AAPA Seaports Advisory
October 17, 2024
Earlier this month, the Illinois International Port District (IIPD) and Port of Chicago were facing supply chain disruptions due to labor strikes at East Coast and Gulf ports, with several empty shipping containers stuck at the Port. However, international cargo such as lumber and metal continued moving through the IIPD without interruption. IIPD Executive Director Erik Varela emphasized the importance of Great Lakes ports in keeping the supply chain active during such disruptions. The Port is progressing through its first-ever master plan, which focuses on sustainability, and has applied for grants to address critical infrastructure updates.
 
The Port of Cleveland board has approved the issuance of up to $15 million in taxable lease revenue bonds to support the $25.6 million Taylor Tudor Plaza Project, which is part of a $150 million revitalization of the Taylor Road neighborhood in Cleveland Heights. The project will redevelop three historic buildings into 44 apartments and 11,000 square feet of commercial space. The Ohio Historic Preservation Tax Credit was granted for the project in 2023, with work expected to begin by the end of 2024 and complete by mid-2026. Additionally, the Port will take ownership of the Gateway East parking garage and lease it to the Guardians for $35,000 per year.
 
 
   
The Port of Benton continues its focus on economic development and infrastructure improvements in 2024, with notable projects including Richland and Prosser Airport upgrades and rail facility modernization. At the Energy Communities Alliance Forum in May, Executive Director Diahann Howard emphasized the role of nuclear energy in achieving state climate goals, advocating for next-generation nuclear facilities. The Port also acquired a building in Richland to establish an advanced innovation and commercialization center, with plans to support business startups. Additionally, upcoming rail improvements will enhance safety and reduce traffic disruptions at key crossings.
 
New York City has won $260 million in federal grants from the Biden-Harris administration’s Bipartisan Infrastructure Law to fund major infrastructure projects. The grants will support the modernization of the Brooklyn Marine Terminal into a 21st-century maritime port and vibrant mixed-use community hub. Additionally, the funding will be used to construct a 1.35-mile greenway along 10th Avenue in Inwood, filling a critical gap in Manhattan's Waterfront Greenway. These projects are expected to create jobs, boost the local economy, and contribute to the city’s environmental sustainability efforts.
 
The Port of Brownsville, the only deepwater seaport on the U.S.-Mexico border, continues to expand its influence on the Rio Grande Valley’s economy. In 2023, the port handled 17.8 million tons of cargo, a 17% increase from the previous year, and generated over $41 million in operating revenues. Ongoing projects include the deepening of the Brazos Island Harbor Channel to improve ship passage and attract more investments. The port also broke ground on a $30 million business park and is constructing the Rio Grande LNG facility, projected to create over 5,000 local jobs. Additionally, the port remains a leader in renewable energy logistics, handling oversized wind energy components efficiently.
 
Port Milwaukee welcomed more than 13,500 cruise passengers during the 2024 season, with 27 vessel calls from seven international cruise ships. The season began on May 1 with the Viking Octantis and ended with Le Bellot on October 13. Mayor Cavalier Johnson highlighted the port's role as a key economic driver and announced plans for a $5-million investment in a new cruise facility at South Shore Cruise Dock, to be completed by 2026. Victory Cruise Lines will also return to Milwaukee in 2025 after a seven-year hiatus, further boosting the port’s cruising industry.
 
The American Association of Port Authorities released its 2024 Port and Maritime Industry Economic Contribution Report, revealing that U.S. ports support 21.8 million jobs and nearly $2.9 trillion in economic activity. Ports account for over 40% of U.S. goods value, with the average port and maritime industry employee earning almost $100,000 annually, 20% higher than the national average. The report, developed in collaboration with Ernst & Young using government data, underscores the vital role ports play in the U.S. economy, urging continued federal investment in port infrastructure.
 
Find a one-page summary or dig into the full report here.
 
 
   
A capital investment strategy (CIS) is a long-term financial plan focusing on large-scale projects and improvements to a port’s infrastructure, equipment, and its facilities. This edition explores the findings from Kevin Beardsley and Ceasar Duarte’s Port Professional Manager (PPMÒ) capstone project on developing a CIS for mid-sized U.S. ports. The paper "Optimizing Capital Investment Strategy" is meant to help other port professionals recognize the importance of this planning process and understand that it can start at the most basic level, as demonstrated by their ports, rather than be perceived as an overwhelming task.
 
Kevin Beardsley is the Chief Financial Officer at the Duluth Seaway Port Authority (DSPA). Since joining the DSPA in December 2014, Kevin has overseen all financial activities and planning for the organization. He is a Certified Public Accountant with more than 30 years of experience in financial analysis, accounting, taxation, and strategic planning.
 
Ceasar Duarte is the Director of Engineering and Operations at the New Bedford Port Authority (NBPA). Since joining the NBPA in 2019, Ceasar has played a pivotal role in the Port of New Bedford’s revitalization. Ceasar's responsibilities include coordinating and managing all construction, inspection, dredging, maintenance and engineering activities at the Port.
 
Kevin's expertise in financial analysis and management and Ceasar's expertise in engineering and operations provided an opportunity for them to identify best practices for developing a port-specific CIS from two different perspectives. Their paper explored the need to balance revenue maximization and strategic alignment with a port’s mission, risk management, ethical considerations, the impact of the global economy, and local community engagement for a successful CIS.
 
Their findings provide valuable insights for port professionals looking to implement a CIS that drives profitability, growth, and long-term success. If you are interested in becoming a PPM or learning more about AAPA’s professional development programs and initiatives, contact Shannon McLeod at smcleod@aapa-ports.org.
 
 
   
The 113th AAPA Annual Convention & Expo, starting in 10 days, will host a number of exciting ancillary events:
 
 - Working Session: Reducing Barriers to Planning for Port Resilience
 - Harbors & Nav Meeting
 - New England Port Happy Hour
 - SCP Lunch
 - Fenway Park's Port Industry Social – Sponsored by Shell Energy, Boldyn Networks, and Deloitte
 - Fenway Park Tour (Register by October 21st)

Check out the details for each event and register today!
 
Organizational Development Resource Group, LLC
Case Study - How AI-Enhanced Data Fuels Port Growth
Everstream AI®
Port and terminal operators rely on Everstream Analytics to build operational data foundations that deliver value from day one. Everstream’s AI-powered platform analyzes and uncovers opportunity hidden in your vessel, cargo, yard equipment, carbon intensity and productivity metrics data. Improve cargo handling efficiencies, minimize dwell times, streamline operations, and grow your business with Everstream Analytics.
Unlock Port Growth
Advertisement
The 113th Annual Convention & Expo begins in Boston in just 10 days. Are you registered?
 
Ninety-two ports are registered making this the largest group of ports to ever attend an AAPA event. There will be more port executives and port professionals gathered than ever before. Don't miss the extensive opportunities to network, conduct business, and forge relationships at the 2024 Annual Convention & Expo. Register today. Onsite registration will also be available.
 
The Port of Bellingham, in collaboration with the Port of Seattle, has successfully removed Per- and Poly-fluoroalkyl Substances (PFAS) from airport fire trucks and transitioned to fluorine-free foam (FFF) for firefighting at Bellingham International Airport. PFAS, previously used in firefighting foams, is known for its environmental persistence and potential health risks. The new FFF provides similar fire suppression capabilities without the harmful environmental impact. This initiative reflects the Port's commitment to sustainability and protecting the local ecosystem while ensuring safety during aircraft emergencies.
 
 
   
Port Everglades and Royal Caribbean Group have extended their Passenger Terminal and Berth User Agreement through September 2030, with an additional five-year renewal option. This agreement, approved by the Broward County Board of Commissioners, strengthens a 25-year partnership and includes plans for facility upgrades at Cruise Terminal 29. The extension is expected to generate $581.9 million annually for the local economy and support over 4,000 jobs. Port Everglades will host 1.3 million passengers and 355 vessel calls annually from 2027 to 2030. Royal Caribbean Group's three cruise lines — Royal Caribbean International, Celebrity Cruises, and Silversea — operate at the port.
 
Naylor Association Solutions
OptiRiver
The Montreal Port Authority (MPA) announced that an overtime strike initiated by the Longshoremen’s Union CUPE, Local 375, began on October 10, 2024. While all terminals remain operational, longshoremen will not work overtime, potentially causing delays and backlogs in handling containers. Approximately 50% of goods transiting through the port, including essential items like food, medical products, and industrial raw materials, could be impacted. The MPA has implemented a business continuity plan and remains hopeful for a timely resolution to minimize disruptions to the logistics chain.
 
 
   
The Georgia Ports Authority (GPA) announced plans to add 50 acres of paved vehicle storage at Colonel’s Island Terminal in Brunswick to accommodate growing Ro/Ro (Roll-on/Roll-off) trade. This expansion follows the recent addition of over 120 acres and will be operational by summer 2025. The project is part of a broader $262 million investment to enhance storage and processing facilities. Additionally, the U.S. Army Corps of Engineers will begin harbor improvements, including dredging and increasing vessel safety, backed by $38 million in federal funding. Brunswick handled over 870,000 units of Ro/Ro cargo in fiscal year 2024.
 
Green Marine
Great Lakes Dredge & Dock Company, LLC
Maritime Logistics Professional
 
Hurricane Milton caused an estimated $200 million in damage to SeaPort Manatee
Stuart Chirls
Freightwaves
 
AJOT
 
Despite rapid expansion, clean power needs to scale up faster to get on track for net-zero emissions, the International Energy Agency warns
Giulia Petroni
Wall Street Journal
 
Michael Angell
Journal of Commerce
 
John Micklethwait and Nancy Cook
Bloomberg
 
Stas Margaronis
AJOT
 
Maritime Executive
 
22
Oct 2024
 
Time: 2:00-3:00 pm ET
For more information or a link to attend, please contact AAPA Staff Liaison, Ian Gansler.
27
Oct 2024
 
October 27-30, 2024, Boston, MA
Register Here 
28
Oct 2024
 
Time: 11:30 am - 1:00 pm ET
Location: Westin Boston - Seaport District, Lewis room
To make plans to attend, please ensure that you are registered for Annual Convention.
For more information, please contact AAPA staff liaison, Melodie George.
28
Oct 2024
 
Time: 1:00-2:00 pm ET
Location: Westin Boston - Seaport District, Carlton room
To make plans to attend, please ensure that you are registered for Annual Convention.
For more information, please contact AAPA staff liaison, John Bressler.
28
Oct 2024
 
Time: 1:30-5:00 pm ET
Location: Westin Boston - Seaport District, Paine room
To make plans to attend, please ensure that you are registered for Annual Convention
For more information, please contact AAPA staff liaison, Shannon McLeod.
14
Nov 2024
 
Time: 2:00-3:00 pm ET
For more information or a link to attend, please contact AAPA staff liaison, Liz Mancini.
Orion Marine Group