The council estimates that more than 600 million tons of commodities, such as grain, coal, steel, petroleum, chemicals and aggregate materials, are shipped by barge through the river system. However, aging locks and dams in the system threaten the flow of these goods, the council said.
Thirteen lock and dam modernization projects on the system are cost-shared through the Inland Waterway Trust Fund. Shippers pay about $100 million a year into the fund.
During the last decade, the trust fund has not been used sufficiently, causing severe delays to lock and dam replacements. For example, the modernization of the Olmsted Lock and Dam along the Ohio River should have been finished next year, but will take another 16 years based on recent expenditure rates.
According to the council, the construction delays on the Olmsted project will result in more than $3.5 billion in lost transportation savings. “Millions of dollars get washed down the river” because of these delays, said R. Barry Palmer, president and chief executive officer of the Waterways Council.
Grain shippers are especially sensitive to the routine breakdowns of locks and dams in the river system. “Rail just doesn’t have the capacity and there’s just no way to truck it,” said Kendell W. Keith, president of the National Grain and Feed Association.
The Washington-based council’s purpose is to educate state and national lawmakers about the need to maintain and upgrade the country’s inland waterway freight transportation system.
In 2005, the U.S. Army Corps of Engineers Civil Works program received the highest level of funding in its history, and $379 million was appropriated for inland waterways trust fund financed projects.
The council’s goal for 2006 include:
* Urging spending of the dedicated funds in the trust fund at no less than $150 million.
* Advocating for a $100 million increase for critical operation and maintenance needs on the inland waterways system.
* Pressing for authorization of lock and dam modernization projects on the Upper Mississippi and Illinois rivers, and Bayou Sorrel on the Gulf Intracoastal Waterway.
* Lobbying against any new taxes or fees on the inland waterways industry.
Brokerage Compliance Symposium
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
F3 Awards Dinner
The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
F3: Future of Freight Festival
Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now