Filed Wednesday, July 15. 2009
Before spending billions of dollars on infrastructure, let's make sure everyone knows what infrastructure consists of.
In March, I submitted a white paper - Intelligent Infrastructures: Insuring Security for Regional Sustainability and was invited to speak at the upcoming US Dept. of Homeland Security's Workshop on Aging Infrastructure at Columbia University in New York City, July 21st - 23rd.
This paper reflects new core concepts because trade routes have become electronic. The need to be close to digital highways is as important as traditional highways. The infrastructure is the platform for commerce which provides regional sustainability.
Broadband connectivity (multi-gigabit speeds) is now one of the top three criteria for corporate site selection committees. Ten years ago, it was not even on the list of requirements.
The paper also points out the "report card" that the American Society of Civil Engineers published in January of this year which rates various layers of the infrastructure but omits network infrastructure in their review:
CRITICAL U.S. Infrastructure Report Cards, 2001-2009: From the American Society of Civil Engineers (ASCE) (http://www.asce.org/reportcard/2009/index.html )
All of these layers of infrastructure cohesively relate to regional viability and the capability of attracting new business development, whether they are corporate facilities or other job creating endeavors.
Unfortunately, by not including network infrastructure, the “report card” assessment is far from being complete. If we could add network infrastructure to this assessment, it would make it more complete. We would have to give network infrastructure a failing grade.
TIF DISTRICTS ARE NOT WHAT THEY USED TO BE
Infrastructure is one of the first things corporate site selection committees review when looking for a new site. If a municipality wants to attract more potential developers, they can create a TIF district where the developer can get some financial help by getting certain amenities built and paid for by TIF funding.
A Tax Increment Financing (TIF) District was designed to boost the possibilities to re-develop land in municipalities to attract a higher level of development by offering some incentives for adding infrastructure and other improvements for the developer.
From my white paper discussing this subtle change in using TIF districts:
Traditional economic development in many American municipalities consisted of selecting a site, creating a TIF (Tax Increment Financing) district around it and then with a lot of fanfare, proclaiming that this area was “great for business and commerce”. Hopefully, it would attract a higher caliber of development. Some TIF districts have been successful, but many recently created ones are still standing vacant as the initial hype has worn off, but no major developments have moved in.
Proclaiming a place is “great for business and commerce” is not the same as preparing it for business and commerce. Corporate site selection committees are getting more discerning. Whether they are looking at a self-contained campus or a site within a shared campus environment, corporations are getting more selective in what properties they will consider to build facilities on. These properties have to show pre-built infrastructure in order to gain in the rankings of possible sites to be included in a short list.
OTHER AREAS BEING COVERED
Other national speakers, including architects, professors from New York and Columbia Universities, at this conference are focusing on various topics including:
“Infrastructure Investment and Stimulus Package: Short and Long Term Impacts”
“Aging Cables in Suspension Bridges”
Five Integrated Aspects of Aging Infrastructure Management: A Basis for Decision-Making at the United States Army Corps of Engineers (USACE)”
“Stakeholders Perspective on Multi-hazards and Bridge Security”
“Transportation Infrastructures of the Future: Overview”
This conference should be a good forum to exchange ideas of not only what the major obstacles are for cities, but also shed light on a better approach for prioritizing projects. Federal stimulus money should be spent on worthwhile infrastructure projects that will have a residual value and benefit to communities across the country.
Carlinism: Aging infrastructure is also being maintained by aging concepts that have to be updated.
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