By Antonio Ray Harvey
Contributing Writer
SACRAMENTO — A Southland legislator says the state must provide ports within the state permanent funding for them to run optimally and remain competitive.
Assemblyman Mike A. Gipson, D-Gardena, chair of the Assembly Select Committee on Ports and Goods Movement, said “We have yet to see dedicated, ongoing, consistent money allocated to our ports from our state budget,” during a news conference held at the State Capitol last week.
In August, Gipson released an interim report that features California ports’ crucial role in the state and national economy.
The 52-page “Chair’s Interim Report” includes an observation of the most critical issues facing the goods movement sector and lays out a blueprint to keep the state’s 11 ports competitive in a complicated and constantly shifting environment.
Gipson stressed that foremost among priorities is the need for the state to continue investing in docking places for cargo ships.
“We are still happy to make sure these ports are not left behind and not neglected,” Gipson said at the news conference. “We still see today that our ports are fighting to have allocations from our federal partners and federal dollars. This report elevates that we need our fair share.”
Over the past year, the Select Committee on Ports and Goods Movement toured the state’s 11 public ports and hosted numerous hearings on the state of the ports. Gipson was first appointed chair by former Assembly Speaker Anthony Rendon, D-Lakewood). When Assemblyman Robert Rivas, D-Hollister, replaced Rendon as speaker, he asked Gipson to continue as chair.
“The final tour stop for the Select Committee was the port of San Diego last spring,” Gipson told California Black Media. “The tour highlighted the port’s efforts in green and sustainable operations” and gave committee members a breakdown of all “the possibilities the port has to create for economic vitality and growth.”
“It’s important that California policymakers support efficient, modern and sustainable maritime operations while we reduce emissions to improve environmental and public health in our communities,” said Frank Urtasun, chairman of the Port of San Diego Board of Port Commissioners.
One of the most significant findings and policy recommendations summarized in the report is the need to understand the standard operations of the ports.
The report states that a “failure to maintain competitiveness” could result in an “inability to afford climate and modernization investments” as well as maintaining “regional and national economic benefits.”
According to the report, the states’ ports drive trade and tourism, supporting millions of good-paying jobs; they are the cleanest in the nation and, by many measures, in the world; and the ports play a key role in local, regional and national emergency readiness.
In addition, the chair’s report provides details that the market share of California ports has consistently declined since 2006, federal funds obtained by Californian ports are disproportionately low, and environmental challenges of decarbonization, reducing localized air pollution impacts, and maintaining clean water are negatively impacting California ports.
“It’s been made painfully clear that we need to do everything possible to elevate ports in the state,” Gipson told California Black Media. “I for one believe that the pandemic underscored why ports are essential to California.”
In July, Gov. Gavin Newsom invested $27 million in 10 innovative projects at the Ports of Los Angeles, Long Beach, Oakland, San Diego and Hueneme, “the busiest ports in the nation,” Gipson said during the news conference.
The projects include a range of solutions including maximization of cargo routing, distribution of cutting-edge technologies such as artificial intelligence, emissions reduction measures, trucking appointment systems and the development of new data systems for cargo.
Representatives from the California Association of Port Authorities (CAPA) praised the governor for allocating funds for projects that advance the ports’ objectives to improve the state’s supply chain.
CAPA consists of 11 major deepwater port authorities across our state. Since 1940, CAPA’s mission has been educating state and federal policymakers on port operations.
“These critical funds will establish more coordination across the supply chain at a time when the global economy is counting on California Ports,” said CAPA President Kristine Zortman.
In May, U.S. Sen. Alex Padilla announced a $112 million federal investment in the Ports of Los Angeles and Long Beach through a U.S. Army Corps of Engineers program for critical construction upgrades, operations and maintenance activities.
“The Ports of Los Angeles and Long Beach move 40% of the nation’s container imports, transporting the goods that power our economy,” Padilla said.
The report outlines the importance of ports up and down the state, Gipson said. They all serve a function whether they are located on the coast or inland.
About 30% of imports filter through these main ports alone, Gipson said.
The Port of Humboldt Bay, 225 miles north of San Francisco, is in the process of building the largest “wind farm” on the West Coast, Gipson said.
He learned that the Port of Oakland uploads and discharges more than 99% of the containerized goods moving through Northern California. Oakland’s cargo capacity was the ninth busiest container port in the country based on the 2023 calendar year.
The inland ports cities of West Sacramento and Stockton have “unique” harbor facilities that relieve congestions and facilitate distribution to inland destinations in the Sacramento and Central Valley regions, Gipson said.
“Each and every port in California plays a vital role and contributes to our supply chain. Not one port in California is more important than the next,” Gipson said. “Each and every port is essential to moving forward and essential to making sure California is the fifth largest economy in the world.”
Antonio Ray Harvey is a reporter for California Black Media.
Assemblyman Mike Gipson speaks at a press conference calling on the state to provide permanent funding for the state’s 11 ports so they can operate optimally and remain competitive. Gibson chairs the Assembly Select Committee on Ports and Goods Movement.