Future of Upper Mississippi Waterway Transport in Minneapolis
By: Paul Morris
Ed Sanderson
Patricia Hemquist
The Mississippi River has been an essential part of life in Minneapolis for well over a century. It has provided power and transportation resources without which the city would not have grown to what it is today. Although there has been some shift away from heavy industry along the river, there are still companies that depend on the lock and dam system for barge transportation of bulk goods. New land uses, park space and riverfront condominiums, have become popular recently and are now threatening to take over the areas of currently occupied by industry. In this case study we will explore options of future redevelopment along the river, the ramifications this would pose to businesses and society, and the transportation resources provided the river itself.
Redevelopment of the Upper Mississippi
In recent years, the Upper Mississippi River has undergone an urban renaissance. Condominium, loft, and townhouse construction continues at a rapid pace, particularly in the stretch of river from
Building on the success of downtown redevelopment, the City of Minneapolis has published a plan entitled “Above the Falls: A Master Plan for the Upper River in Minneapolis.” This plan calls for the enhancement of the land along the Mississippi through the following: creating a system of Riverway streets, linking park systems, providing more public access to the river, revitalizing potential for economical development, and enhancing the river’s ecology. The plan seeks to obtain the best use for the land adjacent to the river. For the city, this would be to revitalize the area with parks and recreational trails along the river and new housing in the riverfront neighborhoods. The potential to create more tax revenue is evident, with the increased popularity and desire for riverfront living.
The Upper Mississippi River plan also focuses on leading away from heavy industrial use and barge traffic. They reason the land in this area is too valuable for this particular use; in terms of jobs and tax revenues, little is given back to the city. In relation with the shift away from barge traffic, the area will experience a decrease in the amount truck and railcar traffic associated with the industries. The new developments in this area would promote transit and bicycling to reach the downtown area. Several questions arise with this master plan regarding the shift from heavy industry and barges.
What happens to the heavy industry?
What if they decide to stay? Where does the traffic go?
What facilities relocations would occur?
Effects of Closing the Harbors
In response to these questions, Jerry Fruin of the Center for Transportation studies conducted a study to determine the costs associated with the discontinuation of barge service. Basically, all of the movement of goods that is currently transported up and down the river on barges would be shifted to heavy trucks. Costs would be subjected on both the directly affected companies as well as the public, through externalities like increased emissions, accidents, noise, congestion, and highway maintenance. Specifically, it is estimated that these 648 new truck trips (including 512 on I-94 between Minneapolis and St. Paul) would come at a cost of $1,088,000 for society and $4,900,000 for the companies affected.
While revenues to the city of Minneapolis may increase by $10 million, some of the quantified costs are difficult deal with in real life. For example, companies located on the river to have access to barge shipping, have done so because that is what makes the most economic sense for them. It is forecast that increases in shipping costs for these companies could cause their products, mainly aggregate for concrete, to increase in price by several dollars per ton, driving up the price of construction in the entire metro region. Also, highway resources in the city are scarce, especially I-94 between downtowns. Shifting demand from the river to this near-capacity link at high cost to society and shippers may not be the most economically sound option.
The Corp of Engineers to the Rescue?
The barge economy in Minnesota originally moved large quantities of corn and grains. Today, barges are generally used to ship cement and aggregate to ports in Minneapolis and St. Paul for use in area construction projects. Commercial traffic remains the river's biggest user, however everyday more and more pleasure boats are passing through the locks.
In the 1990s the Army Corps of Engineers (ACOE) began a navigation study to evaluate the future of barge transportation along the Upper Mississippi River. For the purposes of the navigation study, the Upper Mississippi is that portion of the river stretching from Minneapolis south through portions Wisconsin, Iowa, Illinois, and Missouri. Although much broader than the
Originally, the navigation study focused on whether or not future economic activity on the Upper Mississippi River justified modernization of the existing lock and dam system. The systems were originally constructed in the 1900s as part of the New Deal programs. However, the ACOE’s original study was met with controversy over potentially inflated river transport growth projections. A new, and still ongoing, navigation study was commissioned to evaluate the need for waterway infrastructure upgrades, but also has the added task of evaluating ecosystem improvements in the Upper Mississippi.
Opponents of the navigation study continue to question whether there will be significant increases in barge traffic to justify extensive investment in lock and dam upgrades. However, supporters claim that that the existing lock and dam systems are quite inefficient, causing traffic backups. Many of the locks are too short to handle the typical 1,100-foot-long barge caravans. The towboats have to go through twice, disassembling the barges on one side and reassembling them on the other. This can result in waits of more than three hours. An option under consideration is to expand some of the locks in order to reduce the time it takes for barges to travel between ports.
Readings for Discussion:
History of River Transportation in Minneapolis
http://www.mplib.org/history/tr1.asp
City of Minneapolis Riverfront Proposal
http://www.ci.minneapolis.mn.us/citywork/planning/planpubs/above-falls/report/
David Fruin article analyzing effects of stopping barge traffic
http://www.lrrb.gen.mn.us/pdf/200428.pdf
U.S. Army Corp of Engineers Upper Mississippi Navigation Report
http://www2.mvr.usace.army.mil/umr-iwwsns/documents/Cover_Page_Executive_Summary_Final.pdf