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Crookston, MN: Where investment in public transit and hard-working Americans “help buses come alive”

Last week Transportation for America traveled to one of New Flyer of America’s transit bus manufacturing facilities in northern Minnesota to meet with state and local leaders like State Representative Deb Kiel, and get a close look at the economic impact of public transportation dollars on Minnesota manufacturing jobs.

State and local leaders get an inside look at New Flyer of America’s transit bus production line in Crookston, MN. New Flyer proudly flies both the US and Canadian flag as part of NFI Group Inc., a multinational company and North America’s largest bus manufacturer with 31 facilities across the U.S. and Canada.

When Americans think about transit, the first thing that comes to mind might be a bus or train moving people in a coastal, bustling urban area. But the work of manufacturing that bus or railcar—as well as its thousands of component parts— is made possible by the billions in state, local, and federal funds invested in transit each year. And those dollars have effects that ripple out to communities of nearly all sizes across the country.

Last week, we convened state and local leaders like State Representative Deb Kiel, Crookston Mayor Wayne Melbye, staff from U.S. Representative Colin Peterson’s office, and others at New Flyer of America’s transit bus manufacturing facility in Crookston, MN for a discussion about how federal, state, and local money invested in public transportation supports and creates jobs in Minnesota and across the country.


(Left) Jennifer McNeill, New Flyer Vice President of Sales and Marketing talks with Craig Hoiseth, Executive Director at Crookston Housing & Economic Development Authority. (Right) Second from right, Rep. Deb Kiel, and other local leaders hear from New Flyer about the inner workings of the Crookston facility.

Crookston, located in the far northwest corner of the Minnesota, is home to one of New Flyer of America’s four transit bus manufacturing facilities in the U.S. New Flyer of America serves all 25 of the largest transit agencies in North America, and is responsible for about half of the transit buses we see on our roads today.

Each week at the Crookston facility alone, they produce about 20 buses that end up serving communities across the U.S. On the tour we saw technicians in this small, rural community in Minnesota hard at work to build buses destined for cities like Phoenix and San Francisco, painting a compelling picture of just how the supply chain for transit ripples from coast to coast.

New Flyer employs over 1,200 people between its two manufacturing facilities in Minnesota. Like many manufacturers, New Flyer needs a trained and consistent workforce to succeed; both time and money are wasted if you have to retrain a workforce every few years. As Jennifer McNeill, New Flyer Vice President of Sales and Marketing, noted, these are skilled manufacturing jobs, not jobs that can be switched on and off as needed.


(Left) New Flyer employees building out the inside of a bus. (Right) Chairman of Transportation for America, John Robert Smith, speaks to the economic impact of public transportation dollars on manufacturing jobs.

70 percent of New Flyer’s buses are purchased with public dollars, and it’s clear that these Minnesota manufacturing jobs—and others in Alabama, Indiana, Kentucky, New York, Washington, and Wisconsin—are directly reliant on the federal government continuing to make smart investments in transit.

Unfortunately, ongoing transit funding isn’t entirely certain today. The U.S. Department of Transportation (USDOT) has been slow to award grants from the major federal program that helps communities make new investments in high-quality transit service. But the issue goes beyond discretionary grant programs. Congress has had difficulty passing multi-year transportation funding bills and finding dedicated funding sources for transportation. Before passing the FAST Act in December 2015 (which funds federal transportation investments through 2020), Congress passed 35 short-term extensions, which creates the kind of uncertainty that threatens manufacturing jobs that depend on a stable pipeline of orders and projects.

Federal money invested in public transportation each year leverages local and state funding and supports thousands of high paying manufacturing jobs in communities like Crookston, and in nearly every state across the country. Our recent report on the public transportation supply chain found that 91 percent [396 of 435] of congressional districts host at least one manufacturer.

Without predictable and stable federal and state funding, we may see transit agencies cut projects and be pressured to cancel bus and railcar orders from manufacturers across the country like New Flyer.

Federal investments in transit go far beyond building buses and trains for big cities. The transit supply chain supports high quality, valuable, and sustainable jobs in communities like Crookston all across the country. As members of Congress are considering federal appropriations and future long-term transportation funding bills, they should remember the hard working Americans in communities of all sizes that depend on transit funding.  

Photo courtesy of New Flyer

New report: Transit funding supports manufacturing jobs from coast to coast

Public dollars devoted to making capital improvements to public transportation systems support thousands of manufacturing jobs, in communities small and large, in nearly every state across the country.

This new short paper from T4America examines the supply chain for public transportation, and illustrates how proposed cuts to federal transit funding threaten thousands of manufacturing jobs at more than 2,700 suppliers from coast to coast.

The supply chain for public transportation is as deep as it is wide, touching every corner of the country and employing thousands of Americans who produce everything from tracks, to seats, windows, communications equipment, wheels and everything else in between. As just a snapshot, recent capital improvements made in just four transit systems — San Francisco, Denver, Chicago, and Portland — supported jobs in 21 states.

Heavy cuts to federal transit spending, as proposed by Congress, would have a devastating effect on these local businesses and the tens of thousands of jobs they support. Without continued federal support, transit projects underway could stall, new or planned projects would be postponed or canceled, and transit agencies would scale back or cancel orders of new railcars or buses. The factories and suppliers that produce or manufacture components for transit systems would have to downsize or shutter without a steady pipeline of projects.

To preserve these jobs and support main streets from coast to coast, Congress and the administration should support and fund the Transit Capital Investment Grants (CIG) Program at or above FAST Act levels of $2.3 billion.

View the full report here, which includes a handful of maps and graphics, and rankings of the top ten states and congressional districts by the number of transit manufacturers located within their borders.

Proposed cuts to federal transit funding threaten thousands of manufacturing jobs in the supply chain from coast to coast

press release

WASHINGTON, DC — A new Transportation for America paper illustrates how public dollars devoted to making capital improvements to public transportation systems support thousands of manufacturing jobs, in communities small and large, in nearly every state across the country.

These jobs are currently threatened by cuts to federal transit funding proposed by both the Trump Administration and Congress; cuts that would have a heavy impact on the more than 2,700 manufacturers of transit equipment located across 49 of 50 US states.

“Too many leaders in Congress seem to falsely believe that just because the majority of all transit rides take place in major metropolitan areas, that the benefits somehow stop at their borders,” said Kevin Thompson, Director of T4America. “Yet the benefits of these investments ripple out from coast to coast, supporting jobs in communities of nearly every size. As an example, recent capital upgrades made to just four major transit systems — San Francisco, Denver, Chicago, and Portland — are supporting manufacturing jobs in 21 different states.”

The supply chain for public transportation is as deep as it is wide, touching every corner of the country and employing thousands of Americans who produce everything from tracks, to seats, windows, communications equipment, wheels and everything else in between. Heavy cuts to federal transit spending would have a devastating effect on these local businesses and the tens of thousands of jobs they support.

As just one example, Automated Railroad Maintenance Systems (ARMS) in Missouri, produces power, train control, signaling, communications systems and electronics for public transit, passenger, and freight railroads across the country. ARMS’s transit customers depend on federal funding for major new construction project to place orders with the company. “From what we understand there is about $6 billion in federal funding that goes into various transit programs. That’s the main life-blood of this industry,” said Mike Monaco, VP of passenger sales at ARMS. “Obviously, any kind of reduction of federal funding would be a big factor.”

Without continued federal support, transit projects underway could stall, new or planned projects would be postponed or canceled, and transit agencies would scale back or cancel orders of new railcars or buses. But it’s not just federal transit dollars that support these jobs — they’re almost always paired with local or state funds. Many of the communities awaiting federal grants have already raised their own funds via tax increases or ballot measures and are ready to place orders that would be filled by factories and suppliers tailored to serve this industry — employers that may have to downsize or shutter without a steady, predictable pipeline of transit projects.

To preserve these jobs and support main streets from coast to coast, Congress and the administration should support and fund the Transit Capital investment Grants (CIG) Program at or above the $2.3 billion level already agreed upon in the bipartisan 2015 federal reauthorization (The FAST Act).

Read the short paper here: https://t4america.org/maps-tools/transit-supply-chain