8. freight movement · 8. freight movement accomplishments over the past five years over the last...

MOBILITY 2040 8 - 1 Adopted on December 8, 2014

8. Freight Movement Accomplishments Over the Past Five Years

Over the last several years, regional leaders have worked to ensure that the San Antonio region takes advantage of the considerable economic generators arising from its unique geographic location, world-class infrastructure, bilingual-bicultural workforce, and low cost business climate. San Antonio, known as an inland port, provides a strategic location for distribution, transshipment and international trade processing activities, and has key logistical assets that support the delivery of products to both domestic and international customers. In support of the regional freight vision, the Alamo Area Metropolitan Planning Organization (MPO) has completed a number of tasks to maintain and improve freight infrastructure and operations.

Over the past five years, MPO staff has identified and mapped National Highway System (NHS) Intermodal Facilities and Intermodal Connectors throughout the region. MPO staff hosted a regional Freight Stakeholder’s Workshop in November 2013 and will likely conduct similar workshops every two years. Staff has also been active in the Texas Department of Transportation’s (TxDOT) statewide Freight Advisory Committee as well as participating in TxDOT’s Freight Planning meetings for establishing the MAP-21 required freight performance measures. In addition the MPO utilizes both the Freight Analysis Framework 3 (FAF3) data from the Federal Highway Administration (FHWA) as well as acquired the Transearch Freight data made available through TxDOT’s Transportation Planning and Programming Division (TPP). To further support the planning process, a representative of Union Pacific Railroad has served in the non-governmental, ex-officio position on the Transportation Policy Board (TPB) and a representative of the trucking industry serves on the Technical Advisory Committee (TAC). MPO staff also has ongoing participation with freight providers through the Union Pacific Advisory Committee and the San Antonio Transportation Association.

The movement of goods by truck, rail and air is essential to the economic

strength of an area. Trucks transport between local supply sources (warehouses) to points of consumption (retail stores or homes) and connect elements (seaports, airports, and rail and freight terminals) of the transportation system. To support the truck and rail-based freight analysis the MPO utilized Transearch data and FHWA’s Freight Analysis Framework (FAF3) to provide current and projected flow of domestic and international cargo to, from and through the region. Additionally, TxDOT has undertaken three rail plans in the past several years: a Regional Rail Master Plan, Freight Rail Relocation Study, and Adaptive Rail Reuse (Land Use) Study. The City of San Antonio also continues to implement its adopted Airport Master Plan.


The National Freight Picture

The U.S. freight transportation network moves a staggering volume of goods each year. Over 15 billion tons of goods, worth over $9 trillion, were moved in 1998 according to the FHWA. By 2020, the U.S. transportation system is expected to handle about 23 billion tons of cargo valued at nearly $30 trillion. Freight moves throughout the U.S., according to the FHWA, on 985,000 miles of Federal –aid highways, 141,000 miles of railroads, 11,000 miles of inland waterways and 1.6 million miles of pipelines.

According to the American Trucking Association, trucks move roughly 67% of the nation's freight by weight. In 2011, there was $603.9 billion in gross freight revenues (primary shipments only) from trucking, representing 80.9% of the nation’s freight bill and 9.2 billion tons of freight (primary shipments only) transported by trucks, representing 67.0% of total domestic tonnage shipped.

Table 8.1 are the Bureau of Transportation Statistics estimates based on preliminary data from the 2012 Commodity Flow Survey.

Table 8.1 Shipment Characteristics by Total Modal Activity for the United States: 2012

Mode of transportation

(1)

2012 Ton–miles (2) (millions)

Ton-miles (Percent of Total)

2012 Average miles per shipment

Ton-miles CV

(3)

Standard Error for

Ton-miles (Percent of

Total)

Average miles per shipment

CV All modes 3,319,666 100.0 572 3.9 0.0 1.5

Truck 1,270,507 38.3 212 1.2 1.5 4.2Rail 1,696,694 51.1 901 7.8 2.0 9.5Inland water 163,972 4.9 358 9.8 0.6 9.8Great Lakes 28,478 0.9 522 31.1 0.3 15.0Deep sea 81,693 2.5 1,288 17.3 0.4 6.6Air 5,597 0.2 909 22.4 Z 10.4Pipeline (4) S S S S S SParcel,

U.S.P.S. or courier 20,438 0.6 873 2.0 Z 1.5

Other modes 279 Z 2 27.5 Z 30.3

Source: Bureau of Transportation Statistics


Texas ranks first in trading with Mexico and third in trading with Canada based on value of goods. This includes all modes, but demonstrates the tremendous impact freight is having and will continue to have, based on the amount of truck freight traffic as mentioned previously, on IH 35 through the San Antonio region. Table 8.2 Top 10 States Trading with Canada by All Modes of Transportation

State

January 2012 January 2013 Percent Change January 2012- 2013

Value Rank Value Rank

Michigan 5,786 1 5,676 1 -1.9

Illinois 5,099 2 5,059 2 -0.8

Texas 3,119 4 3,222 3 3.3

Ohio 2,904 5 3,221 4 10.9

California 3,208 3 3,026 5 -5.7

New York 2,603 6 2,915 6 12.0

Washington 1,876 8 1,979 7 5.5

Pennsylvania 1,987 7 1,938 8 -2.5

Indiana 1,439 11 1,609 9 11.8

Minnesota 1,576 9 1,512 10 -4.1

Source: Bureau of Transportation Statistics, TransBorder Freight Data.

Table 8.3 Top 10 States Trading with Mexico by All Modes of Transportation

State

January 2012 January 2013 Percent Change January 2012- 2013

Value Rank Value Rank

Texas 15,604 1 15,887 1 1.8

California 4,975 2 4,748 2 -4.6

Michigan 3,147 3 3,540 3 12.5

Illinois 1,219 4 1,335 4 9.5

Arizona 1,141 5 1,216 5 6.5

Ohio 851 7 1,013 6 19.1

Louisiana 1,050 6 859 7 -18.2

Tennessee 726 8 790 8 8.8

Georgia 513 13 576 9 12.2

Indiana 572 10 572 10 -0.02

Source: Bureau of Transportation Statistics, TransBorder Freight Data.


As described in the aforementioned tables, the North American Free Trade

Agreement (NAFTA) related trade continues to impact the not only the state, but also the Alamo area and will continue to do so, growing at a faster rate than what had been anticipated. NAFTA came into force in 1995 and removed trade barriers between Canada, the United States, and Mexico. Mexico is now Texas’ largest trading partner, making up 35.7% of Texas’ total exports; Canada is second at 9%. From 2011 to 2012, trade with Mexico from Texas increased 8.5% while trade with Canada increased 7.8%. The top commodities being exported to Mexico from Texas, according to the Texas Freight Advisory Committee, are Computer and Electronic Products (23.4%), Petroleum and Coal Products (15.3%), Transportation Equipment (12%) and Chemicals (11.3%). Maintaining and growing trade with Mexico relies on maintaining adequate capacity and increasing efficiency of the Texas transportation network, especially near border crossings. In the Alamo Area, the forecasted growth in freight movement, local population and employment will increase the stress to our entire network system, continuing to reinforce the need for continued multi-modal development. Truck Freight Data National and Statewide Truck Freight Data

Figure 8.1 and 8.2 on the following page depict the national truck traffic network flows through the region. Figure 8.1 shows the 2010 major flows by truck to, from and within Texas. Figure 8.2 shows the projected 2040 major flows by truck to, from and within Texas. It not only establishes Texas’, but also San Antonio’s importance in the trucking freight industry. The map shows Texas’ importance in freight movement throughout the country. Trucks are a critical link in the Texas multimodal freight system. According to the Texas Freight Mobility Plan, annually over $1.6 trillion/1.2 billion tons of freight are moved on Texas highways. In 2011, trucks moved over 46% of all freight moved in Texas. By 2040, it is predicted that truck tonnage will increase by 78% and account for 56% of all freight moved.


Figure 8.1 Average Daily Non-local Freight Truck Traffic on the National

Highway System: 2010

Source: Freight Analysis Framework 3.5

Figure 8.2 Projected Average Daily Non-local Freight Truck Traffic on the

National Highway System: 2040


Local Truck Freight Conditions

Figure 8.3 depicts the amount of freight that comes to and from San Antonio in tons. It demonstrates San Antonio’s importance as it serves as a hub based on its location for cargo traveling to and from important ports of entry such as Houston, Laredo, Corpus Christi and El Paso.


Figure 8.3 Statewide Truck Flow Network To and From the San Antonio Region


San Antonio Region NHS Intermodal Connectors and Facilities

Due to the importance the Alamo Area plays in national freight movement of all

modes, in 2012, MPO staff identified and mapped intermodal terminals for the following categories:

Fuel Terminals Truck/Rail terminals Intercity Rail terminals Commercial Airports Intercity Bus Terminals Public Transit (Park and Rides) Public Transit (Transit Centers)

Once these terminals were identified and mapped, staff used traffic counts and

field observations to identify the intermodal connectors from the terminals to the highway system. This is important for the national infrastructure to support freight movement in the region.


In 2013, with the expansion of the MPO boundary to include all of Bexar, Comal, Guadalupe and a portion of Kendall County, MPO staff re-examined all facilities within the boundary that could potentially be included into the NHS. This examination included ensuring that the NHS includes the following subsystems of roadways:

Interstate: The Eisenhower Interstate System of highways retains its separate identity within the NHS.

Other Principal Arterials: These are highways in rural and urban areas that provide access between an arterial and a major port, airport, public transportation facility, or other intermodal transportation facility.

Strategic Highway Network (STRAHNET): This is a network of highways which are important to the United States' strategic defense policy and which provide defense access, continuity and emergency capabilities for defense purposes.

Major Strategic Highway Network Connectors: These highways provide access between major military installations and highways that are part of the Strategic Highway Network.

Intermodal Connectors: These roadways provide access between major intermodal facilities and the other four subsystems making up the National Highway System.

Similar to the examination conducted in 2012, the following facilities and terminals

were included within the raw data review:

• Commercial Aviation Airports • Ports • Truck/Rail Terminals • Pipelines • Amtrak • Intercity Bus • Public Transit

However, due to changes in criteria based on section 23 of the Code of Federal

Regulations, Part 470, Subpart A, Appendix D, as outlined in MAP-21, none of these facilities or terminals meet the threshold of volume and capacity needed for inclusion in this plan update. As facilities and terminals in the area grow and the thresholds referenced previously are met, the MPO staff will update and submit these areas for inclusion into the NHS based on approval from the Transportation Policy Board, TxDOT and FHWA. This information is reflected in Figure 8.4.


Figure 8.4 Intermodal Connectors in the MPO Region

Freight Stakeholder Meetings

In order to gain more information concerning freight movement throughout the region, in the fall of 2013, the MPO held a Freight Stakeholder Workshop. Truck freight and rail freight were represented from those located in Bexar County, Comal County, Guadalupe County and a portion of Kendall County participated. The workshop was held at the Schertz Civic Center along the heavily congested IH 35 corridor. MPO staff provided a short presentation followed by a question and answer session. Participants were then asked to visit each of the four mapping stations each containing maps of the aforementioned counties. Each station was set up for a specific category of freight related issues. These categories included: Congestion, Safety Issues, Rail Issues, Delivery Issues, Physical Barriers and Conflict Points.

Participants moved from station to station noting their concerns directly on the maps and MPO staff served as scribes annotating each issue. Additionally, an MPO staff member using Google Earth Streetview projected onto a large wall where participants could identify the specific location of a certain issue encountered for better documentation.


Two sessions were held: one in the morning and another in the afternoon. Both were similar in format and content so attendees could participate in the workshop that fit best with their schedule. Both workshops were very well attended with participants from: TxDOT, FHWA, local law enforcement including Bexar County Sherriff’s Department and Schertz Police Department, the Economic Development Corporation of Schertz, Independent school district officials of Schertz, Cibolo and Universal City, local city department officials, trucking companies and distribution centers with employees within logistics, safety, and operations and maintenance of major trucking companies.

The results of the Freight Stakeholder’s Meeting sessions were the notation and

documentation of the following within the MPO boundary:

61 segments and or locations of traffic congestion 23 specific areas identifying safety concerns 8 segments identifying combined safety/congestion concerns 10 locations of rail issues 2 places of delivery issues 23 points of physical barriers 6 areas of conflict points

This input was compiled in a GIS data layer that is available on the MPO’s

website along with the documentation provided to partner agencies concerning their roadways to consider potential improvements that may be developed and implemented. The MPO hopes to use these workshops as a way to continue the dialogue concerning freight related issues within the region and note the transportation solutions that have been implemented.


Figure 8.5 Freight Stakeholder Workshop Results

Rail Freight Data National Rail Freight Data

Trucks move most of the nation’s freight and will continue to do so, but rail freight is critical to the freight transportation system, the competitiveness of many industries, and the economies of most states. In the American Association of State Highway and Transportation Officials (AASHTO) Freight Rail Bottom line report, AASHTO reports the following public benefits of the freight-rail system: Transportation System Capacity and Highway Cost Savings, Economic Development and Productivity, Environmental Health and Safety, International Trade Competitiveness and Emergency Response.

According to the American Railroad Association, America’s freight railroads have

reinvested $550 billion since 1980, including more than $25 billion in both 2012 and 2013. Recent forecasts from the Federal Highway Administration found that total U.S. freight shipments will rise from an estimated 19.7 billion tons in 2012 to 28.5 billion tons in 2040. This is a 45% increase as shown in Figure 8.6.


Figure 8.6 U.S. Freight Forecasts

Source: FHWA Office of Freight Management and Operations, Freight Analysis Framework version 3.5

Texas leads the nation in both Rail Freight Originating and Terminating sites with 18 million rail tons originating and 39.6 million tons terminating.

Figure 8.7 shows the freight rail network in the United States, including routes operated by both the major carriers and smaller railroads. According to the American Association of American Railroads, the Nation’s freight rail networks—with more than 140,810 miles of track—move more than 2.2 billion tons of commodities every year. The seven large Class I railroads accounted for 95,664 miles, about 68% of total mileage. Texas is the largest carrier of the nation’s rail freight accounting for 8% nationally.


Figure 8.7. U.S. Freight Rail Network

Source: Association of American Railroads

Local Rail Freight Data

The basic framework of San Antonio’s rail network was laid out many years ago, with the construction occurring between 1877 and 1912 according to TxDOT. With the deregulation of the railroad industry in 1980, the railroads have endured increasing competitive pressures from other modes of transportation, especially the trucking industry. This competition has impacted railroad infrastructure improvements and expansion projects to the point where they are done very selectively. As a result, the railroads are turning to the movement of higher profit margin products such as containerized freight. It is predicted that the next 25 years will see tremendous demands placed on the rail network due to international trade growth and rising fuel costs. This may lead to more truck to rail modal shifting and thus longer and heavier trains. According to estimates from the American Association of Railroads, railroads move the equivalent of 20.3 million trucks in Texas annually. It is worth noting, that Texas has the single largest rail system in the U.S. and carries 8% of all U.S. rail freight.


By 2040, total rail traffic in the region, excluding through traffic, is expected to increase by 15% for an average of .5% annually. Domestic rail intermodal is expected to more than double by 2040, growing nearly 3% annually. Currently according to TxDOT, there are on average 100 trains a day moving through the MPO region.

Multi-modal Freight Developments

As shown in Figure 8.8 San Antonio is a key highway crossroads and, crossrail location. Within San Antonio, IH 10 runs east to west and stretches from Los Angeles to Florida, which intersects IH 35 running north-south from the border in Laredo to Canada. The rail system also boasts both east-west and north-south rails. Because of its location at this national intersection, San Antonio serves as a vital connection point joining California coastal ports, the 600 Mexican maquiladoras dotting the border, the many Texas cities within 250 miles of San Antonio, and a long list of U.S. East Coast, Midwest, and Southeastern metropolitan areas.

Figure 8.8 San Antonio Rail Network (Source: TxDOT San Antonio Region Freight Study)


Until 2008, the two north-south and east-west rail systems were not accessible from a single intermodal facility. Instead, Union Pacific Railroad (UPRR) operated its intermodal services out of two inner-city yards, requiring 80,000 semi-trucks to pick up or drop off containers each year. Trains often had to bypass San Antonio and deliver containers to Houston; trucks then transported those shipments back to the San Antonio area. In 2008, the Alamo Area began seeing more sustainable transportation improvement projects occur. These would lead to improved safety, better fuel economy by multi-modal opportunities and reduced emissions from truck freight. In 2009, Union Pacific Railroad opened an intermodal rail terminal in southwest Bexar County. This facility transfers freight between rail cars and trucks. UP’s state-of-the-art San Antonio Intermodal Terminal helped the multi-modal aspect of freight making it accessible to both north-south and east-west rails, as well as IH 35 and IH 410. The 350-acre facility offers three ramp tracks, seven support tracks, and two receiving/departing tracks, and is capable of processing about 250,000 containers per year.

This intermodal terminal created a distribution point for both inbound and outbound freight to a large part of the country that previously had limited truck-competitive rail product service. The move attracted customers that had never used rail before. This multi-modal option helps alleviate some of the truck freight congestion by encouraging coordination between freight modes while enhancing the efficiency of goods movement. All of these transportation improvements have encouraged economic development for the San Antonio region.

Future Multi-modal Freight Growth

Airports, railroad lines and the area’s highway system serve as the primary conduit for movement of goods throughout the region. The San Antonio International Airport offers state-of-the art cargo facilities. Port San Antonio is a master-planned, aerospace, industrial complex and international logistics platform created from the former Kelly Air Force Base. It is centered halfway between the East and West coasts and at the center of the NAFTA Corridor between Mexico and Canada. The port also enjoys designation as a Foreign Trade Zone. Port San Antonio includes an airport, accessibility by the rail roads of Union Pacific and Burlington Northern Santa Fe Railroads, and three interstate highways, IH 35, IH 10 and IH 37. According to the Port, markets of more than 90 million people are within two days drive, and five major seaports are accessible within a three day drive: the Ports of Houston, Corpus Christi, Manzanillo, Lazaro Cardenas and Veracruz.

San Antonio exported $6.7 billion in goods and services in 2010, making it one of the least export-intensive metro areas in the country (ranked 79th out of the top 100 metropolitan areas). Nearly a quarter of San Antonio’s exports came in the transportation equipment sector, followed by travel and tourism (12%) and business

services (11%). Its role in transportation equipment manufacturing has increased after


Toyota chose to locate a pickup truck manufacturing facility in San Antonio in 2003, and it sits squarely in the Texas-Mexico Automotive SuperCluster. Boeing has also concentrated jobs in the region by deciding to partly produce its 787 Dreamliner there and move its aircraft maintenance, modification, and support work from Wichita to San Antonio. While it has a low export base, the region has experienced the seventh-fastest export growth of any U.S. metropolitan area post-recession, partly because manufacturing employment rose 6% over the past two years.

One industry having a dramatic impact on San Antonio's economy is oil and gas. Eagle Ford Shale is a fracking project extracting natural gas from shale in southwest Texas, in a massive area stretching from Dallas-Ft. Worth to Mexico. San Antonio is the closest metro area to the project, and, as a result, has become the desired location for all of the corporate, professional, and distribution activities related to it.

These activities and manufacturing plants have increased the overall level of freight logistics and distribution related activities. Over the long term, the region will need to not only try to maintain, but also improve its freight infrastructure due to this increased freight traffic. Local Domestic Air Freight

In 2013 and 2014, total air cargo freight carried into or out of the San Antonio International Airport was around 115,000,000 lbs., each year. According to the City of San Antonio, the San Antonio International Airport cargo traffic is expected to increase by 35% by the year 2040. TxDOT’s Statewide Freight Efforts

In early 2013, TxDOT held their Freight Planning, Freight Advisory Committee

kick-off meeting at Port San Antonio. At this meeting stakeholders discussed the drivers of freight demand in Texas including but not limited to: population growth, economic growth, the energy sector and Texas as a Global Gateway. Current State Freight Performance Measurement Efforts

TxDOT, has been reviewing data to set targets for each of the likely national performance measures. TxDOT is well positioned to support upcoming federal performance measure requirements. Currently the agency is collecting data and reporting results for anticipated measures which include Annual Hours of Truck Delay and the Truck Reliability Index. The target-setting component will require input and collaboration with MPO’s and other freight partners.


Developing freight performance measures for Texas’s multimodal transportation system will be closely integrated with establishing goals and objectives for the Texas Freight Mobility Plan and the state long range plan update. While neither of these strategic frameworks are currently in place at the time of publication, both will likely build from the goals identified in TxDOT’s existing Long Range Transportation Plan, the Strategic Plan and the Texas Freight Planning Technical Report. As shown in Table 8.4, common goal areas in these documents generally align with the national goal areas in MAP-21.

Table 8.4 MAP-21 and TxDOT Freight Performance Measure Areas/Categories

MAP-21 Goal Areas and TxDOT General Goal Categories

MAP-21 Goal Areas TxDOT Goal Category

Safety Safety

Infrastructure Condition Preservation

Congestion Reduction System Performance

System Reliability System Performance

Freight Movement and Economic Vitality Economic Development/Connectivity

Environmental Sustainability Environment

Reduce Project Delivery Delays Operations

As noted by TxDOT, the Texas Freight Advisory Committee (TxFAC), of which

the MPO is a member, plays an important role in supporting the development of freight performance measures for the Texas Freight Mobility Plan. The Texas Freight Mobility Plan will be the first comprehensive and multimodal Freight Mobility Plan TxDOT has published. According to TxDOT, the Plan will:

Enhance freight mobility and improve the state’s economic competitiveness by providing efficient, reliable and safe freight transportation while maintaining the quality of life in the state’s communities

Define policies and investments that will enhance Texas’ freight transportation system into the future

Establish a framework for Texas’ comprehensive freight planning program and decision making

The Texas Freight Mobility Plan is on schedule to be completed by December 2014. The MPO looks forward to working with the state in establishing and pursuing the Freight performance measurement goals.

8. freight movement · 8. freight movement accomplishments over the past five years over the last...

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