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Port Houston 2040 Plan Comprehensive Long-Range Plan

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PORT HOUSTON 2040 PLAN COMPREHENSIVE LONG-RANGE PLAN READY FOR THE FUTURE CONTENTS WE ARE READY FOUNDATION FOR THE FUTURE BUSINESS RESILIENCE DISCLAIMER INTRODUCTION TO THE 2040 PLAN THE PLANS OF PORT HOUSTON IMPLEMENTING THE 2040 PLAN This document has been prepared for Port 01 03 05 Houston’s planning purposes only. 1 LETTER FROM THE EXECUTIVE DIRECTOR 19 FOUNDATION FOR THE FUTURE 53 ANTICIPATING AND PREPARING FOR THE FUTURE No person or organization should rely upon 2 EXECUTIVE SUMMARY 20 A COLLECTIVE COMMITMENT the information contained in this document. 54 INFORMED, FLEXIBLE, ADAPTABLE IMPLEMENTATION Moreover, no person or organization should 3 ABOUT THE 2040 PLAN 21 STRATEGIC PLAN 55 CAPITAL INVESTMENT rely upon expectations of Port Houston to 22 KEEPING PEOPLE FIRST meet the strategic objectives or otherwise 23 PLANS TRANSLATE VISION INTO ACTION take any action outlined in this document. Any potential infrastructure development 24 THE FOUR Cs OF THE 2040 PLAN identified in this document will be subject to financial viability, technical feasibility, and environmental and planning considerations, which may vary over time. No commercial PAST AND PRESENT THE FOUR Cs DRIVING REGIONAL PROSPERITY reliance may be placed on any forecasts or 02 AN IRREPLACEABLE PORT 04 2040 PLAN STRATEGIES 06 PARTNERSHIPS FOR COMMON GOALS projects referred to in this document. 7 A PORT AS BIG AS TEXAS 27 CHANNEL 59 DELIVERING RESULTS DELIVERS VALUE ACKNOWLEDGMENTS 9 THE JOURNEY CONTINUES 33 CARGO 60 COOPERATION COORDINATION COLLABORATION Port Houston would like to recognize 11 THE INTERNATIONAL PORT OF TEXAS 39 COMMUNITY 61 2040 PLAN IN CONTEXT the contributions made by its staff, Port Commission, customers, stakeholders, and its 12 AN ESTABLISHED GATEWAY 45 CHANGE 63 A GROWING REGION consultants SWA Group and CAS Group in the 13 PORT HOUSTON ROLES development of this document. 14 A VERSATILE HUB 15 PORTFOLIO OF ASSETS COPYRIGHT This document is the intellectual property of Port Houston and is subject to Port Houston copyright under the copyright law of the United States. All rights are reserved. No part of this document may be published, reproduced, adapted, communicated, or transmitted in any form, in any retrieval system, or media, by any means, in any jurisdiction, without the prior written 2040 permission of Port Houston. WE ARE READY 01 INTRODUCTION TO THE 2040 PLAN 2040 EXECUTIVE SUMMARY READY FOR THE FUTURE PORT COMMISSION Port Houston’s value as an economic catalyst and community partner is as critical as ever. Its location on the nation’s busiest waterway, links to global trade, and diverse cargo moving through its terminals make Port Houston a strategic resource for economic and community success. ROGER GUENTHER EXECUTIVE DIRECTOR The Port Houston 2040 Plan provides a decision-making framework for policies, strategies, initiatives, RIC CAMPO investments, and actions. Port Houston's long-range planning is centered around its dual role as the local CHAIRMAN LETTER FROM THE sponsor of the Houston Ship Channel and the operator of public terminals. Acting on these roles in partnership with the public and private sectors is essential to driving regional EXECUTIVE DIRECTOR prosperity and ensuring that Port Houston is READY for the Future. Greetings and welcome to the Port Secondly, Port Houston operates public DEAN E. CORGEY Houston 2040 Plan! As Port Houston terminals for various cargoes that COMMISSIONER moves into its second century and support every sector of the economy. PORT HOUSTON 2040 PLAN AT A GLANCE builds on the successful legacy of its Operating these terminals provides the past commissioners and staff, we look financial resilience needed to support KNOW the roles — Opportunities, obligations, and assets forward to accelerating the momentum of Port Houston’s vision to be America’s ALIGN to strategic goals — People, Infrastructure, Partnerships, and Stewardship progress to ensure that our stakeholders Distribution Hub for the Next Generation. CLYDE FITZGERALD ACT on focused strategies — The “Four C’s” and 12 initiatives continue to enjoy the social and Prosperity also includes continuing to COMMISSIONER economic benefits it generates, well into promote healthy relationships with our INVEST capital — $1.4 billion over 5 years and potential $4+ billion over 20 years the future. stakeholders, including the communities DELIVER results — Benefits to the region, state, and nation The mission of Port Houston is to Move where our labor force lives, the industries ADAPT and adjust annually — A living document the World and Drive Regional Prosperity. that provide import and export related We have said many times that prosperity jobs, city, county, and state governments, STEPHEN H. DONCARLOS starts with quality of life. That means and, most importantly, our constituents COMMISSIONER jobs, access to goods, avenues for across the region. These relationships are THE FOUR Cs exports, and growing commerce that integral to Port Houston’s planning, which works integrally with and for our is geared towards long-term resiliency, communities. Events surrounding the sustainability, and preparing for the CHANNEL | SPONSOR HOUSTON SHIP CHANNEL global pandemic and social justice in future. ROY D. MEASE Support continuing regional growth through channel expansion 2020 have emphasized the need to think With these important roles as the COMMISSIONER innovatively and act collaboratively backdrop, Port Houston will continue to to strive towards economic equality, promote prosperity in the region. This diversity, and inclusion. requires defining what our priorities CARGO | PROMOTE CORE BUSINESS As Port Houston continues its journey into should be, what projects need to be Maximize operating performance to support growth the 21st century, it supports prosperity by developed, what investments are required, WENDY MONTOYA CLOONAN fulfilling two main roles. and what policies should be pursued. The COMMISSIONER Firstly, Port Houston is the local sponsor Port Houston 2040 Plan serves as the of the Houston Ship Channel, which is the blueprint to guide those decisions. Our COMMUNITY | ENHANCE COMMUNITY CONNECTIONS key artery for commerce in and out of the focus on Channel, Cargo, Community, and Optimally partner and steward resources to benefit stakeholders. Houston region and a gateway to national Change frames our journey, and we are excited to have you onboard. CHERYL D. CREUZOT and international trade. Without the COMMISSIONER channel operating safely and efficiently, our regional and national economies CHANGE | PREPARE PORT OF THE FUTURE cannot be robust and resilient. Adapt new trends and technologies to create value, sustainability, and resilience Roger Guenther 1 PORT HOUSTON 2040 PLAN PORT HOUSTON 2040 PLAN 2 ABOUT THE 2040 PLAN A MARATHON, NOT A SPRINT The 2040 Plan was prepared in 2020, a year when the future could not have been more uncertain. The Port Houston 2040 Plan (2040 Plan) is a blueprint for Port Houston's growth and PROCESS TIMELINE The years leading up to 2020 held record setting cargo growth across Port Houston. An energy development over the next 20 years. Its purpose is to support informed decision- renaissance for the Greater Port of Houston and the U.S. was in ascendance. The maritime industry making while being comprehensive, practical, and adaptable over time. The 2040 was undergoing an accelerating techno-evolution providing opportunities to improve efficiencies. Plan is driven by Port Houston’s mission and vision as well as by four distinct Port Houston was proactively preparing for the next generation of global trade with planning for the strategies which emerged through the planning process. These strategies are 1 PROJECT PLANNING HSC expansion. Then, in early 2020, an unprecedented event in the form of a global pandemic led to APRIL 2018-DECEMBER 2019 known as the Four C’s – Channel, Cargo, Community, and Change, and are intended decline in consumer demand causing global trade and economic activity to slow down. to guide the next generation of Port Houston’s plans, policies, and investments. Despite these historic events, the 2040 Plan looks out over the next 20 years. As part of its long- 2 PLAN DEVELOPMENT For over a century, Port Houston has worked proactively on its objectives and DECEMBER 2019-SEPTEMBER 2020 range planning, Port Houston continuously evaluates the impacts of such events and adjusts its obligations as a port authority, port operator, navigation sponsor, and responsive short, mid, and long-term implementation initiatives. Technology advancement is likely to keep and responsible partner to support economic growth. As it continues its journey infuencing the maritime industry as well as economic development and innovation, both in the region STAKEHOLDER into the 21st century, Port Houston is taking a holistic approach to its plans for 3 and globally. Energy demand will continue to be an important component of the regional, state, and the future to continue to drive regional prosperity. The expansion of the Houston ENGAGEMENT national economies with billions already invested in facilities along the HSC. Embracing the 2040 Plan Ship Channel (HSC), in particular, will have transformational effects on Houston's INTERNAL and its adaptable implementation will ensure Port Houston continues to be a catalyst for economic maritime sector. The 2040 Plan identifies initiatives that address a broad range MARCH 2020-JULY 2020 prosperity and job creation for the Houston region and beyond in the decades to come. EXTERNAL of topics
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