Growth of general commerce Another factor second in importance to population growth in the economy of Florida is commercial growth. This can be judged in terms of retail sales, bank deposits, and railroad freight-car loadings. The chart on retail sales, chart 3, shows Florida leading the 10 Southeastern States in 1955. An analysis shows the east-coast counties contributing 52.3 percent of the total sales in 1955. The Florida east-coast region has, there- fore, developed to the point where it contributed over one-half of the retail volume of the State of Florida-an indication of economic vitality, which should support, and grow with, the increasing population of the region. CHART III Basic and vital to the economy and growth of the region are adequate finan- dal resources. Chart 4 compares the record of bank deposits in Florida, the Southeast, and the United States. The most recent information for 1956 shows Florida's total deposits at $3,454,348,000 which is a growth of 30 percent in Source: U. 8. Department of Commerce, Bureau of Census, Statistical Abstract of the United States 1961-67. Due to its remoteness from the markets and industrial centers of the country The volume of construction is a valuable indicator of economic growth and the usefulness of waterborne commerce. Construction materials are particularly suited to water movement due to their weight and bulk. The growth of construction and population are compared in chart 6, for 1949-55. Since 1950 the annual increase in construction volume for Florida has been about 10.4, percent and for Florida East Coast 10.9 percent. Of particular interest is the increase in nonresidential construction as indicated in chart 7. Nonresidential construction consists of the following types of structures: (1) Manufacturing, (2) stores and offices, (3) schools, hospitals, and miscellaneous. The volume of this construction is a measure of the area's effort to provide its growing population with facilities for retailing, banking, personal service, and manufacturing. It should be observed that the increase in construction volume has been steady and consistent with population increase and of the same order of growth as found in the other Eastern States. CHART VII GROWTH OF CONSTRUCTION BY TYPE, FLORIDA EAST COAST REGION, 1949-55 Percent of increase from 1949 through 1955 As shown in chart I the volume of commerce on the waterway following World War II shows no growth during the years 1946 to 1950 for the Jacksonville to Miami section of the waterway. The average commerce for this period works out to be 316,508 tons. An 8- by 100-foot channel had been available for the 10 years prior to this period, the channel having been completed in 1935. Since the deepening and widening of the northern section there has been a marked in crease in the major commodities carried by the waterway. In 1956 the terminal for the supply of fuel oil for the powerplants in Dade County was shifted from Miami to Port Everglades. This transfer accounts for about 750,000 tons of the increase between 1955 and 1956. The balance of the increase is believed to be general growth. Excluding this 750,000 tons from consideration, the rate of growth for the 6 years 1950 to 1956, has been computed as 222 percent. The computation was based on an increase of 701,200 tons over 316,508, the average for the years 1946 to 1950. This rate is equivalent to an annual rate of 14 percent per year. The forecast of future commerce is the basis for computing the benefits ascribable to the waterway in terms of savings in transportation costs. For commodities that are now being transported on the waterway the savings will be the reduction in costs made possible by operating larger and more efficient units of transportation in the enlarged channel. Such commodities are petroleum products, sand, gravel, and limestone. The future requirements for fuel oil can be judged by examining the annual production of electric power. The powerplants are nearly all oil fired. Consequently their production records are a good barometer of oil requirements. Production in Florida of electric power is shown in chart 8. The annual increase in power consumption indicated therein is about 11.5 percent. Source: Statistical abstract of the United States, 1957. As another measure of growth in power consumption on the east coast the average annual generating capacity of the Florida Power Light Co. is shown in chart 9. The rate of expansion is also at an annual rate of about 11.5 percent. It is reported that the company is planning to expand its facilities to 1,662,000 kilowatts in 1959. CHART 9 Gross generating capacity, Florida Power & Light Co. 1946 1947. 1948. 1949 1950 1956. Source: Facts and Figures, published by the Florida Light & Power Co., February 15, The consumption of gasoline as reported by the comptroller, State of Florida, is shown in chart 10. Since 1950 to date the rate of annual increase has averaged about 11 percent. CHART 10 There will also be savings on commodities which cannot be economically moved an 8-foot waterway but which can be moved on a 12-foot waterway. This Category of commodities includes machinery, finished steel, mill products, and heavy manufactured products consumed by the construction industry. The growth of construction has been reviewed. The rates of annual growth in the 11 counties of the Florida east coast during the past 5 years for the determinants examined in this study are summarized in chart II. When the survey by the Corps of Engineers, which led to the authorization of the 12-foot project, was made in 1942, the data available at that time showed that the annual commerce on the waterway was approximately 453,000 tons and 17 million ton-miles. The report estimated an ultimate increase in traffic upon provisions of a channel improved to 12 by 125 feet of 257,000 tons and approximately 2 million ton-miles. The savings to result from the improved waterway were estimated at $208,300 based on the level of commerce referred to above. The project is only partly complete to date and the increase has been nearly 1 million tons or 5 times as much as the estimate by the Corps of Engineers and an increase of 40 million ton-miles. It is evident that transportation savings will be far greater than they were when the project was authorized. As construction progresses and as more of the deepened waterway becomes available, traffic can be expected to increase at least at the present rate of growth of 14 percent per year. STATEMENT OF HERMAN W. SCHULL, JR., CHIEF ENGINEER, FLORIDA INLAND NAVIGATION DISTRICT ATLANTIC INTRACOASTAL WATERWAY, JACKSONVILLE TO MIAMI, FLA. The Atlantic Intracoastal Waterway is a connected system of Federal projects at least 12 feet deep from Trenton on the Delaware River to Miami Fla. The 12-foot depth became available through the waterway north of the St. Johns River, when the enlargement between Savannah and the St. Johns River was completed in 1941. South of the St. Johns River an authorized Federal project provides for an island waterway 12 feet deep and 125 feet wide from Jacksonville to Miami The length of this section is 370 miles of which 20 miles are included in the authorization for Jacksonville Harbor. Between March 1930 and May 1935, an 8-foot channel, 100 feet wide, was dredged the entire length of the waterway. Pursuant to the most recent authori zation in the Rivers and Harbors Act of March 2, 1945, the northerly section, 204 miles from the St. Johns River to Wabasso has been enlarged to 12 feet deer and 125 feet wide. This work began in June 1950 and continued until December 1957. The improvement of the southerly 146 miles to project dimensions remains to be accomplished. The commerce and traffic on the waterway has had a very substantial growth in tonnage carried since enlargement of the waterway was undertaken in June 1950. For the 5 years prior to this date the tonnage averaged 316,508 tons with little perceptible growth from year to year. In the year following initia tion of the enlargement the tonnage increased to 520,670 tons and by 1956 1 was 1,451,200 tons. This growth is more than 1 million tons in 5 years and the commerce in 1956 is fourfold the 5-year average before the improvement In my knowledge of navigation improvements, this rate of growth is unprece dented. The commodities being carried on the waterway are predominantly liquid fuels and construction materials. The movement of these commodities radiates north and south from Miami, Post Everglades, and West Palm Beach and south from Jacksonville. In 1956 the commodities carried consisted of the following with tonnages rounded to the nearest 1,000: The traffic amounted to about 57 million ton-miles in 1956 and the average haul was about 40 miles. This distance is a short haul for barge operations and compares with 168 miles on the Gulf Intracoastal Waterway in 1956. The explanation is partly that deep-draft barges and towboats cannot operate on the southern section of the Jacksonville to Miami Waterway due to insufficient depth of channel. Many thousands of tons of machinery and finished steel mill products fabricated in the north are consumed in Florida. This movement in shallow draft barges on an 8-foot waterway is not an economical operation. The future usefulness of an improved waterway depends on the development of the Florida east coast. Let us examine the economy of the region served by this waterway in order to estimate the growth of waterborne commerce. This region consists of 11 counties with Duval on the north and Dade on the south. Three areas make up this region. The northerly area of Duval County contains Jacksonville which is an important center for manufacturing, transportation, and insurance. The middle area has the counties of St. Johns, Flagler, Volusia, Brevard, Indian River, and Martin. They are relatively sparsely populated and their economy is based on tourists, agriculture, and Air Force installations. Dade, Broward, and Palm Beach are the most southern counties and have the largest concentration of population, retail sales, and income. In the 70 coastal mile area from Miami to Palm Beach, which is often known as the Gold Coast, economic growth has been most rapid. It now comprises over 1 million people. The factors by which the developing economy of this region can be judged are growth of population, general commerce, and construction. Gross changes in Florida's population during the past 100 years indicate one outstanding fact and that is persistent population growth. In the 10-year period, 1940 to 1950, the growth in the United States was 14.4 percent and that in Florida was 46.1 percent. On the Florida east coast region the growth was even more impressive. It was 61 percent for that 10-year period. Another factor in importance to population growth in the economy of Florida is commercial growth. This can be judged in terms of retail sales, bank deposits, and railroad freight loadings. In retail sales, Florida led the 10 Southeastern States in 1955. The annual growth in the last 5 years has been 14.2 percent per year. Basic and vital to the economy and growth of the region are adequate financial resources. The most recent information for 1956 shows Florida's total deposits at $3,454,348,000 which is a growth of 30 percent in 3 years. Due to its remoteness from the markets and industrial centers of the country Florida depends particularly on transportation, by rail and water when it comes to basic commodities. Water transportation has already been discussed. Florida has 6,800 miles of trackage in a network dominated by the Seaboard and the Atlantic Coast Line. In the eastern region, the Florida east coast plays an important role. In the past 15 years there has been an increase of 148 percent in carloadings enjoyed by the Florida east coast, while the railroads of the United States suffered a decline. The volume of construction is a valuable indicator of economic growth and the usefulness of waterborne commerce. Construction materials are particularly suited to water movement due to their weight and bulk. Since 1950 the annual increase in construction volume for Florida has been about 10.4 percent and for the Florida east coast 10.9 percent. Particularly notable has been the increase in nonresidential construction. |