Summary for August 13 - August 17, 2007:
Monday, August 13, 2007No articles today - Staff Vacation
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Tuesday, August 14, 2007 Horizon Lines splits opsSeveral organizational changes, key executive promotions, and a realignment of senior management responsibilities were announced Aug 13 by Charles G. (Chuck) Raymond, chairman, president, and CEO of Horizon Lines Inc. As of Sep 1, the company will split its transportation and logistics operations into two wholly owned subsidiaries, Horizon Lines LLC and Horizon Logistics LLC, according to the announcement. Horizon Lines LLC will continue as the nation’s leading Jones Act container shipping company, according to the announcement. John Keenan will serve as president. Keenan will be responsible for all core ocean transportation services in the Alaska, Hawaii, Guam, Micronesia, and Puerto Rico markets. Horizon Logistics LLC, a new, wholly owned subsidiary of Horizon Lines Inc., will be focused on integrated logistics services. Brian Taylor will serve as president. Taylor’s responsibilities will include expanding the company’s logistics services capabilities and businesses, in addition to heading Horizon Services Group, the company’s technology subsidiary. Keenan and Taylor, along with Mark Urbania, executive vice president and CFO, and John Handy, executive vice president, will report to Raymond, according to the announcement. Bid-rigging exec pleads guiltyThe US Dept. of Justice Aug 9 announced that William A. Potts, vice president of a Virginia marine products company, has agreed to plead guilty, serve a sentence, and pay a criminal fine for his role in a conspiracy to allocate customers and rig bids for contracts to sell plastic marine pilings. The contracts were with the US Navy, the US Coast Guard, and other public and private entities, according to the announcement. Plastic marine pilings are substitutes for traditional wood timber pilings. They are often used in port and pier construction projects where durability and environmental considerations make them an alternative to traditional wood pilings, according to the announcement. According to the one-count felony charge, Potts participated in a conspiracy between December 2000 and May 2003, in which the conspirators engaged in discussions by telephone, facsimile, and electronic mail, the Justice Dept. said. The conspirators discussed and agreed among themselves which of them would win contracts from the Dept. of Defense, the Dept. of Homeland Security, and others, said the department. Bid-rigging exec pleads guiltyThe US Dept. of Justice Aug 9 announced that William A. Potts, vice president of a Virginia marine products company, has agreed to plead guilty, serve a sentence, and pay a criminal fine for his role in a conspiracy to allocate customers and rig bids for contracts to sell plastic marine pilings. The contracts were with the US Navy, the US Coast Guard, and other public and private entities, according to the announcement. Plastic marine pilings are substitutes for traditional wood timber pilings. They are often used in port and pier construction projects where durability and environmental considerations make them an alternative to traditional wood pilings, according to the announcement. According to the one-count felony charge, Potts participated in a conspiracy between December 2000 and May 2003, in which the conspirators engaged in discussions by telephone, facsimile, and electronic mail, the Justice Dept. said. The conspirators discussed and agreed among themselves which of them would win contracts from the Dept. of Defense, the Dept. of Homeland Security, and others, said the department. <<<•>>> Wednesday, August 15, 2007 Port of Houston security district createdTexas Gov. Rick Perry Aug 14 signed into law HB 3011 authorizing creation of the Houston Ship Channel Security District (HSCSD) — the nation’s first of its kind and modeled after a management district. “The symbolic signing of this bill is an essential step toward our ability to protect the vital resources of our state,” said Perry. HSCSD is a “public-private partnership designed to help improve security within the Houston Ship Channel area by assisting with the local share and operations and maintenance cost of security infrastructure,” according to the Port of Houston Authority announcement. The district will be governed by a board of directors with staggered two-year terms. At least eight directors from the private petrochemical, chemical, and refinery industries will be selected to represent the district’s security zones, said the announcement. Two representatives of each zone will be selected by a majority of facility owners within each zone. Other directors will be a representative of the port authority, a director appointed by the county, and a final director appointed by the Harris County Mayors and Councils Association. Schneider National fattens driver paychecksA major pay increase for its company driver fleet was announced Aug 13 by Schneider National Inc., the nation’s largest truckload carrier. Drivers at Schneider will earn up to $4,500 more per year under the new pay package, effective Sep 30, said Schneider. In addition, the company has improved its driver dispatch program to get more drivers home on a weekly basis, according to the news release. “These pay improvements represent our commitment to providing one of the best total compensation packages in the industry,” said Mark Rourke, Schneider National president, truckload. “It also highlights that drivers and customers are the lifeblood of Schneider National,” Rourke continued. In announcing one of the largest driver pay increases in Schneider history, Rourke noted that the company’s investment in its drivers goes beyond pay to address work-life balance. Because of recent changes in Schneider National’s driver dispatch system, nearly two-thirds of Schneider drivers now get home daily or weekly, according to the announcement. The company’s new compensation program is for Schneider mileage-based over-the-road, dedicated, and bulk drivers, said the announcement. Penske Truck opens $6mn facilityPenske Truck Leasing Aug 9 celebrated the grand opening of a new facility in Lakeland, FL, according to a company announcement.The 18,000 sq ft state-of-the-art facility offers commercial and consumer truck rental services, full-service truck leasing, and contract maintenance. About 65 leasing customers are handled at this eight-acre location, and nearly 550 vehicles are maintained on-site, according to the announcement. The building incorporates Penske Truck Leasing’s new facility design elements, including a new wireless technology component allowing Penske service technicians to integrate various vehicle diagnostic and repair software. To save energy, GE fluorescent light bulbs with electronic ballasts using 50% less energy have been installed. “Moving to a larger, state-of-the-art facility will enable Penske to better serve the Lakeland market,” said John Crockett, senior vice president, Southeast region. “We look forward to providing increased value to our current customers and expanding our operations locally.” Penske Truck Leasing Co. LP, headquartered in Reading, PA, is a joint venture of Penske Corp. and General Electric. <<<•>>> Thursday, August 16, 2007 FedEx loses in CA Court of AppealThe California Court of Appeal Aug 13 upheld a 2006 trial court's decision finding FedEx Ground drivers to be employees and not independent contractors, according to an announcement Aug 15 by the plaintiffs' law firm, Leonard Carder LLP. The appeals court also determined that the FedEx Ground drivers were entitled to reimbursement for approximately $6mn in additional expenses, for total damages of about $11mn for 200 drivers, according to the announcement. In denying FedEx's appeal of the December 2005 decision in the Estrada vs. FedEx Ground Package System Inc. case, the appeals court found that the California drivers are actually employees and that "... the work performed by the drivers is wholly integrated into FedEx’s operation." "The drivers look like FedEx employees, act like FedEx employees, are paid like FedEx employees, and receive many employee benefits," the Court of Appeal said. The Court of Appeal also commented that "FedEx’s control over every exquisite detail of the drivers’ performance, including the color of their socks and the style of their hair, supports the trial court’s conclusion that the drivers are employees... ." LA Council votes to end Westway Terminal leaseThe Los Angeles City Council Aug 15 approved and forwarded to the Mayor an agreement to terminate, under threat of condemnation, liquid bulk operator Westway Terminal Co. Inc.’s lease at Berths 69-71 at the Port of Los Angeles, according to port authorities. The agreement includes a $17mn lease buy-out for the remaining 18 years on the current lease, port-controlled clean-up of the site, and cessation of operations at Westway Terminal in mid to late 2008. The agreement will become final upon the Mayor’s approval, according to the port. “The removal of these tanks from the San Pedro waterfront is something the community has wanted for a long time,” said Port Executive Director Geraldine Knatz. Upon Westway’s departure from the terminal, the port will begin a thorough clean-up of the site, according to the announcement. The Westway agreement is part of the port’s overall plan to de-industrialize operations along the waterfront and create a unified San Pedro Waterfront Project. In the future, this area may be utilized as a maritime research and educational complex, according to the announcement. Port of Seattle enters PLAThe Port of Seattle Commission Aug 15 announced it has agreed to enter Project Labor Agreements (PLA) for two new construction projects in the Seattle harbor.The PLA is designed to ensure that work can proceed on the two related construction projects without interruption, port authorities said. The two projects are the conversion of Terminal 30 into a container terminal and the expansion of Terminal 91 as a base for cruiseship operations. “We don’t intend to use this technique on every project,” said CEO Tay Yoshitani, “but this one lends itself very well due to the narrow time constraints.” “Both of these projects are to be built within very strict time constraints,” said John Creighton, commission president. The PLA with the Seattle-King County Building and Construction Trades Council is a site-specific agreement that supersedes any conflicting collective-bargaining agreements, port authorities said. The agreement addresses working conditions and work rules and provides uniform grievance and dispute-resolution procedures. It includes a no-strike agreement by all signatory unions for the duration of the construction projects, according to the announcement. <<<•>>> Friday, August 17, 2007 $110mn more for port securityThe American Association of Port Authorities (AAPA) Aug 16 hailed the announcement from the Dept. of Homeland Security (DHS) that it has made available an additional $110mn in fiscal 2007 Port Security Grant funding. According to DHS, changes in the way the grants are being distributed for the fiscal 2007 supplemental round will impact both Tier I and Tier II grant recipients. Because the grants must be made before the end of the federal fiscal year which ends Sep 30, Tier I and Tier II port areas must establish a fiduciary agent quickly so that they can apply for the available funds, according to the announcement. “The additional $110mn will go a long way toward helping our nation’s ports further enhance their facility security against terrorism,” said Kurt Nagle, AAPA’s president and CEO. The money, to pay for security improvements in and around America’s public ports, was part of a compromise Iraqi war appropriations supplemental bill that was signed into law last May, according to the announcement. ACP inaugurates tugboat simulatorThe Panama Canal Authority (ACP) Aug 16 announced it has inaugurated "a new tugboat simulator that will help train personnel and enhance skill development to meet today’s evolving international standards." The new tug simulator, known as the "Z-Peller," emulates the new generation fleet of tugs acquired by the ACP to assist in the vessels’ transit. The simulator allows for the accurate re-creation of many diverse stages in the tug process through a virtual database system that utilizes geographical designs of marine port areas, according to the announcement. With the goal of expanding its training program to personnel at the local and international level, this new, innovative tool will be added to the services currently offered at the ACP’s Center for Training, Research, and Marine Development (SIDMAR), the ACP said. ACP Administrator and CEO Alberto Alemán Zubieta pointed out that few training centers provide the certification that SIDMAR offers. "This ‘Z-Peller’ will allow ACP personnel to gain invaluable training, preparing us for an expanded canal and the transit of longer, wider ships," he said. Tacoma has new public affairs managerThe Port of Tacoma Aug 15 announced it has selected Tara Hazarian for the newly created position of Public Affairs Manager.Hazarian will focus on several key areas of port communications, including economic development, transportation, and environmental issues, according to the announcement. Hazarian comes to the Tacoma port with more than 15 years experience in strategic communications, community outreach, and public relations program management, the port said. Before joining the port, Hazarian managed regional communications for the public involvement agency EnviroIssues. She also served in the Dept. of Community Relations for the city of Tacoma and was principal of Get Real! Communications. Hazarian’s background also includes seven years working for newspapers and as a freelance journalist, according to the announcement. Hazarian holds a Bachelor of Science in Journalism from California Polytechnic State University-San Luis Obispo (1990). The Port of Tacoma is the seventh-largest container port in North America, according to its Web site. It handles an estimated $35.6bn in annual trade and 2.1mn TEUs. |