US ARMY CORPS OF ENGINEERS ROCK ISLAND DISTRICT RIVER INFRASTRUCTURE

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1 US ARMY CORPS OF ENGINEERS ROCK ISLAND DISTRICT RIVER INFRASTRUCTURE Thomas Heinold Chief, Operations Division Rock Island District Clock Tower Building Rock Island, IL (309) FEB 2018

2 MAIN MISSIONS Navigation (Main emphasis of today s briefing) Environmental Protection/Ecosystem Restoration Flood Risk Reduction Regulatory (Permits) Emergency Management (including National Flood Fight Center at Arsenal) Recreation Hydropower Military support Support for others

3 AREA OF RESPONSIBILITY Parts of five states Three state capitols Lead Corps district for regulatory issues in Iowa Five river basins Upper Mississippi, Illinois, Des Moines, Iowa/Cedar and Rock Twelve locks and dams on the Mississippi River Dubuque, IA to Hannibal, MO Eight locks and dams on the Illinois Waterway Inland Navigation Design Center Nationwide support National Flood Fight Center Nationwide support

4 WHY DO WE CARE ABOUT INLAND WATERWAYS? Save money (least expensive mode) Make US commodities more competitive (62% of US grain exports are shipped down the Mississippi on barges) Panama Canal opened JUN 2016 Reduce road congestion (and wear) Safest Least polluting Provide alternative to rail (no monopoly) Provide ancillary benefits (water supply, cooling water, recreation, improved environmental habitats)

5 WHY SHOULD WE CARE ABOUT INLAND NAVIGATION? BECAUSE OUR INTERNATIONAL COMPETITIVENESS DEPENDS ON IT. Costs of transporting soybeans: U.S. vs. Brazil (per metric ton; 4th quarter, 2010) Davenport to Shanghai Sioux Falls to Shanghai N. Mato Grosso to Shanghai Land: Truck $8.94 $8.94 $ Land: Barge/Rail $31.85 (Barge) $50.31 (Rail) Ocean $55.46 $29.25 $31.67 Total Transport $96.25 $88.50 $ $ $ Total Landed Cost $ NOTE: With new PanaMax Locks open (26 JUN 2016), Davenport shipping costs To China are expected to decrease by $12.00 per metric ton Source: USDA

6 PANAMA CANAL EXPANSION OPPORTUNITY FOR INCREASED EFFICIENCY, OR JUST SHIFTING THE BOTTLENECK? Pre Panama Canal Expansion (70 miles) Post Panama Canal Expansion (111 miles) Post Panama Canal Expansion (161 miles)

7 600ft Upper Mississippi River Performance

8 9-FOOT NAVIGATION CHANNEL (MISSISSIPPI AND ILLINOIS WATERWAY) Most structures built in 1930s Designed for 50-year life Most gates (dam and lock) are still original Most mechanical and electrical systems are original Maintenance crews do an amazing job keeping systems operating, but can only do so much with current resources

9 CRUMBLING, DECADES OLD TECHNOLOGY 9

10 CRUMBLING, DECADES OLD TECHNOLOGY

11 RIVER NAVIGATION INFRASTRUCTURE THREE-LEGGED STOOL O&M Major Rehab Improvements Small Scale Large Scale Navigation Infrastructure

12 FUNDING TRENDS (PROJECT FUNDED) Annual Appropriation Investigations* Construction** O&M*** Total FY09 Allocated (incl ARRA) 13,598, ,954, ,434, ,936,578 FY10 Allocated 7,542,350 19,272,030 98,599, ,414,136 FY11 Allocated 5,729,647 9,331, ,079, ,140,742 FY12 Allocated 833,000 24,287,000 94,923, ,043,000 FY13 Allocated 600,000 29,423, ,661, ,683,000 FY14 Allocated 400,000 62,609, ,500, ,509,000 FY15 Allocated 900,000 33,170, ,218, ,288,000 FY 16 Allocated 1,800,000 25,036, ,373, ,209,000 FY 17 Allocated 2,300,000 42,520, ,558, ,378,000 FY 18 President s Budget 1,550,000 33,170, ,099, ,819,000 * Does not include FPMS or PAS Navigation and Ecosystem Sustainability Program (NESP) construction funding ** Does not include CAP from FY12 to FY17 was $0; NESP has never received any construction funds. *** Does not include ICW All Construction funds in FY12-17 are for the Upper Mississippi River Restoration program (UMRR), and for Lockport Canal Walls (Illinois Waterway). FY15-17 funds are entirely for the UMRR program.

13 SCHEDULE OF MAJOR REHABILITATIONS UPPER MISSISSIPPI RIVER IN ROCK ISLAND DISTRICT Today L&D25 L&D 24 LaGrange Peoria Marseilles Starved Rock Dresden Brandon Road Lockport O'Brien Lock 22 Lock 21 Lock 20 Lock 19 Lock 18 Lock 17 Lock 16 Lock 15 Lock 14 Lock 13 Lock 12 Lock 11 RER Com Pool RER Com. LEGEND COMPLETED STARTED FUTURE (NOT STARTED) Rehab Eval Rpt Prep Year

14 NESP (Navigation Improvements) NESP Navigation Authorization = $2.37 billion (FY07) (50/50 Cost Share with the Inland Waterway Trust Fund) Small scale structural and non-structural measures New 1200 locks at Locks 20 through 25, LaGrange, and Peoria NOTE: To date, no NESP construction funds have been appropriated Comparable progress required with ecosystem restoration

15 THE 2017 NAVIGATION ONE-LEGGED STOOL Navigation

16 THE WAY AHEAD? 16 Upper Mississippi States and other stakeholders work together for common goals Congress finds way to fund projects in a no earmark era Inland Waterway Trust Fund gets out of the red Nation sees value of inland water transportation Nation invests in our future Potential for Public-Private Partnership (P3) Potential issues if nothing changes (or funding decreases) Higher transportation costs for grain Higher deficit (worsening balance of trade) Significantly higher traffic on roads (and delays and higher maintenance costs for highways) Less than 24-hour operations of locks? Shut down all recreation? A major system failure?

17 Questions?