Building Strong 1 America’s Water Resources Infrastructure: A View to the Future Presentation to National Waterways Conference Steven L. Stockton, P.E. Director of Civil Works U.S. Army Corps of Engineers March 11, 2009

Building Strong 2 “The List” zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz zzzzzxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxx

Building Strong 3 Our World Has Changed ClimateChange PopulationMigration DecliningDiscretionaryFunding AgingInfrastructure Water Conflicts Between States Droughts Sedimentation a Bigger Issue DisappearingWetlands & Coasts Growing Backlog in Construction & Maintenance Growing State Water Resources Capabilities Changes in Trade We need 21st Century Water Management Best Practices

Building Strong 4 Water Resources Challenges Flood plain & coastal development Threatened ecosystems Vulnerability to attack Increased foreign trade Aging infrastructure Energy demand - hydro Population pressure Multiple Demands Multiple Demands Climate change Changing allocation needs

Building Strong 5 Future Budget Challenges Dam Safety Levee Safety Major Rehabilitation of Infrastructure No $ for New Projects Climate Change/ Melting Snowpacks

Building Strong 6 A New Era The era of large Federal single-purpose water projects is overThe era of large Federal single-purpose water projects is over Water resources communityWater resources community recognizes need for broader recognizes need for broader interest for water resources interest for water resources planning planning There is a need and more desire for collaborative regional planningThere is a need and more desire for collaborative regional planning It is imperative to invest for the long termIt is imperative to invest for the long term The era of large Federal single-purpose water projects is overThe era of large Federal single-purpose water projects is over Water resources communityWater resources community recognizes need for broader recognizes need for broader interest for water resources interest for water resources planning planning There is a need and more desire for collaborative regional planningThere is a need and more desire for collaborative regional planning It is imperative to invest for the long termIt is imperative to invest for the long term

Building Strong 7 Back to the Future Multiple Purpose Reservoir Hydropower Recreation Wastewater Treatment Agricultural Water Supply Navigation Re-Regulating Reservoir Municipal Water Supply Flood Risk Management Conservation

Building Strong 8 Back to the Future "Finally, I urge the Congress to develop more satisfactory procedures for considering and authorizing basin-wide development programs. We area long way still, both in the Executive and legislative Branches, from the kind of comprehensive planning and action that is required if we are to conserve,develop and use our natural resources so that they will be increasingly useful as the years go by. We need to make sure that each legislative authorization and each administrative action, takes us toward - - and not away from -- this goal.“ Harry S. Truman, 1950

Building Strong 9 Presidential Memorandum Transparency and Open Government President Obama issued a memorandum to the heads of Executive Departments (Jan 21, 2009) : Government should work together Government should be participatory Government should be collaborative

Building Strong 10 Focus the talents and energy of the Corps of Engineers on delivering enduring, comprehensive, sustainable and integrated solutions to the Nation’s water resources and related challenges through collaboration with stakeholders (regions, States, local entities, other Federal Entities, etc.), playing a leadership or support role as appropriate to meet today’s and future challenges. Deliver Enduring and Essential Water Resources Solutions Our Goal

Building Strong 11 Roles the Corps Can Play Traditional New or Renewed CollaborativeProblemSolver Regulator Facilitator & Convener Provider Of Data & Information Information CrisisManager Provider of TechnicalAssistance Designer/BuilderOperator/Manager ResourceProvider Regulator PolicyMaker

Building Strong 12 New Thinking FocusFromTo SUCCESS = SUCCESS = CRITERIA CRITERIA SCOPE SCOPE WORKWORK KNOWLEDGEKNOWLEDGE STYLESTYLE MONEYMONEY LIFE CYCLELIFE CYCLE ProjectsProjects NED benefits 1stNED benefits 1st Single purpose/needSingle purpose/need Stay in your functional laneStay in your functional lane Knowledge is powerKnowledge is power Follow SOPs as recipesFollow SOPs as recipes Save Federal $Save Federal $ Plan and buildPlan and build Comprehensive PlansComprehensive Plans More balanced NED, RED, EQ, OSE benefitsMore balanced NED, RED, EQ, OSE benefits Sustainable systems & healthy environmentSustainable systems & healthy environment Seek horizontal & verticalintegrationSeek horizontal & verticalintegration Share knowledge & informationShare knowledge & information Think creatively, consider risks, think systemsThink creatively, consider risks, think systems Leverage resourcesLeverage resources Plan, fund, monitor for full project life cyclePlan, fund, monitor for full project life cycle

Building Strong 13 Integrated approach and greater collaboration, partnerships among State, local and Federal agencies Collective determination of needs and challenges and effective complementary solutions Anticipation and prioritization of future water resources infrastructure needs Federal agencies’ use of State water plans to align Federal agency support to States Federal financial and technical assistance to support the States Federal leadership in collaborative Watershed - System planning Unified aims and actions to recommend to Congress: “Integrated Water Resources Planning and Assistance” as a priority Federal mission Partnering with the States: They Favor … Partnering with the States: They Favor …

Building Strong 14 The States Do NOT Favor… Proposed cost B/C ratio criteria for primary purpose projects Principles & Guidelines that do not meet acceptable thresholds for public safety Further lengthening of formulation of projects A plan formulation approach that does not embrace state, local needs and concerns Federal interference with the States’ leadership role in planning Criticism of the way they are implementing their water plans Development of a national water plan as a compilation of single projects Non-collaborative multi-agency efforts that only meet the needs of the Corps, not the other Federal agencies “We’re from D.C. & we’re here to help you”

Building Strong 15 Project Geographical Regions WesternCentral Eastern Alaska Washington Oregon California Hawaii S. Dakota Wyoming Montana Idaho Colorado New Mexico Arizona Utah NevadaIowa Wisconsin Minnesota Texas Oklahoma Kansas Nebraska N. Dakota Georgia Florida Alabama Mississippi Tennessee Kentucky Ohio Indiana Michigan Louisiana Arkansas Missouri Illinois R.I.Ct. Mass. N.H. Vt. Maine New York Pennsylvania W.Va. Virginia N. Carolina S.Carolina New Jersey Delaware Maryland

Building Strong 16 Display complex information to a wide range of users Account for different types or levels of decisions Leverage existing data sets, models and tools Accommodate numerous decision criteria Support tradeoff analysis across competing investments Easily accessible framework for comparison and analysis of information relevant to watershed-scale investment decisions Watershed Investment Decision Tool - in a Nutshell Visualize impacts of budget authorization and appropriation decisions Promote public/private sector integration and synchronization

Building Strong 17 An Example of One Tool Watershed Investment Management Decision Tool Concept: Make use of existing information Allow systems view across a portfolio of activities Red, Amber, Green designations to screen by watershed for: Flood risk Earthquake or fire hazard Population centers Critical habitat Water supply zones Air and water quality Navigation Hydropower Congressional Districts Support risk assessment Collaborate with partners and stakeholders on format and criteria for more universal use

Building Strong 18 Partnerships – Key to Success We will: Work with local or regional watershed councils to develop watershed management plans Facilitate discussion among stakeholders with complementary or competing water needs Partner with other Federal agencies to address regional water issues Provide technical assistance to States and local communities Share data and information Improve watershed models in cooperation with others

Building Strong 19 A Report to Congress from the National Committee on Levee Safety Recommendations for a National Levee Safety Program

Building Strong 20 Corps Navigation Mission Provide safe, reliable, efficient, effective and environmentally sustainable waterborne transportation systems for movement of commerce, national security needs, and recreation.

Building Strong 21 Vital role in U.S. economyVital role in U.S. economy Aging infrastructure in need of modernizationAging infrastructure in need of modernization Growing competition for funds within Corps program and within discretionary portion of Federal BudgetGrowing competition for funds within Corps program and within discretionary portion of Federal Budget Challenge to balance with expanding missions, like environmental restorationChallenge to balance with expanding missions, like environmental restoration War on terror and growing deficit add to budget challengeWar on terror and growing deficit add to budget challenge We can’t do business as usual – resources not there and difficult choices have to be madeWe can’t do business as usual – resources not there and difficult choices have to be made We have strong case for investing in navigation, but need to do better job of showing whyWe have strong case for investing in navigation, but need to do better job of showing why The Funding Challenge: Making the Case for Navigation

Building Strong 22 Goal: Improve system reliability Objectives: Operate the series of locks as a system Standardize lock and dam operations Standardize lock and dam maintenance Optimize channel conditions to support system reliability Operate within the USACE “Environmental Operating Principles” Enhance career progression and establish a capable workforce through human resources improvements. Inland Marine Transportation System (IMTS) Improvement Report

Building Strong 23 Identified 25 major business processes, over 100 specific areas for improvements IMTS Board of Directors (Navigation Division Commanders) –System-wide management, policies, and prioritization Draft findings: –Improved system reliability –No change to existing chain-of-command or organizational structure of Divisions and Districts –No personnel reductions or re-alignments –Performance aligned with OMB Government Performance Results Act and Asset Management requirements –No impact on local employee bargaining unit agreements Highlights

Building Strong 24 Take a Systems Approach: Integrated water management through a watershed approach and integrated life-cycle infrastructure management Build and Sustain Partnerships: Improve intergovernmental, inter-organizational cooperation Use Risk-Informed Decision Making and Communication: Ensure public safety through risk assessment and vigilance of our water infrastructure Pursue Innovative Financing Practice Adaptive Management Use State-of-the-Art Technology: Invest in science, technology, and information management Plan for hiring, training and retaining to maintain a competitive edge So, How Do We Invest in the Future?

Building Strong 25

Building Strong 26 Summary The waterway transportation system is a vital part of our Nation’s Infrastructure/critical to America’s continued growth and prosperity The Corps is a partner in ensuring waterway transportation infrastructure is remains viable for the Nation Demands for waterway transportation are increasing requiring improved and reliable infrastructure Current aging infrastructure challenges are impacting extent of growth of marine and inland waterway traffic We continue to seek opportunities to improve infrastructure as appropriated funds are available We need to continue to educate the public on the importance of waterway infrastructure and its present condition

Building Strong 27 Navigation Challenges Aging Infrastructure/System Reliability –50% locks > 50 years old –increasing down time or delays –increasing emergency repairs Funding to support Navigation –O&M flat-lined in constant dollars –Limited construction funds for improvements –Inland Navigation Trust Fund going broke Increased demands for water transport –Need for increased lock sizes Competing interests for water –Water supply concerns –Ecosystem restoration –Hydropower –Flood Risk Management

Building Strong 28 Key Emphasis Reliability & efficiency Long Term Capital Investment perspective Investments for the system, not projects Rigorous valuation & risk assessment programs Equating the optimum needs with achieving acceptable levels of risk