1. Tennessee Department of Transportation Commissioner Gerald Nicely The Tennessee-Tombigbee Waterway December 14, 2009

2. The Mission is to realize the economic development potential of the Tennessee-Tombigbee Waterway to its four-state impacted region and the nation. These benefits include industrial development, commerce and trade, recreation and tourism, and small business development.

3. Our Role within Economic Development Serve as information resource for inland navigation Assist in developing site information Transportation quotes Assist with new and expanding industries Advocate – Chickamauga and KY Locks Promotional materials – presentations, written, website, etc.

5. The Tennessee-Tombigbee Waterway Surface Corridor

8. Advantages and Value to the State of Tennessee Modal Comparisons – One barge = 70 trucks = 16 rail cars. – 63 million tons shipped from/thru/to the State of Tennessee in 2008 = 2,520,000 trucks. – Emissions are 20% to 66% lower for barges. – A barge can move one ton of cargo 576 miles on one gallon of fuel. A truck can move the same ton only 155 miles on one gallon. Navigation – 1,062 miles of navigable waterways linking to 21 States with global access through New Orleans and Mobile. – Approximately 63 million tons shipped via TN River (excluding AL portion) and Cumberland Rivers annually. Hydropower – Six Cumberland Dams producing power valued at $97 M/ year. – Numerous TVA Dams on TN River. Flood Control/ Supply – Damage Savings of $41 M /year. – Cumberland – 66 intakes – 1.3 T g/y.

9. Tennessee River Traffic Source: Dager, Chris; Tennessee Valley Authority; WCSC2008P CATEGORYSHIP TONSRECEIVE TONSTOTAL TONSVALUE/TONTOTAL VALUE AGGREGATES 2,176,4122,614,9074,791,319$12$57,495,828 ALL OTHER 142,0161,525,0971,667,113$400$666,845,200 CHEMICALS 72,497338,888411,385$300$123,415,500 COAL & COKE 43,61314,987,26915,030,882$75$1,127,316,150 GRAINS 361,78113,875375,656$165$61,983,240 IRON & STEEL 697,513262,636960,149$550$528,081,950 ORES & MINERALS 129,395695,616825,011$125$103,126,375 PETROLEUM FUELS 361,96757,490419,457$525$220,214,925 24,480,972$2,888,479,168

10. Cumberland River Traffic Source: Dager, Chris; Tennessee Valley Authority; WCSC2008P I-24 Corridor Example: Cheatham and Old Hickory Locks; ~12 Million Tons = 480,000 truck loads. CATEGORYSHIP TONSRECEIVE TONSTOTAL TONSVALUE / TONTOTAL VALUE AGGREGATES 77,3883,484,5783,561,966$11$39,181,626 ALL OTHER 7,481945,376952,857$385$366,849,945 CHEMICALS 22,929177,115200,044$350$70,015,400 COAL & COKE 011,902,977 $85$1,011,753,045 GRAINS 301,1360 $180$54,204,480 IRON & STEEL 405,989256,551662,540$550$364,397,000 ORES & MINERALS 101,134181,617282,751$150$42,412,650 PETROLEUM FUELS 69,55627,36096,916$525$50,880,900 17,961,187$1,999,695,046

11. Mississippi River Traffic CATEGORYSHIP TONSRECEIVE TONSTOTAL TONSVALUE / TONTOTAL VALUE AGGREGATES 125,6991,082,3111,208,010$12$14,496,120 ALL OTHER 656,0101,169,2761,825,286$400$730,114,400 CHEMICALS 82,237960,3171,042,554$300$312,766,200 COAL & COKE 2,177,8542,792,1084,969,962$75$372,747,150 GRAINS 2,661,380712,9463,374,326$165$556,763,790 IRON & STEEL 334,4382,548,9532,883,391$550$1,585,865,050 ORES & MINERALS 6,070107,824113,894$125$14,236,750 PETROLEUM FUELS 3,155,7102,088,0565,243,766$525$2,752,977,150 20,661,189$6,339,966,610 Source: Dager, Chris; Tennessee Valley Authority; WCSC2008P

12. Tenn-Tom Through Traffic Source: Dager, Chris; Tennessee Valley Authority; WCSC2008P CATEGORYTOTAL TONSVALUE / TONTOTAL VALUE AGGREGATES 231,101$15$3,466,515 ALL OTHER 755,939$400$302,375,600 CHEMICALS 55,415$300$16,624,500 COAL & COKE 893,508$85$75,948,180 GRAINS 54,864$165$9,052,560 IRON & STEEL 384,237$550$211,330,350 ORES & MINERALS 103,159$125$12,894,875 PETROLEUM FUELS 1,726$525$906,150 2,479,949$632,598,730

13. Advantages and Future Opportunities Reduces roadway and bridge maintenance/repair costs. Lowers freight rates for States shippers, farmers, and manufacturers. Relieves congestion on our highways. Improves public safety. Ensures continued funding for multiple-use of the waterways (recreation, hydro, etc.)

14. Advantages and Future Opportunities Our waterways are vital to national initiatives relative to freight capacity, fuel-efficiency, environment, and safety. With increasing transportation needs and changing transportation patterns, the waterways will continue to grow in their importance. Our Waterways and Ports should play pivotal roles with respect to economic development.

15. Thank you for your time and the Opportunity. The Tennessee-Tombigbee Waterway Development Authority Mike Tagert Office: 888-TENN-TOM mtagert@tenntom.org