Red River Valley Association

RED RIVER NAVIGATION INITIATIVES February 20, 2020

Presentation by Richard Brontoli Executive Director J. Bennett Johnston Waterway 12’ Channel Initiative • Authorized 9’ – Need 12’ • 3’ More per Barge, 6 Barge Tow Would Carry Equivalent of 8 Barges • Reduce the Cost Per Ton • Waterborne is Only Competition to Long Haul Rail – More Companies Use Water • Over 90% of Waterway is 12’ or Greater • All major Waterways Authorized to 12’ • Conduct a Feasibility Study Future Red River Navigation

PRIMARY GOAL: To make improvements to the Red River in Louisiana, Arkansas, & , by continuing navigation from Shreveport, LA to Denison (). FULTON

Lock & Dam 8

Lock & Dam 7

Lock & Dam 6 Project History • The Corps completed a reconnaissance study in that concluded the project did not have benefits to move forward. • 2014 Red River Trust Fund was zeroed out & ARRC lost staff. • RRVA Assumed Admin Responsibility. • 2015 The State provided funds ($1 M) to the ARRC for Contributed funds for the Corps to conduct one last update of the economic benefits. Determine Go or No Go! • The Corps hired an A/E with study experience. • The economic update was completed in July 2018 and was successful in identifying sufficient benefits to move the project forward. – 1.8 BCR for a two lock alternative to Garland – 1.2 BCR for a three lock alternative to Index • On 10 June 2019, the ARRC was notified that the feasibility study was now in resumption and is moving forward. Type of Cargo

• Agriculture Products & Chicken Feed BENEFITS – Non Traditional

• Air emission reductions and related health benefits • Reduced fuel consumption • Reduced accidents • Reduced road travel time • Reduced highway maintenance costs Economic Justification • Project must be economically justified • Benefits must exceed costs • Benefit-to-cost ratio of 1.0 or greater based solely on Commercial Navigation • Then add other benefits: Recreation, hydropower, water supply, ecosystem, etc. Path Forward

• Complete the full feasibility study which would include: – Revised Economic Update – Preliminary Engineering – Environmental Impact Statement – Associated Planning Documents Courses of Action to Complete

• Continue on current course and allow the Corps to complete the feasibility study. - Cost Share for ARRC is 50/50 - Federal Control • Complete the feasibility study through a Section 203. - 100% Cost is ARRC - ARRC Control and Corps Technical Assistance Traditional Corps Approach

• The Corps will use their new SMART Planning procedure. • SMART Planning’s goal is to complete the study in three years for three million dollars that would be cost shared with the ARRC at 50/50. • However, the goal of completing this effort within budget and within the time frame rarely occurs especially for “New Start” studies such as this. • Federal navigation feasibility budgets have continued to decrease leading to extended timelines and budget overruns. • Is there a Federal desire for a new Waterway? Section 203

• In a Section 203, the Arkansas Red River Commission would complete the feasibility study via a consulting firm who specializes in the Navigation civil works analysis. • Assistance would be provided by the Corps to provide oversight and technical assistance to ensure federal process is followed. • Once completed, the feasibility study would be turned over to the Assistant Secretary of the Army (CW) for review and approval. • If approved, the study would then be moved into the final engineering and construction phases. Section 203 • Timeline to complete a Section 203 would be three years from the time funds are allocated and a consulting firm is selected • Estimated cost to complete is $3 million • Proposed partnership with Louisiana - $1.5 m Arkansas & $1.5 m Louisiana • A joint committee (AR & LA) would retain control over the feasibility study to ensure the work is being done correctly and all options are being considered: - Navigation - Water Supply - Power Generation - Flood Control - Recreation Benefits to LA & AR • Construction of L&Ds, dikes & revetments north of Shreveport-Bossier City ($400+ m each). • Bank stabilization and an established river channel north of Shreveport-Bossier City. • Bank stabilization through Arkansas will greatly reduce silt in Louisiana. • Dependable year round water supply with pool. • Flood control could be incorporated in L&D design. Benefits to LA & AR

• Existing flood control reservoirs can be reevaluated for flood reduction and navigation. • Safe, year round recreation and tournament opportunities. • Industry that needs 1 or 2 barges share tows taking barges into Arkansas increasing waterway users. Planning for the Future

• If the feasibility study is approved there are still hurtles to overcome • Estimated cost to construct the 3 L&D project is over $1.5 B – is there a federal desire for a new construction project and O&M? • The Arkansas Red River Commission is considering the P3 or “Public Private Partnership” alternative to a traditional federal navigation project – Toll Waterway Toll Waterway • In a P3 scenario, the Arkansas Red River Commission would enlist a private investment group(s) to fund the final engineering and construction of the project • In return, the private investment firm group(s) could recoup their investment through a variety options that this project would allow • Return on investments could include: - Fuel Tax – instead of going to Inland Waterway Trust Fund - Tolls on Lockages - Sale of Water - Hydropower Generation - Port Throughput Fees DFW NAVIGATIONAL HISTORY Dallas/Ft. Worth has lusted after river navigation since the late 1890s when the last steam ship made it up the Trinity River from the Gulf of Mexico to Dallas. Now, the Trinity River is dammed at Lake Livingston, making it difficult for the possibility of making the Trinity River navigable to the DFW area. Only top 10 economic region w/o a Port! Is the Red River a possible solution? If DFW Wants a Port They Have Political Clout and $$$. Navigation to Denison Dam • Texas Legislation Passed for Red River Authority of TX to Investigate Navigation from Texarkana to Denison Dam. • North Central TX COG committed $500,000 to investigate navigation. • Corps Tulsa District has a Comprehensive Technical Report (1989) for this Stretch. • Considering Corps Planning Assistance to States to Move Initiative Forward – leverage NCTCOG funds. • Consider Creating an Authority (Like TVA) for TX, OK, Chickasaw & Choctaw Nations – Include AR & LA? A “Toll Waterway” Past Shreveport. Container on Barge Questions?

Richard Brontoli

[email protected]

318-393-6207