Office of Dan Sullivan, United States Senator for Alaska
Office of Lisa Murkowski, United States Senator for Alaska
Joint Release: 10.26.22
ANCHORAGE, ALASKA—U.S. Senators Lisa Murkowski and Dan Sullivan (both R-Alaska) today announced that four Alaska coastal communities will receive a total of $112 million in investments this year for critical port-related infrastructure and ferry terminal projects, marking the first wave of these type of investments attributable to the Infrastructure Investment and Jobs Act (IIJA). The awards, made possible by the IIJA’s investments in Alaska’s maritime infrastructure and supply chain, will benefit the Alaska Marine Highway System, coastal communities, supply chains and consumers across Alaska. The IIJA made a significant down payment in the nation’s maritime infrastructure, making $2.25 billion in additional funds available over five years to the Port Infrastructure Development Program (PIDP), which is a key funding avenue for Alaska coastal communities. These new grants, from the U.S. Department of Transportation’s Maritime Administration also received funding from the Consolidated Appropriations Act of 2022.
“Ports, harbors, and the Alaska Marine Highway System are all essential to our state, serving as a lifeline that connects our coastal communities. That’s why I’ve prioritized doing what I can at the federal level to ensure we have the resources necessary to maintain and improve them. In my work as an appropriator and as a key architect of the Infrastructure Investment and Jobs Act, I’ve secured funding to help build, expand, and improve ports and harbors across our state to ensure that key ports such as the Port of Alaska and the Alaska Marine Highway System has the necessary support,” said Senator Murkowski. “These new Port Infrastructure Development Program grants will be the first of many additional opportunities to deliver vital port related infrastructure funding to our state that will bring benefits to Alaska for decades to come.”
“As I often say, Alaska is a resource-rich but infrastructure-poor state. The Port of Alaska is critical for Alaska’s supply chain and America’s national security,” Senator Sullivan said. “Serving as Alaska’s principal transportation hub for the vast majority of goods the U.S. military and Alaskans rely on, the port needs significant reconstruction to combat corrosion, something I’ve pressed repeatedly as a member of both the Senate EPW and Commerce Committees. Working together with Senator Murkowski and Congressman Young, we’ve been able to secure roughly $120 million in federal grants for the Port of Alaska in the last three years. I want to thank the Department of Transportation, the Maritime Administration, and the U.S. Transportation Command for taking action after I emphasized in multiple meetings with senior officials the critical role the Port of Alaska serves. I’m also glad to see the significant federal infrastructure dollars we secured being deployed for other port projects across the state that Senator Murkowski and I have long advocated for, including the Sand Point and the Port of Adak projects. These infrastructure improvements will provide several Alaska communities with the ability to safely and efficiently transport goods to and from their communities, benefitting both local communities and the national supply chain.”
“This grant award comes at a crucial time for the Port of Alaska and Municipality, as we work to rebuild and modernize Alaska’s most important piece of infrastructure,” said Anchorage Mayor Dave Bronson. “The nearly $70 million Senators Sullivan and Murkowski secured will ensure we permanently fix the North End of the Port. Progress like this puts us one step closer to delivering food security for Alaska through a seismically resilient and modern Port of Alaska. My deepest thanks to our Senators for being tireless champions for the Port.”
GRANT RECIPIENTS (information provided by the U.S. Department of Transportation)
1. Port of Alaska (Anchorage): $68.7 million for the Port of Alaska, one of the nation’s commercial strategic seaports located in Anchorage, to reconfigure and realign the shoreline within the area north of the existing general cargo terminals as well as for the demolition of a sheet pile wall, removal of approximately 1.3 million cubic yards of material, and construction of a shoreline revetment of armor rock.
2. Port of Adak (Adak): $10.1 million for the Port of Adak, in the Aleutian Islands, for making repairs and updates to the primary supply pier as well as for planning and permitting work, removal of the deteriorated timber pile fender system, repairs to damaged concrete piles and caps, installation of a high-energy absorbing fender system, and installation of new sewer, firefighting water, potable water, electrical and communications utilities, and LED lighting.
3. Sand Point Floating Dock Project: $5.3 million for installing more than 1,000 feet of new floating dock and supporting access, utility, and safety infrastructure within the existing harbor. The Project will complete the Aleutians East Borough's long-term efforts to fully build out the community's harbor.
4. Prince William Sound ferry terminals (Cordova, Tatitlek, & Chenega): $28.2 million for upgrades and modifications at three Prince William Sound ferry terminals—Cordova, Tatitlek, and Chenega—to accommodate Alaska Marine Highway System ferries. The Cordova improvements include removal of floating fenders and construction of fixed-fender mooring dolphins and catwalks and modifications to the stern berth to accommodate the ferries. The Tatitlek improvements include the provision of new end-loading ferry terminal structures, including a vehicle transfer bridge and bridge support float. The Chenega improvements include the construction of a new ferry terminal facility, including a pile-supported approach dock structure, vehicle transfer bridge, bridge support float, and two mooring dolphins.
A container ship that is traveling to the Port of Alaska is leaking lubricant, according to a statement released by the U.S. Coast Guard Saturday.
The Coast Guard was first notified Thursday evening “that the Maunalei, a 645-foot container ship, was leaking lubricant while transiting to the Port of Alaska.”
“The vessel, owned by Matson, Inc., was reportedly discharging a biodegradable, environmentally acceptable lubricant at a rate of approximately six gallons per hour,” the statement said. “Given the low toxicity of the lubricant, the strong tidal currents, and the slow release rate, threats to the wildlife and resources in the region are anticipated to be minimal.”
The Coast Guard and partner agencies are monitoring the leak.
View full story here:
https://www.alaskasnewssource.com/2022/08/07/ship-headed-port-alaska-is-leaking-lubricant/
ENRNorthwest
By: James Leggate
In a step toward funding over $2 billion worth of needed projects, Alaska officials have approved more than $400 million for port upgrades and construction of a cruise ship passenger dock.
The state’s fiscal year 2023 capital budget, which Gov. Mike Dunleavy (R) signed June 30, includes $200 million for the Port of Alaska modernization program in Anchorage, with half of the funds contingent on the port finding matching money. Jim Jager, director of business continuity and external affairs for Port of Alaska, says the port has already applied for federal funding it could use to match the state funds.
Read Full Story Here:
https://www.enr.com/articles/54406-alaska-oks-funds-for-185b-port-upgrade-other-projects
It’s a busy summer at the Port of Alaska with its modernization program in full swing as they look to secure funding to help keep the five-phase project moving forward.
This summer, Port of Alaska External Affairs Director Jim Jager said they will begin construction on a new administrative office onshore in August allowing them to demolish the dock where it previously stood.
The Port of Alaska Modernization Program is broken down into five phases, and next summer the North Extension Stabilization project will kick off phase 2A of their five-phase plan. Jager said the North Extension Stabilization is going to be in the neighborhood of $130 million and anticipates funding to come from a combination of places.
Read Full Story Here:
https://www.alaskasnewssource.com/2022/06/10/port-alaska-money-raising-mode-fund-modernization-program/
By Anchorage Daily News editorial board
If you had been in Juneau this past week, mixed in with the bustle of committee hearings and the chatter of visitors streaming off the first cruise ship of the summer season, you might have heard something else: Lawmakers trying to tamp down expectations for funds to repair and upgrade the Port of Alaska.
Meanwhile, ebullience about a big election-year Permanent Fund dividend check is high. The PFD might tip the scales at $2,600, if the most recent numbers in the Alaska Senate hold up. On the House side, the PFD check amount passed in the operating budget was lower, at $1,250, but it was paired with a $1,300 “energy rebate” that would be a de facto PFD supplement. That would make the total allocation for the two checks roughly $1.7 billion — nearly three times the amount being sought for the port. The “energy rebate” on its own would cost about $875 million, 50% more than the port improvements.
It’s always more fun to hand out candy than vegetables, particularly when it might make the recipients more favorably inclined to reelect you. But have our elected representatives considered that rather than a one-time cash payout, it might be better for Alaska’s future to invest in infrastructure that will serve all Alaskans for generations to come?
Anchorage officials are seeking $600 million for the Port of Alaska, to replace the aging cargo docks that see goods bound for 90% of Alaska — fully half of all freight that enters our state. Granted, that’s no small ask. As recently as a year ago, the prospect of a $600 million infrastructure project funded by the state would have gotten you laughed out of the Capitol Building. But oil prices in excess of $100 per barrel have forecasts for state revenue in a place where such a project is not only possible, it makes more sense than some of the state’s other big spending priorities.
Read Full Story Here:
https://www.adn.com/opinions/editorials/2022/04/30/editorial-lawmakers-are-happy-to-fight-for-a-big-pfd-wheres-that-attitude-when-it-comes-to-the-port-of-alaska/
By James Brooks, Emily Goodykoontz
Anchorage Daily News
Anchorage Mayor Dave Bronson traveled to the state Capitol last week with a big request: $600 million to help rebuild the Port of Alaska.
As recently as last year, that kind of request would have been outlandish, but a wartime surge in oil prices has Alaska expecting billions in new revenue. But despite the state’s improved financial picture, members of the House and Senate say the state’s largest city isn’t likely to get what it’s asking for.
“I don’t think we will get that,” said Rep. Andy Josephson, D-Anchorage. “I think we could theoretically afford that if oil prices stay as high as forecasted, but I think that if (the port) got $200 million to $300 million for (the next fiscal year), we’d have to mark that as a win.”
Read full story here:
https://www.adn.com/politics/alaska-legislature/2022/04/25/anchorage-asks-for-600m-to-help-rebuild-port-but-state-legislators-say-its-no-sure-thing/
By Wesley Early
Alaska Public Media
The federal Department of Transportation will have to pay $367,446,809 to the Municipality of Anchorage due to various failures with the Port of Alaska expansion project.
A judge issued the order Thursday.
The municipality sued the federal government over the various design and construction defects with the port project more than a decade ago.
In December, the U.S. Court of Federal Claims ruled in favor of the municipality, stating that because of various defects, the DOT’s Maritime Administration breached its contract with the city.
Read Full Story Here:
https://www.alaskapublic.org/2022/02/24/municipality-of-anchorage-awarded-360m-from-lawsuit-over-port-expansion-project/
By Megan Pacer
KTUU News
A federal judge with the U.S. Court of Federal Claims has awarded the Municipality of Anchorage more than $367 million in damages for failed construction performed during an expansion project for the city’s port.
The U.S. Court of Federal Claims ruled in favor of the municipality back in December over the city’s port expansion project, finding that the government breached its 2003 and 2011 agreements, or memorandums of understanding, with the municipality.
Anchorage had requested more than $367 million in damages in its suit against the U.S. Maritime Administration. In Thursday’s opinion, Judge Edward Damich ordered that the city will be awarded $367,446,809 in damages over the expansion project.
Read Full Story Here:
https://www.alaskasnewssource.com/2022/02/25/anchorage-awarded-more-than-367m-damages-failed-construction-port-alaska-expansion-project/
By Elwood Brehmer
Alaska Journal of Commerce
Anchorage is another big step closer to getting reimbursed for much of the failed construction work at the city’s port. A federal judge on Thursday awarded the city every dime of the $367.4 million Anchorage attorneys had been asking for in its years-long lawsuit against the federal government.
U.S. Court of Federal Claims Judge Edward J. Damich issued his judgment against the U.S. Maritime Administration four days shy of eight years after the Municipality of Anchorage filed suit against the federal agency for its role in managing the troubled expansion project for the then-Port of Anchorage, which started nearly two decades ago.
Read Full Story Here:
https://www.adn.com/alaska-news/anchorage/2022/02/25/judge-awards-municipality-of-anchorage-full-367m-sought-from-feds-in-lawsuit-over-botched-port-construction/
By Anchorage Daily News editorial board
When Gov. Mike Dunleavy rolled out his proposed budget and a general obligation bond package in December, one item on the infrastructure shortlist raised eyebrows: $175 million allocated for the “Knik Arm Port.” When pressed on what that line item referred to, given that there are two ports in Knik Arm of very different scales and in two separate municipalities, the governor’s office said the money could be used by either the Port of Alaska or Port MacKenzie.
It was an answer that only raised more questions: If the money weren’t allocated specifically to one port or the other, who would decide how much money went to each port — and what it would fund? A month and a half later, we have some answers: The governor wants Anchorage and the Mat-Su to look into a regional port authority, which would govern both ports and coordinate project funding, as well as operations.
There’s a big problem with that plan: It doesn’t make any sense — fiscally or otherwise — to split resources between one port that’s bustling and another that is effectively dormant. “This isn’t a good idea, guys,” said Sen. Mike Shower, R-Wasilla, in a committee hearing on the bond proposal in late January. “We need something different than this.” Shower and other legislators appeared blindsided by the notion of funding a port authority that doesn’t exist — and worried that it would exacerbate tensions between the two ports, to the detriment of Alaskans.
Read Full Story Here:
https://www.adn.com/opinions/editorials/2022/02/05/is-the-governors-peculiar-port-plan-already-dead-in-the-water/
