[Senate Hearing 113-517]
[From the U.S. Government Publishing Office]
S. Hrg. 113-517
BUILDING ECONOMICALLY RESILIENT COMMU-
NITIES: LOCAL AND REGIONAL APPROACHES
=======================================================================
HEARING
BEFORE THE
SUBCOMMITTEE ON
HOUSING, TRANSPORTATION, AND COMMUNITY DEVELOPMENT
OF THE
COMMITTEE ON
BANKING,HOUSING,AND URBAN AFFAIRS
UNITED STATES SENATE
ONE HUNDRED THIRTEENTH CONGRESS
SECOND SESSION
ON
EXAMINING LOCAL, REGIONAL, STATE, AND FEDERAL EFFORTS TO PROMOTE STRONG
AND ECONOMICALLY RESILIENT COMMUNITIES ACROSS THE UNITED STATES
__________
JULY 22, 2014
__________
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COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS
TIM JOHNSON, South Dakota, Chairman
JACK REED, Rhode Island MIKE CRAPO, Idaho
CHARLES E. SCHUMER, New York RICHARD C. SHELBY, Alabama
ROBERT MENENDEZ, New Jersey BOB CORKER, Tennessee
SHERROD BROWN, Ohio DAVID VITTER, Louisiana
JON TESTER, Montana MIKE JOHANNS, Nebraska
MARK R. WARNER, Virginia PATRICK J. TOOMEY, Pennsylvania
JEFF MERKLEY, Oregon MARK KIRK, Illinois
KAY HAGAN, North Carolina JERRY MORAN, Kansas
JOE MANCHIN III, West Virginia TOM COBURN, Oklahoma
ELIZABETH WARREN, Massachusetts DEAN HELLER, Nevada
HEIDI HEITKAMP, North Dakota
Charles Yi, Staff Director
Gregg Richard, Republican Staff Director
Dawn Ratliff, Chief Clerk
Taylor Reed, Hearing Clerk
Shelvin Simmons, IT Director
Jim Crowell, Editor
______
Subcommittee on Housing, Transportation, and Community Development
ROBERT MENENDEZ, New Jersey, Chairman
JERRY MORAN, Kansas, Ranking Republican Member
JACK REED, Rhode Island BOB CORKER, Tennessee
CHARLES E. SCHUMER, New York PATRICK J. TOOMEY, Pennsylvania
SHERROD BROWN, Ohio MARK KIRK, Illinois
JEFF MERKLEY, Oregon TOM COBURN, Oklahoma
JOE MANCHIN III, West Virginia DEAN HELLER, Nevada
ELIZABETH WARREN, Massachusetts RICHARD C. SHELBY, Alabama
HEIDI HEITKAMP, North Dakota
Brian Chernoff, Subcommittee Staff Director
William Ruder, Republican Subcommittee Staff Director
Jackie Schmitz, Legislative Assistant
(ii)
C O N T E N T S
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TUESDAY, JULY 22, 2014
Page
Opening statement of Chairman Menendez........................... 1
Opening statements, comments, or prepared statements of:
Senator Heller
Prepared statement....................................... 23
WITNESSES
Steven M. Fulop, Mayor, Jersey City, New Jersey.................. 3
Prepared statement........................................... 23
Joseph A. Calabrese, CEO and General Manager, Greater Cleveland
Regional Transit Authority..................................... 4
Prepared statement........................................... 26
Lee Gibson, AICP, Executive Director, Regional Transportation
Commission of Washoe County (RTC).............................. 6
Prepared statement........................................... 27
Claire A. Collins, Supervisor, Bath County, Virginia, on behalf
of the National Association of Counties (NACo)................. 8
Prepared statement........................................... 31
Additional Material Supplied for the Record
Newspaper articles submitted by Joseph A. Calabrese.............. 35
RTC 2035 Regional Transportation Plan Pocket Book submitted by
Lee Gibson, AICP............................................... 42
Letter submitted by Jimi Grande, Chairman, BuildStrong Coalition. 140
(iii)
BUILDING ECONOMICALLY RESILIENT COMMUNITIES: LOCAL AND REGIONAL
APPROACHES
----------
TUESDAY, JULY 22, 2014
U.S. Senate,
Committee on Banking, Housing, and Urban Affairs,
Subcommittee on Housing, Transportation, and Community
Development,
Washington, DC.
The Subcommittee met at 3:09 p.m., in room SD-538, Dirksen
Senate Office Building, Hon. Robert Menendez, Chairman of the
Subcommittee, presiding.
OPENING STATEMENT OF SENATOR ROBERT MENENDEZ
Senator Menendez. Good afternoon. The Subcommittee will
come to order. Today the Subcommittee will hear from four local
communities about the work that they are doing to improve
economic resiliency, transportation, and housing options and
job creation.
We hear a lot of different phrases for this type of work,
livable communities, smart growth, transit-oriented
development. These terms come for some with a lot of pre-
conceived notions about what they mean and what type of
communities they work for. It can raise concerns that the
Federal Government will dictate what our communities should
look like or overstep local decisionmaking. And nothing could
be further from the truth.
Real smart growth allows local residents and stakeholders
to build a community that works for them, one that has
transportation choices that make sense for their region, a
strong housing market, thriving businesses, and access to good
jobs. These are goals that all of our States and communities
share, but how they actually achieve them can look very
different. There is no one-size-fits-all approach to building a
strong economically resilient community, and so, we are here
today to hear some of those different versions.
I am pleased that Mayor Steven Fulop of Jersey City is here
today to highlight one example of how to strengthen a community
and to share one of the greatest success stories in my home
State. The Hudson Bergen Light Rail System connects the north
Jersey communities of Bayonne, Jersey City, Hoboken, Weehawken,
Union City, and North Bergen. The light rail system has
revitalized the regions, spurred new development, helped local
businesses. It has been a catalyst for economic growth and
brought new jobs to the neighborhoods along the line.
Jersey City is an example of what is possible, what we can
achieve when we invest in our infrastructure, when we invest in
our future. This light rail system is a model for a lot of
other cities around the country and represents just one of many
choices that a community can make to become a truly livable
community built on economic resilience and smart growth.
My hope is that our witnesses will explain the diverse
options available to communities that support smart growth
policies for the 21st century economy. It is also critical to
have Federal support in these efforts. In 2009, HUD, the
Department of Transportation, and the EPA launched the
Partnership for Sustainable Communities, designed to
incorporate livability principles into Federal policymaking and
improve cooperation between agencies and with local
communities.
The partnership has since helped more than 1,000 urban,
suburban, and rural communities throughout the Nation with
grants and technical assistance. It has reduced barriers,
provided support and expertise, and has led to more efficient
use of taxpayer money through better planning and coordination.
The partnership is a worthy example of Federal leadership and I
hope to hear from our witnesses how we can maximize this
approach in the future.
Following this hearing, I intend to re-introduce my Livable
Communities Act legislation, which had 19 cosponsors in the
previous Congress, and provides Federal support for communities
working to develop regionally driven solutions to their
transportation, housing, environmental, and job creation
challenges. It supports comprehensive planning, making sure
that communities are working together to build a future that
supports economic growth, provides strong transportation and
housing options, and creates and sustains job growth and
development.
The goal of my legislation is to support the type of great
work that we will hear more from our witnesses today, and I
look forward to working with my colleagues to help pass it.
With that, let me introduce our panelists. They are Mayor
Steven Fulop of Jersey City. Mayor, thank you for coming down
to Washington and bringing a good dose of New Jersey pride to
the Nation's capitol and we look forward to hearing you share
the experiences that you have had in Jersey City as a resident,
as a Councilman, and now as Mayor.
We also have with us Joseph A. Calabrese, the Chief
Executive Officer and General Manager of the Greater Cleveland
Regional Transit Authority. Thank you for coming. Lee Gibson,
who is the Executive Director of the Regional Transportation
Commission of Washoe County in Nevada. Thank you. And Claire A.
Collins, a Supervisor of Bath County, Virginia, on behalf of
the National Association of Counties.
Let me start off by saying that all of your statements will
be fully included in the record without objection. We would ask
you to summarize them in about 5 minutes or so, so that we can
enter into a conversation with you. We will start off with you,
Mayor Fulop.
STATEMENT OF STEVEN M. FULOP, MAYOR, JERSEY CITY, NEW JERSEY
Mr. Fulop. Chairman Menendez, thank you. First I want to
thank the Committee for your support of smart urban development
policy, and especially for your help through the FTA, for the
Hudson Bergen Light Rail. It has been absolutely
transformational for our region. I appreciate the opportunity
to testify before you today because the issues on which this
Subcommittee focuses are becoming increasingly important to
every community in America, and especially to Jersey City and
New Jersey.
As the largest city in the most densely populated county in
the most densely populated State in the Nation, we are seeing a
shift in the way people live, work, travel, and interact with
their communities. While much of the Nation does not look like
Jersey City, it is, in many ways, a picture of what is to come.
America becomes denser and more populous every year, so I think
the Jersey City experience has national relevance.
In general terms, I want to speak about today transit-
oriented development, livable communities, and investment in
transportation infrastructure. We, as policymakers, need to
recognize the symbiotic relationship between dense urban
centers and more open residential communities. As the trend of
urbanization continues, our economic prosperity will come to
depend even more heavily on our ability to move large numbers
of people in and out of urban centers quickly. This means
direct Federal investment in transportation infrastructure and
empowering the local communities to make those investments.
I am here today to offer you Jersey City, my hometown, and
part of your home county, as proof of that. Two decades ago,
Jersey City's Hudson Riverfront was the picture of urban decay.
It was a largely abandoned ex-industrial wasteland. Defunct
railroad yards, and dilapidated warehouses dominated the
streetscape. That area, now often referred to as the Gold
Coast, has completed transformed.
The decay has been replaced with glass and steel
skyscrapers, shops, restaurants, and small businesses.
Thousands of residential units and millions of square feet of
retail and industrial space are under construction right now as
we speak. The new prosperity of Jersey City's waterfront was
built on the foundation of pre-existing public transit, the
PATH, a trans-Hudson Metro. Thanks to Chairman Menendez and the
rest of the Subcommittee, Jersey City's recovery accelerated
significantly with the opening of the Hudson Bergen Light Rail
System in 2000.
Developers and public officials have quickly recognized the
opportunity. As an example, the Essex Street line on the light
rail has catalyzed the building of 3,000 residential units in 5
years. Liberty Harbor north, another stop, a transit-oriented
development which will consist of 6,000 residential units and
millions of square feet of residential space, is also clearly a
result of the light rail.
Wherever there is a light rail or a PATH station, we see
recovery, growth, and ultimately prosperity. The opportunity
for expansion of the Hudson Bergen Light Rail, which would
bring and stimulate the local economy to five more cities and
give at least 130,000 people access to new opportunities by
extension into Bergen.
I urge the Subcommittee to support this project, and one
look at the effects of the current light rail proves the value
of this investment. Rail transportation and transit-oriented
development drive economic development as well. Because of the
light rail, the PATH and the implementation of housing policies
which maximize their benefits, Jersey City has become a
regional employment center. Every day 100,000 people come to
Jersey City from New Jersey and New York to work, shop, and
dine. Put simply, Jersey City is flourishing because it is
interconnected with surrounding communities.
This phenomenon is not unique to Jersey City. The Center
for Housing Policy recently completed a review of studies on
housing prices and proximity to rail and their findings make a
powerful argument for transportation infrastructure. According
to dozens of studies from across the country over decades, a
nearby rail stop can add 6 to 50 percent to home values. When
people are linked to opportunities, cities prosper.
Transit is only one way to bring people and opportunities
together. Another way to connect people with cultural, social,
educational, economic opportunities is to create those
opportunities where they live. This approach, livable community
developments, means developing housing and transportation
choices near jobs, shopping, schools, and parks. The resulting
neighborhoods are healthy and environmentally friendly with
vibrant local economies and a strong sense of place and
community.
In conclusion, let me reiterate my appreciation for the
Subcommittee's continued support for smart, sustainable urban
planning and development policy. As you consider how to keep
our communities competitive and healthy, I urge you to empower
local governments, rather than restrict them, and give them
tools rather than mandates.
Thank you for the opportunity to testify here today and I
look forward to participating in discussion around these issues
in the future.
Senator Menendez. Thank you, Mayor. Mr. Calabrese.
STATEMENT OF JOSEPH A. CALABRESE, CEO AND GENERAL MANAGER,
GREATER CLEVELAND REGIONAL TRANSIT AUTHORITY
Mr. Calabrese. Yes. Thank you. Thank you, Chairman. Thank
you for this opportunity. My name is Joe Calabrese. I am the
General Manager of Greater Cleveland Regional Transit
Authority. We run heavy rail, light rail, bus rapid transit,
and paratransit services. We serve about 200,000 people on a
typical weekday. About 63 percent of our customers are going to
work; another 23 percent are going to educational
opportunities, two very important functions as we know.
As in many other cities, the use of public transit and the
appreciation for what it does is growing significantly. RTA's
biggest challenge is keeping up with our aging infrastructure
and state-of-good-repair needs for which Federal dollars are
crucial. USDOT estimates that nationally we have a backlog of
$87 billion in state-of-good-repair needs just for normal
replacement needs. This is very, very important.
There is a tremendous resurgence going on today in
Cleveland. In the past few weeks, there have been articles in
the New York Times, L.A. Times, and USA Today chronicling
Cleveland's resurgence. Political, civic, and business leaders
credit a visionary public transit project, which opened in
2008, as jump-starting that economic development. The
investment was a Bus Rapid Transit project along Cleveland's
main street, Euclid Avenue, which we named the HealthLine. And
as better stated by Toby Cosgrove, the CEO of the Cleveland
Clinic, it was great for the health of the city.
While the HealthLine shares many characteristics of a light
rail system, except the vehicles are on rubber tires and not
steel wheels, we were able to build it and maintain it for
roughly one-third the cost. These comments are by no means
anti-rail. In many situations, rail is the right alternative,
and many bus rapid transit may also be a great alternative that
is maybe more affordable.
Our commitment to the community was the HealthLine would be
fast, clean, safe, and first class. The project was very
comprehensive. It included new sidewalks, new curbs, new
roadway, new lighting, new traffic signaling, bike lanes while
108 bus stops were converted to 36 well-lit and well-landscaped
stations. The city of Cleveland even took the opportunity to
upgrade water lines and sewer lines that really were in
tremendous need of upgrade.
The net result for our customers was ridership went up 30
percent--48 percent as travel time improved by 30 percent. In
the first 5 years--we just celebrated the fifth anniversary--
ridership has gone up 60 percent over our highest ridership bus
route. The net result for the community was billions of dollars
of economic development.
The $168.4 million New Starts grant, 50 percent of which
was funded through the FTA program, has now leveraged over $5
billion of development. In a front page article in the
Cleveland Plain Dealer in February of 2008, months before it
opened, and the title of the article was the Rebirth, the
project was already credited with $4.3 billion in economic
development throughout the corridor.
The true success of what we did is not the money we spent,
but really how others leveraged the money we spent to make it
much, much more and much, much better. In a 2013 study by the
Institute for Transportation Development Policy, concluded the
HealthLine had the highest return on investment for any public
transit project in the country at $114 invested for every one
dollar of transit project.
Thousands of new housing options have been built, both
market-based and subsidized, 140,000 square feet of offices
have been renovated, 444,000 square feet of new construction
has happened. In addition to the 3,360 man-months for
construction, an additional 1,940 jobs were created and land
prices have doubled in the midtown area, an area traditionally
suffering from very, very low occupancy.
My champion on this project is someone known in this
chamber. It was Mayor George Voinovich who saw the vision for
this project, it was Governor George Voinovich who supported it
with some local funding, and it was Senator George Voinovich
who led the charge for Federal participation for this very,
very successful endeavor.
I am proud of the role that public transit played in
leading this tremendous resurgence in a city that, quite
honestly, needed a lot of help. This could not have been done
without the commitment from the Federal Transit Administration
and the support of Congress.
I urge a timely, long-term fix for the Highway Trust Fund
and the Mass Transit Account which includes increased
investment for infrastructure, state-of-good-repair efforts,
workforce development, and for projects such as the HealthLine.
Without a long-term solution with predictable dedicated
funding, projects such as this simply could not happen as they
take years to plan, design, and build.
Such projects can revitalize our cities, meet the mobility
needs of our residents, and create jobs. Thank you.
Senator Menendez. Thank you. We are on a roll here. Neither
of you have used your 5 minutes and that is unusual here, to be
honest with you. Mr. Gibson.
STATEMENT OF LEE GIBSON, AICP, EXECUTIVE DIRECTOR, REGIONAL
TRANSPORTATION COMMISSION OF WASHOE COUNTY (RTC)
Mr. Gibson. Thank you, Mr. Chairman.
Senator Menendez. And I do not want that to--no pressure.
You use all of your time.
Mr. Gibson. I will do my best to imitate the Federal
Express commercial.
Thank you, Chairman Menendez. I want to thank you for the
opportunity to be here today and tell the RTC story. I also
want to take a moment and thank Senator Majority Leader Harry
Reid and Senator Dean Heller from Nevada. They are both close
friends and I know they could not be here today, but I
appreciate how they have been very, very supportive of the RTC
in the past.
Let me talk a little bit about who the RTC is. We are the
metropolitan planning organization, we are the transit
authority, and we are the street and highway building agency
for the entire area of Washoe County. We serve a population of
500,000 residents and we welcome 5 million visitors a year to
our region.
The recession was a critical event in a critical moment for
my community. At the peak of the recession in 2008, voters in
Washoe County approved a plan to index fuel taxes to inflation
and improve the purchasing power of our local option fuel tax
to make up for the lost projects we had not been able to fund
over time.
We coupled that with a vigorous planning program, and
updated our regional transportation plan. We have been moving
forward with a number of key livability projects. Now,
livability is something we hear a lot about, but in my
community, livability is a two-edged sword that cuts across
both current challenges and the future.
In terms of current challenges, what we attempt to do in
livability is help provide for jobs, housing, and education,
and consistent with the RTC's mission, connect folks to those
opportunities so that they continue to thrive and continue to
stay and grow in our community. We believe in life cycle
transportation. When you look at the question of livability and
how we are going to connect to people throughout time, that is
something we try to strive for and provide in our highway and
transit programs.
The other thing we are doing is moving forward, and working
very vigorously to provide opportunities in economic
development, specifically to target projects from the freight
and logistics sector. In Reno we are at the tip of the spear,
if you will, for a lot of international trade that comes in and
out of the Bay Area. We want to make sure our interstate system
and local roads provide the connectivity and access to
industrial areas that will allow us to serve those with global
needs.
At the same time, we have a very fast and emerging area of
our town called midtown. It is close to downtown and the
University of Nevada-Reno. We are working vigorously to connect
those three areas with a bus rapid transit investment that is
going to spur new technology businesses, tap into the wealth of
intellectual capital at UNR, and tie all three of our areas,
the University, downtown, and midtown together so that we can
begin to diversify into high tech and into more intellectually
oriented economic opportunities.
We believe that transit is a key component. We have a blue
ribbon committee that is bringing our community together to
look at the needs of the public transportation system, but more
importantly, take that forward. Seniors and millennials are two
particular groups we are focusing on. We believe they are the
ones who have significant needs today. Seniors obviously are
facing key challenges.
During the recession, many seniors moved to outlying areas
where housing was cheaper because they wanted to tap into
savings and equity that they had built up or they wanted to get
to it before it was lost. As a result, we now have a situation
where many people are outside of our paratransit service area,
but are in want and need of transit service.
Millennials have interesting behavior patterns. They want
to save time. They want to use as much time as they can for
intellectual activities related to either economics or
entertainment. They view transit as a way that they can spend
more time using their brains. The more we all know, think, act,
and be creative, the more economic activity is created.
We want to make sure we construct transit opportunities for
the millennials so they can contribute their unique perspective
and experiences to our economy and grow our community, but,
hopefully, stay in our community.
Just as my fellow members of this panel believe in a strong
Federal program, we, too, believe in a strong Federal program.
We believe that Congress should act to raise the fuel tax. We
have done it at the local level. We did it without political
risk. People are very proud of what we have done. We believe
Congress should act the same, or move toward other innovative
financing sources.
I am not an expert in finance or tax policy, but if we can
bring money back on shore, tax it at a lower rate, and dedicate
it to infrastructure, it seems to me that is a logical
opportunity to help move our transportation system forward and
develop a globally competitive economy.
Finally, I do want to say, regulatory reform and empowering
local governments and regional bodies to work effectively is a
key principle that I believe in, and I would hope that the
Congress, as it addresses re-authorization, does the same.
Thank you for your time.
Senator Menendez. Thank you. Supervisor Collins.
STATEMENT OF CLAIRE A. COLLINS, SUPERVISOR, BATH COUNTY,
VIRGINIA, ON BEHALF OF THE NATIONAL ASSOCIATION OF COUNTIES
(NACo)
Ms. Collins. Thank you, Chairman Menendez, and I want to
also thank Ranking Member Moran.
Senator Menendez. If you would just take your microphone
and put it there?
Ms. Collins. Yes, thank you. I am a County Supervisor in
Bath County, Virginia. I am testifying today on behalf of the
National Association of Counties, NACo, which represents all
3,069 county governments in the United States, and assists
counties in pursuing excellence in public service to produce
healthy, vibrant, safe, and resilient counties.
I will focus my remarks on how counties, and especially
rural counties like Bath County, have bolstered their ability
to thrive amid ever-shifting physical, social, and economic
conditions and what more can be done at the Federal level to
support local economies.
First, Mr. Chairman, counties play a distinctive role in
economic resiliency as stewards of their local communities and
are an integral part of our Nation's inter-governmental system.
Counties are responsible for supporting and maintaining key
public infrastructure, transportation and economic development
assets, creating and sustaining a skilled workforce to meet the
needs of businesses, promoting public health and public safety
to protect our citizens, and implementing a broad portfolio of
Federal, State, and local programs in a cost-effective and
accountable manner.
My county, Bath County, is located in the Allegheny
Mountains of Virginia with a population just over 4,600.
Although we face many challenges, we are focusing on improving
our transportation systems, developing infrastructure,
providing affordable housing opportunities, and building and
sustaining a skilled workforce that can help our community be
globally competitive.
For an example of how we are working to create the
partnerships and environment needed for economic resilience,
Bath County uses its convening powers to engage businesses as
part of the Shenandoah Valley Partnership, SVP, which includes
the neighboring counties of Augusta, Highland, Page,
Rockingham, Rockbridge, and Shenandoah.
SVP is not only a public-private partnership, but is the
one-stop economic development resource for businesses seeking
expansion or location in Virginia's Shenandoah Valley. This
partnership between the public and private sectors brings
together business, government, and education leaders to promote
new investment, strengthen existing business and guide labor
force development to ensure a healthy economic future for the
region.
Second, Mr. Chairman, improving transportation systems,
housing options, and job opportunities is critical to enhancing
local economic development and resiliency. Counties across the
country are also responsible for building and maintaining 45
percent of the public roads, 230,690 bridges, and are involved
in a third of the Nation's transit and airport systems that
connect residents, businesses and communities.
Based on Federal Highway Administration data, the share of
Federal and State funding to local governments for highways
decreased by 10 percent between 1998 to 2011. While local
governments own 43 percent of the Federal-aid highway systems,
local areas receive a sub-allocation that is equal to 16
percent of the MAP-21 National Highway Performance Program and
the Surface Transportation Program funding for Federal-aid
highways.
A combination of Federal budget cuts, the effect of the
recession on State and local governments are contributing to a
widening gap in transportation available to fund counties.
Despite these challenges, counties spend $106 billion annually
to build, maintain, and operate roads, bridges, transit, water
systems, and other public facilities.
NACo has also found that counties can facilitate economic
growth by leveraging transportation infrastructure assets to
forge private sector partnerships and attract new businesses.
Counties across the Nation invest $25 billion annually in
economic development.
For example, Rutherford County, North Carolina, with a
population of 67,300, used the decline of local manufacturing
as an opportunity to diversify and strengthen its economic
base. They did this by treating existing infrastructure assets,
such as vacant industrial buildings and robust electric power
and water network and broadband expansion, as marketing tools
to attract data centers. In 2010, Rutherford County
successfully recruited Facebook to invest over $9 million in
two new data centers.
Third, Mr. Chairman, strengthening the Federal-State-local
partnership is critical to local economic resiliency. The
growing burden taken on our local and State governments is
especially problematic for our Nation's rural communities. For
example, in Bath County, we are partnering with the Federal
Government to develop and expand broadband accessibility
through HUD's CDBG program, and we also have been awarded two
CDBG community improvement grants for housing, rehabilitation,
and renovation that we are proud to offer for workforce and
affordable housing.
In conclusion, Mr. Chairman, counties have a unique role in
economic development and building resilient communities. We
thank you today and we would like to continue the strategic
partnership with the Federal Government.
Senator Menendez. Well, thank you all for your testimony
and insights and the efficiency with which you delivered it.
You all beat the clock.
And it is interesting to listen, regardless of the size of
the communities or regions that we are talking about, that
there is a strong component of transit here, some form of
transportation, at the core of creating whatever you call it, a
livable community, a transit-oriented community, however we
might pursue it.
So let me start off with Mayor Fulop. You know, Jersey City
shows how transit-oriented development can work. It has an
excellent multi-modal transportation system. You have got PATH,
which for those who may not recognize the acronym, is the line
that goes between New York and New Jersey under the Hudson
River, ferries, bicycling, bus system, connection to the
Northeast Corridor. We have talked about the Hudson Bergen
Light Rail.
Second, your city has zoned development to meet demand near
transit, and its high density and mixed use creating apartments
over retail, the street life that comes with it, many new
developments do not have parking minimums and some have parking
maximums.
So in that context, what is a line like the light rail line
done for residential and commercial growth in Jersey City and
along the Hudson waterfront? And what is demand for housing,
for example, near the line? And what do you think are some of
the tangible benefits of day-to-day life for those who choose
to live along those locations?
Mr. Fulop. So we are building in Jersey City and we are
building very big right now. As you know, we have constructions
projects, 70 stories, 66 stories, 54 stories. I could
comfortably say that in the next 4 years, more than likely the
20 largest buildings in the State of New Jersey will all be in
Jersey City and all of our taken to work as the largest city in
the State. Most of that is attributed to the Hudson Bergen
Light Rail and the PATH system.
So as you touched on, we have rezoned the areas and the
density around those light rail stops and PATH stops and we
have limited the requirements on the parking spots. And what we
have seen is that you see people moving to Jersey City, filling
those apartments rapidly, not using vehicles, and you have
seen, obviously, restaurants and the streetscape change as a
result of the density that has populated them.
It is also important to note that we are filling those
apartments as quickly as we are building them, and that speaks
also to vibrancy and the development based on the investment in
infrastructure and mass transportation in Jersey City.
Senator Menendez. What about the ratable base as a result
of it?
Mr. Fulop. In the last year, we had an increase of $118
million in the ratable base, so it is significant. It has
allowed us to have a budget that reduced taxes, a modest
reduction this year, and with some visibility into next year.
So the density increase has really given us a lot of benefits,
both invisibly and then in the pocketbook as well.
Senator Menendez. Let me ask all of the panelists. One of
the key ingredients, it seems for me, for successful planning
and development is to make sure that all of the relevant
components, and each of you have talked about some of these
elements, certainly transportation, but housing, environment,
commercial, are working together in an integrated and
coordinated way.
That is true at the Federal level, as we see for the
Partnership for Sustainable Communities between HUD, DOT, EPA,
and the local and regional level. What is some of the work that
your communities and agencies are doing to improve coordination
across functional areas when it comes to planning and the
implementation of development plans? What are some of the
challenges that you face as you are trying to create that
coordination? If you have any insights to share, any one of
you?
Mr. Calabrese. I will jump in with a shout out to Senator
Brown. Thank you for inviting me here today.
One thing we were doing in Cleveland, we have a great
organization called Bugsy Build of Greater Cleveland--actually,
Mayor Voinovich started it way back when--where all the public
works agencies worked together, the city, the county, the Port
Authority, the Transit Authority, sewer district, water
district, so when major projects are planned, we can sit in a
room and say, How can we leverage these investments so that I
am not building a new street and a week later the sewer
department is coming and replacing the sewers on that street.
So just one great example of an organization that meets--we
had actually our annual meeting yesterday, which was great. We
meet really to talk about these major projects, how best we can
leverage and work together on these cooperatively, which
really, I think, helps us get the biggest bang for the dollar
and deliver these projects much quicker and less expensively
than otherwise.
Senator Menendez. Mr. Gibson.
Mr. Gibson. What we have done in Reno is we work very
closely with a regional planning agency that is primarily
charged with land use, and we also work with our member
entities to develop plans and programs that really address the
issue of trying to bring housing and transportation closer
together.
Our local governments have been champions for our mid-size
metropolitan area in developing TOD areas and working to
leverage our transit investments into their regulatory programs
to help bring about more integration between transit,
pedestrian facilities, bicycle facilities, and land use
development.
The example I used in my testimony, midtown is a great case
in point, where we have been working very closely with a lot of
the interests and stakeholders to bring about the realization
of these investments so that we can move forward.
Another case in point is 4th Prater. This is a corridor
that links the old downtown of Sparks and the old downtown of
Reno. This is another area we are targeting for BRT and trying
to focus on, with our local government partners and businesses,
specific actions to bring about better connectivity and a
recognition, preservation, and leveraging of historic
resources.
This is something that it is really unique to this project.
We have an application before the FTA--actually it is already
cleared for project development into the FTA Small Starts
Program. These investments, we think, are going to generate
direct jobs that will support a special event we are all very
proud of in the Reno-Sparks area called the Burning Man
Festival.
Senator Menendez. The what?
Mr. Gibson. The Burning Man Festival.
Senator Menendez. Burning Man Festival?
Mr. Gibson. Burning Man Festival. That is correct.
Senator Menendez. I think for the record it would be good
if you explain what that is.
Mr. Gibson. The Burning Man Festival is an event, in
partnership with the Bureau of Land Management, out in the
Black Rock Desert. It is where a lot of creative energy is
focused between, I think, around 50,000 people who come to our
community. They build a city. You can see the city in satellite
imagery.
The artwork that goes into this event is a year-round
industry and we are seeing a lot of that artwork that used to
be actually developed in the Oakland, California, area. It is
expanding, growing, and moving into our community and it is
being developed in the 4th Street-Prater Way corridor.
So this is a great event. It is week-long at the end of
August and I am running out of adjectives to describe the
event. I think the point, though, is between our local
governments, our regional agencies, and the private sector we
are coming together and recognizing that we can work together,
and through a regulatory framework that encourages these
public-private partnerships, we are beginning to see a
diversification and growth in our economy again. That is what
we are really happy about.
Senator Menendez. Let me ask one final question, well, for
the moment, and then I want to turn to Senator Brown. You know,
as a former Mayor, I know that meaningful participation by all
elements of a community are critical in order to succeed. It
opens the process to important points of views and ideas, and
if done effectively, allows a broad range of stakeholders to
take ownership over the final product and committed to making
it successful.
So I am wondering, in each of your communities, how do you
approach the challenge of public participation, particularly
for stakeholders of communities who are too often left out or
risk feeling marginalized, whether those be lower-income
families, minority communities, and what steps have you taken
to ensure these communities are able to participate in the
development process? Is there any experiences across the board?
Mr. Calabrese. Chairman, in terms of the HealthLine, the
major impetus behind this investment was really not the public
transit riders on Euclid Avenue. It was really the businesses
on Euclid Avenue who saw year after year their property values
decrease and wanted to do something to really stimulate that.
So it was really a business chamber of commerce-type driven
project, but we saw that as an opportunity to do something
really first class for many individuals who lived along the
corridor who maybe never had something first class in their
entire lives. So it really focused on that first class issue.
But in doing that and being sure that this addressed the
needs of those who really needed the service and those
businesses as well, we had over 1,000 public meetings
throughout the corridor. I mean, it was really getting
involved, where to place the stations, what type of amenities
they wanted, had the community assist us in terms of actually
the station design. So a tremendous amount of input, tremendous
amount of public meetings, tried to find out what their needs
were and best address those through the process.
Senator Menendez. Anyone else?
Ms. Collins. I wanted to comment that what we do is we
create a 5-year comprehensive plan and take it--basically, it
is on every functional area in the community, including
housing, economic development, transportation, even things like
senior programs, recreational programs. And what we do is we
take it--we actually go out in the community and get feedback.
So it is not just a survey.
So go into the neighborhoods and get the feedback. That is
how these two community improvement projects for housing came
about. Not only did the businesses say they needed them for the
workforce, but the people that lived there said they needed
them because they were living in structures that none of us
would even want to live in. Did not even meet HUD Section 8
standards.
But yet, they were not complaining, they were going to work
each day, or if they were retired from the major employer, they
were making the best they could with what they had. But when
the community saw that as part of the comprehensive planning
process, which creates the goals and objectives for the next 5
years, that you can put a work program to and funding to, the
community then set out and let us make that be a capital
project that can improve those two neighborhoods so that we
have affordable housing not only for those living there now,
but for the young people in the future that may want, as people
are no longer living there, young people and young families can
keep our community going.
In a rural community, what happens is if the young leave,
the community dies. So we are working very hard to make sure
that we keep those young people there. So our focus is, even
hearing from our younger people, teenagers and all as part of
this planning process, to make sure that those in the high
school or the tweens voice their opinions so that we know what
they are looking for the future so that we are not going to be
a rural community that dies.
And rural America has to do that because if we do not do
that and just keep the status quo, we are not going to be rural
America in the future, and we are the bread and butter on the
table. We are where the local food to farm started. And we also
are what has provided a lot of the basis for the products that
are made by manufacturers in the city and suburban areas.
So without, you know, keeping rural America alive--and it
is also where the bulk of our military come from, because if
you look at the bulk of the military men and women, they
predominantly come from rural America. So we believe in working
with our partners at the Federal level, USDA, ARC, EDA, getting
whatever we can from external resources as well as showing that
we can do within as far as if it is a disaster.
We actually take care of our own and we do not always call
on FEMA to come in. It is nice to have them there, but if we
can do it, we do it. We ration our food. If there was like the
derecho that happened back two summers ago in Virginia, our
community was hit hard. People were without power, some people
for 2 weeks.
Those of us that had food in our freezers, we took grills,
went to the local high school in the parking lot, grilled food.
Told the community to come out. Got transportation, those that
did not have transportation. Come out and have just a barbeque
so that people had food every day. And that was done for 2
weeks on end so that people did not have to go hungry, they did
not have to worry about the food getting destroyed. It was
being used.
So the thing is, is that you learn to be resilient when you
do without, and rural America is really a model for some of the
inner cities and suburban areas that do not understand how you
can take what you have got and make the best use of it.
Senator Menendez. Senator Brown.
Senator Brown. Thank you, Mr. Chairman, and thanks for
holding this hearing. I apologize for my late arrival and early
departure. The President's nominee to be Secretary of the V.A.
from the other end of the State from Mr. Calabrese is
testifying today and I need to introduce him and to go back. So
I appreciate Senator Menendez holding this hearing.
As Mr. Calabrese knows, it has been a good couple of weeks
for the city of Cleveland. The Republican National Convention
announced they are coming to Cleveland. Lebron James announced
he was coming back to Cleveland. And Joe Calabrese comes to
this hearing to trumpet Cleveland, so thank you.
Mr. Calabrese. Do not forget about Johnny Football.
Senator Brown. And Johnny, oh, yeah, I got that, too.
Mr. Calabrese has explained some of the things that have
happened with the Greater Cleveland Regional Transit
Administration and HealthLine and the billions of dollars in
investment that have come from this in response to Chairman
Menendez's question.
Something else happened there and when I heard the comments
of Supervisor Collins saying when young people leave the
community dies, we have a number of cities in my State, smaller
cities where that has happened. There is also that sort of
anxiety and fear, one of parents of their children leaving, of
course, and not seeing the grandchildren as much, but also what
happens to a town.
There has been some fear and anxiety even in a city the
size of Cleveland as young people have looked elsewhere, and I
think what RTA has done in Cleveland, what has happened with
the development downtown, what is happening with increasing
development in neighborhoods--my wife and I just moved from a
30-miles-away suburb into the city limits of Cleveland. There
is a lot more life in the city for a whole host of reasons.
One of the things that made me think, from your comment,
made me think of this, Ms. Collins, is the year I was born some
60 years ago, Cleveland, only 2,000 people lived in downtown
Cleveland. Today about 13,000 do. The city is significantly
smaller in population, but young people want to move downtown.
Not just young people, but especially young people with a whole
different set of issues, grocery stores, transit, how do we do
all of that?
So Mr. Calabrese, if you would explain. You answered
Senator Menendez's question well, I thought, about kind of how
you did the HealthLine, but talk to me more about how private
development--I mean, you spend significant public dollars. You
spend, obviously, private dollars, too, that you raised from
especially UH, University Hospital and the Cleveland Clinic.
But talk to me about the process of economic development
and what we learned from the HealthLine, mistakes you might
have made, but successes you can trumpet and how we and
partnerships spur that kind of economic development well beyond
the Euclid corridor.
Mr. Calabrese. Well, I think you are right, and the one big
thing that amazes me, I think I feel very good about the
future, is the millennials who are moving downtown. They want
to be downtown. They want to walk, bike, and use public
transit.
One of the comments, they would rather spend $7 on a
martini than $3.50 on a gallon of gasoline. That really is the
truth. I think they are the individuals who are really
supportive of this, you know, more development downtown, more
investment and smart growth, and I think that is going to be
our future. They are certainly voters of today. They are going
to be our Senators of tomorrow. I think that is very, very
positive.
You are 100 percent right. You know, we have 10 times more
people living in downtown Cleveland now than when the
population of the city itself was double what it is today, and
that is growing. There are over 3,000 apartments being built
right now downtown, and again, there is a waiting list on
every--any--every finished structure that is actually spilling
out from downtown Cleveland to places like Ohio City and
Tremont because you just cannot get a place downtown anymore.
And again, these people insist on public transportation,
and for the Clevelanders, you know, these individuals are going
to move to Cleveland, hopefully. If not, they are going to move
to Chicago or New York. They want that corporate--they want
that urban environment.
We did an ad actually on the waterfront on one of our light
rail lines last week for Ernst & Young who has a major facility
in downtown Cleveland, but it is a recruiting video to try to
recruit these young people they need as employees at E&Y to
come there.
One of the big assets is public transit. You do not need a
car. You could be car-free in Cleveland. This is what our
future generation wants and I think it is up to us to try to
give that to them.
Senator Brown. Take people--if I could, Mr. Chairman, one
more question--on the other end of the age spectrum,
demographic trends of the country, well, obviously, it is to
talk about the percentage of the population over 65 who will
increase by 10 percent by 2030. What do we do? What does
transit do to respond to that, understanding that people will
probably want to stay where they are? They have different
challenges with mobility, with getting around, particularly if
they decide to stop driving. How does a system as large as
Cleveland deal with that?
Mr. Calabrese. Quite honestly, I think that is a real
challenge. I think, you know, a week does not go by where I get
a call from someone saying, You know, we moved out to Parma
from downtown and maybe it is I am now a widower. The husband
has died and the kids have moved away and the question is, when
is the transit service in Parma going to be as good as it was
on Euclid Avenue? I say, You know, it is not going to be. You
really need to move or be in an area of high density.
But because of the senior growth, the demands are growing
significantly for our public transit. That is why it is
important to re-authorize the transportation bill with
significant resources to address that demand. Not everyone is
living downtown. We serve people every day on our paratransit
service, which is critical for those people who do not have the
physical ability to use public transit. But that is at a $30 to
$40 per ride cost, again very important. Taking many people to
dialysis. But there is a cost associated with that.
Unless the transportation budget addresses those, these
people are not going to be served, which is very critical and
very important and something I know you think is very important
for us to do.
Senator Brown. Thank you, Mr. Calabrese. Mr. Chairman,
thank you.
Senator Menendez. Thank you, Senator Brown. Good questions.
I want to continue on this millennial question, not because I
am a part of that universe, but as I would aspire to be.
Mr. Gibson, your testimony--and you have talked about it a
little bit in your oral testimony--cites a study that finds
that a significant portion of the millennial generation is
looking for diverse transportation options when deciding where
to live, which is a much different attitude than previous
generations when everything was driven by--or centered on a
car.
I know, Mayor, that Jersey City might very well be called
Millennial City when we look at the population that has
changed. The question for both of you, and for others as well,
is how you are preparing for that new generation with different
transportation preferences, and how do you balance that with
the needs of other generations who may be focused on more
traditional modes of transportation? Mr. Gibson.
Mr. Gibson. My first crack at that answer is going to be
through our complete street program. What we find with the
millennials is they do have a predilection to use bicycles,
public transportation, and walking. They like to live in close
proximity to activity centers.
But in our complete street program, what we aim to do is to
come back into our centralized areas and provide for treatments
that slow traffic down. We have had a tremendous benefit in our
complete street design toolbox when we implement a complete
street, we see speeds come back down to the speed limit and
crash rates decline and we see, as a result of that, in our
community, I think our insurance rates are starting to decline.
For seniors, what does that mean? Well, a lot of seniors,
including my 85-year-old mother, still drive. They prefer to
drive on slower streets. They prefer to drive on streets where
the different users are separated into their own areas. So I
think there is an example of where a service, a planning
program, or a design philosophy helps meet both the needs of
the millennials as well as the needs of the seniors.
It also makes it easier for us, when we do come back in and
improve transit service, to provide for key features such as
station areas. An interesting thing I saw the other day about
our community is we are looking at the question of roundabouts,
and we looked at where roundabouts are located in our
community.
What we discovered was they are located in the newly
emerging suburban areas. Roundabouts are a key feature in new
subdivision design and development, and to me, that reflects a
preference on the part of people who are buying new homes to
have many of these complete street-type treatments provided for
in these new developments.
We are hearing from our stakeholders and our communities
that they want to see those same type of design treatments
developed in the older communities. Well, who lives in the
older communities? Millennials and seniors. Millennials
because, again, they like to be closer to downtown activities.
They like to be closer to the university. They like to be
closer to midtown.
But seniors, because they want to stay in age and stay in
place in their residences, and they like having those types of
complete street treatments to improve their safety and that
ultimately brings transit.
So what we have experienced is that the complete street
design toolkit that we see as part of smart growth is a toolkit
that can meet, at the same time, the needs of seniors and at
the same time meet the needs of the millennials.
Finally, coming back and answering your question from
earlier, is to address what do we do in our public involvement.
One of the things we strive to do when we are working with
neighborhoods and communities is to ask them to give us a
design solution to consider. We want them to come to us and
say, this is what we would like to see you do when you are
reconstructing a street or planning a transit route or
developing something new for a community.
And if we can, we will incorporate that design concept into
our project, and if we cannot, we will go back out in a
workshop and explain to them that we cannot do it and why we
cannot do it. It is important that when we are working with
stakeholders, when we are working with folks who may be
economically challenged at the moment, or they are looking at
changing their life or they are perhaps millennials moving into
an urban area, is to try to bring their views on the design of
streets, bicycle and pedestrian facilities and transit systems,
and bring those ideas into the design concept and scope, and
build and operate that.
Senator Menendez. Mayor, any perceptions from Jersey City?
Mr. Fulop. I would just echo some of the same sentiments on
this concept of complete streets and really thinking about the
pedestrian experience on those streets and trying to encourage
the pedestrian friendly environment instead of vehicles. It is
something that definitely caters toward the younger generation
as well as the older generation that may not be so inclined to
drive.
On the challenge front, I would say that, as you are
familiar with Jersey City, we have density pockets around the
light rail and the PATH system which does not extend
necessarily toward the entire city. So one aspect on the west
side of Jersey City, for example, does not have as much mass
transportation infrastructure other than the bus system, and as
pockets of density has changed over time, I think it is
consistently a challenge for us to kind of revisiting how that
mass transportation and bus moves some of the older people
around the city historically. So that is how we look at it.
Senator Menendez. I think one of the challenges we have is
creating a quilt that brings the whole community together as
certain centers of a community rise, but making sure that the
result of that success does not leave others behind. I think
that is a great observation.
Supervisor Collins, let me ask you, your testimony notes
that Bath County is part of the Shenandoah Valley Partnership,
and we talk about the challenges for rural areas that are
different than urban or metropolitan areas, but they are just
as important.
How do you think that you ultimately can make a rural area
be able to compete, particularly in a global economy? You
talked about getting those young people to stay, not leave.
They are probably going to be a lot more digital than some of
their parents or grandparents. So how do you do that and how
does that come into play with infrastructure and other planning
issues even for a rural area?
Ms. Collins. Well, the chief way to do that is, of course,
in rural America, the need for broadband improvements, either--
many rural localities like ours have DSL, but we do not have
the high speed, you know, broadband. That is what we are
working toward in the region, too. In fact, the Shenandoah
Valley Partnership, many of those localities do not have the
high speed broadband.
And yet, they have had growth and we have had growth
because the business base there is pretty strong. There is a
strong work ethic. So the existing businesses band together and
work together along with the health care industry. But now, the
push is for how can we create broadband that will then tie into
growing entrepreneurship. Many home-based businesses exist that
actually--can actually make a living, a very good living,
better than being under-employed in some of the jobs that
currently exist.
And also, to look at how we could take that and create
marketplaces through Internet marketplaces and have front-
office effect, but have the back-office effect of it being
where the true money comes from worldwide versus just in the
community. But yet, the local community can access those
services and products, and that is something that we are
working toward with the Shenandoah Valley Partnership.
We are taking old structures and revitalizing them,
historic structures, and turning them into office buildings
that are being fully integrated with technology for purposes of
use so that young people will get excited about wanting to work
there. But without the broadband improvements, our area will
not be able to continue to, you know, grow.
But our businesses, what they are doing, too, in
partnership with the governments, are working toward recruiting
young employees, because we have a base of a lot of
universities and colleges in the region with James Madison
University being one of them, Washington and Lee University,
Mary Baldwin, other colleges, many community colleges that
are--we are looking at workforce training and what the
businesses need but how they can grow.
Our largest employer in our community employees 1,200
people. Now they are recruiting outside the community bringing
young people in. Their recruitment tactic is, we can provide
you with lodging, which they do, a place to live for a low
amount of money. You can work for us. You get opportunity for
training. Everything is walkable where the employer is because
it is in the main business district of the county.
So we are seeing younger people that are moving in because
they are only having to pay $80 a week and they are making
money and they can actually learn and grow. And yes, they may
not stay there, but at least they are getting an opportunity
that they might not get somewhere else if they move because the
cost of living might be higher and they might not be able to
make a living.
So some of them are like, they do not have cars. I mean,
these young people do not have cars. They are being brought in.
Eighty dollars a week for having a small little apartment that
they share with somebody that--a total stranger that they are
working with when they first meet them. And they get the
opportunity through the employer to be able to access the
employee cafeteria during the day.
They also take them through transportation, if they want to
go 30 miles away to do major shopping. They have transportation
that takes them there. So that they are able to get out and
about and have special activities like a Music on Main on
Friday nights for the whole community, but that is a
partnership with the businesses. So that these young people,
when they get off work, they can actually integrate into the
community. And maybe they will decide to stay there. So that is
very positive for our community.
So we are looking at every type of strategy and action that
we can work together and make sure that we are targeting the
right industry. One of the things we are seeing is that the
food industry is a prime industry for our region because of all
the farms in the Shenandoah Valley, that there are
opportunities for those products to be marketed and produced
right there and then marketed and manufactured there and
growing that economy.
Senator Menendez. Two final questions. One, Mr. Gibson, in
2008, the height of the recession, your region's voters
approved a plan to index their fuel tax to inflation in order
to have more resources for transportation projects. That is
obviously a vote that voters do not take lightly. What led the
residents of your community to make that decision in trying
economic times? Because maybe we can, you know, create some
light here in the Senate about how we should deal with some of
these issues.
Mr. Gibson. I think it was several factors. One, we did go
through in the Reno-Sparks-Truckee Meadows area a dramatic
transformation in the run-up to the great recession. A lot of
new folks moved into the community, a lot of housing units were
built. It was a boom time. As a result of the boom time, we
developed a $3 billion backlog in infrastructure. So voters
were still experiencing the frustration of not seeing
infrastructure keep up with growth.
I think the second thing, though, was an interesting
transformation in the community and the recognition that this
was a way the community could take control of its own destiny;
that it could, through its own political processes, say, We
will create a stimulus program here for ourselves now and these
investments will help us create jobs and begin developing the
regional advantages and comparative advantages that the region
would need long-term to grow and diversify economically. Those
were the real driving factors that folks experienced.
The third just sort of anecdotal piece--I lived in Nevada
for 25 years, but I, like a lot of Nevadans, came from
somewhere else, and I think what is happening, especially in
the Reno-Sparks area, is people do not want to see their
children leave. So they saw this as an opportunity, by
increasing their taxes, to invest in their community and,
again, create a life cycle opportunity through infrastructure
for the economy to grow and prosper and help keep families
together.
I think that was something that I hear a lot about
throughout town, throughout our urban area, that folks want to
stay in the area. They enjoy the quality of life. They enjoy
the Sierras, so they wanted to make sure the infrastructure
will be able to support that long-term growth.
Senator Menendez. Mr. Calabrese.
Mr. Calabrese. Yes, just if I can, you know, recent studies
said over 70 percent of the transit, public transit referendums
are approved. So people will vote more money for better public
transit. I think that is a trend that has been around for a
while and I think it is a great trend that I think will
continue.
Senator Menendez. One final question for all of you, anyone
who wants to offer any ideas. As we move toward--as I announced
legislation and we are in the midst of trying to get some
degree of a re-authorization on the Federal Highway and Mass
Transit Bill, if you had one or two things that do not exist or
that exist that you think do not work well, or could work
better, and you had the opportunity to right it and we could
pass it, what would that be?
Are there any incentives, any disincentives? Is there
something that we have that does not work well, something that
you would contemplate that we do not have that would be
valuable on the issues that we have talked about in terms of
livable communities?
Ms. Collins. Mr. Chairman, I wanted to comment on the
broadband accessibility. There are many programs that
communities can tap into for funding for broadband through USDA
and, of course, NTIA has had funding in the BTOP program.
The experience in our region with that has been that it is
very difficult to bring the private sector businesses to the
table when you have that funding stream that ties the hands of
what you have to do to address the broadband, to not make it
be--to have the tools and flexibility in place from a
standpoint of being able to work with the private sector,
because many of the telecommunication and utility companies
have specific methodologies and business plans for broadband.
They often are not--they do not gel with what the community
broadband does. And so, therefore, when a public sector entity
such as a county government or a county government regionally
working with city governments, which is what my experience has
been with broadband, receives a significant amount of funding
for middle mile projects such as $10 million.
The private sector is not there at the table because they
see it as government giving a handout to government. So what
needs to be done is a re-fashioning of how that is looked at
from a governmental perspective, to bring in the private sector
to the table. I know that the FCC is working on funding right
now and it has, you know, a call for proposals was out, and a
lot of the telecommunication firms and utility companies have
provided proposals.
But yet, there needs to be some kind of partnership
established so that it truly is a public/private partnership.
It is very difficult because they are in that industry and
government is really not in that industry.
Senator Menendez. Mayor?
Mr. Fulop. I was just going to say, on the infrastructure
projects, if there is something that we could continue.
Obviously, you have been an advocate in Hudson County and New
Jersey, speaking to the importance of both the State and
Federal Transportation Trust Fund. You know, the expansion of
that Hudson Bergen Light Rail is paramount to Jersey City, as
well as to Bergen County, as well as to Hudson County, and in
the expansion of the PATH system. And those are two
infrastructure projects.
The PATH system on the west side, there is an opportunity
which you are familiar with, and then the Hudson Bergen Light
Rail which you were the champion of when you were in the House
of Representatives in 2000. It has really transformed the
Jersey City waterfront and most of the city, and I think that
is really where the opportunities, if there is anything that we
can be investing in from a Jersey City, Hudson County
standpoint.
Senator Menendez. Mr. Calabrese.
Mr. Calabrese. Yeah, a couple things. One is, certainly, it
is great to build new projects, but we have got to be sure
there is enough money to maintain the projects we have. I think
that is really, really important. I see that every system,
including my own, there are tremendous needs. Our light rail
system turned 100 years last December 17th. Some of the parts
are original. It is also great to talk about expansion, but
really the state-of-good-repair issues are important.
Second, which does not take a lot of money, but one thing
that keeps me up at night is workforce development. We spend
some money at Rutgers, it is a great job, and NTI in training
the managers of the future. My big problem is finding the
mechanics of the future.
You know, the Federal Government is spending money by
helping us buy buses, but I think more money has to be invested
in training, developing, apprenticeship training programs for
the people who fix our buses, fix our trains, fix our signaling
system. They are not coming out of high school the way they did
when you and I were at school in that vein.
So we need to set up some programs and I think that with a
modest amount of money and encouragement by the Federal
Government, that would be important. If you can develop a
training program to fix a bus that can be applicable to 1,500
different transit systems instead of everyone developing their
own.
So it is a project, and in discussion with the FTA, they
certainly understand the issue. Eighty percent of the mechanics
in our industry will be retiring in the next 10 years. So we
have got to address that. And it is not just a good job, but it
is a job that helps other people get to work.
So if we can combine the Department of Transportation, the
Department of Labor, Department of Education in some kind of a
program to help train the transit workers of the future, I
think it would be a great thing for the re-authorization.
Senator Menendez. Mr. Gibson.
Mr. Gibson. Mr. Chairman, I think several things. One, I am
a big believer in the MPO process. We are the MPO, but we are
also the implementing agency as well. Anything that can be done
to help integrate metropolitan planning and project
implementation, to me, is always a good thing.
Second, I think there needs to be consideration given to
how Federal investments are coordinated through the MPO
process. When Federal investments are being planned in what I
call a customer service level, be it a Veteran's Administration
facility, a Social Security Administration facility, IRS,
Court, let us make sure that there is every effort made to
coordinate with the MPO and make sure that these facilities are
on transit routes and are available and can be served by public
transit.
Third, to Mr. Calabrese's point, fully funding the bus and
bus maintenance facilities program and making that a key piece
of re-authorization is important. Mid-size America has a lot of
challenges. We carry 52 percent of the transit passengers in
this country, but we need new facilities and new buses.
I like Joe's workforce development idea. Let us move
forward with that, but let us also make sure the new buses and
new technologies are there for them to work on. So those would
be my three wishes.
Senator Menendez. Great. Well, thank you all for some
valuable testimony. It seems to me that we believe that we can
build communities that can support jobs, that improve our
economic competitiveness at home and around the world, and I
hope to advance legislation in a bipartisan manner through the
Committee and through the Congress, and looking to incorporate
some of your ideas along the way.
This record will remain open until a week from today if any
Senators wish to submit questions for the record. We would ask
all of our witnesses, if you do receive questions, to please
respond to them as expeditiously as possible. And with the
thanks of the Committee, this hearing is adjourned.
[Whereupon, at 4:14 p.m., the hearing was adjourned.]
[Prepared statements and additional material supplied for
the record follow:]
PREPARED STATEMENT OF SENATOR DEAN HELLER
Chairman Menendez and Ranking Member Moran, I want to thank you for
inviting Mr. Lee Gibson, the Executive Director of the Washoe County
Regional Transportation Commission (RTC), to be an expert witness on
local and regional community development.
Mr. Gibson has made great progress in the vitality of Nevada's
transportation infrastructure. Focusing on Northern Nevada's
communities' present and future needs, Mr. Gibson's leadership has
steered the Washoe RTC down a path toward long-term sustainability.
Under Mr. Gibson's leadership, the Washoe RTC focuses on effective
planning and implementation of the surface transportation programs that
serve the citizens of Reno and Sparks, along with areas of Washoe
County.
The Washoe RTC has achieved LEED certification for a number of
their newly completed, recently opened transit centers and proudly
unveiled four new, all-electric buses that produce zero emissions in
April of this year. The agency has also developed the SouthEast
Connector, a major roadway recently recognized by the Federal Highway
Administration as an exemplary project worthy of demonstrating
sustainable design practices.
I welcome Mr. Gibson to testify before this Subcommittee, as his
policies have contributed to building economically resilient
communities in Nevada. Mr. Gibson's perspective and knowledge will
undoubtedly help Members of this Subcommittee and the Senate as a whole
as we develop Federal transportation policies.
______
PREPARED STATEMENT OF STEVEN M. FULOP
Mayor, Jersey City, New Jersey
July 22, 2014
Chairman Menendez, Ranking Member Moran, and Members of the
Committee, My name is Steve Fulop, and I'm the Mayor of Jersey City,
New Jersey. First, I want to thank the Committee for your support of
smart urban development policy, and especially for your help, through
the FTA, with the Hudson Bergen Light Rail. It has been
transformational for our region.
I appreciate the opportunity to testify before you today, because
the issues on which this Subcommittee focuses are becoming increasingly
important to every community in America, and especially to Jersey City
and New Jersey. As the largest city in the most densely populated
county in the most densely populated State in the Nation, we are seeing
a shift in the way people live, work, travel and interact with their
communities.
While much of the Nation doesn't look like Jersey City, it is in
many ways a picture of what's to come. America becomes denser and more
populous every year, so I think the Jersey City experience has national
relevance.
In general terms, I want to speak today about, transit-oriented
development livable communities, and investment in transportation
infrastructure.
Growing importance of inter-accessibility between communities
We as policymakers need to recognize the symbiotic relationship
between dense urban centers and more open residential communities. This
relationship will be of increased importance in the years to come,
because the balance of the United States' population is shifting toward
urban areas. The Nation's urban population increased by 12.1 percent
from 2000 to 2010, exceeding the overall growth rate of 9.7 percent for
the same period.
But this doesn't mean we should focus our efforts on cities
exclusively, because cities, suburbs and rural communities all support
one another. Suburban and rural communities need the economic dynamism
of cities, and cities need the workforce of suburbs and residential
communities.
As the trend of urbanization continues, our economic prosperity
will come to depend even more heavily our ability to move large numbers
of people in and out of urban centers quickly. This means direct
Federal investment in transportation infrastructure, and empowering the
local communities to make those investments. Investment, however, is
only half the equation; policymakers on Federal, State and local need
to reimagine the way we plan our cities and how we catalyze their
growth, both in terms of population and economic activity.
I'm here to suggest something really very simple: by connecting
people to opportunities, we unlock powerful cultural and economic
synergies.
I know infrastructure investment is a tall order both financially
and politically--capital projects in an era of growing government debt
is never easy--but if it's paired with smart urban planning and
development policy, it also holds tremendous opportunities and more
than pays for itself.
Jersey City: A Case Study
I'm here today to offer you Jersey City, my hometown, as proof of
that. Two decades ago, Jersey City's Hudson Riverfront was the picture
of urban decay. It was a largely abandoned, ex-industrial wasteland.
Defunct railroad yards and dilapidated warehouses dominated the
streetscape. That area, now often referred to as the Golden Coast, has
completely transformed. The decay has been replaced with glass and
steel skyscrapers, shops, restaurants, and small businesses. Thousands
of residential units and millions of square feet of retail and
industrial space are under construction right now.
The new prosperity of Jersey City's waterfront was built on the
foundation of a pre-existing public transit, the PATH, a trans-Hudson
metro. Thanks to Chairman Menendez, and the rest of the Subcommittee,
Jersey City's recovery accelerated with the opening of the Hudson
Bergen Light Rail system in 2000. Developers and public officials
quickly recognized the opportunity. And the results were immediate and
dramatic.
The Essex Street line on the light rail has catalyzed the building
of 3,000 residential units in 5 years. Liberty Harbor north, a transit-
oriented development which will consist of 6,000 residential units and
millions of square feet of residential space, is also clearly a result
of the light rail. Wherever there is a light rail or PATH station, we
see recovery, growth, and ultimately prosperity.
We need to press this advantage. Along with the Mayor of Englewood
Frank Huttle, I'm cochairing a commission of Hudson and Bergen Mayors
to make the northern branch extension, which would bring stimulate the
local economies to five more cities and give at least 130,000 people
access to new opportunities. I urge the Subcommittee to support this
project--one look at the effects of the current light rail proves the
value of this investment.
Rail transportation and transit-oriented development drive economic
development as well. Because of the light rail, the PATH, and the
implementation of housing policies which maximize their benefits,
Jersey City become has a regional employment center. Every day, 100,000
people come to Jersey City from New Jersey and New York to work, shop
and dine. Put simply, Jersey City is flourishing because it is
interconnected with surrounding communities.
This phenomenon isn't unique to Jersey City--The Center for Housing
Policy recently completed a review of studies on housing prices and
proximity to rail, and their findings make a powerful argument for
transportation infrastructure: According to dozens of studies from
across the country over decades, a nearby rail stop can add 6 to 50
percent to home values. When people are linked to opportunities, cities
prosper.
Transit is only one way to bring people and opportunities together;
another way to connect people with cultural, social, educational, or
economic opportunities is to create those opportunities where they
live. This approach, livable community development, means developing
housing and transportation choices near jobs, shopping, schools and
parks. The resulting neighborhoods are healthy, and environmentally
friendly with vibrant local economies and a strong sense of place and
community.
Lessons learned from Jersey City: Importance of long-term cross
jurisdictional planning
Both transit-oriented development and livable communities cannot
happen without proactive planning on the local and regional level. This
is where local policymakers need support from the Federal Government.
I'm here to urge you to incentivize planning and lend financial support
for these kinds of projects. Unfortunately, many local governments
operate reactively, putting out fires, and thinking months instead of
years ahead.
When plans are made, implementation funding must be cobbled
together haphazardly and projects lose momentum. As a result,
communities develop without a strategic vision guiding them, and
tremendous opportunities are missed. On the other hand, if local
leaders are equipped with the tools and resources to truly plan, to
coordinate their approach to future growth across jurisdictions and
over longer periods, then livable communities and transit-oriented
development are within reach.
Specific Recommendations
Expand the Hudson Bergen Light rail along the Northern
Corridor Branch--Hudson and Bergen counties are two of the most
densely populated in the State, and both have diverse, mature
economies. However, New Jersey is still struggling to
completely rebound from the recession and trails behind New
York and Pennsylvania in job recovery. To catch up, we need to
expand our transportation infrastructure to create jobs in New
Jersey and improve the quality of life for residents. Light
rail will do just that. We have seen the success the Light Rail
has had in stimulating residential and commercial development
in Jersey City and Hudson County, and so we can be certain that
a full expansion will transform economies around the new
stations as well as benefit the cities which already have light
rail service.
Increase trans-Hudson capacity--The most important thing we
can do for the entire northeast region is provide greater
access the New York City, a major regional economic driver.
Currently, all trans-Hudson thoroughfares are operating at or
near capacity. A commuter rail project to increase rail
capacity under the Hudson was a great idea when it was proposed
in the form of ARC in 1995. Now it is more than a great idea,
it is critical to the long term competitiveness of the region;
our lack of sufficient rail capacity under the Hudson holds our
regional economy back.
Whether it's ARC, the Gateway Project, an extension of the 7-train,
trans-Hudson capacity is about much more than New York and New
Jersey, the mile and a half under the Hudson river is the
single most significant bottleneck in the entire Eastern
Corridor. It's an expensive and difficult proposition, but the
increases in home values near transit will easily offset costs:
According to a study by the Regional Planning Association, ARC
could increase home values within two miles of train stations
by a cumulative $18 billion.
Extend PATH system to Newark Airport--The PATH system is
crucial to the region's economic health. Extending the network
as well as expanding capacity is a worthwhile investment. More
specifically, the planned PATH expansion to Newark airport will
help downtown Manhattan as well as Jersey City, Harrison and
Newark. It puts our region in a unique class with a single seat
ride to an airport. Even more significantly, the switchyard at
Newark airport will allow trains to run more frequently,
reducing head times at peak hours form four and a half minutes
to 2 minutes.
Renew commuter tax credit program--Hundreds of thousands of
New Jerseyans rely on this tax break to help them afford the
ever rising cost of commuting. Our region's economy as a whole
depends on transit and we must make sure it's not only
reliable, but affordable. This benefit incentivizes public
transit, which reduces congestion and carbon emissions, as well
as supports the economy. I urge you to make it permanent.
Continue to advocate for New Starts--As the primary source
of Federal funding for major transit capital investments,
including rapid rail, light rail, bus rapid transit, commuter
rail, and ferries, our Nation's ability to meet demand for
transit rises or falls with New Starts. One of the most
pressing challenges of the next half century will be to reduce
our Nation's dependence on fossil fuels for transportation, and
public transit is one of the few fully realized, cost-
competitive alternatives.
Revisit the Livable Communities Act--The Livable
Communities Act, proposed by Senator Menendez in 2011, has the
potential to improve all communities by supporting their
efforts to proactively plan for the future and chart a course
for getting there, rather than allowing it to play out
haphazardly, and reacting.
The legislation would actually save taxpayer dollars because
investments in facilities, infrastructure and services would be
coordinated and proactive. As a local leader, I know that top-
down mandates often fail to address the challenges unique to
each community. This bill recognizes that local leaders need
support from the Federal Government, not orders. It promoted
strategic thinking by incentivizing cross jurisdictional
partnerships to develop solutions that are mindful of local
assets, and needs.
Conclusion
In conclusion, let me reiterate my appreciation for the
subcommittees' continued support for smart, sustainable urban planning
and development policy. As you consider how to keep our communities
competitive and healthy, I urge you to empower local governments rather
than restrict them, and give them tools rather than mandates. Thank you
for the opportunity to testify here today and I look forward to
participating in the discussion around these issues in the future.
______
PREPARED STATEMENT OF JOSEPH A. CALABRESE
CEO and General Manager, Greater Cleveland Regional Transit Authority
July 22, 2014
My name is Joe Calabrese and I am the General Manager of the
Greater Cleveland Regional Transit Authority (RTA). I have worked in
the Public Transit Industry for over 30 years and have been in my
current position for more than 14 years.
The Greater Cleveland RTA is a multi-modal transit system
consisting of heavy rail, light rail, BRT, buses and paratransit,
serving approximately 200,000 customers on the typical weekday.
Approximately 63 percent of our customers use our services to get
to work, with an additional 23 percent using our services to get to
schools and universities.
As in many other cities, the use of public transit, and the
appreciation for the important role transit plays, is growing. No city
can function effectively without an effective public transit system. In
Greater Cleveland, RTA ``Connects the Dots''.
RTA's biggest challenge is keeping up with our aging
infrastructure's ``state-of-good-repair'' needs, for which Federal
Capital dollars are crucial. The USDOT estimates that, nationally, we
have a backlog of $87 billion in capital repairs, just to bring the
Nation's transit systems into a state-of-good-repair; not including
normal bus and facility replacements, nor the cost of any service
expansions.
There is a tremendous resurgence underway in Cleveland, Ohio. In
just the past few months we have signed ``Johnny Football'', been a
finalist for both the RNC and DNC 2016 national conventions, and
welcomed home Lebron James.
In the past few weeks, there have been articles in the New York
Times, the Los Angeles Times and USA Today chronicling Cleveland's
resurgence.
Political, civic and business leaders credit a visionary public
transit investment, which opened in 2008, as jumpstarting this economic
resurgence. That investment was a Bus Rapid Transit project along
Cleveland's ``Main Street'', Euclid Avenue, which we named the
HealthLine . . . and it has been great for the health of the city.
The HealthLine may have been the first FTA ``New Starts'' award for
a project that was not traditionally rail. Although the HealthLine
shares almost all the characteristics of a light rail system, except
that the vehicles have rubber tires and not steel wheels, it could be
constructed and operated for approximately \1/3\ the cost of rail.
These comments are by no means anti-rail. In many instances rail may be
the best alternative, but I believe that in many situations, BRT done
right, may be an even better answer.
These ``rail like'' characteristics are exclusive travel lanes,
traffic signal prioritization, precision docking, level boarding, off-
board fare collection, real-time information displays at 36 branded
stations, and 20, 62-foot long hybrid-electric rapid transit vehicles
with doors on both sides. Our commitment to the community was that the
HealthLine would be fast, clean, safe and first class. We promoted BRT
as a new mode that was not a bus, and not a train, but the future.
This project was very comprehensive and included new sidewalks,
curbs, roadway, lighting, traffic signaling systems, and bike lanes.
One hundred and eight (108) traditional bus stops were transformed into
36 well-lit and landscaped stations. The city of Cleveland even took
this opportunity to upgrade water and sewer lines along the corridor.
This project replaced RTA's #6 bus route along Euclid Avenue, which
was RTA's highest ridership bus route. The net result of the
HealthLine, for our customers, was a 30 percent quicker travel time and
a 48 percent increase in ridership just in the first year of operation,
with an increase in ridership of 60 percent at the 5-year mark.
The net result for the community was billions in related
investments. The $168.4 million New Starts grant, 50 percent of which
was funded through the FTA New Starts program, has now leveraged well
over $6 billion in development along the corridor.
In a front page article in the Cleveland Plain Dealer in February
of 2008, months before the HealthLine opened titled ``The Rebirth,''
credited the project with already bringing $4.3 billion of new
investment to the city.
The true economic development success of this 9.3 mile project,
which was completed, on-time and on-budget, was a result of others
leveraging this transit investment with private investments. These
private investments then encouraged others to likewise invest.
A 2013 study by the Institute for Transportation Development
Policy, concluded that the HealthLine had a return on investment at
$114 for every $1 invested.
Beyond the 3,360 job months created by construction, the City's
Department of Economic Development estimates that, as a result of this
project there has been:
540,000 square feet of renovated office space,
444,000 square feet of new constructed office space,
The doubling and more of land values, and
An additional 1,940 new jobs created.
An area that traditionally suffered from low occupancy rates has
been transformed to an area that is realizing occupancy rates
consistently in the area of 85 percent and above.
My champion on this project is a friend of many in this chamber,
George Voinovich. Cleveland Mayor George Voinovich saw the vision, Ohio
Governor George Voinovich was supportive and committed funding, and
Senator George Voinovich led the charge for Federal participation.
I am very proud of the role public transit played in leading a
tremendous resurgence in a city that, quite honestly needed help. This
could not have been done without the commitment from the Federal
Transit Administration and the support of Congress.
I urge a timely long-term fix for the Highway Trust Fund and the
Mass Transit Account, which includes an increased investment for
infrastructure state-of-good-repair efforts, workforce development and
for projects such as the HealthLine.
Without a long-term solution with predictable and dedicated
funding, projects such as the HealthLine, which take several years to
plan, design and build, simply cannot happen.
Such projects can revitalize our cities, meet the mobility needs of
our citizens and create needed jobs.
______
PREPARED STATEMENT OF LEE GIBSON, AICP
Executive Director, Regional Transportation Commission
of Washoe County (RTC)
July 22, 2014
Thank you very much Chairman Robert Menendez and Ranking Member
Jerry Moran for the opportunity to present this statement for the
record and speak today on the importance of transportation and economic
development in the Reno-Sparks metropolitan region in northern Nevada.
I also want to thank Nevada's Senators--Majority Leader Harry Reid and
Banking Committee Member Dean Heller who have both been outstanding
leaders for Nevada's interests during the Great Recession.
It's said that we can only be sure of death and taxes, but the
historical relationship of transportation with economic development,
land use, and housing is so strong, that I believe we can be equally
sure of that. From the earliest days of our country, the Federal
Government has furthered land and economic development with support for
turnpikes, canals, railroads, the Federal interstate system and more
recently, transit. Access is everything to the health of our
communities.
About the RTC
The Regional Transportation Commission (RTC) of Washoe County
serves as the metropolitan planning organization, local road builder
and regional transit authority to the nearly 500,000 residents and 5
million visitors to the Reno-Sparks metropolitan area. The RTC works
closely with Federal, State and local partners on project and program
service priorities to improve infrastructure and create jobs. The RTC
invests over $350 million a year in regional street, highway and public
transit projects, programs and services. Since 2009, RTC has completed
a number of significant regional street and highway projects funded
through a voter approved fuel tax indexing plan known as RTC-05. The
local option motor fuels tax is indexed to the producer price index and
since 2009 this program has generated over $500 million which has been
invested in the local economy through the construction of regional
roadways, preventative road maintenance, and reconstruction activities.
Projects funded with this local source of funding include widening the
freeway system, ongoing construction of a new north-south arterial
known as the Southeast Connector, and retrofitting local arterials with
bicycle lanes, improved sidewalks, traffic calming measures, and ITS
improvements.
The RTC recognizes the importance of investing in transit. The
RTC's public transit program includes operating over 70 fixed-route
buses and 40 paratransit vehicles, and promoting vanpool services. The
fixed-route and paratransit bus system serves an area of approximately
58 square miles and has an annual ridership of almost 8.5 million, and
the services are operated and maintained by private contractors. RTC
opened a bus rapid transit (BRT) line in 2010 called RAPID, with
advanced design stations, vehicles and utilizing ITS technology. The
service has been embraced by the community--Ridership on the BRT system
increased 19 percent since last year and has for 4 years running
sustained double digit percentage increases in ridership. RTC is
planning to expand the BRT system along 4th Street and Prater Way
linking downtown Reno and Sparks, as well as extending the BRT system
along Virginia Street to the University of Nevada Reno. The 4th Street
Prater Way project has already been approved into the Federal Transit
Administration's (FTA) Project Development phase of the Small Starts
program.
Planning Is Key
While we do not claim to have all the answers, there are a number
of examples that we can point to in our mid-sized metropolitan region
that may have applicability elsewhere. One of these is our planning
process to improve quality of life, promote safe and healthy
communities and develop our community both economically and
sustainably. Together with our stakeholders, the RTC has created a
unifying vision for regional development, based on scenario planning,
with broad involvement of the public at large, local elected officials
and the business community. The results of the most recent effort in
this educational, scenario planning and visioning exercise are
incorporated in the document submitted to the Committee with this
paper, the 2035 Regional Transportation Plan which reflects public
interest in livable communities with mixed uses that permit walking or
bicycling for many kinds of shopping, recreational and service needs.
Key to our planning process are partnerships that promote efficiency,
consensus, and sensitivity.
The Regional Transportation Commission of Washoe County was
recognized by the American Planning Association in 2013 for their 2035
Regional Transportation Plan, the region's 20-year long range plan that
followed an 18-month public participation process. The process entailed
an extensive and comprehensive community engagement program to develop
the transportation vision, policies and priorities for the Washoe
County metropolitan area's future transportation system.
Why Livability?
Our primary goal in Nevada is to create jobs and expand economic
opportunity. Key to the State's success is maintaining and improving
the quality of life for our residents and visitors. Very important to
our region is affordable housing, proximity to family and friends,
mobility, walkability, and public transportation. Clearly
transportation's contribution is critical to creating a 21st century
economy.
What we are learning from our community is that a large majority of
Millennials want access to better transit options and the ability to be
less reliant on a car. According to a new survey of Millennials in 10
major U.S. cities, released by The Rockefeller Foundation and
Transportation for America, more than half (54 percent) of Millennials
surveyed say they would consider moving to another city if it had more
and better options for getting around, and 66 percent say that access
to high quality transportation is one of the top three criteria they
would weigh when deciding where to live. Young people are the key to
advancing innovation and economic competitiveness in mid-sized cities,
like Reno and Sparks, Nevada. The RTC has to balance a car-centric
model of mobility and consider more equitable and sustainable
transportation options.
While I claim no expertise in the area of affordable housing, I
would point out that studies by the Brookings Institution and the Urban
Land Institute in recent years have demonstrated the close relationship
between transportation and housing costs. Families and seniors who
cannot afford housing close to central city jobs frequently buy further
out, with resulting increased household costs for transportation. This
often leaves the elderly and disabled isolated from community services.
Families in most American cities spend an average of 20 percent or more
of their household income on transportation--the largest single expense
outside of housing.
These community members are our friends and neighbors; some of them
are our honored service men and women; and, they rely on us to provide
transportation solutions critical to their well-being and mobility.
Across the country, the demand for more efficient and reliable
connections, by seniors and individuals with disabilities, to doctor
appointments, shopping, activities, religious services, among others,
is rapidly outpacing the ability to adequately provide service. The RTC
is working with our Federal delegation to develop a pilot program that
seeks to address these issues by expanding the flexibility of dedicated
Federal resources to include operating costs as eligible for formula
and grant funding; to increase the Federal match for senior and
disabled service; and to ensure that new Federal services and medical
facilities are sited along existing transit and transportation
corridors by requiring that these planning documents be reviewed and
approved by the local metropolitan planning organization.
Livability Projects in Washoe County
Our region values safety, access and mobility. In response the RTC
has developed and constructed several important projects to improve
quality of life; they are described here.
Sutro Street--This project improved conditions for transit riders
on three major bus routes in Reno. This project provides Washoe County
residents access to schools, work and medical facilities. Most notably
the routes on this section of Sutro Street provide access to the Senior
Center, the Salvation Army, the Washoe Ability Resource Center, Renown
Regional Medical Center and multiple schools including Charter and high
schools. Seventeen bus stops were improved to benefit the quality of
life for the substantial elderly and disabled population in this area.
RAPID BRT service on Virginia Street--The Virginia Street Corridor
is the cornerstone of RTC transit service; designated a Transit-
Oriented Development (TOD) corridor by the city of Reno, and selected
by the Truckee Meadows Regional Planning Agency as the preferred
corridor for demonstrating TOD operational and development strategies,
improvements along Virginia Street will attract choice riders. This Bus
Rapid Transit line also known as RAPID operates for 7 miles along
Virginia Street and includes upgraded bus stops, real-time vehicle
arrival information, distinctive articulated buses, queue-jumping
lanes, signal pre-emption or priority and designation of existing curb
or roadway lanes. The new demonstration service began operation on in
October 2012 and data show a 10 percent increase in ridership in the
corridor.
4th Street Station and Centennial Plaza--This project created
intermodal transportation facilities in Downtown Reno and Sparks that
are currently operating over capacity. The new transit centers were
designed to meet long-term transportation demands as well as community
needs including childcare, retail services, access to a shelter and new
baseball park.
Investing in the Future of Northwestern Nevada
4th Prater Way--This project will improve safety, support local
redevelopment plans, and improve infrastructure for walking, biking,
and transit. The 4th Street/Prater Way Complete Streets Project will
reconstruct and revitalize our historic and aging downtown corridor by
upgrading the arterial roadway that links Reno to the city of Sparks
and the greater Washoe region. The design of this project benefited
from extensive public involvement and reflects the community's demand
for a rapid transit corridor, commuter bike lanes, accessible
sidewalks, enhanced bus stops, traffic signal coordination
infrastructure and traffic calming features.
Virginia Street RAPID Extension linking UNR/Midtown/Downtown--This
year, the RTC will be considering an extension of the RAPID BRT from
downtown to the University of Nevada. In addition, the RTC must
retrofit an existing maintenance facility as well as construct a new
large vehicle facility to accommodate additional articulated buses and
clean fuels vehicles.
Southeast Connector--This highway project is an important regional
investment in the Truckee Meadows that addresses the long-term
transportation needs to improve the safety and mobility of people,
goods, and services in the Reno/Sparks area. The project is an ongoing
effort between the RTC, partner agencies, and the community that began
almost 50 years ago. Once completed, the new Southeast Connector
roadway, which will be called Veterans Parkway, will stretch 5.5 miles
from the intersection of Greg Street and Sparks Boulevard at the
northern end, to the existing intersection of Veterans Parkway and
South Meadows Parkway at the southern end. The Southeast Connector
Project will provide many long-term benefits to the community and to
the quality of life of Truckee Meadows residents. Utilizing valuable
input received from Federal, State, and local agencies; regional
environmental groups; and local business and community organizations,
the project team has developed strategies to optimize traffic
operations; enhance the environment within the corridor; and maximize
the safety of drivers, bicyclists, and pedestrians.
Principles for Reauthorization
Raise the gas tax--The citizens of Washoe County Nevada have
increased local fuel taxes and so have many other communities around
the country because the voters understand the importance of the need to
invest in infrastructure and the link that has to economic development.
The Federal Government should do the same. Congress should continue to
look for other ways to expand the base of funding like off shore tax
relief for foreign investments brought home.
Congress should continue to utilize the gasoline tax as a source of
revenue for the Highway Trust Fund, and increase it to ensure adequate
resources for future needs. The gasoline tax has not been raised in 20
years and has not kept pace with the increasing costs of highway and
transit maintenance and construction. The history of the Federal
gasoline tax goes back to 1932, when the Federal Government levied a 1-
cent tax. Three presidents increased the gasoline tax to reduce
deficits at the time. President Reagan was the first to do so in 1983
when he raised it to 9 cents followed by President Bush who raised it
to 14.1 cents in 1990 and finally, President Clinton who raised it to
18.4 cents in 1993.
By increasing the gas tax, Congress can decrease or even eliminate
the reliance on general funds and fund infrastructure repair. Indexing
the tax would help ensure that revenues keep pace with costs in the
future. In 2009, Washoe County residents passed a measure that indexed
the local gas tax and allotted those funds to road construction and
repair. Indexing has been successful and is credited with creating
opportunities for economic development, and improving transportation
options for people to get to work, school, health care, and daily
activities in Northern Nevada.
There is growing recognition of America's underinvestment in its
infrastructure. It is paramount that Congress return solvency to the
Highway Trust Fund and the mass transit account. The American Society
of Civil Engineers gave our country's infrastructure a D+ as many
elements of our most critical systems are aging, deteriorating and
severely congested. By allotting sufficient funding to the Highway
Trust Fund, Congress can ensure that our country's infrastructure is
sustainable and safe for future use.
Federal Funding for Bus and Bus Facilities--Many of the Nation's
small- and mid-sized transit authorities lack sufficient capital
funding to construct and develop bus maintenance facilities and
stations, and to purchase vehicles and equipment. MAP 21 significantly
reduced the amount of bus program funds available--in effect cutting
the longstanding bus program in half. There is a severe and inequitable
imbalance between the funding available for bus capital and the needs
that exist. According to The Bus Coalition, bus systems in the United
States carry more than 52 percent of all transit riders yet receive
only 9.5 percent of capital program funds under MAP 21. Congress should
restore that funding and create a competitive discretionary program
that would provide FTA with the authority to fund both the development
of facilities/stations and bus purchases alike.
The RTC is considering the construction of a new vehicle
maintenance facility to replace our current one located under the US395
viaduct. Height limitations and the inability to use alternative fuels
make this facility outdated and inefficient. However, because the
funding for the FTA bus and bus facility program was significantly cut
in MAP 21 and the remaining funds formularized, it is unlikely RTC will
be able to amass the capital necessary to develop such a facility
anytime soon. This will limit our ability to expand public
transportation service, increase our use of alternative fuels in our
fleet, maintain vehicles in a state of good repair, and continue to
support job growth in emerging sectors of the economy.
Washoe County's need for a new maintenance facility would qualify
for funding under a restored bus program, and benefit many other
communities across the country facing these similar funding challenges.
Increased funding for this program would directly translate into jobs
and an improved state-of-repair of our transit infrastructure.
Federal policies should support Smart Growth and Complete Streets
legislation--Transit-oriented development should be supported with
Federal tax credits, incentives to banks to lend money to TOD
developers. Further, USDOT should encourage the development of greater
responsibility by regional planning agencies and/or Metropolitan
Planning Organizations for the coordination of federally supported
transportation with federally supported housing and environmental
decisions.
Streamline Federal Regulatory and Permitting Process--There is a
continuing need to reduce the regulatory burdens posed by the
permitting and environmental processes. While we recognize the
important role environmental requirements play in developing
transportation projects, the process should be more transparent and
streamlined. Project sponsors are hindered in their planning efforts by
unnecessary delays in the regulatory process and inability of Federal
agencies to act in a timely way on permit applications. Many aspects of
the Federal permitting process are laden with uncertainty and
unpredictability that hinders investment, economic growth, and job
creation.
Conclusion
National goals for global competitiveness, energy security,
environmental sustainability and economic vitality, all point to
transportation investment. When compared with Europe and much of Asia,
our current transportations systems struggle to compete. We need
efficient, multi-modal rural, suburban and urban transportation systems
that will keep America's economic engines productive and efficient.
Federal standards should be established to promote and support the
incremental development of top quality public transit systems,
providing real travel choices to residents, in every area of our
country--decisions for investments over the next 30 years that will
affect future generations. New paradigms must include sustainability,
environmental responsibility, accountability, walkability, regional
planning, urban goods movement, and transportation and housing choices.
Thank you again for this opportunity.
______
PREPARED STATEMENT OF CLAIRE COLLINS
Supervisor, Bath County, Virginia
on behalf of the National Association of Counties (NACo)
July 22, 2014
Thank you, Chairman Menendez, Ranking Member Moran and Members of
the Subcommittee for the opportunity to testify today on building
economic resilient communities at the local level.
My name is Claire Collins and I am a County Supervisor in Bath
County, VA. Today I am testifying on behalf of the National Association
of Counties (NACo) which represents all 3,069 county governments in the
United States.
About NACo
Founded in 1935, NACo assists America's counties in pursuing
excellence in public service to produce healthy, vibrant, safe and
resilient counties. NACo promotes sound public policies, fosters county
solutions and innovation, promotes intergovernmental and public-private
collaboration and provides value-added services to save counties and
taxpayers money.
This past year, NACo and counties across the country have been
working on the ``Resilient Counties'' initiative that was created to
help counties bolster their ability to thrive amid ever-shifting
physical, social and economic conditions--including unexpected events
ranging from natural or man-made disasters, plant closures and declines
in specific industries. Through this initiative, NACo has worked to
strengthen county resiliency by building leadership capacity to
identify and manage risk and enable counties to become more flexible,
responsive and prepared.
I want to thank you, Chairman Menendez, Ranking Member Moran and
Members of this Subcommittee for recognizing the importance of
strengthening the economic resiliency of our communities, and again,
for allowing me to testify on behalf of NACo.
Today I will focus my remarks on the how counties, and especially
rural counties, across the country have bolstered their ability to
thrive amid ever-shifting physical, social and economic conditions and
what more can be done at the Federal level to support local economies.
Specifically, I will address three key issues:
1. Rural counties play a key role in building economically resilient
communities
2. Improving transportation systems, housing options and job
opportunities is critical to enhancing local economic
development and resiliency
3. Strengthening the Federal-State-local partnership is critical to
local economic resiliency
Rural counties play a key role in building economically resilient
communities.
First, Mr. Chairman, counties play a distinctive role in economic
resiliency as stewards of their local communities and are an integral
part our Nation's intergovernmental system of Federal, State and local
governments.
Counties are responsible for supporting and maintaining key public
infrastructure, transportation and economic development assets;
creating and sustaining a skilled workforce to meet the needs of
business; promoting public health and public safety to protect our
citizens and implementing a broad portfolio of Federal, State and local
programs in a cost-effective and accountable manner.
Counties maintain safe roads, bridges, airports and transit systems
and ensure that we have clean water and effective wastewater systems.
They maintain our parks and recreation programs, libraries and
recycling facilities. They also provide access to health care,
especially for the uninsured and indigent, and serve as the community
``safety net'' for our children, elderly, disabled, mentally ill, and
other vulnerable populations.
At the leadership level, county elected officials are tasked with
shaping county and community policies and investments that enable
economic and community development and are instrumental in moving their
communities forward by providing the business conditions, critical
infrastructure and capital necessary for private industry to flourish.
In an era where ``doing more with less'' has become the norm, counties
must make certain that the investments made in building communities
carry through the long term.
My county, Bath County, is located in the Alleghany Mountains of
Virginia with a population just over 4,600. Our rural county has
actively engaged the local community to build an economy that is both
strong and resilient. Although we face many challenges, we are focusing
on improving our transportation systems, developing infrastructure,
providing affordable housing opportunities, and building and sustaining
a skilled workforce that can help our community be globally
competitive.
For an example of how we are working to create the partnerships and
environment needed for economic resilience, Bath County uses its
convening powers to engage businesses as part of the Shenandoah Valley
Partnership (SVP)--which includes the neighboring counties of Augusta,
Highland, Page, Rockingham, Rockbridge, and Shenandoah. SVP is not only
a public-private-partnership, but is the one-stop economic development
resource for businesses seeking expansion or location in Virginia's
Shenandoah Valley. Through regional cooperation, this partnership
between the public and private sectors brings together business,
government, and education leaders to promote new investment, strengthen
existing business and guide labor force development to ensure a healthy
economic future for the region.
Other counties across the country are also utilizing strategic
partnerships to build and strengthen their local economies. For
example, the Region Five County Development Commission in rural central
Minnesota developed a plan to create a community driven-university
assisted partnership around a long-term vision for the region that will
integrate housing, transportation, natural environment (land use) and
economic development (including energy and local foods). The strategies
they are developing through civic engagement will provide opportunities
and improve the quality of life of all residents.
For homeownership, the five county region created Central Minnesota
Housing Partnership's (CMHP) Home Stretch classes to educate residents
about home buying, including potential downpayment assistance or other
programs to help homebuyers get into their home and/or receive funds
for energy efficiency improvements. Through their Resilient Regional
Transportation Plan, they are seeking to ensure that transportation
projects are designed to serve the regions' mobility, land use and
economic development needs in a safe manner. Other pieces of
transportation system are to maintain and improve the existing road
system, increase public transportation services in the region, and
expand infrastructure serving pedestrians and bicyclists.
Collaboration and partnerships like these will enable rural
communities to provide more opportunities for the businesses and
citizens we serve.
Second Mr. Chairman, improving transportation systems, housing options
and job opportunities is critical to enhancing local economic
development and resiliency.
Counties across the country are also responsible for building and
maintaining 45 percent of the public roads, 230,690 bridges and are
involved in a third of the Nation's transit and airport systems that
connect residents, businesses and communities.
Federal and State highway funding for county transportation
projects is increasingly not meeting local needs. Based on Federal
Highway Administration (FHA) data, the share of Federal and State
funding to local governments for highways decreased by 10 percent
between 1998-2011. The latest Federal surface transportation law (MAP-
21) further skewed the allocation of funds away from local governments.
While local governments own 43 percent of the Federal-aid highways
system, local areas receive a suballocation that is equal to 16 percent
of the MAP-21 National Highway Performance Program (NHPP) and the
Surface Transportation Program (STP) funding for Federal-aid highways.
A combination of Federal budget cuts, the effect of the recession on
State and local governments are contributing to a widening gap in
transportation funding available to counties.
Further, counties--and especially rural counties--face the dilemma
of rising costs of infrastructure projects and limitations on their
ability to generate revenue. The cost of construction and materials
increased by 44 percent between 2000-2013, more than the 35 percent
rise in the overall rate of inflation. At the same time, most States
limit counties' ability to raise revenue. Forty-three (43) States have
some type of limitation on the property taxes collected by counties,
including 38 States that impose statutory limitations on property tax
rate, property tax assessments, or both. Only 12 States authorize
counties to collect their own local gas taxes, which are limited to a
maximum rate in most cases and often involve additional approvals for
implementation.
Despite these challenges, counties across the Nation invest $25
billion annually in economic development efforts. They spend $106
billion annually to build, maintain and operate roads, bridges,
transit, water systems and other public facilities.
Through such investments in infrastructure, counties have
facilitated private sector growth and accelerated economic development.
NACo has also found that counties can facilitate economic growth by
leveraging transportation and infrastructure assets to forge private
sector partnerships and attract new businesses.
For example, Rutherford County, NC (with a population of 67,300),
used the decline of the local manufacturing sector as an opportunity to
diversify and strengthen its economic base. They did this by treating
existing infrastructure assets, such as vacant industrial buildings, a
robust electric power and water network, and broadband expansion, as
marketing tools to attract data centers to the county. In 2010,
Rutherford County successfully recruited Facebook to invest over $900
million in two new data centers. Because data centers require access to
a massive and reliable energy source along with a supply of water to
serve as a coolant, county leaders were able to make the case that
locating to Rutherford County was the most affordable option for
Facebook.
Another example of a smaller rural county utilizing existing
infrastructure assets to create economic development under challenging
circumstances at the Federal level is Brookings County, South Dakota.
Brookings County developed an innovative public-private partnership to
help realize a county-wide economic development vision that targeted
investments to support growth industries. Brookings County has a
population of just over 32,000, and has experienced a 20 percent
population growth in the past 10 years. The county has utilized its
many existing amenities to support successful business development and
entrepreneurship, including its location along a major transportation
corridor in eastern South Dakota and its vicinity to South Dakota State
University. In fact, the Vision Brookings Coalition, a partnership with
Brookings Economic Development Commission, the area Chamber of Commerce
and Downtown Brookings, Inc., raised $4.1 million in 5 years to support
projects like the construction of the South Dakota State University
Innovation Campus. That particular site has walking, jogging and bike
trails, and is accessible via public transportation. An analysis shows
that the short-term impacts of these investments included over 1500 net
new jobs created from 2006-2009, 25 new retail establishments, and the
construction of over 700 housing units.
Planning for economically resilient communities is by its nature a
regional effort. Counties are unique in that they are at their core a
regional form of government, especially in rural America. Whether
acting individually, with neighboring jurisdictions or through regional
councils, counties have the primary role in land-use planning and
economic development decisions that impact and determine the growth,
development and livability of communities.
Third Mr. Chairman, strengthening the Federal-State-local partnership
is critical to local economic resiliency.
Over the past half-century, State and local governments have
increasingly borne the cost of infrastructure and public improvements.
According to the Congressional Budget Office, about 75 percent of
public funding for transportation and water infrastructure alone is
supplied by State and local governments. It goes without saying that
the increased economic burden taken on by State and local governments
decreases their economic resiliency as they strain to meet the many
needs of their residents.
The growing burden taken on by our local and State governments is
especially problematic for our Nation's rural communities, which are
facing enormous pressure from global competitors. Our rural regions
have the capability and drive to compete and take advantage of new
opportunities, and it is therefore imperative that the Federal
Government have the policies, program tools and flexibility to assist
rural communities and regions with cutting-edge, asset-based regional
innovation strategies and investments.
To be successful in the modern economy, rural entrepreneurs and
communities must be connected to global and domestic markets--
digitally, institutionally, and physically. This requires a new level
of sophistication and capacity within our rural regions and within our
Federal agency partners. It will also mean improving Federal
interagency collaboration, fostering stronger public-private-nonprofit
partnerships, preparing our rural workforce for new challenges and
developing more modern infrastructure and community facilities.
The importance of Federal partnerships with State and local
governments is demonstrated through the positive results of existing
examples of such partnerships.
In Bath County, we are partnering with the Federal Government to
develop and expand broadband accessibility for our local community.
Through a grant from the U.S. Department of Housing and Urban
Development's Community Development Block Grant program, we are working
to address our region's broadband needs and are in the process of
determining whether to build our own system or partner with the private
sector to expand broadband accessibility. Through the planning grant,
our counties recognize the economic value of expanding broadband and
how it is critical to maintaining a skilled workforce, attracting and
expanding businesses, and ensuring the overall competitiveness of our
region.
Bath County also relies on Federal partnerships to address our
communities' pressing housing needs. With limited and dilapidated
housing for our existing workforce and low- to moderate-income
individuals, two Community Development Block Grants were awarded to
rehabilitate and reconstruct homes and improve infrastructure, drainage
and roads in two neighborhoods. One of these grant funded projects,
Pinehurst Heights Community Improvement Project is near completion and
the second project, the Thomastown Community Improvement Project, is
just beginning. The Thomastown project will benefit at least 60
residents, of which 33 will be low- to moderate-income (LMI) residents.
This project will stabilize the neighborhood, preserve existing housing
stock and improve the overall environment and living conditions of the
Thomastown area.
These are just some of the examples of effective partnerships
between Federal and local governments that provide much-needed
assistance to local communities in their efforts to provide needed
services to their residents. Continuing, expanding and strengthening
these partnerships is imperative to increasing local economic
resiliency across our Nation.
Conclusion
In conclusion, Mr. Chairman, counties have a unique role in
economic development and building resilient communities--specifically
as partners with other levels of government, the private sector and
nonprofits. The main reason counties engage in economic development and
resiliency initiatives is to improve the well-being of their
communities and the people they serve.
Counties of all sizes across the country are problem-solvers, able
to adjust their initiatives and programs to match local assets and
needs, and have a distinct ability to mobilize and coordinate resources
for economic development. Local economic development challenges often
require a regional solution and counties are best positioned to serve
as conveners for such initiatives due to the legitimacy and
accountability they have as formal governments covering both
incorporated and unincorporated areas in a region. This enables us to
exercise leadership in collaboration with both local public and private
entities to address common economic resiliency challenges.
Counties understand that strategic planning with partners at the
Federal, State and local levels is necessary to build strong economies
and to make their communities more resilient to unexpected events
ranging from natural disasters to plant closures and long-term declines
in specific industries. As both global and local challenges arise,
counties are poised to lead, convene and participate in economic
development efforts.
Thank you again, Mr. Chairman and Members of the Subcommittee, for
the opportunity to appear before you today. We appreciate your interest
in exploring new opportunities to build economically resilient
communities at the local level.
We look forward to continuing the dialogue with you. I would be
pleased to answer any questions.
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