Ports of Los Angeles and Long Beach Receive $112M for Upgrades

The Ports of Los Angeles and Long Beach have received a significant boost in federal funding, securing $112 million for critical construction upgrades and maintenance. Announced by California Senator Alex Padilla, who chairs the Environment and Public Works Subcommittee on Fisheries, Water, and Wildlife, this funding aims to support essential repairs and operational improvements at these key West Coast gateways.

“The Ports of Los Angeles and Long Beach move 40 percent of the nation’s container imports, transporting the goods that power our economy,” Padilla said. “I am glad to see the Army Corps heed my call to fund these crucial upgrades that will bolster global supply chains and make long overdue repairs to the ports.” The allocated funds are expected to enhance the San Pedro Bay port complex and strengthen the national supply chain.

The funding comes from the Harbor Maintenance Tax, a 0.125-percent duty on a port’s cargo value collected by the federal government and added to a Harbor Maintenance Trust Fund (HMTF). Established in 1986, the program originally focused on dredging projects at American ports. However, most funds were historically funneled to smaller ports or saved in a trust now worth billions.

Despite being major contributors to the fund, the Ports of Los Angeles and Long Beach have only recouped a small portion of the collected funds. Congresswoman Nanette Barragán highlighted the disparity, noting that West Coast ports have historically received 11 times less funding than their East Coast and Gulf Coast counterparts. The Water Resources Development Act of 2020 aimed to address this by expanding fund use for in-water maintenance and repairs, allowing for more equitable distribution among large and small ports.

The Port of Los Angeles has been advocating for this change for over a decade. “We started this fight in 2011 with my amendment in the Transportation Committee to provide relief to donor ports, such as Los Angeles and Long Beach,” said Congresswoman Grace Napolitano. The Port of L.A. estimates its total maintenance and repair needs at $6.7 billion, covering projects like dredging, seismic safety upgrades, wharf repairs, pile replacements, sediment removal, and channel improvements. The $58 million allocation from the HMTF will significantly aid these efforts, marking a record amount for the port.

The Port of Long Beach, which plans to invest $2.3 billion over the next decade in capital improvements, will use much of its funding for rail-related projects, seismic upgrades, and repairs to marine structures. Long Beach Mayor Rex Richardson emphasized that this funding will “contribute to our ongoing infrastructure investments and strengthen our position as the premier gateway for trans-Pacific trade.”

“This announcement marks a significant milestone in the decades-long battle for equitable funding allocation,” said Congressman Robert Garcia. “This funding not only enhances the sustainability and efficiency of our local harbors but also solidifies their role in international trade.”