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What’s New on America’s Marine Highways
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What’s New on America’s Marine Highways


Lauren Brand

Lauren Brand

Published in Business
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  • 1. What’s NeW oNamerica’s mariNe highWays Annual TRB Ferry Committee August 14, 2012 August 6, 2012 Lauren Brand, PPMDirector, Office of Marine Highways and Passenger Vessel Services U.S. Department of Transportation – Maritime Administration 1
  • 2. Maritime Administration Mission: To improve and strengthen the U.S. marine transportationsystem - including infrastructure, industry and labor - to meet the economic and security needs of the Nation. 2
  • 3. Our Vision: america’s Marine Highway Reliable, regularly scheduled, competitive and sustainableservices employing U.S. vessels and tugs are a routine choice to transport passengers and freight. 3
  • 4. M-5(AK) America’s Marine Highways M-5 M-84 Designated August 2010 M-90 M-90 M-87 M-90 M-580 M-95 M-55 M-70 M-70 M-64 M-40 M-5 M-65 M-49 M-95 M-55 LEGEND MH Corridor M-10 MH Connector M-A1 MH Crossing M-2 U.S. Interstate M-5 (AK) 4
  • 5. Shifting Transit Patterns• US DOT embraces ‘Livability’, greater emphasis on transit options• Pedestrian/Bike/Bus/Train considered intermodal transportation• Diminishing public funds available for aging infrastructure and equipment• Marine Highways slowly being integrated into surface transportation system planning 5
  • 6. FHWA’s Ferry Discretionary Grant ProgramFederalassistance forinfrastructureand equipmentincludingterminals andferries.Available:$22.2 millionRequested:$124 millionProject Totals:$435.9 million 6
  • 7. M-5(AK) $179.26M Marine Highway & M-5 M-84 TIGER Grants 2009 to 2012 Maine Ports, ME M-90 $14,000,000 M-90 Detroit/Windsor Ferry M-87 Lewiston, ID $2,200,000 M-90 $1,300,000 Bayonne, NJ M-580 $11,400,000 Davisville, RI M-95 $22,300,000 Green Trade Corridor, CA M-55 M-70 $30,000,000 M-70 M-64 James River Tri-City Port, IL Cates Landing, TN $1,100,000 Oakland, CA $14,500,000 M-40 $13,000,000 $15,000,000 Catoosa, OK M-5 $6,425,000 M-65 Corpus Christi, TX Tenn-Tom W/W $10,000,000 M-49 $1,700,000 M-95 M-55 Cross Gulf Mobile, AL LEGEND $3,340,000 $12,000,000 MH Corridor Brownsville, TX M-10 Port Manatee, FL $12,000,000 MH Connector $9,000,000 M-A1 MH Crossing M-2 U.S. Interstate M-5 (AK) 7
  • 8. Map - 21• New legislation – passed July 2012• 27 month program that will lay the baseline for future of transportation system in the U.S. / freight and passengers• Maritime Opportunities: – Will identify National Freight Network – Will establish State Freight Advisory Committees 8
  • 9. What’s Next? Working to develop viable, regional inner city commuter options to relieve landside congestion Exploring environmental and technology innovations for ferries and inland river vessels 9
  • 10. M-5(AK) America’s Marine Highway - Programmatic NEPA Project in Five Major Regions M-5 M-84 M-90 Great Lakes & M-90 St. Lawrence SeawayM-87 West M-90 (7 States) Coast (4 M-580 M-95 States) M-70 M-55 Inland M-70 East M-64 Waterways Coast M-40 (13 (15 M-5 States) M-65 States) M-49 M-95 M-55 Gulf Coast LEGEND MH Corridor M-10 (5 States) MH Connector M-A1 MH Crossing M-2 U.S. Interstate M-5 (AK) 10
  • 11. Focus on States 37 State DOTs influence America’s Marine Highways Which State DOT department will consider it? – 9 = maritime, ports, waterways or marine – 8 = planning – 6 = intermodal – 4 = freight – 3 = rail & marine/railroads & harbors – 1 = aviation & ports – 1 = trade development – 6= have no department that addresses maritime 11
  • 12. What Else?• Demand • Meetings Development • Regional Roundtables – Tax credit programs? • ‘Bookend’ Open• Exploring Policy Houses Impediments • Regional Marine – Tonnage Tax Highway Working – HMT Groups – U.S. Shipbuilding • National Marine – Hazardous Materials Highway Committees Movement 12
  • 13. Critical for forming Marine Highway services• Need communication among multiple partners (including public and private)• Marketing and sales efforts must be coordinated between all partners• Need business, market and finance plans• Need adequate capital for start-up operations, with contingency fund 13
  • 14. California Green Trade Corridor Tiger Grant DOT Tiger Grant Funds provided for landside improvements and two barges  Service between Stockton and Oakland to begin August 2012  TEUs already booked, majority heavy weight freight  Major relief of congested I-580 corridor 14
  • 15. St. John’s River,Jacksonville toOrlando, Florida Florida DOT: “future bridge modifications will meet vessel needs” 15
  • 16. M-5(AK) Potential Additional Corridors, M-5 Connectors or Crossings M-84 M-90 M-90 M-87 M-90 M-580 M-95 M-55 M-70 M-70 M-64 M-40 M-5 M-65 M-49 M-95 M-55 LEGEND MH Corridor M-10 MH Connector M-A1 MH Crossing M-2 U.S. Interstate M-5 (AK) 16
  • 17. Corridor Study ObjectivesMarket analysis (current and future) a. What moves, How it moves, & Where it goes d. Which freight is a candidate for marine transportation e. Market share that might be achieved f. Required price point and delivery timelineKey elements of a successful service a. Identify gaps (equipment/property/partners) b. Develop (or modify) business model c. Pro forma income and expenses d. Other business planning factorsOptimize the service a. Maximize efficiency b. Overcome obstacles/impediments c. Reduce cost 17
  • 18. Call For Projects• Round #2 of Project Applications Will be Solicited Later This Year.• Project Designation Can Help Win Federal Support/Assistance.• Some Funding Proposals May be Tied to Formally Designated Marine Highway Projects. 18
  • 19. Thank you Lauren Brand, PPM 202-366-0757 19
  • 20. Extra Slides 20
  • 21. Top 1000 “Blue Chip” Multinational Shipper Priorities With Permission from 21
  • 22. Demand Supply Shipper Incentives Start up funding risk Carbon Trading HMT & Tonnage TaxPolicy Changes Maritime as part of the surface transportation system Fuel Costs 22