Inland Port
September/October 2010
TransPORT The Heart of Illinois Port District Sets its Sights on a Bright Future
Tri-City Port TIGER Grant Marine Highway Funds Awarded Strong Year for Port of Duluth-Superior
IP Editorial Board
Jennifer Carpenter American Waterways Operators Sr. Vice President-National Advocacy, AWO www.americanwaterways.com
INLAND PORT MAGAZINE September/October 2010 Volume II, Number V ISSN 2156-7611
HJP
Published bimonthly by
Debra Colbert Waterways Council Communications Manager, Waterways Council www.waterwayscouncil.org
Hudson Jones Publications, LLC Houston, Texas • Tulsa, Oklahoma 281-602-5400 Editor Daron Jones djones@inlandportmagazine.com
Keith Garrison National Waterways Conference Executive Director, Arkansas Waterways Commission www.waterways.org www.waterways.dina.org
Michael Gerhardt Dredging Contractors of America Assistant Executive Director, DCA www.dredgingcontractors.org
Michael McQuillan Inland Rivers, Ports & Terminals Vice President, Hanson Professional Services www.irpt.net
Director of Advertising Jo Anne Hudson jhudson@inlandportmagazine.com
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Inland Port September/October 2010 • Volume II, Issue V
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Tri-City Port Celebrates TIGER Grant, Groundbreaking
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Virginia Port Authority Among Those Receiving Marine Highway Funds
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Twin Ports Shipping Season Heads into Home Stretch
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By Dennis Wilmsmeyer, Tri-City Regional Port Executive Director
TransPORT: An Engine for Today’s Fast-Moving Marketplace
The Heart of Illinois Port District, covering six counties, is laying plans to become a major economic force for the region
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Risk and reward
Maritime Crane Accidents Bring Calls for Better Training & Maintenance Programs By C. Daniel Negron, of Thomas Miller (Americas)
20 Combined Port Meeting a Hit in Arkansas 21 AWO’s Commitment to the Environment
By Jennifer A. Carpenter, American Waterways Operators
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22 Multibeam Sonar Helps Secure Your Supply Chain
Substructure teams with New Hampshire Port Authority for Survey
24 WCI Urges Obama to Invest in America’s Future: The Marine Highway By Debra A. Colbert, Waterways Council
26 Alabama’s Upper Bay Turning Basin Unveiled 29 Port of New Orleans Welcomes Fay as New Chairman 32 Interview with Steve Jaeger THE LAST WORD
Executive Director, Heart of Illinois Regional Port District
On The Cover
Barges moving cargo through the TransPORT region. The Heart of Illinois Port District is yet another good example of how inland municipalities can strengthen their economic bases with port facilities. Photo by CD Patterson.
Inland Port
September/October 2010
TransPORT The Heart of Illinois Port District Sets its Sights on a Bright Future
Tri-City Port TIGER Grant Marine Highway Funds Awarded Strong Year for Port of Duluth-Superior
Tri-City Port Celebrates TIGER Grant, Groundbreaking
A $6 million TIGER Grant Helps Fund South Rail Loop Project, which will be an Integral Part of the Port’s New Intermodal Hub By Dennis Wilmsmeyer, Tri-City Regional Port Executive Director
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llinois’ Tri-City Regional Port District was recently awarded a $6 million Transportation Investment Generating Economic Recovery (TIGER) grant that will fund construction of a new South Rail Loop. The Port Ditsrict celebrated the grant with a ceremonial ground-breaking for the project, which represents a significant step forward in the plans for the Southwestern Illinois Regional Intermodal Freight Transportation Hub. The overall project will incorporate a new inland waterway barge harbor to be known as the South Harbor.
DIGNITARIES ON HAND FOR GROUNDBREAKING US Secretary of Transportation Ray LaHood and US Congressman Jerry Costello were on hand for the event, along with state legislators, leadership and tenants from TriCity Regional Port District and dozens of other civic and business leaders from across the Metro East. TIGER grants are part of the American Recovery and Reinvestment Act (ARRA). In September of 2009, the Tri-City Regional Port District applied to receive one of these grants 4
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September/October 2010
structure within the Port. Grading would from the Maritime Administration – US also accommodate construction of two Department of Transportation in order additional industry tracks. One of these to help fund construction of the planned would be used to serve the dry bulk hanintermodal hub and connecting rail lines. dling facility while the other would serve The $6 million awarded will fund not the liquid bulk handling facility. only the South Rail Loop, but also 10 LeThe project will have immediate utility vee Relief Wells that are integral elements by supporting existing rail operations and of the new intermodal hub. increasing rail car track capacity in order “The TIGER grant was critical in getto optimize the flow of intermodal goods. ting this overall project off the ground, but The benefits will be quickly felt by the individual projects moving forward existing developments along the tracks, at this time each have independent utility that will benefit our US Department of existing tenants,” Transportation noted Dr. Charles Secretary Ray LaHood King, Jr., chairman and Congressman Jerry Costello are of the Tri-City Rewelcomed by state gional Port District. legislators and the “Looking to the Tri-City Port Board of Commissioners. future, the work getting underway today will provide a foundation which will support the anticipated near term development of our comprehensive intermodal hub, a project which will create a number of new jobs and significantly advance our region’s role as a prime Midwest logistics center.” The port’s role as a job-creating engine for the region was also touted by Congressman Costello. “There are more private sector such as Abengoa Bioenergy’s ethanol jobs at River’s Edge today than there were manufacturing plant, which relies on rail government jobs when it was the Army transport for both inbound corn and outSupport Center. This funding will support bound ethanol and dried distiller’s grain important waterway infrastructure imcommodities. provements at the Port which in turn will The additional trackage will allow support future growth. These infrastrucexisting developments, such as Abengoa, ture investments create the environment to operate more efficiently and cost effecwhere job creation happens.” tively by providing the flexibility necessary to provide timely response to volatile commodities markets through increased rail RAIL LOOP A HUGE STEP FORWARD storage availability. The new South Rail Loop will provide The Levee Relief Wells are also integral 9,600 track feet of new main line rail that elements of the South Harbor design, conhas been designed to support the interstruction and operation and are required modal transfer of commodities within the by the US Army Corps of Engineers. With planned South Harbor. the increased under-seepage that will be The initial main line track will provide experienced due to the South Harbor excathe essential link connecting the planned vation, the existing wells and other already South Harbor to the existing rail infraSeptember/October 2010
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planned upgrades will not be enough to support construction on the project. Adding additional relief wells prior to any excavation taking place on the river side of the levee is mandatory for the South Harbor project. Ten relief wells will be funded through the TIGER grant and will increase the safety factor of the levees. “We greatly appreciate the Maritime Administration and US Department of Transportation’s confidence in this project as demonstrated through this initial
grant,” notes Dr. King. “And we also want to thank Congressman Costello for his strong support of our application. We’re excited to have the Congressman and Secretary LaHood with us to get this project underway.”
LAHOOD TOUTS PORT’S ROLE IN ECONOMIC RECOVERY Congressman Costello introduced Secretary LaHood, recounting how this TIGER grant was one of only three that were awarded in the state of Illinois and that Secretary LaHood had told him personally that he wanted to be onsite to present the check and break ground for the project. Secretary LaHood commented on the project’s impact, noting: “In a moment, when we put shovel to dirt, we begin work 5
on a state-of-the-art on-ramp to America’s inland marine highway system. But this morning we also take another step down the path toward economic recovery and renewal in Illinois, Missouri, and across the Midwest.”
AND THEY’RE NOT DONE YET While the ground breaking on the South Rail Loop is cause for celebration, Tri-City Port is anxious to secure the additional funding necessary to proceed with the remainder of the project. The Port District has already submitted a TIGER II application for the development of a new harbor. In all, the Tri-City Port is looking for $12.8 million in federal funds, to be matched with a State of Illinois grant for $4 million, to construct a new barge harbor south of Locks #27, on the free-flowing Mississippi River. The overall Intermodal Hub Project is expected to have significant benefits that far outweigh the estimated total cost of $23 million. The total economic impact is
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estimated at $1.24 billion. Originally created in 1959, Tri-City Regional Port District’s activities include loading or unloading 2,500 barges a year; rail and truck bulk transfer facilities for
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agricultural products, steel, fertilizer and asphalt; foreign trade zone operations; commercial warehousing; industrial development; office space leasing; recreational facilities; and military-family housing. IP
September/October 2010
Virginia Port Authority Among Those Receiving Marine Highway Funds U
S Transportation Secretary Ray LaHood recently announced $7 million is being awarded to the Mississippi Department of Transportation, the Virginia Port Authority, and the Tennessee-Tombigbee Waterway Development Authority to support the transportation of marine cargo between US ports. The announcement came just weeks after LaHood unveiled America’s Marine Highway program, a new initiative to move more cargo on US waterways. The money will help expand an existing marine highway operation in the Gulf of Mexico between Texas and Florida, as well as one on the East Coast between Richmond and Hampton Roads in Virginia. The money will also help start an entirely new all-water service on the Tennessee-Tombigbee Waterway between Itawamba, Mississippi and the Port of Mobile, Alabama. “These projects demonstrate how water transportation can help solve some of our toughest transportation challenges,” said Secretary LaHood. “Transporting goods by water will let us reduce congestion and greenhouse gas emissions.” “This is a key opportunity to demon-
September/October 2010
strate the benefits and viability of moving freight on the water,” said David T. Matsuda, Maritime Administrator. “These grants will help a long overlooked means of transporting goods finally grow.”
AND THE LUCKY WINNERS ARE... Projects receiving grant funding are: The Cross Gulf Container Expansion Project (Sponsored by the Ports of Brownsville, Texas and Manatee, Florida): This project, along Marine Highway Corridor 10, was awarded $3.34 million to help modify two barges and purchase equipment that will result in diesel fuel savings of nearly 70,000 gallons per one-way trip, 2.7 million gallons each year and save 18 million miles annually. The James River Container Expansion Project (Sponsored by the Virginia Port Authority): This project was awarded $1.1 million for the purchase of two barges on Marine Highway Corridor 64 that is already eliminating 6,000 trucks from local highways will remove gridlock from some of the 130,000 trucks traveling between the Hampton Roads container terminals and rail terminals. The existing container-on-barge serwww.inlandportmagazine.com
vice between Hampton Roads and Richmond, Virginia will grow to three sailings each week by increasing the frequency of service and starting a new inter-terminal barge shuttle between terminals in Hampton Roads. The Tennessee-Tombigbee Waterway Pilot Project (Sponsored by the Port of Itawamba, Mississippi): This project, on Marine Highway Corridor 65, was awarded $1.76 million to help purchase and modify nine barges for a new container transportation service on an allwater route between the Port of Itawamba, Mississippi on the Tennessee-Tombigbee Waterway and the Port of Mobile, Alabama eliminating more than 4,400 truck trips each year.
LAUNCHING MORE MARINE HIGHWAYS An additional $800,000 will be used to help further study potential marine highway concepts around the country. West Coast Hub-Feeder and Golden State Marine Highway ($275,000): The West Coast Hub-Feeder concept proposes services along the US West Coast between Southern California and the Pacific Northwest, including ports 7
along the route. The Golden State Marine Highway Initiative proposes services along the California Coast and calling on thirteen ports between Crescent City and San Diego, California. Illinois-Gulf Marine Highway Initiative ($275,000): This initiative proposes container-on-barge services between Peoria, Illinois and Gulf Coast seaports, creating a new container shipping option between these regions. East Coast Marine Highway Initiative and New Jersey Marine Highway Platform ($250,000): The East Coast Marine Highway Initiative proposes to begin a coastal marine service paralleling Interstate 95 and serving areas including Port Canaveral, Florida; Baltimore, Maryland; and New Bedford, Massachusetts, and potentially other East
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Coast ports as the effort evolves. The New Jersey Marine Highway Platform proposes expansion of water transportation to help move the significant volumes of freight within New Jersey and along interstate routes between ports along the Eastern Seaboard as well.
INSIDE THE MARINE HIGHWAY PROGRAM In August, LaHood identified 18 marine corridors, eight projects, and six initiatives for further development as part of America’s Marine Highway Program. The Marine Highway Program was fully implemented in April 2010 through publication of a Final Rule in the Federal Register. The Secretary’s designations were made pursuant to the Final Rule, as required by the Energy Independence and Security Act of 2007.
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CORRIDORS, CONNECTORS, AND CROSSINGS These all-water routes consist of 11 Corridors, four Connectors and three Crossings that can serve as extensions of the surface transportation system. These corridors identify routes where water transportation presents an opportunity to offer relief to landside corridors that suffer from traffic congestion, excessive air emissions or other environmental concerns and other challenges. Corridors are generally longer, multistate routes, whereas Connectors represent shorter routes that serve as feeders to the larger Corridors. Crossings are short routes that transit harbors or waterways and offer alternatives to much longer or less convenient land routes between points. By designating these Marine Highway
September/October 2010
Corridors, Connectors and Crossings, Secretary LaHood took the first step to focus public and private efforts to use the waterways to relieve landside congestion and attain other benefits that waterborne transportation can offer in the form of reduced greenhouse gas emissions, energy savings and increased system resiliency.
MARINE HIGHWAY PROJECTS AND SERVICES Secretary LaHood selected eight Marine Highway Projects for designation under the program. These projects represent new or expanded Marine Highway Services that offer promise of public benefit and long-term sustainability without future federal operational support. These projects will receive preferential treatment for any future federal assistance from the Department and MARAD. They will help start new businesses or expand existing ones to move more freight or passengers along America’s coastlines and waterways. The services have the potential to reduce air pollution and traffic congestion along surface corridors as well as provide jobs for skilled mariners and shipbuilders. The projects were selected from among 35 applications from ports and local transportation planning agencies received by the Department’s Maritime Administration (MARAD). Sponsors of Marine Highway Projects are eligible to compete for a share of up to $7 million in Marine Highway Grants. In addition to projects, the Secretary selected six applications that, while not developed to the point of proposing specific services and routes required of Project designation, offer promise of potential in the future. The Final Rule for America’s Marine Highway Program was published in April. For more information on the program, visit them online at www.marad.dot.gov. IP September/October 2010
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T R O P s n a r T
An Engine for Today’s Fast-Moving Marketplace The Heart of Illinois Port District, covering six counties, is laying plans to become a major economic force for the region 10
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nown as TransPORT, the Heart of Illinois Regional Port District was created by an act of the Illinois Legislature, and signed into law on July 22, 2003 by Illinois Governor Rod Blagojevich. The bill, Public Act 93-0262, created a six-county Port District in Central Illinois. The Port District encompasses over 95 miles of the Illinois River and includes Fulton, Marshall, Mason, Peoria, Tazewell, and Woodford Counties. In 2005, the Port District launched the TransPORT brand to distinguish and identify the Heart of Illinois Regional Port District initiative. TransPORT was conceived as a specialized economic development unit for transportation and logistics, which comprises one of the largest employment sectors in the area. Its mission specifies that September/October 2010
the Port District will facilitate regional growth through commercial development of transportation facilities, deployment of financing tools, and engagement of public-private partnerships to expand the economy, attract incremental investment, and create family wage jobs. TransPORT continues to work with its counties and numerous municipalities to identify development candidates along the river and beyond. Given the vast range of logistics related activities in the region, the Port looks for opportunities in the railway, motor carrier and warehousing sectors, where the participation of a public port authority can be advantageous, and produce economic benefits.
Fostering Commerce Throughout Central Illinois TransPORT’s enabling legislation mandates the responsibility to stimulate and promote commerce and the shipment of cargo within the District. It also appoints TransPORT as an advocate for legislation that supports the attraction, maintenance, and growth of businesses within the region. The goal of such initiatives is to generate jobs and real economic value to local and regional economies, while contributing to State of Illinois transportation
September/October 2010
objectives, and making the USA increasingly competitive in the world market. TransPORT’s purpose is to develop properties or facilities for business entities locating in or expanding within the territorial jurisdiction of the District, to organize and lead key transportation stakeholders in the region, to market regional trade, and to facilitate regional export and import activity.
The Illinois Waterway System TransPORT emphasizes three reasons for today’s shippers to turn to water for their inland cargo needs. They are the same reasons the entire inland waterway industry has been shouting from the highest mountains since before we can remember, and they simply cannot be repeated too many times: 1. Water transports today’s bulk commodities and intermodal cargo. 2. Water has the capacity to accommodate tomorrow’s commercial growth, and 3. Water diverts cargo from congested highways and railways. Most Americans know very little about our nation’s inland waterway system and the economic impact of goods traveling from local terminals to national and international destinations. Inland waterway
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systems are like arteries connecting the heart of the nation to the rest of the world, providing a vital highway for the import and export of life sustaining commodities. These commodities, valued at more than $23 billion, travel the 1,118 miles of Illinois Waterway annually. Nearly onethird is Illinois grain destined for export, and crucial to Illinois economy. The balance of cargo is comprised of coal and aggregates, chemicals, petroleum products and manufactured goods. The Illinois River Waterway, approximately 273 miles long, is part of the Upper Mississippi, Illinois and Mississippi River system, linking Central Illinois to the Great Lakes at Chicago, and the Port of New Orleans near the Gulf of Mexico. The Illinois River was an important water route for Native Americans, and continues its role in modern industrial shipping: In 2001, 33,669 tons of commodities made their way through the Peoria Lock, within the region of the Heart of Illinois Regional Port District. The Great Lakes and the Gulf are points of import and export connecting Central Illinois to the global economy, notably Europe, South America, and even Asia by way of the Panama Canal. Agriculture, mining and manufactur-
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ing benefit from the ability to move bulk commodities in an energy and cost efficient manner by barge. The rivers provide thousand of jobs in industries directly related to transportation, and others only peripherally related. Industry is not the only job-sustaining activity on the river, however. The US Army Corps of Engineers (USACE), estimates that recreation and tourism employ some 143,000 people and provide more than $6.6 billion in revenue from millions of visitors who
hunt, fish, boat and sightsee.
TransPORT Leadership The Heart of Illinois Port District’s Board of Directors is made up of one representative appointed by each of the six constituent counties, and three members appointed by the Governor with the consent of the Illinois State Senate. Each member offers many years experience working in different industries such as law, banking, transportation and economic development.
Dan Silverthorn (Chairman) – Mr. Silverthorn contributes extensive construction and consulting knowledge to the Board. Dan has over 40 years of experience in the Union Construction Industry and serves as the Executive Director for West Central Illinois Building and Construction Trades Council. As Executive Director, he manages the day-to-day operations of the Council that covers a thirteen county area in West Central Illinois, includes 62 local unions, and has more than
Barges moving cargo through the TransPORT region. Photos by CD Patterson.
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September/October 2010
15,000 members. Earl (Sandy) Moldovan, P.E. (Vice-Chairman) – As a Principal with AECOM, a world leader in providing architectural and engineering services, Mr. Moldovan brings his professional engineering background to the Board. Al Covington (Treasurer) – Mr. Covington is currently Senior VicePresident for Illinois National Bank, and has more than 30 years of banking experience, primarily in commercial lending. Peoria County Representative, Beth Jensen (Secretary) – Ms. Jensen is a member of the law firm Kavanagh, Scully, Sudow, White & Frederick, P.C. She concentrates her practice in school, labor and employment, and municipal law. Tazewell County Representative, Randy Belsley – Mr. Belsley brings over 20 years work experience in both the public and private sectors, primarily in the fields of community development, economic development, and business development. Woodford County Representative, Bill Christ – Mr. Christ serves as a Director on the Illinois Corn Marketing Board, is a member of the Snyder Village Nursing Home Board, and also serves as Republican Chairman in
September/October 2010
Woodford County. Fulton County Representative, Kent Kowal – Mr. Kowal has been at the Bank of Farmington since 1971, and has served as bank president since 1990. Mason County Representative, Terry Svob – Mr. Svob is Economic Development Coordinator for the City of Havana. He comes to the economic development field with the experience of a former manufacturing plant manager and business owner. Marshall County Representative, Neil Pobanz – Mr. Pobanz is the Airport Manager at Marshall County Airport in Lacon, Illinois. He is a Senior Technical Consultant for a worldwide aircraft owner’s organization. TrasPORT also boasts a strong staff, led by Executive Director Steve Jaeger. He was chosen as Executive Director of TransPORT in 2006. Prior to that, Steve was Director of Marketing for the Port of Houston Authority at Houston, Texas from 19861989 and had earlier assignments in marketing and operations for private sector ship-owners Wilhelmsen Lines and Orient Overseas Container Line in Chicago, New York and Houston. He was employed for 15 years by
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the Port of New Orleans as Director of Marketing and Director of Operations until 2004.
Spreading the Word TransPORT will continue to promote America’s inland waterway system as a market solution for a wide variety of goods. Cargos such as furniture, milk, computers, clothes, bricks, waste, recyclables, and oversized indivisible loads can utilize rivers over long and short hauls. The reliability and predictability of regular barge services, along with lower cost and environmental benefits, compensate for the benefit of speed. One of the features of river commerce is the availability of intermodal support, that is, a system of ports that allow simplified transfer of cargo to train and truck to complete door-to-door delivery. Barges carrying containers augment the commercial versatility of the usual bulk commodity cargo seen on most USA rivers. Even commodities like grains, which dominate the Illinois economy, are beginning to utilize container shipping and TransPORT is poised to enhance this growth. IP
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Twin Ports Shipping Season Heads into Home Stretch 14
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September/October 2010
The Federal Leda loading grain in late August at CHS, the port’s largest grain terminal, located on the Superior, Wisconsin side of the harbor.
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he Port of Duluth-Superior is heading into the final months of the 2010 shipping with maritime leaders anticipating a strong finish. Recent tonnage reports indicate a 25 percent overall increase in YTD shipments, plus a robust grain trade that has already posted a staggering 89 percent increase over last year’s figures. Through September, over 26.5 million short tons of cargo have moved through the Twin Ports. When the bottom fell September/October 2010
out of the economy in 2009 and steel production slowed, shipments of raw materials dropped dramatically. But a critical demand for iron ore and coal on the Lower Lakes drove sharp increases early in 2010. Through the first three quarters of this navigation season, iron ore shipments through Duluth-Superior continued to rebound and, while still lower than peak levels of 2008 and five-year averages, indicate a 69 percent improvement over www.inlandportmagazine.com
last year – mirroring increased pellet activity across the Great Lakes. But the grain surge remains the top story for this port. Up 15 percent over fiveyear averages, year-to-date shipments rose 89 percent over the same time last year. In September alone, the Port experienced a 123 percent increase in outbound grain shipments. Those cargoes – primarily durum wheat and spring wheat headed to Europe, North Africa and the Middle East – nearly doubled in response to shortages 15
created by a Russian ban on grain exports this year. “During a single week last month, we had 17 ships loading grain and/or at anchor waiting for a berth to open up,” noted Adolph Ojard, executive director of the Duluth Seaway Port Authority. “Grain from farmers’ fields in the Dakotas and Minnesota feeds people around the world. This surge is a valuable reminder of the key role played by our inland port and the Great Lakes-St. Lawrence Seaway in the global marketplace.” 16
New Commissioner, Two New Officers Rick Revoir was recently appointed by the Duluth City Council to the Duluth Seaway Port Authority Board of Commissioners. He will complete the remaining two years of a six-year term held previously by Thomas A. Clure, who passed away in May. Since 2004, Revoir has been an assistant professor in the School of Business & Technology at the College of St. Scholastica, teaching both accounting and health care finance courses. He taught a www.inlandportmagazine.com
personal finance course for four years in the College’s Dignitas first-year experience program and has led several study abroad trips to China. Prior to joining St. Scholastica, he worked for 11 years in health care finance positions at SMDC Health System in Duluth and St. Joseph’s Medical Center in Phoenix, Ariz. Revoir earned a B.A. in accounting from the University of Minnesota Duluth (UMD) and an M.B.A. from Arizona State University. He is a Certified Public Accountant (Ariz. September/October 2010
license) and is currently pursuing a doctorate at UMD. Revoir serves on the Finance Committee of St. Scholastica’s Board of Trustees and is a past member of the board of Lutheran Campus Ministry of Minnesota. He and his family live in Duluth. In addition, at the Port Authority’s board meeting on August 26, 2010, Commissioner Cal Larson (Fergus Falls) and Commissioner Lowell Hellervik (St. Paul) were elected to serve as treasurer and assistant treasurer, respectively, for the remainder of the current fiscal year. IP September/October 2010
Rick Revoir was recently appointed to the Duluth Seaway Port Authority Board of Commissioners.
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Risk and Reward
Maritime Crane Accidents Bring Calls for Better Training & Maintenance Programs By C. Daniel Negron
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Vice President, Thomas Miller (Americas) Inc.
Manufacturers are pushing the crane technology envelope at an amazing rate. Operator training must keep pace to ensure safety.
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n recent years, news accounts have provided spectacular on incidents involving the collapse of construction equipment atop residential structures. These reports of cranes causing injuries to innocent bystanders and damage to adjacent structures have succeeded in capturing significant public attention. Although maritime crane accidents have not received this same visibility, at least 500 American workers were reportedly killed and many more injured between 1984 and 1994 in accidents involving cranes at maritime terminals. It is estimated that there are between 80,000 and 100,000 cranes currently operating in the maritime industries in the United States. In 1993 alone, seventynine deaths were attributed to human and mechanical errors involving cranes, derricks, hoists and hoist accessories. In a recent case, a roughneck suffered fatal injuries when he was pinned between a piece of heavy machinery and a structural beam after one of the wire ropes in the hoist being used in the operation failed. It was determined that the wire rope had become corroded, which possibly led to its failure. In another incident, a rigger was struck by a falling cable after an anti-blocking device on a crane failed. It is believed that the device may have been damaged during a previous operation, but was not properly repaired before the unit was restored to service. Studies have been conducted to identify the underlying causes of crane accidents. One report lists some of the more common causes involving mechanical error. These include: • Overturn, • Rigging failure, • Boom buckling or collapse, • Failure of crane pedestals, • Engine or power source malfunction. Researchers have determined that equipment failures result from factors such as an insufficient number of inspections, a lack of preventive maintenance and inadequate equipment repairs. One insurer, TT Club, recently undertook September/October 2010
to evaluate the causes for the crane accidents reported by its assureds. TT Club’s analysis revealed that there were a significant number of structural equipment failures that resulted in costly repairs, operational downtime and serious injuries. As a result of its findings, TT Club has recommended; • That operators establish a program of regular maintenance and thorough examination of all lifting appliances. These should be conducted in accordance with national regulatory standards. If there are no uniform national standards, then the examinations should be conducted in line with international standards, such as the ILO Convention 152 and its accompanying code of Practice. • That purchasers secure independent examinations when purchasing a crane. • That operators establish a regular mechanical and electrical inspection program on all heavy equipment. These examinations should be conducted at least once a year, although as cranes get older, the frequency of the inspections should increase. • That operators establish a strict maintenance policy for all heavy equipment. This will maximize the unit’s useful life while minimizing unplanned downtime. • That anyone involved in a crane incident ensure that they conduct a standard check of the structural integrity of the crane after the incident and before returning the unit to operation. TT Club representatives point out that regular crane examinations actually save money in the long term, help minimize downtime, and most importantly, save lives. Human error has also been cited as a significant contributor to crane accidents. In one incident, a worker died as he was lowered by a crane to detach the mooring lines of a workboat. He fell into the Gulf and drowned when the cable to which he was attached slipped off the crane hook. It was found that the hook had not been equipped with a proper safety latch. In another case, a crane boom failed due to overload when the boom was improperly positioned by the crane operator to offload a rig. Although this event did not result in any serious injury, it did cause significant damage to the crane. Among the most cited reasons for accidents attributed to operational error are: • Inadequate training, experience or supervision of operators and line workers, • Inadequate communication between the crane operator and the rigger, • Improper assembly or dismantling, • Dropped loads, September/October 2010
• Improper lifting techniques, • Inadequate handling procedures. At least one crane accident workgroup has recommended that the industry establish formal training programs specifically aimed at crane operators, and specifying minimum experience requirements for both operators and riggers. They also recommend the establishment of load handling procedures and specific criteria for operating limits and curtailment criteria when rough sea, poor weather conditions or other circumstances warrant it. Commentators are unanimous in their view that crane accidents are preventable. However, they also agree that accident prevention must be a collaborative effort
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that involves all facets of the industry. This collaboration must include national regulators, manufacturers, suppliers, contractors, and the crane operators themselves. IP C. Daniel Negron is an attorney with more than 20 years of experience in the transportation industry. He is Vice President of Thomas Miller & Co., the managers of TT Club Mutual Insurance Limited, a specialist insurer to ports, terminal and logistics operators. You can email him at daniel.negron@thomasmiller.com.
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Josh Hendricks christens the new crane barge with champagne as his sister Ashley, mother Linda, and wife Avery look on. The new crane barge, the second largest in the Corps’ national inventory, is named after Josh’s father, the late Mike Hendricks. Photo courtesy Little Rock District, USACE.
Combined Meeting a Hit in Arkansas C
ombining their annual meetings for the first time, the Arkansas/Oklahoma Port Operators Association (AOPOA) and the Arkansas Waterways Association October 4-6 in Little Rock, Arkansas. Keynote speaker Gary LaGrange, Port of New Orleans CEO, highlighted the economic impact of the Mississippi River and tributaries to the nation’s economy, noting that one in seven jobs in Louisiana are tied to the existence of ports noting that the US has 14,000 miles of waterways serving 33 states and Canada. Looking to the future, LaGrange noted that, of the expected increase in cargo from mega-tankers transiting the enlarged Panama Canal, 20% will move through the port of New Orleans. On a cautionary note he observed that only about two-thirds of the funds necessary to dredge the Mississippi River are in the President’s budget, and that shutdown of the river costs $300 million per day. Amy Larson, president of the National Waterways Commission reviewed the current status of federal legislation and regulations affecting navigation, flood control, and other stakeholders of inland river and water resources. In addition to the roster of speakers, several adjunct events enlivened the conference. The annual Arkansas Historical Society inducted five new members of the Hall of Fame: Glen Cheatham, James E. Danaher, J.D. Metcalfe, Col. James H. Phillips, and Nelson Spencer. A mid-day segment of the conference was held aboard the inspection barge of the Little Rock District, USACE, pushed by the MV Ted Cook. The tour featured riverside views of the Port of Little Rock, sand and gravel dredging operations, and trips beneath several bridges connecting downtown Little Rock with its sister city North Little Rock, on the north bank of the Arkansas River. The christening of the Little Rock District USACE crane barge 20
capped the conference. The ceremony was held on the bank of the Arkansas River at Little Rock and attended by a crowd of convention-goers, Corps employees and retirees, and family members of the barge’s namesake, the late Mike Hendricks. The floating crane Mike Hendricks is 260 feet long and has a lifting capacity of 285 short tons. It was constructed to perform maintenance and dewatering on the Montgomery Point Lock and Dam and is the second largest crane in the Army Corps of Engineers inventory. At the business meeting of the AOPOA, the membership approved a letter to the Chief of Engineers, Headquarters, US Army Corps of Engineers, requesting staggered tenure for District Engineers of the Tulsa and Little Rock Districts. Both districts share the McClellan Kerr Arkansas River Navigation System and cooperate in maintenance and operation of the system. Staggering the dates of arrival/departure between the two districts would enhance the continuity of command, the AOPOA said. Another result of the AOPOA meeting was the approval of Southern Sails of Louisiana as a marketing consultant. The MKARNS stakeholder have been working for several years to enhance marketing of the system. A new website (www.aopoa.net) was also activated to serve as a marketing tool, and an interactive resource for AOPOA members. Lou Ann Nisbett, representing the Pine Bluff Port Authority, was elected president of the Arkansas Waterways Association for 2011, while Bill Ruck of Garver Engineers, Little Rock, was elected to the AWA board of directors. It has been the practice of the AOPOA to alternate its annual meetings between Oklahoma and Arkansas and this was Arkansas’ turn to host the meeting. The Arkansas Waterways Association, embraces members from the state’s five river navigation systems: the Mississippi, Ouachita, Red, White and Arkansas rivers. IP
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September/October 2010
AWO’s Commitment to the Environment By Jennifer A. Carpenter Sr. Vice President-National Advocacy, American Waterways Operators
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he American Waterways Operators (AWO) is a national trade association for the tugboat, towboat and barge industry. The group is a leader in marine safety and environmental protection, establishing the award-winning Responsible Carrier Program in 1994, a third-party audited safety management system that became a condition of membership in 2000. In 1995, AWO and the Coast Guard developed the first-of-its-kind Coast Guard-AWO Safety Partnership, which brings the industry together with its primary regulator to track trends in industry safety performance and address safety and environmental challenges before they become serious problems. The partnership has spawned more than 30 Quality Action Teams tackling issues ranging from crew fatalities to oil spills to fatigue prevention. Most notably, in 2004, AWO supported the Coast Guard in seeking new legislative authority to establish a towing vessel inspection regime. It’s not often that an industry volunteers for more government regulation, but we think this will raise the bar of safety for the entire industry. AWO has actively participated in a federal advisory committee helping the Coast Guard to promulgate the new rules.
talize on the tugboat, towboat and barge industry’s natural advantages to make it even safer and more environmentally friendly. In the 20 years since the passage of the Oil Pollution Act of 1990, AWO is proud to report there has been a 99.6% decrease in tank barge spills. The industry has implemented a three-pronged approach to reducing oil spills: 1. Prevention measures (from double hulls to tankerman training); 2. Effective response planning; and, 3. Ensuring that sufficient financial resources are available to clean up spills that occur. We believe that a major part of our success has been the implementation of safety management systems like the Responsible Carrier Program, which are focused on preventing the accidents that lead to spills in the first place. Last year saw the lowest level of spills from tank barges ever recorded: 4,347 gallons of oil. To put this in perspective, that amount of oil was estimated to be pouring into the Gulf of Mexico every two minutes during the Deepwater Horizon disaster. We are committed to continuing to work toward the goal of zero spills.
Environmental Advantages of Barge Transportation
Reducing Air Emissions
The tugboat, towboat and barge industry is the cleanest, safest and most energyefficient form of freight transportation. • One towboat can move barges carrying one ton of freight 576 miles on a single gallon of fuel, more than 150 miles further than by rail and 400 miles further than by truck. • The barge and towing industry has the smallest carbon footprint of any surface transportation mode. Trucks emit 371% more carbon dioxide (CO2) emissions than towboats, and locomotives emit 39% more CO2. • One 15-barge tow can carry as much dry cargo as 216 rail cars and six locomotives, or 1,050 tractor-trailers. • Tank barges have the best spill record in the freight transportation sector, reducing spills by 99% since 1990. AWO has continuously worked to capiSeptember/October 2010
AWO has also worked with EPA and state regulators to reduce air emissions to further shrink our industry’s environmental footprint. While tugboat and towboat engines burn fuel that is lower in sulfur than many other fuels, it is critical to continue to work to reduce marine engine emissions as much as possible. The industry has done much in this regard: • In 2006, AWO set up the Barge Emissions Working Group to work with the EPA and state agencies to reduce inadvertent emissions from tank barge loading operations. The group developed best management practices that were endorsed by the state of Louisiana and the Coast Guard’s Chemical Transportation Advisory Committee. • In 2007, AWO worked with EPA to establish the first-ever remanufacture requirements for existing engines. AWO www.inlandportmagazine.com
also worked with EPA to develop a listserv so that the regulated community can get real-time information on the availability of certain remanufacture kits, which is critical to complying with the new requirements. • AWO members have recognized that innovative technology is also key to improving industry’s environmental footprint. In 2008, Foss Maritime Company of Seattle, WA, unveiled the first Hybrid Tug, which received EPA’s Clean Air Excellence Award for Clean Air Technology.
Minimizing Vessel Discharges Tugboats, towboats and barges discharge some effluent into the water as part of their normal operations, such as deck runoff, graywater (sink and shower water), bilgewater (which accumulates in the vessel hull) and ballast water (which maintains the trim and stability of the vessel). AWO is committed to reducing vessel discharges. Since 2009, these discharges have been regulated by the EPA’s Vessel General Permit (VGP), which includes additional regulations from 28 states and Tribes. Here are some facts about AWO and the VGP: • In order to facilitate industry compliance with the VGP, AWO developed both the VGP Recommended Practice Guide, as well as template record-keeping forms to satisfy the numerous reporting requirements associated with the Permit. • AWO has expressed strong support for the creation of effective, uniform national standards for vessel discharges that ensure environmental protection and allow for the efficient flow of waterborne commerce that often spans the waters of many different states on a single voyage. AWO’s long-term goal is to work with EPA, Congress and other stakeholders to enact legislation that establishes a better regulatory structure that protects water quality and fits the industry’s operational profile. AWO (www.americanwaterways. com) is committed to leading the marine transportation industry in safety and environmental stewardship and working with federal and state governments to safeguard our natural resources for generations to come. IP 21
Multibeam Sonar Helps Secure Your Supply Chain Substructure Teams with New Hampshire Port Authority for Detailed Hydrographic Survey Substructure’s custom survey vessel Orion is used for many port and harbor applications.
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which allowed us to take advantage he Tall Ships Festival, of the limited areas of deep water an annual event held in that were available for the transit and Portsmouth, New Hampshire, mooring.” is consistently met with much comSubstructure’s engineers and munity fanfare and anticipation. The technicians designed and built Orion May 2010 festival in Portsmouth harspecifically to conduct near-shore mulbor was a particularly exciting year tibeam surveys capable of satisfying for the organizations responsible for the most stringent hydrographic surthe event, which attracts an estimatvey standards. Orion is equipped with ed 20,000 citizens and sightseers. state-of-the-art technology, including In advance of the Tall Ships multibeam echosounders and precise Festival, and in cooperation with the This image illustrates one of the many possible interpretations New Hampshire State Port Authority of the bathymetric data resulting from Substructure’s survey of navigation and vessel orientation the seafloor in and around the Portsmouth Commercial Fishing systems to efficiently and accurately (NHSPA), locally-based marine Pier. Photo provided courtesy of NHSPA. generate high resolution bathymetric industrial services firm Substructure, data. robust data and was able to identify with Inc. was tapped to conduct a detailed Throughout the design/build process clarity some shallow areas of particular hydrographic survey utilizing its customnumerous, and often time-consuming, concern. Not only was the information built vessel Orion. provided critically important to the success steps (e.g., reducing hull twist, minimizing Multibeam sonar technology was of the Tall Ships event, but it will also serve engine and electrical noise, precise senemployed to help assess whether the sor placement and alignment, optimizing to guide fishing vessels coming to the pier featured vessels, the Lynx and the HMS transducer location to minimize surface moving forward.” Bounty, would be able to safely navinoise, etc.) were taken to enhance the Even in perfect conditions, the gate the waters around the Portsmouth boat’s overall ability to acquire exceptionPiscataqua River is tricky to navigate given Commercial Fish Pier, where the historic ally high quality data. Orion is trailerable replicas were to be docked for the first time its notoriously strong current (one of the for easy transport and also has rated lift fastest in North America), narrow chanin the Piscataqua Maritime Commission’s points to enable deployment with any connels, and high shoals. Couple this with twenty-plus year history of conducting the ventional crane. physical obstacles (e.g., numerous bridge event. Substructure founder and president crossings, man-made obstructions, etc.) The results from Substructure’s survey Thomas Reis said, “By all accounts, the and one can appreciate the importance of of the Piscataqua River seafloor – from Tall Ships Festival was again a tremendous underwater mapping in this working port. its mouth to the Tall Ships mooring success this year. Our team at Substructure Most of the larger public and commercial site – were essential for the NHSPA and was happy to contribute our expertise, marine terminal facilities are located on Portsmouth pilots to better evaluate any to help keep this great tradition alive in the mainstem of the Piscataqua River and potential navigation concerns associated the Portsmouth Pilots are intimately famil- Portsmouth,” said Reis. “The navigation with the event. safety survey was a nice break from our iar with the challenges of navigating in “Based on our preliminary soundings demanding work schedule, which frethese areas. However, they are less familand the drafts of the ships, we knew that quently takes us on the road with Orion iar with the immediate Fishing Pier area we had potential under keel clearance and involves a wide range of applications because it is primarily used for smaller issues around the Fishing Pier,” said Geno – for example, harbor expansion, dredge commercial fishing vessels. Marconi, NHSPA director of ports and planning, infrastructure assessment and Portsmouth pilot P.J. Johnson said, harbors. “This is a high profile event for environmental monitoring.” “The data and graphics provided by the city and the Port, and obviously we’d Though much of Substructure’s work Substructure were invaluable for allowing like to avoid the potential for any negawith Orion is focused in the northeast, us to preplan the transit for the Tall Ships tive incidents. We were very familiar with the company has worked from northern into the Portsmouth Commercial Fish Pier Orion and Substructure’s high-resolution Lake Superior down to Norfolk, Virginia, area, and for determining a safe moormapping capabilities and asked for their with much of their efforts focused around ing plan for these vessels once alongside assistance in fully assessing the potential inland and coastal port facilities. In addithe berth. We were very fortunate to have navigation issues.” tion to general navigation safety applicaMarconi added, “Substructure provided such a detailed data set from Substructure, 22
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September/October 2010
An example of multibeam hillshade bathymetry data from Substructure’s Orion survey vessel.
tions, Substructure has also acquired multibeam data to support harbor expansion and dredge planning applications. The high-resolution and broad coverage multibeam datasets are useful for comprehensively evaluating various port expansion and dredging scenarios. In addition to high-resolution bathymetric data, multibeam systems also provide backscatter intensity data that can be used for discriminating between differences in the properties of the surface sediments. Multibeam backscatter mosaics are often used to help to develop sediment sampling plans that are conducted to characterize the geotechnical, chemical, and biological properties of the sediment. By specifically targeting the sediment samples over areas with differing acoustic properties, it is possible to efficiently characterize the broader area. A complete characterization of the surface sediments is often an important requirement for many harbor planning and engineering projects. Substructure’s chief hydrographer Tom Waddington notes that, “multibeam bathymetry and backscatter imagery, when combined with other readily available datasets such as ortho-photos, digital nautical charts, and other publically available data layers, can provide a strong foundation for a wide variety of harbor planning and engineering efforts”. Substructure has also acquired multibeam data to monitor ongoing dredging and other harbor construction projects. In most dredging applications, pre-, post-, and sometimes interim multibeam surveys are conducted to monitor the dredging progress and to develop final quantities of September/October 2010
material removed that forms the basis for eventual payment. The multibeam datasets are also used during other port construction projects to provide an assessment of current site conditions and also to provide a final view of the as-built conditions. Substructure has also used the multibeam datasets to help perform engineering assessments of various underwater structures such as wharfs, breakwaters, and bridge abutments. These types of higherresolution structural assessment multibeam surveys require very tight control of the navigation data quality and careful cleaning of the acoustic multibeam data. In addition, Substructure has developed special mounting plates for their multibeam arrays that enable them to rigidly rotate the array outward within the moon pool to maximize data coverage along the vertical faces of the various underwater structures. Though the multibeam surveys will not replace the need for periodic structural evaluation through visual or optical techniques, the multibeam surveys do provide an efficient means for initially assessing an entire structure. The multibeam data is particularly well-suited for evaluating scour around the footings and also identifying debris and
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obstructions around the structure. For the broader scale mapping applications, most of the primary multibeam data deliverables are based on some type of gridded data product that is generated by developing a single sounding value within a defined grid cell. Smaller cell-sizes result in higher resolution gridded products and also larger data file sizes. The final gridded soundings can be developed based on a wide range of selection criteria, including averaging, minimum, maximum, or other statisticallybased methods. These gridded products can then be displayed using a variety of data visualization tools to help present the data and highlight particular features of interest. Sun-illuminated hillshade surface models are one of the commonly used 3-dimensional visualization techniques used to present the multibeam data. For structural assessment or other high-resolution applications, point cloud datasets are also created that use all of the valid data points that lie within a particular area of interest. These datasets can become quite large very quickly, so they are usually confined to a relatively small area and address a particular feature of interest. IP
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WCI Urges Obama to Invest in America’s Future: The Marine Highway By Debra A. Colbert Communications & Media Relations, Waterways Council, Inc.
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magine the excitement of the waterways industry in early September to learn that President Obama was set to announce a new $50+ billion long-term spending plan focused on infrastructure improvements for the nation. The nation’s lock and dam infrastructure certainly meets the need for increased funding, consistently earning a “D” grade because more than half of the 240 Corps of Engineers’ operated lock chambers in the United States are more than 50 years old and have exceeded their economic design lives. But the initial announcement by the White House highlighted only funding for “roads, railways and runways.” How can this administration once again forget rivers? If only they were included in that list, industry would have been pleased rather than puzzled by the omission. Cornel Martin, President/CEO of Waterways Council, Inc., issued the following statement in response to President Obama’s announcement: “While the nation celebrated Labor Day and all that the workforce has done to make America great, the waterways trans-
portation industry was left disappointed and puzzled about why the President’s announcement earlier this week to fund at least $50 billion in infrastructure projects over the long term does not include any waterways or port projects. Our inland waterways not only support people who work on our rivers, but workers in our agricultural community and the many industries that rely on our waterways for affordable transportation of their goods, both domestically and for world markets. To not include and dismiss our nation’s most environmentally sound, energy efficient and congestionrelieving mode of transportation is unreasonable and unacceptable. Just one jumbo barge moving our nation’s and the world’s critical commodities carries the same capacity as 70 trucks on our already over-crowded highways. Inland transportation has the lowest carbon footprint of the other modes and has the best safety record. “For all these reasons and more, the inland waterways industry remains a solution for the future and its infrastructure is critical to maintain a modern and efficient system of transportation for cargoes like grain, petroleum, corn, coal, steel, and aggregates that the United States and the world rely upon. “In support of our nation’s labor force, our nation’s waterways have helped to make our country great. It is time to stop dismissing waterways transportation infrastructure and instead work together to keep America moving,” the statement concluded.
Out of Sight, Out of Mind While often “out of sight, out of mind,” the benefits of America’s inland waterways are many. They are a precious resource, and the envy of the world because of the natural “water highway” the waterways system provides for commerce. Modern lock and dam infrastructure is critical to US competitiveness in the world market, to environmental protection, to energy efficiency, to sustaining well-paying American jobs, and to congestion relief. Inland waterways transportation is a key component of the intermodal transportation network, and is essential to our nation’s economy, environment, and our quality of life. And while the Administration may not fully recognize the need for waterways infrastructure modernization, there is significant activity related to that goal right now on Capitol Hill. Last April, the Congressionally-chartered Inland Waterways Users Board adopted a final report that accompanied a comprehensive, consensus-based package of recommendations formulated by a group of experts assembled to address the need to improve the continued vitality of the US inland navigation system. The proposal – known as the Inland Waterways Capital Development Plan – is now being considered by Congress, with the hope that it will be included in a potential Water Resources Development Act (WRDA) in 2010. If adopted by Congress, this plan will better address the needs of the entire inland waterways system and provide more funding for these greatly needed infra24
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September/October 2010
structure improvements. A proposal this comprehensive was developed over a year-long period by the Inland Marine Transportation System Investment Strategy Team, composed of key US Army Corps of Engineers personnel and members of the Users Board. A proposal of this magnitude, that would – for the first time ever – priori-
Association of Manufacturers, the Transportation Research Board/Marine Board, American Land Conservancy, National Corn Growers Association, National Grain & Feed Association, Steel Manufacturers Association, National Mining Association, National Council of Farm Cooperatives, and many others from diverse segments of our national
tal investment plan will necessitate a 30% to 45% increase in the existing fuel tax of 20-cents-per-gallon that is paid by the barge and towing industry, the only users of the system who currently are taxed. And while it may not be a great time to raise taxes, it is never a good time to waste money. These recommended reforms to the Corps of Engineers’ project manage-
tize navigation projects across the entire inland waterways system, improve the Corps of Engineers’ project management and processes to deliver projects on time and on budget, and recommend a funding mechanism that is affordable and meets the system’s needs – does not stand alone. To date, the proposal is supported by more than 200 industry stakeholders including national organizations, state, regional and local organizations, and companies. The United States Chamber of Commerce supports the Capital Development Plan, as does the National
economy—all of which benefit from inland waterways transportation. These stakeholders endorsed the long-term Inland Waterways Capital Development Plan because they feel it will help our nation continue to enjoy the benefits of our energy-efficient, congestionrelieving US waterways transportation system. The plan’s recommendations call for funding parameters for the entire system rather than just on a project-by-project basis. This should enable us to address more of the system’s critical projects so we can complete them more efficiently. Among its recommendations, this capi-
ment and delivery process would ensure that these additional resources are spent wisely and with purpose. In order to bring navigation projects online and completed efficiently, positive change in the industry and for this vital infrastructure must start now. The Inland Waterways Capital Development Plan proposal will help maintain America’s competitive edge and keep its critical cargo – and our nation’s economy – on the move. For a copy of the full report and recommendations, and to endorse the plan, please visit Waterways Council’s online at www.waterwayscouncil.org. IP
The initial announcement by the White House highlighted only funding for roads, railways and runways. How can this administration once again forget rivers?
September/October 2010
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Alabama’s Upper Bay Turning Basin Unveiled
(L-R) US Senator Jeff Sessions (R-AL), ASPA Director Jimmy Lyons, Congressman Jo Bonner (AL-1st), US Army Corps of Engineers Mobile District Commander Col. Steven J. Roemhildt, US Coast Guard Capt. Donald Rose, and ASPA Chairman of the Board Tim Parker.
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early 100 dignitaries, elected officials, representatives of area industry joined the Alabama State Port Authority (ASPA) and US Army Corps of Engineers (USACE) in dedicating the new turning basin at the Port of Mobile. The Upper Bay Turning Basin is located in the lower harbor and will serve the Mobile Container Terminal, Pinto Island Terminal and McDuffie terminal. “This new turning basin was vital to serving the larger vessels now servicing containerized, bulk and general cargo shippers,” said Jimmy Lyons, director and chief executive officer for the Port Authority. The Port of Mobile’s smaller turning basin is located at the north end of Mobile Harbor and is engineered to handle vessels up to 850 feet in length. The new Upper Bay Turning Basin, at the south end of the harbor, is larger and shaves precious hours off a call to port facilities located on the lower harbor. At 1,175 feet by 715 feet, the basin overlaps two new Mobile Channel extensions, providing space to turn vessels larger than 900 feet long. The group boarded the Lady Anderson tour boat to ride from the Mobile Convention Center to the new Upper Bay Turning Basin, passing assets such as Big Al, the
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port’s new barge-mounted heavy lift crane, the new Pinto Island Steel Terminal and the Mobile Container Terminal. When the group reached the new basin, US Senator Jeff Sessions (R-AL), Congressman Jo Bonner (AL-1st), US Army Corps of Engineers Mobile District Commander Col. Steven J. Roemhildt (USACE), US Coast Guard Captain of the Port Capt. Donald Rose, ASPA Board Chairman Tim Parker, and Jimmy Lyons threw biodegradable flower wreaths into the water. Lyons thanked the many port customers and partners, including the Port Authority’s board, the Alabama congressional delegation, the US Army Corps of Engineers, the US Coast Guard, the National Oceanic and Atmospheric Administration (NOAA) and the contractor, Great Lakes Dredge & Dock for all the work they put into making the new basin a reality. “Dedication and teamwork made this vitally needed infrastructure a reality,” noted Lyons. “The Port of Mobile’s growth and new investments in state of the art facilities could not be possible without their support.” “Usually when you are at a ribbon cutting or dedication you have a building or structure behind you,” joked USACE’s www.inlandportmagazine.com
The newly constructed Mobile Harbor Turning Basin accommodated her first vessel just after dawn on August 7, 2010. The CMA CGM White Shark measures just over 964 feet in length and carries over 5,000 TEUs. The French container line’s PEX3 service calls weekly on the Port of Mobile, providing a vital, fast transit link between the US Gulf and the Far East. The round-the-world rotation includes Singapore, Hong Kong, Chiwan, Shanghai, Busan, Panama Canal, Manzanillo, Houston, Mobile, Miami, Jacksonville, Savannah, Charleston, Tangiers, Jebel Ali, and back to Singapore.
Steve Roemhildt. “Here, I look out and all I see is water, but you have to look under the surface, and what I see there are relationships.” Senator Jeff Sessions stated at the dedication, “This basin will save time and fuel, which should be good news for our environmental advocates, our shippers and our nation.” Congressman Jo Bonner spoke about the importance of trade and infrastructure to economic growth. “Our country depends on seaport infrastructure to keep us strong in the global marketplace. Partnerships between Congress, the seaports, the Corps, our US Coast Guard and NOAA ensures our country’s competitive position and boosts US exports.” ASPA partnered with the federal government to construct the new turning basin. Construction began in September of 2010, and cost approximately $33 million dollars. “The day the new turning basin was completed, CMA CGM had a container vessel approaching the sea buoy,” said Lyons. “The next morning, CMA CGM’s White Shark turned in the basin just off of Mobile Container Terminal’s dock, saving three hours of transit time into the port.” IP September/October 2010
Van Heyghen Recycling Installs New E-Crane A
new 2000 Series E-Crane at Group Galloo’s Van Heyghen Recycling yard in Ghent, Belgium is the third E-Crane installed at this location and the seventh at Galloo scrap handling operations at four sites in Belgium, France and Turkey. The new 2000 Series E-Crane has greatly reduced operating time and costs in loading scrap into Handymax vessels and in receiving, handling and stocking scrap in the yard. The 2000 Series E-Crane has a lifting capacity of 30 Mton in grab mode (40 Mton in hook mode) and a reach of 38.2 meters. The unique E-Crane parallelogram design ensures near perfect balance throughout its full working range and provides significant energy savings and lower operating costs. It is mounted on a high gantry and is specially designed for curved rails. Other special design features include a moveable cab for optimum operator visibility, a camera system for the 12m3 grab and matching quick-change system. The new E-Crane can stockpile scrap to a height of more than 25 meters. This is necessary to pile enough scrap to ensure that the Handymax ships (30,000 to 40,000 DWT) can be easily loaded without bringing up extra scrap during the loading process. The unit handles scrap brought in and dumped by trucks, as well as larger quantities brought in by lighters, barges and coasters. During the unloading of the first barges it was clear that the process took only half the time of the previous equipment. Loading outgoing vessels with processed scrap has been accomplished with great efficiency also. It has been loading smaller coasters at 1000 tons per hour. But the ultimate test was to load the first Handymax vessel. These ships have five holds, four deck cranes and a typical length of 180 to 200 meters. Handymax and smaller Handysize ships are the workhorses of dry bulk ocean transport. Although a Handymax is smaller than a Panamax (50,000 to 80,000 DWT), loading and unloading these ships presents daunting challenges that require crane versatility. The first Handymax the new 2000 Series E-Crane loaded was the Monica P., a ship that is 31 meters wide, 190 meters long, and has a load capacity of 46,000 tons. Two mobile harbor cranes were also used to assure maximum efficiency. The vessel eventually set sail with 35,000 tons of scrap that had been loaded in 48 hours. This challenging project with seven E-Cranes used throughout the scrap recycling process demonstrates the versatility and flexibility E-Crane products can provide to clients worldwide. E-Crane’s modular design concept allows E-Crane engineers to tailor custom solutions for customer needs, based on proven core components. Five different machine series are available based on capacity requirements. Within each series are models with different boom and stick configurations to suit ourtreach requirements. E-Cranes’s hydraulically pivoting, mechanically linked boom design keeps the machine in near perfect balance throughout its working range. Having gravity work for you instead of against you reduces horsepower requirements and power consumption up to 50 percent. IP September/October 2010
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Castle’s Hydro-Brace Offers Ports More Efficient H-Pile Repairs T
he Castle Group’s newest solution to H-Pile deterioration is the HydroBrace H-Pile Repair System. Traditionally, repairing corroded H-Piles has been a labor intensive, time consuming, and costly repair. This new product eliminates the need to sand/burn the outside H-Pile section, install bulky fiberglass jackets, and replace cross bracing and connection brackets. With the newly patented design, steel piles and beams can be repaired by using a mixture of hot-dipped, galvanized steel and concrete. Rather than demolishing the original H-Pile, they are able to provide the existing structure with added support, resulting in a stronger and longer lasting H-Pile. The HydroBrace is custom fabricated to fit inside the existing structure of any sized H-Pile or steel beam, both above and below water. Some of the unique features and benefits of the Hydro-Brace include faster installations, reduced costs, and increased load capacities. Since The Castle Group has begun installing these systems, they have been able to reduce the number of days on project sites, reduce project costs by 20%, and increase the strength of the original H-Pile systems by more than 30%. This results in a completed structure with a minimum life expectancy of 30 years before the next repair is needed. For more information on how they can aid your port’s maintenance schedule, visit www.wjcastlegroup.com. IP
Sennebogen Adds Canadian Dealers
PortVision Enhances Service
n recent years, Sennebogen material handlers have become a frequent sight in barge unloading along North America’s inland waterways. Sennebogen has established a strong new presence in Canada’s Atlantic Provinces with the recent appointment of Strongco Corporation as its exclusive distributor in Nova Scotia, New Brunswick, Prince Edward Island, and Newfoundland. Constantino Lannes, President of Sennebogen, announced that Strongco has been appointed to represent Sennebogen green line machines through its three Maritime locations. “We have seen how Strongco built itself into a model distribution company through its real commitment to service and teamwork. When it comes to providing customer solutions, they truly ‘walk the talk’ by working closely with both the customer and the OEM.” Mi-Jack Canada has also come onboard. As the leading specialist in material handling equipment in western Canada, Mi-Jack has expanded its lines of purpose-built machines with the addition of Sennebogen green line material handlers. Customer requests led the multi-line distributor to bring Sennebogen green machines to its maritime service locations. According to Brian Lynch, Manager of Mi-Jack Canada, his newest line of cranes has much to offer for the busy barge facilities that support the continuing growth of the oil developments at Fort McMurray in northeast Alberta. IP
ortVision has enhanced its web-based vessel tracking, management, and analysis service to provide greater insight into vessel activities in most major US ports and regions and over 50 international ports. PortVision 4.5 now incorporates features including weather conditions, distance calculations, plus the ability to create user-defined VesselZones that simplify vessel viewing, tracking and alerts while streamlining and enhancing incident response. PortVision’s enhanced vessel-tracking service leverages the world’s only comprehensive database of AIS real-time and historical tracking data to provide detailed visibility into commercial vessel activity, from port arrivals and departures to ship movements on the open sea. Within PortVision’s service portal, users now also have full, Web-based access to real-time weather radar overlays and animated loops, plus voyage distance calculations and vessel arrival estimations. PortVision 4.5 also enables users to filter results by ship and port or region, and create userdefined tracking-related VesselZones by simply clicking and dragging points on the map overlay. VesselZones are particularly important for maritime incident response, enabling real-time information and reports to be shared with remote participants and operation centers while also streamlining third-party vessel monitoring to validate activities and costs and to expedite billing. PortVision 4.5 can be configured to highlight only specific vessels of interest, or to view all AIS-enabled vessels on the waterway. The optional inclusion of satellite data brings visibility to vessels at sea, as well as unmanned barges and incident response equipment. Additionally, PortVision 4.5 has been enhanced so that users can create user-defined lists to track multiple fleets of any size, including chartered vessels, workboats, tugs, and barges. PortVision 4.5 also will alert users when vessels move in or out of user-defined VesselZones. Additionally, PortVision 4.5 can be used to calculate distances between selected points, and vessel arrival times based on estimated speed to the specified arrival point. IP
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September/October 2010
Port of New Orleans Welcomes Fay as New Chairman T
he Board of Commissioners of the Port of New Orleans recently elected John Fay, a partner in the law firm of Deutsch, Kerrigan & Stiles, as its new chairman. Fay succeeded Thomas D. Westfeldt, who will continue to serve on the board as a commissioner. A native of Baltimore, Md., Fay earned degrees in economics and history from the University of Pennsylvania in 1979 and graduated cum laude from the Tulane School of Law in 1983. Fay served as associate and partner in the maritime law firm of O’Neil Eichin in New Orleans from 1983 until 1999, when he became partner in the civil litigation firm of Deutsch, Kerrigan & Stiles LLP. Fay’s practice focuses on litigation and arbitration of maritime disputes. A member of the New Orleans Board of Trade, Fay has served in various positions on its board since 1999. Fay also served on the board of the Louisiana Association of Waterways Operators and Shipyards from 1998 to 2003 and as a member of the Trinity Episcopal School Board of Trustees. “The Port of New Orleans helps create jobs and economic activity for Louisiana. I’m looking forward to continuing to propel the Port on the path of success that has been established by my predecessors and to take advantage of new opportunities,” Fay said upon assuming his new position. Wayne Mumphrey, principal to Mumphrey Law Firm LLC, was elected vice chairman of the Board of Commissioners. Valerie Cahill, an independent investment banker from Jefferson Parish, was named secretary-treasurer. The Board’s commissioners serve five-year staggered terms as commissioners, and every nine months the commissioners elect new officers. The unsalaried board members are appointed by the Governor of Louisiana from a list of three nominees submitted by local civic, labor, education and maritime groups. The Board reflects the three-parish jurisdiction, with four members from Orleans Parish, two from Jefferson Parish and one from St. Bernard Parish. Other members include Capt. A.J. Gibbs, Joseph Toomy and Daniel Packer. Port Chairman John Fay
The dredge is the third owned by the Board of Commissioners of the Port of New Orleans in its history and replaces the A. Robert Bleakley, a cutter head dredge in service since 1976. New Orleans and Portland, Ore. are the only two major US ports which own and operate their own dredges. “Today is another milestone in our Port’s history,” said Port President and CEO Gary LaGrange. “As we honor a true visionary in our industry, we can look to a brighter future knowing the dredge Edward S. ‘Ned’ Reed will clear the path for commerce and prosperity for many years to come.” IP The Port of New Orleans’ new dredge, the Edward S. “Ned” Reed.
LaGrange Touts Gains and Investments
Shortly following the fifth anniversary of Hurricane Katrina, Port of New Orleans President and CEO Gary LaGrange said the entire Port community should be proud of their resilience and highlighted several recent gains made in new cargoes, services and within the cruise industry. LaGrange made the comments during his annual address sponsored by the International Freight Forwarders and Customs Brokers Association of New Orleans. “We all felt a calling – a responsibility to the rest of the nation, to ourselves and to our community,” LaGrange said of the weeks following Aug. 29, 2005. “Five years later, I look back at our successes with great pride. Our collective work provided a reason for people to return – and most importantly – it provided hope.” In the last five years, the port has worked tirelessly to secure funding necessary not only to rebuild infrastructure, but to position New Orleans as a worldclass port for growth and development, LaGrange said. “The port is in the process of investing more than $100 million into facilities. Some $67 million is being spent on recovery projects either completed, under construction or in the design phase. Another $44 million is currently being spent on capital projects. Included in those numbers are two new container gantry cranes scheduled for delivery in early 2011, Napoleon Avenue Container Terminal expansion, a new Riverfront Cold Storage Terminal, the complete refurbishment of the Julia Street Cruise Terminal and a new modern dredge,” he said.
Port Christens New Dredge
Patricia Karst Reed honored her late husband, former Port of New Orleans Executive Director Edward S. “Ned” Reed, by christening the port’s new dredge that bears his name.
September/October 2010
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Industry Notebook The Ports of Indiana reports that waterborne shipping along Indiana’s Lake Michigan shoreline contributes $14 billion per year in economic activity to the state economy, as well as more than 104,000 jobs. The study was conducted by Martin Associates, one of the foremost maritime economic consulting firms in the country, and was peer reviewed by economics professors from Indiana University, University of Notre Dame and Purdue University. The study focused on 2008 and 2009 data, which reflected a significant economic downturn, suggesting that the results are conservative estimates for average annual impacts. According to the study, waterborne shipping to and from Indiana’s lakeshore region by both ships and barges generated the following annual economic impacts: 104,567 direct, induced, indirect and related jobs; $14.2 billion of economic activity in the state; $6 billion of total personal income; $2.1 billion of local purchases; and $567 million of state and local tax revenue. According to U.S. Army Corps of Engineers data used in the study, Indiana’s lakeshore terminals handled 32 million tons of maritime shipments in 2008 (the most recent total available). An additional 42.7 million tons of Indiana business was shipped on the Ohio River, but those shipments were not included in this study. Indiana ranked 14th among all states with 72.7 million tons of waterborne shipments in 2008, and was one of only five states to show an increase in shipments over the previous year.
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The Port of Indiana celebrated its 40th year in a big way – by handling the largest shipment of project cargo in the port’s history. Business, community and Great Lakes officials joined port management for a special celebration commemorating the 40th anniversary of Indiana’s first port. During the ceremony, Port Director Peter Laman announced that the port was handling a project cargo shipment that is by far the largest ever to come through the Lake Michigan port. The shipment of 134 complete turbine units was carried by 11 ships from Canada Steamship Lines and Flinter Shipping from various locations around the Great Lakes. The shipment was coordinated by Vectora Transportation for final destination in Bloomington, Ill. The windmills are being stored throughout the port on about 20 total acres. The shipments were unloaded by port terminal operator, Federal Marine Terminals, with a labor force from the International Longshoremen’s Association and the International Union of Operating Engineers. This year, the port also handled its first outgoing shipment of wind equipment as two ships of turbines from the Acciona Windpower plant in Iowa are being exported through the port to Nova Scotia. Also, for the second time, the Ports of Indiana was the only port authority in the Western Hemisphere to earn an Award of Excellence for websites from the American Association of Port Authorities (AAPA). Founded in 1912, the AAPA represents more than 160 public port authorities in the US, Canada, Latin America and the Caribbean. The AAPA presented the award to Ports of Indiana CEO Rich Cooper during the organization’s annual convention held recently in Halifax, Nova Scotia. While the Port of Indiana opened in 1970 and handled its first ship in May of that year, the road to establishing the state’s first port was a long one. In 1939, the Indiana Board of Public Harbors and Terminals was established to negotiate for land acquisition and construction of a public port. In 1957, the Indiana General Assembly appropriated $2 million for land acquisition for a port in Porter County. While the St. Lawrence Seaway officially opened up the Great Lakes to international ships in 1959, Indiana did not formally select a port site until 1961, and the groundbreaking did not take place until Oct. 10, 1966. Since opening in 1970, Indiana’s first port has grown significantly and now contributes about $3.5 billion to the state economy. The port also generates more than 25,000 total jobs and $1.5 billion in personal income as well as $490 million in local purchases and $146 million in state and local taxes. The Ports of Indiana is a statewide port authority that operates a system of three ports on the Ohio River and Lake Michigan in Mount Vernon, Burns Harbor and Jeffersonville. In other news, the US Department of Commerce has approved a new foreign-trade zone designation for the Port of Indiana-Jeffersonville that expands Foreign-Trade Zone #170 from 1,000 acres to a sixcounty area and streamlines the process for businesses to apply for a zone. This is the first foreign-trade zone (FTZ) in Indiana to be approved for the new program, and only the 13th in the country. FTZs are restricted-access areas that are considered outside of US Customs and Border Patrol territory. Companies within FTZ sites may be entitled to reduce or delay the payment of customs duties on foreign products brought into a zone, making the company more cost-competitive with overseas facilities. The new FTZ designation called “Alternative Site Framework” (ASF) was first offered by the US Foreign-Trade Zone Board www.inlandportmagazine.com
last year as a way to reorganize general purpose FTZs and simplify the application process for obtaining new zones. Counties now included in the Jeffersonville FTZ area are Clark, Floyd, Harrison, Jackson, Scott and Washington. While only 13 ASF designations have been approved across the country, another 20 applications have been filed, including applications for Indiana’s other two ports which are expected to be approved in the near future. The Ports of Indiana serves as a statewide grantee of FTZs and operates a system of three ports on the Ohio River and Lake Michigan. Ingram Barge Company recently purchased 92 barges, including 17 tank barges with 10,000 barrel capacity, 62 jumbo covered hopper barges with fiber lift covers, and 13 jumbo open hopper barges, from an affiliate of Ospraie Special Opportunities Fund. All of the acquired barges were built between 2004 and 2008. Marcon International, of Coupeville, Washington, acted as sole broker in the sale. “This acquisition represents another significant investment in the marine industry on the part of Ingram Barge Company,” said Craig Philip, Ingram Barge’s Chief Executive Officer. “These 92 nearly-new barges will enhance our ability to provide dry-cargo and tank barge transportation services to our growing customer base,” Philip noted. Ingram’s plans for the tank barges include deployment for use in a variety of liquid trades and plans for the hopper barges include deployment in the grain, utility, and various other dry cargo trades. “This strategic acquisition will further enhance Ingram Barge Company’s position as the nation’s largest inland barge transportation company,” Philip added. Ingram operates a fleet of more than 100 line haul towboats and over 4,000 barges to transport coal, aggregates, grain, fertilizer, ores, alloys, steel products and chemicals. Ingram Materials operates a sand and gravel dredging and distribution enterprise serving Tennessee markets. Custom Fuel Services operates 11 floating fueling stations on the Mississippi and Ohio River Systems and provides marine fuels, lubricants, and other miscellaneous services to towboats, barges, stevedoring rigs, and ships. The East Coast Marine Highway Initiative, a partnership between Port Canaveral, the Port of New Bedford, Massachusetts and the Port of Baltimore, Maryland has received recognition as an initiative in the USDOT’s new Marine Highways Program. The Department’s Maritime Administration chose eight projects and six initiatives from 35 applications submitted by ports and local transportation agencies. The East Coast Marine Highway corridor is approximately 1,000 miles long. The initiative proposes to develop a Marine Highway service utilizing a fleet of existing and new-build US flag vessels to transport both domestic and international containers and trailers to destinations along the I-95 corridor in order to relieve vehicle congestion and truck traffic. As an official Marine Highways Initiative, Port Canaveral and its partners are eligible for DOT support in research development and market analysis for the East Coast Marine Highway corridor, which, in turn, could lead to federal funding opportunities. “We have been at the forefront of national Marine Highway discussions for many years. This designation legitimizes our role in a nationally recognized program,” stated Port Authority Chairman Tom Goodson. “This is a solid first step in moving a Marine Highway September/October 2010
service, often called Short Sea Shipping, from concept to reality,” says Port Canaveral CEO J. Stanley Payne. “We are grateful to the DOT Secretary Ray LaHood and Maritime Administrator David Matsuda for recognizing the value of utilizing our waterways to relieve road congestion, to provide jobs, and to improve the environment.” Cargo shipments through the St. Lawrence Seaway continue to rebound on the back of strong American grain exports and iron ore and steel activity, along with an uptick of new business and trade routes. The St. Lawrence Seaway reported that total year-to-date shipments reached 22.9 million metric tons from March 25 to September 30, an increase of 18 percent over the same period in 2009. Year-to-date shipments of iron ore for 2010 is up 62 percent to 7.2 million metric tons compared to last year, while American grain shipments have increased by 36 percent to 1.3 million metric tons. In September, these numbers were boosted by a 68 percent surge in American grain shipments to 604,000 metric tons compared to the same month in 2009. Iron ore increased in September by 5.7 percent and general cargo (which is comprised of steel slabs, coils and project cargo like wind power components) rose by 17 percent compared to the same month in 2009. Adolph Ojard, executive director of the Duluth Seaway Port Authority, noted that the Port of Duluth-Superior continued to enjoy robust grain shipments. “The story at the Port remains the movement of grain. Grain year-to-date is up 15 percent over our five year average, while grain year-to-date is up 89 percent over the same period in 2009. In September alone, we experienced a 123 percent increase in outbound grain shipments.” This season, the Seaway saw steel imports from Romania and South America arrive at new markets in the Great Lakes; quartz stone shipments from Canada’s Maritime Provinces to Hamilton; and bulk material from Japan to the Great Lakes to be used in construction projects. In other news, grain shipments through the St. Lawrence Seaway increased by 51 percent to 830,000 metric tons in August compared to the same period last year as international demand began to ramp up in the wake of production shortages in Russia. The St. Lawrence Seaway reported that American grain shipments reached 303,000 metric tons in August, an increase of 62 percent compared to the same period last year, while Canadian grain shipments increased by 45 percent to 527,000 metric tons. Year-to-date numbers, however, reflect an 18 percent increase to 743,000 metric tons for U.S. grain shipments and a 15 percent decrease to 2.8 million metric tons for Canadian grain shipments from March 25 to August 31compared to the same period in 2009. Commercial vessels carried a total of 18.7 million metric tons of cargo through the Seaway from March 25 to August 31 – an increase of 22 percent over 2009. The overall numbers were also helped by strong increases in iron ore, coal and steel shipments.
the completion of her maiden voyage on the Great Lakes and the launch of a fifth generation of Polish steamships serving the heartland of North America. Coupled with a dramatic increase in grain exports this year, Polsteam’s ongoing commitment to Great Lakes service provided cause for celebration. The fleet’s current Great Lakes flagship, the Isa, was also here in Port yesterday loading grain at CHS in Superior. Built in the Mingde shipyard in Nantong, China, near Shanghai, the Miedwie was launched in March 2010 and is the first ship in a series of eight new vessels, ordered by Polsteam USA for Great Lakes/St. Lawrence Seaway service. All eight will be named after lakes in Poland in recognition of their service on the Lakes here in North America. Dr. Michael Bruno, Dean of the Schaefer School of Engineering and Science at Stevens Institute of Technology, has been selected as Chairman of the Marine Board, under the auspices of the Transportation Research Board and the National Research Council (NRC). The Marine Board identifies and responds to critical issues in the area of water transportation, port engineering and management, marine policy, offshore development and operations, naval architecture, and maritime economics. Recommendations of the Marine Board are utilized by the NRC to inform government, the public, and the scientific and engineering communities on matters ranging from global warming to homeland security. “The National Research Council selects committee members for their individual expertise, knowledge, and scientific integrity,” says Dr. George P. Korfiatis, Provost and Interim President of Stevens Institute of Technology. “Dr. Bruno’s position on the Marine Board honors a career of dedication to scientific inquiry in the national interest.” As a keystone contributor to the Center for Maritime Systems (CMS), Dr. Bruno has revolutionized maritime research and education, encouraging and empowering institutions like Stevens to produce highly-trained naval engineers, crucial to developing a modern and secure port and shipping infrastructure in the US. As Director of Davidson Laboratory from 1989-2007, Dr. Bruno re-established the historic center as one of the foremost facilities for testing ships, positioning Stevens as a significant resource for naval engineers. The facilities of Davidson Laboratory, which include a world-renown high-speed towing tank, support professional research teams from around the world that visit to conduct tests and model open-ocean and coastal events. Davidson also enriches graduate student education through handson experience with these research tools. Dr. Bruno’s outstanding capacity for strengthening and developing external partnerships allowed Stevens to increase private and government funding for research and teaching programs at the university. IP
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Carmanah Technologies Corporation has received orders totaling over $1.1 million in recent weeks from the United States Coast Guard as part of the Coast Guard’s seasonal stock-up. More than 2,500 Carmanah/ Sabik M700 series solar LED marine lanterns are scheduled for delivery to Coast Guard stations in 25 US states along the Atlantic and Pacific coasts, and the Mississippi, Gulf of Mexico and Great Lakes regions. The orders are part of an ongoing Coast Guard initiative to replace incandescent lanterns with self-contained solar LED lanterns.
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Members of the maritime community in the Port of Duluth-Superior celebrated with representatives from Polsteam USA, Inc., the arrival of the Miedwie, marking September/October 2010
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The Last Word
Steve Jaeger Executive Director, Heart of Illinois Regional Port District How did you become involved in this industry? Growing up in Chicago, the nation’s railroad capital, I was hooked on trains by the age of about three. As a teenager, I started actually following the business of both railroads and other transportation modes and got more interested, but still couldn’t envision myself as a “suit” working for a stuffy company. So I started college, studying journalism and political science at Loyola-Chicago and didn’t take a single business course in four years. Armed with a marginally useful sheepskin in a brutal job market, I started to rethink that maybe my ongoing love of transportation could somehow translate into a career. My first job was as sales manager for a charter bus company and I started on a night-time MBA degree, which took forever since I had no undergrad business credits. I lucked out when the Midwest sales office of ocean carrier OOCL was looking for an entry-level type. These were still the early days of containerization. I then jumped to rival Barber Blue Sea Line and got to experience the roll-on/roll-off boom of the early 80s. Barber Line was good to me, and with them I relocated to New York for three years and then eventually to Houston. I got to experience the last gasp of the maritime industry’s dominance of lower Manhattan and its ubiquitous hangouts like the Whitehall Club and the Downtown Athletic Club. Within months, the shipping lines all pulled up stakes for lower office rents in the New Jersey suburbs and an era slammed shut. Have you been involved with industry groups? From the outset, transportation-related clubs appealed to me as a place to meet people, hear speakers I could learn from, and maybe advance my career in some way. Both Chicago and New York had huge Traffic Clubs, the latter with its own dining room and bar in Grand Central Station! But back then I was too wet-behind-the-ears to get really involved and, well, I was just grateful they let me in the room with the captains of industry. In Houston, I got involved with the local chapter of Delta Nu Alpha, the professional transportation fraternity, and served as its president for a year. By this time I had taken my first port authority job and the industry groups were a key vehicle for maintaining relationships with carriers, forwarders and cargo owners. When I moved to New Orleans to go to work for the port agency there, I got involved with the World Trade Club. Sadly, the last decade has seen a gradual, unrelenting decline in the membership numbers and influence of many of these trade groups for several regrettable reasons. Employers have uniformly cut back on financial support for their people participating in club activities and often no longer see the relevance of what these organizations do. And as dedicated people retire, there appear to be fewer young professionals in the trade who are willing to put in the work that sustains the club. Here in Peoria, our Transportation Club, one of the oldest such groups in the nation, is largely run by its retirees and we see attendance numbers at our social events slipping. Our signature shindig, a clambake, is attended by many hundreds but few appear willing to give any thought of how they could get involved in perpetuating the group year-round. The inland waterways trade is fortunate to have active groups like IRPT, as well as advocacy organizations like NWC and WCI. My current dilemma is that our little startup port district can’t afford to join or participate in all these. What exciting things is TransPORT working on? Our port district, branded as TransPORT, got a
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A Revealing Look at Industry Leaders
pleasant surprise late this summer when the Maritime Administration of USDOT named our agency as designee for the container-on-barge increment of the Marine Highways program. We were the only agency on the inland river system to be so appointed, and it positions Peoria and central Illinois as a cargo gathering nexus and load center for a concept that our industry has been talking about for 30 years but has never seen a valid commercial test. This time, however, there is a gamechanger: the widening of the Panama Canal that will permit the largest container vessels in the world to steam from Asia to US Gulf deepwater ports such as Mobile and New Orleans. All that will play out in 2014 and the goal now is to not only have a service design and business plan, but also have private-sector assets ready to start generating revenue. Having MARAD to steer the effort and Peoria as the focal point for Midwest cargo generation is huge. Otherwise, TransPORT functions as a specialized economic development entity with the ability to acquire property and finance new ventures utilizing our statutory capacity to issue tax free revenue bonds. We are keenly interested in joint-venturing property and infrastructure projects with privatesector firms in a fashion that yields positive returns for both port authority and private capital interests.
Tell us about your family life. Having moved to Peoria only four years ago from the Gulf coast, it’s no surprise that our two grown kids are both still in the South. Daughter Amanda got married a year back, just got her master’s degree and is loving the life of a school counselor in Baton Rouge, working with kids. Son Danny recently relocated to Austin from New Orleans, and works as an executive recruiter in that city’s burgeoning high tech industry. Austin is the closest thing to a recession-proof city I’ve ever seen, and Danny is fortunate to be there. Wife Mary Lou teaches 9th grade English at Peoria’s most demographically challenged public high school. The job is exhausting at times but she can really see the impact of her work as test scores improve and kids move to college and/or the work force. What was your favorite project or assignment in your career, and least favorite? Back in the late 80s at the Port of Houston, on a lark I asked each of our (then) five freight railroads whether they could move a business car or two into town on the same day to operate a rolling reception and harbor tour for our local logistics and industrial community. I figured it was a long shot. But seemingly with a minimum of begging and pleading, we ended up with a 10-car train of luxury railcars that had to run two trips on consecutive nights in order to accommodate everybody. It was a hoot and I was blown away. Port authorities can often be whipping boys for local service providers, but the goodwill generated by that event seemed to last forever. My least favorite happens every year no matter where I’m working. It’s called compilation of an annual operating budget. What’s the last song played on your CD or MP3 player? You won’t find an MP3 player on my belt. I am one of the last of the radiophiles and I revel in esoteric radio broadcast formats, with a bias toward progressive rock and funky music playlists. If a station is willing to gamble on playing Talking Heads, Radiohead, or Roy Head, you’ll find my dial tuned right there. www.inlandportmagazine.com
What accomplishments are you most proud of? At the Port of New Orleans in the 90s, there was every reason why our market share and business base should have been in decline: small city, only a smattering of local manufacturing, a location eight hours’ steaming time from the Gulf and intense competition for the Midwest market with every other port on the Atlantic and Gulf coasts. We decided to focus on our strength, which was the handling of non containerized, breakbulk cargoes. We went after import steel, the London Metals Exchange, plywood, forest products and crude rubber. We designed and built a new multipurpose terminal to handle it. For containers, we tried to keep what we already had and pursued carriers like Mediterranean Shipping that were known for independent thinking. The result was year-over-year increases in total general cargo from 1989 through 1998, all while naysayers predicted the demise of New Orleans as a force among seaports. If you could go back and tell your teenage self one thing, what would that be? I would have two messages for that dufus: Working for a company and wearing a suit ain’t so bad if you love what you’re doing. Also, developing a spiritual life and a relationship with a Power Greater than Myself will make my life SOOO much better. What do you want to be when you grow up? I would like to pilot a towboat pushing a 15-barge lash-up carrying export corn and soybeans from Peoria to one of the export elevators in south Louisiana, and return as locomotive engineer on the Amtrak City of New Orleans back to Chicago. Toss in a World Series appearance by the Chicago Cubs and we can call it a day. If you could make those in power at the local, state, and federal levels understand one thing about our industry, what would it be? Lock and dam replacement is not a discretionary program: it’s gotta happen. This is more than a matter of replacing ageing infrastructure, although that itself is becoming a crisis as parts and components become less available. There’s also the fact that most tows today have to be broken up at every lock passage because we have tiny 600-foot lock chambers. The plans are in place to enlarge the locks and hopefully the appropriations will come, but the slow pace of all this is excruciating. How many of us will live to see it? If you make the general public understand one thing about our industry, what would it be? We in the inland waterways industry are so under radar in terms of public perception that it’s, like, where do we begin? We have several great advocacy organizations that are trying to elevate the public profile of what we do, but our baseline is that, frankly, NOBODY KNOWS. And that’s a shame because we have such a compelling story to tell. What are your favorite? Movie: Easy, Ghostbusters. I’ve viewed it hundreds of times so, hey, let’s watch it again! Book: Right now it’s Waiting on a Train: the Embattled Future of Passenger Rail Service, by James McCommons. An extraordinary read. TV show: The New Orleans Saints, LSU Fighting Tigers, and Chicago Cubs. Did I mention I like to watch sports on TV? And, oh yeah, The Office. What was the first concert you ever attended? Cream, just before they disbanded, at the crumbling old Chicago Coliseum in 1968. Crap, I’m dating myself. IP September/October 2010