October 12 SJSS Min
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web site - http://www.portseattle.org/about/organization/commission/commission.shtml
(The approximate point in the audio recording for the specific item is identified by minutes and
seconds; example: 01:30.)
APPROVED MINUTES
SPECIAL JOINT STUDY SESSION
PORT OF SEATTLE - PORT OF TACOMA
OCTOBER 12, 2009
The Port of Seattle Commission met in a special work session with the Port of Tacoma at 12:00
p.m., Monday, October 12, 2009 in the International Conference Center, Airport Office Building,
Seattle-Tacoma International Airport, Seattle, WA.
Present were:
Port of Seattle
Commission President, Bill Bryant
Commissioner Lloyd Hara
Commissioner Pat Davis
Commissioner Gael Tarleton
Tay Yoshitani, Chief Executive Officer
Port of Tacoma
Commission President, Clare Petrich
Commissioner Connie Bacon
Commissioner Don Johnson
Commissioner Richard Marzano
Tim Farrell, Executive Director
Port of Seattle Commissioner Creighton was absent from the meeting.
CALL TO ORDER
The special joint study session was called to order at 12:03 p.m. by Port of Seattle Commission
President Bryant.
Commissioners
Bill Bryant
Chair and President
John Creighton
Patricia Davis
Lloyd Hara
Gael Tarleton
P.O. Box 1209
Seattle, Washington 98111
www. portseattle.org
206.728.3000
Tay Yoshitani
Chief Executive Officer
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October 12 SJSS Min
PLEDGE OF ALLEGIANCE
(00:01:03) OPENING REMARKS
Commissioner Petrich made opening remarks, thanking the Port of Seattle for the invitation to
participate in the joint study session at the Seattle-Tacoma International Airport (Airport)
Conference Center. She also commented on the last joint study session, held in April, and what
has been done since then to address initiatives and items of concern which had been raised at that
time. She stated that today‟s study session would address competitive issues, not between the
two ports, but all along the coast as well as world-wide.
In his opening comments, Commissioner Bryant spoke about the conference in British Columbia
which had been attended by the two Commission Presidents, and noted that at that conference it
was very clear that the Canadian government is working hand in hand with their ports,
principally Vancouver Metro and Prince Rupert, on developing a corridor between those ports
and the American Midwest, specifically Chicago and St. Louis.
Opening comments were made by Port of Seattle CEO Tay Yoshitani as well as Port of Tacoma
Executive Director Tim Farrell, including remarks regarding challenges to the competitive
environment as related to current economic conditions; expectations of a relatively long-term
recovery in growth to where the economy was a few years ago, meaning that competition will
remain for quite some time.
CEO Yoshitani then introduced John Martin, President, Martin Associates, who provided a
presentation on competitiveness. A computer slide presentation titled “The Dynamics of the US
Container Market and Shifting Trade Patterns – Resulting Implications” was provided.
Mr. Martin noted the importance of recognizing not only competitiveness issues of the west
coast and Pacific Northwest ports, but also of the significance of changing dynamics.
Items covered as a part of Mr. Martin‟s presentation included:
Growth in containerized cargo since 1990
TEU‟s (twenty-foot equivalent unit) of various locations
o North Atlantic (Boston, New York, Baltimore, Philadelphia, Wilmington, DE)
o South Atlantic (Norfolk, Charleston, Savannah, Jacksonville, Miami, Port
Everglades)
o Gulf Port (Gulfport, Houston, New Orleans, Freeport)
o West Coast (Long Beach, Los Angeles, Seattle, Tacoma, Oakland, Portland, OR)
Changes in logistics patterns of importers
Growth of all water services, including Panama Canal and Suez Canal
Related growth of distribution centers
Increasing distribution center activity near East Coast and resulting Asian services
Significance of all-water routes vs. use of intermodal
Implications for Atlantic and Gulf Coast Ports
Implications for West Coast Ports
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October 12 SJSS Min
Implications on infrastructure funding
Two major issues of importance
o Regaining the seamless flow of transportation that Seattle-Tacoma had, with a
focus on moving freight directly from a ship, right on to a rail car, and right to the
importer.
o Making sure that rail is a partner with the ports since Seattle and Tacoma have an
intermodal market.
Discussion followed regarding next steps to be done before next February when the next joint
study session is likely to occur. Steps included:
Identify gaps in transportation and labor through the Joint Inland Infrastructure
Committee
Market each others‟ strengths
Influence the Army Corps of Engineers‟ regarding dredging schedule
Identify available Federal funding sources and submit proposals
CEO‟s and Commission Presidents meet with Labor before February
Further comments by Mr. Yoshitani and Mr. Farrell were made on the topics of
Recent POS/POT engagement with major west coast ports to recognize the importance of
the ports and competitive issues being faced
Engagement with the two western railroads at the CEO level and work on strategies to
make the west coast gateways more attractive
Ongoing efforts and engagement with Labor and with the Pacific Maritime Association
The need to assure that the West Coast remains competitive
Additional discussion followed regarding the following:
Importance of marketing and necessary budgeting
Harbor Maintenance Tax issues
Relief funding possibilities to Northwest areas should flooding occur
Highlights of collaborative efforts were noted, including:
Recent meeting in Washington D.C. with Congressional delegation to discuss
competitive challenges being faced and the importance of West Coast ports to the
economic success of the nation
The hopes of creating an overall US freight strategy
Pursuing large grants at the federal level
Leveraging key strengths and focusing on „green initiatives‟
A brief overview was of the Maritime and Port Security Summit which was held in May at Bell
Harbor Conference Center and co-chaired by Commissioner Tarleton. Commissioner Tarleton
suggested drafting a joint statement to be sent to Congressional delegations regarding efforts
being made to enhance regional security.
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October 12 SJSS Min
ADJOURNMENT
There being no further business, the joint special study session was adjourned at 2:22 p.m.
Lloyd Hara
Secretary
