometown newspapers of key Republicans and Democrats on the U.S. Senate Finance Committee, which will play a pivotal role in addressing the HTF’s challenges. The piece warned of the next financial crisis facing the HTF in May, explained the importance of the Trust Fund to their state’s highway and transit improvement program and local economy, and urged lawmakers to take swift action early next year to avoid disrupting the spring construction season. A permanent HTF solution is my top priority as your new ARTBA chairman.

MAP-21 Reauthorization Once an HTF funding solution is identified, ARTBA will pivot and lead the industry charge in advocating for a significant boost in highway, bridge and transit investment as part of the reauthorization of MAP-21.

To achieve these goals, however, will require an even bigger number of industry firms and state contractor chapters to support the “Transportation Makes America Work” (TMAW) lobbying and advocacy communications program. TMAW dollars will be wisely

invested to help ensure our industry’s messages are properly delivered to intended targets through a variety of mediums, and to bolster the program of work of coalition allies.

Beyond the Public Policy Goals Beyond the policy goals on Capitol Hill, I will devote energy to helping ARTBA grow by recruiting new members, with special emphasis on some of the emerging international firms that are doing business in the U.S. market.

Looking to the future, ARTBA also has Generation Y, or Millennials, in mind with the recent launch of a Young Executive Leadership Task Force. The group, which will convene in January, is charged with developing “specific recommendations for the consideration of the ARTBA Board of Directors on how to expand the association’s base of younger industry executives and better engage them in its activities, leadership structure and advocacy core mission.” It’s no coincidence their work comes as we commemorate the 20th Anniversary of the Young Executive Development Program (YEDP) in 2015.

Finally, in the safety arena, ARTBA will be developing a comprehensive new training program that has been requested by the industry. It will be rolled out early in the year.

It is an honor to be elected as ARTBA Chairman. Our collective goals are ambitious. I know you all will join me in the arena as we work together to achieve them.

Nov.-Dec. 2014 TransportationBuilder 7www.ammann-whitney.com

Proud ARTBA Sponsor

Building America’s Infrastructure

Since 1946

A genuine leader is not a searcher for

consensus but a molder of consensus.

...Martin Luther King, Jr.

Ammann & Whitney is proud to support ARTBA and its 2014-2015 Chairman, our CEO, Nick Ivanoff, in the pursuit of secure highway funding and a transportation system that truly meets America’s 21st Century needs.

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president’s desk

New Congress, Same Problem

The 114th Congress will convene on January 3. Republicans will now

control the Senate, 54-44-2, and continue to control the House, 246-188 (with one seat still undecided). There will be 13 new members of the Senate and at least 60 newbies in the House. As always when a new Congress takes office, there will be an atmosphere of excitement, expectation… and a lengthy list of possible “to do” items.

However, despite all this change in the air of the Nation’s Capital, there will also be at least two constants. First, Congress must still deal with the long-term funding limitations for the federal surface trans-portation programs. The Highway Trust Fund (HTF), having been rescued from insolvency several times by general fund infusions over the past six-plus years, will be unable to fund new federal-aid projects if Congress does not act by the end of May. Even if our lawmakers avert short-term disaster once again, the problem is not going away until they squarely address the chronic deficiencies in the Trust Fund’s revenue. That means either adjusting the gas tax for the first time in almost 22 years, or enacting an equally reliable revenue mechanism.

The second constant will be ARTBA’s determination to make this happen. Many will be talking about the Republicans’ takeover of the Senate and potential for more partisan squabbling between Congress and the White House. As always, ARTBA is prepared to advocate for the nation’s transportation construction industry as aggressively as possible, no matter who is running what branch of government, or how challenging the environment becomes.

This will be the eighth time in the past 20 years that party control has changed in one house of Congress or the other. During that same period, there have been Democrats in the White House for 12 of those years, and a Republican for eight. These constantly-shifting dynamics have

never mattered to ARTBA. Our core mission remains the same: advocating for the critical transportation investment the nation needs. We promote programs that are indispensable to the nation’s mobility and economic well-being. We are proud to represent a great industry. But if ARTBA were identified with one party or the other, we would have been largely ineffective for about half of the past two decades, and would approach every coming election with trepidation.

So our challenge in 2015 remains: get long-term federal transportation investment on that congressional “to do” list. Republicans may now control both chambers, and the demographics may be distinct from previous Congresses, but those 535 men and women will have something in common with their immediate predecessors: their decisions in coming months will shape your transportation construction market.

Federal investment provides 52 percent of states’ capital investment in highways and bridges. Some states are already announcing reduced lettings in the New Year because of the looming uncertainty after May. The stakes remain high for the industry and the nation.

That’s why you need to join ARTBA’s efforts to educate the new Congress—especially those new members—and communicate the sense of urgency that is justified. Besides your grassroots activism, your company or chapter can also support ARTBA’s “Transportation Makes America Work” (TMAW) program—our aggressive effort to promote the industry’s HTF and reauthorization priorities.

Change may be coming to Washington, D.C. (again), but ARTBA won’t let up un-til Congress solves the same old problem.


Demanding Respect in the Zone: Innovation and Collaboration Protects Workers and Drivers

Royal Truck’s (Coopersburg, PA) TMA with video-integrated Radar System. (A) Digital MPH display, (B) radar sensor, (C) “Speeding/Slow Down” display,

(D) Mini message banner. Photographer: Justin Haman.

It began in Dallas with Robert Roy, president of Royal Truck & Equipment, Inc. and Curtis Eckhoff, environmental health and safety manager at Texas APAC. Roy and Eckhoff were

chatting after a demonstration of Royal’s TMA (truck-mounted attenuator). Curtis recalls the comment that set the ball in motion: “So,” he says to Roy, “would you be willing to put a radar speed board on one of your trucks?”

Eckhoff, known for his motto turned mantra “Demand Respect in the Work Zone,” has been in the construction

industry 20 years, taking a keen interest in traffic control devices (TCDs) throughout his career. “Several years ago, in Florida, I created a portable radar speed board and mounted it to a trailer… We parked it on a dangerous part of I-75 during a paving project. I made a demo [video] of the effect of the device on traffic. You could see people slowing down.”

Eckhoff knew the idea was a good one, but then more stringent regulations concerning the “crashworthiness” of TCDs in work zones were implemented. “It was something that

A C

DB

Another in a series that focus on innovation.

by Rachel Varra


I didn’t have the means to address at the time.” But when he later “saw how Rob’s truck was constructed, having the arrow board at the end of the bed, for instance, where it was most visible to drivers,” he knew it was designed with attention to quality and meticulous detail. “I knew it was where the radar speed board belonged,” Eckhoff recollects.

The goal, according to Roy and Eckhoff, was to mount a speed tracking system to Royal’s TMA, which would both give a digital read-out to passing vehicles as well as work with a dig-ital video recording system to document driver speeds as they entered the work zone. The challenge was to make this system compact, energy-efficient and financially viable for clients.

“After that day in San Antonio, we were constantly on the lookout for the technology that could make the radar system possible,” says Roy. Finally, while at an American Traffic Safety Services Association (ATSSA) Convention in San Antonio, they found what they were looking for. Eight months later, they had a prototype.

Configuration The radar system consists of a lighted signboards: (A) the digital MPH display, where the (B) radar sensor is embedded; (C) a digital “Speeding/Slow Down” display; and (D) a mini messenger for multiple programmable messages. The whole configuration is currently mounted beneath the TMA arrow board.

The radar detects speeds of passing vehicles. A visual read out is displayed both on the MPH signboard and on the TMA’s in-cab monitor. And, because the radar system has been integrated with Royal’s blackbox video recording system, these speeds are logged both electronically and visually with real-time traffic footage.

The radar system itself is modular and customizable (a design trademark for which Royal has received recognition in the past). For instance, the mini messenger can be installed on any TMA independent of the rest of the radar system. The system is compact (43.5" x 6.5" x 2.5") so there is no loss of space on the truck bed. And, the mini messenger can be set-up wirelessly, and display up to 99 pre-programmed, customizable messages.

On the prototype, the radar sensor is activated when the truck turns on. (It is powered by the truck’s alternator). The system can be set so that any speed between 0 and 90MPH triggers the “Speeding/Slow down” message. The mini message banner also works when the truck’s motor is idling. The MPH and “Slow down” displays are integrated into the truck’s solar panel power system, which also powers the truck’s arrow board and lights.

Advantages “This is the biggest innovation to truck design in my company’s history,” Roy mentions. One of the things that Eckhoff and Roy are especially proud of is that the radar system has been integrated with Royal’s black box video/audio recording system. When paired with the black box system—

rolled out earlier in 2014—the unique advantages of the system emerge. Video images of passing vehicles are accompanied by their speed and recorded. “It is a great li-ability tool,” emphasizes Curtis. In the event of a crash, police and other officials have access not only to video footage of the crash, but also know just how fast a vehicle was traveling when impact occurred. The speed of the TMA itself, if moving, is also recorded by the black box system.

Roy and Eckhoff are not alone in their excitement; Dave Meirick, president of Roadsafe, the nation’s largest provider of TCDs and the first company to opt for this technology on all its new trucks, is equally enthused. “It’s going to change the way we work,” Meirick notes, intimating that this design protects everyone—workers, companies and highway drivers. Recording is not only a great liability tool for companies, but also affects behavior. “When people are being recorded, you can actually see their behavior change,” Eckhoff emphasized. Drivers put down cell phones, and workers are more alert to their surroundings.

In addition, having the radar system as a component on the TMA surpasses using a stand-alone radar system. There are, undoubtedly, financial considerations; stand alone radar systems are subject to damage from errant vehicles. Mounting the radar system to a TMA beats stand alone units since TMAs, designed to withstand impact, better safeguard the investment represented by the radar system. The combination of systems on an already mobile piece of equipment, the attenuator truck, represents additional cost savings over having a camera and/or radar on individual trailers.

But the advantages of Royal’s system transcend the bottom dollar. “Not only does a TMA-mounted radar system facilitate set-up of the work zone because there are fewer individual components to put on the road,” Eckhoff notes, “but it increases safety, because workers won’t have to put boot to asphalt to do so.” Eckhoff continues, “To protect both drivers and workers on the road, we must use all the tools at our disposal. Color, size, light: people pay attention to these things.” Putting a radar system on the TMA capitalizes on these safety considerations. “TMAs are unique. They are big vehicles that demand attention. People will notice.”

Testing Eckhoff was right, as Royal’s Marketing Associate, Justin Haman, confirmed just after testing the radar system. “Making a demo video [of the radar system during testing] was a challenge,” Haman mused. “We parked the TMA with the radar equipment on the side of the highway. We wanted to capture footage with the “Speeding/Slow Down” message activated, but we actually had trouble. The [passing] cars kept slowing down when they saw the TMA with the radar device.” In other words: the radar was doing its job.

Future directions Regulations for TMA use vary from state to state. In its current configuration, the radar system turns on when the


Royal Truck & Equipment’s Mobile Safety System won top honors in the

2014 ARTBA Foundation Roadway Work Zone Safety Awareness Awards,

which recognizes “outstanding programs, campaigns and technologies

aimed at helping reduce roadway work zone accidents, injuries and

fatalities.”

Rachel Varra, marketing representative: [email protected].

at Rob, and he’s gonna give it the highest respect. He’ll always consider the idea.” Meirick agrees, “Rob is so supportive. And that goes whether you buy one truck or 100. He’s gonna give you the same quality. His team has gone over and above in working with us and others to keep drivers and workers safe.”

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truck is running. This poses no problems in New Jersey and Texas, where the first TMAs with radar and black box recording are being shipped. But in California, state law prohibits a TMA to be idling while in use at a construction site. Luckily, Royal Truck has planned for that situation. “An easy adjustment to the system also allows the radar to run from alternate sources of power. Royal Truck will be releasing that in 2015,” Roy says. “This means that our TMAs will continue to meet the most stringent of configuration and operation requirements nationwide.” And getting these trucks into California could be important. It is one of the eight states that accounted for half of all construction industry deaths in 2012.

On Collaboration For Eckhoff, Roy and Meirick, collaboration is not just talk. These men take feedback from their colleagues, clients and employees seriously. “Designing and implementing this radar system has really been a joint effort,” Roy observes. “So many people’s ideas have influenced the outcome of our product, and made it better. Curtis [Eckhoff] and Dave [Meirick] have been with us every step of the way.” And Eckhoff, whose mind seems never to rest when it comes to safety, has emphatically declared: “No matter what idea I have, I know I can throw it


More than 3 million miles of roads and over 300,000 bridges in the United States are owned and maintained by local governments.

In 1982, the Federal Highway Administration established the Local Technical Assistance Program (LTAP). In 1991, the Tribal Technical Assistance Program (TTAP) was also created. LTAP and TTAP help local governments improve management of their transportation networks.

There are 58 LTAP/TTAP Centers: one in each state, one in Puerto Rico, and seven regional Centers that serve tribal governments. Most Centers are housed at colleg-es, universities and state departments of transportation.

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The FHWA LTAP/TTAP Clearinghouse, managed by the American Road & Transportation Builders Association- Transportation Development Foundation (ARTBA-TDF), provides program support for LTAP and TTAP Centers.

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by Beth McGinn

Nick Ivanoff always knew he wanted to be an engineer.

He came from a family that made a living using their intellect and creativity to build great things. His father was a self-taught mechanical designer, and as a young boy, Nick enjoyed watching him work.

His uncle was an aeronautical engineer trained at Brooklyn Polytechnic Institute, and Nick knew early on that was where he wanted to get his degree. “Becoming an engineer—it was almost preordained,” Ivanoff says. But what kind of engineer Nick would become had more to do with circumstance than family.

During the early 1970s, the aeronautical field, which had a large presence in the New York area, was com-ing on hard times. The industry he had planned to enter after graduation was experiencing significant downsizing and consolidation. Unsure which direction to take his career, Nick asked his school counselors for guidance. Mechanical and electrical engineering were suggested, but neither appealed to Nick. Then the counselor suggested civil engineering, and his interest was piqued.

“They told me it’s all about buildings, highways, bridges,” Nick recalls. “I said, ‘That sounds great. I’m in!’”

It was a decision that set-off a distinguished 35-year career.

Now a registered civil engineer in more than 20 states, Nick has worked on major highway, airport and transit projects across the country and the globe.

A Steady Hand in New ARTBA Chairman Nick Ivanoff


Brooklyn Boy Ivanoff is the first of two sons born to Russian immigrants who came to the United States in 1952. Raised in a modest, working-class family in Brooklyn, Nick only learned to speak English when he entered grade school. Growing up in New York, Nick’s parents made sure he stayed immersed in his heritage.

“I attended ‘Russian school’ as part of our local church for 10 years. I’m one of the few people who can actually say they read War & Peace in Russian, and that was fairly traumatic also,” Ivanoff says with a smile.

But life in the Big Apple also afforded lots of formative sights and experiences. “When I was a boy growing up, I witnessed the construction of the Verrazano-Narrows Bridge,” Nick explained. “It just so happens that Othmar Ammann was the designer of that bridge. So, it’s kind of full circle here, many years later, having the privilege of being in the company he founded.”

The boy from Brooklyn now heads operations for the venerable engineering firm Ammann & Whitney, which is headquartered in Manhattan. As President and CEO, Nick has technical, marketing, administrative and financial responsibility for company operations worldwide and serves as principal-in-charge for some of the firm’s larger, more complex

projects, including past efforts for the Central Artery in Boston and Dulles International Airport outside Washington, D.C.

A Passion for Sailing One of Nick’s greatest passions is sailing, a fascination that began in early childhood. During weekend trips to visit relatives, the Ivanoff family passed by Long Island Sound. Nick would stare out the window admiring the hundreds of sailboats in the bay.

“Coming from a modest background, it was almost like an unreachable dream to be into ‘yachting,’” Nick said jokingly. “It was always a fascination, but the first time I had the opportunity to try sailing was not until I was a college student. I rented a catamaran. I had never been on a sailboat before, and I had no idea how a sailboat even worked. But after the rental period was over, I was able to get back to land without having to be rescued, and I’ve been hooked ever since.”

Today, Nick, and his wife, Robin, own a 42-foot sailing boat named “Silver Lining.” When they aren’t working, or cooking for friends and family at home in New Jersey, the couple can be found cruising the coastal waters of New England.

When asked if there are any parallels between sailing and his new role as the leader for ARTBA, Nick explained the key to success in the year ahead will be a combination of patience and persistence.

Stormy Seas

Nick Ivanoff’s parents, Walter and Victoria. Nick Ivanoff with his wife Robin.


Nick has been a long-time volunteer leader in ARTBA, serving in these posts:

Senior Vice Chairman

First Vice Chairman

Northeastern Region Vice Chairman

International Affairs Advisory Council Chairman

Trans 2020 Task Force Co-Chair

Planning & Design Division President

ARTBA Transportation Development Foundation Trustee

2014 ARTBA Chairman Doug Black (left) handing off the gavel to the new ARTBA Chairman Nick Ivanoff.

“Like sailing, in business or in politics, you have to be patient because the wind isn’t always blowing, and when it is, it’s not always blowing in the right direction. So, sometimes you have to tack until you find a better wind to get to your ultimate destination. There are always going to be obstacles, but the key is to find the alternate path and persevere.”

The Agenda ARTBA will rely on Nick’s steady and strategic leadership in the months ahead as he seeks to implement his agenda as ARTBA chairman. The federal Highway Trust Fund (HTF), which makes up about half of all highway and bridge capital investments by the states, has suffered five revenue shortfalls in the last seven years. The next cash crisis will occur in May 2015, just at the beginning of the busy construction season. The continued uncertainty over federal funds is hindering the ability of some states to plan their projects.

Nick plans for ARTBA to continue leading the industry charge for a permanent solution to boost the revenue stream flowing into the HTF. In a series of post-election opinion pieces that were published in newspapers across the country this November, Ivanoff called on key Republicans and Democrats

on the Senate Finance Committee to work together to find a sustainable financing solution, calling it “one of the greatest opportunities for bipartisan cooperation.”

Once the HTF’s solvency is addressed, Nick says ARTBA will continue to lead the industry charge in advocating for a significant boost in federal transportation investment as part of the reauthorization of MAP-21—the 2012 highway, and transit law.

ARTBA’s “Transportation Makes America Work” grassroots lobbying and advocacy communications program will continue to be the vehicle to advance the association’s HTF and MAP-21 reauthorization agenda. Ivanoff believes that it is critical for industry firms and organizations to continue providing the “financial muscle” necessary so that ARTBA has the resources to fight the fight on Capitol Hill, and back in the states when appropriate.

Nick also plans to leverage the upcoming 20th Anniversary of the Foundation’s Young Executive Development Program to initiate an effort that aims to engage Generation Y in helping build their careers, and their companies’ market share, in transportation. He’s already announced the creation


Beth McGinn is ARTBA director of public affairs and social media: [email protected].

Ivanoff testified July 14 before the House Transportation & Infrastructure Committee’s Subcommittee on Water Resources and Environment.

of the “Young Executive Leadership Task Force,” which is slated to hold its first meeting in January.

“Bringing new, young leaders into ARTBA is essential because they will think outside the box,” Ivanoff says. “They are the ones who will say, ‘Why not? Why can’t we do it this way?’”

To make ARTBA even more effective, Nick says he is also committed to growing its membership. Membership development is key to the association’s future growth, and Ivanoff, as a past chairman of the ARTBA International Affairs Advisory Council, says his focus will be not just on companies at home, but also on international firms doing business in the U.S.

And finally, Nick plans to engage fellow association leaders in the safety arena by expanding ARTBA initiatives in risk management and preventing falls during construction, inspection and maintenance.

Brighter Days Ahead The name of Nick’s boat says a lot about his dynamic and optimistic personal leadership style. When asked how he and Robin chose the name, he said, “It’s similar to a light at the end of the tunnel. Sometimes when there are clouds in the sky you will see a silver lining on them, so you know there is a sun behind them somewhere.”

The transportation design and construction industry has certainly seen its share of storm clouds over the last several years, but Ivanoff is now at the helm, ready to steer the industry to a brighter future.


THE ANSWER.

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Modest Growth Expected for 2015 Transportation Construction Marketby Dr. Alison Premo Black

The U.S. transportation construction market is expected to grow 3.1 percent from $185.9 billion in 2014 to $191.7

billion in 2015, according to the ARTBA forecast model. This is slightly above anticipated growth in the overall U.S. economy—U.S. Gross Domestic Product is expected to grow between 2.6 and three percent, according to the U.S. Federal Reserve.

The forecast for the largest segment of this market— highway, street and related work—is tempered by uncertainty over long-term federal funding, which represents 52 percent of state department of transportation (DOT) capital outlays, and still recovering state and local budgets.

Outside of construction, state and local governments are expected to spend an additional $38.5 billion for maintenance work; $13.2 billion for in-house and consultant planning and design services; and $7 billion for right-of-way purchases as part of their highway and bridge programs.

Some forecast highlights include:

Highways, Private Driveways & Parking Lot Construction The highway, private driveways and parking lot construction market will increase 2.1 percent to $64.9 billion. This includes

Real Value of Highway, Street & Related Construction

Billions of 2014 $

2009 2010 2011 2012 2013 2014 (e) 2015 (f) 2016 (f) 2017 (f) 2018 (f) 2019 (f)

$67.3

$62.8

$55.2$53.4

$51.6 $51.8 $52.4 $52.9 $52.9 $53.1$52.6


$52.4 billion in public and private investment in highways, roads and streets, and $12.5 billion in largely private investments in parking lots, driveways and related structures.

Contractors will have an additional $30 to $40 billion in business opportunities from private highway and bridge work that is completed as part of housing developments and larger commercial structures, separate from parking lots and driveways.

Bridges & Tunnels The bridge and tunnel construction market is expected to remain strong, increasing from $30.8 billion in 2014 to $31.3 billion in 2015. Bridge construction has grown from 19.6 percent of all highway and bridge work in 2000 to 37.3 percent in 2014. The share of bridge work is forecasted to continue to grow in the next five years.

Railroads, Light Rail & Subways ARTBA is forecasting that light rail, subway and railroad construction will increase from $18.3 billion in 2014 to $20.9 billion in 2015, driven largely by private investment in Class 1 freight tracks and structures.

Airport Runways & Terminals The total value of airport runway and terminal construction will grow from $12.5 billion in 2014 to $13.1 billion in 2015, according to the forecast model. There is significant demand for airport infrastructure investment at major U.S. airports to accommodate growth in the air freight shipments and passenger enplanements.

ABOUT THE MODEL:ARTBA’s proprietary econometric model takes into account a number of economic variables at the federal, state and local level. The forecast measures the public and private value of construction put in place, published by the U.S. Census Bureau. The ARTBA estimate for the private driveway and parking lot construction market are separate.

The 2014 U.S. Transportation Construction Market Forecast 1

MARKET FORECAST 2015National Summary | 50-State Forecast | 5-Year Modal Forecast

U.S. TRANSPORTATION CONSTRUCTION

U.S. TRANSPORTATION CONSTRUCTION

Dr. Alison Premo Black is ARTBA’s chief economist: [email protected].

The comprehensive 2015 ARTBA Transportation Construction Market Forecast can be purchased for $100 at www.artba.org/shop.

Real Value of Bridge & Tunnel ConstructionBillions of 2014 $

2009 2010 2011 2012 2013 2014 (e) 2015 (f) 2016 (f) 2017 (f) 2018 (f) 2019 (f)

$25.5

$27.7 $27.8$29.3

$30.9 $30.8 $31.3 $32.1

$34.4$35.2

$33.5

Ports & Waterways The ports and waterway construction market will increase slightly to $2.8 billion in 2015, up from $2.7 billion in 2014, largely driven by expanded sea trade expected with completion of the Panama Canal improvement project in 2016.


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With 35 filings to federal agencies on proposed regulations, helping

shape the outcome of a new Disadvan-taged Business Enterprise (DBE) rule, filing a legal brief in an Illinois DBE case, and achieving a long-time industry objective on stormwater runoff, ARTBA’s legal and regulatory advocacy program was busy on many fronts during 2014.

In response to an onslaught of regulatory proposals, ARTBA prepared and submitted comments to the U.S. Department of Transportation (DOT), Environmental Protection Agency (EPA) and the Occupational Safety and Health Administration (OSHA) on issues such as silica, workplace injury and illness reporting, “Waters of the U.S.,” P3s, and fuel economy standards.

The association also focused on helping ensure that implementation of the 2012 “Moving Ahead for Progress in the 21st Century” (MAP-21) law continued in the manner consistent with the bipartisan desire in Congress to reduce delay and get transportation projects built faster.

Stormwater Victory ARTBA achieved a long sought after industry goal in March when the U.S. EPA issued new stormwater runoff regulations that did not include controversial “one size fits all” requirements. Originally, EPA had wanted to include a single, uniform standard for runoff on all

construction sites, meaning that a project in an extremely wet area would be treat-ed the same as one in an extremely dry area. In a variety of forums in the past five years, ARTBA consistently explained to EPA and other decision makers that, on certain projects. the proposed EPA standards could add up to $1 million in additional costs.

Another major focus of ARTBA’s efforts was its opposition to a March 25 EPA and Army Corps of Engineers (Corps) proposed rule defining “waters of the United States.” The rule would greatly expand EPA federal jurisdiction under the Clean Water Act (CWA). Spe-cifically, both EPA and the Corps could potentially exercise jurisdiction over roadside ditches, which could make permitting burdens and opportunities for frivolous litigation against transpor-tation projects dramatically increase. In the past, Congress on a bipartisan basis has rejected legislation expanding EPA’s jurisdiction under the CWA. EPA is now trying to do what Congress would not.

Since 2005, ARTBA has vigorously opposed the expansion of federal CWA jurisdiction. ARTBA is a Steering Committee member of the Waters Advocacy Coalition—a collection of more than 35 industry associations that closely follow issues concerning federal CWA jurisdiction. The association submitted extensive comments on the EPA/Corps proposal and is seeking legislative options to prevent the unnecessary delay and

ARTBA Regulatory & Legal Advocacy Protects Industry’s Flankby Nick Goldstein

litigation the proposed rule could bring to transportation improvement projects.

DBE Rule & Litigation ARTBA took the leading industry role in the 25-month federal rulemaking relating to the Disadvantaged Business Enterprise (DBE) program.

Upon releasing the final rule revisions late in the year, the U.S. DOT repeat-edly referenced comments submitted by ARTBA and its chapters, and specifically cited a nationwide survey coordinated by ARTBA in which nearly all contractors expected that proposed rule changes would add costs to projects, while nearly half planned to bid on fewer federal-aid projects. The rule changes were wide-ranging, but in some cases not as severe as originally drafted, largely because of strong opposition from ARTBA and its allies. The association also educated members about the final changes, hosting a series of webinars with FHWA officials and construction lawyers.

On another DBE-related front, ARTBA filed a June 20 amicus brief in a federal lawsuit (Dunnet Bay Construction Company v. Gary Hanning) over questionable and politically-influenced administration of the DBE program in Illinois. ARTBA stressed that if allowed to stand, a lower court’s holding would effectively eliminate the ability of contractors to challenge misapplication of the DBE program as well as cause otherwise proper bids on transportation construction projects to be rejected. Oral arguments in the case were held December 12 and a decision is expected next year.

In 2014, and in 2015 for that matter, ARTBA will remain active on the regulatory and legal advocacy front lines with the goal of always working to protect the industry’s flank.

Nick Goldstein is ARTBA vice president for environmental & regulatory affairs: [email protected].


“This material was produced under the grant SH-26339-14-60-F-11 from the Occupational Safety and Health

Department of Labor nor does mention of trade names, commercial products, or organizations imply endorsement

This training program, available in both two-hour and four-hour formats, is designed to keep roadway construction workers safe from being struck by construction trucks and equipment.

Occupational Safety and Health Administration (OSHA).

The program is FREE to all participants. A course

AND BACKOVERSFor information on attending or

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AEM corner

AEM Supports Coalition Call to Revise Crane Rule

All the way back in 2003, The Occupational Safety & Health Aministration (OSHA) appointed the Cranes and Derricks Advisory Committee (C-DAC) to develop a consensus document that eventually formed the basis of the proposed rule. In 2010, the agency published the final rule, which went into effect on November 10, 2014 following a four-year phase-in period.

The final rule and OSHA’s interpretation of one of its key provisions developed two confounding requirements that, if in effect, would not only jeopardize the safety of construction site employees and the general public, but also heap unnecessary financial burdens on a broad swath of the construction indus-try—both of which are contrary to the C-DAC’s original intent.

First is the so-called “deemed qualified” provision of the final rule. As currently written, the final rule provides that a “certified” crane operator is automatically “deemed qualified” to operate the model of crane to which the operator is assigned. This provision would eliminate the employer’s duty to train and qualify operators, a duty that has existed since the passage of the OSH Act in 1970.

The newly formed Coalition for Crane Operator Safety (CCOS), which AEM actively supports, notes that while third-party certification is essential to the advancement of crane safety, it is insufficient on its own to achieve much-needed improvements in this area. In fact, CCOS says, certifying organizations do not represent their certifications as “qualifying” operators to operate specific cranes in all configurations and working conditions.

As a result, the coalition is urging OSHA to rescind the “deemed qualified” language in the final rule and to reinstate the employer duty to train and qualify operators. Coalition members, comprising equipment manufacturers, construction management, labor, insurance underwriters, and accredited certification organizations, all believe follow-up qualification is indispensable because even a high-quality, hands-on exam cannot test on all crane operator functions.

Second is OSHA’s interpretation of the “capacity and type” provision of the final rule. Following issuance of the final rule on August 9, 2010, OSHA issued guidance finding that crane operator certification for a type of crane does not qualify the operator to operate all capacities of crane within that type. For example, OSHA’s interpretation of the rule allows a crane operator certified for a 100-ton hydraulic crane to operate a 50-ton hydraulic crane, but not a 200-ton hydraulic crane of the same type.

However, industry experts agree that there are not enough differences between operation of a 50-ton and a 200-ton crane of the same type to justify more than one certification. At the same time, maintaining the operator certification requirements based on capacity would cost many millions of dollars for both employers and employees, while yielding no discernible improvement in safety. And finally, if OSHA does not rescind its interpretation of “capacity and type,” the certifications already achieved by about 100,000 crane operators could be

AEM provides trade and business development services for companies that manufacture equip-ment, products and services used world-wide in the agricultural, construction, forestry, mining and utility sectors. AEM is headquartered in Milwaukee, Wis., with offices in Washington, D.C., Ottawa, and Beijing.

nullified.

At a May 19, 2014, hearing, construction industry stakeholders expressed their reluctant support for OSHA’s proposed extension of the en-forcement date for operator certification only to afford OSHA the opportunity to correct problems created by its failure to put into effect the intent of the C-DAC.

On September 26, OSHA issued a final rule extending the deadline for crane operator certification requirements by three years to November 10, 2017. The agency also extended by three years an employer’s responsibility to ensure that crane operators are competent to operate a crane safely.

Since all but one of the 42 sections in the 2010 Standard have been agreed upon and enacted, the industry is now waiting on OSHA to correct the two ineffectual provisions and present clear and effective certification requirements.

Regrettably, because of the three-year extension of enforcement, there could be a 13-year delay between issuance of the C-DAC’s consensus document and enforcement of the certification requirements. In the meantime, some employers and individual crane operators have taken a “wait and see” approach to avoid the cost of certifications (or re-certifications) that may be invalidated.

AEM will continue to support CCOS and its call to OSHA to quickly resolve these issues well ahead of the new 2017 deadline. Public safety and the safety of jobsite workers is far too important to wait another three years.


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Nov/Dec TB 2014

Engineering

Transcript of Nov/Dec TB 2014