1 2 3 4 We are looking to unveil a slate of e-leaning opportunities for individuals and groups. Nominal cost/no travel.

We will be launching a social media strategy at the convention to make use of new technologies for communicating the value of seaports and connecting with our members.

5 6 7 8 This is a picture of the home page of our microsite. It is like an electronic brochure and provides detailed information on AAPA’s three pillar messages/priorities including security, economy and environment. This site will be refreshed with updated information. The purpose is to have a dedicated source for communicating to the public, legislators, and influencers about the value of seaports.

9 These are the many examples of how our member seaports are working closely with the association to communicate the value of ports. These are samples of newsletters, websites, etc. that promote our messaging. Note the box on the bottom right… Port of

Ports using “Prosperity” message

10 Highlight discussion between you and Gary regarding U.S. maritime security grants and how they wanted to use this as a model for getting a similar grant program for port security requirements in

We use the example of the Canadian government’s support for trade promotion and infrastructure development when we lobby for increased funding and support for infrastructure development and goods movement in the U.S.

11 Imports = dropped because of weak consumer demand, the low value of the U.S. dollar against major international currencies, and a drastic decline in petroleum imports, which typically account for about 60% of the volume of U.S. import cargo and are now at their lowest level since the late 90s.

Import cargo volume at the nation’s major retail container ports is expected to increase 16% in July but double-digit increases seen in recent months should taper off this fall as retailers cautiously manage their inventories.

This spring imports started accelerating thanks to a stronger dollar (which makes foreign goods cheaper for Americans) and revived domestic demand for foreign- sourced consumer products, steel, autos and energy.

According to American Shipper, the 1.25 million TEUs in May is up 10% from April and 20% from May 2009. It was also the sixth month in a row to show a year-over-year improvement after December broke a 28-month streak of year-over-year declines.

12 U. S. Census Bureau, U.S. Merchandise Trade highlights. This is in metric tons.

13 14 Ports are investing in new facilities they believe will address future traffic growth especially after the expansion of the Panama Canal to be complete in 2014.

Seaports welcome President Obama’s call to double U.S. exports within five years which will increase the number of trade related jobs and help to deliver prosperity during these economic times.

15 Our public port members invest more than $2 billion annually in their terminal infrastructure and our business partners also invest large amounts in maritime facilities.

Waterway, highway, rail and terminals—is imperative for helping our nation meet increasing exporter, consumer, and economic and environmental demands of the nation.

The economic downturn has offered a respite. But cargo volumes are increasing. And the Highway Trust Fund is in trouble.

Particularly important with the Panama Canal expansion on the horizon. Yet despite billions in user fees paid by shippers to maintain navigation channels, the federal government has not spent the funds.

16 According to the 2009 Urban Mobility Study prepared by the Texas Transportation Institute, traffic congestion in U.S. cities is getting worse and costs the U.S. economy $87 billion annually (4.2 billion lost hours and 2.8 billion gallons of wasted fuel).

We want programs and policies focused on freight to help reduce congestion, improve the environment, facilitate goods movement, enhance our international competitiveness, and create jobs.

Funding for landside access has been through stimulus funds and TIGER grants. AAPA is recommending that a minimum of 25% of the funding be awarded to port-related infrastructure projects. We strongly encourage a program of this type to be permanently authorized in surface transportation reauthorization. Such a program can help fund multi-modal infrastructure projects, including port terminal infrastructure landside access to terminals and other supporting improvements.

For rail, we want: Tax credit incentives for both main line and short line railroads to increase capacity (such as investment in port access); A grant program with cost-share (federal/railroad) for projects with both public and private benefit; and, Defined freight corridors of national significance, including rail corridors, that would receive increased federal investment.

Short sea shipping: Allowing freight to travel as far as possible by water will alleviate 17 highway congestion. It will be delivered to its final destination by truck or rail, but Since its inception in 1986, this tax has too often been used for other programs while serious dredging needs have been neglected.

Ports cost share these expenses as a local partner and are stepping up to the plate— we need our federal partners to do the same.

If channels are not maintained or improved, there are safety implications, such as ships running aground or having to lighter cargo offshore.

18 Vessel general permit • Applies to all commercial vessels • Recreational vessels are excluded • Implementation of national permit has gone well – no reported disruptions in ship calls • However, the concern is states’ putting in place different discharge standards (which they are allowed to do under the Clean Water Act), which many have done • This patchwork of regulations make it difficult for vessels to keep track of and comply with rules from state to state and potentially puts some ports at a competitive disadvantage

19 Clean trucking • Rep. Nadler will soon be introducing legislation to amend the F4A, which will be entitled the Clean Ports Act of 2010 • In a Dear Colleague aimed at garnering co-sponsors, he makes arguments primarily on the environmental benefits but also says legislation is necessary to “end the practice of improperly designating employees as ‘independent contractors.’ ” Air emissions • EPA is moving forward with regulations to address greenhouse gas emissions from power plants • So far it has not announced a timetable to address GHG emissions from other sources, including mobile sources • Senate Republicans tried to pass a resolution of disapproval on the EPA action but didn’t have enough votes • The Senate is considering a narrow energy bill, which some have argued should have climate provisions Environmental justice • Port of Seattle participated in a working group under the National Environmental Justice Advisory Committee to advise EPA on dealing with EJ issues and goods movement • Key recommendations centered on better processes for allowing EJ communities to participate in decision making, identifying (within EPA) communities that are maximally exposed and initiating processes to reduce health impacts from goods movement in those communities 20 21 AAPA believes that the 25% cost share should be waived and included in the revised SAFE Port Act which is anticipated to be introduced in the Senate by the 4th of July

AAPA continues to work with DHS on implementing the TWIC program, including monitoring and commenting on the Coast Guard’s regulations for facility compliance with TWIC

Currently, the industry is a year away from implementation of a new system for personnel security; ID cards are available but the industry still needs readers to implement the change

22 AAPA is concerned about 100% scanning abroad because of reciprocal expectation in the U.S. AAPA endorses targeted screening using a multi-faceted approach and still believes that all cargo entering the U.S. should be 100% scanned

AAPA is working with the Bureau of Customs and Border Protection to combat terrorism and encourages Congress to appropriate the necessary resources to allow them to protect America’s seaports

Funds should be made available for Customs to provide additional X-ray machines for the purpose of increasing inspections at ports without slowing down the movement of commerce

23 In response to a national emergency, AAPA understands there may be a need to temporarily divert dredges from scheduled navigation channel work. However, diversions of more than a few weeks can greatly increase the cost of a dredging project, especially when environmental dredging windows close for the year.

In instances where private industry dredges are released from contractual obligations with the Corps to perform navigation dredging—and when no other comparable private dredges are available—AAPA’s position is that maximum use should be made of the government-owned dredges to replace the dredges released, and to continue the dredging operations with minimum delay.

When U.S.-flagged private and public dredges are insufficient to handle the demand, then AAPA believes the federal government should consider a temporary waiver of cabotage laws pertaining to dredges.

In the case of the BP oil spill, AAPA is particularly concerned about the impact of dredge diversions on the Fall 2010 dredging schedule, since that is when environmental windows open and many dredging projects are scheduled.

24 25 Some speakers of note:

J.J. Ruest Executive Vice President and Chief Marketing Officer CN Montréal, Québec

Pierre Marin Director General, Environmental Policy Ottawa, ON

The Honourable David L. Emerson, P.C. Former Minister of Industry, International Trade, Foreign Affairs for the Vancouver, BC

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