<img src="//bat.bing.com/action/0?ti=4066564&amp;Ver=2" height="0" width="0" style="display:none; visibility: hidden;">
Skip to content

Could 'Value Capture' Work for Road Infrastructure Spending?

The question of Infrastructure spending is a major debating point in the media and corridors of power these days which it certainly should be. Funding for the nation's highways, bridges, tunnels and roads is of great importance and becoming a hot button issue for politicians and adminstrators both on the local and national level. The reliance of our economy on road freight, interstate trucking, urgent freight and hot shot trucking is clearly growing, yet the necessary funding for infrastructure projects tends to be handled like a hot potato.

Each morning I read more and more headlines from different states and cities about new taxes, road tolls, or vehicle license fees each designed to help cover some of the costs of urgent projects that are needed to keep the arteries of our nationwide transportation grid flowing efficiently. It's typically a difficult sell to the general public, asking people and businesses to pay more for improvements that can take many years to complete but which ultimately will provide the dividends of improved economics, congestion relief and safety improvement over the next decade and beyond. For urgent freight there is of course the added benefit of cost savings when journeys are more efficient and less time is spent in traffic. 

In light of this I read with interest about a new method for transportation funding being considered in Minnesota which proposes that rather than have transportation users foot the entire bill for all improvements some costs could be covered by those who specifically benefit from projects that improve roads or mass transit.

Can such targeted funding truly work though? The concept is that if a specific stretch of highway was for example to have a brand new exit constructed that the local businesses, landowners and residents who would see improved property values from the improvement would foot more of the costs for the localized improvements.

Such zoned taxing would be orchestrated by creating districts anticipated to benefit due to the forthcoming infrastructure improvements. It's a very interesting idea and is explained by David Levinson, a professor at the University of Minnesota who has studied value capture quite succicntly

"The people who are getting all of the benefits, or many of the benefits, from the infrastructure are adjacent landowners. The people who pay for the infrastructure are not generally those people. So there's a mismatch. Value capture is a way of essentially trying to close the feedback loop so people who are benefitting ... help pay for it."


The Minnesota Chamber of Commerce are giving due consideration to the idea of value capture but as with all funding initiatives it would, if enacted, be sure to attract controversy. While there is some inherenent logic to having costs underwritten by targeted beneficiaries it's those same people and businesses who are most likely to voice strong opposition.

Minnesota hot shot trucking highway construction

 In reality it might have very specific practical applications such as a new mass transit station or highway exit as I wrote about but I'm not sure how improving a 40 mile corridor of highway could be fairly and appropriately targeted when such benefits are far more difficult to measure.

Value capture is a concept that might bring another option to the table for our seriously underfunded infrastructure projects and for that it should be applauded, but a winning solution to local and national challenges still seems to be somewhere off in the distance.

Related Blog Posts

747 Freighter Air Charter to Hawaii

747 Freighter Air Charter to Hawaii

When it comes to providing air cargo capabilities, there is no aircraft in the world that compares with the Boeing 747 series of freighters. All three 747-400F, 747-400ERF and 747-8F freighter models in service today, are unmatched in carrying capacity, cargo handling, global reach, speed and versatility. An aviation icon born in 1968, the 747 is instantly recognizable by its large upper deck “hump”, four engines and six-story high vertical...

The History of Hot Shot Trucking in North America

The History of Hot Shot Trucking in North America

Businesses facing shipping emergencies have long counted on hot shot trucking to fill the gaps. But the hotshot field didn’t just pop into existence as it is today. Rather, this bastion of emergency shipping developed slowly over time, emerging and expanding in tandem with the rest of the trucking industry. From the earliest days of pre-automotive transport to the modern era of brokers, reshoring, and JIT production systems, hot shot providers...

How Highway Closure Impacts Hot Shot Trucking California

How Highway Closure Impacts Hot Shot Trucking California

Natural disasters can disrupt any industry, but their impact is particularly serious for logistics companies. The recent mudslides in California are a powerful case in point. By blocking Highway 101, one of the Golden State’s most important roadways, this environmental crisis has diverted trucks from their usual routes. This has significantly increased the cost and difficulty of completing hot shot freight deliveries, hampering the economy of...

Truckload Demand Remains Higher than this Time Last Year

Truckload Demand Remains Higher than this Time Last Year

Based on the latest reports on durable goods manufacturers’ shipments, orders and inventories, freight volume has yet to decline. The most recent numbers from the US Census Bureau show that orders for manufactured durable goods increased in May by 0.7% to $267.2 billion. This follows increases for seven of the past eight months. This May, shipments of manufactured durable goods increased by $3.6 billion or 1.3%, followed by a 0.3 % rise in...

Hot Shot Trucking for the Oil Industry

Hot Shot Trucking for the Oil Industry

Hot shot trucking originated in the oil and gas industry. It was a response to the need for rapid transport of time-sensitive materials to remote drilling sites. Today, it plays a critical role in the logistics of the oil and gas sector. This article delves into the intricacies of hotshot trucking within the oil and gas industry. We'll explore how it provides fast freight and expedited shipping solutions, ensuring quick delivery of critical...

The Advantages of Hot Shot Trucking for Small Businesses

The Advantages of Hot Shot Trucking for Small Businesses

In the world of logistics, small businesses often face unique challenges when it comes to shipping their products efficiently and cost-effectively. This is where hot shot trucking can be a game-changer. Hot shot trucking offers a range of advantages that can significantly benefit small businesses, enabling them to compete in the marketplace and meet customer demands. In this blog post, we will explore the advantages of hot shot trucking for...

What is Hot Shot Trucking? aka HotShot Trucking

What is Hot Shot Trucking? aka HotShot Trucking

Modern business is all about strict timelines. Whether your field is manufacturing, extraction, retail, or research and development, your operations are bound to rely on a variety of activities that operate in tandem. The most minor of supply shortages can throw these activities off, potentially costing you thousands of dollars just for a few hours' delay. Success thus hinges on your ability to right the ship as quickly as possible after a...

Hot Shot Flatbed

Hot Shot Flatbed

In the hot shot trucking industry, speed and reliability are paramount. Hot shot flatbed trucking is designed to meet urgent shipping needs. In this comprehensive guide, we delve into the intricacies of hot shot flatbed services, exploring everything from the types of vehicles used to the role of technology in tracking and managing shipments. Our goal is to provide you with a thorough understanding of this vital service, equipping you with the...

Regulatory and Legislative Update - June 2020

Regulatory and Legislative Update - June 2020

Contents Note: FMCSA’s emergency declaration related to COVID-19 currently runs through July 14, but the latest extension curtails the coverage of the relief. For latest version, visit https://www.fmcsa.dot.gov/COVID-19. Legislation Congress extends PPP through August 8 House passes infrastructure bill with major motor carrier provisions House bill would establish carrier selection standard House bill would expand HOS exemption for agriculture...

Regulatory and Legislative Update - July 2020

Regulatory and Legislative Update - July 2020

Contents Note: FMCSA’s emergency declaration related to COVID-19 currently runs through July 14, but the latest extension curtails the coverage of the relief. For latest version, visit https://www.fmcsa.dot.gov/COVID-19. Legislation Congress extends PPP through August 8 House passes infrastructure bill with major motor carrier provisions House bill would establish carrier selection standard House bill would expand HOS exemption for agriculture...

Regulatory and Legislative Update - November 2020

Regulatory and Legislative Update - November 2020

Contents The emergency declaration regarding enforcement relief for drivers and carriers involved in COVID-19 response is in place through December 31. For details, visit www.fmcsa.dot.gov/COVID-19. Regulation and Enforcement Coalition urges DOL to affirm that owner-operators are independent contractors FMCSA seeks nominations for Motor Carrier Safety Advisory Committee Comment period extended until November 18 on broker transparency petitions...

Regulatory and Legislative Update - December 2020

Regulatory and Legislative Update - December 2020

Contents FMCSA has extended its emergency declaration regarding enforcement relief for drivers and carriers involved in COVID-19 response through February 28, 2021 and has expanded the declaration to specifically include vaccines and related products within the coverage of the declaration. For details, visit www.fmcsa.dot.gov/COVID-19. Regulation and Enforcement FMCSA declares preemption against Washington’s meal and rest break rules Interim...

WHAT IS HOT SHOT TRUCKING? AKA HOTSHOT TRUCKING

Modern business is all about strict timelines. Whether your field is manufacturing, extraction, retail, or research and development, your operations are bound to rely on activities that operate in tandem. The most minor of supply shortages can throw these activities off, potentially costing you thousands of dollars just for a few hours' delay. Success thus hinges on your ability to right the ship as quickly as possible after a supply shortage arises.

Industries We Serve

Modern day hot shot trucking provides the speed and exclusivity you need to meet the most demanding and time-sensitive shipping requirements. We use every resource, avenue, and channel available to ship your freight by ground or air. Designed specifically to address supply and distribution problems that arise without warning, hotshot trucking tactics involve coordinating a network of carriers in a variety of locations. By calling on the vehicles closest to your supply or distribution points, hotshot brokers can fill any sudden gaps in your supply network almost as soon as they happen. This minimizes the disruption to your business and allows you to quickly return to ordinary operations, weathering the storm without skipping a beat.

Automotive

The automotive supply chain already has significant challenges. Don’t let malfunctioning equipment stop the production line. Step on the gas with HotShotTrucking.com’s suite of services that will get you back in the fast lane. With HotShotTrucking.com, companies are devising shipping strategies to swiftly deliver critical parts and equipment — whether it's ground expedite service with sprinter vans, box trucks and 53-foot tractor trailers or air freight and air cargo.

Learn More About Automotive

Aviation & Aerospace

Every moment a commercial airliner sits on the ground, it costs an airline money. Expedited freight services by HotShotTrucking.com can get you back in the air with prompt delivery of parts and equipment throughout North America. We are equipped with the expertise to navigate the complexities of shipping jet engines and other types of loads, and our network of hot shot drivers has extensive experience transporting aviation assets.

Learn More About Aviation & Aerospace

Construction

One shipping delay can snowball and cause delays throughout your entire project. You need an experienced 3PL provider who understands the construction industry and has the logistical reach to deliver your freight on time, anywhere. That 3PL partner is HotShotTrucking.com. Whether in the air or on the ground via truck and trailer, we can connect companies to expedited freight services for the prompt delivery of parts and equipment throughout North America.

Learn More About Construction

Mining & Metals

From cranes to chemicals to excavators to conveyor belts, HotShotTrucking.com has the experience and industry know-how required for shipping sensitive, oversized, and hazardous equipment. Third-party hot shot trucking and logistics providers such as HotShotTrucking.com specialize in devising and implementing innovative shipping solutions, ensuring mines can swiftly return to operation. We’ll pick up your shipment, deliver it to the airport and receive it at the other end – providing hand-carried service as necessary or required.

Learn More About Mining & Metals

Manufacturing

Every moment a manufacturing facility or factory sits idle costs a company money because of the high costs involved. With many manufacturers building to only just-in-time production rates, any disruption threatens parts and vehicle inventories. This is where the speed and expertise of freight services from HotShotTrucking.com can make a difference throughout the entire manufacturing supply chain. We do all the logistical legwork to find the optimal solution for your job, whether it's an exclusive air charter or expedited ground shipping.

Learn More About Manufacturing

Telecommunications

From servers to cell towers, information, voice, and data must flow to keep businesses, production, and the public online and connected. When equipment goes dark, depend on HotShotTrucking.com to get your systems flashing green again. This is where the speed and experience of trucking and freight services from HotShotTrucking.com can help. Our hot shot truck network excels at the prompt delivery of parts and equipment throughout North America.

Learn More About Telecommunications

Oil & Gas

The oil and gas industry faces challenging conditions in offshore and onshore oil rigs, often in remote locations with limited infrastructure. Don’t let oil pumps or pipelines sit idle waiting for equipment. By having the right plans, parts, people, and logistics partner like HotShotTrucking.com, you can effectively mitigate plant or pump downtime, unscheduled disruptions, and equipment failures.

Learn More About Oil & Gas
CTA Hero Star Background
CTA Hero Star Background
TOP