Home

March, 2009

NEWS BULLETIN
Monday, March 30, 2009

Port of Vancouver, USA
eyes land deal with city

VANCOUVER, USA — The Port of Vancouver USA and the City of Vancouver are working on final details of a property exchange involving a small parcel of city property and the parcel currently held by the Humane Society of Southwest Washington. The port holds reversionary rights to the Humane Society property, should the animal organization leave the property it purchased from the port. With the Humane Society’s impending move to a new home in East Vancouver, the property will revert back to the port. Under the terms of the agreement, the city will exchange a 0.966 acre-parcel located at 2141 St. Francis Lane to the port. In return, the port will exchange property it currently owns near the city’s Westside Treatment Plant, consisting of 0.69 acres. Additionally, the port will “quitclaim” its reversionary rights to the 0.482 acre portion of the Humane Society property at 2121 St. Francis Lane. Port of Vancouver plans are to build an additional rail spur at the property it receives from the city. The city will use the property it receives from the port for drainage, and there are no plans yet for the Humane Society property to be received by the city. The Vancouver City Council will hold a public hearing at 7 p.m. on April 6 and will consider the approval of this property exchange. Port commissioners will consider approval of the agreement at their meeting on April 14.


Corps plans closure
of John Day navigation lock

VANCOUVER, USA — The U.S. Army Corps of Engineers will close the navigation lock at John Day Dam from 6:30 a.m. to 5 p.m. tomorrow, to for an inspection and possible repairs. Corps engineers will inspect one of two valves that are used to fill the navigation lock so ships can move downstream of the dam. Repairs will be completed during the lock outage if needed. The John Day Dam crosses the river near Rufus, Oregon, about 25 miles upstream from The Dalles, just below the mouth of the John Day River. Public Notices and other navigation lock information are available on the Portland District’s Web site at https://www.nwp.usace.army.mil/op/n/home.asp.


Repairs to Washington ferry
shake up San Juan Islands route

SEATTLE — The 144-auto ferry ELWHA will remain out of service while crews investigate and repair the vessel’s drive motor. Reduced capacity on San Juan Islands inter-island sailings will continue due to these necessary vessel repairs. Engineers estimate that it will take a minimum of a week to identify the problem and establish a realistic repair schedule. More information is expected by Friday, April 3. The 34-auto HIYU, the ferry system’s only back-up vessel, is providing inter-island service. Various vessel moves will occur this weekend to ensure that adequate service is provided for the Anacortes/San Juan Islands route. Customers should take care in making travel plans this weekend, and should arrive at the terminal early to ensure that they can travel on their desired sailing. WSDOT Ferries Division (WSF) engineers made a decision March 24, to remove the ELWHA from service, after monitoring a worsening condition in one of its main propulsion electric drive motors. The ELWHA was taken to WSF’s Eagle Harbor Maintenance Facility on Bainbridge Island. Engineers are putting together a systematic troubleshooting plan to rule out various possible causes, but it is apparent that extensive investigation of the motor and control system will be necessary.


Two new tankers
join TOP Ships fleet

ATHENS — TOP Ships Inc. has announced that it has taken delivery of the M/Ts IONIAN WAVE and TYRRHENIAN WAVE from SPP Plant & Shipbuilding Co., Ltd. of the Republic of Korea. The IONIAN WAVE and the TYRRHENIAN WAVE are the third and fourth of six 50,000 dwt product/chemical tankers to be delivered within the first and second quarter of 2009. The IONIAN WAVE and the TYRRHENIAN WAVE have entered into respective bareboat time-charter employments for a minimum period of seven years at a daily rate of $14,300, with three successive one-year options at a higher daily rate.


CSX intermodal takes home
Evergreen top carrier award

JACKSONVILLE, FL — CSX Intermodal (CSXI) has received the 2008 Carrier of the Year award from Evergreen Shipping Agency (America) Corporation. "This award is given on the basis of excellence in quality, service and support," said Wesley Brunson, president of EGA. "We are pleased to present CSX Intermodal with the Carrier of the Year award in appreciation of their superb partnership with our customers and our company." Jim Hertwig, president of CSXI, said his company strives to meet increasing standards in reliable and quality service, accurate systems, timely responses and overall value. "CSX Intermodal is proud to receive this award, and we appreciate the recognition from Evergreen," Mr. Hertwig said. "We will continue to provide consistent, safe and reliable service to Evergreen and all of our customers, and we look forward to delivering another strong performance in 2009.


NEWS BULLETIN
Friday, March 27, 2009

Island Tug and Barge workers
to receive Coast Guard honors

SEATTLE — Coast Guard Captain of the Port, Capt. Suzanne Englebert will present Public Service Commendations today, to four members from the Island Tug and Barge Company for their actions in rescuing a woman from the water who was clinging to a concrete sea wall in Seattle Ship Canal’s Montlake Cut January 14, 2009. After recovering the woman from the frigid waters, the crew rendered appropriate first aid and made arrangements for her to be transported to receive additional medical treatment.


Port of Vancouver, USA
nets federal stimulus funding

VANCOUVER, USA — The Port of Vancouver USA has been awarded $2.5 million of federal stimulus funding for construction of its West Vancouver Freight Access rail project. The funding is from the American Recovery and Reinvestment Act (ARRA) put together by congress and the Obama Administration to stimulate the economy and create jobs in the United States. At the Port of Vancouver, the $137 million West Vancouver Freight Access project is creating jobs for the Vancouver, Clark County and Greater Southwest Washington community. As many as 1,900 construction, design, engineering and other related jobs are being created due to the project. The project will allow for unit train access into the port as early as spring 2010, which will result ultimately in the reduction of as much as 40 percent of the congestion in the BNSF Vancouver Yard and along the north-south BNSF main line, which serves rail customers as far away as Houston and Chicago. Congestion at the Vancouver Yard can delay rail traffic on this vital north-south, east-west mainline. The ARRA funding will be used to help construct unit train facility on the port’s new Terminal 5 (formerly the Alcoa Aluminum smelter) is due to begin in late summer 2009.


Down week recorded
for US rail freight traffic

WASHINGTON, DC — Freight traffic on U.S. railroads continued to reflect the nation’s economic slowdown during the week ended March 21, the Association of American Railroads reports. U.S. railroads reported originating 276,030 cars during the week, down 14.7 percent from the comparison week in 2008, with loadings down 13.0 percent in the West and 17.0 percent in the East. Intermodal volume of 183,795 trailers or containers was off 12.9 percent from last year, with container volume falling 7.7 percent and trailer volume dropping 30.9 percent. Total volume was estimated at 29.3 billion ton-miles, off 13.6 percent from 2008. Eighteen of nineteen carload freight commodity groups were down from last year, with the miscellaneous category labeled "all other carloads" showing the lone increase, up 17.4 percent. Declines on the other 18 commodity groups ranged from 3.9 percent for coal to 57.1 percent both for metals and for metallic ores. For the first 11 weeks of 2009, U.S. railroads reported cumulative volume of 3,007,032 carloads, down 15.6 percent from 2008; 2,055,140 trailers or containers, down 15.5 percent; and total volume of an estimated 319.2 billion ton-miles, down 14.4 percent.


Coast Guard plans new rules
for TWIC electronic readers

WASHINGTON, DC — The U.S. Coast Guard has announced the Federal Register's publication of an advance notice of proposed rulemaking entitled "Transportation Worker Identification Credential (TWIC) — Reader Requirements." This advance proposed rulemaking discusses the federal government's preliminary issues on potential requirements for owners and operators of certain vessels and facilities regulated by the Coast Guard under 33 CFR Chapter I, subchapter H, for use of electronic readers designed to work with Transportation Worker Identification Credentials as an access control measure. The notice also indicates additional potential requirements associated with Transportation Worker Identification Credential readers, such as recordkeeping requirements for those owners or operators required to use an electronic reader, and amendments to security plans previously approved by the Coast Guard to incorporate Transportation Worker Identification Credential requirements. A public meeting will be held for this advance notice of proposed rulemaking; details on the date and location will be published in a subsequent Federal Register notice. The Coast Guard encourages the public to participate in this rulemaking by submitting comments and related materials to the docket at http://www.regulations.gov, docket number: USCG-2007-28915. All comments received will be posted without change.


Sea-Tac Airport baggage project
means food for Washington dogs

SEATTLE — Recently, the Port of Seattle used about 12 tons of dry dog food to test a new baggage conveyor system at Sea-Tac Airport. Using dry dog food is recommended by the conveyor manufacturer and is standard practice in airports nationwide. With testing completed, the port commission voted to donate the unused dog food to the Seattle Animal Shelter and King County. Each organization will retain some of the food -- most of the dog food will be given to Northwest Harvest, which will manage distribution statewide. If you are interested in receiving some of the dog food for your own pet and/or for a rescue or shelter, please contact Northwest Harvest by e-mail at infor@northwestharvest.org or visit their Web site at www.northwestharvest.org.


NEWS BULLETIN
Thursday, March 26, 2009

Icelandair to begin flights
to Seattle-Tacoma Airport

SEATTLE — The Port of Seattle has announced that Icelandair will begin serving Seattle-Tacoma International Airport on July 22, 2009. The airline will provide connecting flights to 18 European cities, via its hub in Reykjavik, Iceland. Icelandair will be the only Nordic carrier serving the West Coast and it will provide a connecting gateway to Europe. The airline touts an all-Boeing fleet and will serve Sea-Tac Airport with a 183-seat Boeing 757. Icelandair will provide four flights a week, departing on Tuesdays, Thursdays, Saturdays, and Sundays at 3:30 p.m., and arriving in Reykjavik at 6:45 a.m. Nonstop connections through the Reykjavik hub will include flights to Copenhagen, Oslo, Stavanger, Stockholm, Paris, London, Manchester, Amsterdam, Berlin, Dusseldorf, Frankfurt, Munich, Barcelona, Madrid, and more.


Corps set to begin
Grays Harbor dredging

SEATTLE — The U.S. Army Corps of Engineers, Seattle District, has announced that annual maintenance dredging at the outer entrance to Grays Harbor is scheduled to begin a 15-day dredging assignment on or about April 1. The area of initial dredging includes the Entrance/Point Chehalis and Bar channel reaches. The government dredges operate 24 hours a day and seven days per week. The federal government hopper dredge vessel ESSAYONS will remove shoal material from the federal channel to promote safe navigation. Maintenance dredging in this area is done annually. Dredged material from the Bar channel is placed at the South Beach nourishment site. Next, the federal government hopper dredge vessel YAQUINA will start dredging operations at the Grays Harbor Entrance and Point Chehalis Channel reach, beginning a 28-day dredging assignment on or about April 24. Dredged material will be placed at the existing Half Moon Bay nourishment sites and the Point Chehalis open water disposal site managed by the Washington State Department of Natural Resources.


Truck tonnage index
moves up in February

ARLINGTON, VA — The American Trucking Associations’ advanced seasonally adjusted For-Hire Truck Tonnage Index edged 1.7 percent higher in February 2009, marking the second consecutive month-to-month increase. Still, the gain over the past two months, totaling 4.8 percent, did not even erase the 7.8 percent contraction in December 2008. In February, the seasonally adjusted tonnage index equaled 106.5 (2000 = 100), which is still extremely low. Also in February, the fleets reported lower volumes than in January, as the not seasonally adjusted index fell another two percent last month on top of January’s 4.4 percent drop. In February, the not seasonally adjusted index equaled 95.3. Compared with February 2008, tonnage contracted 9.2 percent, which was the third-worst year-over-year decrease of the current cycle.


Grand Alliance teams with Zim
for new China/US East Coast run

TOKYO — Grand Alliance members Hapag-Lloyd, Nippon Yusen Kaisha (NYK) and Orient Overseas Container Line (OOCL) and Zim Integrated Shipping Services have agreed to cooperate on a service from South China to US East Coast via the Panama Canal. The joint operation is expected to take effect in April, subject to filing with the Federal Maritime Commission (FMC). New port rotation of the South China East Coast Express (SCE) service is Kaohsiung – Shekou – Hong Kong – Kingston – New York – Norfolk – Savannah – Kaohsiung on a 56 day round trip. The new service will consist of eight vessels of 4,200 TEU. Grand Alliance will provide five vessels and Zim will provide three vessels.


Steel imports into US
drop sharply during February

WASHINGTON, DC — Preliminary data released show that overall steel imports in February 2009 decreased 34.45 percent from January 2009. This change in February’s total amount of steel imports was due to an decrease in several categories including standard pipe (-59.12 percent), line pipe (-49.97percent), and oil country goods (-46.87 percent). Other notable decreases included wire rods (-51.47 percent), carbon and alloy blooms, billets and slabs (-49.97 percent), and reinforcing bar (-41.84 percent). February 2009 imports of steel mill products were down 37.48 percent compared to February 2008. Despite the February 2009 decrease, oil country goods increased 83.19 percent from February 2008 to February 2009.


NEWS BULLETIN
Wednesday, March 25, 2009

Washington governor inks bill
shifting response tug costs

OLYMPIA — Marking the 20th anniversary of the Exxon Valdez oil tanker spill, Gov. Chris Gregoire has signed legislation to shift funding responsibility of the emergency response tug boat at Neah Bay, which the state has funded since 1999, from the state to the maritime industry. "The Neah Bay emergency response tug is a critical safety measure that protects our environment, our economic resources and our cultural heritage from oil spills by international vessels crossing state waters," Gov. Gregoire said. "I believe Washington taxpayers have shouldered the burden long enough." The tug boat prevents disabled ships and barges from drifting onto rocks and causing oil spills in the Strait of Juan de Fuca and Washington’s outer coast. The 2008–09 contract to station the tug at Neah Bay is $3.7 million. The governor has proposed spending $3.6 million to fund the boat for the 2009–10 fiscal year.


Seattle Port Commissioners
Ok funds for Marginal Way project

SEATTLE — Port of Seattle commissioners have voted to invest an additional $17.2 million in the East Marginal Way grade separation project, a freight mobility improvement in South Seattle. This action brings to the total port investment to $18.8 million. "For the Port to move more cargo and create more jobs, we must have a transportation system that can handle the growth," said Commission President Bill Bryant. "This investment demonstrates the port’s ongoing commitment to an efficient transportation system in Washington state." Improvements to East Marginal Way are part of a broader effort to improve freight mobility in the area. The larger plan includes improvements to the Spokane Street corridor and the eventual replacement of the Alaskan Way Viaduct. Other funding sources for the $50 million project include federal grants, the Transportation Improvement Board, the Freight Mobility Strategic Investment Board (FMSIB), and contributions from the City of Seattle and rail partners. Delays to the project resulted in significant increased costs; the Port’s additional investment closes the existing funding gap and allows the project to proceed. The East Marginal Way grade separation project offers three primary benefits:
• Eliminate the congestion at the intersection of East Marginal Way and South Spokane Street when trains are moving to and from terminals and rail yards;
• Improve access between Port terminals, Union Pacific and BNSF rail yards, local manufacturers, and distribution warehouses;
• Improve air quality by reducing congestion and idling times.


Port of Grays Harbor calls for
public input on 28th Street Landing

GRAYS HARBOR — The Port of Grays Harbor invites interested parties to provide input on the completed draft recreational plan for the 28th Street Landing, which includes boat launch, parking area, picnic facilities, and viewing tower. The port has been working on a recreation plan to fulfill Recreation and Conservation Funding Board planning requirements to apply for recreation funds. Public input is an important part of this process to help identify 28th Street Landing facility recreational needs. The drafted 28th Street Landing Recreational Lands and Facilities Plan will be available for public comment through: Friday, April 24, 2009. View the draft plan at: http://www.portofgraysharbor.com


Joseph Ueberroth stepping down
from Ambassadors International post

SEATTLE — Ambassadors International, Inc. has announced that Joseph J. Ueberroth, president and chief executive officer and a member of the Board of Directors, has resigned as the company's president and chief executive officer effective April 1, 2009 to pursue other ventures. Mr. Ueberroth also resigned from the Board of Directors effective March 20, 2009. Mr. Ueberroth first announced his resignation in September 2008 giving the company 12 months notice. However, since the company, as previously announced, is substantially complete with the process of moving its corporate headquarters to Seattle to concentrate on its cruise business, Mr. Ueberroth felt it was now the appropriate time for him to leave.


Lumber association predicts
demand to hit bottom this year

PORTLAND — Demand for lumber in the U.S. in 2009 will slide to the lowest level in modern history, then move toward a slow recovery starting next year, according to a new forecast issued by Western Wood Products Association. The poor economy and a housing market that has plummeted to historic lows are the chief reasons for the remarkable decline in lumber demand. WWPA predicts U.S. lumber demand will slide this year to just 28.9 billion board feet, down almost 30 percent from 2008 totals. Since reaching an all-time high of 64.3 billion board feet in 2005, U.S. demand for lumber has dropped by more than 55 percent – the steepest decline in the history of the industry.


NEWS BULLETIN
Monday, March 23, 2009

Port of Seattle continues
to hold off on rail corridor deal

SEATTLE — Port of Seattle CEO Tay Yoshitani has announced that the port will postpone acquisition of the BNSF Eastside Rail Corridor due to continued difficulties in the nation’s bond markets. The port intends to issue municipal bonds to finance the $107 million purchase price. The sale was originally expected to close in December 2008, but the transaction was postponed after the collapse of the credit markets. A further reason for delay is that the federal Surface Transportation Board has yet to complete its review of the acquisition. The sale cannot close before the STB issues its approval.


Mitsui auto carrier
outruns Somalia pirates

TOKYO — Mitsui O.S.K. Lines, Ltd. (MOL) reports that its operated car carrier JASMINE ACE was fired on by pirates in two high-speed boats about 480 miles east of Somalia on Sunday, March 22. The ship sustained some damage to the hull, but accelerated and took evasive action. After about 40 minutes, the pirates gave up chasing the vessel. No one was injured in the attack, and no oil leaked from the hull. Bullets also damaged some windows in the wheelhouse, but the JASMINE ACE continues under its own power, and is now proceeding toward safer waters.


LCL announces completion
of deal for freight forwarder

SEATTLE — LCL has announced it has completed its acquisition of Universal Freight Forwarders, Ltd, (UFF) headquartered in Seattle. LCL acquired 80 percent of Universal in 2003 and purchased the remaining 20 percent in 2005. Once Universal was fully acquired, LCL began the transition of Universal into one of its 27 offices worldwide. As part of the acquisition agreement, former Universal owner and executive director, Susi Harris, will stay on as a consultant to LCL, to assist in completing the transition process. LCL was established in 2001 by Stockholm-based Lauritzen Cool to provide its customers with global supply chain solutions in the time-sensitive cargo and perishable products sectors. The acquisition of UFF means that Universal's strong fruit-producing customers in Eastern Washington, California and other regions of the U.S. are now tied into the customized, multi-modal and multi-destination, door-to-door logistic services provided by LCL.


Trucking group wins ruling
in LA/Long Beach lawsuit

ARLINGTON, VA — The U.S. Court of Appeals for the Ninth Circuit ruled in favor of the American Trucking Associations (ATA) has in its lawsuit seeking an injunction against the Ports of Los Angeles and Long Beach Concession Plans. The three-judge panel ruled unanimously to remand the case to the U.S. District Court and indicated that the judge should grant the ATA an injunction against all or part of the Concession Plans. As of Oct. 1, 2008, any motor carrier out of compliance with a port’s concession agreement had been barred from entering that port, a situation that caused motor carriers to suffer both short and long-term capital losses and injuries to business goodwill. The Court of Appeal’s instructions to the District Court made clear that many elements of the Concession Plans must be enjoined, but leaves it to the District Court as to whether the entire Concession Plans should be halted.


Coast Guard cutter nabs
marijuana smuggling boat

SAN DIEGO — The U.S. Coast Guard and Mexican Navy recovered more than eight tons of marijuana, seized a smuggling boat, and took four suspected smugglers into custody Thursday after disrupting a smuggling operation in international waters off the coast of Baja California, Mexico. A Coast Guard C-130 Hercules patrol aircraft from Air Station Sacramento, Calif., detected a suspicious vessel about 60 miles west of Isla Cedros. The Coast Guard Cutter ASPEN, homeported in San Francisco, was diverted to investigate. They launched an interceptor boat with a law enforcement team made up of the ASPEN's crewmembers and Maritime Safety and Security Team Galveston members. The smugglers tried to flee, throwing bails of contraband overboard. The interceptor boat crew was able to stop the smuggling vessel and took the crew and contraband into custody. A Mexican Navy patrol boat responded to the scene and rendezvoused with the ASPEN. Mexican authorities took custody of the suspected smugglers, a sample of the contraband, and the suspects' vessel. ASPEN’s crew, with continued aerial coverage from the C-130, remained on scene and recovered 16,588 pounds of marijuana, an estimated $15 million value.


NEWS BULLETIN
Friday, March 20, 2009

Port of Portland projects
net federal stimulus funds

PORTLAND — Approximately $16.3 million in federal stimulus grants will flow to key projects at or near the Port of Portland’s marine and aviation facilities creating more than 300 construction-related jobs and ensuring the long term effectiveness and efficiency of these critical cargo and passenger facilities. The largest grant, about $8.9 million will go toward crane and wharf modernization projects at the port’s Terminal 6, the only international marine container port in Oregon. About $7 million will go toward the rehabilitation of one of the taxiways at Portland International Airport and about $400,000 will help fund a right turn lane at the Troutdale Interchange on South Frontage Road at 257th Avenue. The new lane will provide relief for the heavy demand for the eastbound and southbound traffic at the interchange which serves surrounding businesses, the Troutdale Airport and the port’s Troutdale Reynolds Industrial Park, soon to be the home of the new Fed Ex Ground distribution hub and about 950 jobs.


US rail freight traffic
sees weekly losses again

WASHINGTON, DC — Freight traffic on U.S. railroads during the week ended March 14 remained down in comparison with a year ago, the Association of American Railroads reports. U.S railroads reported originating 279,287 cars, up 1.5 percent from the previous week this year but down 15.0 percent from the comparison week in 2008, with loadings down 14.2 percent in the West and 16.1 percent in the East. Intermodal volume of 176,840 trailers or containers was off 18.3 percent from last year, with container volume falling 13.4 percent and trailer volume dropping 34.5 percent. Total volume was estimated at 29.6 billion ton-miles, off 14.0 percent from 2008. Eighteen of nineteen carload freight commodity groups were down from last year, with the miscellaneous category labeled "all other carloads" resisting the trend and registering a 5.5 percent gain. Declines ranged from 0.8 percent for coal to 55.5 percent for metals. Ten carload groups were up from the previous week this year. For the first ten weeks of 2009, U.S. railroads reported cumulative volume of 2,730,975 carloads, down 15.7 percent from 2008; 1,871,345 trailers or containers, down 15.8 percent; and total volume of an estimated 289.9 billion ton-miles, down 14.5 percent.


BNSF teaming with CSX
to boost box service to Southeast

FORT WORTH, TX — BNSF Railway Company and CSX Intermodal recently expanded their current intermodal container service to include several new locations in the Southeast. BNSF and CSXI will now serve Charleston, S.C.; Savannah, Ga.; and Miami, Orlando and Tampa, Fla., in addition to current eastern hubs at Atlanta, Ga.; Jacksonville, Fla.; and Charlotte, N.C. This expanded service builds upon a 2006 agreement between BNSF and CSXI to provide improved service to customers for shipments between the West Coast, Atlanta and other Southeast destinations.


US Transportation Secretary
to speak at AAPA conference

ALEXANDRIA, VA — U.S. Department of Transportation Secretary Ray LaHood will be the featured speaker at a morning session of the American Association of Port Authorities' (AAPA) annual Spring Conference on March 24 at the Willard InterContinental Hotel in downtown Washington, D.C. Sec. LaHood will address the transportation department's priorities under the Obama Administration as they relate to America's ports, including infrastructure investment through the stimulus legislation and upcoming surface transportation reauthorization. His presentation is scheduled for 9:15 - 9:45 a.m. in the hotel's Crystal Room, on the lobby level. Go to: http://www.aapa-ports.org/Programs/seminarschedule.cfm?itemnumber=10712) for conference information


Hanjin issues cash dividend
for 10th consecutive year

SEOUL — Hanjin Shipping has approved a 10 percent par value cash dividend at its 71st annual shareholders’ meeting held at its Seoul head office. The meeting also approved the 2008 financial statements with KRW 9.36 trillion in total sales, KRW 334.4 billion in operating profit and KRW 320.4 billion in net profit. Benefiting from the company’s shareholder-oriented management policy, Hanjin Shipping’s shareholders have received cash dividends for ten years in a row since 1999.


NEWS BULLETIN
Thursday, March 19, 2009

Oregon governor praises OTC
for using federal stimulus dollars

SALEM — Oregon Governor Ted Kulongoski applauded the Oregon Transportation Commission for its prompt action to put federal stimulus dollars to work, funding another 59 transportation projects across the state. In total, the commission now has funded 100 projects with federal dollars provided to Oregon under the American Recovery and Reinvestment Act. These projects will create or sustain an estimated 3,276 jobs this summer. This committee action exhausts the $234 million in federal stimulus funds coming to the state transportation department. It also means that the department met the federal requirement to contract 50 percent of the funds within 120 days. Attached is a list of projects approved today by the commission. For a complete list of approved projects, go to http://www.oregon.gov/ODOT/recovery/economic_stimulus.shtml.


NAFTA partner trade
increases during 2008

WASHINGTON, DC — Surface transportation trade between the United States and its North American Free Trade Agreement (NAFTA) partners Canada and Mexico was 4.1 percent higher in 2008 than in 2007, reaching $830 billion, according to the Bureau of Transportation Statistics (BTS) of the U.S. Department of Transportation. The 4.1 percent rate of growth was the smallest year-to-year growth rate since 2003. BTS, a part of the Research and Innovative Technology Administration (RITA), reported that surface transportation trade with Canada and Mexico grew 8.6 percent during the first six months of 2008 compared to the same period in 2007. It declined 0.3 percent in the final six months and 9.4 percent in the October-to-December period compared to 2007. Total North American surface transportation imports rose 2.7 percent in 2008 from 2007, and exports rose by 5.9 percent during the same period. In 2008, 86 percent of U.S. merchandise trade by value with Canada and Mexico moved on land. Total North American surface transportation trade value in 2008 was up 47.5 percent
compared to 2003, and up 83.7 percent compared to 1998, a period of 10 years.


Union Pacific hit with fines
for drugs shipped from Mexico

WASHINGTON, DC — The US government has filed two lawsuits against Union Pacific Railroad Company for allegedly failing to prevent the use of its rail cars to smuggle large quantities of narcotics into the United States, the Justice Department announced. The complaints, filed in San Diego and Houston, seek more than $37 million in monetary penalties. The government alleges the rail cars were brought across the border at the ports of entry at Calexico, Calif., and Brownsville, Texas. According to the complaints, Union Pacific Railroad, the largest provider of rail transportation services in North America, has substantial Mexico rail operations, serving border gateways in California, Arizona and Texas. It is alleged in the complaints that Union Pacific has a substantial ownership-interest in the privatized Mexican railroad company Ferrocarril Mexicano (FM). Union Pacific also partners with FM to offer Union Pacific's customers the ability to move merchandise north- and south-bound between Mexico and the United States. In accordance with Title 19, United States Code, Section 1584, the owner or person in charge of a vehicle bound to the United States is required to submit to Department of Homeland Security, Customs and Border Protection (CBP), a manifest that accurately identifies all merchandise on board the vehicle. A violation of this section mandates the imposition of civil monetary penalties.


Customized Brokers opens
new West Coast operation

LOS ANGELES — Customized Brokers Inc., the Miami-based customs brokerage that has specialized in the clearance of fresh fruit and produce into the U.S. for 20 years, has brought its expertise to the U.S. West Coast, establishing a new office in Inglewood, Calif. “To better serve the clearing needs of produce importers with cargo arriving into the West Coast, we are making the commitment to having a local presence,” said Pat Compres, vice president and general manager of Customized Brokers, a Crowley company. “This expansion will further complement our nationwide service by providing people on the ground locally that can troubleshoot the typical challenges faced by produce importers.” Customized Brokers’ focus on the produce industry complements Crowley’s existing customs brokerage service in Inglewood. Between the two entities, customers can have all types of cargo cleared – from melons to textiles to cars.


Insurance club calls for
safe port operating equipment

LONDON — TT Club has agreed to work with Port Equipment Manufacturers Association (PEMA) to promote best practice in designing safe port operating equipment worldwide. The move comes after PEMA’s recent AGM in Amsterdam, where Laurence Jones, Director of Global Risk Assessment for the TT Club, presented the results of his recent research into causes of equipment accidents and loss in the port and terminal sector. Given its position as a leading insurer globally to the marine terminal market, TT Club has a wealth of insight into the key factors contributing to such accidents. “We are delighted to co-operate with the TT Club in increasing knowledge and awareness of such a vital aspect of the port equipment business,” said Ottonel Popesco, PEMA president. The TT Club’s research showed that, although human factors were the major cause of accidents, existing systems and technologies could be included in the design of equipment to help operators avoid accidents. Mr. Jones also called for continuing development of new technology to improve the safety of personnel and equipment, citing the example of quay-crane booms colliding with ships – a frequent accident that is easily prevented by the installation of a simple boom anti-collision electronic sensor.


NEWS BULLETIN
Wednesday, March 18, 2009

Transpacific carriers eye
changes to rate structure

OAKLAND — The CEOs of container shipping lines of the Transpacific Stabilization Agreement (TSA) have reinforced their intentions to ensure that 2009-10 service contracts do not result in the kind of non-compensatory, unsustainable rate levels that began to develop principally in the “spot” rate market during the off-peak this winter. In addition to moving to expire these short term rates, Lines have also indicated their intention to ensure that the progress made in 2008/09 contracting which produced an improved level of fuel cost recovery continues. At their most recent meeting in Tokyo, the 14 TSA carrier CEOs expressed their intention to avoid any further erosion of the current rate structures by expiring, no later than June 30, 2009, any short term rates that have been reduced over the past 4-5 months. The first step in the process of stabilizing the trade will be the action by lines on an individual and non-binding basis to expire reduced short term/spot rates by the end of June at the latest. Step two of the process will be lines seeking to establish rates going forward in 2009-10 contracting at levels $500 to $600 per 40-foot container (FEU) above the low levels that some rates deteriorated to over the last few months.


General Dynamics NASSCO
lays keel for next T-AKE vessel

SAN DIEGO — General Dynamics NASSCO, a wholly owned subsidiary of General Dynamics, has laid the keel for USNS CHARLES DREW, the tenth dry cargo-ammunition ship in the U.S. Navy's T-AKE program. Construction of the CHARLES DREW began in October. The ship is scheduled to be delivered to the Navy in the first quarter of 2010. The ship is named in honor of the African-American physician who was a pioneer in blood preservation and storage. On March 19, NASSCO will begin construction of USNS WASHINGTON CHAMBERS, the eleventh ship of the T-AKE class. The WASHINGTON CHAMBERS is scheduled to be delivered to the Navy in the third quarter of 2010. The ship bears the name of the Navy officer who oversaw the early development of U.S. naval aviation. NASSCO has delivered seven T-AKE ships to the Navy and is under contract to build five additional T-AKE ships, including the CHARLES DREW and WASHINGTON CHAMBERS. The Navy has also provided long-lead material funding to NASSCO for two more ships for a total class of 14 T-AKE vessels.


Agencies respond to spill
of hydraulic fluid from vessel

SEATTLE — The Coast Guard, Washington Department of Ecology (Ecology), and Washington State Maritime Cooperative (WSMC) are wrapping up their response Tuesday night to a hydraulic fluid spill in Puget Sound. Investigators learned through interviews with the crew that the ship, Hyundai Republic, likely lost most of the contents of a hydraulic reservoir, potentially spilling up to 158 gallons of hydraulic oil, into the Blair Waterway in Commencement Bay near Tacoma. Residual sheen has been spotted in Seattle but no major spill source has been identified at the ship’s latest mooring. Responding agencies flew over the area to determine the extent of the spill. They spotted patches in the Blair Waterway. A spill response vessel assessed the spill and recovered any oil that it could. Oil spilled into water typically forms oily patches that spread out quickly. These oil slicks can cover many acres of water. All oil spills cause environmental damage, regardless of size. Oil is toxic to the environment and the damage starts as soon as the oil hits the water. A single quart of oil has the potential to foul more than 100,000 gallons of water. The cause of the spill is still under investigation.


Carriers come together
to establish new service

TOKYO — Kawasaki Kisen Kaisha, Ltd. ( “K”LINE ), Pacific International Lines (Pte) Ltd ( PIL ), Nippon Yusen Kaisha ( NYK ) and Hyundai Merchant Marine Co. Ltd ( HMM ) have reached an agreement to launch a joint service between Far East and East Coast South America ( ECSA ) as from mid-June 2009. Ten vessels of about 4250 TEU capacity will be deployed on a 70-day round voyage to provide a weekly service. “K”LINE, PIL and NYK will provide three vessels each and HMM will deploy one vessel. The joint service will provide the following port coverage: Shanghai, Ningbo, Hong Kong, Shekou, Singapore, Santos, Buenos Aires, Montevideo, Navegantes, Paranagua, Santos, Rio de Janeiro, Cape Town, Singapore, Hong Kong and Shanghai. Only K Line and PIL will offer service to/from Cape Town, South Africa.


Steamer Portland plans
Grand Re-Opening event

PORTLAND — The Steamer PORTLAND is BACK in town! Join the vessel for a Grand Re-Opening from 11:00 a.m. to 4:00 p.m. Saturday, March 21, with free admission. Tour the wheel house and engine room. See all the progress made since the accident in June. Also, hear about an exciting update on Centennial Mills. The Steamer PORTLAND is docked on the Willamette River at the foot of Pine Street, in Portland. For more information about the Oregon Maritime Museum and the Steamer PORTLAND call 503.224.7724.


NEWS BULLETIN
Monday, March 13, 2009

Coast Guard sets final rule
for Merchant Mariner credentials

WASHINGTON, DC — The U.S. Coast Guard's Marine Safety, Security and Stewardship Directorate has announced the publication of a final rule consolidating regulations for the issuance of Merchant Mariner qualification credentials. The changes simplify the existing Merchant Mariner qualification credentialing process by reducing the number of credentials a mariner will need to hold. The rule also eliminates redundant regulatory burdens and government processes. Mariners who self-identify when applying for Transportation Worker Identification Credentials will no longer need to appear in person at a Coast Guard Regional Exam Center when applying for a new, renewal or upgrade credential. This rulemaking works in tandem with the joint final rule published in Jan. 2007 by the Coast Guard and the Transportation Security Administration on Transportation Worker Identification Credential implementation in the maritime sector. This final rule follows consideration of public comments on its potential impact. The final rule and related materials may be reviewed at http://www.regulations.gov, docket number: USCG-2006-24371.


Port of Everett honored
for charitable giving program

EVERETT — On March 12, 2009, the Port of Everett received the "Best of Industry" award for local government from the United Way of Snohomish County. The port’s Facilities and Security Director Scott Grindy also received a nomination for campaign manager of the year. In 2008, in partnership with local businesses, the Port of Everett raised $12,246 for the United Way of Snohomish County. Each year, port employees find fun and innovative ways to raise money to support the United Way’s mission. Through weekly raffles and its annual fundraising event, staff works hard to raise awareness about the importance of giving. Port employees contributed $10,532 through payroll deductions, and also raised $1,599 through a silent auction. This is $1,981 more than last year’s fundraising efforts. These donations are used to help fund more than 114 programs and 49 agencies in Snohomish County, including the Red Cross, Boys and Girls Clubs, and the 211-resource hotline.


Agencies hold security exercise
at Puget Sound maritime facilities

SEATTLE — The Coast Guard, in conjunction with Washington State Patrol, Washington State Ferries, the FBI, other state and local authorities and numerous maritime facilities, conducted a mobilization exercise simulating a Maritime Security Level increase for port facilities around Puget Sound and Washington State Ferries March 13. This exercise involved cooperation between active duty, auxiliary, reserve and civilian Coast Guard members with other law enforcement agencies and industry. The exercise simulated a general intelligence threat that affected maritime stakeholders. The joint response effort included facilities implementing increased security efforts, law enforcement inspecting facilities, assessing unit readiness and collaboration between law enforcement agencies and maritime industry. The Coast Guard Captain of the Port of Puget Sound, Captain Suzanne Englebert, hailed the exercised as a strong success.


ATA predicts growth
for freight transportation modes

ARLINGTON, VA — Despite the current weakness in demand for freight transportation services caused by the nation’s recession, the long-term outlook remains bright for all modes of freight transportation, the American Trucking Associations reports in its newly released ATA U.S. Freight Transportation Forecast to 2020. IHS Global Insight, which conducted the study for ATA, projects that by 2020 total freight tonnage will grow more than 26 percent and total freight transportation revenue will grow 68 percent. Trucks’ share of total tonnage will rise gradually from 68.8 percent in 2008 to 70.9 percent by 2020. Rail’s overall share (carload plus intermodal) of total tonnage will slip slightly from 14.9 percent to 14.7 percent by 2020, according to the report. Air cargo tonnage is estimated to grow from 14.5 million tons in 2008 to 22 million tons in 2020.


Corps closes Ballard locks
for annual maintenance program

SEATTLE — The small lock at the Hiram M. Chittenden Locks in Ballard will close its gates to marine traffic and be drained or "dewatered" through 4 p.m. March 20. The closure will allow crews to conduct critical annual maintenance, according to the Seattle District, U.S. Army Corps of Engineers, which owns and operates the project. "The Large Lock will continue to operate 24/7 and we’ll get the commercial traffic through as quickly as possible," according to Dave Carpenter, the project’s operations manager. "All pleasure boats will be using the large lock during this time," he went on. "Mariners may experience some delay during the period depending upon how heavy the demand for passage becomes," he concluded. The small lock is capable of handling vessels up to 25 feet wide and 100 feet long while the large lock can be configured to be handle vessels as large as 760 feet by 80 feet. The large lock will remain open for boat traffic throughout this period and boaters should be prepared to use the large lock with appropriate equipment and crew. The scheduled repairs to the small lock are part of an annual general maintenance program. The Chittenden Locks safely transits well over 60,000 vessels each year between Lake Washington and Salmon Bay in Seattle’s Ballard neighborhood.


NEWS BULLETIN
Friday, March 13, 2009

Port of Everett nets funds
for West Marine View Drive project

EVERETT — The Port of Everett reports its West Marine View Drive non-motorized improvement project will receive $1.9 million in stimulus funds through the American Recovery and Reinvestment Act of 2009. The project will provide enhanced pedestrian and bike access along the port's marina facilities, and get construction jobs flowing back into our community. The West Marine View Drive Non-motorized Improvements project would provide a safer, improved pedestrian/bicycle corridor along West Marine View Drive between 11th Street and 16th Street. This is a major road in Everett that connects the port facilities and the Naval Station Everett to Interstate 5. It would also provide important vehicle safety improvements to the intersection at 13th Street, which is the entrance to a new, mixed-use waterfront development the port is undertaking.


Vancouver, BC workers
ratify new labor agreement

VANCOUVER, BC — Port Metro Vancouver reports representatives from the BCMEA and ILWU Local 514 met last week and confirmed that their respective memberships have ratified the Collective Agreement. The ratification vote was based on the tentative agreement reached on February 13, 2009. The agreement is in effect between April 01, 2007 and March 31, 2010.


One million workers
now enrolled in TWIC

WASHINGTON, DC — The Transportation Security Administration (TSA) reports one million port and longshore workers, truckers and others at ports across the nation have enrolled in the Department of Homeland Security's Transportation Worker Identification Credential (TWIC) program. The program's goal is to ensure that any individual who has unescorted access to secure areas of port facilities and vessels has received a thorough background check and is not a known security threat. Today, 36 of the 42 Captain of the Port Zones across the country require workers to have a TWIC. All ports must be in compliance with credential requirements by April 14, 2009. Port security personnel are trained to ensure workers have valid cards and Coast Guard officials are conducting random compliance inspections at these ports. For more information about TSA, visit the TSA Web site at www.tsa.gov.


Month of March begins
with lower rail freight totals

WASHINGTON, DC — Freight traffic on U.S. railroads during the first week of March remained down in comparison with a year ago, the Association of American Railroads reports. U.S carload freight totaled 275,105 cars, down 15.0 percent from the comparison week in 2008, with loadings down 11.9 percent in the West and 19.5 percent in the East. Intermodal volume of 180,047 trailers or containers was off 12.7 percent from last year, with container volume falling 6.0 percent and trailer volume dropping 34.0 percent. Total volume was estimated at 29.2 billion ton-miles, off 13.9 percent from 2008. All nineteen carload commodity groups were off last week in comparison with last year. Coal was off 0.8 percent with declines in other commodities ranging from 5.5 percent (grain mill products) to 57.3 percent (metals). For the first nine weeks of 2009, U.S. railroads reported cumulative volume of 2,451,688 carloads, down 15.8 percent from 2008; 1,694,505 trailers or containers, down 15.5 percent; and total volume of an estimated 260.3 billion ton-miles, down 14.6 percent.


California Maritime Academy
offers on-line training course

VALLEJO, CA — The California Maritime Academy, Vallejo, CA, is offering an online certificated course in Maritime Security Awareness for workers in the maritime environment. The International Ship and Port Facility Security (ISPS) Code and the Maritime Transportation Security Act (MTSA) of 2002 require that regulated vessel and facility owners and operators assure and document that they have provided Maritime Security Training for “other personnel” who routinely have access to, and perform business operations inside the controlled security perimeter of a regulated facility or vessel. This includes administrative and management personnel, as well as vendors, truck drivers and service providers who require access to secure areas. Depending upon the level of existing knowledge and expertise a student brings to the course, the online self-paced training can generally be completed in 2-4 hours. For more information, visit Cal Maritime Extended Learning at www.maritime-education.com, call (707) 654-1157 or e-mail xl@csum.edu.


NEWS BULLETIN
Thursday, March 12, 2009

"K" Line expected to cut
Port of Portland container run

PORTLAND — Eight months after returning to Portland for the first time since 2004, the Port of Portland reports “K” Line is again withdrawing its container service from the port due in large part to a weakened global economy. Company officials have confirmed the decision, saying a formal announcement is imminent. Changes due to the service realignment will impact ports in Japan, Taiwan and others throughout Europe. In April, “K” Line will disband the “pendulum” service that included Portland. The company will continue to call Portland with auto carriers, and will still have allocations for cargo on the Hanjin/Cosco service. According to the port, the decision did not come as a complete surprise -- in part due to sheer timing. Since the first call on July 30, 2008, trade volumes, markets, revenues, employment and key economic indicators worldwide have steadily plummeted. Carriers are facing challenging global market forces, and an estimated 10 percent of the world containership fleet is now idled.


Carnival ships to begin
service to Port of Seattle

SEATTLE — The Port of Seattle can now claim Carnival Cruise Lines as the latest big-name cruise line to call in Seattle. For the first time ever, Carnival will operate a schedule of seven-day Alaska cruises round-trip from Seattle beginning in May, 2010. Carnival Cruise Lines' 2,124 passenger Carnival Spirit will depart on Tuesdays from May 11 to August 31 2010. The region benefits by the thousands of jobs the cruise business creates. The Port of Seattle provides two downtown cruise terminals that offer convenience and easy access to Seattle Tacoma International Airport. The port's new Smith Cove Cruise Terminal at Pier 91 will open on April 24th offering two 1200 foot berths and the world's only facility equipped with two shore power plug-ins for cruise ships, while the Bell Street Pier Cruise Terminal will continue to serve cruise passengers on Seattle's downtown waterfront.


Freight Transportation Index
falls again during January

WASHINGTON, DC — The Freight Transportation Services Index (TSI) fell 2.3 percent in January from its December level, falling for the third consecutive month to its lowest level in more than five years, the U.S. Department of Transportation’s Bureau of Transportation Statistics (BTS) reports. The January decline was the fifth monthly decrease in six months. The index has declined 7.7 percent in the last six months, the largest six-month decline since an 8.4 percent decline in 1995. The 5.9 percent decline in the three-month November through January period was the largest three-month decline since April 2000. The 2.3 percent decline in January was the second January decline in five years and the largest January decline since 1996. The index dropped 0.3 percent in 2007. At 102.7 in January, the freight TSI is at its lowest level since May 2003 when it was 102.5 and is down 9.2 percent from its historic peak of 113.1 reached in November 2005.


APL Logistics boss
decides to leave company

SINGAPORE — Global container shipping and logistics group Neptune Orient Lines (NOL) has announced that Brian Lutt, president of its APL Logistics business, is leaving the company to pursue an opportunity outside the group. Mr. Lutt has been in charge of APL Logistics since October 2005 and has served the NOL Group in various senior managerial roles in the US and Asia for 26 years. NOL Group President and CEO, Ron Widdows will assume responsibility for the activities of APL Logistics, pending the appointment of a new President to lead the business. Mr. Widdows said he expected an appointment to be announced in the near future.


Rail association releases
Ten-Year Trends publication

WASHINGTON, DC — Did you know that U.S. freight railroads have seen their fuel costs more than quadruple over the past 10 years? Or that they invested a record $9.2 billion in capital improvement during 2007? Or that new freight cars cost an average of $81,000 each in that same year? All this information and more is now available in the 25th annual edition of Railroad Ten-Year Trends, just published by the Association of American Railroads (AAR). The new edition presents data for the years 1998 through 2007. Railroad Ten-Year Trends provides tables and graphs which present an economic overview of the U.S. freight railroad industry, including Class I industry performance, traffic, financial statistics, employment, plant and equipment, and operations. Copies of Railroad Ten-Year Trends are available for $110 for non-members and $50 for AAR members. Domestic shipping and handling fees are $6.00 per order. To order copies of the book, visit the AAR web site at www.aar.org.


NEWS BULLETIN
Wednesday, March 11, 2009

Port of Seattle police
nab suspect for lazer discharge

SEATTLE — Port of Seattle Police have confirmed the arrest of a 24-year old Burien, WA resident for suspicion of Unlawful Discharge of a Laser - 1st Degree, a Class "C" felony. The arrest occurred on March 6th at about 4 p.m. This arrest is related to the recent "lasering" incidents of aircraft at Seattle-Tacoma International Airport. A laser was seized from the suspect who was booked into the King County jail. Port of Seattle Police Detectives are continuing their investigation.


TSA member carriers
changing bunker charges

OAKLAND — Container shipping lines serving the Asia-U.S. freight market have overhauled the way they calculate bunker fuel charges, to make the process more transparent and stabilize the cost impacts to customers. Effective with their 2009-10 service contracts commencing May 1, 2009 or thereafter, member carriers in the Transpacific Stabilization Agreement (TSA) will begin the transition to a new bunker charge calculation formula developed by TSA as a group. The new formula, lines say, distinguishes between West Coast and East Coast sailings; reduces volatility through quarterly adjustment; and addresses changes to vessel size, speed and fuel consumption in recent years;. The simplified formula will be based on average weekly fuel prices published by independent tracking service Bunkerworld, for a smaller number of load ports – Hong Kong and Los Angeles for a West Coast sailing; and Hong Kong and New York for an East Coast sailing.


Port of Olympia
adds two new employees

OLYMPIA — Ed Galligan, Port of Olympia Executive Director, has announced the addition of Kevin Ferguson, finance director, and Kathleen White, communications manager, to the Port of Olympia team. Both report to Mr. Galligan. Mr. Ferguson has formerly worked as chief financial officer for Washington Department of Community, Trade and Economic Development and the Bremerton School District, business manager of the business and office paper division of International Paper Company, and assistant superintendent of operations of Issaquah School District. He has an MBA in Finance from Purdue University and an MS in Financial Management from the US Naval Postgraduate School, as well as Naval Nuclear Power training during his 26 years in the U.S. Navy. Ms. White has served as senior communications manager for Weyerhaeuser, public relations director for Washington Department of Personnel, communications director for Washington Department of Information Services, and director of marketing and public relations for Tacoma Metro Parks. She has a certificate from University of Washington Evans School of Public Affairs’ Executive Management Program, did graduate work at Marist College School of Communications and undergraduate work at Santa Clara University, earning her BA at Evergreen.


Crowley presents grant
for marine studies program

JACKSONVILLE, FL — Crowley continues to foster education in maritime studies through its recent scholarship grant to a deserving student at the Maritime Studies Program of Williams College and Mystic Seaport. Laura Boyle was selected as the spring 2009 Thomas Crowley Sr. Memorial Scholarship recipient at Williams-Mystic. She received a $5,000 scholarship to attend the 17-week maritime studies program in Mystic, Conn. An English major at Bryn Mawr College, Ms. Boyle has displayed her strengths through team work and community efforts in roles such as camp counselor, service trip leader, and peer mentor. In her admissions essay, Ms. Boyle also discussed her experience growing up in Madison, Conn., and how her decision to attend a landlocked school in Pennsylvania has separated her from her beloved Long Island Sound.


Coast Guard cutter has mishap
during smallboat training exercise

SEATTLE — Six Coast Guard members are now safe after a smallboat from the Seattle based Coast Guard Cutter POLAR SEA fell into the water at Point Wilson near Port Townsend, Wash. The crew of the POLAR SEA was lowering the boat into the water as part of a training exercise at 5:21 p.m. when it fell. Two people were knocked into the water while four others managed to climb back onto the cutter using the vessel's Jacob's Ladder. The two members who were knocked into the water were quickly recovered by a smallboat crew from the Seattle based Coast Guard Cutter MIDGETT which was also operating in the area. Coast Guard medical personnel aboard the POLAR SEA determined the crewmembers involved sustained no significant injury.


NEWS BULLETIN
Monday, March 9, 2009

Port Tracker Report predicts
continued slowing at box ports

WASHINGTON, DC — Cargo volume at the nation’s major retail container ports will be up in March over February as traffic begins its annual climb toward peak season, but volume for the first half of 2009 is still expected to remain well below last year’s levels, according to the monthly Port Tracker report released by the National Retail Federation and IHS Global Insight. U.S. ports surveyed handled 1.05 million Twenty-Foot-Equivalent Units in January, the most recent month for which actual numbers are available. That was down half a percent from December and 14.6 percent from January 2008, making January the 19th month in a row to see a year-over-year decline. The last year-over-year increase was July 2007, when the 1.44 million TEU was up 3.4 percent from July 2006. One TEU is one 20-foot container or its equivalent.


Corps completes repairs
on Coos Bay North Jetty

PORTLAND — The U.S. Army Corps of Engineers has completed interim repairs of the Coos Bay North Jetty. Foredune and South Dike roads re-opened to the public on Friday, March 6. The staging area will remain closed for two to three weeks until restoration work and demobilization of equipment is complete. The restoration work includes planting American dune grass in areas that were disturbed by the project and installing a sand fence to mitigate erosion. Kerr Contractors, Inc. placed nearly 28,000 tons of stone on the jetty to repair three damaged areas and prevent a potential breach. The interim repair was designed to last at least five years. Jetties were constructed to aid vessels traveling between rivers and the ocean, and were never intended for recreational purposes. Jetties can be very dangerous and should be admired for their complexity and contributions to the region from a safe distance.


Sea-Tac Airport takes home
best concessions program honor

SEATTLE — For the third time in the last 18 months, the concessions program at Seattle-Tacoma International Airport has been honored for a major award. Airport Revenue News (ARN) announced Sea-Tac Airport as the Best Overall Concessions Program in the large airport division as part of the prestigious Best Airport & Concessionaire Awards. Previously, Sea-Tac Airport won the 2007 Richard Griesbach Overall Award of Excellence from Airports Council International for the best concessions program in North America and last year won ARN’s Best Concessions Program Design for large airports.


California pilot pleads guilty
in COSCO BUSAN case

WASHINGTON, DC — John Joseph Cota, a California ship pilot, has pleaded guilty to negligently causing the discharge of approximately 53,000 gallons of oil into San Francisco Bay in violation of the Oil Pollution Act of 1990, a law enacted in the wake of the Exxon Valdez disaster. Mr. Cota, who piloted the M/V COSCO BUSAN when it hit the San Francisco Bay Bridge on Nov. 7, 2007, also pleaded guilty today to violation of the Migratory Bird Treaty Act for the death of protected migratory birds. If the plea terms are accepted by U.S. District Court Judge Susan Illston, Mr. Cota will be sentenced to serve between two and ten months in prison and be fined between $3,000 to $30,000. The exact sentence will be determined by the court with the government reserving the right to argue for the highest sentence within this range. The plea also requires Mr. Cota to serve the maximum one year of supervised release during which he will not serve as a ship pilot or ship Captain (Master). Sentencing has been scheduled for June 19, 2009.


Seattle-based Coast Guard cutter
heading out on Arctic deployment

SEATTLE — The Coast Guard Cutter HEALY departed its homeport in Seattle, for a three-month Arctic West 2009 deployment, March 4, 2009. The deployment supports the ongoing Bering Ecosystem Study (BEST). BEST is a multi-year project sponsored by the National Science Foundation that studies the ecological processes of sea ice as it retreats through the Bering Sea. Scientists on HEALY will study how marine microorganisms, plants, animals and local human communities will be affected by the ongoing changes in the region. This mission will use different sampling strategies and focus on a common goal of improving ecological understanding of the Bering Sea. The joint chief scientists, Dr. Lee Cooper of the University of Maryland and Dr. Carin Ashjian of Woods Hole Oceanographic Institute, coordinated the BEST mission last year and will be aboard again this year. HEALY is the largest of the nation's icebreakers and possesses extensive scientific capabilities. The 420-foot cutter was commissioned in 2000 and has a permanent crew of 80. Scientific support is the primary mission, but HEALY is capable of supporting all other Coast Guard missions in the Polar Regions.


NEWS BULLETIN
Friday, March 6, 2009

Port of Bellingham earns honor
for financial reporting excellence

BELLINGHAM — The Port of Bellingham's Board of Commissioners presented its Accounting Department with a financial reporting award at its regular meeting March 3. The Port of Bellingham's Accounting Department has been honored with a Certificate of Achievement for Excellence in Financial Reporting by the Government Finance Officers Association of the United States and Canada for its comprehensive annual financial report. The certificate of achievement is the highest form of recognition in the area of governmental accounting and financial reporting, and its attainment represents a significant accomplishment by a government and its management. This is the 13th consecutive year the port has won the award.


Everett Port Commission Oks
historical interpretive program

EVERETT — On March 3, the Port of Everett Commission unanimously approved a comprehensive historical interpretive program that will honor the lumber and shingle mills, commercial fishing industry and boat building on the development of Everett. Under the agreement, the port, Historic Everett, Washington Trust for Historic Preservation and the State Historic Preservation Officer will embark on a master planning process to develop the historical program’s content and identify locations throughout the North Marina Area between 10th and 17th Street and West Marine View Drive. The first phase of the interpretive program will be located in the port’s new administration building lobby, with other possible locations along the waterfront walkways and in the fishermen’s tribute plaza.


Trade between NAFTA partners
takes hit during month of December

WASHINGTON, DC — Trade using surface transportation between the United States and its North American Free Trade Agreement (NAFTA) partners, Canada and Mexico , was 13.1 percent lower in December 2008 than in December 2007, dropping to $52.9 billion, according to the Bureau of Transportation Statistics (BTS) of the U.S. Department of Transportation. December was the second straight month with a year-to-year decline of greater than 13 percent. The value of U.S. surface transportation trade with Canada and Mexico fell 12.8 percent in December from November. Month-to-month changes can be affected by seasonal variations and other factors. Surface transportation consists largely of freight movements by truck, rail and pipeline. About 88 percent of U.S. trade by value with Canada and Mexico moves on land.


US Rail freight traffic
drops during February

WASHINGTON, DC — Rail freight traffic throughout North America was off sharply during February, the Association of American Railroads (AAR) reports. U.S. rail carload traffic in February 2009 fell 14.5 percent (188,487 carloads) compared to February 2008 to 1,109,035 carloads, the AAR said. U.S. rail intermodal traffic (which is not included in carloads) fell 18.7 percent (167,608 trailers and containers) to 726,343 units in February. Carloadings for 18 of the 19 major commodity groups fell in February 2009 on U.S. railroads, including motor vehicles and equipment (down 41,439 carloads, or 51.5 percent); metal products (down 27,792 carloads, or 52.2 percent); and grain (down 19,078 carloads, or 18.7 percent). Carloads of coal were down 2.6 percent (15,244 carloads) in February 2009 to 560,606 carloads. The “all other” category rose 22.4 percent (4,117 carloads) in February.


Port of Seattle taps Gonzales
as top police officer for 2009

SEATTLE — Officer Herb Gonzales has been honored as the Port of Seattle Police Officer of the Year for 2009. The five year veteran of the department was recognized for his outstanding service to the community, including his efforts with the port's Gang Enforcement Team and courageous actions in his earning the Life Saving Award. Officer Gonzales, a resident of Bothell, was recognized as a valued member of the Port Unified Resources in Gang Enforcement Team (P.U.R.G.E.). His creation of the Gang Intelligence book assists officers in accumulating gang intelligence, resource development and gang prevention. In addition, officer Gonzales went beyond the call of duty in assisting a motorist suffering from a heart attack by rendering CPR until aid units arrived. His actions were recognized when he was honored with the Department's Life Saving Award.


NEWS BULLETIN
Thursday, March 5, 2009

Greenbrier in talks with GE
over long-term railcar contract

LAKE OSWEGO — The Greenbrier Companies has disclosed it is in discussions with General Electric Railcar Services Corporation (GE) concerning potential modifications to a long-term contract for GE's purchase of 11,900 newly built tank and covered hopper cars over an eight-year period. GE has advised the company it desires to substantially reduce, delay or otherwise cancel railcar deliveries under the contract. Greenbrier believes the contract contains adequate protection in the event of an attempted cancellation or renegotiation of railcar deliveries. The 11,900 railcars under the contract represent about 75 percent of the company's current new railcar manufacturing backlog.


Puglia Engineering expanding
Port of Bellingham operations

BELLINGHAM — Puglia Engineering's Fairhaven Shipyards plans to hire about 90 new employees this year as it expands into an adjacent space and prepares its second dry-dock for operation. The shipyards already employ more than 110 people locally. The Port of Bellingham's Board of Commissioners has approved the expansion into the former Arrowac Fisheries building and surrounding property with a modification of Puglia's original 2002 lease. This lease continues until 2015. Earlier this year, Fairhaven Shipyards acquired a second dry-dock, the Faithful Servant, from China and moved it to Bellingham. Company officials said they invested about $12 million in private funds to purchase the semi-submersible barge that will be used as a dry dock. The company is in the process of upgrading and modifying the Faithful Servant in preparation for its use. The company will be hiring new supervisory and estimating positions to gear up for operating two dry docks.


NASSCO delivers latest
T-AKE vessel to US Navy

SAN DIEGO — On March 4, General Dynamics NASSCO, a wholly owned subsidiary of General Dynamics, delivered USNS CARL BRASHEAR (T-AKE 7) to the U.S. Navy. The ship is named in honor of the first African-American to qualify and serve as a Master Diver. Mr. Brashear's life story was portrayed in the 2000 movie Men of Honor. Construction of the USNS CARL BRASHEAR began in May 2007. NASSCO has incorporated international marine technologies and commercial ship-design features into T-AKE-class ships, including an integrated electric-drive propulsion system, to minimize operating costs during their projected 40-year service life. With a cargo capacity of more than 10,000 tons, the primary mission of T-AKE ships is to deliver food, ammunition, fuel and other provisions from shore stations to combat ships at sea. Including the CARL BRASHEAR, NASSCO has delivered the first seven ships of the T-AKE class and has construction contracts for five additional ships.


AAPA taps Jane Harman
as 'Port Person of the Year'

ALEXANDRIA, VA — U.S. Congresswoman Jane Harman (D-CA) will be honored as the American Association of Port Authorities' (AAPA) "Port Person of the Year" at the port association's annual Washington People's Luncheon on March 24 in Washington, D.C.'s historic Willard InterContinental Hotel. AAPA - a trade association comprising the leading port authorities in the Western Hemisphere - selected Rep. Harman to receive its most prestigious annual award based on her role in authoring the SAFE Port Act of 2006 and for advancing other significant legislation to ensure the safety and security of America's seaports and the commerce flowing through them. In addition to receiving AAPA's "Port Person" award, Rep. Harman will serve as the luncheon's keynote speaker.


Hillsboro Airport committee
sets public meeting for March 11

PORTLAND — The Port of Portland reports the Hillsboro Airport Issues Roundtable will meet from 5:30-8 p.m. Wednesday, March 11 in room 113 B/C of the Civic Center at 150 E. Main Street in Hillsboro. The public is encouraged to attend the meeting; public comment is welcome. The committee will receive a progress update on studies for the Hillsboro Airport Parallel Runway Environmental Assessment. The presentation will include a summary of alternatives, status of the evaluations for the environmental issues being studied, and the EA timeline. There will be time for public comment and questions. HAIR members will also discuss plans for an April retreat. The city of Hillsboro donates space for the meetings in its downtown Civic Center. Free parking is available, and the site is accessible by the TriMet MAX Blue Line at the Hatfield Government Center Station. Hillsboro Airport has more than 230,000 operations annually and is the state’s second busiest airport. The facility supports jet, propeller aircraft, and helicopter operations. HAIR is the official forum for discussions about operational issues related to the airport.


NEWS BULLETIN
Wednesday, March 4, 2009

Port of Tacoma finishes
Tideflats Terminal analysis

TACOMA — The Port of Tacoma reports it has completed analyzing potential environmental impacts of planned Tacoma Tideflats terminal, road, rail and utility infrastructure developments. The final Environmental Impact Statement for the Blair-Hylebos Peninsula Terminal Redevelopment is part of the environmental review process conducted under the Washington State Environmental Policy Act (SEPA). Elements of the redevelopment plans for the Blair-Hylebos Peninsula include:
• Relocating Totem Ocean Trailer Express to a newly developed terminal
• Building a new international container terminal
• Widening a section of the Blair Waterway
• Lengthening a wharf at Washington United Terminal
• Improving road, rail and utility infrastructure
• Improving and restoring wildlife habitat
The final Environmental Impact Statement is available for review on the port's website at www.portoftacoma.com/feis, at the Tacoma Public Library, Pierce County Library System or Washington State Library headquarters, and at the Port of Tacoma administrative building at One Sitcum Way in Tacoma. The Port of Tacoma is an economic engine for South Puget Sound, with more than 43,000 family-wage jobs in Pierce County and 113,000 jobs across Washington state connected to Port activities. A major gateway to Asia and Alaska, the Port of Tacoma is among the largest container ports in North America, handling more than $36 billion in annual trade and almost two million TEUs (20-foot equivalent container units). The port is also a major center for bulk, breakbulk and project/heavy-lift cargoes, as well as automobiles and trucks.


Seattle Port Commission
moving meeting to Ballard

SEATTLE — In a continued effort to bring issues important to the community closer to those involved, the Seattle Port Commission will hold a special business meeting on Tuesday, March 10, at the Nordic Heritage Museum, 3014 NW 67th St., in Ballard. This meeting will cover topics related to Seattle's working waterfront and Viaduct replacement options, along with other regular business. The March 10 meeting will consist of two panel discussions, which include several industry leaders and professionals. The first panel will discuss Fishermen's Terminal and the second panel will discuss Viaduct replacement options. The format allows the panelists and the commissioners to engage in a give-and-take conversation and provides an opportunity to ask questions and explore issues in greater depth.


Bellingham Port Commissioners
Ok innovation zone construction bid

BELLINGHAM — Over $1 million in construction work will begin within a few weeks in The Bellingham Waterfront District. The Port of Bellingham's Board of Commissioners has unanimously approved a construction bid to transform a section of the former Georgia Pacific Tissue Warehouse into a specialized research, development and training area The Waterfront Innovation Zone: Technology Development Center will be the first construction project in The Waterfront District. Earlier this year, the commission approved a lease with Western Washington University so that its Engineering Technology program can move into the space to begin the first Innovation Zone project to build a light weight hydrofoil that will be used by Bellingham's All American Marine in its passenger ferries. That work is funded by a $125,000 grant to Western from All American Marine and Pacific International Engineering. The commission also approved a lease agreement with Bellingham Technical College that will allow the college to offer industrial and technical trades training at the Innovation Zone facility. The commission also formally adopted the name for the Innovation Zone as Waterfront Innovation Zone: Technology Development Center.


Panama Canal Authority
receives bids for new locks

PANAMA CITY — The Panama Canal Authority (ACP) has received proposals from three consortia competing to design and build new locks on the Pacific and Atlantic sides of the Panama Canal. The three consortia that submitted bids included: Consorcio C.A.N.A.L; Consortium Bechtel, Taisei, Mitsubishi Corporation and Consorcio Grupo Unidos por el Canal. The ACP will evaluate the proposals in a transparent process, and will award the contract for "best value" – 55 percent for the technical aspect and 45 percent for the bid price.


Neah Bay Coast Guard station
earns superior readiness honor

SEATTLE — Coast Guard Station Neah Bay, Wash., has received the prestigious Sumner I. Kimball Readiness Award for superior readiness. The Kimball Award is presented to Coast Guard units who have demonstrated excellence in crew proficiency, boat and personal protective equipment condition and compliance with established training documentation requirements, by earning a 90 percent or higher during an independent Coast Guard Standardization team visit. While the Coast Guard maintains a high readiness posture, only 5 to 10 percent of its small boat stations earn this coveted award each year. "The crew feels proud of their accomplishment and realizes all their hard work, dedication and motivation paid off. I am very proud of my crew and their success," said Chief Warrant Officer Jerry Farmer, commanding officer of Coast Guard Station Neah Bay. The award is named after Sumner I. Kimball, general superintendent of the Life-Saving Service, a predecessor agency of the Coast Guard. It reflects the Coast Guard's continued commitment to readiness through organization and preparedness.


NEWS BULLETIN
Monday, March 2, 2009

First day of TWIC use
takes place without a snag

SEATTLE — The Coast Guard and ports throughout Puget Sound, Wash., reported a successful first day of enforcement of the TWIC required for entry into maritime facilities on Feb. 28. The new "smart card" is an ID issued by the Transportation Security Administration and is required for access to secure areas of maritime facilities. The cards were required by workers beginning with the morning shifts of all ports. "Most of our ports here in the Pacific Northwest got off to a great start today," said Capt. Suzanne Englebert, the Coast Guard Captain of the Port, Seattle. "Of the two-hundred seventy port employees randomly inspected by the Coast Guard today, ninety nine percent had their cards and the sole remaining person was enrolled in the system but simply hadn't received their card yet." Capt. Englebert attributed the smooth start to cooperation and communication among federal and state officials, the maritime industry and labor unions. "If it weren't for the outstanding collaboration between our port partners, education to the people who will be affected by it and the foresight of all stakeholders to ensure readiness, we would not have succeeded."


MarAd holding millions
in small shipyard grants

WASHINGTON, DC — Under the terms of the American Recovery and Reinvestment Act, the Maritime Administration has received $100 million for the Small Shipyards Grant Program, which had been funded at $10 million in 2008. This program provides 75 percent federal funds with 25 percent matching funds from the shipyard for capital improvements and related infrastructure improvements which will foster efficiency, competitive operations and quality ship construction and repair. Grant funds may also be used for maritime training programs to foster technical skills and operational productivity. Of the $100 million, $75 million is reserved for shipyards with 600 employees or less and up to $25 million may be awarded to yards with up to 1200 employees. Applications must be filed by April 20, 2009 and awards must be made by the Maritime Administration by August 17, 2009. More information is available on the Maritime Administration web site, www.marad.dot.gov.


Truck tonnage index
posts gains during January

ARLINGTON, VA — The American Trucking Associations’ advanced seasonally adjusted For-Hire Truck Tonnage Index climbed 3.0 percent in January 2009, marking only the second month-to-month increase in the last seven months. Still, the gain did little to erase the revised 7.8 percent contraction in December 2008. In January, the seasonally adjusted tonnage index equaled 104.7 (2000 = 100), its second-lowest level since October 2002. In January, the not seasonally adjusted index fell 4.4 percent from the previous month to 97.2.


Carriers agree to suspend
Montreal to Europe service

HONG KONG — As a result of economic developments, members of the St. Lawrence Coordinated Services (SLCS) have advised that the Route-3 service from Montreal to Europe (Hapag-Lloyd’s SLCS3 service and OOCL’s GEX3 service) will be temporarily suspended, with immediate effect. The SLCS Route-1 service (SLCS1/ GEX1) will be upgraded through the injection of additional tonnage, allowing Liverpool to be added to the existing weekly rotation. New port rotation is as follows: Liverpool/ Antwerp/ Southampton/ Le Havre/ Montreal. The Route-2 weekly service (SLCS2/ GEX2) covering Hamburg and Antwerp will remain unchanged. The SLCS has been in operation for more than 30 years. SLCS members include Hapag-Lloyd (Germany) and OOCL (Hong Kong).


Point Defiance ferry run
will continue with smaller vessel

POINT DEFIANCE — The Point Defiance/Tahlequah (Tacoma to south Vashon Island) route will continue to operate at reduced capacity with the 34-car HIYU through early next week. Crews have discovered a boiler problem on the 48-car RHODENDRON that must be repaired before the vessel can return to service. The RHODENDRON was removed from service on Jan. 5 for scheduled maintenance and its annual inspection. The vessel was scheduled to return to the Point Defiance/Tahlequah route last weekend. However, during U.S. Coast Guard-required testing on Thursday, Feb. 26, crews discovered a leak in the vessel's heating boiler. To repair the leak, crews need to disassemble the sectional-type boiler, replace the gaskets, reassemble the boiler, and retest it. It is anticipated that the vessel will be ready to return to service on March 3.