P.M. Executive Briefing - Feb. 3

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This Afternoon's Headlines:

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  • Pike Officials to Accelerate Toll Increases
  • Freightliner to Demo Urea Injection System
  • Importers Renew Campaign for Customs Automation
  • OTR Express Blames Fuel Prices for Loss
  • Load of Stolen Race Tires Found at Interstate Exit
  • 330 Pounds of Cocaine Found in Rig
  • Legislator Seeks Review of I-45 Safety

    Pike Officials to Accelerate Toll Increases

    The tolls on the eastern part of the Massachusetts Turnpike that were scheduled to go up at the beginning of 2002 will now rise Jan. 1, 2001, and harbor tunnel tolls will increase as well – $1 per axle for commercial vehicles. The money is needed due to the rising price of the Central Artery/Tunnel ("Big Dig") project in Boston; project officials said there will also be other toll rises, perhaps including higher peak-hour levies.

    Higher toll revenue will let the turnpike authority cover yearly deficits by floating bonds. News was circulating Wednesday that the cost of the project was going up by $1.4 billion. It is raising questions about the future of Gov. Paul Cellucci's plan to cut income taxes, as well as a November ballot question that would let motorists deduct tolls and excise tax payments from income taxes.



    A Cellucci spokesman said state finances and the income-tax cut plan would not be changed, but state Senate President Thomas F. Birmingham said Cellucci needs to address the new budgetary picture and say whether Massachusetts can afford the tax cut and deduction referendum.

    Massachusetts Taxpayers Foundation President Michael Widmer said the important thing right now is whether the turnpike authority's financing plans can make up for the cost overrun. It might have to turn to such assets as air rights and real estate development, he said.

    State Sen. Robert Havern believes the turnpike will not be able to cover the overrun and said the governor will have to develop a plan to cover it, definitely including "some contribution from state sources." Boston Globe (02/03/00) P. A1; Phillips, Frank; Palmer Jr., Thomas C.


    Freightliner to Demo Urea Injection System

    Freightliner, Detroit Diesel, and Siemens have teamed up to test a system employing liquid urea to cut nitrogen oxides emissions up to 75% with no reduction in fuel economy.

    The non-flammable, non-toxic, and non-hazardous aqueous urea is injected into a catalyst in which a significant amount of NOx becomes nitrogen and water vapor via a chemical reaction.

    The Selective Catalytic Reduction system, SINOx, was created by Siemens-Westinghouse and will be tested on eight Argosy Class 8 cabovers owned and operated by Valley Material Transportation, a California flatbed carrier. The urea is held in a 30-gallon tank on the truck, and would have to be refilled, so a national infrastructure of filling stations would have to be created to make the system viable.

    Expected to last three years or 500,000 miles, the demonstration is being funded in part by California clean air agencies and should start in late spring. According to Freightliner, production versions of the system will probably cost around $2,500. TruckingInfo.com (02/03/00)


    Importers Renew Campaign for Customs Automation

    Importers are gearing up to fight for congressional funding of the new Automated Commercial Environment import-clearance system after last week's announcement that the Customs Service is suspending its successful prototype and development of the final version due to lack of funds. Both the agency and officials in the industry say the older, obsolete Automated Commercial System needs replacement.

    Customs Commissioner Raymond W. Kelly said without congressional backing there is no sense in taking money from other Customs programs to fund ACE. Coalition for Customs Automation Funding Chairwoman Robin Lanier this week asked her organization's roughly 200 company members to write to House Ways and Means Committee and Senate Finance Committee members for ACE funding. She said Kelly's suspension of the system is an attempt "to leverage Congress ... into funding the program."

    The Clinton Administration proposed new importers' fees to pay for ACE; importers say the fees they already pay should go toward ACE. Some are also thinking of backing two-year Merchandise Processing Fee extension to fund Customs automation, and the Joint Industry Group is canvassing its members to see if there is support for such a plan. Journal of Commerce Online (02/03/00) ; Lucentini, Jack


    OTR Express Blames Fuel Prices for Loss

    OTR Express said it expects to show net losses for the fourth quarter and the current quarter due to skyrocketing fuel prices, although it expects to report fourth-quarter revenues of $20.7 million, up 8% from the year-earlier quarter. A September driver pay hike and a severance package for the previous CEO also reportedly hurt the fourth-quarter results. The company expects to report full-year revenue up 11.3% to $80.5 million. TruckingInfo.com (02/03/00)


    Load of Stolen Race Tires Found at Interstate Exit

    Officials said a stolen Cannon Express trailer containing $500,000 in slick racing tires was recovered at the S&S Food Center on Interstate 75 after a food-center employee saw news reports regarding the crime. The locks on the trailer doors were broken off, but the tires, which are unsuitable for use on vehicles other than the racing vehicles they were designed for, were all there. Orlando Sentinel (02/03/00) P. D3


    330 Pounds of Cocaine Found in Rig

    Louisiana State Police arrested a pair of Jacksonville, Fla., men after $3.3 million worth of cocaine was found in the sleeper compartment of their 1992 Kenworth truck during a routine inspection at an Interstate 12 weigh station. The truck is owned by Jacksonville-based A-B Transport.

    The roughly 330 pounds of cocaine was found in luggage after troopers were given permission to search the sleeper compartment. Driver Alex Potts, 52, and David Turner, 63, were being held in an Amite jail, awaiting a bond hearing on charges of possession with intent to distribute cocaine and conspiracy to possess and distribute cocaine. New Orleans Times-Picayune (02/03/00) P. B8


    Legislator Seeks Review of I-45 Safety

    Texas state Rep. Tommy Williams (R-The Woodlands) has requested a review of safety procedures and Interstate 45 traffic flow be conducted by the Texas Department of Transportation. Williams has also asked for heavy trucks to be diverted from a construction zone near the Spring-Stuebner overpass on I-45, and he asked for added signs and warning lights north and south of FM 2920. He wants the department to look into dropping the speed limit to 45 mph from 55 mph and increasing traffic enforcement in construction zones.

    Safety concerns were aroused after five motorists died in two accidents on I-45 in less than a year. The Monday crash saw a semi go into oncoming traffic and hit a pickup and flatbed; in the March wreck, a small tanker crossed a retaining wall and hit two oncoming cars before catching fire. In addition, the traffic jams caused by the accidents adds to the air pollution, which could jeopardize federal highway funding that is partially dependent upon air quality, said Williams. Houston Chronicle Online (02/02/00); Urban, Jerry

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