1. The Hazardous Materials Safety and Security Technology Operational Test Joseph P. DeLorenzo Midwest Service Center Hazardous Materials Specialist ITS America May 4, 2005 Identifying Improvements in Safety, Security and Efficiency

2. 2 Presentation Outline 1. Research Overview 2. Deployment Technology & performance Technology & performance 3. Evaluation Benefit-cost analysis using wireless communication with GPS as example Benefit-cost analysis using wireless communication with GPS as example 4. Conclusions

3. 3 Project Goals Demonstrate an approach that uses existing technology to improve the safety and security of HazMat Demonstrate an approach that uses existing technology to improve the safety and security of HazMat Quantify the benefits and costs of this approach Quantify the benefits and costs of this approach

4. 4 Research Questions The study quantitatively verified many assumptions about technology & security The study quantitatively verified many assumptions about technology & security Wireless communication w/ GPS is the base for all impact areas Wireless communication w/ GPS is the base for all impact areas Efficiency drives private deployment Efficiency drives private deployment Benefit-cost ratios vary based on load type (Low end is LTL, High end is explosives) Benefit-cost ratios vary based on load type (Low end is LTL, High end is explosives) Technology is most effective at reducing theft Technology is most effective at reducing theft Technology is not a complete solution Technology is not a complete solution

5. 5 Test Design PICKUP Driver identification Cargo verification Cargo tampering Remote lock/unlock EN ROUTE Driver identification Cargo location tracking Cargo route adherence Untethered trailer tracking Cargo tampering alert Remote lock/unlock Real-time alerts to dispatch Real-time alerts from dispatch to enforcement Remote vehicle disabling DELIVERY Driver identification Cargo verification  Remote lock/unlock PUBLIC SECTOR Driver verification and identification (enforcement) Cargo route adherence (dispatch and enforcement) Real-time alerts from dispatch to enforcement and emergency response

6. 6 Research Approach Considered Safety, Security and Efficiency benefits Considered Safety, Security and Efficiency benefits Utilized an Expert Panel & Delphi Process for security benefits Utilized an Expert Panel & Delphi Process for security benefits Co-chaired by TSA and SAIC Co-chaired by TSA and SAIC Includes representatives from major associations and other security/counter terrorism experts. Includes representatives from major associations and other security/counter terrorism experts. Provided input into staged and controlled tests Provided input into staged and controlled tests Providing input into Delphi process Providing input into Delphi process Reviewed and commented on final analysis Reviewed and commented on final analysis

7. 7 Technologies Tested Served as the base technology Served as the base technology Both Satellite and Terrestrial Communications with GPS Both Satellite and Terrestrial Communications with GPS Digital Cellular phone Digital Cellular phone Wireless – Mobile Communications Terrestrial (Cellular) Satellite Bulk FuelBulk Chemical LTL – Pick up & deliveryLTL High Hazard Truckload Explosives

8. 8 Technologies Tested AVL (GPS) AVL (GPS) Geofencing, Off-route alerts Geofencing, Off-route alerts Tethered trailer tracking Tethered trailer tracking Untethered trailer tracking Untethered trailer tracking Vehicle and Trailer Tracking RESULTS/LESSONS LEARNED 1.Functioned as expected 2.Geofencing had high level of interest but there are resolution issues 3.Trailer tracking has high level of interest (additional FMCSA testing)

9. 9 Additional Technologies Good Performance Good Performance Panic buttons Panic buttons Remote vehicle disabling Remote vehicle disabling Remote locking & unlocking Remote locking & unlocking Global Login Global Login Need further development Need further development Biometric (fingerprint)/ESCM Biometric (fingerprint)/ESCM E-Seals E-Seals

10. 10 Technologies Tested Automated Public Sector Response Center (PSRC) RESULTS/LESSONS LEARNED 1.Technology functioned well, demonstrated ability to reduce incident notification times. 2.System needs to be exception based. 3.There are concerns about relying on an industry based system. 4.Message priority is a concern. 5.Needs of public sector need to be further investigated.

11. 11 Efficiency Benefits Only wireless communication with GPS positioning demonstrated operational efficiency gains. Only wireless communication with GPS positioning demonstrated operational efficiency gains. Partially a function of how the technologies were deployed Partially a function of how the technologies were deployed Many technologies were security focused and relied on the wireless communication system for functionality Many technologies were security focused and relied on the wireless communication system for functionality

12. 12 Efficiency Benefits Savings per truck ranged from $160/month to $914/month from wireless communication with GPS Savings per truck ranged from $160/month to $914/month from wireless communication with GPS Payback periods within industry standards Payback periods within industry standards Recognizing that all operations may not realize all of the benefits, a “minimum” benefit was calculated. Recognizing that all operations may not realize all of the benefits, a “minimum” benefit was calculated. Full deployment could result in savings of $1 billion per year industry wide Full deployment could result in savings of $1 billion per year industry wide

13. 13 Safety and Public Sector Benefits Public Sector focused on two areas: Public Sector focused on two areas: Improved response times through faster notification Improved response times through faster notification Panic buttons provided time savings of 18 minutes over traditional notification process Panic buttons provided time savings of 18 minutes over traditional notification process Off-route detections improved by nearly 3 hours Off-route detections improved by nearly 3 hours Improved quality of information Improved quality of information Positive driver ID time savings of 28 minutes Positive driver ID time savings of 28 minutes Alerts included manifest information, driver information and location Alerts included manifest information, driver information and location

14. 14 Security Benefits Using the Delphi method vulnerability reductions were identified Using the Delphi method vulnerability reductions were identified Greatest reduction was from the base wireless communication system with GPS Greatest reduction was from the base wireless communication system with GPS Incremental gains were identified from the other technologies Incremental gains were identified from the other technologies Greatest reductions were in theft prevention Greatest reductions were in theft prevention

15. 15 Conclusions The wireless communication system with GPS tracking provided efficiency benefits and the base vulnerability reduction The wireless communication system with GPS tracking provided efficiency benefits and the base vulnerability reduction Additional technologies provided incremental improvements in security. Additional technologies provided incremental improvements in security. A stratification of load types and technologies seems inherent in the results A stratification of load types and technologies seems inherent in the results Greatest vulnerability reductions were provided for theft scenario Greatest vulnerability reductions were provided for theft scenario Wireless communications with GPS tracking provided a positive return on investment in all four test scenarios. Wireless communications with GPS tracking provided a positive return on investment in all four test scenarios.

16. 16 Conclusions Except for LTL, preventing only one terrorist attack over a three year period produces a cost savings well beyond the break even point for benefits and costs. Except for LTL, preventing only one terrorist attack over a three year period produces a cost savings well beyond the break even point for benefits and costs. The combined benefit-cost analysis showed positive benefit-cost ratios in all categories The combined benefit-cost analysis showed positive benefit-cost ratios in all categories Notification times and the quality of information provided to the public sector was improved. Notification times and the quality of information provided to the public sector was improved.

17. 17 The Bottom Line Despite the results, technology alone is not a complete security solution – only technology along with sound security practices and supported by ongoing public and private outreach, training and security programs can help to meet a constantly present threat.

18. 18 Next Steps High-level Needs Assessment to address public sector response to hazmat safety and security incidents. Completion April 2005 High-level Needs Assessment to address public sector response to hazmat safety and security incidents. Completion April 2005 Industry Outreach Task Industry Outreach Task Promote voluntary deployment Promote voluntary deployment Continue and expand Technology Compendium Continue and expand Technology Compendium www.safehazmat.com www.safehazmat.com www.safehazmat.com Additional testing: Additional testing: Untethered Trailer Tracking Untethered Trailer Tracking Expanded Satellite Based Communications Expanded Satellite Based Communications Vehicle Disable (upcoming) Vehicle Disable (upcoming)

19. 19 Final Reports Posted on the FMCSA Web site: www.fmcsa.dot.gov Posted on the FMCSA Web site: www.fmcsa.dot.gov www.fmcsa.dot.gov www.fmcsa.dot.gov/safety-security/hazmat/fot/index.htm 2 Final Reports Deployment final report – describes the actual testing process and lessons learned Deployment final report – describes the actual testing process and lessons learned Evaluation final report – the independence evaluation and benefit-cost analysis Evaluation final report – the independence evaluation and benefit-cost analysis

20. The End joseph.delorenzo@fmcsa.dot.gov 708.283.3572