I would like to welcome Lillian Borrone of the Port Authority of New York and New Jersey who will testify today. Ms. Borrone will discuss the project to deepen the major channels in our Port to 50 feet.
This is an extremely important project for our region, and I hope the Subcommittee will authorize this project, which just this month received a favorable report from the Chief of Engineers.
Like my colleague from New York, Senator Moynihan, I have a great interest in the future of our port. Prior to serving in the Senate, I served as a commissioner of the Port Authority.
Between us, Senator Moynihan and I believe we have about 40 years of experience working to improve the economies of our states and the metropolitan area with transportation and other public works projects.
The 50-foot project for the Port of New York and New Jersey is the largest project anticipated for our region in the history of the Port. It is well worth the investment,
Mr. Chairman. The Port of New York and New Jersey is not a local port, but the Nation's Port. It is located in the center of the largest regional market in the nation. It is the largest container port on the East Coast and the third largest in United States.
It serves thirty-four percent of the population of this nation. In 1999, exports exceeded $22 billion in manufactured goods, second only to the Port of Long Beach, California. The Port of New York and New Jersey also provides about 166,500 local jobs and $20 billion in economic activity.
Mr. Chairman, over the next several years, the Port Authority projects between 3.7 and 4.6 percent growth in the volume of cargo entering and leaving our Port. This cargo will be carried on larger vessels.
These vessels are capable of carrying over 6,000 containers and require channel depths in excess of 46 feet. Just for comparison purposes, a ship carrying only 2,000 containers is the equivalent of 1,000 rail cars or 2,000 trucks.
One of these ships, the Regina Maersk recently entered our harbor only partially filled to capacity because our channels simply were not deep enough to allow it access to our terminals.
This photograph shows this problem very clearly.
I also want to briefly mention another issue in "WRDA" that I hope the Subcommittee will consider, and that is the issue of cost-sharing for port projects. Mr. Chairman, as you know, the current cost-sharing for navigation projects greater than 45-feet is 50/50.
This formula was established 14 years ago, before we were aware of the need to deepen our Harbors to accommodate new generations of container ships. It is time that we bring this cost-sharing into the 21st Century and include a provision that revises the cost-sharing to reflect a more fair distribution of costs, Mr. Chairman.
Finally, I want to address the Administration's proposal to authorize the Corps to participate in Brownfields Redevelopment projects. I support efforts to increase the federal government's assistance with state and local brownfields projects.
The Corps is already participating in a brownfields-like project known as Minish Park in Newark, New Jersey. The Corps is helping remove deteriorated piers and restore the waterfront into an urban park, as part of a larger flood control project along the Passaic River.
This project enjoys strong support from the City of Newark and will help with the economic revitalization of the downtown.
Thank you Mr. Chairman.