The document discusses the Port of Virginia's 2040 Master Plan to accommodate projected growth in containerized cargo over the next 20 years. The plan includes $2.88 billion in investments for new and expanded marine terminals, dredging, and other infrastructure projects. This level of investment is needed to handle the projected doubling of container volumes and shift to larger ships. The goal is to sustain the Port's role in Virginia's economy by facilitating cargo growth and creating tens of thousands of jobs and billions in annual economic impact.

1. The Port of Virginia – Meeting Future Needs Today
The Virginia Port Authority
The 2040 Master Plan and Intermodal Connectivity
May 9, 2005

2. The Port of Virginia
Jamestown 1607
Godspeed
Discovery
Length = 68’
Length = 49’ 6”
20 tons (1 TEU)
Hapag-Lloyd Columbo Express
Susan Constant Length = 1,099’ Width = 141’
Length = 116’ 8,750 TEU Ship

3. The Port of Virginia
 First Ship Sails from Jamestown with Export
Cargo
 Year is 1607
 No Dredging Required
 No Highway Required
 No Railroad Required
 Small Landside Facilities Required (Wooden
Pier)
 Low Financial Investment
 By 1630 Tobacco Exports to Europe
 1,500,000 lbs = 750 Tons = 50 TEUs!

4. Fast Forward 400 Years
 2004 The Port of Virginia Handled 1,810,000 TEUs
 2003 First 8,000 TEU Vessel Sets Sail
 Require Considerable Dredging
 Require Major Interstate Highways
 Require Major Railroads
 Require Considerable Port Infrastructure

5. Agenda
 The Port of Virginia
 Ports 101
 The VPA 2040 Master Plan
 Summary

7. The Port of Virginia
 The Virginia Port Authority (VPA)
 An Agency of the Commonwealth
 Fosters and Stimulates the Commerce of the
Commonwealth
 Engages in Promoting, Developing, Constructing,
Equipping, Maintaining and Operating the Harbors
and Seaports Within the Jurisdiction of the
Commonwealth
 Virginia International Terminals (VIT)
 A Virginia Non-Stock, Non-Profit Operating Affiliate of
the Virginia Port Authority
 Operates the Terminals Owned by the Commonwealth

9. Economic Impact of The Port
 1999 Economic Impact Study*
165,000 Port and Port-Related Jobs
$762.5 Million in Business Revenues
$60.7 Million in State and Local Taxes
 2003 Bureau of Economic Statistics Report
The Port Plays a Part in Over 180,000 Jobs
Salary and Wages in Excess of $5 Billion
*Source: Martin Associates

10. Distribution of Ship Calls
at The Port of Virginia
 More Than 75 Steamship Lines Serve the Port
 Sailings to Over 250 Ports in 100 Overseas Locations
The Port of Virginia is within a
1-day drive of over 2/3 of the
U.S. population and 301,000
manufacturing firms
780
The Port
of Virginia 468 832
364
780 208
260 The Port of Virginia is within
750 miles of 60% of the nation’s
total personal income and
52
consumer expenditures
*Many services call more than one tradelane.

11. U.S. National Gateways
Vancouver, BC
90% of Containerized
Seattle/Tacoma
Trade Moves Through 10
North American Port
Gateways
New York/
New Jersey
Oakland
The Port of Virginia is the
7th Largest Gateway
Los Angeles/
Long Beach
Charleston
Savannah
Houston Miami

12. U.S. Cargo Trends
 44% of U.S. Import Cargo Comes into the Port of
Los Angeles/Long Beach
 Transported to Mid-West via Rail and Truck
 West Coast Port Congestion Has Diverted Cargo
to East Coast Ports via All-Water Route
 VPA Experienced Major Growth in Asia Trade
Lanes in 2004
 SE Asia  19.6%
 NE Asia  22.8%

13. VPA Containerized Trade
by Region
450,000
Percentage Share of Total
400,000 30.1%
350,000 27.3%
TEUs
300,000
250,000
200,000
150,000 11.1%
10.0%
100,000 6.4% 5.8%
50,000 3.1% 3.9%
0.3% 0.6% 0.2% 1.0%
S AMERICA
N EUROPE
C AMERICA
INDIA
MED
OCEANIA
AFRICA
NE ASIA
SE ASIA
CARIB
N AMERICA
Source: PIERS Trade Data, 2004 MID EAST

14. The Intermodal Gateway
 The 1.81 Million TEUs
Exported/Imported From
the Port of Virginia in 2004
Were Transported to
Inland Markets Using:
 Barges (12% of TEUs)
 Rail (22% of TEUs)
 Trucks (66% of TEUs)

15. The Port of Virginia Cargo Origins and Destinations
 Origins and
Destinations
Throughout the
Mid-Atlantic &
Mid-West
 Over 55% of
Cargo Enters
CONTAINER VOLUME
or Leaves 1 - 1,000
1,001 - 2,500
the State 2,501 - 7,500
7,501 - 15,000
15,001 - 45,000

16. Agenda
 The Port of Virginia
 Ports 101
 The VPA 2040 Master Plan
 Summary

17. Ports 101
20’
 Port Capacity and
Productivity is Often
Measured in TEUs
One 20’ container = 1 TEU  TEU Stands for
40’
“Twenty Foot
Equivalent Unit”
 Original Containers
Were 20’ Long
One 40’ container = 2 TEU
53’  Today, Most Cargo is
Moved in 40’
Containers
Typical over the road truck

20. On-Dock Operations
 Container Vessel Arrives at VPA Marine Terminals Using Deep
Water Navigation Channels in the Hampton Roads Harbor

21. On-Dock Operations
 Containers are Unloaded  New Cranes at NIT South Terminal are
from the Ship Using the Largest, Fastest, and Most Efficient
Specialized Cranes Container Cranes in the World

22. Live Gate System
With Straddle Carrier
 Containers are Picked-Off the Wharf by Specialized
“Straddle Carrier” Vehicles

23. Live Gate System
With Straddle Carrier
 Straddle Carriers Transfer  Transport & Location of Each
the Box to the Container Container is Tracked Using Highly
Yard for Temporary Storage Sophisticated Electronic Systems

24. Live Gate System
With Straddle Carrier
 Straddle Carriers Remove the  A “Live Gate” Operation Allows
Container from Storage and Just-In-Time Scheduling of
Load it onto Trucks Trucks Picking-Up Containers

25. Gate Operations
 Trucks are Processed at the Gate Interchange for Cargo
Validation and a Special Roadability Safety Check

26. Gate Operations
 Trucks are Processed at the VPA  Increased Security Since 9/11
Port Police Security Gate before  All Port Police are Sworn Law
Exiting the Terminal Enforcement Officers

27. Agenda
 The Port of Virginia
 Ports 101
 The VPA 2040 Master Plan
 Summary

28. Container Cargo Forecast
3.50
3.00 1.8 Million TEU’s in 2004
9.2% Increase From 2003
2.50
TEUs in Millions
2.00
1.50
1.00
Master Plan Forecast*, 4.1% (2000)
0.50
Actual Growth
0.00
98
00
02
04
06
10
12
14
16
18
20
08
19
20
20
20
20
20
20
20
20
20
20
20
YEAR
Source: VPA 2040 Master Plan
*Forecast Numbers Prepared in 2000 and Represent Average Increase Over the 40-Year Forecast Period.

29. Projected Cargo Demand
and Planned Capacity
6,000,000
Containerized Cargo
Forecast, 4.1% AGR
5,000,000 (Source: Global Insight, 2003)
TEUs per year
4,000,000 Planned Capacity
100%
3,000,000
2,000,000 33%
1,000,000
Maersk Maersk CIMT CIMT CIMT CIMT
Existing
Phase I Phase II Phase I Phase II Phase III Phase IV
2001
2005
2010
2015
2020
2025
2030
2035
2040

30. Development Challenges
 The Port Must Meet Cargo Growth Demands to Promote
Economic Development in Virginia
 The Volume of Containers is Estimated to More Than
Double Every 20 Years
 Ship Lines are Moving Toward Larger Ships (10,000+ TEUs),
Which Require…
…Larger Cranes
…More Efficient Marine Terminals
…Efficient Intermodal Transportation Systems (Rail/Roadway)
 Existing Port Infrastructure Requires Renovation and
Replacement
 Existing Terminals are Very Near Capacity

31. Development Challenges
 VPA’s 2040 Master Plan Identifies Major Capital
Improvements Needed to Keep Pace with Growth
 Near Term (0-15 years)
 $510 Million for NIT (Currently Underway)
 $119 Million for PMT
 $27 Million for NNMT
 $6 Million for VIP
 Long Term (15-30 years)
 $1.76 Billion for New Marine Terminal At Craney Island

32. Summary of 2040 Master Plan
Investments
Project Investment1 Time Span
Norfolk International Terminals2 $ 735.0 M 2001 - 2021
Portsmouth Marine Terminal2 $ 187.4 M 2002 - 2015
Newport News Marine Terminal2 $ 25.7 M 2004 - 2010
Virginia Inland Port2 $ 6.1 M 2005 - 2020
Craney Island Marine Terminal $ 1,760.3 M 2009 - 2032
55-Foot Channel Dredging $ 169.2 M 2011 - 2013
TOTAL INVESTMENT: $ 2,883.7 M
Notes: (1) Costs adjusted for inflation. (2) Projects entirely within VPA/VIT control.

33. Sources of VPA Funds
for 2040 Master Plan
Master Equipment State CPF Bonds
Lease Program Appropriations $693 M (24%)
$43 M (2%) $336 M (11%)
Terminal Revenue
Pay-As-You-Go Bonds
$1.26 B (44%) $551 M (19%)
Total Funds Required From All Sources = $2.88B

36. Norfolk International Terminals
Wharf Renovation

37. Norfolk International Terminals
New Cranes

38. Norfolk International Terminals
Elevating Girder Crane

39. Norfolk International Terminals
Backlands Renovation

41. Craney Island Marine Terminal
Terminal Build-Out

42. Schedule to Meet Forecasted Need
Feasibility Study (1999 – 2005)
PED (2005 – 2007)
Dike Construction (2007 – 2009)
Rapid Fill (2009 – 2011)
Phase I (2012 – 2016)
Phase II (2019 – 2022)
Phase III (2026 – 2028)
Phase IV (2028 – 2032)
08
14
18
24
30
04
06
10
12
16
20
22
26
28
32
34
02
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20

43. Regional Economic Impact
of Craney Island
 The Proposed Craney Island Marine Terminal will
Provide Significant Regional Economic Impacts
Craney Island Regional Economic
Impact Forecast (Annually)
Jobs 64,255
Wages $ 1,658,000,000
Taxes – State/Local $ 487,000,000
TOTAL IMPACT $ 5,277,000,000

44. Hampton Roads
Transportation Network
Newport Chesapeake Bay
News
James
River
Norfolk
Virginia Beach
Portsmouth
Port Facility
CIDMMA
Interstate/Highway
Chesapeake Proposed Third Crossing
50/55 Ft Channel
Railroad
Proposed Maersk Terminal
Proposed Craney Island Railway
Proposed Craney Island Terminal

45. Agenda
 The Port of Virginia
 Ports 101
 The VPA 2040 Master Plan
 Summary

46. Summary
 The Port of Virginia is Poised to Double the Amount
of Containerized Cargo Moving Through the Port
over the Next 20 Years
 The Port has a Master Plan Designed to Handle this
Growth
 Master Plan Accounts for Marine Terminals only
 Fiscally Responsible
 Doubling Containerized Cargo, will Provide
Additional Economic Growth – Jobs, Good Wages,
and Tax Revenues
 Transportation Infrastructure Must Be Developed To
Accommodate Future Growth