Freight Facility Location Selection: A Guide for Public Officials

This report describes the key criteria that the private sector considers when making decisions on where to build new logistics facilities.

The objective of this research is to develop a guide that:
1) informs public-sector freight policy and decisionmakers about the key criteria that the private sector considers when siting logistics facilities,
2) informs the public sector about the complexity of the various facility types and the role they play in goods movement and supply chain management, and
3) enhances the potential for successful projects.

Table of Contents
Preface
Chapter 1: Introduction and Background
What is the purpose of this guide?
Who should use this guide?
How to use this guide
What do we mean by freight facilities?
Keys to freight facility development success
Chapter 2: Evaluating Freight Facility Impacts and Benefits
Economic effects
Transportation effects
Other public sector costs
Chapter 3: The Critical Roles of Groundwork and Collaboration
Laying the groundwork
Public sector assistance and incentives
Best practices for the public sector
Chapter 4: How the Location Selection Process Works
Site selection: the big picture
Stages of site selection
Planning and strategy
Network modeling and analysis
Location screening
Field and site analysis
Cost modeling
Incentives, negotiations, and final selection
Chapter 5: How Candidate Sites Are Evaluated
Ability to access key markets or customers
Interaction with transportation networks
Labor and workforce
Total cost environment
Availability and cost of suitable facilities
Utilities
Permitting and regulation
Tax environment
Public sector assistance and incentives
Climate and natural hazards
Weighing site selection factors
Chapter 6: The Changing Landscape (Complicating Factors)
Changing role of the freight facility
Changes in global sourcing
Fuel costs and environmental factors
Organizational factors and comprehensiveness
Computer model use and sophistication
Transportation network congestion
Competition with other types of development
Appendix A: List of private sector interviewees
Appendix B: Glossary of terms