What's Happening?
The U.S. Army Corps of Engineers is encountering significant challenges in delivering inland waterways infrastructure projects, such as locks and dams, on time and within budget. A study by HDR, Inc., commissioned by the Waterways Council, Inc., highlights
systemic issues that have led to cost overruns and delays in project completion. Since 1987, only ten projects aimed at modernizing or expanding locks have been completed, with an average cost overrun of 33%. The study identifies inadequate or uncertain funding as a historical issue, but notes that challenges persist even after a $2.9 billion infusion from the 2021 bipartisan infrastructure bill. Key recommendations include treating the waterways as a holistic system, improving cost estimation, using standard designs, and expanding site investigations. The study also suggests creating a centralized program management office and utilizing 3D modeling to enhance project delivery.
Why It's Important?
The efficient delivery of inland waterways projects is crucial for the U.S. economy, as these infrastructures support the transportation of goods and materials. Delays and cost overruns can hinder economic growth and affect industries reliant on these waterways. The study's recommendations aim to improve project execution, which could lead to more reliable and efficient infrastructure, benefiting industries and consumers alike. The involvement of the Office of Management and Budget (OMB) is critical, as their support is needed to implement many of the proposed solutions. The study underscores the importance of collaboration among the Corps, industry stakeholders, Congress, and the Administration to address these challenges effectively.
What's Next?
The implementation of the study's recommendations will require coordination and approval from the OMB, particularly concerning programmatic funding and systemic management approaches. The Corps will need to work closely with industry stakeholders and government entities to align on strategies that enhance project delivery. The Waterways Council, Inc. has expressed its commitment to supporting these efforts, emphasizing the need for collaboration to improve the reliability of the nation's inland waterways system. Future steps may involve legislative or policy changes to facilitate the adoption of alternative delivery methods and continuing contracts that could mitigate risks and improve outcomes.
