Transportation infrastructure: Are bridges an area of concern? Ryan Church and Jason Mumbach September 17, 2008

The Interstate 35W bridge Opened in 1967 More than 1,900 feet long Main span: 458 feet Average daily traffic: 140,000 vehicles.

Key Transportation Link

August 1, 2007

The collapse Entire span collapsed into the Mississippi and its banks during rush hour. 13 deaths. More than 100 injuries. Approximately 180 people and 120 vehicles on bridge at time of collapse.

Risk management

Claims Established “Bridge Hotline” within 24hrs. Created special claim form within 48 hrs. Liability and the state’s tort limits

Legislative response Victim Relief fund Victim Compensation Fund

Victim Relief Fund 233 Claims received –64 property damage –169 bodily injury 37 claims paid –Total to date is $308,555 (lost wages) –3 claimants received $20,000 maximum

Victim Compensation Fund $38 million fund –$400,000 per individual –$12.6 million for worst injured Settlements made by a Special Master Panel

Settlements Deadlines: –Must file by October 15, 2008 –Settlement offers by February 28, 2009 Awards: minus other payments or settlements Recipients must: –Release the state from liability –Cooperate on subrogation

Pending property claims The victim compensation fund -- injury claims only. Property damage claims are contingent on the outcome of the investigation of the NTSB.

Future development NTSB investigation results pending Future pressure on tort limits Other implications for risk management

The new bridge Accelerated construction schedule Importance of Safety Criteria

Insurance requirements for the new bridge AM Best rating Indemnification Primary and non-contributory Governmental immunity Waiver of subrogation Minimum limits

Emergency management

Four phases of emergency management Prevention/Mitigation Preparedness Response Recovery

Incident command National incident command system Coordinates multiple functions/jurisdictions One person is in charge

Aging infrastructure American Association of State Highway and transportation Officials (AASHTO) Issued report on 8/1/08 "Bridging the Gap: Restoring and Repairing the Nation's Bridges."

Aging infrastructure Average age of the country’s bridges is 43 years, with most bridges built to last 50 years 152,316 of the nation's 599,766 bridges are "structurally deficient" or functionally obsolete. (1 in 4) Estimates that repairing or modernizing bridges across the country would cost $140 billion

Aging infrastructure United states spends $80 billion a year The National Surface Transportation Policy and Revenue Study Commission has estimated that the U.S. should be spending about $225 billion a year – That’s $225 billion for the next 50 years to upgrade its transportation infrastructure.

Aging infrastructure Age and Deterioration - The nation has a generation of Baby Boomer Bridges, constructed in the 1950s and 1960s, that need major repair or replacement. Usually built to last 50 years, the average bridge in this country today is 43 years old.

Aging infrastructure While safe to travel, almost one in four bridges is either structurally deficient and in need of repair, or functionally obsolete and too narrow for today’s traffic volumes.

Top five PROBLEMS for bridges Age and Deterioration Congestion Soaring Construction Costs Maintaining Bridge Safety New Bridge Needs

Top five SOLUTIONS Investment Research and Innovation Systematic Maintenance Public Awareness Financial Options

Resources American Association of State Highway and Transportation Officials City of Minneapolis

Thank you