South Dakota’s transportation system faces mounting challenges in the form of deteriorated roads and bridges, high rates of rural traffic fatalities, increasingly crowded roads, stifled economic development, and 
insufficient funding. Increased investment in transportation improvements at the local, state and federal levels could improve road and bridge conditions, boost safety, increase roadway efficiency and support long-term economic growth in South Dakota, according to a new report released today by TRIP, a Washington, DC based national transportation organization.
The TRIP report, “South Dakota’s Top Transportation Challenges: Meeting the State’s Need for Safe and Efficient Mobility,” finds that pavement conditions on state-maintained roads are projected to deteriorate significantly over the next decade. The report also finds that approximately one quarter of South Dakota’s locally and state-maintained bridges are structurally deficient or functionally obsolete, the state’s major urban roads are becoming increasingly congested and the fatality rate on South Dakota’s roads is significantly higher than the national average.
Currently, two percent of state-maintained roads and highways in South Dakota are in poor condition, while nine percent are in fair condition and 89 percent are in good or excellent condition. However, by 2024, under current funding levels, the share of state-maintained roads in poor condition is projected to rise to 25 percent. Thirty-nine percent of county-maintained roads in South Dakota are in failing or in poor condition, while 28 percent of township-maintained roads are either closed or in poor condition. To maintain pavement conditions at their current level, South Dakota municipal and township governments would have to increase their annual road and highway investment by 46 percent. Making significant improvements in road and bridge conditions would require a doubling of current investment. Driving on rough roads costs all South Dakota motorists a total of $206 million each year in the form of extra vehicle operating costs. These costs include accelerated vehicle depreciation, additional repair costs, and increased fuel consumption and tire wear.
“Roads, bridges and highways are essential for business to operate and are a basic function of government,” said Evan Nolte, president and CEO of the Sioux Falls Chamber of Commerce. “This report brings a sharp focus on the needs and will be invaluable in helping seek policies that will keep South Dakota’s infrastructure strong.”
South Dakota’s bridges are also increasingly deteriorated. Twenty percent of South Dakota’s bridges are structurally deficient, the fourth highest share in the nation. Structurally deficient bridges have significant deterioration of the bridge deck, supports or other major components. These bridges are often posted for lower weights or closed to traffic restricting or redirecting large vehicles, including commercial trucks and emergency response vehicles. An additional four percent of South Dakota’s locally and state-maintained bridges are functionally obsolete. Bridges that are functionally obsolete no longer meet current design standards, often because of narrow lanes, inadequate clearances or poor alignment. At the current rate of transportation funding, it will take 40 years to replace the state’s county bridges that are currently in need of replacement.
Traffic crashes in South Dakota claimed the lives of 650 people between 2009 and 2013, an average of 130 fatalities each year. The state’s overall traffic fatality rate of 1.48 fatalities per 100 million vehicle miles of travel is significantly higher than the national average of 1.09. South Dakota’s rural non-Interstate roads have significantly higher rates of fatal crashes, with a traffic fatality rate of 2.19 fatalities per 100 million vehicle miles of travel, more than two-and-a-half times the 0.80 fatality rate on all other roads and highways in the state. Each year, South Dakota motorists lose $164 million in the form of financial costs due to traffic crashes, including insurance costs and lost household productivity.
The efficiency and condition of South Dakota’s transportation system, particularly its highways, is critical to the health of the state’s economy. Annually, $27 billion in goods are shipped from sites in South Dakota and another $28 billion in goods are shipped to sites in South Dakota, mostly by truck.
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.
“These conditions are only going to get worse if greater funding is not made available at the local, state and federal levels,” said Will Wilkins, TRIP’s executive director. “Congress can help by approving a long-term federal surface transportation program that provides adequate funding levels, based on a reliable funding source. If not, South Dakota is going to see its future federal funding threatened, resulting in fewer road and bridge improvements, loss of jobs, and a burden on the state’s economy.”
SOUTH DAKOTA’S TOP TRANSPORTATION CHALLENGES:
Meeting the State’s Need for Safe and Efficient Mobility
Executive Summary
South Dakota’s extensive system of roads, bridges and highways provides the state’s residents, visitors and businesses with a high level of mobility, while acting as the backbone that supports the state’s economy. South Dakota’s transportation system enables the state’s residents and visitors to travel to work and school, visit family and friends, and frequent tourist and recreation attractions while providing businesses with reliable access to customers, materials, suppliers and employees.
However, the state faces numerous challenges in providing a transportation system that is safe, well-maintained, efficient and adequately funded. As South Dakota works to retain its quality of life, maintain its level of economic competitiveness and achieve further economic growth, the state will need to preserve, maintain and modernize its roads, highways and bridges by improving the physical condition of its transportation network and enhancing the system’s ability to provide efficient and reliable mobility for motorists and businesses. Making needed improvements to South Dakota’s roads, highways and bridges could also provide a significant boost to the state’s economy by creating jobs in the short term and stimulating long term economic growth as a result of enhanced mobility and access.
South Dakota must improve its system of roads, highways and bridges to foster economic growth and keep businesses in the state. In addition to economic growth, transportation improvements are needed to ensure safe, reliable mobility and quality of life for all residents. Meeting South Dakota’s need to modernize and maintain its system of roads, highways and bridges will require significant local, state and federal funding.
The federal government is a critical source of funding for South Dakota’s surface transportation system. In July, Congress approved an eight-month extension of the federal surface transportation program, MAP-21 (Moving Ahead for Progress in the 21st Century Act), which provides states with road, highway, bridge and transit funding through May 31, 2015.
TRANSPORTATION CHALLENGE: Deteriorated Pavement Conditions
While state-maintained roads and highways are currently in good condition, at current funding levels they will deteriorate significantly over the next decade, falling into a state of disrepair similar to locally maintained roads and highways in the state.
· State-maintained roads and highways in South Dakota account for 9.5 percent of total mileage, but carry 67 percent of vehicle miles of travel and 81 percent of travel by large trucks.
· Two percent of state-maintained roads and highways have pavements in poor condition, nine percent are in fair condition and 89 percent are in good or excellent condition.
· In 2024, under current funding levels, 25 percent of state-maintained roads and highways will have pavements in poor condition, 27 percent will be in fair condition and 48 percent will be in good or excellent condition.
· Thirty-nine percent of county-maintained roads in South Dakota are in failing or poor condition, 32 percent are in fair condition and 30 percent are in good and excellent condition.
· Twenty-eight percent of township-maintained roads in South Dakota are either closed or in poor condition, 25 percent are in fair condition and 47 percent are in good or excellent condition.
- Roads rated in poor condition may show signs of deterioration, including rutting, cracks and potholes. In some cases, poor roads can be resurfaced, but often are too deteriorated and must be reconstructed.
- Driving on rough roads costs all South Dakota motorists a total of $206 million annually in extra vehicle operating costs (VOC). Costs include accelerated vehicle depreciation, additional repair costs, and increased fuel consumption and tire wear.
TRANSPORTATION CHALLENGE: Large Share of Deficient Bridges
Approximately a quarter of locally and state-maintained bridges (20 feet or longer) in South Dakota show significant deterioration or do not meet current design standards often because of narrow lanes, inadequate clearances or poor alignment.
· Twenty percent of South Dakota’s bridges are structurally deficient, the fourth highest share in the nation. 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 and emergency services vehicles.
· Twenty-eight percent of bridges in South Dakota (20 feet or longer) are state-maintained and 72 percent are maintained by local governments.
A significantly greater share of locally-maintained bridges — 28 percent — are structurally deficient than are state-maintained bridges – five percent.
The current backlog to replace the 1,045 county-maintained bridges in need of replacement is $240 million.
- Four percent of South Dakota’s locally and state-maintained bridges are functionally obsolete. Bridges that are functionally obsolete no longer meet current highway design standards, often because of narrow lanes, inadequate clearances or poor alignment.
TRANSPORTATION CHALLENGE: High Traffic Fatality Rates
Improving safety features on South Dakota’s roads and highways would likely result in a decrease in traffic fatalities and serious crashes. It is estimated that roadway features are likely a contributing factor in approximately one-third of all fatal and serious traffic crashes.
- Between 2009 and 2013 a total of 650 people were killed in traffic crashes in South Dakota, an average of 130 fatalities per year.
- South Dakota’s overall traffic fatality rate of 1.48 fatalities per 100 million vehicle miles of travel in 2013 is significantly higher than the national traffic fatality rate of 1.09.
- The fatality rate on South Dakota’s rural non-Interstate roads was 2.19 fatalities per 100 million vehicle miles of travel in 2013, more than two-and-a-half times higher than the 0.80 fatality rate on all other roads and highways in the state.
· The annual cost of serious traffic crashes in South Dakota, in which roadway features were likely a contributing factor is approximately $164 million. These costs include medical costs, lost economic and household productivity, property damage and travel delays.
· Roadway features that impact safety include the number of lanes, lane widths, lighting, lane markings, rumble strips, shoulders, guard rails, other shielding devices, median barriers and intersection design. The cost of serious crashes includes lost productivity, lost earnings, medical costs and emergency services.
· 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.
· 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.
TRANSPORTATION CHALLENGE: State’s Economic Growth Threatened by Deteriorated Roads, Lack of Adequate Highways
The efficiency of South Dakota’s transportation system, particularly its highways, is critical to the health of the state’s economy. Increased deterioration of South Dakota’s roads and bridges and the lack of needed transportation improvements to serve economic development threaten the state’s economic vitality. New research indicates that the cost of making needed road, highway, and bridge improvements is far less than the potential loss in state economic activity caused by a lack of adequate road, highway and bridge preservation.
· South Dakota’s key economic sectors — agriculture, manufacturing, tourism, mining, finances and health care — are highly reliant on an efficient and well-maintained transportation system.
· South Dakota’s population reached approximately 845,000 in 2013, a 21 percent increase since 1990. South Dakota had 606,779 licensed drivers in 2012.
· Vehicle miles traveled (VMT) in South Dakota increased by 31 percent from 1990 to 2013 – from 7 billion VMT in 1990 to 9.1 billion VMT in 2013. By 2030, vehicle travel in South Dakota is projected to increase by another 20 percent.
· From 1990 to 2013, South Dakota’s gross domestic product, a measure of the state’s economic output, increased by 104 percent, when adjusted for inflation, far above the national average of 65 percent.
· Annually, $27 billion in goods are shipped from sites in South Dakota and another $28 billion in goods are shipped to sites in South Dakota, mostly by truck. Seventy-seven percent of the goods shipped annually from sites in South Dakota are carried by trucks and another fifteen percent are carried by courier services or multiple mode deliveries, which include trucking.
· Increasingly, companies are looking at the quality of a region’s transportation system when deciding where to re-locate or expand. Regions with congested or poorly maintained roads may see businesses relocate to areas with a smoother, more efficient and more modern transportation system.
· Highway accessibility was ranked the number two site selection factor behind only the availability of skilled labor in a 2013 survey of corporate executives by Area Development Magazine.
TRANSPORTATION CHALLENGE: Deteriorated roads and bridges hamper economic growth
A 2014 report by the Oregon Department of Transportation (ODOT) concluded that allowing its state’s major roads, highways and bridges to deteriorate would result in significant reduction in job growth and reduced state gross domestic product (GDP) as a result of reduced economic efficiency.
· The ODOT report used a sophisticated model that integrates transportation, land use and economic activity to compare how an economy operates when a transportation system is well-maintained versus when it is allowed to deteriorate. The report found that deteriorated pavements, which result in a rougher and slower ride for vehicles, and deteriorated bridges, which need to be closed to heavy trucks, reduce economic productivity by increasing transportation costs.
· The report found that allowing roads and bridges to deteriorate reduces business productivity by increasing vehicle operating costs as a result of driving on rough roads, reducing travel speeds and increasing travel times because of route detours necessitated by weight-restricted bridges.
· As road and bridge conditions deteriorate, transportation agencies are likely to shift resources from preservation projects, which extend the service life of roads and bridges, to more reactive maintenance projects, which results in higher lifecycle costs, the report found. Transportation agencies are also likely to respond to increased road and bridge deterioration by shifting funds from modernization projects, which relieve congestion and increase business productivity, to maintenance projects.
· The ODOT report estimated that the road, highway and bridge deterioration anticipated over the next 20 years will result in Oregon creating 100,000 fewer jobs and generating $9.4 billion less in state GDP.
· Oregon could avoid losing 100,000 jobs and $9.4 billion in GDP through 2035 by spending an additional $810 million more on road, highway and bridge repairs – nearly a 12-to-1 return on investment, according to the ODOT report.
TRANSPORTATION CHALLENGE: Inadequate Transportation Funding
Without a significant boost in transportation funding at the local, state and federal level, the condition and efficiency of South Dakota’s surface transportation system will decline.
· Forty-one percent of revenue used for road, highway and bridge repairs in South Dakota comes from the federal government, 45 percent from state government and 14 percent from local governments.
· To maintain pavement conditions at their current level, South Dakota municipal and township governments would have to increase their annual road and highways investment by 46 percent, from $27 million to $39.5 million. Making significant improvements in road and bridge conditions would require that the state’s municipal and township governments more than double their annual investment to $57.5 million for a 10-year period.
· Fifty-seven out of 57 counties who responded to a 2014 survey by the South Dakota Association of County Commissioners (SDACC) said that they faced a lack of adequate funding to maintain their roads, highways and bridges.
· County governments responded in a 2014 SDACC poll that their primary concerns were that their road system is deteriorating faster than their budgets can cover rehabilitation and that most asphalt surfaces on their roads were at the end of their life-cycles.
· The South Dakota Department of Transportation (SDDOT) local bridge program provides approximately $6 million annually to local governments, which is enough to replace approximately 26 bridges annually. At this rate, it will take 40 years to replace the county bridges in South Dakota that are currently in need of replacement.
· 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.
· Signed into law in July 2012, MAP-21 (Moving Ahead for Progress in the 21st Century Act), has improved several procedures that in the past had delayed projects, MAP-21 does not address long-term funding challenges facing the federal surface transportation program.
· In July 2014, Congress approved the Highway and Transportation Funding Act of 2014, an eight-month extension of the federal surface transportation program, on which states rely for road, highway, bridge and transit funding. The program, initially set to expire on September 30, 2014, will now run through May 31, 2015. In addition to extending the current authorization of the highway and public transportation programs, the legislation will transfer nearly $11 billion into the Highway Trust Fund (HTF) to preserve existing levels of highway and public transportation investment through the end of May 2015.
· If Congress decides to provide additional revenues into the federal Highway Trust Fund in tandem with authorizing a new federal surface transportation program, a number of technically feasible revenue options have been identified by the American Association of State Highway and Transportation Officials (AASHTO).
· 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 AASHTO. 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.
· The 2015 AASHTO Transportation Bottom Line Report also found that the current backlog in needed road, highway and bridge improvements is $740 billion.
Sources of information for this report include the South Dakota 2014 Highway Needs and Financing Interim Committee, Federal Highway Administration (FHWA), the Bureau of Transportation Statistics (BTS), the U.S. Census Bureau, the American Association of State Highway and Transportation Officials (AASHTO), the Texas Transportation Institute (TTI), the South Dakota Department of Transportation (SDDOT), the South Dakota Association of County Commissioners, the South Dakota Association of Towns and Townships and the National Highway Traffic Safety Administration (NHTSA). All data used in the report is the latest available.