Great Lakes Maritime Task Force Newsletter

October

2007

In This Issue

GLMTF meets Oct. 25

Dredging

Great Lakes Maritime Task Force 

More than 70 shippers, carriers, port authorities, shipyards, vessel pilots, longshore labor, shipboard unions and others are currently members of the Great Lakes Maritime Task Force, an organization devoted to promoting all aspects of the Great Lakes shipping industry.

Members to meet October 25

The GLMTF's 2007 Annual Meeting will take place in Cleveland on October 25 at the Holiday Inn Select City Center Lakeshore at 1111 Lakeside Avenue.  A buffet lunch will be served at 11:45 a.m., with the meeting beginning at 1 p.m.

 

The agenda will include a review of progress on the dredging crisis and developing a plan to deal with the ongoing dredging battle.  Other issues to be reviewed include ballast water legislation, the second Poe-sized lock,  and selecting the Great Lakes Legislator of the Year.

 

Legislative Update  

 

WRDA Approved by Congress

Both the House and Senate have now approved a final version of the Water Resources Development Act of 2007 ( H.R. 1495).  The bill contains key provisions of importance to the Great Lakes maritime industry.  Specifically, the bill would authorize $341 million for construction of a new large lock at Sault Sainte Marie, Michigan at full federal expense.  Further, the legislation directs the Corps of Engineers to stop studying the issue and proceed to construction.  Uncertainty over local cost sharing and cost-benefit ratios have delayed the project since 1986.  The bill also authorizes $134 million for rehabilitation of the Snell and Eisenhower locks on the Seaway.  Many thanks go to House Transportation Committee Chairman, Jim Oberstar (D-MN) for spearheading federal reinvestment in Great Lakes marine infrastructure.

 

Unfortunately, the White House has threatened to veto H.R. 1495 due to its overall cost.  Should this occur, Congress will likely attempt to override the President's veto.

 

Harbor Dredging Funding

The Great Lakes maritime industry is making great progress in its efforts to secure increased funding from Congress to eliminate the $230 million dredging backlog at Great Lakes harbors.  To date, the House has approved its version of the Fiscal Year 2008 Energy & Water Appropriations Bill.  The measure ( H.R. 2641) includes $123.3 million for Great Lakes harbors, compared to the Administration's proposed $93.1 million.  This represents a $30.2 million increase over the amount requested for the Great Lakes in the President's budget.  The majority of these funds are for dredging and disposal activities; $6.5 million is for recreational harbors.

 

The Senate Appropriations Committee has approved its version of the legislation, but the bill (S. 1751) has yet to be considered on the Senate floor.  The Senate version of the legislation contains $110.3 million for the Great Lakes ($100 million for commercial harbors).  This represents a $17.2 million increase over the amount requested for the Great Lakes in the President's budget.

 

Ballast Legislation Advances

After almost two months of delay, the Senate Commerce Committee approved S. 1578, legislation to establish a national ballast water management program.  The bill establishes a ballast water treatment standard, requires the installation of ship-board technology to treat ballast water, and establishes a timeline for implementation of such technology.  Vessels operating exclusively within the Great Lakes are generally excluded.

 

The bill exempts state governments from implementing inconsistent requirements and establishes that no other law ( i.e. the Clean Water Act) applies to ballast water discharges.

The legislation is of critical importance to protecting the environment and ensuring a consistent regulatory framework for Great Lakes vessel operators.

 

To everyone's surprise, the bill was blocked by Sen. Barbara Boxer (D-CA) last July.  Sen. Boxer, some environmental organizations, and some state governments would prefer to regulate ship discharges under the Clean Water Act.

 

Despite Sen. Boxer's objections, the Senate Commerce Committee approved the legislation on September 27th.  A similar bill was approved by the House of Representatives last June.

 

Short Sea Shipping Progress

On September 21, the Senate Finance Committee approved S. 1683, legislation sponsored by Sen. Debbie Stabenow (D-MI) to provide a narrow exemption to the Harbor Maintenance Tax for new short sea shipping services on the Great Lakes.  The text of the Stabenow legislation was included in the "American Infrastructure Investment and Improvement Act,"  a measure to reauthorize aviation user fees.  The aviation measure will now proceed to the Senate floor for a vote.

 

 

Dredging

 

Dredging to Clear Saginaw Bay Shipping Channel

Dredging of the Saginaw Bay shipping channel and the lower section of the Saginaw River was set to begin in mid-September. Two dredging contracts, totaling about $2 million, have been awarded to two different GLMTF members, MCM Marine of Sault Ste. Marie, and Luedtke Engineering Co. of Frankfort.

 

From the mouth of the River to two miles out into the bay was scheduled first.  The lower section of the river dredging will follow.  The upper Saginaw River will be dredged next year. 

 

NBC Evening News Airs Report on Falling Water Levels and Lack of Dredging

On Sept. 14, NBC News with Brian Williams aired a segment on the impacts of falling water levels and the lack of dredging on coal shipments from GLMTF member Superior Midwest Energy Terminal.  Fred Shusterich, president of the company was interviewed.

 

 

Pacesetter Awards

 

Port of Indiana-Burns Harbor and Federal Marine Terminals Recognized for Increase in International Tonnage

The Port of Indiana-Burns Harbor and its general cargo stevedore, Federal Marine Terminals (FMT) BurnsHarbor, posted a 30 percent increase last season over 2005 tonnage. The terminal received top honors after it had improved international Seaway freight tonnage by 73 percent.

 

In the 2006 navigation season, the Port of Indiana-Burns Harbor handled more than a million metric tons of steel imports valued at $584 million.  FMT handled 791,000 tons worth $422 million.  The port handles mostly semi-finished steel coils used extensively in the automobile, manufacturing, and construction industries.

 

"Each shipload of cargo transiting this port and terminal contributes thousands of dollars to the local economy and underscores the importance of international trade in a global economy," said Collister ("Terry") Johnson, Jr., Administrator of the Saint Lawrence Seaway Development Corporation.

 

Accepting the the Seaway's Robert J. Lewis Pacesetter Award for the Port of Indiana-Burns Harbor and FMT Burns Harbor's terminal were Rich Cooper, Executive Director, Port of Indiana and Ian Hirt, General Manager, FMT.

 

Toledo-Lucas County Port Authority & Midwest Terminals of Toledo Earn Honors for Shipments Rise in 2006

The Toledo-Lucas County Port Authority (TLCPA) increased international freight tonnage through the St. Lawrence Seaway by almost 25 percent over 2005 with 3.2 metric tons last year. Midwest Terminals of Toledo posted 700,000 tons for a 17 percent improvement earning both the St. Lawrence Seaway's annual tonnage award.

More than two-thirds of the port's cargo transiting Seaway locks last year was grain. Toledo's three grain shippers--Cargill, Archer Daniel Midlands (ADM) Grain Co., and the Andersons--handled 2.1 million tons at the port, a 56 percent increase over 2005. The performance was the staple bulk commodity's finest showing since 1994.

James H. Hartung, President/CEO of the Toledo-Lucas County Port Authority said, "My experience convinces me that the most effective marketing for the Great Lakes occurs when port authorities and terminal operators work in concert with one another," he said. "Our strategic location, quality facilities and professionalism both on and off the dock convince shippers very quickly that using Toledo is "good business ."

The Pacesetter Award acknowledges those U.S. ports and terminals in the Great Lakes St. Lawrence Seaway System that have shown increases in international freight tonnage shipped through the waterway over the previous year.

 

 

Erie Shipbuilding Launches Barges

The Erie Times News reported that Erie Shipbuilding is launching its first new building since 1973. On Sept. 26 officials christened and launched the Witte 4003, a 244-foot-long steel dump scow, and the Sue B, a 165-foot-long steel-deck barge.

Dirk VanEnkevort, president of Erie Shipbuilding, says the yard is also building five other 165-foot-long steel-deck barges that should be completed by December, while CEO Ned Smith says negotiations are in the works for several other new construction projects. The Erie Times News quotes VanEnkevort as saying employment could reach 200 by spring 2008.

Donjon Marine Co is buying the $5 million Witte 4003 and is in a joint venture with a New York state company to buy the Sue B and the five steel-deck barges under construction for a total $5.7 million, VanEnkevort said.

Tugboats will tow the completed new buildings to the East Coast via the St. Lawrence Seaway, probably in a week or two.

Erie Shipbuilding's 1,250-foot-long dry dock is the largest on the Great Lakes. Erie Shipbuilding leases the facility from the Erie-Western Pennsylvania Port Authority.

 

New Signage Brings Attention to Green Bay Port

All the fourteen businesses along a three mile stretch of waterfront within the Port of Green Bay are getting new dock signs.  The signs, designed to give the Port a more uniform look, will be located along the riverfront side of each terminal operator property and will include the Harbor Prosperity logo and the company logo.

 

These signs will also include Port facts such as 225 ships call on the Port each year and it supports more than 725 jobs.  Each year, $315  million in cargo moves through the Port and the Port hopes to gain recognition with the community.

 

 

Helberg Inducted into Soo Hall of Fame

Retired Duluth Port Director Davis Helberg has been inducted into the Great Lakes Marine Hall of Fame at Sault Ste. Marie, Mich. 

 

Capt. John Wellington, President of LeSault Historic Sites, Inc., said a plaque with Helberg's image and biographical information has been placed in the Museum Ship Valley Camp near the Soo Locks.  Selections to the Hall of Fame are made by LeSault Historic Sites and the Soo Locks Visitor Center Association.

 

Helberg, who retired from the Duluth Seaway Port Authority in 2003 after 24 years as executive director, has been involved in Great Lakes shipping since 1958.  He held office in several international maritime organizations and continues to write for various regional publications.

 

 

Shipping in the News

 

News articles

Muskegon Chronicle , Aug. 24, Freighters renew call for more dredging

Sarnia Observer , Aug. 25, Strike-bound ship sails away

Green Bay Press Gazette , Aug. 26, Green Bay port official aim for education

KARE-TV , Minneapolis , Aug. 28, Lake Superior in uncharted waters

BusinessNorth, Aug. 28, Limestone cargos down 7.4 percent in July

Sault Star, Aug. 28, Sault dropped as port of call: Luxury liner to end Great Lakes Cruises

Toronto Star, Aug. 29,Great Lakes near record lows

Canada NewsWire , Aug. 29, Association of Canadian Port Authorities honours Fednav head

Detroit Free Press, Aug. 30, Granholm urges other states, provinces to adopt ballast laws

Welland Tribune , Aug. 30, Greenpeace blocks ship

The Plain Dealer , Aug. 30, Cleveland-Cuyahoga port authority looks to spur economy

All American Patriots , Aug. 30 , Michigan Governor Granholm Calls on Great Lakes Governors

Milwaukee Journal Sentinel , Sept. 1, States urged to join fight against invasive species

Detroit Free Press , Sept. 1, Granholm aims to clean up the Lakes

Port Huron Times Herald , Sept. 2, Low water creates crisis

BusinessNorth , Sept. 5, Helberg inducted into Marine Hall of Fame

Montreal Gazette , Sept. 7, Port of Montreal's next gatekeeper will have big shoes to fill

Toledo Blade , Sept. 8, The Port of Toledo striving to diversify its freight business

Bayshore Broadcasting News , Sept. 9, A closer look at our Great Lakes water levels

Toledo Blade , Sept. 9, Declining Great Lakes water levels stir debate

Muskegon Chronicle , Sept. 11, Coal carrier backs off, forced to lighten load

Toronto Star , Sept. 12, Algoma orders tankers from Chinese company

Milwaukee Journal Sentinel , Sept. 15, Lightening earth's load, lake levels will fall

The Bay City Times , Sept. 15, Dredging to clear Saginaw Bay shipping channel to start

Green Bay Press-Gazette , Sept. 17, Ports add $2 trillion to U.S. economy

BusinessNorth , Sept. 17, August shipments down 8.2 percent

International Herald Tribune , France, Sept 17, No ballast emptying in Lake Superior national park waters

Minneapolis Star Tribune , Sept. 17, Order prohibits dumping of untreated waters within Isle Royale

Dredging News Online , Sept. 18 , Great Lakes limestone trade hit by dredging issue

Daily Mining Gazette , Sept. 18 , Isle RoyaleNational Park bans untreated ballast water exchanges

The Bay City Times , Sept. 18 , Fewer freighters are traversing the Saginaw River as the economy and water levels keep them at bay

Duluth News Tribune , Sept. 18, Lawsuits, legislation aim to regulate ships' ballast water

Houston Chronicle, Sept. 18, Ballast Banned in Isle Royale Waters

Toledo Blade , Sept. 19, Forum Pushes Toledo freight center development

WXYZ-TV , Sept. 23, John Jamian on Michigan Transportation

Detroit Free Press , Sept. 24 , Projects benefiting Great Lakes headed to Bush's desk

 

Editorials

Bedford Times Register , Bedford, Ohio, Aug. 24, Voinovich right in goal of empowering Coast Guard to enforce ballast removal

Detroit Free Press , Aug. 26 , Keep the water in the Lakes

Sandusky Register , Aug. 29, We have a chance to affect Lakes for the better

Oakland Press , Aug. 30, Michigan must keep fighting to protect lakes from invaders

Detroit News , Sept. 6, States, greens halt fixes for lake ship ballast, Letter to editor, John Jamian and Steve Fisher

Minneapolis Star Tribune , Sept. 7, No time to lose for Lake Superior fish

Detroit News , Sept. 18, Shippers' ballast argument based on profit, Hugh McDiarmid, Jr.