The FAST Act Impact on Cement and Concrete
Known as the FAST Act – short for Fixing America’s Surface Transportation – the bill provides more than $305 billion to surface transportation programs. Of this, $207.4 billion will be targeted at the federal-aid highway system.
According to a PCA analysis, the five-year transportation bill recently signed into law will add an average of 835 thousand tons of cement each year from 2016 through 2020.
Smaller increases occur in the near term (370 thousand tons for 2016) and larger net increases occur in the out years of the forecast horizon (1.4 million tons for 2020).
FAST is the first long-term (more than two years) transportation bill since September 2009.
FAST increases existing funding levels with a five-year commitment, that ensures a more stable financing environment, thereby easing commitment to longer-term projects. Often these multi-year projects are characterized by higher cement intensities.
Beyond funding, it includes several provisions proposed by the cement industry:
- The authorization of a federal study to analyze the impact of pavement stiffness on vehicle fuel economy
- The reauthorization of the Accelerated Implementation and Deployment of Pavement Technologies (AID-PT) program
- Hours of Service (HOS) exemptions for the ready-mixed concrete industry.
Read more on cement.org