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Jack Schenendorf
Of Counsel, Covington & Burling LLP
      Vice Chair, NSTPRSC
Commissioners
Mary Peters Secretary of Transportation — Chairperson
Jack Schenendorf Covington & Burling LLP—Vice Chair
Frank Busalacchi Wisconsin Secretary of Transportation
Maria Cino Deputy Secretary of Transportation
Rick Geddes Cornell University
Steve Heminger Executive Director, MTA
Frank McArdle General Contractors Association of New York
Steve Odland Chairman and CEO, Office Depot
Patrick Quinn Chairman, American Trucking Association
Matt Rose CEO, Burlington Northern Santa Fe Railroad
Tom Skancke CEO, The Skancke Company
Paul Weyrich Chairman and CEO, Free Congress Foundation
                                                            2
Transportation Essential To Our National Security,
         Our National Economy And Our Way Of Life

“Our unity as a nation is sustained by
 free communication of thought and
 by easy transportation of people
 and goods... Together the unifying
 forces of our communication and
 transportation systems are dynamic
 elements in the very name we bear
 — United States. Without them, we
 would be a mere alliance of many
 separate parts.”
               — Dwight D. Eisenhower, 1955                3
A Looming Transportation Crisis



• Aging System



• Inadequate Capacity




                                   4
No Easy Answers




                  5
Major Recommendations

• Reform



• Increased Investment
  – $87 billion per year to $225 billion per year




                                                    6
New Programs




               7
How Will We Pay For It?
• Federal Motor Fuels Tax
    – To be replaced by VMT fee in future


•   Freight Fee
•   Customs Fees (portion)
•   Ticket Tax
•   Cap-and-Trade Revenue
•   Investment Tax Credit

• Tolling
• Congestion Pricing
                                            8
Modernizing Our Transportation Network
To Meet The Challenges Of The 21stCentury
•   Wll be the Real Economic Stimulus We Need
     – Short term Jobs
     – Long term Jobs

•   Will Make America More Competitive in 21st Century Global Marketplace

•   Is Essential for a Healthy and Robust Economy
     – Makes Other Investments Possible

•   Will Reduce Our Dependency on Foreign Oil

•   Will Reduce Greenhouse Gas Emissions

•   Will Save Lives

•   And Will Be Paid for by Users

                                                                            9
Before Turning To The Transportation Bill,
 Let’s Take A Look At What Is Happening
             In Washington?




                                             10
Mark Twain on Washington


“There is something good and motherly about
    Washington, the grand old benevolent
       National Asylum for the helpless.”




                                              11
Financial Crisis / Economic Recession


“Man looks in the abyss, there’s nothing
staring back at him. At that moment, man
finds his character. And that is what keeps
him out of the abyss.”
                                   From “Wall Street”




                                                        12
Ambitious Agenda
• Long Term Finances
    – State of Union’s Finances (www.pgpf.org)
    – A Financial Wake-Up Call (www.concordcoalition.org)


•   Stimulus
•   Financial Reform
•   Climate Change
•   Health Care

• Partisanship / 2010 Elections

• Elephant in Room: Taxes

                                                            13
Transportation
• Program Expires September 30, 2009

• SAFETEA-LU Legacy
   – Trust Fund Bankrupt
   – Rescission


• Status of Multi-Year Legislation

• Extension Needed
   – House: 3 months
   – Senate / Administration: 18 months (really 24-30 months)
   – Continuing Resolution: 1 month at reduced rates


                                                                14
Issues
• Very Critical Period
    – Environmental Agenda
        •   Anti New Capacity, Especially New Highway Capacity
        •   Anti User Fee / Trust Fund
        •   Metropolitan Focus
        •   Diminished State Role
        •   Climate Change Focus
    – Rural / Highway Dependent Areas At Special Risk
    – Balkanization
    – Stifle Economic Growth

• Increased Investment
    – How do we raise the revenue?

• Reform
    – How do we get right kind of bill?


                                                                 15
Making A Difference




                      16
What’s Our Ask?


• Increased Revenues

• Fair Treatment For Highways and Rural Areas




                                                17
Impressive Congressional Delegation
     Democrats          Republicans

     Conrad (ND)        Thune (SD)
     Dorgan (ND)         Enzi (WY)
     Baucus (MT)       Barrasso (WY)
      Testor (MT)      Johanns (NE)
     Johnson (SD)       Inhofe (OK)
      Nelson (NE)       Coburn (OK)
     Bennett (CO)      Hutchison (TX)
       Udall (CO)       Cornyn (TX)
    Bingaman (NM)
      Udall (NM)      8 House Members

   9 House Members
                                        18
Be Bipartisan In Your Approach




                                 19
Build Solid Political Relationships
•   Political Contributions / Fundraising
•   Meet with Member in Washington / District
•   Organize “Meet-and-Greet” Events
•   Political Party Activities
•   Speeches
•   Site visits
•   Personal “Remembrances”
•   MAINTAIN CONTINUAL PRESENCE


                                                20
Communicate Effectively
• Explain Concerns and Positions
    –   Simply and Concisely
    –   Exhibit Conviction
    –   Substantive Knowledge
    –   Pros and Cons

• Use People Skills

• Make High Quality Educational Presentations

• Use Special Web Site Devoted To Issue

• Analyze Specific Issues and Political Situation

• Develop Strong Factual and Policy Arguments

                                                    21
Advocate Positions

• Use Direct Personal Contacts / Meetings

• Meet With Personal and Committee Staff

• Use Calls, Letters, E-Mails, Letters to Editors,
  Op Eds, Etc.



                                                     22
Form Coalition
• Allows Team Effort

• Structured, Dues Paying

• Comprehensive, Coordinated Efforts

• Increased Political Clout

• Activate / Energize Other Parties With Similar
  Interests

• Coordinated Media / PR Strategy

                                                   23
Utilize “Independent” Outside Opinion

• Academic Experts

• Think Tanks

• Opinion Polls

• Government Studies




                                          24
Use Persistence, Hard Work And
            Common Sense
• Keep Pressure On

• Demonstrate High Level Of Interest
   – Repeated Contacts
   – Involve CEOs


• Commit Adequate Resources

• Don’t Get Discouraged

• Face Up To Problems

                                       25
Will Our Generation Do The Right Thing?

 “We should avoid ungenerously throwing
 upon posterity the burden we ourselves
  ought to bear.”

                          --George Washington 1796




                                                     26

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2009 schenendorf

  • 1. Jack Schenendorf Of Counsel, Covington & Burling LLP Vice Chair, NSTPRSC
  • 2. Commissioners Mary Peters Secretary of Transportation — Chairperson Jack Schenendorf Covington & Burling LLP—Vice Chair Frank Busalacchi Wisconsin Secretary of Transportation Maria Cino Deputy Secretary of Transportation Rick Geddes Cornell University Steve Heminger Executive Director, MTA Frank McArdle General Contractors Association of New York Steve Odland Chairman and CEO, Office Depot Patrick Quinn Chairman, American Trucking Association Matt Rose CEO, Burlington Northern Santa Fe Railroad Tom Skancke CEO, The Skancke Company Paul Weyrich Chairman and CEO, Free Congress Foundation 2
  • 3. Transportation Essential To Our National Security, Our National Economy And Our Way Of Life “Our unity as a nation is sustained by free communication of thought and by easy transportation of people and goods... Together the unifying forces of our communication and transportation systems are dynamic elements in the very name we bear — United States. Without them, we would be a mere alliance of many separate parts.” — Dwight D. Eisenhower, 1955 3
  • 4. A Looming Transportation Crisis • Aging System • Inadequate Capacity 4
  • 6. Major Recommendations • Reform • Increased Investment – $87 billion per year to $225 billion per year 6
  • 8. How Will We Pay For It? • Federal Motor Fuels Tax – To be replaced by VMT fee in future • Freight Fee • Customs Fees (portion) • Ticket Tax • Cap-and-Trade Revenue • Investment Tax Credit • Tolling • Congestion Pricing 8
  • 9. Modernizing Our Transportation Network To Meet The Challenges Of The 21stCentury • Wll be the Real Economic Stimulus We Need – Short term Jobs – Long term Jobs • Will Make America More Competitive in 21st Century Global Marketplace • Is Essential for a Healthy and Robust Economy – Makes Other Investments Possible • Will Reduce Our Dependency on Foreign Oil • Will Reduce Greenhouse Gas Emissions • Will Save Lives • And Will Be Paid for by Users 9
  • 10. Before Turning To The Transportation Bill, Let’s Take A Look At What Is Happening In Washington? 10
  • 11. Mark Twain on Washington “There is something good and motherly about Washington, the grand old benevolent National Asylum for the helpless.” 11
  • 12. Financial Crisis / Economic Recession “Man looks in the abyss, there’s nothing staring back at him. At that moment, man finds his character. And that is what keeps him out of the abyss.” From “Wall Street” 12
  • 13. Ambitious Agenda • Long Term Finances – State of Union’s Finances (www.pgpf.org) – A Financial Wake-Up Call (www.concordcoalition.org) • Stimulus • Financial Reform • Climate Change • Health Care • Partisanship / 2010 Elections • Elephant in Room: Taxes 13
  • 14. Transportation • Program Expires September 30, 2009 • SAFETEA-LU Legacy – Trust Fund Bankrupt – Rescission • Status of Multi-Year Legislation • Extension Needed – House: 3 months – Senate / Administration: 18 months (really 24-30 months) – Continuing Resolution: 1 month at reduced rates 14
  • 15. Issues • Very Critical Period – Environmental Agenda • Anti New Capacity, Especially New Highway Capacity • Anti User Fee / Trust Fund • Metropolitan Focus • Diminished State Role • Climate Change Focus – Rural / Highway Dependent Areas At Special Risk – Balkanization – Stifle Economic Growth • Increased Investment – How do we raise the revenue? • Reform – How do we get right kind of bill? 15
  • 17. What’s Our Ask? • Increased Revenues • Fair Treatment For Highways and Rural Areas 17
  • 18. Impressive Congressional Delegation Democrats Republicans Conrad (ND) Thune (SD) Dorgan (ND) Enzi (WY) Baucus (MT) Barrasso (WY) Testor (MT) Johanns (NE) Johnson (SD) Inhofe (OK) Nelson (NE) Coburn (OK) Bennett (CO) Hutchison (TX) Udall (CO) Cornyn (TX) Bingaman (NM) Udall (NM) 8 House Members 9 House Members 18
  • 19. Be Bipartisan In Your Approach 19
  • 20. Build Solid Political Relationships • Political Contributions / Fundraising • Meet with Member in Washington / District • Organize “Meet-and-Greet” Events • Political Party Activities • Speeches • Site visits • Personal “Remembrances” • MAINTAIN CONTINUAL PRESENCE 20
  • 21. Communicate Effectively • Explain Concerns and Positions – Simply and Concisely – Exhibit Conviction – Substantive Knowledge – Pros and Cons • Use People Skills • Make High Quality Educational Presentations • Use Special Web Site Devoted To Issue • Analyze Specific Issues and Political Situation • Develop Strong Factual and Policy Arguments 21
  • 22. Advocate Positions • Use Direct Personal Contacts / Meetings • Meet With Personal and Committee Staff • Use Calls, Letters, E-Mails, Letters to Editors, Op Eds, Etc. 22
  • 23. Form Coalition • Allows Team Effort • Structured, Dues Paying • Comprehensive, Coordinated Efforts • Increased Political Clout • Activate / Energize Other Parties With Similar Interests • Coordinated Media / PR Strategy 23
  • 24. Utilize “Independent” Outside Opinion • Academic Experts • Think Tanks • Opinion Polls • Government Studies 24
  • 25. Use Persistence, Hard Work And Common Sense • Keep Pressure On • Demonstrate High Level Of Interest – Repeated Contacts – Involve CEOs • Commit Adequate Resources • Don’t Get Discouraged • Face Up To Problems 25
  • 26. Will Our Generation Do The Right Thing? “We should avoid ungenerously throwing upon posterity the burden we ourselves ought to bear.” --George Washington 1796 26