By Mark Edward Nero
The Port of Long Beach saw a nearly nine percent rise in total containers moving through its terminals last month compared to March 2016, port data show, despite a five percent drop in loaded outbound containers.
The monthly increase was mainly due to containers arriving in Long Beach with goods bound for US consumers having spiked 20.2 percent. The jump helped pushed the port to its best first quarter since 2007. Dockworkers offloaded 249,534 loaded inbound twenty-foot equivalent units from vessels in March, according to port data.
But the port’s loaded outbound shipments to overseas markets continue to face challenges due to the strong dollar, as exports decreased 5.3 percent to 120,435 TEUs.
Empties numbered 135,413 containers, up 4.2 percent. In total, the Port of Long Beach moved 505,382 TEUs last month – an 8.7 percent increase.
Long Beach had a modest boost in cargo during the first quarter of the year, with overall throughput increasing just 1.5 percent compared to the same period a year ago. Data shows that all segments of containerized cargo grew year-over-year in the opening quarter of 2017, with imports climbing 2.1 percent, exports 0.4 percent and empties 1.5 percent.
“We’re happy to see these gains during the traditionally slow period of the year,” Long Beach Harbor Commission President Lori Ann Guzmán said in a statement. “We see a lot of upside for the remainder of 2017.”
Port of Long Beach Interim Chief Executive Duane Kenagy said that the port’s rise in imports shows that consumers are feeling optimistic.
“Since their spending drives more than two-thirds of the economy, this is a great indicator for the jobs that depend on our port as we head into the busiest trading months of the year,” he said.
The port’s latest monthly cargo numbers are available at http://www.polb.com/economics/stats/latest_teus.asp, while more detailed cargo numbers can be found at www.polb.com/stats.
Friday, April 14, 2017
Tuesday, April 11, 2017
Barge Sinks South of San Francisco Bay Bridge
By Mark Edward Nero
A collaborative unified command, including the US Coast Guard, the California Department of Fish and Wildlife’s Office of Spill Prevention and Response and the San Francisco Department of Emergency Management, has been established in response to the sinking of the 112-foot freight barge Vengeance near the San Francisco Bay Bridge on April 7.
During a huge storm last Friday, the barge capsized and then settled on the sea floor above a subterranean Bay Area Rapid Transit (BART) tube, which is sheltered by a 25- to 30-foot protective layer of earth consisting of compacted sediment.
The Coast Guard says that regular sonar scans and tube inspections are being conducted to ensure the BART tube isn’t affected and that BART remains safe to operate.
Global Diving and Salvage has been hired by the barge’s owner, Vortex Marine Construction, to conduct underwater assessments and devise a salvage plan. The unified command is expected to review the salvage plan before salvage operations begin to ensure it can be conducted safely and efficiently.
A Coast Guard helicopter crew conducted an overflight Sunday and detected no sheen, but responders remain on scene prepared to deploy boom, according to the USCG.
Coast Guard Station San Francisco crews are enforcing a safety zone in the area to protect responders and watchstanders have issued a safety marine information broadcast to local mariners.
Shoreline teams have also been deployed throughout the surrounding areas to conduct assessments to the outlying areas and monitor wildlife, according to the USCG. While no impact to the shoreline has been detected, the responding agencies continue to prioritize and prepare for potential impacts to environmentally sensitive sites.
As of April 10, no visibly oiled wildlife had been reported or observed, according to the Coast Guard, but crews are said to still be monitoring.
Anyone seeing oiled wildlife is asked by authorities to not attempt to capture them, but instead report the sightings to (877) UCD-OWCN.
A collaborative unified command, including the US Coast Guard, the California Department of Fish and Wildlife’s Office of Spill Prevention and Response and the San Francisco Department of Emergency Management, has been established in response to the sinking of the 112-foot freight barge Vengeance near the San Francisco Bay Bridge on April 7.
During a huge storm last Friday, the barge capsized and then settled on the sea floor above a subterranean Bay Area Rapid Transit (BART) tube, which is sheltered by a 25- to 30-foot protective layer of earth consisting of compacted sediment.
The Coast Guard says that regular sonar scans and tube inspections are being conducted to ensure the BART tube isn’t affected and that BART remains safe to operate.
Global Diving and Salvage has been hired by the barge’s owner, Vortex Marine Construction, to conduct underwater assessments and devise a salvage plan. The unified command is expected to review the salvage plan before salvage operations begin to ensure it can be conducted safely and efficiently.
A Coast Guard helicopter crew conducted an overflight Sunday and detected no sheen, but responders remain on scene prepared to deploy boom, according to the USCG.
Coast Guard Station San Francisco crews are enforcing a safety zone in the area to protect responders and watchstanders have issued a safety marine information broadcast to local mariners.
Shoreline teams have also been deployed throughout the surrounding areas to conduct assessments to the outlying areas and monitor wildlife, according to the USCG. While no impact to the shoreline has been detected, the responding agencies continue to prioritize and prepare for potential impacts to environmentally sensitive sites.
As of April 10, no visibly oiled wildlife had been reported or observed, according to the Coast Guard, but crews are said to still be monitoring.
Anyone seeing oiled wildlife is asked by authorities to not attempt to capture them, but instead report the sightings to (877) UCD-OWCN.
Alaska Oil Company to Pay Record Jones Act Violation Fine
By Mark Edward Nero
Anchorage-based natural gas and oil production company Furie Operating Alaska LLC has agreed to pay a record $10 million to satisfy a civil penalty originally assessed against it by US Customs and Border Protection for violating the Jones Act, the Department of Justice has announced.
According to the acting US Attorney for the District of Alaska, Furie was penalized when it transported the Spartan 151 jack-up drill rig from the Gulf of Mexico to Alaska in 2011 using a foreign flagged vessel without acquiring a waiver of the Jones Act from the Secretary of Homeland Security.
The settlement, which was announced April 4, resolves a civil lawsuit filed by Furie in 2012 challenging the assessment of the civil penalty.
The Jones Act, passed in 1920, prohibits a foreign vessel from transporting merchandise between points in the United States. A violation may result in the assessment of a civil penalty equal to the value of the merchandise. Waivers can be obtained from the Secretary of the Department of Homeland Security in limited circumstances, specifically when it is in the interest of national defense, following a determination that there is no US vessel available to engage in the transport.
“Resolution of this case demonstrates that the Jones Act will be actively enforced and that an intentional violation will not be rewarded,” the Department of Justice said in a statement.
Anchorage-based natural gas and oil production company Furie Operating Alaska LLC has agreed to pay a record $10 million to satisfy a civil penalty originally assessed against it by US Customs and Border Protection for violating the Jones Act, the Department of Justice has announced.
According to the acting US Attorney for the District of Alaska, Furie was penalized when it transported the Spartan 151 jack-up drill rig from the Gulf of Mexico to Alaska in 2011 using a foreign flagged vessel without acquiring a waiver of the Jones Act from the Secretary of Homeland Security.
The settlement, which was announced April 4, resolves a civil lawsuit filed by Furie in 2012 challenging the assessment of the civil penalty.
The Jones Act, passed in 1920, prohibits a foreign vessel from transporting merchandise between points in the United States. A violation may result in the assessment of a civil penalty equal to the value of the merchandise. Waivers can be obtained from the Secretary of the Department of Homeland Security in limited circumstances, specifically when it is in the interest of national defense, following a determination that there is no US vessel available to engage in the transport.
“Resolution of this case demonstrates that the Jones Act will be actively enforced and that an intentional violation will not be rewarded,” the Department of Justice said in a statement.
Third Olympic Class Vessel Joins Washington State Ferries Fleet
By Mark Edward Nero
The Evergreen State’s newest ferry, Chimacum, joined the state fleet on Friday, April 7, as Washington State Ferries (WSF) officially accepted the vessel from builder/contractor Vigor.
The Chimacum is expected to carry ferry riders on the Seattle/Bremerton route this summer after crews complete vessel outfitting, operational training and drills, according to WSF.
The name Chimacum (CHIM-a-cum) honors the Chemakum tribe's gathering place, which is now the present day town of Chimacum near Port Townsend.
“We’re excited to welcome the Chimacum to our fleet,” Washington State Ferries Assistant Secretary Amy Scarton said in a statement. “This new vessel replaces the 59-year-old Klahowya and allows us to continue providing safe and reliable service for the 2.7 million customers who use the Seattle/Bremerton route each year.”
Chimacum, which has room for 144 cars and 1,500 passengers, like its sister vessels Tokitae and Samish, offers flexible seating configurations, wider vehicle lanes and two passenger elevators, making it the most accessible vessel in the fleet for passengers with disabilities, according to WSF. The total construction cost was $123 million, in addition to equipment provided by Washington State Ferries.
“It’s an honor for us to partner with Washington State Ferries to deliver the Chimacum to the citizens of Washington,” Vigor CEO Frank Foti said in a statement. “Each ferry built here in Washington helps shipyards throughout Puget Sound retain skills vital to the maritime industry and supports hundreds of jobs.”
The Chimacum is the third Olympic Class ferry. The fourth 144-car vessel, Suquamish, is currently under construction at Vigor’s Harbor Island shipyard in Seattle.
The Evergreen State’s newest ferry, Chimacum, joined the state fleet on Friday, April 7, as Washington State Ferries (WSF) officially accepted the vessel from builder/contractor Vigor.
The Chimacum is expected to carry ferry riders on the Seattle/Bremerton route this summer after crews complete vessel outfitting, operational training and drills, according to WSF.
The name Chimacum (CHIM-a-cum) honors the Chemakum tribe's gathering place, which is now the present day town of Chimacum near Port Townsend.
“We’re excited to welcome the Chimacum to our fleet,” Washington State Ferries Assistant Secretary Amy Scarton said in a statement. “This new vessel replaces the 59-year-old Klahowya and allows us to continue providing safe and reliable service for the 2.7 million customers who use the Seattle/Bremerton route each year.”
Chimacum, which has room for 144 cars and 1,500 passengers, like its sister vessels Tokitae and Samish, offers flexible seating configurations, wider vehicle lanes and two passenger elevators, making it the most accessible vessel in the fleet for passengers with disabilities, according to WSF. The total construction cost was $123 million, in addition to equipment provided by Washington State Ferries.
“It’s an honor for us to partner with Washington State Ferries to deliver the Chimacum to the citizens of Washington,” Vigor CEO Frank Foti said in a statement. “Each ferry built here in Washington helps shipyards throughout Puget Sound retain skills vital to the maritime industry and supports hundreds of jobs.”
The Chimacum is the third Olympic Class ferry. The fourth 144-car vessel, Suquamish, is currently under construction at Vigor’s Harbor Island shipyard in Seattle.
Oregon Lawmaker Co-Sponsors Harbor Maintenance Fund Bill
By Mark Edward Nero
On April 5, Rep. Peter DeFazio, D-OR and bill’s co-sponsor, Rep. Mike Kelly, R-Pa. jointly introduced bipartisan legislation to effectively remove the Harbor Maintenance Trust Fund from the US budget, therefore bypassing the annual congressional appropriations process.
Instead of being included in the budget, HR 1908 proposes to achieve “full use” of the tax by making revenue directly available to the Army Corps of Engineers.
If enacted, the Corps’ coastal operation and maintenance program would jump from about $1.3 billion a year to $1.8 billion a year. Based on current estimates, the spending level should be sufficient to restore all harbor channels to their constructed dimensions, according to DeFazio and Kelly.
Kelly is a member of the House Ways and Means Committee, which has jurisdiction over tax policy, and DeFazio is the ranking Democratic member of the House Transportation and Infrastructure Committee.
Kelly and DeFazio say that with the Trump Administration promoting a $1 trillion infrastructure investment, they want to highlight that it is easier to start with ports, as there is no need to raise taxes or find a new source of revenue. The funding source already exists and the money is being collected; the government just needs to spend it, they said.
The text of the proposed legislation can be seen at https://www.congress.gov/bill/115th-congress/house-bill/1908/text
On April 5, Rep. Peter DeFazio, D-OR and bill’s co-sponsor, Rep. Mike Kelly, R-Pa. jointly introduced bipartisan legislation to effectively remove the Harbor Maintenance Trust Fund from the US budget, therefore bypassing the annual congressional appropriations process.
Instead of being included in the budget, HR 1908 proposes to achieve “full use” of the tax by making revenue directly available to the Army Corps of Engineers.
If enacted, the Corps’ coastal operation and maintenance program would jump from about $1.3 billion a year to $1.8 billion a year. Based on current estimates, the spending level should be sufficient to restore all harbor channels to their constructed dimensions, according to DeFazio and Kelly.
Kelly is a member of the House Ways and Means Committee, which has jurisdiction over tax policy, and DeFazio is the ranking Democratic member of the House Transportation and Infrastructure Committee.
Kelly and DeFazio say that with the Trump Administration promoting a $1 trillion infrastructure investment, they want to highlight that it is easier to start with ports, as there is no need to raise taxes or find a new source of revenue. The funding source already exists and the money is being collected; the government just needs to spend it, they said.
The text of the proposed legislation can be seen at https://www.congress.gov/bill/115th-congress/house-bill/1908/text
Friday, April 7, 2017
SSA to Manage Matson’s Tacoma Terminal
By Mark Edward Nero
On April 4, Matson Inc. announced that its US Pacific carrier subsidiary Matson Navigation Co. will use SSA Terminals (SSAT) for stevedoring and terminal services at the Port of Tacoma when its existing agreement with APM Terminals expires on December 31.
“APMT has served us well. It just makes more sense to work with our strategic partner at Tacoma as we do at all of our other terminals on the West Coast,” Ron Forest, senior vice president of operations for Matson explained in a statement.
Tacoma is the only Matson terminal on the US West Coast not currently handled by SSAT.
The terminal, with 12 employees, became part of the Maersk Group portfolio in 2000 with Maersk Line’s acquisition of US-based Sea-Land Service. The facility, with an annual throughput capacity of 600,000 TEU, was used primarily by the Matson Alaska Service, with twice-weekly sailings between Tacoma, Anchorage and Kodiak, and a weekly service between Tacoma and Dutch Harbor, handling about 190,000 TEUs in 2016.
“We expect a seamless transition and no change in our Tacoma operations from a customer standpoint,” Forest said. In a statement, APM Terminals said it is “evaluating all options” regarding the terminal lease with Matson that expires at the end of the year.
On April 4, Matson Inc. announced that its US Pacific carrier subsidiary Matson Navigation Co. will use SSA Terminals (SSAT) for stevedoring and terminal services at the Port of Tacoma when its existing agreement with APM Terminals expires on December 31.
“APMT has served us well. It just makes more sense to work with our strategic partner at Tacoma as we do at all of our other terminals on the West Coast,” Ron Forest, senior vice president of operations for Matson explained in a statement.
Tacoma is the only Matson terminal on the US West Coast not currently handled by SSAT.
The terminal, with 12 employees, became part of the Maersk Group portfolio in 2000 with Maersk Line’s acquisition of US-based Sea-Land Service. The facility, with an annual throughput capacity of 600,000 TEU, was used primarily by the Matson Alaska Service, with twice-weekly sailings between Tacoma, Anchorage and Kodiak, and a weekly service between Tacoma and Dutch Harbor, handling about 190,000 TEUs in 2016.
“We expect a seamless transition and no change in our Tacoma operations from a customer standpoint,” Forest said. In a statement, APM Terminals said it is “evaluating all options” regarding the terminal lease with Matson that expires at the end of the year.
Harley Marine Services Delivers Vessel to Philippine Red Cross
By Mark Edward Nero
Harley Marine Services has delivered the M/V Susitna from Seattle to the Philippine Red Cross – a 15,000 nautical mile voyage spanning the Pacific Ocean, the Seattle-based company revealed in late March.
A contract between the Philippine Red Cross and Harley Marine Services was finalized in June 2016, and following initial discussions, Harley Marine said a “special tow team” was formed that included key stakeholders from each HMS department as well as representatives from the naval architecture firm that designed the vessel.
Harley Marine loaded the M/V Susitna onto a barge, the Chatham Provider for the journey. In order to get the M/V Susitna safely onboard, Harley Marine had to utilize the heavy lift ship, Happy Star. To do this, special lifting pad eyes needed to be designed, engineered, fabricated and installed in a very short amount of time.
Once positioned onboard the barge, Harley Marine hired a load master to ensure the vessel was loaded and lashed down prior to leaving. A total of 175 chain lashings and sea stiffeners were added to the vessel to keep the M/V Susitna from moving onboard the barge.
After leaving Seattle in October 2016, the vessel was then transported under tow by the Harley Marine tug Ernest Campbell through Honolulu, Guam and then the Philippines.
The 195-foot M/V Susitna, built in 2010 in Ketchikan, Alaska, is capable of carrying 129 passengers, plus 20 vehicles or one tractor/trailer rig. Originally built for use transporting and delivering equipment, machinery and personnel, the vessel will now be used in future lifesaving disaster response efforts by the Philippine Red Cross.
Harley Marine Services has delivered the M/V Susitna from Seattle to the Philippine Red Cross – a 15,000 nautical mile voyage spanning the Pacific Ocean, the Seattle-based company revealed in late March.
A contract between the Philippine Red Cross and Harley Marine Services was finalized in June 2016, and following initial discussions, Harley Marine said a “special tow team” was formed that included key stakeholders from each HMS department as well as representatives from the naval architecture firm that designed the vessel.
Harley Marine loaded the M/V Susitna onto a barge, the Chatham Provider for the journey. In order to get the M/V Susitna safely onboard, Harley Marine had to utilize the heavy lift ship, Happy Star. To do this, special lifting pad eyes needed to be designed, engineered, fabricated and installed in a very short amount of time.
Once positioned onboard the barge, Harley Marine hired a load master to ensure the vessel was loaded and lashed down prior to leaving. A total of 175 chain lashings and sea stiffeners were added to the vessel to keep the M/V Susitna from moving onboard the barge.
After leaving Seattle in October 2016, the vessel was then transported under tow by the Harley Marine tug Ernest Campbell through Honolulu, Guam and then the Philippines.
The 195-foot M/V Susitna, built in 2010 in Ketchikan, Alaska, is capable of carrying 129 passengers, plus 20 vehicles or one tractor/trailer rig. Originally built for use transporting and delivering equipment, machinery and personnel, the vessel will now be used in future lifesaving disaster response efforts by the Philippine Red Cross.
