Council on Port Performance Meeting Minutes – July 10th, 2019
Meeting Date: July 10th, 2019 | Meeting Location: 1210 Corbin St, Port Elizabeth, NJ 07201
Attendees: Amanda Valdes, Anne Strauss Wieder, Bob LaMura, Cory Wyatt, Dan Pastore, Frank Grossi, Hilary McCarron, Jeff Flumignan, Jim Mara, John Nardi, Jon Donnelly, Lisa Yakomin, Mike McGuinness, Mike DiVirgilio, Randy Bayles, Ricard Wermeister, Sam Ruda, Steve Schulein, Thorkild Hove, Tom Adamski, Tim Tierney
Excused: Bob Fredman, Carl Warren, Gary Cross, Greg Brinkman, Greg Moore, Jennifer Polli, Jim Bowe, John Atkins, Kurt Mittenzwei, Melisia Taylor, Rich Hanson, Tim Tierney
1) Opening Remarks 2) Labor Update 3) State of the Port – YTD May 2019 4) Implementation Team Updates – Review of CPP 2018 Work Plan Initiatives and Discuss New Initiatives a. Crisis Management & Communications Planning b. Rail Network Optimization c. Supply Chain Analysis d. Chassis Provisioning e. Integrated Dashboard f. Workforce Development g. Marketing/Public Relations 5) Port Master Plan Update 6) Open Forum 7) Next Steps & Action Items
Opening Remarks
o Port Master Plan was released to the public on August 8, 2019. o PANYNJ commercial team attended and sponsored the AgTC export conference in Tacoma, Washington. • Exports of agriculture goods from USWC to China have been hurt by tariffs. • Chassis continues to be a topic of interest in California as there are many unsatisfied customers with the current chassis operational structure.
Council on Port Performance Meeting Minutes – July 10th, 2019
Labor Update
o NYSA and the ILA continue to bring in additional workers to offset attrition and growth o Interviewed 638 people—300 for physicals have been scheduled • 120 checkers & longshoreman combined so far o Average number of days for approval after interviewed by the Waterfront Commission is 26 days o Labor’s work hours in the port have increased since last year and are not yet seeing a decline
State of the Port – YTD May 2019
o Moved 643,706 TEUs through the PONYNJ in May 2019— highest total volume on record for the month of May. o 2019 thru May: 3,041,814 TEUs moved through the Port of NY/NJ 1,544,354 TEUs of loaded imports 618,855 TEUs of loaded exports 872,497 TEUs of export empties o Rail volume in the month of May was down slightly over May 2018— first time in 25 months.
Crisis Management & Communications Planning
o A Crisis Management and Communication Team should be created and consist of key stakeholders (similar to those currently on the ‘snow’ calls) including but not limited to PA Operations, PAPD, Bi-State, Dispatchers, MTOs, BCOs, Port Tenants for the purposes of information gathering and dissemination during a crisis. Twice yearly the Team should meet and conduct drills so as to keep all Team members current and familiar with each other as well as with any new communication capabilities/resources that become available.
o Alternate queuing space is still being discussed/considered. Alternate queuing location(s) will depend on where and when an incident occurs and a one-size-fits-all solution is not likely to exist. There is no vacant space on Port Authority property so alternative parking areas must be identified and, depending on the circumstances, multiple locations may be necessary. Jersey Gardens and Toys R Us would be potential candidates for emergency queuing but would depend on availability, and would likely require MOU with the Port Authority. There may be other fees or requirements (such as insurance) that must be considered.
Rail Network Optimization
o Express Rail Port Jersey in fully online as of June 1st, completing the Express rail system with near dock/on dock rail service available at all major marine terminal facilities in the PONYNJ. o The majority of GCT Bayonne’s rail traffic is now handled by Express Rail Port Jersey reducing the strain on the MMR third party gate. Council on Port Performance Meeting Minutes – July 10th, 2019
o Raff tracks will be completed in 2020 which will add two 5200’ staging tracks adjacent to Conrail’s Oak Island yard. This is significant as a 10k foot train can be staged on Raff which previously would not have been able to be stored. o Waverly loop (double tracked) will add a connection to the North out of Greenville and an alternate route into the port will be completed sometime in 2021. Waverly loop is proposed as adding two 11k foot tracks, one for a progressive move and the other which can be used as additional storage. o Conversations are ongoing between the terminals and the ocean lines on block stowage of rail cargo. This has yet to come to fruition as of yet, due to operational constraints in foreign ports. o Communication between the three railroads (Conrail, CSX, & NS) has improved greatly. Ongoing discussions with carriers in regards to their use of Blockchain and how it can help the railroads to forecast.
Supply Chain Analysis
o Evaluating current terminal hours of operation to determine the point at which extended hours are necessary. o Embarking on a more in-depth study of warehouse and distribution center operating hours to see how they align with marine terminals. o Examining the needs of key BCOs and commodities moving through the PONYNJ o Participating/coordinating efforts to align with State Freight Plans to provide additional access roads to the Port o Address lack of transparency of critical information within certain parts of the supply chain o Need to understand the issues surrounding the return of empties – the notification system of where to return the empty needs to be updated with sufficient time to plan for return. o Marsh and Columbia were not built to sustain the current surges of empty container returns.
Chassis Provisioning
o Continuing to evaluate the idea of a pool model because it could help to increase double moves and decrease single moves, thereby contributing to faster gate times— there is an upcoming meeting with IEP to discuss the potential structure of a chassis pool. o Privately owned chassis is estimated to be approximately 60% of the market.
Workforce Development
o Under 21 Military CDL Pilot Program: FMCSA is conducting a three-year pilot program to study the feasibility, benefits, and safety impacts of allowing 18-20 year-old drivers to operate commercial motor vehicles (CMVs) in interstate commerce— https://www.fmcsa.dot.gov/under21pilot/under-21-pilot-program o An open invitation and request for members of the port business to attend Workforce Development meetings—please contact Hillary McCarron for more information. Council on Port Performance Meeting Minutes – July 10th, 2019
o Planning to build a dedicated NY/NJ Maritime TLD Job Bank web-based application. o Will be looking to sponsor adult education on maritime industry in each host community. o Job fair will be held on August 8th in Staten Island at Port Richmond High School for recent high school graduates. o If interested in participating at career events, please reach out to Hillary McCarron @ [email protected]
Marketing Public Relations
o Work collaboratively to enhance the commercial appeal and customer perception of the Port of New York and New Jersey (PONYNJ) through print and digital marketing as well as direct customer engagement at conferences, meetings, commodity specific events and port briefings and tours. o The Customer Outreach and Marketing Team has been meeting on a regular basis (bimonthly) since mid-2018. These meetings provide an open forum for members to collectively pursue the overall objective and develop new initiatives to enhance the customer experience at the PONYNJ. o Continue to work collaboratively to improve existing initiatives and strategically develop and implement new concepts to promote the Port of New York and New Jersey.
Port Master Plan
o The Port Master Plan was released to the public on July 8th and was given good press coverage and an exclusive with the Journal of Commerce. o The PMP is a road map for the near term and the future – it provides options to be decided on a case-by-case basis. o Regarding near term decisions, the Port Master Plan discusses capacity constraints of the Kill Van Kull and possible solutions. o There will be opportunities to partner with city of Newark for industrial development. o A growing interest has been expressed for LNG bunkering capability in the harbor—cruise companies are first movers. o Communities will be holding the PANYNJ accountable for reducing environmental impact— green initiatives will be important considerations going forward.
Open Forum
o PANYNJ will do an editorial review with the Journal of Commerce in the Fall of 2019. o CPP members recommending a State of the Council of Port Performance semi-annual message to be posted on the CPP website. o Need to utilize our blog to disseminate information— create a new category specifically for providing information on current CPP events. o Would be beneficial to add to CPP a representative from Marsh & Columbia to discuss empty container strategy. Council on Port Performance Meeting Minutes – July 10th, 2019
o Port Authority team will summarize status of IT initiatives and our recommendations going forward. o NJTPA needs to update economic impact study– requesting responses to the NYSA questionnaire (all responses are confidential). o Recommended that the PANYNJ review and comment on the draft 2019 New Jersey Energy Master Plan, comments due by September 16th— https://nj.gov/emp/pdf/Draft%202019%20EMP%20Final.pdf o Upcoming industry related conferences: o I.CON East— September 12th in Jersey City, NJ ▪ https://www.naiop.org/en/Attend/Corporate-Event-List/Conferences/2019- ICON-East-The-Industrial-Conference o NJTPA Freight Initiative Committee meetings held every other month— ▪ https://www.njtpa.org/Get-Involved/Info- Resources/Calendar/2019/August/Freight-Initiatives-Committee- Meeting.aspx o Bi-State golf outing and awards luncheon at Galloping Hill on September 9th– will be honoring contributions to the industry. o Port Industry day at Liberty State Park in Jersey City, NJ on September 16th
CURRENT GRANT OPPORTUNITIES FOR PORTS AND PORT STAKEHOLDERS
➢ Better Utilizing Infrastructure to Leverage Development (BUILD) Grants
USDOT Press Release: https://www.transportation.gov/BUILDgrants NOFO: https://www.transportation.gov/sites/dot.gov/files/docs/policy-initiatives/build/114796/fy- 2019-nofo-final-signed.pdf
Amount available: $900,000,000 Applications due: July 15, 2019
➢ America’s Marine Highway Program Grants
Marine Highway Program NOFO: https://www.federalregister.gov/documents/2019/06/14/2019- 12580/notice-of-funding-opportunity-for-americas-marine-highway-projects
Amount available: $7,000,000 Applications due: August 15, 2019
➢ Port Infrastructure Development Program Grants
USDOT Press Release: https://www.transportation.gov/briefing-room/us-department- transportation-launches-port-infrastructure-development-program NOFO: https://www.maritime.dot.gov/office-port-infrastructure-development/port-and-terminal- infrastructure-development/2019-port-2
Council on Port Performance Meeting Minutes – July 10th, 2019
Amount available: $292,730,000 Applications due: September 16, 2019
➢ Advanced Transportation and Congestion Mgmnt. Tech. Deployment Initiative (ATCMTD) Grants
FHWA Press Release: https://www.fhwa.dot.gov/pressroom/fhwa1916.cfm NOFO: https://www.grants.gov/web/grants/view-opportunity.html?oppId=316761
Amount available: $60,000,000 Applications due: July 19, 2019