August/September 2010 THE PORT OF

JAMES T. EDMONDS Leading Through Engagement Richardson 2010:Layout 1 1/27/10 10:42 AM Page 1

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For more information please contact our Houston office at (713) 673-1110 August/September 2010 A bi-monthly publication. CONTENTS

In Their Own Words 18 Port Commissioners on their Leadership Vision

New Leadership for Corps’ Galveston District 22 Colonel Christopher W. Sallese

Calm Command of the Waterways 25 Captain Marcus Woodring

Proven Strength in Cargo Security Leadership 14 27 Jeffrey O. Baldwin, Sr. COVER STORY

James T. Edmonds Leadership on the Waterfront Leading Through Engagement 28 Clyde Fitzgerald

IN EVERY ISSUE Guiding Force for the Maritime Industry 30 Nathan Wesely

6 A Message from Chief Executive Officer Leading Vessels Safely Alec G. Dreyer Captain Thomas C. Pace, Jr. 31 8 The Manifest PHA news highlights 37 Business Connections Man with a Mission Houston Citizens Chamber 33 Robin Riley of Commerce 

38 Spotlight on Small Business Richard Ruchhoeft 2010 Petrochemical & Maritime 35 Outlook Conference Executive Office Port of Houston Authority 111 East Loop North P.O. Box 2562 Houston, TX 77252-2562 Phone: 713-670-2400 THE PORT OF HOUSTON Fax: 713-670-2429 Chief Executive Officer AUTHORITY Alec G. Dreyer Senior Vice President & General Counsel Erik A. Eriksson Senior Vice President, Engineering & Real Estate James B. Jackson James T. Edmonds Senior Vice President, Operations Chairman Jimmy M. Jamison Vice President, Container Terminals Roger D. Guenther Vice President, Finance & Administration Thomas J. Heidt Vice President, Public Affairs Argentina M. James Steve Phelps Vice President, Strategic Planning Commissioner Charlie D. Jenkins Vice President, Origination Ricky W. Kunz Vice President, Small Business Development Gilda Ramirez Vice President, Economic Analysis Olga L. Rodriguez James W. Fonteno, Jr. Vice President, Human Resources Commissioner Melanie Sherman Controller Maxine N. Buckles Harris County Auditor Barbara J. Schott

Kase L. Lawal Commissioner Field Offices Central & South America Brazil (excluding Brazil) John C. Cuttino Arturo Gamez Brazil Representative Central & South America Representative Port of Houston Authority Avenida Aquilino De La Guardia y Calle 47 Av. Paulista, 2300-Andar Pilotis Ocean Business Plaza Building, Mezzanine Sao Paulo, SP Brazil, CEP: 01310-300 Panama, Republic of Panama Tel. +55 (11) 2847-4931 Jimmy A. Burke Tel.: +(507) 340-0205 Fax +55 (11) 2847-4550 Commissioner Fax: +(281) 754-4647 Houston Access (832) 239-5076 Houston Access (713) 491-4607 Email: [email protected] Email: [email protected]

Port of Houston Magazine’s editorial staff: Argentina M. James, vice president, public affairs • Lisa Ashley-Whitlock, director, corporate communications • Janiece Longoria Felicia Griffin, corporate communications manager• Maggi Stewart, com- Commissioner munications specialist • Edwin Henry, communications specialist • David Bray, photographer • Chris Kuhlman, photographer • Esther de Ipolyi, contributor • Bill Hensel, contributor • Gilbreath Communications, Inc. This publication is not copyrighted and permission is given for the reproduction August/September 2010 or use of any original materials, provided credit is given to the Port of Houston | Authority. Additional information, address changes, extra copies, or advertising specifications may be obtained by writing to the Port of Houston Magazine. The Port of Houston Magazine is published by the Port of Elyse Lanier Houston Authority, P.O. Box 2562, Houston, 77252-2562, Commissioner and is distributed free to maritime, industrial and transportation interests in the and foreign countries. Visit the Port of Houston Authority online

Port of Houston Authority www.portofhouston.com 4 @

A Message From PHA CHIEF EXECUTIVE OFFICER alec G. dreyer

I’m not a big fan of staring in the rear view mirror. I believe in setting challenging goals and striving to reach them. That requires focusing on the path ahead. So, when the opportunity to list my first-year accomplishments as port authority chief executive officer presented itself, I chose to focus on the pipeline of ideas ahead of us.

I would like to share with you some things we’ve put into place during this first year with an eye on becoming stronger in the future than we’ve ever been before.

Strategic planning is a priority.

I’m a big believer in forethought. The timeless mantra of the maritime trade – carriers go where the cargo is – seems to suggest seaports can do little to influence cargo flow and, ultimately, their own destinies. I don’t buy into that premise. I believe strategic planning, prudent forecasting and targeted marketing, coupled with other sound business practices, can dictate a seaport’s course as dramatically as any radical event beyond one’s immediate control. our resources in the areas of market development and Consequently, regular strategy meetings are now a part small business development. of the port authority agenda. Goal setting, planning and Additionally, we have initiated a mentoring program to market analysis will be cornerstones of our operations assist our participant small businesses, to be a resource and model moving forward. advisor. It’s our goal to help the area’s small businesses get Our staffing reflects that commitment. We’ve placed over the start-up hurdle, to become viable entities unto August/September 2010

| unprecedented emphasis on our information technology themselves and then to thrive for the long term. That’s resources — an obvious necessity of the 21st century. real economic development! We’ve added a senior director of strategic planning and We are intensifying our capital investment program. a vice president of economic analysis. We have expanded We recently accepted delivery of three additional wharf Port of Houston Authority 6 Strategic planning is a priority…Goal setting, planning and market analysis will be corner- stones of our operations model moving forward.

cranes at our Bayport Container Terminal — essentially this kind of cargo through our facilities better than any- bringing the terminal to the 50-percent completion stage. one else in the industry — ultimately to solidify this port’s We have committed ourselves to expanding Bayport at dominance in the breakbulk category of freight. the rate that market demand dictates. Why is the target of this focus so critical now? Because in For us, the strategic consideration is whether we’re the fast-paced, ever-evolving 21st century, the future truly building the remaining 50 percent fast enough. At present, is upon us now. It doesn’t really matter which economist completion of this terminal is earmarked for around 2020. you listen to, the most aggressive or the most conservative. Another focus is enhancing and reinvesting in our Sometime between 2030 and 2040, just two decades from Barbours Cut Container Terminal. This facility is almost now, Houston’s population is projected to more than dou- 35 years old and needs significant reinvestment to han- ble. If we are to successfully manage and serve that growth, dle the volume and size of ships that we expect over the we must begin preparing for it immediately. next few years as the container liner industry continues As this post-recession economy recovers and reshapes to mature. The completion of the Panama Canal expan- itself, we must be ahead of the typical planning curve in sion in 2014 will only add emphasis to these needed order to optimize the economic value that the taxpayers capital improvements. of Harris County have entrusted to us. Our venerable Turning Basin terminals, located at the navigational head of the , are long overdue for modernization and expansion. Frankly, we are just now starting to do things at the Turning Basin that could have been addressed 30 years ago. We intend to make significant reinvestment in our existing breakbulk wharves; some of the first big changes are just now getting under way. As the nation’s leader in that category of cargo movement, Houston’s port must deliver nothing but the best. You’ll see us examine how we can increase the cargo-handling capacity of our breakbulk facilities by adding more wharf capacity, and by rejuvenating some of our outdated docks. We need to get our breakbulk wharves upgraded to better serve current and anticipated future uses. We’ll also focus on operational efficiencies — we need to move

THE MANIFEST pha news highlights

EDMONDS TOUTS PORT’S GLOBAL IMPACT TO CITY’S INTERNATIONAL BUSINESS INITIATIVES GROUP

Affirming the global impact of the Port of Houston, Port Commission Chairman James T. Edmonds testi- fied before the Houston City Council’s International Business Initiatives Committee on July 29 at City Council Chambers. Edmonds’ remarks focused on the Port of Houston Authority’s role in Houston’s inter- national business scene as well as how the port can contribute to the vision of a more global Houston. Commissioner Janiece Longoria and CEO Alec G. Dreyer were among attendees. Port Commission Chairman James T. Edmonds and Houston City Council International Business Initiatives Committee Chairwoman Jolanda “Jo” Jones. Noting that the Port of Houston is the largest port in the Gulf Coast and leads the nation for exports, The committee chaired by Jolanda “Jo” Jones, which Edmonds said, “Therefore, it isn’t difficult to assess the includes city council members Al Hoang, Jarvis Johnson, global impact of the Port of Houston.” Mike Sullivan, James Rodriguez, Edward Gonzalez and He said PHA staff aggressively promotes Houston C.O. Bradford, considers strategies to encourage inter- as a premier global entry/exit port for international national trade and investment in Houston communi- cargoes. The port authority hosts international visi- ties and provides liaison to the Houston International tors, and the port is also represented in major inter- Protocol Alliance, the Sister Cities International pro- national trade shows and exhibitions. gram and Houston’s consular corps.

$1.5 MILLION EPA GRANT FOR PHA, MAERSK TO HELP REDUCE VESSEL EMISSIONS

A National Clean Diesel Campaign grant for nearly The goal of $1.5 million to the Port of Houston Authority and these emission Maersk Line is aimed at improving air quality by reductions is reducing vessel emissions. Maersk partnered with the to improve U.S. Environmental Protection Agency (EPA) on the local air qual- first-ever low-sulfur “fuel switch” demonstration on a ity and public container ship in the last November. health in the Funded by the National Clean Diesel Emissions Houston-Galveston-Brazoria non-attainment area. Reduction Program (DERA), the grant will pay the While fuel switching is prevalent along the West differential costs incurred when Maersk Line vessels Coast, this project will be the first of its kind along switch from high-sulfur bunker fuel to lower sulfur the U.S. coast of the Gulf of Mexico and specifically August/September 2010

marine diesel while approaching Texas waters. The involving the Port of Houston Authority. | Maersk vessels call at the APM Terminals located at The program will be the latest initiative launched PHA’s Barbours Cut complex. under the port authority’s Clean Air Strategy Plan The program was set to begin in August with (CASP), an outreach and implementation plan dem- 19 Maersk Line vessels participating and will run onstrating PHA’s commitment to environmental stew- until March 31, 2012. ardship, air quality improvements and sustainability.

Port of Houston Authority 8

THE MANIFEST pha news highlights

Port preparing for growth, Dreyer tells Greater Houston Partnership

The Port of Houston Authority is preparing for sig- A primary focus will be on completing the new nificant changes expected in the next two decades as Bayport Container Terminal, the first phase of which Houston’s population doubles and the Panama Canal opened in early 2007. expansion is complete, CEO Alec G. Dreyer told “This kind of growth members of the Greater Houston Partnership at a necessitates a daunting June 21 luncheon. The group toured the port author- amount of capital,” he ity’s Bayport and Barbours Cut container terminals, said. “I believe the Port followed by an overview of port operations by Dreyer of Houston Authority will at Landry’s Seafood Restaurant in Kemah. need a minimum of some Dreyer said the Port of Houston Authority and $3 billion by 2030 to meet the Greater Houston Partnership, which have been its investment objectives. working together for 58 years, had similar missions: A majority of this amount to promote Houston as a center of commerce to the will come from our own world, attracting more business to the region and generated earnings — as it improving quality of life. should be.” Dreyer noted that 20 to 35 percent more container In the near term, the traffic is expected to move through the Panama Canal port authority has some after its 2014 expansion and the port authority was $345 million in capital improvement projects moving ahead on several strategic fronts. planned for 2010 and 2011.

Port security highlights Kentucky Congressman Rogers’ briefing

U.S. Rep. Harold “Hal” Rogers (R-Ky.) learned Rogers, the highest-ranking Republican on the about the importance of public-private partnerships U.S. House Homeland Security Appropriations in ensuring a secure port at a June 21 briefing hosted Subcommittee, was in Houston at the invitation of by Port of Houston Authority officials. U.S. Rep. John Culberson. Culberson, as well as U.S. Rep. Gene Green, also attended the briefing. Rogers was introduced to key security partners, including Harris County Precinct 2 Commissioner Sylvia Garcia, Harris County Sheriff Adrian Garcia and Texas State Senator Mike Jackson. The briefing highlighted the public-private coop- eration at the Port of Houston on homeland security August/September 2010

efforts and the port’s impact on the nation’s economy | and energy security. U.S. Rep. Harold Rogers, Port Commissioner Elyse Lanier and Harris County The group also toured the Turning Basin terminals Precinct 2 Commissioner Sylvia Garcia observe as U.S. Rep. Gene Green points out highlights on a massive map of the Houston Ship Channel. and Port Coordination Center. Port of Houston Authority 9 THE MANIFEST pha news highlights

Edmonds testifies on emergency preparedness

Relating how emergency preparedness is handled at the community at the Port of Houston has a strong Port of Houston, Port Commission Chairman James tradition of effective collaboration and communi- T. Edmonds testified before the Texas House Select cation,” Edmonds said. Committee on Emergency Preparedness on June 18. Among several federal partners, the U.S. Coast Guard provides primary direction and coordination in the event of disasters such as a hurricane or large- scale spill, he said. “While the federal government provides the over- all guidance and authority on large incidents, each of us along the Houston Ship Channel has developed emergency response plans that conform to standards in federal law,” he said. The port authority’s plan is an ongoing, coordi- nated effort by the Port Security and Emergency Operations Department to respond to any security or emergency situation. The port authority works closely with the Coast Guard, National Oceanic and Atmospheric Administration, federal and local agen- cies as well as steamship lines, steamship agents and Many players are involved in security at the Port terminal operators to provide a coordinated response of Houston, including the port authority, 150 private to emergency situations. industries, as well as partners or authorities at the Edmonds said the port has demonstrated its effec- federal, state and local levels. tive collaboration on security issues, noting the cre- “I am proud to say that when it comes to secu- ation of the Houston Ship Channel Security District, rity and emergency preparedness, the industrial which is a model for the nation.

Texas Congressman Neugebauer briefed on port jobs, economy

U.S. Rep. Randy Neugebauer (R-Tx.) was given an overview of jobs, economic activity and tax revenues generated by the port during a June 2 briefing by Port of Houston Authority officials. Neugebauer serves on the House Agriculture Committee and Science

August/September 2010 and Technology Committee and is the deputy rank-

| ing member of the Financial Services Committee. Neugebauer, who represents the 19th district of Texas, including the city of Lubbock, was also briefed

Port Commission Chairman James T. Edmonds, U.S. Rep. Randy on federal appropriations for the Houston Ship Neugebauer and port authority CEO Alec G. Dreyer Channel and agricultural trade. Port of Houston Authority 10 THE MANIFEST pha news highlights

East End Chamber appreciates port’s contributions

Houston Ship Channel. Port Commission Chairman James T. Edmonds and CEO Alec G. Dreyer spoke at the event, which also honored two of the port author- ity’s police officers for their bravery in assisting the La Porte Police in the rescue and apprehension of a man who had driven his car into the waters of Galveston Bay near the Barbours Cut Container Terminal at the end of a police chase. The port authority has a

Front row, l. to r.: PHA Security & Emergency Operations Director William continuing partnership with the East End Chamber to Crews, Port Police officer Stacy Mickens, Port Police administrative continue providing and developing new opportunities assistant Vanessa Easley and Port Commission Chairman James T. for area businesses. Edmonds. Back row, l. to r.: port authority CEO Alec G. Dreyer, Port Police officers Andrew Farmer and Anthony Kinchen. (Not pictured is police “Over the last several months, we have seen a officer Ruben Loreto, who was recognized along with Mickens for bravery.) gradual upward trend in commodities,” said Edmonds. In recognition of the Port of Houston Authority’s “Having a diverse portfolio of cargo business has been continuing contributions to the region, the East End an advantage, as we weather the economic storm and Chamber of Commerce hosted Port Appreciation prepare for the recovery.” Day on June 9. Ranked first in the nation in foreign Dreyer, who outlined the port authority’s strategy waterborne tonnage and second in total tonnage, the for the future, said, “The strong and vibrant economic Port of Houston’s connection with the East End began engine that is Houston is going to become even more nearly a century ago with the development of the pervasively important here and to the nation.”

Bay Area Houston Economic Partnership benefits future workforce

The Bay Area Houston Economic Partnership “Texas has always (BAHEP) has worked with the Port of Houston found a way to do Authority to aid small businesses and provide for the things better and future workforce, CEO Alec G. Dreyer told BAHEP bigger than other members at a June 23 state of the port presentation. regions of our BAHEP has a diverse membership that encompasses country, and I’m not only the port authority but companies in the aero- convinced that space, petrochemical and healthcare industries, com- we’ll find the right mercial developers, bankers and real estate brokers as way to make sure well as 13 cities in Galveston and Harris counties. our landside infra- August/September 2010

Dreyer cited initiatives such as developing a high structure can fully | school curriculum for the Port of Houston Maritime accommodate the Academy, introduced last year at two local high expected port- schools for students interested in pursuing maritime side commerce,” industry careers. Port authority CEO Alec G. Dreyer Dreyer said. Port of Houston Authority 11 THE MANIFEST pha news highlights

Seminar focuses on logistics, trade with Russia

Import and export trade with Russia and the Port Club of Houston. The event focused on the impor- of Houston was highlighted at a June 30 Russian tance of logistics in Russia. Chamber of Commerce seminar at the Petroleum Among speakers, Brian Reeves, PHA market development manager, cited examples of import/ export trade business from Russia to the Port of Houston. Leading imports include bituminous min- eral, crude oil, aluminum, unwrought iron and steel, tubes and pipes. Leading exports include parts for machinery, special purpose motor vehicles, electric generating equipment and rotary converters, fresh and dried nuts and additives for mineral oils. Elena Bespalova, Russian Chamber of Commerce of Texas, and Vladimir Titarendo, Consulate General of the Russian Federation, spoke on trade and invest- ment opportunities between the Russian Federation and Texas. Representatives from U.S. Customs, Singapore Airlines, Houston Airport System, Parker Drilling and Chandler Shipping discussed such top- ics as customs regulations, new opportunities and Brian Reeves, PHA market development manager DHL practices in Russia.

SE Shipping Lines opens first North American office in Houston

Houston recently local office is managed by Scott Krantzcke and became the first supported by Manfred Blohm, both of whom have North American extensive experience in the breakbulk, project and branch office for heavy lift markets. an international “The opening of a local office here in Houston shipping line. marks a significant step forward in the company’s SE Shipping, a specialized project, breakbulk and commitment to the region,” said Krantzcke. “SE heavy lift carrier, opened in Houston in response Shipping operates a modern fleet of multi-purpose to customer demand and to cater to the growing vessels, catering to the project and heavy lift mar- market presence in the region. The line has been kets. We look forward to further growth during this August/September 2010

| calling in the U.S. Gulf for several years. The exciting period.” Singapore head office decided earlier this year to The SE Verdigris recently called at the port author- further commit to the region with the opening ity’s Woodhouse Terminal, discharging steel cargoes of a representative office in Houston in addition and loading project/general cargoes destined to to offices in Hamburg, Mumbai and Sydney. The Australia and the Pacific markets. Port of Houston Authority 12 THE MANIFEST pha news highlights

Volunteers bag a ton of sand at Eco Bash on the Bayou

More than 400 volunteers turned out to clean up flooding and hurricane preparedness. Volunteers also a portion of Buffalo Bayou that stretches from the helped remove 80 bags of trash and silt from the site Sabine Promenade to the University of Houston- and recycled eight cubic yards of plastic and alumi- Downtown during the Eco Bash on the Bayou. The num. Many stayed to enjoy the Flash & Trash Fashion August 7 event, which also served as a celebration Show featuring recycled garments created by Houston of Houston’s famous waterways, was hosted by First Community College students. Lady of Houston Kathy Hubbard and Former First PHA had an interac- Lady and Port Commissioner Elyse Lanier. tive display that related the The Port of Houston Authority, the city of importance of recycling, Houston, Buffalo Bayou Partnership and more than a and volunteers handed dozen other organizations sponsored the event. out promotional items, About 20 Port of Houston Authority SupPORTers including recyclable, re- were among volunteers who filled 55 bags with sand usable water bottles, hand CEO Alec G.Dreyer was among collected from the banks of the bayou. The 40-pound volunteers filling bags with sand at sanitizers and Clean and sand bags totaling more than a ton will be used for the recent Eco Bash on the Bayou. Green wrist bands.

LETTER TO THE EDITOR

My husband and I took advantage of your boat tour on Friday, June 25, and were pleasantly surprised. The boat and the adjoining pavilion were very, very clean, and the crew could not have been nicer.

Now if someone could just prevent the (litter) from polluting the channel, it would be even better!

Thank you for a very nice experience. We really enjoyed it — and it was something very different!

Sincerely, Alice Porreca Autoarch Architects, LLC

Editor’s note: Since 2007, the Port of Houston Authority and the Buffalo Bayou Partnership have worked together on the Clean & Green Port of Houston Program, an initiative to protect Galveston Bay and the Gulf of Mexico from pollution by halting the flow of debris through storm water drains, the bayou and the port’s Turning Basin. Supervised probationers working off their sentences through community service have logged more than 28,000 hours and collected an estimated 13,000 cubic yards of litter from a 14-mile stretch of Buffalo Bayou. This is enough trash to fill 433 dump trucks. Additional partners that support Clean & Green include Greater East End Management District, Harris County Attorney’s Office, Harris County Precinct 6 Constable Victor Trevino, Harris County criminal court and district court judges, Harris County Department of Community

Service and Supervision, the Ogg Law Firm and Shell Oil Company. August/September 2010

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THE MANIFEST spotlights news briefs exclusively from PHA, its customers, trading partners, and community stakeholders. Submit information

in the form of a letter or press release via e-mail to [email protected] or via fax 713-670-2425. The Port of Houston Magazine does not Port of Houston Authority guarantee publication and reserves the right to edit submissions for content and style. 13 Milestones During 2000 2002 Chairman Edmonds’ SEPTEMBER JANUARY AUGUST The Environmental Protection The port authority establishes its The port authority’s Barbours Tenure Agency names the port authority Small Business Development program, Cut Container Terminal A number of significant benchmarks as the first U.S. port facility with a goal of awarding a minimum and Central Maintenance to train for the creation of 35 percent of all eligible contracts facilities become the first have been reached by the Port of sophisticated environmental to certified small businesses. U.S. seaport facilities with an Houston and the Port of Houston management systems. environmental management JULY 3 Authority since James T. Edmonds system that meets ISO 14001 FISCAL YEARS 2000-2008: The Port of Houston receives the environmental standards. was named chairman of the The port authority posts nine first-ever direct shipment of crude port commission. consecutive years of record- oil from Russia to the United States. setting operating revenue. JIM EDMONDS LEADS THROUGH ENGAGEMENT

The Port of Houston is the nation’s No. 1 port in terms of foreign water- borne tonnage and is responsible for generating more than 785,000 jobs and nearly $118 billion of economic activity in the state of Texas each year. Nationwide, that translates to 1.5 million jobs and $285 billion of economic activity. James T. Edmonds serves as chairman of the port commission of the Port of Houston Authority. He was recently reap- pointed to his sixth term in that position. Members of the commission are appointed to two-year terms and serve without pay.

2003 2004 OCTOBER 1 JANUARY MAY 5 The port authority and the Texas The port authority is issued its federal permit for construction The port authority is granted a summary judgment in federal Parks and Wildlife Department sign a of the Bayport Container and Cruise Terminal. The U.S. district court, dismissing a challenge to the federal permit for memorandum of agreement, confirming Army Corps of Engineers permit is a critical step in the $1.8 construction of the Bayport Container and Cruise Terminal. the port authority’s plan to preserve billion terminal project. coastal prairie habitat as part of the MAY 24 development of the proposed Bayport FEBRUARY The port authority is granted a summary judgment in state Container and Cruise Terminal. The port The Fifth Circuit Court of Appeals unanimously rules that the district court, dismissing a second challenge to the Bayport authority agrees to preserve 456 acres port authority (and Harris County taxpayers) should not shoulder Container and Cruise Terminal construction permit. the $100 million cost to relocate privately - owned submerged along the lower part of the San Jacinto JUNE 21 River and 500 acres on the Katy Prairie. pipelines, in conjunction with the federally mandated deepening and widening of the Houston Ship Channel. Groundbreaking is held at the site of the proposed Bayport Container and Cruise Terminal. Some lead by example; others by exertion. James T. Edmonds leads through engagement. His extensive inter- action with government officials and business leaders, his involvement with Port of Houston Authority staff and the learn-something-new-every-day attitude he brings to the table makes him an ideal emissary for the nation’s largest port in terms of foreign waterborne cargo. He favors the leadership model of Louie Welch, the late former Houston mayor for whom Edmonds served as an aide. “He was a good student of government-fair and totally honest,” Edmonds says of Welch. “His philosophy was: do the right thing; put the institution first, don’t play politics and the real winners will come out ahead. Here, the win- ners need to be the public and our (PHA) customers.” Edmonds has always demonstrated an unquench- able thirst for public service. His interest in the port was sparked during time spent under Welch’s tutelage. “He knew what this port meant to this city,” Edmonds says of the former mayor. “I saw that and I became inter- ested in the port as well.” On June 22, through unanimous votes of Harris County Commissioners Court and Houston City Council, Edmonds was appointed to his sixth consecutive two-year term as chairman of the port commission of the Port of Houston Authority, equaling the five reappointments of his predecessor and friend Ned S. Holmes. It was Holmes who suggested Edmonds consider pursu- ing appointment to the port commission back in 1996.

In the top photo, Chairman Edmonds is honored as “Father of the After receiving the appointment from the Harris County Year” in a “Salute to Fathers” tribute by the nonprofit organization Commissioners Court that year, one of the first things Change Happens. In the bottom photo, he is joined by his wife Annette, daughter Sarah and son Andrew. Edmonds realized was that there is a steep learning curve to the maritime industry. “The subject matter is so broad and vast that it can be difficult to get your arms around it,” Edmonds says. “Two things that helped the most were the AAPA (American Association of Port Authorities) commissioner school and the port authority staff. We have always had a great staff here;

2005 2006 2007 AUGUST 10 MAY 5 FEBRUARY 8 The U.S. Fifth Circuit Court of Appeals affirms the The first four electric wharf cranes “The Berth of Bayport” celebration marks the grand opening 2004 judgment that dismissed a challenge to the arrive in Houston from China for of the most technologically advanced container terminal on the federal permit for the port authority’s Bayport delivery to the port authority’s U.S. Gulf Coast. More than 800 guests include elected officials, Container and Cruise Terminal project. Bayport Container Terminal. port commissioners, community leaders, labor leaders and representatives of the maritime industry. AUGUST 18 The completion of the widening and deepening JUNE 15 of the Houston Ship Channel, a project destined Texas Gov. Rick Perry visits the port authority to ceremonially to further fuel the port’s remarkable growth, is sign House Bill 3011. Its enactment earlier in the year authorized celebrated by more than 300 public officials, creation of the Houston Ship Channel Security District—the first community and business leaders, and other of its kind in the nation. invited guests. they’re very professional and they’re all great teachers. and understanding our roles and priorities and working with The amazing thing is that there is still always some- a talented staff to ensure we accomplish our goals,” he says. thing new to learn.” He lauds the hard-working ranks of longshoremen, call- What Holmes sought was a friend and ally on the com- ing them the “backbone” of the port. Indeed, compared to mission. What he got was a man whose unselfish com- other U.S. ports that have experienced worker strikes and mitment to his community and its port would lead the lock-outs in recent years, labor relations at Houston’s port port authority through what is arguably the most lucra- are among the strongest in the entire maritime industry. He tive and most eventful decade in its 96-year history. (See also says Harris County taxpayers and the officials elected to “Milestones During Chairman Edmonds’ Tenure”). represent them provide the life blood to the port. Edmonds, like his colleagues on the port commission, “I can’t say enough about our state, local and federal serves without pay. He estimates that he spends 35 to 40 officials and the tremendous support they’ve given us,” says percent of his time on port-related business. That equates to Edmonds. “None of this could be accomplished without their working a full-time job — with ample overtime — in addi- support. The residents of Harris County deserve a pat on the tion to running his own consulting firm. He is frequently back, too. They’ve been there for us; been very supportive invited to speak on the port’s behalf at various business of our bond issues. The thanks we give the voters is that we organization and community group meetings and events. responsibly manage the (resources) they approve.” n He candidly admits that he didn’t plan to serve on the port commission this long. He concedes, however, there’s still a lot left to do, and he relishes the opportunity to take on more challenges. “We need to come up with ways to meet our infrastruc- ture needs in the future and to finance that infrastructure, in order for this port to continue to grow in a fashion that is responsible,” he says. “That means highways, roads, rail, air quality and moving goods in a seamless fashion. It means maintaining quality intermodal capability in order to get the product from the docks to the consumer. It means maintaining a safe and secure port.” While Edmonds is considered by many to be the face, the voice, and the personality of the port, he describes his fellow commissioners and port authority staff as the hearts and souls of Houston’s industrial port complex. “I think we’re blessed to have the quality of commis- sioners we have,” he says. “They are dedicated people who have consistently pulled together to make sure the port continues to grow and prosper and to meet its objectives. Chairman Edmonds was honored earlier this year by the Italian Consulate, which presented him with the prestigious Knight Officer Whatever success we’ve had is the result of shared vision of the Order of Merit of the Italian Republic on Italian National Day.

2008 2009 2010 APRIL 22 APRIL 14 DECEMBER 22 The port authority transfers to the city of Seabrook The port authority successfully The U.S. Army Corps of Engineers The Port of Houston the new 41-acre Seabrook Wildlife Park, the implements the federally mandated extends for 10 years its permit for becomes the nation’s culmination of their historic November 2007 Transportation Workers Identification the Bayport Container and Cruise largest port for container agreement to cooperate on Pine Gully restoration Credential program at all port authority- Terminal construction project. trade with Brazil. and development of the Bayport Container and operated facilities. Cruise Terminal. MARCH SEPTEMBER 29 The port authority becomes the world’s first public The port commission names Houston port to receive ISO 28000:2007 certification for its businessman Alec G. Dreyer as the port security management system. authority’s new chief executive officer. IN THEIR OWN WORDS Port Commissioners on their Leadership Vision

The seven-member Port Commission is the governing body for the Port of Houston Authority. The Houston City Council and the Harris County Commissioners Court each appoint two commissioners. Those two governmental enti- ties jointly appoint the chairman of the Port Commission. The Harris County Mayors and Councils Association and the City of Pasadena each appoint one commissioner. The commissioners each serve two-year terms without pay.

It’s a privilege and an honor to represent Pasadena on the port commission. The City of Pasadena’s leadership and support of economic development and business have been crucial to our area’s success. Working with the port, Pasadena and Harris County have been an integral part to our area’s economic success. My aim is to facilitate the port authority’s ability to succeed in this environment and benefit the community as a whole. I am extremely grateful for the experience given to me as an aide working for the late Commissioner Jim Fonteno Sr. on the legal side as an attorney and justice of the peace. And from the business side, the knowledge and wisdom given to me by my father, John Phelps, have been tremendously valuable. This background has given me various perspectives to help me PORT COMMISSIONER shape port authority policy and direction. Steve Phelps 1997 – Present Appointed by the City of Pasadena

The Port of Houston is the economic engine fueling this region’s emergence as a leading center of global trade and business in the 21st century. That is the vision that drives my commitment and diligent endeavors as a port commissioner representing Harris County. In this leadership role, I draw from my professional background of diversified experiences in finance, real estate, international business and environmental policy to help provide sound gov- ernance in positioning Houston’s port as a world-class maritime and intermodal transportation industry leader. Inspired by my late father’s service as a port commissioner 40 years ago during the early develop- PORT COMMISSIONER ment of the container age of shipping, it is my goal to provide leadership that will keep the Port of Jim Fonteno Houston positioned for continued success through another transformational period in its history. It 1999 – Present is my responsibility to help provide sound policy guidance for the business and strategic plans that Appointed by will continue to make the Port of Houston a leader in operational performance, environmental the Harris County Commissioners Court sustainability and corporate social responsibility.

Representing the City of Houston as a port commissioner since 1999, my passion is to help the port build successful strategic partnerships as well as to develop vehicles for small businesses to take part in port contracting and procurement opportunities. The Port of Houston is a key factor in making the City of Houston an international trade leader. The port and the city work closely together to successfully manage the challenges of globalization and the competition that drives it. August/September 2010

| To my role as port commissioner, I bring a multitude of international business experience as chair- man and chief executive officer of CAMAC International Corporation. I am also deeply committed to civic service. It is an honor for me to work on behalf of an international port that not only stimu- PORT COMMISSIONER Kase Lawal lates the economy and generates jobs in the region, but allows me to give back to the community. 1999 –Present Appointed by the Houston City Council Port of Houston Authority 18 I’ve been involved in public service for nearly 50 years, always doing my best to work hard and help make meaningful contributions to improve the quality of life throughout this region. It’s a deep-rooted commitment that energizes me as a leader to tackle tough challenges and find ways to create and leverage exciting, new opportunities. I built my leadership skills over the years through service as a city council member, mayor, and member of the Texas Municipal League, the National League of Cities and the Houston-Galveston Area Council. Now as a port commissioner, I represent several neighboring communities along the Houston Ship Channel. With fairness and integrity, I’m continuously listening, collaborating and working on behalf of these communities to develop strategic goals and programs that address PORT COMMISSIONER their needs and reflect the common good of the port and the community. It’s a leadership role that Jimmy Burke 1999– Present takes a great investment of time, hard work and patience. But it’s always gratifying when I see Appointed by the Harris the outcome of the port’s positive impacts on corporate social responsibility, small business growth, County Mayors and economic development, enhanced security and environmental stewardship. Councils Association

A true leader has vision and the strength of will to make long-term decisions that may not be politically popular in the short term. My leadership style is simple: have vision, build consensus and share credit. As a lawyer and a recipient of the Sandra Day O’Connor Board of Excellence Award, I provide guidance on legal matters, board process and transparency as well as the port’s initiatives on security, environmental stewardship and small business development. Thanks to the leadership of Chairman Edmonds and our federal and state legislative delegations, we have made security at the Port of Houston a national model through the Houston Ship Channel Security District. We are creating a sustainable port by turning dredging waste into environmental advantage and pursuing PORT COMMISSIONER other eco-friendly initiatives. And with the support of my colleagues, our small business develop- Janiece Longoria ment program routinely exceeds our goal for promoting fairness and opportunity. 2002 – Present Appointed by the Houston City Council

I consider a great leader to be someone who has passion, a vision, the ability to really listen to what people need and the strength to get it done. I see those attributes in Chairman Edmonds and I am lucky to have been personally influenced by people whom I consider some of this state’s greatest leaders. LBJ and his wife Lady Bird were masters of that skill as is, of course, my husband, former Houston mayor Bob Lanier. I try to be the same way when it comes to my role as a port commissioner (and in my everyday August/September 2010

life). My areas of interest are security and our environment, and when I’m involved in a project I | don’t like hearing why something can’t be done. I like my energy focused on the solution.

PORT COMMISSIONER Elyse Lanier 2006 – Present Appointed by the Harris County Commissioners Court Port of Houston Authority 19 Edmonds’ Reappointment

Houston City Council Briefing Houston Port Bureau Bay Area Houston Salute to Pat Bellamy Economic Partnership

Mayors and Councils Association Ship Channel Tour with Commissioner Burke The U.S. Army Corps of Engineers’ Galveston District oversees a vast geo- graphic territory of more than 50,000 square miles, including 700 miles of coastline and 150 miles inland. Its area of responsibility runs from the River to the Sabine River in Louisiana, and includes 48 Texas counties and two Louisiana parishes. The Galveston District is also responsible for the navigability of the Houston Ship Channel, which allows accessibility to the numerous terminals at the Port of Houston.

New Leadership for the Corps’ Galveston District COLONEL CHRISTOPHER W. SALLESE

leader, assistant S-3 and HHC executive officer. He was part of the deployment in support of the Desert Shield, Desert Storm and Provide Comfort operations. At Fort Campbell, Ky., Sallese served as Battalion S4, 187th Infantry Brigade engineer and commander of Alpha Company before his next assignment took him to Seoul, South Korea, as a protocol action officer. The U.S. Army Corps of Engineers’ Galveston District After managing the remediation of EPA Superfund held a change of command ceremony in which Col. sites at the U.S. Army Corps of Engineers, New England Christopher W. Sallese assumed the district’s leadership District, Sallese then served as an active component post from the outgoing Col. David C. Weston. Sallese has advisor to reserve component engineer units in Missouri. previously served as the Galveston District’s deputy dis- He was then assigned to Fort Benning, Ga., where he trict commander. served as the Engineer Group’s operation officer during “I am thrilled to rejoin the Galveston District as com- Operation Iraqi Freedom I. Following the deployment, mander,” says Sallese. “The Corps plays a key role in Sallese also served as the group’s deputy commander and America’s well-being by keeping our waterways open for chief of design management. navigation, which is paramount to the nation’s economy Sallese initially came to the Corps’ Galveston District and security.” in 2004 as deputy district commander. In 2006, he assumed Sallese adds, “I look forward to collaborating with the command of the 92nd Engineer Battalion (C)(H), Third Port of Houston and all of the ports on the Texas coast- Infantry Division at Fort Stewart, Ga., and deployed his line. I fully understand the significance the ports bring battalion in support of Operation Iraqi Freedom V. He to the national economy, and our continued partnerships then served as chief of the Programs Integration Division, August/September 2010

| will continue to further strengthen the nation.” assistant chief of staff of Installation Management at the Sallese’s broad and interesting background began with Pentagon, until assuming command of the Galveston the U.S. Army in Germany, where he served as platoon District on July 7, 2010. n Port of Houston Authority 22 23 Port of Houston Authority | August/September 2010 THE HOUSTON MARITME ARBITRATORS ASSOCIATION WELCOMES THE ��� 4509 Oates Rd, Houston, TX 77013 21st BREAKBULK AMERICAS Ph: 713-979-0295 Fax: 713-979-0449 TRANSPORTATION CONFERENCE & EXHIBITION [email protected] TO HOUSTON ON OCTOBER 12 -14 ~ Containers ~ Vans ~ Specialized Equipment ~

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| Port of Houston Authority 24 The U.S. Coast Guard, Sector Houston-Galveston, coordinates law enforcement, homeland security, search and rescue, and marine safety missions for the Port of Houston, upper Texas coastal ports and one Louisiana port.

Calm Command of the Waterways CAPTAIN MARCUS WOODRING Commanding Officer of the U.S. Coast Guard Sector Houston-Galveston

Houston Ship Channel protocol; and the Coastal Area Committee covers environmental steward- ship, including response to oil spills. “These committees don’t give us exact answers, just guidelines and framework,” he says. The most important aspect of Woodring’s job is finding balance in different areas. “The first area is the regulatory power we have with compliance and partnerships,” he says. “Our goal is to maintain compliance, not issue fines. Capt. Marcus Woodring’s voice over the phone was easy- We might send a warning letter or talk to an individual going and calm. You wouldn’t have known he had just who hasn’t met the regulations. been deployed to Galveston as the federal on-scene coor- “Second is the need to be everywhere at once. We’re dinator for the Deepwater Horizon case. The first confir- busy covering the area from Matagorda Bay to Lake mation of tar balls in Texas relating to the oil spill had Charles and north to the Oklahoma border. There are a been made the day before. lot of different, but very important, concerns. The final “It’s not unusual to find tar balls in Texas during the challenge is balancing home life with work. My wife’s tropical storm season,” says Woodring, U.S. Coast Guard always saying, ‘your family will be here long after the commanding officer, Sector Houston-Galveston. “Every Coast Guard is gone.’” year, we send the samples to (a laboratory in) Groton, Ct., As a leader, Woodring is surrounded by technical experts. for fingerprinting, but most come back unknown.” “I often tell my crew of over 1,000 that when I go out, my job That coolness during a crisis is key to his leadership of this is to tell people the great things you’re doing. It’s so impor- critical sector, which coordinates law enforcement, home- tant to empower your people. I’d be hard pressed if anyone land security, search and rescue, and marine safety missions has seen me upset. A leader has to set the tone, be calm, cool for upper Texas coastal ports and one Louisiana port. and collected — and they’ll respond the same way. But if I’m “We’re busy — we basically cover the right half of Texas nervous, they’ll do the same.” and the left half of Louisiana,” he says. “My job is to facili- Woodring was named commander last year after the tate communications among all stakeholders together with retirement of William Diehl, serving a 26-year career with the Port of Houston, to make traffic smooth and efficient. the Coast Guard in a variety of assignments aboard cutters “Our missions can be grouped into three areas: secu- and at shore commands. He came to Houston in 2006 from rity, safety and stewardship of the environment. All three an assignment in Alaska. His specialty is public affairs. He August/September 2010 are of equal importance.” led those operations during Hurricane Katrina. | Each major area has a committee of industry and “It’s been a long, winding path, and I’m glad to be in community stakeholders. The Area Maritime Security Texas,” Woodring says. “We really appreciate our part- Committee covers security; the Houston-Galveston nership with the port and the open communication that Safety Advisory Committee covers safety issues, such as allows us to resolve issues together.” n Port of Houston Authority 25 No cargo is too big, too heavy or too difficult to handle. Smooth rail and roadway connections to the entire USA. Bring It On! We Can Handle It.

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PHA-BB-Ad-081910.indd 1 8/19/10 10:09:51 AM The Houston Field Office of U.S. Customs and Border Protection (CBP) oversees the entrance and exit of all international passengers, carriers and cargo within Houston, , , Austin, Lubbock, Port Arthur, Corpus Christi, Amarillo, Freeport, Midland, Oklahoma City and Tulsa, Oklahoma. In 2009, CBP processed more than 359,000 cargo containers. CBP’s guidance to the Port of Houston involves policy implementation and quality management.

Proven Strength in Cargo Security Leadership JEFFREY O. BALDWIN, SR. Director of Field Operations, U.S. Customs and Border Protection, Houston

“It was important for me to reach out to all of them and make sure our security and risk management philosophies were in line,” he says. “We meet regularly and we under- stand that we are in the ‘can’t fail’ business. One failure can have catastrophic consequences for all.” Baldwin says Houston port security must be an ini- tiative of inclusiveness among local, state, federal and international partners. “We have to understand that we have a shared risk and The motto “Semper Fi,” or “Always Faithful,” seems to we have a shared accountability for managing that risk,” underscore the passion that Jeffrey O. Baldwin, Sr. embod- he says. “Each agency has its own unique organizational ies as Houston’s top executive leader in U.S. Customs and mission. But we each hold pieces of the puzzle that we Border Protection, or CBP. have to put on the table and see where they all fit.” “It’s about having the opportunity to make a difference Collaboration is so important to Baldwin that he is every day in the protection of this nation,” says Baldwin, providing a venue for law enforcement partners to inte- who’s also a distinguished Marine Corps veteran. grate their maritime security efforts. The Houston Area Indeed, CBP is one of the largest and most complex Maritime Operations Center focuses on mitigating all components of the U.S. Department of Homeland maritime threats by capitalizing on the intelligence, Security, with a priority mission of keeping terrorists operational and response capabilities of local, state and and their weapons out of the U.S. The crucial roles CBP federal law enforcement agencies. plays in facilitating trade to and from the Port of Houston Baldwin has more than 31 years of federal government involve securing cargo from acts of terrorism, assuring service. He has served as field operations director for that goods arriving at Houston’s docks are legitimate and CBP’s Tampa field office, area port director of Savannah, monitoring that appropriate duties and fees are paid. Georgia, port director of the Miami Seaport and port When Baldwin was appointed CBP’s director of director for Miami International Airport. He has also rep- Houston field operations in 2006, he immediately resented the U.S. on customs-related matters in Europe, recognized the unique challenges in protecting this Central America, South America and Africa. geographically dispersed port and the massive volumes of Baldwin was recognized by the U.S. Secretary of the cargo — particularly petrochemicals — that are transported Department of Homeland Security for his emergency through its diverse complex of public and private facilities. response role during Hurricane Ike. He’s also received He has been turning those challenges into opportunities a commendation from the CBP Commissioner for his as he continuously strives to facilitate and strengthen innovativeness in establishing Houston as a model port partnerships between CBP and various law enforcement — proving that this former Marine continues to serve and regulatory agencies as well as industry groups. faithfully with pride and ingenuity. n The International Longshoremen’s Association, AFL-CIO, South Atlantic and Gulf Coast District, is part of the largest union of maritime workers in North America, representing longshoremen on the South Atlantic and Gulf coasts.

Leadership on the Waterfront CLYDE FITZGERALD President of the International Longshoremen’s Association, South Atlantic and Gulf Coast District

Some compete for leadership roles almost immediately in life, running for homeroom president and then class president already in elementary school. Others are sought out by their peers and asked to assume leadership. Such individuals never go looking for the trust of others. They naturally earn it by working side by side with their peers, day after day, where natural lead- Gulf Coast District, Fitzgerald threw his hat into the ring. ership skills can be easily observed and respected. On July 18, 2002, he was unanimously elected president Clyde Fitzgerald is this kind of leader. His progression and again in 2006 and 2010. to the role of president of the ILA South Atlantic and The ILA and the Port of Houston Authority main- Gulf Coast District was a job entrusted to him by others, tain a close and extremely cordial working relationship, not something he’d spent a lifetime seeking. contrary to the clichéd notion of labor and management A 50-year-veteran of the International Longshoremen’s consistently being at odds with each other. “Chairman Association, AFL-CIO, Fitzgerald joined his father and Edmonds has given us an opportunity to be part of the two uncles working on the Houston docks in 1959. “I system,” says Fitzgerald. started working during the summer when I was 16, I came “One of the most exciting things in my career has been back fulltime at 17, and have not left since,” says Fitzgerald. the relationships built with the customers and the Port of For eight years, Fitzgerald was a freight handler, loading Houston,” he adds. “It has been successful and I am very and unloading trucks and rail cars, and storing the cargo at proud of it.” the port. He moved up to walking foreman at a terminal The ILA played a critical role in the development of and also became recording secretary for Local 1330. After the Bayport Container Terminal. The support of the local two years, in 1969, he ran and won the position of president members was strong and obvious at every public forum of Local 1330, which eventually merged with Local 28. He leading up to the bond election. was elected president repeatedly over 20 years. “Most of our members live in this area, and they would “I didn’t plan on becoming head of my local,” says not have supported this project so strongly if they believed Fitzgerald. “A number of my friends encouraged me to it would be harmful to the communities in which they run for office. They said that I would be the guy who live,” Fitzgerald says. “Their support speaks volumes.” would look out for them, and I have certainly tried to As the port authority begins planning future terminal never let them down.” development, the ILA through Fitzgerald’s leadership August/September 2010

| In 1991, Fitzgerald went on to serve as secretary- remains an integral part of the process. “The ILA is wisely treasurer for the South Atlantic and Gulf Coast District, led by Clyde Fitzgerald,” says Jim Edmonds, port commis- which stretches from Brownsville, Texas, to North sion chairman. “He understands the changing global mar- Carolina. When Benny Holland decided not to run for ketplace, the pressures of competition, and what it takes re-election as president of the ILA’s South Atlantic and to keep and grow jobs for his membership.” n Port of Houston Authority 28 D EEPWATER T RACT ±310 Acres - Corpus Christi Bay Corpus Christi, Texas

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Guiding Force for the Maritime Industry

NATHAN WESELY President of the West Gulf Maritime Association

initiated to brief members on regulatory announcements and other news). If it’s working well, people don’t focus on the WGMA and that’s fine.” One of his roles is to ask questions. “I believe ‘we’ve always done it that way’ is not a legitimate answer. Every day, I learn something new about WGMA. Sometimes, I As president of the West Gulf Maritime Association find out there’s a very good reason to do things a certain way. (WGMA), a Texas nonprofit corporation organized in “It’s very important to have a good, strong staff,” he 1968, Nathan Wesely thinks of himself as a referee, work- says. “We have one person responsible for each task and ing to make things happen in an orderly way. WGMA one as a backup. I work hard at delegating.” offers a big tent perspective as successor to the former But being a good leader is not simple. “It means being local maritime associations in Houston, Galveston and able to say the difficult things, hold someone accountable, Brownsville and including steamship owners, operators, or give feedback when necessary, both good and bad.” agents, stevedoring and terminal companies in Texas As a college student, Wesely learned important lessons ports and the Port of Lake Charles, La. from volunteering. “If you want to get something done, Wesely directs the negotiation and administration of ask nicely. Also, if someone’s been a volunteer, it usually multi-employer collective bargaining agreements with means they will be an effective employee.” the International Longshoremen’s Association (ILA) in A longtime youth sport coach, the father of four says, the West Gulf ports. He was previously vice president, “It’s not just about winning. That’s true of the working treasurer and general counsel for WGMA. world, too. You must conduct yourself in a positive, pro- His extensive background as a board-certified attorney fessional way to set an example.” in labor and employment law is a big asset in his work WGMA works with the port on so many different with the ILA and other maritime industry partners. “Even levels to make things happen, Wesely says, citing the as president, I’m not insulated from complaints. I’ll answer Houston Ship Channel Security District partnership as the phone and someone will ask to talk to the president— an obvious example. “But have you heard about the train- they get me!” ing we’ve coordinated for thousands of certified forklift, He has a simple goal: “I want things to run smoothly crane and yard tractor operators? Probably not, because for every one of our members and partners. Just like when it all gets done in a quiet, unassuming way. People have a referee makes mistakes, everyone knows who he is. anticipated the needs.” August/September 2010

| When he’s competent, you don’t notice him. That could He began his career at Bracewell and Patterson, be said about a lot of what I oversee at WGMA— process- but was unaware of the connection to PHA’s Fentress ing payroll and grievances, working with the Coast Guard Bracewell . “It’s ironic that after all or CBP (Customs and Border Protection), even the daily this time, the position I am in is so significantly impacted industry updates (that Senior Vice President Niels Aalund by Fentress Bracewell.” n Port of Houston Authority 30 The Houston Pilots Association was formed in He learned a great deal from them, and his appreciation 1921 and came under the jurisdiction of the Port and respect for the profession grew. He knew that his next of Houston Authority two years later, with the port step after going captain would be to become a pilot. commissioners acting as pilots commissioners. The “It’s tough to get in and there is not an ever-expand- pilots have guided vessels through the Houston ing base of openings for ship pilots,” says Pace. But the Houston Pilots saw in Pace the type of person who has Ship Channel since it was opened in 1914. the skill and temperament needed to work on one of the The sea has always been close to Tom Pace, delighting him world’s most challenging waterways. as a child and challenging him as an adult. His relation- In 1998, the Houston Pilots voted him in, and in 2009, ship with the sea is not a matter of conquest, but instead he was elected presiding officer. Much like a law firm, the a working partnership that continues to evolve in his role Houston Pilots is a professional group of 90 members. The as presiding officer of the Houston Pilots. presiding officer acts as a managing partner and concen- Born in West Palm Beach, Fla., water was his first and trates on the business aspects of the firm. Pace also serves favorite playground. By the age of 6, he had piloted his on the Houston–Galveston Area Navigation Safety first rowboat into the intracoastal waterway, much to the Advisory Committee, which brings together the various concern of his parents. He continued to test their patience interests along the Houston Ship Channel to provide and nerves when he embarked on his first international advice and recommendations concerning safety. voyage at the age of 13 by taking a 13-foot Boston Whaler motorboat to the Bahamas. Leading Vessels Safely CAPTAIN THOMAS C. PACE, JR. Presiding Officer of the Houston Pilots

At 15, he went to work in a local shipyard as a delivery crew member. He earned his first USCG mate’s license while serving on a 123-foot private yacht, transiting between Florida in the winter and Maine in the summer. Aboard the yacht, he met such luminaries as Frank Sinatra. Pace is well-suited for the role of presiding officer. His Pace’s interests extend far beyond the glitter of celebri- easygoing attitude and ability to communicate put people ties on yachts. He has worked for major companies such as at ease immediately. Level-headed with a healthy dose of Amoco Oil as an able body seaman, Zapata Drilling Corp. common sense and fairness, Pace will listen to all sides of as a ballast control officer, and American Dredging Gulf a story and make an informed decision. Company as a mate on an ocean dredge. As the economy has fluctuated, he has been able to At Keystone Shipping Company, Pace rose through streamline operations and expenses for the firm. At the the ranks from second officer to chief officer and then same time, he is keeping an eye on the future growth in captain. As a captain, he sailed from Kuwait to Egypt, vessel traffic and size of vessels once the Panama Canal loading and unloading at a single point mooring, never expansion is complete. mooring to a dock or stopping engines, for more than a “The Port of Houston has the highest volume of traffic August/September 2010

year. Pace was involved in at-sea rescues in the Pacific anywhere in the country,” says Pace. “We reached 19,000 | Ocean and Gulf of Mexico for which he and his crew total vessel movements last year. Every day is different received life-saving commendations. due to traffic density, types of ships, dredge operations, While undergoing training on the West Coast in 1993, weather, high wind, wave and water. The Houston Ship Pace had a chance to interact with a group of ship pilots. Channel is constantly changing.” n

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Man with a Mission ROBIN RILEY Chairman of the Houston Ship Channel Security District

When the district began as the Houston Ship Channel Security Council four years ago, Pat Bellamy was named chairman. Riley calls his predecessor one of the most important figures leading up to the creation of the district. “Without his steadfast, dogged perseverance, we flat out would not have a security district today,” Riley remarked during a recent Houston Port Bureau banquet honoring Bellamy. The next step is to establish the district as “a viable entity,” Riley says. A major challenge will be to finish establishing the assessment charged to members. At a Since the Houston Ship Channel Security District was special meeting, the board set August 17 for the assess- approved by Harris County Commissioners Court in June ment hearing. 2009, it has been evolving at a fast pace. In January 2010, “Our intent is to raise about $4 million to support ini- Commissioners Court approved elections of the board, tially a security project in the ship channel area in tandem including new chairman Robin Riley, who was appointed with Harris County,” Riley says. by the Harris County Mayors and Councils Association. The county received some $31 million from the The board has been meeting monthly ever since. Department of Homeland Security to build a sophisticated “The Security District is incredibly important,” says security infrastructure overseeing intruder detection and Riley. “Since the terrorist attacks of Sept. 11, 2001, we enhanced coverage of waterside and landside facilities have learned that there are individuals out there who along the channel and within district boundaries. would wish to do the Houston Ship Channel harm, and The partnership of the security district and Harris we must do everything within our power to prevent that. County makes it possible to establish a state-of-the-art The district’s mission is to increase the level of security for security system for the region that would otherwise have August/September 2010 the channel and the industries serviced by it.” been impossible to achieve. | He added, “Knowing that there are burglars in your Riley says. “The key to the district’s success is team- neighborhood doesn’t necessarily mean you will be burglar- work and the ability to glean off the expertise of the board. ized. But it’s a good idea to get an alarm system or a dog.” I’m fortunate to have an outstanding team. We’re excited By that, Riley means using multi-faceted security to about working together with the community to fulfill divert harmful activities aimed at the ship channel. our mission.” n Port of Houston Authority 33

2010 PETROCHEMICAL & MARITIME OUTLOOK CONFERENCE An Invaluable Tool for Channel Industry

The outlook for steel imports, the national economy and “This conference affords them the opportunity to con- the impact of the Panama Canal expansion are among the sider these forecasts from a top-down perspective,” Burke says. key topics on the agenda during the first Petrochemical “I can see this serving as an annual tool. The issues might and Maritime Outlook Conference on September 8. change from year to year, but the value comes in being The Economic Alliance Houston Port Region, a non- able to see what’s down the road for these companies.” profit organization, is coordinating the conference, which will The conference will open with Robert Moore, vice pres- be held at the Pasadena Convention Center near Houston. ident of global steel trading giant Salzgitter Mannesmann “This conference will provide invaluable planning International, discussing the outlook for steel imports in tools for the petrochemical industry,” says Chad Burke, the Houston region. president and CEO of the Economic Alliance. With an Dr. Loren Scott, president of the economic forecast- anticipated attendance ranging between 350 and 400, ing firm Loren C. Scott and Associates, will deliver the he predicts the conference will become an annual event. luncheon keynote speech on the national and regional He considers the timing for the conference’s debut to be economic outlook. appropriate, given the uncertainties surrounding post- Silvia Marucci of the Panama Canal Authority will dis- recession recovery. cuss the impacts of the Panama Canal expansion, sched- There are between 30,000 and 35,000 direct jobs uled for completion in 2014, on the Houston region. in the petrochemical industry in the Houston Aamir Farid, general manager, Shell Deer Park, will August/September 2010

region, according to Burke. “There are an spearhead the panel discussion on the outlook for the oil | additional 300,000 indirect jobs in refining and chemical manufacturing sectors. n our region alone that depend on those in that industry. For more information about the conference and registration, visit: http://www.allianceportregion.com/pmoc/, or contact Marisela Cantu at 281-867-1112, ext. 13 or at marisela@ allianceportregion.com. Port of Houston Authority 35 Reach Your target market in the Port of Houston Magazine

The Port of Houston is expanding and your company could be a part of this growth in 2010! With the first phase of the now operating, the Port of Houston is becoming one of the fastest-growing cargo and cruise ports in the world. The Port of Houston Magazine is a perfect marketing venue to capture your segment in this growing market.

Targeted Circulation 12,500 With a targeted circulation of 12,500 readers for the Port of Houston Magazine, you can be assured that the subscribers are actively doing business within the Port of Houston community. This is a well-read publication that will showcase your company and deliver your message to market. Who are these 12,500? Local, national and international senior level executives who are port tenants, manufacturers, shipping lines, freight forwarders, shippers, media contacts, international trade organizations and prospects ... with additional distribution at the port’s numerous trade conferences, exhibitions and community events. For extended reach and circulation, The Port of Houston Magazine is also published online at www.portofhouston.com. Capitalize on this invaluable branding resource and you’re sure to reach your ultimate decision-makers throughout the year.

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Port Authority, Houston Citizens Chamber of Commerce share vision of helping small businesses grow

The Houston Citizens Chamber of Commerce has had a symbiotic relationship with the Port of Houston Authority for many years, according to chamber President and Chief Executive Officer Eric R. Lyons. Originally formed as an advocacy group for black busi- nesses in 1935, the chamber enters its 75th year as the nation’s second-oldest African American chamber, and still practices advocacy as a primary component of its three-pronged mission.

Eric R. Lyons, president and CEO of Houston Citizens Chamber of Commerce, “My goal is to take what I consider with Gilda Ramirez, PHA vice president of small business development.

to be a good program and make participant small businesses, to be a resource and advi- sor. It’s our goal to help our small businesses get over the it better.” Port of Houston Authority CEO Alec G. Dreyer start-up hurdle, to become viable entities unto them- on the Small Business Development Program selves and then to thrive for the long term.” The port authority and the chamber work closely on a “It involves advocacy, awareness and access,” Lyons number of initiatives. Lyons serves on the advisory council says of the chamber’s mission. “We advocate through our to the port authority’s Small Business Development pro- engagement in the legislative process with our governmen- gram. Sharing the vision for helping small businesses grow, tal entities on behalf of small and black-owned businesses. Lyons cites T. Ellis Fine Arts and Topp Knotch Personnel “Awareness centers on marketing—informing the pub- as examples of small businesses that have achieved growth lic about our organization, helping them build the capac- despite the harsh economic climate. Both firms have been ity to market their goods and services to Fortune 100 honored with the chamber’s Pinnacle Award. companies as well as other small businesses,” Lyons says. Lyons also applauds the port authority’s commitment “Access centers on our members getting opportunities for to economic development. a seat at the table through many initiatives.” “Because of its focus as an economic engine for the Lyons cites public infrastructure projects at the Houston region, the port authority has been aggressive in its Airport System, the Metropolitan Transit Authority of Harris efforts to ensure small businesses have an opportunity County and the Port of Houston Authority as examples. to work with the port,” he says. Helping small businesses grow and prosper is a com- He is also excited about the port authority’s initiatives mon goal of both the chamber and the port authority. involving the establishment of two maritime academies Port authority Chief Executive Officer Alec G. Dreyer at the Houston Independent School District’s Austin and underscored that point in a recent round table discussion Yates high schools. with Houston Citizens Chamber representatives. “We are extremely impressed with that initiative,” August/September 2010

“My goal is to take what I consider to be a good pro- Lyons says. “We enjoy working with the port and HISD | gram and make it better,” said Dreyer in reference to the — which is one of our stakeholders — on the maritime port authority’s Small Business Development program. academy program. It helps to fill the pipeline with talent “We have initiated a mentoring program to assist our for the future.” n Port of Houston Authority 37 SPOTLIGHT ON SMALL BUSINESS

Small Business Champion got his start building highways in the sand

Richard Ruchhoeft, project manager in the Port of Houston Authority’s project management and GIS (geo- Richard Ruchhoeft graphic information system) department, is a bit puzzled With cost disparity as a challenge, a regimented about why he was named Small Business Champion of point system in procurement allows the port authority the Year by the Small Business Development Division. to look at other criteria for selecting vendors, includ- The award is given to port authority employees who have ing reputation, work quality and safety and the unique demonstrated a strong, personal commitment to assisting benefits the small business can bring. Most important small businesses. to port commissioners is the port authority’s 35 percent “I thought I was just doing my job,” he says. “That is, goal of small business participation. championing small businesses and making sure they are a part “Sometimes, it’s difficult to use a small business on a of the actual selection process of contractors or consultants.” project, but we have to make an extra effort to get them According to Gilda Ramirez, PHA’s vice president of involved, even if that means breaking up a project to small business development, “Richard has been a staunch align with small businesses,” Ruchhoeft says. “We are advocate of our program. Through his efforts, several small there to guide small businesses and help them navigate businesses have entered the program. He works beyond the port authority’s system, which can be complicated his area of responsibility to aid small businesses through if you’re not used to it. The port authority has lots of his enthusiasm and encouragement.” stringent requirements to meet.” As a key member of an ad hoc committee, Ruchhoeft, He didn’t spend time building castles in the sand who joined the port authority in 2008, led a group of staff as a young boy. “I would build highways in the sand in providing recommendations towards improving the instead,” says Ruchhoeft, who went on to earn his scoring procedures of PHA formal proposals. engineering degree. n August/September 2010

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