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Transportation

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Title:
Transportation an investment in Florida's future
Physical Description:
39 p. : ill., maps ; 29 cm.
Language:
English
Creator:
Florida Transportation Commission
Floridians for Better Transportation
Publisher:
Florida Transportation Commission
Floridians for Better Transportation
Place of Publication:
Tallahassee, Fla.
St. Petersburg, Fla.
Publication Date:

Subjects

Subjects / Keywords:
Transportation -- Planning -- Florida   ( lcsh )
Transportation and state -- Florida   ( lcsh )
Genre:
non-fiction   ( marcgt )

Notes

Additional Physical Form:
Also available online.
Statement of Responsibility:
a joint report of Florida Transportation Commission and Floridians for Better Transportation.
General Note:
"June 1996."

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Source Institution:
University of South Florida Library
Holding Location:
University of South Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 023231227
oclc - 36787156
usfldc doi - C01-00394
usfldc handle - c1.394
System ID:
SFS0032420:00001


This item is only available as the following downloads:


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TRANSPORTATION: An Investment in Aorida's Future A Joint Report of Transportation Commission Floridians for Better Transportation june 1996 Copyrigh t 1996 by the Florida Transportation Commissio n and Floridians for Beuer Transp01tation

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T he Florida Transportation C ommission and F lmidi .ans for B e tter Transponation appreciate t h e assis tance of the Center for Urban Thmsporration Research (CUTR) at d>c U n iversity of South Florida in assembling a team t o ca l cula t e the eco n omic impacts of tr.ms p orta t ion. Th e CUTR research team consi sted of its cranspcrtation econo mist s and trans pcnation economists from Apogee R esearch, Inc., and Hickling Le wis Brod Inc. A sepa m t e techni cal appeodix outlines the mcthodolo&ies and assumptions used by the team and is available fro m the Commissi on office or from CUTR. A special thanks is extended to Susa n Garreu, Wordsmith, fot her work in developing the 1 3 case studies included in the r e pmt 'll1 e ca s e studie.' were dtc result of personal interviews conducted throughout the state and were selected to reflect diverse inte rests.

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A s an independent commission of nine citi2ens and business people, the Florida Transponation Comml.ssion is cha1ged 'vilh providing leadenhip in meetitlg Florida's statewide transportation needs. On state roads carrying the bulk of commerce and int&city travel, today's needs far o utstrip available funding, not to mention the need for improved access and connections be tween o u r seaports. airports, highways, and rail. We ore deeply concerned about the economic future of Florida, given the current and growing backlog of UDlJlet lr.lll5portation occds. This repon documents what we intuitively knew to be true: there is a strong relationship between transportation investment and economic The economic retun1 on transportation -lm R. K iTJdrmboltm. CholmfOif Florida Thlnspz>rlation Ccmmlsslbn D rawn by Florida's beauty and lif estyle almost 800 new r:esidents arrive i n our state daily. Florida leads the nation in new jobs. Our geographic location positions us to become a major player in the world of international trade. The future is brighl How can we miss with 14 deepwater porrs, I 9 major commercial airports, a sound rail system. and a highway system linking aU major d estinatio n points?. We can miss if our business and political leadersh i p fails to understand transportation as a critical tool in our abili t y to t ake advantage of the bright economic future jusi over Florida's hori2on. Transportation investtnent will allow us to compete heads up with neighboring states for a growi. ng sbare of the international trade market. It will ensure the oontinoed good health of our tourism, agricultural, and manufacturing industries. And it will help us attract new, high-value-adding businesses to better diversify our economy and improv e our tax base. We hope the business and professional communities will consider the well-documented link between transporta tion and the economy present ed in this and join Floridians for Beuer 1l:nnsportation and the Florida Transportation Commission in a united front to increase transportation funding. William 0 Birchfield, C lla imwn Ploridi an.t f o r Better TransportatlOII

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FLORIDA'S 19 COMMERCIAL PASSENGER SERVICE AIRPORTS Sarasota .. lnterna1Jona1 Key West lntomttlonal Altport Beach

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Executin Summary 9 Summary of Case Studies 11 How Does Florida's Economy Depend on Transportation? 13 Florida's Top Mar!rets-lnternational Trade and Touri.sm Florida's Future--A More Diversified Economy why Should We Invest in Transportation? 15 Florida's Transportation Forecast Florida-'s Return on Transportation. Investment The Choice is Florida's: Missed Opportunities or Economic Strength? 21 The Bottom Line Case Studies 23 11-ansportation, Tourism & International Dade 25 Berg Steel Pipe Corporation, Panama City Cargill Citra-America, Inc . Frostproof Tire IValt Disney Compwy. La!re Buena V!Sia Port of Tampa 1ransportation & Productivity 29 Dairyman's Supply Company Florida, Inc Wildwood Publix Super Markets, Inc., Lakeland Transportation & Return on Investment 31 Jaxport, Jacksonville Metro-Dade Transit Agency. Mitlmi Orlando lntemationalAirport Transportation & Impact on the 111-< Base 35 SL Johns Cotmry Hemando Coumy 11-anspartation & Diversification of Florida's Economy 38 Broward Gormly Sunbeam Corporation, Ft Lauderdale

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FLORIDA'S INTRASTATE HIGHWAY SYSTEM

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How Does Rorida's Economy Depend on Transportation? Florida's transportation system i s the en&ine that runs our economy. Founeen million Floridians and over 41 million annual v isitors rely on a sUitewide network of roads, seaports, airports, and rail to ge t themselves to destinatio n s and their products and services to markets every day. In one way or another transportation supports all businesses and all 6.9 mil lion jobs in Florida. Florida's top two industries in dollar volumeinlemational trade and tourism-are heavily d ependent on a strong transportation s y s tem. !:lorida's $52 billion trade i ndustry depends on adequate seaport and airport capacity and modern, efficient connections between transportation modes. Tourism continues to grow, the number of visitors having doubled over the last 15 projected to exoeed 80 million by the year 2020. These visitors will rerum only if they can count on safe, convenient, and efficient tnlVel into and around Florida. lo order to insulate F lorida against national and global economic downturns, w e must diversify our economy. An efficient, multi-modal, and "seamless" tr.lnsponation system is necessary to attract and retain high-value -adding businC$$0$, Wby Should We Invest In Transportation? Florida's Transportation Forecast VutuaUy all ke y components of the transportation system that are ccitical to achieving Florida's econom ic potential have serious and growing u om et needs. Years of "undetfunding" transportation are beginning to take a toll. Failure to meet these needs will jeopar dize Florida's economic momenwm and atttaetive quality of life. Highways Highways will cominue t o be the backbone of Florida's transportation sy stem, for both movement of freight and personal mobility. F lorida has not kept pace with demands on highway capacity. Over tbe next 15 years, demand {ve.bicle miles trav eled) is expected to outpace suppl y {new roads or additional lanes) by almost a margin. The Florida Intrastate Highway System (FlHS)3,750 miles of existing intercity and interregional highways-carries 70 peroent of all truck traf fic. A road on the FIHS carries about 1 0 times the l raffic volume of a typical Florida public road. At current funding levels, we have less than 25 cents fOf' every dollar of needed improvcmc:nts on the FIHS. The Center for U rban Transponation Research (CUTR) reports that failure to preserve the current quality of service on our roads will result in an aver age annual increase of $219 for every licensed driver-the cost of longer delays, more crashes, and higher vehicle upkeep. Seaports Florida's 1 4 deepwater ports generate about $25 billion annually in economic activity and crea te over 300,000 jobs, producing state and local tal\ revenues in excess of $600 million annually. Yet they face serious and immediate road and rail access needs and capacity shortages t otalin g $2.5 billion.

PAGE 10

Failure to continue to invest in additional facilities nod efficient landside linkages will result in loss of business and inability to capture new carg o and cruise markets. Florida is located at the crossroads of international commerce, creatin g potential for it t o become an international trnding center But competition among seapons is fierce-both from neighboring states and the Caribbean, where n ew port facilities are under develop m e nt. A study by Boyd, Barresc. and Associates shows that investment in a S 350 million seaport expansi o n plan. to be shared 50150 by the state a n d the seapons. would r eturn an annual economic benefit o f S2. 4 billion to Florida, inc luding some 36,000 per manem jobs. Airports Florida's 19 commercial airport:< ( 1 3 of which pro vide international serv ice), 24 relie v er a i rports, and 60 gen e r a l aviation facilitie s senera t e some $47 billion annually in economic activity and nearly 768,000 job s in Florida. Despite downward national trends Florida's air traffic demands are growing. and the state faces an estimated $6 billion in airport capacity improve ment needs over the next I 0 years. Sixty percent of our a irports are ncar capacity, with traffic delays costing over $ 1 24 million per yea r-cost s that a re passed o n to the traveler. Without a v iation system improvements, those costs will nearly quadruple over the nextlO years to 547 3 million per year. Florida's Return o n Transportation Investment long-term far beyond construction-period jobs, are realized from investment i n transponation. The most important and comprehcnsi\'c measure of return on investment i s the benefits r eceived by users-namely, time l o w e r v ehicle operating costS, and improved safety. Research conducted by CUTR shows that for each S 1.00 invested in state an d local roads just to maintain current condi tions. user benetiiS total $2.86-benefiiS that now to every pan of the ecooomy. creating improved productivity and busi ness competitiveness, higher real wages. and stronger overall economic expans i on. Focusing on increased business productivity, the r esearc h shows that each $1.00 invest e d in capita l impro''ements to transponation facilities resu1ts in annua l growth o f $0.3 5 in florida's Gross State Product-a rate of return of 35 percent. The Choic:e is Florida's: Missed Opportunities or Economic Strength? Failure t o invest in improvements to Florida's transportation system will result i n a future of missed opportunities as travel congestio n worsens. new mark ets are tourists fail t o return, and our quality of life declines. Wmingness to invest will result in increased eco nomic strength through improved business productivi ty, diversification of theeconomy. nourishing interna tiona! trade and tourism, and a better quality of lif e Tire clwice is ou rs.

PAGE 11

Company Berg Steel Pipe Corponlllon Panama Cit y Cargill C ltroAmerica, I ne. Fro stproof The W alt Disney Co. Lake Buena Vista Port or Tampa Dairyman s Supply Company Florida, I nc. Wildwood Publlx Supe r Markets Inc. Laic e land Jaxport Jacbcoville Mttro-Dade Transit Ageney Miami Orla ndo Internat ion al Airport SL Johns County Hernando County ll. roward County S unbtam Corporation Fl Lauderdale Industry Manufacturer Process ing Plant 1burism International Port Wh<>lesale Bpilding S u pply Food R e t ane< International AirportiScaport Joint Development Int ernational Airpot1 Economic Development Industrial Recruitment Economic Development Consumer Products Manufacmrer Tran$pOrtanon Impact This inu:matiOIW manufi!Cillt<:r rclics on a solid lr3J1Sp0rla tioo complex at lhe Pon of Panama City to reach customers in its global madr.ert b working to caleb a bigget share of the intema tiona! tnlde pic, lllllrl-.: cffca on the area's tax base. Transportation deficiencies ntitigatcd by higbway improvements through stare grant money have bten crucial to Hemando's industrial f..'IUitment efforts. When Broward Economic Development Council officials go out to "sell" the county, transporwtion ts a k ey tOOl in their .ales kit. Good airport service pla yed a key role In Sllllbeam's deci sioo to locate its national beadqu-.s in Ft. Laodcrdale.

PAGE 12

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PAGE 13

Fl orida's transportation system i s the engine that runs our economy. Fourteen million Floridians to numbe r nearly 20 million by the year on a statewide network of roads, seaporn, airports, and rail to get themselves and their products and services to important destinations and markets every day. Over 41 million visitors a year-pro jected to be at l east 80 mil lion by the year on thi s ''mu lti-modal" net work to get themselves into and around Florida. International trade and tourism are Florida's top two industries in dollar volume, and both are highly dependent upon a sound transportation system. Florida's agricultural and consuuction industries are mainstays of t he economy, w h i ch, aJong with strong mapufacturing, retail . and service sectors, rely on transportation for timely reeeipt and delhery of m ate rials and products and access to labor markets, and custo.me.rs. "Transportation was a back room function in corporate America until the last decade when it became recognized as a tJJolmul a weapon. Today, corporations understand that 'getting it there' Is an essential part of their mamting process." 'Rlchard S Bruoe, Ma.nager-1'Jade Development, Jaxport, Jacksonville T h e e c o n omy's reliance on transportation is ev i dent from national trends strongly suggesting that declines i n the business productivity growth rate accompany declines i n public works spending-with transportation. infrastructure being the biggest compo How Does Florida's Economy Depend on Transportation? nent of that spend.ing. Because transportation is a sig nificant cost for mos t businesses, it i.s a key ingredient to increased business productivity. Transportation improvements that allow businesses to make more effi cient use of highways, seaports, airports, and rail have a positive impact on overall business producti ''ity-a ben efi cial impact that is quan.ti .. fied i n thi s report. W ithou t exception, all of Florida's e c o nomic sec. tors depend dai ly on an interconnected, multi-modal transportation system. In one way or another, transportation supports all busi nesses and al16.9 million jobs in Florida. (Case studies at the b a ck of this report describe how individual Florida enterprises depend on transportation to get the job done and how, in tum, they contribute to Florida's economic strength.) "The real key to us is tJJ get the product to the customer when he needs it ... a delay can shut' down his operatWns while waits on a delivery." Howard Bu.rtman. LogjS(ics ProdUC(S. Cargill Inc.., Frostproof Florida's Top Markets International Trade and Tourism Fl orida's international trade totaled $52.1 billion in 1995, having grown over 70 percent during the pre vious five-year period. Tra d e volume i s expected to grow substantially in the next decade with passage of the North American Free Tl".ide Agreem ent (NAFfA) and further relaxation of U .S. trade policy under the General Agreement on Tariffs and Trade (GAm.

PAGE 14

Our geographic location gives us a competitive edge for increased trade wit h Central and South America and the Caribbean. In order to take full advantage of these growing market s, we must expand the handling c apacity of our seapons and airpons and pro v ide needed intermodal connections in the form of road and rail access. Florida' s substantial trade volume witb Europe, Asia, and other world markets is equally dependent on adequate seapon and a i rpon capacity and modern. efficient connections between transpona tion modes. The o f .f.ldlida's vl$1t0f'S:-Ii1 million t o .;eacti at .lea$t 30 '. millon s ingle rri'osf vitll part o f our toilrism a solid transPoftalion :system in oidei' tc:i flo uiish. Florida's tourism industry continues to grow and to be, perhaps, the single most vital pru1 of our economy. Florida ranks among the top tourist destinations in the world. Ove r the last 15 years. the number of visi tors to the sta t e doubled to over 4 1 million and is expected to reach at least 80 m illion by the year 2020-abou t four times our projected resident popula tion. Half of our ''isitors arrive by a ir, and the other hal f by highway. Some 7 1 million people use our seapon facilities for vacation cruises For the tourism industry to nouris h into the. next ce-ntury. we m ust provide visi tors witb high q uality service, inclu d ing safe, conve nient, and efficient t ransponation service. Florida' s Future-A More Diversified Economy A long w ith strengthening already robust industries, Florida must diversif y the economy in o rder to bener insulate against national and global business cycle contractions or "economic dowmurns." To broaden the economic base, Florida must s u ccessfully compete for qualit y industrie.o; and must attract and retain h igh-value-adding companies. "When businesses are cansidering reloctJting to F lorida, they ask about our education system and our trarrsportarwn system. Transportation is key to our a b ility to altract new businesses and to retain existing C(>mponies here in Florida." Dick N u n is. C hairman, F lorida Coune-1 1 of 100 In generl. these companies, such as computer ser vices and high-tech man-ufacwring firms are environ memally "clean" and tend t o gene rate h igh-paying j o bs, resultin g in increased disposable income, more demand for goods a n d services, and a positive impact on the tax base. Their n eed for supplie$ and services a l so creates additional market s for existing businesses. Overall. they make a positive contribution to Rodda's q uality 'Oi/able office spoce, and good airport service created a winning combination for Ft. Lauderdale." 0<\vid C. f;)l'lni n Executive Vice Presi dl!nt a n d Genera l Coutasel. S u nbeam Corporation. Fl. Laudcrdsk

PAGE 15

T he strenglh of Florida' s major n\arket sectors is testament to lhe strong transportation network that has supported and fueled our varied enter Why Should W e Inves t in Trans port ation? roads, the people and businesses that use Aorida's hi8bways will experience a $61 bill i on increase in COStS over lhe next 20 yeaxs. Thls in COStS will prises. Florida's tr.msporta tion system is a solid foun dat ion on which to build, but it is a system that is showing the strains of Florida's rapid growth (our population has doubled since 1970) and sharply escalating traffic . .. ....,_ ..... ""'"""' ... .' d ll U.:'"_;: (rJ_: ;b'J(.[,) I-III ,) i q:: ll Ulll> 1 tD: occur because it will take Floridians longer to "get there," the y are likely to have more crnshes en route, and they will spend more on fuel, tires, and olher ve h icle maintenance. This amounts It: l I rid ilrr. fl f:) l_ :{ i j n '!I II { ;.'! ': 1' flli,i j 11 ,< ]': d l .':k. .f r : ..... ,l;l!'-'i: 1 1:., u <''.. pfr.r i _ti;JlCt: _)-;d i: ::drr:rl ;J.'cr life ii:: demands on available capacity. Virtually all key componeous of tbe 1{-nsp ortation system that are critical to a chieving F l orida's econom i c poteltial have serious and growing unmet needs. Years of .. underfunding" this economic engine are begimring to take a t oll, and the evidence is apparenL As Floridians, we mu.st begin t o COITCCt this deficit b y ina-easing invesunent in transportation infrastructure. Failure to do so will j>pardize Aorida's economic momentum and attractive quality of life as we move into the 21st century. All market sectors will increasingly feel lhc adverse effect s on business productivity resulting from a deteriorating, congested transportation system-a system that slows us down i n s t ea d of fueling our economic progress. "Our state's ec01wmic potential 13 grmt, but our transportation needs are a/sQ great. We come to the task seriously wulerjimded." Malcolm Kirschenbaum. Cbairm:m. Florida rrun."portat.ion Coro.m.i.ssion A ccording to an analysis conducted by. !he Center for Urban 1l:ansportalion R esearch (CU'l'R), if we fail t o preserve just the current quality of service on our to an average annual increase of $219 for every licensed driver in Aorida. Florida's Transportation F orecast "We arejalJingjurther behind. We are not ootcJung up, we are not staying eretL We are falling behind." Highways Be tl\e backbone of Florida's transportation system-both f or movement of freight and mobility of Floridians nod visitors. are the primary mode for freight movetnent in the s tate hauling about 70 percent of all manufactured freight toonag<>-60Dle 230 million tons annual.ly, more than double the tonnage hauled by all other modes com bined. In 1993 82 percent of Florida communities were served exclusively by t r uck. Flo rida h a s been unable to keep pace with demands on highway capac ity and demand continues to grow faster lhan supply (new roads or new lanes on existing roads). From 1980 to 1995 lhc demand (total

PAGE 16

vehicle miles traveled ) on state roads increased 83 per cent. while the supply increased only 18 percent. Over t he next 15 years, vehicle miles traveled will increase an estimated 58 percent, while supply wiU increase an estimated I 0 percent; that is. demand will outpaee sup ply by almost a six-to-one m:ugin. The Florida Department of Transporta tion reports that 49 percent of the Florida Intrastate Highway System, made up of key sta t e roads. does not mee t cur rent standards based on 1995 condi tions. This results in higher business costs. lower productivity, and increased commute times. The Florida Intrastate Higllway System: Backbone of Ronda's Transportation Network The Florida Intrastate Highway System (FIHS) was designated by the Florida Legislature in 199Q as a high volume, highspeed network of controlled access and limited access goal to be achieved pri marily through to existing highways The FIHS is 3 750 mi l es of exist ing intercity and inter regional highways, including all intersta tes the Thmpike, and other major state highways (map, page 8). ll carries 70 percent of all heavy truck traffic using the s tate highway system. A road on the FJHS carries about 10 t im e s the traffic volume of a typical Florida public road. In keeping with legi slative guida nce minimum operating standards have been adopted for roads on the FIHS. and the Department has evaluated needs through the year 2010. The identified improvements needed will cost an estim ated $28 billion. Projected available fund.< total $6 billion. leavin g a shonfall of $22 billion; that is. for each $1.00 of need on the FIHS. we will have less than 25 cents to fix the problem. "At current fwuling levels, it wiU take some 75 JNTS to complete improvements to the FJrida Intrastate HighYJY System, which contains our prinwry commercial arteries. That is simply unacceptable." Kerr. Com m i ssioner. Florida TrMSJ>Ort:llioo Commission Seaports Florida's 14 deepwater seaportS are s trategic state assets that generate sub$tanti>l economic benefits for the state. ln 1995, Florida s seaports handled a record 108 million tons of international and domestic cargo. Today the sea port indust ry and port-depe ndent busi nesses gener ate approximately $25 billion annually in economic activity and create over 300.000 jobs. pro ducing state and local tax revenues well in excess of $600 million annually. Yet they face serious and imme diate road and rail access needs and capacity shortages. Failure to continue to invest in additional facilities and efficient landsidc linkages will re.
PAGE 17

. tbe end of.1996. Another transshipmen t hub is planned in San Juan, Puerto Rico. These devel opments underscore the need for Florida's seaports to remain com pctitive. Florida's seaports also face serious c o m p etition from neighboring swes in !heir efforts ro capture new business and an increasing share of the growing intet natiooal trade mad:.eL Louisiana recently invesled $100 million in its seaports, with a separate annual appropriatio n of $ 20 million 10 the P ort o f N ew Orl eans. Over the l ast 2 0 years, Occrgia has provide d $285 million ro enhance i t s two seaports. Florida' s Seaports: Are the Improvements Worth tfte Investment? ThestateofFloridacwrently invesls a lotll of$10 million annually for capital expansion at seapoos. Our seaports h ave id en t ified $1.5 billion in capit a l improvements n eeds over the next five ye:us an d $1.05 billio n of "immed iate" needs for improve d road and rail connections. The s e apons h n v e requested a total of $175 million i n state funding over five years, to be matched by the seaports t o fund expansi on o f $350 millioJ>enabling them to handle an additional5.8 mil lion tons or cargo and some 3.9 million additional rev enue passengers annually. A study b y Boyd, Barrese, and Associates shows that this investment will return an annual economic benefit of $2.4 billion, including 36,000 n e w perm a nent jobs. State and loeal government s would realize additional tax revenue or $ 92 million annually, of which $50 million w ould accrue to tile state. "The rompelition grows fiercer every day. Jf we are not ready when these opporrunities occur, if w e do not have t h e n eetkd to move goods fost e r and more c heaply than ports in other locatillns, w e will find our sltippers looking elsewllere. Airport s Carmen Luncua, 0\airman., Florida s.e.pon Transportarton and .6cooom.ie Development Cwncil Florida b a s 19 commercial passenger service air ports to meet the needs of itS residents and visit o r s 1 3 of which provide international service (map, page 6). In addition, 24 reliever airportS and 60 general aviation airports serve Florida's b usiness, air carg o mainte nance, and other general aviation needs. The Flo rida Aviation System Plan reports that aviation generates approximately $47 billion annually in economic activ ity and supports almost 768,000 jobs in Florida

PAGE 18

Despite downward national trends Florida's air tmftic demands are growing. In 1994. ap proximately 94 milli on people p asse d thro u gh the gates of ou r com mercial a i rports This number i s expec ted to i ncrea s e t o 1 96 million by 2010. A lso pushing cap acity is the in cre ase in air cargo activity In 1994. Florida's airpons s hipped 2 .0 million tons of cargo This is c.xpceted to increase to 3.2 million tons per year by 2010. Florida' s A ir ports: Crowded Skies Clog Our Gateways to the World Flo rida is facing an estimated $6 billion i n a i rport capacily irnpro,ement needs: over the nex t 10 years. Conges tion at o ur major a irports. 60 percent of which are nearing capacity will adverse l y affect business trav el. tourism. and time-sensitive cargo shipmentS. Aircraft tmffic delays due to airspace congestion and limited airport capacity already cost airlines over $124 million per year in service maintenance, and produc tion costs-costs t h at are passe d on to the traveler. Wilhout aviation sys tem impi'Ovcmcnts, those cos t s will n ear l y quad rupl e to S473 milli o n per year over the next 10 years, accordin g to the F l orida Aviation System Plan. "'IM problems of congestion facing our aviation system, bolh in the air and on tlw ground, are rapidly approachi11g unacceptable levels If this situation is not properly addressed soon, we must all surely expect serious economic a n d safety conseque nces." Jim J()hnson Senior D irc<:tor of Airports, HiJisbor o ugh County Avi:atio n Atu.horil y I nterci ty High Speed Rail It i s now generll y accepted that Flo rida cannot b uild enough highway s t o accom modate f utur e demand f o r tourist, bu siness. and othe r tra v el. To relieve some of thi s demand F l orida i s deve l op ing a hig h spee d rail system from Miami t o O r lando and from Orlando to T ampa. In February 1996 the Florida Department of Tran s portati on awarded the exclusive franchise to Florida Overl and eXpress ( FOX), who s e pr oposa l provides a hig h s p eed rai l sys t e m i n 10 year s util iz ing technology tha t i s pr oven to be r e liable and safe lt i s a public/private partn ers hip with t h e s tat e having commi tted S70 milli on a year for 30 years beginning in the year 2000. A high speed rail s y stem W()tlld enhance our abilit y to move people and goods in these heavily congested travel eorridon. Florida's Return on Transportation Investment Traditio nally the economi c benefi t o f tran s porta tion im es tments has been considered t o be primarily the co n s truction period jobs that are created The benefits from these jobs are significan t and are directly and indirt:etly r eceived by all Floridians. But we n ow know tha t there is much m ore to the story: increases in benclits to user s and productivity resulting fro m tran sportation improvement s have pervasive and longlasti11g positive impact s on the eco nomy. At the nati ooal level. recent s tudies co nducted by the Eoonomic P olicy I nstitute in W as hington. D.C., suegest that more than half the dec ,line in productivity growth (growth in good s and services produced per hour worked) in the United Stntes over the past two decades ca n be explained b y lower public infrastruc.. j. .. ) .. .. , 1111!1 _'1.. ,.. ,.. --

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turc Spending. Increases and decreases in public infrastructure spending have been accompanied by correspo nding increase s and decrea ses in productivity growth. nanspoltation f acilities comprise the largest component of non-military public infrastntc t u rc in th e United S tates. Analysis conducted by CUTR also suggests a suoog link between investments in public infrastrucrure and economic growth. Of panicular interest is lhe return on invesonent in state and local roads. I!Jcreased User Benefits The most i mpottant and comprehensive overall meaure of the value of investments in state and local highways is the net benefits received by users in time lower vehicle operating costs. and improved safety. But while these benefits accrue initially to users of tbe highway system. they continue t o flow into vir cually every sector o( !he economy, creating improved l>roductivitY and competitiveness for b u sinesses, higher real for workers, attd stronger growth fo r the Slate economy overall. Time savings for businesses travel e r s and shippers mean more hours of productive work and faster deliveries to facwries and thus more output per hour and Jess fuel consumption per hour of produetive wod<-According to CUTR, every Sl.OO inve.ted into just maintaining current highway condition s for the next 20 years results in an increase i n user benefits of $2.86. 1lte resulting n et gain of $1.86 includes the value of vital economic resources-..1ueh as lhe individual's time savings and a reduction in traffic deaths-that ate not n<>rmally included in the 3CC011nting frameworlc for state economic growth. Increased Business Productivity 1\"ansponatioo i nvestment contributes in a major way to Flori da' s economic growt h nnd vitality. Research conducted by CU1'R shows that each $1.00 invested in capital improvements to transportation facilities for !he next 20 years lends Florida's Gross State Product to grow by $0.3S :umually, a rate of return of 35 perceoL CUTR's analysis used a multiple regression model to examine how productivity has changed in Florida in .response to changes in investment s in infrastructure. Similar studies of changes in productivity at the national level conducted by economists with the Federal Reserve Bank (Alicia Munnell and David A3cbauer) have found substantially higher rates of rerum. The returns occur in a variety of forms, including tl>c ability of bu.o;ine.ses to: free up inventory space and !"educe invemory costs through use of just -i n-tim. e production technologies, rolling warehouses, stockless purcl1asing, and other productivity-enhancing innovations;

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reduce delay cosiS of vehicle s trapped in traffic, thus reducing slowdowns on the production line and improving custome-r gain more r cliabJe access l O supplies and custom_ers. creating bette r sales and more r epeat business; and improve access to qualified labor. State Highway System Seaports If in addition to the above returns. the value of gains from transponation investment that are not nor mally included in Gro.'s State Produc t are accounted for (such as the reduction in traflic deaths), the mte of r etum on Florida's transportation d o llar would be sub Stantially hig)ler. Greater returns are l i kely from higher level s of investmenL "We depend on just-in-time deli>vtry over Florida's highK'OY system to gttthe job done. For us, a solid highway system is key to our success in achieving our goals." Mwt C H ollis. PresjdeJlt, Publix Super Inc . lakeland "Our biggest nig,hrman is lklilys due to tie-ups. If a driver is held up Mo hours in traffic, that's still two hours of driving and counts against the legal number of driving hours he ron log." James Stout. rraffic Managa. Dairyman's Supply Company. Wildwood

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T ransportation improvements lea d to reduced transportation costs for companies, wbi.cb trans lates to higher business profits. lower prices, ao.d better quality products for the co nsumer; the potential for increased earnings and more jobs for individuals; and an improved tax base for communities, as our ability to attract diverse, h igh-value-adding companies strengthens. "After 13 years in the busine.<;S of industrial recruitment, I am convinced that transportation is the key ingredient in any ecorwmic development program." At Flullllln. Marketu>g Direcoor, Pearson Industries, Llc., Fonner Hernando C'..ount y F.conontic Development DireG(OT In.vestmeut in transportation allows our seaports and airportS to go after new business in trade and tourism. It gives our state and local business develop ment councils the support they need to auract and The Choice is Florida's: Missed Opportunities or j. Economic r etain value-adding businesses. It improves the ability of agriculture and outlying manufacturers to compete interoationally. The Bottom Une Failure to invest in improvements to Florida's transportation system will result in a future of missed opportunitieH! fumre of increasing congestion and delays, where new markets arc lost, tourists don't return to Florida, and our quality of life declines. W illingness to invest additional revenues i n tran.'lo portation will result in increased economic strength through improved overall business productivity, divet sification of the economy, flourishing international trade and tourism, and an attractive quality of life for Floridians. The clwice is ours.

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. r .. : T ..:or .. i . J ' ' .. . ,, .. ,; L .. ' l.f

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. -Case Studies Examples of How Transportation Drives Florida's Economy T be following case studies focus on selected Florida CQmpan. ies, and transportation entities in an effort to show IJ.ow they affect Florida's economy and specifically how they depend on Florida's u:ansportation system to get the job done. It is significant that many of them are locat ed in areas that have enjoyed substantiallransportation improvements in recent years. Imagine what they can accomplish with future transportation improvements; imagine how they will be stalled without them.

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Tfllnsportation, TOIJI'ism & International Trade GLOBAL DELIVERIES Berg Steel Pipe Corporation This inU!rnammal manufacturer relies ()II a S()lid traiiSp()rtation complex a t th e Port of Panama City /() reach g/()bal markets. "Port officials work very closely with us to meet ()Ur need f()r barge facilitUis and access/() ()/her m()des." Carl Seigler, Vice President. In business since 1979, Berg Steel Pi p e Corporation headquartered in Panama City, has quiet ly achieved the status of one of the most widely acc laim ed manufacturers of double-submerged arc welded pipe in the world. Specializing in the manufacture of large d iameter stee l pipe for lhe gas and liquids transmission industry, this multi-million dollar opera tion r equires accessibility to truck, rail, and deepwater transp ortatio n f acilities i n order to efficiently meet cus tomer expectations. During an average year, the company's manufactUring facility at the Port of Panama Cit y receives about 1 20,000 tons of Oat steel plate; an equal amount of pipe is shipped out to customers in the United States, Canada, the Middle East, and other world markets. Whethe r they arc de livering orders as large as 250 miles o f pi pe at the rate of two miles per day or meet ing orders for just a few pieces, Berg S t eel's 200 employees pri de themselves on quality and efficient tumarou.nd of product to the customer Those goals are suppor1ed by a solid transportation complex at the Port of Panama City F l at steel plate arrives by sea and rail. Finished pipe is loa d ed directly onto trucks, r.Ulcars, barges, or deepwater vessels from lhe Berg complex. "We ship primarily by every mode," says Jack Stockwell, Shipping S uperintendent. "We have direct access to a local shortline railroad, which links us to major carr ie rs and U.S. Highway 231 connects us directly to Intersta t e I 0 f o r truck transport. Berg's transportation depa(tll\ent arranges the mode of transportation; routing, and logistics, and monitors activities until p i pe is safeJy i n the customer's hands. The company also works cl0$ely with the c ustomer wbo chooses to hanclle transportation of the product "Port officials work very closely with us to meet our need for barge facilities and t o other modes," says Carl Seigler, Vice President "A combi nation of things p layed into our d ecision to locate in Panama City, including a positive business atmos phere, the availability of adequate labor, and good port facilities." B ecause there are few companies requiring p ick u p and delivery of goods by the flatbed tractor -trailer rigs required by Berg Steel, the company must often require truckers to "deadhead in" (arrive empty) to pick up pipe for delivery. T hat resu lts in our paying higher freight mes simply because of lack of availability of equipment," notes Stockwell.. ''However, shipping and r eceiving by wat er helps us make up the difference. I think this is a great area to do business, and as more indu stry locates here, there will be mumal benefits in both increased availa b ility of equipment and reduction of transporta tion costs.

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Transportation, Tourism & International Trade WORLD WIDE MARKETS cargill Citro-America, Inc. internathmal customers build their s chedules around just-in-time delivery of juice products from the Cargill plant. "1'he real key to us is to get the product to the customer when he needs it, because he depends on us to meet his s chedules."-Howard Burtman, Logistics Manager A g lobal company the size of Cargill relies on a complex network of rail, road. inland waterway, and routes to get the job done. Together with its subsidiaries and affiliates, Cargill is involved in nearly 50 individual lines of business in 58 countries worldwide. One of those operations is Cargill Citro-America, Inc., headquanered in Frostproof. Approximately 15.4 million boxes of oranges a year are handled at its Frostproof juice processing plant, and most of the fruit arrives by truck from Florida orange groves. Processed juice is delivered over-the-road i n insulated tankers to customers in Nonh America and Canada. Occasionally, refrigerated railroad boxcars are used. Bulk product is also shipped over-the-road t o Florida pons for shipment to customers in Europe and Japan. Product goes directly to container at the plant and then to the vessel for shipment t o Puerto Rico and K orea. "The real key to us is t o get the product t o the cus tomer when he needs i t because he depends on us to meet his schedu l es," explain s Howard Bunman, Logistics Manager-Juice Products. "Our customers plan right down to no extra storage, and a delay can shut down their operations while they wait on a deliv ery. On our end, if we are ready for a truck that has not arrived, it holds up our loading facility and keeps other customers waiting. Titere is a true ripple effect.'' One of several processing plants Cargill operates i n the U.S., Brazil, and Pakistan, the Frostproof facili ty primarily wholesales concentrate to national brand companies. dairie s, and supermarket chains. Strategically located ncar Florida' s major orange gr ower s and pons a t Tampa, Canaveral, and the co.mpany contracts with trucking companies for receipt of oranges into and deli very of finished p roduct out of its plant. ''With access to U.S. 27 and Interstate 4, we are i n a good position to receive fruit and delive r jui ce to our Nonh American customers quickly," notes Bunman. "We are also well located to reach Florida's pons and our worldwide customers. For the most part, Florida's trnsportation system is working well for us. Some of the pons are hard to get into. and sometimes a trucker has to wait t o unload. Storage at the port can also be a problem, since all of us w ait for the best ocean rate. This is a competitive business, and everyone wants to be the least-cost supplier." At Cargill Citro-America, Inc., they like t o say, "Beca use of our customers, we exist." Those cus tomers expect just-in-time delivery of a competitively priced. high quality product.

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Transportation, Tourism & lntematiooa/ Trade PUBLIC/PRIVATE PARTNERSHIPS The Walt Disney Company The 1'1\Ut Dis11ey Company spearheaded a public/private parlllersllip for a $300 million road program critical to Disney's a11d the communily's success "Public/private parhrerships are clearly tile wave of the future ill transportation."-Tom Lewis, Jr., Vice President-Development. When the late Walt Disney Hew over Florida in search of a s ite for Walt Disney World, land and trans portation topped his priority list Spotting available land in the center o f Flor id a just south of the confluence of Interstate 4 and the Florida Thrnpike, D isney t-ecognized the perfect fit for what would ultimately become a 28,000-acre theme park, resort, and enter tainment complex. Today, the Walt Disney World Resort is central Florida's largest employer, with about 35,000 employ ees. Work is under way on the town of Celebration, and Disney Cruise Vacations are scheduled to begin in 1998. As Disney has grown, so has central Florida. rourism and related businesses accoun. t for 3 0 percent of the centtal Florida sales tax revenu e," notes Tom Lewis, Jr Vice President-Development, Disney Development Company. These revenues reduce the annual tax burde n on centra l Florida permanent resi dents by about $120 per resident" The Walt Disney Company has been operating und er a 20 -year plan that outlines its development goal s and the ttansportation infrastructure required to achieve them. "At Wal t Disney World Resort in Florida, we estimate abou t 85 to 90 percent of our vis itors arriving from off s ite come by automobile-m. ost by personal or rental car, som e by ta.xi ," says Lewis. W e a lso receive 312,000 shipments of merchandise, food, and other items annually, the vast majority arriv ing by land carriers." A lthough well served by I-4, tlte Turnpike, S.R. 528, and U.S. 27, Disney recognized that additional improvements would be needed to infrastructure with its developm.ent plans-improvements the state was not financia!Jy able to complete. So Disney took the lead role in establishing a public/pri vate partnershi p w it h three other major landowners (Osceola County, the Reedy C reek Improvement Di strict, and Florida's Turnpike) to co.nstruct a $300 million road program. The program inc luded Osceola Parkway, a 1 4 -mile expressway connecting the Florid a Turnpike to Walt Di sney World, and tbe Southern Connector Extension, whic h completed the missing southeastern link of the Orlando Beltway and connect ed the Orlando aitport to the southwest tourism corridor. "The privat e sector is going to pay for transporta tion i nfrastructure improvements-eith er through the negative effects of having them go uncompleted, in some form of taxation for a project that tnight b e out dated b y its c ompletion, or by putting the infrastructure in p lace and benefiting as soon as possible," notes Lewis. "As a major corporate c itizen, we wanted t o help the region fulfill its priorities while we worked to fulfill our own. Public/private partnerships are clearly t h e wave of the furure i n transportation."

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Transporlation, Tourism & I n ternational Trade INTERNATIONAL PORTS OF CALL Port of Tampa lAnd rich, wilh quick access tq interstate highway and rail connections, this port is investing in facilities today to prepare for tomo"ow's opportunities "A port and its infrastructure provide a tremendous part of the ecQIIOmic engine that drives a region."Robert Steiner, Port Director. With international trade and tourism emerging as Fl orida 's hot markets, t h e l eadership of the state's largest tonnage port sees t remendous opportUJtity over the horizon. "We are North. America's fastest growing cruise port. but first and foremost, we're here to pro mote ca rgo development," Towsley, S enior Deputy D i recto r During the I 993 94 fiscal year, t he Port of Tampa's top I 0 trading partners were China, Mexico, Japan. Korea, Austr a lia Trinidad, Netherlands, Canada, Braz il, and India The port handled some 49 ntillion tons of cargo and served over 300,000 cruise ship passengers. Top bulk cargoes are petroleum, phOS phatc chemical and rock, coal, and liquid sulphur. Blessed with 2 000 acres of land, !he port is locat ed in the center of Florida s west coast in c lose prox imity to Latin American markets. Quick access to Inters tates 4, 75, and 275 and the CSX R a ilway System make it an ex c ellent location for intem1odal cargo moven1ent. "Many other pons are restricted in terms of expan sion, whil e we are positioned to take advantage of growth opportunities," notes Towsley. "That' s wily we're pulling money in the ground now, building facil ities lhat will build future revenue streams. Recent expansion programs added new berth and warehouse space, equipm ent, and docks i de rail access. A 10year mast er plan calls for a major conta .iner port on over 100 acres at the ex1reme south end of Hooker 's Point. Badly needed road access improvements are on the drawing boards The Garrison Seaport Center a multi-million dollar festival marketplace and cruise port. opened in Sprin g 1995 with the unveiling of the Florid a Aquarium and a new ter m inal. A movie !healer complex restaurants. and retail shops are planned. "Florida's ports fuel their regional economies. because !he money we spend spins off and r ecycle s dollar s," says Towsley. Indeed, according to a University of Sout h Florida study, $10.6 billion in gross sales in Tampa and its five. surrounding counties in 1994-95 was attributable to the Port of Tampa. During the same period, o ve r 93,000 jobs were attrib uted to port activity in the region. as was over $1.3 bil lio n in taxes paid to all level s of government. A port and its infrastructure provide a tremendous pan of the economic engine that drives a region. agrees Robert Steiner. Pon Director "Slow the engine, and you s Jow the economic impact on the entire area. Legis lative support is needed to ensure thai funding can flow to the port s and back out into the community in the form of jobs sales, manufacturing and tran s portation contracts. and taxes.

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Transpot111tjon & Productivity STRATEGIC LOCATION Dairyman's Supply Company Florida, Inc. Tke main reason this w1Jolesak disfributqr chose to locate in lVUdwood was its proximity to interstate and intrastate highways and rail service. "How we deal with the customer, and how soon we deliver his product is what counts. Anytlling that slows u s down hurts."-James Stout, Traffic Manager. "The biggest thing our company has to offer is ser vic e says James Stout Traffic Manager. "Price does not get it every time. How we deal with the customer, and how soon we deliver h is product is what counts. 'IO get the job done, the WJldwood-based wholesal e buil ding suppl y company relies on Florida's interstate system and the railroads. "The main reason we located here was close proximity to I -75, th e Florida Turnpike, and the local CSX station, notes Stout. "We also have a rail spur running right to our back door. Seventy years ago, Dairyman's Supply (DSC) opened to sell feed and seed to dairy farmers. Over the years, the name stuck, but the business shifted to dis tribution of wholes ale building supplies to retail lum ber yards. Today, Dairyman's Supply Company Florida, Inc., and si ster companies in Kenlllcky and Alabama continue to serve small or family-owned building supply flfms. DSC Florida works a 250-mile radius of Wildwood, serving about 300 active accounts and occasional spot buyers. Th e company runs four tractortrailer rigs daily t o pick up supplies from various mills in Georgia and Florida and to deli v er orders. "We can jump on the Interstate and be anywhere we need to be in two to three hours," says Stout. "We backhaul (drop an order and pick up supplies for t he retllfn trip) whenever pos s ible to avoid running empty. Our biggest nightmare is delays due to construction or traffic tie--ups. If a driver is held up two hours in traffic, t hat's still two hours of driving and counts against the legal number of driving hours he can log." Stout also depends on common carriers and good rail service for del ivery of supplies to the yard in Wildwood. "I have a program on my computer that allows me to track my rail cars and know exactly where they are," explains Stout. "If a customer calls asking about a shipm ent. and I ca n't tell him when it will arrive, the customer is likely to call someone else. If I can tell him when to e xpect the shipment, he's gcn erally willing to wait. Right now, business is good for DSC, which opened its Wildwood location four yeaxs ago and employs about 20 people. While increased tolls on Florida's Turnpike an. d traffic tie-ups between Ocal. a and Wildwood on 1-75 are a concern, Stout finds the interstate system reliable and the trains continue to run on tim .e. However, just as tran sportation played a big role in bringing DSC Florida to Wildwood, increased highway congestion or a slowdown in rail service could just as easily send the company away. As Stout puts it, "Anything that slows us dovm hurts

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Transportation & Productivity FROM FARM TO MARKET Publix Super Markets, Inc. The seventh largest volume supermarket chain relies heavily on Florida's highways to ensure timely arrival of employees, easy a ccess for customers, and speedy delivery of fresh products. "The better the transportation system, the fresher the product." Mark C. Hollis, Pres idem and COO. The f a ct t hat Pub l ix Super Ma r kets Inc. is the largest emp l oyee owned supenn arket chai n i n the Uni ted Sta t es h as everyth ing to do with i ts 1993 Consume!' Reports rating a s the number one supermar ket in America for cleanliness. customer service, and fast checkout. associates have a personal stake in the bus i n ess," says Howard M . Jenkins, CEO. "Th ey know th eir extra ent hu siasm and add i tional attention to detai l i s earning t hem pr o fi ts in the l ong run: Over 95 000 employees serve over 440 superrnar kets in Florida 50 in Georg i a, and J O in South Carolina. Each s t ore is ope ra ted like a hornet own business ; to g e ther, they gene rat ed over $8 6 billion in retail sales in 1994. and the company was ra nked sev e nth l argest vo l ume supe r ma r ket chain in t h e United Stat e s Pub lix pride s itself on a w id e var i ety of h i gh qu a l ity p r oducts. Fresh and hard-to-fin d produce is bough t from all o v e r the world. Company -o wned dairy pro ces s ing plants in Flo r ida and Georgia make ice cream, y ogurt and m i lk. Grocery she.lves and meat cases are stock ed with goods t hat come through d is t ributi o n cen ters i n Atlanta and Lawrencev ill e, Georgia, and Boynton Beach Deerfield Beach. Jacksonv ill e Lak ela nd, Miami Or l ando. and Sarasota Florida. It i s a system t ha t relies heavily on Florida's trans portat io n system. Publ i x rec eiv es and shi p s aU i ts m erchandise by t n ck, with over 4 3 4 tr a c t o r s and 957 trail e rs u sed to deliver goods to stor es. Some produce comes by containerized shipp i ng. and the company s hip s the majority o f its recyc led cardboard out by ra il. "The bette r the tr an spottation sys tem, the fresher the product, no tes Mark C. Hollis. President and COO "We depend on j ustin time delivery over F l orida's highway system t o get the job don e Equally importan t is our ability t o ge t associates to work in a timely fa.5hi on and to p rovide easy access for ou r c u s tomers ... Wh ile lau ding the state's highway system, Hollis notes t h a t it sometimes takes too l ong to get a traffic. pro blem co1rected. "Es tab lished com p anies like ou r s wor k through these prob l ems be c ause we mus t.'' he says "However, red tape or slo\v decisionmakiog wil1 shut down most business growth. \Ve w ould particularly like to see more limited ac c ess highways in order to reduce heavy, s top-andg o t ra ffic Profitable, exp and i n g no ted for quality product s and c nstomcr s ervice, Publix is the kind of company Florida wants to retain. "As long as a b u s iness can increase its abi l ity to make a profi t and build a sound cus t omer base i t w ill grow and pay i ts f a ir shar e of t axes," says Hollis. "For us. a sol.id h i ghway sy s tem is key to our success in ach ieving o u r goals

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... Transportaticn & Retum on Investment INTERNATIONAL CROSSROADS }axport Marketi11g its location as the intemational crossroads of the Southeast, ]axport is working to catch a bigger share of the intemational trade pie. "Our success lies prin1arily in our strategic locaiWn and interm()tfa/linkages." -David Kaufman, Manager-Marine PlanniJ1g. Located at the center of an extensive transportation network, Jacksonville might arguably be called the international crossroads of the Southeast. Indeed, sev eral nationally recognized companie.' announced cor porate relocations or expansions to Jacksomides of Jaxport, w h ich oper ate under a single authority and board of directors. "Let's say you have. an aircraft manufacturer who wants to bring in avionics materials by air and bulk metal items by sea," explains Charles Snowden, Manager-Aviation Planning. "We can put together a package and offer service in a single process." Having the capabilit)' to constantly improve facil itie s i s critical to Jaxport's ability t o take full advantage of its competitive strengths. A new 10,000 foot runway enables Jac ksom
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Transpottiltion & Retum on Investment Jaxpon currently has $50 million available for a 20-year $680 million development program, which include.' deepening the harbor from 38 feet to 42 feet to handle the world's new generation of larger ships. That money must come out of a budget that relies primarily on operating revenues, receiving only about Sl.2to $1.5 million in state funds annually. "Improved state investme. m is needed if we are to continue to grow and compete as an international trJ.de pon; says Kaufman. "We are each trying to catch a piece of the growth in international trade," adds Neal J. Ganzel. Jr., Di.rectorw Public Relations. ..However, the makers in other states buy the position that building ports increases employment i.n their states In Florida, with our rich pon opponunities, we are s t ill having this discussion." Jaxport employs 344 people, approximately 15,000 more are directly employed by tenants of i t s a viation and marine facilities, and approximately 12,000 job s are indirectly created by those a ctivities. Economic impact on northeast F lorida is estimated at $2.7 billi on annually. Developme.nt of a third port terminal at Dames Point and improvements a t Blount Island and TaUeyrand Marine tem1inal s would create 10,000 new jobs and i n crease economic impact to about$ 3.1 billion within about seven y ears. "Every dollar spent on port infr.lstructure crea tes something that generates income," agrees Ganzel. "Given our geographic l ocatio n and multi-modal transportation network, Jacksomille and this port are uniquely positione d to truly compete as the Southeastern i n ternational gateway. That s good for our business, and good for the busincs_' of this com munit y."

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T17111Sp011Btioo & Return on In vestment JOINT DEVELOPMENT Metro-Dade Transit Agency (MOTA) This 'agency's joint deye/opment program is attracting soUd priYate-sector deYelopment around publicly-owned transit stations with muJual ben ejils to botll f1te public and priYate sectors. W e belhve transit statWns wiU soon be as prized as inkrsecti o n s arul highway inkrchan ges as places to do busi11ess."-Gregory ConsullanJ to llfDTA. A privately -owned development on county-owned land in south Florida is home t o a mix of office, retail, parking, and luxury hotel space; a conference ce nter is planned. Across the street, Homart and Office Depot are planning to develop a mixed-use project incotpo rating a second hote l, restaurants, movie !beaters, and retail enterprises What is the drawing card? The Dadeland South Metrorail Station at the southern ter minus of Metro-Dade Count y's Metrorail system. "We believe transi t statioM will soon be as prized as intersections and highway interchanges as places to do business," says Gregory Iones, joint development coosullant to tbe Motto-Dade Thlnsit Agency (MDTA) Companies doing business in the Datran and Homan projects described above enjoy a rea dy cus tomer base fro m Metrorail riders. Indeed, the Maniott Hotel in the Datran development hru; the highest occu pancy rate (96 percent ) in South Florida. Developers of the projects will pay the cost of the s k yb ridge linking their projects with the Metrorail station; !he county will grant credits against impact fees in return. The Oaa-an project alone provides some $750,000 annually in new te\'enue to the county. The projecrs are the result of a joint development program undertaken by MOTA for its Metrorail, Metromover, and Metrobus systems. The idea is to atuact private secto r development around our traMit stations and take advantage of !he economic opportli nities created by our transit investments," says Ed Colby, MOTA Eltecutive Director. "Prom a business person's perspective, the Oadeland South Station provides safe and economical accessibility to the customer base," says Jack L Goodrich, Vice President Operations Datran > Management Inc. "The result i s higher profitability for businesses and increased revenues for both Dade County and the state. Panicipation or both !he private and public sectOrS assures a b.igber level of services, including increased security and maintenanee." Lease of 9.2 acres next to the Oadeland North Metrorail Station has been approved for development of a three phase mixed-use project The devel oper foresees employment opportunities of up to a possible 900 jobs from phases one and two wit:h annual wages of over $10.5 million. Fllture projects are planned around other county Metromover and Metrorail Stations. Joint development. projects help a comrnuoity focus on urban \
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TraMportation & Return onltweStment FUTURE FLIGHTS Orlando lntematlona l Airport Havin g gr own up closely refuted to it.r loc al econ o my, th is airport has been describe d a s tire econ omic engine that drives its surrowuling community. "All investment i11 transportation i s an i11vestm ent in Florida's future. Robert Bulloc k Executive Director. Ours is an airpo rt that has grown up cl<>sel y relat ed t O a local econo m y," s a ys R oben Bulloc k. Executive Director. Orlando International Airport {OIA). 'We've been described as the e<:onomi c engine t hat drivt:s the community." A recent study put the air pon's econom i c impact o n the rommunity at $5.4 bil lion annually ove r all and $1.9 bill i on in d irect impact. OIA's ground t ransportation figures are o n e mcu sure of this imp act. T h e airpon mnks fir st in the cou n try for rental car and 85 per c ent of arr iving passe n ge r s need ground trans ponat io n w hich "will a lways be a driv ing factor in thi s airp o n 's operation. b eca u se we are a destination airpon." sa )s F Lee Tillotson. Deputy Exccuti\'t Dire c tor-Plann i n g & De\ elopment. "We are participating in a local study of the feasibility of a light rail system flowing through tOwn and connect ing at the airpon. Also we've made provisions at ou r non h termina l for high speed rail. At the same time we're planning for planes noc yet buillplanes that will carry 800 t o 1 000 P"-"'"' nger s." Thnt kind of visionary plannin g i s rapidly moving O I A toward becoming a true international gateway c un'Cntly ser ving n e arly 2 3 million peopl e annually. with nbouc 1 2 percen t i n t erna t iona l tr avelers Of c l ose t O 245.000 s hon tons of cargo handled t he I 2 m o n t h s ending Jun e 1995, abou t 34,000 were 'Ei ghty percent of cargo i s carried in the belly of pas senge r ai rplan es, and this component of the cargo/ai r line revenue is expecled t o continue 1 0 be of great imponance," says Bulloc k "Also just-in-time air delivery and plane warehousing of lime-sensitive goods are c ruc ial in the worl d marketplace. W e are well posi tioned to respond t o those growing needs." Orlando Inte rna t ional is currently the w orld's 26th l a rgelit airpon ranking 1 8th a m o n g U.S. airpo t t s with !lights t O o ver roo u s destinations as well as l a ndfall s i n Europe, Japan, Centml a n d S outh America. Canada, and the C aribbean A n earby TradepOtt serves pr ivate industry; there is also a 250-acre Foreign Trade Zone OIA's c urrent five-year S760 million expansio n plan includes a founh runway, p rovisions for rail syscems with oorridors already designed, an interrnodal cargo center, and possibly a new 24 gate tenninal. Th e way t o provide a bener environment for business is to trans i tion from an airport t o a transportation cen ter where aviation is a component along with high way s and rail n otes Bull
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Transport;ltioo & Impact on the Tax Base ROAD TO SUCCESS St johns County Construction of J. T. Buller Boulevard helped open up St. John $ and southeastem Dr val counties to lligh-end deveh>pmenl wiJh a resulting positive effect on fire area's tax base. "It opened the door for people to come enjoy our pleasant lifestyle." Andrew D. Assistant County Admini s trator Sixty yean; ago, the community of Ponte in St. Johns County began as a quaint beachside weekend and vacation retJ:eat. Over the years, fishing cottages and small vacation bomes doUed the landscape, and the Ponte Vedra Club drew golfers. Acoess to the beaches was aloog highly congested Atlantic and Beach Boule v ard s from the west and AlA running n orth-south along the coast. "St. Augustine was the h crut and soul of Sl Johns County, and there was a lit tie village up the road called Ponte Vedr:a," says Andrew D. Campbell, Assistant County Administrator. Today, P onte Vedra is home to corporate executives, physicians, and other professionals who wOO<. in Jaclcronville and come borne to large, family residences. The Tournament Players Club at is a national calling card to au area known for its nat ural beauty and environmentally sensitive p lanning. "With a p<>pulation of about 20,000 out of a co u nty wide range of 96,000 to 100.000. Pont e Vedra repre sents 32 percent of our ad valorem tax base," says CampbeU. 'They are paying the majority of the tax peroentage-wise." A number of things contributed to this county' s success story: the lure of F lorida's natural beauty, th e interest of the PGA Tour, the nrrival of the Mayo Clinic and other large businesses in Jacksonville with profes s i onals seeking accessible luxury living, the absence of a state income tax, and the construction of J. T. Butler Boul evard in nearby Duval County. You're never goi11g to find a better example of what one piece of infrastntcture can do to enhance tlto quality of life of a community," says James E. Davidson, Jr., President, Davidson DeYclopment, Inc. "'That road made the amenities of Jacksonville and the First Coast accessible; it made living at the beaches a possibil i ty; it was a s ignificant player in Jacksonvil)o's ability to compete nationwide for business." Built' in t he m id -1970s, J T Butle r lloulevard is an eastwest corridor connecting 1 with AlA and the beaches. Along w i th improvements to AlA, the con nector significan tl y improved access to southeastern Duval aod eastern St. Johns coonties. '1t opened the door for people to come enjoy our pleasant lifestyle, says Campbell. Along with success comes increased responsibili ty. St. Johns has grown as a primarily residenti.al area, wh.ile Jacksonville and Duval Coumy h ave enjoyed the sales and business taxes generated i n new shopping areas and office and industrial parks that have sprong up in close proximity to Butler Boulcvar
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Transportation & Impact on the Tax Base Augustine, and continue to attract the kind of residen tial and resort development capable of paying its tax bill. "If we adopt and commit t o good land u.'>e regula tions, then we can control our destiny," says Campbell. "We have large property owners looking at planne d unit development rather !han scattered developments, and we envision commercial nodes on travel corridors away from sensitive areas." M ixed use development is expected i n connection with the 6 ,300 acre Saint Johns Project, whic h is designed to include 6.5 million square feet of office, indus trial, and retail space. along with the World Gol f Village and its hotel, conf e r ence center and World Golf Hall of Fame, 7,200 residential units, and 54 holes of golf. Again, transpor:tation fits beavi.ly in the develop er's plans. "We built a $9 million interchange on I-95 because the feder al government is no l onger doing new interc.hanges on federal interstates," says Davidson whose company is the exclusive development manag er/marketer of the project. "Our project will only use 28.5 percent of the capacit y of that inte r c h ange, but if people cannot get into and around our community, we're not going to sell any homes or office space," explains Davidson "Good transportation adds tremendous value." campbell agrees, noting that transponation will be at the hean of funore planning i n St. Johns County. "If you don' t have good transportation, there is no need to attempt good planning," says Campbell. J T. Butler Boulevard opened the door to St. Johns County. With good transportation planning, we can continue to enjoy a conununity that is both a pleasant and practical p lace i.n which to live."

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Transporlatioo & Impact on the Tax Base RETURN ON INVESTMENT Hernando County 'l'rall$pQrla/iQn tkjiciLt JCiu midgaJed by highway improv e nulliS through state gro11t money ./un>e been cncial to Hernando's indu s trial recruilment efforts. Investment in transportation infrastructure has come back to the county in a significant and positive way."--AI Fluman, Pearson Industries; former Hernando County Economic Development Director. "After 13 years in rhe business of industrial recruitment, I am convinced !ha t ll'ansportation is !he key ingredient in an y community's economic develop ment program." says AI Auman, Marketing Manager, Pea!wo Industries, Inc. and former Hernando County Ecooomic Development Director. "In particulru:, ll'ans portalion deficiencies mitigated by highway improvements through grant money from the Florida Departme nt of Commerce have been critical to H e rnando's industrial recruitment efforts. n,e Department's Economic D evel opment Transponation Fund (EDTF) uses sta te gas tax monies to help localities alleviate trnnSportalion impedimems to industrial location. Projects must serve to induce a specific company to locate in Florida, temain in or expand a project in lhe stare, and create or retain job opportunities for Floridians. "The ll'ansportation j ect ntight be an access road, a railroad spur, or a taxiway," explains Steve Mayberry, Director, Division of Economic Developmel\1, F l orida Department of Commerce. 'The fund helps the state and localities close the deal." Hernando's success stories ru:e the attraction of bQth Spanon ElectroniC$ and \Val-Mart to the county, and eJCpansion of the co unty' s Airport Industrial Park. rransportation fund grants played an important role i n each of dtese d o v elopments, which have impacted the county in job growth and improved tax base_" says Fluman. A $600,000 road grant helped attract Sparton ElectroniC$ where the 1994 real property aod tangible tax assessment was $2,798,000 which equates to over $63,400 in annual local tllX revenue. A road gxant helped accommodate the location of WalMan's 1.1 million square foot !"lorida distribution center, bringing in 900 jobs Tbe 1994 real property and tangible tllX assessment was$51 ,311,000, equating r o over $984,600 in annuallllx revenues. An ssoo.ooo road grant helped accommodate relocation of industry at the Airport Industrial Park. Since 1988, over 23 companies have located !here, employing over 405 people. Also, grants totaling over $1 million were a vital funding SOUI'ce in achieving the goals of lhe airport's $5 million capital improvement program. The airport's new mast er plan estimates that lhe combined eeonomic impac!S of !he airport and ils industrial pat1c in 1995 will he over $33,000,000, with employment for 713 pcrsoiiS. "Cl early, investment in transportation infrastruc ture has come back to the county in a significant and positive way," says Fluman.

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Transportation & Diversification of Florida' s Economy TRANSPORTATION RICH Broward County When Broward Economic Development ofjicwls go o!lt to "sell" the county, transportation is a key tool in their sales kit. "Our challenge will be the ability to continue to provide excelknt air, sea, and surface transportation . becar.se we sell location, transportation will be key to our success."-James A. Garver, President and CEO. When Broward Economic Development Council ofticiaJ s g o ou t to "sell .. Broward County, tr.msporta tion is a key tool i n their sales kit. "We are centrally located in a tri-county region with three airports, three seaports. and a solid surface t ransportat ion system."' says James A Gaf\'er Presid ent and CEO. "We offer a tri-county population of over 4 million and a labor force of over 2 million. all within an hour's drive a s well as an excellent geographic location to Latin American markets." Add comparatively low wages and real eslate coss. a stl'ong cul t ural community and an attractive quality of life, and you have a w innin g combination. B roward County businesses have access to three international a irportS in ft. Lauderdale-Hollywood, Miami. and Palm Beachand three major seaport, -Pon Everglades. the Port of M iami, and the Port of West Palm Beach. Interstate 95 and th e flor ida Turnpike provide nonh-south highs peed travel, and Interstate 595 offers a critically important east-west corridor connect ing downtown Ft. Lauderdale, its air port, and Port Ever g lades with l-95, the Florida Turnpike, and l -75 t o the west and the Sawgrass Expressway looping t o t h e nonh of Ft. Lauderdale. "Prior t o the construction of 1-595. very few com panies were attracted to the western part of the county because it was StOp and-go tr.tmc aJI the way," notes Garver. ""1 595 has opened up that area t o companies like Northern Telecom, Baxter Healthcare, and federal Mogul, which want an outlying. campus-style setting T h e con nect o r is a l so attractive to compa nie s needing to a ccess the western part of the state. l t has given us more to sell, more options t o offer o u r pros p ects. Over the past five years, more than I 00 companies have relocated, consolidated, expanded. or started new o perations in or near the l-595 c orridor, resulting in the purchase or lease of over three mill i.on square feet of space. and the c reation or r etentio n o f nearly 8,000 jobs for Broward County. A II tha t translates into good news for our econo my and tax b ase," adds Garver. "While w e continue to s eek manufacturing finns we are shov.:ing an increase i n valu e -added service busi ncsses -heaJth care) marine industries. printing and publishing. technology, back office operations-and we are borne to the world' s fastest growing cruise port, Port Everglades. ""l-595 has become a lifeline running throug)l the middle of Broward County. Our c hallenge will he t h e ability t o continue to provide excellent air, sea, and surface transportation-and t hat includes improved rail ser vice and mass transit. Because we sen location, transportation will b e key to our success:

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Transportation & Diversification of Florida's Economy WINNING COMBINATION Sunbeam Corporation Good airport service played a key role in Sunbeam's decision to locate its national headquarters in I't. lAuderdale. "It is absolutely crucial for all of us that we have the abilil)' to catch frequent flights so we don't have to sperzd time planning our meetings arowul limited flight opportunities." David C. Fat min, Executive VP and General Cmmsel. With the majority of its manufacturing and d istrib ution facilities located in the Southeast, it made sense for Sunbeam Corporation (formerly known as Sunbeam-Oster Company, Inc. ) to relocate its headquru:ters operation f(Om Providence, Rhode Island, fol lowing a change in senior management in 1993. "We looked at Atlanta, Charlotte, Orland o Tampa, and other locations," says David C. Fannin, Executive Vice President and General Connsel. "We could have located virtually anywhere we wished, but a combina tion of lifestyle, tax structure, available office space, and good airport service created a winning combina tion for Ft. Lauderdale." Sunbeam Corporation is the kind of company Florida wants to attract. With 1994 sales of $1.2 bil lion, the international finn is a leading designer, man ufacturer, and mar:ket er of consumer products-outdoor grills and furniture, household, health and personal care products, small appliances, animal care products, clocks, and weather instruments. SunbeamOster Intercontinental, Ltd. exported $45 million in goods from the Port of Miami in 1994, and $2 million through the Miami International Airport. Th e company's 55-employee headquarters opera tion brings an attractive per capita income level and corporate commitment to the Ft. Lauderdale area its executives now call home. A i r a key qualifying factor .in our de c j sion t o locate corporat e headquarters here," notes Fannin "Our CEO travels about three days or more a week on a variety of visits to our operations, customers, and prospects," he explains. "It i s absolutely crucial for all of us that we have the ability to catch frequent flights, so we d on' t have to spend time planning our meetings around l imited flight opportunities. We are about ten minutes from the Ft. Lauderdale-Hollywood a irport and about 30 minutes from eith. er Miami Imernat .ional or the airport at West Palm Beach. "Obviously we would not be interested in being here on a long-term basis i f ther e were a major decline in the quality of air service. I think the south Florida area has an excellent opportunity to attract and retain more corporate headquarters types of operations. F or us. air service i s the key.,

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Pul>/isltt>d by: Flo rid a Transportation Commission 605 Suwannee Street MS 9 Tallahassee, Florida 32399-0450 Phone (904) 4 1 4-4 105 Jane M athi s Executive Direct o r F l oridian s for B e tt er Trn n sportatio n Ooe Plaza, Suite 420 St. Petersbutg. Florida 33701 Phone ( 813) 895-5766 Donald R Crane. President