The Oakland Board of Port Commissioners have approved a $480 million budget for the 2023 fiscal year.
The $480 million operating budget projects cargo volume at the Oakland Seaport to increase by 2 per cent.
The Port of Oakland said it anticipates a $35 million revenue increase in FY 2023. Some 85 per cent of its seaport cargo goes to or comes from regional markets.
“Our economy has overcome the initial pandemic shock and our employees have done an excellent job containing expenses,” said Port of Oakland Executive Director Danny Wan. “However rising inflation and a threatened recession mean we have to remain vigilant.”
“Port operations are supported by a strong and diverse local economy,” the Port said in its budget outlook. “The Bay Area remains an important centre of commerce, and the Port remains a key gateway for both domestic and international trade and a top travel destination.”
The Port cautioned that its businesses face headwinds in the upcoming fiscal year that include ongoing supply chain congestion and higher costs of doing business due to inflation.
The Port’s Commissioners approved a $112.4 million capital budget for the next fiscal year. Most of that spending is earmarked for Oakland International Airport and Oakland Seaport infrastructure improvements.
The Port’s five-year capital improvement plan, an estimate of future capital spending, is projected to be $907.8 million.
Approximately one third the port’s capital improvement plan is anticipated for various environmental, utility, and electrification initiatives across its business lines.