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MARCH 12, 2008

At Last! RCGA Applauds Missouri/Illinois Agreement  Of New Mississippi River Bridge Project.




The top infrastructure priority for the St. Louis business community took a huge step toward reality on February 28th, when Illinois Governor Rod Blagojevich and Missouri Governor Matt Blunt signed an agreement to start construction of a new Mississippi River Bridge, adding a landmark connection between downtown St. Louis and Southwestern Illinois. 

 
MO Governor Matt Blunt (left) and IL Governor Rod Blagojevich sign the historic transportation agreement at the Plumbers and Pipefitters Hall on February 28, 2008

Bob Reynolds, Chairman, President and CEO of Graybar and Chairman of the RCGA (who chaired the Private Sector Infrastructure Council from 2003 to 2007 and led the business community infrastructure advocacy efforts) said, "The need for a new Mississippi River Bridge in downtown St. Louis has been a major civic priority among the region's business, elected and community leaders for well over a decade. That is why this announcement is so welcome. It is not only critical to the infrastructure future of our bistate region, but to the overall national transportation system, as well."  RCGA President and CEO Dick Fleming added, "Construction of the New Mississippi River Bridge is not only the top infrastructure priority for the RCGA  and the region, it is also a vital infrastructure lifeline for the nation -- at the "Heart of the Heart of America". Business, labor, elected officials and civic leaders have worked together for over a decade to help make this project a reality."

RCGA Board Chair for Infrastructure, Clark Davis, Vice Chair of HOK Group, Inc.,
called it a great day for the entire St. Louis region. "An additional river crossing will strengthen our nation's defense, communication and economic infrastructure. No longer will we as a region have to rely on just a single crossing for three vital interstates, leaving us vulnerable to a breakdown."

The host of the announcement, Pat Kellet, Business Manager/Secretary Treasurer, Plumbers and Pipefitters Local 562 and RCGA Board Member, told the press conference audience, "It has been projected that the fully completed bridge project will generate thousands of new jobs for the region. As a board member of the RCGA, I have been pleased that the labor and business communities have been able to work together." An RCGA economic projection concluded that the fully-completed bridge project will increase the region's economic output by $25 billion over the life of the bridge.
 
Pat Kellet of the Plumbers and Pipefitters Local 562 (at the podium) hosted the press conference with area elected officials. Pictured: St. Charles County Executive Steve Ehlmann, IL Sen. Frank Watson, MO Rep. Neal St. Onge, IL Rep. Jay Hoffman, IL Gov. Blagojevich, MO Gov. Matt Blunt, IL Sen. David Luechtefeld, St. Louis County Executive Charlie Dooley, St. Louis Mayor Francis Slay, St. Clair County Board Chairman Mark Kern, St. Louis Board of Alderman President Lewis Reed, Madison County Board Chairman Alan Dunstan, and IL Sen. Dale Risinger.

The $640 million cable-stayed bridge will be located one mile north of the Martin Luther King Bridge with touch down in the City of St. Louis and Brooklyn, IL. 40,000 vehicles are estimated to use the 4-lane bridge when it opens, relieving 20 percent of the congestion on the Poplar Street Bridge. By 2030, traffic is estimated to increase to 55,000 daily vehicles. The bridge can also expand to six lanes as needed. Design for the project will begin immediately, and construction could begin as early as 2010, with completion between 2014 and 2016. 
 

New Mississippi River Bridge Facts



. 4-lane bridge to be built one mile north of Martin Luther King Bridge

. 40,000 cars per day are expected to use the bridge when it opens in 2015.

. Total project is expected to support more than 2,000 jobs.

. Tri-level interchange improvements will link I-70 via a new I-64 connector to the bridge.

. A new Missouri North I-70 interchange will be constructed.

. For more information go to www.newriverbridge.org

 
























 
Bob Reynolds, Chairman President and CEO of Graybar and Chairman of the RCGA.
 
Clark Davis, Vice Chair of HOK Group and RCGA Board Chair for Infrastructure
Pat Kellet, Business Manager/Secretary Treasurer, Plumbers and Pipefitters Local 562 and RCGA Board Member















RCGA Mississippi River Bridge Committee Hears "Next Steps" from IDOT and MODOT.

The 35-member RCGA Mississippi River Bridge Committee, chaired by Bruce Holland, President of Holland Construction Services, was formed in 1999 to enhance community understanding and support for the Bridge project, create greater cohesiveness among public official (state and federal), and pursue funding for the Bridge. In Holland's view,  "The new bridge really is an economic win for everyone. Construction of the new bridge will benefit the St. Louis region by strengthening the connections between Illinois and Missouri and sparking additional economic development on both sides of the river. This new interstate crossing should also be a major incentive for developers to expand the already healthy, growing Metro East distribution sector."  

 
MO Highway and Transportation Commissioner Bill McKenna (and longtime RCGA Board member) and RCGA Bridge Committee Chairman Bruce Holland are all smiles following the new Mississippi River Bridge agreeement.

At the March 11th RCGA Mississippi River Bridge Committee meeting, Bill McKenna, Missouri Highway and Transportation Commissioner, Mary Lamie, IDOT Deputy Director of Highways and Region V Engineer, and Ed Hassinger, MoDOT District 6 Engineer, spoke about how the two states will continue to work together on the project and its economic impact on the region. "A lot of people have been involved all through this process. What makes it work is the trust between IDOT and MoDOT, and how they work together," said McKenna.

Lamie and Hassinger reviewed the financing plan and the Bridge's economic impact with the RCGA Bridge Committee. $239 million in federal funding is earmarked for the project, thanks to the bi-partisan, bi-state leadership of U.S. Senator Kit Bond (R-Missouri) and U.S. Representative Jerry Costello (D-Illinois). Illinois will fund approximately $313 million, with a small portion from the proposed state capital bill. Missouri's share will be $88 million and MoDOT is responsible for any cost overruns. The project has three components: the relocation of the I-70/55/44 interchange and I-64 connector, the bridge construction, and a new north I-70 interchange.  2,200 jobs will be generated each year from the bridge construction. Over the 45-year life of the Bridge, $236 million of net new general revenue will be raised and $25 billion of economic activity will be generated. 

 

MoDOT Project Director Greg Horn and IDOT Deputy Project Director Brooks Brestal will oversee the new Bridge construction schedule, with day to day decisions handled by Horn. A six-member panel (3 from each state) will review and approve each key milestone of the project. Hassinger told the Bridge Committee, "Illinois currently has two contracts out for roadway work, and after the Bridge design consultant has been selected, Missouri will put a contract for the interchange."
 
The RCGA Bridge Committee will continue to meet to review and discuss the progress of the Bridge during its construction.  Both state transportation agencies appreciated the business community's engagement in moving this critical infrastructure project forward. "I thank the RCGA and the Bridge Committee for your ongoing involvement," said Lamie.
 
(from left to right) Brooks Brestal and Mary Lamie of IDOT share a ceremonial bottle of champagne (courtesy of RCGA Vice President of Infrastructure Susan Stauder) to celebrate the new Mississippi River Bridge with Ed Hassinger and Greg Horn of MoDOT.

To view the RCGA Bridge Committee presentation by MoDOT and IDOT, click here. A web site www.newriverbridge.org provides current information on the project.

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Economic Impact of New Mississippi
River Bridge

Each year, the new 4-lane Bridge project creates:

.2,200 new jobs at a salary of $45,000 per job.

.$5m in new net general revenues.

. $131m in new personal income.

. $329m in new value-added to the economy.

.$562m in new economic activity.




 
 

House Budget Committee Reviews Appropriations For Plant and Life Sciences Research.

The Missouri House Budget Committee has begun mark-up of the State's spending for FY 2009, starting the process to pass a balanced budget by May 9. A top RCGA priority for this session is full funding of the Life Sciences Trust Fund. When enacted into statute in 2003, the Life Sciences Trust Fund was established to receive 25% of the State's revenue from the tobacco settlement. For FY 2009, the settlement revenue would be about $41 million. The Fund is designed to support basic research, translational research, clinical research, and medical research into diseases such as cancer, aging, neurological and cardiovascular diseases. 80% of the money would build research capacity and 20% would promote life sciences technology transfer and commercialization.  

FY 2008 was the first year money was dedicated to the Fund; however, not all the tobacco settlement money was directed to life sciences research. The General Assembly appropriated $13.4 million for plant and animal research projects, from which the Life Sciences Research Board selected 14 projects to fund, including a bioenergy research project at Washington University. The remaining $21.8 million of the tobacco settlement money was dedicated to the State's MOHealthnet and prescription drug program.

This year's budget bill (HB 2007) includes $25.2 million for the Life Sciences Research Board to fund plant and animal health projects, an increase of nearly $6 million from Governor Blunt's recommendation, and nearly a doubling from the current level.

The House Budget Committee is scheduled to complete work on the budget bills by the end of this week, and  -- when the Legislature returns from Spring Break on March 25 -- it is expected that the full House will vote on the budget bills. The RCGA will continue to strongly advocate for the original intent of full funding of the Life Sciences Trust Fund, with no restrictions on the type of life sciences research which can be conducted.

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Life Science Research Funding


$13.4m allocated this year to 14 plant and animal science research projects across the state.

. Governor Blunt recommended $19.4m in FY 2009 Budget

. House Budget Committee has recommended $25.2m for Life Sciences Research Board to fund plant and animal sciences projects.

Focus on Illinois: Concern Raised Regarding Added Tax On Business.

Senator James Meeks' (D-Chicago) bill to increase corporate and individual income taxes to fund education initiatives advanced to the Senate Calendar after passing the Senate Education Committee last week.  Senate Bill 2288 seeks to raise $2.9 billion for education programs and additional $1 billion a year for the Invest in Illinois Fund, a capital projects fund. While passage of a capital bill for long-awaited transportation and infrastructure projects is an RCGA priority, a corporate tax increase is not the right way to fund it. Such an increase would harm the business environment in Southwestern Illinois, and could offset the economic benefits from capital projects.

The bill would raise the corporate income tax from 4.8% to 8%. When added with the 2.5% personal property tax, Illinois would have the second highest corporate income tax rate in the country.

Other tax increases on business were also part of Governor Blagojevich's budget address earlier this month. The Governor has proposed a 3% payroll tax on employers to pay for health insurance, an increase in the gaming tax, and placing taxes on business products and materials like software. The RCGA will monitor tax legislation throughout the session and alert our members regarding its potential impacts on the Southwestern Illinois business community.

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Proposed Corporate Tax Increase
(SB 2288)


. Raises rate from 4.8% to 8%.

. Generates $1 billion for capital projects and $2.9 billion for education.

. Funds property tax relief and additional spending for higher education, special education, and early childhood education.



General Motors Hosts RCGA Legislative Breakfast in Jefferson City.

Missouri legislators and regional government affairs executives enjoyed the March 5th RCGA Legislative Breakfast at the Capitol Plaza Hotel, sponsored by the General Motors Company and hosted by RCGA Public Policy Council member Ed Wallace, Regional Director of State and Local Government for General Motors and  management from the GM Wentzville Assembly Center. The RCGA hosts bi-monthly breakfasts at the Capitol Plaza from 7:00 a.m. to 8:30 a.m., if you are in Jefferson City, please join us! See Upcoming Events for the next breakfast on April 2nd.

 

 (from left to right) House Minority Leader Phil LeVota and Ed Wallace of General Motors at the RCGA Legislative Breakfast on March 5 in Jefferson City.
Ed Wallace, Sen. Scott Rupp, and Rodney Gray of Hendren Andrae talk about the GM Wentzville Assembly Center.
Rep. Jim Lembke, Lt. Governor Peter Kinder, Rep. Doug Funderburk, and Rep. Tom Villa enjoy the RCGA breakfast at the Capitol Plaza Hotel.


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UPCOMING EVENTS
                    
. March 26: St. Louis Regional Education Roundtable on Special Needs Education from 7:30 a.m. to 10:00 a.m. at the RCGA Regional Collaboration Center on the 12th Floor of One Metropolitan Square. Panelists include David Thomas of Logos School, Patricia Hardman of Florida McKay Coalition, Dave Roland of Show Me Institute. The panel will be moderated by Anna Rich, St. Louis Learning Disabilities Program Director. To RSVP contact Donyale Whitmore Smith at (314) 779-6572 or mcsc2006@yahoo.com by Wednesday, March 19.

.
April 2: RCGA Legislative Breakfast at the Capitol Plaza Hotel in Jefferson City from 7:00 a.m. to 8:30 a.m., sponsored by St. Louis Community College. St. Louis Community College is the largest community college system in Missouri, serving 26,000 students at their Florissant Valley, Meramec, Forest Park, and new Wildwood campuses. For more information and to RSVP, contact Marlo Young at myoung@stlrcga.org or at (314) 444-1134 by Friday, March 28.


April 10: Immigration Conference organized by the Missouri Chamber of Commerce, from 9:30 a.m. to 2:00 p.m. at the One Metropolitan Square Conference Center - Suite 990. Find out how recent changes and proposed immigration legislation on the state and federal level could impact your businesses. Linda Shapiro and Kelly Simon, attorneys from Thompson Coburn, will speak on employment practices. The keynote speech will be by Representative Tim Flook (R-Liberty), member of the House Special Committee on Immigration. Chuck Pryor, Deputy Chief of Staff for MO Governor Matt Blunt will give an update on state agency enforcement of current immigration policies. For agenda and to register click here.

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The RCGAdvocate is published periodically to inform RCGA members and government officials about important public policy matters at the state, federal and local levels. It seeks to provide timely, in-depth coverage on regional issues, and, at times, to call RCGA members to action. We welcome your comments and suggestions.

Chip Casteel ~ Senior V.P. of Public Policy ~ (314) 444-1107 ~ ccasteel@stlrcga.org
Susan Stauder ~ V.P. of Infrastructure & Public Policy ~ (314) 444-1155 ~ sstauder@stlrcga.org
Eric Schneider ~ Senior Director of Public Policy Research ~ (314) 444-1148 ~ eschneider@stlrcga.org
Kevin Riggs ~ Director of Illinois Government Affairs ~ (314) 444-1108 ~ kriggs@stlrcga.org
Christine Snively ~ Project Manager ~ (314) 444-1144 ~ csnively@stlrcga.org
Marlo Young ~ Executive Assistant for Public Policy ~ (314) 444-1134  ~ myoung@stlrcga.org



 
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