Kentucky Transportation Center Research Report KTC -14-11/MTIC1-14-1F Audit Template for Inland Port Sustainability Our Mission We provide services to the transportation community through research, technology transfer and education. We create and participate in partnerships to promote safe and effective transportation systems. © 2014 University of Kentucky, Kentucky Transportation Center Information may not be used, reproduced, or republished without our written consent. Kentucky Transportation Center 176 Oliver H. Raymond Building Lexington, KY 40506-0281 (859) 257-4513 fax (859) 257-1815 www.ktc.uky.edu Audit Template for Inland Port Sustainability Prepared for: Multimodal Transportation & Infrastructure Consortium by the Kentucky Transportation Center 11/21/2014 This Page Left Intentionally Blank. Audit Template for Inland Port Sustainability Authors: Principal Investigator: Doug Kreis, PE, MBA, PMP Researcher(s): Sarah McCormack, MSc, CTL Research Engineer Christopher Van Dyke, MA Research Analyst Bryan Gibson, PhD Research Associate Multimodal Transportation and Infrastructure Consortium P.O. Box 5425 Huntington, WV 25703-0425 Phone: (304) 696-2313 • Fax: (304) 696-6088 Disclaimer: The contents of this report reflect the views of the authors, who are responsible for the facts and the accuracy of the information presented herein. This document is disseminated under the sponsorship of the U.S. Department of Transportation’s University Transportation Centers Program, in the interest of information exchange. The U.S. Government assumes no liability for the contents or use thereof. This page left intentionally blank. Table of Contents ABSTRACT……………………………………………………………………………………………………………………………………………4 ACKNOWLEDGEMENTS ………………………………………………………………………………………………………………………5 LIST OF FIGURES………………………………………………………………………………………………………………………………….7 LIST OF TABLES……………………………………………………………………………………………………………………………………8 EXECUTIVE SUMMARY………………………………………………………………………………………………………………………10 CHAPTER 1: INTRODUCTION………………………………………………………………………………………………………………………………….....16 CHAPTER 2: UNDERSTANDING SUSTAINABILITY………………………………………………………………………………………………………..20 Defining Sustainability………………………………………………………………………………………………………………………20 Sustainable Business…………………………………………………………………………………………………………………………21 CHAPTER 3: UNDERSTANDING PORT SUSTAINABILITY………………………………………………………………………………………………24 Sustainable Ports………………………………………………………………………………………………………………………………24 Target Areas for Port Sustainability…………………………………………………………………………………………………..29 Sustainable Policies…………………………………………………………………………………………………………………………..30 Operational Sustainability………………………………………………………………………………………………………………..38 Sustainable Infrastructure………………………………………………………………………………………………………………..47 Energy Efficiency as Sustainability…………………………………………………….………………………………………………52 Environmental Sustainability……………………………………………..……..……………………………………………………..54 Safety & Security as Sustainability Initiatives…………………………………………………………………………………….58 Efficiency as Sustainability ……………………………………………………………………………………………………………….61 CHAPTER 4: 2012 SITE VISITS ‐ FOCUSING ON TANGIBLE TARGETS & VIEWING SUSTAINBILITY AS ECONOMIC INVESTMENTS…………………………………………………………………………………………………………………………..65 CHAPTER 5: 2013 SITE VISITS – LESSONS LEARNED: FOCUSING ON THE ECONOMIC BOTTOM LINE, WORKING DIRECTLY WITH INLAND PORT OPERATORS, AND CREATING A PRACTICAL TOOL………………….…..72 CHAPTER 6: A NEW TARGET ‐ SUPPLY CHAIN SUSTAINABILITY…………………………….……………………………………………………78 CHAPTER 7: MEASURABLE SUSTAINABILITY CHARACTERISTICS – BACKGROUND CONSIDERATIONS FOR AN AUDIT TEMPLATE OF INLAND PORT SUSTAINABILITY ………………………………………………………………………..83 Regional Sustainability Templates……………………………………………………………………………………………………84 1 General Sustainability Templates……………………………………………………………………………………………………..85 Kentucky Transportation Center’s Audit Template for Inland Port Sustainability……………………………..86 Template Design Challenges Identified by Site Visits with Stakeholders…………………………………………..88 CHAPTER 8: KTC INLAND PORT SUSTAINABILITY AUDIT TEMPLATE & SELF‐ASSESSMENT TOOL……………………………….90 Sustainability Accounting………………………………………………………………………………………………………………….91 EPA Port Management and ISO Standards………………………………………………………………………………………..95 Creating the Audit Template……………………………………………………...…………………………………………………….99 A Version Historyt of Audi Template Development ………………………………………………………………………..106 Future Directions .………………………………………………………………………………………………………………………….109 The Template (Version 3) ……………………………………………………………………………………………………………….112 Discussion ……………………………………………………………………………………………………………………………………...121 CHAPTER 9: ADDENDUM: THE EXPANSION OF THE PANAMA CANAL, STRATEGIC IMPORTANCE OF U.S. INLAND WATERWAYS, & SPECIFIC CHALLEGES FOR KY PORTS …………………………………………………………….124 Moving from a Coastal to an Inland Perspective …………………………………………………………………………….124 The Sustainable and Strategic Value of the U.S. Inland Waterway System ……………………….…………..125 The Impact of the Expansion of the Panama Canal ………………………………………………………………………..128 Specific Challenges to Implementation of Port Sustainability in Kentucky ……………………………………..131 APPENDIX A: TECHNICAL MEMO ON AMERICAN COASTAL & INLAND PORT SITE VISITS 2012 ………………………………..135 Executive Summary ……………………………………………………………………………………………………………………….136 Acknowledgements ……………………………………………………………………………………………………………………….138 Port Visits Port of Norfolk – Norfolk, Virginia………………………………………………………………………………………….139 Port of Savannah – Savannah, Georgia…………………………………………………………………………………..148 Port of Charleston – Charleston, South Carolina ……………………………………………………………………158 Concluding Thoughts – Norfolk, Savannah, Charleston ……………………………………………………….…169 Port of New Orleans – New Orleans, Louisiana ………………………………………………………………………170 Port of Houston – Houston, Texas ………………………………………………………………………………………….178 Port of Mobile – Mobile, Alabama ………………………………………………………………………………………….182 Concluding Thoughts – New Orleans, Houston, Mobile ………………………………………………………….186 Port of Paducah – Paducah, Kentucky …………………………………………………………………………………….188 Port of Memphis – Memphis, Tennessee ……………………………………………………………………………….191 Concluding Thoughts – Paducah, Memphis …………………………………………………………………………….197 Port of Cincinnati –Cincinnati, Ohio ………………………………………………………………………………………..198 Port of Louisville – Louisville, Kentucky ………………………………………………………………………………….201 Port of St. Louis – St. Louis, Missouri ………………………………………………………………………………………204 Concluding Thoughts Louisville, St. Louis ……………………………………………………………………………….206 Discussion – Transferable Initiatives for Inland Ports ……………………………………………………………..207 2 APPENDIX B: TECHNICAL MEMO ON SECOND ROUND OF INLAND PORT SITE VISITS 2013 ………………………………………213 Acknowledgements ………………………………………………………………………………………………………………………213 Executive Summary ………………………………………………………………………………………………………………………214 Port Visits Port of Paducah ………………………………………………………………………………………………..………………217 Owensboro Riverport ……………………………………………………………………………………………………….219 Henderson County Riverport Authority ……….………………………………………………………….……….222 Louisville – Jefferson County Riverport International ……………............................................224 Greenup‐Boyd County Riverport Authority ……………………………………………………………………….226 Columbiana County Port Authority ……………………………………………………………………………………229 Weirton Area Port Authority ……………………………………………………………………………………………..232 Eddyville Riverport Authority …………………………………………………………………………………………….235 Hickman‐Fulton County Riverport Authority ……………………………………………………………………..238 Port of Greater Cincinnati Development Authority …………………………………………………………..241 APPENDIX C: PROMOTIONAL BROCHURE FOR INLAND PORT SUSTAINABILITY PROJECT ...........................................244 APPENDIX D: KTC INLAND PORT SUSTAINABILITY SELF‐ASSESSMENT TEMPLATE VERSION HISTORY (V1, V2, V3) …….247 APPENDIX E: PORT TERMINOLOGY ………………………………………………………………………………………………………………………….266 APPENDIX F: LISTING OF SUSTAINABILITY INITIATIVES ……………………………………………………………………………………………274 WORKS CITED…………………………………………………………………………………………………………………………………280 3 ABSTRACT This report serves as an assessment of port sustainability and its potential applications for the inland river ports of Kentucky and the surrounding region. The report discusses and defines sustainability, both generally as it relates to business and industry and specifically as it relates to the port industry. Given the unique nature of the inland port industry, the report reviews lessons learned from 11 port site visits conducted by Kentucky Transportation Center in 2012, primarily at major U.S. coastal ports but also representative inland ports. KTC’s analysis identifies the sustainability challenges facing various domestic and international ports, and what policy and operating initiatives are being undertaken to meet these challenges. This report then discusses KTC’s progress in tailoring the sustainability process identified during these visits to the inland port industry. Field visits to 13 public ports along the Ohio River were conducted in order to develop a sustainability self‐assessment tool, which took the lessons learned at coastal ports and large‐scale inland ports and applied them to the inland ports of Kentucky and the surrounding region. From these visits and the associated research, an audit template has been developed that allows inland port operators to assess and improve sustainability levels. The wealth of information compiled in this report, along with the associated appendices, will prove invaluable to the inland port industry. The research relayed to the industry has already proven to be a boon to the ports that participated in the project. The preliminary results