Summary for March 10 - March 14, 2008:
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Monday, March 10, 2008
Port of Seattle lifts moratoriumTHE PORT of Seattle Commission Mar 6 lifted the moratorium on new project approval that was instituted in mid-January. Under the moratorium, the port commission refused to authorize new projects not essential for public health, safety, or security “until port staff demonstrated significant progress in key areas identified by the recent I-900 performance audit.” Commissioner Bill Bryant, who authored the moratorium motion, said, “The moratorium got the staff’s attention and made sure they understood that the port’s culture and policies needed to change.” The port commission had identified five areas where progress was needed before projects would be approved: governance issues, particularly those concerning port commission and executive authority; internal review processes; project management; professional ethics; and training for capital project personnel. “The port is a crucial economic engine for our region, and I am pleased that we can begin moving forward on important projects for our airport and seaport,” said Port Commission President John Creighton, “but we reserve the right to reinstate the moratorium if the reforms don’t remain on track.” Web site: Port of Seattle Commission
POLB Board to consider #2 execPORT OF LONG BEACH Executive Director Richard D. Steinke Mar 7 announced he is recommending that J. Christopher Lytle, the port’s current managing director of trade relations and port operations, be appointed to the position of deputy executive director and chief operating officer. Steinke’s recommendation will go to the Board of Harbor Commissioners for a vote at the port governing board’s regularly scheduled meeting Mar 10. In his new position, Lytle would be the port’s No. 2 executive. The position of deputy executive director has been vacant since Kevin Eldridge left the port for personal reasons nearly a year ago. “Chris has decades of maritime industry experience that is extremely valuable to us at the Port of Long Beach,” Steinke said. “In addition, he has experience in heading up our community outreach, security upgrades, and port maintenance programs.” As a former vice president with the French-based shipping line CMA CGM, Lytle was responsible for the company’s entire West Coast operations, including significant marine and terminal operations at the Port of Long Beach and similar operations in Oakland, Tacoma, and Seattle. Web site: Port of Long Beach
Port of San Diego seeks fundingTHE PORT OF SAN DIEGO will be applying for two state grants to assist with the implementation of measures to curb emissions associated with port operations, said port authorities Mar 6. The Board of Port Commissioners authorized the port at its Mar 4 board meeting to apply for funds available through Proposition 1B and through the State of California Carl Moyer Grant program. Last month, the Port of San Diego’s draft Clean Air Program was presented and approved by the Board of Port Commissioners. The port’s program is the first voluntary clean air program to be approved by a Board of Port Commissioners in California, said port authorities. The program identified four methods of reducing air emissions. These include replacing or retrofitting older-model trucks, replacing or retrofitting cargo-handling equipment, requiring ships in port to plug into shore power, and reducing the speed of vessels traveling to and from San Diego Bay. Grant funding from Proposition 1B is intended to be used for truck replacement and retrofitting and to install shore-side electrical power at the Tenth Avenue Marine Terminal, among other projects. Web site: Port of San Diego Tuesday, March 11, 2008 CARB resumes clean air enforcementTHE CALIFORNIA Air Resources Board Mar 10 announced that it has decided to continue to enforce the Ocean-Going Vessel Auxiliary Diesel Engine Regulation, as permitted under federal law, while litigation involving the regulation remains active. The regulation limits sulfur emissions from ocean-going ships that enter the state’s waters. On Feb 27, 2008, a three-judge panel of the Ninth Circuit issued a ruling holding that the regulation was preempted under federal law. At that time, ARB temporarily suspended enforcement of the regulation in order to determine the next appropriate actions to take. ARB said in its statement that it has decided to resume enforcement of the regulation “in order to protect public health in California while its appeal with the Ninth Circuit is pending.” ARB will resume enforcing the regulation as of Mar 10 and will continue enforcing the regulation while further appeals are pending. However, “ARB will not be enforcing the regulation against any vessel that left its last port-of-call before Mar 14 on its way to California,” the agency said. Web site: California Air Resources Board Peters says keep cross-border truckingUS TRANSPORTATION Secretary Mary E. Peters, speaking at a news conference Mar 10, cautioned Congress that now is not the time to halt efforts to implement trucking provisions in the North American Free Trade Agreement. Secretary Peters said a broad coalition of more than 69 US companies and agricultural and business organizations support the project “because of the benefits it provides to US exporters who every year ship billions worth of products and produce into Mexico.” Peters said the cross-border trucking demonstration project was designed to “give American companies their first-ever access to the highly lucrative business” of moving goods across the southern border. However, the pilot program to allow Mexico-based trucking companies and truck drivers to operate on highways throughout the US is strongly opposed by the Owner-Operator Independent Drivers Association and the Teamsters Union, who believe that trucks from Mexico are dangerous because of lax controls. The OOIDA is a national trade association representing the interests of small-business trucking professionals and professional truck drivers. Peters will testify before a Senate hearing on the program Mar 11. Web site: Owner-Operator Independent Drivers Association
Dallas Logistics Hub included in FTZPART OF THE Dallas Logistics Hub, a 6,000-acre multimodal logistics park developed by The Allen Group, has been included in the expansion of the Foreign Trade Zone #39 in Dallas, TX, the company announced Mar 11. The designation will enable the logistics park’s future customers to “streamline shipments both domestically and internationally by deferring and exempting goods from duty, as well as making customs procedures more efficient,” said the company. “This economic incentive will continue to help with business and job growth throughout South Dallas,” said Maurine Dickey, Dallas County Commissioner. “True to Texas form, the expansion of Zone #39 to include the Dallas Logistics Hub has created one of the largest FTZ projects in the country.” An FTZ is a specified site designated by the Foreign-Trade Zone Board, and with that designation comes major supply chain velocity improvements over normal importing processes. The Dallas Logistics Hub is adjacent to Union Pacific’s Southern Dallas Intermodal Terminal, a proposed BNSF intermodal facility, four major highway connectors (I-20, I-45, I-35, and Loop 9), and Lancaster Airport, which is in the master-planning stage to facilitate air-cargo distribution. Web site: Dallas Logistics Hub http://www.dallashub.com Wednesday, March 12, 2008 Report: Climate change affects transportFLOODING OF roads, railways, transit systems, and airport runways in coastal areas are just some effects that the nation’s transportation systems will suffer as a result of climate change, reports a new study from the National Research Council. Though the impacts of climate change will vary by region, it is “certain they will be widespread and costly in human and economic terms, and will require significant changes in the planning, design, construction, operation, and maintenance of transportation systems,” according to the report released Mar 11. The report finds that climate predictions used by transportation planners and engineers may no longer be reliable in the face of new weather and climate extremes. The committee identified five climate changes of particular importance to US transportation: 1) increases in very hot days and heat waves; 2) increases in Arctic temperatures; 3) rising sea levels; 4) increases in intense precipitation events; and 5) increases in hurricane intensity. The report was prepared by the Transportation Research Board and the Division on Earth and Life Studies of the National Research Council. The groups are part of the National Academy of Sciences, an independent agency chartered by Congress to advise the government on scientific matters. Web site: National Research Council http://sites.nationalacademies.org/nrc/index.htm
Retail group advises Port of Oakland THE NATIONAL Retail Federation Mar 11 urged the Port of Oakland to reject a proposal to impose new container fees similar to those approved recently in Los Angeles and Long Beach and instead “adopt a plan to ease air pollution and congestion that is supported by shippers.” The comments came in a letter to Omar Benjamin, Port of Oakland executive director, from Steve Pfister, NRF senior vice president for government relations. “NRF and its members support efforts to reduce emissions and congestion at ports in California and other states,” said Pfister. “However, we have serious concerns and have expressed opposition to parts of the plans by the [LA/Long Beach] ports that we believe have several serious legal and other flaws.” The NRF-backed alternate plan calls for statewide emissions standards. It would create a fund to help pay for truck replacement and create a public-private partnership to pay for infrastructure improvements. Independent truckers would not be banned. The National Retail Federation is the world’s largest retail trade association Web site: National Retail Federation
AMB enters Savannah marketAMB PROPERTY Corp., a leading global developer and owner of industrial real estate, Mar 11 announced its entry into the Savannah market with a 347,000 sq ft facility — the “first speculative industrial development in the southeastern US built to the LEED Silver Standard,” the company said. The building is the first in the master-planned AMB Morgan Business Park proximate to the Port of Savannah, expected to total more than 3mn sq ft of distribution space. “There has been a significant gain in containerized cargo through Savannah, especially from Asia, with the Port of Savannah experiencing a 20% increase in containers handled in calendar year 2007,” said Hamid R. Moghadam, AMB’s chairman and CEO. “Consistent with our strategy to invest at the key hubs of global trade, we’re developing a major facility park proximate to the port,” added Moghadam. “Furthermore, our customers are looking for logistics and distribution real estate that is synergistic with their own sustainability initiatives that maximize operational efficiencies, and we are developing that for them here at the fastest growing seaport in the United States.” Web site: AMB Property Corp. Thursday, March 13, 2008 $825mn for N. Calif. freight projectsFOURTEEN Northern California freight projects have been recommended to receive $825mn in funding by the staff of the California Transportation Commission. The recommended projects are competing for more than $2bn in statewide Trade Corridor Improvement Fund dollars, one of the funding programs created by voter approval of the $20bn Proposition 1B transportation bond in November 2006. TCIF-funded projects are aimed at improving the goods-movement infrastructure in California. The TCIF funding recommendations were presented to the California Transportation Commission at its meeting in Sacramento Mar 12. The CTC will adopt a final program at a meeting on Apr 9 and Apr 10, also in Sacramento. Six recommended projects for the Bay Area include improvements at the Port of Oakland, relocation of the Interstate 80 Cordelia truck scales, and the addition of an eastbound truck climbing lane on Interstate 580 — for a total of $544mn in TCIF funding. A complete list of projects recommended for TCIF funding by the CTC staff is available on the CTC Web site at http://www.catc.ca.gov/.
2007 Port of Seattle numbers strongBECAUSE of a record year at Seattle-Tacoma International Airport and reduced expenses throughout the organization, the Port of Seattle’s net income for 2007 was $73.4mn — 66% higher than the amount budgeted for the year, according to port authorities. Each division provided a detailed summary of its performance in 2007 at the Port of Seattle Commissioners meeting Mar 11. Highlights included 1.97mn TEUs of cargo handled at Seaport facilities, more than 31mn passengers at Sea-Tac Airport, and a record number of cruise passengers (780,593) at cruise facilities, according to the port. The Aviation Division accounted for nearly $176mn of the port’s $219mn of operating income before depreciation. By federal regulation, all income earned by the airport must be reinvested there. “As an organization, we are committed to using our resources wisely,” said Commission President John Creighton. “I am pleased that the port’s financial performance in 2007 exceeded our budgeted goals.” Port staff also noted several awards given to the port in 2007, including for the second consecutive year the Certificate of Achievement in Financial Reporting Excellence from the Government Finance Officers Association. The award is considered to be the highest honor in of government accounting and financial reporting. Web site: Port of Seattle
SSA selects Oakland for new PDSCONTAINERTRAC Inc., provider of highly accurate, in-yard container positioning solutions, Mar 12 announced it has reached agreement with SSA Terminals to install its cell-level-accurate Position Detection System (PDS) at SSA Terminals’ Port of Oakland International Container Terminal. ContainerTrac’s PDS gives yard operators the ability to automate the inventorying function which, until now, has required manual support, the company said. It enables automated position identification to facilitate immediate retrieval of containers while they are in densely stacked seaport and rail facilities. The implementation will begin in spring 2008 and will include integration with SSA Terminals’ terminal operating system from Tideworks Technology. “We are excited to launch our new PDS solution with market leader SSA Terminals,” said Larry Henry, ContainerTrac CEO. “We are confident this deployment will greatly increase the efficient flowthrough of containers for SSA Terminals, as well as improve overall homeland security.” SSA Containers President Ed DeNike commented, “The ability to accurately capture the placement and movement of containers in our seaport locations is increasingly important, especially with ever-growing volumes and our ongoing commitment to port security.” Web sites: ContainerTrac Inc. SSA Terminals Friday, March 14, 2008 CEVA Logistics expands in BrazilCEVA Logistics, a leading global supply chain management company, Mar 14 announced that it has won three new contracts with the Eaton Corp., a leading global diversified industrial manufacturer, at their Valinhos plant north of São Paulo, Brazil. With the three new contracts, CEVA will be providing logistics support to Eaton’s Brazilian steel forging, production, and aftermarket sales operations. These three contracts will represent a 30% increase in turnover for CEVA Brazil’s-Eaton related revenues and will involve 56 employees and 10 forklifts. Transport operations for Eaton’s steel forging production activities are expected to bring in more than 2,500 tons of steel per month, which will supply the furnaces and presses on the production line. Internal movement of 7,200 packages per month has also been forecast. The contract involving transport of finished transmissions is expected to ship around 18,000 units per month. The Eaton plant in Valinhos manufactures mechanical transmissions for passenger vehicles, pickups, and light, medium, and large-sized trucks, as well as manufacturing replacement parts for the company’s products. Web site: CEVA Logistics MOL, “K” Line in two new loopsMITSUI OSK Lines Ltd. Mar 12 announced the start of a new weekly service on two loops with “K” Line, covering Mexico and Chile on Loop 1 and Mexico, Colombia, and Peru on Loop 2. They have joint service on the Asia/Mexico–South America West Coast route (CWL) and will separate into two loops. Loop 2 will also add a call at Ningbo, China, to meet active seaborne trade from that area, the company said. Loop 1, a weekly fixed-day service with nine 2,500 TEU-class containerships, includes Keelung (Taiwan), Hong Kong, Chiwan, Xiamen, Shanghai, and Qingdao (China), Pusan (S. Korea), Manzanillo (Mexico), Iquique, Valparaiso, and Lirquén (Chile), Yokohama (Japan), and Keelung. Loop 2, a weekly fixed-day service with eight 1,700-TEU-class containerships, includes Yokohama (Japan), Ningbo and Shanghai (China), Pusan (S. Korea), Manzanillo (Mexico), Buenaventura (Colombia), Callao (Peru) and Yokohama. Loop 1 service starts with the M/V HS Challenger departing Keelung on Mar 22. Loop 2 service starts with the M/V Hansa Aalesund departing Ningbo on Mar 30. Web site: Mitsui OSK Lines Ltd.
New GM for Horizon Guam growthHORIZON LINES Inc., the nation’s leading domestic ocean shipping and integrated logistics company, Mar 13 announced the appointment of Hugh Healey to the position of general manager, Guam. Healey will be responsible for overseeing all of Horizon Lines’ Guam operations, as the Pacific island “is poised for trade growth related to US military expansion,” Horizon said. “Hugh Healey’s transportation and business education, along with his diverse company experience, will allow us to continue to grow in Guam and the surrounding Micronesia region under his leadership,” said Mar Labrador, senior vice president and general manager, Hawaii and Micronesia division The US Navy, Marine Corps, and Air Force all plan expansion in Guam due to the island’s strategic location. More than 8,000 US Marines and their families are being transferred to Guam from Okinawa, Japan, driving trade demand for everything from building materials to household goods and groceries. In preparation, Horizon Lines has added five new container vessels to the Guam trade as part of the company’s long-term fleet-enhancement program. The fleet expansion has offered Horizon Lines first arrival advantage in the market, the company said. Web site: Horizon Lines Inc. |