Mississippi Department of Transportation · 31 Conrad Yelvington Distributors 32 Vulcan Materials Company 33 Long Beach Harbor 34 Cedar Creek 35 Bay Motor Winding, Inc. 36 Chiquita

Gulfport, MS February 25, 2020

Canal Road (MS 601) Freight Corridor Improvement Project

Mississippi Department of Transportation

Basic Project Information:

What is the Project Name?Canal Road (MS 601) Freight Corridor Improvement Project

Who is the Project Sponsor? Mississippi Department of Transportation

Was an INFRA application for this project submitted previously? (If yes, please include title.)

No

Project Costs:

INFRA Request Amount: $112,800,000

Estimated federal funding (excluding INFRA): $37,600,000

Estimated non-federal funding: $37,600,000

Future Eligible Project Cost (sum of previous three rows): $188,000,000

Previously incurred project costs (if applicable): $174,900,000

Total Project Cost (sum of 'previous incurred' and 'future eligible'): $362,900,000

Are matching funds restricted to a specific project component? If so, which one?

No

Project Eligibility:

Approximately how much of the estimated future eligible project costs will be spent on components of the project currently located on the National Highway Freight Network (NHFN)?

$188,000,000, the new Canal Road (MS 601) corridor is currently on the NHFN as a proposed route on the Primary Highway Freight System Intermodal Connectors.

Approximately how much of the estimated future eligible project costs will be spent on components of the project currently located on the National Highway System (NHS)?

$188,000,000, since this is a new facility, it is not currently on the NHS, but will be upon completion.

Approximately how much of the estimated future eligible project costs will be spent on components constituting railway-highway grade crossing or grade separation projects?

$0

Approximately how much of the estimated future eligible project costs will be spent on components constituting intermodal or freight rail projects, or freight projects within the boundaries of a public or private freight rail, water (including ports), or intermodal facility?

$0

Project Location:

State(s) in which project is located: Mississippi

Small or large project? Large

Urbanized Area in which project is located, if applicable: Gulfport, MS

Population of Urbanized Area: 208,948 (2010 Census)

Is the project located (entirely or partially) in an Opportunity Zone?

No, but the completed facility will provide direct access to Opportunity Zones 28047003800 and 28047001400.

Is the project currently programmed in the:

TIP?No, however it will be upon award of INFRA funds.

STIP?No, however it will be upon award of INFRA funds.

MPO Long Range Transportation Plan? Yes

State Long Range Transportation Plan? Yes

State Freight Plan? Upon completion, it will be a key portion of the I-10 / CSXT (Gulf Coast) Tier I Mississippi Freight Corridor.

Image courtesy of Google

Contact Information Melinda L. McGrath, P.E.Executive DirectorMississippi Department of TransportationP.O. Box 1850Jackson, MS 39215-1850Phone: 601.359.7002Fax: 601.359.7050Email: [email protected]

Photo Caption

Project at a Glance . . . . . . . . . . . . . . . . . . . . . . . . . . .3

Project Narrative . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Project Description . . . . . . . . . . . . . . . . . . . . . . . . . . .6 Performance Goals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Infrastructure Condition . . . . . . . . . . . . . . . . . . . . . . . . . 6 Congestion Reduction . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Project Location . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8

Project Parties . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8

Grant Funds, Sources and Uses of All Project Funding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

Merit Criteria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9 Criterion #1: Supporting Economic Vitality . . . . . . . 9 Benefit-Cost Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Operational . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Travel Time Savings . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Vehicle Operating Cost Savings . . . . . . . . . . . . . . . . . 11 Environmental . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Criterion #2: Leveraging of Federal Funding . . . . . 12 Criterion #3: Innovation . . . . . . . . . . . . . . . . . . . . . . . . 13 Safety Edge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Warm Mix Asphalt (WMA) . . . . . . . . . . . . . . . . . . . . . 13 Rumble Stripe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Data Driven Safety Analysis (DDSA) . . . . . . . . . . . . 13 Reducing Rural Roadway Departures . . . . . . . . . . . 13 Criterion #4: Performance and Accountability . . . 14

Project Readiness . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Technical Feasibility . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Value Engineering . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Project Schedule . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Assessment of Project Risks and Mitigation Strategies . . . . . . . . . . . . . . . . . . . . . . 16 Required Approvals . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 National Environmental Policy Act . . . . . . . . . . . . . . 16 Permits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Legislative . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

State and Metropolitan Planning . . . . . . . . . . . . . . . 16

Large Project Requirements . . . . . . . . . . . . . . . . . . 17 Does the project generate national or regional economic, mobility or safety benefits? . . . . . . . . . . .17 Is the project cost-effective? . . . . . . . . . . . . . . . . . . . . .17 Does the project contribute to one or more of the goals listed under 23 U.S.C. 150 (and shown below)? . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17 Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17 Infrastructure Condition . . . . . . . . . . . . . . . . . . . . . . . . .17 Congestion Reduction . . . . . . . . . . . . . . . . . . . . . . . . . .17 System Reliability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17 Freight Movement and Economic Vitality . . . . . . . . .17 Environmental Sustainability . . . . . . . . . . . . . . . . . . . .17 Is the project based on the results of preliminary engineering? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17 With respect to non-federal financial commitments, does the project have one or more stable and dependable funding or financing sources to construct, maintain and operate the project? . . . . . . . . . . . . . . . . 18 Are contingency amounts available to cover unanticipated cost increases? . . . . . . . . . . . . . . . . . . . . 18 Is it the case that the project cannot be easily and efficiently completed without other federal funding or financial assistance? . . . . . . . . . . . . . . . . . . . . . . . . . 18 Is the project reasonably expected to begin construction not later than 18 months after the date of obligation of funds for the project? . . . . . . . . . . . . . . . 18

Index of Supporting Information on Website . . . 19

Sources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

Appendix Appendix A: Commitment/Support Letters Appendix B: Plans and Studies Appendix C: Cost Estimates Appendix D: Detailed Benefit-Cost Analysis Appendix E: Schedule Appendix F: Environmental Clearance

Contents

https://www.infracanalroad.com/appendices.html

https://www.infracanalroad.com/appendix-b-plans-and-studies.html



https://www.infracanalroad.com/uploads/9/0/4/3/9043871/schedule.jpg

https://www.infracanalroad.com/appendix-f-environmental-clearance.html

FiguresFigure 01. Illustration of Bridge over Highway 90 . . . . . . . . . . 5

Figure 02. Project Location . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

Figure 03. Total Project % Share by Funding Source . . . . . . . . 10

Figure 04. Typical Proposed Project Section . . . . . . . . . . . . . . . . 11

Figure 05. Qualified Opportunity Zones Near the Project Section . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

TablesTable 01. Future Construction Funding Summary . . . . . . . . . . 3

Table 02. Canal Road (MS 601) Corridor Estimated Traffic Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Table 03. Crash Rate Comparison Between Existing US 49 and the New Canal Road (MS 601) Corridor . . . . . . 6

Table 04. Canal Freight Corridor Improvement Project - Project Funding Summary . . . . . . . . . . . . . . . . . . . . . . . 9

Table 05. Benefit-Cost Analysis Summary . . . . . . . . . . . . . . . . 10

Table 06. Project Schedule . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

Cranes at the Port of Gulfport moving shipping containers of goods

Image courtesy of Mississippi State Port Authority

Project at a GlanceOur national freight system is the backbone of the United States economy. Our country’s ability to compete in global markets and to meet the needs of consumers and industry is dependent on an efficient multimodal freight transportation system. Today, our aging freight transportation system infrastructure is strained and is becoming increasingly congested, which negatively impacts its efficiency and reliability. This country’s freight system currently moves approximately 11 billion tons of goods each year, mostly by truck.1 With the United States population forecasted to increase by about 70 million over the next 30 years, combined with an expected doubling in size of our economy over the same period, the system will only become more strained without major capital improvement projects such as the one proposed by this grant application.2

The efficient and reliable movement of goods along Mississippi’s freight network is critical to the state, regional and national economies. An efficient and reliable freight network results in both national and international competitiveness and ultimately improves economic opportunities for citizens.

With this in mind, the State of Mississippi is requesting $112,800,000 in FY 2020 Nationally Significant Freight and Highway Projects (NSFHP) INFRA Grant funds for assistance in the implementation of the Canal Road (MS 601) Freight Corridor Improvement Project. The completion of this project will enable users to experience reduced and more reliable travel times, savings in vehicle operating and logistics costs, improved safety standards and substantially enhanced access to labor and business delivery markets. With the support of national, state, regional and local officials and other stakeholders (see Appendix A), this project will address needed improvements to safety, efficiency and reliability within this critical area for economic development.

Supporting Economic VitalityCongestion and the resulting negative effect of trav-el delays and the lack of system reliability can have a severe impact on economic vitality, both region-ally and nationally. Currently, the Port of Gulfport cannot operate at its full capacity, largely because inefficent methods of transporting goods to and from the port severely limit its level of productiv-ity. Traffic delays result in increased transportation costs for freight, which are passed on to consum-ers in the form of higher retail prices. Additionally, user costs (fuel, tire, maintenance and repair costs) also increase due to poor infrastructure conditions. Once completed, this project will improve the infra-structure condition, safety standards and reliability throughout the region and allow for better acces-sibility to the Port of Gulfport, local attractions and other areas of economic development.

Leveraging of Federal FundingThe requested INFRA funds to complete the project will leverage approximately $37.6M of MDOT State and $37.6M of Federal program funds.

InnovationThe proposed project will utilize many of the innovations that have been promoted by the FHWA through the “Every Day Counts” program. Innovations such as Safety Edge, Warm Mix Asphalt, Rumble Stripe and Data-Driven Safety Analysis will be in-corporated throughout the delivery of the project.

Performance & AccountabilityThe proposed improvements will be delivered utilizing the accurate estimate of benefits, realistic delivery schedule and reliable construction cost estimate contained within this application. MDOT envisions the level of risk to these proposed milestones to be very low and will adhere to the Initial Financial Plan and Annual Update requirements as described in 23 U.S.C 106(i) to ensure that any risk is mitigated. Additionally, MDOT commits to maintaining the assets contained within the proposed project to the condition level identified in their Transportation Asset Management Plan.

Table 01. Future Construction Funding SummaryFunding Source Amount

INFRA Grant Funds $112.8M

MDOT Federal Program Funds $37.6M

MDOT State Program Funds $37.6M

Total $188.0M

Canal Road (MS 601) Freight Corridor Improvement Project | 3

INFRA Grant Application for Fiscal Year 2020


0 0.5 1 2 Miles

1 MS Department of Marine Resources - Lyman Fish Hatchery2 Clayton Homes3 Palmer Creek Utility Company4 Expert Insulation5 Tub Pro Refinishing6 Millerco, Inc.7 Acme Brick Tile & Stone8 HD Supply White Cap9 Coast Electric Power Association10 Puckett Machinery Company11 Specialty Hose & Fabrication, Inc.12 Palmer Co13 Phillips Metal Products14 B-Line Fabrication Co, Inc.15 Gulf Steel Products, Inc.16 Mississippi Power - Watson Plant17 Coastal Marine Equipment, Inc.18 Industrial Corrosion Control19 Newell Sand & Gravel20 Rocking C Truck Lines21 Firetower Landfill22 Southern Building Supply23 Knight Transportation24 Long Beach Auto Auction25 Bell Gravel

26 Navoceano Foodservice27 Bullen Stone Co28 Naval Construction Battalion Center29 Suncoast Contractors Supply30 Gulf Concrete Technology, LLC31 Conrad Yelvington Distributors32 Vulcan Materials Company33 Long Beach Harbor34 Cedar Creek35 Bay Motor Winding, Inc.36 Chiquita Brands37 Meridian Brick38 Ports America, Inc.39 Port of Gulfport40 Dole Fresh Fruit Company41 Mack Pool Plasters42 Gulfport-Biloxi International Airport43 Export’tise44 WG Yates & Sons Construction45 Vision Constructors, Inc.46 Gateway America, LLC47 U-Haul Storage of Gulfport48 Deviney Construction Co49 Apple Construction Company50 B&D Contracting, Inc51 UPS Customer Center

Legend

Segment 1

Gulf of Mexico

38

37

1

31

3029

28

2726

25

24

23

22

21

20

19 18

17

16

15

1413

1211

109

876

5 4

32

51

5049

4847

4645

44

43

42

41

40

3635

34

3332

Segment 2

39MARAD-

funded Port Project

10

10

10

In February 2020, USDOT awarded the Port of Gulfport a $15.76 million Maritime Administration (MARAD) grant. The funding will improve infrastructure quality and safety along the project section by widening a 1.2-mile stretch of 30th Avenue and creating a bridge over Highway 90 in order to give trucks easy access to the port without having to navigate Highways 49 and 90, or any part of downtown Gulfport.4 The work supported by the grant will improve safety and convenience for all drivers by relieving congestion and providing trucks a faster way to reach the port while avoiding roadways not equipped to handle large freight movement. The work supported by the MARAD grant goes hand in hand with the Canal Road (MS 601) Freight Corridor Improvement project covered in this grant; the two projects complement each other to vastly improve the transportation network within the city of Gulfport.

Despite its impressive status, the Port of Gulfport’s operations are inhibited, largely due to the difficulties involved with transporting goods to and from the area. Tourism is steadily on the rise in Gulfport, as the area offers beaches, casinos and most recently, the grand opening of a new aquarium planned for early 2020. The increase in tourism leads to more traffic, which inhibits the movement of freight and hurts productivity for the port, as well as the numerous other local industries. The ability to make space for military equipment within 48 hours is a major requirement for Strategic Seaports such as the Port of Gulfport; therefore, fast freight movement is non-negotiable. The proposed project section will allow freight to move more efficiently through the area to support the city’s rapid economic growth.

Once completed, the Canal Road (MS 601) Freight Corridor will serve as a catalyst for economic development throughout the region. MDOT plans to split the project into two segments. Segment 1 will run from 22nd Street at 30th Avenue to existing Canal Road. Segment 2 involves constructing the new I-10 interchange. Both segments require grading, drainage improvements, construction of bridges and paving of the roadways.

BackgroundMDOT plans to construct a connector between the Port of Gulfport and the Canal Road (MS 601)/I-10 Interchange in order to ease traffic congestion and facilitate increased economic activity for the port and other local industries.

The Port of Gulfport, which now spans 300 acres, is twice its size than prior to Hurricane Katrina in 2005. Since the destruction of Katrina, the Port has undergone significant improvements with the completion of a $570 million modernization project in 2018. The port is the third-largest container port on the Gulf of Mexico (and among the top 20 in the nation) and the second-largest importer of green fruits in the nation. Tenants such as Chiquita, Dole and Crowley occupy all but 36 acres of the port’s terminal space. The port is home to the University of Southern Mississippi’s research vessel, as well as a direct rail connection to the Kansas City Southern (KCS) rail line.3

In 2015, the United States Department of Defense named the Port of Gulfport a Strategic Seaport, making it one of only four such seaports along the Gulf Coast, and the only Gulf Coast Strategic Seaport east of the Mississippi River.3 The port can work with all branches of the United States military, regardless of whether or not they are inside the country. The Port of Gulfport’s location is particularly convenient for the Atlantic Fleet Seabees, located at the Naval Construction Battalion Center in Gulfport; Keesler Air Force Base in Biloxi, just east of the port; and Camp Shelby, located in nearby Hattiesburg.

Project Narrative

Figure 01. Illustration of Bridge over Highway 90

Image courtesy of Mississippi State Port Authority



The original Final Environmental Assessment/Finding of No Significant Impact approved by FHWA in April of 2003 lists the following as reasons to complete the construction of this new corridor:

• To upgrade and increase the efficiency of traffic movement between the port and I-10 by creating a more direct route;

• To alleviate congestion of US 49 in Gulfport;

• To remove truck traffic from local roads and increase the efficiency of freight travel;

• To provide better intermodal connections and access to the Port of Gulfport;

• To respond to a mandate from the Mississippi Legislature;

• To provide a tool for economic development; and

• To improve the safety of the traveling public.

Performance Goals The Moving Ahead for Progress in the 21st Century Act (MAP-21) that was signed into law in 2012 began to set the framework for transportation system national performance goals. These performance goals were further refined and carried forward into the Fixing America’s Surface Transportation Act (FAST Act) that was signed

into law in 2015. The goals of the Canal Road (MS 601) Freight Corridor Improvement Project also align with the goals contained within the FAST Act National Freight Policy and the Mississippi Statewide Freight Plan. The following performance areas are addressed by this project:

Safety

The National Safety Council discovered that Mississippi has the highest rate of traffic fatalities.5 This project will seek to reduce crash frequencies throughout the corridor segment by incorporating engineering improvements that focus on highway safety and improved access management practices. Improvements such as Safety Edge and Rumble Edge Stripe will be included in the project. For the Canal Road (MS 601) Freight Corridor Improvement project, MDOT’s Safety Analysis Management System (SAMS) has also been utilized to identify crashes that occurred along alternate routes during the five-year period of September 2014 to August 2019. Based on this thorough data-driven safety analysis and combined with MDOT’s statewide average crash rate for urban fully access controlled facilities, the proposed project would be expected to exhibit an approximately 75% lower accident rate than the currently utilized alternative routes.

Table 02. Canal Road (MS 601) Corridor Estimated Traffic Data

Route Direction

2040 Design Year Data

ADTTrucks (% of ADT)

Canal Road (MS 601) Northbound 11,892 12

Canal Road (MS 601) Southbound 12,672 12

Project DescriptionThe proposed freight corridor will improve the safety, efficiency and reliability within a critical developing economic region and a key component of the I-10 / CSXT (Gulf Coast) Tier I Freight Corridor on the Mississippi Freight Network. The proposed project will allow for improved traffic flow within both the new Canal Road (MS 601) and the existing US 49 corridors.

Table 03. Crash Rate Comparison Between Existing US 49 and the New Canal Road (MS 601) Corridor

Existing US 49 Historic Crash Rate (2014-2018)

3.496789 per million vehicle miles traveled

MDOT Average Crash Rate for Urban Fully Access Controlled Roadways w/Volume < 20,000

0.844754 per million vehicle miles traveled



of Defense-designated Strategic Seaport, the Port of Gulfport must be prepared at all times to move freight within 48 hours to clear space for military equipment.

Highway congestion and the resulting negative effect of travel delays, lack of system reliability and safety impacts can have a severe impact on the economic vitality of a region. Additionally, truck traffic delays often result in increased transportation costs for freight, which are typically passed on to consumers in the form of higher prices for goods and services. To estimate the user operating costs due to existing poor roadway conditions on the existing network of alternate routes to the new Canal Road (MS 601) freight corridor, the impacts of International Roughness Index (IRI) on fuel, tire, maintenance and repair costs can be quantified. A study by Chatti and Zaabar on the effects of pavement condition on vehicle operating costs conducted under the National Cooperative Highway Research Program (NCHRP) Report 720, shows an on average reduction of 63.4 inch/mile in IRI results in a 4.8% reduction in vehicle operating costs.6 Since the current roadway IRI along US 49 (current alternate route) averages 90 inch/mile, and MDOT specifications will require the new Canal Road (MS 601) to have an IRI of 63.4 inch/mile or better, vehicles utilizing the new route will have an approximate 2% reduction in operating cost compared to those using US 49.

Once completed, this project will improve safety, infrastructure condition, congestion and reliability and will have a positive effect on the economic vitality of the area.

Infrastructure ConditionState of Good Repair (SGR) is typically defined as, “the condition of an asset where the asset, at a minimum, is capable of delivering the required performance safely and reliably for a predetermined period of time.” The freight corridor improvement project will make improvements which will ensure this segment of the corridor will operate as efficiently as possible under both routine daily conditions and emergency situations. In other words, the project is intended to create a facility in a sustainable state where it can deliver the required performance—facilitating the movement of people and goods—safely and reliably. This new facility is designed to meet the latest design standards as defined by MDOT and FHWA.

Congestion ReductionCongestion is defined as a delay in normal free-flow traffic conditions on major transportation systems that impedes traffic mobility. The impacts of congestion in terms of travel delay, uncertainty and safety can have severe negative effects on commerce. The completion of this project will ensure reliable free-flow traffic conditions along this developing freight corridor.

MDOT recently updated their Mississippi Statewide Freight Plan and as part of this effort, a Freight Advisory Committee (FAC), consistent with the FHWA’s Interim Guidance on State Freight Plans and Freight Advisory Committees (Interim Guidance, FR, 15 October 2012) was formed. This FAC includes representatives of public and private sector transportation and government organizations. In addition to obtaining input from this FAC, the plan also solicited input from Mississippi shippers and carriers. It is envisioned that once completed, these stakeholder groups will incorporate the improved Canal Road (MS 601) freight corridor into the Mississippi Statewide Freight Plan as a key component of the I-10 / CSXT (Gulf Coast) Tier I Freight Corridor.

Efficient freight movement is vital to the project region’s economic success. The more quickly freight can be moved between I-10 and the Port of Gulfport, the more business the port and other local industries can handle. As a Department

Cranes at the Port of Gulfport, used to move shipping containers on and off of ships.




Project LocationThe proposed Freight and Capacity Improvement project is located south of I-10 and west of US 49. The 4.5 mile-long project is composed of two separate segments which MDOT plans to let separately. The first segment is located between 22nd Street at 30th Avenue(30°22’36”N 89°05’52”W) and the connection to existing Canal Road (30°24’37”N 89°07’48”W). Segment 2 consists of the interchange connecting Segment 1 to I-10. It begins at (30°24’37”N 89°07’48”W) and ends at (30°25’27”N 89°07’50”W). Both segments of the project are located within the Gulfport 2010 Census Urbanized Area.

Project PartiesThe MDOT (DUNS Number: 809394067) will serve as the primary sponsor and lead agency for this INFRA grant application.

Figure 02. Project Location

49

6510

90

49

6510

Port of Gulfport

Segment 1 (Lower Portion of Project Section)

Segment 1/Segment 2 Divide

Segment 2 (Upper Portion of Project Section)

MARAD-funded Port Project

601



Grant Funds, Sources and Uses of All Project FundingThe MDOT has agreed to allocate available State funds and Federal program funds in addition to the requested INFRA grant funds. A summary of the proposed future cost allocations are provided in Table 04. It should be noted that the listed State funding is not being counted as the matching requirement for another federal program. The requested INFRA grant funds will further leverage the $15.76 million grant from USDOT that was announced for the Port of Gulfport in February 2020.

Merit CriteriaCriterion #1: Supporting Economic Vitality

Benefit-Cost AnalysisApproach

A benefit cost analysis was conducted to evaluate the monetary values of the expected project benefits against the expected project cost, including capital expenditures related to project construction and anticipated ongoing maintenance costs. The analysis was conducted in accordance with the guidance outlined in Benefit-Cost Analysis Guidance for Discretionary Grant Programs.

The analysis is based on the total project cost, including all previously-incurred costs, as provided by the Mississippi Department of Transportation (MDOT), annual daily traffic (ADT), expected travel time delay along the subject portion of existing US-49, existing crash rates along US-49, and statewide crash rates for controlled access facilities. Taken together, these data points were used to determine and quantify the expected safety, operational, and environmental benefits of the project. Each is described in greater detail in the following sections.

Funding Source

Previously- Incurred

Preliminary Engineering Costs

Previously- Incurred Right-of-

Way & Utility Relocation Costs

Future Eligible Construction

CostsTotal Costs

Total % Share

Future Only % Share

INFRA Grant Funds $112.8M $112.8M 31.2% 60%

Federal Earmark Funds $2.0M $2.0M 0.1%

MDOT Federal Program Funds $6.0M $37.6M $43.6M 12.1% 20%

MDOT State Program Funds $8.5M $158.4M $37.6M $204.5M 56.6% 20%

TOTAL $16.5M $158.4M $188.0M $362.9M 100% 100%

Table 04. Canal Freight Corridor Improvement Project – Project Funding Summary

Cranes moving equipment at the Port of Gulfport

Image courtesy of Mississippi Department of Transportation



Benefit Categories

Safety

Safety benefits were determined by comparing the expected number of crashes that would occur along US-49 in the No-Build case against the expected number of crashes that would occur on both US-49 and the new Canal Road facility. Using the latest five years of crash data (2014-2018) along US-49, rates for total crashes, injury crashes, and fatality crashes were determined. These were applied to the expected vehicle miles traveled (VMT) that would occur along US-49 for the both the No-Build and Build cases.

The number of crashes likely to occur along the new Canal Road facility were determined using a total crash rate provided by MDOT for fully access-controlled facilities located in urban areas with an ADT less than 20,000, the most appropriate description of the new facility. To determine the expected fatality and injury crash rates associated with the new rate, values were calculated based on the latest rates reported by the Bureau of Transportation Statistics (BTS) (accessed at https://www.bts.gov/content/motor-vehicle-safety-data). Expected fatality and injury for Canal Road were assumed to be the same proportion to the overall crash rate as those reported by BTS.

Given the overall increase in VMT expected in the Build case and taking into the account the difference in rates between the two facilities, a net increase in crashes would be expected in the Build case. These “disbenefits” were factored into the overall benefit-cost ratio (BCR) calculation. As costs associated with crashes are not borne solely by the user and can be considered a cost borne by society at-large, the rule of half was not applied to new or induced users.

Operational

Operational benefits of the project were identified in SR 601 Traffic Study: I-10 to US 90 – Gulfport, MS which was prepared for MDOT and completed on November 7, 2019.

Travel Time Savings

Expected travel times were calculated for US-49 for both the Build and No-Build cases, as well as Canal Road for the Build case. Base travel

7% Discount

RateCosts ($M)

Capital Cost $328.4Total Costs $328.4

Benefits ($M)Safety Benefits

Reduced Crashes -$0.1Sub-Total -$0.1

Operational BenefitsTravel Time Savings $501.1Operating Cost Savings -$0.1Residual Savings $8.7

Sub-Total $509.6Environmental ProtectionEmissions Savings $0.0Sub-Total $0.0

Total Benefits $509.4OutcomeNet Present Value (2018 $M) $181.08Benefit-Cost Ratio 1.55

Table 05. Benefit-Cost Analysis Summary

Figure 03. Total Project % Share by Funding Source

12.1% MDOT Federal Program Funds

31.2% INFRA Grant Funds

56.6% MDOT State Program Funds

0.1% Federal Earmark Funds



annual deficit in ADT expected over the analysis period. Benefits for these users were counted in full. Additional ADT beyond that identified as shifting from US-49 was assumed to consist of new or induced users, and thus benefits were divided by two prior to inclusion in the BCR calculation.

Vehicle Operating Cost Savings

Expected vehicle operating costs were determined by evaluating the total expected VMT over the analysis period. Expected VMT for US-49 for both the No-Build and Build cases was quantified, as well as expected VMT on Canal Road in the Build case. The difference in total VMT between the No-Build and Build cases was then calculated and multiplied by the vehicle operating cost values provided in Benefit-Cost Analysis Guidance for Discretionary Grant Programs.

Given the overall increase in VMT expected in the Build case, a net increase in vehicle operating costs would be expected in the Build case. These “disbenefits” were factored into the overall benefit-cost ratio (BCR) calculation.

Given that ADT projections for Canal Road suggest new or induced users on the facility, the rule of half was applied to benefit calculations. Users assumed to have previously used US-49 were determined by calculating the shift in traffic to Canal Road in Project Year 1 and the subsequent annual deficit in ADT expected over the analysis period. Benefits for these users were counted in full. Additional ADT beyond that identified as shifting from US-49 was assumed to consist of new or induced users, and thus benefits were divided by two prior to inclusion in the BCR calculation.

times were calculated based on segment length and posted or design speed. Additional travel time for Canal Road was calculated based on the assumption that users would still need to travel along 28th Street to US-49 to gain access to the original route.

In addition to base travel time along US-49, daily delay was identified at two key signalized intersections along the route: Creosote Road and Airport Road, for both the No-Build and Build cases. The delay calculation was based on worst-movement, peak-hour delay at both intersections. This value was assumed to comprise 10 percent of total daily delay.

Taken together, these values provided base travel time for US-49 for both the Build and No-Build cases, which resulted in travel time savings along US-49 over the horizon period associated with improved operations., particularly a decrease in heavy truck traffic.

Savings for users on Canal Road in the Build case were determined by calculating the difference in expected travel time along Canal Road in the Build case versus the expected time those same users would expect to experience along US-49 in the No-Build case. These savings were then multiplied by the value of travel time and average vehicle occupancy values provided in Benefit-Cost Analysis Guidance for Discretionary Grant Programs.

Given that ADT projections for Canal Road suggest new or induced users on the facility, the rule of half was applied to benefit calculations. Users assumed to have previously used US-49 were determined by calculating the shift in traffic to Canal Road in Project Year 1 and the subsequent

Figure 04. Typical Proposed Project Section



Figure 05. Qualified Opportunity Zones Near the Project Section

Environmental

Expected damage costs for pollutant emissions were calculated for the both the No-Build and Build cases, based on calculating VMT as described earlier in this section. The costs associated with each of the criteria pollutants – carbon dioxide, volatile organic compounds, nitrogen oxides, particulate matter, and sulfur dioxide – were applied consistent with the values provided in Benefit-Cost Analysis Guidance for Discretionary Grant Programs.

Given the overall increase in VMT expected in the Build case, a net increase in pollutant emissions would be expected in the Build case. These “disbenefits” were factored into the overall benefit-cost ratio (BCR) calculation. As costs associated with crashes are not borne solely by the user and can be considered a cost borne by society at-large, the rule of half was not applied to new or induced users.

Benefit Cost Ratio

After quantifying the expected net benefits expected under the Build case and taking into

account the residual cost benefits of the project for years beyond the analysis period, the BCR for the project was calculated to be 1.64, suggesting that the project benefits over the analysis period would exceed the expected costs associated with project implementation.

The Internal Revenue Service (IRS) has designated several areas near the project section as Qualified Opportunity Zones (QOZ), as seen in Figure 06. Areas in economic distress can be nominated for QOZ designation by the state and then certified by the Secretary of the U.S. Treasury. New investments may receive tax benefits in communities which receive the designation, encouraging job creation and economic growth.

Criterion #2: Leveraging of Federal Funding

If awarded, the requested INFRA funds to complete the Canal Road (MS 601) Freight Corridor Improvement Project will further leverage approximately $37,600,000 of MDOT State and $37,600,000 of Federal program funds.

Project Section (Segments 1 & 2)

28047003206

28047003800

28045030300

28045030100

28047003404

28047001400

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0 1.25 2.5 5 Miles



Rumble Stripe

MDOT will utilize rumble edge striping throughout the Canal Road (MS 601) project. Rumble striping combines the audible benefits of a rumble strip with the raised profile reflective nighttime visibility of raised pavement markers to reduce roadway departure crashes. A rumble strip becomes a rumble stripe when the thermoplastic edge line is placed on the rumble strip.

Data Driven Safety Analysis (DDSA)MDOT currently applies DDSA throughout their project development processes. By utilizing this innovation from the third round of FHWA’s EDC Program on all projects, MDOT can make informed decisions and target investments which results in improved safety throughout their transportation network. MDOT has a robust SAMS system, which when used in conjunction with other resources such as the Crash Modification

Criterion #3: Innovation

The Canal Road (MS 601) Freight Corridor Improvement project has incorporated numerous innovative design elements.

Safety EdgeSafety Edge, an innovation from the first round of FHWA’s Every Day Counts (EDC) Program, will be incorporated into the project as a safety countermeasure to mitigate pavement edge related crashes. Data from other state DOT’s has indicated that incorporating this edge treatment into pavements an result in a reduction of up to 25% in rural run-off the road crashes.7

Warm Mix Asphalt (WMA)WMA, another innovation from the first round of FHWA’s EDC Program, will be allowed for contractors to utilize on the project. WMA is produced at lower temperatures than conventional Hot Mix Asphalt, resulting in lower emissions, less fuel consumption during production, improved compaction and portability during construction and a healthier and safer working environment for construction workers. Historically, when MDOT allows for contractors to choose to utilize either WMA or HMA for asphalt paving, industry in Mississippi has chosen WMA for approximately 70% of the tonnage placed.8

The Safety EdgeSM is an uncomplicated and effective solution to mitigate pavement edge-related crashes by shaping the edge of the pavement to 30 degrees to eliminate vertical drop-off.

A rumble strip becomes a “rumble stripe” when the edge line pavement marking is placed on it. In addition to the auditory benefit, the profile of the marking within the rumble provides added nighttime visibility.

Because WMA makes compaction easier, cost savings are achieved by reducing time and labor spent compacting the mix. Lower temperatures also result in less emissions and safer conditions for workers.



Factors Clearinghouse and the AASHTO Highway Safety Manual is helping to advance the safety of Mississippi’s roadways towards zero deaths.

Reducing Rural Roadway Departures

Many of the innovations incorporated into the Canal Road (MS 601) project are countermeasures which support the FHWA EDC Round Five initiative to reduce roadway departures on rural roads. The application of rumble stripe and safety edge will help keep vehicles in their travel lanes, reduce the potential for crashes and reduce the severity of crashes should they occur.

Criterion #4: Performance and Accountability

The proposed improvements will be delivered utilizing the accurate estimate of benefits, realistic delivery schedule and reliable construction cost estimate contained within this application. MDOT envisions the level of risk to these proposed milestones to be very low and will adhere to the Initial Financial Plan and Annual Update requirements as described in 23 U.S.C 106(i) to ensure that any risk is mitigated.

MDOT has a credible plan in place to address the full lifecycle costs associate with the proposed project. MDOT will utilize State Program funding for annual routine maintenance operations within the corridor to ensure that the long-term condition of the assets follows the requirements of MDOT’s Transportation Asset Management Plan (TAMP). MDOT periodically program rehabilitation activities utilizing a combination of MDOT State and Federal program funds as applicable to ensure that asset condition ratings within the project corridor meet with the goals set forth in the TAMP.

DDSA provides more reliable analysis than previous methods through the application of predictive and systemic tools for analyzing crash and roadway data.

Better Targeted

Investments

More Informed Decision Making

Fewer Fatalities

and Serious Injuries

MDOT’s most recent Transportation Asset Management Plan (TAMP) was released in August 2019.



and all right-of-way phase activities (with the exception of a utility line that will be relocated), there is little risk that MDOT will not be able to obligate all requested INFRA funds well ahead of the September 30, 2023, deadline and will begin construction much more quickly than the 18-month requirement after obligation.

Value EngineeringValue Engineering (VE) is an important component of the design process which, when done properly, will result in quantifiable benefits to the quality, user costs and effective delivery of needed transportation improvement projects. MDOT has already completed the VE analysis for this freight corridor improvement project in accordance with Title 23 CFR part 627 and the subsequent Section 1503(a)(3) of MAP-21 for projects on the NHS receiving federal assistance with an estimated total cost of $50,000,000 or greater.

The MDOT utilized a multidisciplinary team of persons not involved in the design of the project to conduct the VE analysis and provide recommendations to improve the following: • Safety • Reliability • Efficiency

• Value • Quality • Project Delivery Time

Technical FeasibilityItemized features of this freight corridor improvement project are as follows:

• Construction of a new four (4) lane controlled-access Principal Arterial facility for 4.5 miles between I-10 and 22nd Street at 30th Avenue;

• Incorporation of safety measures such as asphalt pavement safety edge, guardrail and barrier systems, raised pavement markers and rumble edge stripe throughout the 4.5-mile segment between I-10 and 22nd Street at 30th Avenue; and

• Cost estimates developed for the project based on recent historical construction bid prices received by the MDOT on projects of comparable size and scope. Cost estimates have been inflated to account for a 3.2% annual inflation rate and are presented at a 75% confidence level that construction bid unit prices will be at or below the unit cost values used for the estimate. MDOT has also included 10% for contingencies in the project estimate.

Upon notification of award of INFRA funds, MDOT will quickly complete the remainder of minor preliminary engineering and tasks, including the needed environmental reevaluation shown in Table 06. Given that MDOT has already completed nearly all preliminary engineering

Project ReadinessThe MDOT has administered numerous federally funded transportation improvement grants and is well-positioned to successfully administer the proposed INFRA grant and other funds for these much-needed transportation improvements.

An aerial view of the Port of Gulfport and a portion of the project corridor

Image courtesy of Mississippi Business Journal



The completion of the Canal Road (MS 601) Freight Corridor Improvement Project’s Value Engineering Report will ensure an economical final design that better serves the needs of all users. The Value Engineering Report is located in Appendix B.

Project ScheduleThe schedule shown in Table 06 is based on a projected award date of the requested INFRA grant funds no later than August 31, 2020.

Assessment of Project Risks and Mitigation StrategiesThere is very little risk that would prevent the project from meeting the obligation deadline for FY 2020 INFRA funds (September 30, 2023) based on the following: • The MDOT has already completed the bulk

of the Preliminary Engineering phase. • All real property and right-of-way has

been acquired in accordance with 49

CFR part 24, 23 CFR part 710 and any other applicable legal requirements.

Based on the proposed project schedule contained within this application all INFRA funds will be obligated well ahead of the obligation deadline.

Required ApprovalsNational Environmental Policy ActThe proposed 4.5-mile project was defined in the approved Environmental Assessment (EA) and Finding of No Significant Impact (FONSI) documents. FHWA approved the original EA & FONSI for the project corridor on April 16, 2003. MDOT received FHWA approval on the subsequent required re-evalu-ation of the Environmental documents on September 16, 2008 and the addendum on June 24, 2009. Given the economic downturn experienced in this country in 2008, MDOT quickly had to put plans of moving forward with the project on hold due to a lack of funding. Upon notice of award of the requested INFRA funding, MDOT will move forward with the needed re-evaluation of the original EA and FONSI as shown in the project schedule. Given that the original EA and FONSI have been re-evaluated and approved once, MDOT would not expect any issue with the future re-evaluation that would negatively impact the proposed schedule. Environmental documentation related to the project can be found in Appendix F.

PermitsThe MDOT has obtained the needed US Army

Corps of Engineers (USACE) Nationwide Permit 14 for Linear Transportation Projects for this project. Additional needed permits will be obtained by the MDOT in time to meet the milestones shown in Table 06.

LegislativeThere are no further legislative approvals required to implement this project; however, a number of public officials, both at the state and federal levels, and other stakeholders have pledged their individual support to this project (See Appendix A).

State and Metropolitan PlanningSince Statewide Transportation Improvement Program (STIP) and the Metropolitan Planning Organization (MPO) Transportation Improvement Program (TIP) documents are required to maintain fiscal constraint, and MDOT does not currently have the available funding to construct the proposed project without the requested INFRA funds, the project is not currently in MDOT’s STIP or the MPO’s TIP. Once the project is awarded the requested INFRA funding, the necessary adjustments will be made to the STIP and TIP documents to reflect the project in MDOT’s Program.

Milestone DateMDOT Completes Environmental Re-Evaluation Aug. 1, 2021MDOT completes all PS&E activities for both Segments Nov. 15, 2021

MDOT Obligates INFRA Funds for Segment 1 (GR, DR, BR, Pave) Dec. 8, 2021

MDOT Lets Segment 1 (GR, DR, BR, Pave) Construction Jan. 25, 2022

MDOT Obligates INFRA Funds for Segment 2 (GR, DR, BR, Pave) Feb. 3, 2022

MDOT Lets Segment 2 (GR, DR, BR, Pave) Construction Mar. 22, 2022

Construction Completed on Both Segments By: Sep. 30, 2025

Table 06. Project Schedule






benefit to the existing route used by local users will see an increase in the level of services as through traffic will be diverted to the new facility.

System ReliabilityTo improve the efficiency of the surface transportation system. Yes, the proposed project will improve the efficiency of the surface transportation system by reducing the travel time currently achieved on alternate routes.

Freight Movement and Economic VitalityTo improve the national freight network, strengthen the ability of rural communities to access national and international trade markets and support regional economic development. Yes, as described at the beginning of this section, the proposed project is intended to increase the efficiency of freight movement to and from the Port of Gulfport. The Canal Road (MS 601) Freight Corridor Improvement Project will complement the MARAD-funded port project to allow freight to reach its destination conveniently by avoiding traffic in downtown Gulfport. The project will serve as an economic catalyst for suppliers looking to locate facilities with efficient transportation connections to the Port of Gulfport.

Environmental SustainabilityTo enhance the performance of the transportation system while protecting and enhancing the natural environment. Yes, the project has completed the NEPA process and a resulting Finding of No Significant Impact (FONSI) was issued with a subsequent re-evaluation confirming the FONSI. Given the amount of time that has passed since the most recent re-evaluation, MDOT will need to perform a third re-evaluation but does not anticipate any difficulty confirming the FONSI again. Additionally, sustainable materials such as Warm Mix Asphalt will be allowed to be utilized on the project.

The Freight Corridor Improvement Project satisfies the statutory requirements of 23 U.S.C. 117(g), summarized as follows:

Does the project generate national or regional economic, mobility or safety benefits? Yes, as described in the Project Description and Merit Criteria sections of this narrative document, the proposed project does generate national or regional economic, mobility and safety benefits. The project will promote economic development within a growing industrial and residential area.

Is the project cost-effective? Yes, as detailed in the Merit Criteria section of this document, the project will yield a Benefit-Cost ratio of 1.55 at a 7% discount rate.

Does the project contribute to one or more of the goals listed under 23 U.S.C. 150 (and shown below)?

SafetyTo achieve a significant reduction in traffic fatalities and serious injuries on all public roads. Yes, the highway safety elements such as rumble stripe and improved access management will serve to reduce the potential for traffic fatalities and serious injuries by over 75% within the project limits.

Infrastructure Condition To maintain the highway infrastructure asset system in a good state of repair. Yes, as detailed in the Performance and Accountability criterion within the Merit Criteria section of this document, MDOT commits to maintain the condition of the assets contained within this project to the performance metrics as outlined in MDOT’s Transportation Asset Management Plan. This plan can be found in Appendix B.

Congestion Reduction To achieve a significant reduction in congestion on the National Highway System. Yes, the facility proposed within this application will provide a higher level of service for users as opposed to the alternate routes currently in use. A secondary

Large Project Requirements




funding for the construction as described in the application document. Additionally, MDOT state program funding will be utilized to maintain the assets to the condition as described in the MDOT Transportation Asset Management Plan. Historically, based on the current state fuel tax, MDOT’s state program funding is approximately $450M annually.

Are contingency amounts available to cover unanticipated cost increases? Yes, contained within the engineering estimate for the cost of the project is an approximate $15.7M increase for contingencies. Should additional contingency funds beyond this be required, MDOT would utilize state program funding.

Is it the case that the project cannot be easily and efficiently completed without other federal funding or financial assistance? Yes, MDOT will be unable to deliver this project in the foreseeable future without the 60% INFRA funds ($112.8M) or the 20% MDOT Federal Program funds ($37.6M) as described in this application.

Is the project reasonably expected to begin construction not later than 18 months after the date of obligation of funds for the project? Yes, since MDOT is proposing to construct this rural bypass under two separate construction projects, there will be two separate obligations and a subsequent beginning of construction related to each federal obligation action. It is proposed that $94.4M ($56.6M INFRA, $18.9M Federal Program and $18.9M State Program Funds) for Segment 1 will be obligated in December of 2021 for a January 2022 construction letting. The remaining $93.6M ($56.2M INFRA, $18.7M Federal Program and $18.7M State Program Funds) for Segment 2 will be obligated in February 2022 for a March 2022 construction letting.

Is the project based on the results of preliminary engineering? For the proposed Canal Road (MS 601) project, the following status report of activities as of the date of application submission is provided:

• Environmental Assessments – Original EA andFONSI were approved in 2003 with subsequentre-evaluations to confirm the FONSI wereperformed in 2008. A second re-evaluation toconfirm the FONSI is underway and should becomplete by August 2021.

• Topographic Surveys – Completed

• Metes and Bounds Surveys – Completed

• Geotechnical Investigations – Completed

• Hydraulic Analysis – Completed

• Traffic Studies – Completed

• Financial Plans – MDOT has prepared the initialfinancial plan along with subsequent annualupdates through FY 2014, but suspended theproduction of updates when the remainder ofthe project was “deprogrammed” due to lack offunding. Prior to the obligation of any funding,MDOT will prepare the needed update to theinitial financial plan in accordance with 23 U.S.C106(i).

• Revenue Estimates – N/A

• Hazardous Materials Assessments – Completed

• General estimates of the types and quantities ofmaterials – Completed

• Other work needed to establish parameters forthe final design – Completed

With respect to non-federal financial commitments, does the project have one or more stable and dependable funding or financing sources to construct, maintain and operate the project? Yes, the project will utilize MDOT state program

Shipping terminals at the Port of Gulfport




Appendix A: Commitment/Support LettersAppendix B: Plans and StudiesAppendix C: Cost Estimates Appendix D: Detailed Benefit-Cost AnalysisAppendix E: ScheduleAppendix F: Environmental Clearance

Index of Supporting Information On WebsiteThe primary web address for the freight corridor improvement project is http://www.infracanalroad.com. The appendices to the application narrative are located on the website as follows:







https://www.infracanalroad.com/uploads/9/0/4/3/9043871/schedule.jpg


https://www.infracanalroad.com/

https://www.infracanalroad.com/

Sources1 https://www.selectusa.gov/logistics-and-transportation-industry- united-states

2 https://www2.census.gov/library/publications/2018/demo/P25-1144.pdf

3Mississippi State Port Authority at Gulfport’s Port of Gulfport Access Project grant application

4https://www.wlox.com/2020/02/11/m-dot-grant-will-improve- access-port-gulfport/

5 https://mississippitoday.org/2018/07/03/why-mississippi-is- the-deadliest-place-to-drive-a-car/

6Transportation Research Board’s National Cooperative Highway Research Program (NCHRP) Report 720: Estimating the Effects of Pavement Condition on Vehicle Operationg Costs

7 https://safety.fhwa.dot.gov/roadway_dept/pavement/safedge/brochure/

8Based on historic MDOT construction bid information



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Documents

Mississippi Department of Transportation · 31 Conrad Yelvington Distributors 32 Vulcan Materials Company 33 Long Beach Harbor 34 Cedar Creek 35 Bay Motor Winding, Inc. 36 Chiquita