pacific northwest waterways association · modernizes cost -share for deepening ... japan •...

1

American Association of Port Authorities703.684.5700 • www.aapa-ports.org

Pacific Northwest Waterways Association

Susan MonteverdeVice President of Government RelationsAmerican Association of Port Authorities smonteverde@aapa-ports.org

March 13, 2017

2

Seaports Deliver Prosperity

For American workers, consumers and communities seaports deliver vital goods and services to consumers, ship U.S. exports, create jobs and support local and national economic growth.

3

2016 Federal Programs and Ports

• DOT -$160.4 million first-year FASTLANE Grants to seaports – Freight Focused

• DOT -$61.8 million seaport TIGER funds

• FEMA -$27.3 million in port security grants given to AAPA members seaports

• EPA - $11.5 million of the $26.5 million Diesel Emissions Reduction Act (DERA) grants for 12 seaport projects

• Corps of Engineers • Increased HMT Funds • First payments - $25 million

for Donor and Energy Transfer Ports

• WRDA-passed

footer goes here

4

CONGRESS PASSES WIIN

• Returns to a two-year schedule• Reauthorizes several seaport deepening projects• Modernizes cost-share for deepening• HMT

• Stabilizes HMT Spending, Ensuring Continued Progress Towards Full Use• Permanent full-use taken out

• Extends the HMT Donor and Energy Transfer program• Makes technical revisions and streamlining provisions

footer goes here

5

AAPA’s Focus On the New Administration/Congress

• TRADE

• INFRASTRUCTURE

• TAX REFORM

• SANCTUARY CITIES

• ENVIRONMENT

footer goes here

6

President –Elect Trump’s 100 Day Pledge

• Regulatory Reform• Withdrawal from Trade Agreements

• NAFTA• Trans-Pacific Partnership

• Label China a currency manipulator – duties could raise up to 45%• Identify all foreign trading abuses that unfairly impact American

workers• Lift restrictions on energy production – more exports• Cancel U.N. climate change programs and use the money to fix

America’s water and environmental infrastructure • Cancel all federal funding to sanctuary cities

footer goes here

7

Early Action By President Trump

• Freeze on Federal Hiring –CBP exempt

• Withdrawal from TPP• Expedited environmental

review for priority infrastructure projects

• Ban on discretionary funding to sanctuary jurisdictions

• Review of Waters of the U.S. rule

• 2 Regulatory reform and regulatory reduction EO

• Appointments of DHS, DOT, Commerce, EPA and DOE Secretaries• No nominees for Corps,

MARAD or USTR

footer goes here

8footer goes here

9

Trade• Withdrawal from Trade Agreements

• Trans Pacific Partnership• NAFTA – Canada and Mexico• T-TIP with EU

• Increasing Tariffs on Imports• Border Adjustment Tax • Stricter trade enforcement• China currency manipulator

• Promoting Manufacturing • Buy America• Penalize and punish U.S. manufacturers who move jobs out of the U.S.

• Reorganization of Department of Commerce • Eliminate International Trade Administration

footer goes here

10

What is the TPP?

• The Trans-Pacific Partnership (TPP) writes the rules for global trade—rules that will help increase Made-in-America exports, grow the American economy, support well-paying American jobs, and strengthen the American middle class. (source USTR)

• Australia• Canada• Japan• Malaysia• Mexico• Peru• United States• Vietnam• Chile• Brunei• Singapore• New Zealand

footer goes here

11

$1 Trillion for Infrastructure Over 10 years

• Encouraging P3’s a priority – tax incentives

• Highway, bridges and airports often a priority

• Need to start in 90 days• Focus on jobs and

geographic diversity• Need to highlight port

needs

footer goes here

12

Infrastructure – and Seaports- Can P3 Work For Seaports?

• Waterside – Modernize and fully maintain federal navigation channels• Construction• HMT full Use

• Landside – Eliminate Bottlenecks and Expand Capacity• Increase multi-modal

funding

• Enhance the environment and build resilience• DERA• NOAA

• Secure America ports and borders • Cyber• Port Security Grants

footer goes here

13

Port Infrastructure NeedsLandside Need

• $29 billion need identified in AAPA Report State of Freight including nearly $2 billion in TIGER needs

• DERA• Port Security Grants

Waterside • Use $9 billion in the

HMTF to address backlog• Fulling use HMT revenues

(current target for FY 2017 only 71%)

• Fully Fund authorized construction projects -$3.1B – at current funding level it would take 20 years to complete.

General Stevedoring Council's New York Luncheon

14

15

STATE OF FREIGHT II/ AAPA and AASHTO REPORT

29 States 6202 Projects $258,698,283,920

• Rail - 10 states provided freight rail needs at $5.9 billion for 270 projects.

• Distribution - Four states provided distribution project needs at $581,620,200 for 25 projects. An additional 6 states provided 27 projects with no cost estimates, bringing the total project number up to 57 for 10 states.

• Inland Waterway - 13 states submitted a total of 365 inland waterway surface transportation projects. Seven states submitted 298 projects with projected costs totaling $13 billion.

• Highway – 3,152 totaling $96 billion from 12 states were reported and eight states submitted projects with no cost estimates attached to them.

• Undefined- Three states submitted projects without breaking projects out into modes and costs for a total of 747 projects and $147 billion.

16

Sanctuary Cities Executive Order

• Could impact public infrastructure funds as ports are state or local entities• DOT – FAST Lane, TIGER• DHS – Port Security grants• EPA – DERA port emissions grants• EDA – Economic Development Grants• MARAD • Any new Infrastructure funding program• State FAST Act and Corps most Corps programs not impacted.

• AAPA letter to the Attorney General - Port grants should be exempt as we must comply with federal security laws

footer goes here

17

Tax Reform

• A mechanism to address the problems with the HMT • Make HMT spending mandatory• Determine a formula for spending

• Provide permanent HMT funding for donor and energy transfer ports

• Provide a mechanism to allow more funding for maintenance needs

• Offset needed - $20 billion

footer goes here

18

AAPA FY 2017 Appropriations Priorities

• Waterside• HMT• Construction

• Landside• TIGER• FAST Lane

• Environment• DERA Grants

• Security• Port Security Grants• CBP Staffing

• Trade

footer goes here

19

FY 2017 Energy and Water Recommendations

Above the President’s Budget Request

• $381.3 million additional Operations and Maintenance account funding included in the House bill

• $325.25 million additional Construction funding included in the House bill

• $50 million Donor and Energy Transfer Port funding in the Senate bill and

• $15 million additional Investigations funding in the Senate bill

footer goes here

20

OTHER FY 2017 Recommendations

General Stevedoring Council's New York Luncheon

• TIGER – Support the Senate number of $525 million versus House $450 million

• DERA – Support House number of $100 million versus Senate $25 million

• Port Security Grant – Both House and Senate are $100 Million

• CBP – Support 500 new maritime officers – not in either bill

21footer goes here

22

Environment and the Trump Budget

EPA Budget• Proposed 25% cut• DERA Grants• EPA Port’s Program

• Community Outreach

• Focus on core requirementsOther Environmental Programs

• Executive Order on Environmental Streamlining• CEQ in Charge

• All Climate Change Programs Cut

footer goes here

23

Security

General Stevedoring Council's New York Luncheon

• Port Security Grants• 40% cut proposed in Trump budget

• CBP Staffing• Over 500 short in the maritime environment• Shifting the cost to the private sector• Trump priority is the border with Mexico.

24

Exciting Time to be in Washington!

General Stevedoring Council's New York Luncheon