SEVEN PORTALS STUDY an Investigation of How Economic Development Can Be Encouraged in North Carolina Through Infrastructure Investment
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SEVEN PORTALS STUDY An Investigation of How Economic Development Can be Encouraged in North Carolina Through Infrastructure Investment Master Report Final December 31, 2011 Cover illustrations by Sherman Architect, PLLC Used with permission from the Piedmont Triad Partnership Seven Portals Study An Investigation of How Economic Development Can Be Encouraged in North Carolina Through Infrastructure Investment MASTER REPORT By George F. List, Ph.D., P.E. Study Principal Investigator and Professor Department of Civil, Construction and Environmental Engineering North Carolina State University with key faculty and staff at: East Carolina University NC A&T State University NC State University UNC Chapel Hill UNC Charlotte UNC Greensboro and Larry R. Goode, Ph.D., P.E., consultant Mr. Dave Hauser, Piedmont Triad Regional Partnership For the Governor’s Logistics Task Force and The North Carolina Department of Transportation Final Report December 31, 2011 Seven Portals Study Disclaimer The contents of this report reflect the views of the authors and not necessarily the views of the University. The authors are responsible for the facts and the accuracy of the data presented herein. The contents do not necessarily reflect the official views or policies of the North Carolina Governor’s Office, the North Carolina Department of Transportation, the North Carolina Department of Commerce, nor any other state agency or state authority at the time of publication. This report does not constitute a standard, specification, or regulation. Seven Portal Study Page ii Acknowledgements This report is the result of dedicated efforts by a diverse study team. Each individual mentioned contributed in some significant way towards the report content. Study team members included: NCSU/ITRE Team Dr. George List, P.E. – Principal Investigator responsible for and involved in all aspects of the entire project, lead writer, editor Mr. Robert Foyle, P.E. – Co-Principal Investigator responsible for and involved in all aspects of the entire project, lead writer, editor, Research Triangle Regional Partnership team leader Dr. Alixandra Demers, P.E. – Steering Group member, assistant project manager, report formatter and editor, recorder of meeting minutes, and Research Triangle Regional Partnership team member Dr. John Stone – Advantage West team leader Mr. Daniel Findley, P.E. – Advantage West team member Other Universities Dr. John Kasarda, UNC-Chapel Hill – Steering Group member, North Carolina’s Eastern Region team member Dr. Daniel Rodriguez, UNC-Chapel Hill – Steering Group member, North Carolina’s Eastern Region team member Dr. Steven Appold, UNC-Chapel Hill – North Carolina’s Eastern Region team member Dr. Gary Teng, UNC-Charlotte – Charlotte Regional Partnership team member Dr. Edd Hauser, UNC-Charlotte – Charlotte Regional Partnership team member Dr. Joyendu Bhadury, UNCG – North Carolina’s Southeast team member Mr. Sam Troy, UNCG – North Carolina’s Southeast team member Dr. Michael Smith, Western Carolina University – Advantage West team member Dr. Kay Dobie, NCA&T – Piedmont Triad Partnership team member Dr. Leslie Pagliari, East Carolina University – North Carolina’s Northeast team member Dr. Richard Monroe, East Carolina University – North Carolina’s Northeast team member Consultants Dr. Larry Goode, P.E. – Steering Group member, strategist, writer Mr. Dave Hauser – Strategist, Piedmont Triad Partnership team member The study team greatly appreciates the support and invaluable contributions and guidance from the North Carolina Department of Transportation, the North Carolina Department of Commerce, the members of the Governor’s Logistics Task Force (see next page) and the staff assigned to support the Task Force. Additionally, extensive contacts were made within each commerce region with public and private sector individuals deemed to have relevant input to the study. This study could not have been completed without the cooperation and insights from all of these individuals. The separate region reports contain the organizations and names of individuals contacted as part of this study. Seven Portal Study Page iii Governor Perdue’s Logistics Task Force Membership Walter Dalton NC Lt. Governor, Chair Al Delia Senior Advisor to the Governor Gene Conti Secretary, NC Department of Transportation Keith Crisco Secretary, NC Department of Commerce Dee Freeman Secretary, NC Department of Environment and Natural Resources Clark Jenkins Member, NC State Senate Michael Walters Member, NC State Senate Nelson Cole Member, NC House of Representatives Danny McComas Member, NC House of Representatives Dawn Clegg Arvin-Meritor Allen Joines Mayor, Winston-Salem Dan Danieley Manager, Burlington-Alamance Regional Airport Patricia Long Vice-Chair, Longistics International Earl Brinkley Director of Global Logistics, John Deere, retired Guy Shavender Shavender Trucking Dee Blackwell Executive Director, Western Piedmont Council of Governments Terry Bellamy Mayor, Asheville Thomas Eagar CEO, NC Ports Authority John Atkins III Chair, North Carolina Railroad Jerry Orr Manager, Charlotte Douglas International Airport Bob Morgan President, Charlotte Chamber of Commerce S. Gary Teng Director, Center for Logistics, UNC Charlotte Paul Kauffmann Chair, ECU Department of Engineering Larry Wooten President, NC Farm Bureau Gen. Beth Austin Brigadier General, Assistant Adjutant General to the Army, NC National Guard David Willauer Manager, Transportation & Geospatial Technologies Division, IEM, Inc. David Congdon President and CEO, Old Dominion Freight Line Lewis Ebert President and CEO, North Carolina Chamber Joseph S. Stephens Managing Director, AGFS Lighthouse District, FedEx Express Paul Friday Deputy AC/S G-5, Director Government and External Relations, MCIEAST Seven Portal Study Page iv Table of Contents LIST OF ACRONYMS ............................................................................................................... ix EXECUTIVE SUMMARY .......................................................................................................... 1 1 INTRODUCTION ................................................................................................................... 4 1.1 METHODOLOGY ..................................................................................................................... 4 1.2 GUIDE TO THE REPORT ......................................................................................................... 5 2 BACKGROUND AND CONTEXT ....................................................................................... 6 2.1 THE 2008 STATEWIDE LOGISTICS PLAN STUDY ................................................................... 6 2.2 PARTNERING WITH THE BUSINESS SECTOR ........................................................................ 12 2.3 GLOBAL TRENDS ................................................................................................................. 16 2.4 NATIONAL AND NORTH CAROLINA TRENDS ....................................................................... 19 2.4.1 POPULATION TRENDS ......................................................................................................... 19 2.4.2 GENERAL TRENDS IN NORTH CAROLINA ............................................................................ 21 2.4.3 ECONOMIC TRENDS ............................................................................................................ 23 2.4.4 EMPLOYMENT TRENDS ....................................................................................................... 25 2.4.5 SECTORS OF EMPHASIS ....................................................................................................... 26 2.4.6 COMMODITY FLOW TRENDS ............................................................................................... 29 2.4.7 TRUCKING CORRIDORS....................................................................................................... 32 2.4.8 RAIL CORRIDORS ............................................................................................................... 33 2.4.9 SEAPORTS ........................................................................................................................... 36 2.4.10 AIRPORTS ......................................................................................................................... 39 2.5 LOGISTICS VILLAGES .......................................................................................................... 41 2.6 SUMMARY............................................................................................................................. 49 3 SUPPORTING COMMERCE ............................................................................................. 50 3.1 AGRICULTURE ..................................................................................................................... 51 3.2 MILITARY SUPPORT ............................................................................................................ 55 3.3 AEROSPACE .......................................................................................................................... 58 3.4 TRANSPORTATION AND DISTRIBUTION ............................................................................... 59 3.5 MANUFACTURING ................................................................................................................ 61 3.6 HEALTH AND WELLNESS ....................................................................................................