The US government plans to provide its maritime gateways with federal funds to support port infrastructure developments and risk management strategies. At the same time, the government is proposing legislative reforms that could increase control over the ports. While port authorities welcome the funding, they are sceptical when it comes to the new reforms.

Under the US Port Infrastructure Development Plan, ports will have access to nearly $700 million in new funding annually through 2026, reported the Journal of Commerce (JOC). Additionally, an annual budget of $2 billion will be added to the US Army Corps of Engineers’ (USACE) budget for works related to the dredging of shipping channels.

“These funds will make ports stronger, more resilient, and more efficient,” said Chris Connor, president of the American Association of Port Authorities (AAPA), at a conference. Maritime experts anticipate volumes moving through US main ports to multiply in the coming years, and funding is needed to enhance the ports’ capacities to handle increased volumes.

At the same time, the government wants to update the Ocean Shipping Reform Act of 2022 (OSRA-22), which is expected to hurdle the work of port operators, especially since they are still struggling with the original act. The main concern lies in “adding more changes and regulations to the complicated business of ocean shipping before the original bill passed last year is fully implemented,” says Connor.

The updated OSRA suggests adding a new oversight committee with terminal operators as members. The committee would be tasked with reporting competitiveness and freight flow efficiency issues at ports to the Federal Maritime Commission (FMC), reports JOC. In addition, the update requires marine terminals “to submit data about street dwell times for containers and chassis,” and it gives the FMC the right to publicise penalties imposed on ports.