8/9/2019 Klewin Statement 082410

1/4

STATEMENTOFCALKLEWIN

EXECUTIVEDIRECTOR,THEODOREROOSEVELTEXPRESSWAYASSOCIATION

BEFORE

COMMITTEEONBUDGET

UNITEDSTATES

SENATE

HEARINGON

TRANSPORTATIONINFRASTRUCTUREROLEINECONOMICDEVELOPMENT:U.S.12ANDU.S.85

AUGUST24,2010,1:00p.m.

BOWMAN,NORTHDAKOTA

IamCalKlewin,ExecutiveDirectoroftheTheodoreRooseveltExpresswayAssociation,thenorthernlegofthe

PortstoPlainsAlliance,which stretches throughAmericas ruralheartland connectingNorthDakotawitha

commonnorth

south

corridor

reaching

domestically

across

nine

states

from

Texas

to

Montana

and

internationallytomarketsinCanadaandMexico.

Senator Conrad, thank you for coming to southwestern North Dakota to address transportation

infrastructuresroleineconomicdevelopmentinruralAmerica,withafocusonHighways12and85. Youhave

beenachampionoftransportationinvestmentinNorthDakotaandruralAmerica,andweareverygratefulto

youforyoursupportovertheyears.

Asafe,soundandefficienttransportationsystemisthefoundationofavibrantruraleconomy. Withefficient

transportation,thecostsofinputstoagricultureandthecostoflivingforinhabitantsofruralareasdecreases,

thenetpricetoproducersandmanufacturersincreases,marketaccessandcompetitivenessincreases,andjob

opportunitiesareincreased. Successfulbusinessesandproducerscontributetothequalityoflifeandincrease

opportunitiesforruralresidents.

NowhereistheneedforanefficienttransportationsystemmoreevidentthaninsouthwesternNorthDakota,

whereourprimaryeastwestcorridor,U.S.Highway12,andourprimarynorthsouthcorridor,U.S.Highway

85,arebothundersignificantstressthatthreatenstostifleregionaleconomicgrowth.

U.S.12wasrecognized in theearlyyearsoftheautomobiletohave thepotentialtomovepeople from the

state ofWashington toMassachusetts. This northern tier systemwas promoted by the Yellowstone Trail

Association toprovideaccess toYellowstonePark,agrowing touristdestination. In thosedays,a twolane

ruralroad

was

adequate.

Today,U.S.12stillmovespeopletoYellowstonePark. Buttheregionseconomy isgrowingandmuchmore

diversified,and a twolane rural road isno longer adequate. As you know,Mr.Chairman,NorthDakota

includingthesouthwesternareaisanexportingregion. Weproducemoreenergyandcommoditiesthanwe

consume. Wemusthavemodern,safe,andefficientroadstomovethesecommoditiestotheU.S.andworld

marketswhileaccommodatingvisitingtouristsandlocaltraffic.

8/9/2019 Klewin Statement 082410

2/4

2

Ourregionhelpsto feedAmerica. Theagricultural industry,withthediversityofwheat,barley,pulsecrops

and livestock,has led the regionaleconomy. It reliesheavilyon trucks thatuseHighways12and85. For

example:

ThelivestockandgrainindustryinthisregionfromBillings,Montana,toAberdeenSouthDakotarelyonU.S.12forthedeliveryofproduct,travelingto,from,andthruNorthDakotaonU.S.12.

U.S.12providesservicetograinterminalsbytruck.Ninetyfivepercentofthetrucksarelargesemishaulingupto900bushelsofgraintoBowmanandScranton.Scranton,thesecondlargestterminalto

Gladstone located on Interstate 94, handled in excess of 10 million bushels of grain. These grain

terminalsloadrailroadunittrainsforshipmenttoMinneapolisandthewestcoast.

Freightmovementsofgraintomarkets inBillings,MontanaandMinneapolis,Minnesota,moveonaportionofU.S. 12and then link to the Interstate System terminatingat exporting terminals, these

shipmentsarebylargetruckhauling105,00poundsofgraincommodity.

OurregionalsohelpstopowerAmerica. Theoilandgasindustryalsoplacessignificantdemandsonthelocal

highwaysystem,

including

Highways

12

and

85.

BowmanCountywasuntilrecentlythe#1oilandgasproducingcountyintheStateofNorthDakota,withnewdevelopment intheBakkenplay innorthwesternNorthDakota. Theproductionofoiland

gasfromtheCedarHills,Marmarth,BadlandsandLittleBeaverfields inBowmanCountyisservedby

U.S.12withitsconnectivitytothecountyandtownshiproadsthataccessthesefields.

Deliveryofoiland gasproductionoftenmovesby truckwhenpipe linesare inadequateormarketconditionsareofaprofitablenaturetomoveproductnorthsouthalongU.S.85andeastwestalong

U.S. 12 to pipelines inGuernsey,Wyoming,or to thenorthmovingonU.S. 12 thenonU.S. 85 to

EnbridgeinWilliamsCounty,NorthDakota,tobedeliveredtorefineries.

TheexplorationandproductionofoilandgasinwesternNorthDakotacontinuestoincreaseatrecordlevels,whichwillincreasethedemandsofsurfacetransportationinthisregion.

Eachnewoilwell requires1,250truckswith tenwheelsormore fromthebeginningoftheprocessuntilthewellisputintoproduction. Withover100drillingsiteoperationsinNorthDakotaalone,that

putsalmost125,000 largeandoftenoversized trucksonour rural two lanehighwaysonamonthly

basis. And this does not count the increased traffic associatedwith servicing thewells already in

productionorhaulingoiltopipelinelocations.

And

the

coal

industry

relies

on

the

surface

transportation

system

as

well

and

is

placing

significant

demands

on

Highways12and85.

SurfacetransportationalongtheeasternportionofU.S.12 inBowmanCountyservesthe lignitecoalindustrywithhugedepositsavailable forenergydevelopmentastechnology forcleancoalbecomes

available.

AmericanColloid locatedalongU.S.12atGascoyne,NorthDakotaalso shipsby truckmanyof theproductssuchasdrillingmud,componentproductsforuseasfertilizersfromtheplant locatedalong

8/9/2019 Klewin Statement 082410

3/4

3

theU.S.12 route. An industrial rail loopalso locatedalongU.S.12 receivesandpipe,andsupport

equipment for various pipe line projects developing in the region, is shipped by rail to the site at

Gascoyne, then disbursed to the construction site by truck, byway ofU.S.12 to other connecting

routes.

Localdistributingisalsoauser.

ColoradoTubular/AztecPipeislocatedjustoffofU.S.Highway12westofBowman.ThepipeinventoryisshippedintoBowmanfromdistributionyardslocatedinTexas,Oklahoma,Wyoming,andNebraska.

CTAPreceived135truckloadsofpipe,rod,andtubingduringthemonthofJuly,2010,attheBowman

Yard.TheroutetoBowmanwasU.S.85and12inNorthDakota,andkeepinmindthesetruckshaveto

returntotheirplaceoforigin,mostlikelyusingthesesameroutes.

In July2010CTAPmoved97 shipmentsofpipe in theWillistonBasin to locations south,west,andnorthusingbothU.S.12and85.

WindenergydevelopmentisanothertruckintensiveindustryimpactingHighways12and85.

WindenergydevelopmenthasexpandedintowesternBowmanCounty,with19.5megawattsofwindenergyatCedarHill.

Developed byMontana Dakota Utilities, another proposed wind project, Diamond Willow, will belocatedineasternMontanaandwillbeservedbyU.S.Highway12.

Ittakesapproximatelyeightoversized trucksper tower tohaul themajorcomponentsofeachwindtower, not including the rebar, concrete, roadmaterials,water, crane, and electrical components.

NorthDakotasgrowth,duetoitswindpotential,willleadtoeverincreasingtransportationstressfor

platforms,substations,andtransmissionsystems.

NorthDakota iscurrently#10 inWindEnergydevelopmentandhas topotential tobe the#1windenergy state in the Nation. This potential development will put additional stress on an already

antiquatedandstressedhighwaysystem.

Andfinally,tourismintheareacontinuestogrow. TwopopularnationalattractionsMountRushmoretothe

south and Theodore Roosevelt National Park to the northare both located on the Theodore Roosevelt

ExpresswayandconnectedtotheeastandwestbyU.S.12.

Unfortunately,U.S.12and85arenarrowtwolanehighwaysandwereneverdesignedfortheseloadsandthis

kindof traffic. Theyare simplynotadequate tocarry theexisting traffic,alongwith truckscarrying freight

throughthe

region,

trucks

carrying

food

to

our

major

cities,

vehicles

carrying

tourists,

and

vehicles

carrying

our

citizenstotheirjobs,healthcare,andschools. Itisthismixoftypesofvehiclesandpatternsofmovementthat

increasesouraccidentratessosignificantly.

Ifour economy is to continue to grow, these inadequate roadsmustbeupgraded to amodern, fourlane

highwayscapableofsafelyservinglocal,regionalandnationalneeds. Thenewfederaltransportationbillmust

providethepoliciesandresourcestomakethisareality,notonlyinthisregionbutinotherruralareasacross

8/9/2019 Klewin Statement 082410

4/4

4

Americaaswell.ThesanctityandintegrityoftheFederalHighwayTrustFundbepreservedandtheTrustFund

musthaveadequateresourcestomeettheneedsofruralareasaswellaslargemetropolitanareas.

Itisalsoimperativethatthetransportationbill,aswellasanyclimatechangelegislationCongressmightenact,

recognizethatruralareasaredifferentthanmajormetropolitanareasandthatadditionalhighwaycapacityin

ruralAmericaiscriticaliftheseareasaretobeapartofthenationalandglobaleconomies.

Thisconcludesmytestimony;Ithankyouforthisopportunitytotestify. WorkingtogetherasNorthDakotans

and Americans we can hopefully improve the surface transportation in this region and North Dakota to

competeeconomicallyinachangingworldeconomy.

ThankYou

CalKlewin,ExecutiveDirector

TheodoreRooseveltExpresswayAssociation