S.Hrg.119-304

1[Senate Hearing 119-304]2[From the U.S. Government Publishing Office]34                                                        S. Hrg. 119-30456                CONSTRUCTING THE SURFACE TRANSPORTATION7                  REAUTHORIZATION BILL: STAKEHOLDERS'8                  PERSPECTIVES910=======================================================================1112                                HEARING1314                               before the1516                              COMMITTEE ON17                      ENVIRONMENT AND PUBLIC WORKS1819                          UNITED STATES SENATE2021                    ONE HUNDRED NINETEENTH CONGRESS2223                             FIRST SESSION24                               __________2526                             JULY 16, 202527                               __________2829  Printed for the use of the Committee on Environment and Public Works3031                  [GRAPHIC NOT AVAILABLE IN TIFF FORMAT]3233        Available via the World Wide Web: http://www.govinfo.gov34                               ______3536                 U.S. GOVERNMENT PUBLISHING OFFICE373862-925                    WASHINGTON : 20263940               COMMITTEE ON ENVIRONMENT AND PUBLIC WORKS4142                    ONE HUNDRED NINETEENTH CONGRESS4344                             FIRST SESSION4546             SHELLEY MOORE CAPITO, West Virginia, Chairman47            SHELDON WHITEHOUSE, Rhode Island, Ranking Member4849KEVIN CRAMER, North Dakota           BERNARD SANDERS, Vermont50CYNTHIA M. LUMMIS, Wyoming           JEFF MERKLEY, Oregon51JOHN R. CURTIS, Utah                 EDWARD J. MARKEY, Massachusetts52LINDSEY O. GRAHAM, South Carolina    MARK KELLY, Arizona53DAN SULLIVAN, Alaska                 ALEX PADILLA, California54PETE RICKETTS, Nebraska              ADAM B. SCHIFF, California55ROGER F. WICKER, Mississippi         LISA BLUNT ROCHESTER, Delaware56JOHN BOOZMAN, Arkansas               ANGELA D. ALSOBROOKS, Maryland57JON HUSTED, Ohio5859               Adam Tomlinson, Republican Staff Director60                  Dan Dudis, Democratic Staff Director6162                            C O N T E N T S6364                              ----------65                                                                   Page6667                             JULY 16, 20256869                           OPENING STATEMENTS7071Capito, Hon. Shelley Moore, U.S. Senator from the State of West72  Virginia.......................................................     173Whitehouse, Hon. Sheldon, U.S. Senator from the State of Rhode74  Island.........................................................     37576                               WITNESSES7778Armstrong, Hon. Kelly, Governor, State of North Dakota...........     679    Prepared statement...........................................     880    Responses to additional questions from:81        Senator Cramer...........................................    1082        Senator Whitehouse.......................................    1083Ramierz, Austin, CEO, Husco International, Inc...................    1284    Prepared statement...........................................    1485    Responses to additional questions from:86        Senator Whitehouse.......................................    2187Gallego, Hon. Kate, Mayor, City of Phoenix.......................    2288    Prepared statement...........................................    2589    Responses to additional questions from:90        Senator Whitehouse.......................................    2991        Senator Blunt Rochester..................................    319293                          ADDITIONAL MATERIAL9495Position paper: Coalition Helping America Rebuild and Generate96  Electrification (CHARGE), Surface Transportation97  Reauthorization Priorities.....................................    5498Written statements from:99    Ian Jefferies, President & Chief Executive Officer,100      Association of American Railroads..........................    57101    The Environmental Law & Policy Center........................    64102    James T. Riley, Esq., President, Railway Supply Institute....    70103    Pew Charitable Trusts........................................    74104Letters to Senator Capito and Senator Whitehouse from:105    American Cement Association..................................    76106    Alliance of Nurses for Healthy Environments and fifteen other107      organizations..............................................    79108    Association of Metropolitan Planning Organizations...........    82109    Coalition for Recreational Trails............................    84110    The National Association of Counties and three other111      organizations..............................................    87112    The North American Concrete Alliance.........................    89113    The National Electrical Manufacturers Association............    92114    Natural Resources Defense Council and Sierra Club............    95115Letter to Senator Capito, Senator Whitehouse, Senator Cramer and116  Senator Angela Alsobrooks from American Rivers Action Fund.....   100117118                CONSTRUCTING THE SURFACE TRANSPORTATION119                  REAUTHORIZATION BILL: STAKEHOLDERS'120                  PERSPECTIVES121122                              ----------123124                        WEDNESDAY, JULY 16, 2025125126                                       U.S. Senate,127                 Committee on Environment and Public Works,128                                                    Washington, DC.129    The committee met, pursuant to notice, at 10 a.m. in room130562, Dirksen Senate Office Building, Hon. Shelley Moore Capito131(chairman of the committee) presiding.132    Present: Senators Capito, Whitehouse, Cramer, Sullivan,133Ricketts, Boozman, Husted, Markey, Kelly, Padilla, Blunt134Rochester, Alsobrooks.135136        OPENING STATEMENT OF HON. SHELLEY MOORE CAPITO,137          U.S. SENATOR FROM THE STATE OF WEST VIRGINIA138139    Senator Capito. Thank you for joining us this morning and140welcome to our three great witnesses that we have.141    This hearing is second in a two-part series of hearings142that we are having to help guide the development of our next143Surface Transportation Reauthorization Bill.144    Earlier this spring, we held a hearing with U.S. Secretary145of Transportation Sean Duffy, where he detailed how the Trump146administration is administering the current law and described147priorities for the next bill. Today, we will hear from new148stakeholders on their priorities.149    My vision for this legislation is simple, but important: we150want to improve the movement of people and goods. Our roads and151bridges are what connect us to the people and places that152matter most in our lives. They help businesses, large and153small, create jobs, economic activities, and enable their154competitiveness in the global marketplace.155    For example, my home State of West Virginia is pursuing156important projects like Corridor H to better link our157communities to essential services and economic opportunity.158This legislation will provide the funding and establish the159policies and programs that enable the improvement of the160surface transportation network that we all rely on.161    Since the enactment of the bipartisan Infrastructure162Investment and Jobs Act, the Committee has reviewed and163conducted oversight on existing programs and policies, and we164have learned a lot about what is working and what is not. The165IIJA met a generational level of investment in our surface166transportation network, but there have been some challenges in167the implementation.168    We know that the highway formula programs are producing169results in communities across the States. We also know there170have been some issues getting discretionary grant awards out171the door and producing tangible improvements to that network.172    When Secretary Duffy appeared before the Committee, he173outlined the backlog of more than 3,200 discretionary grant174awards without signed grant agreements that he had inherited175from the prior administration. I appreciate the Secretary's176ongoing efforts to address this backlog, and I know that the177Department of Transportation is making progress on getting178these agreements in place. As a matter of fact, I believe they179have done over a thousand of those already, and have resolved180those.181    We will apply the lessons learned from the IIJA to shape182the next bill and those lessons have led me to three183principles. I have discussed these principles at our hearing184with the Secretary, but I believe it is important to reiterate185them today.186    Principle one: improving the safety, and I want to187emphasize safety, safety and reliability of America's surface188transportation network with impactful investments. In recent189years, we have seen an increase in the number and scope of190Federal transportation programs. These programs sometimes have191duplicative purposes and project eligibility. This leads to an192expensive and time-intensive process to get funding out the193door and lessens the impact that the legislation can make.194    As we craft the next bill, we must prioritize investments195that instead optimize Federal funding and give State partners196the confidence to invest over a longer period of time. We197should focus on eliminating duplicative programs and increasing198funding for the highway formula programs that our States rely199on and, as I said earlier, have a proven track record of200success.201    Principle two: reforming and modernizing Federal programs202and policies to create efficiency. We all know that, as203currently structured, Federal requirements can add red tape204that increases costs and slows down the completion of projects.205We all want to deliver transportation benefits faster and save206money for the American taxpayer.207    To achieve this goal, we need to take a serious look at208Federal requirements to determine how we can create certainty209for the partners who make these projects happen and ensure that210the public receives the benefits of these investments quickly.211    Principle three: addressing the variety of surface212transportation needs across all States. Obviously, different213States have different needs, and I think we will hear about214that today. I would not expect West Virginia, with our215mountainous peaks and valleys, to which Senator Curtis is not216here to tell me how much more mountainous his State is, so we217will just say we are the Mountain State, to prioritize the same218transportation projects as other States.219    We need to avoid top-down mandates from Washington, DC. and220give States the flexibility to address the individual221improvements that their communities need. It will take222collaboration from my Senate colleagues, the Trump223administration, and our stakeholders to complete this bill224before the IIJA expires in September 2026.225    We must be pragmatic, work in a bipartisan fashion to226deliver a bill that sets us up for a productive conversation on227this reauthorization effort with our colleagues in the House.228    I am really grateful, I know many of you have traveled far,229to the witnesses that have joined us today. I look forward to230learning about these priorities. This is an excellent231opportunity ahead of us to make a pivotal impact on our surface232transportation network. Each of us knows how important that233network is and the role that it plays in keeping our Country's234economy and people on the move.235    I am excited to get to work and continue the EPW236Committee's bipartisan tradition of developing legislation that237delivers for the American people.238    Ranking Member Whitehouse, I now recognize you for your239opening statement.240241         OPENING STATEMENT OF HON. SHELDON WHITEHOUSE,242          U.S. SENATOR FROM THE STATE OF RHODE ISLAND243244    Senator Whitehouse. Thank you, Chairman, for this hearing.245Thank you to the witnesses for being here. Welcome particularly246to Mayor Gallego, who will be introduced later by her Arizona247kinsman, Senator Kelly.248    As we consider the next surface transportation249reauthorization bill, I would be remiss not to remind everyone250that Democrats will have no reason to do a bill if we have an251administration that will not faithfully execute the laws,252meaning both sides of any compromise we reach.253    On the bright side, DOT has made substantial progress254obligating money to hundreds of previously frozen grants. New255draft guidance for the National Electric Vehicle Infrastructure256program, NEVI, was submitted to the Office of Information and257Regulatory Affairs. This is progress.258    NEVI is still stalled at OIRA, and periodic threats259continue to politically disfavored projects, like high-speed260rail and congestion pricing.261    I want to get a bill done, and I have given my team the262green light to work on details. DOT is moving in the right263direction, particularly when compared to the dumpster fire of264political corruption at the Environmental Protection Agency.265    Here in Congress, there is bipartisan agreement about a266strong Federal commitment to our infrastructure. The American267Society of Civil Engineers still gives our roads a D+. We have268more than 43,000 bridges still classified as structurally269deficient. Thirty-nine percent of our public roads are still in270poor or mediocre condition. Close to 40,000 people still die271each year on our roadways, in the wealthiest country in the272world.273    Our directive is clear: work together to build on the early274successes of the IIJA and further improve our transportation275infrastructure. As we do this, prudent investments must account276for anticipated conditions.277    Annual costs for climate-related damage to road and rail278infrastructure are expected to reach nearly $20 billion a year279by 2050 with approximately $1.5 billion in costs for bridges280alone. A recent report by the U.S. Chamber of Commerce and281Allstate found that for every $1 invested in infrastructure282resilience, communities across the Country save $13 in post-283disaster losses. One to 13 is smart spending.284    I thank DOT for finalizing the PROTECT grant agreement for285the historic and beautiful Mount Hope Bridge in Rhode Island286just last week. That PROTECT program recognizes that climate287change is a real driver of infrastructure risk, and that288investments in resilience now save big money in the long run.289    Pollution-driven climate change is costing lives and290livelihoods. To pretend otherwise is to abdicate our moral and291fiscal responsibility. The next reauthorization bill must and292will take climate change seriously. We may not have to say it,293but we have to do it.294    Transportation is the largest source of U.S. greenhouse gas295emissions: 1.8 billion metric tons of carbon dioxide into our296atmosphere each year, more than a quarter of total U.S.297emissions.298    Just last week, four communities were ravaged by 1-in-2991,000-year rainstorms. Climate change is making floods like300those in Texas, North Carolina, New Mexico, and Illinois more301intense, more deadly, and more frequent.302    Homeowners' insurance in coastal wildfire risk areas is303collapsing, taking down real estate values and presenting a304systemic financial danger to our economy. Our transportation305system is driving this climate upheaval, and that, in turn,306challenges the functionality of our transportation system.307    In addition to climate safety, the next reauthorization308bill must prioritize roadway safety. The persistently high309number of traffic fatalities, and their immeasurable pain and310suffering, is unacceptable. This is not just driver and311passenger safety, but the safety of those walking, biking, and312working on construction sites or responding to emergencies.313Many of our roads that are in poor condition are the local314roads that carry a large share of our vehicle miles traveled,315exacerbating the safety risks.316    As we put pen to paper on this next transportation package,317let us be clear-eyed. Let us follow the evidence. Let us make318the investments in our transportation systems that reduce319emissions, that prioritize safety, that bolster resilience, and320that meet the real-life needs of the communities we serve.321    With that, I look forward to working together with the322Chair and my Republican colleagues on this bill, and I look323forward to hearing the perspectives of our witnesses.324    Senator Capito. Thank you.325    Next, I will turn to Senator Cramer to introduce our first326witness for this meeting. Senator Cramer, you are now327recognized.328    Senator Cramer. Thank you, Chairman Capito and Ranking329Member Whitehouse.330    Chairman, let me just start out by promising you that331unlike Senator Curtis, Governor Armstrong and I have no332intention of bragging about how much bigger our mountains are333than yours.334    [Laughter.]335    Senator Capito. Good.336    Senator Cramer. We will just yield to that.337    It is a really great honor for me to represent my Governor338and a former Member of Congress, Kelly Armstrong, whose actual339years of service are very similar to mine in that every time he340won an election, he improved the institution he went to. He341replaced me in the House of Representatives.342    [Laughter.]343    Senator Cramer. Including on the Energy and Commerce344Committee, and he also served on the Judiciary Committee, which345as you know, Madam Chairman, is not a small task in the House346of Representatives, to be on Energy and Commerce and have347another such important office.348    Kelly--what is interesting to me about Governor Armstrong349is he is not naturally a politician at all. In fact, he is350quite naturally the opposite. He is a successful351businessperson, he is a lawyer that is not even ashamed to say352it. He is a graduate of the University of North Dakota, where353he got both his degrees, his undergraduate and his law degree.354He served on the State Senate, which is, in my mind, where the355rubber meets the road. Then of course, like I said, in356Congress, and now as our Governor.357    Kelly, to me it seems like you are still a new Governor. I358do not know how it feels to you, having been through one359legislative session. You may feel much more experienced.360Governor Armstrong brings that perspective, as I look forward361to hearing from the Mayor.362    I think for all of us up here, it is really, really363important to remember that there is probably no better364illustration of the juxtaposition of the relationship between365the Federal Government, local and State governments than366infrastructure. It is actually legitimate in the Constitution,367right, interstate commerce.368    Kelly brings that very important perspective from a rural369State that produces a lot of things that we do not consume in370our own State, or at least we do not consume nearly in the371supply that we provide to a hungry world and a growing economy,372whether it is energy or food or how you get semolina wheat to373the mill to turn it into flour, or durum wheat to turn into374semolina flour to get it to a pasta plant to get it to the375restaurant in New York. He understands it all, and he376understands the relationship. I am really grateful he is here.377    Beyond all those other things that Kelly has done, he is378most of all, and what he is really, really good at is, he is a379very experienced youth baseball coach. That is really where the380rubber meets the road.381    With that, Madam Chair, it is just my honor to introduce382Governor Kelly Armstrong.383    Senator Capito. Thank you, Senator Cramer.384    I would mention that Governor Armstrong is testifying here385on behalf of the National Governors Association this morning. I386will say to all of you out there, today is the congressional387women's softball game. We are playing at Audi Stadium tonight388at 7:30. It is going to be televised.389    I am the only Senator playing, so we had better get through390that vote-a-rama quickly so I can get there. This is how I met391Governor Armstrong; he helped coach and coached us all, I think392over on the third base line for one of our games. It is really393great to see you, and I welcome your testimony, Governor.394395              STATEMENT OF HON. KELLY ARMSTRONG,396                GOVERNOR, STATE OF NORTH DAKOTA397398    Governor Armstrong. Thank you, Chairman Capito, Ranking399Member Whitehouse, and Senator Cramer, for that introduction,400and members of the committee.401    Before I get into my remarks, I would say if we are going402to talk that much about baseball and softball, anybody who403thinks being a State senator or being a trial lawyer is the404best preparation for Congress is wrong. The best preparation405for Congress is dealing with youth sports parents.406    [Laughter.]407    Governor Armstrong. Thank you for the opportunity to408testify today and offer the State perspective as this committee409continues its work on surface transportation reauthorization. I410have the honor of serving as the 34th Governor of the State of411North Dakota.412    In rural States like ours, transportation infrastructure is413not merely about convenience; it is a pillar of our communities414and thriving local economies. Our highways, roads and bridges415are essential lifelines connecting our agricultural producers,416energy industry, small businesses and families to markets,417healthcare, education and emergency services.418    North Dakotans drive over 12,000 miles a year, and we are419the geographic center of North America. As Senator Cramer420mentioned in his introduction, we produce a lot of things the421world needs. We are very proud of the fact that we provide422calories and energy to a world that continues to ask for more423and more and more of those, to continue what is the greatest424economy in the history of the world.425    We put a lot of miles on. Unlike D.C., where many people do426not own a car and rely on public transit, our citizens depend427heavily on personal vehicles to reach their destination. We428have teenagers driving farm trucks, senior citizens driving429hundreds of miles for doctor's appointments and students430driving 20 miles one way for baseball or basketball practice.431    The roads in our State are not just for North Dakotans.432Investment in rural highways benefits the entire Nation. The433movement of people and goods from the coasts across North434Dakota and other rural States benefits people and businesses at435both ends.436    Good roads in States like ours are essential to getting ag,437energy and other products to national and world markets. My438request for the Committee today is simple: continue providing439robust funding, giving maximum flexibility to States and watch440us go to work.441    A key piece of ensuring States can successfully and442efficiently build projects is formula-based funding. The next443highway bill should maintain or increase the percentage of444program dollars distributed by formula, allowing States to more445quickly deliver critical transportation projects. This is446especially important in States like North Dakota that do not447have that long of a construction season.448    Although discretionary grant programs play a role in our449infrastructure funding, the process is often inefficient, slow450and costly. In some cases, it can take up to 18 months between451an award and grant announcement.452    I can give you a specific example. In June 2023, the North453Dakota Department of Transportation was awarded a $30 million454Railroad Crossing Elimination grant from the Federal Railroad455Administration. The grant will fund a long-overdue grade456separation project in Grand Forks, a city with nearly 60,000457residents and home to my alma mater, the University of North458Dakota.459    Secretary Buttigieg came to Grand Forks, we welcomed him,460and we were excited about the project. As of today, more than 2461years later, the North Dakota DOT is still awaiting execution462of a grant. In our first legislative session, we had to463appropriate $20 million in State DOT money because of the cost464increase that is associated with that 2-year delay.465    We are very, very appreciative of the money. We are very,466very appreciative of the award. The delay alone is an expense467that was never anticipated, never dealt with. We will fix it.468We will get it done. We are excited about it. It is important.469It was unnecessary.470    Delays in discretionary grant programs are problematic,471regardless of their geographic location. However, in a State472with a short construction window, the negative impacts of these473delays are magnified.474    While discretionary grant programs serve an important475purpose, I encourage this committee to increase, to the extent476possible, the percentage of dollars delivered via formula.477    Additionally, I ask that you consider including provisions478that give States more flexibility to deploy funds to the places479they need it most. The bipartisan Highway Funding480Transferability Improvement Act from Senators Cramer and481Alsobrooks will do just that by increasing the percentage of482funds departments of transportation can transfer between483accounts.484    States know their needs, and this legislation will enhance485our ability to make the best decisions for our unique486situations. Robust funding is important, but all the money in487the world, and quite frankly, we could appropriate less money488if we streamline the permitting process. We would take less489money from the Federal Government every single day if we could490get a shovel in the ground faster.491    I appreciate the opportunity to be here, and just would end492with, thank you so much for having us. Thank you for all you493have done to help us build infrastructure in North Dakota, and494I look forward to your questions.495    [The prepared statement of Governor Armstrong follows:]496497[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]498499    Senator Capito. Thank you, and I am sure your voice is loud500and clear for all the other 49 Governors and others.501    Our next witness is Austin Ramirez, the CEO of Husco502International, Inc. He is testifying on behalf of the National503Association of Manufacturers today. Mr. Ramirez became CEO of504Husco in 2011, taking over from his father, Gus Ramierz.505    Today Husco has over $500 million in annual sales, employs506over 1,500 people worldwide and has a global footprint. They507specialize in high performance hydraulic and electromechanical508components. Mr. Ramirez will share his perspective as a user of509the transportation network that relies on safe roads and510bridges to get people to work and products to market.511    I would note in his bio he was an all-American swimmer at512the University of Virginia. Wahoowa for you.513    Mr. Ramierz, you are recognized for 5 minutes.514515               STATEMENT OF AUSTIN RAMIREZ, CEO,516                   HUSCO INTERNATIONAL, INC.517518    Mr. Ramirez. Thank you, Chairman Capito, for the generous519introduction. Good morning, Ranking Member Whitehouse, and520members of the committee.521    My name is Austin Ramirez, and I am proud to serve as the522President and CEO of Husco. Thank you for the opportunity to523testify about the importance of modern infrastructure to U.S.524manufacturing, and to provide manufacturers' views on surface525transportation reauthorization.526    Husco is a family owned business based in Waukesha,527Wisconsin. We make vital components used in the cars you drive528and the equipment that powers construction. For nearly 80529years, we have been an economic driver in our local community,530providing thousands of family supporting careers.531    We are also a business with a purpose, guided by the values532of opportunity and service. Husco is the top corporate533philanthropic donor in Wisconsin. We have built schools and534welcomed refugees. These values reflect my family's story.535    My dad, Gus, was born in Puerto Rico. He came to this536Country at the age of six and pursued the American dream,537graduating from our Nation's top universities. Over several538decades, Gus went from working at Husco to leading it as a539standalone company. Under our family's leadership, revenues540have grown from $20 million in 1985 to over $500 million today.541    Husco is an American success story. We represent the542possibility and prosperity created by a strong manufacturing543sector, an industry that employees 13 million people, and544contributes $2.9 trillion to the U.S. economy. When545manufacturing wins, America wins.546    Our competitiveness depends on decisions made here in547Washington. We need policymakers to promote a comprehensive548strategy to grow U.S. manufacturing. Such a strategy must549include continuing investments in our Nation's surface550transportation infrastructure.551    Modern, dependable transportation helps manufacturers make552and move our products. These projects generate productivity553gains and induce demand for manufactured goods, stimulating the554economy and bolstering American competitiveness.555    At Husco, we see these benefits directly. Our customers are556in the automotive and construction industries. Husco families557drive over the roads and bridges improved by highway projects.558Several are turning dirt this year in Waukesha County.559    To realize these benefits, however, we need the Federal560Government to be efficient and remove red tape. Permitting561reform must be part of any comprehensive manufacturing562strategy.563    Congress should seize the opportunity to support564manufacturers like Husco through continued infrastructure565investment. We cannot go back to the fits and starts of highway566bill extensions. Our industry needs certainty to invest, plan,567and hire in America.568    Manufacturers are ready to do our part to get a bill done569this Congress. We champion the Infrastructure Investment and570Jobs Act, a historic effort made possible by the leadership of571this committee. We commend your leadership now as you look to572drive the next highway bill to enactment.573    As you begin this work, manufacturers respectfully574encourage you to consider several policy proposals that will575support our growth and success. First, we ask that you continue576to make robust investments in our surface transportation577infrastructure. Manufacturers recognize the importance of578ensuring efficiency in government spending. We support long-579term solutions for the Highway Trust Fund.580    Second, Congress should strengthen supply chains.581Manufacturers depend on the movement of freight, but industry582surveys have shown repeated supply chain challenges. Surface583transportation legislation should continue to expand highway584capacity, connectivity and support our Nation's freight network585through intermodal improvements.586    Finally, Congress must make the reforms necessary to get587these projects actually completed. The vast majority of588manufacturers say that our complex permitting laws impact589investment decisions. We need to fix this broken system and590stop endless litigation. Doing so will unlock growth potential591across manufacturing and empower infrastructure investments592that help companies like Husco compete.593    As a small manufacturer in the heartland of America, I594appreciate the committee's work to continue investments and595support manufacturing. Manufacturers like Husco strongly596support your efforts to advance bipartisan surface597transportation reauthorization.598    To put it simply, investments in infrastructure are599investments in manufacturing. Our industry depends on a robust,600modern, efficient transportation system, and you can promote601domestic manufacturing by getting a highway bill done this602Congress.603    Thank you for inviting me to testify today to share Husco's604story. I look forward to your questions.605    [The prepared statement of Mr. Ramirez follows:]606607[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]608609    Senator Capito. Thank you, Mr. Ramirez.610    Now I want to turn to Senator Kelly who will introduce our611final witness.612    Senator Kelly. Thank you, Madam Chair. I am excited to613welcome my friend and the Mayor of Phoenix, Kate Gallego, to614the committee. Mayor Gallego is only the second woman to be615elected the mayor of Phoenix, and she is one of the youngest616big city mayors in the Country and certainly the best.617    [Laughter.]618    Senator Kelly. Now, Mayor Gallego has a wealth of619transportation policy experience that I know will be critical620to this committee's discussion today. During the Biden621administration, she served as Chair of the Transforming622Transportation Advisory Committee, and she continues to serve623as chair of Climate Mayors, a bipartisan network of nearly 350624mayors across the Country who are leading cities to meet their625sustainability goals.626    As a lead negotiator of the CHIPS and Science Act, I worked627closely with Mayor Gallego to boost domestic semiconductor628manufacturing in Arizona, and bring the Taiwan semiconductor629manufacturing company to Phoenix. This critical investment is630generating thousands of jobs and it is cementing our State as a631global hub for microchip manufacturing. It is also part of the632growth that is fueling the region that requires smart633investments in transportation infrastructure to keep up.634    Mayor Gallego, thank you for testifying today. As the635committee discusses the upcoming surface transportation636reauthorization, I know how valuable it will be to learn from637your experience about what Congress can do to meet the638transportation needs of urban areas while ensuring that our639infrastructure remains resilient in the face of climate change.640    With that, Madam Chair, I hand it back to you.641    Senator Capito. Thank you.642    Welcome, Mayor, and we look forward to your testimony.643Thank you.644645            STATEMENT OF HON. KATE GALLEGO, MAYOR,646                    CITY OF PHOENIX, ARIZONA647648    Mayor Gallego. Thank you, Chair Capito, Ranking Member649Whitehouse. Senator Kelly, thank you for the wonderful650introduction and invitation. Members of the Senate, I am651grateful for the invitation to testify today on surface652transportation reauthorization.653    I am honored to share my perspective and offer insight from654local government. I have the great privilege of serving as655mayor of the fifth largest city in the United States. More than6561.7 million people call Phoenix home. That is more than the657population of 11 States.658    We have a lot of people, and a lot of roads, nearly 5,000659miles. We own hundreds of bridges.660    Throughout my time as mayor, and before that as a member of661the City Council, improving our transportation infrastructure662has been a top priority for me. I served as Chair of our MPO,663the Maricopa Association of Governments, and helped lead our664transit agency, Valley Metro.665    I serve as Co-Chair of Accelerator for America, which666operates the national infrastructure advocacy coalition, United667for Infrastructure. Madam Chair, we were so grateful to you for668kicking off our Infrastructure Week event this year.669    I chaired the U.S. DOT Transforming Transportation Advisory670Committee, a national panel that advised on how to use671technology to improve surface transportation. Our work included672tools to speed project delivery as well as how to best use AI673and automation.674    I also serve as Chair of Climate Mayors, where I have the675privilege of working with a bipartisan network of nearly 350 of676my colleagues to work toward making our communities safer and677more resilient. Recently, our coalition had the honor of678speaking with Ranking Member Whitehouse. It was a perfect679showcase of how direct collaboration benefits our levels of680government.681    That is why I am excited about the opportunity to speak682with you today. The Infrastructure Investments and Jobs Act was683revolutionary for our city. It is essential that the funding684levels from that law continue, or better yet, increase, to685allow States, tribes and local governments to carry on the686essential work that the law spearheaded.687    One thing I know is top of mind for all of us is safety.688With an average of 30,000 crashes annually and an average of689two crashes resulting in serious injuries every single day,690NHTSA, National Highway Traffic Safety Administration, has691consistently ranked Phoenix in the top three cities in the692Nation for overall traffic fatalities. That is not a point of693pride.694    As a mayor, among the moments that stick with me the most695in this job are the tragedies that involve children. Both as a696mom and a local leader, there is nothing worse than seeing a697child get hurt. One moment I will always carry with me is698speaking with a father of a young woman who was killed due to a699traffic accident. He gave me a picture of her and asked me to700work hard to make sure it never happens again. I still have her701photo.702    As a result of the Safe Streets and Roads for All program,703we have been able to address some of the safety issues on the704roads that took his daughter's life. This grant allowed us to705implement proven safety measures designed to address issues706involving pedestrians, transit riders, and drivers on a very707critical corridor.708    Another challenge that Phoenix faces is rising709temperatures. Just last week, we hit 118 degrees. Our highway710infrastructure is required to face this reality head-on and has711to be built and maintained differently. It must be resilient.712Programs such as PROTECT, and Senator Kelly's Healthy Streets713Initiative, would help cities to implement essential714initiatives such as cool pavement.715    Infrastructure benefits our economy and our national716security. When I was recruiting our largest economic717development deal, a semiconductor manufacturer, to come to718Phoenix, I spoke about our commitment to investing in719transportation infrastructure to support their investment. That720mattered. TSMC, Taiwan Semiconductor Manufacturing Company, is721now investing $165 billion in our city, and the Federal722Government has partnered with us to invest in freeway723infrastructure to support these advanced industry jobs.724    This partnership means that we, Americans, now make the725most advanced chips in the world again in our Country,726important for our national security.727    In the upcoming surface transportation reauthorization728bill, I encourage Congress to invest more directly to local729governments, tribal governments and MPOs in addition to States.730More than 75 percent of road miles are owned by cities and731counties. In addition, local governments own and operate more732than half of our bridges and the majority of our public transit733systems. Local leaders drive the same roads as our constituents734every day and we are well equipped to determine where to make735key investments.736    The discretionary programs in IIJA help cities, including737mine, tremendously. Congress should continue to invest in those738programs to meet the needs of communities today.739    Phoenix is a growing city whose best days are still ahead740of it. With continued help from Congress, who has so often been741a key partner of cities, America's infrastructure will be742safer, more resilient, better maintained, and more responsive743to the needs of each community.744    Thank you for your time. I look forward to your questions.745    [The prepared statement of Mayor Gallego follows:]746747[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]748749    Senator Capito. Thank you very much.750    I will kick it off with a sort of general question to751everybody on the panel. In your individual ways you have talked752about the importance of the surface transportation network and753what reauthorization will mean to you in terms of economic and754job growth.755    I want to dig down a little bit more on that. Is it the756predictability, the affordability, the flexibility? What would757you point to as, from your standpoint as Governor, and then we758will go down the panel, to how this will impact your economic759growth and job creation abilities?760    Governor Armstrong. Thank you, Madam Chair. All of the761above, but I think, I have had the opportunity to serve here762too. We spend money inefficiently. We are required to do that763because you go a decade without any increase in funding and764then things turn to whatever. The more predictability and765foresight you can push onto us, the less money we will spend to766build the same project.767    Senator Capito. Would you say the predictability factor768would be, get this bill in by the end of September 2026, so you769can have the predictability for the next five or 6 years?770    Governor Armstrong. Yes, that would be a worthy call. Then771I also think, I mean, like I said, our perspective, we start,772each State is different, but I do not think any community or773any State in the Country has the amount of money they need to774fix their roads and bridges or whatever. They can prioritize775their projects, they know which ones are permitted at the State776or county level. They know which ones that they can divert, I777mean, they can start doing, I mean, the work force shortage778exists all over the Country. The earlier you could do that and779the more flexibility you can, like with Senator Cramer's and780Senator Alsobrooks' bill, then we can divert and move things781around.782    It is not just about like picking winners and losers. We783know which project is ready to go, and we know which one we are784going to have to wait another construction cycle to do.785    Senator Capito. Right.786    Mr. Ramirez, how would this impact your ability to grow?787    Mr. Ramirez. I mentioned supply chain in my comments, and I788think that is a real issue we have. Rural facilities, and789having surface transportation to those facilities that is790efficient and well-maintained is really important.791    Another really big one is, my main facility is outside792Milwaukee, Wisconsin. The main east-west corridor, I-94, has793been caught up in litigation for years. I have employees that794spend hours a day stuck in traffic because we can not execute795projects that we have already agreed to do.796    Senator Capito. That project is still waiting to be797completed? I am not unfamiliar with that.798    Mr. Ramirez. Yes, ma'am.799    Senator Capito. Wow. That is a major corridor for you.800    Mayor, do you have a comment on how this will impact your801ability to grow? You kind of alluded to it in your comments.802    Mayor Gallego. Absolutely. I think we all share a goal for803American infrastructure being the best in the world. This804committee has moved that forward, but we have an enormous805backlog. We appreciate the leadership on starting early.806Certainty helps us. Same with the Governor, the earlier we can807hire and plan, the less it costs, and the more we can do808better.809    Phoenix is proud to be one of the homes of the Mayo Clinic.810In our case, they are in North Phoenix, in an area that has a811lot of infrastructure challenge, including a major flood plain.812There is a huge bridge, where if we could get that built it813would expedite their ability to expand.814    They have come up with incredible research that has reduced815the risk of cancer, heart disease and more. The whole Country816benefits from the innovation that is happening there. They need817investments in infrastructure to be able to expand and do that818work. It is literally life-saving.819    The work you are doing here today matters so much to us.820    Senator Capito. Well, good. You led me right into my next821question. This is one of my pet projects for surface822transportation as it was in the past, is our bridges. Our823Nation's bridges, I could speak for my State personally, we824have a lot of bridges, a small State but a lot of bridges. We825have some that are considered, you can still use them, but in826another five to 10 years it is questionable whether you are827going to be able to use them.828    There is also, and they are so expensive to repair and fix,829and inconvenient, as Mr. Ramirez was saying.830    Governor, does having a set-aside for bridges help you, or831would you rather have the flexibility to decide if you are832going to use that for bridges or not?833    Governor Armstrong. The State of North Dakota owns over8341,700 bridges. There are 4,800 bridges total in the State of835North Dakota. I would tell you that if you had a set-aside for836bridges, no matter what the Federal Government gave us, it837would not be enough.838    I would say we have to do a better job at our level. Again,839we do not have mountains or all of that. You would not build a840grid infrastructure for bridges in North Dakota in 2025 the841same way you did it in 1925. I think we can help make a better842case to the Federal Government by saying, we are prioritizing843these things, this is how we are going to do it.844    I would not be opposed to the set-aside for bridges,845because----846    Senator Capito. Well, there is one. I think there has been847one, and I'm very much committed to that.848    I would also say, your point on whether you would rebuild849in 2025 as you built in 1925 really leads me to my next Senator850here, because that is the resiliency portion of the bill that I851think it is exceedingly important. Not only does it save money,852it saves lives, and it is much safer.853    Senator Whitehouse?854    Senator Whitehouse. Thank you, Chairman.855    Welcome, Mayor Gallego. We appreciate your being here.856    What are the particular challenges that 118 degree weather857presents to your regional transportation system? Can you even858wait for a bus in that kind of weather?859    Mayor Gallegos. Our weather can be dangerous. We had 31860straight days above 110. Workplace safety really matters. I861appreciate that you both emphasize how important that is. We862hope surface transportation reauthorization will make sure that863as construction contracts go forward, we honor the men and864women who are building America. We have to make sure that they865are structured so that safety is part of the areas we866incentivize the most. Construction in 118 can be dangerous.867    Senator Whitehouse. Yes.868    Mayor Gallegos. We do not want least cost bids that say you869can not take breaks for water and shade, because those870abilities to cool yourself down matter so much to our871community.872    Similar to North Dakota, the way we build bridges today is873not, the way we built in 1925 is not what we would do today. We874did not have the challenge of 31 straight days above 110. We875want the flexibility to use pavement and construction876techniques that make sense for our climate, that can deal with877the expanding and contracting.878    We are so grateful that Congress appropriated money for879bridges. Right now, how it is structured, that money goes880primarily to the States. As the Governor mentioned, they do not881maintain every bridge. Phoenix maintains bridges directly, so882we would love to be eligible for that money.883    We have bridges that things are falling off of right now.884We want to be able to make sure that they are safe and that we885keep our constituents ready. Again, we want to, at least in886Phoenix, be able to use certain building materials that tend to887be lighter in color, so they do not maintain the dark heat.888When you wear a black tee-shirt, you get hot more easily than a889white tee-shirt. Same principles with building materials; we890just hit 97 as the overnight low. We used to cool off a lot891more at night and building materials matter in that.892    Senator Whitehouse. When I visited Phoenix some time ago, I893met with the city's emergency management and law enforcement894people, who pointed out that they were having staffing issues895in the heat because responding, for instance, to a regular car896wreck could require a lot more people, because the heat effect897on the first responders could be such that they need to be898actually switched out on a pretty regular schedule, say,899responding to a fire, for instance. That you needed people who900were there to help cool them down, so that the payroll load for901the same task had gone up considerably because of the dangers902of trying to work, particularly with protective gear on, in903that kind of an environment.904    Is that still the case?905    Mayor Gallegos. That is still the challenge. For us, we now906need to have mobile cooling units onsite at fires, so that our907firefighters can cycle in and out. Like West Virginia, we are908home to beautiful mountains. Phoenix is proud to have the909largest urban mountain park of any big city.910    When our firefighters go in and have to do multiple rescues911in a day, it is dangerous. I have called firefighters who have912been hospitalized after doing these rescues, because it is so913hot and often they will have to carry the weight of human914beings.915    We try to pre-position ice throughout the city to cool916people's bodies down. It is a real challenge and vulnerable917populations are impacted the most by the heat.918    Senator Whitehouse. Yes.919    Mr. Ramirez, you mentioned in your testimony clean school920buses, which is something dear to my heart, because in addition921to everything else, the school buses have kids in them and they922go around neighborhoods and they have fairly standard routes,923so they are pretty easy to put a charging schedule on. They do924not spew particles and exhaust into neighborhoods as they go925around and as they idle.926    How would we best, in a highway bill, try to gather into927our decisions some of those benefits that are not kind of928instantly in the program of, for instance, kids waiting for the929school bus to pick them up, having clean air to breathe at the930school bus stop instead of school bus exhaust to breathe?931    Mr. Ramirez. It is a great comment. I think any time you do932a major investment, you need to look holistically at all the933positives and negatives associated with that. I will tell you,934our business is making components for automotive applications,935including things like school buses. Almost every new product936that we manufacture has something to do with emissions and937efficiency.938    That is true on the internal combustion engine side as939well. If we can improve every internal combustion engine by 5940percent, that has a huge impact on the environment that our941kids and our cities are dealing with, just as much as making942electric vehicles go further for every charge.943    Senator Whitehouse. Do you think a pollution tax or fee944would be a sensible thing to look at to fund infrastructure945improvements?946    Mr. Ramirez. I do not know that I have a position on the947right way to do it. I think considering environmental impact is948certainly appropriate.949    Senator Whitehouse. Thank you.950    Senator Capito. Senator Cramer?951    Senator Cramer. Thank you. Thank you all. This has been952very, very interesting.953    You have done a great job, by the way, of answering my954first two questions. I will not repeat them, although I will955say, my first two questions would have been about formula956funding and the importance of that, and the flexibility within957the formula to do the things that are important in a city or a958State. I appreciate all of that.959    What we have not talked about yet, though, is adequate960funding. Where do we get this revenue from? It is interesting,961because as you all know, we are, the pay-to-use system is what962our highway system is built on, except it is completely963dependent on people who pay gas tax, largely. Yet not all964vehicles utilize gas or at least, and even the ones that do,965utilize less of it, or use less of it.966    Yet this becomes such a major political struggle, not among967us so much as out there. It is so misunderstood oftentimes.968    I would like each of you to perhaps, particularly the969Governor and Mayor, to talk about any ideas you might have for970how we approach, whether it is electric vehicles, even hybrids,971and having some sort of a way for them to pay to use this972system in a way that is not offensive to everybody. Now I am973asking for political counsel, quite honestly, so I will start974with the Governor.975    Governor Armstrong. I think that you kind of hit it, to976start with, the gas tax part of it. I mean, we had a bill in977the legislature to raise the gas tax that did not pass. We run978into use, I mean, if you are going to raise any tax, a use tax979is significantly more.980    I always get a little concerned about vehicle miles driven.981I have written 500 briefs on the Fourth Amendment throughout982the course of my life. I do not know exactly, but everyone in983North Dakota drives a lot. I think Wyoming is No. 1, but we are984in the top 10. You would negatively impact States like mine.985    I think a real conversation about, well, I will back up. I986think if you can deploy the money faster and allow us to do987things faster, that is what I think is the easiest version for988adequate funding, because we did not need as much. If we have989more flexibility and we can do it quicker, we can do that.990    I think it is a real conversation. I mean, every car,991combustion or otherwise, is driving a lot more on that 18.3992cents that is being taken in. As you get more and more other993vehicles on the road, there is going to be a disparity there.994    Senator Cramer. Did not North Dakota, I know most States995have a registration fee of some sort, now, that is applicable996to all vehicles. Is that at least a way to get to it?997    Governor Armstrong. Yes, I think at the State level, I998think that is appropriate. I think whatever four-tired vehicle999that ends up on the road is going to utilize that road and is1000going to require maintenance and upkeep and all of those1001things.1002    You can incentivize, I mean, there are a lot of political1003reasons that different people incentivize things. We are just1004talking about school buses. I hope they exempt places that have1005a shortage of school bus drivers, so we actually have schools1006getting out early and running schools and they are driving 200,1007300, 400 miles a day in that single school bus.1008    Senator Cramer. Yes.1009    Mayor, maybe you could address the same thing. It seems to1010me that with this large dependence on Federal funding, it just1011does not seem right to me that certain categories of vehicles1012are not paying what I would consider to be their fair share for1013the cost of building and maintaining these roads.1014    Do you have a thought or a solution on that?1015    Mayor Gallegos. It is important to me that we adequately1016fund the National Highway Trust Fund. Phoenix is a proud member1017of the National League of Cities, and the League has produced1018seven principles around this item. We would like to make sure1019it is adequate funding. We want to protect privacy. Any new1020solution, we think technology needs to be ready to go on day1021one. This is so essential: we have to get it right.1022    I share those principles in my written testimony. I think1023they are a good guide for how we can improve in this area.1024    Senator Cramer. Thank you.1025    In the area of permitting, or maybe just reform in general,1026and you have all spoken to the efficiency issues, do any of you1027have just some solid closing recommendations for ensuring that1028infrastructure projects do move faster, get permitted and move1029faster, while also maintaining a high level of environmental1030protection? I will start with you, Mr. Ramirez.1031    Mr. Ramirez. Thank you, Senator Cramer.1032    This is a really complicated topic, but I actually think1033the solutions are pretty simple. We need deadlines in the1034regulatory process that are enforceable. We need limited1035expedited judicial review. I think if we do those two things,1036we will actually get infrastructure dollars from being approved1037and allocated to actually being spent and invested in new1038projects.1039    Senator Cramer. Counselor, would you support expedited1040judicial review?1041    Governor Armstrong. I would.1042    [Remarks off microphone] permitting process at the Federal1043level. I think you all have a unique opportunity, because a lot1044of the fights that are associated with infrastructure reform do1045not apply to roads. Try getting a bridge permit across a1046Federal waterway. We are not building new ones. We are1047replacing existing ones.1048    Every one of our constituents wants this kind of1049infrastructure, and you do not get into some of the ideological1050fights that exist in transmission or pipelines or some of those1051things.1052    Senator Cramer. Thank you all.1053    Senator Capito. Senator Padilla?1054    Senator Padilla. Thank you, Madam Chair. Thank you to all1055three of you.1056    Mayor Gallego, good to see you again. I want to recognize1057that Phoenix recently hosted yet another Super Bowl which did1058not just put the city of Phoenix in a national and1059international spotlight, but places significant demands on the1060city's infrastructure.1061    I am asking this question because in the next 3 years,1062California will host a couple of Super Bowls as well as the1063World Cup and the 2028 Summer Olympics. Based on your1064experience, what can the Federal Government do to better1065support cities as they prepare for the transportation1066challenges of hosting large major events?1067    Mayor Gallegos. Our Super Bowl was successful because of a1068partnership with the Federal Government. We were able to use1069the New Starts program to expand our transit system. Often with1070these major sporting events, everyone stays until the last1071minute. That means that they are all leaving at once. The1072transit system was very important for moving people.1073    We were able to, in partnership with the Federal1074Government, expand the tarmac at Phoenix Sky Harbor Airport. We1075had much more traffic when we were hosting that major event.1076    I do want to note, though, people with private planes1077apparently left at a high rate right after the Super Bowl1078halftime show, which was not obvious to me what happened. New1079buses were really important to us because we had to1080dramatically expand our fleet.1081    I should note in past Olympics, Phoenix has helped other1082cities that are host communities by lending buses, and I think1083all working together, we can help make sure it is a great1084experience. Our Country is in the international spotlight, and1085it is in all of our best interests to make sure that works1086well.1087    Not this committee's jurisdiction, but the safety dollars1088you all sent are very important. Unfortunately, we are in a1089world where pretty much every city is investing in things like1090vehicle barriers, trying to learn from what happened in1091communities like New Orleans, and that done in partnership with1092the Federal Government.1093    Senator Padilla. Those are the big two, security and1094transportation.1095    Back to the Super Bowl experience again, are there any1096specific investments or flexibilities that could have been1097additionally helpful for the city that we should consider as we1098are crafting the next bill?1099    Mayor Gallegos. I think we would, again, because we often1100build our systems for the average transportation users, and1101these events cause such a huge spike, we would love that the1102Federal Government understand the huge variety and look at1103funding for peak levels. You will hit an all-time peak in every1104mode of transportation in southern California, and we ought to1105consider that in our planning. That is a way we might need to1106modernize.1107    It is important to us that security dollars and1108transportation dollars go hand in hand. Our transportation1109system does have some vulnerabilities, and so we need to plan1110ahead. We saw during the Paris Olympics one of the most1111dangerous safety threats was to their train system. We ought to1112learn from that, and plan ahead.1113    Senator Padilla. I was there when that happened.1114    Thank you for that. I may have some followup questions,1115both on that topic as well as the heat stress, heat island1116effects and some of the initiatives that you are pioneering,1117that came up earlier in the hearing. I want to associate myself1118with that as a concern and as a need.1119    Mayor Gallego. Thank you for your leadership on that topic.1120It will save lives.1121    Senator Padilla. Colleagues, I will call your attention to1122the map of current fires out west. We have a lot of work cut1123out for us.1124    In my time remaining, I do want to ask a question of Mr.1125Ramirez on a different topic. The Bipartisan Infrastructure Law1126provided $2.25 billion for the Port Infrastructure Development1127Program to strengthen our Nation's ports and freight systems.1128We know that these investments are part of a broader effort to1129expand capacity and keep goods moving more efficiently and1130reliably across the Country.1131    You mentioned in your testimony that supply chain issues1132are a primary business challenge for nearly a third of1133manufacturers. Can you talk about the need for continuing1134investment in port infrastructure in our efforts to keep goods1135moving efficiently?1136    Mr. Ramirez. Thank you for the question, Senator Padilla.1137Absolutely. Husco is a global company. We have facilities1138around the world; we have suppliers around the world. We both1139import a lot of components from the rest of the world into our1140U.S. facilities, and we export products that we make in our1141U.S. facilities around the world.1142    Certainly, ports are an absolutely critical part of the1143supply chain infrastructure that we have to deal with. It has1144been an issue with congestion over the years.1145    Senator Padilla. Any suggestions as to, not just to1146maintain, changes, additions to the port components of1147transportation legislation?1148    Mr. Ramirez. I think continued investment in technology and1149how we load and unload containers can make a huge difference in1150throughput for our ports.1151    Senator Padilla. Modernization and new fuel sources like1152hydrogen.1153    Thank you, Madam Chair.1154    Senator Capito. Thank you. Senator Husted?1155    Senator Husted. Thank you, Chairwoman Capito. Thank you to1156all of you for being here today.1157    I represent the State of Ohio. We call ourselves the heart1158of it all, because we make everything, right? We have1159agriculture, we have manufacturing, we have a lot of things.1160    I will brag for a moment that in the recent CNBC ratings of1161best States to do business, we were No. 5, and we have got No.11621 rated in infrastructure. I have been involved in those issues1163over the years. One of the things, the reason that we were1164rated No. 1 is because we have invested the money. We have1165actually asked people to sacrifice by paying a little bit more1166so that we could have quality infrastructure to make roads1167safer, to make sure that the infrastructure serves our1168manufacturing capacity. Those things matter a lot.1169    Different States take different approaches. Some States1170have very hot weather that affects their roads and some have1171freezing and thawing, we know salt, all of those things on the1172roads really impacts the things that we do. I just am1173interested in advice from each of your perspectives as we think1174about our highway infrastructure and what we are doing for our1175roads and bridges, and new technologies and adoptions.1176    What advice do you have for us as we consider how to fund1177those things and regulate those things going forward? I will1178start with you, Governor Armstrong.1179    Governor Armstrong. My advice to my colleagues when I was1180here and what will always be as a Governor who deals with this,1181set metrics and let us get there. Set reasonable, realistic1182metrics. Do not prescribe how we meet those metrics.1183    That exists in everything, but particularly in these1184things. The way they do it in Arizona and the way we do it in1185North Dakota is going to be different. We have bridge needs;1186they have bridge needs. We do not have 118 degree heat; we have118760 below wind chill. We have a lot of different issues.1188    I appreciate when we start talking about resilience and we1189talk about all of these things. The hair on the back of my neck1190goes up, because I think it is just going to make it slower and1191slower and slower.1192    If you can set metrics that are reasonably attainable and1193do not slow down the process, we will meet them. We know how to1194do it. Our construction guys, our State guys, they want to do1195it. We do not want to rebuild it. We do not want to have to fix1196it any more than we have to.1197    That would be my request.1198    Senator Husted. Thank you, Senator.1199    We talked about the philosophy of the users of1200infrastructure paying for infrastructure and having consistent1201funding. I think that is really important. I think even when1202you have that, if we can not go from allocating dollars to1203actually getting projects done, I do not think anything is more1204frustrating than that, than hearing about infrastructure1205spending but actually not seeing projects get completed.1206    To me it comes back to permitting and regulatory reforms so1207we can shorten the time between allocating dollars and getting1208a project actually completed.1209    Senator Husted. Yes, time is money, inflationary costs,1210things happen. You thought you had enough money.1211    I know our highway funding in Ohio; we thought we had1212enough money when we passed the last gas tax. Then the whole1213inflationary thing happened over the course of time. Now that1214money is not adequate to the task. The longer it takes, the1215less value your money has.1216    Mayor Gallego. We all know that we have the most innovative1217country when it comes to transportation. The discretionary1218grants have been so helpful in pushing that innovation and1219getting that technology deployed.1220    I spoke earlier about how we have a backlog of maintenance1221on our bridges. For us, we are always going to put dollars to1222safety first. We have to make sure our roadways are safe.1223    Because of some of the discretionary grants we have been1224able to receive, we are looking at technologies that do things1225like speed freight traffic. That is good news for America, when1226manufacturers can get their goods where they are going more1227quickly.1228    That is dollars in their pockets, that is American jobs,1229and just the incredible innovation that comes out of these1230discretionary grants will put our Country in a great place to1231continue to lead the way.1232    Senator Husted. I am going to run out of time here, but the1233idea of, again, I will come back to, I like the idea of setting1234the metrics. It is a solid approach to doing this, and1235everything we can do to save you time would be helpful.1236    Any other thoughts, Governor?1237    Governor Armstrong. Yes. I would reiterate what Mr. Ramirez1238said. None of this works without streamlining permitting. I1239think roads are the perfect example. You do not have to stop1240linear infrastructure everywhere; you only have to stop it in1241one spot. If there is a road from Ohio to North Dakota, they1242can stop it anywhere. They can stop it in Minnesota, they can1243stop it in North Dakota, they can stop it in Ohio, they can1244stop it in Indiana.1245    Senator Husted. Thank you.1246    Senator Capito. Senator Blunt Rochester?1247    Senator Blunt Rochester. Thank you, Madam Chair, and thank1248you to the Ranking Member. Thank you to all of the panelists.1249It is good to see my former E&C colleague as well.1250    I have heard from folks up and down my State about their1251priorities for the next surface transportation reauthorization1252bill. Your perspectives and this hearing is really very helpful1253as we craft it.1254    My colleagues have heard me mention the Reconnecting1255Communities program (RCP) before. This program addresses1256physical barriers and connects people to jobs, essential1257services and economic opportunities, while correcting historic1258injustices and harms to communities due to past infrastructure1259decisions.1260    Our goal is to make the best decisions for all of us. I was1261grateful to get this program into the Bipartisan Infrastructure1262Law during my time in the House.1263    Mayor Gallego, the city of Phoenix received one of the last1264rounds of RCP planning awards. Can you tell us a little bit1265about the Grand Canalscape project and why this funding is so1266essential?1267    Mayor Gallego. Thank you. Phoenix is grateful for your1268leadership on this project. It makes so much sense for us.1269    It may be a surprise to some people; Phoenix has more miles1270of canals than Venice. The canal system was really important1271for delivering water infrastructure to farms in Phoenix's early1272days, but it has now become a really important transportation1273corridor.1274    Unfortunately, there are some major conflicts now with1275rail. There is not currently a safe way to cross the rail at1276one part of the Grand Canal. It also has a real challenge with1277the freeway.1278    Unfortunately, when you do not give people a safe way to1279cross, they still cross. The Reconnecting Communities Grant1280really helps us to make sure that we can do that in a way that1281keeps our residents safe. When you have a major crash including1282fatalities along the rail, it shuts down the rail system.1283    We are so grateful to have that support. These projects are1284enormously complicated and we could not deliver them without1285Federal partnership.1286    Senator Blunt Rochester. Could you talk a little bit about1287what will happen if we fail to reauthorize the Reconnecting1288Communities program? Would the city of Phoenix be able to1289deliver on this project?1290    Mayor Gallego. Unfortunately, this project is enormously1291complex and we really need the Federal partnership. I should1292take the time to say thank you, because these investments allow1293us to save lives. I get to meet the people who live along the1294way and who do not have to worry about their kids running1295across a rail anymore. I do not know that you always get to.1296    On their behalf, thank you.1297    Senator Blunt Rochester. Thank you for sharing that. I1298think the reality is there are members on both sides of the1299dais who have multiple projects that will benefit, including in1300my home State, at the top of our State in Wilmington, all the1301way down to our rural counties in Georgetown, Delaware. It is1302vitally important and we want to continue this.1303    I will be introducing legislation to get this done. I urge1304my colleagues to join me in expanding the Reconnecting1305Communities program in the next surface transportation bill.1306    I would like to shift gears a little bit to digital1307infrastructure. Mayor, you also spoke a little bit about1308encouraging smart technology and AI. I would love to ask you1309and the Governor, how could increased investment in digital1310infrastructure, things like radar-based detection systems at1311intersections, to live travel advisories, contribute to safety1312and mobility on our roads alongside traditional physical1313infrastructure?1314    Governor Armstrong. Piggybacking a little bit off of what1315the Mayor said on safety, our legislature passed a bill that1316raised our speed limit, raised our fines. That is probably not1317the safest part of the bill. We are now doing digital speed1318limits and requirements when we have the adverse weather, which1319is snow and blizzards and icy roads. We can do that in real1320time now.1321    I think if you are talking about mileage and cost, we are1322looking at running our entire State fleet through an AI program1323to see how we buy cars, where we park cars, are we driving them1324too much, are we not driving them enough. I think there is real1325opportunities to do a lot of these things.1326    Then I think, just from the way you model out1327infrastructure, knowing what your traffic flow is and knowing1328where it is at. It does not matter if it is in a rural State1329like North Dakota or on the east coast, you can prioritize1330where you are spending this money and then spending it better.1331    Senator Blunt Rochester. Great. Thank you.1332    Mayor Gallegos. We have been lucky to have received Federal1333support for advance signals. Signal technology is so important1334to the city of Phoenix. We can give our firefighters signal1335priority so they can get where they are going more quickly. If1336you are experiencing a stroke, the amount of time while your1337brain does not receive blood is really important. Seconds1338matter. Giving our firefighters a little bit of an advantage1339matters so much.1340    We also have a real challenge with, unfortunately,1341pedestrian fatalities and red light running. There is1342technology today that we are going to be able to install,1343thanks to the Infrastructure and Jobs Act that can stop a1344signal if someone is in the intersection and save a life.1345    I had a very important boss who was killed in one of these1346accidents. I hope my work as mayor of Phoenix will mean that1347fewer people have to go through that. Your investment in this1348technology helps us save lives.1349    Senator Blunt Rochester. Thank you, Madam Mayor. I will be1350pushing for digital infrastructure formula funding, and1351hopefully that will save more lives.1352    Thank you so much, and I yield back, Madam Chair.1353    Senator Capito. Thank you.1354    Senator Boozman?1355    Senator Boozman. Thank you, Madam Chair, and thank you,1356Ranking Member, for holding this important hearing today.1357    Governor Armstrong, in Arkansas, 43 percent of our1358residents live in rural areas. We rank sixteenth for fatality1359rates on rural roads and third for rural pavements in poor1360condition. Some Federal programs like NEVI and PROTECT can make1361it harder for States to target those basic rural road needs.1362    From your perspective, how can Congress better structure1363funding programs to give States more flexibility to invest1364where it is most needed, especially for rural safety and road1365conditions?1366    Governor Armstrong. The one thing I have learned about all1367of this is that funds are fungible. The more you were doing1368into these specialty programs, the less likelihood that places1369like rural Arkansas and rural North Dakota, it is not whether1370or not they qualify, they are not going to apply. I mean, we1371are just trying to get county roads built. We are not1372interested in the other side of it.1373    I would say that the more flexibility that you give on a1374real basis for recognizing it is not always population based,1375it is economy based, it is economies of scale based. Then I1376think one thing is recognizing that rural infrastructure is1377more expensive per mile than urban infrastructure in a lot of1378ways. It is really hard to deliver whatever service it is to1379the last mile.1380    Often times, that last mile is producing a ton of economic1381activity that the world needs. Farm equipment is getting1382heavier, grain trucks are getting bigger, economies of scale in1383that industry are going up. Making sure that we are not, all of1384these things are worthy to debate and discuss, but not at the1385expense of the places that are producing the things and just do1386not have, like, we do not have barriers to connecting1387communities other than 100 miles.1388    Senator Boozman. Along the same line, Governor, you are1389well aware of the programs that bring delays and extra costs1390because of burdensome applications and uncertain timelines.1391However, some major projects like large rural highway upgrades1392or critical freight corridors are simply too expensive for1393States to tackle with formula funds alone, which you just1394alluded to. That is why large competitive grant programs are so1395valuable when used well.1396    What are your thoughts on the effectiveness of big grant1397programs and the need to cut red tape and make sure Federal1398dollars get turned into projects on the ground faster?1399    Governor Armstrong. We appreciate the grant programs as1400much as we can get them, yes. The quicker you can deploy the1401money, I mean, I do not know if you will find a rural Governor1402that would not like block grants in every area of this versus1403the requirement side of it. Not at the expense of formula1404funding.1405    The more flexibility we are given in that is better. The1406grant, we have utilized the grant programs. We care about1407ports, too, in North Dakota. We care about them a lot. Our1408products get there, and we need them to get there.1409    At the same time, we want to be able to have a more1410reasonable and reliable cost analysis for the next construction1411season, so we can better spend the dollars you send to us.1412    Senator Boozman. Very good.1413    Mr. Ramirez, you know first-hand that strong infrastructure1414is critical to manufacturing competitiveness. Rural areas1415produce a significant share of our Nation's manufacturing and1416farming output. Yet population decline and shrinking tax bases1417make it harder to modernize roads and bridges.1418    What Federal investments or policy reforms would best help1419manufacturers in rural States remain efficient and connected to1420national and global markets?1421    Mr. Ramirez. Thank you, Senator. Great question. It is1422true, most things do not get made in big cities. We manufacture1423in rural environments. That is certainly true for Husco and I1424think most manufacturers across our Country.1425    I feel a little bit like a broken record, but I really1426think the key is around permitting reform, and not just getting1427dollars allocated, but getting projects completed.1428    Senator Boozman. Very good. Thank you, Madam Chair.1429    Senator Capito. Thank you.1430    Senator Sullivan?1431    Senator Sullivan. Thank you, Madam Chair. I want to welcome1432the witnesses, and you are going to see a theme, I think, here1433on this issue of permitting reform. This committee has a long1434and I think real positive history of producing significant1435bipartisan infrastructure. I am really hopeful that we can,1436under the Chairman and Ranking Member's leadership, do that1437again with this highway bill.1438    They key has to be permitting reform. I think even my1439friends on the other side of the aisle, who, let's face it,1440oftentimes resist it because you have far left radical1441environmental groups who love the fact that NEPA takes 101442years, because you can not build anything. They do. That is a1443fact. I see it in my State all the time.1444    Governor, let me start with you. My State, Alaska, is1445resource-rich, infrastructure-poor. We have less road miles1446than Connecticut and we are almost 120 times bigger than1447Connecticut and have a lot more natural resources than1448Connecticut.1449    How do we ensure that a highway bill for the whole Country1450takes into account places like my State or your State that have1451huge resource potential but not nearly the number of roads that1452we need, that the rest of the East Coast has? Eighty-two1453percent of the communities in Alaska are not even connected by1454a road.1455    How do we make progress in that area?1456    Governor Armstrong. I think the first and most important1457answer is an equitable formula that gives States maximum1458flexibility on how to spend the money. Second, I think there1459are two ways infrastructure gets beat up, how heavy is it or1460how much is it driven on? Those are the two ways infrastructure1461gets beaten up.1462    You might not have as many miles driven or as many vehicles1463traveling on those roads. The things you are doing in Alaska1464are pretty heavy, and they are pretty important. Recognizing1465that you factor those things in.1466    Eventually, I mean, I think the answer, the simple portion,1467the implementation is really hard, right? The simple portion is1468making sure you have an equitable formula that gives States the1469maximum amount of flexibility and certainty.1470    Senator Sullivan. Right.1471    Mr. Ramirez, let me go to permitting reform. It is such an1472important issue. The Supreme Court in its Seven County1473Infrastructure Coalition v. Eagle County was a great course1474correction on NEPA, saying look, this is a procedural, not a1475substantive law. You do not need 10,000 pages in 10 years.1476    We have a gold mine in Alaska, the Kensington Mine, is now1477employing about 450 people in southeast Alaska. It is producing1478gold for America. Took 20 years to permit. We had a big1479infrastructure development project on the Kenai Peninsula. It1480was a road that took 36 years to permit. I think it was a world1481record on NEPA slowness.1482    I think even my colleagues on the other side of the aisle,1483who have always blocked permitting reform, that is the dark,1484deep secret here, you have my Democrat colleagues, hey, we want1485permitting reform, we want permitting reform, then you go to1486them with common sense approaches and they do not do it because1487their far left groups tell them not to.1488    I think even my Democrat colleagues now want to see this,1489because they see everything, renewables, any project is blocked1490by this real bad implementation. NEPA had a good goal at the1491beginning, but it has been totally abused and hijacked by1492groups that do not want to build, certainly do not want to1493build in my State.1494    What are the real key elements, by the way, we have some1495NEPA reform in the budget reconciliation, but I really want to1496thank the Chairman for staying on that. It is pretty good,1497actually.1498    What would you say are the key elements that I hope my1499Democrat colleagues can get behind on NEPA reform that1500everybody in the Country wants? Every Democrat Governor, every1501Democrat mayor, I am sure the mayor here wants it. I mean, it1502is nuts that it takes 10 years on average to permit a bridge.1503No wonder why China is kicking our butt on so many of these1504things.1505    What would you think are the key elements of NEPA1506permitting reform that we need for this bill?1507    Mr. Ramirez. Thank you, Senator. I would offer two1508principles that I think would solve the majority of the1509problems. One is going in up front, to have a regulatory1510process that has enforceable deadlines.1511    Senator Sullivan. Yes.1512    Mr. Ramirez. That can not go on forever.1513    Senator Sullivan. Both at the agency level and at the1514litigation, the court level.1515    Mr. Ramirez. That would be the second part. I think going1516in and having deadlines for the regulatory agencies, and then1517having an expedited judicial review process so it can not be1518tied up in litigation forever. If you applied those two1519principles across our regulatory system, I think we could see a1520real change.1521    Senator Sullivan. Very common sense. I hope my colleagues1522on the other side of the aisle embrace those. They are common1523sense. The whole darned Country wants them.1524    Let's not let some far left groups who always hate NEPA1525reform drive the agenda for America. Nobody wants 10 years to1526permit a bridge, 20 years to permit a gold mine. Unfortunately,1527that is what NEPA has done to our Country.1528    Thank you, Madam Chair.1529    Senator Capito. Thank you.1530    Senator Kelly?1531    Senator Kelly. Thank you, Madam Chair.1532    Mayor Gallego, thank you again for being here. As you know1533better than probably anybody, Phoenix is an urban heat island1534experiencing higher temperatures than the surrounding rural1535areas due to the lack of vegetation and the use of asphalt and1536concrete that absorb a lot of the heat.1537    An estimated 45 percent of metro Phoenix residents live in1538an area where the urban heat island effect raises temperatures1539by about 8 degrees or more. This is why I worked to include the1540Healthy Streets program, which I think you mentioned in your1541opening remarks, and we put that in the Bipartisan1542Infrastructure Law, which would fund initiatives such as cool1543pavement projects that mitigate the effects of this extreme1544heat.1545    Mayor, why is it critical for Congress to fund programs1546that help vulnerable cities like Phoenix become more resilient1547to the effects of extreme heat?1548    Mayor Gallego. Thank you for your leadership on that1549program. We are at a point now where we are going to have to1550adapt cities to hotter environments. Phoenix now talks to1551cities all around the Country, including in the northern-most1552parts of our Country, about heat challenges. This is a national1553problem, and we appreciate your coming up with a national1554solution.1555    The heat can be deadly. We are losing more Americans to1556heat than any other type of natural disaster. Our1557infrastructure funding has not caught up with that reality yet.1558Even some of the coldest States in the Country have had1559terrible heat waves with an incredible loss of life.1560    We know the solutions. There are building material changes,1561design changes, that can save lives. Your program will help1562cities, rural communities, tribes, get the funding to make1563those changes, many of which require us to design1564infrastructure very differently.1565    Senator Kelly. I had a roundtable back in Phoenix on1566extreme heat just last week. The number of deaths nationwide1567from extreme heat exceeds every other natural disaster1568combined. It is a real problem, and it is also associated with1569the thing we are going to talk about next here.1570    I want to talk a little bit about energy. It is our grid.1571The grid goes down in Phoenix, the estimates are that somewhere1572up to maybe half of the residents of the city will wind up in1573an emergency room, if it happens during a certain time of year1574in the summer when the heat is the highest.1575    I want to talk about, mentioning electricity. Your data1576centers, chip manufacturing and other industrial expansion in1577Phoenix is putting pressure on our infrastructure. As our1578population grows to fuel this technology boom, how does1579electrical and transportation infrastructure need to respond?1580    Since this is transportation, maybe we should focus on1581that.1582    Mayor Gallego. We are seeing a huge boom in data center and1583advanced manufacturing. Just in the Phoenix metro, the data1584centers have requested 32 gigawatts of new electricity. The1585amount of damage, well, the impact this would have on our1586streets with all this construction, these are huge construction1587sites, in our case we have it in many cases right up against1588residential, so very high impact. You are seeing a lot of truck1589traffic; water is a different impact.1590    The amount of infrastructure investment is something we1591really need to talk about. Data centers are very vulnerable to1592heat, so the cooling impact in a community----1593    Senator Kelly. To put the 32 gigawatts into perspective,1594the current SRP, Salt River Project, and APS, Arizona Public1595Service, the two utilities, provide about 16 for the entire1596county right now. The requested, over a number of years, I1597think it is five to 10 years, exceeds what is currently on the1598grid right now.1599    Mayor Gallego. It does. This is a trend we are not talking1600about enough as a country; what does it mean if in a few short1601years we are asking our utilities to completely replicate1602themselves?1603    I am so grateful you are paying attention to the1604infrastructure side of that. The amount of traffic in areas1605that have not seen traffic, we should probably talk about1606hazardous materials on our streets. They will be going places1607they have not, and it may be time to have new conversations1608about that.1609    The data centers, there is a conversation in Arizona and1610several other States about small modular reactors. That would1611put nuclear material in areas that have not seen nuclear1612material before. Phoenix is the fifth largest city in the1613Country. Our transportation department needs your support to1614navigate that as do our firefighters and others who will need1615new types of training if we are going to see this change. We1616have to look at how it impacts our street network.1617    There might be some time where we would also be able to1618reduce regulation, particularly around semiconductors. There is1619some hazardous material regulation that we might be able to1620update to be able to make it a little bit easier to do1621business.1622    It really is time to look at the types of material that1623will be traveling on streets that have never seen it before,1624and how we have the appropriate regulatory system from the1625Federal Government for these issues.1626    Senator Kelly. Thank you, Mayor. Thank you for being here.1627    Senator Capito. Thank you.1628    Senator Ricketts?1629    Senator Ricketts. Thank you, Chairman Capito, and thank you1630for your dedication to providing a strong foundation for the1631next surface transportation reauthorization bill. Hearings like1632this are invaluable as we work to build legislation that will1633address key transportation infrastructure issues.1634    Thank you, Chairman Capito, and thank you, Ranking Member1635Whitehouse, for holding today's hearing. Thank you to the1636witnesses for coming here today.1637    Governor Armstrong, welcome to Washington. I have talked1638before this committee about needing flexibility in the next1639reauthorization. I have been looking for some ways to be able1640to provide that flexibility through the infrastructure supply1641chain. You are from an agricultural State, as I am.1642Agricultural products are a large part of the infrastructure1643advantage that we have, we have been able to provide that.1644    I know this is especially true in Nebraska, and one of the1645things that I found when I was Governor was that oftentimes my1646department of transportation thought their customer was the1647road, not the people who drove on the road. We have $9.91648billion in agricultural exports every year. I am sure North1649Dakota has a lot of agricultural exports as well. Transporting1650these goods is vital for both of our States and the Country's1651economic growth.1652    That is why I recently introduced the VARIANCE Act with my1653colleague Senator Schiff. This would allow a 10 percent axle1654variance for vehicles transporting dry bulk goods. As you know,1655sometimes corn is going to shift around a little bit so you can1656not necessarily keep the corn and soybeans over every axle.1657    It gives some flexibility, then increased efficiency and1658safety and cost-effectiveness as well. This is one that I hope1659in many ways we can get the EPW committee to go forward on it.1660    Governor Armstrong, where have you and your DOT experienced1661regulatory roadblocks? How can Congress best address these1662things in the next reauthorization?1663    Governor Armstrong. I will deal with one we have not talked1664about yet, which is rail. The thing with rail is, we are trying1665to get to our friends on the coast to get our products to port.1666Eventually, you run into bottlenecks. Sometimes it is a State1667line with different political ideologies, sometimes it is just1668a place in which you can not get it in the ground.1669    We can build the front-end infrastructure. North Dakota has1670done a really great job of that. Eventually, we can only build1671our infrastructure out enough that it can get through Montana,1672Idaho, Washington, to the ports.1673    I think understanding that the ability to do those things1674only works in North Dakota if it works all the way to where it1675is going. The more you create that, and Senator Ricketts, you1676will understand this as well, I want as much competition in the1677marketplace for my egg producers as humanly possible.1678    Then another one, which is not necessarily this, but we1679should hold our frenemies accountable for the amount of empty1680shipping containers that are floating around the world on a1681daily basis. I think that is one thing that is not always front1682of mind, but really, really affects the transportation side and1683the cost side of my egg producers getting things to market.1684    Senator Ricketts. Just on that issue, have you found that1685you have had trouble getting containers to North Dakota because1686of that? Or rail cars?1687    Governor Armstrong. Yes. Either trouble in supply, or1688trouble in cost.1689    Senator Ricketts. Well, I thank you for that feedback on1690that. I know that working with Union Pacific, headquartered in1691Nebraska, I know that they have had issues with regard to1692transporting coal to get to export on the west coast ports,1693because of again, local-State regulations blocking that, which1694is, it is a legal product. You have, again, local-State rules1695that are blocking just the pass through of that product to get1696to foreign markets.1697    Governor Armstrong. For all of the expansion of the1698InterState Commerce Clause, there are some places where it is1699very hard. I do not have a port in North Dakota. I have to get1700my products to a port.1701    Senator Ricketts. Yes. Point well taken. Thank you,1702Governor.1703    Mr. Ramirez, you are president and CEO of a manufacturing1704company, and I am sure you have run into various issues as1705well. One of the problems we have had in Nebraska is a project1706can be all the way through the permitting process, including in1707the Endangered Species consultations, but if the status of the1708species changes during that process and before the final NEPA,1709National Environmental Policy Act, approval, then the whole1710thing has to start all over again.1711    You mentioned a couple of issues to Senator Sullivan with1712regard to kind of bigger picture things of making sure that we1713have timelines, and to put limits on litigation. Are there are1714other specific things like what I just described that would be1715great reforms to be able to think about as we go through a1716permitting process type of thing?1717    Mr. Ramirez. I think the concept of categorical exclusions1718is another one that I probably should have brought up earlier.1719For similar types of infrastructure having similar types of1720environmental reviews, again that just strikes me as a1721commonsense way to help expedite this process without giving up1722any of the robustness that our citizens expect.1723    Senator Ricketts. Great. Thank you very much, Mr. Ramirez.1724    Thank you, Chair.1725    Senator Capito. Senator Alsobrooks?1726    Senator Alsobrooks. Thank you so much to Chair Capito and1727Ranking Member Whitehouse for holding today's hearing and thank1728you as well to all of our witnesses for joining us.1729    Surface transportation is a vital part of everyday life,1730connecting people to jobs, education, and essential services.1731Decades of under-investment, however, have left much of our1732Country's infrastructure in poor condition, leading to traffic1733congestion and safety concerns.1734    The Bipartisan Infrastructure Law sought to address these1735issues by providing unprecedented investments to create a more1736reliable, sustainable, and equitable transportation network1737while creating jobs for Maryland, which is my State. This meant1738dedicated funding targeting the repair of thousands of miles of1739deteriorating roads and hundreds of structurally deficit1740bridges.1741    This piece of legislation also provided over $1.7 billion1742for public transit, helping to modernize buses, trains and rail1743lines, and providing funding to programs that seek to improve1744transportation equity and safety.1745    As the Ranking Member of EPW's Subcommittee on1746Transportation and Infrastructure, and a member of the Banking1747Committee, I look forward to working with my colleagues here to1748ensure that the next authorization provides long-term1749predictable investments that repair our aging infrastructure,1750improve safety and support economic development.1751    My first question is for Governor Armstrong. Welcome,1752Governor. Many rural counties, including those in Maryland,1753face unique challenges when it comes to roadway safety, like1754long stretches of unlit roads, limited emergency response, and1755aging infrastructure. I wonder whether you believe the current1756Federal safety programs provide States with sufficient1757flexibility to effectively address these unique risks.1758    Governor Armstrong. I will like it better if yours and1759Senator Cramer's bill passes.1760    Senator Alsobrooks. Yes, exactly.1761    Governor Armstrong. I think it is important, and even1762through the course of this hearing, the different things that1763exist.1764    I said this regarding bridges; we have to do a better job1765of building out safety corridors as well. Recognizing that1766delivering those services in rural areas is really, really1767difficult, and it is really difficult if there is four feet of1768snow on the ground and the wind is blowing 30 miles an hour.1769    The more flexibility we are allowed, the better we can1770have. One of the things that is unique to a place like North1771Dakota is, you have a bad winter and a late thaw, and all of a1772sudden I have a county problem or a DOT problem that nobody1773knew about until May 1st.1774    If you are really restricted in how you utilize the money1775that is available to you, you are legitimately fixing things1776that would go 25 spots down the priority area because you are1777not allowed to use the money for the one that should be No. 1.1778    Senator Alsobrooks. I totally get it. I was a former county1779executive of my county, and understand so well exactly what you1780described.1781    Next, I have a question for Mayor Gallego. The Federal1782Highway Administration's PROTECT program is a critical new1783funding source for States and cities working to strengthen the1784resilience of their infrastructure. Maryland has used this1785funding to assess and strengthen at-risk coastal infrastructure1786and evacuation routes.1787    I wonder, how is it that the city of Phoenix, if you can1788just talk to us a bit about how you have tackled the broader1789challenges of infrastructure resilience in the face of extreme1790heat, flooding, and other climate related risks?1791    Mayor Gallego. Thank you so much. We are thrilled to have1792someone who understands local government advocating for the1793PROTECT program. For us, we have hit record after record in1794terms of heat, and our infrastructure was not built with that1795in mind.1796    The PROTECT program, just as it helps you with sea level1797rise, helps us with infrastructure that may literally melt1798because of the heat. It allows us to invest in more advanced1799building materials that are more heat resilient and that also1800do not retain the heat as much.1801    We are going to need to redesign our network for a hotter1802environment. PROTECT gives us the chance to try innovation. I1803would very much like Phoenix to be the lead in developing the1804technologies for our transportation future around heat1805resilience, which I think will become important to more and1806more of the community. PROTECT allows us to be innovative, to1807take risks and do things we have not done before, as well as to1808deploy solutions we have proven work.1809    Senator Alsobrooks. Great. Next, I would like to go back to1810Governor Armstrong. The Federal Highway Administration's1811emergency relief program is a vital Federal tool for restoring1812damaged infrastructure and ensuring safety after disasters like1813the bridge collapse. As you know first-hand, Maryland had the1814Key Bridge collapse.1815    I wonder whether North Dakota has benefited from this1816program, if you can just talk quickly about it.1817    Governor Armstrong. We utilize, I say this tongue in cheek,1818what other people call climate change, we usually call Tuesday.1819We can have 100 degree swings in October in the same town. We1820have utilized it for, the last time I remember was actually the18212011 flood and when our capital city flooded.1822    Utilizing the fund to get, I mean, it is, the capital city1823in the State of North Dakota, we had bridges, we had highways,1824we had county roads that without the Federal Government's help1825we would not have been able to recover nearly as fast.1826    Senator Alsobrooks. Thank you so much. Thank you.1827    Senator Capito. Thank you.1828    Senator Markey, I will give you a second here. You are up.1829    Senator Markey. Thank you, Madam Chair.1830    Our debate about this surface transportation bill must1831begin with a question: what do Americans want out of their1832surface transportation system? I think it is fair to say they1833want it to be safe. They want it to be affordable. They want a1834system that does not further exacerbate the climate crisis.1835    Let's evaluate how we are performing in these categories.1836On the topic of safety, our transportation system is a1837disaster; 40,000 people are dying every year on our roads. This1838is no accident.1839    Many of our roads are designed only for fast moving cars,1840not for pedestrians, for cyclists or for public transit, all of1841which are safer modes of travel with the right infrastructure1842in place. That is a failure.1843    Now let's examine transportation affordability. On this1844front too, we are failing. The Department of Transportation1845estimates the cost for average Americans $12,000 a year to own1846and operate one automobile. Twelve thousand a year.1847    Many communities are left without other viable1848transportation options, requiring a family to travel by way of1849car for almost every trip, increasing their costs. That is a1850failure.1851    Then of course, when it comes to sustainability, our system1852is performing poorly. The transportation sector is the largest1853contributor to greenhouse gases in our Country.1854    We have a system that invests more money in expanding1855highways than it does in building sustainable infrastructure.1856That is a failure.1857    Our communities feel these failures every day in higher1858costs, worse air quality, a deteriorating climate, and the loss1859of loved ones in car crashes.1860    Mayor Gallego, do you agree that local communities most1861directly feel the pain of our failing transportation system? I1862would just love to get your expert view on that issue.1863    Mayor Gallego. Thank you. We are faced with a climate1864crisis right now in Phoenix. We had a month straight above 1101865last year; we hit 118 this month. Your constituents might put1866mittens on their children in the winter; we sometimes do it in1867the summer because a seat belt buckle can burn your hand.1868    We need to make sure, 118 is hot enough, it is too hot, and1869we have to make sure that we address this. We have to design a1870transportation system that is resilient. We need the right1871building materials for our roads. We need to make sure our1872transit hubs have shade and are comfortable so that people can1873be safe while using them. We really appreciate your leadership1874on this.1875    Senator Markey. We are seeing it as well in New England.1876The Gulf of Maine, we call it Boston Harbor, after the Arctic1877is the second fastest-warming body of water in the world. We1878are seeing it. It is setting up conditions for a catastrophic1879storm or absolute disaster. We are seeing it. No one can escape1880this.1881    I agree with your testimony. That is why I am soon going to1882be reintroducing my Green Streets Act, which would reimagine1883how we prioritize transportation infrastructure investments.1884The bill would require States to invest in infrastructure like1885walking and biking and public transit that will reduce1886emissions, bring down costs and prevent more loss of life.1887    The bill would also require States to maintain their1888facilities in a State of good repair before expanding highways1889further. Well-maintained roads are safer, they are better for1890emissions, and they mean fewer potholes, flat tires, broken1891axles for American travelers.1892    The Green Streets Act is of course a climate bill. It is1893also a safety and it is also an affordability bill as well.1894Research indicates a 20 percent reduction in the number of1895miles traveled by car in this Country would reduce vehicle fuel1896and maintenance costs for the average American family by1897roughly $2,000 annually.1898    Even more importantly, the same reduction in miles traveled1899by car would save 180,000 lives by the year 2050 in our1900Country.1901    If there is anything more American than an automobile, it1902is consumer choice. American families deserve a publicly funded1903transportation system that affords them the choice to travel1904safely, affordably and sustainably.1905    I look forward to working with my colleagues on this1906committee, with you, Madam Mayor, with all concerned citizens1907in our Country to ensure that the next surface transportation1908bill addresses these issues.1909    Thank you, Madam Chair.1910    Senator Capito. Well, thank you.1911    I think we are coming to the end of our hearing. I1912appreciate everybody's testimony. I think there are a lot of1913similarities in whatever everybody is saying from the different1914standpoints of where you are. Permitting is something that1915Senator Whitehouse and I and our staffs talk about almost1916daily. We know that this is at the heart of the efficiency that1917I think most folks, and how the dollars can go farther than1918they can.1919    With that, I have no more comments. Do you have a comment?1920    Senator Whitehouse. Just to emphasize the comment that I1921repeatedly make, which is that any bipartisan bill that does1922either surface transportation or permitting reform is going to1923have things in it that one side likes more than the other side1924likes. That is the nature of compromise on large pieces of1925legislation.1926    Essential to going forward is some level of trust that the1927implementer of that legislation will be an honest implementer.1928If we are going to have to continue to live through this1929selective refusal to release appropriated and obligated funds,1930if we are going to have to deal with an implementer that will1931favor, for instance, only the fossil fuel projects but not the1932clean energy projects, that is a huge deterrent to getting this1933done.1934    I know I am not saying anything new here. It is obvious to1935anybody who has ever been involved in a negotiation in which1936the implementer has to be trusted to make it work. We are not1937at that place yet by any stretch. I have nevertheless1938instructed my team to go forward to try to get big bills done,1939and we can get through that gate when we need to.1940    I do not want anybody caught by surprise later on when we1941come to that gate and we do not see an implementer that we can1942trust and things come to a halt that is unexpected or surprises1943anybody.1944    We are going forward in good faith. The Chairman has been1945very good to work with. I think we can have some confidence1946that we can do these big things.1947    At the end of the day, there will be a gate that we have to1948get through. That gate will be no more monkeying around with1949faithful execution of the laws for partisan or special interest1950purposes. Simple as that.1951    Thank you, Madam Chairman.1952    Senator Capito. Thank you, Senator Whitehouse. I can not1953resists, but I said, the irony of what you just said describes1954the pain I felt over the last 4 years. The way we wrote the1955Highway Bill, the way the implementation and the guidance that1956went through went far afield from what the original intent of1957the bill was.1958    We could argue about that, so I understand what you are1959saying. I think you are right. I think you are right only1960because we have lived through this over the last 4 years.1961    With no further questions, I would like to thank the1962witnesses and all my colleagues for your participation today.1963Senators who wish to submit written questions for the record1964have until 5 p.m. on Wednesday, July 30th, to do so. The1965witnesses' responses to those questions are due back to the1966committee no later than 5 p.m. on Wednesday, August 13th, and1967will be submitted for the record.1968    With that, the hearing is adjourned.1969    [Whereupon, at 11:40 a.m., the hearing was adjourned.]19701971[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]19721973                             [all]