Port of Houston Authority Approves Submission of Self-Evaluation Report to Texas Sunset Advisory Commission and Purchase of Three High-Tech Fireboats

Also, CEO Dreyer Reports Steel Tonnage Continues to Grow


HOUSTON, Aug. 24, 2011 (GLOBE NEWSWIRE) -- The Port Commission of the Port of Houston Authority approved submission of the Self-Evaluation Report to the Texas Sunset Advisory Commission. The Texas Legislature passed HB 2770 in June 2011, requiring the Port Authority to undergo a review during the 2012-2013 biennium under the Texas Sunset Act. The first step in the process was for the Port Authority to submit its completed Self-Evaluation Report (SER) by September 1, 2011. The SER highlights three basic components of this government agency: public, which seeks to be a good steward of the public welfare; business, which promotes and facilitates commerce in the region; and the Houston Ship Channel, a vital, national resource which must be improved, maintained and protected for future generations.

The Commission also approved the purchase of three high-tech fireboats, totaling nearly $15 million and purchased with $11.2 million in funds awarded by the Department of Homeland Security and the Federal Emergency Management Agency Port Security Grant Program, with Port Authority matching funds of $3.7 million, among several matters acted on during the August 23 meeting. The first fireboat is due to arrive in a year, with the final fireboat arriving within 16 months.

"This is a moment of pride for the Port of Houston Authority," said CEO Alec G. Dreyer. "These new, state-of-the-art fireboats have significant enhancements, including hazmat capabilities and side sonar. When the final fireboat is delivered, the Port Authority will have the most updated fleet in the nation."

In his monthly financial report, Dreyer said that steel continued to grow at a strong rate in July. At 443,000 tons, steel was up 57 percent over last year in July. For the first seven months of this year, steel increased over last year by just under 80 percent.

"Our outlook for steel for the balance of the year has resulted in us revising upward our projection for the full year from 3.1 million tons to at least 3.5 million tons," he said.

"Ship arrivals at our container facilities for the month were up slightly for the month, but are showing a 5-percent increase for the seven months through July.   The Turning Basin saw a small drop in July, but for the seven months to-date is up nearly 8 percent. Barge traffic continues to evidence strong improvement with movements increasing more than 11 percent over last year for the first seven months."

Year-to-date, container TEUs are up 4 percent overall. Dreyer said container volumes in August have been picking up again and are on par with last year's levels at mid-month.

Container revenue was down slightly in July, relative to last year, but is up over 10 percent on a year-to-date basis.   Turning Basin revenue was up 30 percent in July and is up 31 percent for the first seven months. 

OPERATIONS

(Agenda L4) Port Commissioners approved a contract with MetalCraft Marine, Inc. or its affiliate, through the federal General Services Administration, for the purchase of three high-tech fireboats, at a total price of $14,970,000, using $11.23 million in Port Security Grant Program funds awarded by the Department of Homeland Security and the Federal Emergency Management Agency, and 25 percent Port Authority matching funds of $3.7 million. The Port Authority's Marine Fire Department provides critical, waterborne fire protection services to vessel and landside facilities in the upper Houston Ship Channel. These new high-tech fireboats will replace a fleet of three boats whose average age now exceeds 30 years. MetalCraft Marine's fireboats operate at speeds almost 2.5 times faster than the Port Authority's current fireboats, and their water cannons discharge up to 15,000 gallons per minute (nearly four times the current boats' output). Their engines are also certified low-emission.

PUBLIC AFFAIRS & ECONOMIC ANALYSIS

(Agenda N1) The Port Commission approved submission of the Self-Evaluation Report to the Texas Sunset Advisory Commission. The Texas Legislature passed HB 2770 in June 2011, requiring the Port Authority to undergo a review during the 2012-2013 biennium under Chapter 325, Government Code (The Texas Sunset Act). The first step in the process was for the Port Authority to complete a Self-Evaluation Report (SER) to be submitted to the Texas Sunset Advisory Commission by September 1, 2011. The SER highlights three basic components of this government agency: the public component, which seeks to be a good steward of the public welfare, to be accountable to the voters and local and state governmental stakeholders and to give back to the local communities through job creation, education and support and sponsorship activities. The business side promotes and facilitates commerce in the region, which capitalizes on efficient and cost-effective operations to achieve competitive advantage for Texas and the nation. Finally, the third component is the Houston Ship Channel, which must be improved, maintained and protected so that future generations can continue to benefit from this vital national resource.

About the Port of Houston Authority

The Port of Houston Authority owns and operates the public facilities located along the Port of Houston, the 25-mile-long complex of diversified public and private facilities designed for handling general cargo, containers, grain and other dry bulk materials, project and heavy lift cargo, and other types of cargo. Each year, there are more than 7,700 vessel calls at the port, which ranks first in the U.S. in foreign waterborne tonnage and second in overall total tonnage. The port authority plays a vital role in ensuring navigational safety along the Houston Ship Channel, which has been instrumental in Houston's development as a center of international trade. The Barbours Cut Container Terminal and Central Maintenance Facility are the first of any U.S. port facilities to develop and implement an innovative Environmental Management System that meets the rigorous standards of ISO 14001. The second recertification of those facilities in 2009 included an extension for the state-of-the-art Bayport Container Terminal. The port authority is the first port authority in the world to receive ISO 28000:2007 certification for its port police and the perimeter security operations at both the Barbours Cut and Bayport Terminals. Additionally, the port is an approved delivery point for Coffee "C" futures contracts traded on the New York Board of Trade's Coffee, Sugar & Cocoa Exchange. For more information, please visit www.portofhouston.com

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