OREGON SHIPPING GROUP

NEWSLETTER

THE LATEST NEWS FROM THE

OREGON SHIPPING GROUP

 

Issue 2: june 28, 2016

Who is the Oregon Shipping Group?

 

The Oregon Shipping Group is an advocacy organization which supports the revitalization and development of road, rail, and marine shipping systems and capabilities in Oregon to move freight into, through, and out of Oregon. Such shipping systems must be reliable, predictable, cost-efficient, safe, and environmentally sensitive. New and expanded shipping systems should reduce the carbon footprint of shipping activity, reduce road traffic congestion, and enhance road safety, while at the same time helping Oregon businesses to be cost-competitive. The goal is to realize Oregon’s unique geographic qualities as a West Coast state with a highly productive agricultural capability, significant manufacturing potential, and strong short line and long line railroad connections to the North, South, and East.

Active Projects

 

Our Oregon Shipping Group, working with Common Sense for Oregon, has the following active projects:

 

1. Development and passage of the Oregon Trade and Shipping Act of 2017. This creates the Oregon Shipping Authority (OSA). The OSA will be a public corporation, combining special powers of a state entity with the entrepreneurial capability of a private corporation. The 12 directors will be appointed by county commissioners all over the state. This will spread out accountability and enhance the capability of lower population counties with significant product to ship. The OSA will have a mission to enhance and expand Oregon shipping capability so that Oregon can be a world-class west coast center for importing and exporting goods. Most of the projects of our Oregon Shipping Group will become projects of the OSA.

 

2. To carry out the restoration of container shipping service at Terminal 6 of the Port of Portland, under the auspices of the OSA.

 

3. Develop additional port capacity at the mouth of the Columbia River, especially in regard to the Warrenton-Astoria area. This includes enhancement of the rail line between Wauna and Tongue Point and possible extension of that line to Warrenton.

 

4. Assist the Port of Coos Bay in expanding its capacity and enhancing its short line railroad system.

 

5. Assist the Lebanon-area community in establishing a Mid-Willamette Transload facilty at Lebanon.

 

6. Assist short line railroads in improving their facilities and expanding lines where business activities justify such expansion.

 

7. Enhance the capability of trucking companies through activities such as:

 

a. simplifying and speeding up the regulatory structure for special

permits

 

b. revamping Oregon insurance law and regulations to enhance the opportunity for younger persons to be truck drivers

 

c. expand truck driver education programs at public education facilities such as community colleges

 

As we proceed with these projects we will certainly identify additional projects which are worthy of implementation. Any project we undertake must support the goal of enhancing freight shipping capability into, within, and out of Oregon.

Oregon Report Suggestions

 

A variety of reports and initiatives have been completed since the catastrophic collapse of container shipping at Terminal 6. The Oregon Trade and Logistics Initiative, the Governor's Transportation Vision Panel, and the Joint Transportation Committee have all identified key areas of transportation improvements needed around Oregon. While each report has touched on

the issue of freight transport in Oregon, neither the reports, nor the committee, has fully extrapolated on the extent of the freight issue in Oregon, or developed a specific plan or package relating to the future of Oregon freight. While the reports, as well as the Joint Transportation Committee, offers tremendous insight into the entirety of transportation in Oregon; including the threat of seismic activity, need for additional transit especially in rural areas, expansions of bicycle paths, and bridge maintenance, they lack the necessary expertise and attention on the issue of freight in Oregon. Thus, there remains a dire need for a public corporation in the State of Oregon, whose sole purpose is to promote, develop, and obtain a vision for the future of Oregon’s freight transport. The OSA’s unique Board of Directors will be able to fill this need, and provide Oregon with a strategic and timely plan of action aiming to advance the state’s freight and intermodal infrastructure for today’s economy, and for future Oregonians.

 

The Oregon Trade and Logistics Initiative has recommended first and foremost, that container shipping be brought back to Terminal 6. The initiative recommends that the state should press for resolution of labor management issues by working in collaboration with the ILWU and ICTSI. This proposed resolution can be considered fiercely unrealistic due to the nature of the labor disputes between the ILWU and ICTSI, and their significant role in the departure of all of Oregon’s shipping lines. Secondly, the Trade and Logistics Initiative has recognized the need for a transmodal facility in the Mid-Willamette Valley, and thus, has advised that a study be completed with a robust business case for continued advancement of this project. This proposed investment in a Mid-Willamette Valley intermodal facility has been supported among shippers, legislators, and other stakeholders. The OSA Board of Directors would be able to offer professional expertise and advice in regards to the creation of this necessary transmodal facility in the Mid-Willamette Valley. The Oregon Trade and Logistics Initiative has outlined where Oregon must improve in order to capitalize on its potential as a hub for international trade, yet the report lacks concrete answers and “next steps.” The OSA would be able to analyze the findings identified in the initiative, and work with legislators in order to create concrete change which would aim to fix the issues outlined in the initiative.

 

The Governor’s Transportation Vision Panel Report outlined a variety of challenges facing Oregon in respect to all modes of transportation including: roadways and bridges, bike, pedestrian, transit rail, seismic threats, aviation, marine, and freight rail. This Panel created an all encompassing report, yet lacked specific proposals for future investment for the improvement of freight transport in Oregon. The panel emphasized the need for a transmodal facility to reduce highway demand for freight, yet failed to include a proposed location or any additional necessary information on the issue. The Panel also suggested the need for a permanent ConnectOregon fund, as well as the development of a statewide marine plan, but lacked proposals or ideas for the

future of Oregon exports through marine ports. The Vision Panel suggested further investment and utilization of the ports of Astoria and Coos Bay for the future, but was deficient in outlining a precise way to accomplish this goal. Like the Trade and Logistics Initiative, the Panel Report failed to suggest concrete steps the state must take in order to become efficient and cost effective for the future. The all encompassing nature of the report seemed to hinder the panel’s ability to be specific or concrete on a single issue. The OSA would be able to zero in on freight transport for Oregon. The OSA’s expertise and experience would aid Oregon in offering concrete and feasible steps necessary to address the issues illustrated in each report.

 

Lastly, the Joint Transportation Committee has discussed a variety of issues regarding transportation in Oregon. Similar to the Governor’s Vision Panel, this Committee has been given the daunting task of analyzing all transportation concerns for Oregon, and has been ordered to submit a transportation package for the 2017 legislative session. As Lindsey O’Brien,

spokeswoman for House Speaker Tina Kotek, eloquently said, “this work is more about in the near-term, and what investment can the legislature make in 2017 that will make a difference across the state.” O’Brien’s statement explicitly illustrates a key difference between this committee and the OSA Board of Directors. The OSA will become solely responsible for Oregon freight and will develop a vision not only for short term improvements, but for investments in the development of freight infrastructure which will promote the long term future success of Oregon’s freight and subsequently, Oregon’s economy.

Did You Know?

 

Oregon is one of the only coastal states in the nation without an interstate that extends to
its coastline. Moving freight from coastal ports to markets in the valley is thus a major
challenge. (Source: Transportation Vision Panel Report)

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