1. Asset Management and Performance
in the Next Highway Program
Potential Paradigm Shifts in Transportation
SASHTO - Biloxi, Mississippi
September 1, 2009
King W. Gee
Associate Administrator for Infrastructure
Federal Highway Administration

2. Historical Context Continually Evolving – Shifting Paradigms
Changed View on Highway Safety
Engineers Built Structures to Stand!
Problem: People Were Dying
1960’s – Saw & Owned the Problem
Flexibility in Highway Design  CSD
Engineering: Plan, Design & Build “Well”
“Decide, Announce, Defend”
1980’s – Road was More than A Road
Balancing of Other Societal Goals with Transportation
Changed View on Highway Safety
Previously: Engineers built structures to withstand impact
Never mind people were dying on roads
1960’s recognition of problem and we took responsibility to reduce fatalities
Adopted design concept of “clear zones” to allow errant drivers opportunity to recover before hitting something
Adopted break-away sign posts and utility poles to be more “forgiving” of driver errors
Flexibility in Highway Design  Context Sensitive Design  CSS
Previously: Engineering Mission – designed & built well technically
Planned, Mitigated, Built & Operated according to system plan and standards; period!
Hal Kassoff gives me credit for term “Decide, Announce & Defend”
1980’s Recognition that a Road was more than a road
That Engineering standards were means to an end – transportation, AND that
There are other societal goals that needed to be balanced with transportation: like goals of community, history, environment

3. Clear Zones
Forgiving Highways
Impact Attenuators
Break-Away Posts

4. Historical Context Continually Evolving
Changed View on Highway Safety
Engineers Built Structures to Stand!
Problem: People Were Dying
1960’s – Saw & Owned the Problem
Flexibility in Highway Design  CSD
Engineering: Plan, Design & Build “Well”
“Decide, Announce, Defend”
1980’s – Road was More than A Road
Balancing of Other Societal Goals with Transportation
Changed View on Highway Safety
Previously: Engineers built structures to withstand impact
Never mind people were dying on roads
1960’s recognition of problem and we took responsibility to reduce fatalities
Adopted design concept of “clear zones” to allow errant drivers opportunity to recover before hitting something
Adopted break-away sign posts and utility poles to be more “forgiving” of driver errors
Flexibility in Highway Design  Context Sensitive Design  CSS
Previously: Engineering Mission – designed & built well technically
Planned, Mitigated, Built & Operated according to system plan and standards; period!
Hal Kassoff gives me credit for term “Decide, Announce & Defend”
1980’s Recognition that a Road was more than a road
That Engineering standards were means to an end – transportation, AND that
There are other societal goals that needed to be balanced with transportation: like goals of community, history, environment

5. Hal Kasssoff will be speaking more about where CSD  CSS has come

6. Asset Management & Performance Two Inter-related Concepts  Next Highway Program
Start: PMS in 1980’s
New Motivations
Funding Shortfall
Good Stewardship
Aging Infrastructure: Huge Needs
“Worst First” approach won’t do it
Accountability for Use of Funds, including Reporting
Asset Management -
Began with Pavement Management Systems in 1980’s
Multiple management system mandates in ISTEA (1991)
Mandate repealed in NHS Designation Act (1995)
New Motivations
Insufficient Funds
Good Stewardship
Aging Infrastructure – burgeoning needs
“Worst First” approach won’t do it
Accountability for Use of Funds, including Reporting
Definition of Asset Management
New Applications
Not Merely to Inventory What is There and its Condition
To inform programming decisions
To forecast conditions and needs
To develop & compare investment scenarios
Analysis of Different Optimal Points for Projects & Programs
Levels of Service
Benefit Cost
Look at Facility from a Life Cycle Perspective
Support Cross-Silo Program Management
Preservation of Bridges & Roadways
Capacity Needs
Safety Needs
More Direct Linkage of “Cause & Effect” of different project types
 What is the BIG DIFFERENCE?
From Building and Reconstructing the Interstate Highway System as infrastructure network (IHS Map) to looking ahead to know what’s coming at us (Bridge Age & Condition Chart) (IRI RSL)

7. What is Transportation Asset Management?
“Transportation Asset Management is a strategic and systematic process of operating, maintaining, upgrading and expanding physical assets effectively throughout their lifecycle. It focuses on business and engineering practices for resource allocation and utilization, with the objective of better decision making based upon quality information and well defined objectives.” AASHTO Subcommittee on Asset Management
What is Transportation Asset Management?
In simpler terms, Its about operating, maintaining, and preserving the transportation system in the most cost effective manner to achieve desired service objectives.
“Transportation Asset Management is a strategic and systematic process of operating, maintaining, upgrading and expanding physical assets effectively throughout their lifecycle. It focuses on business and engineering practices for resource allocation and utilization, with the objective of better decision making based upon quality information and well defined objectives.” as approved by the AASHTO Subcommittee on Asset Management
What is important about a definition? Is it really the guiding light for our processes?
For Asset Management, the answer to the latter question is yes and no. Yes to the concepts of using strategic, long-term, well thought out programs but no to any suggestion that it is prescriptive. Asset Management is viewed as a set of best practices for a particular situation. As an example, it’s not likely that the program of best practices for a large State will match the best program for a smaller State. But the concepts endure and effective management is important for everyone. It is about operating, maintaining, and preserving the transportation system in the most cost effective manner to achieve desired service objectives.
Each of us needs to ask the question: “If I had one dollar, where would I spend it to get the best return on my investment”. It is important to know where to make the best investments and why those decisions are made.

8. Asset Management & Performance Two Inter-related Concepts  Next Highway Program
New Applications
Not Merely An Inventory
To inform programming decisions
To forecast conditions and needs
Analysis of Different Investment Options
Levels of Service
Benefit Cost
Life Cycle Perspective
Cross-Silo Program Management
Preservation, Capacity, Safety
Linkage of “Cause & Effect”
Asset Management -
Began with Pavement Management Systems in 1980’s
Multiple management system mandates in ISTEA (1991)
Mandate repealed in NHS Designation Act (1995)
New Motivations
Insufficient Funds
Good Stewardship
Aging Infrastructure – burgeoning needs
“Worst First” approach won’t do it
Accountability for Use of Funds, including Reporting
Definition of Asset Management
New Applications
Not Merely to Inventory What is There and its Condition
To inform programming decisions
To forecast conditions and needs
To develop & compare investment scenarios
Analysis of Different Optimal Points for Projects & Programs
Levels of Service
Benefit Cost
Look at Facility from a Life Cycle Perspective
Support Cross-Silo Program Management
Preservation of Bridges & Roadways
Capacity Needs
Safety Needs
More Direct Linkage of “Cause & Effect” of different project types
 What is the BIG DIFFERENCE?
From Building and Reconstructing the Interstate Highway System as infrastructure network (IHS Map) to looking ahead to know what’s coming at us (Bridge Age & Condition Chart) (IRI RSL)

9. Asset Management -
 What is the BIG DIFFERENCE?
From Building and Reconstructing the Interstate Highway System as infrastructure network (IHS Map) to looking ahead to know what’s coming at us (Bridge Age & Condition Chart) (IRI RSL)

10. 600,000 Bridges
National Bridge Inventory gives us
Bridge age & Bridge condition
Until recent times, bridge design life was 50 years
Not “retirement” age, but design year traffic volumes
Average bridge age ~43 years
Getting close to 50, but
Not “unsafe”
Not end of service life
3.9 Million Miles of Roads
No age or condition data base like NBI
Average age of pavements ~35 years
Varied design life
Data on Pavement Smoothness
Not equivalent to service ife
Service life depends on traffic volume & weight

11. Snapshot in Time of Age & Condition
Red is “Structurally Deficient” [13%]
Blue is ”Functionally Obsolete” [13%]
Neither necessarily means a bridge is unsafe
Some 100+ year old bridges are very functional & safe
So the key is not to replace “aged” bridges
But to manage the safe operation of bridges
Asset Management -
 What is the BIG DIFFERENCE?
From Building and Reconstructing the Interstate Highway System as infrastructure network (IHS Map) to looking ahead to know what’s coming at us (Bridge Age & Condition Chart) (IRI RSL)

12. Asset Management & Performance Two Inter-related Concepts  Next Highway Program
Start: Highway Capacity Manual (LOS)
: On-Time, On-Budget, & Quality
New Motivations
System Basically In-place with Congestion Growing
Accountability for Investments
Seeing Beyond Engineering
Performance –
Talked about for the past many years, now reflected in Congressman Oberstar’s House T&I draft bill and Senator Rockefeller & Lautenberg’s bill
Earliest notions:
Highway Capacity Manual’s Levels of Service (LOS)
Project Performance: on-time, on-budget & quality
New Motivations:
System that is already in-place with Congestion growing
Accountability for vast amounts invested
Seeing beyond engineering factors
New Applications:
Growing number of areas of performance & measurement
Safety – Measures the quality of transportation service in terms of crashes or incidents that are harmful to people, goods, and property. Performance considers asset conditions that contribute to or detract from safety.
System Preservation – Measures the condition of the transportation system and actions to keep the system in a state of good repair. The performance focus in this area encompasses the physical condition of pavement and bridges as well as the process (e.g., asset management) for developing cost effective strategies to deliver a desired condition and performance.
Mobility/Congestion – Measures the efficient movement of people and goods. Performance focuses on the time and cost of making a trip and the relative ease or difficulty and predictability with which a trip is made. Congestion will be a key focus of this goal area.
Freight/Economic Growth – This goal area focuses on freight transportation and its contribution to national economic productivity and competitiveness. Direct impacts are typically related to the time and cost of transportation experienced by users and shippers.
Environment and Community – Measures transportation program and project effects on the environment and quality of life, including concerns related to emissions, energy consumption, ecosystems, and livability.
Setting of Performance Targets
Accountability & Reporting
Linking of Funding to Performance

13. Asset Management & Performance Two Inter-related Concepts  Next Highway Program
New Applications
Performance & Measurement Areas
Safety
System Preservation
Mobility/Congestion
Freight/Economic Growth
Environment and Community
Setting of Performance Targets
Accountability & Reporting
Linking of Funding to Performance
Performance –
Talked about for the past many years, now reflected in Congressman Oberstar’s House T&I draft bill and Senator Rockefeller & Lautenberg’s bill
Earliest notions:
Highway Capacity Manual’s Levels of Service (LOS)
Project Performance: on-time, on-budget & quality
New Motivations:
System that is already in-place with Congestion growing
Accountability for vast amounts invested
Seeing beyond engineering factors
New Applications:
Growing number of areas of performance & measurement
Safety – Measures the quality of transportation service in terms of crashes or incidents that are harmful to people, goods, and property. Performance considers asset conditions that contribute to or detract from safety.
System Preservation – Measures the condition of the transportation system and actions to keep the system in a state of good repair. The performance focus in this area encompasses the physical condition of pavement and bridges as well as the process (e.g., asset management) for developing cost effective strategies to deliver a desired condition and performance.
Mobility/Congestion – Measures the efficient movement of people and goods. Performance focuses on the time and cost of making a trip and the relative ease or difficulty and predictability with which a trip is made. Congestion will be a key focus of this goal area.
Freight/Economic Growth – This goal area focuses on freight transportation and its contribution to national economic productivity and competitiveness. Direct impacts are typically related to the time and cost of transportation experienced by users and shippers.
Environment and Community – Measures transportation program and project effects on the environment and quality of life, including concerns related to emissions, energy consumption, ecosystems, and livability.
Setting of Performance Targets
Accountability & Reporting
Linking of Funding to Performance

14. Thank You!
 What is the BIG DIFFERENCE?
Being held accountable NOT JUST for delivering projects (bottleneck elimination, rehab, overlays) or a program of projects, AND performance of the system in moving people and goods (inter-modally)
Even as we add capacity, we need to preserve & operate the existing facilities
Actually three bridges in photo  also need to learn from the past
Thank you all for your perseverance and for not being too distracted here on Bourbon Street
We have made substantial progress, and we have much to do yet
FHWA is committed to collaborating with states, locals, academia & industry to advance asset management practice

15.  What is the BIG DIFFERENCE?
Being held accountable NOT JUST for delivering projects (bottleneck elimination, rehab, overlays) or a program of projects, AND performance of the system in moving people and goods (inter-modally)

16. Evolving & Contrasting Focus
Program Management vs.
Project Delivery
Performance Measures vs.
Program of Capital Needs
Asset Management vs. “Find-It & Fix-It”
Context Sensitive Solutions vs.
The Engineered-Preferred Solution
“Transportation” vs. “Construction Projects”
Risk Management vs. Total Control

17. Closing Thoughts Reconnecting Highways with Popular Aspirations
Past Support for Highways
Never Based on Engineering Interest, but
Defense,
Connecting People and Places
“Coast to Coast without a stop”
Importance of Transportation
Must Reconnect with Popular Aspirations
Safe & Efficient Movement of People & Goods
Performance in Meaningful Lay Terms
Paradigm Shifts Change Our Business
Conclusion –
Reconnecting Engineering with Popular Aspirations
Support for Highways was never based on Engineering interest, not things like super-elevation, strength of concrete, but
Defense
Connecting People and Places
“Coast to Coast without a stop” (no red lights)
Regaining Popular Understanding & Support for Importance of Transportation
Must Reconnect with Popular Aspirations
Safe & Efficient Movement of People & Goods
Managing to Performance that means something to the people
Reporting on those different measures built on Asset Management & Beyond
Paradigm Shifts Change How We Do Business
Stay Tuned
Contribute to the Changes Positively
Thank you for your attention

19. An engineering accomplishment we can all be proud of.

20. 4500 South over I-215 Construction Time (Traditional): 6-9 Months
Construction time (SPMT): 4 Months
Traffic Impact (Traditional):
4500 So. Closure: 5 months
I-215 land reduction and closures: 4 months
Traffic Impact (SPMT):
4500 So. Closure: 10 days
I-215 Closure: One weekend (From Friday night to Monday morning)
User Cost due to traffic impact $33,500 a day. (About one million per month)
SPMT Savings: Over $4,000,000.
Benefits for using SPMT: 1, Improve Safety. 2. Reduce Congestion. 3. Save Money.

21. Thank You