The State of California’s 2023 budget has awarded $2.3 billion for goods movement and supply chain projects, including $110 million to enhance safety and efficiency of cargo operations at the Port of Long Beach.
Port and City of Long Beach officials have applauded the approval and signing of the budget, which is set to bring crucial state funding to replace older trucks with cleaner models, invest in zero-emissions terminal equipment and fund high-priority capital improvements in ports.
In May the Port of Long Beach recorded its second-busiest month on record and its strongest month so far in 2022.
Dockworkers and terminal operators across the port processed 890,989 TEU, a 1.8 per cent decline over May 2021, which remains Long Beach’s busiest ever month.
During California Governor Gavin Newsom’s visit in 2021, the Port of Long Beach discussed its plans to invest more than $2.6 billion in infrastructure projects over the next decade.
In January, the Port welcomed the funding when the governor unveiled these items as part of his proposed state budget.
The budget has now been formally adopted.
“We’re glad to see this funding for ports and infrastructure from Governor Newsom and the state Legislature,” said Mayor Robert Garcia.
“This budget will strengthen our supply chain — but it also represents a huge investment in sustainability, emissions reduction and the health of our communities here in Long Beach.”
“We thank the governor and state Legislature for their foresight and responsiveness in including supply chain needs in the budget,” said Port of Long Beach Executive Director Mario Cordero.
“These investments in a vital economic engine will enhance the efficiency and sustainability of cargo movement and help fund important port projects such as the Pier B On-Dock Rail Support Facility and the Supply Chain Information Highway.”
The budget includes:
- $1.2 billion over two years to support port-specific high-priority projects that increase goods movement capacity on rail and roadways at port terminals, including rail yard expansions, new bridges, and zero-emissions equipment modernisation and deployment.
- $110 million over three years for a goods movement workforce training centre in the San Pedro Bay.
- $30 million for operational and process improvements at ports, which includes improving data connectivity and enhancing goods movement.
- $159.7 million for the purchase of zero-emission drayage trucks as well as charging and hydrogen refuelling infrastructure.
The news follows the multimillion dollar grant to aid the second phase of the Port of Long Beach Community Electric Vehicle Blueprint – designed to accelerate a sustainable and zero-emission port ecosystem across the state.
The $2.5 million grant will help the towards its transition to zero-emissions operations by developing infrastructure plans to support electric vehicles.