3. Issues facing the State and the Industry
Slow Job Growth - 25% unemployment rate in construction industry
Lack of new and sustained infrastructure
Traffic congestion (Delaware beaches, Newark, Milford, Wilmington, etc.)
Delayed (shelved) safety infrastructure projects (over 50 projects)
Poor Pedestrian and Bicycle safety record
Highest ranking traffic congestion rates in country
Powerful corporations investing and moving to other states with more
modern and durable infrastructures and economies
Conclusion
Lack of adequate transportation infrastructure hurts economic development
opportunity over a broad spectrum of industries.
4. How Bad is Delaware's Labor Market?
Across a variety of measures, Delaware's labor market is hurting.
First, the state's official unemployment rate is 7.2%, double the historic average
of 3.5%. This means 32,000 persons have actively looked for a job in the past
four weeks without success. Five years ago this group totaled 15,000
Delawareans.
The U.S. Bureau of Labor Statistics (BLS) recently collected more detailed data
on "discouraged workers." Discouraged workers are people who are not in the
labor force but want to, and are available for, work, and had looked for a job
sometime in the prior 12 months. They have not searched for work in the prior 4
weeks, specifically because they believed no jobs were available for them. There
are an estimated 4,000 discouraged workers in Delaware at this time.
In addition, the BLS measures the extent of "marginally attached" workers. The
criteria for the marginally attached are the same as for discouraged workers,
with the exception that any reason could have been cited for the lack of job
search in the prior 4 weeks. Currently the population of marginally attached
workers in Delaware is estimated to be 27,000.
So, totaled together, the unemployed, the discourage workers, and the
marginally attached workers make up 14% of Delaware's labor force.
CAESAR RODNEY INSTITUTE JUNE 2013
7. Public Safety and our Infrastructure
• Ambulances and other life-saving vehicles
will have to detour around closed bridges
and roadways, leading to lost and
potentially life-saving minutes.
• Locations seeing high numbers of crashes
that could benefit from improvements such
as cable median guide rail, rumble strips
and intersection upgrades will take longer to
be addressed.
• The transit services that many
people, especially those with disabilities or
seniors, rely on may be reduced or
eliminated completely as transit systems
make painful cuts to services. (Paratransit)
• The more than 150,000 children traveling
to school every day on school buses will
travel increasingly longer routes on poorer
roadway conditions.
8. DID YOU KNOW?
In 2005, over 65,000 people
crossed the C&D Canal. In
2030, that number is expected to
almost double to 110,000.
(DelDOT, March 2009)
9. Roadways and our Infrastructure
• Travel conditions will worsen as the number
of roadway miles in poor condition will
continue to increase.
• Motorists will see increased costs to repair
their vehicles as wear and tear from poor
roadway conditions worsens.
• Motorists will also see increased costs from
sitting in congestion, wasting up to a gallon of
gas per week sitting in traffic or detouring
around a closed bridge.
• Tourism for the State could potentially take a
hit if congestion is not addressed.
10. FAST FACTS
• In 2010, traffic congestion resulted in an annual total
of 42 hours of delay per commuter, which is 75% more
than the national average.
• Delaware motorists spend $168 million annually
($257 per motorist) in extra vehicle repairs and
operating costs due to the inadequate quality of the
infrastructure).
11. Delaware's Economy and our Infrastructure
• Commerce will suffer as increased truck traffic, commuter traffic
and the inability to increase highway capacity will make goods
movement slower.
• Costs of goods will increase and industries, like agriculture, will
see increased cuts into their bottom lines as they have to take
longer trips around closed or posted bridges.
• Delaware will lose out on job creating commerce centers because
of the lack of funding to increase highway access or bring all
roadways into good condition.
• Prices for the goods and services we use every day will go up
because of increased costs with system deterioration and longer
transit times to the marketplace.
• Decreased project work will lead to the loss of jobs, however if
investment is brought up to our needs we have the potential to
gain more than 3,000 jobs.
13. Our Coalition
By establishing a broad spectrum of support from across
multiple industries, we have a collective voice when engaging
and bringing stakeholders into our corner.
• American Council of
Engineering Companies
• ABC
• Laborers
• DCA
• DSCC
• DEED
• New Castle County Chamber
of Commerce
• Committee of 100
• Delaware Realtors
14. Coalition's Key Points
• Economic Development - Jobs, Jobs, Jobs
(retention
and creation)
• Safer Roads (Less Accidents, Loss of Life)
• A failing infrastructure system leads to: higher
maintenance costs, higher fuel costs related to
congestion, aggressive driving, motor vehicle
violations, longer commute, pollution,
15. The State Needs a Champion
The coalition needs to be aggressive when
identifying, growing, maintaining and retaining
our legislative and executive support.
Infrastructure investment must remain relevant
and our champions must stay engaged and
informed via support from the coalition.
16. Things to consider...
• Gov. Markell's final term of office, first term focused
on education and social issues. Second term needs be
substantive.
• The State needs to right the ship following the Fisker
debacle and redirect it's focus on to real economic
growth that is tied to infrastructure improvements.
• "If you build a modern and functional transportation
infrastructure, businesses will come". (Virginia)
17. DID YOU KNOW?
Every $1 invested in highway
construction generates up to $8
in real economic output.
18. On the Local Level:
How bad infrastructure is bad policy
•Roads in districts are falling apart.
•State maintained roads are inadequate.
•Consider how many calls/emails per week you get from
constituents complaining about roads in disrepair.
•Lack of infrastructure equals a lack of jobs - companies
that yield jobs will not open for business because
roadways are in constant disrepair or are congested
(avoiding road).
19. Message
Now, more than ever, the State needs to partner
with the engineering and trade industries to deliver
the needed improvements that will modernize our
infrastructure and fortify Delaware as an economic
haven for prospective corporations to create jobs
and existing businesses to flourish.
SHORT: "Building More Jobs and a Better
Delaware Through Infrastructure Investment"
20. - Proposal to the Legislature $200 Million Transportation Infrastructure Package
that is wholistic, sustainable and long term.
• Passage of HB 195 - Rep. Dennis E. Williams
• Implement package of TTFTF recommendations from 2011
• Community Transportation Fund Review
• Raise Gas Tax - has not been raised in 23 years and our surrounding states have
passed gas tax proposals just this past year.
• Reform commercial vehicle discount on Delaware highways ($12m + for
infrastructure)
• Escheat funding reform (2009 Bond Bill)
• Mileage based fee revenue enhancer
•
Moving Operating Costs (DelDOT), out of TTF and into DelDOT operating budget
where they belong.
21. FACT
An additional $100 million
dollars of investment, just in
the Transportation Trust
Fund, would support 3,000
jobs.
22. CASE IN POINT
HOW THE STATE ROUTE 26 INFRASTRUCTURE PROJECT
WILL PAVE THE WAY FOR A BETTER ECONOMY
23. State Route 26 (Oceanview)
*example of how a project helps boost a community*
• alleviated congestion
• improved safety
• boom to local economy
• longterm infrastructure improvement
• created hundreds of jobs
25. • Many organizations in the State, including Delawareans for Environmental
& Economic Development (DEED), Committee of 100, Delaware
Contractors Association (DCA) and the Delaware Building and
Construction Trades Council, share a growing concern regarding the
weakness of the economic recovery in Delaware.
• Delaware's economic recovery is lagging the rest of the region due in no
small part to the decimation of the construction and manufacturing
sector(s) over the past several years. This is evident in both the public and
private sector.
• Related professions such as architecture and engineering and construction
related suppliers and manufacturers have all been severely hurt by the
depth of the recession and Delaware’s slow recovery.
•
Recent Delaware Economic and Financial Advisory Council (DEFAC)
forecasts for FY13, FY14 and particularly for FY15 only underscore the lack
of an economic recovery in Delaware.
•
However there continues to be a strong demand for projects throughout
the State for transportation, as well as all other areas of infrastructure,
public buildings and education, both K-12 & Higher Education.