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INTERSTATE REPORT
From Site Selection magazine, January 2008


 
Bridge Project a
‘National Problem’

by MARK AREND
mark.arend bounce@conway.com
O
regon Gov. Ted Kulongoski devoted much of his December 3rd address to the state's Economic Leadership Summit in
I-5 Columbia River Crossing
Salem to the need to invest in transportation infrastructure, and specifically to replace the Columbia River Crossing of Interstate 5, linking Portland and Vancouver, Wash. Why discuss a bridge with Oregon's business movers and shakers? Because that particular piece of infrastructure is key to the state's economic prospects, the governor asserted.
   "Today, businesses are coming to Oregon because of our quality of life, high-tech industries, educated work force and gateway ports. But there is no law of nature or economics that says this favorable pattern will continue," he pointed out. "And it won't unless we reverse the current trend toward more congestion, more broken roads and bridges and more productivity lost to an aging transportation system."
   A report prepared by Boston-based Economic Development Research Group for the Oregon Business Council and the Portland Business Alliance, released in March 2007, contains these findings:
   • Being a trade hub, Oregon's competitiveness is dependent on efficient transportation, and system deficiencies threaten the state's economic vitality.
   • Businesses are reporting that traffic congestion and delay is already costing them money, forcing changes in operations and impacting location decisions.
   • Failure to invest adequately in transportation improvements will lead to additional travel delay and associated reductions in market access, and will result in a potential income loss valued at US$1.7 billion annually in value added generated in Oregon by 2025, with a loss of 16,000 permanent, full-time jobs.
   To the second point, a "Cost of Congestion" study commissioned in 2005 cited several examples of changes in business operations associated with traffic on I-5. They include Intel having to move up its last shipment departure time by two hours; Sysco Food Services opening a regional distribution center in Spokane, Wash., because service from Portland was taking too long; and OrePac having to increase inventories by 8 percent in response to congestion delays.
   In his remarks, the governor noted that the same study makes the case that failure to invest adequately in transportation infrastructure would result in economic losses of $800 million annually by 2025.

Bridge to Everywhere?
   Infrastructure throughout Oregon – and every other state for that matter – needs investment and repair. But Gov. Kulongoski is pressing for action now on the Columbia River Crossing, because the consequences of not acting are dire.
   "If Oregon's other transportation problems are potholes, the antiquated bridge linking Oregon and Washington is a sinkhole," he noted.
   The governor says he has held talks with Washington Gov. Christine Gregoire, the Oregon Congressional delegation and metro Portland officials about replacing the bridge. Now he is seeking the support of the state's business community to help persuade the federal government to help fund the bridge replacement.
   "The Interstate 5 Bridge is not just a regional problem," said Kulongoski. "It is not even just a West Coast problem. It is a national problem that is a drag on the entire American economy. As such, replacing the bridge requires a national solution. Remember [Alaska's] bridge to nowhere? This is just the opposite."

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