State of the Marine Industry Inland Rivers Ports and Terminals - - PowerPoint PPT Presentation

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State of the Marine Industry

Inland Rivers Ports and Terminals Annual Meeting Mary Beth Long, Senior Advisor American Association of Port Authorities

May 5, 2011

American Association of Port Authorities 703.684.5700 • www.aapa-ports.org

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American Association of Port Authorities

Representing Seaports of the Western Hemisphere for 100 years!

• 150 members from throughout the Western

Hemisphere

• AAPA provides a space for collaboration and

exchange of best practices

• Fostering collaboration among members and

allied groups. We do this through:

• Education and Training
• Networking and one on one interaction
• Legislative and Policy support
• Outreach

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Seaport Industry Overview Committed to Keeping Seaports Navigable/Secure/Sustainable

• For centuries ports have been an economic lifeline
• Ports help build and grow international trade; strengthening

local and national economies

• Provide high paying jobs and increase standard of living
• Ports and waterways connect us to the rest of the world
• Keeping seaports modern, navigable, safe and in the

national interest is a CORE PRIORITY for AAPA

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Seaports Deliver Prosperity

• Need for big-picture messages and more global understanding of

seaports as vital part of economy.

• A hemispheric campaign lends credibility, cachet to individual port

efforts.

• A better public understanding of ports = more support = more

infrastructure investment, trade and local collaboration.

• With current economic pressures, policymakers, influencers and the

public need to know seaports deliver the goods in good times and bad.

• Better understanding and appreciation for seaports can achieve great

results.

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Delivering Prosperity A coordinated awareness campaign positions us to be heard!

• Our messages (which are tweaked and updated regularly)

prepare us to speak articulately about the value of our industry

• We must be smart and strategic in our communications.
• Our seaport stories from around the hemisphere and case studies

illustrate the value of our industry better than anything we can say independently.

• Now more than ever it is critical that we communicate our value.

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The Look of the Awareness Initiative: www.seaportsdeliverprosperity.org

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Examples of Collaboration

Lorsque «Port» et «Prospérité» ne font qu’un…

. À l’échelle canadienne : 9 750 emplois dont plus de 5 500 dans la région de Québec Une valeur ajoutée à l’économie canadienne de l’ordre de 800 M$ Des revenus de taxes pour les gouvernements de plus 160 M$ annuellement Le port et l’industrie maritime de Québec c’est :

52nd Annual ACPA General Meeting and Conference

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The Role of Seaports

• Today, as we confront a host of international challenges chief

among them, recovery from the current economic crisis there is a clear and critical role for our ports.

• Ports are dynamic, vibrant centers of trade and commerce, but

seaports are partnerships.

• AAPA is positioned to support partnerships among ports and provide

the space for ports to come together to share lessons learned, build relationships and create awareness of industry issues.

• Modern, navigable seaports are vital to international commerce,

economic prosperity and must remain a federal priority, even in these times of fiscal restraint.

52nd Annual ACPA General Meeting and Conference

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What’s Happening in Washington?

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Decreasing Federal Spending

• Total Budget: $3.68

trillion

• Mandatory: $2.44

trillion

• Discretionary: $1.24

trillion

• Interest on Debt:

$242 billion

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Mandatory vs. Discretionary Funding – Not Much Leftover

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FEDERAL SPENDING ON PORT-RELATED PROGRAMS

PROGRAM FY 2010 ORIGINAL HR 1 FY 2011 FINAL

Maintenance Dredging

$793 M $764 M $770 M

Port Security

$300 M $100 M $250 M

EPA/DERA

$60 M $50 M $50 M

DOT/TIGER

$600 M $0 $528 M

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Earmark Moratorium

Congressionally Directed Spending

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Many Port Dredging Projects Have Been “Earmarked”

• WRDA
• Corps of Engineers

Budget

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Freight Projects Have Been Earmarked

• Surface Trans-

portation Bill Intermodal connectors Rail Corridors

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AAPA U.S. Policy Issues Existing transportation programs do not adequately address goods movement!

• AAPA policy focuses heavily on improving port infrastructure

and connections through greater investment in:  Federal navigation channels and marine highways.  Port, road and rail infrastructure.

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So What Else Is On Congress’ Agenda? Surface Transportation

• Freight Provisions
• Watch for New Taxes
• Expect a Maritime Title

 Full Use of HMT

• Alternative Financing/

I- bank

• Cutting Government

Inefficiencies to Get Projects Done More Quickly

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Waterside Access

Federal navigation channels not being maintained at authorized dimensions

• cargo.
• Without routine dredging, ships are limited from entering certain

waterways or cannot sail with full cargo loads, which ultimately increases costs to consumers.

• The federal government does not fully utilize the Harbor Maintenance Tax

(HMT) for its intended purpose and critical dredging needs have been neglected.

• Only a fraction of user fees are being spent resulting in increased costs for

waterborne transportation, higher prices to consumers and reduced competiveness of U.S. exports in the global marketplace.

• H.R. 104 would guarantee full use of the HMT, which would help resolve

the earmark issue.

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Navigation Channels Need Deepening

Panama Canal expansion increases available draft to 50 feet

• With ships getting increasingly larger and with Panama Canal expansion, dredging

deep-draft navigation channels is critical

• Need to increase navigation channel deepening & widening investments to help keep

U.S. globally competitive

• Without deeper channels we cannot take advantage of new export opportunities

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Marine Highways Report/National Port Summit

• On April 5, Transportation Secretary Ray LaHood released a

report to Congress on America's Marine Highways highlighting the benefits of using coastal and river transportation as part of America's new clean-energy economy.

 Congress to demonstrate how marine highways can help move the nation to a more environmentally-sustainable transportation system, reduce highway congestion and mitigate maintenance and replacement costs of roads and bridges.

• On April 21, port directors from throughout the United States

attended the Second National Port Summit hosted by the Department of Transportation (DOT) Secretary Ray LaHood and the Maritime Administration (MARAD).

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Short Sea Shipping Bill Introduced

• On April 14, Representative Pat Tiberi (R-

OH), introduced H.R. 1533, the Short Sea Shipping Act, to continue shipping infrastructure development, leading to job creation

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President’s Export Initiative increase that will support two million jobs in America. To Initiative that will help farmers and small businesses increase their exports, and reform export controls consistent with national security." President Barack Obama

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Port Security

• SAFE Port Act

Reauthorization bill in Senate

• Funding Level May

Decrease

• Cost-share Waiver
• TWIC

 Phase II - Readers  New Cards to be Issued

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Environmental Issues Some areas we are closely monitoring

• Diesel Emissions - DERA
• Diesel Emissions Reduction Act funds grants to reduce air emissions from older diesel engines

in targeted sectors and public fleets.

• Ports/marine received approximately 20% of the $156 million in nationally competitive grant

funds from the American Recovery and Reinvestment Act.

• DERA was reauthorized last year at $100 million/year for 5 years. Final FY 11 amount was $50

million.

• goal.
• Invasive Species
• Ensure a strong international/federal ballast water management program to reduce the risk of

invasive species in our waterways and provide uniform system

• National Ocean Policy
• Administration Executive Order on National Ocean Policy and coastal and marine spatial

planning .

• Moving forward and ports need to be engaged.

General Stevedoring Council's New York Luncheon

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What Lies Ahead

• n the land and waterside to increase competitiveness and our

ability to accommodate trade growth/expanded exports.

• In the port industry we are up for the challenges and planning

for what comes next:

• Demonstrating the importance of ports both nationally and

locally through jobs, the economy, trade

• Demonstrating that prosperity will come through seaports

and a strong and efficient transportation system

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Forming Alliances Working Together we are Stronger

• Today, as we confront a host of challenges chief among them,

there is a clear and critical role for those who depend on an efficient and reliable transportation system

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Opportunities to Partner

• IRPT members depend on an efficient transportation system to

increase market opportunities and decrease costs

• While needs are justified, the battle in

Congress/Administration is more challenging as we compete for funding against other programs

• President Obama says exports are key to U.S. global

competitiveness but how will we get these goods to market? Our success as a nation depends on infrastructure investment.

• We need help communicating these messages

we are in this together!

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Together We Can Make a Difference Awareness and Education are Key:

• Engage stakeholders who have an invested interest
• Build coalitions
• Take advantage of all communications tools to spread the word.

AAPA uses speeches, website, newsletters, social media and meetings to drive home the messages.

• Visit our website for fact sheets and background pieces that

communicate the importance of trade and transportation: aapa-ports.org