Tag Archive for 'construction industry'

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AEM statement on Obama’s Keystone veto

Dennis Slater, AEM President

Dennis Slater, AEM President

Statement from Association of Equipment Manufacturers (AEM) President Dennis Slater following President Obama’s Keystone Pipeline veto:

I was disappointed – but not surprised – to learn that President Obama has vetoed legislation that would have begun long-overdue construction of the Keystone XL Pipeline. By any measure, the Keystone Pipeline is good – good for the economy and good for the equipment manufacturing industry. It’s also the safer option for the environment, compared to alternatives.

At this point, Keystone has been relentlessly studied and scrutinized by the government and outside groups. And the evidence is in: Keystone would not pose a meaningful threat to the environment, and it would promise to create thousands of jobs in construction and manufacturing. The alternative to constructing this vital piece of U.S. energy infrastructure is the continued transportation of crude oil by rail. As we’ve seen recently in West Virginia, this is a volatile and potentially hazardous solution that further diminishes our national rail capacity

I urge Congress to redouble its efforts to pursue construction of the Keystone Pipeline and for President Obama to end his obstruction of this commonsense project.

From NBC:

Obama Vetoes Keystone XL Pipeline Bill
President Barack Obama has officially vetoed a bill to approve the Keystone XL pipeline, marking his third rejection of congressionally approved legislation during his six years in office.

The president notified the Senate of the veto on Tuesday afternoon.

The veto, which was long expected, came the same day that the GOP-dominated Congress formally submitted the bill to Obama, although it was passed by both chambers of Congress before the week-long Presidents Day recess.

The White House has said that the president opposes the bill because it would cut short an ongoing review process of the project by the State Department. Obama has also expressed some skepticism about how many jobs the pipeline would create.

Congress could override the veto if two-thirds of both the House and the Senate vote to do so, but lawmakers aren’t expected to reach that threshold.

Republicans have accused the president of bowing to pressure from environmental activists who oppose the project. These advocates say the pipeline could cause spills and argue that it would increase the nation’s dependence on fossil fuels.

New TRIP Report Identifies New Mexico’s Top 25 Transportation Challenges And Needed Fixes, Including Deteriorated And Congested Roadways, Deficient Bridges, Inadequate Transit And Needed Safety Improvements

TRIPDeficient roads, highways, bridges, transit systems and crowded or congested routes in New Mexico are posing mounting challenges to the state’s residents, visitors and businesses in the form of traffic congestion, reduced economic productivity as a result of inadequate transportation capacity, road and bridge deterioration, and a lack of adequate roadway safety. This is according to a new report released today by TRIP, a Washington, DC based national transportation research organization.

The report, New Mexico’s Top 25 Transportation Challenges and the Improvements Needed to Address Them,” identifies New Mexico’s top transportation challenges, including the need to provide improvements to critical routes that have a multitude of needs ranging from addressing pavement deterioration, inadequate roadway or transit capacity, deficient bridges, and a lack of adequate safety features. A lack of adequate transportation funding is the constraining factor in developing and delivering these needed improvements.

The top 10 transportation challenges in the state, as identified by the TRIP report, are as follows. Additional details for all 25 transportation challenges can be found in the report’s Appendix.

  1. Need for construction of US 82 as a two-lane enhanced highway in Eddy & Lea Counties. This $180 million project would construct 86 miles of four-lane roadway (including frontage roads) in Eddy and Lea Counties. This route would help accommodate the growing heavy oil field traffic in the area.
  2. The Reconstruction and widening of I-25 in Bernalillo County. This $26 million project would reconstruct and widen 1.6 miles of I-25 in Bernalillo County (including the existing bridges) from NM 314 to Isleta Pueblo.
  3. New bridge construction on US 70 in Las Cruces. This $30 million project would include new bridge construction on US 7-0 in Las Cruces, as well as expanding the roadway to six-lanes and improving lighting, signalization and intersections. These improvements would ease the heavy congestion on this major connector between East Mesa, NASA, White Sands Missile Range and Las Cruces.
  4. US 64 reconstruction in San Juan County. This $50 million project would reconstruct four miles of US 64 to enhance safety, add capacity and improve access control.
  5. US 54 bridge replacement near Logan. This $25 million project would replace the Canadian River Bridge Crossing on US 54. The existing bridge has reached the end of its design life and has significant rust and corrosion. US 54 carries significant heavy truck travel and is the only direct route to Logan and Ute Lake State Park from Tucumcari. The detour route around this bridge is over 100 miles in length.
  6. Need for Rapid Transit Study along Paseo del Norte corridor in Albuquerque. This study would evaluate a Rapid Transit System, which could possibly be a Bus Rapid Transit System, along the Paseo del Norte corridor in order to link the northwestern portion of the Albuquerque metro area with the Journal Center and other activity centers east of the Rio Grande. This could help to alleviate congestion, making travel times more predictable for private automobiles as well as transit. This project could meet the region’s growing demand for river crossing trips, serve the large number of commuters, and accommodate projected population growth.
  7. Reconstruction and intersection improvements to NM 136 in Dona Ana County. This $40 million project would include a full reconstruction and intersection improvements to nine miles of NM 136. This route is the only direct connection between Santa Teresa Port of Entry and I-10. The improvements are needed to accommodate industrial and commercial growth in the area.
  8. Reconstruction of I-25/Rio Bravo Interchange in Albuquerque. This $37 million project would reconstruct the I-25/Rio Bravo Interchange in Albuquerque to address deterioration and relieve traffic congestion by improving the efficiency of the interchange.
  9. Development of Santa Fe Transit Center. This project would construct a multi-modal center for the southern hub of the Santa Fe Trails Transit System in Santa Fe, which carries more than 1,000,000 riders annually.   As the metro area continues to grow to the south and west, the transit center would create a formal multi-modal center that is positioned to connect important transit routes to the south and north.
  10. Bus Rapid Transit Study along Central Avenue in Albuquerque. This project would provide a combination of dedicated busway and mixed flow lanes within the current right-of-way on the Central Corridor from I-40 and Tramway Boulevard to I-40 and Artisco Vista. This corridor is a key connector of transit destinations.

According to the TRIP report, 23 percent of New Mexico’s major urban roads are in poor condition, 41 percent are in mediocre or fair condition and 36 percent are in good condition. Seven percent of bridges are structurally deficient, meaning they have significant deterioration of the bridge deck, supports or other major components. An additional nine percent of the state’s bridges are functionally obsolete. These bridges no longer meet modern design standards, often because of narrow lanes, inadequate clearances or poor alignment.

“The impact of road conditions on the trucking industry is measured in more than just dollars and cents,” said Johnny Johnson, managing director of the New Mexico Trucking Association.  Equipment repairs and delayed delivery of goods resulting from deteriorating and unsafe highways and bridges are indirect costs that cannot be quantified.”

New Mexico’s overall traffic fatality rate of 1.24 fatalities per 100 million vehicle miles of travel in 2013 is significantly higher than the national average of 1.09. A total of 1,735 people died on New Mexico’s highways from 2009 through 2013, an average of 347 annually.

“The Albuquerque Hispano Chamber of Commerce supports the need to draw greater attention to the importance of a sustained, long-term investment in New Mexico’s transportation infrastructure as outlined in the TRIP Report,” said Carlo Lucero, chair of the Government Affairs Committee for the Albuquerque Hispano Chamber. “Making needed improvements to New Mexico’s roads, highways, bridges and transit systems will provide a significant boost to the state’s economy by stimulating short and long-term economic growth.”

Enhancing critical segments of New Mexico’s transportation system will boost the state’s economy in the short-term by creating jobs in construction and related fields. In the long term these improvements will enhance economic competitiveness and improve the quality of life for the state’s residents and visitors by reducing travel delays and transportation costs, improving access and mobility, improving safety, and stimulating sustained job growth. Sustaining New Mexico’s long-term economic growth and maintaining the state’s quality of life will require increased investment in expanding the capacity of the state’s transportation system, which will enhance business productivity and support short- and long-term job creation in the state.

“Investing in New Mexico’s transportation system and addressing these challenges by improving the condition and efficiency of the state’s roads, bridges and transit systems will be an effective step in boosting the state’s economy, enhancing quality of life and making New Mexico an attractive place to live, work and visit,” said Will Wilkins, executive director of TRIP.

New Mexico’s Top 25 Transportation Challenges and

Improvements Needed to Address Them 

Executive Summary

            New Mexico’s extensive system of roads, highways, bridges and transit provides the state’s residents, visitors and businesses with a high level of mobility. As the backbone of the Land of Enchantment’s economy, New Mexico’s surface transportation system plays a vital role in the state’s economic well-being, and is an integral part of what makes New Mexico an attractive place to live, work and do business.

However, roadway and bridge deterioration, traffic safety concerns, and a lack of adequate capacity on some roadway and transit corridors to support economic development opportunities, threaten to stifle economic growth and negatively impact the quality of life of the state’s residents. Due to insufficient transportation funding at the federal, state and local level, New Mexico faces numerous challenges in providing a transportation network that is well-maintained, as safe as possible, and that affords a level of mobility capable of supporting the state’s economic goals.

Many segments of New Mexico’s transportation system have significant deterioration, lack some desirable safety features, and do not have the capacity necessary to provide reliable mobility to support economic development, particularly on routes that support the state’s growing energy extraction industry, creating challenges for New Mexico’s residents, visitors, businesses and state and local governments. This report looks at the condition and use of New Mexico’s transportation system and provides information on the state’s top 25 transportation challenges and the improvements needed to address these challenges.

As New Mexico works to build and support a thriving and diverse economy, it will need to modernize its transportation system by improving the physical condition of its roads, highways, bridges and transit systems, and enhancing the system’s ability to provide efficient, safe and reliable mobility to the state’s residents, visitors and businesses. Making needed improvements to New Mexico’s roads, highways, bridges and transit systems could provide a significant boost to the state’s economy by stimulating short and long-term economic growth.

New Mexico faces significant transportation challenges, including the need to add roadway and transit capacity to support economic development, improve roadway safety and address pavement and bridge deterioration.

  • This report identifies the top 25 transportation challenges in the state, including critical sections of the state’s highway and transit systems that have significant deterioration, inadequate capacity, or that need safety improvements.
  • A lack of adequate transportation funding is the constraining factor in developing and delivering needed improvements.
  • The following, ranked in order, are New Mexico’s top transportation challenges. Details on each of the state’s top 25 transportation challenge can be found in the body of the report, as well as the Appendix.
  1. Need for construction of US 82 as a two-lane enhanced highway in Eddy & Lea Counties. This $180 million project would construct 86 miles of four-lane roadway (including frontage roads) in Eddy and Lea Counties. This route would help accommodate the growing heavy oil field traffic in the area.
  1. The Reconstruction and widening of I-25 in Bernalillo County. This $26 million project would reconstruct and widen 1.6 miles of I-25 in Bernalillo County (including the existing bridges) from NM 314 to Isleta Pueblo.
  1. New bridge construction on US 70 in Las Cruces. This $30 million project would include new bridge construction on US 7-0 in Las Cruces, as well as expanding the roadway to six-lanes and improving lighting, signalization and intersections. These improvements would ease the heavy congestion on this major connector between East Mesa, NASA, White Sands Missile Range and Las Cruces.
  1. US 64 reconstruction in San Juan County. This $50 million project would reconstruct four miles of US 64 to enhance safety, add capacity and improve access control.
  1. US 54 bridge replacement near Logan. This $25 million project would replace the Canadian River Bridge Crossing on US 54. The existing bridge has reached the end of its design life and has significant rust and corrosion. US 54 carries significant heavy truck travel and is the only direct route to Logan and Ute Lake State Park from Tucumcari. The detour route around this bridge is over 100 miles in length.
  1. Need for Rapid Transit Study along Paseo del Norte corridor in Albuquerque. This study would evaluate a Rapid Transit System, which could possibly be a Bus Rapid Transit System, along the Paseo del Norte corridor in order to link the northwestern portion of the Albuquerque metro area with the Journal Center and other activity centers east of the Rio Grande. This could help to alleviate congestion, making travel times more predictable for private automobiles as well as transit. This project could meet the region’s growing demand for river crossing trips, serve the large number of commuters, and accommodate projected population growth.
  1. Reconstruction and intersection improvements to NM 136 in Dona Ana County. This $40 million project would include a full reconstruction and intersection improvements to nine miles of NM 136. This route is the only direct connection between Santa Teresa Port of Entry and I-10. The improvements are needed to accommodate industrial and commercial growth in the area.
  1. Reconstruction of I-25/Rio Bravo Interchange in Albuquerque. This $37 million project would reconstruct the I-25/Rio Bravo Interchange in Albuquerque to address deterioration and relieve traffic congestion by improving the efficiency of the interchange.
  1. Development of Santa Fe Transit Center. This project would construct a multi-modal center for the southern hub of the Santa Fe Trails Transit System in Santa Fe, which carries more than 1,000,000 riders annually.   As the metro area continues to grow to the south and west, the transit center would create a formal multi-modal center that is positioned to connect important transit routes to the south and north.
  1. Bus Rapid Transit Study along Central Avenue in Albuquerque. This project would provide a combination of dedicated busway and mixed flow lanes within the current right-of-way on the Central Corridor from I-40 and Tramway Boulevard to I-40 and Artisco Vista. This corridor is a key connector of transit destinations.
  1. Shoulder widening and passing lanes on NM 529 in Eddy and Lea Counties. This $41.5 million project would widen the shoulders and add passing lanes on 22 miles of NM 529 in Eddy and Lea Counties. These improvements would accommodate the heavy oil field traffic in the area.
  1. Reconstruction and improvements to NM 285 from NM/Tx state line to Loving. This $22 million project would include shoulder widening, reconstruction and enhancements on 12 miles of NM 285 from the New Mexico/Texas state line to Loving in order to accommodate heavy oil field traffic in the area.
  1. Reconstruction of NM 6 in Laguna. This $30 million project would reconstruct 18.3 miles of NM 6 from I-40 to Sandoval County in order to provide a more efficient bypass from I-40 to I-25.
  1. Reconstruction of US 54 in Lincoln County. This $30 million project would reconstruct 17 miles of US 54 in Lincoln County in order to accommodate the heavy truck traffic in the area.
  1. Development of Uptown Transit Center in Albuquerque. This project would include a transit center on 1.6 acres at the intersection of Uptown Loop Road and Uptown Boulevard in order to serve multiple transit routes in the heart of the urban center. 

Growth in population and vehicle travel has far outstripped the current capacity of New Mexico’s transportation system. The state’s population and economy will continue to grow, bringing mounting challenges for the existing network of roads and bridges.

  • From 1990 to 2013, New Mexico’s population increased by 38 percent, from approximately 1.5 million residents to approximately 2.1 million.
  • From 1990 to 2013, annual vehicle-miles-of-travel (VMT) in the state increased by 55 percent, from approximately 16.1 billion VMT to 25.1 billion VMT. Based on travel and population trends, TRIP estimates that vehicle travel in New Mexico will increase another 25 percent by 2030.
  • Every year, $31.4 billion in goods are shipped from sites in New Mexico and another $46.6 billion in goods are shipped to sites in New Mexico, mostly by trucks. Sixty-five percent of the goods shipped annually from sites in New Mexico are carried by trucks and another 18 percent are carried by parcel, U.S. Postal Service or courier services, which use trucks for part of their deliveries.

Transportation projects that improve the efficiency, condition or safety of a highway provide significant economic benefits by reducing transportation delays and costs associated with a deficient transportation system.

  • Improved business competitiveness due to reduced production and distribution costs as a result of increased travel speeds and fewer mobility barriers.
  • Improvements in household welfare resulting from better access to higher-paying jobs, a wider selection of competitively priced consumer goods, additional housing and healthcare options, and improved mobility for residents without access to private vehicles.
  • Gains in local, regional and state economies due to improved regional economic competitiveness, which stimulates population and job growth.
  • Increased leisure/tourism and business travel resulting from the enhanced condition and reliability of a region’s transportation system.
  • A reduction in economic losses from vehicle crashes, traffic congestion and vehicle maintenance costs associated with driving on deficient roads.
  • Transportation projects that expand roadway or bridge capacity produce significant economic benefits by reducing congestion and improving access, thus speeding the flow of people and goods while reducing fuel consumption.
  • Transportation projects that maintain and preserve existing transportation infrastructure also provide significant economic benefits by improving travel speeds, capacity, load-carry abilities and safety, and reducing operating costs for people and businesses. Such projects also extend the service life of a road, bridge or transit vehicle or facility, which saves money by either postponing or eliminating the need for more expensive future repairs.
  • The Federal Highway Administration estimates that each dollar spent on road, highway and bridge improvements results in an average benefit of $5.20 in the form of reduced vehicle maintenance costs, reduced delays, reduced fuel consumption, improved safety, reduced road and bridge maintenance costs, and reduced emissions as a result of improved traffic flow.

According to a recent national report, improved access as a result of capacity expansions provides numerous regional economic benefits. Those benefits include higher employment rates, higher land value, additional tax revenue, increased intensity of economic activity and additional construction as a result of the intensified use. 

  • The projects analyzed in the report were completed no later than 2005 and included a wide variety of urban and rural projects, including the expansion or addition of major highways, beltways, connectors, bypasses, bridges, interchanges, industrial access roads, intermodal freight terminals and intermodal passenger terminals.
  • The expanded capacity provided by the projects resulted in improved access, which resulted in reduced travel-related costs, faster and more reliable travel, greater travel speeds, improved reliability and increased travel volume.
  • The report found that improved transportation access benefits a region by: enhancing the desirability of an area for living, working or recreating, thus increasing its land value; increasing building construction in a region due to increased desirability for homes and businesses; increasing employment as a result of increased private and commercial land use; and increasing tax revenue as a result of increased property taxes, increased employment and increased consumption, which increases sales tax collection.
  • The report found that benefits of a transportation capacity expansion unfolded over several years and that the extent of the benefits were impacted by other factors including: the presence of complimentary infrastructure such as water, sewer and telecommunications; local land use policy; the local economic and business climate; and whether the expanded capacity was integrated with other public investment and development efforts.
  • For every $1 million spent on urban highway or intermodal expansion, the report estimated that an average of 7.2 local, long-term jobs were created at nearby locations as a result of improved access. An additional 4.4 jobs were created outside the local area, including businesses that supplied local businesses or otherwise benefited from the increased regional economic activity.
  • For every $1 million spent on rural highway or intermodal expansion, the report estimated that an average of 2.9 local, long-term jobs were created at nearby locations as a result of improved access. An additional 1.6 jobs were created outside the local area, including businesses that supplied local businesses or otherwise benefited from the increased regional economic activity.
  • The report found that highway and intermodal capacity projects in urban areas created a greater number of long-term jobs than in rural areas, largely due to the more robust economic environment and greater density in urban communities.

New Mexico’s extensive transportation system has some road and bridge deficiencies, lacks some desirable safety features, and experiences severe congestion in key areas. Improvements to the condition and efficiency of the state’s transportation system would enhance quality of life, roadway safety and economic development.

  • The state will need to expand and modernize key roads, highways, bridges and transit systems to increase mobility and ease traffic congestion, make needed road and bridge repairs, and improve roadway safety.
  • In 2012, 23 percent of New Mexico’s major state and locally maintained urban roads were in poor condition, 41 percent were in mediocre or fair condition, and 36 percent were in good condition. Twenty-one percent of New Mexico’s state and locally maintained rural roads were rated in poor condition in 2012, while 33 percent were rated in mediocre or fair condition and 46 percent were rated in good condition.
  • Seven percent of New Mexico’s bridges were rated structurally deficient in 2014. A bridge is structurally deficient if there is significant deterioration of the bridge deck, supports or other major components. Structurally deficient bridges are often posted for lower weight or closed to traffic, restricting or redirecting large vehicles, including commercial trucks, school buses and emergency services vehicles.
  • In 2014, nine percent of New Mexico’s bridges were rated as functionally obsolete. Bridges that are functionally obsolete no longer meet current highway design standards or are inadequate to accommodate current traffic levels, often because of narrow lanes, inadequate clearances or poor alignment.
  • Several factors are associated with vehicle crashes that result in fatalities, including driver behavior, vehicle characteristics and roadway features. TRIP estimates that roadway features are likely a contributing factor in approximately one-third of fatal traffic crashes. A total of 1,735 people died on New Mexico’s highways from 2009 through 2013, an average of 347 annually.
  • New Mexico’s overall traffic fatality rate of 1.24 fatalities per 100 million vehicle miles of travel in 2013 is significantly higher than the national average of 1.09.
  • Where appropriate, highway improvements can reduce traffic fatalities and crashes while improving traffic flow to help relieve congestion. Such improvements include removing or shielding obstacles; adding or improving medians; improved lighting; adding rumble strips, wider lanes, wider and paved shoulders; upgrading roads from two lanes to four lanes; and better road markings and traffic signals.
  • Investments in rural traffic safety have been found to result in significant reductions in serious traffic crashes. A 2012 report by the Texas Transportation Institute (TTI) found that improvements completed recently by the Texas Department of Transportation that widened lanes, improved shoulders and made other safety improvements on 1,159 miles of rural state roadways resulted in 133 fewer fatalities on these roads in the first three years after the improvements were completed (as compared to the three years prior).   TTI estimates that the improvements on these roads are likely to save 880 lives over the next 20 years.

In addition to state and local governments, the federal government is a critical source of funding for New Mexico’s roads, highways and bridges and provides a significant return in road and bridge funding based on the revenue generated in the state by the federal motor fuel tax.

  • A significant boost in investment on the nation’s roads, highways, bridges and public transit systems is needed to improve their condition and to meet the nation’s transportation needs, concluded a new report from the American Association of State Highway and Transportation Officials.
  • The 2015 AASHTO Transportation Bottom Line Report found that annual investment in the nation’s roads, highways and bridges needs to increase from $88 billion to $120 billion and from $17 billion to $43 billion in the nation’s public transit systems, to improve conditions and meet the nation’s mobility needs.

Sources of data for this report include the New Mexico Department of Transportation (NMDOT), the U.S. Department of Transportation (USDOT), the Federal Highway Administration (FHWA), the U.S. Bureau of Transportation Statistics (BTS), the American Association of State Highway & Transportation officials (AASHTO), the Strategic Highway Research Program (SHRP) and the U.S. Census Bureau. All data used in the report is the latest available.

 

Oil — The Elixir of Modern Living

RMG1aBy Greg Sitek

Oil is one of nature’s more generous gifts. It is the lubricant of life as we know and live it. It is infused into virtually every aspect of our lifestyle. Here is a partial list:

Clothing Ink, Heart Valves, Crayons, Parachutes, Telephones, Enamel, Transparent tape, Antiseptics, Vacuum bottles, Deodorant, Pantyhose, Rubbing Alcohol, Carpets, Epoxy paint, Oil filters, Upholstery, Hearing Aids, Car sound insulation, Cassettes, Motorcycle helmets, Pillows, Shower doors, Shoes, Refrigerator linings, Electrical tape, Safety glass, Awnings, Salad bowl, Rubber cement, Nylon rope, Ice buckets, Fertilizers, Hair coloring, Toilet seats, Denture adhesive, Loudspeakers, Movie film, Fishing boots, Candles, Water pipes, Car enamel, Shower curtains, Credit cards, Aspirin, Golf balls, Detergents, Sunglasses, Glue, Fishing rods, Linoleum, Plastic wood, Soft contact lenses, Trash bags, Hand lotion, Shampoo, Shaving cream, Footballs, Paint brushes, Balloons, Fan belts, Umbrellas, Paint Rollers, Luggage, Antifreeze, Model cars, Floor wax,Tires,Dishwashingliquids,Unbreakabledishes,Toothbrushes,Toothpaste,Combnts, Hair curlers, Lipstick, Ice cube trays, Electric blankets, Tennis rackets, Drinking cups,

House paint, Roller-skate wheels, Guitar strings, Ammonia, Eyeglasses, Ice chests, Life jackets, TV cabinets, Car battery cases, Insect repellent, Refrigerants, Typewriter ribbons,

Cold cream, Glycerin, Plywood adhesive, Cameras, Anesthetics ,Artificial turf, Artificial Limbs, Bandages, Dentures, Mops, Beach Umbrellas, Ballpoint pens, Boats, Nail polish, Golf bags, Caulking, Tape recorders, Curtains, Vitamin capsules, Dashboards, Putty, Percolators, Skis, Insecticides, Fishing lures, Perfumes, Shoe polish, Petroleum jelly, Faucet washers, Food preservatives, Antihistamines, Cortisone, Dyes, LP records, Solvents, Roofing, and many more things we use often if not daily. (source: Yahoo Answers: https://answers.yahoo.com/question/index?qid=20080807185043AAlPQa3)

The US uses 18.89 million barrels of oil a day. Of that, “The United States imported approximately 9.9 million barrels per day (MMbbl/d) of petroleum in 2013 from about 80 countries. Petroleum includes crude oil and refined petroleum products such as gasoline and diesel fuel, and biofuels including ethanol and biodiesel. In 2013, about 78% of gross petroleum imports were crude oil, and about 51% of the crude oil that was processed in U.S. refineries was imported.

‘The United States exported 3.6 MMbbl/d of crude oil and petroleum products in 2013, resulting in net imports (imports minus exports) of 6.2 MMbbl/d in 2013. Net imports accounted for 33% of the petroleum consumed in the United States, the lowest annual average since 1985.

“The top five source countries providing U.S. petroleum imports in 2013 were Canada, Mexico, Russia, Saudi Arabia, and Venezuela.  Their respective rankings vary based on gross petroleum imports or net petroleum imports (gross imports minus exports). Net imports from Organization of the Petroleum Exporting Countries (OPEC) countries accounted for 56% of U.S. net imports.”

(US Energy Information Administration http://www.eia.gov/tools/faqs/faq.cfm?id=727&t=6)

Oil, more than any other single commodity has a direct impact on our lives and living standards. The recent decrease in oil prices is great; or is it?

According to Moody’s Investors Service, (this issue includes an article from Moody’s on this topic) it’s good for some markets/industries while creating problems for others. While individuals are probably enjoying the lower prices some are beginning to suffer as oil-industry related jobs are going through serious negative change. According to a friend who manages an heavy equipment parts and service operations in Odessa TX, hiring has been put on hold as has overtime, extended travel and other services.

Our ACP Associate Publisher for Texas Contractor, Walt Robertson, expressed his concerns stating, “I’m sure everyone is aware of the price dropping of a barrel of oil! And we are all enjoying the low cost of a gallon of gas for our vehicles – That is great news for us – the consumer of general/normal everyday goods!

However – The news is not good for our equipment dealers ( our advertisers ) in the Oil Patch; Texas , Oklahoma, Louisiana and editor added: the Dakotas… Rumblings are taken place in the number of rig permits that are being sought , consolidation  with some of the smaller drilling companies , expansion plans for building of new corporate facilities are being slowed , corporate relocations are being put on hold , already 2 new massive refinery projects have been put on the shelf , layoffs in the thousands are taking place! It is too early to say what will happen as the years progresses – I lived in Houston during the 1980’s when they had their last oil bust – it was not pretty! Texas is a lot better now than it was then

“I’m not trying to paint a gloomy picture of our market – just giving you the facts on what is going on now. We still have a lot of work in the “ pipeline “ … With all the people that have moved into Texas the past 3 years ( 1250 people per day! ) we have school construction , residential & shopping expansion going on , the airports & ports are seeing construction activity and even class A new office building construction is good . If TxDOT receives the money they are seeking for infrastructure expansion – Texas should have a good 2015! Now – if these new Texans decide to move back to their home states??? 

Wells Fargo Reports: Regional Effects of the Oil Price Slump

Oil- and gas-related businesses are cutting capital budgets and implementing layoffs in the face of the continued slide in oil prices. The bulk of the burden is falling on just a handful of states. Energy-Producing States Brace for Job Losses The ongoing fall in oil prices will hurt domestic producers, squeeze their profits and reduce their capital spending and exploration efforts. Producers are not the only ones who will feel the squeeze. The decline in capital spending and exploration will also hurt support businesses, manufacturers of related equipment, and possibly spill over to firms that build pipelines, transport oil and sell the commodity. Weakness in the domestic oil and gas industry has contributed to a downward adjustment of our forecast for business fixed investment for the first quarter of 2015. The sharp pullback in oil- and gas-related investment and employment will largely be concentrated in energy producing states, while the benefits of cheaper gas will be more equitably divided among the entire nation.For full report visit: http://www.sitekconstructionzone.com/?s=Wells+Fargo+Reports%3A+Regional+effectsNext time you fill up look around and see all that we do with oil; besides fueling our vehicles we power our lifestyle. 

New Equipment From Dynapac, CAT, Ditch Witch, I-Rock, Hitachi, IMT, Doosan and John Deere

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The True Cost of Workplace Injuries

Workplace Injuries