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1 2013 Annual Report American Society of Civil Engineers 2013 ASCE Annual Report 1

2 (c) 2013 American Society of Civil Engineers ASCE ANNUAL REPORT

3 Leadership Message Preparing for Tomorrow...04 Program and Activities 2013 by the Numbers...06 Infrastructure Urging Investment for the Future...11 Raise the Bar Enhancing Education for Licensure...17 Sustainability Advancing Education, Rating Projects...18 Financial Statement Maintainig a Strong Position ASCE Annual Report 3

4 Leadership Message Gregory E. DiLoreto, P.E., P.L.S., D.WRE, F.ASCE 2013 President Patrick J. Natale, P.E., F.ASCE Executive Director ASCE Annual Report

5 Preparing for Tomorrow In 2013, we celebrated the past and looked to the future. In Section centennial celebrations around the country, we honored the dedication and enduring impact our Society has on the profession. In looking forward, we championed infrastructure investment, continued leading the charge to raise the bar for the engineering education required for licensure, advanced the use of a new sustainable infrastructure rating system and laid the foundation for our global strategy. Through our efforts, we strengthened the profession and made inroads creating a more sustainable world. At last, the nation had positive news about the state of our infrastructure. The 2013 Report Card for America s Infrastructure revealed that the grades improved slightly from a D to a D+, showing that real progress has been made and reinforcing the success of our advocacy efforts. In addition, ASCE s Failure to Act economic studies revealed the long-term economic advantages of improving our infrastructure and helped support the call for the development of long-term infrastructure funding. ASCE had over 1,000 media mentions in the week following the Report Card s release underscoring our role as an expert on infrastructure. We also saw growing support for our Raise the Bar initiative which focuses on the need for more in-depth educational requirements to prepare engineers to successfully lead the development of 21st century infrastructure and to protect the public. Our members engaged in active discussions and strategy sessions focused on identifying target states to begin advocacy efforts for change. Through communications training workshops, we expanded the number of Raise the Bar champions, and these individuals then fanned out across the country sharing the message in their communities. As a hallmark of our sustainability initiative, the Institute for Sustainable Infrastructure, which we co-founded, reached two important milestones this year. It completed verification of both gold and platinum level projects using the Envision system which assesses the extent to which an infrastructure project conforms to the principles of sustainable development, and conferred credentials on more than 1,000 Envision Sustainability Professionals (ENV SP). ASCE also reached its goal of achieving gold certification through the U.S. Green Building Council s Leadership in Energy and Environmental Design (LEED) rating system for our headquarters building in Reston, Virginia. The ASCE brand is stronger than ever. Our membership in 2013 grew by over 3,000 with more than 500 new student members joining as a result of the Presidential outreach trip to India. We are also exploring opportunities for more Indian engineers to join ASCE and take advantage of our products and services. As the national economy slowly recovers, we have continued to carefully manage our resources and pursue our strategic initiatives to strengthen the profession and better serve society. By honoring our past and preparing for tomorrow, our Society is strongly positioned to be a global leader in today s challenging world, and to take full advantage of future opportunities.

6 2013 BY THE NUMBERS Members engage in a wide variety of Society 50 states represented at the ASCE 2013 Legislative Fly-In 1,500 Key Contact messages sent to elected officials 22 years of Steel Bridge competition 620 students who competed in the Steel Bridge competition 122,000 Civil Engineering magazine mobile app downloads to date 300 in-person member visits with federal legislators 334 ebook and standards titles available for download 54,000 ASCE SmartBrief subscribers 2225 Troop number of the Girl Scout team from Modesto, CA who won ASCE s Most Innovative Design of Infrastructure Systems Award at the Future City Competition national finals in Washington, DC 127 high school students enrolled in Civil Engineering Clubs 12 pilot Civil Engineering Clubs started by ASCE members ASCE Annual Report

7 26 years of the annual Concrete Canoe competition 23 teams that competed in the 2013 Concrete Canoe competition 66 ASCE members trained on Changing the Conversation for K-12 outreach 76 international Agreements of Cooperation 15 years of the ExCEEd Teaching Workshop for CE faculty 47 CE applicants for New Faces of Engineering College edition 40,000 engineers who participated in ASCE continuing education webinars 100 number of new ASCE continuing education webinar programs 115,000 members of ASCE s LinkedIn group 17,000 followers of ASCETweets 23,000 ASCE Facebook followers 24 CE faculty who attended the 2013 ExCEEd Workshop 18,000 professionals accessed mylearning to track their PDHs 2013 ASCE Annual Report 7

8 2013 Programs Promoting Infrastructure Advocacy More than 190 ASCE members from 50 states came to Washington, DC and honed their skills influencing public policy as part of ASCE s 2013 Legislative Fly-In. Society members learned about the findings of the 2013 Report Card for America s Infrastructure and fanned accross Capitol Hill sharing the message with lawmakers. In over 300 Congressional office visits, members discussed the need for infrastructure investment and how the Water Resources Development Act and improvements to transportation infrastructure funding and financing can help improve future grades. Peer Reviews of Public Agencies Provide Insight, Promote Efficiencies Seven government engineering agencies were strengthened this year by going through ASCE s Peer Review program, which has helped federal, state and local agencies improve the management and quality of their services, and better protect public safety. Insights: Industry Leaders Contribute Perspectives From managing highway mega-projects to overseeing the Ports of New York and New Jersey, our Industry Leaders Council s long-running series of Insights podcasts continued in 2013 with compelling perspectives and career insights shared by six noted civil engineer leaders. Global Partnerships Explored in Asia As part of the Society s strategy to forge partnerships with civil engineering allies in India, ASCE s executive leadership discussed opportunities for collaboration during their international outreach trip. A new generation of global engineers felt inspired by the ASCE Vision and our plans for the future; more than 500 students in India signed up to join ASCE after a presentation by President DiLoreto. 15 Years Helping Enhance Educational Instruction More than 24 civil engineering educators improved their teaching skills and learned techniques to inspire the next generation of civil engineers as participants in the Excellence in Civil Engineering Education (ExCEEd) Teaching workshop held at Iowa State University this year.

9 Bridges, Train Terminal and Crane Designated Historic Landmarks Helping showcase the impact of civil engineering in nation building, the Society officially recognized two bridges as new National Historic Civil Engineering Landmarks. They include the Waterford Bridges in New York and the Lake Ponchartrain Causeway Bridge in Louisiana. The Grand Central Terminal in New York also received historic landmark recognition as part of its 100th anniversary celebration. The Titan Crane at Clydesbank in Scotland was designated both a Civil and Mechanical Engineering Landmark and recognized jointly by ASCE, the American Society for Mechanical Engineers, and the UK s Institution of Civil Engineers and Institution of Mechanical Engineers. The Titan Crane marks the 49th international historic civil engineering landmark. Bridges Highlighted in Online Outreach Resources For educators, parents and children interested in civil engineering, new online content on bridges released this year provides an in-depth look at the history, design and structural challenges of bridge building. As part of the Civil What?! section of ASCEville, the online outreach resource designed to engage and inform elementary and middle school students, the bridges section expands the existing library of topics dams, roads and transit, water supply, sustainability and disasters. New Report on Japanese Earthquake, Tsunami Highlights Structural Performance Increasing the global body of knowledge on structures performance during major disasters, ASCE published a new report sharing insights of the ASCE/COPRI Coastal Structures Team who visited Japan for seven days in May 2011 following the 9.0 earthquake and ensuing tsunami. The report shares lessons learned about five categories of coastal protection structures: coastal dikes, tsunami seawalls, floodwater gates, breakwaters and vegetated greenbelts. ASCE LinkedIn Group Reaches 100,000 Members ASCE achieved a significant milestone in May when the Society s LinkedIn group page passed the 100,000-member mark. The group page, which is growing at a pace of 200 to 300 new members a day, has become a valuable source of information and discussion on a wide range of topics from wind load analysis to mentoring young engineers. With participants from all over the globe, discussions reveal how people in different parts of the world approach a problem.

10 Armed with the Report Card and the Failure to Act, ASCE members made the case for increased investment in infrastructure on both a nathional and state level ASCE Annual Report

11 INFRASTRUCTURE Urging Investment for the Future In 2013, ASCE raised the profile of America s infrastructure to its highest level yet with the release of our new 2013 Report Card for America s Infrastructure, a compelling report on the worrisome state of our infrastructure and the current investment gap. The Report Card, last released in 2009, became a visible presence in the White House, Capitol Hill and state capitals, underscoring our position as the trusted experts on America s infrastructure. Newest Report Card Highlights Infrastructure Progress On March 19, ASCE unveiled the 2013 Report Card for America s Infrastructure. In a press event at the Frederick Douglass Bridge in Washington, DC, Society President Greg DiLoreto announced some good news the nation s cumulative infrastructure G.P.A. rose from D to a D+ since 2009, demonstrating that where investment is made, the nation s infrastructure improves. Spanning 16 categories of infrastructure, the Report Card was released for the first time as a multimedia digital app viewable on smart phones and tablets and shareable through social media. The digital app features category grades, state-specific data, videos and interactive charts. The full Report Card is also accessible via the ASCE website ASCE Annual Report 11

12 President Cites Need for Infrastructure Repair in State of the Union, Port of Miami Visit During his 2013 State of the Union address, President Obama noted our aging infrastructure badly in need of repair and plans for a Fix-It- First program aimed at our most urgent repairs, like the nearly 70,000 structurally deficient bridges across the country, references to the findings in ASCE s Report Card. Infrastructure repair and plans to create funding through public private partnerships were also addressed in President Obama s remarks during his visit to the Port of Miami. He also noted, Because of these efforts, when the American Society of Civil Engineers put out their 2013 Report Card on our national infrastructure, they gave it the best overall grade in 12 years. That s the good news. The bad news is we went from a D to a D Report Card for America s Infrastructure Earns Widespread Recognition The much anticipated release of the Report Card was headline news in print, online, on radio, and on television, from Portland Maine, to Portland, Oregon, and across the rest of the U.S. On the day of the release alone, ASCE leaders were interviewed by more than 30 broadcast news outlets, including CNBC, CNN, PBS, The New York Times and The Washington Post, and stories reached an audience of more than 1.3 million in the first week. Celebrating the slight increase in grades, Stephen Colbert, political satirist and host of The Colbert Report, featured the Report Card in a segment called Tiny Triumphs that reached new audiences for ASCE. The Report Card continues to be quoted almost daily by news outlets across the country as they discuss and debate local infrastructure issues. Stephen Colbert Photo Credit: Scott Gries (PictureGroup) ASCE Annual Report

13 Failure to Act Report Warns of Serious Impact to GDP and Jobs In mid-january, ASCE released the fifth and final report in its Failure to Act series, The Impact of Current Infrastructure Investment on America s Economic Future. The report gave sober news unless the US invests an additional $157 billion per year in infrastructure between now and 2020, the nation will lose $3.1 trillion in gross domestic national product (GDP) while threatening 3.5 million jobs ASCE Annual Report 13

14 Progress Made on Water Resources Development Act Through Congressional testimony, visits and letters to legislators, and Key Alerts, ASCE members pressed for passage of the Water Resources Development Act (WRDA). Both the House and Senate passed separate versions of WRDA. The ASCE-supported Senate version would reauthorize the National Dam Safety Program, create a National Levee Safety Program, incrementally restore trust to the Harbor Maintenance Trust Fund, and streamline the project delivery process. The Senate and House must still negotiate in conference and agree upon a version to send to the President for signature. Two ASCE Members Engage as White House Champions of Change in Transportation John R. Hillman, P.E., S.E., M.ASCE and Jose Holguín-Veras, Ph.D., P.E., M.ASCE met with President Obama at the White House on May 8 and discussed their innovative contributions to improving America s transportation infrastructure. Hillman invented the Hybrid-Composite Beam, a breakthrough in structural technology that helps makes bridges lighter, stronger, safer and more sustainable. Holguín-Veras is a leader in developing an off-hour freight delivery system in New York City that combines global positioning system (GPS) remote sensing monitoring with GPS-enabled smartphones ASCE Annual Report

15 ASCE Members Influence Public Policy on Capitol Hill ASCE members testified before Congress on the need to modernize the nation s infrastructure, including issues related to the Water Resources Development Act, the Harbor Maintenance Trust Fund, the National Windstorm Impact Reduction Program and the nation s electric grid. Society Pursues Jobs and Innovation Initiative Working directly with state lawmakers, ASCE partnered with the National Conference of State Legislatures to help identify what it takes to create and retain jobs. During candid discussions with industry leaders and state policymakers, ASCE emphasized the need for investment in infrastructure and Science, Technology, Engineering and Math (STEM) programs. The goal of the jobs and innovation initiative is to develop practical solutions that can be implemented. Sections, Branches Issuing More Report Cards Grading Local Infrastructure Eight ASCE Sections and Branches spent months analyzing the condition of state and local infrastructure in many categories and released successful high-profile infrastructure report cards in their communities. Complete with detailed analysis and recommendations for raising the grades in North Carolina, Maine, Texas, Oklahoma, Los Angeles, Kansas, Missouri and Washington. Infrastructure Newsletter Debuts In July, the first edition of Infrastructure Update, a new ASCE quarterly newsletter branded with the Report Card logo was sent out to more than 500 non-members interested in infrastructure issues and advocacy as part of a grassroots outreach effort ASCE Annual Report 15

16 RAISE THE BAR Enhancing Education for Licensure To prepare the engineering workforce of the 21st century for the challenges that lie ahead, ASCE remains at the forefront of the movement to raise academic standards required for future entry into licensed engineering practice through our Raise the Bar initiative. In 2013, we made progress training more advocates to explain the rationale, releasing new publications and sharing the message nationwide. Building an Outreach Team, Spreading the Word Audiences in 29 locations across the country heard in-depth talks emphasizing the need for more educational preparation before professional licensure from members of a growing speaker s bureau. Trained at workshops held at ASCE headquarters in Reston, Virginia, and offered in conjunction with the annual conference of NSPE, presenters received delivery tips and honed their skills through role playing exercises while also increasing their knowledge on how best to carry out a state public relations effort ASCE Annual Report

17 Sharing the Raise the Bar Perspective with the Education Community Continuing our dialogue with civil engineering educators, ASCE played an active role at the American Society for Engineering Education s 120th Annual Conference and Exposition in Atlanta. In presentations focused on the role of the engineering technologist and requirements for professional engineering practice in representative nations across the globe, ASCE underscored the need for educational transformation. With the release of a new publication, Raise the Bar: Strengthening the Civil Engineering Profession, ASCE provides engineering educators and practitioners with a compilation of 10 of the best academic papers highlighting the history and effectiveness of Raise the Bar efforts. The book outlines the argument for the need for change and provides best practices advice. ASCE Supports NSPE Engineering Body of Knowledge Effort In support of our Raise the Bar allies, the National Society of Professional Engineers, ASCE provided an extensive review of The Engineering Body of Knowledge, First Edition a new effort that defines the knowledge, skills and attitudes for successful practice of engineering across all disciplines. Their work draws upon the framework of ASCE s ground-breaking Civil Engineering Body of Knowledge for the 21st Century, Second Edition. Leader Support for Raise the Bar In Civil Engineering magazine s July/August issue, President Greg DiLoreto offered his perspective on the critical need to redefine civil engineering education for future generations of professional engineers. In Reengineering the Foundation of our Future, President DiLoreto quotes a letter from Richard D. Fox, Chairman of CDM Smith, who emphasized that many of the expanded skills needed to cope with ever more complex challenges can be effectively learned in an academic setting. Fox also noted: The Raise the Bar initiative is founded on the advanced technical and leadership knowledge required to craft tomorrow s solutions to today s problems and as such, merits our full support ASCE Annual Report 17

18 SUSTAINABILITY Advancing Education, Rating Projects ASCE Annual Report

19 ASCE made great strides this year in our commitment to sustainability with the first commercial application of a new sustainable infrastructure rating system, highlighting sustainable projects through awards and providing in-depth sustainability courses designed to help civil engineers excel as stewards of the built and natural environment. ASCE-Backed Sustainable Infrastructure Rating System Used to Verify First Projects The first two projects assessed using Envision, the nation s first sustainable infrastructure rating system were announced in The William Jack Hernandez Sports Fish Hatchery in Anchorage, Alaska received an Envision Gold award and the Snow Creek Stream environment zone restoration in California earned the Institute of Sustainable Infrastructure s (ISI) Envision Platinum award. The two completed projects, examples of sustainable infrastructure best practices, were verified using ISI s third party review process which highlights the economic, social and environmental (triple-bottom line) impact on the community. ASCE founded ISI in partnership with the American Public Works Association and the American Council of Engineering Companies in 2011 as part of its initiative to advance the development of sustainable infrastructure ASCE Annual Report 19

20 Professionals, Students Begin Receiving Envision Credentials Nationwide use of Envision is poised to expand dramatically as more than 1,400 individuals have been trained in the application of Envision and have received the Envision Sustainability Professional credential (ENV SP). Credentialed individuals can work with a design team to help achieve the highest level of sustainability for an infrastructure project, and guide a project through the Envision verification process. Bolivian Footbridge Wins Innovation Award The 2013 Innovation in Sustainable Engineering Award was presented to Bridges to Prosperity for their project utilizing sustainable materials, the Chari Chari Cable Supported Footbridge in Bolivia. The 520-foot bridge improved the health and safety of the local community by providing safe passage across a large river to the clinic and school on the other side. New this year, college students and recent graduates can also become credentialed. After going through training, ISI will confer the provisional Envision Sustainability Professional (ENV PV) credential, which signifies a student s knowledge of Envision and their commitment to sustainable development in infrastructure investment both in an academic setting and to potential employers ASCE Annual Report

21 Workshops, Courses, Articles Educate Members on Sustainable Approaches ASCE members and students heard noted professionals give their perspectives on creating a holistic approach to sustainability at workshops held in conjunction with the Society s annual Multi-Region Leadership Conferences and at an Illinois Section meeting. The library of courses in sustainability expanded this year with the addition of Sustainable Project Management and Ecological Systems. These courses join the Fundamentals of Sustainable Engineering as online educational resources providing members with in-depth knowledge on critical issues associated with the triple-bottom line approach to sustainable infrastructure development. Student Water Purification Design Wins ASCE Sustainability Award A team of students from Stanford University were awarded ASCE s Sustainable Development Award as part of the Environmental Protection Agency s annual People, Planet and Prosperity (P3) celebration. The students design provided a low-cost water purification system to automatically disinfect water with chlorine before it flows into the homes of people in Dhaka, Bangladesh. ASCE Reston HQ Awarded LEED Gold Proving that becoming sustainable can also be financially rewarding, ASCE s three-decade-old northern Virginia headquarters underwent energysaving enhancements to light bulbs, toilets, and air conditioners, along with adaptations in other sustainability areas. The reward was significant energy savings and LEED-EB Gold Certification by the U.S. Green Building Council. The journey to LEED certification was detailed in LEEDing the Way, an ASCE blog that at the time provided an inside look at the process for anyone interested in pursuing LEED status for their existing office building ASCE Annual Report 21

22 FINANCIAL STATEMENT The Society continued to maintain its strong financial condition at the end of fiscal 2013 with $74.1 million in assets, $19.8 million in liabilities and net assets of $54.3 million, of which $29.8 million was unrestricted reserves. For the fiscal year, the Society and its affiliates had consolidated operating expenses of $53.9 million and a consolidated deficit from operations of $419,000. Revenues continued to be below pre-recession levels; although we have seen some recovery. To compensate, the Society is continuing to use measured amounts of its investment income and reserves to support operations, improve corporate infrastructure and for one-time expenditures with high merit. Investments continue to recover from the economic downturn, providing a $4.1 million return for fiscal 2013 and a total increase in net assets of $3.7 million. american SoCiEty of Civil EnginEErS and affiliates ConSolidatEd BalanCE ShEEt SEPtEmBEr 30 assets Cash and cash equivalents $5,858,000 $5,460,000 Accounts receivable, net 1,994,000 2,333,000 Investments, at market value 49,232,000 43,829,000 Publications inventory, net 603, ,000 Prepaid expenses and other assets 3,221,000 2,893,000 Contributions receivable 645, ,000 Property and equipment, net 12,592,000 13,973,000 Total Assets $74,145,000 $69,815,000 liabilities and net assets liabilities: Accounts payable and accrued expenses $3,431,000 $3,595,000 Unearned dues and subscription revenue 12,403,000 11,612,000 Annual leave payable 863, ,000 Deferred rent 45,000 88,000 Mortgage notes payable 800,000 1,500,000 Other liabilities 2,280,000 1,535,000 Total Liabilities 19,822,000 19,165,000 net assets: Unrestricted: Undesignated 29,763,000 27,056,000 Net investment in property and equipment 11,791,000 12,473,000 Total Unrestricted 41,554,000 39,529,000 Temporarily restricted 8,158,000 6,649,000 Permanently restricted 4,611,000 4,472,000 Total Net Assets 54,323,000 50,650,000 total LIaBILItIes and net assets $74,145,000 $69,815, ASCE Annual Report

23 As the national economy slowly recovers, we have continued to carefully manage our resources and pursue our strategic initiatives to strengthen the profession and better serve society. american SoCiEty of Civil EnginEErS and affiliates ConSolidatEd StatEmEnt of activities for the year Ended September 30 operating revenue Membership dues $15,245,000 $14,799,000 Publication sales 17,431,000 16,791,000 Conferences and seminars 11,108,000 10,076,000 Advertising 2,215,000 2,114,000 Royalties 3,588,000 4,095,000 Contributions 1,920,000 1,460,000 Rental income 582, ,000 Operating investment earnings 1,235,000 2,049,000 Other income 605, ,000 Total Operating Revenue 53,929,000 52,904,000 operating EXPEnSE Program Services: Program activities 18,897,000 19,139,000 Publications and advertising 14,038,000 11,986,000 Continuing education 4,906,000 5,454,000 Customer and member services 3,141,000 3,063,000 Conferences 4,930,000 4,271,000 Other 386, ,000 Total Program Services 46,298,000 44,351,000 Support Services: General and administrative 3,715,000 4,147,000 Membership and marketing 3,311,000 3,731,000 Fund raising 1,024, ,000 Total Support Services 8,050,000 8,510,000 Total Operating Expenses 54,348,000 52,861,00 (Deficit) Excess of Operating Revenue over Operating Expense (419,000) 43,000 nonoperating revenue Long-term investment earnings 4,092,000 4,194,000 Increase In net assets $3,673,000 $4,237, ASCE Annual Report 23

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