Pacific Gateway: Winter 2015

Port of Tacoma | Winter 2015

Intermodal velocityPartnerships drive performance of rail network

Corporate Social ResponsibilityCSR program strengthens community connections

Pier 3 upgradeRebuilt pier paves way for further transformation

NEW GAME, NEW TEAMTacoma and Seattle ports join forces to stay competitive

Watching market share erode in an ever- more-competitive shipping industry, the ports of Tacoma and Seattle have taken the bold step to form a Seaport Alliance. This is not a merger, but a way to unify the management of our marine cargo facilities to better prioritize infrastructure investments.

Combined, the ports of Seattle and Tacoma are the third-largest container gateway in North America. A recent analysis performed by Martin Associates estimates that the two ports’ marine cargo operations supported more than 48,000 jobs, which generated nearly $4.3 billion in economic activity in 2013. If the farmers and manufacturers who ship products through the ports of Tacoma and Seattle are factored in, the ports’ activities reach 443,000 jobs overall in Washington.

The stakes are high.

That’s why we are prepared to do what it takes to keep—and grow—port-related, family-wage jobs in our state. Learn more about the Seaport Alliance in this issue’s cover story.

You’ll also read about how we are working with our rail partners to keep our connections with the U.S. Midwest efficient in the face of increasing rail traffic.

On the cover: Sue Coffey, director of business development, and Akira Tatara, director of Asia, have a passion for the industry and are ready to help with any of your shipping needs.

Find out more about our Corporate Social Responsibility Program and the liquefied natural gas facility Puget Sound Energy plans to build at the Port to serve Totem Ocean Trailer Express and other customers with cleaner-burning fuel sources.

In this issue, we also introduce you to more of the people and customers who contribute to those jobs. You’ll meet Thais Howard, the Port’s first female director of engineering, who oversees tens of millions of dollars in infrastructure projects. You’ll learn more about Premier Transport and NNR Global Logistics, two customer-focused local businesses that connect the Puget Sound region to the global supply chain.

We will continue to focus on keeping our region competitive in this challenging marketplace.

Don Johnson President, Port of Tacoma Commission

FROM THE COMMISSION

Port of Tacoma | portoftacoma.com | 1

18 The ABCs of CSR The Port’s Corporate Social

Responsibility Program strengthens our community connections.

20 Cleaner fuel option Puget Sound Energy’s proposed

liquefied natural gas facility will serve consumers and transportation companies.

21 Calendar

IN THIS ISSUE

2 News briefs

4 Thais Howard: Comfortable with abstracts and concrete

Our first female engineering director brings a personable touch to project management.

6 Intermodal velocity Maximizing the performance

of our rail network through partnerships with our rail providers.

8 New game, new team The ports of Tacoma and Seattle

join forces to stay competitive on a global scale.

14 Pier 3 upgrade complete

The rebuilt pier is the first step in transforming the General Central Peninsula to serve the world’s largest ships.

16 Trade connections NNR Global Logistics and

Premier Transport connect the Puget Sound gateway to the global supply chain.

CommissionConnie BaconDon JohnsonDick MarzanoDon MeyerClare Petrich

Subscriptions and informationPacific Gateway is produced by the Port of Tacoma. Subscriptions are free by visiting www.portoftacoma.com/publications. For information about articles in this edition or for permission to reproduce any portion of it, contact the Communications Department.

Pacific Gateway © 2015 Port of TacomaPort of TacomaP.O. Box 1837Tacoma, WA 98401-1837Phone: 253-383-5841 Email: [email protected] www.portoftacoma.com

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Chief executive officerJohn Wolfe

Correction In the Fall 2014 issue, we failed to acknowledge a $200,000 grant from the Washington State Department of Ecology to repower a Tacoma Rail locomotive. The grant helped the Port secure a Diesel Emission Reduction Act (DERA) grant from the U.S. Environmental Protection Agency.

2 | Pacific Gateway | Winter 2015

PCC Logistics received the 2014 Business Magnet Summit Award. The warehousing, distribution and logistics services company employed more than 50 people in 2013.

Summit Award nominations due by Feb. 13

Nominate top-performing Port customers and tenants for our 2015 Summit Awards.

The award program honors significant contributions to Port business and Pierce County’s economy and livability.

The awards recognize three categories of leadership:

• Business Magnet for efforts and investments that led to an increase in business volume or new business opportunities and had a positive economic impact for Pierce County citizens.

• Environmental Stewardship for a project, program or initiative that supports sustainability in Pierce County, and honors biodiversity and the interconnected nature of industry, people, wildlife and natural systems.

• Livable Community for a project, program or initiative that demonstrated the business community’s positive contribution to Pierce County through social responsibility.

Winners will be announced at our Annual Breakfast March 25 at the Greater Tacoma Convention and Trade Center. Find nomination forms and award criteria at www.portoftacoma.com/summits

Port ranks highest on West Coast for value, ease of doing business

For the second year in a row, the Port of Tacoma ranked highest among West Coast ports for ease of doing business in Logistics Management’s 2014 Quest for Quality awards. Tacoma also placed highest in the value category.

Overall, Tacoma was rated second highest among ports on the West Coast.

Winners were selected by the magazine’s readers—the buyers of logistics and transportation services. Readers evaluated ports using five criteria: ease of doing business, value, ocean carrier network, intermodal network, and equipment and operations. A port had to receive at least 5 percent of the category vote to win.

NEWS BRIEFS

Mark your calendar Port of Tacoma Annual Breakfast

Wednesday, March 25, 2015 7:30 to 9:30 a.m.

Greater Tacoma Convention and Trade Center 1500 Broadway, Tacoma Learn more at: www.portoftacoma.com/breakfast


The Port’s annual boat tours provided more than 1,100 people with a ship-side view of the jobs and cargo on our terminals.

Anita Fichthorn, water quality project manager, samples stormwater runoff from the log yard’s biofiltration treatment system.

Innovative stormwater treatment system earns top honors

An innovative stormwater treatment system at the Port’s West Hylebos Log Yard won the American Association of Port Authorities 2014 Comprehensive Environmental Management award.

The $2.7 million biofiltration treatment system completed in December 2013 meets Washington state’s stringent water quality standards and protects Commencement Bay. The four-stage process mimics nature’s own filtering processes by moving stormwater through gravel, sand, compost and plants to remove pollutants. The system measures 600 feet by 45 feet.

The log yard biofiltration system was one of three industrial rain gardens at the Port featured as successful green infrastructure projects in the September issue of Stormwater Magazine. The magazine also profiled the industrial rain gardens at Totem Ocean Trailer Express’s terminal and the Port’s “rain gardens in a box.”

Port named green supply chain partner fifth year in a row

The Port’s sustainability commitment earned it an Inbound Logistics Green Supply Chain Partner honor for the fifth year running.

One of seven U.S. ports selected, Tacoma was recognized for its many environmental efforts. These include reducing seaport-related emissions through the Northwest Ports Clean Air Strategy, cleaning up legacy contamination to put more than 420 acres of industrial land back into productive use, and finding innovative solutions to manage stormwater runoff.

The trade magazine honored 75 organizations from various transportation sectors, including ports, trucking companies, railroads, shipping lines, freight forwarders and air cargo carriers.

“The 75 Green Supply Chain Partners is a very select group, and we found the Port of Tacoma to be one of those companies that is truly ‘walking the walk’ when it comes to supply chain sustainability,” said Felecia Stratton, editor of Inbound Logistics.

Boat tours give community glimpse of Port operations, jobs

More than 1,100 people got a ship-side view of some of the local jobs and monster machines at the Port during our annual free boat tours.

A regular part of the Tacoma Maritime Fest, the narrated tours provide visitors with an up-close view of ships, marine terminals and some of the world’s largest container cranes. Tour participants also glimpsed Port-constructed wildlife habitat and learned about some of the Tideflats-based businesses that boost the region’s economy.

In addition to the annual boat tours, the Port hosts bus tours nearly every month. See the 2015 schedule and learn how to reserve your seat at www.portoftacoma.com/tours.


EMPLOYEE PROFILE

BORN: Bennettsville, South Carolina

NOW LIVES: University Place, Washington

FAMILY LIFE: Married, with 15-year-old daughter and 12-year-old son

HOBBY: Reads Christian fiction, watches her kids play basketball and football

NAME ORIGIN: Thais (pronounced tie-ESE) is the name of an opera—but that’s not how Howard got her name. Her mom knew someone growing up in Brooklyn, New York, with that name and decided if she ever had a daughter that would be her name, too.

ALL ABOUTTHAIS HOWARD

“We’re a government agency, but we’re fast paced. We have to be dynamic in meeting customer needs. It’s always evolving, being tied to what’s going on in the industry. To me, that keeps it interesting.”

Thais Howard, engineering director


THAIS HOWARD

Growing up, Thais Howard wanted to be a TV anchor-woman.

But thanks to Mr. Humbert, a chemistry and physics

teacher at Bennettsville High School in South Carolina, she is now the Port of Tacoma’s first female director of engineering. Howard is responsible for leading the design and construction of road, rail and terminal improvements.

Humbert suggested she attend a summer career workshop aimed at minority students at Clemson University. She chose the engineering workshop and found the sheer variety of career opportunities available to those with an engineering degree appealing.

“For me, it was all about opportunity,” Howard said.

After two summers at the Clemson workshop, she decided to attend college there and earned a bachelor’s degree in electrical engineering. She is a licensed professional engineer in Washington, Florida and Tennessee.

Howard has worked at the Port of Tacoma for seven years, beginning her tenure as a project manager. She was promoted to engineering director in fall 2013.

The path, as a female in a male-domi-nated industry, wasn’t always easy.

“I’d look around my classes and realize, ‘Hey, there’s no one like me here,’” she said. “I felt like I had to work harder and be better than everyone else to prove myself.”

But her work ethic was instilled at a young age from her grandmother.

“Growing up, what I saw in my grand-mother—she was a hard worker,” Howard said. “It taught me that if you work hard, you can achieve whatever you want.”

Before joining the Port, Howard worked for GLE Associates and The Walter Fedy Group in Florida, Williams-Sonoma in Tennessee and Westinghouse Electric Company in Utah. Those professional experiences helped shaped her technical expertise.

She has also refined skills in listening, collaborating, being inclusive and working with teams of people.

“I especially like the Port because I get to manage people, lead a group and also be involved in managing projects,” Howard said.

One of her biggest and most rewarding Port projects to date was to manage upgrades related to the Transportation Workers Identification Credential (TWIC) program, which requires a federal ID card to access secure marine terminals. The $13.2 million project included upgrading and replacing security cameras, and installing the supporting fiber infrastructure and an access control system to comply with the federal Department of Homeland Security program.

These days, the list of projects her 13-member team manages runs several pages long and includes improvements to piers 3 and 4 at Husky Terminal, rail connections, site grading and habitat construction.

“We’re a government agency, but we’re fast paced,” she said. “We have to be dynamic in meeting customer needs. It’s always evolving, being tied to what’s going on in the industry. To me, that keeps it interesting.”

The Port’s first female engineering director brings a personable touch to project management.

Comfortable with abstracts and concrete


The Port industrial area’s 75 miles of rail connect inter-modal yards to support track and the mainline, tying Tacoma to points east, north and south.

Two-thirds of that rail is owned and maintained by the Port of Tacoma. The remaining third is the

responsibility of Tacoma Rail, which provides switching and terminal service, and performs maintenance on locomotives for the BNSF Railway and Union Pacific Railroad.

Rail has been essential to the success of the Puget Sound gateway for nearly 150 years. Today, intermodal rail carries more than half the international containers arriving at the Port to the U.S. Midwest. We partner with Tacoma Rail, the BNSF and Union Pacific to help ensure the rail system serving Tacoma is efficient and competitive.

“We must have a competitively-priced and service-driven rail product across the board, whether that’s commercial cargo,

Maximizing the performance of our rail network through partnerships with Tacoma Rail and the Class I railroads.

INTERMODAL VELOCITY

intermodal cargo, or unit trains of liquid or dry bulk,” said Mike Reilly, director of intermodal business development. “So much of our economy is dependent on moving cargo efficiently through this gateway.”

Freight rail contributes at least $28.5 billion to Washington state’s economy—approximately 7.5 percent of the state’s gross domestic product, according to a study released last September. Commissioned by BNSF and the Washington Council on International Trade (WCIT), the study also found freight rail supports more than 342,000 jobs in the state.

“Four in 10 jobs are tied to international trade in our state,” said Eric Schinfeld, president of WCIT. “With increased competition from the rest of the world, it’s critical that our state and the nation make investments now to keep Washington competitive in the future.”


>95%

>95%

>85%

<25% <10%

Maximizing Tideflats’ rail serviceThe Port signed a 20-year agreement with Tacoma Rail in 2013 to increase capacity and improve the operational efficiency of our rail system. Key performance indicators (KPIs) measure what’s working in the rail network and where opportunities for improvement exist.

The measurements, reported monthly, are interconnected. For example, meeting the target for on-time terminal switching should result in hitting the target for on-time eastbound train departures.

The agreement extends to coordinating infrastructure investments to optimize the rail network for future growth. Over the last decade, dozens of projects have rebuilt track or added new capacity. Our first joint effort built 400 feet of track to serve the East Blair One breakbulk terminal.

Daily rail moves are coordinated through conference calls and the Business Exchange online portal. The Web-based system developed by the Port and Class I railroads helps identify equipment, locomotive and crew needs.

Investments beyond the TideflatsBNSF and Union Pacific provide service between the Pacific Northwest and population centers across North America. Rail service suffered last year, due to a backlog from harsh winter weather and unprecedented demand.

Last year, the Port and Tacoma Rail met jointly with executives at BNSF and Union Pacific to discuss specific opportunities to improve rail service in the Pacific Northwest.

“The railroads realize that there are serious issues and it’s going to take some time and major monies to fix them,” Reilly said. “They’re willing to make those investments.”

BNSF spent $5.1 billion in capital projects in 2014, including $1 billion on the Great Northern Corridor route most cargo travels between the Pacific Northwest and Chicago. Meanwhile, Union Pacific invested $4 billion in its national network.

“Even with both railroads investing billions into the national rail infrastructure, what we don’t have is a unified national transportation plan,” Reilly pointed out. “The Canadian government was astute enough to develop a national plan back in 2006, which has put them in an extremely competitive position.”

KPI: TARGET:

RAIL KPIs

Marine terminal intermodal switching performance

Import intermodal (eastbound) train departure performance

Commercial business performance

Westbound blocking efficiency

On-time placement

On-time performance

On-time placement

BNSF Union Pacific


Ports of Tacoma and Seattle join forces to stay competitive on a global scale


To John Cahill, president of Pac-Rim Building Supply, it doesn’t really matter whether the port of Tacoma or Seattle is winning the battle for new customers or cargo.

Cahill’s Renton-based company, which ships construction materials throughout the Pacific Rim and transloads import and export cargo, makes use of both ports. “We need both of them to be successful,” Cahill said.

The same goes for the Puget Sound region. The Seattle and Tacoma ports have been fierce competitors for decades, but now the global trade game has changed. Puget Sound ports face challenges from Canada, California and even the East Coast, said Clare Petrich, Port of Tacoma commissioner.

“We realized that the competition isn’t next door, it really is global,” Petrich said.

The Seaport Alliance, formed by the Tacoma and Seattle port commissions last fall, aims to maximize the strengths of both ports and ultimately make the Puget Sound gateway more competitive.

Port of Seattle Commissioner Stephanie Bowman said the Seaport Alliance represents a paradigm shift. “It’s the first time you see two ports coming together to work together,” she said. “It won’t matter which port the cargo comes into—we’ll both win.”

The port commissions expect to hire Port of Tacoma CEO John Wolfe as head of the Seaport Alliance upon approval of an agreement this spring.

Photo by Don Wilson, Port of Seattle


Increasing options, decreasing market shareSince 2000, the volume of container cargo moving through West Coast ports has grown from 17.4 million TEUs (20-foot equivalent units) to 29.8 million TEUs. While Tacoma has certainly benefitted from that container boost, the figures belie an important fact: During the same time period, the Puget Sound ports’ share of that cargo decreased from 16.5 percent to 11.6 percent.

“Little by little we’ve lost opportunity, even while our volumes have been growing,” Petrich said.

The ports continue to face threats that could erode that market share even further. Most significant is the growing size of container ships as shipping lines seek increased economies of scale to reduce operating costs.

The largest container ships built two decades ago carried about 9,000 TEUs. Today some of the largest ships built can handle more than twice as much cargo. These ships require the ports to make major infrastructure improvements to accommodate them, and they also stop at fewer ports, adding to the competition for their business.

John Cahill, president of Pac-Rim Building Supply, said

the success of his business depends on a competitive

Puget Sound gateway.

Now consider that three-quarters of the import cargo that comes through Puget Sound ports is en route to the U.S. Midwest. That discretionary cargo is up for grabs. Ports challenging Seattle and Tacoma for that business include:

• Canadian ports The British Columbia ports of Prince Rupert and Vancouver credit much of their growth to cargo diverted from U.S. ports. And both of these Canadian powerhouses are making significant infrastructure improvements in an attempt to win even more business. In fact, Prince Rupert, which is the closest West Coast port to Asia, plans to grow from half a million TEUs to 2 million TEUs in the next five years. Seattle and Tacoma handled about 3.5 million TEUs combined last year.1

• Californian ports The port of Los Angeles, the nation’s largest container port, anticipates spending approximately $1.1 billion on its capital improvement program over the next five years. Meanwhile the Port of Long Beach, the country’s third largest port, is in the midst of a multibillion- dollar project aimed at improving its capacity and efficiency.2 Additionally, these ports have the benefit of a much larger population base, making them a required stop for many shipping lines.


1 Talking Ports, Seaport Alliance, Port of Tacoma2 The Big Ship Race, AAPA Seaports featured story, October 2014

• East Coast and Gulf Coast ports The expanded Panama Canal is scheduled to open in 2016, giving eastern and southern ports the opportunity to handle cargo headed to and from Asia. Much of that cargo currently travels inland via the West Coast.

Bowman, with the Port of Seattle, is concerned that the big ships could stop in British Columbia and then head directly to California. “They would be skipping us entirely,” she said.

The region’s economic engineFor many people, discussions of Puget Sound market share and container volume may seem fairly removed from their daily life. But the economic impact the Tacoma and Seattle ports have on the region and state merit attention. That’s because what we’re really talking about is jobs.

For the first time, Seattle and Tacoma examined their joint economic impact. The resulting study, released last fall, provided an incredibly clear picture of how much the Puget Sound relies on both international and domestic trade. Chris Mefford is president of Community Attributes, a Seattle consulting firm that helped the ports contextualize the data compiled by Martin Associates.

“The study revealed the breadth and depth of the ports’ economic impact,” Mefford said. Together, the ports form the third largest container gateway in North America. Just as impressive: Port activity supports 48,000 jobs in Washington state.

That figure includes:

• 18,900 direct jobs These include longshore workers, terminal employees, port administration staff and people working in shipyards and warehousing. “These jobs wouldn’t exist if the ports didn’t exist,” Mefford explained.

• 11,100 indirect jobs These jobs are generated in supporting industries and suppliers. For example, indirect jobs include fuel providers, parts and equipment suppliers, and mainte-nance and repair shops.

• 18,100 induced jobs These are jobs supported by wages earned by people in direct port jobs. They include positions at banks and grocery stores to gas stations and restaurants. Mefford noted it’s a conservative figure, but one that reveals the ripple effect the ports’ presence has throughout the community and region.

At the Ports of Tacoma & Seattle

REVENUES AND INCOMES:

BUSINESS REVENUES BY MAJOR CATEGORY:

YEAR:

$138.1 billion

$4.3 billion

2013 THE ECONOMIC IMPACTS OF MARINE CARGO

Ports’ related economic activity is affiliated with $138.1 billion in total economic activity in the state, which is 1/3 of Washington’s GDP.

$2.2 b

Rail Terminal Truck Warehouse Shipyards & Ship Repair Support Services Port Authority

$391 m $379 m $362 m $361 m $337 m$231 m


In addition to jobs, port activity also generates $138.1 billion in total economic activity in Washington state. That accounts for about one-third of the state’s total gross domestic product. The figure includes revenue generated by port-related businesses as well as wages paid to people holding direct jobs.

Bowman touted maritime as our state’s original industry, pre- dating aerospace and tech by decades and with a longer reach.

“The effects of the ports are felt statewide. From Spokane and Yakima to Moses Lake and Wapato, businesses rely on us,” she said.

Cahill, with Pac-Rim, experiences the economic impact of the ports daily. Pac-Rim began by consolidating and selling building supplies to contractors in Alaska. The company then expanded that service to Hawaii and Japan, capitalizing on the demand for American-style housing in Asia.

Moving into the transload business proved a natural segue as Pac-Rim, which employs 14 people, was already a master at loading containers. “We don’t sell locally, so we’re 100 percent dependent on the ports,” Cahill said.

Two ports are stronger than oneBoth Tacoma and Seattle are working hard to address the challenges of the future. Combining the ports’ marine operations gives them another advantage in an increasingly competitive industry. As the Seaport Alliance, the ports can provide customers with a selection of facilities and services.

“If we want to accommodate ultra-large ships, there are four terminals to offer,” Petrich said. “We don’t have to shoehorn customers into just what Tacoma has available.”

The ports will combine their capital improvement dollars and prioritize which facilities need improvements first. Petrich noted the partnership permits the ports to time their investments to what makes sense for the market, instead of competing with each other to finish projects first. The arrangement will also allow the Seattle and Tacoma ports to repurpose terminals that aren’t being used at full capacity.

Just as important, the Seaport Alliance gives the ports one voice when speaking to partners such as the railroads, as well as advocating for issues and funding at a local and federal level. Teams from both ports are still determining exactly how the alliance will operate on a day-to-day basis, but a few things are clear:

• Each port keeps its own commission The existing port commission governance structure won’t change, and each commission will retain its direct responsibility and accountability to the residents of their counties. The commissions will act jointly on Seaport Alliance policies, with no project able to move forward unless it has majority approval from both commissions.

• Each port contributes and benefits equally Each port will make an equitable investment and keep ownership of its respective property and facilities. “We want to make investments that serve both places and return those investments to each community,” Petrich said.

The commissions have proposed that John Wolfe, currently the Port of Tacoma CEO, serve as the head of the Seaport Alliance. The ports plan to submit a more detailed framework for how the alliance will function to the Federal Maritime Commission this spring.

Forming the alliance is a bold move. It alters historical relationships and paves a new path for the future, one that Petrich hopes will benefit the regional and state economy for years to come.

“We are the largest Puget Sound ports. The numbers are big and the impact is large,” Petrich said. “We don’t want to let this maritime industry fail. We want to keep it growing and we want it to expand.”

Nick Price loads a container at Pac-Rim Building Supply’s Renton facility.

REGIONAL FISCAL IMPACTSMARITIME CARGO ACTIVITY:

$379 m in State & Local Taxes

WASHINGTON STATE: COUNTIES & CITIES:

$231 million $148 million


“ It’s the first time you see two ports coming together to work together. It won’t matter which port the cargo comes into— we’ll both win.” Stephanie Bowman, Port of Seattle commissioner


PIER 3 UPGRADE COMPLETE The rebuilt Pier 3 at Husky Terminal is the first step in transforming the General Central Peninsula to serve the largest container ships.

The $20 million construction project, completed last October, strengthened the wharf to support larger container cranes by installing new pilings and rebuilding the pier. We also installed 100-gauge crane rail and built a new electrical substation to

support the increased power demands of larger cranes.

The next step is to reconfigure the adjacent Pier 4, which will enable two of the world’s largest ships to berth simultaneously. Construction is expected to begin in 2016.

PIER 3

OLYMPIC CONTAINER TERMINAL (OCT)

PROJECT COST:

DAYS OF CONSTRUCTION:

LABOR HOURS ON CONSTRUCTION SITE:

LENGTH OF REBUILT PIER:

$20 million

462 days

54,500 hours

940 ft

BY THE NUMBERS


PIER 3

EXISTING PIER 4

NORTH INTERMODAL YARD (NIM)

HUSKY TERMINAL

NEW PIER 4 (CONSTRUCTION BEGINS 2016)

If those piles were stacked end-to-end, they would stretch 1,650 feet—taller than the Empire State Building in New York City

Approximately equal in weight to 30 full-grown blue whales

138 900,000 lbs 5,900 tons

3,500

1,189 ft

NEW PILES INSTALLED: REBAR USED: ASPHALT USED:

CONCRETE USED:

REBUILT CRANE RAIL:

Equal to the weight of 60 full-grown male African elephants

cubic yards

Anticipated design of reconfigured Pier 4


ESTABLISHED: 2000

LOCATION: Tacoma, Washington

EMPLOYEES: 9 office staff, 40 to 45 drivers

PRODUCT: Intermodal drayage and pick-up/delivery to points in Washington, Oregon, Montana and Idaho

WEBSITE: www.premiertransport.net

COMPANY STATS

TRADE CONNECTIONS

“ I want to work with other trucking owners and professionals to explore issues and concerns, and help find sustainable solutions that can serve us well for the next 50 years.” Ian Collins President, Premier Transport Inc.

PREMIER TRANSPORT INC.

Trucking is in Ian Collins’ blood.

“I was born into it. When people ask, I say my babysitter was a line driver,” said Collins, president of Premier Transport Inc.

Collins’ father, Ken, worked in the trucking industry most of his life, first as a driver and then as the owner of two transportation companies. Ken Collins founded Premier in 2000, and his son purchased the company in 2013.

Located in the heart of the Port industrial area, Premier is an intermodal drayage and delivery company. Premier provides service for ocean carriers, shippers, railroads and intermodal companies to points in Washington, Oregon, Montana and Idaho. The company’s 2012 purchase of Yakima-based Container Systems expanded its presence in Eastern Washington and increased its ability to handle heavier loads.

Safety is an integral part of Premier’s culture, explained Jill Snyder, safety director. Snyder sits on the board of directors for the Washington Trucking

Association’s Safety Council and received the association’s 2013 Safety Professional of the Year award.

“We take safety very seriously,” she said. “Our drivers have a difficult job. Many people don’t realize how limited a driver’s vision is in the truck or the space needed to maneuver a truck on our congested highways.”

Premier is also serious about finding solutions to the many issues currently facing the trucking industry, from the driver shortage to increasing regulations and rising costs. The company is actively engaged with industry associations, government organizations and regulators.

“I want to work with other trucking owners and professionals to explore issues and concerns, and help find sustainable solutions that can serve us well for the next 50 years,” Collins explained.

However, it’s not all work at Premier. The company also does its fair share of playing, supporting several local charities and sponsoring two professional bull riders.

“It’s a fun company to work at,” Snyder said. “I can honestly say I enjoy coming to work and working with our staff and professional drivers.”


ESTABLISHED: 1971

LOCATION: Kent, Washington

EMPLOYEES: 10

PRODUCT: Comprehensive transportation services through export, import, brokerage and third-party logistics services

WEBSITE: www.nnrusa.com

COMPANY STATS

“ Every customer has specific needs, and because we aren’t a big conglomerate, we can address each of those needs.” Yasuko Ota Branch manager, NNR Global Logistics

NNR GLOBAL LOGISTICS

Excellent customer service, a knowledgeable staff and strong relationships are the keys to success at NNR Global Logistics USA’s Seattle office.

An affiliate of Nishi-Nippon Railroad Co., Ltd., NNR Global Logistics USA is headquartered in Chicago and provides comprehensive transportation services, including export, import, customs brokerage and third-party logistics services. The company’s 20 domestic offices are complemented by nearly 400 offices worldwide.

“We have a tight network in Asia and in Europe, in South America and Australia—anywhere in the world, really,” said Yasuko Ota, branch manager in Seattle. Her office is nestled in the Kent Valley, which boasts the second largest concentration of distri-bution centers on the West Coast.

“We’re not the biggest of the biggest transportation service providers. We are here to serve the customer,” she said. “Every customer has specific needs, and

because we aren’t a big conglomerate, we can address each of those needs.”

Meeting those needs includes being available any time of day or night to help solve a logistics puzzle.

When a ferry sank off the coast of South Korea last year, Ota received a last-minute, late Saturday night request to help a customer ship special sonar equipment to the accident site the following day.

Even though the customer was carrying the equipment on the flight, they needed the proper documentation or risked having the cargo delayed in customs. Ota pulled together a team of three employees to complete the paper-work and ensure the equipment arrived in time to assist the search efforts.

“We were very proud,” she said.

With a mix of local knowledge and a global perspective, NNR plays a critical role in their customers’ supply chains. Ota said her team tries to anticipate potential problems, based on their experience and database history, and

works to avoid or solve the problems before they delay a shipment.

“I like to think we’re like family to our customers,” Ota said.


THE ABCs OF CSR The Port’s Corporate Social Responsibility Program works to further strengthen our connections to the community.

These three characteristics best sum up the Port’s Corporate Social Responsibility (CSR) Program introduced last year. It supports our strategic plan goal of strengthening the Port’s community connections.

The effort to develop, launch and sustain the program is co-led by Julie Collins, chief external

affairs officer, and Louis Cooper, senior director of security and labor relations. A grassroots task force of 20 employees, representing a cross section of staff from all levels of the organization, worked for two years to build the program.

It focuses on six major areas, from employee volunteerism to creating more opportunities for small and emerging businesses to provide goods or services to the Port and its customers.

“People value our Port, but to many, we’re just not visible to them,” Cooper said. “Our CSR program will help our Port be more visible throughout our community.”

While the Port has been involved for many years in all the areas covered by the new program, the CSR taskforce worked to better coordinate these diverse efforts and ensure they are integrated into the Port’s business plans and values.

“What we really wanted to do was be more intentional and more accountable for our CSR efforts,” Collins said, “as well as be able to measure our progress in the key focus areas.”

In many cases, the Port is developing new partnerships with various segments of the community to move specific initiatives forward.

For example, to launch the small and emerging business program, we partnered with the William Factory Small Business Incubator in Tacoma and the Washington Procurement Technical Assistant Center (PTAC). The Incubator provides a venue for classes and outreach, while PTAC offers targeted training on how to do business with the Port. The training includes everything from understanding the public procurement process to insurance and bonding.

“Building on these partnerships,” said Cooper, “and developing new opportunities is going to allow our Port and some of our customers to find new ways to put money back into our community.”

Collins added, “The CSR program is a comprehensive expression of how the Port is engaged in our community and how we do our business.”

Partnerships. Community engagement. Accountability.


Jasson Smith, facilities maintenance journeyman electrician, demonstrated bending and deburring metal conduit at Pierce County Career Day. The Port’s booth also included carpenter, plumbing and equipment mechanic tools and supplies.

AREAS OF FOCUS

JOBS OUTREACHCreate a more diverse workforce by formalizing an outreach program to broaden the number of veterans, women and minorities who apply for jobs.

SUSTAINABILITY PRACTICESReduce the impacts of Port operations by integrating sustainable practices that balance natural resource efficiencies with economic benefits.

SKILLED TRADES DEVELOPMENTBroaden and diversify the applicant pool for vacant positions and provide port-specific training to support employee advancement and succession planning.

EXPOSE STUDENTS TO THE MARITIME INDUSTRYProvide hands-on internships to post-high school students and partner with high schools on activities that demonstrate connections between school curriculum and future maritime job opportunities.

SMALL AND EMERGING BUSINESS PROGRAMEnhance economic development opportunities for small and emerging businesses within Pierce County and throughout the region to compete for contracts to supply goods and services.

EMPLOYEE COMMUNITY ENGAGEMENTEncourage and support employees to increase their volunteerism in our community, helping our employees get better connected to the Port’s citizen stakeholders throughout Pierce County.


Puget Sound Energy (PSE) plans to build a $275 million liquefied natural gas facility at the Port of Tacoma to support both maritime and consumer uses.

Commissioners approved a 25-year lease last August with the company for a 33-acre site and pier on the Hylebos Waterway. The lease includes a feasibility period expected to last 12 to 24 months.

“We are excited to make this environ-mental and economic investment for Tacoma,” said Kimberly Harris, PSE’s president and CEO. “It provides significant clean air benefits, reinforces our service to existing customers, generates economic opportunities in the region, allows us to pursue new markets and keeps our customers’ rates down.”

The facility will help PSE meet the demands of its 770,000 residential and commercial natural gas customers in

Western Washington during peak use periods. It will also serve local transportation companies looking to shift from traditional fuel sources to cleaner-burning LNG.

Totem Ocean Trailer Express, which operates twice-weekly sailings between Tacoma and Anchorage, will be a primary customer. The Alaska shipping line is upgrading its two Orca-class cargo vessels to operate on LNG instead of diesel fuel to meet new air emission requirements. Under the new regula-tions, ships traveling within 200 miles of the U.S. and Canadian shore must reduce their engine sulfur emissions to improve air quality.

Switching from diesel to LNG reduces greenhouse gas emissions by up to 30 percent and eliminates visible particulate emissions, according to PSE. LNG’s environmental benefits have made it an increasingly popular fuel option for

the transportation sector, including both maritime shippers and long-haul trucking fleets.

Once completed, the PSE facility will provide enough LNG production and storage capacity to replace approximately 47 million gallons of diesel fuel a year.

PSE is working with the community, local government and permitting agencies during the feasibility period to reduce construction impacts and ensure the facility meets or exceeds all safety and environmental requirements.

Construction is anticipated to begin with site preparation in 2015 and expected to be completed by the end of 2018.

Find more information about the project at TacomaCleanLNG.com.

CLEANER FUEL OPTIONPuget Sound Energy’s proposed LNG facility will serve consumers, transportation companies

This digital rendering shows Puget Sound Energy’s proposed liquefied

natural gas facility on a 33-acre site on the Hylebos Waterway. Totem

Ocean Trailer Express will be a primary customer.

Meet Port of Tacoma staff at upcoming events.

Jan. 14 – 15Washington State Hay Growers AssociationAnnual Expo and Trade ShowKennewick, Washington

Jan. 27Agriculture Transportation Coalition WorkshopPortland, Oregon

Feb. 22 – 25 Retail Supply Chain Conference 2015Retail Industry Leaders AssociationOrlando, Florida

March 1 – 4Trans-Pacific Maritime ConferenceJournal of Commerce Long Beach, California

March 25Port of Tacoma Annual BreakfastTacoma, Washington

CALENDAR

March 31Coalition of New England Companies for Trade (CONECT)Annual Northeast Trade and Transportation ConferenceNewport, Rhode Island

April 20 – 21 American Association of Port Authorities Spring ConferenceWashington, D.C.

April 22 – 24 Northeast Association of Rail ShippersSpring ConferenceNewport, Rhode Island

May 13Tacoma Propeller ClubMaritime Day LunchTacoma, Washington

May 13 – 15 Washington Public Ports AssociationSpring MeetingSpokane, Washington

May 15 Tacoma Propeller ClubChowdownTacoma, Washington

May 21Transportation Club of TacomaSpring Open Charity Golf ClassicAuburn, Washington

June 24 – 26 Agriculture Transportation Coalition Annual MeetingSan Francisco, California


P.O. Box 1837Tacoma, WA 98401

ADDRESS SERVICE REQUESTED

SalesSue Coffey P.O. Box 111 Summit, NJ 07902 Tel: 253-592-6241Mobile: 201-486-8557 Email: [email protected]

Intermodal businessMike Reilly Tel: 253-383-9418 Mobile: 253-405-2368 Email: [email protected]

Pacific Gateway is printed on recycled paper

PRESORTEDSTANDARD

U.S. POSTAGE PAID

TACOMA WAPERMIT NO 543

Please include mailing label with request

Port of Tacoma | Winter 2015

PORT OF TACOMA COMMERCIAL CONTACTS

Container businessTom Bellerud Tel: 253-383-9405Mobile: 253-226-8011 Email: [email protected]

Real estate businessScott Francis Tel: 253-383-9407 Mobile: 253-245-8688 Email: [email protected]

Non-container businessLarry St. Clair Tel: 253-592-6791Mobile: 253-592-6791 Email: [email protected]

Pacific Gateway: Winter 2015

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Transcript of Pacific Gateway: Winter 2015