Infrastructure asset management and the US Economy

It has been less than a month since our last post on the growing threat posed to the US economy from the lack of investment in Infrastructure Asset Management (here) after the explosion of a steam pipe in Manhattan.

The past couple of days have carried stark headlines regarding this topic. The collapse of a road bridge over the Mississippi river and the poor souls it has taken with it is only the beginning of the story, there is still the as-yet un-calculated economic impact of losing the bridge. Issues such as increased congestion elsewhere, increased gas costs for alternative routes, isolation for businesses straddling the bridge and a host of other financial impacts.

It is also starting to surface that this bridge had been designated as structurally unsound since at least the 1990's. And new reports stating that as many as 70,000 or more bridges across the USA could share the same structurally deficient rating as this one.

It is now becoming starkly obvious that over the decades the infrastructure of the USA has had to take a back seat to historical events such as the war on terror, the cold war, the war on drugs, and other more pressing issues.

The rupture of the steam pipe in Manhattan, the inadequacy of flood protection in New Orleans, and in 2003 the failure of the Silver Lake Dam in Michigan.

The aging of US infrastructure, its continued neglect, and the human and economic disasters that are occurring as a result can only be described as a national disaster, and one that has only begun.

Americans should be rightfully enraged and disgusted in equal measure. Long life assets are easily ignored, they probably won't win elections anytime soon, and they don't really get many standing ovations; but neglect them at your peril.


The danger now it that money starts to be thrown at the high profile areas of this problem. Steam systems and bridges, at the cost of other equally important areas such as roads, rail infrastructure, street lighting, water and waste water processes, energy infrastructure and so on.


Here are some quick thoughts that may help USA decision makers to deal with this issue before news like this becomes commonplace.


1. Have utilities submit their asset management plans for review to ensure they are going to meet minimum requirements for sustaining public health and safety.


2. Look to public / private sector initiatives such as those in Europe and the UK to redress some of the spending requirements over the next 5 - 7 years.


3. Establish punitive measures for private companies not maintaining adequate levels of serviceability or risk of asset failure


4. Increase federal spending on Infrastructure asset management awareness and education, possibly through establishing government research institutions or in conjunction with Universities.


5. Set up rigorous inspection and auditing processes to be followed for infrastructure assets, the results of which (Or the score from which) would be made public.


Not sexy stuff, nor is it likely to win anybody any votes. But if something is not done very soon, in a major and structural fashion, then the US is at the beginning of what could be a downward spiral in public health, safety and their way of life.


Equipment, Maintenance and Technology is part of the Lassiter Group. (C) Lassiter 2007.