[Senate Hearing 116-587]
[From the U.S. Government Publishing Office]


                                                        S. Hrg. 116-587

                      THE STATE OF TRANSPORTATION
                 AND CRITICAL INFRASTRUCTURE: EXAMINING
                  THE IMPACT OF THE COVID-19 PANDEMIC

=======================================================================

                                HEARING

                               BEFORE THE

                         COMMITTEE ON COMMERCE,
                      SCIENCE, AND TRANSPORTATION
                          UNITED STATES SENATE

                     ONE HUNDRED SIXTEENTH CONGRESS

                             SECOND SESSION

                               __________

                              JUNE 3, 2020

                               __________

    Printed for the use of the Committee on Commerce, Science, and 
                             Transportation
                             
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                Available online: http://www.govinfo.gov
                
                                __________
                                
                    U.S. GOVERNMENT PUBLISHING OFFICE                    
52-673 PDF                 WASHINGTON : 2023                    
          
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       SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION

                     ONE HUNDRED SIXTEENTH CONGRESS

                             SECOND SESSION

                  ROGER WICKER, Mississippi, Chairman
JOHN THUNE, South Dakota             MARIA CANTWELL, Washington, 
ROY BLUNT, Missouri                      Ranking
TED CRUZ, Texas                      AMY KLOBUCHAR, Minnesota
DEB FISCHER, Nebraska                RICHARD BLUMENTHAL, Connecticut
JERRY MORAN, Kansas                  BRIAN SCHATZ, Hawaii
DAN SULLIVAN, Alaska                 EDWARD MARKEY, Massachusetts
CORY GARDNER, Colorado               TOM UDALL, New Mexico
MARSHA BLACKBURN, Tennessee          GARY PETERS, Michigan
SHELLEY MOORE CAPITO, West Virginia  TAMMY BALDWIN, Wisconsin
MIKE LEE, Utah                       TAMMY DUCKWORTH, Illinois
RON JOHNSON, Wisconsin               JON TESTER, Montana
TODD YOUNG, Indiana                  KYRSTEN SINEMA, Arizona
RICK SCOTT, Florida                  JACKY ROSEN, Nevada
                       John Keast, Staff Director
                  Crystal Tully, Deputy Staff Director
                      Steven Wall, General Counsel
                 Kim Lipsky, Democratic Staff Director
              Chris Day, Democratic Deputy Staff Director
                      Renae Black, Senior Counsel
                            
                            C O N T E N T S

                              ----------                              
                                                                   Page
Hearing held on June 3, 2020.....................................     1
Statement of Senator Wicker......................................     1
Statement of Senator Cantwell....................................     3
Statement of Senator Fischer.....................................    55
Statement of Senator Udall.......................................    57
Statement of Senator Blackburn...................................    58
Statement of Senator Baldwin.....................................    60
Statement of Senator Thune.......................................    61
Statement of Senator Rosen.......................................    63
Statement of Senator Capito......................................    65
Statement of Senator Scott.......................................    67
Statement of Senator Duckworth...................................    68
Statement of Senator Lee.........................................    70
Statement of Senator Blumenthal..................................    72

                               Witnesses

John Bozzella, President and Chief Executive Officer, Alliance 
  for Automotive Innovation......................................     4
    Prepared statement...........................................     6
Randy Guillot, Chairman of the Board, American Trucking 
  Associations...................................................    25
    Prepared statement...........................................    26
Ian N. Jeffries, President and Chief Executive Officer, 
  Association of American Railroads..............................    38
    Prepared statement...........................................    40
Alex Oehler, Interim President and Chief Executive Officer, 
  Interstate Natural Gas Association of America..................    42
    Prepared statement...........................................    44
Larry I. Willis, President, Transportation Trades Department, 
  American Federation of Labor and Congress of Industrial 
  Organizations (AFL-CIO)........................................    46
    Prepared statement...........................................    47

                                Appendix

Letter dated June 1, 2020 to Hon, Roger Wicker from Christopher 
  J. Cooper, President and CEO, American Association of Port 
  Authorities (AAPA).............................................    77
Letter dated June 2, 2020 to Hon. Roger F. Wicker and Hon. Maria 
  Cantwell from CJ Evans, Executive Director, Alternative Fuels & 
  Chemicals Coalition (AFCC).....................................    79
Letter dated June 2, 2020 to Hon. Roger Wicker and Hon. Maria 
  Cantwell from Allen R. Schaeffer, Executive Director, Diesel 
  Technology Forum...............................................    87
Letter dated June 3, 2020 to Hon. Roger Wicker and Hon. Maria 
  Cantwell from John Bozella, President and CEO, Alliance for 
  Automotive Innovation..........................................    91
Letter dated June 3, 2020 to Hon. Roger Wicker and Hon. Maria 
  Cantwell from Robyn Boerstling, Vice President, Infrastructure, 
  Innovation and Human Resources Policy, National Association of 
  Manufacturers..................................................   100
Letter dated June 3, 2020 to Hon. Roger Wicker and Hon. Maria 
  Cantwell from Shailen Bhatt, President and CEO, The Intelligent 
  Transportation Society of America..............................   102
Letter dated June 3, 2020 to Hon. Roger Wicker and Hon. Maria 
  Cantwell from Bill Long, President and CEO, Motor & Equipment 
  Manufacturers Association......................................   105
Letter dated June 3, 2020 to Hon. Roger Wicker and Hon. Maria 
  Cantwell from Michael W. Johnson, President and CEO, National 
  Stone, Sand and Gravel Association.............................   109
Prepared statement of Catherine Chase, President, Advocates for 
  Highway and Auto Safety........................................   110
Prepared statement of American Bus Association...................   119
Prepared statement of The Transportation Alliance (TTA)..........   120
Prepared statement of David H. Fialkov, Vice President, 
  Government Affairs, Legislative and Regulatory Counsel, 
  National Association of Truckstop Operators (NATSO)............   130
Letter dated June 4, 2020 to Hon. Roger Wicker from K.N. Gunalan, 
  Ph.D., P.E., D.GE, F.ASCE, ASCE President 2020.................   134
Prepared statement of American Society of Civil Engineers........   135
Prepared statement of Chuck Baker, President, American Short Line 
  and Regional Railroad Association (ASLRRA).....................   136
Response to written questions submitted to John Bozzella by:
    Hon. Roger Wicker............................................   139
    Hon. Dan Sullivan............................................   140
    Hon. Marsha Blackburn........................................   141
    Hon. Maria Cantwell..........................................   141
    Hon. Kyrsten Sinema..........................................   142
Response to written questions submitted to Randy Guillot by:
    Hon. Dan Sullivan............................................   143
    Hon. Maria Cantwell..........................................   143
    Hon. Kyrsten Sinema..........................................   144
Response to written questions submitted to Ian N. Jefferies by:
    Hon. Dan Sullivan............................................   146
    Hon. Marsha Blackburn........................................   149
    Hon. Maria Cantwell..........................................   149
    Hon. Jacky Rosen.............................................   151
    Hon. Kyrsten Sinema..........................................   152
Response to written questions submitted to Alex Oehler by:
    Hon. Dan Sullivan............................................   155
    Hon. Marsha Blackburn........................................   156
Response to written questions submitted to Larry I. Willis by:
    Hon. Maria Cantwell..........................................   157
    Hon. Amy Klobuchar...........................................   158
    Hon. Kyrsten Sinema..........................................   159

 
                    THE STATE OF TRANSPORTATION AND
                   CRITICAL INFRASTRUCTURE: EXAMINING
                  THE IMPACT OF THE COVID-19 PANDEMIC

                              ----------                              


                        WEDNESDAY, JUNE 3, 2020

                                       U.S. Senate,
        Committee on Commerce, Science, and Transportation,
                                                    Washington, DC.
    The Committee met, pursuant to notice, at 2:33 p.m. in room 
SD-G50, Dirksen Senate Office Building, Hon. Roger Wicker, 
Chairman of the Committee, presiding.
    Present: Senators Wicker, Thune, Fischer, Sullivan, 
Blackburn, Capito, Lee, Young, Scott, Cantwell, Blumenthal, 
Udall, Peters, Baldwin, Duckworth, Tester, Sinema, and Rosen.

            OPENING STATEMENT OF HON. ROGER WICKER, 
                 U.S. SENATOR FROM MISSISSIPPI

    The Chairman. The Committee will come to order.
    Today the Committee convenes for a hearing on the State of 
Transportation and Critical Infrastructure: Examining the 
Impact of the COVID-19 Pandemic.
    I welcome our panel of witnesses and thank them for 
participating. Today we will hear from Mr. John Bozzella, 
President and CEO, Alliance for Automotive Innovation; Mr. 
Randy Guillot, Chairman of the Board, American Trucking 
Associations; Mr. Ian Jeffries, President and CEO, Association 
of American Railroads; Mr. Alex Oehler, Interim President and 
CEO, Interstate Natural Gas Association of America; and Mr. 
Larry Willis, President, Transportation Trades Department, AFL-
CIO.
    Thank you all for being here, and I understand Mr. Guillot 
is testifying remotely. So welcome to each and every one of 
you.
    The Committee has conducted several oversight hearings on 
COVID-19, including a comprehensive look at the aviation 
industry. We are continuing those discussions by considering 
the impact of the COVID-19 virus on surface transportation and 
its critical infrastructure employees. The pandemic has 
underscored the importance of our transportation network in 
moving goods and people safely and efficiently, as well as 
ensuring supply chain fluidity in response to the unexpected 
events.
    We are grateful for the many frontline workers who have 
shown remarkable resilience and resourcefulness to help deliver 
critical care, services, and supplies to those in need. The 
transportation sector has countless numbers of these unsung 
heroes.
    Ranking Member Cantwell and I recently introduced the 
Critical Infrastructure Employees Protection Act, along with 
Senators Sullivan and Young, to provide support for our 
frontline critical infrastructure employees. The bill would 
direct the Department of Transportation to coordinate with the 
Centers for Disease Control and Prevention and the Federal 
Emergency Management Agency to support State and local 
governments in making sure that critical infrastructure 
employees have access to testing and personal protective 
equipment.
    The COVID-19 crisis has had dramatic effects on the 
transportation sector. U.S. rail traffic has seen some of the 
weakest levels since the great recession. The American Trucking 
Associations' for-hire truck tonnage index dropped 12.2 percent 
in April. Automotive production reached its lowest level since 
World War II. In Mississippi, we saw the closure of auto and 
truck manufacturing plants affecting thousands of employees and 
families.
    Yet in the face of adversity, our transportation network 
and its hardworking employees have persevered. During the 
pandemic, some automakers have been producing ventilators and 
they continue to do so as they reopen manufacturing plants. 
Freight railroads prioritized movement of essential materials 
to manufacturers who are making protective gear for hospital 
staff. Truck drivers have continued delivering goods to 
hospitals, markets, and homes. And pipeline employees have 
ensured their operations keep our homes, businesses, and 
hospitals running.
    The transportation sector has also embraced technology in 
responding to COVID-19. We have seen the use of automated 
vehicle systems and ride-hailing vehicles to deliver food to 
frontline workers and transport medical supplies and testing 
equipment.
    The U.S. DOT has worked diligently to support the 
transportation sector through emergency actions, stakeholder 
guidance, and regulatory relief.
    The CARES Act provided help to Amtrak, aviation, and 
transit. We included language to give states flexibility on 
highway safety grants, and two weeks ago, the Committee passed 
legislation, which Ranking Member Cantwell and I introduced 
with Senators Thune, Fischer, and Duckworth, that would give 
states flexibility on their use of Federal funds for commercial 
motor vehicle safety activities.
    Today's hearing provides an opportunity for witnesses to 
discuss how COVID-19 has affected the transportation sector, 
including its employees and customers, and further, to discuss 
how Congress can support these efforts. I would ask our 
witnesses to describe the work of their members to provide 
critical services throughout this crisis and how they see 
transportation policy being affected as our Nation begins to 
move forward.
    This hearing highlights only a few elements of the 
transportation sector. To gain additional insight, Ranking 
Member Cantwell and I are sending a letter to other 
transportation groups to solicit their feedback as well.
    Again, I would like to thank our witnesses for 
participating in this hearing, as well as the entire 
transportation sector and their workers for their response to 
this pandemic.
    I now recognize my dear friend and ranking member, Senator 
Cantwell, for her comments.

               STATEMENT OF HON. MARIA CANTWELL, 
                  U.S. SENATOR FROM WASHINGTON

    Senator Cantwell. Thank you, Mr. Chairman, and thank you 
for holding this hearing on the state of our critical 
infrastructure and thank you to the witnesses for being here 
today to give testimony on these issues.
    Our frontline workers have been tirelessly working to help 
contain and mitigate the spread of the virus and to keep 
America functioning with our critical areas like health care, 
infrastructure, and transportation. And so I am glad to hear 
from you today about these issues.
    Transportation workers in particular have been critical for 
getting people to and from work, getting lifesaving goods out 
to hospitals and to first responders. Transportation workers 
have also kept food moving through our supply system to our 
kitchen tables, and they have stocked our stores with essential 
goods. Those workers have put themselves in harm's way on a 
daily basis to try to keep America running during this 
pandemic.
    Unfortunately, we have lost transportation workers and 
their families have been impacted. I want to bring one to mind, 
Samina Hameed, from my home state of Washington. Samina drove a 
bus in King County and she leaves behind a husband, who was 
also a bus driver, with three children. So my heart goes out to 
her and her family and the loved ones that are impacted by 
this.
    We held a hearing recently on how our airports and airlines 
were doing as it related to public health, and we heard from 
Dr. Godwin of the University of Washington about the need for 
guidelines. We sent a letter to the task force for the COVID-19 
crisis including, Vice President Pence, Secretary Chao, and to 
other members asking for such guidelines. I think they still 
have not been issued, and I am not sure they are going to be 
issued, which I think is a mistake. Guidelines can help us move 
forward. They can help us put the right safety measures in 
place so our economy can move forward.
    Our colleagues also last month, as the Chairman was saying, 
introduced the Critical Infrastructure Employee Protection Act. 
I was glad to join Chairman Wicker on this bill with Senators 
Young, Sullivan, and Blunt. And this bill would direct the 
Federal Government to support states in prioritizing testing 
and access to personal protective equipment for those brave 
people who are on the front line.
    I want to mention that that includes fire fighters in my 
state. One thing that has gotten left out in some of the PPE 
funding has been those fire fighters. You would not think that 
they would, but they have. And it is so important since they 
are essential in transporting individuals from our nursing home 
facilities into hospitals, and we have had a high, high number 
of deaths occur in nursing homes. That transport is done by 
fire fighters, and they deserve access to personal protective 
equipment.
    I am also pleased to co-sponsor the Senator Blumenthal 
Essential Transportation Employee Safety Act. This bill would 
require passengers and freight transportation companies to 
abide by the CDC recommendations, including mandatory cleaning, 
disinfecting areas, and provisions for personal protective 
equipment to our frontline workers.
    I also want to especially thank Larry Willis for being 
here, speaking on behalf of millions of transportation workers 
who are also on the front lines of this pandemic and delivering 
service. The transportation sector has been critically impacted 
and the COVID-19 pandemic has turned our transportation trade 
into a small impact of what it was before. And so, again, I 
believe that if we want to get this right moving forward, 
having good guidelines, continuing to open the prospects for 
not just the movement of people but freight capacity, our 
shipping vessels and moving forward so commerce can continue is 
really important.
    I also want to mention that having the right personal 
protective equipment is critical. Ventec Life Systems, a 
company based in Bothell, Washington, partnered with the auto 
manufacturer, GM, to increase the production of ventilators. 
Other auto workers have been producing masks and shields, and 
the Boeing company has been producing shields. So these efforts 
of frontline workers to help produce the products that we need 
to keep safe as the pandemic continues is also something we 
should talk about because, as we see those transportation 
sectors moving or having people not fully employed, thinking 
about what we could do to use their talents in helping us get 
this product and security of PPE right in the supply chain is a 
national priority.
    So we need to do more to continue to reopen. So I look 
forward to hearing the discussion and the impacts on these 
infrastructure areas today. A lot of the previous legislation 
has focused on the aviation transportation sector, and I am 
sure today we are going to hear about other infrastructure not 
just transportation infrastructure, but broadband, hospitals, 
housing, and education should also be on the list.
    So again, Mr. Chairman, thank you very much. I look forward 
to hearing from our witnesses today.
    The Chairman. Thank you, Senator Cantwell.
    And we will now move to our witnesses. Your entire 
testimony will be included in the record at this point, and we 
ask each of you to summarize for no more than 5 minutes. So 
thank you very much. And we will begin with Mr. Bozzella.

             STATEMENT OF JOHN BOZZELLA, PRESIDENT

AND CHIEF EXECUTIVE OFFICER, ALLIANCE FOR AUTOMOTIVE INNOVATION

    Mr. Bozzella. Thank you, Chairman Wicker, Ranking Member 
Cantwell, and distinguished members of the Committee. On behalf 
of the Alliance for Automotive Innovation, I thank you for the 
opportunity to share my perspective on how COVID-19 has 
affected the automotive industry and how our industry continues 
to respond to this public health crisis.
    We are meeting today during a time of great stress within 
our country. As we watch what is happening following the deaths 
of George Floyd, Ahmaud Arbery, and Breonna Taylor, we need to 
reaffirm our commitment to justice and peace, to safe 
communities, and to workplaces where we are all valued and 
respected. Recent events weigh heavily on us as we enter this 
hearing room today.
    The workforce of the American auto industry fully 
represents the diversity of our country, and for generations, 
the auto industry has been a powerful engine for economic 
advancement and mobility for Americans of all races, creeds, 
and backgrounds. The leaders of our member companies have 
spoken out with powerful words reiterating their values and 
emphasizing that racism and hate have no place in their 
organizations, in our industry, in our society. We stand in 
solidarity against racism and advocate for diversity, equity, 
and inclusion.
    Let me turn now to the topic of today's hearing, COVID-19. 
It will take months, if not years, to fully comprehend the toll 
the COVID-19 pandemic has inflicted on individuals, families, 
communities, the economy, and the Nation. But I am proud of how 
the industry and the men and women we employ across the country 
have stepped up to this challenge. And they are counting on all 
of us to care just as deeply about the future of their 
industry.
    Following the Great Recession, the auto sector's strength 
was key to our national recovery. After 7 years of growth, 
nearly 40,000 more Americans work in our industry than when the 
recession began. Then the pandemic hit. In just weeks, strong 
industry sales in February dropped 33 percent in March and 
nearly 50 percent in April. By then and for the first time 
since World War II, all major North American production 
facilities were idle.
    While the gears of motor vehicle manufacturing ground to a 
halt, the automotive industry did not stop working. Instead, 
our members continued to innovate. They redeployed supply 
chains, leveraged purchasing networks, and utilized their 
precision manufacturing prowess to make and distribute medical 
devices and personal protective equipment to those on the 
battle's front lines, as well as their own employees. Mobility 
companies deployed automated vehicles to provide contactless 
delivery of supplies and meals to individuals and communities 
in need. They have contributed and retrofitted vehicles to 
provide transportation for health care workers and community 
members. The contributions of Auto Innovators member companies 
underscore why motor vehicle manufacturing and associated 
supply chains are designated critical infrastructure.
    Today I shared with the Committee a list of those 
contributions in response to a May 12 letter from the Chairman. 
I would ask that they be submitted for the record. These are a 
few examples of hundreds across the industry, and behind each 
are the incredible stories of the men and women, the amazing 
ingenuity, and the collective spirit that made them possible.
    As we speak, production facilities and suppliers are 
responsibly resuming operations, but it is not business as 
usual.
    Over the past 2 months, our companies have worked closely 
with public health authorities, collaborated with industry 
partners, and observed lessons learned from around the globe to 
develop and implement a broad range of precautions.
    As employees adapt to new work environments, the industry 
is bringing supply chains back to life. This requires extensive 
collaboration among suppliers, the states, and trading partners 
such as Mexico and Canada to facilitate a safe and reliable 
restart to vehicle production.
    Public health issues will remain a challenge moving 
forward, and we must be prepared to adapt and evolve to protect 
our employees, customers, and suppliers.
    There is still a high degree of uncertainty when it comes 
to the supply base, consumer confidence, and the overall 
economy. Before the public health crisis, analysts were 
projecting 2020 sales of almost 17 million units. Current 
market projections suggest we will not reach those levels until 
2023. Fairly optimistic assumptions of a 14 million unit year 
this year could result in industry job losses of nearly 100,000 
and result in nearly 2 million jobs lost across the entire 
economy. We are working hard to avoid that.
    The reality is absorbing COVID-related losses while 
investing in future technologies will be a challenge for the 
industry. Yet the comeback of the U.S. auto industry from this 
crisis can once again drive a broader economic resurgence.
    I look forward to working with you as we find ourselves on 
the cusp of this transformative moment in the future of the 
U.S. auto industry.
    [The prepared statement of Mr. Bozzella follows:]

        Prepared Statement of John Bozzella, President and CEO, 
                   Alliance for Automotive Innovation
    Chairman Wicker, Ranking Member Cantwell and distinguished members 
of the Committee: on behalf of the Alliance for Automotive Innovation 
(Auto Innovators) and our members, I thank you for the opportunity to 
appear today to share my perspective on how COVID-19 has affected the 
automotive industry and our members, and how our industry continues to 
respond to this public health crisis.
    The Alliance for Automotive Innovation was formed at the beginning 
of this year to serve as the singular, authoritative, and respected 
voice of the automotive industry in the United States. Our 38 members 
include auto manufacturers producing nearly 99 percent of the cars and 
light trucks sold in the U.S., along with original equipment suppliers, 
technology companies, and other automotive-related value chain 
partners. In total, our industry employs roughly 10 million Americans, 
in addition to those who are employed in the technology and mobility 
sectors directly.\1\ We account for nearly 6 percent of our country's 
gross domestic product and represent our country's largest 
manufacturing sector.\2\
---------------------------------------------------------------------------
    \1\ Auto Alliance multi-industry contribution analysis: the 
economic impact of automotive manufacturing, selling, repairing, 
renting, and additional maintenance modeled using IMPLAN economic 
analysis data software, 2017 data year.
    \2\ Id; Bureau of Economic Analysis, Gross Output by Industry, 
https://apps.bea.gov/iTable/iTable.cfm?ReqID=51&step=1, Last accessed 
June 1, 2020; Bureau of Labor Statistics, Employment and Output by 
Industry, https://www.bls.gov/emp/tables/industry-employment-and-
output.htm, Accessed June 1, 2020
---------------------------------------------------------------------------
    The mission of Auto Innovators can be distilled to three words: 
cleaner, safer, smarter. We work with policymakers, including each of 
you on this Committee, to find intelligent solutions to reduce crashes, 
improve the environment, and enhance personal transportation. Our 
commitment to those core pillars remains steadfast, even during these 
abnormal times.
    It will take months, if not years, to fully comprehend the toll 
this pandemic has inflicted on individuals, families, communities, the 
economy and the Nation. But I am proud of how the industry and the men 
and women we employ across the country have stepped up to meet this 
challenge. And they are counting on all of us to care just as deeply 
about the future of their industry.
    Auto Innovators was formed on the heels of an unprecedented seven 
years of growth.\3\ Even with modest declines in the past two years, 
sales still hovered near record levels. This growth emerged from one of 
the greatest hits the industry every took: the economic collapse that 
was the Great Recession.
---------------------------------------------------------------------------
    \3\ U.S. Light Vehicle Sales, 2009-2016, Wards Intelligence
---------------------------------------------------------------------------
    The auto sector's strength was key to our national recovery. Autos 
formed the leading edge of economic growth which rippled throughout the 
economy.\4\ The auto sector accounted for nearly a quarter of all 
manufacturing jobs added since the recession.\5\ In the four years 
following the Great Recession, automakers and parts manufacturers added 
nearly 200,000 jobs.\6\ All told, since 2009, auto and parts makers 
added more than 342,000 jobs.\7\ Nearly 40,000 more Americans work in 
our industry than when the recession began.\8\ The jobs recovery in 
motor vehicle manufacturing and parts manufacturing far outpaced our 
Nation's recovery in both manufacturing and total jobs.
---------------------------------------------------------------------------
    \4\ Jerry Hirsch, ``Auto Industry Has Soared Since 2010, Leading 
Economic Recovery,'' Los Angeles Times, Jan. 14, 2014.
    \5\ Bureau of Labor Statistics, Automotive Industry: Employment, 
Earnings, and Hours, Last Accessed May 8, 2020; Bureau of Labor 
Statistics, Current Employment Statistics, Last Accessed May 8, 2020.
    \6\ Ibid.
    \7\ Ibid.
    \8\ Ibid.
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]
    
    Then the COVID-19 pandemic hit. In just weeks, industry sales went 
from above average in February to a 33 percent drop in March and nearly 
a 50 percent reduction in April.\9\ These depressed levels were 
mitigated, in part, by manufacturer incentives on new vehicle 
purchases.\10\ By April--for the first time since World War II--all 
major North American production facilities were idled. Auto dealers 
were unable to accept orders they had already placed with OEMs. Rental 
fleets were parked due to the precipitous drop in travel and tourism. 
Nationwide, vehicle use dropped dramatically as federal, state, and 
local governments imposed a range of restrictions focused on reducing 
the spread of the coronavirus.
---------------------------------------------------------------------------
    \9\ Wards Intelligence, U.S. Light Vehicle Sales, March 2020, April 
1, 2020; Wards Intelligence, U.S. Light Vehicle Sales, April 2020, May 
1, 2020.
    \10\ J.D. Power, Presentation, COVID-19: J.D. Power Auto Industry 
Impact Report, May 13, 2020.
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]

    While the gears of motor vehicle manufacturing ground to a halt, 
the automotive industry did not stop working. Instead, our members 
continued to innovate. They put their decades of experience in 
precision manufacturing, supply networks, logistics, purchasing, and 
innovation to use in combatting the coronavirus.
---------------------------------------------------------------------------
    \11\ J.D. Power, Presentation, COVID-19: J.D. Power Auto Industry 
Impact Report, May 28, 2020.
---------------------------------------------------------------------------
    With lightning speed, automakers and suppliers developed new 
partnerships in the healthcare community and retooled manufacturing 
facilities to aid in the response. Within weeks, companies were 
dedicating facilities and people to making ventilators and personal 
protective equipment for those on the battle's front lines, as well as 
their own employees. They redeployed supply chains, leveraged 
purchasing networks and utilized their manufacturing prowess to make 
equipment at break-neck speed. Similarly, technology companies and new 
entrants to the mobility ecosystem deployed automated vehicles to 
provide contactless delivery of supplies and meals to individuals and 
communities in need.
    In addition to making complex and specialized medical equipment, 
our member companies have donated and delivered millions of meals to 
those in need. They have contributed and retrofitted vehicles to 
provide transportation for health care workers and community members. 
They have assisted customers with flexible payment options on existing 
loans, as well as preferential financing terms for new vehicle 
purchases.
    The contributions of Auto Innovators member companies remind us all 
why this industry is such a national asset. It was not just a handful 
of participants or large corporations stepping forward--it was the 
entire value chain, working together, to help the national response. 
Our partners in the supplier community, from the tier ones to the mom-
and-pops, have also stepped forward and been tremendous partners 
throughout this crisis. Likewise, our auto dealership partners 
nationwide developed new and creative ways to provide sales and service 
to address Americans' transportation needs. In short, the automotive 
industry not only answered the Nation's call but also demonstrated the 
innovative spirit and resilient commitment that will help it survive 
and once again thrive.
    While our members focused on the health and safety of their 
employees and supporting the national response, Auto Innovators devoted 
our attention to supporting those efforts, as well as the industry's 
long-term health. We quickly formed a high-level industry task force to 
coordinate information sharing, identify emerging challenges, and 
collaborate with industry and government partners. This included a 
weekly ``Read the Meter'' summarizing key statistics and metrics to 
track the state of the industry (Attachment 1). We supported Federal 
and congressional efforts to provide market liquidity that has been 
tremendously important for individuals and businesses across the 
country. We worked closely with the Cybersecurity and Infrastructure 
Security Agency (CISA), to ensure the country's state and local 
governments had clear and consistent guidance regarding the essential 
nature of motor vehicle manufacturing and associated supply chains. We 
are continuing to work with the Department of Commerce, Department of 
State and countless others across the Federal government to support 
collaboration and engagement with regional trading partners. In 
addition, we partnered with the Motor and Equipment Manufacturers 
Association/Original Equipment Suppliers Association to develop health 
and safety guidance for suppliers throughout the value chain. These 
efforts serve one goal--the auto industry's safe and coordinated 
restart as part of our Nation's economic recovery.
    As we speak, that process is underway. Across the country, 
production facilities and suppliers are responsibly resuming 
operations. But it is not business as usual.
    Employees are returning to a very different work environment. Over 
the past two months, our companies have worked closely with public 
health authorities, collaborated with industry partners, and observed 
lessons learned from around the globe to develop and implement a broad 
range of precautions. This includes, but is not necessarily limited to, 
a combination of: temperature scans, safety goggles, face shields and 
masks, physical changes to the work environment, hand sanitizers and 
lotions, more time between shifts, and proper distancing.
    As employees adapt to new work environments, the industry is 
bringing supply chains back to life. With more than 10,000 components 
in an average vehicle, this requires extensive collaboration among 
suppliers, the states, and trading partners such as Mexico and Canada, 
to facilitate a safe and reliable restart of motor vehicle production. 
This will not happen overnight as the entire value chain implements and 
socializes new health and safety guidelines for their operations. But 
to be clear, we recognize that the public health issues will remain a 
challenge moving forward.
    Even with the re-start of our industry, we know it will take time 
to recover from COVID-19's impacts. Before the public health crisis, 
analysts were projecting 2020 sales of almost 17 million units. Current 
market projections estimate that 2019 sales level might not return 
until 2023.\12\
---------------------------------------------------------------------------
    \12\ Haig Stoddard, Wards Intelligence, U.S. Sales Outlook 
Brightens Slightly for 2020-2021 But Still a Lot of Uncertainty as to 
How the Recovery Ultimately Plays Out, May 18, 2020; IHS Markit, E-
mail, Markit Monthly Automotive Update--May 2020, Rec'd May 14, 2020; 
ALG, Press Release, ALG Provides Third Revision of 2020 New Vehicle 
Sales Forecast Scenarios Based on Latest Impact of COVID-19, April 20, 
2020
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]
    Today, the projections anticipate a roughly 25 percent annual sales 
drop in light-duty vehicles. Even under the more optimistic scenarios--
a drop in sales to about 14 million units--the industry's job losses 
could total nearly 100,000 and result in nearly 2 million jobs lost 
across the entire economy.\13\
---------------------------------------------------------------------------
    \13\ Center for Automotive Research, Economic Study of Baseline 
Loss at 14.3 Million SAAR (Forthcoming).
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]

    The economic reality of the combined hit to auto production and 
sales is, in some respects, simple. Although restart efforts are 
underway, there is still a high degree of uncertainty when it comes to 
supply chain challenges, consumer confidence and overall economic 
signals. As automakers, suppliers and others absorb COVID-related 
losses, the industry will have less capital to invest in future 
technology development. In this highly competitive, capital-intensive 
industry, policies that support market stability will become even more 
critical as we take on the simultaneous challenge of recovering from 
the pandemic and sustaining investments in the innovations that will 
define the future of personal mobility. As evidenced by our response to 
this public health crisis, the auto industry is up to the challenge--
but we cannot do it alone. Maintaining U.S. leadership in automotive 
innovation requires a shared commitment from both industry and our 
partners in government.
---------------------------------------------------------------------------
    \14\ Ibid.
---------------------------------------------------------------------------
    Despite various factors outside our control, one thing is certain: 
the auto industry is prepared and in position to make an essential 
contribution to all aspects of our national recovery from this 
pandemic. Motor vehicle manufacturing and associated supply chains are 
Critical Infrastructure for a reason--this industry has proven its 
ability to fuel our national economy. We will continue our part to 
protect public health and build future prosperity.
    Today, we find ourselves on the cusp of a transformative moment in 
the future of the U.S. automotive industry. We must safely restart the 
industry amid significant economic uncertainty, while continuing to 
invest in new propulsion systems that reduce emissions and automated 
and connected vehicle technologies that save lives on America's 
roadways. It will require creativity and commitment, including from 
Congress and this committee, for the U.S. to retain its important 
leadership role when it comes to automotive innovation.
    On behalf of this great industry, I look forward to continue 
working with this Committee to harness the innovative spirit of our 
members--and the entire auto ecosystem--to emerge from this public 
health crisis stronger, more resilient and an engine of U.S. leadership 
and prosperity, both now and in the future.
                                 ______
                                 
    Attachment 1: ``Reading the Meter'' (May 28, 2020) Alliance for 
                         Automotive Innovation
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]


    The Chairman. Thank you very much, Mr. Bozzella. You 
mentioned in your remarks an additional document which you 
asked to be included in the record. If it can simply be 
attached to your written statement, without objection, it will 
be admitted into the record at this point.
    Mr. Bozzella. Thank you.
    The Chairman. And now testifying remotely is Mr. Randy 
Guillot. Chairman Guillot, you are welcome. Can you hear us?
    Mr. Guillot. Yes, sir, I can. Thank you.
    The Chairman. Welcome.

  STATEMENT OF RANDY GUILLOT, CHAIRMAN OF THE BOARD, AMERICAN 
                     TRUCKING ASSOCIATIONS

    Mr. Guillot. Thank you, Chairman Wicker, Ranking Member 
Cantwell, and members of the Committee. My name is Randy 
Guillot, and I am the President of Triple G Express and 
Southeastern Motor Freight, motor carriers based in Jefferson, 
Louisiana. It is my honor to speak with you today as Chairman 
of the American Trucking Associations.
    For 87 years, ATA remains the largest national trade 
organization representing the trucking industry. With 
affiliates in all 50 states, our membership encompasses more 
than 34,000 motor carriers and suppliers representing every 
segment of the industry.
    Since the onset of the COVID-19 pandemic, the trucking 
industry has been thrust into the forefront of our national 
consciousness. While most activity ground to a halt across the 
country, America's 3.5 million professional truck drivers kept 
moving. These heroes continue serving on the front lines, 
ensuring everyone has the goods they need to get through these 
challenging times.
    We hear the term ``essential'' more frequently of late as 
America wakes up to the gravity of what ``essential'' really 
means. Truckers are the difference between a fully stocked 
grocery store and one lined with empty shelves. They are why 
doctors and nurses have PPE to protect themselves. They are how 
test kits get to hotspots for local officials to use to fight 
the virus' spread. The resilience of our supply chain rests on 
the courage and dedication of these heroes. Perhaps the 
President said it best when he recently proclaimed from the 
south lawn of the White House, thank God for truckers.
    But beyond such recognition, lawmakers would be wise to 
look at our industry for answers. There are several reasons 
why.
    First, as the crisis has illustrated, the health of our 
Nation and the viability of our entire economy rests on the 
strength of the trucking industry. When our industry lacks the 
capital resources or clearance it needs to get from point A to 
point B, the impact is felt immediately far and wide not only 
by us but by the people we serve, our customers, grocery 
stores, pharmacies, hospitals, first responders, farmers, 
manufacturers, business owners, and the consumer, the American 
people, just to name a few.
    Second, as we have demonstrated over the last few months, 
truckers by nature are industrious and forward-looking. We know 
how to get the job done. We do not complain about problems. We 
propose concrete solutions. We do not point to obstacles. We 
work together to find and clear the way forward.
    As our country turns from crisis to recovery, our industry 
is ready to lead. With that in mind, here are three policy 
points for Congress and this committee that I would like to 
emphasize.
    Number one, invest in infrastructure. It will create jobs 
and advance our recovery while improving our nation's crumbling 
roads and highway safety. Make no mistake. This can and should 
be fully paid for. We have a plan to generate hundreds of 
billions of dollars in new revenues without adding a dime to 
the Federal deficit.
    Number two, provide incentives to trucking companies to 
invest in newer, cleaner, and safer trucks and equipment. A 
temporary holiday from the Federal excise tax through calendar 
year 2021 and other proposals outlined in my testimony would 
deliver a direct boost to the economy, bringing certainty to 
manufacturing jobs and improve road safety and the industry's 
environmental impact.
    Number three, provide reasonable protections against 
excessive litigation. Trial lawyers will not lead this economic 
recovery. They do not create jobs. They destroy them. The 
trucking industry, however, will create jobs, one in 18 in the 
U.S. today. We will continue delivering essential goods and 
supplies to help weather this health crisis, and trucking will 
lead the way to recovery.
    Thank you for working with us to ensure that America's 
trucking industry has the support it needs to serve our country 
through these tough times and into a better tomorrow.
    I look forward to answering any questions. Thank you.
    [The prepared statement of Mr. Guillot follows:]

   Prepared Statement of Randy Guillot, Chairman, American Trucking 
  Associations and President, Triple G Express, Inc. and Southeastern 
                             Motor Freight
    Chairman Wicker, Ranking Member Cantwell, and members of the 
distinguished Committee, thank you for providing the American Trucking 
Associations (ATA) with the opportunity to testify before you today. My 
name is Randy Guillot, and I currently serve as the 75th Chairman of 
the ATA. And, on behalf of the trucking industry, including the 
approximately 7.4 million men and women employed by trucking in the 
United States, I am grateful for the opportunity to share how these 
heroes have risen and responded to the COVID-19 pandemic--and how 
they're positioned to now lead our Nation's economic recovery.
    As you know, ATA is an 87-year old federation and the largest 
national trade organization representing the trucking industry, with 
affiliates in all 50 states. ATA's membership encompasses over 34,000 
motor carriers and suppliers directly and through affiliated 
organizations. Our association represents every sector of the industry, 
from Less-than-Truckload to Truckload, agriculture and livestock to 
auto haulers, and from the large motor carriers to the owner-operator 
and mom-and-pop one truck operations. In fact, 80 percent of our 
membership is comprised of small-sized carriers, whereas only 2 percent 
of our membership would be considered large-sized carriers.
    Outside of my service as Chairman of the ATA, I am the President of 
Triple G Express, Inc. and Southeastern Motor Freight, Inc., with more 
than 33 years of experience working in the trucking industry. These two 
family-owned-and-operated companies, which date back to 1945 and 1985 
respectively, haul mostly intermodal containers primarily servicing the 
Port of New Orleans, but also operate short-haul dry-vans. Throughout 
my career, I have worked in all aspects of the business, ranging from 
sales and driving to dock work and safety.
    Before detailing the content of my testimony, I would like to thank 
and recognize this Committee's leadership and unwavering support in 
ensuring that America's trucking industry has the Federal support it 
needs to serve our country through the COVID-19 pandemic. Your outreach 
and partnership are appreciated and valued by the millions of patriotic 
men and women who work in trucking.
    Since the onset of the COVID-19 pandemic, most economic, social, 
and cultural activity in our country has ground to a halt. But one 
group hasn't stopped: truckers. America's 3.5 million truck drivers--
and the countless men and women who support them, such as technicians, 
dispatchers and truckstop operators--have kept our country running 
despite the enormous challenges caused by the pandemic.
    Truckers have been the difference between a fully-stocked grocery 
store and one lined with empty shelves. They're why doctors and nurses 
have PPE to protect themselves while treating the sick. They're why 
test kits arrive at hot-spots for use by local officials to mitigate 
the virus' spread. Perhaps the President of the United States said it 
best when he recently proclaimed from the South Lawn of the White 
House: ``Thank God for Truckers.''
    Our industry is proud to do its part to help fellow Americans get 
through this crisis. What we need--is for government officials at all 
levels to permit them to do so without unnecessary delay or 
interruption. As the ``essential critical infrastructure worker'' 
designation suggests, it's essential that trucks keep rolling through 
whatever tough and necessary measures are taken to protect public 
health.
    It's also true that the trucking industry is struggling to cope 
with serious economic challenges precipitated by the pandemic and 
public health response efforts. Some trucking companies are busy, like 
those primarily hauling essential groceries, home delivery, e-commerce 
and medical supplies. However, many industry sectors have slowed or 
shuttered for the duration of the pandemic, which means that companies 
hauling fuel for cars and airlines, food supplies for restaurants, 
steel and cars for the auto manufacturers, and grain and commodities 
for agricultural exports have fewer loads to transport.
    Safely reopening our economy based on sound science and data will 
be the ultimate resolution to our economic challenges, and we support 
the meticulous efforts of public officials to get our Nation back to 
work, balancing safety with the economic and social needs of modern 
life. And when the economy begins to turn back on, the first step will 
be repositioning and delivering supplies that fuel commerce and 
communities, which means the trucking industry will play a critical 
role as we turn toward recovery. Trucking holds the keys to restarting 
America's economic engine, and as an industry, we are prepared to meet 
that challenge.
    For the purpose of this hearing, I will focus my testimony on the 
impact of COVID-19 on the trucking industry, and the steps that this 
Committee and Congress should consider to ensure that the trucking 
industry is well positioned to lead the way from response to recovery. 
Because that's what truckers do--despite the numerous obstacles in our 
path and the risks posed by the public health crisis--we keep rolling.
    ATA looks forward to continued, diligent work with this Committee, 
and each of the industries testifying before you today. We believe that 
together we can achieve the legislative and regulatory framework that 
will best facilitate uninterrupted COVID-19 response and relief 
efforts, as well as future recovery measures. Ensuring that the 
essential critical infrastructure workforces have the resources and 
flexibility to continue to supply the Nation with necessary goods and 
supplies throughout this health crisis and into the recovery phase will 
help define our country's resiliency and ability to overcome the 
pandemic.
1. The Impacts of COVID-19 on the Trucking Industry:
 The Economic and Supply Chain Impacts of COVID-19 on the 
        Trucking Industry:
    The impact of COVID-19 on the trucking industry has been 
substantial as freight demand has declined significantly since the 
outbreak of the pandemic. After an initial surge for groceries and 
other consumer staples to big-box retailers, freight levels have 
generally fallen since. For example, the spot market, which is where 
overflow freight goes when shippers have more loads than their contract 
carriers can handle, fell 54 percent in April on a year-over-year 
basis.\1\ ATA recently reported that its for-hire truck tonnage index, 
which is dominated by contract freight, not spot market, fell 12.2 
percent in April from March. This was the largest month-to-month 
decline since April 1994.\2\ In a recent COVID-19 survey conducted by 
ATA, 85 percent of nearly 500 fleets said that truck freight levels 
were somewhat or much lower than would be expected during this time of 
year. In fact, 62 percent said freight was ``much'' lower.
---------------------------------------------------------------------------
    \1\ DAT.com
    \2\ https://www.trucking.org/news-insights/ata-truck-tonnage-index-
plunged-122-april
---------------------------------------------------------------------------
    This big drop in freight has many implications for trucking, which 
is a high-cash flow, low-profit industry. One of the major supply chain 
impacts we see is how less freight throws carriers' networks off 
balance. For example, in normal times, if a carrier has a customer with 
freight from Indianapolis to Savannah, GA, the carrier will find a 
customer(s) with freight from or near Savannah back to Indiana. But 
under these current circumstances, the carrier might still have freight 
to Savannah--but no return freight for the backhaul. Thus, the carrier 
is forced to drive long, ``deadhead'' miles or take a load in the spot 
market for well below sustainable rates. Either way, this situation 
puts added financial pressures on fleets.
    In ATA's COVID-19 survey, 32 percent of responding fleets, which 
equates to roughly 200 carriers, said they were forced to lay off or 
furlough drivers due to the current coronavirus economic situation. Our 
data shows that this group released a total of 6,364 drivers. 
Additionally, data from the Department of Labor showed that payrolls 
for the for-hire trucking industry fell by 88,000 in April. ATA's 
Economics Department estimates that 65,000 of those were truck drivers.
    Outside of these challenges to freight networks, the transportation 
portion of supply chains seem to be faring relatively well. In the ATA-
conducted COVID-19 survey, only 18 percent of the nearly 600 responding 
fleets indicated that they had at least one driver infected with the 
virus. Truck drivers, due to their line of work, are accustomed to 
social distancing during normal times. While we continue to cautiously 
assess, at this point we do not foresee any supply-chain breakdowns 
because of illness among trucking companies.
    Moving forward, we expect the trucking industry will continue to 
deliver freight as it has been under COVID-19, and that supply chains 
will hold strong, thanks to the fortitude of the trucking workforce. 
However, should the steep economic downturn continue its slide into 
June and July--when funds from the Paycheck Protection Program (PPP) 
run out for many smaller fleets--we could see an increasing number of 
motor carriers forced to close down. This would noticeably impact 
supply chains as the economy labors to restart. It could create a 
situation where, at least temporarily, the number of loads outnumbers 
the number of drivers and equipment available to haul them.
 The Operational Impacts of COVID-19 on the Trucking Industry:
    Since the onset of the COVID-19 pandemic, ATA's member companies 
have been forced to react to many state and local restrictions, which, 
while well-intentioned, have negatively impacted fleets' ability to 
operate efficiently. Specifically, the closure of state-run facilities, 
such as rest areas and service plazas, had a serious impact on the 
health and wellness of truck drivers transporting freight in response 
to COVID-19. For example, in Pennsylvania, both rest areas and service 
plazas closed across the entire state, just days into the pandemic. 
Truck drivers were suddenly left with few options when searching for a 
place to park and rest, use restroom facilities or find something to 
eat--all while delivering critical goods that keep our communities safe 
and fed. Truck parking options on a normal day are scarce, and the 
closing of these state-run facilities at a time of heightened urgency 
for freight deliveries was a devastating blow. Shortly after the sudden 
closing of these facilities, ATA educated Pennsylvania policymakers on 
the serious impact of their decision. The result was the reopening of a 
limited number of rest areas and service centers across the state.
    Like other critical infrastructure workers, ATA's member companies 
have struggled to obtain non-medical grade personal protective 
equipment (PPE), so that their drivers can reduce their exposure to 
COVID-19 while ensuring the supply chain remains intact. Several states 
have required ``face coverings'' when in public, and truck drivers are 
not exempt from these requirements. In light of these requirements, ATA 
was able to obtain over 100,000 face coverings and distributed those 
masks to various trucking companies and trucking associations 
throughout the country.
    Additionally, the ability for drivers to refill their personal hand 
sanitizer bottles was critical. Through a partnership with Protective 
Insurance and a custom distillery, Hotel Tango of Indianapolis, 550 
gallons of hand sanitizer was distributed to 10 different truck stop 
and truck companies throughout the country. The hand sanitizer was 
transported via ATA member companies to these various locations. ATA is 
currently in the process of procuring additional hand sanitizer to be 
distributed throughout the country. By distributing these supplies to 
several public facilities, all truck drivers have access to these 
supplies.
  The Trucking Industry's Collaborations with the Department of 
        Transportation (DOT) in Responding to the Pandemic:
    Since the onset of COVID-19, ATA collaborated closely with the U.S. 
DOT/FMCSA to ensure drivers providing direct relief in response to 
COVID-19 were afforded the appropriate regulatory relief. The prompt 
response by U.S. DOT/FMCSA in issuing an emergency declaration that 
waived Hours of Service (HOS) and other regulations ensured that 
grocery store shelves remained stocked during the panic buying that 
ensued during the early days of COVID-19. The collaboration between 
U.S. DOT/FMCSA and the trucking industry has been unprecedented, with 
numerous stakeholder conference calls, guidance documents, and 
countless correspondence when specific situations arose.
    ATA appreciates and supports the steps agencies have taken by 
issuing emergency waivers and declarations. ATA urges caution, however, 
that any waivers or exemptions are limited in scope and duration, and 
only apply to those operations providing direct emergency support. As 
many of these waivers expire in the coming weeks, we encourage Federal 
agencies to continue industry outreach to ensure that drivers--
throughout the country--are able to comply with existing regulations, 
such as renewing a commercial driver's license or medical certificate. 
While the country takes steps to reopen, our motor carrier members are 
concerned that in some locations, the ability to comply with regulatory 
requirements may be hindered due to state and local restrictions. 
Continued outreach between U.S. DOT/FMCSA and our industry will ensure 
a smooth transition.
    Just as U.S. DOT/FMCSA has acted swiftly to provide regulatory 
relief during the COVID-19 pandemic, we also applaud their efforts in 
expeditiously publishing an HOS final rule that will provide targeted 
flexibility for our industry. As the trucking industry adjusted to the 
December 2017 implementation of Electronic Logging Devices (ELDs), 
concerns were raised by varying segments of the industry regarding the 
need for greater flexibility in commercial motor vehicle operators' 
HOS. While HOS regulations are designed to provide the framework for 
the safe and efficient movement of goods, ELD implementation made clear 
the need to provide drivers an improved ability to adjust to changing 
road and weather conditions, congestion and sensitive truck loads.
    As such, ATA applauds FMCSA's recent publication of an HOS Final 
Rule, which, in various ways, will give drivers the flexibility 
necessary to safely and efficiently manage operations. This final rule 
includes flexibilities to the existing HOS regulations that have been 
in place for several years, including, expansion of the short-haul 
exemption, changes to the adverse driving conditions exception, changes 
to the 30-minute rest break requirement, and greater flexibility for 
how a driver splits their off-duty time in a sleeper berth. ATA filed 
public comments regarding each of these provisions, which can be 
located on the public docket.\3\ ATA thanks DOT and FMCSA for their 
thoughtful and thorough rulemaking effort, which included significant 
stakeholder engagement, to produce a final rule based on science, data 
and safety. ATA looks forward to the September effective date for this 
final rule.
---------------------------------------------------------------------------
    \3\ https://www.regulations.gov/document?D=FMCSA-2018-0248-8025.
---------------------------------------------------------------------------
    With regard to the additional waivers issued by FMCSA related to 
Commercial Learners Permits and Third Party Testing, we encourage the 
Agency to consider pursuing permanency of these waivers, which could 
assist in easing the current delays associated with the testing of 
drivers who wish to obtain their Commercial Driver's License (CDL). 
These delays existed prior to COVID-19 and have only been exacerbated 
by this pandemic. ATA anticipates that the existing backlog of testing 
appointments will steadily increase in the future and encourages FMCSA 
to harmonize state licensing procedures, including, for example, state 
of domicile requirements and Third-Party Testing. FMCSA has mandated 
that an individual's state of domicile must accept the results of a CDL 
skills test that was administered out-of-state; however, the rule does 
not require the state of domicile to also accept the results of an out-
of-state knowledge test. As a result, driver candidates who obtain 
training out-of-state are required to travel back to their state of 
domicile to obtain their credentials, creating an unnecessary burden. 
It has become all the more important to allow trainees to test, train, 
and receive their relevant credentials--be it a CLP or a CDL--without 
having to travel back and forth to their state of domicile.
2. Trucking Industry Priorities for COVID-19 Relief and Response 
        Efforts:
 Limited Liability Protection Through COVID-19 Relief and 
        Recovery Efforts:
    Motor carriers and commercial drivers are crucial to ensuring that 
the Nation remains supplied with essential goods--from food to medical 
supplies--during the public health crisis. Given the unprecedented 
nature of this crisis, motor carriers and commercial drivers are, in 
the course of that essential work, exposing themselves to enhanced 
risks that are not yet fully understood. While the safety of our 
drivers, our customers, and those we share the highway with is always 
paramount for the trucking industry, the fact remains that the risks 
associated with keeping the Nation supplied during the crisis cannot be 
completely mitigated. In order to ensure motor carriers are not 
punished for stepping up in the face of the national emergency, and are 
not dis-incentivized from doing so, Congress should impose reasonable 
limitations on the liability of motor carriers for these enhanced, 
crisis-related risks that they cannot fully mitigate. Such protections 
should be temporary and tailored to the scope of the pandemic response 
and recovery, and preserve recourse for those harmed by truly bad 
actors who engage in willful misconduct.
    Specifically, Congress should provide motor carriers with 
protections like those it conferred on certain health care 
professionals in the CARES Act, where it ensured that they would not be 
held liable for good-faith efforts to provide care during the crisis. 
Similarly, Congress should provide that motor carriers will not be held 
liable if--despite reasonable safety precautions consistent with 
Federal guidelines, and absent willful misconduct or gross negligence--
they are alleged to have exposed customers or employees to the 
coronavirus in the course of serving the Nation's supply needs during 
the crisis.
    In addition, as we recognize the central role the trucking industry 
is playing in seeing the Nation through this crisis, I want to make 
this committee aware of a longer-term problem that has threatened the 
industry's ongoing ability to cost-effectively move the vast majority 
of the Nation's freight. Motor carriers in recent years have become 
favored targets of the plaintiffs' bar and third-party litigation 
financing companies, who treat highway accident litigation as a 
potential jackpot rather than a means of assessing fault and fairly 
compensating victims. That trend, in turn, has led to skyrocketing 
insurance rates that risk putting many carriers out of business, and by 
raising the cost of shipping takes money out of the pockets of American 
consumers only to line those of the unscrupulous trial lawyers who seek 
to profiteer of the trucking industry's efforts to keep the supply 
chain running.
 Enact S. 3728, the Critical Infrastructure Employee Protection 
        Act:
    The transportation systems sector is one of the 16 critical 
infrastructure sectors whose assets, systems, and networks are 
considered so vital that their incapacitation would have a debilitating 
effect on security, economic stability, public health, and safety.\4\ 
Accordingly, functioning and stable critical infrastructure is 
imperative as our Nation responds to the COVID-19 public health 
emergency. The Cybersecurity and Infrastructure Security Agency (CISA) 
identified trucking in its list of essential critical infrastructure 
workers \5\ because our industry helps to maintain the services and 
functions Americans depend on daily to operate resiliently during the 
COVID-19 pandemic response.
---------------------------------------------------------------------------
    \4\ Cybersecurity and Infrastructure Security Agency, ``Critical 
Infrastructure Sectors,'' https://www.cisa.gov/critical-infrastructure-
sectors, 24 March 2020.
    \5\ Cybersecurity and Infrastructure Security Agency, ``Advisory 
Memorandum on Identification of Essential Critical Infrastructure 
Workers During COVID-19 Response,'' https://www.cisa
.gov/sites/default/files/publications/
Version_3.1_CISA_Guidance_on_Essential_Critical_Infra
structure_Workers.pdf, 319 May 2020.
---------------------------------------------------------------------------
    The trucking industry is proud to serve in this role, and will 
continue to deliver essential goods and supplies to communities so that 
our Nation can confront and defeat this pandemic. We sincerely 
appreciate the work of this Committee to ensure that the trucking 
industry, and other essential critical infrastructure workers in the 
transportation systems sector, have the resources they need to maintain 
their essential operations. Specifically, we support the Committee's 
work on S.3728, the Critical Infrastructure Employee Protection Act. 
Your thoughtful and timely legislation would require the Secretary of 
Transportation to support the efforts of State and local governments to 
provide essential critical infrastructure workers with prioritized 
access to testing and non-medical grade equipment. Ultimately, this 
type of investment in our frontline heroes is an investment in our 
Nation's long-term well-being because essential critical infrastructure 
workers are leading our Nation's response and recovery efforts on the 
ground. Keeping our frontline transportation workers healthy is how we 
ensure that grocery stores remain stocked, medical supplies remain 
available in urban and rural communities, and how we maintain critical 
infrastructure viability.
    Accordingly, we applaud the leadership of Chairman Wicker, Ranking 
Member Cantwell, and Senators Young, Sullivan and Blunt in championing 
the Critical Infrastructure Employee Protection Act, and look forward 
to working with the Committee, as well several of the witnesses before 
you today, to see the bill through to enactment.
 Provide Detention and Demurrage Fee Relief & Chassis Choice 
        for the Intermodal Trucking Community:
    Despite the economic slowdown caused by the public health crisis, 
intermodal motor carriers continue to bring products and materials to 
and from ports around the country. These efforts help deliver critical 
supplies to frontline health care workers, as well as the myriad 
materials and products needed to drive nearly every aspect of the 
country's economic supply chain.
    Unfortunately, the current coronavirus outbreak has impacted access 
to shipping containers, leading to delays outside the control of motor 
carriers. These trucking companies have been assessed demurrage and 
detention fees unfairly by ocean carriers and marine terminals in the 
past, and with the current health crisis affecting operations at ports 
around the nation, detention and demurrage fees should be prohibited 
until more normal operations of port and intermodal freight return.
    Under current practice, a fee is typically charged if a motor 
carrier is responsible for a delay of intermodal containers being 
picked up or delivered. If the motor carrier is the cause of such a 
delay, this penalty might make sense, since the global supply chain 
depends on the movement and repositioning of these containers. In many 
cases, delays result from other factors--such as port or ocean line 
delays, and the trucking companies are charged for inefficiencies they 
have no control over. While these practices are unfair in normal times, 
they are debilitating during this pandemic, which has caused historic 
disruptions in ocean shipping and port operations. Temporarily 
prohibitions on these charges against motor carriers will protect a 
vital American supply chain link and assist the recovery from our 
economic challenges.
    Such a waiver or prohibition will help reduce confusion and 
disputes between intermodal carriers and the ocean lines, and expedite 
freight movement at ports and container terminals, thereby allowing 
critical products and materials to move more quickly during this time 
of national need.
    Recently, the Federal Maritime Commission (FMC) finalized an 
interpretive rule on Detention and Demurrage. It will take effect after 
it is published in the Federal Reserve, which we hope will be soon. 
``Under the new interpretive rule, the commission will consider the 
extent to which detention and demurrage charges and policies serve 
their primary purpose of incentivizing the movement of cargo and 
promoting freight fluidity,'' the FMC said recently.
    The detrimental impacts of COVID-19 makes the FMC interpretive rule 
on detention and demurrage very timely, because one of the main 
functions of the rule is to determine if certain detention and 
demurrage fees are reasonable or support freight fluidity. If they do 
neither of these, then no fee should apply. It should also bring 
clarification as to how the ocean carriers and marine terminals provide 
notice to truckers when their cargo is available for retrieval, clearly 
defined demurrage and detention policies, and dispute resolution. This 
increased clarity will help resolve disputes when they arise, and it is 
through this reasonableness aspect laid out in the interpretive rule 
that the FMC will be able to better evaluate these disputes when they 
arise, which they will in different situations around the Nation.
    Therefore, we encourage the Committee to oversee the implementation 
of the FMC's interpretive rule, to ensure that motor carriers are not 
being improperly charged detention and demurrage fees, particularly as 
a result of impacts from the pandemic. Additionally, should this 
interpretive rule delay in implementation, we encourage the Committee 
to provide intermodal motor carriers with detention and demurrage fee 
relief during the response to and recovery from the pandemic.
    A further issue I'd like to raise with the Committee is chassis 
availability or chassis choice, which has become a much bigger problem 
at many of our Nation's ports and terminals. If intermodal motor 
carriers are unable to get the chassis they need to move containers to 
and from ports or if the process for obtaining a chassis is 
inefficient, then freight fluidity will be affected. For over 10 years, 
although the ocean carriers have sold their chassis, they still control 
chassis rules at intermodal facilities to deny trucking companies 
choice when leasing this essential equipment. Foreign-owned ship lines 
require U.S. motor carriers to only lease chassis from the steamship 
line designated chassis providers at a daily rate that is more than 
double the cost of providing a chassis, which increases costs for the 
motor carriers. At the same time, steamship lines have negotiated with 
their designated chassis provider for a daily chassis price when the 
steamship line pays the bill that is half the cost of providing a 
chassis. This rebate practice must stop.
    The increased cost on the motor carrier is punitive and will lead 
to increased costs for the consumer. The lack of chassis choice 
prevents the motor carriers from making decisions on the quality of the 
equipment. It is important that chassis choice is available at ports 
and terminals throughout the country.
3. Trucking Industry Priorities for COVID-19 Recovery Legislation:
 Create Jobs and Stimulate the Economy While Improving our 
        Nation's Infrastructure:
    The COVID-19 pandemic has significantly reduced travel, driving 
down fuel use and with it, fuel tax collection. In addition, truck and 
trailer purchases have dropped considerably, reducing the revenue 
collected through the Federal excise tax on equipment.\6\ For the week 
of May 16-22, personal travel was down a seasonally adjusted 30 percent 
compared with normal travel, while long-haul truck travel declined 5 
percent and local trucking fleet travel was down 6 percent.\7\ These 
declines have resulted in similar reductions in fuel consumption, with 
gasoline purchases down by approximately 30 percent in May compared 
with the same period in 2019.\8\ While the likely effects on 
transportation budgets are unclear, ATA estimates that Federal and 
state user fee revenue could be depleted by at least $32 billion over 
the next year. This does not include losses to states that rely on 
retail sales tax revenue for their transportation budgets. This loss of 
revenue will force cancellation of critical transportation projects, 
putting more than 400,000 people out of work. Furthermore, it will 
accelerate the insolvency of the Federal Highway Trust Fund (HTF), 
which was previously projected by the Congressional Budget Office to 
begin to go into the red by FY2021.
---------------------------------------------------------------------------
    \6\ Gilroy, Roger, April Class 8 Orders Reach 25-Year Low, 
Transport Topics, May 5, 2020.
    Gilroy, Roger, US Trailer Orders Tumble to All-Time Low in April, 
Transport Topics, May 25, 2020.
    \7\ INRIX U.S. National Traffic Volume Synopsis Issue #10 (May 16-
May 22, 2020)
    \8\ Weekly U.S. Product Supplied of Finished Motor Gasoline
---------------------------------------------------------------------------
    ATA supports a short-term infusion of revenue that will allow 
states to avoid furloughs and to maintain capital investment schedules, 
saving thousands of jobs. We also urge Congress to avoid delays in 
reauthorization of the FAST Act, and ensure that the surface 
transportation program is provided with sufficient long-term revenue to 
address critical infrastructure deficiencies.
    Even before the current crisis, a severe lack of investment has 
caused the road system to rapidly deteriorate, costing the average 
motorist nearly $1,600 a year in higher maintenance and congestion 
expenses.\9\ Highway congestion also adds nearly $75 billion to the 
cost of freight transportation each year.\10\ In 2016, truck drivers 
sat in traffic for nearly 1.2 billion hours, equivalent to more than 
425,000 drivers sitting idle for a year.\11\ This caused the trucking 
industry to consume an additional 6.87 billion gallons of fuel in 2016, 
representing approximately 13 percent of the industry's fuel 
consumption, and resulting in 67.3 million metric tons of excess carbon 
dioxide (CO2) emissions.\12\
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    \9\ Bumpy Road Ahead: America's Roughest Rides and Strategies to 
make our Roads Smoother, The Road Information Program, Oct. 2018; 2015 
Urban Mobility Scorecard. Texas Transportation Institute, Aug. 2015.
    \10\ Cost of Congestion to the Trucking Industry: 2018 Update. 
American Transportation Research Institute, Oct. 2018.
    \11\ Ibid.
    \12\ Fixing the 12 percent Case Study: Atlanta, GA. American 
Transportation Research Institute, Feb. 2019.
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    The current situation represents the greatest opportunity in 
decades to make great strides toward addressing these challenges. With 
traffic down (allowing for more lane closures), unemployment at 
historic highs, and interest rates and fuel prices at historic lows, 
now is the perfect time to accelerate transportation projects, not 
starve them of revenue.
    It is challenging to spot silver linings amid a global pandemic, 
but if there is something working Americans can be grateful for during 
a lockdown, it's a reprieve from the wretched traffic that's plagued 
daily commutes for years. But what happens when life returns to a new 
normal? America's sagging roads and cracking bridges will still be 
there, causing the bottlenecks and accidents that are the signature of 
everyday gridlock. Whatever the future holds, it is clear we can no 
longer rely on yesterday's roads to get us there. What if there was a 
smart way forward that finds common ground? What if we could jumpstart 
our economy, putting hundreds of thousands of Americans back to work in 
good-paying, private sector jobs--without adding another dime to the 
deficit? What if we could capitalize on this rare moment in the global 
oil market--paying dividends to working Americans for decades to come? 
There is. And we can. All that's needed now is the political courage to 
get there.
    President Trump and Speaker Pelosi have made rebuilding roads and 
bridges a top priority. Leader McConnell has insisted that any 
infrastructure package be fully paid for. Truckers agree with all 
three. Where pundits see conflict, we see alignment--and the way 
forward. In one package, infrastructure offers a singular solution to 
the tangled web of policy challenges woven by COVID-19. It would 
generate powerful economic stimulus in the near term, providing 
hundreds of thousands of good-paying, private sector jobs. It would lay 
a strong foundation for long-term economic growth, strengthening our 
supply chain and securing America's preeminent position in the global 
economy. Most importantly, it can be done responsibly--and fully paid 
for--without adding a dime to the Federal deficit.
    While the COVID-19 crisis will pass, one of its lasting legacies 
has already been written. The U.S. has added $3 trillion onto our 
Nation's credit card bill in a matter of weeks. These actions were 
necessary to prevent a catastrophic economic collapse, but their steep 
cost will reverberate for many years to come. America's total national 
debt now tops $25 trillion--another crisis decades in the making. It is 
a heavy price dropped on our kids and grandkids, which they'll pay 
throughout their lives in the form of higher taxes and fewer economic 
opportunities.
    Moreover, an infrastructure bill without a dedicated funding stream 
has no teeth. Without budget certainty over a multi-year window, 
transportation officials cannot move projects from the planning phase 
to the construction phase. Ground cannot be broken, jobs are frozen and 
any progress is bogged down by Congress' annual appropriations cycle. 
In order to create value, infrastructure has to be funded.
    President Reagan twice oversaw increases in the Federal fuel tax 
during his Presidency, and for good reason. It is the most 
conservative, efficient and viable funding mechanism readily available 
for infrastructure improvement. That is because the fuel tax is 
collected at the wholesale level--at what is known as a ``terminal 
rack''--well before it reaches the retail pump. There are roughly 1,300 
racks across the country, but collectively they're operated by only 
about 300 entities.\13\ The result is a tried-and-true system that 
minimizes overhead costs and maximizes efficiency--value--for road 
users. Ninety-nine cents of every dollar collected flows straight into 
the Highway Trust Fund.\14\ Compare that to alternatives like tolling, 
where as much as 35 cents of every dollar is squandered on 
administrative and collection costs.\15\
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    \13\ https://www.irs.gov/pub/irs-utl/tcn_db.pdf
    \14\ A Framework for Infrastructure Funding, American 
Transportation Research Institute, Nov. 2017.
    \15\ Ibid.
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    Yet Congress has not adjusted the fuel tax since 1993. As COVID-19 
roils oil markets, the present moment offers an enormous investment 
opportunity to recoup the economic losses inflicted on our country. As 
of May 26, the national average price for a gallon of gas is $1.96, 
compared to nearly $3.00 one year ago.\16\ Increasing the Federal fuel 
tax by only a nickel each year, over four years, would generate $340 
billion in new revenue over the next decade. A five-cent increase in 
the fuel tax would cost the average motorist merely an extra 50 cents 
at the pump each week. Even if a 20-cent increase took effect 
immediately, motorists today would still be paying 80 cents less on 
each gallon of gas than they were paying a year ago. More importantly, 
a well-maintained and responsibly funded surface transportation funding 
program would create significant savings for motorists by steadily 
reducing the $1,600 and 54 hours they are currently losing every year 
as roads and bridges fall deeper into disrepair and no longer meet the 
needs of 21st century America.
---------------------------------------------------------------------------
    \16\ Gasbuddy.com
---------------------------------------------------------------------------
    When it comes to funding the roads and bridges that Americans use 
every day, the trucking industry more than carries its weight--and 
we're proud of that fact. While trucks account for only four percent of 
vehicles on our Nation's roads, they pay nearly half of all Highway 
Trust Fund user fees. And truckers are willing to pay more to get this 
job done. But we're not alone. America's farmers, manufacturers, 
building trades, steel workers, business and labor leaders all stand in 
unison behind this national goal. Together we can rebuild America--
faster, better and stronger than ever before. Investing in our Nation's 
failing infrastructure will ensure that we are better equipped to 
respond to this and future national emergencies. Additionally, 
investing in infrastructure will provide a direct stimulus into our 
Nation's weakened economy.
    We urge Congress to provide an immediate infusion of additional 
money to states for surface transportation. We believe that 
approximately $32 billion will be necessary to offset losses from 
Federal and state user fee reductions over the next year. The money 
should initially come from the General Fund, to be distributed through 
existing federal-aid programs, and replenished over four years by an 
immediate 5 cent increase in the Federal fuel tax. With additional five 
cent increases in each of the following three years, sufficient revenue 
can be generated to ensure long-term funding stability for the Highway 
Trust Fund.
    Enactment of a robust long-term surface transportation 
reauthorization bill will ensure the solvency of the HTF and give 
states the certainty they require to make the major investments 
necessary to address maintenance and congestion needs. Among other 
funding priorities, ATA recommends direct funding for top freight 
bottlenecks that will ensure that trucks can deliver goods more swiftly 
in response to future emergencies. We also recommend the inclusion of 
H.R. 6104, the Truck Parking Safety Improvement Act, which makes $755 
million available to states for increased truck parking capacity. 
Finally, ATA supports Federal grants of up to $2 million per state for 
the purpose of creating or upgrading automated permitting systems. 
While these expenses are eligible under FMCSA's High Priority 
Innovative Technology Deployment (ITD) Program, this program is over 
subscribed. While the lack of adequate automated permitting systems in 
more than half the states creates inefficiencies during normal times, 
the COVID-19 experience has exposed even more harmful effects during 
times of crisis.
 Incentives to Promote Investments in Cleaner, Safer & More 
        Fuel-Efficient Truck & Equipment:
    COVID-19 is placing severe economic strain on trucking fleets and 
truck and trailer manufacturers due to cash flow uncertainties. As a 
result, investments in cleaner, more fuel-efficient, and safer trucks 
and equipment have steeply declined.
    New Class 8 heavy-truck orders in April 2020 were the lowest since 
1995.\17\ The spread of COVID-19 led all four major heavy-duty truck 
makers to suspend normal production schedules beginning as early as 
March.\18\ Production in 2020 will likely be a 50-60 percent decline in 
sales below the near-record build rate of 345,000 trucks in 2019.\19\ 
The global Class 8 downturn in 2020 will be worst felt in the U.S. as 
it often exhibits deeper cyclical troughs.\20\ Fleets are delaying 
ordering trucks until the economic uncertainty over the COVID-19 crisis 
abates and a significant number of orders scheduled for near-term 
deliveries have been cancelled due to financial uncertainty and/or lack 
of freight to haul.
---------------------------------------------------------------------------
    \17\ Gilroy, Roger, ``April Class 8 Orders Reach 25-Year Low'', 
Transport Topics, May 5, 2020.
    \18\ Hitch, John, ``Pandemic's Impact on Current Truck 
Production'', Fleet Owner, April 7, 2020.
    \19\ ``COVID-19 Will Further Slow Demand for Heavy Trucks'', S&P 
Global Ratings, May 5, 2020.
    \20\ Id.
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    Fleets have also curtailed ordering new trailers due to COVID-19. 
U.S. trailer orders in April hit an all-time low after heavy 
cancellations and the industry's rapid reaction to the unprecedented 
business conditions generated by the economic shutdown.\21\ While often 
overlooked, new trailers typically provide significant environmental 
and energy savings benefits as exemplified under the U.S. EPA SmartWay 
program which helps companies advance freight transportation 
efficiency. \22\
---------------------------------------------------------------------------
    \21\ Gilroy, Roger, ``US Trailer Orders Tumble to All-Time Low in 
April'', Transport Topics, May 25, 2020.
    \22\ See: https://www.epa.gov/smartway.
---------------------------------------------------------------------------
    As the economy looks to recover from COVID-19, fleets must be 
incentivized to place orders for new, cleaner, safer, and more fuel-
efficient equipment. Providing such incentives will result in a direct 
economic stimulus, certainty for jobs in truck and equipment 
manufacturing, and improvements to highway safety and fuel efficiency. 
As Congress considers COVID recovery legislation, relief is sought on 
these three fronts:

        (1) Temporary suspension of non-fuel use taxes for the trucking 
        industry;
        (2) Establishment of an immediate freight truck stimulus 
        package; and
        (3) Short-term financial incentives to kick-start the purchase 
        of new U.S. manufactured trailers.

    A Temporary Suspension of Non-Fuel Use Taxes:
    Non-fuel Federal use taxes cost the trucking industry more than $6 
billion annually.\23\ These taxes include the 12 percent Federal excise 
tax (FET) assessed on new truck and trailer purchases, an antiquated 
tax on trucks and equipment adopted in 1917 as a World War I revenue 
source, which remains the highest excise tax imposed by the Federal 
government on any product or service. The FET imposes an average 
additional $18,000 price tag on a new Class-8 truck (assuming an 
average purchase price of $150,000) and close to a $4,000 up-charge on 
a new 53-foot box trailer (assuming an average purchase price of 
$33,000). These excessive tax charges limit the amount of actual 
physical equipment fleets can afford to purchase. The 97 percent of the 
Nation's trucking companies that are small businesses are especially 
impacted by these high taxes given that they already operate on razor-
thin profit margins.\24\ While the permanent elimination of the FET is 
clearly justified, a temporary suspension of this tax through the end 
of CY2021 would greatly incentivize carriers to purchase new trucks and 
trailers, save manufacturing jobs, and put cleaner, safer, more fuel-
efficient equipment on the road.
---------------------------------------------------------------------------
    \23\ See: https://www.fhwa.dot.gov/policyinformation/statistics/
2018/fe210.cfm.
    \24\ American Trucking Trends 2019, American Trucking Associations, 
July 2019.
---------------------------------------------------------------------------
    A second non-fuel Federal use tax involves the FET assessed on 
tires that only applies to the trucking industry. It was also imposed 
to assist in paying for the war effort during World War I. While tires 
account for two percent of fleet operating expenses, the annual tax 
burden on the industry is approximately $500 million.\25\ A temporary 
tax holiday through CY2021 for truck tire purchases would save the 
industry approximately $800 million and go far in the economic recovery 
efforts of the trucking sector.
---------------------------------------------------------------------------
    \25\ See: https://www.fhwa.dot.gov/policyinformation/statistics/
2018/fe210.cfm.
---------------------------------------------------------------------------
    The final non-fuel Federal use tax is the Heavy Vehicle Use Tax 
(HVUT), assessed annually on heavy vehicles at a rate of up to $550. 
Though drivers are still on the road delivering vital supplies and 
food, they remain subject to a tax burden that places enormous stress 
on their businesses at the very time when there are agonizing decisions 
made every day related to equipment and workforce. This tax is 
especially burdensome because fleets must pay it in a single lump sum, 
straining company cash flows. Suspending the HVUT through CY2021 would 
save the trucking industry nearly $2 billion.
    Establishment of a Freight Truck Stimulus Package:
    To help rebuild and stabilize the trucking sector, creating a 
freight truck stimulus package under the highly-successful Diesel 
Emissions Reduction Act (DERA) would throw a lifeline to many trucking 
fleets seeking to purchase cleaner equipment. DERA has become one of 
the most cost-effective Federal clean air programs for reducing 
emissions and saving fuel. EPA's most recent estimates indicated that 
every $1 in Federal assistance is met with $3 in non-federal matching 
funds, including significant investments from the private sector. 
Furthermore, every Federal dollar generates between $5 to $21 in health 
and economic benefits.
    Using DERA to stimulate the economy is not without precedent. EPA 
received $300 million through the American Recovery and Reinvestment 
Act (Recovery Act) for clean diesel projects in 2009. These funds 
expanded the program's ability to establish large-scale projects that 
could deliver additional reductions through investments in cleaner and 
more fuel-efficient technologies. This program was also credited with 
sustaining and creating over 3,000 jobs. Many DERA-related jobs advance 
green employment opportunities through the development, manufacturing, 
and installation of clean diesel technologies.
    While DERA has made tremendous progress in improving air quality 
nationwide, annual dollars are stretched thin due to competition for 
funding between school buses, ports, airports, rail, construction 
equipment, and trucking. Given that approximately 57 percent of the 
heavy-duty truck fleet is not equipped with technology meeting the most 
current emissions standards adopted for model year 2010, and given the 
expected downturn in new truck purchases into the foreseeable future, 
developing and funding an on-road freight truck component under the 
DERA program would be a win-win proposition to jump-start new truck 
purchases and reduce emissions. ATA therefore supports an additional 
$250 million in annual DERA funding be appropriated and specifically 
set aside for new on-road freight vehicle purchases to accelerate fleet 
turnover rates and to help renew truck manufacturing jobs.
    New Trailer Purchase Incentives:
    A single 53-foot standard box-type trailer can set a trucking 
company back $33,000 on average. It is not uncommon for fleets to have 
trailer to tractor ratios of 3:1, meaning they require three trailers 
per power unit due to the frequent repositioning of empty, partially 
loaded, and fully-loaded units. Other trailers designed for specialty 
hauling operations--such as tank trucks, flatbeds, refrigerated units, 
and automobile haulers--can sometimes cost upwards of $100,000.
    Given the economic recovery needed for the pummeled trailer 
manufacturing industry, ATA proposes a temporary $5,000 Federal voucher 
program for the purchase of new North American manufactured trailers 
that achieve either a U.S. EPA SmartWay, U.S. EPA Phase 2 Heavy-Truck 
Greenhouse Gas Rule, or comparable state fuel-efficiency designation 
through the end of CY2021. Today's new generation trailers are both 
more fuel-efficient and provide significant associated emission 
reductions. In fact, emission reductions and associated fuel savings 
benefits from a new 53-foot trailer can achieve as much as a 10 percent 
improvement.
    In order to inject new life into what used to be a $12+ billion 
U.S. industry, the establishment of a short-term Federal voucher 
program is critical. Not only will such a program instantly help U.S.-
based trailer manufacturers and trucking companies rebound financially, 
but incentivizing new trailer purchases will help continue the 
historical progress the trucking industry has made over the last 35 
years to advance the Nation's energy and clean air goals.
  Support Workforce Development Initiatives and Invest in 
        Retraining the Unemployed:
    The trucking industry's successful mobilization in response to the 
COVID-19 emergency demonstrates how critical workforce development is 
to the economy and our emergency response supply chain. Prior to the 
COVID-19 emergency, the most recent statistics showed 7.4 million 
people working in various occupations in the trucking industry, 
accounting for 1 in 18 jobs in the U.S. ``Truck driver'' has been 
reported to be the top job in 29 states.\26\
---------------------------------------------------------------------------
    \26\ https://www.marketwatch.com/story/keep-on-truckin-in-a-
majority-of-states-its-the-most-popular-job-2015-02-09.
---------------------------------------------------------------------------
    These are good middle-class careers that do not require the debt 
that often comes with getting a college degree. The Bureau of Labor 
Statistics reported a mean salary of $46,850 for truck drivers in a May 
2019 report.\27\ An industry survey shows the average truck driver 
makes over $53,000 per year, plus benefits like health insurance, a 
retirement plan (e.g., 401(k)), and paid time off.\28\ A private fleet 
driver similarly saw pay rise to more than $86,000 from $73,000 or a 
gain of nearly 18 percent from 2014.\29\ In addition to rising pay, 
many fleets were offering generous signing bonuses and other expanded 
benefit packages to attract and keep drivers as recently as February of 
2020.
---------------------------------------------------------------------------
    \27\ Occupational Employment and Wages, May 2019, 53-3032 Heavy and 
Tractor-Trailer Truck Drivers, available at https://www.bls.gov/oes/
2019/may/oes533032.htm
    \28\ ATA Driver Compensation Study (2017); American Trucking 
Associations. https://www
.atabusinesssolutions.com/ATA-Store/ProductDetails/productid/3852684.
    \29\ Id.
---------------------------------------------------------------------------
    The most recent jobs report, however, showed overall 14.7 percent 
unemployment, and labor participation dropping to 60.2 percent--the 
lowest since 1973. While portions of the trucking industry have 
somewhat weathered the economic storm, according to the BLS May 2020 
Report, 88,300 jobs were lost in the for-hire trucking industry in 
April, or about 6 percent. That puts overall employment in the for-hire 
trucking industry at the lowest level since November 2014. Part of the 
reason for that, as this Committee well knows, is that we depend on our 
customers to sustain our business--and, when they hurt so do we.
    Prior to the current emergency, there was already a significant 
need for more truck drivers. In July 2018, half of the Nation's twelve 
Federal Reserve Districts specifically reported trucking capacity and 
truck driver shortage issues.\30\ The industry faced a shortage of more 
than 60,000 qualified drivers as of 2020, and will need to hire 1.1 
million new drivers over the next decade, taking into account 
retirement and the industry's aging workforce (7 years older than that 
of your typical U.S. worker). Any further workforce attrition could 
cripple the industry's ability to effectively and swiftly deliver goods 
and supplies in a national emergency. Furthermore, there is a major 
backlog in Commercial Drivers License issuance in many states due to 
closures of many schools and testing facilities. As a major source of 
national employment, however, we expect to be a leader in returning 
Americans to work and have several proposals designed to maximize 
opportunity for all Americans in this critical industry as the economy 
recovers.
---------------------------------------------------------------------------
    \30\ The Federal Reserve Board, The Beige Book: Summary of 
Commentary on Current Economic Conditions by Federal Reserve District, 
July 18, 2018, https://www.federalreserve.gov/monetarypolicy/files/
BeigeBook_20180718.pdf.

1.  H.R. 1374/S.569, the DRIVE Safe Act: This bipartisan legislation, 
        which is currently cosponsored by over one fourth of the House 
        and one third of the Senate, allows young Americans to become 
        truck drivers--a good paying job in an industry that badly 
        needs them. Though 49 states currently allow individuals to 
        obtain a commercial driver's license at 18, they remain 
        prohibited from driving in interstate commerce until they are 
        21. The bill establishes an apprenticeship program to train 
        qualified 18-20 year old CDL holders to safely operate in 
---------------------------------------------------------------------------
        interstate commerce.

2.  H.R. 5145/S.2858, the Promoting Women in Trucking Workforce Act: 
        Through the establishment of a Women of Trucking Advisory 
        Board, we expect to be able to place greater focus on the 
        recruitment, training, and mentorship of women. This will lead 
        to greater industry diversity, while providing another tool to 
        stem the driver shortage.

3.  H.R. 5118/S.3303, the Promoting Service in Transportation Act: This 
        legislation will raise awareness of great career opportunities 
        in the transportation sector. Through enhancing the use of 
        broadcast, digital and print media in public service campaigns, 
        we can ensure that the workforce is available and equipped to 
        respond to emergencies.

4.  Workforce Investment and Opportunities Act (WIOA) Reforms: Training 
        opportunities will play a critical role in helping the 
        unemployed or underemployed return to work, and Congress should 
        pursue improvements to WIOA, which is up for reauthorization 
        this year, in both the short-and long-terms.

      a.  Improved Payment Efficiency Will Speed Up Training: Truck 
            driver training schools currently train between 13,000-
            14,000 Americans each year under WIOA. With many workforce 
            boards temporarily closing due to the COVID-19 pandemic 
            coupled with various accounting requirements, outstanding 
            reimbursements were not timely processed, which delayed 
            entire classes of new drivers. Congress should consider 
            changes to ensure training reimbursements continue in the 
            event of a temporarily closed workforce board.

      b.  Expand WIOA Funding and Ensure Vital Industries Have Access: 
            In order to ensure opportunities for those who may not be 
            able to return to their prior jobs, ATA believes a one-time 
            infusion of WIOA funds with certain parameters is in order, 
            and that truck driving should be considered a nationally 
            ``in-demand'' occupation. While some states and local 
            workforce boards include truck driving as an in-demand 
            occupation with access to WIOA funding, many do not. A 
            directive that funds should be prioritized for workforce 
            training for defined critical industries, including 
            trucking, would remedy this disparity. Additionally, during 
            the recovery period, Congress should streamline the intake 
            process at state and local workforce boards to ensure 
            people are being trained swiftly for open jobs.

5.  Ensure Focusing on Safety Does Not Impact Independent Contractor 
        Relationships: Safety is always paramount for the trucking 
        industry, and many motor carriers rely on independent owner-
        operators for their businesses and work with them to ensure 
        they are operating safely. Congress should ensure that efforts 
        on the part of a motor carrier to assist an independent owner-
        operator in maintaining health and safety during the crisis 
        cannot be used as evidence of an employer-employee relationship 
        and resulting liability of the carrier.

    These suggestions will help ensure the trucking industry has access 
to a workforce that is able to support the critical needs of the 
country as we cover from this crisis.
  Provide for the Use of Electronic Shipping Papers:
    Both the U.S. Centers for Disease Control and Prevention (CDC) and 
the Occupational Safety and Health Administration (OSHA) recommend that 
individuals practice social distancing to slow the spread of COVID-19. 
Further, it is recommended that drivers, inspectors, shippers, and the 
entirety of the hazardous materials (hazmat) supply chain avoid 
touching documents whenever possible to reduce the likelihood of virus 
transmission. Unfortunately, truck drivers hauling hazmat do not have 
the option to apply this best practice due to certain Federal shipping 
paper requirements.\31\ Specifically, the rigid procedures related to 
the preparation and retention of shipping papers inadvertently prevent 
truck drivers from taking precautionary measures intended to mitigate 
the spread of the virus. Transitioning to electronic shipping papers 
would enable truck drivers, their customers, law enforcement personnel, 
and first responders to avoid the risks associated with passing hazmat 
documents back and forth.
---------------------------------------------------------------------------
    \31\ 49 CFR Sec. 172.201-Sec. 172.205
---------------------------------------------------------------------------
    We recommend that Congress amend these Federal shipping paper 
requirements to provide truck drivers hauling hazmat with the option to 
utilize electronic shipping papers. Such an amendment is long overdue, 
and is especially timely given the current public health emergency. 
Highway carriers should have the option to utilize electronic shipping 
papers if they are able to comply with comparable electronic shipping 
paper regulations governing hazmat transportation by air and rail.
    Transitioning to electronic hazmat shipping papers is not simply 
about leveraging technology for technology's sake. Shippers and 
carriers, as well as law enforcement officers and first responders, 
stand to benefit from the efficiencies yielded by electronic shipping 
documentation.
    The current Hazardous Materials Regulations place great emphasis on 
physical documentation requirements, which, in some cases, can 
inadvertently endanger law enforcement personnel and first responders--
the very individuals these regulations are intended to safeguard. For 
example, in emergency events involving hazmat highway carriers, first 
responders need to access shipping papers in order to determine the 
exact quantities and types of hazardous materials on board. If shipping 
papers are physically located inside the truck, first responders must 
put themselves in extreme danger to retrieve them. If first responders 
and law enforcement do not have access to the vital information 
contained in shipping papers, they will not have enough information to 
make informed judgments about how to respond properly and safely.
    With an electronic shipping documentation system in place, first 
responders could access the information remotely, circumvent the risk 
of entering the vehicle, and respond more rapidly. This concept has 
already been tested and approved in the air and rail domains, and the 
trucking industry is hopeful for the opportunity to embrace the safety 
benefits of electronic shipping papers as well. From a safety 
standpoint, the rationale for providing highway carriers with the 
option to transition to electronic shipping papers is clear. 
Furthermore, electronic shipping papers could also be incorporated into 
the communication systems that many companies already have in place for 
increased efficiency and enhanced sharing of hazard information with 
need-to-know parties. Leveraging technology to improve critical 
communication between drivers, first responders, and law enforcement 
during an emergency is a goal that we can all support.
    In addition to the safety benefits, using electronic shipping 
papers is a sensible way for shippers and carriers to reduce their 
impact on the environment. Electronic hazmat documents are not only a 
more environmentally-friendly alternative to printed shipping papers, 
they can also save shippers and carriers the cost of printing and 
maintaining this paperwork.
    For those reasons, we urge the Committee to take the appropriate 
legislative steps to ensure that the safe, secure, and efficient 
delivery of hazardous materials does not jeopardize the health and 
safety of truck drivers, first responders, law enforcement personnel, 
shippers, and consignees.
Conclusion:
    Chairman Wicker, Ranking Member Cantwell, and members of the 
Committee, thank you again for providing me with the opportunity to 
testify before you today. As you have ascertained from my testimony, 
the trucking industry have been at the forefront of COVID-19 relief and 
response efforts, ensuring that food, medical supplies, and household 
goods are swiftly delivered throughout the country. And trucking is 
prepared to lead our Nation's economic recovery, delivering the goods 
that will fuel commerce, the supplies that will empower businesses, and 
the necessities that will nourish our communities.
    The leadership and action of this Committee, Congress, and the 
Administration over the next several months will shape the country's 
continued response to, and recovery from, the pandemic. Investing in 
our Nation's crumbling infrastructure will both create jobs and provide 
a direct economic stimulus, while improving our crumbling roads and 
bridges. Providing limited and narrow liability protections to motor 
carriers and other industries who have acted in good faith on the front 
lines of the pandemic will ensure our response and recovery efforts are 
not assaulted by boundless liability. And, creating a roadmap and 
framework for our workforce of tomorrow, when the trucking industry 
will need to hire over one million new drivers just to keep pace with 
growing demand, will spur an employment resurgence as we emerge from 
this health crisis.
    ATA applauds the efforts of this Committee throughout the COVID-19 
response to ensure that America's trucking industry has the Federal 
support it needs to serve our country through this crisis. The trucking 
industry stands ready to work hand-in-glove with you on continued and 
future COVID-19-related efforts. Under your leadership and guidance, we 
believe that the important and necessary steps can and will be taken to 
help see the trucking industry, and the nation, through these tough 
times and into a better tomorrow.

    The Chairman. Thank you very much, Mr. Guillot.
    And now Mr. Ian Jeffries with the Association of American 
Railroads. Mr. Jeffries?

                 STATEMENT OF IAN N. JEFFRIES,

             PRESIDENT AND CHIEF EXECUTIVE OFFICER,

               ASSOCIATION OF AMERICAN RAILROADS

    Mr. Jeffries. Good afternoon. Chairman Wicker, Ranking 
Member Cantwell, members of the Committee, thank you for the 
opportunity to be here representing America?s freight 
railroads.
    I appear before you today in what are truly challenging and 
tragic times for, quite frankly, all Americans. We are all 
grateful to the courageous frontline professionals confronting 
the COVID-19 pandemic, especially our medical professionals, 
but also the thousands of critical transportation workers 
keeping supply chains moving.
    Throughout the pandemic, railroaders are delivering 
critical goods to communities, families, and businesses across 
the country. To be clear, railroads' first priority is their 
employees' well-being. Since the onset of the pandemic, 
America's railroads have closely followed and often exceeded 
CDC and other experts' recommendations to protect employees 
from this devastating disease. Most railroad jobs require 
employees to be onsite to keep networks moving, and so 
railroads quickly implemented social distancing policies and 
established rigorous cleaning protocols for their work 
environments. PPE use is pervasive and self-quarantining 
protocols are in place for those exposed to the virus or 
showing symptoms. Our industry is blessed with a dedicated 
employee base for whom strict adherence to rigorous safety 
protocols is the norm, and this diligence has provided 
encouraging results to date.
    In the meantime, freight railroads have worked closely with 
our customers throughout these times to provide flexible, high-
quality service that meets shippers' needs, even as those needs 
change because of the pandemic. Railroads truly are partners 
with their customers, and the economically challenging 
conditions our customers, like all businesses, have been facing 
are reflected in railroad volumes. Weekly rail traffic has been 
roughly 20 percent lower versus this time last year for the 
past two and a half months. But every day, railroads continue 
to deliver things like chlorine-based disinfectants for water 
treatment, consumer goods moving in e-commerce, food, and 
energy products to meet customer and community needs across the 
country.
    This continuity and reliability amid a global crisis are a 
testament to the close relationship between railroads and their 
customers, the power of American ingenuity, and the criticality 
of a financially secure freight rail industry. I often say that 
railroads play the long game, and the strong service levels we 
see now are a direct result of years of sustained private 
network investment paired with modernized operational plans 
that enable highly resilient and flexible operations.
    Sensible government policy has also helped in the 
continuity of rail operations. Guidance from DHS in a 
supporting document from the Surface Transportation Board has 
been valuable in clarifying the critical nature of freight rail 
operations, especially as hundreds of State and local 
governments considered how to best protect their populations 
through the issuance of local orders.
    Additionally, temporary regulatory waivers issued by the 
Federal Railroad Administration have been critical in allowing 
Class 1 freight railroads to implement social distancing 
policies to enhance employees' safety.
    Railroads are also grateful to provisions in the CARES Act 
and to individuals on this committee that make the rail 
industry employees eligible for enhanced sickness and 
unemployment insurance benefits, matching those benefits made 
available to other employees--other U.S. workers.
    As Congress considers the scope and nature of additional 
stimulus legislation, we ask that you emphasize the here and 
now. For instance, legislation from Chairman Wicker, Ranking 
Member Cantwell, and others on this committee to prioritize 
access for critical infrastructure workers to testing, PPE, and 
other health-related supplies is wise. Should you pursue 
infrastructure legislation to support economic recovery, the 
focus should be on the funding and project delivery. In 
contrast, Congress should soundly reject controversial policy 
riders pursued by special interests.
    In closing, despite the unknowns, one thing is clear: 
successful navigation of these times requires flexibility, 
innovation, and determination, all characteristics not only of 
today's freight rail industry but also of our country. While 
the country endures today's challenges, the future is indeed 
bright.
    Thank you. I am happy to answer any questions you might 
have.
    [The prepared statement of Mr. Jeffries follows:]

 Prepared Statement of Ian N. Jefferies, President and Chief Executive 
               Officer, Association of American Railroads
Introduction
    On behalf of the members of the Association of American Railroads 
(AAR), thank you for the opportunity to testify on the rail industry's 
response to the ongoing COVID-19 pandemic. AAR members account for the 
vast majority of North America's freight railroad mileage, employees, 
revenue, and traffic.
    All of us are forever grateful to our medical professionals and 
other first responders who are working on the front lines, at 
substantial personal risk, to care for COVID-19 patients. We should 
also be grateful to, and proud of, the men and women of the railroads 
and other transportation industries who are working tirelessly day-in 
and day-out behind the scenes to keep our supply chains functioning and 
to deliver critical products to our communities.
    As the COVID-19 pandemic continues to evolve across the globe, 
North America's freight railroads remain focused on safeguarding the 
health and safety of their workforce and maintaining the flow of goods 
necessary to preserve public health, sustain families, and keep 
essential businesses in operation. Railroads continue to deliver the 
goods that matter, including chlorine-based disinfectants for water 
treatment, e-commerce, food, and energy products to support electricity 
demands, all at high levels of service.
Railroad Response to COVID-19
    Railroads have established three main goals in their response to 
the COVID-19 pandemic. The first is to keep their employees safe. 
Guided by recommendations from the Centers for Disease Control and 
Prevention and other health professionals, railroads quickly took 
extensive steps to protect their employees. They transitioned most of 
their office employees to telework arrangements and began using 
technology to replace face-to-face interactions. For employees whose 
jobs require them to work on-site or in the field, railroads worked 
diligently to quickly implement appropriate social distancing policies 
and established rigorous cleaning protocols for their work environments 
(for example, sanitation of locomotive cabs).
    The use of protective devices, including gloves and masks, is now 
ubiquitous on railroads, and self-isolation protocols are in place for 
those potentially exposed to the virus or showing symptoms. Access by 
visitors to rail facilities has been sharply curtailed, and railroads 
are providing timely information to employees through various 
communications channels, such as e-mails, virtual townhalls, 
newsletters, intranets, and conference calls. Railroads have also 
bolstered the efforts of their own internal medical teams and increased 
their emotional and mental health resources to ensure their large, 
dispersed workforces remain supported.
    My understanding is that, due to railroads' preventive measures and 
the diligence of their employees, the number of confirmed COVID-19 
cases among rail employees to date has, thankfully, been relatively 
low. Moreover, I am not aware of any instances in which Class I 
railroads have been unable to serve customers or suffered meaningful 
business interruptions due to pandemic-related railroad crew shortages.
    Railroads' second main goal is to continue to provide high levels 
of safe, reliable service to their customers. Virtually every railroad 
customer has had to adjust its operations because of the pandemic, and 
railroads have partnered with them every step of the way. Railroads 
know their customers count on them for responsive service, close 
collaboration, and nimble operational adjustments; and that's exactly 
what railroads are delivering. While occasional disruptions in various 
locations and times on America's nearly 140,000-mile freight rail 
network are bound to occur, by and large America's freight railroads 
today are running better than ever, keeping North America's supply 
chain moving and delivering critical products where they're needed. 
Railroads are also making special efforts to expedite shipments of 
goods that are in short supply or urgently needed.
    Railroads' third main goal is to continue to operate efficiently 
and preserve their financial stability and integrity, so that in the 
future they will be there to handle our Nation's freight. In recent 
years, railroads have continued to evolve their operating practices, 
resulting in more resilient networks that put them in a strong position 
to navigate the current market disruptions. As demand returns, 
railroads' improved service capabilities will allow them to more 
safely, reliably, and cost-effectively meet the increasing freight 
transportation needs of their customers.
    Railroads have also continued to invest substantial funds in their 
core track, bridge, and signal infrastructure, prioritizing investments 
that lead to safer, more reliable train operations. And while railroads 
would prefer more traffic operating on their networks than they 
currently have,\1\ they are taking advantage of reduced traffic levels 
by fast-forwarding maintenance and construction activity, as 
appropriate, to further strengthen their networks and make them better 
able to serve their customers and our Nation in the years ahead.
---------------------------------------------------------------------------
    \1\ Total rail traffic from mid-March 2020 through mid-May 2020 is 
down approximately 20 percent as compared to the same time period in 
2019. While it's impossible to precisely quantify the impact of the 
pandemic on rail volumes, it's safe to say that the vast majority of 
this decline, representing hundreds of thousands of carloads and 
intermodal units, is pandemic-related.
---------------------------------------------------------------------------
    Freight railroads continue to work hard every day to make a safe 
rail network even safer. They recognize they have not yet reached their 
goal of zero accidents and injuries, but data from the Federal Railroad 
Administration (FRA) confirm that their safety gains over the years 
have given them a good base for further improvement toward that goal.
Actions by Rail Regulators in Response to COVID-19
    The rail industry appreciates the efforts of Federal agencies to 
help ensure that railroads can continue to provide essential 
transportation services during this difficult time. Each year, FRA 
establishes an emergency docket for granting relief from its 
regulations if needed to provide essential transportation services 
safely in the event of an emergency. For example, in 2019, FRA used the 
docket to grant relief from certain regulations when catastrophic 
flooding occurred in several states.
    Recognizing the emergency created by the COVID-19 pandemic, in 
March 2020, FRA granted railroads temporary waivers from certain 
regulations. Some of these regulations were waived to enable railroads 
to abide by social distancing requirements and guidelines, while other 
regulations were waived to enable railroads to continue to operate 
effectively in cases of rail workforce shortages caused by the 
pandemic. The rail industry is committed to using the waivers only to 
the extent necessary to address legitimate problems arising from COVID-
19. To date, Class I freight railroads have only used the waivers 
granted for social distancing purposes, and it was only those waivers 
which they sought, and were ultimately granted, an extension for 
continued use. Railroads' experience with COVID-19 has confirmed that 
FRA is acting appropriately by using the emergency docket process only 
when the situation is extremely urgent.
    Railroads also commend the Department of Homeland Security's 
Cybersecurity & Infrastructure Security Agency (CISA) for quickly 
providing guidance on the essential critical infrastructure workforce. 
This guidance has been important to the continuity of freight rail 
operations, especially as state and local governments issued disparate 
edicts in response to the pandemic. The Surface Transportation Board 
emphasized CISA's guidance in its statement on April 22nd in support of 
railroad operations, which urged state and local authorities to 
recognize the importance of rail operations and to support the ability 
of railroads and their supply chain partners to contribute to the 
Nation's welfare.
    Finally, the rail industry also appreciates the efforts of the 
Department of Homeland Security's Customs and Border Protection for 
ensuring that cross-border railroad operations have remained fluid and 
unencumbered while the United States' borders with Canada and Mexico 
remain closed to non-essential traffic. The rail industry has worked 
closely with officials on both sides of the borders to ensure that we 
can continue to serve our customers across North America's supply 
chain.
Further Legislative Actions
    In the weeks and months ahead, Congress will be considering 
additional measures in response to the pandemic and its aftermath. 
Railroads respectfully suggest that, as it does so, Congress should 
include provisions that would facilitate the rail industry's ability to 
move the goods our Nation depends on.
    First and foremost, Congress should reject controversial policy 
riders that have little or no relationship to actual pandemic-related 
needs, such as harmful economic regulation or mandates for specific 
operating models, such as minimum railroad crew size. Additionally, 
railroads support the goal of improved access to reliable broadband for 
all Americans, but Congress should reject proposals that mandate one-
size-fits-all, non-compensatory access to private property, including 
railroad rights-of-way, under the guise of pandemic relief. 
Additionally, railroads must also be able to ensure that proposed 
broadband projects have undergone appropriate engineering review and 
construction oversight and will comply with applicable Federal 
regulations, including the use of flagmen for worker protection, and 
other sensible national safety codes and standards.
    Likewise, temporary waivers from existing maximum truck weight 
limits for the delivery of emergency supplies might be appropriate in 
some cases today, but Congress should not include permanent increases 
to existing truck length or weight limits in any future pandemic-
related (or, for that matter, non-pandemic related) legislation. The 
rail industry opposes permitting larger trucks to operate on our 
Nation's roads and bridges until the user fees that trucks pay into the 
Highway Trust Fund cover the costs of the highway damage they cause.
    Second, rail employees, as well as other essential critical 
infrastructure workers, should be given elevated priority access to 
COVID-19 testing, personal protective equipment, sanitizers, non-
medical grade facial coverings, and other health-related or protective 
supplies so that essential goods can keep moving. The rail industry 
supports Chairman Wicker's bill--S. 3728, the Critical Infrastructure 
Employee Protection Act of 2020--and thanks Chairman Wicker, as well as 
Ranking Member Cantwell, and Senators Blunt, Young, and Sullivan for 
supporting this effort.
    Third, if an infrastructure package is considered in future 
legislation, increased funding for highway-rail grade crossing and 
grade separation projects, which communities across the country 
continue to call for, as well as funding for Amtrak to maintain and 
replace current critical infrastructure, should also be included.
    Finally, the freight rail industry is grateful for the provisions 
in the CARES Act that made rail industry employees eligible for 
enhanced sickness and unemployment insurance benefits, matching the 
enhanced benefits made available to other U.S. workers. Looking ahead, 
railroads also support the removal of the impact of sequester on these 
benefits as well as the Railroad Retirement Board's request for an 
additional $11.5 million in administrative funds to provide much-needed 
IT modernization.
Conclusion
    Our country is enduring a truly challenging and unprecedented time, 
but the optimist in me knows that this too shall pass. Because of the 
many uncertainties we still face, the timing and the roadmap for 
returning to a more normal way of life remain unclear. Successful 
navigation of all the unknowns will require flexibility, innovation, 
and determination--characteristics that the rail industry and its 
employees have demonstrated in past emergencies and that are seeing the 
industry through this one. In the weeks and months ahead, freight 
railroads will remain in close collaboration with their customers and 
employees, policymakers, and others to ensure that our Nation's freight 
transportation needs are met safely, reliably, and cost effectively.

    The Chairman. And thank you very, very much.
    Now, Mr. Alex Oehler, Interim President and CEO, Interstate 
Natural Gas Association.

          STATEMENT OF ALEX OEHLER, INTERIM PRESIDENT

            AND CHIEF EXECUTIVE OFFICER, INTERSTATE

               NATURAL GAS ASSOCIATION OF AMERICA

    Mr. Oehler. Chairman Wicker, Ranking Member Cantwell, and 
members of the Committee, good afternoon. My name is Alex 
Oehler, and I am Interim President and CEO of the Interstate 
Natural Gas Association of America, or INGAA.
    Thank you for holding this hearing and the opportunity to 
testify today. INGAA appreciates the Committee's interest in 
ensuring that our nation's pipeline infrastructure continues to 
safely and reliably deliver the energy that Americans need 
during the COVID-19 pandemic emergency.
    INGAA's members transport natural gas through a network of 
transmission pipelines that are analogous to the interstate 
highway system. These are large capacity, critical 
infrastructure systems that span multiple states or regions to 
bring the nation's natural gas resources to market. Our members 
provide an essential link between every major natural gas 
supply basin in the country to every major consumption area in 
the lower 48 states, and all of this infrastructure is built 
and maintained using private capital.
    Our industry is relentlessly committed to safe, reliable, 
and responsible operations, which includes meeting the nation's 
energy needs during the COVID emergency and taking every 
necessary step to protect the health of our workforce and the 
communities in which we operate. INGAA's members have made 
significant changes to their operations to confront COVID-19 
and have also contributed millions of dollars toward relief and 
recovery efforts in their communities.
    I wish to convey four main points today.
    First, because most end uses of natural gas are essential 
to the health, safety, and well-being of American families and 
businesses, our nation's demand for interstate natural gas 
transportation service has largely persisted throughout the 
COVID-19 emergency, though some pipelines have experienced 
changes in their utilization profiles that reflect the new ways 
Americans are living and working during this time. Interstate 
natural gas pipeline operators are quite confident that we will 
continue to deliver energy supplies safely and reliably 
throughout this crisis. Both the stability and interconnected 
nature of our national pipeline grid and the diverse sources of 
natural gas supply and storage provide a high level of energy 
reliability for the Nation.
    Second, pipeline companies recognize that as operators of 
critical infrastructure, it is our responsibility to implement 
safeguards that ensure pipeline operations, maintenance, and 
construction activities can safely continue. Our frontline 
employees and contractors have demonstrated remarkable 
resilience during this challenging time, and INGAA member 
companies have taken numerous actions to protect them, 
consistent with the guidance of CDC, OSHA, and State and local 
health departments.
    Examples of specific actions include: using backup pipeline 
control rooms to separate essential workers into isolated 
shifts and locations; collaborating with pipeline contractors 
to implement pandemic planning across the supply chain; and 
developing robust plans to respond to a COVID-19 infection, if 
needed, at a work location.
    Third, I would like to commend several Federal agencies for 
providing the targeted support that pipeline operators need to 
ensure safe and reliable energy deliveries. For example, the 
Pipeline and Hazardous Materials Safety Administration, or 
PHMSA, has repurposed the agency's plan for responding to 
extreme weather events to establish a mechanism for operators 
to notify the agency of a need to temporarily reschedule 
certain less essential compliance activities until after the 
COVID-19 emergency subsides.
    Other Federal agencies, including FEMA, CDC, DOE, and CISA, 
have taken lead roles in working with State and local agencies 
to ensure that essential critical infrastructure workers have 
access to COVID-19 testing, personal protective equipment, and 
other health-related supplies. We are grateful for these joint 
efforts, and it is important that this coordination continues. 
To that end, we strongly support the Critical Infrastructure 
Employee Protection Act of 2020, which will ensure government 
agencies continue to manage this effort.
    Finally, although not directly related to COVID-19, the 
reauthorization of our nation's pipeline safety programs will 
help provide stability as PHMSA and State pipeline safety 
agencies work to adapt to the changing environment we will be 
living in for the months to come. INGAA supports a 
reauthorization bill that increases funding for Federal and 
State pipeline safety programs and establishes clear policy 
priorities for PHMSA for the next 4 years. We appreciate this 
committee's work to advance a bipartisan reauthorization bill 
last July and look forward to continuing to work with you on 
this important legislation.
    Thank you again for the opportunity to testify today. I 
would be happy to answer any questions you have.
    [The prepared statement of Mr. Oehler follows:]

    Prepared Statement of Alex Oehler, Interim President and Chief 
    Executive Officer, Interstate Natural Gas Association of America
    Chairman Wicker, Ranking Member Cantwell, and Members of the 
Committee:

    Good afternoon. My name is Alex Oehler, and I am Interim President 
& CEO of the Interstate Natural Gas Association of America (INGAA). 
Thank you for holding this hearing and the opportunity to testify 
today. INGAA appreciates the Committee's interest in ensuring that our 
Nation's pipeline infrastructure continues to safely and reliably 
deliver the energy that Americans need while we respond to and recover 
from the COVID-19 public health emergency.
    INGAA's members transport natural gas through a network of 
transmission pipelines that are analogous to the interstate highway 
system. These are large capacity, critical infrastructure systems that 
span multiple states or regions to bring the Nation's natural gas 
resources to market. Our members provide an essential link between 
every major natural gas supply basin in the country to every major 
consumption area in the lower 48 states, and all of this infrastructure 
is built and maintained using private capital. Natural gas is used to 
heat our homes, cook our food, power our Nation's industries, and 
generate electricity. Natural gas is essential to manufacturing many of 
the products used in hospitals to combat COVID-19, including personal 
protective equipment.
    Our industry is relentlessly committed to its obligation to operate 
safely, reliably, and responsibly, and this includes continuing to 
serve our communities throughout the COVID-19 emergency while also 
taking every step necessary to protect the health of our workforce and 
those communities in which we operate. INGAA's members have made 
significant changes to their operations to confront COVID-19, and they 
have also contributed millions of dollars towards relief and recovery 
efforts in their communities.
    I wish to convey four main points today. First, because most end 
uses of natural gas are essential to the health, safety, and well-being 
of American families and businesses, our Nation's demand for interstate 
natural gas transportation services has persisted throughout the COVID-
19 emergency, although some pipelines have experienced changes in their 
utilization profiles that reflect the new ways Americans are living and 
working during this time. Interstate natural gas pipeline operators are 
confident that we will continue to deliver energy supplies safely and 
reliably throughout this crisis. The stability and interconnected 
nature of our coast-to-coast natural gas pipeline grid, and the diverse 
sources of natural gas supply and storage, provide a high level of 
energy reliability for the Nation.
    Second, pipeline companies recognize that as operators of critical 
infrastructure, it is our responsibility to implement safeguards that 
ensure pipeline operations, maintenance, and construction activities 
can safely continue. Our frontline employees and contractors have 
demonstrated remarkable resilience during this challenging time, and 
INGAA member companies have taken numerous actions to protect them, 
consistent with the guidance of the CDC, OSHA, and state and local 
health departments. I'm pleased to report that our efforts are 
working--INGAA members have experienced only limited instances of 
COVID-19 amongst the pipeline workforce.
    Examples of specific actions that INGAA members are taking include: 
leveraging technology to create new ways to work from home; using 
backup control rooms to separate essential workers into isolated shifts 
and locations; conducting deep cleaning of work locations; 
collaborating with our contractors to implement pandemic planning 
across the supply chain; and developing robust plans to respond to a 
COVID-19 infection at a work location if needed. The INGAA Foundation 
has issued a guidance document that synthesizes practices the pipeline 
industry is using to prevent and control the spread of COVID-19 during 
construction and maintenance work.
    Third, I would like to commend several Federal agencies for 
providing the targeted support that pipeline operators need to ensure 
continued safe and reliable energy delivery. PHMSA repurposed the 
agency's plans for responding to extreme weather events and established 
a mechanism for operators to notify the agency of the need to 
reschedule any non-essential compliance activity until after the COVID-
19 emergency subsides. An example of such an activity is refresher 
training programs that require employees to travel offsite. PHMSA's 
actions have helped keep the pipeline workforce safe and allowed 
pipeline operators to refocus resources on essential and time-sensitive 
activities during the pandemic emergency, while ensuring that PHMSA has 
all necessary information to continue its regulatory oversight.
    Furthermore, several Federal agencies, including FEMA, CDC, DOE, 
and CISA, have taken a lead role in working with state and local 
agencies to ensure that essential critical infrastructure workers have 
sufficient access to COVID-19 testing, personal protective equipment, 
and other health-related supplies. Availability of these supplies has 
been limited at certain times and in certain areas. We are grateful for 
the joint efforts of federal, state, and local agencies to-date, and it 
is important that this coordination continues in the months to come as 
``stay at home'' orders and similar restrictions are loosened, which 
could create a surge in demand for necessary supplies. Of course, 
patients, healthcare workers, and first responders should always be 
first in line to receive this equipment. We strongly support S. 3728, 
the Critical Infrastructure Employee Protection Act of 2020, which 
would ensure that these coordination efforts continue.
    Fourth, although not directly related to COVID-19, I would like to 
suggest that reauthorizing our Nation's pipeline safety program could 
help provide stability as PHMSA and state pipeline safety agencies work 
to recover and adapt to the dynamic environment that we will all be 
living and working in for the months to come. As you know, PHMSA's 
authorization expired last September. INGAA continues to support a 
reauthorization bill that increases funding for Federal and state 
pipeline safety programs and establishes clear policy priorities for 
PHMSA for the next four years. We appreciate the Committee's work to 
advance a bipartisan reauthorization bill last July and look forward to 
continuing working with you on this important legislation.
    Thank you again for the opportunity to testify today. INGAA members 
will continue to do everything that is needed to ensure safe and 
reliable natural gas transportation during this challenging time.

    The Chairman. Thank you, Mr. Oehler.
    Our timer shows that you still have 5 minutes on your 
remarks. I hope we are not malfunctioning here.
    And our final witness is Mr. Larry Willis, President, 
Transportation Trades Department, AFL-CIO. And, Mr. President, 
we are glad to have you and you are recognized.

            STATEMENT OF LARRY I. WILLIS, PRESIDENT,

               TRANSPORTATION TRADES DEPARTMENT,

    AMERICAN FEDERATION OF LABOR AND CONGRESS OF INDUSTRIAL 
                    ORGANIZATIONS (AFL-CIO)

    Mr. Willis. Well, thank you, Chairman Wicker and Senator 
Cantwell for the opportunity to testify this afternoon. And I 
am proud to represent our 33 affiliated unions and the millions 
of frontline workers that belong to those affiliates.
    Our members--they operate and build the transportation 
network that brings people, goods, and critical supplies to 
every corner of our Nation. Whether they work in aviation, 
transit, rail, construction, or longshore and maritime sectors, 
they are essential by any definition of the word. Mr. Chairman, 
you called them unsung heroes, and I could not agree more.
    As COVID-19 has spread across our country, many of these 
workers have continued to perform their essential duties, often 
at great personal cost. I am talking about transit workers who 
have continued to drive and maintain buses in the face of the 
pandemic despite hundreds, if not thousands, of deaths in this 
sector alone. The longshore workers who continue to load and 
unload vessels in close quarters, despite outbreaks in our 
ports and harbors, the freight rail workers who forge ahead, 
even as carriers slash work forces that are already dangerously 
thin. I am also talking about those who have lost their jobs as 
our economy has ground to a halt, are unsure about when their 
next paycheck is coming, and now find themselves without health 
care during a pandemic.
    Since the beginning of this crisis, transportation labor 
has prioritized the safety of our nation's frontline work 
force. We have called for appropriate PPE, workplace sanitation 
and cleaning procedures, and proper social distancing. Despite 
these repeated calls for actions, this administration and far 
too many employers have failed to provide an appropriate 
response to this virus and have flat-out refused to act. Those 
failures have directly caused infections and a loss of life, 
many of which could have been prevented with early and well-
coordinated strategies.
    In the absence of leadership and quick action, it has been 
working people, working people and their unions who have 
sounded the alarm and used our collective power to make change.
    While some progress has been made, we cannot continue to 
forge ahead with piecemeal solutions. A crisis of this 
magnitude demands a national response. Congress must act 
decisively and with the full authority of the Federal 
Government. For transportation workers, this means enforceable 
modal-specific rules that we know will keep our members, 
passengers, and their families safe. Many of these mandates we 
have called for were included in legislation to be introduced 
by Senator Blumenthal. I know Senator Cantwell is a cosponsor 
as well, Senator Markey. I want to thank all of you for your 
leadership on these issues and urge this committee to quickly 
consider and pass this common sense bill.
    We also support the Every Worker Protection Act of 2020 
introduced by Senator Baldwin. It would require OSHA to issue 
an emergency temporary standard within 7 days.
    By adopting these measures, Congress can make a real 
difference in the lives of frontline transportation employees 
and all workers.
    Your job, however, cannot end there. The economic impacts 
of COVID-19 will reverberate years beyond this immediate health 
care crisis. As states reopen and some Americans return to 
work, the economy will not immediately snap back to pre-COVID 
levels of productivity. Congress must use every tool at its 
disposal to mitigate the incredible hard economic times that we 
know are to come.
    As part of that, we need bold Federal investments in our 
transportation network. Public transit needs billions more to 
maintain critical services and to avoid job cuts in communities 
across the country. Amtrak reports that optimistically we will 
see a 50 percent cut in ridership next fiscal year and plans to 
furlough 20 percent of its workforce, a short-sighted plan that 
should be rejected.
    The closure of school facilities have resulted in the loss 
of employment for thousands of school bus drivers. Congress 
must do better with targeted funding for these critical 
employees.
    Slowing cargo volumes threatens the viability of the U.S. 
maritime sector. Stipends for those currently enrolled in the 
maritime security program should be increased to keep these 
skilled mariners working.
    We also know that investing in infrastructure creates and 
sustains good jobs and construction, maintenance, and 
operations. And if Buy America rules and smart procurement 
reforms are adopted, we can also grow our manufacturing sector 
as well. What is more, when we improve the quality and 
accessibility of our transportation network, the economic 
opportunity of those investments extend to every corner of our 
economy, from businesses who can move quicker and more reliably 
to workers who can reach new opportunities because of improved 
highway and transit access.
    Finally, Mr. Chairman, let me close by noting that my heart 
is heavy thinking of George Floyd and so many before him who 
have faced racial violence and death way too often in this 
country. We have systemic racism, discrimination that we need 
to fix across our economy. We know, as we talk about a COVID-19 
response, that our black and brown brothers and sisters face 
disparate impact there both from a health care perspective and 
an economic perspective. So I want to think about those issues 
as we consider what the right message and response is coming 
out of this committee.
    With that, I would be happy to answer any questions, and 
thank you again.
    [The prepared statement of Mr. Willis follows:]

Prepared Statement of Larry I. Willis, President, Transportation Trades 
                          Department, AFL-CIO
    On behalf of the Transportation Trades Department, AFL-CIO (TTD), 
and our 33 affiliated unions, I want to first thank Chairman Wicker and 
Ranking Member Cantwell for inviting me to testify today on the impact 
of COVID-19 on the surface transportation sector and associated 
challenges.\1\
---------------------------------------------------------------------------
    \1\ Attached is a list of our 33 affiliated unions
---------------------------------------------------------------------------
    As COVID-19 has spread across the nation, causing over 100,000 
deaths and unprecedented disruption to our way of life, we appreciate 
the opportunity to share the perspective of the frontline 
transportation workforce.
    The working people we represent move America. Our members run and 
build the transportation networks that bring people, goods, and 
critical supplies to every corner of our Nation. It is our members in 
every segment of the aviation, transit, rail, longshore, and maritime 
sectors that make these industries function. They are essential by any 
definition of the word.
    Over the last few months, many of these workers have continued to 
perform their essential duties, far too often at great personal cost. 
Many others find themselves among the 40 million Americans who have 
lost their jobs due to an economy that has ground to a halt. During a 
national health crisis, these members are now without their hard-earned 
union health care benefits, and are unsure when the next paycheck is 
coming. Workers have felt these impacts across every sector of the 
transportation industry, and I am here today to tell their stories.
    When essential employees like medical personnel have to get to 
their jobs, it is our members who get them there safely. Thousands of 
transit workers have continued to drive and maintain buses in the face 
of pandemic, despite dozens of deaths in the sector. At the same time, 
a drastic drop in fare box revenues threatens the abilities of transit 
agencies to continue to provide service at all.
    A 95 percent decrease in ridership on Amtrak threatens the 
livelihood of its employees and the future of the carrier, who just 
last week announced it will be cutting up to 20 percent of its 
workforce starting in the fall. The indefinite cancellation of in-
person education has left thousands of school bus drivers out of a job 
with no end in sight. The motorcoach industry, which provides critical 
intercity transportation across the country, has seen nearly 3,000 
companies shut down and almost 100,000 employees laid off.
    This crisis also reminds us of the irreplaceable role of our 
freight network and its essential workforce. Food, medical supplies, 
and the goods that fuel our economy must still reach their 
destinations, yet, COVID-19 has not spared the systems and employees 
that move them. Across the country, freight railroads are slashing 
already dangerously thin workforces as carloads fall. We are witnessing 
outbreaks at ports and harbors where longshoremen load and unload 
vessels in close quarters, and increasingly uncertain futures for the 
maritime shipping industry and sustainment of the essential defense 
functions it provides. Even the Postal Service is at risk, as USPS and 
the 600,000 jobs it supports face total insolvency in a matter of 
months without needed and warranted government assistance.
    Further, a loss of state revenues and financial uncertainty has 
frozen critical infrastructure projects, threatening both the 
construction workforce and the transportation system that depends on 
the continuous maintenance and improvements they provide.
    Since the beginning of the pandemic, it has been the top priority 
of transportation labor to ensure that frontline employees are provided 
the protections they need to keep them as safe as possible from 
exposure to COVID-19. Simply put, it is untenable and unacceptable for 
any essential infrastructure employee to go to work without adequate 
personal protective equipment (PPE), for their workplace to be 
improperly cleaned and sterilized, or to be potentially exposed to 
COVID-19 because of improper social distancing policies or passengers 
without face coverings.
    Unfortunately, many of our employers took weeks or months to roll 
out meaningful COVID-19 responses. Some airlines, as well as Amtrak, 
actually prohibited the use of masks or gloves by their employees until 
pressured into reversing course. A commuter railroad refused to stop 
using a biometric device employees use to clock in to work, 
acknowledging that while the equipment was frequently touched by dozens 
of people, it would be too burdensome to switch to a safer system. And 
a freight railroad provided its conductors and engineers with masks of 
such poor quality that facial hair poked straight through the fabric.
    While some individual efforts have been more successful, the 
patchwork of COVID-19 plans across our transportation system has been 
inadequate. A national crisis demands national response and leadership. 
This is why we have repeatedly called on the Federal government and 
this Administration to impose mandatory safety rules in all modes of 
transportation and across our broader economy. Too often these pleas 
have been rejected or simply ignored due to a misguided belief that 
employers will eventually rise to the challenge of their own accord. 
Let's be clear: these failures and inactions have directly caused 
infections and cost lives that could have been saved with early and 
well-coordinated strategies.
    Let us also be clear: it has been workers and their unions that 
have sounded the alarm in the workplace and used collective bargaining 
agreements and public advocacy to force the hands of policymakers and 
employers. Ongoing efforts to document safety violations and fight for 
the right of sick workers to stay home, and the availability of basic 
Employee Assistance Programs exists because many transportation workers 
are covered by a collective bargaining agreement.
    However, we cannot continue with piecemeal solutions across 
companies, agencies, cities and states. Congress must act decisively 
and with the full authority of the Federal government. The recently 
introduced Critical Infrastructure Employee Protection Act of 2020 
seeks to better define essential employees and direct PPE resources. As 
the Committee further considers this legislation, we state 
unequivocally that it must also include strong Federal mandates to 
provide essential employees with the protections we know are needed to 
keep them safe. This includes:

   The provision of high quality PPE, in accordance with CDC 
        guidelines, to employees who are at risk of infection. This 
        must include masks, gloves, hand sanitizer, and sanitizing 
        wipes

   A requirement of owners and operators of planes, commercial 
        motor vehicles, trains, and vessels to clean and sanitize them 
        per CDC guidelines

   A requirement of owners and operators of transportation 
        facilities to clean and sanitize them per CDC guidelines

   The establishment of mandatory notification systems, by 
        which employees are alerted if a coworker has tested positive

   A mandate for passengers to wear masks on all passenger 
        transportation

    In addition to the transportation and modal specific standards, we 
also support the COVID-19 Every Worker Protection Act of 2020 and the 
promulgation of an OSHA Emergency Temporary Standard (ETS), to provide 
enforceable workplace safety standards across the country and across 
industries. Regrettably, the Occupational Health and Safety 
Administration (OSHA) has thus far been unwilling to issue a standard 
that would mandate adequate provision of PPE and workplace cleaning and 
sanitizing. While the ETS is long overdue at this point, the bill would 
be a strong step towards finally protecting all workers from COVID-19, 
as well as from retaliation for reporting infection control problems to 
their employer or for wearing their own PPE.
    The unique impacts of COVID-19 may also necessitate a fundamental 
reimagining of existing employee benefits. It is unconscionable that 
any worker in the U.S. would be forced to go into work while sick with 
the virus because they are not offered paid sick leave. The deaths of 
100,000 individuals and counting threaten financial ruin for thousands 
of families, and to this end, some form of death benefit could be 
warranted. We support the HEROES Act expansion of the Longshore and 
Harbor Workers' Compensation program to cover any worker infected with 
COVID-19, and believe that it is an excellent template for other 
frontline workers. We also support the creation of a hazard or premium 
pay mechanism for frontline employees who continue to come to work 
despite the danger to themselves and their families.
    By adopting these tenets, the Committee can make a real difference 
in the lives of frontline transportation workers, and better ensure 
that they can safely return to their families at the end of the day. 
The members represented by TTD's affiliate unions have risked 
everything to keep the Nation moving, and they deserve both gratitude 
and decisive action. We look forward to the Committee's passage of a 
bill that reflects this.
    Congress' job however, cannot end there. In addition to the need to 
protect workers from the virus immediately, we must also consider the 
medium and longer-term economic impacts it will cause. As states reopen 
and some Americans return to work, we should understand that the 
economy will not immediately snap back to pre-COVID levels of 
productivity. While there is no doubt that the shutdowns and social 
distancing requirements of the last several months were necessary, 
potentially catastrophic after-effects must be addressed. Fortunately, 
Congress has numerous tools at its disposal to avoid some degree of the 
hard times ahead.
    Without bold Federal investments, core components of our 
transportation network face disaster. Passenger transportation will not 
rebound the day, week, or month that distancing restrictions are 
relaxed. While outside the jurisdiction of this Committee, we have 
called for $32 billion in emergency supplemental funding for public 
transit agencies to ensure that employees remain connected to their 
jobs and benefits, and that transit systems can continue to operate 
during elongated downturns in fare box revenue. Similarly, Amtrak 
projects that, optimistically, its ridership will be 50 percent of 
normal in FY '21, and it believes it cannot operate on such reduced 
revenues. It is similarly likely to need further assistance to continue 
to be viable and to pay its thousands of employees. We also believe 
emergency supplemental funding is needed for the motorcoach industry 
and its heavily impacted workforce.
    We also know that investing in infrastructure is one of the 
greatest investments the Federal government can make, with a return of 
between $1.50 and $3 dollars for every dollar spent. Those investments 
directly create and sustain good jobs in construction, engineering, 
maintenance, and operations. What's more, when we improve the quality 
and accessibility of our transportation network, the economic 
opportunity of those investments extends to every corner of the 
American economy--from businesses who can move goods quicker and more 
reliably to workers who can reach new opportunities because of improved 
highway and transit access.
    While we believe that significant long-term investment in 
infrastructure is one of the most crucial steps Congress can take right 
this minute to put us squarely on the path to recovery, those 
investments will mean little if we sacrifice our capacity to put 
projects on the ground. The economic impacts of COVID-19 on state and 
local funding must also be taken seriously. Revenue from sales taxes, 
gas taxes, municipal bonds, fare box collection, tolling, and other 
sources state and local governments count on to pay their share for 
infrastructure have taken a significant hit. We cannot wait to shore up 
lost revenue and make critical infrastructure investments until after 
state DOTs are forced to furlough workers, cities can no longer access 
financing to revitalize crumbling streets, and construction workers 
have been laid off because projects are being cancelled.
    Economic impacts must also be addressed in the maritime industry, 
where slowing cargo volumes threaten the viability of the U.S. flagged 
vessels enrolled in the Maritime Security Program. We have called for 
both supplemental stipends for enrolled vessels and programmatic 
waivers that will preserve the defense-critical operational readiness 
of the vessels and ensure continuing full employment of qualified U.S. 
mariners. Beyond economic needs, U.S. mariners are presently trapped 
aboard U.S.-flag cargo ships, unable to take leave or return home due 
to extreme COVID-19 lockdown measures imposed by foreign governments 
who will not allow them to disembark at ports and access 
transportations services. These mariners must be brought home 
immediately.
    As mentioned, the closure of school facilities has resulted in loss 
of employment for thousands of school bus drivers. While Congress has 
directed meaningful funding to education programs, including for 
payroll of district employees and contractors, these funds have not 
always reached these workers. To date, far too many drivers have been 
left out in the cold. Congress must address this problem and ensure 
that the jobs and benefits of all school bus drivers are protected.
    We also must not allow short-sighted political gamesmanship to 
destroy irreplaceable and critical institutions. Congress must address 
the emergency financial needs of the USPS, and should not permit long-
standing privatization proponents to take advantage of the pandemic to 
allow USPS and its workforce to wither on the vine.
    Finally, in the event that any future stimulus legislation 
addresses the manufacturing sector, we call on you to ensure that such 
efforts specifically and exclusively target domestic manufacturing with 
strong domestic content standards. We will not recover from this crisis 
by subsidizing work performed in other countries and overseas.
    Congress' role must not end when COVID-19 positives hit zero, or 
the last patient leaves the hospital--it must wield the full strength 
and support of the Federal government and lead our country and its 
critical infrastructure workers forward. We cannot undo the tragic 
impacts the pandemic has had thus far, but we can change the terms of a 
post-pandemic future.
    While I have outlined a number of positive steps Congress can take 
to alleviate the effects of this crisis, I must also warn that there 
are industries who are opportunistically using this public health 
crisis as an excuse to rush through their own unrelated priorities--one 
clear example being automation.
    TTD and our affiliated unions welcome further debate on automated 
vehicles, for example. We and our unions have a great deal to say about 
the safety and economic effects of this technology, and we believe both 
are worthy of further exploration through careful consideration in 
hearings held by this committee. We look forward to taking part in 
those discussions when Congress returns to normal order--but so long as 
our members are dying every day because this government has failed to 
provide them with the protections and safety standards they need, it 
would be unconscionable to prioritize such a serious and controversial 
set of regulatory changes over addressing the myriad outstanding needs 
of the American people.
    While this may not hold true five, ten, or twenty years in the 
future, let's all face the facts of reality today: there are no 
realistic opportunities for this technology to meaningfully ease the 
immediate pains Americans are facing during this crisis. We agree that 
more needs to be done in Congress to properly regulate automated 
vehicles, and we look forward to working with the Committee on these 
issues once we have defeated the ongoing pandemic.
    We also call for vigilance from this committee on actions taken by 
the Department of Transportation's modal agencies. While agencies have 
found it prudent to waive, modify, or otherwise suspend certain safety 
regulations to better adapt to COVID-19 conditions, we note that many 
of these waivers align with long-term deregulatory priorities of 
industry. Going forward, we reject any characterization that brief 
demonstrations during deeply unique circumstances is adequate 
justification for the modification of long-standing regulations. It is 
our hope that the Committee will exercise its oversight on any such 
attempts.
    In closing, I speak to you today at a critical juncture in the 
Nation's response to the COVID-19 pandemic. The actions that this 
committee and Congress take in the coming weeks will be highly 
determinative of what the future holds for the critical infrastructure 
workers represented by TTD's member unions. We look forward to working 
with you on legislation that protects workers, their families, and the 
travelling public today; and guarantees a robust and functional 
transportation system for tomorrow. Thank you for the opportunity to 
testify.



    The Chairman. Thank you, President Willis.
    And let me say other witnesses have alluded to what our 
country is going through at this point not only with the COVID-
19 but also the protests, the indignation, and outrage from 
what we have seen by a few people against totally innocent 
people. So I appreciate what you have said. Our sympathies go 
out to the Arbery family, the Taylor family, and the family of 
George Floyd.
    I understand, sir, that your AFL-CIO building sustained 
damage during the protest on Sunday, and we regret that there 
were some people who took that opportunity to destroy private 
property needlessly.
    But I do appreciate those who have mentioned that, and I 
can assure you that members of this committee are trying to get 
our arms around this question and find a way to voice our 
feelings in this regard. So thank you for that.
    Let me ask. Is there anyone on the panel, including the 
four present and the one testifying, Mr. Guillot--are there any 
of you who do not believe we need a real strong infrastructure 
bill sooner rather than later? We are unanimous on that. I 
think Senator Cantwell and I are unanimous on that too.
    Mr. Bozzella, you mentioned a shared commitment from 
industry and government. So thank you, those of you from labor 
and industry, who are willing to do your part on this 
commitment. Rail carloads are down 25.2 percent. Intermodal 
shipments are down 17.2 percent. For-hire truck tonnage has 
dropped 12.2 percent in April alone. So, yes, thank you for 
helping to share this commitment.
    If you want to describe some more of the commitment that 
you intend to offer, that is fine. But what suggestions do you 
have to the Federal Government, to the agencies that might be 
listening, but particularly to those of us who enact 
legislation about what our share of that commitment might be. 
Who wants to go first? No one wishes?
    Mr. Jeffries. So I think several of us pointed out the 
legislation introduced by this committee by you, Mr. Chairman, 
and Ranking Member Cantwell because, as we have all discussed 
and as my colleague, Mr. Willis, focused on as well, we are 
relying on frontline workers to be out doing the jobs to keep 
America moving to serve Americans throughout this process. And 
that is not ending anytime soon. And ensuring that they have 
full access to testing, to PPE, and other medical-related 
supplies is key. I think we owe that to them. I know railroads 
have worked very hard to ensure that their employees have what 
they need to be able to do the job safely. There were 
challenges in the supply chain early on in getting those 
materials. We have worked through a lot of that. But as we 
continue testing, that is going to be a challenge. So that 
piece of legislation is key.
    I think beyond that, you mentioned it, a big, bold 
infrastructure bill. We think that if Congress pushes forward 
on that, there is a real opportunity to put significant funding 
out into a much needed multimodal system. We would love to see 
it not get bogged down by policy fights, but let us focus on 
getting the money out there and getting projects done.
    The Chairman. That would create hundreds and hundreds of 
thousands of American jobs as we are trying to climb out of 
this recession that we are in, and also we would have wonderful 
assets at the end of the process to show for the taxpayers' 
money.
    Mr. Bozzella, you may want to follow up on that. But let me 
ask you also to comment on the supply chain, which you 
mentioned several times in your testimony. You talked about how 
some automakers were able to forge new partnerships, retool, 
train people. You made ventilators and PPE. Is it fair to say 
that pivoting to doing different things largely required a 
different supply chain? And is it fair to assume that you were 
not purchasing as many components from your suppliers while 
this crisis is in process?
    Mr. Bozzella. Yes, Mr. Chairman. Thanks for the question.
    You are right about the need for automakers and suppliers 
to pivot. And Senator Cantwell, of course, referenced the 
partnership between Ventec and General Motors that produced 
ventilators. So there was a tremendous need and increased 
demand for medical devices and PPE that the auto industry was 
able to respond to because of extensive supply chains. And so 
we were able to retool and reimagine the manufacturing process 
and the supply chain.
    I think you are exactly right, though, that the supply 
chain for the automotive sector is very stressed right now. The 
entire sector is. And as we start beginning our manufacturing 
processes again, hopefully we will see a little bit of relief 
there. But there are still liquidity challenges in the supply 
chain that need to be addressed.
    I will say, back to your previous question, it really is 
important that we continue to work on alignment between various 
states and also our trading partners notably in the region, 
Mexico and Canada, to make sure that the broad supply chain, 
the regional supply chain, is there and ready to go as the 
industry restarts.
    The Chairman. That is a very important aspect to our supply 
chain. Is it not?
    Mr. Bozzella. Yes.
    The Chairman. Thank you.
    Now, we are in the middle of a second vote, and I think 
what I will do is hand the gavel to Ranking Member Cantwell and 
she will be asking her questions while she has got the gavel. 
And then I will try to be back as soon as possible and we will 
not have to stop the proceedings during this vote. So, Senator 
Cantwell, you are recognized.
    Senator Cantwell [presiding]. Thank you, Mr. Chairman.
    And I want to thank the witnesses for mentioning George 
Floyd and the tragedy that has occurred in our Nation. And I 
also want to add my condolences to his family. Most 
importantly, I want to say that I am committed to making sure 
that we get justice for George Floyd and that we reform our 
system. That is going to take a lot of work by all of us. I am 
not sure much of that work is in our jurisdiction, but 
nonetheless, I very much appreciate mentioning of that fact 
today. And the business community can help us with this. And so 
I very much appreciate you mentioning him today.
    You have also said some very interesting things, each of 
you. And I thank you for that. I like the words ``robust 
multimodal infrastructure investment.'' Nothing could sound 
better to me. I like the investment in the supply chain, 
whether it is aviation or automotive manufacturing. Supply 
chains mean expertise. It means jobs. It means you are going to 
keep your manufacturing base because you have the efficiency 
and the skilled workers to put it all together. So we have got 
to keep that going.
    But I think I will start with you, Mr. Willis. You were 
talking about the safety and security of the workforce that it 
takes when you put them back to work. You are most familiar 
with the recent things that we have talked about because of 
aviation and what we tried to get the COVID Task Force to do on 
aviation. But what do we need to do in other transportation 
sectors to make sure that the workforce is safe?
    Mr. Willis. Well, thank you, Senator, and thank you for 
your leadership on these issues.
    You know, Mr. Jeffries mentioned it, the Chairman mentioned 
it. You know, access to testing and PPE are obviously 
important. But quite frankly, what my members are telling me 
every single day is that what they need to see in the workplace 
are real safety requirements on their employers. You know, 
treatment, access to masks is fine, but there needs to be a 
requirement that it actually gets used and deployed in the 
right way, that cleaning, that disinfection procedures are 
occurring in the correct manner, that social distancing like we 
are doing here is done in the transportation workplace, again 
pursuant to CDC guidelines.
    We have had to work way too hard with our employers on too 
many occasions. We have asked this administration, both DOT and 
the various modal agencies, OSHA, to step in and impose these 
requirements to protect workers. And we have not gotten there.
    So I think the legislation that you mentioned that Senator 
Blumenthal and you and others are doing we think is the right 
course, and it needs to be included in any type of broader 
COVID response bill that this committee and the Senate 
consider.
    Senator Cantwell. Thank you.
    Mr. Guillot, thank you for your testimony and certainly we 
know how important moving freight is. Do you have any comments 
on the safety and security of your workforce? And I am curious. 
You mentioned an infrastructure investment. What were you 
referring to that you thought you had a good idea for how we 
could move forward on infrastructure investment?
    Mr. Guillot. Well, we will start with that question there. 
The American Trucking Associations has proposed an increase in 
the fuel sales tax, 5 cents for the next 4 years each year, 
adding up to 20 cents. That will add up to hundreds of billions 
of dollars, of new dollars, to the Federal Treasury there to 
assist with additional funding for infrastructure.
    Getting back to the question concerning our workers and the 
safety of our workers, it has been extremely important for us 
through this health pandemic to get the proper equipment to 
each and every one of their hands. We have a unique problem in 
the respect of that most of our workers may not come to a place 
of our business, our terminal locations, as the truck drivers 
are traversing across the country. So immediately when the 
pandemic first happened, we were, if you will, finding our 
truck drivers, getting the proper equipment to them--it was 
extremely difficult to do that.
    We rallied. We are innovative as an industry. American 
Trucking Associations has helped with thousands of gallons of 
hand sanitizer, free at certain locations across the country 
for truck drivers. We have got a face protection mask that has 
been available across the Nation. So we are as an industry 
extremely concerned with the protection of all of our workers, 
most notably our truck drivers.
    I will say this. Even a company as small as mine--I have 
got dispatchers that has taught our truck drivers how to make 
hand sanitizer from various products at home. I purchased face 
masks from other employees' businesses, secondary businesses of 
mine, to help supply with our truck drivers. So I think we are 
innovative in that respect. We are partners with distilleries, 
for instance, getting hand sanitizer made from that. So our 
innovation as an industry and working together with partners is 
very important to us and our employees, our truck drivers in 
particular in the front lines because we certainly want to keep 
them there delivering the goods every day to the rest of the 
economy.
    Senator Cantwell. Thank you. And again, thank them for that 
work because there is a lot of critical supply, specifically 
food, that has been delivered. So we so appreciate it.
    Senator Fischer is next.

                STATEMENT OF HON. DEB FISCHER, 
                   U.S. SENATOR FROM NEBRASKA

    Senator Fischer. Hello. Am I unmuted?
    Senator Cantwell. Yes.
    Senator Fischer. OK. Thank you. Thank you, Senator 
Cantwell. I appreciate you and Chairman Wicker holding this 
hearing today.
    Mr. Jeffries, you briefly mentioned in your testimony AAR's 
support for the Railroad Retirement Board's request for funding 
to continue its IT modernization work. Senator Duckworth and I 
have sent letters to the Senate Appropriations Committee for 
several years in support of continued funding for that work.
    Mr. Jeffries or Mr. Willis, can you describe what the 
impact of modernizing the Railroad Retirement Board's IT system 
would have on our railroaders?
    Mr. Jeffries. Certainly, Senator. A great question, and I 
will take a crack and then let Mr. Willis fill in because I 
think this is one where we definitely see eye to eye on.
    Both rail labor and the railroads have jointly made those 
requests in support of increased IT funding and certainly thank 
you for your support, Senator, which is invaluable for getting 
those increased funds. And quite frankly, what we have right 
now in the rail retirement system under the Rail Retirement 
Board is something akin to going to the DMV in the 1960s in a 
lot of instances.
    So this is really just allowing that agency the ability to, 
I would say, take the giant leap forward probably into the year 
2000, providing an online system that does not require retirees 
and potential retirees to drive and travel to an office 
location that may not be near where they live or work to do all 
of their paperwork manually, to spend valuable time and energy 
going through that very manual process. It really brings a base 
level of technology into the rail retirement process and will 
create dramatic efficiencies for the agency and, of course, for 
retirees and potential retirees.
    Senator Fischer. Mr. Willis, did you have anything to add?
    Mr. Willis. Yes. Let me just, first of all, thank you for 
your support on those issues. As you note, this is something 
that we and the rail carriers, AAR and others, have been able 
to partner on.
    You know, the field offices for the rail retirement are 
critical, and I think that has to be part of the answer as 
well. But making sure that our members can access their 
accounts and make changes and get information online is 
absolutely essential. And the technology improvement money that 
you have championed and talked about is continuing to get out 
and make real improvements there.
    So this is a system that is funded by both workers and the 
industry. It is our collective money. It has worked, quite 
frankly, remarkably well, but some of the IT challenges have 
gotten behind the board and I think the money that Congress is 
attempting to appropriate and authorize here is absolutely the 
right answer. So again, thank you for your work on that.
    Senator Fischer. Thank you, sir.
    Mr.--is it Guillot? I hate to wreck your name there.
    Mr. Guillot. Yes.
    Senator Fischer. Truck driver detention for loading and 
unloading at shipper facilities was an issue for drivers even 
before the pandemic. Some reports indicate that detention at 
shipper facilities worsened early on in this pandemic. What do 
you think may have caused an increase in drivers being detained 
at these shipper facilities early in the pandemic? And then 
additionally, has the industry gained any kind of insight on 
driver detention in the past couple of months? And do you have 
any recommendations for this committee on ways that we can 
address this issue going forward?
    Mr. Guillot. Thank you for your question.
    I think initially when the pandemic first happened, we seen 
a surge in certain consumer products. Everybody knows the 
shortage of toilet paper on the grocery shelves. Right? So 
certainly facilities I think received a surge in unexpected 
business. And, yes, we did have in certain locations an 
expansion of hauling detention. It was certainly a problem 
beforehand. We continue working with shippers and receivers to 
try and improve upon that. I think we have seen some recent 
headway. A little less, a little over a year ago, electronic 
logging devices kind of brought that topic to the forefront. So 
we have been working together to try and improve upon those 
issues.
    As far as what have we learned in the last couple months, 
again I would like to implore upon the shipping public, 
shippers and receivers, working with trucking companies to 
minimize or eliminate these delays. Certainly if we are 
delivering a load that may be a consumer-type good, but yet our 
next load may be the medical supplies a particular community 
may need. So even if it is not a critical commodity unloading 
or loading, the next one may be from the next truck driver that 
we are hauling. So every load is critical of being unloaded.
    I will also mention as far as detention and demurrage, I am 
in the intermodal business and have been my entire career. So I 
am extremely concerned with the ocean lines and the 
relationship with drayage companies around the country 
concerning those fees where we feel unjustly it puts an 
additional burden on the supply chain, and we want to continue 
working with the ocean lines and, quite frankly, have not had 
as much response from them as we would like to see during this 
COVID-19 pandemic.
    Senator Fischer. Thank you, sir.
    Thank you, Senator Cantwell.
    Senator Blumenthal [presiding]. In the name of the Chair, I 
call on Senator Udall.

                 STATEMENT OF HON. TOM UDALL, 
                  U.S. SENATOR FROM NEW MEXICO

    Senator Udall. Thank you very much.
    Generally, if a state or the Federal Government is giving 
liability protections, there is a strong safety standard that 
industry needs to meet to benefit from that kind of protection. 
Otherwise, it simply gives business a huge incentive to take 
unreasonable risks in pursuit of profits.
    We are hearing calls from some industries that they want to 
be protected from paying damages to their employees and 
customers who get sick due to the lack of COVID protections.
    This question is really to all the panelists. What specific 
and binding safety and consumer protection standards are 
appropriate if Congress were to consider limiting liability?
    Mr. Bozzella. Senator, this is John Bozzella with Auto 
Innovators. I will get started, I guess.
    First of all, at least from our perspective, the liability 
limitations that we are talking about should be and need to be 
targeted and limited and related to this set of issues and the 
concerns that we have with regard to COVID-19. They should not 
and in no way should be related to acts of gross negligence or 
companies that act in a reckless manner. Really, what we are 
trying to focus on is getting the right balance between 
avoiding numerous lawsuits and restarting the economy in a safe 
manner.
    With regard to safety, our member companies have robust and 
very, very in-depth safety protocols that are built on CDC 
guidance as a baseline that are put in place in consultation 
with State and local authorities and that are in place on the 
ground responsive to local issues. And so that is what we are 
doing right now, and frankly, we have been doing it since 
January because we are getting perspective as we restart in 
economies around the world. And so we are working from a very 
robust and strong set of standards from the get-go.
    Senator Udall. Anyone else want to jump in on that?
    Mr. Guillot. Senator Udall, this is Randy Guillot with the 
American Trucking Associations.
    Our industry--the American Trucking Associations and our 
industry, the trucking industry, is on the forefront of safety 
each and every day. We are very concerned with following the 
guidelines as issued by CDC, as well as OSHA, and want to 
comply with that each and every day, every one of our 
companies.
    The limited liability protections that we are referring to 
is similar to what Mr. Bozzella has just made comment on. If 
there happens to be a bad actor, we are not asking for 
protections for a bad actor. We are asking for limited 
protections for people who are acting in good faith trying to 
follow all these guidelines that are coming out.
    Thank you for your question.
    Senator Udall. Thank you.
    Let me follow up on this question. You know, new analysis 
published in the medical journal, ``Lancet,'' examined 172 
studies and found that N95 masks and other respirator masks 
offered 96 percent protection, while surgical masks only 
provide 77 percent protection against the coronavirus. We know 
essential workers should have access to these masks, but 
supplies are extremely limited.
    Mr. Willis, what specific actions should the administration 
take to provide those masks to workers and businesses across 
America so they can return to work with confidence?
    Mr. Willis. Well, thank you, Senator, for that question.
    You know, I think you are right. I mean, N95 masks, given 
the nature of this virus, should be provided to transportation 
workers in many situations. It is obviously an airborne 
disease, and those masks are specifically designed to confront 
that.
    The problem, quite frankly, is many health care workers and 
other first responders are not able to secure those today. And 
quite frankly, I think again this is a failure of the 
administration to really get in front of this, to really see 
what was happening in China and elsewhere, and marshal the U.S. 
industries in a better organized way to make these masks and 
other personal protective equipment that we knew were going to 
be needed, using the Defense Protection Act in a better manner, 
using the buying power of the Federal Government, recognizing 
that there are a lot of masks out there that are advertised to 
do things that, quite frankly, they do not do. And I think 
again the Federal Government has to take the lead in that as 
opposed to states or individual agencies. So getting that 
equipment out has got to be a priority, especially as we try to 
reopen this economy and see more density in the transportation 
space, whether it is on transit, passenger rail, and quite 
frankly, our freight network as well. So we are committed to 
doing that.
    Thank you.
    Senator Udall. Thank you very much.
    And let me just finally just summarize here. I do not think 
there is any doubt that if the President had used the Defense 
Production Act, we would be well down the line of having more 
protective equipment and having people be able to go back to 
work knowing that they would be protected.
    Thank you, Mr. Chairman.
    The Chairman [presiding]. And thank you, Senator Udall.
    Senator Blackburn, will join us remotely.

              STATEMENT OF HON. MARSHA BLACKBURN, 
                  U.S. SENATOR FROM TENNESSEE

    Senator Blackburn. Thank you, Mr. Chairman.
    Thank you to each of you for being with us for the hearing 
today.
    Mr. Guillot, I want to come to you about the Port of 
Memphis. Of course, we are concerned about the chassis issue 
there, and I know that the Federal Maritime Commission's--the 
Supply Chain Task Force has worked on this trying to address 
it. So I wanted to see today what you know about that issue. We 
know it is vitally important to the port and, indeed, as part 
of the transportation infrastructure for the entire region.
    Mr. Guillot. Thank you for your question, Senator.
    My company in particular has participated in the Memphis 
market. We no longer do today, but I am very familiar with the 
shipping base and the needs of that community there, especially 
servicing through the railroads in and out of Memphis.
    We believe and have been promoting for many years now that 
as the ocean lines got out of the chassis procuring and 
ownership market, that they should get out of the market 
completely and let the trucking community come in and service 
the shippers as necessary. So we want free choice, open choice. 
The current environment right now dictates that ocean lines, 
even though they are not in the ownership and control of assets 
in chassis, they are still controlling the procurement of them 
at the expense of motor carriers and at the expense of the 
shipping public. So we have been fighting long and hard to get 
that rectified and that we would much prefer for the truckers 
to be able to procure chassis as necessary through gray and 
neutral pools that will be efficient and economical for all 
users.
    Senator Blackburn. Thank you for that. I think that many 
people do not realize Memphis is the fifth largest inland port 
that we have, and there is a tremendous amount of activity that 
comes there. That is why the intermodal system is so vitally 
important to that area because you have the FedEx hub. You have 
the railroads that come through there. You have the port, the 
pipeline that goes from the oil refinery over to the airport. 
There are so many things that are infrastructure-related that 
Memphis depends on.
    And a source of frustration has been the chassis issue with 
the port. And we are pleased that Chairman Wicker has put the 
focus on having that shipper advisory committee. We think that 
that is a very good thing to do.
    I wanted to ask each of you just a little bit about 
workforce because as we have gone through the COVID shutdown 
and as we look at restart, Tennessee has been very successful 
in its restart. But with that said, we have 333,000 in our 
state that applied for unemployment. And I have had several in 
the logistics industry mention to me that we needed to put more 
attention on workforce and developing the workforce for the 
logistics industry as we come out of this and looking for some 
public-private partnerships.
    So very briefly from each of you, if you would have just a 
little bit about your thoughts on that about workforce 
development, about companies working with the public sector to 
provide the education necessary. And, Mr. Guillot, we will 
start with you, then Mr. Bozzella, and then to Mr. Jeffries.
    Mr. Guillot. Thank you, Senator Blackburn.
    As you probably already know, the trucking industry was 
almost 6,000 truck drivers short before the COVID-19 pandemic 
entered into our environment here. With the estimate of being 
close to 1 million additional truck drivers over the next 
decade, we are very much concerned with workforce development. 
Partnering with our Federal agencies at DOT and FMCSA and 
getting private partnerships to help train and finance new 
truck drivers coming into the industry is extremely critical 
for us. So whereas today we may have unemployment within our 
own industry, we very much look forward to the additional 
training because that stoppage, if you will, of that training 
even in a short period of time is going to hurt us in the long 
run as far as new entries coming into the business. Our truck 
driver workforce is nearly 6 to 7 years older than the average 
workforce of most other industries. So we are very concerned 
with workforce development and working with Federal agencies to 
ease that flow for us going forward.
    Thank you.
    Senator Blackburn. Thank you.
    Mr. Bozzella.
    Mr. Bozzella. Yes. I will be brief.
    As you well know, the auto industries in your state are 
committed to workforce development partnering with the states 
and community colleges. We do this around the country. That is 
critical.
    I want to come back, though, and say that by far the most 
important thing right now is ensuring the health and safety of 
our workers as we restart. So we have to do both of those 
things, but we are committed to workforce development 
especially partnering with our states.
    Senator Blackburn. Thank you.
    The Chairman. Thank you very much, Senator Blackburn.
    Senator Baldwin joins us remotely now.

               STATEMENT OF HON. TAMMY BALDWIN, 
                  U.S. SENATOR FROM WISCONSIN

    Senator Baldwin. Thank you, Mr. Chairman. I appreciate all 
of our witnesses today.
    Mr. Chairman, while this committee is focused on the 
infrastructure that continues to provide critical services 
during the COVID-19 pandemic, I would like to make sure that we 
are protecting all of America?s frontline workers.
    My legislation, the COVID-19 Every Worker Protection Act, 
requires OSHA to issue an emergency temporary standard that 
covers all workers and requires all workplaces to implement 
infectious disease exposure control plans to keep our workers 
safe.
    Mr. Willis, you noted that legislation in your opening 
remarks of your testimony, and I wonder if you can describe why 
it is necessary to have enforceable, mandatory emergency 
temporary standards during this pandemic to protect the workers 
that you represent and if you have any anecdotal information to 
provide about why the failure to have such mandatory 
enforceable standards is a problem.
    Mr. Willis. Well, Senator, thank you and thank you again 
for your leadership on this issue.
    The fact that this legislation is even needed is a 
disgrace. We have been calling on OSHA from day one to do this 
very early on even before COVID-19 hit, quite frankly. But the 
AFL-CIO was forced to bring litigation last week against OSHA 
to force them to do their job here.
    Our experience--and I will just speak from the 
transportation side--is if we do not have mandatory 
protections, if we do not have enforcement, if we do not hold 
the employers accountable, it is just not going to get done in 
the right way. I have heard too many stories, whether it is on 
transit, on the free rail side, especially early on, where 
masks, where gloves, where sanitizing equipment was not getting 
out there. And really, we believe that the only way to 
consistently protect the safety of our members is to have these 
standards out there.
    The other component of your legislation is to make sure 
that workers have whistleblower protections, that they are able 
to come forward and report problems that they see in their 
workplace. This committee should understand how critical those 
protections are for workers across the board but specifically 
in the transportation space, we have been strong advocates of 
that, whether it is rail, transit, aviation, and how important 
those protections are when workers have the ability to, again, 
report or safety or in many situations a security violation 
without fear of being retaliated against and have their job 
protected.
    So it is a critical issue. It is a critical legislation, 
and we need to get that implemented, along with the modal-
specific mandates that Senator Cantwell, Senator Blumenthal, 
and Senator Markey have been talking about here as well. So 
thank you.
    Senator Baldwin. Thank you.
    I would like to note for my colleagues that last month the 
Senate Judiciary Committee held a hearing titled Examining 
Liability During the COVID-19 Pandemic. And Chairman Graham 
asked all six of the witnesses that were present at that 
hearing, which included business owners from Texas and North 
Carolina, as well as UFCW and the National Employment Law 
Project. The question he posed to them is, ``do you believe the 
country would be better off if Federal agencies like OSHA 
issued guidelines industry-specific as to what the best 
business practices are in terms of stopping the spread of the 
virus and protecting the workforce and public?''
    And I will note that all six witnesses agreed that clear, 
enforceable safety standards from OSHA were necessary to 
provide the workers and employers with a road map to keep their 
workers and customers safe as our country works to safely 
reopen.
    So I want to encourage each one of my colleagues on this 
committee to join me in cosponsoring this legislation, COVID-19 
Every Worker Protection Act. I might add that I worked very 
hard on putting this together with my colleague, Senator 
Duckworth, working on several iterations of it. But I would 
also encourage other witnesses here today to take a look at 
that legislation and work with us to protect our critical work 
force.
    Thank you, Mr. Chairman.
    The Chairman. Thank you, Senator Baldwin.
    Senator Thune.

                 STATEMENT OF HON. JOHN THUNE, 
                 U.S. SENATOR FROM SOUTH DAKOTA

    Senator Thune. Thank you, Mr. Chairman, for holding this 
important hearing today.
    The COVID-19 pandemic has clearly demonstrated how critical 
transportation is to the nation's economy and the important 
role that millions of transportation workers across the country 
continue to play in delivering supplies where they are needed 
the most. These men and women have put themselves at risk of 
exposure to the virus to provide frontline health care workers 
with PPE and to keep store shelves stocked. They deserve the 
nation's sincere thanks, and I know members of this committee 
are interested in hearing today what Congress can do to better 
protect the transportation workforce as we embark on a path 
toward reopening and economic recovery.
    Mr. Guillot, you mentioned in your testimony that despite 
the recent pandemic-related decline in demand, the trucking 
industry will need to hire over 1 million new drivers the next 
decade to keep up with freight demand. FMCSA recently issued 
waivers related to commercial learner permits and third-party 
testing which ATA is encouraging the agency to make permanent.
    Could you elaborate on some of the challenges currently 
faced by the industry when it comes to driver training and 
testing and how permanency of these waivers could be helpful 
while still maintaining the highest level of safety?
    Mr. Guillot. Thank you for your question.
    During the pandemic, as most industries, we kept working in 
trucking, but yet our training and our CDL testing facilities 
for the most part have shut down with the recommendations of 
the CDC and the government saying for close proximity. So we 
are asking for exemptions concerning those topics and how we 
can continue training to continue getting our workforce back 
with a pipeline of drivers coming in. We have worked very well 
together with DOT and FMCSA on exemptions such as hours of 
service, and we feel very confident working with them going 
forward to help us with hiring and training drivers coming into 
the industry going forward.
    Senator Thune. Thank you.
    Mr. Jeffries, you mentioned in your testimony that COVID-19 
cases among railroad employees have been low thanks to early 
steps taken by the industry to keep the workforce safe and 
healthy. Has the industry encountered challenges in providing 
PPE to employees?
    Mr. Jeffries. Thank you, Senator.
    So certainly early on in the process, the supply chain was 
stressed with providing those types of materials. The focus I 
believe was getting the medical workers, et cetera, as it 
should have been. But we have worked out a lot of those supply 
chain challenges and feel that we have got a good system in 
place. But that does not mean that that is going to continue to 
be the case moving forward, which is why we are supportive of 
legislation from members on this committee to make sure that 
frontline workers continue to be a priority, whether it is 
critical infrastructure, health care, other folks who are 
essential to keeping the country moving.
    Senator Thune. And so as a follow up to that, what steps is 
the railroad industry taking to ensure that employees continue 
to have adequate access to PPE and, as necessary, testing?
    Mr. Jeffries. So right now, it is all being run through the 
railroads themselves. DOT also did provide masks as well, as it 
did to several different transportation industries that are 
being pushed out to employees. So it is based on strong 
relationships that have developed between the railroads and 
their suppliers. Quite frankly, they have been helpful helping 
related companies and other stakeholders, even my organization, 
acquire PPE that is needed. But again, it is a question of 
ensuring that that pipeline continues to flow in a manner that 
everybody who needs protective equipment to safely do their job 
continues to have access to that.
    Senator Thune. Mr. Bozzella, the auto industry has acted 
swiftly in response to the crisis by manufacturing ventilators 
and PPE to aid frontline workers across the country. Could you 
describe any challenges the industry is facing with the current 
Federal emergency use authorization guidance in place that 
could prevent your members from making an even larger impact?
    Mr. Bozzella. Yes. Thanks, Senator.
    The industry has made large numbers of PPE and medical 
devices. There might be a concern if in fact the emergency 
declaration is withdrawn, that the EUAs would no longer be in 
effect and that these products would not be usable under 
Federal guidance. That would be a bit of a concern if we are 
not clear on what the pathway of the pandemic is. And so we 
would want to make sure that, say for example, a truck or a 
rail car filled with PPE on its way to first responders or auto 
workers, you know, when the pandemic emergency declaration is 
withdrawn, would no longer be usable. That would be a concern. 
But so far, we are in pretty good shape.
    Senator Thune. Well, we appreciate everything that you are 
all doing to help out with what is a very critical supply and 
demand that needs to be met. So thank you all.
    Thank you all for being here and we will continue to follow 
up with you, I am sure, as this pandemic continues to affect 
the country.
    So, Mr. Chairman, thank you.
    The Chairman. Thank you, Senator Thune.
    Senator Rosen.

                STATEMENT OF HON. JACKY ROSEN, 
                    U.S. SENATOR FROM NEVADA

    Senator Rosen. Thank you, Mr. Chairman. Thank you, Ranking 
Member Cantwell. And I want to thank the witnesses for being 
here today.
    I want to follow up on some supply chain issues that we 
have been discussing. I represent the state of Nevada, and we 
have a service-based economy that relies heavily on trucking, 
rail, and air to deliver out-of-state goods to our cities and 
towns. The global pandemic has shed light on the incredible 
importance of the transportation supply chains. Our nation's 
transportation networks help ensure that critical supplies like 
food and medicine get to where they need to be even in a 
crisis. So we have to be sure that these networks are 
resilient.
    That means, of course, ensuring the safety and well-being 
of drivers and cargo workers, increasing the reliability and 
the efficiency of our logistical networks and infrastructure, 
and fully appreciating that each component in the supply chain 
is essential to ensuring that goods reach their final 
destination.
    Our supply chain is an interdependent ecosystem, no one 
part being more important than the other. But between recent 
unexpected demand surges due to the pandemic, consumer 
stockpiling of particular items--we know what those are--and 
supply shortages due to factory closures, there has been 
immense pressure on our nation's supply chain network that 
tries to meet customer demand.
    So, Mr. Guillot and Mr. Jeffries, these questions are for 
you. Do you see some creative incentives that we could possibly 
offer to encourage stakeholders to build resiliency in our 
overall supply chain in order to minimize disruption such as a 
global pandemic or even weather, wildfire, hurricane, floods 
such as that goes? And what are some legislative solutions you 
might recommend to Congress to help build that resiliency 
especially for states like mine that rely heavily on out-of-
state suppliers? So, Mr. Guillot, I guess I will go to you 
first and then to Mr. Jeffries, please.
    Mr. Guillot. Thank you, Senator Rosen.
    I think first and foremost the suspension of the Federal 
excise tax until the end of the year 2021 will help our 
industry get back into a purchasing mode. We have polled our 
membership, and as much as 60 percent of our membership would 
be willing to either spend more or significantly more compared 
to not having the suspension of the FET through the timeframe. 
We think that is very critical for us. It not only helps the 
resilience of our equipment, newer, better, more 
environmentally friendly equipment on the road, but it also 
helps the manufacturers supplying our industry as well. So I 
think that is the first and foremost point I would like to make 
concerning that question.
    Thank you.
    Senator Rosen. Thank you.
    Mr. Jeffries. Thank you, Senator, for that question.
    As I sit here and consider that, you used the word 
``resilient,'' and that is a word I have used a lot recently 
when describing the rail industry's response. And the ability 
to be resilient, as you discussed, is based on investment, and 
years of investment in the rail industry have put it in a place 
where it can respond quickly and adjust. But really I think we 
are looking at a position where as we look toward the future, 
all of our members have crisis response plans, even pandemic 
response plans that allow them to flex and adjust their 
operations to meet those needs.
    But as we continue to move forward and consider what might 
be over the horizon, I think embracing technology, as we go 
forward, to provide as visible supply chains as possible, to 
create a flexible, just-in-time supply chain across all modes. 
Of course, that is based on investment, as I said, but it is 
also based on embracing new technologies and demonstrating new 
ways to meet our mission of serving our customers and 
communities in which we operate.
    Thank you.
    Senator Rosen. Thank you for that.
    Mr. Willis, I have just a short time. I am going to go very 
quickly. I want to just ask about PPE. We lack a national 
strategy to ensure that we have the proper types, adequate 
amounts of PPE. Would you agree that a national strategy is 
important to meet the goals here?
    Mr. Willis. Yes. As discussed earlier, I absolutely agree 
with you that it has to be a national strategy. It has to be 
led by the Federal Government. There are significant needs that 
have been met. I will concede that. But we have got a long way 
to go. And again, as we bring more density to our 
transportation system especially on the passenger side, whether 
it is public transit, rail, aviation for sure, we are going to 
need more of that equipment, and a national coordinated 
strategy absolutely has to be implemented.
    Senator Rosen. Thank you. I appreciate you all for being 
here. Stay safe and healthy.
    The Chairman. Thank you, Senator Rosen.
    Senator Capito, you have been keeping a lonely vigil at 
that end of the table there.

            STATEMENT OF HON. SHELLEY MOORE CAPITO, 
                U.S. SENATOR FROM WEST VIRGINIA

    Senator Capito. It is lonely down here, Mr. Chairman.
    The Chairman. You are recognized.
    Senator Capito. But I did not want to be remote. You know 
what I mean?
    The Chairman. You never have been.
    Senator Capito. Thank you.
    I want to thank all of you for being here and I am very 
interested in your testimony.
    Just anecdotally I think one thing that we have not touched 
on that certainly every state is experiencing and that is the 
downturn in State revenue shortages when it comes to fuel tax 
or DMV fees and other things and then the expenditures that our 
state DOTs have had to take on in terms of making sure highway 
workers are safe. As you know, a lot of times those are the 
biggest employers of a state besides the department of 
education. For instance, in West Virginia our revenue on our 
motor fuel has been down 37 percent.
    Think about this as I ask my first question, and my last 
question is going to be, if I can get to it, is as you look 
over the next 3 months--I know it is hard to predict, but are 
you looking for upturns, downturns, assuming that we can still 
remain in our opening mode? So that is going to be the last 
question I ask.
    And I also want to put a plug in for the highway bill. I 
understand the Chairman has already spoken to that. That is 
something that came through my Subcommittee over on EPW and is 
going to come through this committee as well. But there is 
going to be an issue with this match from our State governments 
to be able to move forward with this.
    Mr. Bozzella, I wanted to ask you because I talked with a 
manufacturer of automobiles just yesterday, and they are fully 
open and they are producing and they say their sales are really 
pretty good. But one of the things they are concerned about is 
the supply chain, a different aspect of it than what Senator 
Rosen was talking about. And that is, they employ more than 500 
people and yet they have had this downturn and they do not have 
the capital to really provide the supplies for these 
manufacturers as they start really expanding their 
manufacturing growth.
    Have you experienced that or heard that in the industry, 
and what might you suggest?
    Mr. Bozzella. Very much so, Senator. This is a big concern, 
and I think it is a potential real challenge for a successful 
and safe restart to the industry. Two-thirds of automotive 
employment in the supplier sector is small and medium-sized 
businesses, and they are not sufficiently capitalized right 
now. So I think a focus on liquidity for small and medium-sized 
suppliers is really critical here.
    If we happen to, to your last question, have a bit of an 
uptick and then a downturn and then we are forced to slow 
production or stop production again, this could be catastrophic 
for suppliers. So I do think this focus on liquidity is going 
to be important for suppliers.
    Senator Capito. Thank you.
    Mr. Jeffries, do you have a response to my last question? 
Because it does not look like I am going to have much more time 
for anything else.
    Mr. Jeffries. The final question----
    Senator Capito. The question being, if you look over the 3 
months--you know, you are hearing we think it is really bad 
now, but it is going to get worse. Is it or not?
    Mr. Jeffries. Right.
    Senator Capito. What is your projection?
    Mr. Jeffries. So what I hope is the trough of rail traffic 
was about a 25 percent year over year decrease, based on our 
weekly reports, we have seeing that number improve slightly. 
There is not going to be a dramatic spike. But, for example, 
given the number of autos and auto parts we move, we were at a 
90 percent traffic decrease in auto parts. We are now at about 
a 60 percent. So we have seen that number come up, and that is 
coming up in other areas. As China opens up and we have 
containers coming through the ports, intermodal should continue 
to start to increase. I am definitely not going to call them 
green shoots, but I think we are cautiously optimistic about 
that gradual increase.
    Senator Capito. Good.
    Mr. Oehler, I do want to ask you that question, but I have 
a quick question too. With the EPA's release of their final 
rule on the implementation of the 401 Clean Water Act where 
certain states have been overshooting their authorities, as I 
believe--and that has certainly impacted pipelines--can you 
give from your perspective how the EPA's final rule will help 
your members?
    Mr. Oehler. Thank you, Senator.
    Yes. We support the final rule. We were pleased to see it 
finalized.
    From our standpoint, the investments that we make--we have 
had a lot of discussions about infrastructure. The investments 
that our members are making are many times billion dollar-plus 
investments. And so for us what is critically important is a 
timely and predictable permitting process. And I think one of 
the things that we are seeing with this particular permit that 
you are referencing was some agencies were delaying the permit 
longer than they would be allowed to under the statute, what 
the statute calls for. Some agencies were being expansive in 
terms of how they would apply that particular permit and not 
really focus on the relatively narrow issues that it is 
supposed to be around.
    So we welcome the rulemaking. We welcome environmental 
permitting. We are confident that we can construct pipelines in 
an environmentally safe manner, but we are looking for that 
predictability.
    Mr. Willis. Senator, if I can just add.
    Senator Capito. If you want to talk about the future.
    Mr. Oehler. The future, certainly. A demand for 
transportation services has largely persisted in our industry. 
There has, of course, been some softening in the energy 
markets. I think you have probably seen that in your home 
state.
    Senator Capito. Yes, I have.
    Mr. Oehler. Perhaps a little bit longer than three months 
out, we are hopeful that the economy can really ramp up to 
where it was. And our job is to move energy to people who need 
it. And so as the economy grows, that demand for energy will 
come back and you will see us respond.
    Senator Capito. Thank you. I think my time is up.
    The Chairman. Thank you, Senator Capito.
    Those who have signed up before the gavel are Sinema, and I 
do not believe she is at the remote facility right now. Senator 
Sinema, are you there?
    [No response.]
    The Chairman. Senator Scott, are you there?

                 STATEMENT OF HON. RICK SCOTT, 
                   U.S. SENATOR FROM FLORIDA

    Senator Scott. I am here.
    The Chairman. Good. Senator Scott, you are recognized.
    Senator Scott. Thank you. Thank you, Mr. Chairman, for 
holding this meeting.
    I want to thank all of you for what you do and I want to 
thank your industries for what they are doing especially during 
this time of crisis. My father was a truck driver. It is a 
tough job. He was gone a lot. At that time, it did not pay 
much. Now it has got a lot better pay.
    So, for Mr. Guillot, what do you think the changes are 
going to be for people like my dad, the over-the-road truck 
driver going forward? How has their life changed, and is there 
anything that we ought to be doing to be able to improve how 
they do their jobs and what type of life they have?
    Mr. Guillot. Thank you for your question, and thank your 
father for serving our industry for such a long time there. 
Like so many of us, our families have been involved in trucking 
throughout our lifetimes and your father, and thank him for 
driving a truck.
    As far as our industry going forward, infrastructure is 
critical for us to be able to invest more in infrastructure. 
Our congestion on our highways is certainly critical to the 
lives of our truck drivers on the road. We have found with the 
pandemic in surveys that we have taken, a lot of our 
bottlenecks across the country--it might have been brought down 
through peak hours to as little as 10-15 miles an hour on 
average--is averaging almost at grade speed right now. So I 
think that just reinforces the demand and the need for 
investment in infrastructure going forward, and that would help 
truck drivers such as your father as far as the quality of life 
on the road. Congestion is certainly a big task of ours.
    And certainly the protection of our drivers' health and 
well-being on the road with this pandemic and learning from 
these experiences here and what can we do in the future to get 
equipment out to them as quick as possible, as we are now, but 
to ensure that they have got a good supply chain going forward 
with that type of issue.
    Senator Scott. Thanks.
    I think all of us would agree that we need to make 
investments in infrastructure. What is difficult this year we 
are going to have close to a $4 trillion deficit and we are 
going to have $25 trillion-plus worth of debt. So it is going 
to make it hard to figure out how we continue to invest in 
infrastructure. I did it when I was Governor. And trying to 
figure out how do you get the budget under control up here so 
we can continue to invest like we did when I was a Governor.
    So in addition to infrastructure, is there anything else 
that you think that Congress can be doing that would make the 
lives of the over-the-road truck drivers better?
    Mr. Guillot. As far as Congress is concerned, one of the 
issues that we ran across during the pandemic is the different 
districts, you know, as we cross state lines, as we cross into 
smaller communities, the inconsistencies of the requirements 
going in and out of those facilities.
    We also ran across the availability of just restroom 
facilities and fueling facilities as the pandemic hit us 
initially on, being able to have a truck driver pull over at a 
rest area that may have been closed. The state of Pennsylvania 
closed all rest areas. We worked with the stakeholders in that 
particular state, as well as our state affiliates, to try and 
help these things out. And certainly I think we need to learn 
from what we have done in the last couple months and apply it 
to going forward in the future.
    Senator Scott. Thank you.
    Thank you, Mr. Chairman.
    The Chairman. Thank you very, very much.
    Now, I have got Senator Tester. Is he with us remotely? 
Jon, are you there?
    [No response.]
    The Chairman. OK. It may be that Senator Blumenthal will be 
coming back in a moment.
    I am told that Senator Duckworth is waiting remotely.

              STATEMENT OF HON. TAMMY DUCKWORTH, 
                   U.S. SENATOR FROM ILLINOIS

    Senator Duckworth. I am here, Mr. Chairman.
    The Chairman. You are recognized for five minutes, Senator.
    Senator Duckworth. Thank you, Mr. Chairman.
    I have long held the belief that building up our 
transportation infrastructure is a much more effective and 
sustainable mechanism for our economy and building the middle 
class than any of the trickle down economic policies Congress 
has considered in recent years. Transportation investments will 
play a key role in rebuilding our economy if we can first 
advance meaningful relief for State and local governments that 
are responsible for 75 percent of our infrastructure 
investments.
    I look forward to working with this committee to develop 
meaningful legislation that invests in our public 
transportation and freight networks while improving and 
promoting safety across all modes.
    But first, the Senate must consider the House-passed HEROES 
Act to reinforce our state and local partners and build a 
bridge from crisis relief to economic recovery.
    Mr. Willis, it is good to see you again even remotely. I am 
accessible but remote. My first question is for you and about 
the availability of COVID-19 testing for our essential 
workforce.
    I remember President Trump speaking at CDC headquarters 
just a couple months ago on March 7 and telling the cameras--
and I quote--anyone who wants a test can get a test. That is 
our President speaking. As we all know, that was demonstrably 
false. 3 months later, it is still difficult for Americans in 
many areas of the country to receive COVID-19 testing.
    Experts told Congress that we should be conducting 900,000 
tests every single day to reopen the country safely. Yet, our 
current capability is only one-third of that.
    Until a vaccine is developed, essential transportation 
workers who are keeping our economic engine turning during 
these uncertain times should have ready access to COVID tests 
like our first responders and our most vulnerable neighbors.
    Mr. Willis, I appreciate you mentioning COVID-19 Every 
Worker Protection Act that Senator Baldwin also mentioned. I do 
want to share your frustration with OSHA's current pace on 
actions to protect workers. We can all applaud the Department 
of Transportation's announcement last week to send more than 15 
million face coverings to our transportation work force, and we 
have already had that discussion today about trying to get the 
PPE. But I am curious about what essential workers are telling 
you about the availability of testing and its cost to them, as 
well as our discussion so far of PPE.
    Can you discuss that? First, the testing, how much it is 
costing people. Can they get it when they need it? Is it too 
expensive? What is going on there. And then if you can touch on 
PPE one more time I would appreciate it. Thank you.
    Mr. Willis. Well, thank you, Senator.
    Look, public health officials and our members tell us that 
a key to getting this economy back up and running and getting 
our transportation systems at full capacity is adequate 
testing. That is not a cost, quite frankly, that can be borne 
by individual workers. We have to find a way for the government 
to aggressively come in and help fund that.
    You know, again, for transportation workers today--many of 
them--we are going to work and we are being exposed. So this is 
not just about just opening up the economy. We need to know if 
our members are safe to go into the workplaces every day and to 
protect themselves from their colleagues, from passengers, and 
to protect their families.
    Transportation agencies need to coordinate at the state and 
local level to find these tests and to get a steady supply 
chain. I talked about some of the issues that I think this 
President should be more in front of early on in this crisis, 
both on the testing and personal protective equipment. And I 
think this Congress through these hearings but more importantly 
through legislation has to really hold their feet to the fire 
to lead both on testing and PPE.
    So thank you for the question but, more importantly, for 
your leadership here. It is critical.
    Senator Duckworth. Thank you.
    Mr. Chairman, every industry represented here today at one 
time or another has been to my office and I am sure to your 
office as well to share concerns about 50-state patchwork 
regulations. Yet, our President's new testing plan for COVID-19 
doubles down on his previous assertion that it should be the 
responsibility of states and municipalities not the Federal 
Government to identify, procure, and distribute testing 
supplies and coordinate contact tracing efforts. I am thankful 
that our Governors and mayors and especially Governor Pritzker 
and Mayor Lightfoot in Illinois have stood up in the absence of 
Federal leadership.
    Mr. Jeffries, is it easier or more complex for your members 
to coordinate with each state and municipality as they operate 
in on testing and tracing efforts?
    Mr. Jeffries. It is certainly easier when we operate with 
one Federal guideline.
    Senator Duckworth. Thank you.
    Mr. Guillot, your members are spread across the Nation and 
continually crisscross various jurisdictions. Are your members 
able to coordinate quickly and easily with various states and 
cities on testing and tracing?
    Mr. Guillot. I think it is an ongoing challenge, Senator 
Duckworth. We are in support of more testing. We are in support 
of more--just the health needs of our workers, and crossing 
state lines does make it problematic to be consistent in our 
service and our health with our employees.
    Thank you.
    Senator Duckworth. Thank you.
    I think it is clear that the President's 50-states approach 
is not efficient and not effective in our transportation 
industry as opposed to what should be happening, which is a 
unified Federal effort.
    I am out of time. Thank you, Mr. Chairman.
    The Chairman. And thank you, Senator Duckworth.
    Senator Lee.

                  STATEMENT OF HON. MIKE LEE, 
                     U.S. SENATOR FROM UTAH

    Senator Lee. Thank you very much, Mr. Chairman. Thanks to 
all of you for joining.
    Mr. Oehler, I would like to start with you. During the 
global COVID-19 pandemic, we know that the oil and gas industry 
has been hit hard. We also know that during that time, your 
companies, America's natural gas companies, have been on the 
front lines working hard to try to ensure that Americans can 
have energy provided to their homes and so that our economy can 
continue to operate.
    We also know that there is something of a shortage of 
pipelines in our country, particularly in some parts of the 
country, including the northeastern United States and places 
like Puerto Rico. We could solve this problem, of course, by 
allowing ships to carry LNG along the U.S. coast.
    The problem is, of course, the Jones Act. The Jones Act, 
which is about to celebrate its 100th birthday--I would say 
that is 100 birthdays too many for the Jones Act--creates a 
significant problem here in particular. The Jones Act, of 
course, is this law that restricts shipping between U.S. ports 
to only those vessels that are U.S.-built and U.S.-flagged and 
U.S.-crewed.
    Now, that might sound fine enough at the outset, and maybe 
in some instances there are some people who would be OK with 
it. I personally do not see any need for it anywhere. I think 
it is a bad law.
    But no matter what, I think it is ridiculous to make the 
Jones Act apply even in those areas, even in those marketplaces 
where there is no Jones Act-compliant vessel that is capable of 
carrying something, say, for example, LNG.
    As a result of this, predictably U.S. markets have had to 
turn to other sources where they would otherwise be able to 
turn to a U.S. supplier. In many instances, they have had to 
import natural gas from foreign countries. Now, not just any 
foreign countries, but in many instances, it has had to be 
countries that are our geopolitical adversaries, countries like 
Russia and like Venezuela, rather than purchasing LNG from 
American suppliers.
    So my question for you is in an unprecedented economic 
time, one in which Americans are facing job losses and other 
significant economic and personal challenges, would it not make 
sense for us to take steps to ensure that oil and gas companies 
can meet U.S. demand before potentially forcing the U.S. into 
the arms of geopolitical adversaries like Russia and Venezuela?
    Mr. Oehler. Thank you for that question.
    I agree with what you are saying. I mean, I think that all 
of us in this room have spent probably a great deal of our 
careers in public policy thinking about the United States' 
dependency on foreign countries. And in a very short period of 
time, we have been able to turn that around. We are now the 
world leader in energy production.
    You mentioned the Northeast. Something that comes to my 
mind is we have one of the most prolific natural gas supply 
basins in Pennsylvania, which is a short drive from those 
northeastern States, and it is a supply basin that is creating 
jobs. It is domestic production. We have got very rigorous 
regulations surrounding that production and then 
transportation. But sometimes it is difficult to get new 
pipeline capacity built in order for those regions of the 
country that do not have that supply to take advantage of it, 
and then they are forced to turn to foreign suppliers or even 
fuel sources that are not as carbon-friendly as natural gas is.
    Senator Lee. In that circumstance, in light of what you 
have described, would a temporary waiver of the Jones Act at 
least not allow natural gas companies to be able better to 
access American markets that are otherwise difficult or in some 
cases impossible to access due to the Jones Act or in some 
cases because of other infrastructure challenges?
    Mr. Oehler. Senator, on this particular issue, the Jones 
Act, as an association we have not looked at that and taken a 
position on it. We certainly have heard about it and heard the 
concerns that you have articulated today. And so what I would 
like to do is talk to our members and get back to your office 
on that legislation.
    Senator Lee. That would be wonderful. And if you would like 
me to visit more with you or with any of your members, I would 
be honored and pleased to do that. I think your organization, 
in particular, is one that really ought to focus on this and 
could be a voice of clarity here particularly if we are talking 
about this narrow area.
    Why on earth would we want to be strengthening the hands of 
oppressive regimes in Russia and in Venezuela when we do not 
even have access to a single Jones Act-compliant vessel that 
could take care of these markets? We have got an abundance of 
natural gas available in this very country. This is exactly the 
kind of crony capitalism that we should be on the lookout for.
    Now, look, maybe 100 years ago, 100 years ago Friday when 
they passed this ill-fated, ill-conceived legislation written 
by the devil himself, maybe they had some good ideas. I do not 
know what they were. I do believe that those who are defending 
it to this day, especially in these extreme circumstances like 
what we are describing here, are being disingenuous, and I 
think it is time the American people understand it is not just 
American businesses that are being harmed. It is everyday 
consumers, and it is everyday American citizens whose safety 
and national security is jeopardized by our shameless 
commitment to a crony capitalist legal regime.
    Thank you very much.
    Mr. Willis. Well, Senator, I have to comment here.
    As someone that does strongly support the Jones Act, we 
worry about foreign dependence whether it is on our shipping or 
whatever else. We start to close down U.S. maritime, we start 
to allow flag of conveniences to further denominate in this 
space. We do not supply good U.S. mariner jobs. When we need 
sealift capacity in times of war, in times of national urgency, 
those foreign countries, those foreign vessels with foreign 
crews I promise you will not be there.
    This hearing is about protecting and promoting frontline 
workers. There is no better way to do it than protecting, 
promoting, quite frankly expanding the Jones Act. And on this 
100th anniversary on Friday, we will celebrate it as a landmark 
legislation that this committee and many on this committee 
support.
    Thank you.
    Senator Lee. Mr. Willis, I would ask you. I understand my 
time is expired. But how on earth can you justify--regardless 
of whether you believe the Jones Act is a good idea, which it 
is not, how on earth can you justify the application of this 
law forcing Americans to buy natural gas from Venezuela and 
Russia when there is not a single Jones Act-compliant vessel in 
the United States capable of carrying this commodity that we so 
badly need? How can you justify that?
    The Chairman. Senator Lee, we are going to ask the witness 
to take that for the record, and your 8 minutes has expired.
    Senator Blumenthal.

             STATEMENT OF HON. RICHARD BLUMENTHAL, 
                 U.S. SENATOR FROM CONNECTICUT

    Senator Blumenthal. Thank you, Mr. Chairman.
    Before I begin my question, I just want to note that the 
burden of this pandemic has fallen with extraordinary weight on 
our surface transportation system. We see it in the Northeast, 
the plummeting of passenger rail usage on lines like Amtrak, on 
commuter rail like Metro-North, and strikingly on the motor 
coach transportation companies. I am thinking of a company 
known as DATTCO in New Britain. These entities are struggling 
as they confront unprecedented financial and logistical 
hardships.
    On Monday, Amtrak resumed modified Acela service on the 
Northeast Corridor, the only profitable or at least the most 
profitable route for Amtrak and one of the busiest. Our 
national passenger railroad faces a 95 percent decline in 
ridership and ticket revenue. And it recently announced plans 
to cut its workforce by about one-fifth in the next Fiscal 
Year. This kind of plummeting usage is a threat to our national 
security.
    And likewise commuter rail services, Metro-North, for 
example, have seen a decline in revenue in ridership, and they 
are now grappling with the same kind of logistical difficulties 
in our tri-state area of New Jersey, New York, and Connecticut.
    And most of the 3,000 companies that make up the United 
States motor coach industry remain shuttered. It is nearly 
100,000 employees are unemployed and almost the entire fleet of 
36,000 buses. That is 100,000 employees, 36,000 buses, all 
idle.
    And as I mentioned, there are family owned small, multi-
generation businesses like DATTCO in New Britain that face a 
very uncertain future.
    So I hope that in one of our next hearings, Mr. Chairman, 
we hold on surface transportation we will devote attention to 
the issues faced by these industries.
    Earlier today, I introduced the Essential Transportation 
Employee Safety Act of 2020. I want to thank Ranking Member 
Cantwell and Senator Markey for their support. Among other 
provisions, this bill would implement personal protective 
equipment and cleaning, disinfection, and sanitation 
requirements for owners and operators of equipment or 
facilities used by certain transportation employers during this 
public health crisis.
    And I want to thank Senators Baldwin and Duckworth for 
their efforts on the COVID-19 Every Worker Protection Act of 
2020. I am proud to support that legislation as well. We need 
to protect all our workers, everyone who continues to be on the 
job during this pandemic, from exposure to COVID-19 regardless 
of the industry. And, frankly, the absence of direction of OSHA 
only heightens the urgency of this legislation.
    So let me ask you, Mr. Willis, if I may. First of all, I 
could not agree with you more that strong Federal mandates are 
absolutely necessary to provide frontline transportation 
workers with protections to keep them safe.
    Can you please expand on how the current pandemic affects 
your members and some of the on-the-job challenges that they 
face? What is it like for them to go to work facing the 
shortages of this equipment and the other challenges that they 
have?
    Mr. Willis. Well, thank you, Senator.
    You know, I would say that our members--I do not like to 
use this word--but they are scared. They are scared to expose 
themselves. They want to know that more is being done to 
protect them and their families. And they are scared about 
their jobs, about the economic instability that we have already 
seen in these sectors of our economy and really, I think, 
challenging times ahead that this Congress has to respond to in 
an aggressive way.
    You mentioned the motorcoach side, and it has not been 
discussed yet today and it is an important one. We represent 
drivers at many of those companies not only on the inner city 
but on commuter bus, on tour bus in a number of cities. They 
have been essentially shut down. They are in need of specific 
assistance and something I think this committee needs to 
seriously consider.
    So we need to provide some safety assurances, some economic 
assurances to our members because, as I have said, they have 
got some real anxiety as they go to work every day.
    Senator Blumenthal. Thank you.
    Thank you very much to all of you for being here, and 
thanks for your leadership, Mr. Willis. Thank you.
    The Chairman. Thank you, Senator Blumenthal.
    Let me ask this. Mr. Bozzella, on May 12, Representative 
Walden and I sent a letter to the automotive industry asking 
how it is using innovation in response to the pandemic. 
Senators Thune and Peters, members of this committee, have been 
championing autonomous vehicles legislation, and I have tried 
to be supportive of that.
    The National Highway Traffic Safety Administration, NHTSA, 
has highlighted some of the ways new innovations are being used 
in response to this COVID crisis, including the use of 
automated driving systems to transport COVID-19 tests and ride-
hailing vehicles to transport essential goods such as medical 
supplies, mail, and groceries.
    How do you see the COVID-19 pandemic affecting the 
automotive industry's focus on innovative technologies of the 
future?
    Mr. Bozzella. Senator, Mr. Chairman, there is a tremendous 
amount of innovation going on as a result of COVID-19. Behind 
me is a table filled with ventilators and respirators and other 
materials that auto industry companies innovated to develop to 
respond to the crisis.
    Looking forward, what we can also see is the types of 
innovations that you are talking about: highly automated 
vehicles that can do contactless delivery. We are already 
seeing that demonstrated during the pandemic.
    What we really need and I think that this----
    The Chairman. Where?
    Mr. Bozzella. Where are we seeing that? We are seeing it in 
California and other locations where there are already pilots 
underway for--highly automated vehicle pilots already underway.
    What I think this committee can focus on is creating a 
Federal framework that will allow for more widespread testing 
and deployment of these vehicles, as long as they can be 
determined to be as safe or safer than the vehicles that they 
replace. I think that is a really important effort for the 
Committee and for the Congress to take on because it does set 
up this innovative future that I think the pandemic speaks to 
right now.
    The Chairman. Anybody else want to jump in there?
    Mr. Willis. Yes. Let me just add. We have been involved in 
the AV discussion in front of this committee, and I think that 
it is something to talk about.
    We should not, though, get in front of the real safety 
challenges that I think this technology still confronts. If we 
are going to move forward with pilots, if we are going to move 
forward with early deployment of AVs and highly autonomous 
vehicles, NHTSA has got to do a better job both as this 
technology is tested on our roads and again early deployment, 
you know, really making sure and getting in there that, again, 
these are safe technologies. And quite frankly, there is also a 
worker and job component here that I think we need to think a 
little bit more about before we get too far along.
    The Chairman. Mr. Willis, has that been problematic in 
California and places where pilots are already well underway 
and ongoing?
    Mr. Willis. You know, I think the NTSB has spoken to this 
on the crash that occurred in Arizona. We would echo that, that 
there was really a lack of regulatory oversight by NHTSA. And 
quite frankly, in that situation I think the company is doing 
better. But we have to see more robust real regulation here 
from NHTSA before we are comfortable with looking at these AV 
pilots and testing schemes.
    The Chairman. OK. Well, if anybody on the panel wants to 
elaborate on the record on that issue, please do so.
    Mr. Bozzella, I have got two vehicles that have OnStar. I 
do not know what the various brand names are, but subscription-
based communication systems. Someone told me yesterday in 
getting ready for this hearing that actually those systems 
amount to WiFi hotspots. Conceivably at the remotest place in 
the country, I could take my books out to the car and have WiFi 
there. Am I correct there, and is this a point that is even 
worth making? Would you comment to that?
    Mr. Bozzella. Yes, Mr. Chairman, it is a great point. And 
what we are seeing during the pandemic is the use of these 
subscription telematic services and their embedded WiFi to 
actually provide WiFi hotspots so students can continue to 
learn remotely.
    These systems represent an enormous opportunity for more 
innovation here in the United States and, frankly, leadership. 
And I think that in addition to WiFi hotspots, what you are 
seeing is automated emergency services. The vehicle can 
automatically notify first responders in the case of a crash 
even if the driver is unable to do so him or herself. These are 
lifesaving, groundbreaking technologies that we are seeing 
brought to market, and there are tens of millions of vehicles 
on the road with these technologies today.
    The Chairman. Tens of millions. To what extent are new 
vehicles coming off the assembly line equipped with this? What 
percentage of American-made automobiles in 2020 equipped with 
these systems?
    Mr. Bozzella. Yes. More and more every day. And I will get 
back to your staff, Mr. Chairman, with a specific percentage of 
new vehicles.
    The Chairman. Put that on the record, if you do not mind.
    Mr. Bozzella. I will do that. It is a fairly high 
percentage of new vehicles now today.
    The Chairman. How cost effective is it?
    Mr. Bozzella. It provides great service to customers for a 
reasonable subscription. We are talking about lifesaving 
services, automatic connections to first responders, 
conveniences, navigation systems. I think this is really what 
people want when we talk about intelligent transportation 
systems, infotainment, and telematics and safety.
    The Chairman. Thank you very much.
    If you would hold for a moment.
    [Pause.]
    The Chairman. I do not think we have any other members who 
are in line. And so I want to thank our witnesses. A very 
interesting hearing, very interesting subject matter, and very 
interesting presentation.
    And, yes, I knew about the exhibit in the back of the room, 
and I should have mentioned it beforehand. So those who are 
still in the room--and many staff members are still here--are 
welcomed and encouraged to stop by the table on the way out and 
see that exhibit. And thank you for that.
    The hearing record will remain open for two weeks. During 
that time, Senators are asked to submit any question for the 
record. Upon receipt, the witnesses are requested to submit 
their written answers to the Committee as soon as possible, but 
by no later than Wednesday, July 1, 2020.
    So thank you to the witnesses for appearing today.
    And this hearing is now adjourned.
    [Whereupon, at 4:37 p.m., the hearing was adjourned.]

                            A P P E N D I X

                   American Association of Port Authorities
                                                       June 1, 2020
Hon. Roger Wicker,
Chairman,
Committee on Commerce, Science, and Technology,
United States Senate,
Washington, DC.

Dear Chairman Wicker,

    We appreciate the work being undertaken by the Senate and by the 
Senate Committee on Commerce, Science, and Transportation regarding the 
impacts of COVID-19, and further appreciate the opportunity to share 
our thoughts on how this crisis has impacted ports and the maritime 
industry.
    The American Association of Port Authorities (AAPA) is the unified 
voice of the seaport industry in the Americas, representing 78 public 
port authorities in the United States. Our nation's seaports deliver 
vital goods to consumers, facilitate the export of American-made 
products, create jobs, and support local and national economic growth. 
In fact, the total economic value generated by cargo activities at U.S. 
coastal ports accounts for $5.4 trillion--roughly 26 percent of U.S. 
GDP.
    Since the beginning of the COVID-19 pandemic, AAPA has remained in 
regular contact with our members to monitor the impact of the pandemic 
and to give our member ports the opportunity to share best practices 
with one another. In response to your questions on insights and 
experiences from our Nation's ports, we offer the following responses.

  1.  What impacts have your members seen from COVID-19 on our 
        transportation networks and supply chains, and how have they 
        responded to these impacts?

    AAPA membership comprises ports large, medium, and small, and there 
is a saying in the industry that ``if you've seen one port, you've seen 
one port.'' Accordingly, each of our members has been affected in 
myriad different ways by COVID-19.
    However, we have seen containerized cargo decline by 18 percent in 
March over the same period in 2019. These declines are not limited to 
any particular geographic region, and container cargo volumes have 
declined across each and every region represented by our Association. 
Ports have seen a significant uptick in blank sailings, or cancelled 
vessel calls, which can result in significant revenue losses.
    While data is still incoming for April and May, initial indications 
show declines of 20 percent to 25 percent in those months over the 
prior year.
    As automobiles have worked their way through the global supply 
chain, following the shuttering of auto production facilities in the 
Americas, Europe, and Asia, we have seen major reductions in roll-on/
roll-off cargoes. One West Coast port has experienced a 90 percent 
reduction in roll-on/roll-off cargoes, with only one or two ship calls 
expected this month compared to a typical average of four ship calls 
per week.
    Bulk cargo movements have declined 15 percent to 25 percent over 
the same period in 2019 at two of the largest bulk-handling cargo ports 
in the United States. Bulk cargo movements, which include agricultural 
products and energy commodities such as oil and coal, as well as 
chemicals, are down 27 percent compared to 2019 at one Gulf Coast port.
    Tourism at our Nation's ports has completely evaporated. This has 
resulted in massive P&L impacts at ports heavily invested in this 
business. Indications are that at certain South Atlantic seaports, 
overall business is down between 50 percent and 80 percent.
    And small ports around the country have been especially hard hit. 
At these ports, there are often only one or two types of cargo being 
handled. If demand drops, port operations can nearly cease.
    Despite these significant declines in business, ports have 
continued operations, kept their doors open, and continued to 
facilitate the movement of goods and cargo with the help of critical 
supply chain workers.
    Even as operations continue, and in part as a result of the 
financial challenges facing some ports due to COVID-19, we are 
beginning to see furloughs and layoffs in the maritime industry and 
supply chain, including at some ports.

  2.  What are your expectations for how freight networks or the supply 
        chain may continue to be impacted in the near term? What 
        impacts do you anticipate in the long term?

    While projections vary, our members do not anticipate the 
resumption of pre-COVID-19 cargo volumes until FY21. Unless and until 
U.S. consumer demand increases, cargo volumes are expected to remain at 
levels lower than they were pre-COVID-19.
    While ports work to ensure the safe and reliable delivery of goods 
moving through their terminals, ports have indicated that it may be 
necessary to forgo project planning and critical investments in port 
infrastructure should cargo volumes remain at current levels and should 
the economic recovery from the pandemic progress slowly.

  3.  How have critical infrastructure employees been affected during 
        the COVID19 crisis while performing their duties, and what 
        steps have your members taken to protect them?

    As national gateways for commerce and travel, seaports do not have 
the option to close. They do not even have the option to voluntarily 
slow down throughput because of the back-up it would cause in supply 
chains, sometimes for critical goods like food, medicine, and medical 
devices. Therefore, seaports have worked closely to equip and protect 
their employees as well as others who work on the port footprints, such 
as dockworkers, pilots, police, government regulators, dray truckers, 
and other mariners.
    To protect their employees and partners, ports have taken measures 
that include setting up priority screening and testing with local 
health providers; setting up health screening at port ingresses; 
providing medical-and non-medical grade protection through new supply 
chains locally and internationally; staggering port police shifts to 
increase the number of active-duty but at-home police to have a reserve 
of officers in case of outbreak; and codifying extensive protocols for 
ship-shore interactions and crew changes in a way to minimize social 
contact while efficiently processing cargo and, in extreme cases, 
evacuating cruise ships.

  4.  The U.S. Department of Transportation has a number of authorities 
        that can be utilized to respond to extraordinary and 
        unanticipated events. How has the use of these authorities 
        affected your members during the COVID-19 crisis, and are 
        additional authorities needed to provide additional support to 
        the transportation sector in unforeseen circumstances?

    To our knowledge, MARAD has not invoked extraordinary authorities, 
although the Administration has established regular, helpful 
information-sharing calls. Neither, too, have any of our other main 
Federal stakeholders invoked emergency authorities, such as CBP and 
U.S. Coast Guard. Indeed, the U.S. Coast Guard already had strong 
requirements in place well before the pandemic regarding sick mariner 
reporting, and the seaports follow these regulations to the letter. We 
have, however, seen that the Coast Guard now relies heavily on the 
local CDC's determinations on vessel disembarkment and the like. The 
seaports would benefit from more Washington-led guidance as opposed to 
local office holders making these determinations.
    One difficulty that the public port community has faced is with the 
allocation of aid to ports in need. While some ports are state, city, 
or county departments and thus eligible for aid under previously passed 
COVID-19 response legislation, port authorities have to date been 
unable to access any substantial relief provided by Congress. Airports 
were provided relief, transit agencies were provided relief, and 
establishing a vehicle to provide relief to our Nation's ports is 
critical to ensuring that these entities are able to maintain a state 
of readiness, and that they are able to continue to function as engines 
of economic activity.
    Accordingly, AAPA requests that Congress allocate $1.5 billion in 
economic relief to our Nation's public seaports. This request is not 
about recovering lost revenue; but rather about ensuring that ports are 
able to make bond and other debt instrument payments, keep pace with 
the accelerating costs of protecting workers and keeping the workplace 
sanitized, and ultimately ensuring that America's commercial seaports 
and port workers maintain a state of readiness for the eventual 
economic recovery.
    Thank you for consideration of AAPA's responses to this inquiry. 
America's seaports stand ready to help the Committee however possible 
as it considers how to best respond to the COVID-19 pandemic.
            Sincerely,
                                     Christopher J. Connor,
                                                 President and CEO.
                                 ______
                                 
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]
                                 
                                 ______
                                 
                                    Diesel Technology Forum
                                        Frederick, MD, June 2, 2020
Hon. Roger Wicker,
Chairman,
Committee on Commerce, Science, and Transportation,
United States Senate,
Washington, DC.

Hon. Maria Cantwell,
Ranking Member,
Committee on Commerce, Science, and Transportation,
United States Senate,
Washington, DC.

Dear Chairman Wicker and Ranking Member Cantwell,

    On behalf of the Diesel Technology Forum, we respectfully submit 
this statement on the matter of the Committee's June 3, 2020 hearing 
titled The State of Transportation and Critical Infrastructure: 
Examining the Impact of the COVID-19 Pandemic.
    During the last two months the trucking and supply chain industries 
have been called on to deliver essential supplies, food, medical 
devices, and personal protective equipment in every corner of the 
United States at levels not seen before. This tremendous response to 
the COVID-19 pandemic has been delivered largely by diesel-powered 
trucks, as diesel powers over 95 percent of all tractor trailers in the 
U.S., and over 75 percent of all commercial vehicles. With nationwide 
ready access to fuel, service and parts, diesel is the proven, 
available, reliable, and efficient technology of choice that enables 
the Nation's trucking industry to deliver under these extraordinary 
circumstances.
    As America gets moving again and as policymakers consider 
additional recovery or economic stimulus packages, there are two 
policies Congress should consider that boost the economy while also 
helping to sustain levels of lower emissions observed during the 
pandemic. Each will aide both small businesses and independent truckers 
and enhance the productivity and efficiency of more trucks on the road 
today.

   A temporary suspension of the Federal excise tax (FET) 
        through 2021 will accelerate the turnover to newer, more 
        efficient, lower-emission and more productive vehicles. The FET 
        adds on average about $22,000 to new commercial truck 
        purchases. Suspending it will spur new commercial truck sales, 
        boost domestic truck manufacturing, support local truck dealers 
        and provide owners of older and higher emitting commercial 
        vehicles greater opportunity to purchase new much cleaner, more 
        efficient and safer models. As a result, significant and 
        immediate term clean air benefits can be realized particularly 
        in communities located in designated environmental justice 
        areas.

   Increased funding for the Diesel Emission Reduction Act 
        (DERA), an established and proven, bipartisan clean air 
        incentive program that delivers $13 dollars of clean air and 
        public health benefits for every $1 invested. The program 
        enables the modernizing and upgrading of a broader range of 
        older, higher-emitting engines, vehicles and equipment or 
        replacing older models with new cleaner options. A boost in 
        funding above last year's appropriated amount of $87 million 
        will open the door of opportunity for a wide array of vehicle, 
        engine, and equipment owners around the country.

   Multi-year reauthorization of surface transportation 
        spending programs can address freight bottlenecks, reduce 
        congestion and improve air quality by reducing commercial 
        vehicle idle times.

    Taken together, these strategies will put more new technology on 
the road quickly and help generate immediate air quality benefits, 
particularly for sensitive communities in designated environmental 
justice areas. They will also help spark domestic manufacturing and 
employment as the U.S. is home to much truck, equipment, and engine 
manufacturing.
Introduction
    By way of background, the Diesel Technology Forum is a not-for-
profit educational organization whose members include leaders in diesel 
engines and equipment, vehicle manufacturers and fuel producers. Our 
organization serves a primary role of education along with the 
collection and commission of research to raise awareness of the 
environmental performance of the newest generation of diesel 
technology, including those that power commercial vehicles and buses, 
off-road equipment and stationary engines.
Diesel is the Technology of Work and Keeps the U.S. Supply Chain Moving
    Unlike other fuel and technology types, diesel is the fuel and 
powertrain of work. The U.S. supply chain relies on diesel to power 
commercial vehicles and equipment that move commerce. Diesel fuel and 
engines power 75 percent of commercial vehicles and 95 percent of large 
Class 8 over the road trucks, while locomotives and marine vessels are 
almost exclusively powered by diesel technology. While alternative 
fuels have made in-roads in recent years, natural gas powers under two 
percent of the commercial vehicle fleet while all-electric technologies 
are adopted in very small numbers.
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]

Consumption of Diesel During COVID-19 Response
    The reduction in the consumption of diesel fuel has been moderate 
relative to gasoline. Passenger vehicle-miles-traveled and the 
consumption of gasoline fell to historic lows as many Americans simply 
stayed home subject to state and local shelter-in-place orders. The 
same is not true of diesel powering many commercial vehicles and 
equipment types. While some supply chains experienced low volumes, 
including those delivering gasoline, inputs to shuttered manufacturing 
facilities and some non-essential goods, other commercial vehicles and 
equipment were hard at work delivering essential goods including 
household items, foodstuffs, and medical equipment.
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]

Shelter-in-Place Orders Deliver Air Quality Gains
    While the effect of the COVID-19 pandemic on the American economy 
is exacting a severe toll, and one nobody would willingly accept, the 
reduction in passenger vehicle traffic is generating air quality gains 
including those environmental justice designated communities. For the 
first time in generations, residents in Los Angeles have clear sight to 
the mountains, while the California Air Resources Board reports 21 
straight days of code green, or good, air quality. The last time this 
milestone was achieved was 1980.\1\ Here in the Nation's capital, 
springtime air quality is the cleanest it has been in 25 years as the 
Washington Metropolitan Council of Governments has reported drops in 
fine particle emissions and smog forming compounds and much of these 
gains are attributable to the falloff in passenger vehicle use.\2\
---------------------------------------------------------------------------
    \1\ https://www.latimes.com/environment/story/2020-04-28/
coronavirus-la-air-quality-improved-pandemic-dontexpect-it-to-last
    \2\ https://www.washingtonpost.com/weather/2020/04/22/washington-
dc-air-quality-coronavirus/
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Congress Should Consider Policies to Sustain Air Quality Gains While 
        Providing a Lasting Boost to the Economy
    As shelter-in-place orders are lifted and restrictions on certain 
commerce are eased, a rebound in traffic and transportation related 
emissions is a reasonable expectation. While members of the Committee 
will no doubt hear considerations for recovery policy contingent on 
transformative measures that move away from conventional fuels and 
technologies to those identified as the greenest and lowest impacts on 
greenhouse gas emissions, a prudent approach would include a mix of 
deep rapid investment in proven and available technologies that boost 
manufacturing today coupled with longer term investments in those 
solutions that are still on the drawing board.
    Diesel technology can deliver immediate term benefits in terms of 
demonstrated air quality gains and economic growth and there are 
policies Congress should consider:
Temporarily Suspend the Federal Excise Tax on Commercial Truck 
        Purchases
    Temporarily suspending the 12 percent Federal excise tax (FET) on 
commercial truck purchases can have a direct and immediate beneficial 
effect in reducing emissions by incentivizing the replacement of older 
and higher emitting trucks with new cleaner models. While it has been 
more than 10 years since the most recent near-zero emissions tailpipe 
standard went into effect for newly manufactured trucks, just under 
half of the commercial vehicle fleet comes with technology to meet the 
standard. One of the leading contributors to the slow adoption of new 
and cleaner commercial vehicles is the FET. Today, truck owners looking 
to purchase a new truck must pay a 12 percent excise tax on top of the 
purchase price of a new truck. The tax typically adds an additional 
$22,000 to the purchase of a new truck and trucking equipment that can 
cost between $130,00 and $150,000 for a Class 8 truck.
    Temporarily suspending the FET may entice truck owners to purchase 
a new cleaner truck. According to the latest data published by the U.S. 
Census, the trucking industry relies on 3.5 million drivers, the 
overwhelming majority of trucking firms are small businesses and 
independent owneroperators.\3\ These smaller owner-operators may not 
have the financial wherewithal to pay the tax on top of the purchase of 
a new truck.
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    \3\  https://www.census.gov/library/stories/2019/06/america-keeps-
ontrucking.html?utm_cam
paign=20190607msacos1ccstors&utm_medium=e-mail&utm_source=govdelivery
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    The benefits of replacing older trucks with new cleaner models is 
substantial. Replacing a single older generation Class 8 truck with a 
new model can reduce 30 lbs. of fine particle emissions. As roughly 
half of the commercial vehicle fleet comes with technology to meet the 
near-zero fine particle tailpipe emissions standard, these cleaner 
trucks have eliminated 1 million tons of fine particle emissions that 
is equivalent to taking all cars off U.S. roads for 33 years. 
Suspension of the FET to incentivize the replacement of older trucks 
can help generate substantial benefits from the remaining half of the 
U.S. commercial vehicle fleet that is of an older generation of 
technology.
Support Expanded Funding for the Diesel Emission Reduction Act
    The Diesel Emissions Reduction Act (DERA) is a highly effective 
program managed by the U.S. Environmental Protection Agency (EPA) and 
expanded funding for the program can generate large and immediate term 
benefits in reducing emissions from heavy-duty trucks, buses and off-
road equipment. The program provides a small level of funding to incent 
the owners of older and higher emitting vehicles and equipment to scrap 
and replace with newer and cleaner technologies. Since funding for the 
program was first appropriated in 2008, DERA activities have replaced, 
repowered, or retrofitted over 60,000 vehicles and equipment to 
eliminate nearly 16,000 tons of fine particle emissions and almost 
500,000 tons of smog forming compounds. Replacing older generations of 
technology with new more efficient models also saves fuel and reduces 
greenhouse gas emissions. According to EPA, the program has eliminated 
5 million tons of greenhouse gas emissions.\4\
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    \4\ ``4th Report to Congress: Highlights of the Diesel Emissions 
Reduction Program''. U.S. EPA. 2019. https://www.epa.gov/sites/
production/files/2019-07/documents/420r19005.pdf
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    As noted earlier, roughly half of all trucks and buses on the road 
in the U.S. are of an older generation of technology that do not come 
with advanced emission controls to meet the most recent near-zero 
emissions tailpipe standard established by EPA. Expanded funding for 
the DERA program is an effective tool to encourage vehicle and 
equipment owners to replace older models with new technologies that 
meet the most recent near-zero emissions standard.
    Much like commercial vehicles, new engines that power the wide 
variety of off-road equipment must meet stringent tailpipe standards to 
reduce emissions to near-zero levels including very large applications 
including locomotives and marine vessels. Research commissioned jointly 
by the Diesel Technology Forum and the Environmental Defense Fund finds 
that repowering these much larger engines with new cleaner diesel 
models can deliver substantial emission reductions. A single locomotive 
engine replacement generates as much emission reductions as taking 
8,000 cars off the road for a year while a single marine vessel engine 
replacement is like taking 26,000 cars off the road for a year.\5\
---------------------------------------------------------------------------
    \5\  ``Emission reductions and cost effectiveness for marine and 
locomotive projects'' Ramboll Environ commissioned by Diesel Technology 
Forum & Environmental Defense Fund, 2018. https://www.dieselforum.org/
files/dmfile/Cost-Effectiveness_Memo-Task-1-Final-February-2018.pdf
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    These large engine replacement projects deliver substantial 
emission reduction benefits directly to communities located near ports, 
railyards, and other freight activities. These communities are often 
located in environmental justice designated areas and the DERA program 
has funded many locomotive and marine vessel engine replacements.
    Expanded funding for the DERA program can generate substantial 
clean air benefits by encouraging investment in new cleaner heavy-duty 
trucks and other key goods movement assets such as marine vessels that 
are often of an even older generation of technology manufactured before 
emission controls were ever required. These immediate term benefits 
would accrue to many environmental justice communities located near 
ports, railyards and other goods movement facilities.
Support for Multi-Year Surface Transportation Spending Programs
    A multi-year reauthorization of surface transportation spending 
programs may have a beneficial effect on air quality. According to 
research published by the American Transportation Research institute 
(ATRI), average speeds by motor carriers across the country during the 
COVID pandemic more than doubled due to the significant reduction in 
traffic congestion.\6\ As vehicle miles travel rebound as stay at home 
orders are eased, we can expect traffic congestion to rebound as well 
highlighting the need to invest in surface transportation programs to 
hold on to these air quality gains. Research shows that idling trucks 
were responsible for the consumption of an additional 6.87 billion 
gallons of fuel in 2016, resulting in 67.3 million metric tons of 
excess carbon dioxide (CO2) emissions.\7\ These are 
emissions that may not have been generated if surface transportation 
projects were completed.
---------------------------------------------------------------------------
    \6\ https://truckingresearch.org/2020/03/24/gps-data-shows-
critical-truck-deliveries-continue-despite-covid-19-analysisof-data-
finds-unprecedented-performance-year-over-year/
    \7\ https://truckingresearch.org/2019/03/01/new-atri-research-
quantifies-impacts-of-congestion-on-fuel-consumptionand-emissions/
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    Diesel technology is also vital to the completion of many public 
works projects. Diesel technology powers the large variety of equipment 
types found at work on these projects. The latest near-zero emissions 
diesel technology are also available that help reduce emissions for 
equipment operators and residents in the communities where these 
projects are located. Much of the diesel powered equipment is 
manufactured or assembled in facilities across the U.S.
Policy Changes Support Domestic Manufacturing and Employment
    Policies that encourage the replacement of older heavy-duty 
vehicles and equipment with new cleaner models provide needed economic 
stimulus to domestic manufacturers and employment. Diesel technology is 
the technology of choice that powers these heavy-duty vehicles and 
equipment. In 2019, about 1 million heavy-duty diesel engines were 
manufactured in production facilities in 13 states. The vehicles and 
equipment they power are also predominantly manufactured in the U.S. as 
well. According to the Association of Equipment Manufacturers, the 
production of diesel-powered equipment supports 1.3 million jobs and 
generates $158 billion in economic value. In fact, the average wage in 
the industry exceeds the national average, paying workers about $78,000 
per year.\8\
---------------------------------------------------------------------------
    \8\  ``The Market Size and Economic Contributions of the Off-
Highway Equipment Industry''. Association of Equipment Manufacturers, 
2017. http://www.aem.org/AEM/media/docs/Advocacy/AEM-Economic-Research-
Report.pdf
---------------------------------------------------------------------------
    We appreciate the opportunity to provide these comments concerning 
the role of diesel technology in underpinning the supply chain during 
COVID-19 response. As Congress considers stimulus policies designed for 
economic recovery, there are low-cost strategies to deliver air quality 
gains while boosting domestic employment and manufacturing. We urge 
that you take steps to temporarily suspend the Federal excise tax on 
truck purchases through 2021 while boosting funding for the Diesel 
Emission Reduction Act.
    Please feel free to contact me with any questions or concerns at 
(301) 514-9046.
            Sincerely,
                                        Allen R. Schaeffer,
                                                Executive Director.
                                 ______
                                 
                         Alliance for Automotive Innovation
                                       Washington, DC, June 3, 2020

Hon. Roger Wicker,
Chairman,
Committee on Commerce, Science, and Transportation,
United States Senate.

Hon. Greg Walden,
Ranking Member,
Committee on Energy and Commerce,
United States House of Representatives.

Dear Chairman Wicker and Ranking Member Walden,

    On behalf of the Alliance for Automotive Innovation (Auto 
Innovators), I appreciate the opportunity to respond to your May 12, 
2020, letter regarding the automotive industry's response to the COVID-
19 public health crisis. It has been a privilege and honor to witness 
Auto Innovators members and their employees--along with partners 
throughout the automotive ecosystem--step forward in this time of 
national need. Our industry employs roughly 10 million Americans, in 
addition to those who are employed in the technology and mobility 
sectors directly. Their actions in support of the frontline workers, 
healthcare employees and first responders highlight the innovative and 
can-do spirit of the U.S. automotive industry.
    Prior to the COVID-19 pandemic and corresponding public health 
emergency, the auto industry was focused on the future. Automakers, 
suppliers, technology companies and others in the automotive ecosystem 
were investing in and deploying transformative innovations with the 
potential to revolutionize personal mobility--electrification, 
automation, connectivity, artificial intelligence, and other 
foundational technologies. With respect to vehicle electrification 
alone, the auto industry is expected to invest more than $250 billion 
globally by 2023.\1\ Fortunately, because of the investment and hard 
work of our members and their employees, the U.S. has enjoyed a 
leadership position regarding a number of cutting-edge technological 
innovations.
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    \1\ https://iwk-cp.com/wp-content/uploads/2018/07/Automotive-
Global-Outlook-2018-European-version_IWK_FINAL.pdf
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    However, in a matter of weeks, the COVID-19 public health crisis 
created unprecedented challenges for the auto industry. Between March 
and April, the escalating public health crisis brought all major U.S. 
motor vehicle production to a complete halt. This marked the first time 
since World War II that all U.S. and North American production was shut 
down. Retail sales in April dropped nearly 50 percent compared to 2019 
sales. The unexpected and simultaneous shock to supply and demand has 
been profound to the entire automotive ecosystem.
    Over the past two months, Auto Innovators members and their 
employees have demonstrated ingenuity, compassion, and commitment 
through their contributions to the national response to this public 
health crisis. In a matter of weeks, motor vehicle manufacturers and 
suppliers retooled manufacturing facilities to make ventilators, 
Personal Protective Equipment (PPE) and other supplies desperately 
needed by those on the front lines of the battle against COVID-19. They 
have donated--and even modified--vehicles to provide safer 
transportation options for health care workers and community members. 
Technology and mobility companies offered automated driving systems to 
deliver food and supplies to communities in need. Even the seemingly 
simple gestures required resources, commitment, and creativity.
    The diversity and breadth of Auto Innovators' contribution to the 
Nation's response to the COVID-19 public health crisis can be found in 
the attached summary of various actions taken by Auto Innovators 
members. While this list is not comprehensive, it reflects the scale of 
commitment of our members. Every part of the automotive industry 
stepped up and contributed to the Nation's response.
    The actions of Auto Innovators members reflect the spirit of 
innovation that pervades the auto industry in the U.S. The realities of 
this public health crisis, however, cannot be ignored.
    The auto industry looks very different today than it did just two 
months ago. North American production is beginning to restart, but this 
will take time as employees adapt to new health and safety requirements 
and supply chains regain stability. Vehicle sales have rebounded in 
recent weeks but remain well below expectations. Most industry 
forecasts predict a loss of between two million and four million 
vehicle sales compared to the expected 16.8 million units that were 
projected at the start of the year. Based on current projections, the 
U.S. auto sector is not projected to regain the production and sales 
volumes from 2019 until 2023.
    The economic reality of the combined hit to auto production and 
sales is, in some respects, simple. Although restart efforts are 
underway, there remains a high degree of uncertainty when it comes to 
supply chain challenges, consumer confidence and overall economic 
signals. As automakers, suppliers and others absorb losses related to 
COVID-19, the industry will have less capital at its disposal to invest 
in developing the technologies of the future. In this highly 
competitive, capital-intensive industry, market certainty will become 
even more critical for maintaining U.S. leadership in automotive 
innovation in advanced safety technologies, as well as vehicle 
efficiency and electrification.
    As noted in your letter, certain nations have made clear their 
intention to capitalize on the economic consequences of the public 
health crisis to establish a dominant role in the auto sector. In the 
area of automation, specifically, China is openly leveraging this 
public health crisis to gain prominence in the global race to dominate 
development of this crucial life-saving technology.\2\ As we have 
witnessed in other sectors, if nation-state-sponsored companies define 
the future of innovative technologies, the implications for the 
Nation's economic and national security will be profound.\3\
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    \2\ https://www.ft.com/content/cdc6f5f4-3eae-44d9-8c59-808bbcfcca02
    \3\ https://asia.nikkei.com/Spotlight/Huawei-crackdown/Huawei-
steps-up-ambitions-in-self-driving-vehicles-race
---------------------------------------------------------------------------
    At this time, the auto industry is focused on the health and safety 
of our employees, stabilizing supply chains and gradually resuming 
production. These must remain our top priorities as we continue to 
navigate uncertain market dynamics and challenges from the ongoing 
public health crisis. As the industry recovers, however, policymakers 
and the industry must not lose sight of the future.
    To provide the market certainty necessary to transform personal 
mobility in the U.S. and overcome the impacts of the COVID public 
health emergency, policymakers should consider the following actions:

   Enacting a Federal framework that provides for full-scale 
        testing and deployment of highly automated vehicles on U.S. 
        roadways.

   Preserving the entire 5.9 GHz spectrum for next-generation 
        automotive safety technologies which are in jeopardy due to the 
        pending Federal Communication Commission NPRM that would 
        reallocate a significant portion of the 5.9 GHz band for 
        unlicensed Wi-Fi use.

   Enacting a national data privacy framework that provides 
        consistent protections to consumers across the nation, 
        recognizing that the auto industry has been a leader in 
        balancing data privacy needs.

   Fostering the U.S.-based development and deployment of 
        artificial intelligence that supports vehicle automation and 
        other vehicle-based services.

   Ensuring that export control restrictions do not create 
        unfair and unnecessary limitations on the ability of companies 
        to export automotive technologies developed in the U.S. to 
        markets around the world.

   Promoting U.S. innovation and development of electric 
        vehicle batteries and their raw materials with policies that 
        encourage domestic EV battery production and recycling.\4\
---------------------------------------------------------------------------
    \4\ U.S. reserves for lithium and cobalt is less than 1 percent and 
4 percent, respectively, of the global reserves and most of the 
lithium-ion battery production takes place in China, with U.S. 
companies only manufacturing about three percent of global production 
(See e.g. https://www.usgs.gov/centers/nmic/cobalt-statistics-and-
information, https://www.usgs.gov/centers/nmic/lithium-statistics-and-
information, Testimony of James Greenberger, Executive Director of 
NAATBatt International, at Senate EPW Hearing, ``Electric Battery 
Production and Waste: Opportunities and Challenges.'' July 17, 2019.)

   Enacting policies at the Federal level that support, and 
        grow, a sustainable market for electric vehicles including the 
        buildout of the necessary charging and hydrogen refueling 
---------------------------------------------------------------------------
        infrastructure.

   Encouraging a holistic approach to decarbonizing the 
        transportation sector by supporting the development, and market 
        adoption, of low-carbon fuels in coordination with the next 
        generation of highly efficient vehicle technologies.

   Encouraging and supporting greater presence and engagement 
        by NHTSA and other Federal agencies in relevant international 
        regulatory proceedings and processes, especially related to 
        electrification and automation.

    We find ourselves on the cusp of a transformative moment in the 
future of the U.S. automotive industry. It will require creativity and 
commitment -including from members on the Senate Committee on Commerce, 
Science, and Transportation and House Committee on Energy and 
Commerce--for the U.S. to retain our Nation's important leadership role 
when it comes to automotive innovation. Our association stands ready to 
work with you and all members of the Committee to help realize this 
opportunity, both in support of the near-term recovery, as well as the 
long-term prosperity of the Nation and our manufacturing sector.
            Sincerely,
                                             John Bozzella,
                                                   President & CEO.
Enclosure

                        COVID-19 Relief Efforts

                              June 3, 2020

Table of Contents
Aston Martin

Bosch

BMW Group

Cruise

DENSO

Fiat Chrysler

Ford

General Motors

Honda

Hyundai

Intel

Jaguar Land Rover

KIA

Maserati

Mazda

Mercedes-Benz

Mitsubishi

Nissan

NXP

Panasonic

Porsche

RV Industry Association

Subaru

SiriusXM

Suzuki

    Texas Instruments

Toyota

Volkswagen

Volvo
                                 ______
                                 
                       Individual Member Actions
Aston Martin
   (4/24): Aston Martin Acts To Support Warranty And Service 
        Customers During COVID-19 Lockdowns Worldwide
Bosch
   (4/22): Bosch begins producing hand sanitizer and protective 
        face masks

   (3/28): Bosch develops rapid test kit for coronavirus
BMW Group:
   (4/29): BMW Group contributes computing power to support 
        @foldingathome, Stanford University project simulating protein 
        dynamics to better understand #coronavirus and how to fight it

   The Central Region and Chicagoland BMW MACO dealers 
        delivered 330 cases of sanitizer and 165 cases of wipes--
        representing more than 10,000 pounds of supplies--to 
        organizations in need

   Fields BMW (Northfield, Ill.) provided PPE safety supplies 
        to their local fire-rescue department

   BMW of West St. Louis (Manchester, Mo.) donated respirator 
        masks to Saint Louis University and Washington University to 
        protect health care workers

   Patrick BMW (Schaumburg, Ill.) are offering $1,000 off the 
        purchase or lease of any vehicle in addition to manufacturer 
        incentives for front line workers and providers

   Baron BMW (Kansas City, Kan.) is offering free oil changes 
        on BMW/MINI vehicles for all active duty first responders, law 
        enforcement, firefighters and EMTs

   BMW of Cleveland (Solon, Ohio) is offering discounted oil 
        changes to first responders

   BMW of Ann Arbor (Ann Arbor, Mich.) is offering free towing, 
        vehicle diagnosis and `team member' pricing on all repairs and 
        maintenance to first responders

   BMW of Champaign (Savoy, Ill.) is offering 25 percent off 
        maintenance services for health care workers

   Kelly BMW (Columbus, Ohio) is offering special discounts on 
        anti-microbial vehicle interior cleaning for frontline 
        healthcare workers and first responders

   BMW of Louisville (Louisville, Ky.) is offering 
        complimentary oil services, car washes and deep sanitization 
        for their vehicle for frontline workers

   BMW of Murrieta (Murrieta, Calif.), East Bay BMW 
        (Pleasanton, Calif.), BMW Seattle and Long Beach BMW (Long 
        Beach, Calif.) are offering free car sanitation services for 
        healthcare workers and first responders

   BMW of Bridgewater (Bridgewater, NJ) donated several cases 
        of gloves to Newark Beth Israel Hospital

   BMW of Schererville (Schererville, Ind.) provided dinner to 
        Franciscan Hospital in Hammond, Ind. and lunch to St. 
        Catherine's hospital in East Chicago

   BMW of North America donates vehicles to World Central 
        Kitchen in New York City in support of its #ChefsforAmerica 
        initiative to deliver fresh meals to those in need

   BMW regional dealerships have donated over 10,000 meals 
        across parts of Florida, Texas, New Jersey, and Georgia

   (4/8): BMW Group Donates Cars for Hospital Employees Who 
        Would Normally Take Mass Transit

   (4/8): BMW to start producing face masks (PPE production)

   (4/6): BMW manufacturing in South Carolina donates thousands 
        of masks to South Carolina hospitals and first responders

   BMW of North America loans vehicles to two non-profit 
        organizations in California, The Greater Sacramento Urban 
        League and The Brotherhood Crusade, for the delivery of food 
        and IT equipment to inner city communities.
Cruise
   (3/31): Standing with San Francisco During COVID-19 
        (Monetary donation)

   (3/29): Cruise partners with local charities to deliver 
        20,000+ contact-free meals

   (3/14): Cruise donates $300,000 to COVID-19 relief efforts
DENSO
   (5/20): DENSO Employees in Michigan and North Carolina 
        Produce Respirator Components to Support COVID-19 Efforts

   (5/8): Toyota Dealers Turn Up for Their Communities 
        (Charitable work, monetary donations)

   (4/23): DENSO Delivers Face Shields to Detroit-Area Front-
        Line Workers

   (4/22): DENSO Supports and Protects Communities Amid 
        Pandemic (Monetary donation)

   (4/21): Discover How GBA Members Are Fighting COVID-19 (PPE 
        donation)

   (4/17): How DENSO is Fighting COVID-19 in Our Communities 
        (PPE donation)

   (4/13): Toyota is the latest brand to outline its battle 
        plan to stem the spread of COVID-19 (PPE Production)

   (4/1): DENSO produces face shields in Maryville, Tennessee 
        (video)

   (4/1): DENSO in Maryville to Produce Thousands of Face 
        Shields for Tennessee Health Care Workers; DENSO Canada 
        Employee 3D-Prints Face Shields at Home

   (3/31): DENSO Delivers Technical Support in D-WAVE Project 
        using Quantum Systems to Combat COVID-19 (Quantum computer 
        access for COVID19 researchers)

   (3/29): DENSO Spirit Spotlight: Britt Autry's Mission to 
        Make Face Shields

   (3/26): DENSO to Donate Nearly 2,000 N95 Masks to Hospitals 
        in Michigan, North Carolina
Fiat Chrysler
   (5/15): Fiat Chrysler donates 10,000 masks to Macomb County, 
        Michigan

   (5/14): Fiat Chrysler donates masks to Boone County, 
        Illinois

   (5/13): Fiat Chrysler donates masks to City of Kokomo, 
        Indiana

   (5/11): Fiat Chrysler uses global supply chain to source PPE 
        for Beaumont Health System

   (5/8): Fiat Chrysler helps local food bank and City of 
        Marysville (Monetary donation, PPE donation)

   (5/3): Fiat Chrysler donates 10,000 face shields to patients 
        and providers

   (4/21): Fiat Chrysler aids Food Bank Council of Michigan 
        (Monetary donation)

   (4/11): What Fiat Chrysler is doing in fight against 
        coronavirus (PPE donation and donations to food banks)

   (4/2): FCA Donates 500,000 face masks to Michigan emergency 
        operation centers

   (4/1): FCA Announces 'Drive Forward' Initiative, Offering 
        Incentives and Support to Consumers (consumer relief)

   (3/27): Fiat Chrysler Automobiles Expands Coronavirus-
        related Relief Actions; 1 Million Meals for School Children 
        Included in New Programs (PPE donation and donations to food 
        banks)

   (3/23): Fiat Chrysler to make face masks for U.S. health-
        care workers (PPE donation)
Ford
   (5/6): Ford and 3M Now Shipping Powered Air-Purifying 
        Respirators to Health Care Workers; New Jersey Orders 500,000 
        Gowns (PPE production)

   (4/30): Ford produces 10 millionth face shield to help 
        protect healthcare workers and first responders across the 
        nation

   (4/15): Ford, Wayne State University, Access Coalition 
        Launch First Mobile COVID-19 Testing for Michigan First 
        Responders (Vehicle donation, volunteering, equipment donation)

   (4/13): Ford to Produce Respirators, Masks for COVID-19 
        Protection in Michigan; Scaling Up Production of Gowns, Testing 
        Collection Kits

   (4/2): Ford Motor Company Fund Announces Donation Match, New 
        Virtual Opportunities for Employees to Help Fight COVID-19 
        (Monetary donation, volunteering)

   (3/31): Ford Donates Vehicles to Help World Central Kitchen 
        Deliver 20,000 Meals a Day

   (3/30): Ford mobile units to help health care workers 
        (remote service)

   (3/30): Ford to Produce 50,000 Ventilators in Michigan in 
        Next 100 Days; Partnering with GE Healthcare Will Help 
        Coronavirus Patients

   (3/30): Doctors advise Ford designers to make COVID-19 
        safety equipment (PPE donation)

   (3/24): Ford Works with 3M, GE, UAW to Speed Production of 
        Respirators for Healthcare Workers, Ventilators for Coronavirus 
        Patients

   (3/24): Automakers Step Up to Challenge of Helping in 
        Coronavirus Pandemic (PPE production)

   (3/19): Automakers offer to build ventilators as U.S. faces 
        critical shortage
General Motors
   (5/18) Returning to the Workplace with Confidence (Employee 
        health, occupational medicine)

   (5/14) Chevrolet, Buick, GMC and Cadillac Expand Customer 
        Care Initiatives With the `CLEAN' Program (Public health 
        precautions, consumer protections)

   (5/1) Team GM Taking Global Action Against COVID-19

   (4/19): GM Expands Medical Projects and Charitable 
        Deliveries to Hospitals (PPE production)

   (4/19): First General Motors-Ventec Critical Care 
        Ventilators Delivered to Chicagoland Hospitals

   (4/14): First General Motors-Ventec Critical Care V+Pro 
        Ventilators Ready for Delivery (Ventilator production)

   (4/14) Hamilton Medical Announces New Production of Critical 
        Care Ventilators in the U.S. (Supply chain logistics, expertise 
        donation)

   (4/9): GM Mobilizes to Support Communities Amid Coronavirus 
        Pandemic (Monetary donation, PPE production)

   (4/9): GM to Share Face Mask Production Plans with Michigan 
        Manufacturers Association and Original Equipment Suppliers 
        Association

   (4/4) One Million Masks and Counting: A Deeper Look at GM's 
        PPE Production

   (3/27): Ventec Life Systems and GM Partner to Mass Produce 
        Critical Care Ventilators in Response to COVID-19 Pandemic

   (3/19): Automakers offer to build ventilators as U.S. faces 
        critical shortage
Honda
   (6/1): Honda Engineers Use Manufacturing Know-how to Produce 
        130,000 Face Shields for Frontline Healthcare Workers

   (5/22): Honda Makes, Donates 5,000 Face Shields to Dallas 
        Hospital

   (5/21): Honda Powersports Dealers Donate PPE to Healthcare 
        Facilities to Help Cope with COVID-19

   (5/5): Honda Responds to COVID-19 With Support to Customers, 
        Honda Associates, Business Partners and Local Community 
        Organizations (Monetary donation, PPE donation, PPE production)

   (5/5): Detroit-area Residents will be Transported to COVID-
        19 Testing in Modified Honda Odyssey Minivans

   (4/30): Honda Begins Making Vital Ventilator Parts for 
        Dynaflo to Help COVID-19 Patients

   (4/10): Honda makes, donates plexiglass face shield for area 
        hospitals

   (3/30): Our Pledge to Communities and Customers in Response 
        to COVID-19
Hyundai
   (4/14): Hyundai Doubles Support for COVID-19 Drive-Thru 
        Testing Locations Across America

   (3/27): Hyundai Opens 11 COVID-19 Drive-Thru Testing Centers

   (3/26): Hyundai Hope On Wheels Expands Its Support For 
        COVID-19 Drive-Thru Testing To 11 Children's Hospitals With 
        $2.2 Million

   (3/24): Hyundai Hope On Wheels Donates $2 Million to 
        Children's Hospitals Throughout the U.S. To Support COVID-19 
        Drive-Thru Testing Centers

   (3/23): Weekly Drive Through Food Pantry Starts at Honda 
        Center
Intel
   (4/7): Intel Grants Free Access to Its Intellectual Property 
        to COVID19 Researchers and Scientists

   (4/7): Intel Commits $50 Million With Pandemic Response 
        Technology Initiative to Combat Coronavirus

   (3/26): Intel Allocates $6 Million For Coronavirus Relief, 
        Builds On Previous Efforts

   (3/26): Intel Response to COVID-19 Crisis (Monetary 
        donations)

   (3/23): Intel Donates More Than 1 Million Protective Items 
        For Healthcare Workers in Coronavirus Fight
Jaguar Land Rover
   (4/6): Jaguar Land Rover Announces Steps to Support 
        Customers in Response to COVID-19 (Consumer financial support)

   (3/19): Automakers offer to build ventilators as U.S. faces 
        critical shortage
KIA
   (5/20): Kia Donates Face Shields to Hospital Workers 
        Throughout the Chicago and Detroit Areas

   (4/23): Kia Motors Delivers 15,000 Medical Use Face Shields 
        to the Georgia Emergency Management Agency

   (4/20): Kia Motors Producing Protective Face Shields at U.S. 
        Manufacturing Plant for Use by Healthcare Workers Across the 
        Country

   (4/9): Kia Motors Donates $1 Million to Aid Homeless Youth 
        During the COVID-19 Pandemic
Maserati
   (4/26): NYC soup kitchens are now serving grad students, 
        actors and musicians (Vehicle and monetary donation)
Mazda
   (4/15): Mazda Honors Health Care Heroes with New Essential 
        Car Care Program (Free oil changes and car cleaning services)

   (4/1): Mazda Financial Services Launches by Offering New 
        Customers Payment Deferral Option (Consumer financial support)
Mercedes-Benz
   (5/27): Coronavirus Update and Health System Preparations 
        (PPE production and donation)

   Mercedes-Benz Vans Charleston: Plant employees in Sprinter 
        vans delivered more than 300 meals and supply kits to South 
        Carolina families in need

   (5/8): Mercedes-Benz donates over $500,000 in funds, goods 
        and services for COVID-19 relief efforts

    (5/7): Mercedes-Benz donates 2,500 meals, 13 vans to Feeding 
Northeast Florida

   (5/1): Mercedes-Benz donates 600 meals per week to 
        organizations such as the Boys and Girls Club of North Florida 
        and Kim's Open Door during the month of May

   (5/1): Jay Leno, Martha Stewart, Rickie Fowler, Madelaine 
        Petsch and Ludacris to headline first ever Mercedes-Benz 
        Concours de Zoom (Monetary donation)

   (4/21): Mercedes-Benz of Baton Rouge donates van to 
        transport doctors to and from hotel, hospital

   (4/17): Mercedes-Benz USA is donating 7,000 meals and 9 vans 
        to Atlanta organizations

   (4/13) Meal Donations to PAWkids Child Enrichment Program: 
        1,000 meals prepared in the Mercedes-Benz cafeteria per week

   (4/10): Mercedes-Benz Coronavirus Financial Relief and New 
        Car Incentives

   (4/6): Manufacturing masks post on Instagram (PPE 
        production)

   (3/24): Mercedes Benz hosts blood drive in company parking 
        lot (Charitable work)

   (3/19): Mercedes-Benz, coalition convoy supplies to 
        Salvation Army shelter (PPE donation)

   Mercedes-Benz to Donate 9,000 N95 Facemasks to Northside 
        Hospitals in Atlanta

   Sprinter Van Donations to MB Stadium: deliver stadium food, 
        prepared at the stadium, to local Atlanta families in need
Mitsubishi
   (4/15): Mitsubishi Motors brings ``Small Batch--Big Impact'' 
        nonprofit initiative to Nashville's Community Resource Center 
        (Vehicle donation)

   (4/10): Mitsubishi Motors North America, Inc.'s latest 
        customer communication regarding Coronavirus (COVID-19)--April 
        10, 2020 (Customer financial relief, dealer support and PPE 
        reimbursement)
Nissan
   Nissan response to Coronavirus Disease 2019 (COVID-19) 
        (Customer financial relief, PPE donations)

   (4/16): Local Makers Team Up to Build Ventilators, Seek 
        Volunteers (Equipment donation)

   (4/1): Coronavirus Mississippi: Nissan Canton plant making 
        face shields for local health care workers

   (3/31): Nissan produces face shields for Middle Tennessee 
        health care workers
NXP
   We are NXP: (PPE and laptop donations)

   (4/23) NXP Tweet (Charitable work)
Panasonic
    Panasonic has donated over $500,000 to support efforts to battle 
the COVID19 pandemic, including:

     $150K to address the critical food insecurity needs of 
            residents in Newark (where we are headquartered): $100K to 
            United Way's COVID-19 Response Fund; $25K Newark Public 
            Schools; and $25k Community Foodbank of New Jersey

     70 Toughbook Laptops to New Jersey Public Schools

     Nearly 700 baby monitors and laptop devices to New 
            Jersey and California hospitals to allow patients to 
            communicate with hospital staff and relatives

     $15,000 annual grant to the Fayette Care Clinic 
            (Georgia)

   Panasonic joined the Michael Phelps Foundation to support 
        $100,000 in grants to the Boys & Girls Clubs for when they re-
        open after the virus

   Panasonic Automotive is supporting automakers efforts on 
        ventilators with back-up battery cells

   Employees across the company have utilized open source 3-D 
        printing to produce hundreds of critical PPE, including face 
        masks and face shields for health care workers and first 
        responders in their communities

   (4/24): Panasonic Foundation Tweet (PPE donation)

   (4/23): Panasonic Foundation Tweet (Monetary donation)
Porsche
   (4/23): $1 Million Benefit for United Way COVID-19 Relief 
        (Monetary donation)

   (4/10): Porsche and RM Sotheby's to Auction Last 911 (991) 
        to enter and pass down the serial production line for 
        Charitable COVID-19 Fundraiser
RV Industry Association
   (5/6): Arterra Distribution Donates 1,000 KN95 Masks To 
        Local Healthcare Workers

   (4/28): Medical Staff Find Housing In Donated RVs In 
        Coronavirus Pandemic

   (4/29): SylvanSport Founder Shares Personal Motivation For 
        Making PPEs For First Responders

   (4/23): Cummins Partners With 3M To Create Filters For 
        Powered Air Purifying Respirators

   (4/23): RV Donated To South Bend Clinic By Gulf Stream Coach 
        (Vehicle donation)

   (4/21): Hospital Receives $10K Donation For New Ventilator 
        From Trim-Lok

   (4/23) Cummins Partners With 3M To Create Filters For 
        Powered Air Purifying Respirators

   (4/23) RV Donated To South Bend Clinic By Gulf Stream Coach 
        (Vehicle donation)

   (4/21) Hospital Receives $10K Donation For New Ventilator 
        From Trim-Lok (Monetary donation)

   (4/20) Thetford Reaches Neighboring Communities In Need 
        During COVID-19 Crisis (Hand sanitizer container donation)

   (4/20): Thetford Reaches Neighboring Communities In Need 
        During COVID-19 Crisis (Hand sanitizer container donation)

   (4/15): Kirby Auto Group Assists Local Health Community With 
        Fleet Of RVs (Vehicle donation)

   (4/13): Vomela Specialty Company Produces Face Shields In 
        Response To COVID-19

   (4/6): Life Industries Corporation Increases Production Of 
        Sanitizing Solution During COVID-19 Crisis

   (4/5): Donated RV Used For Social Distancing For Beloit 
        Firefighters (Vehicle donation)

   (4/3): Xtreme Outdoors Donates Masks To New York Facility

   (4/1): Grand Design Gives 1,000 Masks To Beacon Health

   (3/31): Lance Camper Donates Personal Protection Equipment

   (3/31): Winnebago Manufactures Medical Masks For Healthcare 
        Workers

   (3/31): THOR Industries Donates Personal Protective 
        Equipment

   (3/31): Lippert Components Manufacturing Medical Supplies

   (3/31): Heartland RV Donates Critical Supplies To Beacon 
        Health System

   (3/31): SylvanSport Manufactures Personal Protective 
        Equipment

   (3/31): Jayco Donates Toy Haulers To Mobile COVID-19 Clinics 
        (Vehicle donation)

   (3/27): Trailer Valet Offers Product To Meet RV Industry's 
        Commitment During the COVID-19 Crisis (Equipment donation)
Subaru
   (4/16): Subaru of America partners with Feeding America to 
        help provide 50 million meals to help fight effects of Covid-19 
        pandemic

   (3/24): Automakers Step Up to Challenge of Helping in 
        Coronavirus Pandemic (PPE donation)

   (3/31): Working Together: Subaru of Indiana donates supplies 
        to Lafayette firefighters (PPE donation)
SiriusXM
   (4/29) SiriusXM extends free access to the SiriusXM app 
        through May 31

   (4/10) MusiCares' Coronavirus Relief Fund Passes $10 Million 
        in Donations (Monetary donation)

   (3/31) SiriusXM offers free access to the SiriusXM app as 
        coronavirus pandemic continue

   (3/24) SiriusXM joins MusiCares and The Recording Academy in 
        support of the COVID-19 Relief Fund (Monetary donation)

   (3/6) SiriusXM, in conjunction with NYU Langone Health, 
        launches a special 24/7 channel dedicated to providing the 
        public with the latest information on coronavirus
Suzuki
   (5/13) Suzuki has implemented home (or office) delivery 
        support efforts and has extended incentives for first responder 
        purchases
Texas Instruments
   TI's response to COVID-19 (Monetary donations, PPE 
        production)

   (5/12): Helping our customers in the fight against COVID-19 
        is personal for TIers (Medical technology development)

   (5/8): TI's Response to COVID-19: We Are Here for You 
        (Software donations, virtual teacher support)

   (5/5) Software, supplies and support: How we are caring for 
        our communities during COVID-19 (Donations, volunteering)

   (5/4) Texas Instruments Foundation donates millions to 
        United Way of Metropolitan Dallas

   (4/16) Kimberly-Clark Foundation and the Falk Family Donate 
        $1M to United Way Covid-19 Fund (Monetary donation)

   (4/15) Texas Instruments Tweet (Charitable work)
Toyota
   (5/11): Toyota donates vehicles and funds to address 
        critical mobility needs in Washtenaw county and support COVID-
        19 local relief efforts

   (5/5): Toyota USA Foundation builds upon company's ongoing 
        COVID-19 relief efforts

   (4/22): How Toyota Financial Services is Tackling COVID-19 
        (Customer financial support)

   Toyota's response to COVID-19: Monetary and In-kind 
        Donations (monetary and in-kind donations)

   (4/22): Toyota Kentucky mass producing face shields for 
        COVID-19 response

   (4/17): Toyota helping during COVID-19 pandemic (PPE 
        production)

   (4/17): Toyota Innovation TILTS With COVID-19 (PPE donation)

   (3/30): Toyota Tackles the COVID-19 Crisis With Money, 
        Manufacturing, and Customer Support

   (3/27): Toyota Shifts Factories to Face Shields, Will Help 
        Device Makers

   (3/27): We Are Here For You! Toyota's Response to the COVID-
        19 Crisis (PPE production)

   (3/25): Toyota Dealership Provides School Lunches for 
        Alabama Communities Amid COVID-19

   (3/24): Toyota Donates $500,000 To The United Way For COVID-
        19 Emergency Relief Needs
Volkswagen
   (5/27): How the Volkswagen Group's worldwide logistics teams 
        help fight COVID-19 (PPE production, logistics support)

   (5/13): Audi extends warranty coverage

   (4/13): The Volkswagen Community-Driven Promise (Vehicle 
        donation and customer financial support)

   (4/16): Volkswagen drives bigger to fight the COVID-19 
        outbreak (PPE donation, customer financial support, vehicle 
        donation)

   (4/13): Volkswagen to aid U.S. dealers supporting 
        coronavirus relief efforts (charitable work and vehicle 
        donation)

   (4/3): Volkswagen and Faurecia Delivering Personal 
        Protective Equipment to New York City Javits Center and Area 
        Hospitals
Volvo
   Protecting those who protect us (PPE production, vehicle 
        donation)

   (4/17): Volvo Tweet (PPE production)

   (4/15): A message from Volvo Cars Corporate Communications 
        (Vehicle donation)
                                 ______
                                 
                      National Association of Manufacturers
                                       Washington, DC, June 3, 2020
Hon. Roger Wicker,
Chairman,
Committee on Commerce, Science, and Transportation,
United States Senate,
Washington, DC.

Hon. Maria Cantwell,
Ranking Member,
Committee on Commerce, Science, and Transportation,
United States Senate,
Washington, DC.

Dear Chairman Wicker and Ranking Member Cantwell:

    During the COVID-19 pandemic, manufacturers in America continue 
operating while doing everything possible to ensure the health and 
safety of millions of employees, their families and their communities. 
The country is depending on the many products we make--from equipment 
and vehicles needed for our Nation's first responders to items that may 
not seem critical but are integral to the supply chain and necessary 
during these uncertain times. Manufacturers' ongoing response efforts 
depend on our Nation's infrastructure system, and bold action to invest 
in and modernize our infrastructure can advance the next steps of 
recovery and renewal.
    The National Association of Manufacturers appreciates the 
committee's focus on the impact of COVID-19 on surface transportation 
and the supply chain with the hearing on ``The State of Transportation 
and Critical Infrastructure: Examining the Impact of the COVID-19 
Pandemic.'' Transportation and logistics partners across the 
manufacturing supply chain went into overdrive to provide our sector 
with the capabilities to meet the immediate challenges posed by COVID-
19. These partners enabled industry's efforts to increase production, 
retool supply chains and adapt to quickly evolving circumstances to get 
critical supplies to the parts of the country that needed them most.
    As we begin to enter the next phases of the COVID-19 era, the 
consequences and serious risks of our aging infrastructure system that 
existed prior to COVID-19 remain. We have continued to depend on the 
20th-century investments of the last generation, and manufacturers' 
ability to compete and grow requires 21st-century infrastructure that 
is second to none. Infrastructure investment today is only onethird of 
what it was in 1960 in terms of percent of GDP. Continued 
underinvestment in infrastructure is a challenge for manufacturers' 
productivity, as we advance to rely on complex supply chains and just-
intime principles where parts are ordered, made and delivered, 
sometimes within hours.
    The NAM's ``Building to Win'' plan is our infrastructure blueprint. 
It calls for bipartisan action to deliver modern transportation, 
energy, broadband and water infrastructure to meet the demands of 
today's economy. In ``Building to Win,'' manufacturers outline bold 
Federal solutions and offer multiple funding options. We first shared 
this plan with you in 2016, and we released an updated version of this 
plan last year to guide the ongoing infrastructure discussion debates 
and actions.

        The NAM's recent ``American Renewal Action Plan'' is our policy 
        guide for the Nation's response, recovery and renewal as we 
        continue to fight the COVID-19 pandemic, and it incorporates 
        our longtime call for infrastructure action from Congress. For 
        long-term renewal, the plan calls for bold actions that set the 
        stage for long-term growth, including historic investment in 
        our Nation's infrastructure. The plan states:

        Even before the crisis, America desperately needed bold 
        infrastructure investment. Now, building a 21st-century 
        infrastructure system will not only provide urgently needed 
        jobs but also lay the foundation for a more competitive 
        economy:

        Congress should approve historic investment of at least $1 
        trillion in our nation's infrastructure that aligns with the 
        NAM's ``Building to Win'' blueprint, which calls for upgrades 
        to our transportation, water, energy and digital infrastructure 
        systems.

    A targeted, substantial investment in modernizing our Nation's 
infrastructure would create jobs, boost economic growth, save lives and 
help secure America's mantle of economic leadership in the world. We 
look forward to working with this committee to advance infrastructure 
measures that meet these shared goals and best position the next 
generation of manufacturers and communities.
            Sincerely,
                                          Robyn Boerstling,
                                                    Vice President,
             Infrastructure, Innovation and Human Resources Policy.
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]

                                 ______
                                 
              Intelligent Transportation Society of America
                                                       June 3, 2020

Hon. Roger Wicker,
Chairman,
Commerce, Science, and Transportation Committee,
United States Senate,
Washington, DC.

Hon. Maria Cantwell,
Ranking Member,
Commerce, Science, and Transportation Committee,
United States Senate
Washington, DC.

Dear Chairman Wicker and Ranking Member Cantwell:

    In anticipation of the Committee on Commerce, Science, and 
Transportation's hearing today entitled ``The State of Transportation 
and Critical Infrastructure: Examining the Impact of the COVID-19 
Pandemic,'' the Intelligent Transportation Society of America (ITS 
America) writes to emphasize that in this unprecedented time, 
transportation technologies that address congestion, safety, and 
touchless transportation are being deployed in new and unforeseen ways 
to slow the spread of COVID-19, reinforce logistics and supply chains, 
and improve system performance as the American economy begins to 
reopen. As a result, ITS America supports policies in the 
reauthorization of the Fixing America's Surface Transportation (FAST) 
Act and a potential infrastructure bill that significantly increase 
investments in research, development, and deployment of technologies to 
make our transportation system safer and more resilient.
    We also know that more assistance is urgently needed to ensure that 
state, city, and county departments of transportation, transit 
agencies, and public tolling authorities can keep the Nation's 
transportation systems moving safely, especially as the country begins 
to reopen from the coronavirus pandemic without a vaccine but with a 
focus on protecting public health. With that in mind, we urge Congress 
and the Administration to provide flexible funding to offset the 
revenue losses at state and local departments of transportation, 
transit agencies, and public tolling authorities. State and local 
governments also require flexible Federal funding to deploy lifesaving 
technologies that better protect pedestrians and cyclists and 
accelerate the deployment of biking, scootering, and walking 
infrastructure as communities pedestrianize streets to make it easier 
for people to get around while socially distancing.
    We know that we cannot simply return to the transportation 
priorities that preceded the pandemic. COVID-19 has impacted every 
sector of the transportation industry. The ability of states and cities 
to revive their battered economies will depend on a safe transportation 
system. With this in mind, we urge Congress to provide states, cities, 
counties, transit agencies, and public authorities flexibility with 
Federal funds to deploy technology to stop the spread of COVID-19, 
including funding for contactless payment systems and technologies that 
protect transit workers and passengers and Mobility on Demand services 
and programs such as micromobility, ridesourcing, and microtransit to 
connect vulnerable communities to health care and work. States and 
local governments have seen reductions in greenhouse gases during the 
stay at home orders, which will result in better health and 
environmental outcomes. ITS America urges Congress and the 
Administration to help states and local governments maintain lower 
greenhouse gases by providing investments to support vehicle 
electrification, including vehicle infrastructure, e-cargo cycling, and 
micromobility.
    The following are a few examples of how our members are deploying 
safety, congestion mitigation, and touchless transportation technology 
as the country moves from the public health emergency to the reopening 
of the Nation's economy.
Safety Technologies
    The Port Authority of New York and New Jersey hopes to pilot a 
technology originally designed for reducing Hospital Acquired 
Infections. Using ultraviolet light, the device creates hydrogen 
peroxide out of the surrounding air, which then seeks and destroys 
microbes in the air and on surfaces. The technology developers claim a 
99.96 percent kill rate. It is an equipment-only solution (no chemicals 
required), so it is appealing from an ease-of-use perspective.
    Cubic GRIDSMART can perform unique, advanced functionality to 
protect vulnerable road users, including bicyclists and pedestrians. 
GRIDSMART's enhanced features can detect bicyclists in the middle of 
intersections as well as pedestrians in crosswalks. This detection 
capability can be used to retime traffic signals ``on the fly'' to 
minimize conflicts with vulnerable users and allow extended clearance 
intervals for these users to exit intersections.
    PrePass Safety Alliance's weigh station bypass and electronic 
tolling systems allow trucks delivering essential supplies to safely 
bypass inspection, weigh station, and toll facilities at highway 
speeds. PrePass technology helps keep drivers and toll facility and 
state agency personnel safe by reducing the need for person-to-person 
interaction. Qualified carriers equipped with PrePass RFID transponders 
or cellular connected devices are precleared for bypass and toll 
payments are processed electronically, keeping trucks on the road and 
on time. PrePass driver safety ALERTSTM also keep drivers 
informed of rest area closures, helping them find a safe place to rest 
during extended driving hours.
    BLYNCSY traffic sensor technology has been adapted to provide 
contact tracing at universities and government buildings with the 
ability to cover 98 percent of people in those facilities and can be 
operational within a week.
Congestion Mitigation Technologies
    The Regional Transportation Commission (RTC) of Southern Nevada is 
using predictive analytics to improve safety and efficiency on 
freeways, including key freight corridors and major arterials, by 
compiling and analyzing data to report in real-time the location of 
accidents and predict where dangerous driving conditions or congestion 
may occur. This technology enables faster validation and response to 
roadway incidents as well as more efficient use of resources to 
proactively deploy traffic patrols and abatement efforts with the goal 
of preventing incidents. Using historic and real-time data from freeway 
sensors, connected vehicles, and other sources, predictive analytics 
helps anticipate where congestion hot spots are likely to occur up to 
two hours in advance. More importantly, a tangential benefit has been 
RTC's ability to recognize and respond to incidents up to 12 minutes 
faster than before.
    Iteris is helping states and cities monitor speed, volume, delay, 
and congestion experienced by travelers of all modes as they navigate 
the impacts of the pandemic on mobility and safety on roadways. 
ClearGuideTM helps make the best traffic operations and 
planning decisions in an intuitive and easy-to-use interface. The 
technology analyzes large amounts of complex transportation data to 
produce real-time and historical visualizations that help identify 
problem areas before traffic congestion worsens.
    Cubic Transportation Systems' SynchroGreen is an adaptive signal 
control component of Trafficware's ATMS platform, a field-proven 
software solution that reduces motorist travel time, delays, and stops. 
Used in states like Texas and Florida, this technology continuously 
assesses both current and predictive traffic trends for all phases of 
intersection movements within a traffic network, determining the 
optimal signal settings. It allocates time for each vehicle and 
pedestrian phase in real time as well as accommodates roadway incidents 
and events on-the-fly, adjusting signal timing as necessary to restore 
smooth traffic flows.
Touchless Technologies
    Due to the recent COVID-19 pandemic, and in an effort to keep the 
Michigan Department of Transportation (MDOT) Transportation Operations 
Center (TOC) staff and public safe, two of MDOT's largest TOC's--the 
Statewide TOC (STOC) in Lansing and the Southeast Michigan TOC (SEMTOC) 
in Detroit--moved to a virtual setup, with decisions being made and 
implemented within 48 hours at the beginning of April and the end of 
March, respectively. While there were early challenges, MDOT was able 
to maintain all TOC service with little to no impact because much of 
the planning for transitioning to virtual TOC's was done well in 
advance of the pandemic. MDOT's ATMS system, which allows MDOT to run 
all of its TOC's and ITS devices, is web-based and allows users to 
remotely login into the state's network though a VPN. This allows TOC's 
to be flexible by assisting one another during peak traffic periods or 
allows TOC's to temporarily relocate due to unforeseen events. In 
addition, MDOT has been testing laptops for operational purposes to 
replace aging desktops and allow for more mobile operations, which 
gives both TOC's enough computers for each operator. MDOT also has a 
large supply of Freeway Courtesy Patrol Radios, which equips each 
operator with his/her own radio in the field and saves time. 
Communication among TOC staff was a primary concern early on, but the 
use of Microsoft Teams quickly mitigated these concerns.
    While the Committee on Commerce, Science, and Transportation does 
not have jurisdiction of transit programs, we want to highlight two 
examples of how ITS America members are using touchless technology to 
protect both riders and employees.
    The Central Ohio Transit Authority (COTA) is and will be 
implementing a wide range of technologies to protect its riders and 
employees. These technologies include a contactless payment system, 
driver safety barriers, employee temperature screening, state-of-the-
art disinfecting techniques, and new on-demand routing schemes. COTA 
will continue to explore other emerging technologies that support safe 
and secure transit.
    In May 2019, Uber launched its first mobile ticketing collaboration 
with Denver's Regional Transportation District (RTD) and expanded in 
January 2020 to Las Vegas' Regional Transportation Commission (RTC). 
With the tap of a few buttons, transit riders in these two cities can 
plan end-to-end journeys and pay for their bus or train ride in the 
Uber app on their mobile device. This technology allows riders to 
quickly purchase fares without needing to handle cash, have exact 
change, or use a separate fare vending machine, which results in a more 
seamless and convenient transit ride with zero public touch points.
    As the trade association representing stakeholders across the 
transportation sector, including state, city, and county departments of 
transportation, metropolitan planning organizations, automotive 
manufacturers and suppliers, technology companies, engineering firms, 
and research universities, ITS America expresses our strong support for 
the actions taken by Congress and the Administration to minimize the 
impact of COVID-19 on the American economy, the transportation system, 
the traveling public, and transportation workers, and their families.
            Sincerely,
                                             Shailen Bhatt,
                                                 President and CEO,
                     The Intelligent Transportation Society of America.

cc:
The Honorable Marsha Blackburn (R-TN)
The Honorable Roy Blunt (R-MO)
The Honorable Shelley Moore Capito (R-WV)
The Honorable Deb Fischer (R-NE)
The Honorable Cory Gardner (R-CO)
The Honorable Ron Johnson (R-WI)
The Honorable Mike Lee (R-UT)
The Honorable Jerry Moran (R-KS)
The Honorable Rick Scott (R-FL)
The Honorable Dan Sullivan (R-AK)
The Honorable John Thune (R-SD)
The Honorable Todd Young (R-IN)
The Honorable Tammy Baldwin (D-WI)
The Honorable Richard Blumenthal (D-CT)
The Honorable Tammy Duckworth (D-IL)
The Honorable Amy Klobuchar (D-MN)
The Honorable Ed Markey (D-MA)
The Honorable Gary Peters (D-MI)
The Honorable Jacky Rosen (D-NV)
The Honorable Brian Schatz (D-HI)
The Honorable Kyrsten Sinema (D-AZ)
The Honorable Jon Tester (D-MT)
The Honorable Tom Udall (D-NM)
Ron Thaniel, Vice President of Legislative Affairs, ITS America, 
[email protected]
                                 ______
                                 
                Motor & Equipment Manufacturers Association
                                       Washington, DC, June 3, 2020

Hon. Roger Wicker,
Chairman,
Committee on Commerce, Science, and Transportation,
U.S. Senate,
Washington, DC.

Hon. Maria Cantwell,
Ranking Member,
Committee on Commerce, Science, and Transportation,
U.S. Senate,
Washington, DC.

RE: Letter for the Record--``The State of Transportation and Critical 
            Infrastructure: Examining the Impact of the COVID-19 
            Pandemic''

Dear Chairman Wicker and Ranking Member Cantwell:

    The Motor & Equipment Manufacturers Association (MEMA) is the 
leading trade association representing U.S. motor vehicle parts 
suppliers. These companies manufacture and remanufacture components, 
technologies, and systems for use in passenger vehicles and heavy 
trucks. In total, vehicle parts manufacturers represent the largest 
sector of manufacturing jobs in the United States, directly employing 
over 871,000 Americans in all 50 states and generating 2.4 percent of 
U.S. GDP.\1\ On behalf of this industry, I respectfully submit this 
letter for the record to the Committee summarizing the state of the 
motor vehicle supplier industry and the impact of COVID-19.
---------------------------------------------------------------------------
    \1\ MEMA represents its members through four divisions: Automotive 
Aftermarket Suppliers Association (AASA); Heavy Duty Manufacturers 
Association (HDMA); MERA, The Association for Sustainable 
Manufacturing, and Original Equipment Suppliers Association (OESA). 
Suppliers are the largest employers of manufacturing jobs in the United 
States, directly employing over 871,000 workers with a total employment 
impact of 4.2 million jobs.
---------------------------------------------------------------------------
    MEMA applauds your leadership in holding this hearing. Motor 
vehicle parts suppliers have been dramatically impacted by the COVID-19 
global pandemic. With over 1,000 company members with facilities in all 
50 states, MEMA represents suppliers who support the economies in 
communities across the nation, and the impact of the pandemic on our 
industry resonates throughout the country.
    The supplier industry is interdependent, making it impossible to 
separate the economic success of a supplier from its customer, whether 
that customer is a passenger car manufacturer, a truck manufacturer, or 
aftermarket distributor, or retailor. In addition to this economic 
interdependence, the industry is also made up of a complex supply 
chain, with each tier critically important to the industry's ability to 
manufacture vehicles. Past disruptions to the supply chain, whether a 
result of a factory fire or natural disaster, for example, have led to 
temporary closures of supplier facilities and vehicle assembly plants. 
These closures demonstrate the integration within the industry and the 
potential domino effect of even a few suppliers facing insolvency.
    At the same time, this industry is facing a time of new, dynamic 
technical advances, such as advanced driver-assistance systems (ADAS), 
automated vehicle technologies, advanced fuel efficiency technologies, 
and cybersecurity measures to protect motorists. The supplier industry 
in the United States has been a leader in developing and testing 
technologies that meet these important demands. Since suppliers are 
responsible for two-thirds of the value of a new vehicle, the 
deployment and commercialization of these technologies are dependent on 
the health of the supplier industry. Continuing to provide the U.S. 
consumer with increasingly cleaner, safer vehicles will require 
extensive, long-term financial commitments from the entire industry. If 
the supplier industry falters or fails, the entire automotive industry 
will suffer, ultimately harming the competitiveness of the U.S. 
automotive industry.
    As the country slowly and safely begins reopening, MEMA welcomes 
the opportunity to share with the Committee the needs of the supplier 
industry and the challenges currently faced by our member companies.
I. Supplier Response to Immediate Needs to Address Health Crisis
    In many ways, motor vehicle parts manufacturers are solution 
providers. Typically, these companies seek solutions to challenges, 
such as vehicle safety, repair needs, or emissions. During the COVID-19 
pandemic, suppliers were able to quickly pivot normal operations to 
manufacturing critically needed supplies. These efforts have been 
focused on addressing the immediate medical and public health crisis 
facing the U.S. Suppliers and their employees used their skills, know-
how, and compassion to assist in a time of need.
    Companies all over the country are taking part in the response 
effort. For example, many suppliers have used 3D printing technology 
and other manufacturing processes to make plastic face masks and 
shields. Other companies have manufactured plexiglass patient 
enclosures. These shields, masks, and enclosures have been donated to 
hospitals and clinics, protecting front line workers who are treating 
and testing patients. Companies have also created open-source plans for 
3D-printed and injection molded face shields.
    Suppliers have significant purchasing power, the ability to 
manufacture in large quantities, and expertise in efficient, lean 
manufacturing practices. In many instances, companies are able to 
leverage their talents to assist medical device manufacturers improve 
efficiency to meet increased demand on large production lines that have 
not experienced this type of demand previously.
    Companies with expertise in chemical manufacturing have been able 
to produce hand sanitizer and disinfectant for employee and facility 
use as well as providing supplies to local hospitals. Similar companies 
with skills in packaging have aided in limiting packaging shortages, 
ensuring that these products remain available for medical and personal 
use.
    Logistics experts and member companies with purchasing expertise 
and shipping capabilities have been able to leverage those skills to 
assist in acquiring and delivering critical medical equipment, PPE, and 
other necessary supplies to areas of the country hit hardest by the 
virus. In several instances, these efforts have been coordinated with 
state agencies.
    The independent aftermarket has played a large role in providing 
timely products for maintenance and repair of emergency vehicles and 
the personal vehicles of first responders and frontline workers. 
Aftermarket suppliers have worked with independent repair shops to 
provide necessary parts for repair and maintenance services to 
emergency personnel. Suppliers shipping parts and equipment to repair 
facilities rely on a fleet of essential workers, such as truck drivers 
and warehouse workers. These combined efforts have ensured that first 
responders and frontline workers are able to get to their jobs or to 
patients.
    Other suppliers have worked within their communities to help 
address the economic crisis facing many families and individuals since 
states began implementing shelter in place orders. These efforts have 
included donations to charities, food banks, and food pantries in their 
communities to help Americans who have lost their jobs.
    As a trade association, MEMA's Original Equipment Suppliers 
Association (OESA) worked closely with the Alliance for Automotive 
Innovation to create ``Health and Safety Resources for Suppliers in a 
Coronavirus Environment.'' \2\ These resources were developed and 
supported collectively by several large tier one suppliers and vehicle 
manufacturers to help protect the safety of employees and visitors on 
the premises of supplier facilities as it relates to the coronavirus. 
Recommended practices in the document include guidance from the Centers 
for Disease Control and Prevention (CDC), the World Health Organization 
(WHO), and the Occupational Safety and Health Administration (OSHA).
---------------------------------------------------------------------------
    \2\ https://www.oesa.org/health-and-safety-resources-suppliers-
coronavirus-environment
---------------------------------------------------------------------------
II. Liquidity and Financial Needs of Industry
    Motor vehicle parts manufacturers are the linchpin of U.S. vehicle 
manufacturing. As vehicle manufacturing shuttered across the United 
States, motor vehicle suppliers also limited or closed operations. Each 
supplier represents jobs, financial stability, and the critical bridge 
for the entire industry. The failure of a single supplier could impact 
vehicle production throughout the country and the continued viability 
of the industry, both present and future, depends on the health of the 
supplier industry.
    While there are many large suppliers with operations in the U.S., 
two-thirds of the industry's employment is generated by small and mid-
sized manufacturers.\3\ These small and mid-sized manufacturers are 
often U.S.-based, family-owned companies with limited financial 
resources to meet the growing needs generated by this unforeseen 
crisis. Without these entities, communities and states throughout the 
country will lose major employers and contributors to the long-term 
employment and economic well-being of the entire nation. Furthermore, 
the financial viability of the entire automotive industry is dependent 
on these suppliers
---------------------------------------------------------------------------
    \3\ https://www.mema.org/sites/default/files/MEMA_ImpactBook.pdf
---------------------------------------------------------------------------
    Parts suppliers usually receive payment from auto manufacturers 45 
days after the delivery of goods. As you know, auto production has been 
at a stand-still since late March, with operations only recently re-
opening. Most suppliers have not had receivables since early May and 
will not have new receivables for at least the next six weeks. This 
leaves suppliers with no access to capital for start-up costs.
    Most small and mid-sized manufacturers were not eligible for PPP 
funding and have been unable to receive financing through traditional 
means. A recent industry survey indicated that 15-20 percent of the 
supplier respondents have eight weeks or fewer before declaring 
insolvency. Private funds will not be available to companies about to 
become insolvent, creating the need for government guarantees.
    As vehicle manufacturing resumes, these suppliers will have little 
ability to raise capital to pay for wages, raw materials, or other 
start-up costs, hampering the ability for vehicle manufacturing to 
return to this country. The current projections for supplier solvency 
assume a specific level of business recovery. If recovery is delayed or 
slowed, the number of companies facing financial insolvency will 
increase significantly.
    Auto manufacturing needs a healthy and functioning supply base to 
efficiently restart manufacturing. Although current programs under the 
CARES Act have provided critical assistance for the retention of 
employees, additional funds must be targeted for the purchase of raw 
materials and other critical costs. MEMA has joined with members of the 
Michigan delegation in urging the Trump administration to set aside 
necessary capital from the Main Street Lending Program to create just 
such a fund. We are anxious to work with all parties to seek this 
funding. Our continued viability as an industry depends on it.
III. Challenges Presented by Complex North American Supply Chain 
        (Mexico)
    The North American supply chain is critical to the current and 
future success of operations in the United States. Just like the United 
States, Canada and Mexico have struggled to re-open manufacturing 
operations. Recently, Mexico declared vehicle manufacturing an 
essential industry, yet suppliers throughout that country have been 
unable to receive the necessary government approvals to operate. This 
limits the ability of U.S. operations to resume production.
    MEMA understands the public health issues facing Mexico, and we 
have been proud to assist in the manufacture of personal protective 
equipment (PPE) and components and parts for ventilators and other 
essential medical devices in Mexico and across North America. Through 
MEMA's Original Equipment Suppliers Association division, (OESA), we 
have worked directly with automakers to develop recommended health and 
safety resources for all suppliers. Many of our members have done 
likewise. These resources are based on CDC guidance and World Health 
Organization publications and cover fundamental topics of workplace 
safety: education and communication, prescreening of personnel, social 
distancing, cleaning and sanitizing protocols, and other necessary 
steps. The industry continues to work relentlessly to plan for the 
return of our workforce in Mexico and the safe opening of facilities 
throughout the country.
    We urge this Committee to work closely with the Trump 
administration to create a North American system that mirrors the CISA 
Guidance. We believe we must take this opportunity to reflect and act 
on our current challenges and limit the likelihood of repetition in the 
future.
IV. Needs for Future Investments (R&D, Reshoring)
    The motor vehicle manufacturer and supplier industries are leaders 
in the research and development of advanced vehicle technologies 
critical to manufacturing today's vehicles and creating the next 
generation of vehicles. Suppliers have long worked to develop 
technologies that improve vehicle performance, safety, and fuel 
efficiency through a variety of advanced components and systems. In 
fact, suppliers account for as much as 70 percent of the value of a 
motor vehicle.
    These investments have led to the U.S. continuing to lead the world 
in advanced vehicle technology manufacturing. The future of these 
investments is at risk as the economic health and vitality are in 
turmoil.
    Investment in innovation relies on a predictable funding stream. 
Operating margins within the supplier industry are slim. At the same 
time, research and development for technologies, such as those 
necessary for AVs, require significant capital investment. Uncertain or 
lost income, such as that experienced by suppliers since late March, 
puts the future of these investments at risk.
    We urge the Committee to work with us to find solutions to allow 
the U.S. to remain a global leader in the development and deployment of 
advanced vehicle technologies. Federal efforts, such as the creation of 
a new tax credit or a mechanism to support the onshoring of 
manufacturing activities, such as moving operations to the U.S., 
investing in capital equipment, to support the purchase of property or 
facilities, investing in research and development, and more, will be 
essential to reestablishing these domestic investments and ensuring 
continued U.S. innovation.
V. Incentives to Spur Demand
    Our future success will depend on production and vehicle sales. 
While we are not asking Congress to address this at this time, economic 
stimulus may become necessary in the future. Steps Congress could take 
include providing the American consumer an incentive to purchase a 
vehicle. As Congress considers future options, any economic stimulus 
program must be accessible to all citizens, no matter their economic 
circumstances. Therefore, any incentive program should not be based on 
vehicle scrappage or even a vehicle trade-in. In this regard, we would 
urge Congress to consider providing a scaled incentive to consumers who 
buy a used vehicle. We look forward to working with the Committee on 
these issues.
VI. Conclusion
    The ability of the U.S. economy to rebound from the impacts of 
COVID-19 will rely on a number of factors, including the response of 
the Federal government. Congress has taken significant steps to support 
the economy since mid-March, including passing the CARES Act. The 
ability of this country to develop and implement new vehicle 
technologies is dependent on the success of suppliers.
    MEMA welcomes the opportunity to discuss this with the Committee. 
Should you have questions or concerns, please contact Ann Wilson, 
senior vice president, government affairs at [email protected] or 202-
320-7293 or Catherine Boland, vice president, legislative affairs at 
[email protected] or 301-509-2791.
            Sincerely,
                                                 Bill Long,
                                                 President and CEO.
                                 ______
                                 
                  National Stone, Sand & Gravel Association
                                       Alexandria, VA, June 3, 2020

Hon. Roger Wicker,
Chairman of the Senate Committee Commerce, Science, and Transportation,
Washington, DC.

Hon. Maria Cantwell,
Ranking Member on the Senate Committee Commerce, Science, and 
Transportation,
Washington, DC.

Dear Chairman Wicker and Ranking Member Cantwell,

    On behalf of the over 400-member companies of the National Stone, 
Sand, & Gravel Association (NSSGA), I welcome the Commerce Committee's 
hearing today titled The State of Transportation and Critical 
Infrastructure: Examining the Impact of the COVID-19 Pandemic. As you 
know, a strong and efficient supply chain is necessary for a 
competitive national economy. Given the recent COVID-19 pandemic and 
subsequent economic downturn, your committee's focus regarding our 
national supply chain and critical infrastructure is vital as 
businesses reopen and resume normal operations.
    NSSGA is the leading advocate and resource for the aggregates 
industry, who provide the critical raw materials found in virtually 
every surface transportation project, including roads, highways, 
bridges, runways, pipelines and much more. Our membership represents 
more than 90 percent of the crushed stone and 70 percent of the sand 
and gravel produced annually in the United States. Further, aggregate 
producers are at the beginning of the construction supply chain, and 
the efficiency that our members can achieve through its supply chain 
networks has a direct impact on various industries down the supply 
chain, like contractors, home builders and road pavers.
    Because of the nature and weight of materials NSSGA members 
transport, many in our industry move aggregate products via truck, the 
most popular mode of freight transportation. While your committee 
examines relevant policies that advances trucking efficiency and 
safety, NSSGA supports the recent Federal Motor Carrier Safety 
Administration (FMCSA)'s new Hours-ofService (HOS) rule. The HOS rule 
harmonizes the on-duty operations of long-haul and short-haul truckers 
from 12 to 14 hours, expands the short-haul exemption from 100 to 150 
air miles and broadens the situations covered by ``adverse 
conditions''.
    While we support FMCSA's new HOS rule, we do encourage Congress to 
support a clear, uniform HOS exemption for thousands of companies 
involved in construction. Many construction companies must manage 
various trucks, raw materials, operations and routes at a single 
construction site and following compliance protocol is increasingly 
difficult. Despite FMCSA's recognition and effort to provide certain 
HOS exemptions for the construction industry, companies continue to 
have difficulty adhering to certain exemptions for either the vehicles 
they operate, the materials they transport, the drivers the employ or 
the routes utilized for a certain jobsite. Currently, FMCSA has granted 
or has pending HOS requests with multiple construction industry 
associations, but narrow and individualized requests have resulted in 
misunderstanding among company management, drivers and law enforcement 
officials, all of whom must deal with daily compliance despite the 
variability previously described.
    Aside from improving enforcement and ensuring the industry is 
better educated regarding HOS exemption, a uniform construction HOS 
exemption would also minimize the operation of highway and road work 
zones, where workers are exposed to traffic while critical paving and 
road refurbishment is conducted. A uniform HOS exemption would ensure 
that road work zones operate more efficiently, allowing a project's 
schedule to move expeditiously versus the current schedules. Currently, 
vehicles needed for project completion must wait or adhere to certain 
HOS rules, even in cases where a truck is only moving a few miles.
    I appreciate your committee's leadership on this issue and 
continued work examining our national supply chain. As you continue to 
examine these issues and others related to trucking policy, please 
consider NSSGA as a resource.
            Sincerely,
                                        Michael W. Johnson,
                                                 President and CEO,
                           National Stone, Sand and Gravel Association.
cc: Members of the Senate Commerce, Science and Transportation 
Committee
                                 ______
                                 
Prepared Statement of Catherine Chase, President, Advocates for Highway 
                            and Auto Safety
Introduction
    Advocates for Highway and Auto Safety (Advocates) is a coalition of 
public health, safety, law enforcement and consumer organizations, 
insurers and insurance agents that promotes highway and auto safety 
through the adoption of Federal and state laws, policies and 
regulations. Advocates is unique both in its board composition and its 
mission of advancing safer vehicles, safer motorists and road users, 
and safer infrastructure. We thank the Committee for holding this 
important hearing and respectfully request that this statement be 
included in the hearing record.
    The carnage and expense borne from crashes on our roadways are 
unacceptable. Newly released estimates from the United States 
Department of Transportation (U.S. DOT) show that in 2019, 36,120 
people were killed in traffic crashes.\1\ This represents a slight 
decrease from 2018, during which 36,560 people were killed and 2.7 
million people were injured in motor vehicle crashes.\2\ Moreover, 
crashes impose a financial toll of well over $800 billion in total 
costs to society and $242 billion in direct economic costs, equivalent 
to a ``crash tax'' of $784 on every American.\3\
---------------------------------------------------------------------------
    \1\ National Center for Statistics and Analysis. (2020, May). Early 
estimate of motor vehicle traffic fatalities for 2019 
(CrashStats Brief Statistical Summary. Report No. DOT HS 812 
946). National Highway Traffic Safety Administration.
    \2\ Statistics are from the U.S. Department of Transportation 
unless otherwise noted.
    \3\ ``The Economic and Societal Impact of Motor Vehicle Crashes, 
2010,'' NHTSA (2015).
---------------------------------------------------------------------------
    Fatal truck crashes continue to occur at an alarmingly high rate. 
In 2018, the number of individuals killed in crashes involving a large 
truck increased to 4,951. With the exception of 2014, the number of 
fatalities in crashes involving large trucks has been steadily on the 
rise since 2003. Since that time, the number of fatalities in large 
truck crashes has increased by 46 percent. In addition, despite an 
estimated decrease of approximately one percent in overall crash deaths 
in 2019, fatal crashes involving large trucks are estimated to have 
increased once again, the fifth year-to-year increase. Although we are 
not in ordinary times, our Nation remains dependent on trucking to 
provide goods and supplies. Advocates continues to be supportive of and 
grateful for truck drivers' personal sacrifices and commitment to 
accomplishing their job safely. Improving the level of safety on the 
roadways for truck drivers and all motorists sharing the roadways with 
them must be prioritized. Most certainly, current truck safety 
regulations should not be further eroded.
    The COVID-19 pandemic has brought about unprecedented public health 
and economic hardship and its effects have been felt by all sectors of 
society, including transportation. Advocates recognizes the unique 
challenges this has posed for the automotive and trucking industries 
and commends their contributions to the relief efforts. While it may be 
some time before we know the full brunt of the impacts, early reports 
and data have shown that while overall vehicle miles traveled (VMT) may 
be down, dangerous behavior like speeding and reckless driving are on 
the rise. As reported by The Washington Post on May 11, 2020 in the 
article, ``The coronavirus pandemic emptied America's roadways. Now 
speeders have taken over,'' ``'The trend is very concerning,' said 
Catherine Chase, president of Advocates for Highway and Auto Safety. 
`At a time of national crisis, drivers should not be turning our 
roadways into racetracks.' '' \4\ A local Mississippi ABC affiliate, 
WAPT 16, reported on this issue on May 21, 2020 with the story ``MHP 
says extreme speeding has increased across the state.'' \5\ Similar 
reports from Washington State were detailed in an April 18, 2020 
article in The Columbian, ``Officials: Traffic is down, speeding is up 
in Clark County.'' \6\
---------------------------------------------------------------------------
    \4\ Luz Lazo, ``The coronavirus pandemic emptied America's 
roadways. Now speeders have taken over.'' Wash. Post (May 11, 2020).
    \5\ Marcus Hunter, MHP says extreme seeding has increased across 
the state, WAPT News (May 21, 2020).
    \6\ Jerzy Shedlock, Officials: Traffic is down, speeding is up in 
Clark County, The Columbian (Apr. 18, 2020).
---------------------------------------------------------------------------
    In fact, the National Safety Council recently reported that in 
March, the fatality rate was up 14 percent over the same month in 
2019.\7\ As states ease stay-at-home restrictions and traffic volumes 
increase, Congress as well as state and local government policymakers 
must consider impacts to roadway safety and advance measures designed 
to keep drivers, occupants, pedestrians, bicyclists and other road 
users safe. In this statement, Advocates details our recommendations to 
achieve that objective.
---------------------------------------------------------------------------
    \7\ NSC, Motor Vehicle Fatality Rates Jump 14 percent in March 
Despite Quarantines (May. 20, 2020).
---------------------------------------------------------------------------
Our Nation is at a Transformational Time in Transportation History with 
        Innovative and Cost-Efficient Safety Solutions Proven to be 
        Effective and Available
    Every day on average, over 100 people are killed and nearly 7,500 
people are injured in motor vehicle crashes. Yet, proven solutions are 
currently available that can prevent or mitigate these senseless 
tragedies. The National Highway Traffic Safety Administration (NHTSA, 
``Agency'') currently values a life lost in a crash at $9.6 million. 
Each one of these preventable deaths not only irreparably harms 
families and communities, but they also impose significant economic 
costs on society that can and should be avoided.
    Advocates remains optimistic that in the future autonomous vehicles 
(AVs) may bring about meaningful and lasting reductions in motor 
vehicle crashes. However, that potential remains far from a near-term 
certainty or reality. The fact remains that there is no data or 
documentation proving AV technology as it currently stands improves 
road safety. In fact, NHTSA released a notice on March 17, 2020 which 
stated that the safety potential of automated driving systems is 
``unsubstantiated and the impacts unknown.'' \8\ Dr. Missy Cummings, a 
leading AV expert and director of Duke University Humans and Autonomy 
Laboratory, noted in a recent article that ``[s]elf-driving systems, 
even with their multiple sensors and software advancements, still 
cannot reliably work in rain and snow conditions (Zang et al., 2019), 
during time of low sun angles (Dowling 2019), and often where lines on 
the road are either non-existent or with faded paint (Sage 2016).'' \9\ 
While endeavoring to improve safety, human driver error cannot be 
replaced with human coding or computer errors--mistakes that could have 
widespread and serious consequences.
---------------------------------------------------------------------------
    \8\ Occupant Protection for Automated Driving, NHTSA, Vol. 85, No. 
61, Fed. Reg, March 30, 2020, NPRM, Docket No. NHTSA-2020-0014. 
Available at: https://www.govinfo.gov/content/pkg/FR-2020-03-30/pdf/
2020-05886.pdf
    \9\ Cummings, M.L, ``Rethinking the maturity of artificial 
intelligence in safety-critical settings,'' AI Magazine, in review.
---------------------------------------------------------------------------
    Therefore, in the short-term Advocates urges Congress to require 
that advanced technologies proven to be effective in preventing and 
mitigating crashes be standard equipment with minimum performance 
standards. Advocates is a long-time proponent of this strategy which 
has produced numerous safety successes including airbags, electronic 
stability control, and most recently rearview cameras. In fact, in 2015 
NHTSA estimated that since 1960, more than 600,000 lives have been 
saved by motor vehicle safety technologies.\10\ Furthermore, the 
National Transportation Safety Board (NTSB) has included increasing 
implementation of collision avoidance technologies in its Most Wanted 
Lists of Transportation Safety Improvements since 2016.\11\
---------------------------------------------------------------------------
    \10\ Lives Saved by Vehicle Safety Technologies and Associated 
Federal Motor Vehicle Safety Standards, 1960 to 2012, DOT HS 812 069 
(NHTSA, 2015).
    \11\ NTSB Most Wanted List Archives, https://ntsb.gov/safety/mwl/
Pages/mwl_archive.aspx
---------------------------------------------------------------------------
    Currently available proven collision avoidance systems include 
automatic emergency braking (AEB), lane departure warning (LDW), blind 
spot detection (BSD), rear AEB and rear crosstraffic alert. The 
Insurance Institute for Highway Safety (IIHS) has found that:

   AEB can decrease front-to-rear crashes with injuries by 56 
        percent;

   LDW can reduce single-vehicle, sideswipe and head-on injury 
        crashes by over 20 percent;

   BSD can diminish injury crashes from lane change by nearly 
        25 percent;

   Rear AEB can reduce backing crashes by 78 percent when 
        combined with rearview camera and parking sensors; and,

   Rear cross-traffic alert can reduce backing crashes by 22 
        percent.\12\
---------------------------------------------------------------------------
    \12\ IIHS, Real world benefits of crash avoidance technologies, 
available at: https://www
.iihs.org/media/259e5bbdf859-42a7-bd54-3888f7a2d3ef/e9boUQ/Topics/
ADVANCED%20DRI
VER%20ASSISTANCE/IIHS-real-worldCA-benefits.pdf

    These crash avoidance safety systems are often sold as part of an 
additional, expensive trim package along with other non-safety 
features, or included as standard equipment only in high end models or 
vehicles. Just this week, Consumer Reports released a report that found 
an astounding upcharge of more than $16,000 for AEB with pedestrian 
detection in the second most popular vehicle sold in the U.S.\13\ This 
inordinate charge underscores Advocates' long-held position that 
critical vehicle safety technology must be standard equipment and 
provided to everyone purchasing a new vehicle. Moreover, there are 
currently no minimum performance standards to ensure these technologies 
function as expected. And, the IIHS has also found that while nighttime 
visibility is essential for safety, few vehicles are equipped with 
headlights that perform well.\14\ Federal Motor Vehicle Safety Standard 
(FMVSS) 108 should be upgraded to improve headlight performance.
---------------------------------------------------------------------------
    \13\ Douglas, E., A High Price on Safety, Consumer Reports (Jun. 1, 
2020).
    \14\ IIHS, Headlights improve, but base models leave drivers in the 
dark (Nov. 29, 2018).
---------------------------------------------------------------------------
    Unfortunately, directives from Congress are needed to accomplish 
these needed improvements due to Agency inaction and industry 
resistance. Voluntary industry agreements have been demonstrated to be 
ineffective as most recently evidenced by the March 2016 agreement 
among 20 automakers to have AEBs in most new light vehicles by 2023. As 
of December 2019, two manufacturers, which account for nearly a third 
of the U.S. auto market, demonstrate this lackluster response to the 
detriment of the motoring public. Only 29 percent of General Motors' 
vehicles and 9.5 percent of Fiat Chrysler vehicles were sold with AEB 
between September 1, 2018 through August 31, 2019. Similarly, the 
voluntary agreement announced by industry in September 2019 on 
technology to prevent hot car deaths of children prolonged the timeline 
to get this equipment into new cars even though it is available at a 
very minimal cost now. In fact, General Motors announced it would equip 
its new cars with technology that ``can detect motion as subtle as the 
breathing of an infant sleeping in a rear-facing child safety seat'' in 
2001 with the intent to begin rollout in 2004.\15\ This voluntary 
agreement harkens back to that empty promise while children continue to 
needlessly die. The agreement also failed to include the critical 
component that the systems must detect and alert to the presence of 
children who have been unknowingly left in or gained access to hot 
cars.\16\ Moreover, at any time, any or all automakers could decide 
they no longer want to comply with the agreement without any 
ramifications, underscoring the importance of Congressional action.
---------------------------------------------------------------------------
    \15\ General Motors News Release, ``General Motors Announces 
Important New Technology to Help Save Children Trapped in Hot Cars,'' 
(April 26, 2001).
    \16\ Auto Alliance Driving Innovation and Global Automakers, 
Helping to Combat Child Heatstroke, Automakers Commit to Introducing 
New Vehicles with Rear Seat Reminder Systems (Sept. 4, 2019).
---------------------------------------------------------------------------
    Legislation already has been introduced in the 116th Congress 
which, if enacted, would achieve the goal of providing lifesaving 
technologies as standard equipment on new motor vehicles. The 
Protecting Roadside First Responders Act (S. 2700/H.R. 4871) directs 
the U.S. DOT to require certain crash avoidance technologies that meet 
a minimum performance requirement in all new vehicles. We thank 
Committee Member Senator Tammy Duckworth (D-IL) for her leadership in 
co-sponsoring this measure and urge the Committee to advance this 
legislation promptly. Congress should also enact the 21st Century Smart 
Cars Act (H.R. 6284), the Safe Roads Act of 2019 (H.R. 3773) and the 
School Bus Safety Act of 2019 (S.2278/H.R. 3959), legislation which 
would collectively require advanced technologies in new passenger cars, 
commercial motor vehicles (CMVs) and school buses. Again, we commend 
Senator Duckworth (D-IL) for sponsoring S. 2278. Additionally, we thank 
Senator Tom Udall (D-NM) for his career-long dedication to stopping 
impaired driving and urge the Committee to advance S. 2604, the Reduce 
Impaired Driving for Everyone (RIDE) Act, introduced with fellow 
Committee member Senator Rick Scott (R-FL), also a tremendously 
committed leader to end impaired driving. Lastly, we thank Chairman 
Wicker and Ranking Member Cantwell for their leadership on the Hot Cars 
Act (S. 1601/H.R. 3593), which will help prevent child hot cars 
fatalities. Action by this Committee to require the technologies 
addressed in these bills will save lives, reduce injuries and contain 
costs in the near-term.
    On the path to AVs, requiring minimum performance standards for 
these foundational technologies will ensure the safety of all road 
users while building consumer confidence in the capabilities of crash 
avoidance technologies.
Industry Calls for Swiftly Moving AV Legislation are Fraught with 
        Baseless Claims and Unfounded Assumptions
    AVs, also known as driverless cars, are being developed and tested 
on public roads without sufficient safeguards to protect both those 
within the AVs and everyone sharing the roadways with them without 
express consent. An artificial rush to pass legislation is being fueled 
by AV manufacturers racing to be the first to market and recoup their 
substantial investments, already surpassing $100 billion. Just this 
week, it was reported that Volkswagen finalized a deal with Ford to 
invest $2.6 billion in Argo AI.\17\ Proceeding with legislation lacking 
commonsense minimum standards, protections and regulations will 
significantly undermine safety as well as risk public acceptance and 
the ultimate success of these vehicles. Most recently, some proponents 
of AVs have also been using the COVID-19 pandemic as a justification 
for rushing a fatally flawed bill, even going as far as pushing it to 
be included in a future relief package. A group of 80 diverse 
stakeholders wrote to Senate and House leadership on April 15, 2020 
expressing staunch opposition to this path forward.
---------------------------------------------------------------------------
    \17\ Eric D. Lawrence, ``VW completes $2.6B self-driving deal 
connected with Ford,'' Detroit Free Press (Jun. 2, 2020).
---------------------------------------------------------------------------
    Numerous misguided and misleading arguments to fast-track AV 
legislation in response to the COVID-19 pandemic have been put forth. 
However, the inside-the-Beltway lobbying effort which is on overdrive 
should not be allowed to bulldoze well-founded and well-documented 
concerns including the following.
Public acceptance of AVs is critical to its development and success, 
        but the public remains skeptical.
    Several public opinion polls show a high level of skepticism and 
fear about the technology, and for good reason. For example, earlier 
this year Advocates commissioned an independent public opinion poll 
from ENGINE INSIGHTS which revealed that 85 percent of respondents said 
they would be concerned about sharing the road with driverless cars as 
a motorist, bicyclist or a pedestrian.\18\ Notably, 68 percent said 
their concerns would be allayed if performance requirements were in 
place. Even a recent industry-sponsored poll showed a majority of 
people have concerns about AVs that do not have some type of government 
approval.\19\ This is consistent with previous polling including an 
April 2019 Reuters/Ipsos opinion poll which found that 64 percent of 
Americans said they would not buy a self-driving car \20\ and one by 
the American Automobile Association (AAA) in March 2019 which found 
that 71 percent of U.S. drivers surveyed would be afraid to ride in a 
fully self-driving vehicle.\21\ As Congress moves forward with 
legislation addressing the development and deployment of driverless 
cars, these critical findings about public attitudes should be 
informative, illuminating and instructive, and most certainly not 
ignored.
---------------------------------------------------------------------------
    \18\ Advocates for Highway and Auto Safety, Engine Insights CARAVAN 
Survey: Public Concern about Driverless Cars is Strong, and the Support 
for Performance Requirements is Clear, January 2020.
    \19\ Partners for Automated Vehicle Education (PAVE), Survey USA 
Poll, February-March 2020.
    \20\ Americans still don't trust self-driving cars, Reuters/Ipsos 
poll finds, April 2019.
    \21\ AAA Annual Automated Vehicle Survey, March 2019.
---------------------------------------------------------------------------
The National Transportation Safety Board has issued sound and salient 
        recommendations.
They must be used to inform policy decisions.
    Several serious crashes involving cars equipped with autonomous 
technology have already occurred, many of which have been subject to 
investigation by the NTSB. These investigations have, and will continue 
to identify safety deficiencies, determine contributing causes, and 
recommend government and industry actions to prevent future deadly 
incidents. Advocates urges Congress to heed critical information from 
our Nation's preeminent crash investigators. Findings from all these 
investigations should be released and incorporated as applicable into 
any proposed legislation. The findings are essential to developing 
sound and safe public policies. As stated by NTSB Chairman Robert 
Sumwalt during a November 19, 2019, meeting, ``our entire purpose for 
being here is to learn from tragic events like this so that they can be 
prevented in the future. . .This investigation has the ability to have 
far reaching implications down the road.'' \22\
---------------------------------------------------------------------------
    \22\ NTSB Board Meeting: Collision Between Vehicle Controlled by 
Developmental Automated Driving System and Pedestrian (Nov. 19, 2019).
---------------------------------------------------------------------------
    During this meeting, the NTSB considered the probable cause of the 
tragic crash that occurred on March 18, 2018, in Tempe, Arizona, in 
which Elaine Herzberg was killed by an Uber test vehicle equipped with 
self-driving features. Among the key issues the NTSB identified was the 
glaring need for sensible safeguards, protocols and regulations for AVs 
which are not yet being sold but are being tested on public roads. Some 
relevant and compelling quotes from the NTSB hearing buttress the views 
of consumer and safety groups:

        The lessons of this crash do not only apply to Uber ATG 
        [Advanced Technologies Group] and they're not limited to just 
        simply something went wrong and now it's fixed. Rather, it's 
        something went wrong and something else might go wrong unless 
        its prevented. . .This crash was not only about Uber ATG test 
        drive in Arizona, this crash was about testing the development 
        of automated driving systems on public roads. Its lessons 
        should be studied by any company testing in any state. If your 
        company tests automated driving systems on public roads, this 
        crash, it was about you. If you use roads where automated 
        driving systems are being tested, this crash, it was about you. 
        And if your work touches on automated driving systems at the 
        Federal or state level, guess what, this crash, it was about 
        you.
        --NTSB Chairman Robert Sumwalt \23\
---------------------------------------------------------------------------
    \23\ Id.

        NHTSA's mission is to save lives, first and foremost, to 
        prevent injuries and to reduce economic costs due to road 
        traffic crashes through education, research, safety standards, 
        which we are lacking here, and enforcement activity but first 
        and foremost it's to save lives . . . In my opinion, they have 
        put technology advancement here before saving lives.
        --NTSB Board Member Jennifer Homendy \24\
---------------------------------------------------------------------------
    \24\ Id.
---------------------------------------------------------------------------
The U.S. is not falling behind other countries in development of AVs.
    No demonstrable evidence has been put forth to support the fear-
inducing claim that the U.S. is falling behind other countries in AV 
development. Rather, according to KPMG's 2019 Autonomous Vehicle 
Readiness Index, the U.S. is ranked 4th in the world, behind the 
Netherlands, Singapore, and Norway. China, by comparison is ranked 
20th, down from 16th in the index the prior year.\25\ Other countries 
are taking a more calculated, careful and cautious approach. For 
example, in China, AV operations generally remain experimental. In fact 
it was just recently reported that they have delayed the goal of 
widespread self-driving deployment to 2025.\26\ Articles and analyses 
describing plans by China to lead technology development identify 
setting standards as key.\27\ Moreover, no country is selling fully 
automated vehicles to the public and by many accounts, none will do so 
for decades.\28\ Recently, many companies have suspended on-the-road 
testing due to the COVID-19 outbreak.\29\ While the U.S. is not behind 
other countries in developing and deploying AVs, where we do 
significantly lag other countries is in establishing reasonable and 
comprehensive safeguards. This is essential to assuring that the 
progress of AV development to a market ready product occurs without 
needlessly jeopardizing or diminishing public safety.
---------------------------------------------------------------------------
    \25\ Autonomous Vehicles Readiness Index, KPMG.
    \26\ Jill Shen, China delays self-driving car deployment goal to 
2025, Technode (Feb. 24, 2020).
    \27\ Power is `up for grabs': Behind China's plan to shape the 
future of next-generation tech, A. Kharpal, CNBC Markets, Apr. 26, 
2020.
    \28\ Lawrence Ulrich, Driverless Still a Long Way From Humanless, 
N.Y. Times (Jun. 20, 2019); Level 5 possible but ``way in the future'', 
says VW-Ford AV boss, Motoring (Jun. 29, 2019).
    \29\ Andrew J. Hawkins, Coronavirus shows there's no such thing as 
a totally human-free self-driving car (Mar. 18, 2020).
---------------------------------------------------------------------------
Industry leaders confirm that widespread sale and deployment of AV 
        technology are still decades away.
    There is an alarming disconnect between the readiness of the 
technology and the contrived urgency to pass legislation to allow for 
widespread sale and deployment. Numerous industry executives and 
technical experts have stated that the technology is not ready now and 
may not be ready for years to come. Just last week, it was reported 
that Bloomberg New Energy Finance ``doesn't expect vehicles with Level 
Four automation to start gaining traction until 2034.'' \30\ In a March 
9, 2020, open letter, Starsky Robotics founder Stefan Seltz-Axmacher 
shared his observations on the race to driverless vehicles, ``There are 
too many problems with the AV industry to detail here: the professorial 
pace at which most teams work, the lack of tangible deployment 
milestones, the open secret that there isn't a robotaxi business model, 
etc. The biggest, however, is that supervised machine learning doesn't 
live up to the hype,'' and ``[t]he consensus has become that we're at 
least 10 years away from self-driving cars.'' \31\ When even experts 
with tremendous professional and financial stake acknowledge the 
shortcomings, challenges and elongated timeline for AV delivery, 
Congress should be paying heed to this prognosis.
---------------------------------------------------------------------------
    \30\ Alex Webb, Amazon will take robot cars to a whole new level, 
The Seattle Times (May 31, 2020).
    \31\ Seltz-Axmacher, Stefan, ``The End of Starsky Robotics'', 
Medium, March 19, 2020. Available here: https://medium.com/starsky-
robotics-blog/the-end-of-starsky-robotics-acb8a6a8a5f5
---------------------------------------------------------------------------
The potential benefits of widespread use of unmanned delivery vehicles 
        are currently unknown. But, the concerns and challenges with 
        unproven self-driving technology lacking safeguards are clearly 
        known.
    Removing passengers from an AV does not improve safety for those 
sharing the road with them, especially vulnerable roads users such as 
bicyclists and pedestrians. In 2018, 6,227 pedestrians were killed on 
U.S. roads marking the highest number of pedestrian deaths in thirty 
years. That year, 857 pedalcyclists were also killed; a six percent 
increase over 2017, according to NHTSA. To date, there has been no 
evidence that AVs will correctly ``see'' and respond to these 
populations. In fact, bicyclists have reported being ``clipped'' or hit 
by AVs even with ``safety drivers'' behind the wheel. Without proper 
safeguards, it is possible road conditions will worsen, especially if 
AVs lead to more overall vehicles on the roads.
    There are presently no Federal regulations to ensure that driving 
automation systems of unmanned vehicles in use on our Nation's roads 
are safe to operate. The use of vehicles with autonomous driving 
systems for delivery (food, medical and other critical supplies) during 
the COVID-19 pandemic has been extremely limited and is occurring with 
significant human oversight and intervention because these systems are 
not capable of fully autonomous driving even on roads devoid of most 
traffic.\32\ Media reports of unmanned AV operations note that they are 
occurring at low speeds, yet the risk for serious injury or death for 
pedestrians and bicyclists is significant. At 23 mph the average risk 
of serious injury for pedestrians is 25 percent and the risk of death 
is 10 percent.\1\ This risk is elevated for older populations. Use of 
shared AVs, or possibly even unmanned delivery vehicles, during a 
pandemic could potentially be a means of transmitting the virus, rather 
than a panacea, without proper procedures and oversight to ensure 
vehicles are sanitized between use or delivery.
---------------------------------------------------------------------------
    \32\ Autonomous shuttles help transport COVID-19 tests at Mayo 
Clinic in Florida, Ford, T., Apr. 2, 2020, Mayo Clinic News Network; 
Cruise redeploys some of its self-driving cars to make food deliveries 
in San Francisco, Hawkins, A.J., Apr. 29, 2020, The Verge.
---------------------------------------------------------------------------
The disruption to the American economy by the widespread deployment of 
        AVs could be permanent.
    AVs are not guaranteed to create the promised amount of new jobs 
but they certainly have the potential to eliminate many. One thing is 
certain, if AVs develop to the point that the technology can assume the 
entire driving task and are deployed widely, driving occupations will 
be decimated. This will have a painful impact on our economy as driving 
jobs employ a significant number of American workers. According to the 
2018 Census data, more than five million Americans aged 16 and over 
work as drivers or motor vehicle operators.\33\ Policies to ensure that 
drivers of trucks, buses, taxis and limousines; transit and delivery 
workers; and, transportation network company (TNC) drivers and others 
are not economically side-lined in the process of introducing self-
driving technology will need to be carefully implemented.
---------------------------------------------------------------------------
    \33\ United States Census Bureau, 2018 American Community Survey 
Data, Detailed Occupation For the Civilian Employed, Population 16 
Years and Over, Table B24114.
---------------------------------------------------------------------------
Once proven to be safe, AVs may improve access and mobility for some, 
        but not for all without policy to ensure this is achieved.
    While AVs have the potential to improve mobility for people with 
disabilities, seniors and others, it is imperative that AVs are both 
accessible and safe for everyone. Simply equipping a traditional 
vehicle with an automated driving system will do little to improve 
mobility access for certain members of the disability community. In 
order for AVs to improve access for all, the needs of all types of 
users must be incorporated into the design of vehicles and the 
implementation of services. For example, TNCs, such as Uber and Lyft, 
were widely touted to hold the promise of improving the mobility of all 
individuals. However, limitations of the number of vehicles with access 
for wheelchair users has already resulted in lawsuits by users 
underserved by these companies.\34\ Moreover, if an AV transporting a 
person with limited mobility or a disability is in a crash, sufficient 
crashworthiness and occupant protection standards must be in place to 
prevent dangerous or even deadly outcomes.
---------------------------------------------------------------------------
    \34\ Independent Living Resource Center, a Judith Smith, Julie 
Foller, Sascha Bittner, Tara Ayres, and Community Resources for 
Independent Living vs Lyft, Available here https://dralegal.org/
wpcontent/uploads/2019/03/001_P_Complaint_Accessible.pdf
    O'Hanlon vs Uber Technologies, Inc. Available here https://
dralegal.org/wp-content/uploads/2019/06/UberPittsburgh-Complaint.docx
---------------------------------------------------------------------------
NHTSA's recall authority cannot be the stopgap to keep dangerous AVs on 
        the roadways.
    NHTSA's insistence that it will rely on its defect authority to 
police AV performance is too little, too late after a serious flaw has 
been identified. This view was recently voiced by the NTSB, which found 
that the NHTSA's approach is, ``misguided, because it essentially 
relies on waiting for problems to occur rather than addressing safety 
issues proactively.'' Furthermore, the timeline to issue a recall can 
be excessively long. For example, the GM ignition switch defect was 
first identified in 2001 but NHTSA was not notified of the issue until 
2014 at which time a recall was then issued. At least 124 people died 
as a result of the defect. Even still, NHTSA remains egregiously under-
resourced and under-funded for the myriad of challenges the Agency 
faces to protect safety on our roadways. Congress should ensure NHTSA 
has adequate resources, funds, staff and enforcement authority to 
successfully carry out its statutory mission.
Testing of AVs without compliance with FMVSS is unlimited, and the 
        exemption process already allows for deployment of vehicles not 
        in compliance with FMVSS.
    Vehicles for testing purposes are not required to comply with 
safety standards, and there are no limits on the number of vehicles 
tested by manufacturers.\35\ If manufacturers desire an exemption from 
current FMVSS to pursue their new innovations, a process to request an 
unlimited number of exemptions is already available in current law.\36\ 
In fact at least two companies, Nuro and General Motors, have applied 
for exemptions, and Nuro's was granted.\37\ In order to obtain an 
exemption from existing Federal safety standards, the law requires 
manufacturers to prove that the vehicle will provide an ``equivalent 
level'' of safety.\38\ The exemption process does not even require that 
a vehicle be built prior to applying for or receiving the exemption.
---------------------------------------------------------------------------
    \35\ 49 USC Sec. 30112.
    \36\ 49 USC Sec. 30113.
    \37\ 85 FR 7826 (Feb. 11, 2020); 84 FR 10182 (Mar 19, 2019).
    \38\ Id.
---------------------------------------------------------------------------
    Arguments claiming that the exemption process is onerous are 
unfounded as the testing process allows ample opportunity to solve any 
problems and ready the concept for ``prime time.'' If a manufacturer is 
unable to prove that its product can meet this low bar of equivalency 
even after the opportunity for unlimited testing without compliance 
with any safety standards, it should not be on the market. While 
current regulations will need to evolve for AV systems, the process 
must be accomplished through a careful, considered and transparent 
approach and not by allowing large and wholesale exemptions for 
industry without ensuring that the same level of public safety is met. 
This has been the successful approach used for new vehicle technology. 
Establishing minimum safety standards will ensure certainty and safety 
for innovation, production and public sale.
States should not be preempted especially in the absence of Federal 
        regulation.
    States have the authority to uphold safety on their roads and 
Congress should not pass legislation to prohibit meeting this 
obligation. Governors and Mayors across the country are leading efforts 
to protect their citizens from COVID-19 and advance safety policies. 
However, legislation proposed in the last Congress and current draft 
proposals would prevent states and localities from ensuring the safety 
of their citizens on their roads even in the absence of Federal 
regulations. Now more than ever, the critical role of states and 
localities in protecting the health and safety of its citizens should 
be recognized and upheld.
Proposals to provide for the safe deployment of AVs have been offered.
    In conclusion, Advocates and our safety partners have made detailed 
and comprehensive recommendations in response to specific AV policies 
and legislative language. For a complete analysis of legislative 
proposals to-date, we refer you to our written testimony submitted to 
the Committee for the November 20, 2019 hearing ``Highly Automated 
Vehicles: Federal Perspectives on the Deployment of Safety Technology'' 
as well as our submission in response to the four tranches of staff 
draft text released.
    Upgrades to America's Infrastructure Are Required for the Safe 
Deployment of AVs
    AVs will not be operating in closed environments. In fact, they are 
already being tested on public roads in Washington D.C., San Francisco 
and Pittsburgh, among others. According to the University of Florida 
Transportation Institute, at least 80 companies are currently testing 
autonomous technology and AVs in the U.S.\39\ It is therefore critical 
that our Nation's infrastructure accommodate the safe and successful 
deployment of AVs. America's crumbling infrastructure poses significant 
safety and economic concerns. The AV industry has often claimed that 
the introduction of these vehicles will reduce congestion, improve 
environmental quality, and advance transportation efficiency.\40\ 
However, it is possible, if not probable, that the outcome may be the 
opposite. AVs may bring about so-called ``hyper-commuters'' who work 
from their vehicles on long commutes to enable living farther from 
offices and/or city centers. Likewise, the possibility of empty AVs 
adding substantial miles on the roads as they re-position autonomously 
after dropping off riders could undermine many of the benefits 
claimed.\41\
---------------------------------------------------------------------------
    \39\ Brookings Institution, Autonomous cars: Science, technology, 
and policy (Jul. 25, 2019).
    \40\ Self-Driving Coalition For Safe Streets, FAQs.
    \41\ Bliss, L., Even Shared Autonomous Vehicles Could Spell Traffic 
Disaster, Citylab, May 10, 2017.
---------------------------------------------------------------------------
    Significant consideration must be given to how AV driving could 
change wear patterns on roadways. The lower variance of an AV's 
position within a lane could lead to accelerated wear in lanes, and 
condensed convoys of automated trucks, commonly known as platooning, 
could place further strain on roads and bridges. For example, the 
spacing between automated commercial motor vehicles (ACMVs) in a 
platoon could have wide-ranging implications. If these large vehicles 
travel too closely together, their combined weight load could place 
severe stress on a bridge. In addition, lengthy platoons that consist 
of many ACMVs could be difficult to pass and affect merging and exiting 
from roadways. These are just a few of many critical concerns that must 
be evaluated to consider operational constraints for AVs before further 
damage is inflicted upon our Nation's roads and bridges.
    Taking into account the long-term ramifications, the budgetary 
constraints, and necessary coordination among a diverse group of 
interested parties when it comes to infrastructure projects at any 
level, research is needed now more than ever on the impact of AVs on 
our roads and public transit systems. Already, TNCs or ride hailing 
companies have been creating congestion and diverting ridership from 
transit to single use vehicles in certain cities. The early deployment 
of AVs has been predicted by some to follow the TNC model but at lower 
costs as a driver will not need to be compensated. Lessons learned from 
the growth of TNCs must be applied to the future of AVs. In addition, 
further research is required to examine the differing infrastructure 
upgrades that will be needed for urban, suburban and rural regions. 
More consideration must be given to these complex issues before AVs can 
be deployed on a large scale.
As Truck Crash Deaths Rise, Policies to Improve Safety for Truck 
        Drivers and All Road Users Languish
    The heroic efforts of truck drivers during the COVID-19 pandemic 
have benefited consumers throughout the country. Congress must make 
certain that they are protected from contagion as well as from being 
pushed beyond physical limitations to fulfill their job. While 
Advocates appreciates and understands the necessity of a short-term 
suspension of certain policies to allow for the movement of essential 
goods, including medical supplies and food, these exemptions must be 
narrowly tailored with appropriate safeguards to protect all road 
users. Specifically, as exemptions have been sought from hours of 
service, truck size and weight limits, and licensing requirements, it 
is paramount that any potential negative consequences to safety are 
minimized. This can be achieved by: 1) exemptions should be granted for 
180 days or the duration of the national emergency declaration, 
whichever is shorter; 2) exemptions must not be overly broad and 
instead constructed in a way that clearly delineates goods and services 
that are essential for direct pandemic response; and, 3) exemptions 
cannot be used to justify future rollback or repeal of truck safety 
rules. Any data generated during this time must not be used as the 
basis for any permanent policy changes. With circumstances on the roads 
far from normal, any data would be skewed and not indicative of 
potential ramifications.
    While a number of identified and persistent problems are 
contributing to deaths and injuries resulting from large trucks 
crashes, unfortunately many of the known solutions and safety advances 
are pushed aside. Worse yet, certain segments of the industry are 
relentless in their efforts to roll back, weaken and degrade essential 
rules and regulations. This deadly and costly trend will only be 
reversed with proactive action taken by our Nation's leaders.
    Congress should require essential safety systems as standard 
equipment in all new CMVs including automatic emergency braking, speed 
limiting devices and advanced rear and side underride guards. All these 
life-saving technologies have proven safety benefits. In addition, to 
obtain a Commercial Driver's License (CDL), a candidate should be 
required to undergo uniform adequate training including a minimum 
number of hours of behind-the-wheel training. Moreover, all data on 
carrier performance collected by FMCSA's Compliance, Safety, 
Accountability (CSA) program should be made publicly available. With 
fatal truck crashes continuing to occur at an alarmingly high rate 
unhampered by appropriate accountability, there is insufficient 
incentive for unsafe carriers to improve their operations.
    While in the future, fully autonomous technology may offer the 
promise of significantly reducing crashes involving CMVs, protections 
and regulations are necessary to ensure it is deployed safely including 
the presence of a properly-licensed human driver for the foreseeable 
future. Furthermore, the advent of this technology must not be used as 
a pretext to eviscerate essential safety regulations administered by 
the Federal Motor Carrier Safety Administration (FMCSA). The public 
safety protections provided by the Federal Motor Carrier Safety 
Regulations (FMCSRs) become no less important or applicable simply 
because a CMV has been equipped with an autonomous driving system 
(ADS). In fact, additional substantial public safety concerns are 
presented by autonomous commercial motor vehicles (ACMVs).
    If the serious crashes involving passenger motor vehicles equipped 
with automated systems of varying levels noted above had involved 
ACMVs, the results could have been even more catastrophic and the death 
and injury toll could have been much worse. Some of the most pressing 
safety shortcomings associated with autonomous vehicle technology, 
which include the ADS properly detecting and reacting to other road 
users, driver engagement and cybersecurity, are exponentially amplified 
by the greater mass and force of an ACMV. As such, it is imperative 
that ACMVs be subject to comprehensive regulations. The development and 
deployment of these experimental vehicles must also be subject to 
robust safeguards including sufficient data collection and sharing, 
performance requirements and enhanced operating authorities, at a 
minimum.
Any Erosion of Current Truck Safety Protections Should be Rejected
    Several policies that would jeopardize safety for truck drivers and 
those with whom they share the roads have been put forth which 
Advocates and others staunchly oppose. Our rejection of these 
proposals, as well as our recommendations for proactive policy 
proposals, are detailed in the testimony Advocates submitted to the 
Committee for the February 4, 2020 hearing ``Keep on Truckin': 
Stakeholder Perspectives on Trucking in America.''
Bigger trucks mean bigger problems for safety and infrastructure.
    Advocates urges the Committee to oppose any effort to increase or 
circumvent truck size limits including lengthening double trailer 
trucks, providing state or industry-based exemptions from safety 
regulations, or establishing pilot programs which often de facto turn 
into permanent policy.
Driver fatigue is dangerous and deadly.
    The NTSB has repeatedly cited fatigue as a major contributor to 
truck crashes and included reducing fatigue related crashes in every 
edition of its Most Wanted List of safety changes since 2016. A barrage 
of legislative and regulatory proposals also continues to target ELDs 
and HOS rules. One such proposal was recently finalized despite strong 
objections from safety advocates, and various entities continue to seek 
exemptions from the hours of service (HOS) rules with the U.S. DOT.\42\
---------------------------------------------------------------------------
    \42\ 85 FR 33396 (Jun. 1, 2020).
---------------------------------------------------------------------------
``Teen Truckers'' pose a major safety threat.
    Some segments of the trucking industry are pushing to allow 
teenagers to operate CMVs in interstate commerce in order to alleviate 
the alleged ``driver shortage'' despite a March 2019 U.S. Bureau of 
Labor Statistics (BLS) analysis finding that ``the labor market for 
truck drivers works about as well as the labor markets for other blue-
collar occupations'' and ``a deeper look [at the truck industry labor 
market] does not find evidence of a secular shortage.'' \43\ Advocates 
strongly opposes the ``DRIVESafe Act'' (S. 569/H.R. 1374) which would 
severely jeopardize the safety of all road users by putting teenagers, 
who have higher fatal crash rates, behind the wheel of large trucks in 
interstate commerce.
---------------------------------------------------------------------------
    \43\ United States Department of Labor, Bureau of Labor Statistics, 
Is the U.S. labor market for truck drivers broken? (Mar. 2019).
---------------------------------------------------------------------------
Conclusion
    As our Nation grapples with the ongoing pandemic and the 
devastation and uncertainties it has created, we turn to our elected 
officials to lead us on a path to recovery. This daunting 
responsibility is also an opportunity to build a safer, stronger 
country including our transportation network.
    Developing AV technology and protecting public safety are not 
incompatible goals. When this Committee moves forward with AV 
legislation, we urge you to ensure that the U.S. DOT conducts thorough 
oversight, issues minimum safety performance standards and requires 
industry accountability before driverless cars are available in the 
marketplace and sold to the public.
    Similarly, this precarious time in our Nation's history should not 
enable the permanent erosion of current truck safety protections. 
Advocates lauds the heroisms of truck drivers during the COVID-19 
pandemic and urges Congress ensure they are protected from the disease 
and from being pushed beyond physical limitations to fulfill their job.
    Without question, this is a transformational time in transportation 
history. Again, we thank the Committee for holding this hearing and 
look forward to continuing to work together to make vehicles and 
roadways safer for all.
                                 ______
                                 
             Prepared Statemnt of American Bus Association
    Chairman Wicker, Ranking Member Cantwell, and distinguished members 
of the Senate Commerce Committee, on behalf of the American Bus 
Association (ABA) thank you for calling today's important hearing. We 
are submitting testimony for the record on behalf of the motorcoach, 
tour and travel industries.
    The ABA is the oldest, largest, and most respected voice of the 
motorcoach, tour and travel industries. Our Association represents 
private motorcoach operators, tour operations and all facets of small 
businesses supporting the travel industry. Our motorcoach members are a 
vital component of the national public transportation network, 
providing intercity scheduled bus service, commuter and shuttle 
operations, school bus transportation, charter operations, and in some 
cases contract services for public transit authorities. Collectively, 
the motorcoach industry provides nearly 600 million passenger trips 
annually, a statistic on par with the domestic commercial airline 
industry. As well, ABA membership includes tour operators, 
destinations, and other tourism-related organizations (including local 
and regional government partners), along with product and service 
suppliers, all in support of the travel industry. Collectively, these 
industries provide nearly two million jobs and create over $236 billion 
in economic impact nationwide.
    However, faced with the dire situation caused by the Corona Virus 
Disease 2019 (COVID19) outbreak, collectively, the motorcoach, tour and 
travel industries are facing an unprecedented downturn. As your 
Committee reviews the state of transportation and critical 
infrastructure as a result of COVID-19, and develops further actions 
necessary to counteract these impacts, the ABA implores you to ensure 
the motorcoach industry is not forgotten. As Larry Willis, President of 
the Transportation Trades Department, AFL-CIO noted in his written 
testimony for this hearing, ``The motorcoach industry, which provides 
critical intercity transportation across the country, has seen nearly 
3,000 companies shut down and almost 100,000 employees laid off. We 
also believe emergency supplemental funding is needed for the 
motorcoach industry and its heavily impacted workforce.''
    Not surprisingly, based on our membership of intercity, commuter, 
and charter motorcoach operators, ABA is at the center of the COVID-19 
``storm''. With the worldwide outbreak continuing to effect the global 
economy, the devastating impact on travel and transportation operators 
cannot be understated. The daily cancellation of trips and gatherings, 
compounded by the broadly publicized reports warning workers and 
travelers away from public modes of transportation, is taking a serious 
toll on our collective industry. Further, as we are an industry 
dominated by small, U.S. owned entrepreneurial businesses, many of 
which are multigenerational family businesses, unlike larger corporate 
interests, our members are not prepared to withstand such a significant 
economic downturn. The current situation is far worse than the downturn 
following the tragic events of September 11, 2001. At that time, 
although fear of travel was a factor, particularly travel by air and to 
larger urban areas, travel did continue by motorcoaches and to other 
venues. Timing also was a factor. For example, springtime is the 
largest travel period for the industry with most much travel being 
related to student educational and recreational activities. But with 
the COVID-19 outbreak, spring 2020 will likely go down as the worst 
travel season on record.
    We are hearing daily from our members struggling to survive. In 
March, as urban centers across the country shut down, along with 
schools, and travel in general, the motorcoach industry came to a 
standstill, practically overnight. Travel contracts were cancelled 
through the summer; offices were closed and workforces converted to 
teleworking; and school, sporting events, concerts and conventions were 
all cancelled. An industry comprised of 3,000 companies, with a fleet 
size of 36,000 vehicles, was forced to lay-off or furlough close to 
100,000 employees and idle the entire fleet. For many operators, the 
spring time period provides close to 50-60 percent of their annual 
revenue, with the fall time period providing the second financial boost 
for the year based on school related travel. But not this year. The 
pandemic has left a successful, independent industry heavily invested 
in equipment and subject to costly regulatory requirements, completely 
decimated.
    Further, as economies begin to reopen and businesses start to 
restore or resume normal operations, the motorcoach industry will lag 
behind, for an extended period of time. Continuing concerns about the 
virus and travel by mass transit, directives from the Center for 
Disease Control calling for on-going social distancing requirements, 
and restrictions and cancellation of school field trips and 
extracurricular activities, coupled with increased costs for sanitizing 
and ensuring the health safety of vehicles, will interfere with any 
effort for the motorcoach industry to recover. At this point, the 
industry outlook for recovery is, at best, about 24-months or longer. 
Also, unlike its counterparts in the air, rail and public transit 
arena, the motorcoach industry has not received any direct grant 
assistance to support it through this pandemic crisis.
    Yet, when called upon during these troubled times, there have been 
several ``heroic'' services provided by motorcoach operators who have 
managed to continue operations, albeit operating at only 5-15 percent 
capacity. Motorcoach operators have provided essential service to bring 
needed nurses and medical staff to numerous medical facilities like the 
Mayo Clinic, and into New York City, at the height of the outbreak. 
Last week, motorcoaches conducted an emergency evacuation of a 
retirement community, moving 150 people in under an hour. In May, 
motorcoaches were portside, providing service to stranded cruise line 
passengers on COVID-19 infected ships when they were finally permitted 
to disembark. Motorcoaches operators have continued to meet the needs 
of the U.S. Department of Defenses, moving military personnel and their 
equipment. Operators, such as Greyhound instituted a special program to 
provide travel for responders who left their home town to help out 
other towns in need of additional support during the outbreak; and 
Coach USA, who offered buses for medical workers, equipment and 
supplies. Now, operators are also bracing for what is expected to be a 
highly active storm season, as motorcoaches are a key component of the 
Nation's emergency response capabilities, to move people out of harm's 
way.
    We appreciate you holding this hearing to discuss the important 
role of transportation and critical infrastructure during this pandemic 
to the national economy, and especially want to highlight the critical 
role motorcoach operations play as part of the national transportation 
network. As Congress continues to seek ways to assist with the recovery 
of the national economy and the return to normal operations in the wake 
of the COVID-19 pandemic, we hope this Committee will engage and 
develop measures to sustain the motorcoach industry through this 
unprecedented economic crisis. Specifically, we need Congress to 
provide dedicated funding for the motorcoach businesses and their 
employees to ensure the viability of this critical aspect of the 
national transportation network. Specifically, our industry needs $10 
billion in grants and $5 billion in longterm, low-interest loans. The 
historically successful motorcoach industry is not looking for a 
permanent funding commitment, but a bridge to survive this 
unprecedented economic crisis. If the industry does not receive help, 
motorcoaches will no longer be available to connect rural communities 
to necessary resources, take commuters to necessary jobs, provide what 
may be the only means of travel for some low or fixed-income citizens, 
assist when the next hurricane hits and people need evacuation, or 
support the military with troop and equipment movements. Time is 
critical, and ABA stands ready to assist the Committee in its role 
moving forward.
                                 ______
                                 
        Prepared Statement of The Transportation Alliance (TTA)
Hon. Roger Wicker,
Chairman,
Commerce, Science, and Transportation,
United States Senate,
Washington, DC.

Hon. Maria Cantwell,
Ranking Member,
Commerce, Science, and Transportation,
United States Senate,
Washington, DC.

Dear Chairman Wicker and Ranking Member Cantwell:

    Thank you for inviting The Transportation Alliance (TTA) to submit 
comments to the U.S. Senate Committee on Commerce, Science, and 
Transportation regarding how our industry is responding to the COVID-19 
pandemic. We appreciate this opportunity.
    Established in 1917, The Transportation Alliance is a nonprofit 
trade association that represents private sector providers of ground 
transportation for-hire. We primarily provide mobility for passengers, 
but we also transport food and packages locally.
    The ground transportation for-hire industry is made up of many 
market segments including taxicabs, liveries (sedan services), 
limousines, shuttles, school transportation, motorcoaches, paratransit 
and non-emergency medical transportation (NEMT) fleets. The general 
public routinely hires our services, as do corporations, social service 
agencies, cities, transit authorities, school districts, nursing homes, 
hospitals and many more entities. From a sedan to wheelchair accessible 
vehicles, we meet a wide variety of transportation needs: young school 
children, business travelers, passengers with disabilities requiring 
ADA accessible paratransit, NEMT passengers receiving life-saving 
chemotherapy and dialysis treatments, families traveling for vacation, 
elderly citizens going to the pharmacy for prescriptions, low-income 
Americans living in food desens who need to get to the grocery store, 
and many more types of routine daily trips that are vital to our 
Nation's ability to move people safely and efficiently.
    The mobility we provide in moving approximately 2 billion 
passengers each year is exceptionally valuable to the passengers we 
serve. Yet it is equally vital to the medical centers, stores, 
restaurants, airports, and other entities that rely on us to transport 
their customers, as well to the producers of the vehicles, fuel, 
insurance, communications, and technology that produce the products we 
buy, and to the hundreds of thousands of workers earning a living in 
this industry. We are an integral component of the American economy.
    Our industry is facing very real crippling financial losses. With 
the Federal government and states recommending that Americans continue 
to severely restrict their movements, our industry anticipates further 
immediate economic losses. The ensuing loss ofjobs will be keenly felt 
over the next few weeks. There is no time to lose in saving this vital 
aspect of American transportation.
    The crisis threatens to shutter critical and essential public 
transportation operations forever. People in communities across the 
United States rely on our services for their jobs, medical needs, 
getting kids to school, and other daily activities that some may take 
for granted. We are asking you to work with us on specific and targeted 
financial relief that will help ensure our industry is able to recover 
and provide essential services to the public in the future.
    Our members are reporting staggering loss projections of 85 percent 
now--precipitous declines that are expected to extend well into the 
months ahead. Without specific assistance from the Federal government, 
many of these businesses will close forever. If that happens, the 
country will lose critical transportation infrastructure: the people, 
vehicles, call centers, maintenance facilities and services that keep 
America moving. We must ensure this industry survives for the future.
Responses to questions submitted to The Transportation Alliance from 
        the U.S. Senate Committee on Commerce, Science, and 
        Transportation
What impacts have you seen from COVID-19 on passenger transportation 
        operations and how have you responded to these impacts?
    Every market segment and every community is a different, but one 
can say that business has generally declined between 100 percent and 60 
percent, with the average being about 85 percent in June.
    Companies that focused on providing non-emergency medical 
transportation (NEMT) service to nursing homes virtually came to a 
total standstill--no business whatsoever. Other NEMT services, such as 
Medicaid-funded transportation for dialysis and chemotherapy continued, 
but overall NEMT trips were scaled back by about 75-100 percent. 
Nursing homes are still shut down to transportation, but in many states 
routine medical visits have started to open up. There have only been 
small incremental increases in transportation for patients reported so 
far. In order to avoid a surge in future emergency room visits, it is 
vital that patients be able to go to their routine medical appointments 
as soon as it is safe to do so.
    Companies that specialize in providing services under contract to 
public entities (transit authorities, school districts, cities) saw 
different levels of decline based on the severity of the COVID-19 
outbreaks in their communities. Some shut down entirely while others 
saw a 65 percent or more drop in business. Some school districts and 
transit authorities have helped their contractors with partial payments 
so the contractor can keep their personnel and equipment in place for 
when services ramp back up. There has been no significant increase in 
this business reported yet.
    Taxicab and livery companies, like all other transportation 
providers, saw business drop over a cliff in March. Business typically 
fell 60 percent to 95 percent, depending on community. Many of these 
companies are diversified and also provide services under contract to 
public entities. Given their smaller vehicles (sedans and minivans) 
that provided safer individual transportation, they picked up new or 
expanded work transporting medical personnel and patients. In states 
that are starting to reopen, we are receiving reports that some taxi 
and livery companies are experiencing up to a 20 percent increase in 
ridership compared to the prior 30 days.
    Luxury transportation (executive sedans and limousines) and 
motorcoach fleets have been hard hit by the pandemic. Reductions in 
service of 80 percent to 100 percent are common. So far, only minimal 
increases in service demand have been reported, even in states that 
have begun to reopen.
What are your expectations for continued impacts on the passenger 
        transportation system in the near future and its response to a 
        reopening of the economy? What impacts do you anticipate for 
        the passenger transportation system in the long term?
    First, the entire for-hire ground fransportation industry will take 
more than a year to recover, and even that timeline assumes states 
fully reopen soon and are able to stay open. Until people become mobile 
again--from business travel to tourism to schools reopening to leisure 
activities on weekends--the demand for passenger transportation will 
remain depressed. It could be many years before America's 
transportation sector regains its full strength in terms of staffing, 
vehicles in service, and ridership levels.
    For NEMT providers, we believe service usage needs to increase to 
avoid a new and costly medical crisis with overrun emergency rooms. One 
cannot avoid medical treatments over a prolonged period without 
experiencing a surge in deaths and emergency room visits. In the longer 
term, it is possible that some medical treatments may become more home-
based. As such, NEMT services will evolve to also transport equipment 
and/or personnel to facilitate this modified medical service delivery 
structure.
    Contract services are likely to expand as states reopen. We believe 
the expansion will be very slow and may take many years to return to 
pre-pandemic levels. With the Centers for Disease Control (CDC) 
recommending the public avoid using public transit's larger vehicles, 
more use of smaller, safer vehicles providing community-based 
microtransit will continue to expand. In the long term, public transit 
should fully recover, because even if there is a major conversion from 
office-based work to telecommuting it is hard to imagine our 
infrastnlcture being able to support the huge expansion Of single 
driver cars it would take if public transit doesn't recover in urban 
centers.
    Taxicabs and liveries are poised for a stronger recovery if states 
can fully reopen and stay open. Much of this segment of our industry 
has diversified and, in addition to their traditional service, are also 
providing NEMT service as well as contract services to transit 
authorities, schools, medical centers, corporations and more. This wide 
array ofrevenue sources has enabled the industry to shift its service 
delivery to where it is most needed during the pandemic. This has 
included setting up special transportation services for infected 
persons, providing mobility for medical personnel to and from medical 
centers, and expanding services to include delivery of groceries, 
medicine, and food takeout orders from restaurants.
    Luxury transportation and motorcoach services are likely to 
experience a slow recovery but here again, if states can fully reopen 
soon and stay open, then these services will rebuild their ridership. 
This market segment has numerous contracts in the private sector and 
has been successfully expanding into public sector contracts. Still, 
until businesses and consumers start to travel in large numbers again, 
progress will be slow.
How have critical infrastructure employees been affected during the 
        COVID-19 crisis while performing their duties, and what steps 
        have been taken to protect them?
    First, we need to report that most of our personnel are not 
currently working. They have been furloughed, laid off, unable to work 
because they don't have needed child care services, or feel they are at 
risk and choose not to work. This includes most of our drivers, and a 
large portion of our mechanics, call center, marketing and management 
staff.
    For those who are working, much has changed very quickly to keep 
them safe. It begins with educating workers on the need for social 
distancing, the frequent washing of hands, the need to stay home if 
feeling ill and the need to repeatedly clean their workspaces.
    Operational changes have also been made. In many of our industry's 
sedans and vans, plastic partitions have been installed between the 
driver in front and the passenger(s) in the back. Typically, the 
companies are providing masks, gloves, hand sanitizer and disinfected 
filled spray bottles and cleaning cloth for all drivers. Every vehicle 
is to be cleaned after every passenger departs the vehicle, and every 
vehicle is to be fogged at least once a day with a hospital-grade 
disinfectant. For those working in the office, the premises are 
cleaned/disinfected multiple times a day. Also, the workstations have 
been spread out as much as possible for social distancing, and where 
possible some workers are now able to work from home.
    For those companies transporting COVID-19 infected persons, all of 
the above precautions are taken and, in addition, after every passenger 
is transported the vehicle is fogged. The drivers who volunteer to 
provide this service are well aware of the need to be vigilant at all 
times with the passenger and everything they may touch.
What steps has your organization or have your members taken to protect 
        the safety of the traveling public?
    The cleaning/disinfecting protocols implemented for drivers and 
vehicles go a long way to also protecting our passengers. In addition, 
we request that passengers also wear a mask, and when possible use 
contactless payments.
    Our organization reached out to the U.S. Department of Health and 
Human Services asking for help in accessing personal protection 
equipment (PPE), as it has been difficult to access this protective 
gear, particularly at the beginning of the pandemic. Now the U.S. 
Department of Transportation (DOT) has made PPE available to public 
transit workers. We have reached out to DOT seeking its help in 
expanding the program to include private sector transportation workers.
    This is an area where Congress can help. The DOT has created a 
program that is providing PPE's to some in the transportation industry. 
Currently, taxis and other private sector providers of public 
transportation are not included. We would like to ask Congress to 
request that DOT include our industry into this program. We are 
providing a critical service during this pandemic and our operators 
require this same PPE and a pipeline for these products in order to 
ensure safety.
What additional guidance or support would be useful from the U.S. 
        Department of Transportation, other Federal agencies, and from 
        Congress as you move forward during the COVID-19 public health 
        crisis?
    Here is a brief summary of the legislative and regulatory issues 
The Transportation Alliance is currently addressing in response to the 
COVID-19 pandemic:

   (1)  We were told early on not to expect industry grants. With that 
        in mind, TTA drafted its own plan called the Small Business 
        Jump-start America Act, a commonsense economic plan that has 
        been received well by congressional leaders, the White House, 
        numerous industries, and even some in the banking community. 
        This Act would provide certain key small business that are 
        vital to reopening America with the access to capital they need 
        without leveraging their businesses or their future. The Small 
        Business Jump-start America Act is now supported by over 
        310,000 small businesses representing over 8 million jobs in 41 
        states. (More information on this proposal is attached.)

   (2)  Providing temporary and targeted liability relief legislation 
        related to the COVID-19 pandemic. These crucial protections 
        should safeguard businesses, nonprofit organizations and 
        educational institutions, as well as healthcare providers and 
        facilities from unfair lawsuits so that they can continue to 
        contribute to a safe and effective recovery from this pandemic.

   (3)  Our industry has been on the front lines supporting hospital 
        personnel by taking them to and from work at all hours of the 
        day. Our industry continues to take some of the most vulnerable 
        populations to and from critical medical appointments. Our 
        operators have stepped up and now deliver life-saving 
        medications and meals to those sheltered in place. We would 
        like to ask that during national emergencies or pandemics like 
        COVID19 that a new category be created for National Responders, 
        which would then allow them to be eligible for hazard pay.

   (4)  TTA is currently working with HHS on a solution to help provide 
        TTA members with a pipeline to personal protection equipment 
        (PPE) going forward. We have also recently reached out to the 
        U.S. Department of Transportation (DOT) on this matter. This is 
        critical. This is another area in which we need immediate help. 
        We need DOT and other agencies to help us create a pipeline for 
        these products. CDC has come out with strict rules, which we 
        support, but without access to the needed PPE we will continue 
        to see more businesses close, leaving passengers without safe 
        transportation.

   (5)  The U.S. House of Representatives passed the HEROES Act, which 
        included a provision that codified our association's suggested 
        language on non-emergency medical transportation (NEMT). This 
        is an important step in barring the U.S. Department of Health 
        and Human Services (HHS) from implementing rules that would 
        allow states to opt-out of providing NEMT services. This 
        provision is critical to ensuring those who need our help the 
        most have access to transportation. The NEMT program saves the 
        government money and we would urge the Committee to include the 
        House bi-partisan language in the next stimulus bill.

   (6)  TTA has reached out to the U.S. Department of Education asking 
        it to issue guidance on Section 18006 of the CARES Act 
        regarding the requirement that, ``A local educational agency, 
        State, institution of higher education, or other entity that 
        receives funds under 'Education Stabilization Fund', shall to 
        the greatest extent practicable, continue to pay its employees 
        and contractors during the period of any disruptions or 
        closures related to coronavirus.'' Many of our members have 
        received support through this program while other school 
        districts have disregarded this provision of the CARES Act. 
        Schools have been given money to help support their needs 
        during this pandemic. That money should be used as Congress 
        intended. To do this, we must define the phrase ``to the 
        greatest extent practicable. '' We are seeing school systems 
        cancel contracts with our members under this vague wording. 
        That was not the intent of Congress and we would like to work 
        with you and Secretary DeVos on strengthening this language so 
        that schools have the same obligations as other businesses to 
        keep as many people as possible working during this pandemic.

   (7)  We were very pleased that, within a matter of days of our 
        request in March, the U.S. Department of Homeland Security 
        included our industry as essential services, a key designation 
        to keep transportation companies on the road in the face of 
        widespread, mandatory business closures across the country.

   (8)  Numerous TTA members have qualified for Paycheck Protection 
        Program (PPP) loans, an effort that involved daily, and 
        sometimes hourly, updates to our membership. We also recently 
        worked with key House and Senate leaders on modifications to 
        the PPP loan program, which extends the period in which 
        companies need to use the loans to 24 weeks. We also pushed 
        hard to successfully change the rules in how companies can use 
        those funds: Under new legislation, companies can now spend up 
        to 40 percent of PPP loans on utilities.

   (9)  We have been working with Congress and the insurance industry 
        on a solution to the problem that vehicles that are no longer 
        in service cannot return their tags in 11 states where the 
        state Department of Motor Vehicles is closed. The inability to 
        return to tags has meant that some companies have been unable 
        to take their vehicles off their insurance. We still need help 
        getting final resolution on this issue. We are essentially 
        having to pay premiums for vehicles no longer in service. 
        Several states have required insurance companies to refund 
        premiums to drivers, but those don't cover our vehicles, We 
        believe they should.

  (10)  Modifying Section 3719 of the CARES Act to allow NEMT operators 
        to receive advance payments from Medicare and/or Medicaid.

  (11)  Requiring all government accounts with ground transportation 
        companies to be paid within five days of billing.

  (12)  Requiring the General Services Administration to offer 
        government surplus vehicles at cost to passenger ground 
        transportation companies serving economically disadvantaged 
        communities.

    Please describe any ways that you or your members have been 
affected by the CARES Act and how it has affected your employees, 
operations, or other aspects of your business.
    We should note that the Payroll Protection Program (PPP) has been 
very valuable to our industry, particularly after the time allowed for 
its utilization was extended to 24 weeks. While the program is not 
perfect, it was put in place and the funds started to flow remarkably 
quickly. Our industry is grateful for the help that was extended. We 
hope that more help is forthcoming with similar speed.
    The program that has been counterproductive to getting our labor 
force to come back to work is the Federal Pandemic Unemployment 
Assistance program that provides unemployed workers an additional $600 
per week in unemployment benefits. While we fully understand and 
appreciate the reason for these benefits, one of the unintended 
consequences is that it is now serving to slow down our industry's 
recovery.
    In closing, we thank you for reaching out to The Transportation 
Alliance and seeking our input as the Senate Committee on Commerce, 
Science, and Transportation evaluates how to best move forward in 
responding to the COVID-19 pandemic. We hope our responses are helpful. 
Should you have any questions moving forward, please contact us. We 
stand ready to assist you in this vital effort as we all work together 
to get America moving again.
    TTA's office is located in Rockville, Maryland (a close-in suburb 
to Washington, DC.) and is still required to be closed. The best way to 
reach us is by e-mail to our CEO Alfred LaGasse at 
alagasse@TheTran$portatiQnAlliance.org. TTA staff is working at full 
capacity, albeit from their homes, and will respond to your outreach or 
questions without delay.
            Sincerely,
                                         Thomas P. Arrighi,
                                                         President,
                                           The Transportation Alliance.
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                                 ______
                                 
  Prepared Statement of David H. Fialkov, Vice President, Government 
 Affairs, Legislative and Regulatory Counsel, National Association of 
                      Truckstop Operators (NATSO)
    703-739-8501 [email protected] The National Association of 
Truckstop Operators (NATSO), representing America's travel centers, 
truckstops, and off-highway fuel retailers, respectfully submits this 
statement for inclusion into the record for the hearing entitled, ``The 
State of Transportation and Critical Infrastructure: Examining the 
Impact of the COVID-19 Pandemic.'' NATSO's members, comprised thousands 
of travel centers and retail fuel locations located throughout the 
United States, are essential to the U.S. supply chain. Their critical 
role has been underscored in recent months as they have responded to 
the COVID-19 pandemic. America's truck drivers have heroically stepped 
up in recent months to ensure that supermarket shelves are stocked, 
hospitals have adequate supplies, and a country on lockdown can 
continue functioning as safely and efficiently as possible. These truck 
drivers rely on travel centers to eat, rest, shower, and refuel while 
out on the road.
    Below is a brief overview of the impact that the pandemic has had 
on travel centers' capacity to provide these essential services. This 
discussion includes various policy recommendations that the Committee 
and Congress should consider to better enable this critical industry to 
serve our Nation's travelers and truck drivers as we head into the 
summer and the remainder of a tumultuous year.
Travel Centers are Essential Businesses
    It is impossible to overstate the importance of early declarations 
clarifying which industries are ``essential'' to the country and 
therefore legally permitted to continue operating as various 
jurisdictions imposed stay-at-home orders in the early days of the 
pandemic. Such declarations provide clarity to businesses so they can 
instead focus on taking care of their employees and customers. In this 
respect, it is similarly impossible to overstate the assistance that 
the Federal Motor Carrier Safety Administration (FMCSA), and Acting 
Administrator Jim Mullen in particular, provided to travel centers and 
their customers (and thus every American). FMCSA provided early 
assurances to travel centers that they were permitted--indeed 
encouraged--to remain open to enable trucks to remain on the road, and 
proactively took steps to temporarily waive hours of service 
requirements that enabled trucks to promptly deliver essential 
supplies.
    As the ``essential critical infrastructure'' industry moniker 
suggests, it is essential that travel centers be permitted to remain 
open throughout any extraordinary measures that are taken to protect 
public health. For many travel centers, simply staying open has become 
a challenge in recent months, as the COVID-19 pandemic has taken a toll 
on travel, freight movement, and economic activity that travel centers 
rely on to survive.
Patchwork of State and Local Health Regulations
    During the initial weeks of the pandemic, NATSO members had to 
confront was inconsistent rules and safety precautions that different 
states and local health officials required travel centers to implement. 
This patchwork of regulations made it impossible for companies that 
have multiple locations to centralize best practices and compliance 
measures. Although many localities were flexible and accommodating to 
travel centers, others imposed seemingly drastic obligations that 
insufficiently balanced safety precautions with the need for truck 
drivers to promptly eat, refuel, refresh, and get back out on the road.
    For example, some localities required all ``convenience stores'' to 
limit total occupancy to five people, including employees. While this 
may make sense for small, urban bodegas, travel centers are 
substantially larger than standard convenience stores. Strict 
imposition of unreasonably small occupancy limits resulted in 
exceedingly long wait times for customers to enter the store, shower, 
purchase a meal, and get back on the road. Jurisdictions that imposed 
more flexible occupancy limits (e.g., tying limits to a percentage of a 
building's fire capacity) enabled far more efficient, and equally safe, 
operations.
    There are already several localities throughout the country that 
had begun reopening their economies but were forced to reverse course 
because of an uptick in COVID-19 cases. Although it is unclear how 
prevalent such scenarios will be, NATSO strongly urges policymakers to 
ensure that all safety measures do not unnecessarily delay truck 
drivers' ability to eat and refuel and get back out on the road.
Foodservice in Travel Centers
    For America's truck drivers, the opportunity to sit down at a 
restaurant and unwind after a long day on the road is a critical aspect 
of day-to-day life. Virtually every travel center therefore has at 
least one restaurant option; most have several options, often including 
a sit-down dining restaurant. Not only do restaurants offer a hot meal, 
but time spent there also allows drivers to take time outside the 
truck, which serves as their home while on the road, to socialize with 
travel center staff and fellow diners and take respite from the often-
grueling life of delivering essential supplies.
    When it became clear that sit-down dining options were incompatible 
with safety precautions, it was a blow to morale for professional 
drivers. Drivers not only lost opportunities for hot meals outside the 
quick-serve or grab-and-go context, but also had to sacrifice what was 
once a highlight of the day--sitting down at a restaurant to eat. 
Travel center operators--who have devoted their life to serving truck 
drivers--were heartbroken to inform their customers that the dining 
room was closed.
    What's more, like the restaurant industry at large, travel centers' 
foodservice operations took a substantial hit to their revenue. 
Operators had to pivot to new forms of foodservice: most offered 
curbside or take-out options; others engaged with delivery apps such as 
Grubhub or UberEats; many operators converted their restaurant kitchens 
to commissaries for the attached convenience store, offering grab-and-
go options that were made in the kitchen.
    Despite these efforts, it has been a struggle for travel centers' 
restaurants to remain afloat. Some operators have closed their 
restaurants entirely and had to temporarily furlough their employees- 
many of whom have worked at a location for decades. The Paycheck 
Protection Program (PPP), which as a general matter has helped many 
NATSO members continue operating the past several months, was drafted 
in such a way that precluded restaurants that are located within larger 
travel centers from accessing forgivable loans unless those restaurants 
are set up as separate companies from the underlying travel center 
business. Some NATSO members structure their businesses this way and 
were able to access the loans and remain open; others are not 
structured this way and thus did not have access to the PPP program.
    In early April, the Federal Highway Administration (FHWA) announced 
that it would temporarily not enforce the Federal ban on commercial 
activities at Interstate rest areas by allowing food trucks to operate 
and sell food at interstate rest areas. Although NATSO is a staunch 
supporter of the rest area commercialization ban, NATSO did not oppose 
this measure if it resulted in enabling truck drivers to access hot 
meals in geographic areas where there was otherwise no other options 
available. It should be noted, however, that this non-enforcement order 
occurred at a time when off-highway restaurants--including those 
located at travel centers--were struggling to remain afloat. Allowing 
nearby rest areas to begin selling food hurt off-highway restaurants' 
sales and made it more challenging for them to continue operating and 
serving drivers. NATSO, along with ten other associations representing 
off-highway communities, restaurants and other businesses, and blind 
merchants have all urged FHWA to commit to not further expanding this 
nonenforcement guidance beyond food trucks during this epidemic, and 
once the current state of emergency ends, to immediately revert back to 
enforcing the long-standing ban on commercializing Interstate rest 
areas. (See Appendix A.)
Employee Retention and Hiring
    Travel Center employees are some of the unsung heroes of America's 
response to the COVID-19 pandemic. Whiles these hard-working Americans 
may not be well-known, the work they are doing each day to protect our 
supply chain is helping the country persevere through this challenging 
crisis.
    Many NATSO members raised employee wages by $1.50-$4.00 per hour 
during the pandemic. One of the unintended consequences of the 
Coronavirus Aid, Relief, and Economic Security (CARES)Act's $600 per 
week increase in unemployment benefits, however, is that it has become 
difficult for many essential businesses--including travel centers--to 
retain and rehire employees. NATSO urges Congress to make it easier for 
these businesses to recognize and reward front line workers who 
continue working during the pandemic. This could come in the form of 
tax relief for workers or employers, or direct government payments to 
employees. Senators Ernst, Romney, Portman, and Minority Leader Chuck 
Schumer have all developed creative mechanisms that would help achieve 
this goal. In addition, expanding the Workforce Retention Tax Credit 
could play a critical role to enable employers to increase employee 
pay. NATSO hopes Congress can coalesce around one--or a combination--of 
these ideas to enable businesses to continue operating without 
compromising the need to take care of those who cannot find work.
Travel Centers Need Reasonable Liability Protection
    NATSO's members, and all essential businesses, that have taken 
necessary precautions to protect their employees and customers while 
serving the country during this crisis should be protected from COVID-
related litigation expenses. They have confronted some of the most 
challenging business conditions in the Nation's history, and have 
stayed open--at the urging of the Federal government--to serve their 
customers. They have implemented unprecedented virus mitigation 
protocols such as enhanced cleaning and sanitation practices and social 
distancing measures to protect their employees, customers and others 
from exposure. Additionally, they are working to comply with often 
vague, constantly evolving local, state, and Federal guidance for 
workplace safety. Many companies have faced difficulties acquiring the 
cleaning supplies and personal protective equipment they need to 
protect their operations in the way they would like. That uncertainty 
combined with compliance challenges will leave room for efforts by some 
to take advantage of the current crisis to lawsuits against the 
businesses that, by necessity, kept operating.
    To be clear, NATSO does not seek protection for bad actors. 
Employers who willfully ignore the risks of the spread of COVID-19 or 
commit gross negligence by not adhering to the recommended health and 
safety guidance should be subject to litigation. This is an important 
distinction to make; NATSO is not looking for blanket coverage that 
would allow bad actors to operate without making efforts to provide 
worker and customer safety. NATSO simply seeks protection for those 
businesses who are doing what they can to protect against exposure to 
the virus.
    Nor is NATSO seeking to change American tort law on a permanent 
basis. The COVID-19 pandemic is a unique event and merits its own 
response that is tied to the needs of the moment. With that in mind, 
NATSO favors limiting liability protections to this virus and the time 
during which it is a threat. This is not a time to hash out 
longstanding questions about the American legal system that are not 
related to the current crisis.
Travel Centers Need Access to PPE, Testing, and Vaccines
    As noted above, travel centers went through several weeks at the 
outset of this pandemic when some were unable to acquire the requisite 
cleaning materials, facial coverings, and other equipment necessary to 
combat coronavirus. This resulted in substantial disruptions not only 
to their operations, but to freight movement and macro-economic 
efficiency. It the weeks and months ahead, governmental entities will 
inevitably need to assess how to allocated finite resources--such as 
testing and, ultimately, vaccines--to match seemingly infinite demand. 
NATSO urges Congress to ensure that travel center employees are 
appropriately prioritized in this process, so that travel centers can 
remain open and fully staffed to continue playing the essential role in 
America's supply chain. If our businesses can not remain open safely, 
we cannot help to keep good moving across the country.
Infrastructure Investment is Needed
    The Federal government has developed a number of extraordinary 
measures--including the PPP program, enhanced unemployment benefits, 
and measures taken by the Federal Reserve--that will help America 
survive the current pandemic in the short-term. But now represents a 
unique opportunity to stimulate job creation and economic activity 
while also making a down-payment on America's future standing in the 
world through infrastructure investment.
    The diminution in travel has also driven down fuel tax collection. 
This problem is compounded by states losing retail sales tax revenue 
which often directly supports transportation budgets. NATSO supports 
both a short-term infusion of revenue that will allow states to 
maintain capital investment schedules, and also prompt reauthorization 
of the Fixing America's Surface Transportation (FAST) Act to ensure 
America's transportation system has sufficient long-term revenue and 
planning capacity. America's Transportation Infrastructure Act, which 
unanimously passed out of the Senate Environment and Public Works 
Committee last summer, offers a promising policy framework for bringing 
America's infrastructure system into the 21st Century. NATSO implores 
members of the Senate and House to work with one another to reauthorize 
the FAST ACT this Congress and not delay until 2021.
    In so doing, NATSO urges lawmakers to aspire to funding these 
policies in a manner that is consistent with the following principles:

   Simple--It should be efficient and inexpensive to collect 
        highway funds.

   Difficult to Evade - It should be difficult for taxpayers to 
        evade paying the tax/fee for infrastructure investment.

   User-Based--The primary stream of funding for infrastructure 
        projects should be userbased.

   Energy-Source Neutral--All energy sources must be subject to 
        the same fee on a gallon/energy equivalent basis.

   Transparent--Users must be able to understand the amount 
        they are being charged.

   Dedicated to Infrastructure--Funds raised in the name of 
        improving surface transportation infrastructure should be 
        dedicated to surface transportation infrastructure for the 
        benefit of the payer. Reallocating such funds for other 
        purposes should be prohibited.

   Long-Term--The revenue generated by the funding solution 
        should not significantly diminish over time. As a means of 
        guarding against future shortfalls, the funding solution should 
        contain automatic adjustments to mitigate trends that decrease 
        the revenue it generates, such as fuel efficiency.

    At the same time, NATSO strongly opposes counter-productive 
``shortcuts'' to real infrastructure investment, namely tolling 
existing interstates and commercializing Interstate rest areas. These 
``funding mechanisms'' are inefficient, disrupt travel and freight 
movement, and undercut offhighway businesses and communities.
Conclusion
    The travel center industry has been at the forefront of coronavirus 
response efforts, and is prepared to continue playing this critical 
role. NATSO is grateful for your consideration of this statement, and 
is happy to discuss any of these issues with you at any time.
                                 ______
                                 
                                 
                                 
                                 ______
                                 
       Prepared Statement of American Society of Civil Engineers
Introduction
    The American Society of Civil Engineers (ASCE)\1\ appreciates the 
opportunity to submit a statement on the importance of long-term, 
strategic investment in our Nation's infrastructure systems. ASCE is 
eager to continue to work with the Committee in 2020 and beyond to find 
ways to further improve our Nation's vital surface transportation 
infrastructure systems and to address the economic impacts felt during 
the COVID-19 pandemic.
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    \1\ ASCE was founded in 1852 and is the country's oldest national 
civil engineering organization. It represents more than 150,000 civil 
engineers individually in private practice, government, industry, and 
academia who are dedicated to the advancement of the science and 
profession of civil engineering. ASCE is a non-profit educational and 
professional society organized under Part 1.501(c) (3) of the Internal 
Revenue Code. www.asce.org,
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    As the pandemic continues to have sweeping economic consequences 
across all sectors in the United States, many American families and 
businesses are looking to Congress to provide both short-term relief 
and long-term economic recovery. While recent Congressional action has 
addressed some of the immediate economic impacts of the pandemic, many 
economists believe additional action is needed to ensure the health of 
the American economy. As Congress develops additional legislation, ASCE 
urges policymakers to prioritize our Nation's infrastructure and get 
people back to work, using the economic slowdown to make strategic and 
sorely-needed investments to strengthen the networks that are the 
foundation of our economy.
    Presently, many of our infrastructure assets have reached the end 
of their design life. Coupled with long underinvestment and inadequate 
support, a large and growing investment gap of $1.1 trillion over the 
next ten years has emerged. This gap must be closed if we hope to both 
repair and modernize our surface transportation infrastructure systems 
to be competitive in the 21st century.
ASCE's 2017 Infrastructure Report Card
    Infrastructure is the foundation that connects the Nation's 
businesses, communities, and people, serves as the backbone to the U.S. 
economy, and is vital to the Nation's public health and welfare. Every 
four years, ASCE publishes the Infrastructure Report Card, which grades 
16 major infrastructure categories using a simple ``A'' to ``F'' school 
report card format. ASCE released its 2017 Infrastructure Report Card 
\1\, giving the Nation's overall infrastructure a grade of ``D+,'' with 
an investment gap of $2 trillion over the next 10 years--and the total 
investment needed is nearly $4.6 trillion.
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    \1\ https://www.infrastructurereportcard.org/
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    As our infrastructure continues to age, and investments do not keep 
pace with needs, the gap between identified investments and the public 
commitments to meet those needs widens every year. Failing to close 
that gap risks rising costs, falling business productivity, plummeting 
GDP, lost jobs, and ultimately, reduced disposable income for every 
American family to the tune of $9. For these reasons alone, now is the 
time to invest in our Nation's infrastructure. Compounded by the 
current crisis, infrastructure investments can provide both an 
immediate and long-term boost to the struggling American economy, and 
ensure we remain globally competitive in trade and commerce.
Solutions
    ASCE recommends the inclusion of key investments to maintain and 
modernize our Nation's infrastructure, create jobs, support economic 
growth, and increase the resilience of our systems. ASCE therefore 
urges Congress to include the following in any further legislation to 
boost the Nation's economy:

    Reauthorize surface transportation programs and increase funding to 
address our project backlogs: ASCE urges Congress to include a multi-
year surface transportation reauthorization that addresses the long-
term solvency of the Highway Trust Fund and modernizes our roads, 
bridges, rail, and transit systems. While one-time infusions into our 
Nation's surface transportation program have had varying degrees of 
success, investment in a multi-year surface transportation program is a 
guaranteed way to provide both short-term and long-term economic 
benefits. We applaud the Committee on Environment and Public Works in 
introducing and passing S. 2302, America's Transportation 
Infrastructure Act (ATIA) of 2019. This legislation addresses the needs 
of our everchanging highway system, and we continue to urge the 
committees of jurisdiction in both chambers to introduce legislation to 
ensure we have a comprehensive package that addresses all the 
challenges in our surface transportation network.
    Support relief for state departments of transportation (DOT): While 
the current surface transportation investment gap remains, under the 
current crisis state DOTs are unable to generate the revenue needed to 
prevent major disruptions in their ability to operate and maintain 
their transportation systems. Under this pandemic, individual state 
revenues are estimated to be impacted by 45 percent in the next 18 
months. This is a result of expected decline of 50 percent for state 
motor fuel taxes, a 67 percent decline in toll road traffic, and a 77 
percent decline in ferry traffic. Because of this sharp decline, state 
DOT's ability to provide a match for Federal funds will be constrained 
and further impact available Federal financing opportunities. Congress 
must provide the necessary $49.95 billion in backstop relief to our 
state DOTs to ensure capital construction and operation programs 
continue in a timely fashion, preserving safety and mobility across our 
Nation's transportation systems.
    Unlock vital infrastructure financing tools: State and local 
governments rely on access to the capital market and issuance of tax-
exempt municipal bonds to provide for the Nation's infrastructure. ASCE 
supports the tax-exempt status of municipal bonds and reinstating 
advance refunding as financing tools in any infrastructure investment 
legislation. Additionally, ASCE supports increasing the cap from $15 
billion to $20 billion on tax-exempt private activity bonds, which 
allow state and local governments to issue tax-exempt debt, with 
approval from the U.S. DOT, for qualified highway or surface freight 
transfer facilities. These financing tools must be easily accessible in 
both rural and urban communities, and we support legislation that helps 
communities better utilize and leverage existing funding and financing 
opportunities.
    Eliminate or increase the cap on the Passenger Facility Charge 
(PFC): The associated infrastructure of U.S. airports and air traffic 
control systems is not keeping up with the more than two million 
passengers they traditionally serve each day. Because of an outdated, 
federally mandated cap on how much airports can charge passengers for 
facility expansion and renovation, airports struggle to keep up with 
investment needs, creating a $42 billion 10-year funding gap. Raising 
or eliminating the cap on the PFC will allow airports a much-needed 
revenue boost and the ability for long-term planning and modernizing of 
our aviation system.
    Build resilience into infrastructure: In addition to anticipating 
what hazards and conditions roads, bridges, drinking water pipes, 
wastewater treatment plants, airports, and energy lines must withstand, 
engineers are also thinking through how technology, population shifts, 
and other trends will change communities' needs. In summary, an 
integrated systems approach is needed to tackle resilience. The 
National Institute of Building Science (NIBS) has found that every $1 
spent through government-funded mitigation grants saves the county $6 
in future disaster-related and recovery costs. Incentivizing lifecycle 
costs and long-term maintenance also returns dividends; NIBS also 
reports that every $1 spent on upfront construction costs and long-term 
maintenance to bring buildings up to contemporary codes and standards 
returns $11 to building owners in the event of a disaster. Making 
targeted investments in the right manner, using the best available data 
and industry standards, innovative materials and technologies, and 
considering lifecycle costs will create benefits for years to come.
Conclusion
    Across the nation, our future recovery depends on reliable, modern 
infrastructure to provide a good quality of life for Americans and to 
support economic growth. There is a unique opportunity during these 
challenging times, while traffic is minimal and people stay home, to 
maintain and modernize these critical assets and jump-start job growth. 
ASCE looks forward to working with the Committee to address the 
infrastructure challenges facing our Nation during the pandemic and we 
look forward to working together to help stimulate our economy and 
ensure public health and safety.
                                 ______
                                 
 Prepared Statemnt of Chuck Baker, President, American Short Line and 
                 Regional Railroad Association (ASLRRA)
Introduction
    On behalf of the American Short Line and Regional Railroad 
Association (ASLRRA), the national trade association representing the 
Nation's 603 Class II and Class III railroads (referred to collectively 
as ``short lines'') and hundreds of railroad industry suppliers, I want 
to thank the Senate Committee on Commerce, Science, and Transportation 
for holding this important hearing to examine the impacts of the COVID-
19 pandemic on transportation and critical infrastructure. We 
appreciate the opportunity to submit testimony for the record to 
provide insight into the short line railroad industry during the global 
pandemic.
    Together, short line railroads operate nearly 50,000 miles of 
track, or approximately 30 percent of the national railroad network and 
employ more than 17,000 hard-working Americans. We operate in 49 
states, and in 36 of those states we operate at least one quarter of 
the state's total rail network. In certain states, short lines operate 
100 percent of the state's rail network. As part of the Nation's 
critical infrastructure, short lines have continued to operate during 
the pandemic, moving goods and materials safely and efficiently 
throughout the country, while also working to protect the health and 
safety of their employees and communities.
    This testimony will delve into how our industry has responded to 
and been impacted by the pandemic, as well as recommend ways to ensure 
the freight transportation network continues to be resilient and 
flexible in reacting to future unforeseen events.
Supply Chains and Operations
Operations & Keeping the Supply Chain Moving
    Short line railroads are operating quite well and for the most part 
have continued without significant interruption. We are proud of our 
member railroads who are playing a key role in moving goods that keep 
our country functioning during these uncertain and troubling times--
these railroads are working day-by-day, even hour-by-hour, with their 
thousands of industrial, agricultural, energy, and manufacturing 
customers to keep the Nation's supply chain functioning, in what is one 
of the few bright spots for the country over the past two months. That 
is not to say that there haven't been plenty of challenges, but due to 
their close customer relationships, flexibility, and can-do spirit, 
short lines have been able to adapt to and accommodate a cavalcade of 
unusual last minute changes to shipment sizes, shipment destinations, 
staffing adjustments, operating hour tweaks, business process shifts, 
etc.
    We have collected stories and pictures from our members operating 
and transporting critical products during the pandemic, including wheat 
to a flour mill, corn, and materials that are used in restaurant take-
out containers, protective masks, and hand sanitizer. You can find some 
of those stories here and here.
    Our railroad and contractor and supplier members have also 
continued work on projects that improve our Nation's critical 
infrastructure and keep hard working Americans employed. For example, 
the Georgia & Florida Railway (GFRR) has continued safely working on an 
81-mile track rehabilitation project that received funding from an FY17 
USDOT FASTLANE grant. The project is slated for completion this year 
and has not been interrupted by the global pandemic. GFRR is 
prioritizing worker safety and has worked with its contractor, 
RailWorks, to implement an active COVID-19 response plan. The railroad 
and contractor agreed early that any test results during the COVID-19 
pandemic are shared between the railroad and contractor to ensure safe 
situational awareness.
    COVID preparedness on the project worksites include: social 
distancing; working outdoors; reminders of hygiene and hydration; 
reminders of proper diet and knowing limitations; discussions regularly 
of being our brothers' keeper; identifying fatigue, discussion of 
proper rest cycles and healthy sleep; promotion of positive leadership 
and keeping calm; cleaning supplies in vehicles and made available to 
employees (wipes, various cleaners, etc.); discussions about smoking 
and personal health off-property; knowledge of medical facilities 
discussed in job briefings and information is included in the 
timetable; looking out for a distracted public; reducing and 
eliminating unnecessary distractions from employees, and promoting 
focus through calm and pragmatic actions and reactions; clear 
communications; first aid kits in all vehicles and machines; no 
handshaking; and multiple daily discussions with RailWorks management 
in field and central office.
Short Line Supply Chain
    Some of our members have reported trouble acquiring desired amounts 
of personal protective equipment (PPE)--this is obviously not unique to 
railroad workers and is a challenge throughout the country, and our 
railroads are focused on getting everything they need for our workers, 
but nevertheless it's a challenge and as an industry we would be 
grateful for any and all Federal help in this regard.
    In addition to PPE, there have been occasional challenges with our 
usual vendors getting spare parts, contract services, and other items 
needed to run the railroads in a timely manner. These are generally 
sporadic concerns, and we recognize this is a difficult time for 
everyone and are working through that to the best of our ability.
Business levels
    Overall freight railroad business is currently down about 25-30 
percent year-over-year across the industry. That's not good--it's not 
the devastation felt by our friends in industries such as passenger 
travel, restaurants, and live events, but it's the worst that business 
conditions have been since we started to keep data as an industry, and 
it's likely the worst since the Great Depression.
    When taking a closer look at the overall freight downturn, there is 
significant variability among commodities. Grain, food products, 
chemicals, and pulp and paper products have remained fairly consistent, 
while we have seen greater reductions in commodities like coal, 
ethanol, crude oil, auto parts, and intermodal traffic. This 
variability is reflected in the short lines with some staring at losses 
of 60 to 70 percent and others near flat. The sudden elimination or 
steep reduction in business from just two or three customers can have a 
big impact on these small business railroads, many of whom only operate 
one line of track and are very dependent on a handful of customers.
Expected Short-and Long-term Impacts
    On the balance, in the short-term we expect to continue operating 
well and our members are eagerly working with their customers to help 
move as much of their products by rail as possible. Again, we take 
tremendous pride in our ability to continue serving customers well and 
to keep the Nation's supply chain functioning.
    However, railroading is a demand-driven business, so when customers 
do not have end users demanding their products, our traffic suffers in 
direct correlation. Even in the short-term, decreased demand for 
certain commodities could put significant strain on some individual 
short line railroads. In the near term we also expect to continue 
seeing some minor disruptions to our supply chain. Our medium and long-
term outlook depends on how quickly the economy recovers and broad 
demand for the products we move returns. A prolonged downturn would be 
expected to have a more severe impact on the smaller short lines in the 
industry and on the independent short lines. Lastly, the economic 
uncertainty faced by our members, their customers, and state and local 
governments, combine to cloud the visibility needed to commit to long-
term investment back into infrastructure.
Keeping Workers Safe and on the Job
    Our short line railroad members are following CDC, OSHA, and DHS/
CISA guidance, and are doing everything possible to keep railroading 
safely. Safety has long been the number one priority in railroading, 
and that is even truer during this pandemic.
    For most of the railroaders who do not need to be physically on-
site, in the field or on a train, there has been a big increase in work 
from home flexibility.
    As an industry, we have seen in the low triple digits for total 
number of positive coronavirus cases, which is certainly more than we 
would like, but is significantly below the observed rate across the 
entire U.S. population. We are aggressively tracking cases across our 
railroads, communicating with employees about safe practices, and doing 
everything possible to make sure that those potentially exposed to the 
coronavirus are safely at home in self-quarantine.
    The good news is freight railroading naturally lends itself well to 
physical distancing and does not require excessive person-to-person 
physical contact, so on-site railroad employees are largely able to do 
their jobs while maintaining safe distancing. This has been aided by 
the emergency waiver process at the FRA, discussed below.
    In one extreme case, an entire railroad in Colorado suspended 
operations temporarily, while all its employees self-quarantined 
following two of them testing positive for COVID-19, however this is 
more the exception than the rule. Steps our railroads have reported 
taking to protect workers include securing PPE for their employees, 
split shifts and dispatch rooms, allowing telework whenever possible, 
and increased cleaning. Railroaders have been heroic and recognize 
their part in the Nation's critical infrastructure; they are showing 
up, working, and taking pride in their jobs.
    Many of our member railroads have responded to COVID-19 creatively 
to make sure essential work continues in a safe manner. Iowa Interstate 
Railroad (IAIS) has also safely continued its bridge project in the 
face of coronavirus. The railroad has brought the Booneville Bridge 
project to near completion over the past winter and spring with the 
help of CRISI grant funding that was awarded by USDOT in early 2019. 
IAIS has been able to safely execute this project because the work is 
conducted outside, by a small, heavily mechanized workforce that 
naturally works at safe social distances. COVID-19 precautions are 
reviewed in each job safety briefing at an appropriate social distance. 
Reasonable precautions and workplace practices that already minimized 
social proximity have allowed this large infrastructure project to 
proceed without interruption. The first Council Bluffs-to-Chicago train 
is expected to use the completed bridge in early June. This may be the 
fastest, DOT-funded bridge project from award to completion ever 
executed, despite the challenges posed by COVID-19.
USDOT and Congressional Actions
    As you know, each year FRA establishes an emergency docket for 
granting relief from its regulations necessary to enable railroads to 
continue to provide essential transportation services, safely, in the 
event of an emergency. FRA has been an excellent partner as we navigate 
railroading through a pandemic and the relief granted has been part of 
several measures (including following CDC and OSHA guidance) to keep 
railroaders safe.
    The emergency relief granted to the railroads due to the COVID-19 
pandemic can be divided into two categories: (1) to enable railroad 
employees to abide by social distancing requirements and guidelines; 
and (2) to provide relief from certain regulations in the event 
railroads face employee shortages due to illness, quarantine, child 
care responsibilities or other challenges that could prevent attendance 
at work.
    FRA's grants of emergency relief specified strict conditions to be 
complied with by railroads utilizing the relief and included tracking 
processes for any relief exercised. FRA published a list of the 
emergency relief provisions exercised by each railroad in the emergency 
relief public docket. The emergency relief waivers granted by FRA were 
set to expire 60 days from the dates of issuance, or on May 24, May 29, 
and June 9, respectively. In response to a request of waiver 
extensions, the FRA deemed select waivers to be extended to July 21, or 
60 days from the date of issuance. This extension of regulatory relief 
continues to assist railroads with social distancing. Short line 
railroads rely on contractors to perform maintenance tasks. Many of 
these contractors have received mandatory travel restrictions by their 
employers making routine repairs and inspections difficult for short 
lines. This workforce impact is expected to continue, and it is being 
addressed by the emergency docket waiver process.
    While FRA's regulatory relief has been very helpful in the short-
term and we are proud of our members' response in keeping employees 
safe and service running, the future remains uncertain, particularly in 
keeping infrastructure projects moving forward.
    The best thing the Federal government can do is provide as much 
stability and certainty as possible and be a strong partner on 
infrastructure projects that support jobs in the short-and long-term. 
Investments into short line freight rail infrastructure will help the 
economy recover and will at the same time provide useful transportation 
infrastructure that will benefit the country for generations to come. 
This is why we believe it is critical to make the short line (45G) tax 
credit permanent as well as increase funding for and tweak 
transportation grant programs like CRISI, INFRA, and the state freight 
formula program.
    Lastly, this is not the time to make any long-term changes to 
controversial policies like truck size and weight limits or crew size. 
We have attached a one-page document that outlines our recommendations 
for a coronavirus recovery package.
Conclusion
    Thank you for the opportunity to share the short line freight rail 
industry experience during the coronavirus pandemic, and all the 
efforts of your committee during this unprecedented time. We look 
forward to continued partnership as we work to keep serving customers 
and communities safely and efficiently.
                                 ______
                                 
    Response to Written Question Submitted by Hon. Roger Wicker to 
                             John Bozzella
    Question. As we discussed at the hearing, in-vehicle subscription 
services, such as OnStar, can serve as a Wi-Fi hotspot for vehicle 
owners and their families. Can you please include in the record 
additional background on these systems and the extent new vehicles are 
equipped with such systems?
    Answer. Connectivity is an area of tremendous growth and innovation 
throughout the automotive industry. Every year, automakers adopt new 
technologies and services that help further improve safety, convenience 
and user experience for drivers and passengers. These services range 
from communication-based collision avoidance technologies, such as 
vehicle-to-vehicle and vehicle-to infrastructure communications, to 
``concierge services''--such as those provided through OnStar--which 
may include Wi-Fi capability, automatic crash notification, emergency 
roadside assistance, location-based services, and others.\1\
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    \1\ Wards Intelligence defines Concierge Service as, ``a driver 
information service such as GM's OnStar that is above and beyond just 
emergency roadside assistance.''
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    Your question specifically touched on both concierge services and 
Wi-Fi capabilities. These offerings, and how they are packaged varies 
across manufacturers. In fact, as reflected in the data below, many 
vehicles have Wi-Fi capabilities regardless of whether they offer 
concierge services. Wi-Fi capabilities have seen a rapid increase in 
recent years, penetrating a larger portion of the fleet over a 
relatively short period.
    Factory Installed Wi-Fi Capability (U.S. Cars and Light Trucks)\2\
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    \2\ See e.g., Wards Intelligence, ``% Factory Installed Electronic/
ADAS Equipment on U.S. Cars and Light Trucks, '16 Model Year,'' 2/27/
17; WardsIntelligence, ``% Factory Installed Electronic/ADAS Equipment 
on U.S. Cars and Light Trucks, '17 Model Year,'' 1/16/18; 
WardsIntelligence, ``% Factory Installed Electronic/ADAS Equipment on 
U.S. Cars and Light Trucks, '18 Model Year,'' 1/22/19; 
WardsIntelligence,'' % Factory Installed Electronic/ADAS Equipment on 
U.S. Cars and Light Trucks, '19 Model Year,'' 1/2/2020

---------------------------------------------------------------------------
   2017 Model Year--33%

   2018 Model Year--39%

   2019 Model Year--48%

    Factory Installed Concierge Services (U.S. Cars and Light Trucks)

   2017 Model Year--23%

   2018 Model Year--26.2%

   2019 Model Year--29.3%

    Continued growth and innovation in these and other connected 
technologies and services represents one of the most promising and 
exciting opportunities for both auto manufacturers and consumers who 
benefit from these innovations.
                                 ______
                                 
    Response to Written Questions Submitted by Hon. Dan Sullivan to 
                             John Bozzella
    Question 1. There has been continued discussions regarding the need 
for congress to enact funding for infrastructure this year as an 
economic stimulus in response to the pandemic. There is a desire to 
pair surface transportation reauthorization with authorizations and 
funding for Corps of Engineers projects and water/wastewater 
infrastructure. Do you support congressional efforts to pass 
infrastructure legislation?
    Answer. Auto Innovators supports efforts in Congress to craft a 
multi-year reauthorization of surface transportation programs that are 
currently set to expire at the end of September. The certainty provided 
by a long-term surface transportation bill represents a critical step 
in upgrading and modernizing our Nation's roadways and infrastructure 
in a way that envisions a safer, cleaner, and smarter future for 
personal mobility. The need for action on this front is, now, perhaps 
greater than ever as America looks toward recovery from both the public 
health and economic crises caused by COVID-19.

    Question 2. In response to the public health emergency, many 
industries shifted to teleworking to help flatten the curve. Given that 
teleworking is not an option for many critical infrastructure 
employees, how can Congress and this Committee help to mitigate the 
risks to employees that other industries are able to avoid?
    Answer. We are proud of the efforts of our companies to respond to 
the COVID-19 public health crisis, many of which answered the call and 
re-tooled their plants to assist the Nation in manufacturing critically 
needed medical devices and Personal Protective Equipment (PPE). We 
understand that Members of this Committee are examining proposals that 
would provide prioritized access to testing and PPE for key workers. We 
appreciate the Committee's interest in this matter and welcome the 
opportunity to work on this issue, as well as the need for targeted 
liability protections for businesses who make a good-faith effort to 
follow requisite health and safety protocols.
                                 ______
                                 
  Response to Written Question Submitted by Hon. Marsha Blackburn to 
                             John Bozzella
    Question. What supply chain issues is your industry currently 
facing? How can we help here?
    Answer. Despite some lingering challenges due to the public health 
crisis in certain localities in Mexico, the motor vehicle supply chain 
is relatively stable, at present. There is no question, however, that 
the ongoing COVID-19 public health crisis creates tremendous 
uncertainty for complex interstate and international supply chains. If 
states or regional trade partners are forced to revisit the use of more 
restrictive policies on businesses to limit the spread of the virus and 
protect their citizens, there is no doubt that this will stress the 
supply chain even further. If vehicle manufacturers are forced to shut 
down again, there are likely even greater risks to small and medium 
suppliers who rely upon a timely reimbursement from automakers. Due to 
the complex, integrated nature of automotive supply chains, the 
industry has consistently stressed the importance of communication, 
coordination and adoption of consistent health and safety practices in 
states across the U.S., as well as with our regional trading partners--
to ensure the safe and responsible operation of this critical industry 
throughout this ongoing public health crisis. Auto Innovators would 
appreciate the Committee continuing its work to ensure coordination 
across domestic and international supply chains, especially those 
within the North American supplier network.
    The U.S. has an opportunity to remain a leader in automotive 
innovation but this requires fair, open, and competitive global 
markets. The current marketplace realities surrounding manufacturing 
exemplify the risks of the U.S. losing its leadership position relative 
to innovative automotive technologies, especially advanced safety 
technologies, automated vehicles, and battery technologies used in 
electric-drive vehicles.
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Maria Cantwell to 
                             John Bozzella
    Employee Protection during the COVID-19 Public Health Crisis. Both 
to mitigate the spread of the virus and in response to economic 
changes, there have been large reductions in transportation movement, 
as well as, production. The automotive industry shut down virtually all 
of its North American plants for the entire month of April to help 
contain the spread of the virus.
    Freight and passenger rail have had drastic service reductions in 
response to plunging demand, and companies across the country have had 
workers staying home for several months. As states start to lift 
certain restrictions intended to slow the spread of the virus, it is 
imperative that we take the necessary steps to keep workers and the 
travelling public safe while we continue to grapple with the COVID-19 
virus.
    Question 1. Do your members have the information they need to know 
how to protect their employees during the COVID-19 public health 
crisis?
    Answer. Automakers have implemented, and continue to update, robust 
health and safety guidelines based on a variety of information sources 
including CDC guidance, engagement with state and local health 
officials and public health experts, as well as engagement with 
employees and their representatives. In addition, automakers also have 
utilized various lessons learned from the restart of manufacturing 
facilities across the globe that has assisted with the orderly and 
phased restart of U.S. operations.

    Question 2. If so, where did they obtain this information? Is it 
specific to your unique industry and workplace? If not, do you think 
the Federal government needs to provide additional information?
    Answer. Information used to implement, and update, our industry's 
health and safety practices is obtained through CDC Guidance, 
consultation with state and local health officials and public health 
experts, as well as direct engagement with employees and, where 
applicable, their representatives. The auto industry is a global 
industry; therefore, our members, as well as others throughout the 
industry, benefited from lessons learned as international manufacturing 
and supply chain operations came back online.
    While each company may have a different playbook tailored to their 
state or local requirements, or specific work environments, they are 
all deploying robust safety practices as employees return to the 
workplace. These may include, but are not limited to, temperature 
checks, surveying employees for symptoms or warning signs prior to 
returning to work, use of personal protective equipment (PPE), use of 
innovative technologies to monitor social distancing, reimagining the 
workplace to manage spacing on the floor such as protective barriers, 
and limiting access to communal areas.

    Question 3. Are you working with public health experts to ensure 
that, as you reengage the workforce and as service levels start to 
rise, that workers, customers, and passengers can trust they are 
returning to a safe environment?
    Answer. U.S. auto manufacturers and suppliers have focused on the 
health and safety of our workforce and customers throughout the COVID-
19 pandemic. Our companies have built extensive health and safety 
protocols based on CDC guidelines, and direct engagement with public 
health experts and state and local health officials to make sure that 
they can understand, as well as they can, the circumstances on the 
ground. That said, these protocols are dynamic based on protocols and 
recommendations that public health officials provide.
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Kyrsten Sinema to 
                             John Bozzella
    Infrastructure Investment. As we begin to recover from the economic 
impacts of the coronavirus pandemic, many stakeholders from both sides 
of the aisle have proposed a significant investment in our Nation's 
infrastructure to boost the economic recovery. At the same time, 
Congress has the responsibility to reauthorize our surface 
transportation programs this year. Congress needs to consider long-term 
investments in infrastructure, especially given the low interest rates.
    Question 1. How has COVID-19 impacted the landscape for 
infrastructure development?
    Answer. The need for thoughtful, bipartisan action on a multi-year 
surface transportation reauthorization bill is heightened as the auto 
industry, along with the entire nation, adapts to and recovers from the 
COVID-19 public health crisis. Automakers, suppliers, and related 
stakeholders have been impacted by COVID-19 related losses, while 
facing a declining sales trend from which to recoup investments. As the 
industry recovers, however, policymakers and the industry must not lose 
sight of the future. Therefore, governmental policies that support 
market stability will become even more critical as our industry takes 
on the simultaneous challenges of recovering from the pandemic and 
sustaining investments in the innovations that will define the future 
of personal mobility.

    Question 2. From your perspective, what are the key aspects of a 
long-term surface transportation bill?
    Answer. When crafting a multi-year surface transportation bill, 
Congress has a unique opportunity to maintain and expand U.S. 
leadership and innovation in defining the future of advanced automotive 
technologies--including next generation safety technologies such 
vehicle to vehicle communications, vehicle to infrastructure, and 
automated vehicle technologies. To provide the market certainty 
necessary to transform personal mobility in the U.S. and overcome the 
impacts of the COVID public health emergency, policymakers should 
consider the following actions:

   Enacting a Federal framework that provides for full-scale 
        testing and deployment of highly automated vehicles on U.S. 
        roadways

   Preserving the entire 5.9 GHz spectrum for next-generation 
        automotive safety

   Enacting policies at the Federal level that support, and 
        grow, a sustainable market for electric vehicles including the 
        buildout of the necessary charging and hydrogen refueling 
        infrastructure.

   Enact policies that support the development and deployment 
        of the next generation of vehicle safety technologies in a 
        manner that is informed by real world data, encourages 
        innovation, and reflects market realities.

    Question 3. How should Congress pay for infrastructure and what 
sources of revenue would you recommend be included in the legislation?
    Answer. Congress should consider both near term and longer-term 
solutions to ensure that the Highway Trust Fund remains solvent. We 
welcome the opportunity to work with Congress in identifying the 
appropriate revenue sources for a surface transportation bill as the 
process moves forward.
                                 ______
                                 
    Response to Written Questions Submitted by Hon. Dan Sullivan to 
                             Randy Guillot
    Question 1. There has been continued discussions regarding the need 
for congress to enact funding for infrastructure this year as an 
economic stimulus in response to the pandemic. There is a desire to 
pair surface transportation reauthorization with authorizations and 
funding for Corps of Engineers projects and water/wastewater 
infrastructure. Do you support congressional efforts to pass 
infrastructure legislation?
    Answer. ATA strongly supports both short-term infrastructure 
investment and passage of a long-term replacement for the FAST Act. 
These endeavors will shore up state and Federal transportation 
revenues, which have been negatively impacted over the pandemic, while 
also providing a real economic stimulus to the Nation. The dramatic 
reductions in revenue from fuel and retail sales taxes, and in revenue 
from a 12 percent Federal tax on truck purchases, have significantly 
impacted federal, state and local surface transportation resources. As 
a result, state and local transportation agencies have canceled or 
delayed many projects. The result is an already dilapidated and vastly 
underfunded highway system that is deteriorating even more rapidly, 
both in terms of its condition and its performance. Revenue reductions 
have also accelerated the impending insolvency of the Federal Highway 
Trust Fund. The Treasury Department now projects that the HTF will 
begin to go into the red by Spring 2021. Transportation agencies will 
begin to scale back project lettings months before in anticipation of 
reductions in federal-aid money. Therefore, any short-term revenue 
provided to the states for surface transportation will simply prevent 
projects already in the pipeline from being delayed or canceled, and to 
prevent even further job losses.

    Question 2. In response to the public health emergency, many 
industries shifted to teleworking to help flatten the curve. Given that 
teleworking is not an option for many critical infrastructure 
employees, how can Congress and this Committee help to mitigate the 
risks to employees that other industries are able to avoid?
    Answer. Congress and this Committee should continue efforts to 
ensure that essential and ``frontline'' workers--which includes the 
trucking industry--receive prioritization for COVID-19 testing. ATA 
supports prioritizing the healthcare sector for COVID-19 testing 
supplies, and as testing becomes more available and abundant, we urge 
the Federal government to provide COVID-19 testing resources to U.S. 
employers that are engaged in essential business services. Increased 
access to COVID-19 testing for our workforce will help mitigate the 
spread of the coronavirus amongst essential workers by removing people 
who have tested positive from the workplace and will better ensure the 
safety and health of employees who are maintaining operations during 
this pandemic. It is critical that these employees, who are required to 
be at physical worksites in some proximity to other employees and/or 
customers, have prioritized access to testing. We have a responsibility 
to ensure that they can perform their work in a safe environment, and 
access to testing would help us do so.
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Maria Cantwell to 
                             Randy Guillot
    Employee Protection during the COVID-19 Public Health Crisis. Both 
to mitigate the spread of the virus and in response to economic 
changes, there have been large reductions in transportation movement, 
as well as, production. The automotive industry shut down virtually all 
of its North American plants for the entire month of April to help 
contain the spread of the virus.
    Freight and passenger rail have had drastic service reductions in 
response to plunging demand, and companies across the country have had 
workers staying home for several months. As states start to lift 
certain restrictions intended to slow the spread of the virus, it is 
imperative that we take the necessary steps to keep workers and the 
travelling public safe while we continue to grapple with the COVID-19 
virus.
    Question 1. Do your members have the information they need to know 
how to protect their employees during the COVID-19 public health 
crisis?
    Answer. Yes. The Centers for Disease Control and Prevention (CDC) 
and the Occupational Health and Safety Administration (OSHA) have 
released both general and industry-specific employer guidance that 
reflects the public health experts' current understanding of how to 
prevent the spread of COVID-19 in the working environment. ATA members 
have used this guidance to establish through procedures to help protect 
employees in their company's' specific operating environment.
    However, the biggest challenge for employers in protecting drivers 
from COVID-19 is not lack of access to public health information, but 
the ability to ensure that drivers out on the road have an adequate 
place to rest, access to restroom facilities, and can find something to 
eat--all while delivering critical medical supplies, food, and 
protective equipment that keep our communities safe and fed. Truck 
parking is dangerously scarce on a normal day, and the closing of some 
state-run and private facilities at a time of heightened urgency for 
freight deliveries is the most significant risk to our Nation's truck 
drivers.

    Question 2. If so, where did they obtain this information? Is it 
specific to your unique industry and workplace? If not, do you think 
the Federal government needs to provide additional information?
    Answer. As stated above, ATA members have primarily depended on 
OSHA and CDC guidance in obtaining information to protect their 
workforce. ATA joined the Coalition for Workplace Safety (CWS) and 57 
other organizations in providing feedback to the U.S. House 
Subcommittee on Workforce Protections. Specifically, we advised against 
requiring the OSHA to issue an Emergency Temporary Standard (ETS) in 
response to the COVID-19 pandemic. An ETS would be far less agile at 
adapting the Nation's evolving understanding of COVID-19 and the 
societal response to the crisis. Instead, we urged OSHA to consider a 
more nimble and effective solution: continue issuing industry-specific 
guidance based on the latest information from the Centers for Disease 
Control and Prevention (CDC). The guidance that is industry-specific is 
far more effective for our member companies to implement and is 
significantly more sensible than a one-size-fits-all standard that is 
impracticable for a diverse industry like trucking.

    Question 3. Are you working with public health experts to ensure 
that, as you reengage the workforce and as service levels start to 
rise, that workers, customers, and passengers can trust they are 
returning to a safe environment?
    Answer. Yes, ATA is working very closely with CDC, particularly 
with staff from the National Institute for Occupational Safety and 
Health (NIOSH), to ensure the guidance provided meets the needs of the 
entire trucking industry and does not place any undue burdens that 
could come into conflict with DOT regulations or could potentially harm 
safety. Additionally, ATA's federation of state trucking associations 
are working very closely with state and local public health official to 
ensure that trucking companies within those states are able to respond 
quickly to health and safety requirements and guidance to protect the 
trucking workforce.
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Kyrsten Sinema to 
                             Randy Guillot
    Truck Excise Tax. In the wake of the coronavirus pandemic, the 
United States has a clear need for a modern and resilient national 
supply chain. Trucks are responsible for moving critical medical 
supplies to hospitals and keeping essential businesses operating all 
over the country. While trucking companies and drivers are stepping up 
to supply the Nation during the crisis, many have been left out of 
relief efforts. Several Arizona trucking companies and independent 
operators have raised the prospect that a temporary waiver of the 
excise tax on heavy-duty trucks may be a way to help the industry 
recover.
    Question 1. What impact do you think a short-term wavier of the 
excise tax would have on the trucking industry as a whole and do you 
think more needs to be done to protect our national supply chain 
infrastructure?
    Answer. As Congress considers legislation to respond to the 
coronavirus pandemic and assist with economic recovery, we believe that 
Congress should suspend the 12 percent Federal excise tax (FET) on the 
purchase of new heavy-duty trucks and trailers until the end of 2021. A 
suspension of the FET would serve as an effective and immediate policy 
to spur the sales of newer, cleaner and safer trucks and equipment, 
which would retain jobs in the trucking sector as the Nation works to 
rebuild our economy.
    As of June 11, North American Class 8 truck and tractor sales are 
forecasted to decrease 50.9 percent in 2020 from 2019. (333,779 in 
2019; 164,000 in 2020). Similarly, North American trailer sales are 
forecasted to decrease 54.1 percent in 2020 from 2019. (400,636 in 
2019; 183,700 in 2020). And, as a result of government-ordered 
closures, truck manufacturing plants and truck dealers have either 
suspended or scaled back operations.
    To help jump start the economy and ensure our Nation's critical 
supply chain, a suspension of the FET, which increases the cost of new 
heavy-duty trucks and trailers by $22,000 on average, would immediately 
spark the purchase of heavy-duty trucks and trailers. In turn, this 
would help save or bring back the livelihoods of the 7.8 million 
Americans employed in jobs related to trucking. A survey of trucking 
companies in May revealed that 60 percent would be more likely to 
purchase new equipment if the excise tax is suspended. Increased 
purchase of new trucks and trailers, the vast majority of which are 
manufactured domestically, would increase U.S. employment 
opportunities.
    In addition to saving jobs, a suspension of the FET would spur 
sales of today's cleaner and safer heavy-duty trucks and trailers by 
making them more affordable during this difficult economic time. Over 
the past two decades, the trucking industry has made strong 
environmental gains, and today's heavy-duty trucks are cleaner than 
ever before. Cleaner fuel and engines utilizing advanced technologies 
have combined to reduce nitrogen oxide emissions by 97 percent and 
particulate matter emissions by 98 percent. Since 2010, more fuel-
efficient diesel trucks have saved 101 million barrels of crude oil and 
reduced CO2 emissions by 43 million tons. Suspension of the 
tax would also encourage the sale of newer trucks, which have the 
latest safety technologies that help reduce roadway crashes and related 
injuries and fatalities.
    The antiquated 12 percent FET, which was adopted in 1917 to defray 
the costs of World War I, is a prohibitive barrier to investments in 
newer, cleaner, and safer trucks and equipment. It is the highest 
excise tax imposed by the Federal government on any product or service. 
Temporarily suspending this tax will incentivize carriers to purchase 
new trucks and trailers, saving manufacturing jobs and putting cleaner, 
safer trucks on the road.

    Infrastructure Investment. As we begin to recover from the economic 
impacts of the coronavirus pandemic, many stakeholders from both sides 
of the aisle have proposed a significant investment in our Nation's 
infrastructure to boost the economic recovery. At the same time, 
Congress has the responsibility to reauthorize our surface 
transportation programs this year. Congress needs to consider long-term 
investments in infrastructure, especially given the low interest rates.
    Question 2. How has COVID-19 impacted the landscape for 
infrastructure development?
    Answer. With regard to highway infrastructure investment, the 
dramatic reductions in revenue from fuel and retail sales taxes, and in 
revenue from a 12 percent Federal tax on truck purchases, have 
significantly impacted federal, state and local resources. As a result, 
state and local transportation agencies have canceled or delayed many 
projects. The result is an already dilapidated and vastly underfunded 
highway system that is deteriorating even more rapidly, both in terms 
of its condition and its performance. Revenue reductions have also 
accelerated the impending insolvency of the Federal Highway Trust Fund. 
The Treasury Department now projects that the HTF will begin to go into 
the red by Spring 2021. Transportation agencies will begin to scale 
back project lettings months before in anticipation of reductions in 
federal-aid money.

    Question 3. From your perspective, what are the key aspects of a 
long-term surface transportation bill?
    Answer. A long-term surface transportation bill should:

   Provide user-based revenue that is predictable and 
        sufficient to address the needs of the surface transportation 
        system. Research suggests a doubling of investment is required 
        to address all needs.

   Focus on core highway infrastructure goals that improve 
        national and regional mobility. Money should be directed 
        primarily toward the National Highway System, and to the small 
        number of highway bottlenecks that cause a disproportionate 
        share of congestion.

   Avoid shifting more money to non-highway projects and 
        programs. The Transit Account's share should not increase, and 
        new eligibilities, such as for Amtrak, should be avoided. 
        Furthermore, programs and requirements related to greenhouse 
        gas reduction should not increase project costs or impose new 
        requirements that take project selection flexibility away from 
        transportation agencies.

   Protect highway users from harmful highway funding schemes 
        such as tolls on existing Interstates and untested vehicle 
        miles traveled fees.

    Question 4. How should Congress pay for infrastructure and what 
sources of revenue would you recommend be included in the legislation?
    Answer. An increase in the fuel user fee is the most fair, 
equitable and conservative way to pay for highway projects. ATA 
supports an increase of 5 cents per year for 4 years, plus indexing. 
This will raise approximately $340 billion over the first 10 years. The 
cost to motorists will be minimal, with the average passenger vehicle 
driver paying just $2 per week extra. In addition, unlike the 
alternatives, a fuel tax has very low levels of evasion and collection 
cost. While we acknowledge that the fuel tax will eventually have to be 
replaced or supplemented due to changes in vehicle technology, 
Department of Energy projections suggest that it is viable for at least 
another decade. In the meantime, Congress should enact a new user fee 
for vehicles that do not pay a fuel tax and provide a pathway toward a 
new user fee to replace the fuel tax in the future.
                                 ______
                                 
    Response to Written Questions Submitted by Hon. Dan Sullivan to 
                            Ian N. Jefferies
    Question 1. There has been continued discussions regarding the need 
for congress to enact funding for infrastructure this year as an 
economic stimulus in response to the pandemic. There is a desire to 
pair surface transportation reauthorization with authorizations and 
funding for Corps of Engineers projects and water/wastewater 
infrastructure. Do you support congressional efforts to pass 
infrastructure legislation?
    Answer. The rail industry fully supports significant public 
infrastructure funding, is committed to maintaining and furthering a 
robust, environmentally sustainable freight transportation network into 
the future, and believes a clear vision for future recovery includes 
commonsense, bipartisan solutions for all Americans.
    Throughout the COVID-19 pandemic, freight railroads and their 
employees have steadfastly served the American people and have done so 
relying almost entirely on private investments and without public 
support. Railroads are ready to also play a key role in our Nation's 
recovery by delivering the goods America needs, while also continuing 
to safeguard the health and safety of our employees.
    America's freight railroads operate overwhelmingly on 
infrastructure that they own, build, maintain, and pay for themselves 
with little or no government assistance. Railroads also invest on 
average $25 billion per year in private funding to maintain and 
modernize its network in order to improve safety and continue to 
provide responsive service to its customers.
    The freight rail industry's top priority in surface transportation 
reauthorization legislation is to preserve its ability to serve its 
customers and compete successfully in a safe, efficient, and cost 
effective manner. Current policy has also helped railroads continue to 
deliver for their employees and customers during this pandemic, and now 
is not the time to retreat from that framework.
    Other priorities of the freight rail industry include for any 
surface transportation reauthorization/infrastructure legislation 
include:

   Highway-Rail Grade Crossing Safety. Reducing accidents and 
        fatalities at highway-rail grade crossings is of paramount 
        importance given that most collisions are preventable. 
        Engineering solutions (such as closing unneeded crossings and 
        upgrading warning devices), education, and enforcement are key. 
        Freight railroads appreciate the public's interest in grade 
        crossing improvements and support:

     Providing funding for the Section 130 Railway-Highway 
            Crossings program through dedicated formula funding out of 
            the Highway Trust Fund at current or increased levels. 
            Funding for these projects will help to stimulate the 
            economy, while also meeting the significant, widespread 
            demand for these vital safety and highway mobility 
            improvement projects.

     Improving the Section 130 program by: increasing 
            incentive payments for grade crossing closures from the 
            current cap of $7,500 to $100,000; expanding flexibility by 
            eliminating the arbitrary 50 percent cap on spending for 
            hazard elimination projects and by permitting the 
            replacement of certain protective warning devices; and 
            enabling costs incurred by public or private entities for 
            preliminary engineering for grade crossing projects to be 
            counted toward the nonfederal share.

     Enabling or incentivizing states to bundle grade 
            crossing projects into a single grant application under 
            applicable discretionary grant programs, such as BUILD, 
            INFRA or CRISI.

     Providing preference for the award of grants under the 
            CRISI program to applicants that plan to undertake grade 
            crossing projects.

     Requiring future fleets of automated vehicles to 
            provide grade crossing warnings and/or prevent incursions 
            into grade crossings when gates or other protective devices 
            have been activated.

     Authorizing Operation Lifesaver for at least $3 
            million per year through FHWA, FRA, and FTA.

   Innovations in the Deployment of Safety Technologies. Safety 
        and efficiency improvements should be encouraged by the FRA. 
        However, the current regulatory approach to rail safety is 
        largely prescriptive and does not easily allow for the 
        incorporation of the best technologies to improve safety and 
        performance. Freight railroads support the larger goal of 
        moving toward a more performance-based regulatory framework, as 
        well as the use of pilot programs to provide the railroad and 
        safety regulators with data that prove new technological 
        applications that will drive safety and efficiency 
        improvements.

   Project Permitting Reforms. While efforts to cut red tape 
        associated with infrastructure project approval and 
        construction have been successful in recent years, more can 
        still be done to fast-track routine maintenance and replacement 
        construction projects without ignoring environmental or 
        historical preservation concerns. These include:

     Codifying that a categorical exclusion and a Finding 
            of No Significant Impact are the only NEPA documentation 
            necessary for projects where replacement of infrastructure 
            on existing operating railroad right-of-way is the purpose;

     Converting select executive orders on streamlining the 
            permitting process, such as timeclocks, intermediate 
            deadlines and One Decision for large projects, to statute; 
            and

     Continuing to streamline the Section 106 historic 
            preservation review process, especially for projects needed 
            to enhance or maintain safety.

   Funding for Amtrak & Public Partnering with Freight 
        Railroads. Freight railroads support funding for grant programs 
        that enable state and local governments and passenger and 
        commuter railroads to partner with freight railroads to advance 
        projects of mutual interest, including projects to help lessen 
        road and port congestion, enhance safety at highway-rail grade 
        crossings, improve port connectivity, facilitate intercity and 
        commuter rail service, and improve the quality of life for 
        communities. The following programs should continue to be 
        authorized at existing or increased levels: o INFRA 
        Discretionary Grants. Caps should also be upwardly adjusted or 
        removed on multimodal freight eligibility in proportion to 
        General Fund contributions to the HTF.

     BUILD Discretionary Grants. o CRISI Discretionary 
            Grants. o Federal-State Partnership for State of Good 
            Repair Grants.

     Amtrak and state-supported passenger routes.

   Restore the Highway Trust Fund (HTF) to a True User-Based 
        Fund. The receipts into the HTF no longer cover the costs to 
        sustain and repair our Nation's deteriorating bridges and 
        roads, leaving taxpayers to pay billions of dollars each year 
        to cover the shortfall and placing the rail industry at an 
        unfair competitive disadvantage in the freight transportation 
        sector. Freight railroads urge Congress to return the HTF to a 
        sustainable user-based system and ensure that users of 
        infrastructure, including commercial trucks, pay for the damage 
        they inflict on our Nation's roads and bridges.

   Additional Policies that Enhance Safety on the Railroads:

     Support the inclusion of mechanical employees in drug 
            and alcohol testing requirements.

     Support legislation to make permanent the 45G tax 
            credit to upgrade track infrastructure for short line 
            railroads (HR 510/S.203 BRACE Act).

    The reauthorization of our country's surface transportation 
programs presents a unique opportunity for Congress to stimulate our 
economy by providing robust, transformative investments in 
infrastructure that will reduce congestion, improve efficiency and 
resiliency, address climate change, and create new, good-paying jobs. 
Freight railroads urge Congress to reject controversial policy riders 
that could hinder our Nation's economic recovery, including: harmful 
economic regulation; permitting longer or heavier trucks on our 
Nation's roads and bridges; mandating specific operating models, such 
as minimum railroad crew size; prohibiting the transportation of 
liquefied natural gas by rail; and facilitating property takings of 
railroad rights-of-way for the speedy rollout of broadband service. 
Unfortunately, several of these provisions are included in the most 
recent House of Representatives' surface transportation 
reauthorization/infrastructure bills, the INVEST in America and Moving 
Forward Acts.
    Freight railroads remain focused on helping to address the ongoing 
pandemic and playing a key role in our Nation's future economic 
recovery. These policy riders could undermine the rail industry's 
efforts to accomplish those goals by limiting our capacity to safely 
and efficiently get our customers' goods to market, compete on an equal 
playing field with other modes of transportation, improve and maintain 
our networks to meet the Nation's freight transportation demand, and 
add good-paying jobs to meet growing freight transportation demand.
    For a complete list of the freight rail industry's priorities for 
surface transportation reauthorization, please visit: https://
www.aar.org/wp-content/uploads/2020
/02/AAR-FAST-Act-Reauthorization-Priorities.pdf.

    Question 2. In response to the public health emergency, many 
industries shifted to teleworking to help flatten the curve. Given that 
teleworking is not an option for many critical infrastructure 
employees, how can Congress and this Committee help to mitigate the 
risks to employees that other industries are able to avoid?
    Answer. Freight railroads are grateful to their roughly 150,000 
employees for keeping the rail network running. As the COVID-19 
pandemic continues to evolve across the globe, the industry remains 
focused on safeguarding the health and safety of the rail workforce 
while working tirelessly to maintain the flow of goods necessary to 
preserve public health, sustain families, and keep supply chains 
moving.
    Railroads quickly took extensive steps to protect their employees 
and contain, mitigate, and respond to the coronavirus outbreak. 
Railroads have and will continue to diligently adhere to guidelines and 
recommendations from the Centers for Disease Control and Prevention, 
the Occupational Safety and Health Administration, and other health 
professionals. Railroads also remain in constant communication with 
other Federal partners, including the Departments of Transportation and 
Homeland Security, as well as state and local officials on evolving 
public health developments and efforts to contain the spread of the 
virus.
    For employees whose jobs require them to work on-site or in the 
field, railroads worked to quickly and safely implement appropriate 
social distancing policies and establish rigorous cleaning protocols 
for their work environments (i.e., sanitation of locomotive cabs). The 
use of gloves, masks, and other protective devices is ubiquitous on 
railroads now, as are self-isolation protocols for those potentially 
exposed to the virus or showing symptoms. Railroads transitioned most 
of their office employees to telework arrangements and began using 
technology whenever possible to replace face-to-face interaction. 
Access by visitors to rail facilities has also been sharply curtailed.
    Railroads are providing timely information to employees on these 
matters through various communications channels, such as e-mail, 
virtual town-halls, newsletters, freight railroad intranets, and 
conference calls. Railroads are also bolstering the efforts of their 
own internal medical teams and increasing their emotional and mental 
health resources to ensure their large, dispersed workforce remains 
supported.
    Freight railroads thank Congress for its past and ongoing efforts 
to help the country--both its citizens and businesses--recover and 
rebuild from the COVID-19 pandemic. To help maintain the safety and 
health of the rail workforce during the COVID-19 pandemic, Congress 
should:

   Focus on funding and reject controversial policy riders 
        including harmful economic regulation; permitting longer or 
        heavier trucks on our Nation's roads and bridges; mandating 
        specific operating models, such as minimum railroad crew size; 
        and facilitating property takings of railroad rights-of-way for 
        the speedy rollout of broadband service. Now is not the time to 
        seek inclusion of controversial matters; instead it is 
        essential that policies not be enacted that would undermine the 
        freight rail industry's ability to safely and efficiently get 
        our customers' goods to market, compete on an equal playing 
        field with other modes of transportation, and improve and 
        maintain our networks to meet the Nation's freight 
        transportation demand.

   Prioritize access to testing and protective equipment for 
        essential critical infrastructure workers. Freight railroads 
        thank the Committee for S. 3728, the Critical Infrastructure 
        Employee Protection Act of 2020, and believe that their 
        employees, as well as other essential critical infrastructure 
        workers, should be given priority access to testing, personal 
        protective equipment, sanitizers, non-medical grade facial 
        coverings, and other health-related or protective supplies.

   Ensure parity in the treatment of rail labor. Freight 
        railroads thank Congress for including in the CARES Act the 
        needed updates to Railroad Unemployment Insurance (RUI) that 
        ensured our employees were treated similarly to the rest of our 
        Nation's workforce. As Congress continues to identify solutions 
        and policy that will help our Nation's workers and families, 
        freight railroads ask that you also consider removing RUI from 
        the effects of sequester. RUI is the only unemployment 
        insurance program subjected to those reductions, which were 
        enacted into law in the Budget Control Act of 2011.

   Provide additional administrative funding for the Railroad 
        Retirement Board (RRB). As you know, railroaders' RUI benefits 
        are administered by the RRB. Freight railroads support 
        providing this funding to modernize the RRB's IT capabilities 
        in order to better serve the needs of our employees, including 
        improved processing of unemployment benefits.
                                 ______
                                 
  Response to Written Question Submitted by Hon. Marsha Blackburn to 
                            Ian N. Jefferies
    Question. We genuinely appreciate all the work that the Class I 
railroads are doing to support the U.S. economy. Could you please tell 
me how regional and short line railroads assist in these endeavors?
    Answer. Short line and regional railroads are a vital component of 
America's freight transportation system. Approximately 600 short line 
and regional railroads operate around 44,000 miles of rail in 48 
states, employing roughly 18,000 workers and earning several billion 
dollars in annual revenues. These railroads range in size from tiny 
operations handling a few carloads per month to multi-state operations 
spanning more than a thousand miles. Typically, short line and regional 
railroads perform a gathering and distributing function, often linking 
rural businesses and communities to the Nation's supply chains and 
high-volume Class I rail lines. In fact, short line and regional 
railroads originate or terminate an estimated one out of every four 
carloads moved by U.S. railroads, and a typical Class I railroad 
exchanges traffic with scores of short line and regional railroads.
    During the COVID-19 pandemic, short line and regional railroads, 
similar to their Class I counterparts, are striving, first and 
foremost, to safeguard their employees' health and safety by 
implementing social distancing policies, establishing rigorous cleaning 
protocols for work environments, and using appropriate personal 
protective devices. Throughout the pandemic, short line and regional 
railroads have strived to continue to offer the cost effective, 
environmentally friendly, reliable, and safe service that their 
customers and our economy demand. As the American Short Line and 
Regional Railroad Association points out, during the COVID-19 pandemic, 
short line and regional railroads have often been the final link 
between suppliers and customers needing critical goods. These railroads 
have also been active in moving the items most in demand and are making 
special efforts to expedite shipments of goods that are in short supply 
or urgently needed.
    Without question, short line and regional railroads play an 
important role in the operation of our Nation's rail network and help 
to maintain the flow of goods necessary to preserve public health, 
sustain families, and keep supply chains moving.
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Maria Cantwell to 
                            Ian N. Jefferies
    Employee Protection during the COVID-19 Public Health Crisis. Both 
to mitigate the spread of the virus and in response to economic 
changes, there have been large reductions in transportation movement, 
as well as, production. The automotive industry shut down virtually all 
of its North American plants for the entire month of April to help 
contain the spread of the virus.
    Freight and passenger rail have had drastic service reductions in 
response to plunging demand, and companies across the country have had 
workers staying home for several months. As states start to lift 
certain restrictions intended to slow the spread of the virus, it is 
imperative that we take the necessary steps to keep workers and the 
travelling public safe while we continue to grapple with the COVID-19 
virus.
    Question 1. Do your members have the information they need to know 
how to protect their employees during the COVID-19 public health 
crisis?

    Question 2. If so, where did they obtain this information? Is it 
specific to your unique industry and workplace? If not, do you think 
the Federal government needs to provide additional information?
    Answer to 1 and 2. Freight railroads are grateful to their roughly 
150,000 employees for keeping the rail network running. As the COVID-19 
pandemic continues to evolve across the globe, the industry remains 
focused on safeguarding the health and safety of the rail workforce 
while working tirelessly to maintain the flow of goods necessary to 
preserve public health, sustain families, and keep supply chains 
moving.
    Railroads quickly took extensive steps to protect their employees 
and contain, mitigate, and respond to the coronavirus outbreak. 
Railroads will continue to diligently adhere to guidelines and 
recommendations from the Centers for Disease Control and Prevention 
(CDC), the Occupational Safety and Health Administration (OSHA), and 
other health professionals. Railroads also remain in constant 
communication with other Federal partners, including the Departments of 
Transportation (DOT) and Homeland Security (DHS), as well as state and 
local officials on evolving public health developments and efforts to 
contain the spread of the virus.
    For employees whose jobs require them to work on-site or in the 
field, railroads worked to quickly and safely implement appropriate 
social distancing policies and establish rigorous cleaning protocols 
for their work environments (i.e., sanitation of locomotive cabs). The 
use of gloves, masks, and other protective devices is ubiquitous on 
railroads now, as are self-isolation protocols for those potentially 
exposed to the virus or showing symptoms. Railroads transitioned most 
of their office employees to telework arrangements and began using 
technology whenever possible to replace face-to-face interaction. 
Access by visitors to rail facilities has also been sharply curtailed.
    Railroads are providing timely information to employees on these 
matters through various communications channels, such as e-mail, 
virtual town-halls, newsletters, freight railroad intranets, and 
conference calls. Railroads are also bolstering the efforts of their 
own internal medical teams and increasing their emotional and mental 
health resources to ensure their large, dispersed workforce remains 
supported.
    Thankfully, my understanding is that, due to railroads' preventive 
measures and the diligence of their employees, the number of confirmed 
COVID-19 cases among freight rail employees has been relatively low to 
date. Moreover, I am not aware of any instances in which Class I 
railroads have been unable to serve customers or suffered meaningful 
business interruptions due to pandemic-related railroad crew shortages.

    Question 3. Are you working with public health experts to ensure 
that, as you reengage the workforce and as service levels start to 
rise, that workers, customers, and passengers can trust they are 
returning to a safe environment?
    Answer. Freight railroads thank Congress for its past and ongoing 
efforts to help the country--both its citizens and businesses--recover 
and rebuild economically from the COVID-19 pandemic. The industry has 
seen rail volumes during this pandemic fall as demand for customers' 
products has decreased. These recent rail traffic declines span the 
industrial spectrum, reflecting the widespread economic shock caused by 
the pandemic.
    The answers to the big economic questions right now are unknowable: 
how deep will the pandemic-created economic hole end up being, how long 
will it take to dig out of it; and what shape will the recovery take. 
Railroads are prepared to play a role in the Nation's future recovery 
by continuing to offer safe, reliable, and cost-effective freight 
transportation service as their customers' demand increases.
    Freight railroads also intend to continue taking the steps 
necessary to maintain the safety and health of their workforce and will 
continue to diligently adhere to guidelines and recommendations from 
the CDC, OSHA, and other health professionals. Railroads also remain in 
constant communication with other Federal partners, including the DOT 
and DHS, as well as state and local officials on evolving public health 
developments and efforts to contain the spread of the virus.
    Freight railroads will also remain in close collaboration with 
their customers. It's too early to say when the current crisis will 
end, but when it does--and it will--railroads will be ready to quickly 
ramp up their capabilities, so that our Nation's freight transportation 
needs continue to be fully met. In fact, while rail volumes continue to 
be lower than average, they have improved since their lows earlier in 
the spring.
    To help maintain the safety and health of the rail workforce during 
the COVID-19 pandemic, Congress should:

   Focus on funding and reject controversial policy riders 
        including: harmful economic regulation; permitting longer or 
        heavier trucks on our Nation's roads and bridges; mandating 
        specific operating models, such as minimum railroad crew size; 
        and facilitating property takings of railroad rights-of-way for 
        the speedy rollout of broadband service. Now is not the time to 
        seek inclusion of controversial matters; instead it is 
        essential that policies not be enacted that would undermine the 
        freight rail industry's ability to safely and efficiently get 
        our customers' goods to market, compete on an equal playing 
        field with other modes of transportation, and improve and 
        maintain our networks to meet the Nation's freight 
        transportation demand.

   Prioritize access to testing and protective equipment for 
        essential critical infrastructure workers. Freight railroads 
        thank the Committee for S. 3728, the Critical Infrastructure 
        Employee Protection Act of 2020, and believe that their 
        employees, as well as other essential critical infrastructure 
        workers, should be given priority access to testing, personal 
        protective equipment, sanitizers, non-medical grade facial 
        coverings, and other health-related or protective supplies.

   Ensure parity in the treatment of rail labor. Freight 
        railroads thank Congress for including in the CARES Act the 
        needed updates to Railroad Unemployment Insurance (RUI) that 
        ensured our employees were treated similarly to the rest of our 
        Nation's workforce. As Congress continues to identify solutions 
        and policy that will help our Nation's workers and families, 
        freight railroads ask that you also consider removing RUI from 
        the effects of sequester. RUI is the only unemployment 
        insurance program subjected to those reductions which were 
        enacted into law in the Budget Control Act of 2011.

   Provide additional administrative funding for the Railroad 
        Retirement Board (RRB). As you know, railroaders' RUI benefits 
        are administered by the RRB. Freight railroads support 
        providing this funding to modernize the RRB's IT capabilities 
        in order to better serve the needs of our employees, including 
        improved processing of unemployment benefits.
                                 ______
                                 
     Response to Written Question Submitted by Hon. Jacky Rosen to 
                            Ian N. Jefferies
    Longer Trains. During the June 3, 2020, hearing of the U.S. Senate 
Committee on Commerce, Science, and Transportation regarding, ``The 
State of Transportation and Critical Infrastructure: Examining the 
Impact of the COVID-19 Pandemic,'' you discussed some of the challenges 
facing the rail industry.
    As rail intermodal volume has fallen, we have seen in Nevada the 
combining of intermodal traffic into trains which are running at 
lengths in the range of 13,000 to 16,000 feet. Freight has seen a 
decline in volume by over 17 percent as the demand for commodities, 
such as crude oil, coal, and imports from Asia has declined. To address 
this decline, it has been reported that railroads have suspended 
locomotives and turned to combining general merchandise and commodities 
as cost cutting measures to address the industry's economic shortfall. 
But there are concerns regarding the safety of trains of this length, 
and these trains are not keeping their designated schedules due to 
operational problems associated with them. Additionally, these trains 
are resulting in longer occupancy of roadway crossings, creating delays 
for both motorists as well as road-based freight.
    Question. I have heard from stakeholders in Nevada who have shared 
their concerns about the environmental and safety impacts of longer 
train lengths. Can you address these concerns? And as rail intermodal 
traffic returns to normal schedules, what can we expect with regard to 
the length of train cars? Can we expect them to go back to pre-pandemic 
lengths?
    Answer. Given that each railroad has its own unique service area 
and customers, it should not be surprising that each railroad also has 
its own unique operational plan that utilizes its assets and best 
serves its customers in as safe and efficient a manner as possible. 
Railroads take numerous steps to ensure the safe operation of any 
train--no matter the length. As a result of these measures and average 
annual private investments of $25 billion to maintain and modernize its 
infrastructure, America's rail industry has achieved significant safety 
improvement across every recorded category over the last 20 years. 
Since 2000, train accident and hazmat accident rates are down 34 
percent and 66 percent, respectively, while rail employee fatalities in 
2019 reached at an all-time low with numbers in the single digits for 
the first time in history. Furthermore, these investments have resulted 
in significant efficiency gains, with the average rail shipper being 
able to move almost double the amount of freight today for the same 
price it paid 40 years ago. Finally, these investments continue to 
maintain the rail industry as the most sustainable way to move goods 
over land, as a freight train, on average, now moves one ton of freight 
more than 470 miles on one gallon of fuel.
    Maximum train length is generally determined by the capabilities of 
the infrastructure, such as whether there are single or double tracks 
or whether there are sidings long enough to accommodate a train that 
needs to pull over. Railroads also employ sophisticated modeling tools 
that can reliably simulate the performance of any train, factoring in 
the terrain, the location of the route, and any changes in train 
makeup, including additional rail cars and/or locomotives, before that 
train is actually run. Following those simulations, railroads can 
evaluate the performance of the train in the simulation, review past 
history of the route, incorporate rules for the proper operation of 
that route, perform a supervised pilot, or monitor initial trains. 
Railroads also provide focused training to crews on any of these new 
changes.
    Without question, the pandemic has caused a significant loss in the 
demand for goods, and railroads have had to respond to those changing 
business conditions and projected lower demand for rail cars. As of 
June 27, 2020, total combined U.S. rail traffic (carloads and 
intermodal units) was down 13.2 percent as compared to last year. 
However, this economic downturn has had no bearing on changes in train 
length. Additionally, regardless of the ongoing pandemic or other 
economic factors, the rail industry remains committed to the safety of 
its operations and will continue to take efforts to ensure that every 
train is operated safely.
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Kyrsten Sinema to 
                            Ian N. Jefferies
    Infrastructure Investment. As we begin to recover from the economic 
impacts of the coronavirus pandemic, many stakeholders from both sides 
of the aisle have proposed a significant investment in our Nation's 
infrastructure to boost the economic recovery. At the same time, 
Congress has the responsibility to reauthorize our surface 
transportation programs this year. Congress needs to consider long-term 
investments in infrastructure, especially given the low interest rates.
    Question 1. How has COVID-19 impacted the landscape for 
infrastructure development?
    Answer. Throughout the COVID-19 pandemic, freight railroads have 
sought to continue to provide high levels of safe, reliable service to 
their customers, operate efficiently, and preserve their financial 
stability and integrity. Today, America's world-class freight rail 
network spans nearly 140,000 miles, and our Nation's freight railroads 
operate overwhelmingly on infrastructure that they own, build, 
maintain, and pay for themselves with little or no government 
assistance. Railroading is a capital-intensive industry, and railroads 
invest on average $25 billion per year in capital investments and 
maintenance expenses related to locomotives, freight cars, tracks, 
bridges, tunnels, and other infrastructure and equipment.
    These ongoing investments have enabled the rail industry to 
maintain and modernize its network to improve the safety of its 
operations and provide its customers with responsive service, close 
collaboration, and nimble operational adjustments, including during the 
ongoing pandemic when virtually every railroad customer has had to 
change its operations in some form. In recent years, railroads have 
also continued to evolve their operating practices, producing more 
resilient networks that put them in a strong position to navigate the 
current market disruptions. By and large, America's freight railroads 
are running better than ever, keeping North America's supply chains 
moving and delivering critical products where they're needed. Railroads 
are also making special efforts to expedite shipments of goods that are 
in short supply or urgently needed.
    Railroads are also preparing to help our Nation's economy grow in 
the years ahead by being able to handle its increased freight 
transportation demand. Railroads will continue to invest in their 
infrastructure, prioritizing projects that lead to safer, more reliable 
train operations, as well as make significant operational and 
technological improvements that improve fuel efficiency, limit 
greenhouse gas emissions, and keep the rail industry as the most 
environmentally sustainable land mode of freight transportation.
    While railroads would prefer more traffic operating on their 
networks than they currently have, they are taking advantage of reduced 
traffic levels by fast-forwarding maintenance and construction 
activity, as appropriate, to further strengthen their networks and make 
them better able to serve their customers and our Nation in the years 
ahead. As demand returns, railroads' improved service capabilities will 
allow for them to more safely, reliably, and cost-effectively meet the 
increasing freight transportation needs of their customers, while also 
providing some of the highest-paying jobs in America.

    Question 2. From your perspective, what are the key aspects of a 
long-term surface transportation bill?
    Answer. The rail industry fully supports significant public 
infrastructure funding, is committed to maintaining and furthering a 
robust, environmentally sustainable freight transportation network into 
the future, and believes a clear vision for future recovery includes 
commonsense, bipartisan solutions for all Americans.
    Throughout the COVID-19 pandemic, freight railroads and their 
employees have steadfastly served the American people and have done so 
relying almost entirely on private investments and without public 
support. Railroads are ready to also play a key role in our Nation's 
recovery by delivering the goods America needs, while also continuing 
to safeguard the health and safety of our employees.
    As previously mentioned, America's freight railroads operate 
overwhelmingly on infrastructure that they own, build, maintain, and 
pay for themselves with little or no government assistance. Railroads 
also invest on average $25 billion per year in private funding to 
maintain and modernize its network in order to improve safety and 
continue to provide responsive service to its customers.
    The freight rail industry's top priority in surface transportation 
reauthorization legislation is to preserve its ability to serve its 
customers and compete successfully in a safe, efficient, and cost 
effective manner. Current policy has also helped railroads continue to 
deliver for their employees and customers during this pandemic, and now 
is not the time to retreat from that framework.
    Other priorities of the freight rail industry include for any 
surface transportation reauthorization legislation include:

   Highway-Rail Grade Crossing Safety. Reducing accidents and 
        fatalities at highway-rail grade crossings is of paramount 
        importance given that most collisions are preventable. 
        Engineering solutions (such as closing unneeded crossings and 
        upgrading warning devices), education, and enforcement are key. 
        Freight railroads appreciate the public's interest in grade 
        crossing improvements and support:

     Providing funding for the Section 130 Railway-Highway 
            Crossings program through dedicated formula funding out of 
            the Highway Trust Fund at current or increased levels. 
            Funding for these projects will help to stimulate the 
            economy, while also meeting the significant, widespread 
            demand for these vital safety and highway mobility 
            improvement projects.

     Improving the Section 130 program by: increasing 
            incentive payments for grade crossing closures from the 
            current cap of $7,500 to $100,000; expanding flexibility by 
            eliminating the arbitrary 50 percent cap on spending for 
            hazard elimination projects and by permitting the 
            replacement of certain protective warning devices; and 
            enabling costs incurred by public or private entities for 
            preliminary engineering for grade crossing projects to be 
            counted toward the non-federal share.

     Enabling or incentivizing states to bundle grade 
            crossing projects into a single grant application under 
            applicable discretionary grant programs, such as BUILD, 
            INFRA or CRISI.

     Providing preference for the award of grants under the 
            CRISI program to applicants that plan to undertake grade 
            crossing projects.

     Requiring future fleets of automated vehicles to 
            provide grade crossing warnings and/or prevent incursions 
            into grade crossings when gates or other protective devices 
            have been activated.

     Authorizing Operation Lifesaver for at least $3 
            million per year through FHWA, FRA, and FTA.

   Innovations in the Deployment of Safety Technologies. Safety 
        and efficiency improvements should be encouraged by the FRA. 
        However, the current regulatory approach to rail safety is 
        largely prescriptive and does not easily allow for the 
        incorporation of the best technologies to improve safety and 
        performance. Freight railroads support the larger goal of 
        moving toward a more performance-based regulatory framework, as 
        well as the use of pilot programs to provide the railroad and 
        safety regulators with data that prove new technological 
        applications that will drive safety and efficiency 
        improvements.

   Project Permitting Reforms. While efforts to cut red tape 
        associated with infrastructure project approval and 
        construction have been successful in recent years, more can 
        still be done to fast-track routine maintenance and replacement 
        construction projects without ignoring environmental or 
        historical preservation concerns. These include:

     Codifying that a categorical exclusion and a Finding 
            of No Significant Impact are the only NEPA documentation 
            necessary for projects where replacement of infrastructure 
            on existing operating railroad right-of-way is the purpose;

     Converting select executive orders on streamlining the 
            permitting process, such as timeclocks, intermediate 
            deadlines, and One Decision for large projects, to statute; 
            and

     Continuing to streamline the Section 106 historic 
            preservation review process, especially for projects needed 
            to enhance or maintain safety.

   Funding for Amtrak & Public Partnering with Freight 
        Railroads. Freight railroads support funding for grant programs 
        that enable state and local governments and passenger and 
        commuter railroads to partner with freight railroads to advance 
        projects of mutual interest, including projects to help lessen 
        road and port congestion, enhance safety at highway-rail grade 
        crossings, improve port connectivity, facilitate intercity and 
        commuter rail service, and improve the quality of life for 
        communities. The following programs should continue to be 
        authorized at existing or increased levels:

     INFRA Discretionary Grants. Caps should also be 
            upwardly adjusted or removed on multimodal freight 
            eligibility in proportion to General Fund contributions to 
            the HTF.

     BUILD Discretionary Grants.

     CRISI Discretionary Grants.

     Federal-State Partnership for State of Good Repair 
            Grants.

     Amtrak and state-supported passenger routes.

   Additional Policies that Enhance Safety on the Railroads

     Support the inclusion of mechanical employees in drug 
            and alcohol testing requirements.

     Support legislation to make permanent the 45G tax 
            credit to upgrade track infrastructure for short line 
            railroads (HR 510/S.203 BRACE Act).

    The reauthorization of our country's surface transportation 
programs presents a unique opportunity for Congress to stimulate our 
economy by providing robust, transformative investments in 
infrastructure that will reduce congestion, improve efficiency and 
resiliency, address climate change, and create new, good-paying jobs. 
Freight railroads urge Congress to reject controversial policy riders 
that could hinder our Nation's economic recovery, including: harmful 
economic regulation; permitting longer or heavier trucks on our 
Nation's roads and bridges; mandating specific operating models, such 
as minimum railroad crew size; prohibiting the transportation of 
liquefied natural gas by rail; and facilitating property takings of 
railroad rights-of-way for the speedy rollout of broadband service. 
Unfortunately, several of these provisions are included in the most 
recent House of Representatives' surface transportation 
reauthorization/infrastructure bills, the INVEST in America and Moving 
Forward Acts.
    Freight railroads remain focused on helping to address the ongoing 
pandemic and playing a key role in our Nation's future economic 
recovery. These policy riders could undermine the rail industry's 
efforts to accomplish those goals by limiting our capacity to safely 
and efficiently get our customers' goods to market, compete on an equal 
playing field with other modes of transportation, improve and maintain 
our networks to meet the Nation's freight transportation demand, and 
add good-paying jobs to meet growing freight transportation demand.
    For a complete list of the freight rail industry's priorities for 
surface transportation reauthorization, please visit: https://
www.aar.org/wp-content/uploads/2020
/02/AAR-FAST-ActReauthorization-Priorities.pdf.

    Question 3. How should Congress pay for infrastructure and what 
sources of revenue would you recommend be included in the legislation?
    Answer. As you know, the Highway Trust Fund (HTF) is the financial 
mechanism for building, maintaining, and repairing Federal roads and 
bridges. Since the 1950s, drivers of motor vehicles and commercial 
trucks have paid Federal taxes on each gallon of gasoline to support 
the HTF. Although this ``user-pay'' system worked more than half a 
century ago, receipts into the HTF no longer cover the costs to sustain 
and repair the Nation's deteriorating bridges and roads, leaving 
taxpayers to pay billions of dollars each year to cover that shortfall. 
In fact, the Congressional Budget Office estimates the HTF will be 
depleted in 2021. Congress must initiate a national, bipartisan effort 
to ensure users of infrastructure pay to maintain that infrastructure.
    Gas taxes are insufficient. The current gas tax of 18.4 cents per 
gallon of gasoline and 24.4 cents per gallon of diesel fuel was last 
increased in 1993 and proves less effective each year. This shortfall 
has only been exacerbated by the recent decrease in gas tax revenue due 
to lower traffic volumes stemming from the COVID-19 pandemic. 
Additionally, the current gas tax is too low to ensure each user pays 
their fair share of the wear and tear they cause. For instance, 
according to the Federal Highway Administration, a truck weighing 
80,000 pounds is estimated to only be paying for 80 percent of the 
damage they inflict on infrastructure.
    Policymakers must require more from those who use--and damage--our 
nation's infrastructure the most. Research has already shown that 
financing highway expenditures by charging drivers and truckers for the 
distance they drive in the form of a tax on vehicle miles traveled 
(VMT) is a more sustainable funding model than gas taxes. Additionally, 
six states are currently exploring the potential benefits of 
implementing a weight distance tax (WDT). This ongoing research is 
showing multiple benefits, including:

   More efficient use of infrastructure. The Government 
        Accountability Office noted that ``mileage-based user fee 
        initiatives in the U.S. and abroad show that such fees can lead 
        to more equitable and efficient use of roadways by charging 
        drivers based on their actual road use and by providing pricing 
        incentives to reduce road use.''

   Restoring modal equity. Railroads are currently at a 
        competitive disadvantage because they--not taxpayers--pay to 
        maintain and modernize the Nation's nearly 140,000-mile freight 
        rail network, pumping $25 billion on average annually into 
        their infrastructure to directly benefit businesses, consumers, 
        and the passenger rail systems that use freight rail tracks. 
        Commercial trucks, however, underpay their Federal cost 
        responsibility by around 27 cents per gallon of fuel. Requiring 
        trucks to pay their full share will even the playing field 
        between trucks and trains.

    Taxpayers should not be required to cover the shortfall in funding 
for our Nation's infrastructure. Freight railroads urge Congress to 
return the HTF to a sustainable system and ensure that users of 
infrastructure, including commercial trucks, pay for the damage they 
inflict on our Nation's roads and bridges.
                                 ______
                                 
    Response to Written Questions Submitted by Hon. Dan Sullivan to 
                              Alex Oehler
    Question 1. There has been continued discussions regarding the need 
for congress to enact funding for infrastructure this year as an 
economic stimulus in response to the pandemic. There is a desire to 
pair surface transportation reauthorization with authorizations and 
funding for Corps of Engineers projects and water/wastewater 
infrastructure. Do you support congressional efforts to pass 
infrastructure legislation?
    Answer. We believe that energy infrastructure development will play 
a critical role in stimulating and sustaining America's economic 
recovery. America needed more natural gas transportation capacity 
before the pandemic, and we believe the same will be true moving 
forward. Pipeline projects themselves often employ thousands of people, 
generate significant tax revenue for states and localities, and 
contribute billions of dollars to the economy in capital expenditures 
and job creation as affordable energy supplies flow to a particular 
area. These economic benefits are needed now more than ever.
    Pipeline infrastructure development is federally regulated but 
financed with private capital, so our industry does not pursue Federal 
funding to support our operations or new construction. In order to 
encourage the timely deployment of capital for needed energy 
infrastructure projects, Congress should ensure that a predictable and 
efficient process is in place for the Federal and state review of 
proposed projects.
    Although surface transportation legislation tends to focus on modes 
of transportation other than pipelines, permitting provisions of prior 
surface reauthorizations applied to infrastructure projects broadly, 
including pipeline projects. We ask Congress to again consider steps to 
make project permitting more efficient and predictable for all forms of 
infrastructure projects in order to help put Americans back to work and 
grow our economy.
    Also, separate from the surface transportation bill, INGAA 
continues to support Pipeline Safety Act reauthorization legislation 
that increases funding for Federal and state pipeline safety programs 
and establishes clear policy priorities for the PHMSA. Reauthorizing 
our Nation's pipeline safety program could help provide stability as 
PHMSA and state pipeline safety agencies work to recover from COVID-19 
and adapt to the dynamic environment that we will all be living and 
working in for the months to come.
    As you know, PHMSA's authorization expired last September. We 
appreciate the Committee's work to advance a bipartisan reauthorization 
bill last July and look forward to continuing working with you on this 
important legislation.

    Question 2. In response to the public health emergency, many 
industries shifted to teleworking to help flatten the curve. Given that 
teleworking is not an option for many critical infrastructure 
employees, how can Congress and this Committee help to mitigate the 
risks to employees that other industries are able to avoid?
    Answer. The interstate natural gas pipeline industry is 
relentlessly committed to its obligation to operate safely, reliably, 
and responsibly. This includes continuing to serve our communities 
throughout the COVID-19 emergency while also taking every step 
necessary to protect the health of our workforce and the public. 
INGAA's members have made significant changes to their operations to 
confront COVID-19 and protect their employees and communities, 
including our employees whose responsibilities do not allow for 
telework.
    As operators of essential energy infrastructure systems, our 
members have developed robust contingency plans to ensure that natural 
gas deliveries reliably continue in the face of unexpected events such 
as extreme weather, security intrusions, or unscheduled maintenance 
outages. These contingency plans were already in place prior to the 
onset of COVID-19. INGAA's members quickly responded to COVID-19 by 
updating existing contingency plans to reflect guidance issued by 
public health officials.
    Congress can reinforce our efforts by passing legislation to 
coordinate the provision of COVID19 testing, personal protective 
equipment (PPE), and other health-related supplies for essential 
critical infrastructure workers. We strongly support S. 3728, the 
Critical Infrastructure Employee Protection Act of 2020, which you and 
other members of this Committee introduced on a bipartisan basis.
    S. 3728 ensures the continuance of important coordination efforts 
between Federal agencies and state and local governments that are 
already underway to ensure that COVID-19 testing, PPE, and other 
supplies are available to essential critical infrastructure workers. 
Several Federal agencies, including FEMA, CDC, DOE, and CISA, have 
taken a lead role in working with state and local agencies to ensure 
that essential critical infrastructure workers have sufficient access 
to COVID-19 testing, PPE, and other health-related supplies. 
Availability of these supplies has been limited at certain times and in 
certain areas. We are grateful for the joint efforts of federal, state, 
and local agencies to-date, and it is important that this coordination 
continues in the months to come as ``stay at home'' orders and similar 
restrictions are loosened, which could create a surge in demand for 
necessary supplies. Of course, patients, healthcare workers, and first 
responders should always be first in line to receive these supplies.
                                 ______
                                 
  Response to Written Questions Submitted by Hon. Marsha Blackburn to 
                              Alex Oehler
    Question. I was informed that a recent Montana court ruling to 
vacate the Army Corps Nationwide Permit in April has thrown your 
sector's construction plans into a state of uncertainty. Can you speak 
to the impact of this decision?
    Answer. Yes. The District Court for the District of Montana 
recently vacated and enjoined the use of a key permit, U.S. Army Corps 
(USACE) Nationwide Permit 12 (NWP 12), for the construction of new oil 
and natural gas pipeline projects.\1\ The District Court ruled that 
when the USACE reissued NWP 12 in 2017, the agency failed to engage in 
a programmatic consultation with the U.S. Fish and Wildlife Service and 
National Marine Fisheries Service as required under the Endangered 
Species Act.
---------------------------------------------------------------------------
    \1\ Northern Plains Resource Council v. U.S. Army Corps of Eng'rs, 
No. 4:19-cv-00044 (D. Mont. May 11, 2020) (order amending summary 
judgement order and responding to defendants' motions for stay pending 
appeal).
---------------------------------------------------------------------------
    Environmental protection, including species protection, is 
paramount during INGAA members' pipeline construction projects. The 
USACE NWP program is essential for ensuring that USACE can focus more 
of its attention on those projects and activities that pose more risk 
to the environment. Congress amended the Clean Water Act in 1977 to 
authorize a general permit program, including NWPs, for activities that 
``will cause only minimal adverse environmental effects.'' \2\ To use 
the NWP program, projects must meet stringent criteria to demonstrate 
there will be minimally adverse impacts. For example, the program's 
General Condition 18 requires applicants to provide USACE with 
preconstruction notification if any listed species ``might be 
affected'' or is ``in the vicinity of the activity.'' \3\ When the 
USACE receives such a notification, it confirms, through consultation, 
that project-specific use of NWP 12 does not jeopardize listed species, 
or lead to destruction or adverse modification of critical habitat. 
General Condition 18 ensures that ``[n]o activity is authorized under 
any NWP which `may affect' a listed species or critical habitat'' until 
consultation has been completed.\4\
---------------------------------------------------------------------------
    \2\ 33 U.S.C. 1344(e).
    \3\ 82 Fed. Reg. 1860, 1999 (Jan. 6, 2017).
    \4\ Id.
---------------------------------------------------------------------------
    NWP 12 is used to authorize thousands of natural gas pipeline 
projects each year, so the District Court's order creates an 
unprecedented disruption to producers, transporters, and consumers of 
natural gas. Although pipeline developers have other permitting options 
under the Clean Water Act, those alternatives are much more extensive 
and time-consuming because they are intended to be used by projects 
that have more than minimal impacts to the environment. In 2018, 
projects that met the NWP criteria on average received a NWP 
verification from USACE within 45 days, while the average time to 
receive a standard individual Clean Water Act permit from USACE was 264 
days. We expect the Corps' timeline for processing individual permits 
to significantly increase as a result of the District Court's order 
because many new oil and gas pipelines that planned to rely on NWP 12 
may now need to apply for an individual permit.
    We disagree with the District Court's order and are pleased to see 
that the Department of Justice has appealed the decision and is seeking 
a stay of the injunction from the U.S. Supreme Court. While the Court's 
decision is still pending, we encourage members of Congress to support 
the USACE's ongoing efforts to reissue the NWPs this year.\5\ Reissuing 
the NWPs may shorten the disruption and uncertainty caused by the 
District Court's unfounded and overly broad remedy which 
inappropriately restricts and will delay the construction of new oil 
and gas pipeline projects across the country.
---------------------------------------------------------------------------
    \5\ Reissuance and Modification of Nationwide Permits, RIN 0710-
AA84.
---------------------------------------------------------------------------
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Maria Cantwell to 
                            Larry I. Willis
    Infrastructure Investment. While we must focus on the immediate 
impacts of this crisis, the long-term economic consequences of the 
COVID-19 pandemic cannot be understated. The Congressional Budget 
Office predicts that the national economy, which shrunk by an 
annualized rate of 4.8 percent in the first quarter, will shrink by 40 
percent in the second quarter. With the ongoing impact to 
transportation revenues and production, those numbers are likely to 
increase as we continue to feel the economic effects of this virus.
    We must make significant investments now to ensure that the ripple 
effects of this virus don't cause further economic decline and job 
losses. Congestion costs the freight sector as much as $74 billion 
annually, and our deteriorating infrastructure costs the economy more 
than $200 billion per year. With people now more reliant than ever 
before on the Internet economy and getting goods delivered to them, 
that is a cost that we cannot continue to tolerate with the economic 
prospects
    Question 1. What do we need to do to ensure workers are ready and 
trained for jobs created through infrastructure investment?
    Answer. Registered apprenticeship and pre-apprenticeship programs 
have proven themselves an effective model for meeting the workforce 
needs for the manufacturing and construction of America's 
infrastructure. Public transportation, which historically has not used 
apprenticeship models, is facing significant training challenges and 
TTD has long supported the creation of a national frontline workforce 
training center to meet the needs of those workers.

    Question 2. What impacts do your members see due to lack of 
infrastructure investment, and where is it needed most?
    Answer. First, for our members, it means good jobs that are left on 
the table when we don't make investments in infrastructure that are 
needed to keep pace with demand. Let me also be clear: these are not 
jobs for the sake of creating jobs. Our workers see firsthand the 
effects of under investment. Crumbling hundred-year-old infrastructure 
along the northeast corridor that could grind an entire region to a 
halt at any time. Delays in freight movement because highways are not 
meeting capacity needs. Overcrowded or unreliable transit. Americans 
who want to work but who can't access employment centers and 
opportunity. Those are the effects of underinvestment when we don't put 
Americans to work building our infrastructure where it is most needed.

    State and local economies: Over 1.1 million people in Washington 
state and over 40 million Americans across the country have filed for 
unemployment since this pandemic began. Public transportation agencies 
have seen an unprecedented loss in fare box revenues that is likely to 
continue well beyond 2020. With ridership and traffic declines, 
Washington state estimates the state may be losing as much as $100 
million per month, or 38 percent of their average monthly state revenue 
collections.
    Question 3. If we don't help stabilize state and local economies, 
what is the impact going to be on the workforce and their ability to 
move goods and people?
    Answer. The National League of Cities just put out a report stating 
that 65 percent of cities see project cancellations or delays if we 
don't take immediate action. Those are projects that were, by 
definition, shovel ready. The result will not only have massive impacts 
on workers in the transportation trades, but for the people who were 
counting on those infrastructure assets to expand capacity, and to keep 
our roads and transit systems efficient and safe.

    National Aviation Guidelines. The Federal Aviation Administration 
(FAA) has provided interim recommendations for COVID-19 health 
monitoring, employee exposure notification, and workplace cleaning and 
disinfection. However, these recommendations are limited in scope and 
application. They are not a substitute for clear, uniform national 
guidelines for addressing public health risks in the air transportation 
system. We need a net of public health protections backed by science 
and health experts.
    Question 4. Has the FAA taken enough action in providing consistent 
and uniform national guidelines to support frontline aviation workers? 
If not, what more should more be done to keep aviation workers and 
passengers healthy and safe during this pandemic?
    Answer. No. The FAA has neglected to take the impactful and 
mandatory actions required to protect frontline aviation workers. By 
denying that it is a public health authority or has safety authority 
over aircraft during a pandemic, in contrast to positions it has taken 
previously, FAA has devolved COVID-19 mitigation efforts to air 
carriers, airports, and other non-governmental entities.
    The FAA must immediately take concrete steps to protect workers. 
This includes establishing Federal mandates on the provision of PPE, 
the cleaning and sanitizing of planes, on universal passenger use of 
face coverings, and for equipment and other facilities where airline 
employees work or train, in accordance with CDC guidelines and the 
FAA's May 2020 Safety Alert for Operators. Finally, the FAA should take 
proactive measures to protect frontline workers from the next crisis by 
working with stakeholders to develop a national aviation-preparedness 
plan for communicable disease outbreaks. FAA has failed to take action 
on such a plan despite an ICAO requirement to do so, and a further 2015 
GAO recommendation.
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Amy Klobuchar to 
                            Larry I. Willis
    Workplace standards. Despite thousands of tragic deaths among 
frontline workers due to the coronavirus, the Occupational Safety and 
Health Administration (OSHA) has not issued safety standards to help 
protect workers during the pandemic. In April, I joined Senators 
Baldwin and 30 other Senators in introducing legislation to require 
OSHA to issue an Emergency Temporary Standard to ensure that all 
workplaces implement health and safety plans to keep workers safe. In 
your testimony, you express your support for this legislation and also 
discuss the need for protective equipment for the transportation 
workforce.
    Question 1. Why are Federal standards to ensure the safety of 
transportation and other frontline workers needed during this public 
health crisis?
    Answer. It has become clear throughout this pandemic that relying 
on patchwork strategies by employers, states, and municipalities is 
woefully inadequate and that voluntary guidance is not a replacement 
for a strong national response to protect workers and the public. TTD 
member unions across modes have reported outbreaks, failures of 
employers to provide quality PPE, inadequate cleaning standards for 
vehicles, aircraft, and other facilities, and inconsistent guidelines 
on requirements for passengers. An OHSA ETS, along with specific modal 
mandates, (such as those required by S. 3884) will ensure that 
required, uniform, standards are deployed across sectors, and that 
frontline transportation workers and passengers are best protected.

    Question 2. In addition to safety standards, what additional 
resources are needed to ensure that transportation workers have 
sufficient access to testing and necessary protective equipment?
    Answer. Accessible and no-cost testing must be a linchpin of 
ongoing preventing and re-opening strategies. Workers must be able to 
access tests at their discretion, without unnecessary burdens. Any 
actions to discourage workers from testing, including imposing costs 
for tests, not allowing employees to test, or threats of retaliation 
for testing, endangers workers and will extend the pandemic.
    Further, even when employers have made PPE available, there remain 
instances where employers have provided low quality or otherwise 
inadequate PPE. In my testimony, I referred to a railroad that provided 
masks to its engineers and conductors of extremely poor quality. As a 
result, the union representing these employees has spent tens of 
thousands of dollars of its own money replacing these masks with more 
appropriate facial coverings.
    As PPE will continue to be required for as long as COVID-19 
continues to spread, the Federal government should take advantage of 
the tools it has available, including the Defense Production Act, to 
ensure that adequate supplies of high quality PPE are available. 
Further, modal agencies should better engage frontline transportation 
workers to understand how PPE is being distributed on the ground, and 
where gaps may exist.
                                 ______
                                 
   Response to Written Questions Submitted by Hon. Kyrsten Sinema to 
                            Larry I. Willis
    Infrastructure Investment. As we begin to recover from the economic 
impacts of the coronavirus pandemic, many stakeholders from both sides 
of the aisle have proposed a significant investment in our Nation's 
infrastructure to boost the economic recovery. At the same time, 
Congress has the responsibility to reauthorize our surface 
transportation programs this year. Congress needs to consider long-term 
investments in infrastructure, especially given the low interest rates.
    Question 1. How has COVID-19 impacted the landscape for 
infrastructure development?
    Answer. As previously stated, a recent National League of Cities 
study cites that 65 percent of cities are expecting to cancel or delay 
projects if they don't get immediate relief. We know that state 
departments of transportation are also postponing bid letting and 
delaying or cancelling projects. This is a significant problem that 
absolutely demands immediate action.

    Question 2. From your perspective, what are the key aspects of a 
long-term surface transportation bill?
    Answer. First, we must bring our infrastructure to a state of good 
repair and make whatever investments are necessary to meet the growing 
demands placed on our highways, transit, and rail systems. We simply 
have not been meeting those demands, and the results are clear to every 
American who sits in traffic or faces overcrowded or unreliable transit 
each day. Moreover, in the face of the COVID-19 pandemic, we will need 
simulative funding to help cities and states who are facing major 
revenue shortfalls. We must also ensure the health and safety needs of 
America's transportation workers is being met, whether it is in a 
surface reauthorization package or in any future COVID-19 relief bills.

    Question 3. How should Congress pay for infrastructure and what 
sources of revenue would you recommend be included in the legislation?
    Answer. TTD has long supported a modest increase in the gas tax, 
but we would happily explore other options. At the end of the day, it 
is incumbent upon Congress to show clear leadership and responsibility 
when it comes to paying for infrastructure. This same question has been 
posed since the last time the gas tax was increased twenty years ago, 
and yet, we have seen no action from Congress.

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