James River Partnership 2013

US Army Corps of Engineers BUILDING STRONG®

James River Partnership Meeting XVII


Welcome

Betty Waring Chief, Operations Branch Norfolk District 6 Jun 2013


Commander’s Perspective Col. Paul B. Olsen, P.E. Norfolk District 6 Jun 2013


James River Partnership XVII Project Overview

Walter Trinkala

Project Manager Norfolk District 6 Jun 2013

BUILDING STRONG® US Army Corps of Engineers – Norfolk District

James River Funding

FY 13 President's Budget: FY 13 Expected Allocation (work Plan) Expected Sandy Funding

$3,948,000

$TBD $1,000,000

FY 14 President’s Budget: $3,801,000

FY 14 Capability:

$7,600,000

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Orion Dredging

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Indefinite Delivery Indefinite Quantity (IDIQ) Contract

W91236-13-B-0006

IDIQ Contract Solicitation included a base year and two option years (3 years total) $12M capacity

Status:

• Bid Opening 11 June 2013 • Award 1 July 2013 • Task Order award 15 July 2013

www.fbo.gov

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BUILDING STRONG® US Army Corps of Engineers – Norfolk District 5

Hydraulic Pipeline / Cutterhead Dredge


Hydraulic Pipeline / Cutterhead Dredge

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Maintenance Dredging Completed: • Dancing Point – Swann Point Shoal Channel

• Dredged October 2012 • Jordan Point – Windmill Point

• Dredged November 2012 • Tribell Shoal Channel

• Dredged December 2012 • Dancing Point – Swann Point Shoal Channel

• Dredged February 2013

Total Volume of Dredged Material: 1,104,777 cubic yards

FY 2012 Accomplishments

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60% Budget


ENGINEER RESEARCH AND

DEVELOPMENT CENTER (ERDC) Dredging Operations and Environmental

Research (DOER) ENGINEERING WITH NATURE

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• Analyze existing data, literature survey, hydrodynamic modeling • Sediment loading analyses, sediment transport model, sediment

pathway model • System-wide model including wetland buildup and erosion.


Dancing Point – Swann Point Channel

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Lower End Dancing Point – Swann Point Channel


Maintenance Dredging to be performed: (Starting Mid July 2013)

• Dancing Point – Swann Point Shoal Channel • Tribell Shoal Channel • Richmond Deepwater Terminal

Condition Surveys:

• Goose Hill Shoal Channel

Remaining FY 2013 Activities

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James River FY 13 Activities

•

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James River FY 12 Accomplishments

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Questions/Comments?


James River Partnership XVII Corps Budget Process Richard Klein Chief, Programs Branch Norfolk District 6 Jun 2013


Corps Budget Cycle

HQ Provides Budget Guidance ( Mar )

HQ Review & Approval

( May -Jun )

Budget Presented to Sec. Army (Jul - Aug )

OMB Passback ( Nov )

Budget Submitted to OMB ( Sep )

President’s Budget to Congress ( Feb )

Field Offices Develop Program Requirements

( Mar - Apr )

Appropriations Bills ( Jul - Sep )

President Signs Approp. Bill ( Sep - Oct )

OMB Provides Budget Guidance ( Jan )

Funding Alloc. To Field Offices

( Oct - Dec )

Budget Resolutions


Budget Status

• FY 2013: President’s Budget released February 2012; FY13 funding provided via Full-Year Continuing Appropriations Act. In lieu of Conference Report and Energy & Water Appropriations we will have FY13 Work Plan.

• FY 2014: President’s Budget released April 2013; no action yet by House or Senate.

• FY 2015: Budget Guidance (EC) issued March 2013; Budget development in progress at District and Division levels.


New for FY 2013

• Continuing Appropriations Act (PL 112-175) provided continued funding through March 27, 2013.

• Department of Defense, Military Construction and Veterans Affairs, and Full-Year Continuing Appropriations Act, enacted March 26, 2013, will provide full-year civil works funding via the FY13 Work Plan process.

• Also enacted Disaster Relief Appropriations on January 29, 2013 (PL 113-2) in response to Hurricane Sandy. Norfolk District receiving funds on several projects.


New for FY 2014

Transforming the Civil Works (CW) Budget Process 1. Top-Down Approach to Budget Formulation. 2. Systems/Watershed Approach to Budget Formulation. 3. Feasibility Study Program Execution/Delivery.

Focus on studies with highest chance of success.

Senate Committee on the Budget, Concurrent Resolution supports “measures to ensure that the Harbor Maintenance Trust Fund will fully expend the collections that are deposited into it annually.”


Key Prioritization Factors

Operations and Maintenance (O&M)

• Essential O&M Infrastructure • Risk & Reliability • Commercial waterborne traffic • Other Considerations: Dam Safety, Public

Safety, Critical Harbor of Refuge, Subsistence Harbor, National Security, etc.


Norfolk District O&M Funding

FY 12 President’s Budget $23.3M

FY 12 Net Allocation $24.4M

FY 12 Supplemental Funds $1.7M


FY 13 Work Plan TBD

FY 13 Supplemental Funds Approx. $35M



Key Takeaways

• Action on FY 2014 Budget is with the House and Senate

• FY 2015 Budget development just getting underway

• New approach to budgeting – by System or Watershed


Questions/Comments?


James River Partnership XVII ENVIRONMENTAL UPDATE

Robert Pruhs Environmental Manager Norfolk District 6 Jun 2013


James River Federal Navigation Project Environmental Update

Dredged Material Placement Overview Permit Status

• Virginia Department of Environmental Quality (DEQ) • Virginia Water Protection Program / Clean Water Act,

Section 401 - Water Quality Certification • Virginia Marine Resources Commission (VMRC)

• Subaqueous Permits

Endangered Species Act, Section 7 Consultation Status • National Marine Fisheries Service (NMFS)

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Dredged Material Placement Overview

• Lower James River Reach • Overboard Placement

– One (1) Site • DEQ – Permit Expires,

March 12, 2021 • VMRC – Permit

Expires, September 30, 2015

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Middle James River Reach • Overboard Placement –

Five (5) Sites • DEQ – Permit Expires,

June 1, 2014 • VMRC – Permit

Expires, February 24, 2014

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Upper James River Reach • Upland Confined

Placement – Six (6) Placement Sites

• DEQ – Permit Expires, December 21, 2014

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FY 2012/2013 Accomplishments • Endangered Species Act (ESA), Section 7 Consultation,

Atlantic Sturgeon. • Norfolk District completed ESA Section 7 Consultation

with National Marine Fisheries (NMFS) in September 2012.

• NMFS Biological Opinion for the requires monitoring of dredged material discharges for potential incidental takes of Atlantic sturgeon.

• Biological opinion provides incidental take coverage for maintenance dredging operations.

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FY 2013/2014 Activities • Initiate Permit Renewals (DEQ & VMRC) for Middle

and Upper James River Reaches, August 2013. • Implement NMFS Biological Opinion monitoring

requirements for project.

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Questions/Comments

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JAMES RIVER PARTNERSHIP XVII

Break

City of Hopewell Where the Two Rivers Meet

Ø Hopewell, and earlier City Point owes its existence to its location overlooking the James and Appomattox Rivers.

Ø City Point, the oldest part of Hopewell, was founded in 1613 by Sir Thomas Dale.

Ø City Point witnessed Revolutionary War skirmishes fought on its banks.

Ø 1864-1865, General Ulysses S. Grant directed the 10-month Siege of Petersburg from the grounds of Appomattox Plantation at City Point.

Ø President Lincoln spent two of the last three weeks of his life at City Point. He visited on March 24-April 8, 1865.

City Point became one of the busiest ports in the world during the American Civil War with 40 steamers, 75 sailing ships and 100

barges each day.

Making History in City Point The Peacemakers

President Abraham Lincoln meets with Union generals Grant and Sherman on the

River Queen at City Point to plan the last stages of the Civil War.

HOPEWELL TODAY Public-Private Downtown Activity - $11.9 million > Beacon Theatre - $5.9 million total renovation of 640-seat art deco theatre and multipurpose performing arts center to open the end of 2013 > John Randolph Medical Center - $2.0 million external capital improvements > City Marina - $4.0 million in improvements > Hopewell Downtown Partnership – Creation of a non-profit organization by the City Council dedicated to improving Downtown Hopewell > Main Street Designation – In 2012 Hopewell became 1 of 25 designated Main Street communities in Virginia

Hopewell is home to several major national and international industries such as: Ø Honeywell International – A world-class manufacturer of quality

chemical products and the Hopewell plant is the world's largest single site producer of caprolactam.

Ø Ashland, Inc. - One of the world's leading specialty chemical companies whose chemistry is used every day in applications from automotive, food and beverages, personal care products, pharmaceuticals, and paper and tissue to durable goods.

Ø Evonik Goldschmidt - Multinational specialty chemical manufacturer serving the automotive, plastics, pharmaceutical, and other industries.

Ø Rock-Tenn - One of North America's leading producers of corrugated and consumer packaging and recycling solutions.

HOPEWELL REGIONAL WASTE TREATMENT FACILITY > Thanks to a strong city-industry partnership the 2013 General Assembly budget included $5.0 million to help upgrade the regional plant to remove harmful nutrients to help protect the Chesapeake Bay. > 2012 completed $28.0 million expansion and upgrades of domestic treatment to accommodate growth, specifically Fort Lee. Upgrades also eliminated most of the City sewer overflow problems. This work and an aggressive infiltration/inflow construction program has greatly enhanced the underground infrastructure. > The plant is currently performing pilot testing of new nitrogen removal technologies to be incorporated into the design of Phase 2 project. Estimated at $75.0 million – this project will be the largest upgrade in the plant’s history.

WHAT’S NEXT…….. > Work with Petersburg National Battlefield Park to enhance historic and recreation amenities at City Point – increase attendance > Continue to plan river walk along James and Appomattox rivers > Develop speaker series at the Beacon Theatre based on Lincoln at City Point > Participate in historic James River and Chesapeake Bay cruise to and from Richmond > Create water recreation designation at City Marina and develop adjoining city-owned property > Return River Queen to City Point

President Lincoln and Virginia President Lincoln finally departed from City Point, Virginia at 11 p.m. Saturday, April 8, 1865. He

believed he had spent two momentous weeks, probably two of the most remarkable and interesting, almost inconceivable weeks of his life. He was feeling better than he had felt during

his entire presidency. While at City Point on board of the River Queen, President Lincoln had a premonition of his own death, which proved tragic when he returned to Washington and was assassinated six

days later.

Thank You

J. Andrew “Andy” Hagy Director of Economic Development

[email protected]

Virginia Pilot Association Update

Captain Than Green

Virginia Pilot Association

James River Partnership XVII Vessel Traffic

Update

David Host Chairman and CEO – T. Parker Host, Inc.

June 6, 2013

Ship Roundtrips on the James River

NOTE: Does not include the Ready Reserve Fleet, Fort Eustis, Pleasure Boats

PIER CARGO 2008 2009 2010 2011 2012 2013 Projected

Honeywell Ammonium Sulphate 47 51 48 48 53 50

Regional Ent. Caustic Soda 8 7 5 7 3 2

DuPont Limestone 0

4 9 10 9 9

Port of Richmond Containers 78 24 13 0 0 ?

TOTALS 133 86 75 65 65 61

Ship Roundtrips on the James River

NOTE: Does not include the Ready Reserve Fleet, Fort Eustis, Pleasure Boats

Barge Roundtrips on the James River

PIER CARGO 2008 2009 2010 2011 2012 2013 (Projected)

Honeywell Phenol 65 89 62 62 62 70

Honeywell #6 Oil 6 2 3 0 0 0

Honeywell Ammonium

Sulphate 99 70 69 48 59 60

Regional Ent.

Caustic Soda 1 0 0 0 0 0

Regional Ent.

#2/4/6 Oil/ Vacuum

Gas 6 8 17 14 2 5

Regional Ent. Asphalt 24 11 18 22 7 7

Vulcan Aggregate 2000 1500 750 550 500 500

NOTE: Does not include dredges & tugboats

PIER CARGO 2008 2009 2010 2011 2012 2013

(Projected)

Port Tobacco (Shirley)

Miscellaneous 50 45 34 23 7 10

Port Tobacco (Shirley)

Dredge Material 0 0 37 37 45 70

Dominion Chesterfield Limestone 12 24 19 24 19 22

Dominion Chesterfield Syn. Gypsum 20 41 30 35 30 35

Kinder Morgan #6 Oil 25 28 18 50 48 57

James River Barge Line Containers 5 60 53 77 89 97

Luck Stone Aggregate 0 48 144 84 108 120

TOTAL 2,313 1,926 1,254 1,026 976 1,053




CARGO 2008 2009 2010 2011 2012 2013 (PROJECTED)

Containers 5 60 53 77 89 97

Dry Bulk 2,131 1,683 1,012 778 761 807

Liquid Bulk 127 138 118 148 119 139

Miscellaneous 50 45 34 23 7 10

TOTAL 2,313 1,926 1,254 1,026 976 1,053

Current Situation Looking in the near future, the Partnership needs to find

solutions to widen and deepen the James River to accommodate ships up to 630 ft LOA and 100 ft beam.

Additionally, the 24-foot James River draft restriction also should be looked at for improvement. Every ton of cargo not loaded in Hopewell due to the 24-foot restriction has to be barged to Norfolk for transloading to a warehouse and then to a vessel after loading in Hopewell to top off to the vessel’s loaded draft. An improved draft of 25 feet would mean approx. 1700 NT of additional cargo loaded

in Hopewell on a vessel at a savings to Honeywell of $20,000 per vessel.

James River Vessels

Small Honeywell Vessels Balsa 57 GRT 4,355 mt NRT 2,504 mt LOA 105.5 m BEAM 16.8 m

Hopewell

Midsize Honeywell Vessels Antilles VI GRT 7,341 mt NRT 4,279 mt LOA 115.3 m BEAM 19.6 m

Century Seymour GRT 9,978 mt NRT 5,489 mt LOA 137.03 m BEAM 23 m

Century Pearl GRT 9,967 mt NRT 5,500 mt LOA 137.030 m BEAM 23 m

James River Vessels Hopewell

Large Honeywell Vessels Wichita Belle GRT 17,590 mt NRT 10,303 mt LOA 170 m BEAM 26.5 m

Pacific Future GRT 18,597 mt NRT 9,065 mt LOA 181 m BEAM 26.06 m

Clipper Kashashio GRT 20,236 mt NRT 10,947 mt LOA 177.130 m BEAM 28.4 m


Future Honeywell Vessels Available

Federal Sable GRT 23,100 mt NRT 12,250 mt LOA 190 m (623 ft) BEAM 28.3 m (93 ft)


Current Restrictions to Hopewell LOA 183.18 m (601 ft) BEAM 28.5 m (93.5 ft)

Current Situation

Hopefully, we can work together to identify the improvements needed to accomplish this, and I am

encouraged that the economic benefits will justify this effort.

THANK YOU



James River Partnership XVII A perspective on Watershed Approach

Mr. Michael R. Darrow Chief, Water Resources Division Norfolk District 6 Jun 2013


USACE Guidance and Language

• EC 11-2-204. 31 March 2013 (FY15 Budget Guidance)

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James River Watershed Identified as a Watershed/Systems-Based Budget Opportunity

• Watershed-Based Budget defined as a “sustainable, five-year set of prioritized and performance-based project-level investment options”.

• The James River watershed includes: • Federal Flood Risk Management • Navigation • Environmental Restoration • Regulatory permitting actions • Flood Plain Management Services • Planning Assistance to State

• Involves many partners, stakeholders, and customers.

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James River Pilot Study FY14 Budget Submission

• Developed a strategy to manage and fund projects in the James River watershed by:

• Identifying past 5-year funding for GI, CG, CAP, and O&M • Prioritizing FY-14 Work Packages among the Business Lines • Considering needs of stakeholders, bare-bones O&M, and National

Objectives

• The result attempts to optimize the use of limited fiscal resources, while providing the greatest benefit to customers and the nation.

• Considered how projects among Business Lines were connected and

gave special weighting to Comprehensive James River Basin Study • Important benefit of watershed budgeting would be to have ability to

move funds among Business Lines to achieve greatest benefits

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Navigation

Water Supply Flood Risk Management

Ecosystem Restoration Flood Risk Management


Stakeholder Feedback

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Existing Priorities

• Flood Risk Management • Water Supply • Ecosystem Restoration • Disaster Preparedness & Response • Navigation • Regulatory

Future Priorities

• Water Supply • Ecosystem Restoration • Navigation • Disaster Preparedness & Response • Flood Risk Management • Regulatory

“In order to establish a collaborative process with a focus on conducting a comprehensive

basin-wide waster resources study that optimizes needs across the basin versus

maximizing individual needs stakeholders will need to seek enduring, sustainable, and

integrated solution sets across the upper middle, and lower basins.”

“In my experience, sometimes competing interests can be found within efforts under the Navigation, Regulatory programs, and

Ecosystem Restoration programs.”

“An overall comprehensive watershed analysis would help to prioritize the

resources within the watershed, identify what needs to be done in order to

strengthen the resources and hopefully provide a balance of where resource needs

may conflict with each other.”

“The need for water supply and navigation sometimes

conflicts with flood risk management and ecosystem

restoration.”


Challenges

• How to objectively assign relative value to projects among Business Lines

• How to fairly incorporate stakeholder input

• How to consider projects or initiatives by other Federal, state, and local agencies

• How to integrate the Regulatory Program permits within in the specific watershed area

• How to address cost-shared vs. non cost-shared items

• Inability to share budgetary information with outside interests


Way Forward

• Continued focus on projects and programs within a watershed context

• Outreach, Outreach • James River Comprehensive Study • Full understanding of all the federal agencies plans

• Pool limited funds where interests overlap • GIS – Tool for a common operating picture

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Questions/Comments?


Recommendations

• Allow partners to be involved in the budget process and help in developing proposals.

• Allow reprogramming of funds among projects within the watershed.

• Enable immediate release of project fact sheets to watershed partners, post-release of President’s Budget.

• For FY-15 budget cycle, develop a methodology and guidance to enable a future 5-year plan establishment.

Current Navigation Policy Issues

Ms. Amy W. Larson, Esq. President

National Waterways Conference, Inc.


Closing Comments Col. Paul B. Olsen, P.E. Norfolk District 6 Jun 2013

James River Partnership 2013

Business

Transcript of James River Partnership 2013