Talking Michigan Transportation

A year after the Michigan Department of Transportation (MDOT) sold the first group, or tranche, of bonds in Gov. Gretchen Whitmer's $3.5 billion Rebuilding Michigan plan, the finance team is preparing to sell another $800 million worth in August.First, Patrick McCarthy, director of MDOT's Bureau of Finance, explains why the market has reacted so favorably to the sale of bonds to repair the state's crumbling roads and bridges. In a second segment, Brad Wieferich, director of MDOT's Bureau of Development, talks about the favorable bids for many of the projects and how the construction industry has reacted.After the Michigan State Transportation Commission authorized the bond sale in January 2020, Gov. Whitmer joined the podcast to talk about the Rebuilding Michigan plan and the decision to sell the bonds.In this week's first segment, McCarthy said a second round of $800 million in bonds will go on the market in August and independent analysts are projecting they will sell at a premium, just as the first round did a year earlier. The Bond Buyer reported on that first bond sale in August 2020, observing that while the pandemic diminished recent collections of pledged revenues, the state's sturdy coverage ratios provided a cushion to endure the fiscal storm."Michigan's state trunkline bonds are not susceptible to immediate material credit risks related to coronavirus because of strong coverage of debt service and limits on additional leverage," Moody's said at the time. "The longer-term impact will depend on both the severity and duration of the crisis."Moody's also underscored that the lack of investment has taken a severe toll on the state's transportation assets.A March 2021 Government Finance Officers Association primer outlined the role tax-exempt bonds play in infrastructure financings and as an investment product.For those reasons and because of MDOT's solid track record managing finances, both bond offerings are generating a premium, meaning they are very attractive to investors, McCarthy says.He also talks about the department's successful refunding of $68 million in 2011 State Trunkline Fund bonds, which saved the state nearly $20 million. In the second segment, Wieferich talks about the opportunities the Rebuilding Michigan plan offered to accelerate a number of projects that could not be supported financially for several more years. He also explains the design process, what's involved in preparing projects for contractor bids, and why, so far, most projects have come in under engineers' estimates.As Wieferich notes, having more investment up front allows for rebuilding roads and bridges that would otherwise be resurfaced or repaired as stop-gap measures. In the long run, rebuilding rather than repairing, saves taxpayers money in ongoing maintenance. It also saves drivers time and money in commuting and commercial carriers who rely on the freeways to get goods to market on tight schedules.

On the latest Talking Michigan Transportation podcast, a conversation about the ongoing process to rethink the 1-mile I-375 freeway in Detroit and consider other alternatives. First, Margaret Barondess, manager of the environmental section at the Michigan Department Transportation, talks about the ongoing discussions that could reconnect neighborhoods near downtown Detroit, severed decades ago when I-375 was built. She recounts the history and environmental justice issues shaping the current discussion. Later, Michigan Lt. Gov. Garlin Gilchrist joins the podcast to offer his perspective on the project as a native of Detroit and someone who spent part of his childhood in the neighborhood previously disrupted by the freeway. While discussions about restoring the I-375 corridor to an urban boulevard date back several years, the conversation has added resonance because U.S. Department of Transportation Secretary Pete Buttigieg has put an emphasis on connectivity and rethinking freeways. In the wake of another catastrophic rainstorm that caused flooding across the Detroit area, Barondess explains the history behind building recessed freeways and the benefits: keeping the city street system intact, needing less property for the right of way, and limiting the noise in neighborhoods. During his segment, the lieutenant governor talks about what he learned from his parents and others about the residents and businesses displaced by the freeway in the Blackbottom and Paradise Valley neighborhoods. He explains why he’s pleased that the Biden administration wants to create equitable communities and restore opportunities for prosperity. He recounts the wealth lost in what was one of the most thriving black business districts in the country.  Other references: The Detroit News (subscription) https://www.detroitnews.com/in-depth/news/local/detroit-city/2021/03/23/interstate-375-detroit-racism-black-bottom-paradise-valley-mdot-aretha-franklin/4715658001/?build=native-web_i_t  https://www.houstonchronicle.com/local/transportation/crossroads/article/Houston-isn-t-only-Texas-city-thinking-about-7987023.php https://www.nbcnews.com/specials/america-highways-inequality/ Podcast photo: Director Ajegba, Mayor Duggan, Lt. Gov. Gilchrist, and Gov. Whitmer tour and discuss I-375 improvement project. 

After a deluge that caused flooding across Metro Detroit and overwhelmed power sources for pumps that help remove water from freeways, there are a lot of questions about how to address these challenges in the future. Rob Morosi, senior media relations representative for the Michigan Department of Transportation in the Detroit area, joins the podcast to talk about long-term innovative solutions.  As of Saturday afternoon, officials in Dearborn said that city had been drenched with more than 7.5 inches of rain. This is reminiscent of heavy rains that created similar crises only seven years ago, in what was supposed to be a rare event. Scientists say we can expect more of these extreme weather events because of climate change. Morosi talks about the efforts to build a tunnel that will move water to a storage location before ultimately flowing into a county drain. The main tunnel, featuring a 100-foot-deep start, is being built in the northeast quadrant of the I-75/I-696 interchange.Morosi also explains why a tunnel was not workable on the pending I-94 modernization project through Detroit but says there are other innovative drainage options in the works. As Gov. Gretchen Whitmer observed during a tour of the flooding Monday, all of this points to the need for more investment in transportation infrastructure at the state level and to heed the Biden Administration’s call for building for resiliency. Experts have long pointed to the benefits of building for resiliency, including reduced damage to access roads, lower levels of injury and loss of life (safety), and the avoided loss of incomes and livelihoods. 

This week, a discussion about more evidence that the severity of highway crashes increased during the pandemic, seat belt use declined, and the number of Black people killed in crashes rose by 23 percent.  First, Peter Savolainen, Michigan State University Foundation professor of civil and environmental engineering and an extensive researcher on road user behavior, joins the conversation to share his perspective on why drivers took more risks.  Savolainen observes that speeds tend to be higher when there are fewer vehicles on the roads, leading to reduced congestion, and that the data also underscores the difference in the population driving during the pandemic.  Later, Jonathan Adkins, executive director of the Washington, D.C.-based Governors Highway Safety Association (GHSA), talks about his group’s advocacy on the topic and what can be done. The conversation also touches on the flaws with setting speed limits based on the 85th percentile. In fact, a GHSA report in 2019 examining speeding-related fatalities concluded that research has shown raising speed limits to match the 85th percentile speed increases the average operating speed of the roadway, consequently increasing the 85th percentile speed. Adkins talks about the need for more focus on design that accommodates co-existence for all users, including drivers of vehicles, pedestrians and cyclists. As the GHSA noted, pedestrian deaths soared during the pandemic despite the decline in vehicles on the roads. He also discusses the research showing the increase in minorities dying in car crashes and how that needs to be part of broader equity discussions.Photo courtesy of the Michigan State Police Seventh District’s Twitter page @MSPNorthernMI. It shows the aftermath of a vehicle from a crash on US-131 in Wexford County in May 2021. 

This week, the U.S. House Transportation and Infrastructure Committee began debating a $547 billion highway bill, which, among other things, resurrects an old practice: the use of member earmarks for projects. On this week's podcast, Susan Howard, program director for transportation finance of the American Association of State Highway and Transportation Officials, talks about the process, the pros and cons, and what else we can expect.In the second segment, Matt Chynoweth, chief bridge engineer at the Michigan Department of Transportation (MDOT), talks about the largest dollar amount targeted for Michigan, a $20 million earmark for the Miller Road/Rotunda Drive bridge in Dearborn. First, Howard talks about the highway reauthorization legislation, titled the INVEST in America Act, and the differences in today's earmarks versus those of the past, mostly provisions for transparency. There is a cap on the number of projects members can submit per fiscal year and they must provide evidence their communities support the earmarks they submit. Also, any member submitting a request must post it online at the same time they submit their proposal to the Appropriations Committee.Howard also talks about the status of separate negotiations for President Biden's American Jobs Plan and what happens now that talks broke off between the president and the Senate Republicans' top negotiator, West Virginia Sen. Shelley Moore Capito. Talks have resumed with a bipartisan group of senators. Michigan projects Most Michigan Congressional representatives included some projects in the bill. In addition to the Miller Road/Rotunda Drive bridge submitted by Rep. Debbie Dingell, D-Dearborn, U.S. Rep. Fred Upton, R-St. Joseph, requested $14.7 million to rebuild the US-131 interchange with US-131 Business Route in Kalamazoo, and U.S. Rep. Lisa McClain, R-Bruce Township, sought $10 million to rebuild M-46 and M-19 in Oscoda County. U.S. Rep. Peter Meijer, R-Grand Rapids Township, included some local street projects for the city of Grand Rapids. MDOT's Chynoweth explains the bridge bundling concept and the work needed on the Miller Road/Rotunda Drive bridge. Because of the bridge's vital role supporting the Ford Rouge plant, Gov. Gretchen Whitmer has highlighted the need for rebuilding it. The balance of the $60 million needed to replace the bridge would come from the governor's $300 million local bridge bundling proposal. Other components of the bill would support electric vehicle charging infrastructure. The bill also would authorize $750 million annually over four years for MDOT to award funding to remediate, retrofit or even remove transportation facilities to restore mobility or access within "disadvantaged and underserved communities." The Detroit News explains why I-375 in Detroit is such an example. Other references: https://transportation.house.gov/imo/media/doc/ANS%20to%20HR%203684.pdf  https://www.rollcall.com/2021/02/26/house-appropriators-to-cap-earmarks-at-1-percent-of-topline/ Episode photo: Gov. Gretchen Whitmer tours the Miller Rd/Rotunda Dr bridge near the Ford Motor Co. River Rouge complex and I-94 in Dearborn.

This week, U.S. Sen. Gary Peters joins the podcast to talk about his advocacy for President Biden’s comprehensive infrastructure proposal, The American Jobs Plan. Peters is traveling the state to advocate for the administration’s plan. He was in Grand Rapids Wednesday for conversations with a number of representatives involved in various components of infrastructure, including MDOT Director Paul Ajegba, Grand Rapids Mayor Rosalynn Bliss, Anthony Tuttle of the West Michigan Cybersecurity Consortium, Erin Kuhn of the West Michigan Shoreline Regional Development Commission and a member of the Michigan Infrastructure Council, and Laurel Joseph of the Grand Valley Metropolitan Council.  The senator recorded the podcast following the Grand Rapids event Wednesday. He participated in a similar event in Lansing on Thursday.  Peters discussed the ongoing negotiations and whether reconciliation was an option. Meanwhile, the president met again this week with West Virginia Sen. Shelley Moore Capito to broker a compromise and floated another $1 trillion plan on Thursday as outlined in a Wall Street Journal story (Subscription). The reporting indicated that under the president’s suggestion, the biggest companies would pay a minimum corporate tax of 15 percent, according to people briefed on the matter. Unlike Mr. Biden’s proposed corporate tax-rate increase to 28 percent or changes to taxes on U.S. companies’ foreign income, the minimum tax wouldn’t directly reverse the 2017 law.  In the roundtable conversations, Peters pointed out that we can save more money if we invest in infrastructure now than we will if we push off investments. In fact, the senator mentioned that for every dollar invested in infrastructure, you end up saving close to $7 of taxpayer money in the long run. He pointed to the Gordie Howe International Bridge as an example of investments up front that pay big dividends in the future because of the importance to the economies in Michigan and Canada. MDOT photo: Senator Peters and MDOT Director Paul Ajegba at a round table event in Lansing. 

On this week’s Talking Michigan Transportation podcast, Dave Lorenz, vice president of Travel Michigan, talks about what tourism industry officials expect as pandemic restrictions are relaxed and Memorial Day weekend kicks off the summer vacation season. While travel is not expected to reach pre-pandemic levels, AAA forecasts 1.1 million Memorial Day weekend travelers in Michigan this year, a 57 percent increase from 2020. AAA says most Michigan travel from May 27 to 31 will be by car, leading to busy roads.   To aid safe travel, the Michigan Department of Transportation will once again suspend work and lift lane closures where possible on road and bridge projects across the state. A list of active projects is available on the Mi Drive website.  Lorenz is enthusiastic about the travel forecast and what it will mean to tourist sites across the state. But he also talks about the challenges coming out of the pandemic, especially hiring enough workers to meet the demands of restaurants, hotels and resorts. Lorenz emphasizes the need for patience as people train and learn new jobs.  Nikki Devitt, president of the Petoskey Chamber of Commerce, underscored that in an interview with the Detroit Free Press.  “It’s still going to be the same beautiful place you love,” Devitt said. "But we ask that you bring with you a little patience and grace. And understand that you may have to wait a little bit longer, that some hours may be different. But that small business needs you so that they can continue to be here for years to come."  Lorenz also discusses the toll the closing of the border with Canada, now at 14 months, has taken on Michigan’s tourism industry.   Other references:  https://www.tourism-review.com/post-pandemic-tourism-will-set-off-new-trends-news12009  https://theconversation.com/post-pandemic-travel-the-trends-well-see-when-the-world-opens-up-again-153401 

In the wake of a presidential visit to the Dearborn Ford Rouge Electric Vehicle Center and a subsequent announcement about production of the all-electric F-150 Lightning truck, this week’s podcast examines charging infrastructure in Michigan. In the first segment, Aarne Frobom, a senior policy analyst at the Michigan Department of Transportation who has been studying a package of bills related to electric vehicle charging stations, offers some historical perspective on efforts to provide commercial services at state-owned rest areas. Later, Michigan Chief Mobility Officer Trevor Pawl, who was on hand for President Biden's visit Tuesday, talks about Ford’s plans for the F-150 Lightning and what the state is doing to support what we know will be increasing demand for charging stations. While discussions of installing electric vehicle charging stations at rest areas is relatively new, the debate about the use of those rest areas is as old as the roads themselves. As E&E News put it in a 2019 story: "When Congress passed the law that enabled the interstate highway network in 1956, it banned almost all economic activity at rest stops, including anything that aided motorists. That was the result of lobbying from businessmen near the highway who worried that the rest stop would be an irresistible draw." Frobom talks about the discussion over the years at the state and federal levels and recounts MDOT's long-ago efforts to work with private entities to offer services on a state-owned site. He also discusses the differences between electric vehicle charging stations (electricity comes from government-regulated public utilities) and traditional gas stations, sharing some insight from the book The Gas Station in America. He explains how as the automobile grew into a national phenomenon in the early 20th century, competition between gasoline companies prompted them to engage in “place-product-packaging,” which involved incorporating the entire gas station design into a brand name. In Pawl’s segment, recorded Wednesday afternoon, the focus is on President Biden’s visit to the Ford Rouge plant Tuesday and anticipation of the official reveal of the F-150 Lightning, which happened Wednesday evening. The president talked about the history of the Rouge Complex and how the facility is making history again. Pawl explains why Detroit is at the epicenter of transformational change again, and why it is vital for the state to support development of more electric vehicle charging infrastructure.  He pointed to policy issues that he said need to be addressed and the importance of working with other states. Other links: https://www.transportdive.com/news/NATSO-commercialization-interstate-rest-stop-electric-charging/595536/ http://wwmt.com/news/state/questions-of-electric-vehicle-infrastructure-loom-ahead-of-biden-visit-to-michiganPodcast image courtesy of Joenomias on Pixabay.

On this week’s Talking Michigan Transportation podcast, a conversation with three people who participated in an MDOT public service announcement, explaining why they received a COVID-19 vaccine and think others should, too. First, Kim Henderson, who manages MDOT’s Graphic Design and Mapping Unit, talks about why she felt it was important, as a Black woman, to share her testimonial. She has been volunteering at Union Missionary Baptist Church in Lansing to help promote the need to get vaccinated. She also served on the Covid Help Team for the Department of Health and Human Services (DHHS), completing daily case reports and directing calls to individuals that tested positive for Covid statewide. Next, Aaron Jenkins, MDOT media relations representative for the University Region, comprising the counties around Lansing, Ann Arbor and Jackson, shares his reasons for getting vaccinated and being an advocate for others to do the same - from wanting to hug his grandchildren to feeling the need to be an example in the community. Jenkins and Henderson reference the historical reasons for distrust of government and health care officials among some Black people, including the horrors of the Tuskegee Experiment.  The third guest, Melissa Greif, a financial analyst in MDOT’s Gaylord-based North Region, talks about her experience being infected with COVID-19. She details the mental and physical discomfort she experienced and how she hopes her story inspires others to pursue vaccination and avoid the same symptoms. Photo courtesy of the National Cancer Institute on Unsplash. Image shows a nurse administering a COVID-19 shot.

On Tuesday, Michigan hosted the National Work Zone Awareness Week event in the midst of a Rebuilding Michigan project on M-59 in Macomb County. On this week's Talking Michigan Transportation podcast, a conversation with Stephanie Boileau, county highway engineer for the Chippewa County Road Commission and president of the Michigan Chapter of the American Traffic Safety Services Association (ATSSA).Boileau was among the speakers at Tuesday's event, joining Gov. Gretchen Whitmer, MDOT Director Paul Ajegba, Michigan State Police Col. Joe Gasper, Leslie Fonzi-Lynch (the mother of a fallen worker), and other advocates for road worker safety. Boileau talks about her personal connection to the issue in previous jobs, having lost colleagues in work zone crashes. She also emphasizes the need to engage lawmakers in discussions about work zone policies and laws.  Fonzi-Lynch spoke poignantly about her son, Brandyn Spychalski, a road worker injured in a crash in 2017. He died in 2020 from the injuries he suffered. Other references: This year's work zone safety public service announcement, in memory of the five workers killed in Michigan work zones in 2020. Andy's Law, named for Andrew Lefko, who was paralyzed after being struck by a vehicle while working on I-275 in 1999. He was 19 years old, and it was his first day on the job. Andrew died in 2018. Video from the live stream of Tuesday's event.