Prepared for: U.S. – Mexico Joint Working Committee January 2004 401 B Street, Suite 800 San Diego, CA 92101 (619) 595-5353 ACKNOWLEDGEMENTS Special thanks to many individuals that contributed to this study. The following list is organized by organization. SourcePoint: Marney Cox, Project Manager, Chief Economist Elisa Arias Santiago Dávila Oliver Kaplan Rosalind Lates Amir Masliyah Michael Williams California Department of Transportation: Mark Baza U.S. Federal Highway Administration: Lisa Dye Sylvia Grijalva Frederick Werner U.S. General Services Administration: Larry Warner Mexican Secretariat of Communication and Transportation: Claude Cortez Juan José Erazo Oscar Ringenbach San Diego Association of Governments: John Hofmockel Steve Kunkel Hector Vanegas Mark Woodall The ten state representatives of the BINS Technical Committee: Arizona – Arnold Burnham Baja California – Arq. Carlos López Rodríguez California – Sergio Pallares Chihuahua – Ing. Joaquin Barrios Coahuila – Ing. Noe Garcia Riojas New Mexico – Adrian Apodaca Nuevo León – Ing. Evaristo Gaytan and Ing. Oscar Sosa Sonora – Ing. Hector Garcia Tamaulipas – Ing. Ernesto Morris Delgado Texas – Mary DeLeon ii TABLE OF CONTENTS CHAPTER 1. INTRODUCTION .......................................................................................................3 BACKGROUND........................................................................................................................3 RELATED JWC PROJECTS .........................................................................................................4 LITERATURE AND LEGISLATIVE REVIEW ..................................................................................5 SCOPE OF WORK.....................................................................................................................5 PARTICIPANTS .........................................................................................................................6 ORGANIZTION OF THE REPORT ...............................................................................................7 CHAPTER 2. BORDER TRANSPORTATION INFRASTRUCTURE NEEDS ASSESSMENT ...............11 U.S.-MEXICO BORDER REGION..............................................................................................11 NATIONWIDE IMPACTS OF BORDER TRADE ..........................................................................14 GROWTH IMPACTING TRANSPORTATION INFRASTRUCTURE.................................................17 CHAPTER 3. BORDER TRANSPORTATION CORRIDOR EVALUATIONS......................................27 BACKGROUND......................................................................................................................27 IDENTIFICATION OF MAJOR TRANSPORTATION CORRIDORS IN THE BORDER REGION...........31 CORRIDOR EVALUATION PROCESS........................................................................................31 CORRIDOR EVALUATION TOOL .............................................................................................32 RESULTS ................................................................................................................................38 CORRIDORS IN THE BORDER REGION ...............................................................................38 CORRIDORS BY COUNTRY ................................................................................................43 CORRIDORS BY STATE ......................................................................................................49 ARIZONA .........................................................................................................................49 BAJA CALIFORNIA............................................................................................................52 CALIFORNIA.....................................................................................................................56 CHIHUAHUA ....................................................................................................................59 COAHUILA .......................................................................................................................62 NEW MEXICO...................................................................................................................65 NUEVO LEÓN...................................................................................................................68 SONORA ..........................................................................................................................71 TAMAULIPAS ...................................................................................................................74 TEXAS ..............................................................................................................................78 CHAPTER 4. PLANNED TRANSPORTATION PROJECTS ON BORDER CORRIDORS....................85 SUMMARY OF THE BORDER REGION.....................................................................................86 SUMMARY BY COUNTRY ......................................................................................................87 UNITED STATES ................................................................................................................87 MEXICO ...........................................................................................................................89 SUMMARY BY STATE ............................................................................................................90 iii ARIZONA .........................................................................................................................90 BAJA CALIFORNIA............................................................................................................91 CALIFORNIA.....................................................................................................................93 CHIHUAHUA ....................................................................................................................94 COAHUILA .......................................................................................................................95 NEW MEXICO...................................................................................................................96 NUEVO LEÓN...................................................................................................................98 SONORA ..........................................................................................................................98 TAMAULIPAS ...................................................................................................................99 TEXAS ............................................................................................................................ 100 BINS DATA ISSUES RELATED TO PROJECTS .......................................................................... 101 DATA ISSUES .................................................................................................................. 101 CHAPTER 5. FINANCING OPTIONS FOR BORDER TRANSPORTATION INFRASTRUCTURE .................................................................................................................... 105 MEXICAN TRANSPORTATION PLANNING AND FINANCING PROCESSES ................................ 105 THE UNITED STATES’ TRANSPORTATION PLANNI NG PROCESS ............................................. 111 COMPARING THE TRANSPORTATION PLANNING PROCESSES IN MEXICO AND THE U.S........ 120 INTRODUCTION TO INNOVATIVE FINANCE.......................................................................... 122 AN INVENTORY OF FINANCE OPTIONS ................................................................................ 123 MEXICO CONVENTIONAL AND INNOVATIVE FINANCING OPTIONS................................. 123 U.S. CONVENTIONAL AND INNOVATIVE FINANCING OPTIONS ....................................... 124 MEXICO EMERGING FINANCING OPTIONS ...................................................................... 125 U.S. EMERGING FINANCING OPTIONS ............................................................................. 125 BINATIONAL EMERGING FINANCING OPTIONS ............................................................... 125 INNOVATIVE FINANCE OPTIONS AVAILABLE FOR MEXICO .................................................. 126 INNOVATIVE FINANCE OPTIONS CURRENTLY AVAILABLE IN MEXICO............................. 126 EMERGING FINANCE OPTIONS JURISDICTIONS IN MEXICO MAY CONSIDER.................... 131 INNOVATIVE FINANCE OPTIONS AVAILABLE FOR THE U.S................................................... 132 INNOVATIVE FINANCE OPTIONS CURRENTLY AVAILABLE IN THE U.S. ............................ 132 EMERGING FINANCE OPTIONS JURISDICTIONS IN MEXICO MAY CONSIDER.................... 139 CHAPTER 6. SUGGESTED LEGISLATIVE PROVISIONS AND CONSIDERATIONS FOR FUTURE WORK ......................................................................................................................... 143 SUGGESTED LEGISLATIVE PROVISIONS ................................................................................ 143 SUGGESTED LEGISLATIVE PROVISIONS FOR MEXICO ...................................................... 143 SUGGESTED LEGISLATIVE PROVISIONS FOR UNITED STATES ........................................... 144 FUTURE WORK.................................................................................................................... 144 DATABASE SYSTEM PLAN .............................................................................................