P.M. Executive Briefing - Feb. 4
This Afternoon's Headlines:
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States Bypass Rules, Costs, Delays With Toll Roads
More and more states, localities, and private firms are using tolls to finance road construction, both because they allow public-private partnerships for high-cost projects and because they enable road builders to circumvent federal rules and regulations long used by activists to slow or halt road construction. After selling bonds to finance toll road construction, states repay bondholders with toll revenue.Some experts say that federal gas tax funds can barely cover upkeep on current highways, so tolls are necessary to build new ones. Sierra Club lawyer Lesley Blackner says Florida is building Suncoast Parkway through rural Citrus County from the Tampa airport with tolls because the Federal Highway Administration recommended against the road, saying environmentally sensitive regions were along its route.
Because the state of Washington could not afford a new bridge over Puget Sound between Tacoma and Gig Harbor, it hired a private contractor, which will foot the bill and charge a toll of $3 for a round trip.
Some places, like California and Illinois, are rethinking the merits of private toll roads. People in San Diego are protesting a private toll road along the eastern edge of the city, and Illinois Gov. George Ryan has the state toll road authority rethinking the cost and benefits of toll roads entirely, owing to the frustration of the governor and the public. USA Today (02/04/00) P. 4A; Howlett, Debbie
Police on the Lookout for Scofflaw Truckers
To address residents' concerns about danger posed by large commercial trucks, Austin, Texas, police are cracking down on trucks on Interstate 35 and MoPac Boulevard (Loop 1) this month.The department is using its single-engine plane to spot speeders and reckless drivers from the air. The police plane helped catch 31 large trucks in two hours Wednesday. Sgt. Bill Horn said the truck drivers were running at more than 90 mph. He added that most carriers follow the laws and their truckers do not cause accidents.
The aim of the crackdown is to catch the overloaded trucks with equipment problems, or drivers who are aggressive or impaired by drugs or alcohol, he said. Mayor Kirk Watson also declared Truck Safety Month on Thursday. Austin American-Statesman Online (02/04/00); Stanley, Dick
Intermodal Company Plans to Get Foothold in Truckload
Drayage company ESCO Transportation says it plans to acquire intermodal and short-haul truckload companies over the next five years to consolidate and create service and cost efficiencies. It began Jan. 20 by buying Quantum Transportation, which serves the Twin Cities area in Minnesota as well as Modesto and Stockton in northern California. Former Quantum Transportation President Kevin Dahlke will be terminal manager for both the Minnesota and California facilities.ESCO won a contract from Union Pacific Carrier Services to run an intermodal ramp facility in Fort Smith, Ark. ESCO also has drayage operations in Dallas; Houston; Los Angeles; Memphis; Gulfport, Miss.; and Springdale, Ark. TruckingInfo.com (02/04/00)
S&P Revises North American Van Lines Inc. Outlook
Standard & Poor's Friday gave North American Van Lines a stable outlook, revising its outlook from negative, and affirmed outstanding ratings on North American. S&P said the outlook was changed because recent trends in performance and operations meet expectations and because of a $40 million cash equity contribution for repaying some debts.North American is on track to realize lower costs from its existing plan for cost reduction as well as synergy with Allied and Pickfords, according to preliminary indications, S&P said. North American has a B+ corporate credit rating, B- subordinated debt, and B+ bank loan rating. Reuters (02/04/00)
Schippers Admits to Violations
Robert J. Schippers, who was owner and operator of the defunct Easton, Pa.-based trucking company Schippers Services, pleaded guilty Thursday to federal hazmat handling violations. Similar charges are faced by the company's chief mechanic, Ronald Padula.Hazardous liquids used in truck washing, including kerosene and diesel, were flushed into the sewer from a tank under the wash bay.
The trucks' cargo tanks were also not inspected yearly for leaks, which is required by law, from at least 1984 to 1996, federal prosecutor Alicia Strohl Resnicoff alleged. She also said the inspection stickers on the sides of the cargo tanks had been changed by Schippers and Padula, or they had ordered others to do it, to show the tanks had been inspected. The men could face up to 228 years in prison and more than $11 million in fines. Morning Call (Allentown, Pa.) Online (02/04/00); Grossman, Elliot
Kenan Revenues Up in 1999
Kenan Transport says new customers and high demand at the end of 1999 drove fourth-quarter revenues to almost $38.3 million, compared to the year-earlier figure of $33.4 million. Full-year net income fell to almost $4.7 million from $5.2 million in 1998, as revenues rose to almost $141.6 million from $130.1 million. Higher pay and benefits for drivers as well as rising fuel prices raised operating costs; Kenan responded by raising some prices and imposing fuel surcharges. TruckingInfo.com (02/04/00)© copyright 2000 INFORMATION, INC. Terms of Service
