Legislature(2023 - 2024)BUTROVICH 205
04/25/2023 01:30 PM Senate TRANSPORTATION
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| Audio | Topic |
|---|---|
| Start | |
| Overview: Ports and Harbors of Alaska Part I | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
ALASKA STATE LEGISLATURE
SENATE TRANSPORTATION STANDING COMMITTEE
April 25, 2023
3:30 p.m.
MEMBERS PRESENT
Senator James Kaufman, Chair
Senator Löki Tobin
Senator Jesse Kiehl
Senator Robert Myers
MEMBERS ABSENT
Senator David Wilson, Vice Chair
COMMITTEE CALENDAR
OVERVIEW: PORTS AND HARBORS OF Alaska, PART I
- HEARD
PREVIOUS COMMITTEE ACTION
No previous action to record
WITNESS REGISTER
STEVE RIBUFFO, Port Director
Port of Alaska in Anchorage
Anchorage, Alaska
POSITION STATEMENT: Delivered the presentation, Port of Alaska
Modernization Program.
DAVID AMES, Program Manager
Port of Alaska Modernization Program
Jacobs Engineering
Anchorage, Alaska
POSITION STATEMENT: Responded to questions about the Port of
Alaska Modernization Program.
CARL UCHYTIL, Port Director
City & Borough of Juneau
Juneau, Alaska
POSITION STATEMENT: Delivered the presentation, City and Borough
of Juneau Docks and Harbors Enterprise.
BRYAN HAWKINS, President
Alaska Association of Harbormaster & Port Administrators;
Port Director for the City of Homer
Homer, Alaska
POSITION STATEMENT: Delivered the presentation, Alaska
Association of Harbormasters and Port Administrators.
JOY BAKER, Port Director
Port of Nome
Nome, Alaska
POSITION STATEMENT: Delivered the presentation, Port of Nome
Alaska's Arctic Port.
ACTION NARRATIVE
3:30:46 PM
CHAIR JAMES KAUFMAN called the Senate Transportation Standing
Committee meeting to order at 3:30 p.m. Present at the call to
order were Senators Kiehl, Tobin, Myers, and Chair Kaufman.
^OVERVIEW: PORTS AND HARBORS OF Alaska PART I
OVERVIEW: PORTS AND HARBORS OF Alaska PART I
3:31:45 PM
CHAIR KAUFMAN announced that various ports throughout Alaska
will report on their processes, procedures, and ongoing
projects.
CHAIR KAUFMAN reviewed the agenda.
3:33:31 PM
At ease due to technical difficulties.
3:34:03 PM
CHAIR KAUFMAN reconvened the meeting and asked Mr. Ribuffo with
the Port of Alaska in Anchorage to begin his presentation.
3:34:41 PM
STEVE RIBUFFO, Port Director, Port of Alaska in Anchorage,
Alaska, introduced himself and began the presentation, Port of
Alaska Modernization Program. He displayed a picture of the port
and stated that he would provide an update on the modernization
program and the work that was being done in parallel.
MR. RIBUFFO explained that the Port of Alaska in Anchorage has
the infrastructure capability to handle any kind of cargo that
will be shipped into the state. This includes containerized
cargo; liquid bulk/refined petroleum; dry bulk the majority of
which is cement; break bulk which includes replacement parts for
oil rigs and heavy machinery; dry barge landing; and cruise
ships. He directed attention to the image of the runway beyond
the port and explained that Joint Base Elmendorf Richardson is a
neighbor. A secure gate structure allows the Department of
Defense (DoD) to move cargo directly to and from the port.
3:38:03 PM
MR. RIBUFFO moved to slide 3, relaying that it speaks to the
backlands portion of the port. This is about 125 acres of cargo
handling yard, 3.1 million barrels of refined petroleum storage,
60,000 tons of cement storage, and a skilled workforce that's
within an hour's drive of the port.
MR. RIBUFFO moved to slide 4, "Three Functions." He stated that
the first function is commerce; all of the goods that come
across the dock are transferred to rail or road for delivery to
the final destination. He reported that 90 percent of freight
coming into the state comes by water. Half of the freight comes
across the dock in Anchorage and half of that continues to
destinations outside the municipality. The port in Anchorage
serves as the port for Fairbanks, Palmer, Wasilla, Kenai, and
Seward. The second function is national defense. The port in
Anchorage is one of 18 commercial, strategic seaports in the US
with a mission in support of the Department of Defense to move
freight to training facilities in the Lower 48 or into combat
theaters. An added responsibility is to provide commissary goods
for all the bases in the state. The third function is in support
of the state and federal disaster response plans. As the owner
of the port, the Municipality of Anchorage has to consider all
three missions, even though the commerce mission is the only one
that pays the bills.
3:42:17 PM
MR. RIBUFFO moved to slide 5, "Since Visiting Juneau in 2022."
He stated that he presented the following list to the
legislature last year and he was pleased to report that
everything that's listed has moved to the next evolution.
Completed PCT and SFD Construction
Awarded a $9 million design-build contract for the
new Administration Building project
Awarded a $114 million design -build contract for
the North Extension Stabilization - Step 1 (NES1)
project
Received a $68.7M grant for NES1
Completed preliminary design for the Cargo Terminals
Replacement project
Conducted bid process for Designer -of -Record
contract for new Terminal 1
Continued permitting for Phase 2A and Phase 2B
projects 5 Pet
3:42:50 PM
MR. RIBUFFO moved to slide 6, "Petroleum Cement Terminal
Complete - Fall 2022." He stated that the task at this terminal
was to complete the construction of this terminal and move the
floating dock to the south. That has been accomplished and the
first vessel will arrive shortly. He noted that the final
certifications for the petroleum lines were forthcoming. The
terminal has a 70-year design life. The port provides the state
with fuel security and the ability to receive petroleum products
for daily commerce and the products that might be needed in the
event of a disaster response.
3:44:24 PM
MR. RIBUFFO moved to slide 7, "Administration Building." He
explained that the new building is not on the dock. This move
will free up dock space for the first new cargo terminal once
the design is complete.
MR. RIBUFFO described slide 8, "North Extension Stabilization -
Step 1." He noted that this was a two-year process.
Notice to Proceed on December 20, 2022
Geotechnical investigation started February 2023
Ground-breaking expected in April 2023
Awarded a $68.7M FY22 grant through PIDP
3:46:15 PM
MR. RIBUFFO reviewed slide 9, "Cargo Terminals 1 and 2." He
noted that the municipal manager signed the contract for the
designer today.
Completed preliminary design
On track to award Terminal 1 Design contract in
April 2023
Applying for federal grants this year
Terminal 1 construction schedule compressed by one
year through design innovations
Terminal 1 is key to Food Security Operational
restrictions may be required by 2025
Terminal 2 design features under evaluation
3:46:51 PM
MR. RIBUFFO spoke to slide 10, "What Keeps Me Up?"
Key Operational Risks
Aging docks
Fragile Power systems
Limited Port Access
Proposed Solutions
Port of Alaska Modernization Program (you just saw)
Port Power Plan
A new access road working with AKDOT&PF
3:47:23 PM
MR. RIBUFFO moved to slide 11, "Port Power Plan - a connected
microgrid." The aerial picture shows a connected microgrid.
Connected microgrid
Energy storage ($5.3M DCIP grant)
Emergency generation
Metering and controls (to be installed this year)
Renewable generation
New business opportunities!
3:48:08 PM
MR. RIBUFFO discussed slide 12, "Port Power Plan." He spoke
about the various partners and about a grant to store renewable
energy in addition to a solar farm.
A Series of power-related projects that will combine
into a complete, sustainable power system that
includes:
Connected microgrid
Emergency (backup) power generation
Energy storage
Renewable power generation
System metering/controls to enable efficient system
management and operation
Our Partners:
Chugach Electric
Department of Energy (Sandia Labs)
JBER
Mat-Su Borough (via The Upper Cook Inlet Marine
Energy Alliance)
Port Users
3:49:37 PM
MR. RIBUFFO moved to slide 13, "What keeps me up?" He stated
that it is problematic to have just one access road to the port.
The Department of Transportation and Public Facilities (DOTPF)
has a two-year plan to realign that road and the Alaska Railroad
track to the port, which will take the road out of service. DOT
has reviewed the port's preliminary design for a new access road
through Government Hill and agreed to make that step one of
their larger project.
3:51:03 PM
SENATOR TOBIN asked for his thoughts and how the port was
engaged in the Seward-Glenn Mobility Planning and Environmental
Linkage (PEL).
MR. RIBUFFO replied that the Seward-Glenn connection has been
ongoing for the 16 years that he'd been at the port. He relayed
that he was less interested in that connection than the
connection to the port. He stated that moving truck traffic from
downtown Anchorage was not in his purview, but port staff could
speak with expertise about how to make the portion where the
port property starts more efficient.
SENATOR TOBIN said she looked forward to working together.
3:53:36 PM
CHAIR KAUFMAN mentioned the controversy about increasing the
scope of the port project. He asked what controls were in place
to determine the scope and ensure it doesn't continue to
increase.
DAVID AMES, Program Manager for the Port of Alaska Modernization
Program, Jacobs Engineering, Anchorage, Alaska, introduced
himself and explained that he had worked with the program for 18
months and tremendous progress had been made on the physical
aspect. Part of that is improving the controls on the project.
Jacobs Engineering and the municipality have updated the program
management plan to assist the city in overseeing the project. He
stated that a new baseline project budget and schedule would
allow the port to award the contracts in a reasonable time, in-
budget, and with the necessary oversight to provide the city
with auditable services. The city is also developing an
oversight group that includes several control positions. He
offered to provide the city's organizational chart.
CHAIR KAUFMAN confirmed that he'd like to see the chart.
3:57:23 PM
SENATOR MYERS asked what resiliency plans the port has in the
event of a disaster, such as a large earthquake, that puts the
port out of business.
MR. RIBUFFO replied that replacing the old infrastructure is the
greatest defense to ensure the port is still standing after a
catastrophic event like the 1964 earthquake. Design standards
are much more resilient than they were 60 years ago and that is
embraced in the new port design. However, the port is the
landlord so it does not control dock operations. The plans for
disaster recovery and the continuation of commerce reside with
the port users. In the event of a disaster, the port's job would
be to work with the incident response team to figure out how to
get back up and running.
CHAIR KAUFMAN asked him to send the seismic design for the port.
4:00:40 PM
CHAIR KAUFMAN recognized Carl Uchytil with the Port of Juneau as
the next presenter.
4:00:52 PM
CARL UCHYTIL, Port Director, Port of Juneau, City & Borough of
Juneau (CBJ), Juneau, Alaska, delivered the presentation "The
City and Borough of Juneau Docks and Harbors Enterprise." He
relayed that Juneau has four municipally owned small boat
harbors; six launch ramp facilities; and two boat yards under
lease. Juneau is the 46th largest commercial fishing port in the
country by value. He stated that the cruise ship docks allow
tourists to access whale-watching vessels in Auke Bay.
4:03:03 PM
MR. UCHYTIL discussed the bullet points on slide 2, "Port of
Juneau." He noted that in 2019 Juneau had four percent of the
world market share of cruise ships and in 2023 that is projected
to be six percent.
1.3M passengers in 2019
Anticipating 1.65M passengers in 2023
Passenger Fees (aka Head Tax) to generate $21.5M for
the local community
Over 700 ship visits to Juneau
Tourism largest private sector employment in SE
Alaska
Major new private cruise ship docks planned for:
Whittier
Juneau (Huna-Totem)
Seward
4:04:25 PM
MR. UCHYTIL continued to slide 3, "Juneau Dock Electrification
Plans." The idea to electrify the two city-owned docks has been
in process for more than a decade. Conduit was installed when
the two new cruise ship docks were constructed. This is a high
priority for the CBJ Assembly and the industry. CBJ will be
pursuing a $3 billion Clean Port Initiative grant that's offered
through the Inflation Reduction Act. A new transformer for the
dock that has electricity was purchased from the local utility,
but the supply chain for that is 152 weeks.
4:06:33 PM
MR. UCHYTIL reviewed the chart on slide 4, "Harbor Facility
Grant." He stated that this is an important grant for small boat
harbors throughout Alaska. Juneau pursues this grant as often as
possible. He discussed the following points.
50-50 Match cap - $5M
Only fully funded twice since inception 2006
FY23 Funded five municipal projects with $16.4M
FY23 need was $20M
FY24 need is $8.2M
Meyer's Chuck
Sitka
Whittier
4:07:35 PM
MR. UCHYTIL moved to the chart on slide 5, "Construction Cost
Escalation - Floats." He noted that bids opened two weeks ago
for CBJ's Aurora Harbor phase III project. The project started
in 2014 when the cost per square foot for floats was $106 and
today the cost is $295 per square foot.
4:08:55 PM
MR. UCHYTIL moved to slide 6, "Construction Cost Escalation
Electrical." He reported that when the Statter Harbor project in
Auke Bay was done in 2020, the cost per square foot for the
electrical system was $40; the cost today for Aurora phase III
is $280 per square foot. He noted that the cost of copper had
quadrupled since the pandemic, all of which will affect small
boat harbors throughout the state.
MR. UCHYTIL moved to slide 7, "UAS Property Lease." He noted
that this prime property is located between Juneau's two small
boat harbors along Egan Expressway. CBJ would like to purchase
the property but the university isn't ready to sell. He
discussed the following points.
Juneau Fisheries Terminal considered critical for
commercial fishermen & boatyard activity;
Since 1988, CBJ has enjoyed favorable lease rent
with UA at ~$12K/year;
Lease expires May 5th, 2023
UA willing to enter into new 4 year lease at
$100K/year
Fair Market Value of leased property is
$230,400/year
He highlighted the grant application to build a drive-down float
in this area. At Statter Harbor CBJ is working with the Army
Corps of Engineers on a $50 million breakwater project. Senator
Murkowski provided $1.5 million in congressionally directed
spending this year to start the project.
4:11:10 PM
CHAIR KAUFMAN asked for additional information about the project
on the UAS lease property.
MR. UCHYTIL replied that this area is the commercial fisheries
terminal and the entire infrastructure needs to be replaced. He
restated that he would like CBJ to purchase the property because
it's right between the two small boat harbors.
4:12:37 PM
SENATOR KIEHL added that this infrastructure has incubated
several new businesses and shoreside processors in the
community. He asked whether the lift shown on parcel B would be
replaced.
4:13:36 PM
MR. UCHYTIL responded that it's a travel lift that the
university owns and leases to Harri Commercial Marine. He agreed
that the facility needed major maintenance.
4:14:21 PM
CHAIR KAUFMAN recognized Bryan Hawkins, Port Director for the
City of Homer; and President, Alaska Association of
Harbormasters & Port Administrators as the next presenter.
4:14:41 PM
BRYAN HAWKINS, President, Alaska Association of Harbormaster &
Port Administrator; and Port Director for the City of Homer,
Homer, Alaska, delivered the presentation Alaska Association of
Harbormasters and Port Administrators. He began with slide 1
that depicts 47 harbors and river ports around the state. The
river ports are in the communities of Emmonak, Kwethiluk, and
Nenana. He stated that these facilities are essential to the
state's transportation network.
4:16:33 PM
MR. HAWKINS advanced to slide 2, "Approved applicants for FY
2024 budget." The chart shows the three communities that have
been approved for FY2023 Municipal Facility Harbor Grants. He
noted that to apply for these grants, the project must be
shovel-ready with the local match in place. These projects are
ready to go to bid.
CHAIR KAUFMAN asked what the match ratio is.
MR. HAWKINS replied it is a 50:50 match.
MR. HAWKINS moved to slide 3, "Funded FY2023 Municipal Harbor
Grant Projects." He explained that the chart shows the five
communities that were awarded grants last year.
4:17:32 PM
MR. HAWKINS moved to slide 4 and spoke to the following points.
As we all know recent federal legislation provides a
once-in-a-generation opportunity to build and improve
infrastructure.
DOT has the STIP to formally advance and rank
transportation projects across the state, however,
ports are not included.
Some very low interest Federal loans require inclusion
on the STIP and it is an easy way to establish
required matching funds are available.
The DOT needs to quickly include ports as part of the
STIP process or provide another formal way to rank and
advance port projects
MR. HAWKINS highlighted that the City of Homer is applying for a
Port Infrastructure Development Program (PIDP) grant to replace
floats in the Homer harbor. It's an 80 percent federal, 20
percent local match. He explained that the city bought the
harbor from the state in 1999 for $1.00. That included a lot of
deferred maintenance so the grant is a great opportunity, but
the 20 percent match will stretch the budget. The city is
looking for a particular low interest federal loan but to apply
they must be listed on the Alaska Statewide Transportation
Improvement Program (STIP). The problem is that DOTPF doesn't
list ports and harbors on its STIP list.
4:19:12 PM
CHAIR KAUFMAN asked if he knew why ports and harbors aren't
listed on the state's STIP.
MR. HAWKINS replied that it's policy. He read that docks and
harbors are not included in the STIP because they receive
financial assistance through the state-funded Municipal Harbor
Grant Program. He continued to read that STIP does not have to
include projects that are entirely state-funded or those that
don't involve the US Department of Transportation.
CHAIR KAUFMAN advised that the committee would look into the
matter.
4:20:16 PM
MR. HAWKINS moved to slide 5 which shows an aerial view of the
Homer Harbor. He stated that the original harbor project started
in 1960 and was completed six years later. The footprint was 16
acres and it had 16 slips. The picture shows the expanded harbor
that was built in 1986. It covers 50 acres. It is the largest
single-basin harbor in the state. The harbor has a 345-foot fish
dock with eight public-access cranes and an ice plant that can
produce 100 tons of flake ice per day. The city owns and manages
the facility. The harbor has 900 slips, a five-lane launch ramp,
two ocean piers, a commercial barge ramp, and a marine haul-out
and repair facility. The fleet is comprised of boats devoted to
commercial fishing, charter, tour boats, and six water taxis. He
relayed that more than 400 names are on the waiting list for a
stall. Twenty-eight businesses lease upland property from the
port. The port also manages the airport terminal building and
campground, and they do parking enforcement.
4:22:24 PM
MR. HAWKINS moved to slide 6 which shows large boats rafted on
the transient large vessel dock. He said the city has been
talking with the Army Corps of Engineers (Corps) since 2004
about expanding the facility. He noted that all the boats
pictured were larger than 86 feet, which is the size of the
largest slips in the harbor. These are Bering Sea crabbers,
commercial towing vessels, freight vessels, and a fleet of
private research vessels under contract. There's a lot of
competition for moorage and vessels are routinely turned away.
4:23:55 PM
MR. HAWKINS moved to slide 7, "Small Harbor Improvements, Large
Vessel Harbor Master Planning." He said the shaded area on the
graphic is shallow water, so there is an opportunity to expand.
He advised that the commercial freight companies serve about 30
communities that are not connected to the road system. The idea
is to build a next generation, large vessel harbor. It will
accommodate vessels that are too large to come into the existing
harbor. When those vessels need long term moorage, they transit
to the Lower 48. He advised that a benefit to building this
harbor is that maintenance and secondary spending will generate
commerce for the community.
4:25:57 PM
SENATOR MYERS asked if he would send information about the
scoring system for the Municipal Harbor Grant Program to the
committee. He relayed his interest in how that might be expanded
to other types of infrastructure.
MR. HAWKINS replied that he would provide the contact
information for the manager of the committee that scores the
projects.
4:27:17 PM
CHAIR KAUFMAN recognized Joy Baker, Port Director for the Port
of Nome as the next presenter.
4:28:13 PM
JOY BAKER, Port Director, Port of Nome, Nome, Alaska, delivered
the presentation, Port of Nome Alaska's Arctic Port.
MS. BAKER displayed slide 2, "Regional Transshipment Hub." She
pointed to the map on the right of the slide that shows the
coastal communities in Western Alaska and the Arctic from
Platinum to Barrow. She spoke to the following bullets.
Serving over 60 communities (Platinum to Barrow)
Maritime Hub Services
Community resupply (fuel, vehicles, equipment,
buildings, appliances, groceries)
Commercial & Subsistence fisheries
Construction project equipment/materials
Environmental/Oil Spill Response
Resource Development
Search and Rescue
Scientific research
Industrial support .notdefTourism
4:29:15 PM
MS. BAKER moved to slide 3, "Beyond the Breakwater." The slide
shows multiple colored lines that reflect the vessel traffic to
and from the Nome Harbor during the 2022 6-7 month ice-free
season. On the top right is the list of industry vessels that
use the harbor. These include: tug, towing, pleasure/passenger,
cargo, fishing, military/law enforcement, research, and
dredging. She noted the color legend was missing and offered to
provide it.
CHAIR KAUFMAN confirmed that he'd like to see the legend.
MS. BAKER displayed slide 4 that shows much of the port and
harbor infrastructure at the Port of Nome. She noted that the
causeway in the outer harbor has three 200-foot large-boat
docks. The construction of this infrastructure ranges from 1989
to 2015, and the three docks have been filled since they were
constructed.
4:31:26 PM
MS. BAKER moved to slide 5."Commodity Movement." She opined that
the five pictures provide a rounded perspective of the types of
industry vessels served at the port. The primary drivers are
fuel and cargo movement, including the export of rock and
crushed material that are vital for community development
projects in Western Alaska and the Arctic. She pointed to the
picture on the bottom right that illustrates that when the docks
are loaded with containers, the port is shut down to other types
of vessels because of the congestion. This is a growing
phenomenon and a driver for the expansion of the port.
4:32:46 PM
MS. BAKER moved to slide 6, "Ship Resupply/Crew Change." The
large vessels in the five slides reflect typical ship traffic.
She noted that most of the passenger vessels use the port to
turn over passengers before continuing north through the
Northwest Passage or south. She noted that some passenger vessel
traffic had changed since Russia invaded Ukraine. She pointed to
the pictures of the Canadian Coast Guard vessels, the US Coast
Guard vessels, and the NOAA ships. She noted that foreign ice
breakers also use the Port of Nome.
4:34:41 PM
MS. BAKER displayed slide 7, "Arctic Deep Draft Port
Modifications." She explained that expanding the port into
deeper water was part of their ongoing partnership with the Army
Corps of Engineers. Phase I of the project will extend the
existing causeway 3,500 feet and add 2,000 feet of dock space.
Dredging the deep water basin will be done in phase II and the
existing breakwater will be removed during phase III. Most of
that rock will be used to extend the causeway further. Two more
docks will be added to accommodate passenger vessels. She said
the overall intent is to increase the capability to service more
and larger vessels, reduce delays, improve navigation, and
provide a superior location for the refueling and resupply of
the national security fleet.
4:36:32 PM
MS. BAKER moved to slide 8, "Port of Nome." The picture is an
artist's rendition of the expanded port and the types of vessels
that will be accommodated. The picture also demonstrates the
elements of responsibility between the city, the port, and the
Army Corps of Engineers. The items listed on the left are the
items the City of Nome is paying for. These include the
development of the docks, roads, bridges, and dolphins. The city
is also paying to build the utility infrastructure for fuel,
power, water, waste, and lighting. The city is sharing the cost
of the breakwaters and the dredging with the Corps; the ratio is
10 percent non-federal and 90 percent federal.
4:38:14 PM
MS. BAKER moved to slide 9, "National Security/Mariner Safety."
She spoke to the following points.
National Security
• Strengthen U.S. presence by expanding Arctic
Ports to stage strategic assets
• Establish year-round Arctic facilities to drive
further infrastructure development
Life Safety
• Enable Coast Guard to operate more efficiently in
Arctic with base support
• Increase response capacity to meet nearly double
the demand in activity
• Expand on role as a port of refuge
4:38:44 PM
MS. BAKER moved to slide 10, "Targeted Benefits of Arctic Deep-
Draft Port at Nome." She directed attention to the graphic on
the right that shows the number of LNG tanker transits in the
region in January 2021. She spoke to the following benefits of
the expansion.
National Security & Life Safety
Strengthen U.S. presence in Arctic
Critical refuel/resupply support for SAR
Environmental Safety
Regional staging for oil spill response assets
Reducing need for offshore fuel transfers
Economic/Cultural Sustainability
Lowering regional transportation costs
Bringing economic opportunity to the region
Research & Resource Development
Enhanced mission support through hub services
Tourism & Recreation
Support increased ship calls (23 ships scheduled
2022) with more ice-hardened hulled vessels coming
online
4:39:16 PM
MS. BAKER displayed the chart on slide 11, "Project Design and
Construction Schedule." She stated that this provides an
overview of the schedule for the design and construction of the
three phases of the expansion. She recounted that the
expectation is to have 100 percent of the design for phase I
completed in May 2023, the Army Corp will solicit bids in August
2023, the bids will be awarded in January 2024, construction
will begin in June 2024, and construction will be completed in
the fall of 2027. She noted that the city will sign the project
partnership agreement with the Army Corp of Engineers in May
2023 and pay for the entire amount of the phase I construction
before the Corps solicits bids. She noted that the additional
slides were for the committee's enjoyment.
4:41:16 PM
SENATOR TOBIN noted the significant information that had been
collected about the potential impacts to the coastline in
Western Alaska. She asked whether the design had been modified
to ensure the port could sustain another destructive weather
event.
MS. BAKER replied that the Army Corps of Engineers sent
engineers immediately after the storm to inspect the causeway,
the causeway bridge, the breakwater, and the town's seawall.
Several holes were identified on the seawall that will be filled
this spring, but nothing severe was identified. The west side of
the bridge sustained a little damage, but nothing structural.
They determined that the storm had no effect on the causeway or
breakwater and that the design did not need to be altered.
4:43:15 PM
SENATOR MYERS asked whether the mines identified on slide 15
were reliant on the port expansion so roads and other
infrastructure could be built.
MS. BAKER replied that the map simply identifies the mines in
place on the Seward Peninsula that could see development
sometime in the future. The Graphite Creek Prospect was an
exception; the volume of graphite that's been discovered was
four times what was initially anticipated. The existing port
will be adequate initially, but it may not be adequate in the
future.
4:45:47 PM
CHAIR KAUFMAN asked whether tariffs on cargo that's transported
pay for operations and an element of growth.
MS. BAKER replied yes; tariffs are based on the growth of the
Anchorage consumer price index (CPI). They are analyzed every
year and adjusted accordingly. The city also plans to solicit an
additional rate study on the Port of Nome.
4:47:26 PM
CHAIR KAUFMAN invited members to ask questions about any of the
presentations.
4:47:42 PM
SENATOR MYERS said a criticism he'd heard about the Port of
Alaska in Anchorage was that the opportunity for expansion was
limited by its location between downtown and Joint Base
Elmendorf Richardson (JBER). He asked Mr. Ribuffo or Mr. Ames to
speak to the current use of space and the potential for
expansion in 10 years.
4:48:53 PM
MR. RIBUFFO replied that there is space for an additional marine
terminal on the water side of the modernization program. The
caveat is that a business case would need to be made for an
additional expansion. The utilization rate on the existing dock
is 40 percent so the current dock is sufficient. The
modernization program has been sized to be a little smaller than
it is right now. He cautioned that more port should only be
built if there is revenue to cover its maintenance and he didn't
foresee anything in the next 20-40 years that indicated a
significant increase in the customer base that couldn't be
handled with the existing port.
MR. AMES added that the berths that are under design will be
utilized at less than capacity at the current time. He stated
that berth capacity can be expanded with more cranes and
vertical storage of containers. This would require improvements
to the ground and paving. He emphasized that a limited footprint
did not mean that space is as limited as it may appear. Planning
for this would also require planning for the traffic networks
into and out of the port which would all be part of a master
plan.
4:53:13 PM
CHAIR KAUFMAN asked Mr. Ames for additional information on the
master study, the identified bottlenecks, and the immediate need
on the waterfront to reinforce the port against seismic and
fall-down risk.
4:54:07 PM
MR. AMES deferred to Mr. Ribuffo to speak to the scope of the
study because it is a land-side master plan that the port is
managing on its own. He continued to say that how the port can
be modernized is limited not only by the timeframe but also by
the fact that the facility must keep all terminals operational
while construction is ongoing.
MR. RIBUFFO clarified that there will be both a strategic plan
and a master plan. In the short term, the port has contracted
for a landslide operational study to identify how to best use
the transit yards adjacent to the marine terminal, understanding
that the docks will be relocated further south to better align
with the port. He said there will need to be creative thinking
about how to make better use of the existing footprint of the
port. He mentioned the possibility of stacking containers in
some locations and positioning flatcars to take freight directly
from ships to the railroad. These sorts of things will be
considered in both the landside optimization study and the
master plan.
4:57:58 PM
CHAIR KAUFMAN asked what's being done to ensure the port will
have the best management team possible for this work.
MR. RIBUFFO suggested Mr. Ames discuss the change management
plan.
MR. AMES stated that the new program management plan has a very
specific change management process that is being implemented to
evaluate, decide on, and implement changes according to the
change management process that has been outlined. He stated that
each proposed change will go through an evaluation process with
a cost benefit analysis. He noted that the city oversight team
plays a large role so developing the city process is also very
important.
MR. RIBUFFO highlighted that the Anchorage Assembly makes the
final determinations.
CHAIR KAUFMAN thanked the participants.
5:03:14 PM
CHAIR KAUFMAN There being no further business to come before the
committee, Chair Kaufman adjourned the Senate Transportation
Standing Committee meeting at 5:03 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| 4.25 Alaska Association of Harbormasters and Port Administrators & Port of Homer.pdf |
STRA 4/25/2023 1:30:00 PM |
Ports and Harbors |
| 4.25 Port of Alaska in Anchorage.pdf |
STRA 4/25/2023 1:30:00 PM |
Ports and Harbors |
| 4.25 Port of Nome.pdf |
STRA 4/25/2023 1:30:00 PM |
Ports and Harbors |
| 4.25 Port of Juneau.pdf |
STRA 4/25/2023 1:30:00 PM |
Ports and Harbors |
| Port of Alaska Follow Up Answers to Qs.pdf |
STRA 4/25/2023 1:30:00 PM |
Follow Up Ports & Harbors |
| Port of Alaska Backup 1 PAMP Change Mangement Process Flow Chart.pdf |
STRA 4/25/2023 1:30:00 PM |
Follow Up Ports & Harbors |
| Port of Alaska Backup 2 PAMP Program Organization Chart.pdf |
STRA 4/25/2023 1:30:00 PM |
Follow Up Ports & Harbors |
| Port of Alaska Backup 3 PAMP Program Management Plan.pdf |
STRA 4/25/2023 1:30:00 PM |
Follow Up Ports & Harbors |
| AAHPA Follow up Answers to Qs.pdf |
STRA 4/25/2023 1:30:00 PM |
Follow Up Ports & Harbors |