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Home»Investments»Oregon Governor Proposes Investments to Save Container Shipping
Investments

Oregon Governor Proposes Investments to Save Container Shipping

prosperplanetpulse.comBy prosperplanetpulse.comMay 17, 2024No Comments3 Mins Read0 Views
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Kotec is proposing a $40 million state investment to keep the Port of Portland’s Terminal 6 container port open.

PORTLAND, Ore. — Oregon Governor Tina Kotek on Thursday proposed a $40 million state investment to keep the Port of Portland’s Terminal 6 container port open, according to a press release from Kotek’s office. Announced.

Of the $40 million proposed, $35 million would come from the governor’s 2025-2027 recommended budget, and $5 million would be requested from the Legislative Emergency Committee during the September meeting.

Of the $35 million from the Governor’s 2025-2027 recommended budget, $20 million will go toward capital programs to support ports with active container service. Of the $35 million, $15 million is earmarked for initial state funding for costs associated with the Lower Columbia River Channel Management Plan. Kotek’s office said the $5 million requested by the Legislative Emergency Committee will go towards the T6 operation.

“After the Port of Portland announced in April that it would end container service in October of this year, we heard from numerous producers across Oregon who rely on Terminal 6 to ship their goods,” Kotek said in a statement. Stated. “As someone who has represented the port home in the Oregon Legislature for many years, I understand that the location of the terminal makes container operations at Terminal 6 economically difficult. I am proposing to invest $40 million in state funds to enable the continuation of the program and communicate my expectations for reliable and sustainable service going forward.”

Kotec also requested a progress report from the Port of Portland on its ongoing operations and steps to reduce losses for the 2025 budget year and increase the number of containers passing through the terminal by August.

This dates back to April, when the Port of Portland made the decision to suspend container service at Terminal 6 until October 1 of this year. The decision was communicated at the time in a letter to Terminal 6 stakeholders, citing the failure of a lease agreement with a third party that the port had sought to secure. The lease was “key to continuing the container business and was the basis for our request for funding from Congress.”

The same letter revealed that at the time the port did not have the “required funds to maintain operations” and Kotek was notified.

On Thursday, the Port of Portland announced it would continue to provide ocean container shipping services at Terminal 6, following Kotec’s announcement that it proposed a $40 million state investment to keep the port open.

“We appreciate Governor Kotek’s show of support and her commitment to preserving this important part of our economy,” Port of Portland Executive Director Curtis Robinhold said in a statement. “We are also extremely grateful for the strong support from a bipartisan group of legislators who recognize the value of trade to businesses and communities across the state. With support from the Oregon Legislature, container shipping at Terminal 6 continues, and the benefits it brings to Oregon businesses and quality jobs to our communities. This level of government and community support is something Oregonians should be proud of.”



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