Seaports Magazine - Fall 2016 - 42

"It all comes down to time. The ship, the crew, the fuel...those are all fixed. The port can't affect how fast [goods] travel but can affect how fast they unload and load." -Dean Haen, Director, Port of Green Bay The self-discharging bulk carrier ship, Manitowoc, slides past the City Deck in downtown Green Bay. reinvest in the pipe, it will take three years to repair or replace. Petroleum exports to Canada had been a source of growing cargo for the port - a business line that will not be easily replaced. The port is working to increase its cargo throughput with agriculture-related and paper product imports, seeking to utilize the assets it has to attract new business to the port. "Don't let pieces of equipment stand idle," said Haen. "Offer [the customer] the least amount of double handling." This is often easier said than done. Strawbridge described it as a chicken-andegg question - invest port dollars in facilities and equipment to attract business or wait for private investments to approach the port and then respond to meet their needs? He urged a balance between the two approaches. On investing first or attracting business first, the Port of Everett is in an unusual position as an operating port. No private marine terminal operators lease land from the port. "No one else invests in long-term infrastructure," said Reardanz. The port is also located next door to Naval Station Everett, and the close proximity means that foreign investment near the military facility is discouraged. Not being able to utilize private or foreign investment is a particular challenge for the Port of Everett, but limited infrastructure dollars are a common woe for ports. "The biggest challenges are dollars and land," said Reardanz. AAPA continues to press in Washington for appropriations to fully fund the TIGER program at $1.25 billion and to ensure that 25 percent of grants awarded each year are for port projects. In FY 2016, port projects received only 12 percent of the total amount 42 AAPA SEAPORTS MAGAZINE awarded. Last year's FAST Act authorized $11 billion of new funds for freight, $500 million of which is for multimodal projects. For the first round of FASTLANE grants that were awarded this year under the new legislation, five ports received approximately $115 million in funding. Still, this federal funding is only part of what ports say Washington could do to increase productivity at non-container ports. Reardanz cited regulatory delays as a hindrance to improvements at ports. "The regulatory environment is increasingly challenging," he said. For example, WRRDA 2014 section 2102 authorized environmental dredging, but the Corps still hasn't written the guidance to implement that portion of the legislation. Coordinating among various agencies for permit approvals is also frustrating and time-consuming. "How do you mix and match approval processes?" Reardanz asked. Strawbridge sees a glimmer of hope on the issue of energy, which relates to port productivity as well. "There is a lot of bipartisan support for energy independence," he said, discussing how the Port of Corpus Christi is poised to have one of the largest LNG export terminals in the country. The port is also taking advantage of the recent decision to lift the ban on U.S. crude exports. As the United States moves to export more energy, low energy costs can help increase productivity at ports. But gains can also be made without cutting costs or investing in new equipment. Strawbridge said the Port of Corpus Christi recently stood up a port optimization working group that includes port users (beneficial cargo owners), ship agents, pilots, linesmen and others. The group meets once a month and is an opportunity for those on the front lines to share ideas for making the port more productive. "We find ideas that we think will have the biggest bang for the buck and try them out," he said. "Sometimes it works. If not, we know we tried." Strawbridge called it "non-sexy stuff" but also said "it accumulates." Business process reengineering can yield improvements in productivity on the low end from 12 to 15 percent, said Strawbridge, and as high as 35 percent. However, it often requires addressing entrenched cultural norms. "If someone can't explain beyond 'that's the way we have always done things,' then that's a red flag to dig deeper and ask why," he said. The Port of Corpus Christi has used interns to stand on the terminals with stopwatches to record how long parts of the loading or unloading process take. After the port has that data, it then asks itself, "How can we speed up the time?" It also attempts to learn from private sector entities such as Valero and Citgo, asking companies for their best practices. "Private does a much better job of driving on efficiency," said Strawbridge. At the end of the day, non-container ports feel the same pressure as container ports to deliver for their cities, counties, states and regions. "Jobs is a big part of why we are here and why we exist," said Reardanz. "We need to deliver a return on state and local taxes." Green Bay's Haen said, "You know if you're winning or losing by the business you're bringing in." ●

Table of Contents for the Digital Edition of Seaports Magazine - Fall 2016

AAPA Headquarters
From the President’s Desk
Seaports Congestion and Cargo Movements
The Future of Automation
Port Cooperation: In the Name of Productivity
Strategy at Seaports Is Key to Handling Capacity Challenges
Thinking Outside the Box: Productivity at Non-Container Ports
Latin America’s Proactive Approach
Cruise Port Productivity — Upgrading Infrastructure for a Growing Industry
Modernizing America’s Ports for the Next Generation
Thank You, Helen Delich Bentley
Working Together for Seamless Experiences
Optimizing Systems for Profitability
New Orleans Marketplace
Index of Advertisers
Seaports Magazine - Fall 2016 - bellyband1
Seaports Magazine - Fall 2016 - bellyband2
Seaports Magazine - Fall 2016 - cover1
Seaports Magazine - Fall 2016 - cover2
Seaports Magazine - Fall 2016 - 3
Seaports Magazine - Fall 2016 - 4
Seaports Magazine - Fall 2016 - 5
Seaports Magazine - Fall 2016 - AAPA Headquarters
Seaports Magazine - Fall 2016 - 7
Seaports Magazine - Fall 2016 - From the President’s Desk
Seaports Magazine - Fall 2016 - 9
Seaports Magazine - Fall 2016 - Seaports Congestion and Cargo Movements
Seaports Magazine - Fall 2016 - 11
Seaports Magazine - Fall 2016 - 12
Seaports Magazine - Fall 2016 - 13
Seaports Magazine - Fall 2016 - 14
Seaports Magazine - Fall 2016 - 15
Seaports Magazine - Fall 2016 - The Future of Automation
Seaports Magazine - Fall 2016 - 17
Seaports Magazine - Fall 2016 - 18
Seaports Magazine - Fall 2016 - 19
Seaports Magazine - Fall 2016 - 20
Seaports Magazine - Fall 2016 - 21
Seaports Magazine - Fall 2016 - 22
Seaports Magazine - Fall 2016 - 23
Seaports Magazine - Fall 2016 - Port Cooperation: In the Name of Productivity
Seaports Magazine - Fall 2016 - 25
Seaports Magazine - Fall 2016 - 26
Seaports Magazine - Fall 2016 - 27
Seaports Magazine - Fall 2016 - 28
Seaports Magazine - Fall 2016 - 29
Seaports Magazine - Fall 2016 - 30
Seaports Magazine - Fall 2016 - 31
Seaports Magazine - Fall 2016 - 32
Seaports Magazine - Fall 2016 - 33
Seaports Magazine - Fall 2016 - Strategy at Seaports Is Key to Handling Capacity Challenges
Seaports Magazine - Fall 2016 - 35
Seaports Magazine - Fall 2016 - 36
Seaports Magazine - Fall 2016 - 37
Seaports Magazine - Fall 2016 - Thinking Outside the Box: Productivity at Non-Container Ports
Seaports Magazine - Fall 2016 - 39
Seaports Magazine - Fall 2016 - 40
Seaports Magazine - Fall 2016 - 41
Seaports Magazine - Fall 2016 - 42
Seaports Magazine - Fall 2016 - 43
Seaports Magazine - Fall 2016 - Latin America’s Proactive Approach
Seaports Magazine - Fall 2016 - 45
Seaports Magazine - Fall 2016 - 46
Seaports Magazine - Fall 2016 - 47
Seaports Magazine - Fall 2016 - 48
Seaports Magazine - Fall 2016 - 49
Seaports Magazine - Fall 2016 - Cruise Port Productivity — Upgrading Infrastructure for a Growing Industry
Seaports Magazine - Fall 2016 - 51
Seaports Magazine - Fall 2016 - 52
Seaports Magazine - Fall 2016 - 53
Seaports Magazine - Fall 2016 - 54
Seaports Magazine - Fall 2016 - 55
Seaports Magazine - Fall 2016 - Modernizing America’s Ports for the Next Generation
Seaports Magazine - Fall 2016 - 57
Seaports Magazine - Fall 2016 - Thank You, Helen Delich Bentley
Seaports Magazine - Fall 2016 - 59
Seaports Magazine - Fall 2016 - Working Together for Seamless Experiences
Seaports Magazine - Fall 2016 - 61
Seaports Magazine - Fall 2016 - Optimizing Systems for Profitability
Seaports Magazine - Fall 2016 - New Orleans Marketplace
Seaports Magazine - Fall 2016 - 64
Seaports Magazine - Fall 2016 - 65
Seaports Magazine - Fall 2016 - Index of Advertisers
Seaports Magazine - Fall 2016 - cover3
Seaports Magazine - Fall 2016 - cover4
Seaports Magazine - Fall 2016 - divider1
Seaports Magazine - Fall 2016 - divider2
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