California allocates $1.2 billion for port and freight corridors improvements

California allocates $1.2 billion for port and freight corridors improvements

The government of California is launching a $1.2 billion programme for port and freight infrastructure projects.

On 12 October, the California State Transportation Agency (CalSTA) issued final guidelines and a call for projects to build a more efficient, sustainable, and resilient goods movement system.

“California’s ports are critical to exporting and importing goods both abroad and throughout the United States,” said Governor Gavin Newsom.

“After decades of neglect, we are finally making the critical investments needed to modernise our ports – helping us to keep up with demand in a way that is environmentally sustainable and brings our distribution process into the 21st Century.”

Finalised in the state budget at the end of June, the port and freight infrastructure programme aims to make long-term upgrades that will increase the capacity to move goods throughout the state while lessening environmental impacts on neighbouring communities.

READ: $125 million in zero-emission equipment up for grabs through California’s CORE Project

Some 70 per cent of the programme funding will go to projects that support goods movement through the ports of Los Angeles and Long Beach, and 30 per cent will fund ports and goods movement infrastructure in the rest of the state.

The Port and Freight Infrastructure Program is a direct result of the executive order Governor Newsom issued last October calling on state agencies to develop longer term budget proposals to support port operations and goods movement.

Project applications are due 13 January 2023, and CalSTA expects to announce the funding awards in March 2023.

In August, the U.S. Department of Transportation (USDOT) granted $119 million to eight local governments, transit agencies and tribes in California to support transportation infrastructure projects.

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