First lady for the choir, for donnie and marie, tonight, every step of the way, please give the good governor and the first lady a round of applause. [applause] gov. Herbert were honored to have everybody here and thank you. Welcome to utah, this has been a great event so far. I appreciate the little gift i just got from my good friend, governor of montana. Its a monocle. It allows me to see the fine print when i sign legislation. [laughter] for the last year, ive had the distinct honor and privilege of representing americas 55 governors of our states and territories. Couldnt be more pleased witch the work we have done together. Governors all across the country are on the frontlines and their states each and every day. Theyre serving constituents, coming up with Real Solutions. Unfortunately for us, fortunately for us, we have support from the National Governor association along that way as well. Nga staff has been especially helpful to me throughout my tenure as governor of montana. I still remember showing up in california for the new governors academy, or what Governor Hogan and i call baby governor school. Even doing that with my peers, democrats and republicans, gave me a Good Foundation to start serving. Then more recently National Governor Association Staff provided me the resources and platform to take my chairs initiative, good jobs for all americans, and make it a great success. With the support of nga then and the governors coming along, we and countless partners have taken the positive steps to create a future ready workforce. We sparked the conversation but conversation about the growing skills gap and empowering the nation to make sure no american is left behind in our evolving economy. Want to take a moment and recognize interim director nicky gilford as well as her staff at the nga. Thank you for stepping into this. This isnt in the script you wrote. [cheers and applause] gov. Bullock but for those that also dont know, nicki was going to be transitioning from nga and working for governor dewine and planned to do that long before we asked her to be the interim executive director and you have been a star. Thank you. Its also my pleasure to announce in the governors only meeting today that we announced and approved, were going to have a new executive director, bill mcbride. He worked for governor engler in michigan. Governor snyder is his dc rep and has incredible experience on the hill as well. Think that bill mcbride is a person thats really well positioned to take National Governors association to serve the voices of the 55 governors, as we go forward. So thanks so much, bill, as well. [applause] gov. Bullock i would also, i guess, take the chairs discretion. I want to thank my staff. Often, we take on a new project with awe and excitement, while our staff is like with dread and what did he sign up for this time . And when it comes to doing this National Governor association work, what it really does is piles additional responsibilities on folks already working hard for montana. So Adam Schaeffer and my staff, thank you so much for your good work. [applause] and id like to thank my fellow governors for supporting me throughout the exciting journey. When you sign up for nga leadership, you sign up for not one year but two years. I served as vice chair under former Nevada Governor Brian Sandoval and then had as my vice chair governor larry hogan and both working with them have made me both a better governor, better leader and a better person. Thank each of you as governors when you provided input on what the National Governor association can be and should be, and thanks for the support of our initiative did our initiative. And thanks for what you do every day. It gives me great pleasure at a time when political divisiveness seems to distract from what is being accomplished that you all together at nga gives the platform to work past the politics and work sidebyside to make our states and nation a better place. For the last couple of days, we have shared best practices and learned from each other, enjoyed each Others Companies and listened to one another and respected one another. Our governors continue to show we truly are the United States of america. It is a bittersweet day for me in many respects as i pass the baton to the new chair, but im more than confident in my friend Maryland Governor, larry hogan. He has already shown his strong leadership, putting his all into the organization while serving as vice chair and then jumping into the chair ship head first. Its any honor to announce the new York Governor Andrew Cuomo has been named as the vice chair. Im confident that Governor Hogan and Governor Cuomo will continue our long and important legacy of bipartisanship. Join me in congratulating governor larry hogan, vice chair andrew cuomo, and each of the new executive committee. [applause] bullock now i like to call on the new vice chair, andrew cuomo, to say a few words. [applause] thank you very much. Lets give governor bullock another big round of applause and thank him for his leadership. [applause] gov. Cuomo were all excited that chairman hogan i like chairman better than governor in some ways chairman hogan is taking over the helm and has already demonstrated his commitment, energy, effort and his achievement. Lets give chairman hogan a big round of applause. [applause] gov. Cuomo and governor herbert, the dean of the governors, thank you for the hospitality and courtesy. Everything has been beautiful. Governor herbert. [applause] im a new yorker so i know you expect a blunt new york style assessment, and i dont want to disappoint so here it is. Washington is a political mess. That is my shocking, revealing, candid assessment. It is also as plain as the nose on my face, which is saying something. So much for new york bluntness. Because in the case of washington, the truth is obvious to all. Washington is in a state of political paralysis, and that paralysis has stymied functionality. I was speaking to a congressman the other day, and i was saying, we need washington to work. I cant do my job without washington working, and the congressman said, well, we have been making progress recently. And i said, congressman, progress is a relative concept. Did you ever hear the story what what the snail said when it went for a ride on the turtles back . Whee [laughter] so washington has been making progress, not enough. Dont get me wrong, governors are also good at pontification. But we havebattles to keep the lights on and balance a budget and respond to daily need. Governors cannot filibuster to solve the opioid epidemic. Fromnt take a recess educating a child and cant rely on a parliamentary point of order to build a road. Governors must deliver. Justice brandeis spoke about laboratories of democracy. We are beyond that now. Yes, were still laboratories of democracy, but states are now factories of democracy. And were hospitals of democracy and schools of democracy and democracy and roads and bridges of democracy and Emergency Managers of democracy and the job generators of democracy. States have no choice but to proceed on their own the best they can to be the most functional unit of government. It is hard, its not ideal. Its not the intended design. Nor is it sustainable longterm, but it is essential today. How long the political paralysis lasts in washington is anyones guess. There was this is not the first time theres been a strange illness in washington. In the 1830s, there was cholera outbreak. In 1865, typhus. In 1918, influenza. Lets hope this passes faster and with less pain. But the governors job is to deal with the here and now and today the burden falls to us, the states, to get results. To help people to better lives , to solve problems and to make progress. That is what it is all about at the end of the day. And the same time, i believe that is the best antidote to the washington paralysis, to reduce the anxiety, fear, division, that caused the paralysis in the first place. Working together as seemingly simple but extraordinarily profound as that concept is, is the cure. As president of the United States in 1908, the former governor, new york, teddy roosevelt, convened a nations governors to washington because he understood the states roles in the essential notion of federalism. That was the initiation of the nga. It may have taken 111 years for a new yorker to become vice chair of the nga. [laughter] gov. Cuomo i dont take it personally. But i couldnt be more proud to be part of the team. Never before has there been a more important time to use our collective strength as governors to show how to lead this nation forward. Never has there been a more important time to show the people of this country that we can still find commonality, and there is still a collective and unity is not an illusion. , thega is, in many ways only National Vehicle that can do it. The nga led the way in 1908 and together the nga will lead the way once again. I look forward to working with each and every member of this distinguished body. Thank you. [applause] gov. Bullock thank you, Governor Cuomo, and again congratulations on becoming nga vice chair. I started my tenure as chair with respect for Governor Hogan. I end my tenure with not only respect but also with trust, admiration and a sincere friendship. Governor hogan, thank you for not only all the support you , and all of the governors over this last year. Thank you for your tireless dedication as well as your staff. And please come up because it is not only time for transfer of the gavel, and then i made sure you cant see it from out here but it says maryland, Governor Hogan, nga chair, made out of a little barbed wire from montana. Thank you. Thank you very much. Just really quickly issue want to again thank chairman bullock for his incredible leadership over the last year. His initiative on better jobs for all americans was a tremendous success. I want to thank you. You can do great partner to work with. Its been fun. We all thank you for your leadership. I have a few gifts for you. I know that you have a lot of cowboy boots and you can never have enough boots, as they are made for walking, so we have boots in here. We have a Great Company in maryland called under armour and so wew you are running, have a bag of goodies you cant get in montana. Thank you. K thats cool. [applause] gov. Bullock thank you all. Attention ton your the screens as well play short video about the next governors chairs initiative. [video clip] bullock its been an honor to serve as chair of the National Governors association. With Governor Hogan as my vice chair, Governor Hogan has a proven record of chair hogans initiative. Both sides must come together to address this issue. Infrastructure is a priority in montana and across the nation. It is a way to create good paying jobs while ensuring our communities remain viable. I look forward to hearing the ideas and best practices that come out of chair hogans initiatives. Its only when the partisan shouting stops that we can hear each others voices and concerns. I am prepared to create an environment of trust and cooperation. What i envision for maryland is not just an economic and fiscal recovery but a rebirth of our spirit, and a renewed commitment to our common purpose. Starting today, let me say loudly and clearly, maryland is open for business. [cheers and applause] one and a half years ago Governor Hogan launched an initiative to make maryland open for business. We have experienced four years of consecutive recordsetting growth. We had the busiest month ever. The governor launched a 600 Million Investment to improve the baggage handling system, restrooms, retail operations. Three, two, one. Were open the new concourse connecting terminal d and e is open, including an eightlane security checkpoint. Gov. Hogan since i have been governor, we have deepened the port and its only one of the deep water ports that can handle the biggest ships in the world, increasing the value of the port, increasing jobs and revenues to the site. The confidence level and the support that the Hogan Administration has provided understanding there is a True Partnership and understanding of what drives business and the market has responded incredibly well. A growth of almost 90 . Almost a 9 annual growth rate. Governor hogan recognized for the washington metropolitan area that metro is the life blood of our system, our economy. The purple line project providing rail transportation between the states two largest counties. He worked aggressively with me and other local leaders across partisan lines. A white republican governor. He acts like regular human being. It is what it is, we are making it work. In my state, happens to be a more than two to one democratic state. Im a republican governor. My legislation is twothirds majority of the opposite party. We got together with the democrats and legislature and the local and federal government for the largest e3 Transit System in north america. Across america. Has thee of maryland second worst Traffic Congestion in america. Its just parked. The cars are wall to wall and i cant get across. I am trying to take a left. Gov. Hogan folks spending lives sitting in soulcrushing traffic. Not for the faint of heart. This is a big deal. The governor just concluded a press conference, i270, i495 and 295 all to get four additional lanes each. Gov. Hogan this is a Publicprivate Partnership, 9 billion project where we get private Sector Investment without the need to raise taxes on our citizens. Governor hogan announces another plan to east major Traffic Congestion in maryland and comes a month after the after he unveiled a plan to add lanes. Tolls in maryland have sending had an increase of 300 . I cut tolls also every single facility for the first time in 50 years. We have put 370 million back into the pockets of struggling maryland families and Small Businesses and back into our growing economy. He lowered the tolls and i saw a change in maryland instantly. I know 25 doesnt seem like a lot but to a single mom it is. Gov. Hogan our most important Natural Resources the chesapeake bay. Its a national treasure. Pollution doesnt respect political boundaries and in addition to a strong investment in the environmental the environment, the governor wasted no time in helping to broker a historic agreement between the Environmental Community and the agriculture community. Gov. Hogan the bay is now the cleanest its been in recorded history. 100 years from now i want marylanders to say that this was when marylands renaissance began. [applause] hogan rebuilding americas infrastructure, a critical issue. Not only for our states but for the entire country. The unique role of being the governor of the state, we have to govern every day and get things happen in our state. Our goal is to get all of the best ideas from all of or governors and get washington on board and make some real progress. [applause] please welcome back to stage the new chair of the National Governors association, Maryland Governor larry hogan. Gov. Hogan i just want to sincerely thank all of my fellow governors for electing me as the chairman of the nga. Im so honored to have this opportunity to lead the nations governors over the next year. I can remember going to my very first seminar for new governors, or as steve and i like to call school baby governor back in 2014 after i was first elected. And i didnt know any of the governors and i can tell you it was hard for me to tell the democrats from the republicans. And i realized right then how special and how unique this organization is. The nga is not just about representing americas governors. Its also about what americas governors represent. While partisanship and dysfunction have consumed washington, in states all across the country, governors are working together in a bipartisan way, showing real leadership, making real progress, and finding Real Solutions to the Serious Problems that face us. Our nations governors on both sides of the aisle are finding new ways to innovate, to reform, and to drive the debate. Four years ago in maryland, i committed to usher in a new era of bipartisan trust and cooperation, were the best ideas could rise to the top regardless of which side of the aisle they come from. I pledge to govern with civility and moderation and avoid the attempts to drive us to the extremes of either political purity political party. That common sense practice pragmatism has guided our path forward and other governors across the country on so many of the Biggest Challenges like health care, education and the environment. We have sought out Common Sense Solutions and gotten things done. One of the things that makes americans so special, so exceptional, is that when we see something thats broken, we fix it. Or at least we try to. And like so many of you, im fed up with the angry and divisive politics that is literally tearing our country apart. In Washington People in both , parties seem to be moving away from Common Ground and away from progress. But over the next year, the nations governors have an opportunity to prove that there is a better way to govern. In the states, there are leaders who are willing to Work Together across party lines to take on the big problems. And lets begin with something that is fundamental to our economy, to our environment, to our way of life. Today im launching my Infrastructure Foundation for success, which will focus on rebuilding, repairing, and modernizing americas infrastructure in ways that will grow our economy, create jobs, and meet the need s of the 21st century. This initiative is comprised of four main pillars. Relieving congestion to boost economic competitiveness, eliminating red tape and integrating Smart Technology, protecting americas critical infrastructure, and financing and leveraging private Sector Investment. In maryland we have taken a balanced, allinclusive approach to infrastructure. We moved forward on nearly every single one of the highest priority transportation projects in every single jurisdiction across our state. An unprecedented and historic investment in transportation infrastructure in both transit and in roads. We have 800 projects totaling more than 9 billion that are currently under construction in roads, bridges, tunnels all across the estate. We repaved more than half of our state highway system and invested 150 million in innovative Traffic Congestion solutions, Smart Technology and cutting edge signalization networks. We invested a record 14 billion in transit, including starting construction on the purple line project in the Washington Capital region, a partnership between the federal government, the state and local governments, and the private sector. And which is the largest p3 transit project in north america. Just a few weeks ago, we approved the largest p3 highway project in the world, to relieve Traffic Congestion on i270 and i495, the capital beltway. The baltimorewashington International Airport continues to be the number one airport in the region in passenger traffic and is one of the most and efficient airports in the nation. Continues to break records thanks to our dredging efforts, which have given us the ability to serve the largest ships in the world. My fellow governors across america have many similar Success Stories to share. In states around the nation, theyre upgrading roads and bridges and mass transit. Theyre improving airports and ports and fixing water systems. As nga chairman, i intend to highlight the great work of all of our governors. And we also plan to bring together thought leaders from government, business, nonprofits, and academia, to come up with new ideas and Innovative Solutions in order to help solve the infrastructure crisis in america. And to help our nations governors drive action from our leaders in washington. Ladies and gentlemen, despite all the wedge politics and petty rhetoric, i truly believe that what unites us is greater than that which divides us, and to those who say that our political system, like our infrastructure, is too broken and cant be fixed, i would argue that americas governors have already shown a better path forward and if we can accomplish it in our states, if we can set out to fix and rebuild what is broken, then theres no place in america where these very same principles cannot succeed. Were going to get to work right away. In fact, right now with a great panel of four incredible farrell, them president of the dominion energy, Terry Osullivan the , president of Labor International union of north america, bill calhoun, the vicechairman of clark construction, and the vicechairman of the board of toyota motor corporation. Lets welcome them all to the stage right now. [applause] gov. Hogan that was a quick transition. Thank you for joining us. Distinguished panel. Well start, tom, with you. Tom leads dominion energy, one of the largest and most successful Energy Companies in the United States. In 2015, i joined executives from dominion to execute a 20year agreement making maryland an International Gateway for Clean Natural gas. Terry osullivan has been a great partner with maryland and dominion and can share the perspective of the construction and Energy Workers who are so critical to Infrastructure Projects. Bill calhoun runs one of the nations oldest and most respected building and Civil Construction companies, and im sure bill can share insights into the regulatory process and some of the obstacles to getting projects through the process and getting to fruition and what commit done to make things more efficient. And shiguro is a respected voice for japans toyota motor corporation, the Worlds Largest automobile manufacturer, and i think he has some perspectives from the International Community and the auto industry. Thank you all for joining us. Lets start with the question for everybody. How would you each describe the state of americas infrastructure and what are the barriers to making it worldclass . Tom . Thank you, governor. Appreciate being invited to be here with you. Just to level set a quick statistics on what dominion is. See governor mcmaster out here. An important part of our Service Territory in south carolina. Was just here a few weeks ago with governor herbert. On a panel. We have gas and electric infrastructure, 110,000miles of various size pipelines, 100,000 miles of various forms of electric wires we dont drill for natural gas. We transit port transport it, and the same thing with electricity. So Governor Hogan came to our facility in maryland, an expert export facility that goes out to japan, and to the nation of india. So, i can speak to the situation with the Electricity Sector and natural Gas Infrastructure sector. I would say that with respect to electricity in particular it is the most complex infrastructure system ever devised by mankind, and i say that without reservation. It is extraordinarily complex and almost everybody takes a completely for granted. Theyre used to just flipping the switch and on it comes without any real understanding about how the electricity is created and transported, how where its cost what drives the costs, et cetera. But the electric infrastructure in the United States is in superb condition. Almost nationwide. If you just step back for a second, normal customer has their lights out a fraction of a fraction of a fraction of a percent over the course of a year. Thats actually amazing. Natural Gas Infrastructure, the ones in place, are in good shape largely. Getting new Gas Infrastructure built has become extremely difficult. In particular. And in my perspective, to make us world class, whether it is roads, bridges, airports, ports, energy infrastructure, we need to not cut corners with regulatory process but speed it up. Make it concurrent reviews, et cetera, instead of we often get in a situation where we have one regulator says state , were notill say going to start until you are done. And then they say were not going to start until theyre done. 5, 8, 10nd up in a 3, year literally, process. So we built at the point, two and a half years to permit. Three years to build the largest Infrastructure Project in the history of the state of maryland. Now, the only reason we debt it reason we got it done in two and a half years is because we had an existing facility, the tanks, terminal, the pier was there that could have taken five years to get permit. That has something to do with the governor just kidding. [laughter] congratulations to you, governor. I proudly live in the Governors State and we are proud of you as governor, being the chairman of the National Governors association. I first want to say, the relationship i have with tom and with clark is unbelievable. Were job creators. My members, i have over 500,000 men and women who proudly call themselves laborers that build the roads, bridges, tunnels, energy and Water Infrastructure across the United States and actually in canada as well. In general, i think our transportation infrastructure , the grade of a dplus speaks to itself from the American Society of civil engineers. I am encouraged by what governors are doing and im appalled at what washington, d. C. Is doing. I think one of the things they could do to fix it is to take a page out of the governors playbook about how you Work Together and make financial commitments and decisions to rebuild the kremlin transportation infrastructure. And i might add, certainly no surprise you as a labor representative, providing quality jobs, pathway to middle class way of life, and that is what infrastructure does. Not only helps the economy, not only helps jobs, its helps us position ourselves for the future. So, i think its disgusting that we get a grade from a very reputable group for a dplus. And that we have a lot of work to do. I commend your effort. Your first effort on infrastructure. Im not trying to be negative, but right now, if you dont figure it out and you have and keep moving forward, while we try to figure out some level of sanity in washington, d. C. , our infrastructure that we have is going to continue to crumble other than the efforts of each and every one of you. Im not trying to be a pessimist , but today cant see the forest for the trees. And i would add, as tom talked about, i find it ironic we went we want 2 trillion or pick a number that we cant figure out how to pay for in washington, d. C. , but then were not going to combine it with regulatory and Environmental Review reform. You need to do both, yes, but what good does it have us if there was a 2 trillion fund and on average takes over ten years to build a road or bridge . I believe they have to go hand in hand and be thoughtful about it, not cut corners. But they do go with each other and they can be done in a responsible way and put people to work and improve our infrastructure, our economy, and our country. Thank you, terry. Bill . Well, let me say first, governor, thank you. We applaud your recognition of the need act and for your leadership and prioritization that infrastructure needs. I want to also say thank you to the National Governors association for the important work they do. Every day. And for important symposiums like this. Yes, i think infrastructure is broken. Its a big problem. Terry cited afce. We have consistently received grades in the d categories since the 1990s, when they first started evaluating the 10 sectors of infrastructure. Currently we are at a dplus. Infrastructure is not only the backbone of our economy but it impacts the economic output of everything we do in the United States. I think the overlooming problem we talk about is funding, but its lack of a sustainable longterm funding strategy which really results in our inability as a nation to implement and infrastructure strategy to get us to world class. Were currently we struggle to close the funding gap to even maintain the infrastructure, let alone get ahead and modernize as you refer to. So, i think we have to solve these problems. I think as we talk about p3 as one of the very needed solutions, one over the tools in the toolbox we need expand also expand. I also agree with the afce, which suggests as we think about p3, we need to prioritize projects like ports and airports and roads that can be tolled that can generate revenue and attract private capital and leave the less desirable financial profiled projects to government funding. Thank you. From the international perspective. Thank you, Governor Hogan. It is rather difficult for a Japanese Business to come in on the challenges of american infrastructure is facing. Let me speak on why Japanese Business have a great interest in the improvement of infrastructure in the United States. Japanese companies have contributed to the u. S. Economy and the communities. Through investment, employment, and activities for many years, and these contributions continue to grow. And Japanese Companies have invested many billions over the past decades and have created millions of jobs. And infrastructure is an important facility of our Work Together. When a Company Considers where justvest, it considers not location, but also Human Resources and acceptance from the local community. Other factors include the quality of infrastructure, such as highways, railways, airports, ports, and utilities. That is why infrastructure forrm is such a priority Japanese Companies doing business in the United States. I want to point out that improvements in infrastructure will only make it easier to do business. What many Japanese Businesses are also active participants in Infrastructure Projects in the United States. One example, passenger cars for the subway systems in new york and washington, d. C. Are manufactured by Japanese Companies. Manufacturing in nebraska. Examples in good many states. Thank you. Tom, terry, bill, you will mentioned the problem of going through the process of regulatory problems, cutting through red tape. Examples of us some how you were able to push through a project, through the process, or some suggestions about barriers that we should be able to address to try to remove so we can make it that we dont have to wait many years to get something done . Have experience, particularly permitting election lines in different parts of the country. Does matter in permitting. A little bit over a million customers in utah, and our Gas Infrastructure business, the gas distribution company. We have the lng facility, pipelines. Its a relatively smooth place to get permitting done. They cooperate with different agencies and with each other. Congratulations to governor herbert for making that happen. [laughter] you have unique issues in the west, you have the native american tribes issues that put a different perspective on it and we are used to in the east. South carolina is an easy place to get things permitted, very efficiently run organizations. Other places, particularly where you start crossing state lines and get involved in interstate commerce, and washington agencies, that is where you start running into real problems. I dont mean to suggest they are not doing their jobs correctly or they dont mean well. It is none of that. Theres a lot to do. Theres a lot of things on their plates. But it is not concurrent. Everything goes one after the other. That is where the real problems,. It leads to increased cost and it will end up being paid for by. He customers in the end s not a useful exercise im not suggesting that you cut corners or dont do the reviews. They should be done, everybody wants them done right, but what is going to happen over time is you will end up holding very Large Companies that have the financial resources, the patients, and the expertise to finish projects. Because the other people just wont be able to do them. So terry, outcome talk about your 500,000 members who get to work and they get to wait ten years for a project to happen. How have you been able how can you help us cut through red tape in washington. We have been doing a couple of things. One, we have been working with the administration on this very issue and we has been working with senator dan sullivan from alaska on who has put forth a bill as far as expediting the permitting process. So legislatively, working with individuals and n d. C. That understand that just having money isnt going to solve the problems. We cant and do it the process expects. I think tom would agree with that. With the capable and safe workforce, because we went to every single town hall meeting in listening sessions all along that line. It marked particulate labor has shown up, our color is orange. Figure an irish guy was orange but i wont go there. They would show up and talk intelligently and respectfully against environmentalists or respect their view or landowners because of the issues with landowners and we helped along with a great partner and hes been a great friend as well to help the pipeline approved. And we still have some issues on it weve got all the permits. We worked the process, it was a fair process, at the end of the day pipeline got approved while we work through some of the other issues. Lieutenant governor, i would agree with tom. I think Location Matters and were a big company and a lot of things in a lot of places from airports, tunnels, Wastewater Treatment plants, all things you consider infrastructure and we dont have the patience in many places and as partners in the business weve said there are a lot of places we want more and i would say its, if theres a message to the governor here i think i would say its about opening both legislative and regulatory needs and attitude to i think foster private industry initiatives and innovation and i would say two quick examples where thats worked well. One and i in high school, Florida High School in Northern Virginia there was a need, many of our people lived there, high school was bursting at the seams, kitchen trailers, busing kids out of the community and we saw the need, we saw unused Real Estate Asset owned by the county. Surplus real estate and we submitted an unsolicited proposal, monetize that surplus real estate to solve another problem which was to produce in your housing. And this unsolicited proposal was then completed, we wanted and all and all done, any lust you deliver a completed high School Several Years ahead of the then current capital plans of the community. And accelerate the completion of 11 other schools in the district so it was a winwin. The other example, so this is an unsolicited proposal so it open to regulatory and legislative and attitudinal approach to allowance puzzles and the other i would site is allowed innovation in the form of agencies or alternative technical concepts and design dont work in the great state of maryland is a great example there in the interconnect county connector where the procurement was a design document financed by the state but innovation, it was apparent to the team was set up wanted innovation and eeg, a lot of firms data and its innovation as long as its the same as weve always done it but that was not the message we received an on board reviews, free submittal of our proposal we got thumbs up or thumbs down as the basic desirability of ingenuity that we were trying to bring forward to differentiate. And as a result, we came up with an engineering ingenuity that eliminated 11 elevated structures on the highway or show less text a greatly reduced first cost and a much better longterm lifecycle. Oh and then. Profile of that project as well so the openness to innovation, incentivize us to put the money into differentiating ourselves to win the job. And i think these are both examples of when you rent a, these are two ways that could process to get excited about working in new places. Thank you, so japan as some of the most innovative, wellmaintained infrastructure in the world and im excited to be leading a delegation of governors to tokyo. But im actually excited to hear from you about maybe some of the speakers to japans access with building worldclass infrastructure, how can we learn from you and how can Companies Like toyota have you been involved. To the infrastructure, for high authority. And by providing Innovative Technologies and knowhow. And one example is us customs and Border Protection and the transportation security administration. Airlines like dont. They have partnered with in occ corporations. To use a special recognition technology, airports. Passengers line from Salt Lake City international nation, now can seamlessly travel from curve to the gate, process involves checking in, security screening and boarding. Using facial recognition. And an easy theology save time and trouble d if available Salt Lake City. And elsewhere. And the Japanese Business are committed to applying, Cutting Edge Technology and knowhow to contribute to the continuing, continued extent of the us economy through Infrastructure Projects. And this cannot be achieved by business amenities show less text alone. In fact it will strengthen the cooperative partnerships with state governors and officials gathered here today. And i know americans are very passionate about building a stronger and better United States. And Japanese Companies share this passion and desire to contribute to the overall invest in community in the United States. Lets talk about the need to protect our Energy Transportation communication system, its critical in production from the grower growing cyber and while we are working to modernize infrastructure through thin like smart grids and digital control systems, we are also opening ourselves up to increase cyber attack so, the Energy Sector is obviously growing to these types of things. What do we need to be doing . What do we need to be concerned about . I would make sure you personally talk to the ceos of your electric utilities. To make sure that the local cooperatives that are there, because its the weakest link in the chain is going to be a problem. I would say about Cyber Security and i know its great for selling books and movies, i guess. Its easy for people to say that us electric Transmission System is third world and its way behind, its just completely untrue. It is, leads the world. And as far as Cyber Security goes, talk about it Governor Cuomo talk about it, governor bullet talk about the dysfunction in washington and certainly it is. I would say on this particular topic, our electric, some of our electric customers include the pentagon and cia and a number of other agencies that they dont even say all their letters together. Out loud. In the virginia washington suburbs. So its a particularly theres a few in virginia. By the way, maryland is a place to get permits. We would never have gotten the permit in two years in any other state. But the, so i would say your electric utility is cyber attacks, thousands of times. Every day. Every day. And also the forms. And the issue is, theyre going tottac and the issue is what happened to mark how many layers of defense do you have in your systems because obviously you dont want them to be able to get into your control room and check your crop but on this issue with washington there is very good cooperation, starting in the obama administration, continued in the trump administration. Among the department of Homeland Security department of defense, the justice department, and the department of show less text energy. In the electric utility industry, we have a joint task force called the scc and we meet and we are t thoue, i have a clearance and most of my colleagues do, several others in my company so that the most important thing is sharing of information. We dont know things happening and someone else does no, we need to know. And so, but the cooperation on this topic at the National Level has been very good in my experience. Thank you tom. Private sector capital can help and we done this in our state, others, its a controversial topic with some of the private sector capital can help finance Infrastructure Projects and theres billions of dollars out there looking for products to investing. Terry, i know that we see the promise in the trees. How can labor be a part of the solution and how can governors work to engage the unions and their states on this issue . I would say engage early on because we can be helpful. And will be helpful our union believes this, that there is no single solution to the funding of our instructor needs. And that all, every option should be on the table. And assessed and we built a platform that may have multiple levels, whatever it may be. Certainly we believe and engage and invest in Public Private partnerships. Done right, we not only support them, we invest in them. And heres how unions can help. We have close to 100 billion in our pension funds. And were just one of the Building Trades unions. Through your account which is a union owned Insurance Company and Financial Services company, we invested in the afa, Governor Cuomo is not here but jfk terminal one project. We put hundred 50 million in. And its 13 billion worth of work. So not only are we going to get the return on our investment, doubledigit returns but were going to put people to work in good middleclass jobs. There are a part of the team on the purple line. Our team which is neither here nor there but we were going to invest in the purple line as well. Water is a big thing for us. Across the country im only going one because im picking up everybody elses time, we also california we are approached by the city. Because they wanted to build a new Wastewater Treatment facility, hundred 70 million. We built for them, were obviously operating it under a Publicprivate Partnership agreement. And it working extremely well. The last and i think the boat liana clark are looking but the privatization of the pg public schools. Its going to be 5 to 7 schools after talking about, 350 Million Dollars to build those schools and to operate them, not from a teacher perspective but from an operations perspective. So nothing new. Weve also invested over 18 billion in our Construction Show less text loan program. Generated over 630,000 work hours for the men and women that we represent. So we dont, were not by them. They can be done the right way and weve seen examples of that and weve seen some that havent worked out a way that they had both. But we see it as an option, an option that we choose to engage in and invest in, where appropriate and put our members to work on. I want to save time for some of the other governors away and but i want to do a round robin and everybodys input on one general question, all the governors come here to get ideas from each other and get ideas from experts like all of you. If you each just get us a one real suggestion about what could governors you, if you could only get them one or two important ideas back to their states and say what can they do a better job of, of helping some of the infrastructure problems, what would it be. Im going to start with bill. Have an answer, to respond to that. I would point to the states that have the broadest forms allowed by legislation collaborative project delivery and when i say that i mean not only the various forms of thievery that are the private equity forms but those that are unsolicited where we can modify asset but i would open after even more and look at various forms of design build and not a Performance Design build progressive design build. I look at construction manager, see them at risk contracts and when we look around the country, theres a really mismatched, and a myriad of whats out there. There are many states that allow p3, some of them are on allowance, others are very specific. States allow. At risk, other state allow design build and i think these are all very viable potential tool to solve an infrastructure problem, there is no one tool that i would say its best all the time so you open picture to allow more active open discussion of whats that, was optimum, we have amenities from. Exactly and i think collaboration with the private world to talk through that will get you a great result but i would say what goes with that and i think what we focus on is move towards standardization. I think this is something that nga can move the country on. There are a number of great organizations or references produced by an organization out there. Advisory documents the ot has a great document out on how to go about three but we need to have a more standardized value for money analysis so we can determine if this for the taxpayers expenditure on 83. And how to implement the three . Do you, department of treasury got a great guy coming out there for various alternate funding seems and then ai is just another example. And i think we need to come up with a learning curve, move towards standardization if we want more efficiency and all of us together need to move towards an educated buyer and consumer of these products because many times, we get involved with projects that last for more than a year, millions of dollars as we try to figure out how were going to implement that and 11 eight a lot of little rex and i would attack on solid the political risks as something that is going to be coming an increasing problem. As we ramp up the three solution world. Many of us have changed jobs that are year or more into a project, their basic funding mechanism be it availability or towing or whatever is rejected after we spent millions of dollars and so i think moving the political rest, many of the political risks to solutions ahead of the project is a really important thing to do as well. I think we are running short on time, ill let the governors asked one suggestion for the governors to take back. To encourage big investment, its infrastructure, that is clear and stable policies. And the direction of trade policy. And the framer for inbound investments by following operations. It will directly affect the investments you are making. So i sincerely hope that a state who wants to advise fbi, actively should seek out on related policies. Class i would say cooperation, i know some of you, others ive never had the opportunity to work with. We try and look at ourselves as problem solvers. And trays are a little erent, we have skilled workforce, safe workforce. We have money, a lot of the problems were talking about. Cant make any guarantees, but theres resources there that we ought to sit down if we are not familiar with one another. And see if we can match coins and move forward together. That would be my message. A very specific one for you, where we do business, my experience as a governor, what are your biggest problems with your rural statements . They will all say no broadband. Theres no internet, i dont know where to get it there. The real problem there is what they call the middle mile. Theres plenty of fiber in the urban areas and the middle mile is a long truck line that will take it out to the Rural Communities and nobody will build that because theres not enough customers on the other end. Once you get to the third mile, final mile, they will do that because the customers are there. Its nowhere near as expensive so how do you solve the middle mile to mark we get a program that went through virginia, Governor Northam reported it where the local electric utilities and its service in our case in virginia, we have about 80 percent of the population. There pilot program, 60 million a year where we will build the middle mile from our urban areas. Were putting fiber out to our remote substations anyway for our own purposes. We will lay fiber as were laying out on fiber, the middle mile truck. We had cooperation from all the local cable companies, it may have passed unanimously. In both houses. The idea that we will, you can use a local utility, your social cost for your rural customers across your whole utility customer base. Its a very small show less text Asa Hutchinson monthly charge. To help out part of the citizenry who really are in a bind. , education, its hard to begins with education live there. Its hard for economic elements, everything else. So that one. One real live suggestion or you, i would suggest to the governors. Any questions or topics you want to talk about. Its a quiet bunch. Governor hutchinson. I wanted to follow up on that last point, rural broadband. Its like a good nerve in my world and the state of arkansas. So i understand that in virginia they use a small monthly fee to help pay for and fund the middle mile. The electric utility has been authorized as part of its franchise, given the right of Eminent Domain to a fiber cause we have, the local utilities will have Domain Authority for electric lines, they dont have it for fiber. Already in your statute, it would be unusual if it was. So an essential piece of legislation in virginia, this year. It got so it would make sure its working right. Per year. We are authorized, we have to have a partner is in the show less text telecommunications business, Internet Business to work with us. Where we will lay the fiber from one of our urban, more urban or suburban substations, to a more remote rural substation. Then, the third mile we are not getting into the last mile business. Were just providing middle mile. Utility collects that the. Becomes part of the monthly fee for your utility. Any other governors . I just want is distinguished panel for joining us this afternoon. I think its fascinating discussion. You had a lot a lot of the stuff for the governors think about. We appreciate you taking the time to have these guys have a busy schedule but we very much appreciate you being here with us. I want to kind of, this is the last session of the day. I wanted again though hes not here i want to get another shout out and thank you to governor herbert and first lady working. I want to and mentally and thank you again our outgoing chair. The bullet, steve, thank you for your leadership. I also want to welcome and thank and congratulate Governor Cuomo. Who is going to be my chair and i thought we didnt get a chance to do it earlier but i want to just close out here by opening the entire new executive board which is to include Governor Cuomo, governor bullet. Utah governor gary herbert. Michigan governor whitner, Massachusetts Governor charlie baker, colorado governor bullet, Iowa Governor reynolds, new mexico governor new impression and i want to thank you for your service. We still have a lot of f i have a knife but this does officially include our business this afternoon so i can also much for joining us. [applause] Garrett Greaves of louisiana talks about climate issues in the work of the select committee on the climate crisis, of which he is ringing member. Believe that the committee was created largely to continue driving the political wedge, when in reality, if you look at this issue, there are a lot of areas where we need to be working together and cooperating. I think Speaker Pelosi probably set this up to distinguish positions between the republicans and democrats, whatever the reality is on the democrat side, youve seen much of the civil war occurring there. You have the energy and Commerce Committee not wanting to see jurisdiction. Some of the folks in the Climate Committee have been trying to gain traction and gain ground in sliding a little bit, and certainly with the legislative tactics we saw earlier this year, there are some examples of that. I think youve seen folks advocating for the Green New Deal also, trying to claim. Watching this from the republican side has been very interesting, because we are not sure who we should be talking to in negotiating with. We have a great threat louisiana, absolutely. If you look across the challenges we have, we have some of the fastest sinking rates in the nation. We are experiencing it like the rest of the world. We are certainly subject to hurricanes and other intense storms. We had an unnamed storm just three years ago that dumped 32 inches of rain within 36 hours of some of our communities. Agoad a rain three weeks that dumped 78 inches of rain in one hour. Certainly we have some challenges. The reality is when you look across all the threats that are state the greatest one is determinable to how the corps of engineers, our own federal government, has managed the river system that has resulted in the majority of historical, ongoing, and futurla
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