CONEXPO-CON/AGG 2014 Preview: Massive Construction Show Returns to Las Vegas

Jan.-Feb. 2014 TransportationBuilder 1
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Jan.-Feb. 2014

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ROAD AND MINERAL TECHNOLOGIES

JANFEB 2014
VOL. 26, NO.1
contents The official publication of the American Road
& Transportation Builders Association
www.transportationbuilder.org
FEATURES COLUMNS
Chairman’s Message
President’s DeskVision 2014: Infrastructure at a Crossroads
MAP-21: Road to Reauthorization
HNTB Celebrates 100th
Anniversary
Call for Future Industry Leaders:
2014 ARTBAYoung Executive
Development Program
Transportation Construction:
The Next Endangered Species?
Market Challenges Continue, ARTBA
Quarterly Survey Finds
6
15
12
24 10
27
28
8
TransportationBuilder 3
15
ON THE COVER
If It’s New, It’s Here:
CONEXPO-CON/AGG 201418
24
100 Years

Staff
PUBLISHER
T. Peter Ruane
transportationbuilder@artba.org
DEPUTY PUBLISHER
Matt Jeanneret
mjeanneret@artba.org
EDITORIAL DIRECTOR
Beth McGinn
bmcginn@artba.org
PUBLICATIONS EDITOR &
GRAPHIC DESIGNER
Jenny Ragone
jragone@artba.org
CONTRIBUTING WRITERS
Dave Bauer
ARTBA senior vice president, government relations
Michael DeLacey
Microdesk president
Rich Jefferson
AEM senior director of public relations
Robert J. Slimp, PE
HNTB Infrastructure CEO
Darwyyn Deyo
ARTBA research manager
Nick Goldstein
ARTBA vice president of environmental &
regulatory affairs
Sara Jones
ARTBA communications & marketing
program manager
Transportation Builder®
(TB) is the official publication of the American Road &Transportation Builders
Association, a federation whose primary goal is to aggressively grow and protect transportation
infrastructure investment to meet the public and business demand for safe and efficient travel. In
support of this mission, ARTBA also provides programs and services designed to give its members a
global competitive edge. As the only national publication specifically geared toward transportation
development professionals,TB represents the primary source of business, legislative and regulatory
news critical to the success and future of the transportation construction industry.
Transportation Builder® (ISSN 1043-4054) is published
bi-monthly by the American Road &Transportation
Builders Association (ARTBA). Postmaster: Send
change of address toTransportation Builder®, c/o
ARTBA,The ARTBA Building, 1219 28th
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ton, D.C., and additional mailing offices. Subscriptions
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ARTBA. All rights reserved. Material may not be repro-
duced in any form without written permission from the
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Visit us: www.transportationbuilder.org
builder®
Executive Committee
Chairman: Doug Black
J3L, LLC, Atlanta, Ga.
Senior Vice Chairman: Nick Ivanoff
Ammann & Whitney, NewYork, N.Y.
First Vice Chairman: David S. Zachry
Zachry Construction Corporation, San Antonio,Texas
Northeastern RegionVice Chairman: John Kulka
HRI, Inc., State College, Pa.
Southern Region Vice Chairman:Tom Elmore
Eutaw Construction Company, Aberdeen, Miss.
Central Region Vice Chairman: Kathi Holst
Roadway Construction & Maintenance Services,
Warrenville, Ill.
Western Region Vice Chairman: Steve McGough
HCSS, Sugar Land,Texas
Vice Chairman At-Large:Ward Nye
Martin Marietta Materials, Inc., Raleigh, N.C.
Vice Chairman At-Large: Scott L. Cassels
Kiewit Infrastructure Group, Inc., Kiewit Corporation,
Omaha, Neb.
Vice Chairman At-Large: MelissaTooley
TexasTransportation Institute atTexas A&M University
College Station,Texas
Vice Chairman At-Large: Bob Alger
The Lane Construction Corporation, Cheshire, Conn.
Vice Chairman At-Large: John Houle
3MTraffic Safety & Security Division, St. Paul, Minn.
Vice Chairman At-Large: Mike Donnino
Granite Construction Company, Lewisville,Texas
Treasurer:Tom Hill
Summit Materials, LLC, Denver, Colo.
Secretary: Pete Ruane
ARTBA, Washington, D.C.
ARTBA-TDF Board ofTrustees Chairman:
Leo Vecellio, Jr.
Vecellio Group, Inc., West Palm Beach, Fla.
Contractors Division President: Pete Getchell
PKF-Mark III, Inc., Newtown Pa.
Contractors Division First Vice President:
Jeff Clyde
W.W. Clyde & Co., Springville, Utah
Research & Education Division President:
Dr. R. Clark Graves
KentuckyTransportation Center, Lexington, Ky.
AEM Representative: Ron DeFeo
TEREX Corporation, Westport, Conn.
Materials & Services Division President:
Mike Flowers
American Bridge Company, Corapolis, Pa.
Planning & Design Division President:
Matthew Cummings
AECOM, Philadelphia, Pa.
Public-Private Partnerships Division President:
Thomas Stoner
H.W. Lochner, Inc.,Tampa, Fla.
Transportation Safety Industry Division
President: Sue Reiss
Impact Recovery Systems, San Antonio,Texas
Transportation Officials Division President:
Eric Seibring
Piatt County, Ill. Assn. of County Enginners, Monticello, Ill.
Council of State Executives: Pat Goss
WIsconsinTransportation Builders Association,
Madison, Wis.
Immediate Past ARTBA Chairman: Steve Wright
Wright Brothers Construction, Co, Inc., Charleston,Tenn.
Past Chairman’s Council Chairman: Jim Madara
Gannett Fleming, Allentown, Pa.
Young Executive Leadership Council Chairman:
David Harwood
Terracon, Olathe, Kan.
Joint Committee Representative: Dave Gehr
Parsons Brinckerhoff, Herndon, Va.

editor’s note
Jenny Ragone,
Publications
Editor & Graphic
Designer
Every three years, more than 125,000 construction professionals from across the globe descend
on Las Vegas for CONEXPO-CON/AGG, a week-long conference and exhibition that showcases the
latest products, equipment and services in the construction and mining industries. Hosted by the
Association of Equipment Manufacturers, the event can best described in one word—massive!
Our cover story on page 18 previews what visitors can expect for the March 4-8 show.
Of course, the biggest challenge facing our industry this year is the future of the federal
HighwayTrust Fund (HTF) and the reauthorization of MAP-21. With this issue, we begin a year-long
series “Road to Reauthorization,” with the first installment written by ARTBA Senior Vice President
of Government Relations Dave Bauer. It’s on page 12. Dave does an excellent job of providing
context about the key political and policy issues.
ARTBA will be using CONEXPO to educate attendees about the HTF situation, and urge them to
contact their members of Congress with a simple message: “Fix the HighwayTrust Fund.” If you
want to learn more about how you can get involved and make a difference, please be sure to visit
ARTBA’s CONEXPO booth at L-20049.
Finally, on page 24, ARTBA member-firm HNTB celebrates 100 years in business. If your
company or organization is celebrating a major anniversary or milestone, we want to hear about
it. Email me: jragone@artba.org.
We hope you enjoy reading this issue of “TB.” See you at CONEXPO!
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STAY CONNECTED
WITH ARTBA
Facebook: American Road & Transportation
Builders Association
Twitter: @artba
YouTube: www.youtube.com/ARTBAmedia
LinkedIn: www.linkedin.com/company/artba

from the chairman
Doug Black
President, J3L, LLC
2014 ARTBA Chairman
The “80/20 rule” is a common rule of
thumb in business that we, as an
industry, should embrace. Also known as
the “Pareto principle” or “the law of a vital
few,” it states that 80 percent of the results in
any situation are determined by 20 percent
of the actions. In business, the rule is used
to focus resources and to determine which
operating areas should receive the most
attention. But the principal can be applied
to any situation—focus on what matters
most and leverage those key drivers to “get
the biggest bang for your buck.”
If we apply this concept to our industry’s
national policy shaping efforts, it’s clear that
the key factor in producing positive results
out of Washington has always been partici-
pation from industry members. Given the
serious federal funding challenges facing the
transportation construction market in 2014
and beyond, participation in your national
association has never been more important.
You already know that the Highway Trust
Fund (HTF) will be in a crisis situation later
this year. State construction programs are
beginning to feel the effects of the
uncertainty. U.S. Secretary of
Transportation Anthony Foxx January 15
warned that the HTF “will start bouncing
checks as soon as August.” And with the
reauthorization of MAP-21 also due this
fall, it’s clear the stakes for our industry have
never been higher.
There are three areas where your partici-
pation can help make a difference. One of
the most important is the annual ARTBA
Federal Issues Program (FIP) and Trans-
portation Construction Coalition (TCC)
Fly-in. This is your chance to meet with
your elected officials in Washington and tell
them how federal policies and funding levels
are impacting your business, and the jobs
and livelihoods of their constituents. Our
congressional representatives know they
must do something to address the long-term
fiscal integrity of the trust fund and return
certainty to our market, but they will only
act if they feel pressure from voters like us.
So, I would encourage you to come to
Washington June 9-11, and be prepared to
deliver your message directly—and force-
fully—to your representatives and senators.
Another program that yields results for
our industry is the ARTBA Young
Executive Development Program (YEDP),
which is held each year in conjunction with
the FIP and TCC Fly-in. First launched in
1995, and now with more than 500
graduates, the YEDP is an intensive,
four-day introduction to the federal
legislative and regulatory processes.
The program helps develop the next
generation of industry leaders who will
shape future transportation policy. YEDP
not only prepares our future leaders, but
also brings their energy and ideas to our
current initiatives—a double win!
In addition to visits with members of
Congress on Capitol Hill, the YEDP features
a session with industry firm CEOs who
share their career experiences and offer
perspective on a variety of business
issues. During the last two years, I’ve had the
unique privilege of speaking to the YEDP
fellows about leadership, goal setting and
the importance of hard work. In response,
I received a lot of thoughtful questions
and was truly impressed by the intellectual
fire power in the room. I encourage you to
nominate one of your firm’s “rising stars”
to participate in this unique program. I can
Member
Participation
Yields Results
promise that it will be money and time well
invested.
Finally, another key area where your
involvement is needed is through the
financial support of ARTBA’s award-
winning, “Transportation Makes America
Work” (TMAW) program. TMAW is a
comprehensive public affairs effort that fo-
cuses exclusively on protecting the highway
and transit markets by building political
support for increased investment. It
operates like a political campaign using
coalition development, advocacy issue
advertising, social and digital media, videos
and publications, public opinion research,
economic research and analysis, media
outreach and special events.
TMAW is already ramping up its
grassroots communication and lobbying
activities to help move the political needle.
You’ll see several examples of it in the
coming weeks, including at CONEXPO in
Las Vegas, and with the launch of a new
TMAW website in March.
Also under the TMAW umbrella, ARTBA
will unveil in February the “Transportation
Investment Advocacy Center” (TIAC)—
a first-of-its kind, dynamic education
program and internet-based information
resource designed to help private citizens,
legislators, organizations and businesses
successfully grow transportation
infrastructure investment at the state and
local levels. With more than half of funding
for transportation projects coming from
state and local governments, it’s vital we
give all our allies across the nation access
to information that can help them mount
successful transportation investment
campaigns. You’ll be able to access TIAC at
www.transportationinvestment.org.
Through the FIP, YEDP, TMAW and
TIAC, ARTBA aims to provide valuable
resources and services that will help grow
and protect the transportation
construction market for the future. But
the success of these efforts depends on that
20 percent—us! Our strength lies in
numbers. With participation and financial
support from ARTBA members, the
industry can and will be successful in
achieving its policy objectives.

T. Peter Ruane
President & CEO
ARTBA
president’s desk
As I write this column on January 31,
I’ve been flabbergasted, to say the
least, at what took place during the first
three weeks of the year.
Several groups purporting to represent
certain transportation industry
sectors and no less than three widely-
read construction trade publications
have sent up smoke signals that the battle
over one of the most significant threats
facing the U.S. transportation design
and construction market in decades is
already finished.
What’s even more alarming to me is
that the “white flag waving” came before
we even have had a serious fight.
Specifically, I am referring to the
reauthorization of MAP-21 and the crisis
facing the federal Highway Trust Fund
(HTF)—the source, on average, of 52
percent of all state highway and bridge
capital investments. Unless Congress
and the President act by October 1, the
HTF will not be able to support any new
projects in fiscal year 2015.
Such an outcome could devastate the
American economy, jeopardize hundreds
of thousands of jobs, and throttle market
development activities for many ARTBA
and non-ARTBA member firms. At
least nine states already are warning of
adverse impacts on their construction
programs if the uncertainty drags on.
One construction publication didn’t
even mention MAP-21 or the HTF in
its wish list of top construction
business issues for 2014, and it called
for shifting the focus away from
Washington, because it viewed the
chance of consensus as low. Another
publication opinion piece slammed the
politicians in Washington, and said the
only way to go was to toll everything.
While ARTBA certainly supports tolling
as part of the solution, it is not the
panacea, and the political hurdles to
establishing national tolling are
arguably even higher than other new
revenue options.
It’s easy to bemoan Washington
political and policy gridlock, and to
argue that nothing will get done. But,
it’s the wrong message to be sending to
transportation design and construction
professionals whose livelihoods depend,
in large part, on what happens on
Capitol Hill.
The fact is that when it comes to
infrastructure policy issues, there is
common ground to be ploughed. How
quickly we have forgotten that MAP-21
passed the House of Representatives
373-52 and the Senate 74-19—the same
legislation many naysayers said would
never get done. How many other bills
garner such overwhelming support
these days?
Federal highway and transit investment
will be more than $50 billion in fiscal
year 2014. It speaks to the importance of
the federal government role in
transportation policy and also explains
why shifting focus out of Washington
would be unwise for at least two more
reasons.
First, the nearby chart shows that from
2008-2013, state and local highway and
bridge spending dropped cumulatively
about $18 billion from pre-recession
levels. By contrast, over the same period,
federal investment, thanks in part to the
2009 stimulus law, increased by nearly
$17 billion and helped keep the market
afloat.
Second, over 40 percent of the $11
trillion in domestic truck freight
shipments in 2011 were sent out of state,
according to Federal Highway
The Battle Over the Highway Trust
Fund is Just Beginning

Administration data. Over 23 percent of
that total was sent to non-neighboring
states, which is more evidence of a
national transportation network’s
importance to moving products and
supplies critical to economic growth.
This network cannot be built and
sustained through a patchwork of state
programs.
Given these realities, now is the time
for every industry professional
concerned about the future of their
business to get ready to fight over the
next few months.
Take your message directly to
Washington. Call your representative
and senators via ARTBA’s Action Hotline
(888-448-2782) today and tell them to
do their bloody jobs by fixing the
Highway Trust Fund and completing
action on MAP-21’s reauthorization as
soon as possible. Download the
“Transportation Construction Advocate”
app from the iTunes or Google Play
stores to access the information you need
to connect with your elected officials.
And plan to be in Washington June 9-11
for the ARTBA Federal Issues Program
and Transportation Construction
Coalition Fly-In.
The work ahead will not be easy, but
it never is when it’s truly worth
fighting for. When it comes to the
imminent battle over the Highway Trust
Fund and our industry’s future,
surrender is not an option!

For the first time this year, fellows will
have an opportunity to attend a
mentoring dinner with past YEDP
graduates. The dinner will provide an
opportunity to connect with past
graduates and discuss their upcoming
meeting with their congressmen.
If you know a rising industry star,
nominate them today for the YEDP!
Admission is a competitive process.
To be considered for admission to the
YEDP, candidates must be nominated by
a sponsor and submit a completed
application form. Candidates should
have at least three years of experience in
the transportation design and
construction industry, have made a
significant contribution to the work of
his or her firm, and shown evidence of
strong leadership potential for the
industry. Nominees should be under 40
years of age, though exceptions may be
made on a case-by-case basis.
Applications are due Monday,
March 31. To obtain a copy of the
application form, visit www.artbatdf.org.
For any questions, contact me at
sjones@artba.org, or 202.289.4434.
ARTBA is looking for a few good men
and women to come to the Nation’s
Capital this spring for the 19th
annual
Young Executive Development Program
(YEDP). The YEDP is a one-of-a-kind
program that provides an intensive
overview of the federal legislative &
regulatory processes, and empowers
young executives to assume leadership
roles that will help shape the trajectory of
transportation policy for the 21st
century.
More than 500 graduates from 200
companies, state contractor groups and
public agencies have completed the pro-
gram. The curriculum features sessions
on highway and transit financing, safety
and economics, environmental issues,
innovation and public-private
partnerships. YEDP fellows also hear
from industry CEOs who share their
career experiences and offer their
perspective on leadership and business
issues.
YEDP participants are trained on how
to become effective grassroots advocates
and shown the powerful force they can
be on Capitol Hill. They also meet with
their congressional delegations about
pending transportation issues during
“Hill Day,” which occurs in conjunction
with the ARTBA Federal Issues Program
and Transportation Construction
Coalition Fly-in.
2014 ARTBA Young Executive
Development Program: Nominate
Your Firm’s Future Leaders
The 2013 YEDP class tours the FHWA Turner-Fairbank Highway Research Center.
by Sara Jones
Sara Jones is ARTBA communications &
marketing program manager: sjones@artba.org.

W
AR
A
DS Nomination Forms:
www.artbatdf.org
Globe
Recognizes U.S. transportation
construction industry excelllence in
environmental protection & mitigation.
DEADLINE: APRIL 18
PRIDE
Honors excellence in community relations
and public education that enhance the
image of the U.S. transportation
construction industry.
DEADLINE: APRIL 29
Hall of Fame
Celebrates individuals or families from the
public and private sectors who have made
extraordinary contributions to the U.S.
transportation development.
DEADLINE: JUNE 13
Women Leaders
Honors the extraordinary efforts of
individuals, companies and public agencies
that have demonstrated leadership and
dedication to innovation and the promotion
of women leaders within the U.S.
transportation construction industry.
DEADLINE: JULY 11
TransOvation™
Recognizes innovations that make our
transportation network the best it can be
in serving those who pay for it, use it and
rely upon it.
DEADLINE: AUGUST 29
Project Management Academy (PMA) | APRIL 7-9
The PMA will deliver both substantive theory and practical application of project
management principles for road and bridge building construction project managers. The
academy will cover the latest innovations in seven core subjects: construction documentation,
resource management, planning and scheduling, economics of safety, industry ethics, client
relations, and management and leadership.
Location: ARTBA Headquarters, Washington, D.C.
Registration: Members: $1,999; Non-Members: $2,499
P6 Scheduling Academy | APRIL 9-11
Provides in-depth instruction on Primavera Project Planner (P6®) software and other “tricks of the trade” to efficiently
track key aspects of transportation projects, such as people, materials, operational benchmarks and payment schedules.
The academy will be led by acclaimed construction management expert Dr. Jay Newitt of Brigham Young University.
Location: ARTBA Headquarters, Washington, D.C. | Registration: Members: $1,700; Non-Members: $1,999
Project Delivery Academy | OCTOBER 15-17
This two-and-a-half day, interactive professional development academy will help you learn the fundamentals of
Design-Build (DB) and Construction Manager-General Contractor (CMGC) delivery methods in four core areas:
Procurement models/contract structure;
Project pricing provision models;
Developing responsive submittals to requests for qualifications (RFQ) and/or requests for proposals (RFP); and
Post-award contract administration.
Location: ARTBA Headquarters, Washington, D.C. | Registration: Members: $1,999; Non-Members: $2,500
2014 Awards & Professional Development Programs
Registration for both the PMA and P6: Members: $2,699; Non-Members: $3,199

Mapping a Road to Reauthorization
by Dave Bauer
The first in a series
The 2012 surface transportation law,
“Moving Ahead for Progress in the
21st
Century” (MAP-21), expires in less
than eight months. While the primary
House and Senate committees of
jurisdiction have launched aggressive
reauthorization efforts of hearings and
other outreach activities, the
fundamental reality remains that the
timing, duration, and size of the next
surface transportation authorization bill
is directly contingent on how Congress
addresses the Highway Trust Fund’s (HTF) repeated
revenue shortfalls.
It’s all about the Highway Trust Fund
All public-access roads and bridges in the U.S. are owned and
operated by state and local governments. Since 1916, however,
the federal government has shared the cost of building and
preserving major roads. Between 1956 and 2008, the HTF was
the source of all federal investment in highways—and, since
1982, most federal investment in public transportation. The
HTF supports these investments with revenues collected from
the federal motor fuels tax and other highway user fees.
During that time, there was no burden on the general fund and
no impact on the federal deficit.
Beginning in 2008, existing revenues flowing into the trust
fund were unable on their own to preserve investment
commitments from the 2005 surface transportation law,
SAFETEA-LU. In 2008, 2009 and 2010, Congress approved
separate measures to supplement trust fund revenues with
general funds—the cumulative amount of these transfers
($35 billion) was equivalent to past resources diverted from or
denied to the trust fund.
The need for general fund transfers in FY 2008-10 was not
due to a collapse of HTF revenues, but to lower revenues than
projected in the SAFETEA-LU measure. Revenue forecasts at
that time assumed travel would continue to grow as rapidly as
in the recent past, and SAFETEA-LU’s investment levels were
set to expend all projected revenues. But, beginning in FY
2008, actual revenues fell short of projections, and general fund
transfers were needed to cover HTF outlays. This cash flow
shortfall was exacerbated by SAFETEA-LU’s structure, which
intentionally set in motion a path to deplete the trust fund by
setting investment levels that required the use of both
incoming trust fund revenues and liquidation of the trust
fund’s then multi-billion dollar surplus. Congress also created
two independent commissions in SAFETEA-LU that were
directed to come up with proposed solutions to the problem
the law created—proposals on which Congress did not act.
While trust fund revenues have rebounded and now exceed
pre-recession levels, they are still not sufficient on their own to
support the investment levels put in place by SAFETEA-LU. As
a result, MAP-21 supplemented HTF revenues with $20 billion
in resources from elsewhere in the federal budget to enable
the new law to preserve existing levels of federal highway and
public transportation investment for FY 2013 and FY 2014.
The Elephant in the Room
Members of both parties and on each side of Capitol Hill are
promoting reforms they want to see in MAP-21’s successor.
ARTBA and other stakeholder groups have also worked to
develop policy priorities to advance during the reauthorization
debate. Ensuring the operation and structure of the federal
highway and public transportation programs deliver maximum
benefit for the American public in terms of transportation
improvements will always be a key ARTBA priority.
There are, however, two realities to the discussion
regarding the next surface transportation bill: MAP-21 was
almost entirely a policy reform bill and most of those reforms
will not have been implemented when the measure expires at
the end of September; and no reauthorization bill will move
forward until Congress addresses in some capacity the looming
HTF revenue shortfall.
ARTBA has been reporting for almost a year that the
Congressional Budget Office (CBO) projects existing trust fund
revenues will be unable to support any new highway or public
transportation investment in FY 2015. This means current
“There are, however, two realities to the discussion
regarding the next surface transportation bill: MAP-21 was
almost entirely a policy reform bill and most of those
reforms will not have been implemented when the measure
expires at the end of September; and no reauthorization bill
will move forward until Congress addresses in some
capacity the looming HTF revenue shortfall.”
ad to R
by Dave Bauer
e first

federal highway investment of $40.3 billion and transit funding
of $10.7 billion would need to be reduced to zero in FY 2015
unless Congress acts.
New Wrinkle in February CBO Report
The CBO’s February 4 HTF revenue and spending projections
add a new wrinkle to this dilemma as they now show the fund’s
Highway Account will likely run short of cash to pay bills
before FY 2014 ends. Due to lowered projections regarding
overall U.S. economic performance, CBO now estimates the
Highway Account will end FY 2014 with only $1 billion, which
would cause cash-flow imbalances that could force the Federal
Highway Administration (FHWA) to delay some payments to
states for construction work performed on federal-aid highway
projects. An injection of $3 billion would be needed to pay all
anticipated bills for the remainder of the fiscal year and allow
FHWA to manage cash-flow.
In addition to the funds needed before the end of FY 2014, a
three-month extension of MAP-21 will now require an
infusion of $3 billion into the Highway Account, while a
six-month extension would require just under $5 billion. No
additional funds would be needed for the Mass Transit
Account. A one-year extension of MAP-21, through September
2015, would require a revenue infusion totaling $19 billion—$3
billion for FY 2014 and $16 billion for FY 2015, including $13
billion for the Highway Account and $3 billion for the Mass
Transit Account. A full six-year reauthorization funding the
highway and mass transit programs at their current level, plus
annual adjustments for inflation, would require a revenue
infusion of just under $100 billion or an average of slightly less
than $17 billion per year.
While this situation clearly
seems daunting, the fact
remains that we have been
here before. Congress has
demonstrated time and again
that the vast majority of
members from both parties
have no interest in massive
cuts in highway and public
transportation investment. In
fact, Congress has on four
separate occasions since 2008
overwhelmingly approved
legislation to stabilize the
HTF in the short-term and
preserve existing levels of
surface transportation
investment.
What’s Past is Prologue
The last reauthorization
process was stalled from
October of 2009—when
SAFETEA-LU expired—to
February 2012—when the
Senate Finance Committee developed a bipartisan plan to
provide revenues to stabilize the Highway Trust Fund for two
years. President Obama signed MAP-21 into law about four
months later.
Shakespeare wrote, “What’s past is prologue.” This
perspective applies well to the current reauthorization
situation—just as was the case with MAP-21, the next bill’s
duration and investment levels, as well as when we are likely to
see legislation move forward, will be defined by how and when
Congress addresses the HTF’s recurring revenue shortfalls.
This is why ARTBA’s primary focus since the enactment of
MAP-21 has been educating members of Congress on the need
to generate new revenues for the HTF, and working with our
allies in the transportation community to engage the
congressional tax committees and leadership of both parties
about methods to advance a trust fund solution.
The only people who see the reauthorization of the federal
highway and public transportation programs as a quick process
are those who have already given up. Two things that are clear
at this point: we are in for a long haul; and ARTBA will be there
until this journey ends.
Dave Bauer is ARTBA senior vice president of government relations:
dbauer@artba.org.
d time and ag
that the vast majority of
members from both parties
have no interest in massive
cuts in highway and public
transportation investment. In

That’s why Corman Construction relies on
the National Work Zone Safety Information
Clearinghouse to ensure employee
and motorist safety and health in road
construction zones.
The world’s largest cyber library of
educational webinars, best practices,
laws and regulations, statistics, training
information and more is available at
www.workzonesafety.org.
Highway contractor Bill Cox
wants all his employees on
the road to safety.
Use It…Save Lives!
Information provided by the National Work Zone Safety Information Clearinghouse, award #DTFH61-06-H-00015,
does not necessarily reflect the views of the U.S. Federal Highway Administration, (FHWA) or the American Road &
Transportation Builders Association-Transportation Development Foundation. References to specific products and
services do not imply endorsement by the Clearinghouse or FHWA.

After a year that saw both strides in technology and setbacks
to U.S. infrastructure, 2014 is poised to be a pivotal year in
which the foundation will be laid for a major industry
overhaul.
This prediction is based on some significant advancements
we saw from both within the ARTBA community and the
broader architecture, engineering, construction and operations
(AECO) industry in 2013 toward exploring and adopting
technologies that are truly innovating the way we address
today’s range of infrastructure problems, from everyday issues
like our aging roads and bridges to emergency response to
weather disasters.
This assertion is also based on evidence of increased
awareness from the general public. A recent “State of the
Industry” survey, conducted by Harris Interactive on behalf of
Microdesk, revealed that 95 percent of Americans fear risks to
U.S. infrastructure and expressed a desire to see more
government attention as well as the application of technologies
to help remediate the issues.
This effectively puts us at a crossroads where advancements
combined with perception shifts around technology, public
engagement and building processes will culminate to bolster
U.S. infrastructure both in the year to come and beyond.
Engaging the Infrastructure Consumer
Following a year in which Americans witnessed the devastating
impact of natural disasters including Hurricane Sandy and
infrastructure failures such as bridge and building collapses,
Microdesk’s “State of the Industry” survey revealed Americans
are keenly aware of the country’s failing infrastructure system.
Consistent with other recent reports, including The
American Society of Civil Engineers (ASCE) 2013 report card,
which gave U.S. infrastructure a grade D+, and The World
Economic Forum’s 2013-2014 Global Competitive Report,
which ranked U.S. infrastructure as 15th
in the world,
respondents to the Microdesk survey gave U.S. infrastructure a
D grade. Beyond the general sentiment that our nation’s
infrastructure systems are in rough shape, there is true concern
that future failures are imminent.
Perhaps not surprisingly, bridges and roads ranked at the
top of the list of infrastructure systems of greatest concern; 63
percent cited bridges as being most vulnerable to damage and
decay, and 26 percent said roads.
What’s more significant than general public awareness about
these problems, however, is the revelation that consumers also
have decisive opinions about what actions should be taken to
address our infrastructure challenges. For instance, there was
strong sentiment that government should play a significant
Vision 2014:
Infrastructure at a Crossroads
by Michael DeLacey

role, with 93 percent of respondents agreeing that our leaders
should focus on guiding change. Further, 28 percent felt that
support should come in the form of funding, and one-third
cited the need for a formalized revitalization plan.
As both consumer awareness and engagement grows, now is
an ideal time to begin laying the groundwork for encouraging
increased consumer involvement to strengthen a collective call
for the government to take action.
Innovating Infrastructure with Technology
In a world rapidly moving towards “smart cities,” Elon Musk’s
Hyperloop and Google’s Driverless Cars, data and technology
are already beginning to connect nearly every aspect of our
lives, including how we as consumers interact with our
infrastructure day-to-day. Therefore, it is imperative the
industry responsible for designing and maintaining our
nation’s infrastructure begin to prepare now for those
“futuristic” ideas, which are likely to become reality by 2020.
The past year has shown significant strides in the adoption
of mobile devices for design, construction and operations
and maintenance, as well as cloud computing for collabora-
tion and improved workflows throughout the project lifecycle.
Take some of the latest Building Information Modeling (BIM)
design technologies like Autodesk InfraWorks. These solutions
are changing the landscape of infrastructure design and pro-
posal development by enabling rapid generation of accurate,
data-rich 3D design layouts and site models that allow design-
ers to more effectively analyze design alternatives and make
smarter, more sustainable design decisions.
Another example is with tools like Autodesk Sim 360 Pro,
which are extending the ability to conduct complex design
simulations beyond the world of product manufacturing and
design. These tools now enable designers of buildings and
infrastructure to conduct comprehensive site and building
analyses that provide a whole new level of intelligence when it
comes to exploring various scenarios, going beyond sustainable
design and into proactive design.
Further, these tools provide the ability to more effectively
communicate designs to the public and other key
stakeholders. Taken as an extension of the concept of
gamification, we will begin to see these technologies help
citizens become fully intelligent about the buildings they’re in
and roads they’re driving on, as well as foster greater
engagement of the public in the process of identifying solutions
to our infrastructure challenges.
The benefits of this are profound. According to Fast
Company, not only are interconnected “smarter cities” more
efficient and better optimize existing infrastructure, they also
“break down bureaucracy in order to stimulate a creative,
entrepreneurial economy.”
Setting a Standard
Of course, with these technology advancements come several
challenges, not the least of which is the lack of financing for
the vast list of infrastructure improvements that are needed to
simply get us back on track, much less prepared for the future.
The adoption of advanced technologies such as BIM is a
proven means of addressing the need to reduce
construction costs and do more with limited funds. However,
simply encouraging adoption is not enough. Seventy-five
percent of Americans agree: government attention in the form
of laws is needed to improve infrastructure quality.
Cities that have begun to implement formal standards that
set a framework for the adoption of these tools and their
application to the project delivery process are those that will be
most effective at managing change. And indeed, some forward-
thinking cities, such as New York City, are already leading the
charge, with several of the city’s agencies having adopted BIM
standards as a means of better managing project delivery,
reducing construction costs, and providing the agencies with
the ability to more effectively manage their assets.
As advanced BIM technologies continue to become more
mainstream and awareness of the benefits of BIM throughout
the project lifecycle accelerates, we will most certainly see this
trend extend to many more cities. In the absence of
government mandates or where politics prevents progress
towards adoption, we will see more private-sector owners and
developers acting as drivers for change, as we are already wit-
nessing with projects in New York, Boston and San Francisco.
Innovation
To be innovative is to consider any and all ideas, no matter how
far-flung they may seem. Take autonomous vehicles. Given the
proliferation of technology advancements we’ve seen in recent
years, is it really so far fetched that we should someday be
riding down the highway in a car that navigates itself?
Mercedes-Benz and Toyota don’t think so; as they shared at
ARTBA’s recent “Dr. J. Don Brock TransOvation™ Workshop,”
both are investing heavily in developing these vehicles of the
future.
As an industry, we need to be similarly investing in
developing plans for how our infrastructure will
accommodate such advances. There were some extremely
productive discussions at TransOvation™ around just that,
where members from all corners of the industry representing
every aspect of the project delivery process brainstormed how
we might realistically develop the roads of the future. These
sorts of collaborative conversations need to continue—and on a
regular basis—in order for us to make real progress toward
effectively addressing both the issues of today and the
opportunities of tomorrow.
By collaborating on outside-the-box ideas, leveraging the
latest technologies, extending public involvement, and putting
sound standards in place for implementing new processes, we
will finally get moving down the road toward a more
innovative infrastructure future.
Michael DeLacey is Microdesk president: mdelacey@microdesk.com.

26th
Annual ARTBA Public-Private
Partnerships in Transportation Conference
SAVE THE DATE
July 16 -18, 2014
Washington Court Hotel
525 New Jersey Ave. N.W.
Washington, D.C. 20001
The nation’s premier and longest-standing event for P3s in transportation.

CONEXPO-CON/AGG 2014, March 4-8, at the Las Vegas Convention Center, is
rightly built on the theme of exhibitors showing the most new products this year for
the industry anywhere in the world.
The show (along with the co-located IFPE 2014) is on track to feature more
brand-new products with more innovative product benefits for contractors,
producers and other customers than ever before.
Worldwide industry support will make this year’s event the industry’s global
gathering place in 2014. More than 95 allied associations and groups are official
show-supporting organizations; hundreds of industry meetings and conventions will
be held at the shows; key countries for industry business are hosting international
exhibit pavilions; and leading U.S. and global manufacturers and service providers
are showcasing their latest product innovations.
Equipment users will get their first-look at cutting-edge construction equipment,
and manufacturing leaders will be on hand as they reveal innovative offerings to
show attendees.
Glen Tellock, chair of the 2014 CONEXPO-CON/AGG exposition and president
& chief executive officer of the Manitowoc Company Inc. in Manitowoc, Wis., has
overseen the show’s management committee and is looking forward to being in the
Manitowoc booth.
“Manitowoc has an exciting array of new products and cutting-edge technology
to present at CONEXPO-CON/AGG 2014. We are showing 12 cranes in all, many
of which are brand new or haven’t been seen in North America. We are especially
excited to show off a few engineering innovations that we believe will forever change
the lifting industry,” Tellock said.
IF IT’S NEW,
IT’S HERE:
CONEXPO-
CON/AGG 2014
SHOW
by Rich Jefferson

Show management, however, stress that quality, not size, is
the goal of the shows. A strategic alignment with needs of the
industry has led to programs and events geared toward helping
attendees and exhibitors achieve the most value out of their time.
Rick Patek, the 2014 AEM chair and group president,
aggregate and mining, at Astec Industries Inc., recently shared
with show staff that his company would exhibit 47 products,
of which 41 are new, in its booth. “We always look forward to
CONEXPO-CON/AGG because we can spend quality time
exchanging information with so many end-users of our
company’s products,” Patek said.
ARTBA has several events co-located with CONEXPO-
CON/AGG, including a Board of Directors meeting, Briefing
and Policy Round Table, Council of State Executives meeting,
Woman’s Leaders Council meeting, and others. The principal
sponsors of the show are the Association of Equipment
Manufacturers (AEM), National Stone, Sand, and Gravel
Association (NSSGA) and National Ready Mixed Concrete
Association (NRMCA). IFPE 2014 is owned by the National
Fluid Power Association and AEM, also producer and
manager.
“Attendees will find the newest products and technologies
and technical experts ready to discuss product features and
applications. In the space of a few days, in one place, visitors
can examine and compare the best of what our industry has to
offer,” said Megan Tanel, AEM vice president, exhibitions and
events, and CONEXPO-CON/AGG show director.
Record Exhibit Space Equals More New Products &
Technologies
CONEXPO-CON/AGG 2014 covers a record-breaking 2.3
million net square feet of indoor and outdoor exhibits, while
IFPE 2014 covers an additional 160,000 square feet.
2014 Product and Technology Categories:
Admixtures
Aggregates
Asphalt Production & Paving
Blasting
Compaction
Concrete
Cement
Drilling
Earthmoving
Engines & Components
Heavy-duty and Off-road Trucks
Hydraulics
Information Technology
Lifting–Aerial & Cranes
Lubricants
Pumps
Countless new products that meet the Tier 4 Final/
Stage IV emissions requirements will be shown for
the first time.

Getting Around at the Shows: It’s Easier in 2014!
The show planner—and a new, free mobile app—will help
attendees move more easily. These online resources will allow
attendees to search show maps and exhibitor lists by hall/lot
location, booth number, company name and type of product;
assemble their personalized daily schedule of booth visits and
education; and edit it pre-show and onsite.
The mobile app will be continually updated with exhibitor
and event information and an up-to-the-minute Twitter feed.
The mobile app is sponsored by Caterpillar Inc.
Wayfinding upgrades at the shows include an enhanced
internal shuttle system, better-defined product concentration
areas, and knowledgeable onsite guides to answer questions
and help attendees navigate the show floor. In lieu of printed
show directories, printed map books will be available.
“The goal, as with all our planning, is to create the most ROI
for attendees and exhibitors, and these moves will definitely
make a positive difference for 2014,” Tanel noted.
Show Footprint Includes New Platinum Lot
A new show footprint consolidates outdoor exhibit space into
three large areas—Gold and Silver lots and the new Platinum
lot—to create better attendee flow between outdoor and indoor
exhibits.
Located directly across from South Hall, the new Platinum
Lot will cover 387,000 square feet and feature equipment for
aggregate processing, asphalt paving, drilling and much more.
The Platinum Lot will also host the primary registration hall.
CONEXPO-CON/AGG 2014 will also feature a new
“exhibit suites” option as an additional opportunity for targeted
attendee-exhibitor interaction.
Exhibit Pavilions & Lots
On the CONEXPO-CON/AGG 2014 show floor, a new
Demolition & Recycling Exhibit Pavilion, sponsored by the
Construction & Demolition Recycling Association, will
showcase exhibits and products specific to C&D recyclers and
demolition contractors.
Associated General Contractors of America (AGC) brings
back its Technology & Construction Solutions pavilion for
contractor software providers, finance and leasing companies,
insurance providers, and related suppliers of contractor
business solutions.
International exhibit pavilions at both shows reinforce the
global scope of the events and offer attendees access to a wider
range of companies and product options. CONEXPO-CON/
AGG has five official country pavilions with China, Ireland,
Korea, Spain, and the United Kingdom.
CONEXPO-CON/AGG 2014 education—10 Tracks
CONEXPO-CON/AGG 2014 education offers 120 sessions
across 10 tracks to target the full range of attendee interests,
including equipment management and maintenance, safety and
regulations, recycling and preservation, earthmoving and site
development, business management best practices, and
workforce development, plus aggregates, asphalt, concrete, and
cranes and rigging.

A new education ticket plan allows more flexibility for
attendees to choose sessions onsite. Allied industry groups will
also offer training and certification programs in conjunction
with the shows.
“In addition to the exhibits on the show floor, this is where
our attendees find the knowledge they need to better run their
businesses and increase their ROI,” stated Tanel.
Quality of Life Campaign
A new feature at CONEXPO-CON/AGG 2014 show is a
program that will publicly acknowledge some of the thousands
of construction contractors who contribute every day to our
quality of life.
The CONEXPO-CON/AGG “Quality of Life Campaign”
is bringing up to 50 of these contractors to Las Vegas for the
show, where they will be recognized at a special breakfast. Each
contractor and a guest will also receive complimentary show
admission plus airline tickets to Las Vegas and two nights in a
hotel room.
The stories about their projects, including vital
improvements such as well-maintained and safe roads and
bridges, upgraded and fully functioning clean-water and sewer
capabilities, and improved facilities for recreation, health,
transit and other services, are posted in the Media Services
section of the CONEXPO-CON/AGG website under
“Contractors Build Quality of Life.”
Dexter + Chaney, a company creating construction software
for management and operations, is the exclusive sponsor of the
“Quality of Life Campaign.”
For information on how you can speak up for funding
MAP-21 (the highway bill), visit the ARTBA booth (20049)
and I Make America in the AEM booth (20051), in the Grand
Lobby of the Las Vegas Convention Center.
For registration information see www.conexpoconagg.com.
Coming to CONEXPO-CON/AGG & IFPE 2014? Please
see ARTBA at booth 20049 in the Grand Lobby of the
Las Vegas Convention Center, next to AEM in booth
20051.
Rich Jefferson is AEM senior director of public relations:
rjefferson@aem.org.

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Contact Tim Cox for a product demonstration: 216-244-3207
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Centennial Reflections
HNTB Corporation has been shaping America’s
transportation network for more than 100 years.
America looks a lot different than it did in 1914 when
HNTB’s founders first opened the firm’s doors.
What began as a promising group of engineers designing
innovative movable bridges for railroads has grown to
contribute to many of today’s largest, most complex bridge,
highway, rail, airport, public buildings and public works
projects in the U.S.
Yet, after 100 years in business, HNTB has found some things
haven’t changed, especially the importance of integrity and the
power of a healthy transportation network to fuel economic
progress. For us, recognizing a century in the infrastructure
business is more than just an appreciation of our longevity,
it’s really about how the firm has—and will continue—to help
America grow by ensuring its people and commerce can move
freely across the country.
Throughout the U.S., our talented professionals are dedicated
to making a difference in the communities where they live
and work, helping shape and reshape America’s transportation
network. That includes places like New York City, where we
are helping with disaster response and recovery efforts follow-
ing Superstorm Sandy; Kansas City, where we have served on
the design-build team completing the LEED Gold-certified
National Nuclear Security Administration National Security
Campus; and in Los Angeles, where we are designing the Sixth
Street Viaduct replacement project as well as runway improve-
ments at Los Angeles International Airport.
It’s an essential truth: Robust transportation infrastructure
paves the way to a strong American economy. A strong
infrastructure system creates jobs, promotes economic
development and advances America’s competitiveness in the
international marketplace. Safe, secure, efficient transportation
pays us back in our day-to-day lives well in excess of every
dollar we invest in them. In fact, Moody’s estimates every
additional dollar spent on infrastructure generates a $1.44
increase in gross domestic product.
When given a clear choice, Americans understand this. Last
November, 91 percent of ballot measures to increase or extend
funding for highways, bridges and transit passed across the
country. Voters approved 68 percent of such measures in 2012,
55 percent in 2011 and 61 percent in 2010. Yet America’s
national leaders are struggling to identify a vision for our
country’s infrastructure future.
We need a new and sustained vision. What innovations in
our transportation infrastructure will be brought to life in the
next 100 years? At HNTB, we believe part of that vision
means broadening our horizons through a concept called
multimodalism.
For more than half of our firm’s lifespan, America has viewed
transportation through our grandparents’ eyes, developing,
expanding and funding each sector—highway, aviation, mass
transit, rail—independently. These systems were the innova-
tions of their time, but 21st
century needs demand envisioning
an integrated transportation system, a multimodal one, versus
independent sectors.
by Robert J. Slimp, PE
Triborough Bridge, New York, N.Y. Photo
courtesy of HNTB archives.

Our roads, rails, transit, airports, ports, bike lanes, and
pedestrian systems should work in together to allow the entire
system to perform more effectively and efficiently. With more
transportation choices, we can accommodate more people and
more commerce to serve our growing population.
By 2050, the U.S. will be home to 100 million more people—
equal to another California, Texas, New York and Florida.
More people will mean a greater demand for transportation,
and our highway system can’t be expected to handle it all. We
must increase our infrastructure investment to catch-up on the
growing backlog of all our transportation needs.
Creating a plan that integrates all modes of transportation
begins with the next transportation authorization bill, which
will be debated by Congress this year. Now is the time to
influence that legislation and create long-term funding
solutions that support a multimodal transportation system.
HNTB supports regional and federal transportation plans
that include all modes, delivery and funding options. That
includes projects like the State Route 99 Alaskan Way Viaduct
and Seawall Replacement project in Seattle, the new Denver
International Airport Transit Center, and the Miami
Intermodal Center.
Transportation is evolving, becoming interconnected, more
sustainable. Soon our cars will be talking to each other and the
roadway. Real-time transit and air travel updates will be sent to
your mobile phone. Checking in at the airport or train station
will be a simple as stepping onto the curbside. The way we plan,
fund and deliver infrastructure needs to evolve as well.
HNTB looks forward to contributing to next 100 years of U.S.
transportation development.
Robert J. Slimp, PE is HNTB Infrastructure CEO: rslimp@hntb.com.
Devil’s Slide Tunnels, San Mateo County, Calif. Photographer: Jeffrey G. Katz, courtesy of HNTB.
Alaska Way Tunnel, Seattle, Wash. Photog-
rapher: Vince Streano, courtesy of HNTB.
Arroyo Seco Viaduct, Pasadena, Calif. Photo
courtesy of HNTB archives.
San Diego International Airport, San Diego, Calif.
Photographer: Marble Street Studio, courtesy
of HNTB.

All ARTBA Meetings are held at Bally’s Resort & Casino
MARCH 3-5
See the full ARTBA schedule and register online: www.artba.org

Transportation Construction:
The Next Endangered Species?
by Nick Goldstein
Nick Goldstein is ARTBA vice president of
environmental & regulatory affairs:
ngoldstein@artba.org.
The Endangered Species Act (ESA) is
a federal statute aimed at protecting
“threatened” and “endangered” species
and preserving the habitat necessary for
them to survive. Once a species is
“threatened” or “endangered,” any
unauthorized activity resulting in harm
to the species, including indirect impacts
from habitat modification, may result in a
violation of the ESA.
This sort of regulation can literally
remove hundreds of miles of land from
the possibility of any type of development
or significantly restrict the timing of when
construction may occur. In the transpor-
tation arena, if an entire area is suddenly
put “off limits” by an overly broad ESA
decision or construction is prohibited
for six months out of the year when a
listed species inhabits the area, carefully
designed plans for economic development
might be unnecessarily placed in jeopardy.
While the ESA has been around for
decades now, it has been somewhat
unjustly thought of as a “western issue.”
However, recent events could change this
perception dramatically. Specifically, the
federal government has recently entered
into a settlement with anti-growth
organizations requiring expedited
decisions on whether to list 757 new
species as either “threatened” or
“endangered” by the year 2018.
This may result in at least three new
federally-protected species in every state
with some states such as Florida, Virginia,
Kentucky, Nevada, Tennessee and
California possibly gaining more than
50 new “threatened” or “endangered”
additions. Already, this federal settlement
resulted in 81 new species being brought
under federal jurisdiction in 2013 alone!
It’s also worth noting that Congress just
increased the budget for listing species
as threatened or endangered under the
ESA in 2014 to $22 million, meaning the
government has the resources to do much
more in this arena.
Penalties under the ESA can be severe.
Criminal fines can run up to $100,000
per violation for individuals and up to
$200,000 for organizations in addition
to a maximum one year of prison time.
Civil penalties may also be assessed up to
$25,000 per violation. On top of all of this,
the ESA requires lengthy and expensive
consultations and analyses to minimize
any impacts to listed species and their
designated critical habitat for any project
that relies on federal funding or requires
a federal permit or approval. When the
federal government lists all those new
species and designates critical habitat for
them, the result will be less and less areas
where transportation improvements—or
any development for that matter—can be
located, added expense to project devel-
opment, and project delays.
The direct impact of the hundreds of
new species which could soon be listed
under the ESA was addressed by attorney
W. Parker Moore, a principal with the law
firm of Beveridge & Diamond, during a
January 22 presentation to the ARTBA
Environmental Committee. Moore noted,
“Unfortunately, project developers in
every state will feel the effects of this
settlement, leading to project development
headaches, increased costs, and delays for
transportation construction. As a result, it
now is crucial for developers and
transportation planners to factor ESA
issues into their plans early on and to
take the steps necessary to minimize
disruption of their projects.”
Perhaps the most absurd fact in the
entire ESA debate is that of all the species
which have been listed as “threatened” or
“endangered” by the Act, fewer than one
percent have recovered! By that math,
only about 7.5 of the 757 soon to be listed
species have a chance at survival.
What, then can be done? On a broad
scale, the ESA is in desperate need of
reform. ARTBA has been fighting to add
common-sense fixes to the legislation for
the better part of a decade now. Any time
a new species is considered for “threatened”
or “endangered” status, notice must be
given in the “Federal Register” and the
regulated community is given a chance to
comment. ARTBA is monitoring federal
decisions to list new species for protection
under the act, and our long-standing
efforts of “having the industry’s back” in
the regulatory arena continue unabated.

Transportation contractors are still
facing a number of challenges,
according to results from ARTBA’s latest
quarterly contractor survey, although
there are signs the market is stabilizing.
Contractors expressed concern about
uncertainty surrounding the future of the
Highway Trust Fund and both federal
and state revenues for
transportation programs.
For over 12 years,
ARTBA’s “Transportation
Construction Quarterly
Industry Conditions
Survey” has provided a
real-world outlook on
the highway, bridge and
airport construction mar-
kets. It is a valuable tool to
identify market trends and
support ARTBA advocacy
efforts.
The end of 2013 market
remained flat for most
contractors. Forty-seven
percent of respondents
were doing the same
amount of construction
work in the last quarter of 2013,
compared to the same time in 2012.
Backlogs
The good news is backlogs are
showing some improvement—39 percent
of surveyed contractors reported
backlogs in the fourth quarter of 2013
were up compared to 2012.
Contractors still have the ability to
take on more work. Nearly half of
respondents reported working at 75 to
90 percent of their capacity.
Wages & Materials Costs
Upward pressure on wages and material
costs continued to impact the bottom
line. The level of wages and salaries paid
to employees were about the same for
most respondents, with 38 percent
saying wages and salaries were on the
rise. Profit margins were down for 45
percent and about the same for 30
percent.
Project delays continued to impact
most contractors, with 36 percent
reporting design or owner-related
problems. Over half said delays were
caused by weather, while 16 percent
reported unexpected delays in
obtaining permits.
Equipment
Equipment purchase and equipment
leasing outlooks indicate some
transportation construction contractors
will reduce the amount of equipment
they buy or lease in the next year
compared to the last 12 months.
Survey participants emphasized the
difficulties created by transportation
funding, at both the state and federal
levels. “We have continued concern
about the uncertainty in determining the
future cost for operating our business,”
said one contractor.
Another contractor
indicated that “highway
work has been flat or
slower in some states.”
There is also “extreme
concern about inadequate
highway revenues
compared to needs” at
both the state and federal
level.
According to the survey,
the 2014 business outlook
is showing signs of
improvement. Fifty-seven
percent expect sluggish
growth for the
transportation
construction market in
the coming year. About 14
percent expect a recession,
down from 21 percent in
the third quarter of 2013.
ARTBA is forecasting modest growth
in highway construction and a
growing bridge market for 2014. With
no new federal funding in MAP-21 and
continued challenges for state and local
finances, however, long-term growth is
uncertain.
Those interested in receiving the full
results or participating in future surveys
should contact ARTBA’s Tina
Thirakounh at tthirakounh@artba.org.
Participants receive a copy of the results.
by Darwyyn Deyo
Darwyyn Deyo is ARTBA research manager:
ddeyo@artba.org.
Market Challenges Continue,
ARTBA Contractors Survey Finds
57%
Expecting sluggish
growth in 2014
45%
Profit margins
are down
47%
Construction work is
about the same
39% backlogs are up
28% about the same
What is the
market outlook?

Jan.-Feb. 2014 TransportationBuilder 29Jan.-Feb. 2014 TransportationBuilder 29

ADVERTISER INDEX
Promote your company’s products and services in
“Transportation Builder!”
Contact ARTBA’s Peter Embrey at 202.289.4434 or
pembrey@artba.org
Check out our rates in the 2014 media kit available
at www.artba.org.
Advertise with “Transportation Builder”
“ARTBA reserves the right, at its discretion and without liability of any
nature whatsoever, to reject, cancel or suspend any advertising in whole
or in part, in which case any fees paid in advance shall be refunded to
the advertiser on a pro-rata basis.”
CONSTRUCTION EQUIPMENT,
PRODUCTS & SERVICES
Wirtgen America
www.wirtgenamerica.com...........................................IFC
Heritage Construction & Materials
www.theginfo.com...........................................................30
Caterpillar Inc.
www.cat.com/paving....................................................IBC
HIGHWAY SAFETY PRODUCTS & RESOURCES
Roadway Safety + Training Program
www.workzonesafety.org...................................................7
Work Zone Safety Clearinghouse
www.workzonesafety.org................................................14
Plastic Safety Systems
www.plasticsafety.com....................................................23
LTAP
www.ltap.org.....................................................................29
Trinity
www.highwayguardrail.com..........................................BC
SOFTWARE
HCSS
www.hcss.com..................................................................5
Federal Issues Program &Transportation
Construction Coalition Fly-In
JUNE 9-11, WASHINGTON, D.C.
ARTBA Foundation 19th
AnnualYoung Executive
Development Program
JUNE 9-12, WASHINGTON, D.C.
6th
AnnualTransportation Construction Law &
Regulatory Forum
JUNE 11, WASHINGTON, D.C.
26th
Annual Public-Private Partnerships in
Transportation Conference
JULY 16-18, WASHINGTON, D.C.
ARTBA National Convention
SEPTEMBER 7-9, RANCHO PALOS VERDES, CALIF.
Dr. J. Don BrockTransOvation™ Workshop &
Awards Program
TBD
MEETINGS & EVENTS
www.thginfo.com
www.americastransportationnetwork.com
Heritage Construction & Materials
Building America’s
Transportation Network

R
Find us online at www.cat.com/paving
facebook.com/CATPaving
youtube.com/CATPaving
INNOVATION
UNDERNEATH IT ALL
®
QEXC1735
© 2014 Caterpillar. All Rights Reserved. CAT, CATERPILLAR, BUILT FOR IT, their respective logos, “Caterpillar Yellow,” the “Power Edge”
trade dress as well as corporate and product identity used herein, are trademarks of Caterpillar and may not be used without permission.
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