Interview, Fireside Chat
A Conversation with US Department of Transportation Secretary Elaine Chao
- Attendee in-person conferences are expected to resume "certainly next year," with future meetings returning "certainly when we can."
- The Boeing MAX ungrounding process is described as lengthy due to interdependent safety requirements, though a strong Boeing is deemed beneficial for America and cooperation between Boeing and the FAA will continue on software issues.
- Infrastructure legislation introduced on "February 12th of 2018" failed due to a lack of bipartisan support, making successful passage at the "current time of year" unlikely, while the FAST Act has been extended for "one additional year" following its September 30th, 2020 expiration.
- Transportation spending has risen from "about 78 billion dollars" in 2016-2017 to "about 87 billion dollars" annually over the last three and a half years, with budget levels nearly "50 percent above what it was in 2016" when including the "$36 billion dollars" of CARE funding passed on March 27th.
- Total infrastructure spending is projected to reach "over 46 billion dollars" this year alone, affecting "about 70 projects in 44 states" under the Build America Bonds program, though the Portal Bridge project in New Jersey awaits a full funding agreement despite an anticipated "$880 million" allocation.
- Revenue recovery for transit and airline entities is anticipated to coincide with economic reopening, which is characterized as the only viable solution to build consumer confidence and restore passenger volumes.
- The department views the current era as transformational for autonomous vehicles, drones, commercial space, and air taxis, with automated systems predicted to improve safety given that "94% of accidents occur because of human error."
- Commercial space technology potentially enables "30-minute flights from Newark to Sydney" compared to current "24 hours," a scenario admitted to be "very far in the future," while the U.S. has reclaimed its "number one" position in commercial space launches after "16 years."
- The projected sequence for commercial space development involves increased research, followed by "space tourism," and eventually "point-to-point travel" which "might happen... at some point in the next couple of decades."
- Government policy will not select specific technologies, allowing the private marketplace to determine winners, while Hyperloop is identified as an "absolute priority" and supersonic travel is being researched despite noise pollution concerns.
- New technologies are expected to create long-term jobs despite short-term anxiety regarding privacy, security, and the transition's impact, with consumer acceptance identified as the "greatest constraint" to growth.
- Innovators are advised to factor regulatory interactions into development timelines, and society bears a responsibility to support those adversely impacted by the technological transition.