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DOT presentation Presentation Transcript

  • 1. Presentation toNCs Southeast TAG Annual Meeting Roberto Canales, PESecretary’s Coordinator of Strategic Initiatives February 9, 2012
  • 2. Overview of State Logistics Initiatives • Logistics Coordinating Council (LCC) • Reorganization/Transfer efforts • Governor’s Logistics Task Force (GLTF) • Seven Portals Study • North Carolina Maritime Strategy
  • 3. Top Location Selection Factors 1) Transportation InfrastructureSite Selection MagazineSurvey of Corporate Executives 2) Existing work force skills 3) State & local tax scheme 4) Utility infrastructure 5) Land/building prices & supply 6) Ease of permitting and regulatory procedures 7) Flexibility of incentives programs 8) Access to higher education resources 9) Availability of incentives 10) State economic development strategy
  • 4. House Bill 1005Session Law 2007-551Instructed the North Carolina OfficeOf State Budget and Management toDevelop a statewide logistics planthat addresses the State’s long-termeconomic, mobility, andInfrastructure needs.Final product a high level proposal tostart the creation of a true ―logistics‖based culture.www.ncdot.gov
  • 5. Governor’s Logistics Task Force• Established by Executive Order 32 (Dec 2009)• Task Force work was extended via Executive Order 111—current sunset is March 31, 2012• Task Force has completed its regional outreach efforts and are working to develop its final recommendations• DRAFT Seven Portals Study has been completed
  • 6. The mission of the task force isto strategically create jobs andrecruit industry by developing anefficient and cost effective visionplan for the seamless movementof people, goods and informationthroughout the state of NorthCarolina.
  • 7. Take action to support the mission:  Public and Stakeholder Involvement  Focus on ―statewide‖ Economic Vitality  Identify the regional programs and infrastructure supporting industries vital to the States long term economic viability  Assess the existing resources and project future needs of the state’s multi-modal transportation systems  Investigate reductions or transfer of functions from existing governance structures to aid efficiency and avoid duplication  Recommend short, medium and long range plans which will integrate operation seamlessly and manage state funds more strategically
  • 8. • August 2010 Report to Governor• January 2011 Report to the General Assembly• February 2011 Report to the Governor• November 2011 Report to the Governor—Request for an extension of the Task Force until March 31, 2012• **March 2012 Report to the Governor—Task Force Final Recommendationshttp://www.ncdot.gov/business/committees/statewidelogistics/
  • 9. OpportunitiesNorth Carolina 7 Portals StudyIdea: Assess possible locations for transport-driven logistics portals statewide Base them on the seven economic regions Examine modal connections, land availability, economic growth impact potential, feasibility, benefits, up-fit costs, governance, partnerships Do not reinvent the wheelThemes: From our back yard to your doorstep, worldwide Easy and affordable access to transportationResult: Feasibility assessment (economics, land use, modal connections, Supporting commercial, educational and cultural activities)Intended impact: New knowledge economy-based enterprises (jobs) Enhanced logistics connectivity Improved, integrated, statewide transportation support
  • 10. 7 Economic Regions of NC ITRE
  • 11. What drives each region’s economy?  Agriculture  Tourism  MilitaryWhere are the customers?  International  National  RegionalIs the region prepared / cost to prepare?  Rail  Highways  Air  Maritime  Utilities (Power / IT / Water-Sewer)Who will govern / fund it?  Private  Public  Public / Public  Private / Public
  • 12. Site Assessment MetricsGeographic Reach: International, National, Regional, LocalEconomic Sector: Agriculture, Tourism, Health & Wellness, Aerospace, Manufacturing, OtherPreparedness: Highway, Rail, Air, Maritime Support, Power, IT, Water/Sewer, Community College/University Support, Environmental, Tax Incentives, Grants, Other Funding, Inter- Institutional Organization, Labor Pool, OtherUp-fit Cost: Highway, Rail, Air, MaritimeGovernance Private / Public Public / Public
  • 13. Task Force Next StepsPrior to its completion on March 31st, 2012, the Task Force will completethe following tasks in an effort to produce comprehensiverecommendations: • Review of the final recommendations of the Seven Portals Study • Review of the recommendations of the Maritime Strategy Study • Review the findings and recommendations of the Military Growth Task Force’s Defense Logistics Initiative study • Review of information presented through its statewide outreach efforts
  • 14. North Carolina Maritime Strategy Study• Common theme across state was the need for a port presence in North Carolina• Need for a third-party assessment• Task Force recommended that NCDOT execute a contract• AECOM, URS, and Eydohttp://www.ncmaritimestudy.com/
  • 15. “How can NC prepare itself to become a portal to theglobal economy?” Economic Viability & Benefit Other State’s Port Status Shippers Industry Targets / Niche Markets Potential Site/s Water Side / Land Side Cost State & Local Impacts Public Outreach & Input http://www.ncmaritimestudy.com/
  • 16. Today, US imports are driven by China trade China’s entry into WTO was a game-changer… …creating the need for a new, high-capacity, point-to-point pipeline for goods between Asia and North America TranspacificTranspacific Source: US Census Bureau, Department of Commerce Map: BBC
  • 17. Panama Canal Expansion – a New Paradigm?
  • 18. Atlantic Coast Perspective Access to dense population centers Water depth is big issue Increased berth size Container capacity Promote & enhance existing assets …. What are North Carolina’s challenges and opportunities?
  • 19. Maritime Study Scope• Conduct an open evaluation of North Carolina’s position, opportunities and challenges as a portal for global maritime commerce;• Examine the role of North Carolina ports in sustaining and strengthening the State’s economy;• Obtain input from freight transportation, economic development, and community interests, and• Identify specific strategies to optimize benefits received from the State’s investments in port and associated transportation infrastructure. 19
  • 20. Study Outcomes Decision tool and process for evaluating port and related multi- modal investments Basis for long- and short-term investment strategy for more efficient, effective and safe movement of waterborne cargo in and out of the state Identification of priority projects Support for long-range planning Address institutional issues to approach maritime transportation issues in a more seamless manner 20
  • 21. Summary Schedule and Milestones North Carolina Economic Evaluation / Context & Trade Decision Flows MatrixProject Kick-OffMay 2011 Recommendations December 2011 Final Report Statewide February 2012 Infrastructure Needs
  • 22. Military Reset Study/Defense Logistics Initiative• Study regarding the maintenance, repair, and reset of military equipment (ground force specific)• Developed by the NC Eastern Region Military Growth Task Force• Study is working in partnership with the Governor’s office• DOT has supported the initiative
  • 23. Why North Carolina?Traditional Depot-Level MaintenanceFlow Longer distance equals  Greater energy consumption  Larger carbon footprint  Extended time Military Base Military Depot Port of Entry
  • 24. Why North Carolina? Vision Proximity equals Study Area  Lower energy consumption  Reduced carbon footprint  Less transport time
  • 25. Existing CapacityPorts TodayWilmington  42’ navigational channel  Modern transit and warehouse facilities, FTZ #66  CSX rail access  Ro-Ro capability  Committed military capacityMorehead City  45’ navigational channel  Access to I-95 and I-40 via US 70 & US 17  Norfolk Southern rail service  Ro-Ro capability  Committed military capacity
  • 26. Existing CapacityRail Today CSX and Norfolk Southern (Class I railroads) serve NC sea ports 3,250 miles of freight rail lines throughout NC 23 active freight railroad companies operating in NC Proven ability to work with communities to develop rail sidings associated with industrial sites
  • 27. Existing Capacity Study AreaAirports: Global TransPark 11,500’ x 150’ grooved runway (supports the largest air-freight planes) Intermodal industrial park, FTZ #214 Rail spur connection to NCRR (Spring 2012) Entitled (property-tax exempt) development sites Environmentally permitted for 5,775 acres US TRANSCOM – certified APOE Rail Spur
  • 28. Existing Capacity Study AreaWorkforce North Carolina is a right-to-work state Experienced military personnel prepared to enter the private sector workforce Organizations like PipelineNC.com, ihiremilitary.com and MatchForce.org mobilized to assist the emerging workforce NC Community college system actively partnering with military installations to prepare the emerging workforce
  • 29. State Transportation Logistics Coordinating Council• Created by Executive Order 85: [Signed March 25, 2011]• Membership: • Secretary of Transportation (Chair) • Executive Director of the North Carolina Global TransPark • Chief Executive Director of the North Carolina State Ports Authority • President– North Carolina Railroad Company • Other persons as determined necessary by the Secretary
  • 30. State Transportation Logistics Coordinating Council• The Council is tasked with: • Identifying areas for cooperation among the State’s transportation logistics entities, including improving the State’s transportation services • Coordinating on projects to create or expand companies in North Carolina or to attract companies to the State • Sharing of personnel and resources to the maximum extent practicable.• To date, the Council has met once and staff is developing information for the group’s consideration related to numerous projects and directives communicated by the group
  • 31. Creation of a Freight Logistics AuthorityPurpose: Guide, oversee, and synchronize investments in transportation infrastructureMethod: Take actions and advise the Governor about investments that will improve the state’s prosperity and quality of life.
  • 32. Logistics Agency Consolidation• The General Assembly, Logistics Task Force and the Governor all recommended consolidation of the state’s logistics assets• The General Assembly in 2011, realigned both the North Carolina State Ports Authority and the North Carolina Global TransPark under the authority of DOT • NCSPA: Session Law 2011-145 (Section 14.6 (a) thru (k) • NCGTP: Session Law 2011-340• Statewide Logistics Coordinator
  • 33. NC Ports Realignment• Under the Type 2 transfer, Authority required to use state human resources and fiscal/budgeting systems[Session Law 2011-145 Section 14.6(a)] • The North Carolina State Ports Authority shall use the States budgeting, accounting, and human resources systems and shall comply with laws and policies related to submitting budget requests to the Office of State Budget and Management.• Realignment of the Authority within DOT and under the direct supervision of the Secretary of DOT [Session Law 2011-145 Section 14.6(h)] • The North Carolina State Ports Authority is hereby created within the Department of Transportation and shall be subject to and under the direct supervision of the Secretary of Transportation. It shall be governed by a board composed of nine members and hereby designated as the Authority. Effective July 1, 1983, it shall be governed by a board composed of 11 members and hereby designated as the Authority.
  • 34. NC Ports Transition Process3 Prong Process: NCDOT/NCSPA Workteams, Board Interaction, Strategic Planning • Board Interaction • 8 member subcommittee: 4 BOT members , 4 NCSPA members[future plans to incorporate GTP board as well] • Jan 10th: Initial Meeting • Workteams • 27 in total– Made up of both NCDOT and NCSPA staff (roughly 60 people) representing all areas of both organizations • Groups are working to find areas of efficiency and developing relationships with their respective counterparts • Strategic Planning • Development of an integrated and comprehensive strategic business plan with measurable deliverables • 5/10 Year Workplan • NCDOT 2040 Strategic Plan
  • 35. “If you don’t knowwhere you aregoing, you mightend up some placeelse.”-Yogi Berra