Ports of San Francisco and Oakland Invest in Cargo Infrastructure

Two recent developments point to continued investment in cargo operations at ports in the Bay.

By Patrick Burnson

Published: June, 2016

Two recent developments point to continued investment in cargo operations at ports in the Bay.

The San Francisco Port Commission approved a 15-year agreement with Pasha Automotive Services (PAS), a subsidiary of the Pasha Group, for management of Pier 80, the port’s cargo terminal in the southern waterfront. The new agreement with PAS promises to transform Pier 80 from an underused asset into a thriving marine terminal, creating new revenue for the port and significant economic and employment benefits for San Francisco.

For the past year, the port has been in dialogue with PAS about shifting the marketing focus at Pier 80 primarily to automobile imports and exports. The Pasha Group, headquartered in San Rafael, is a multi-faceted transportation company with shipping services from the U.S. West Coast and Hawaii. PAS currently operates automobile marine terminals in San Diego and Grays Harbor, WA.

The port’s marine terminal management agreement with PAS will allow the import and export of vehicles by ship at Pier 80, with on-terminal automobile preparation and detailing services. Vehicles would be transported by truck from Pier 80 to Northern California dealerships. It is anticipated that Pier 80 could receive approximately 96 ships per year, shipping approximately 150,000 vehicles. PAS could also manage any project, breakbulk cargo or vessel lay berthing.

Other West Coast ports involved in international automobile logistics are near capacity and Pier 80 is currently an underused facility that can be transformed into a significant economic engine for the southeast portion of San Francisco. Pier 80, San Francisco’s primary general cargo terminal, consists of approximately 60 acres of cargo laydown space, two warehouses and four deep water berths. In addition to serving as a cargo terminal, Pier 80 provides the City a vital facility for emergency preparedness and resiliency in the event of a natural disaster.

It is anticipated that new autos will be imported and exported to Asia and Europe as well as the growing Mexican auto manufacturing industry. By 2020, Mexico is anticipated to build one in four vehicles driven in North America. Many autos manufactured in Mexico are shipped to the United States via rail, but short-sea shipping from Mexico to U.S. ports is a growing transportation mode.

The Pier 80 terminal will employ approximately 50 longshoremen during vessel operations. The port and PAS have collaborated with the Office of Economic and Workforce Development (OEWD) to ensure that auto processing job opportunities will be focused on San Francisco residents in the nearby neighborhoods.

As automobile processing reaches capacity, it is anticipated that 150 new employees will be hired and trained. These jobs, which can be filled by workers with various skill levels, will enhance economic opportunities particularly in San Francisco’s southern neighborhoods. To this end PAS has entered into an agreement with CityBuild, an employment program under the Workforce Development Division of OEWD. CityBuild will work with PAS in providing screened and qualified workforce comprised of skilled San Francisco residents for all phases of work at the Pier 80 operation, with a priority for residents in District 10.

The port has worked in concert with San Francisco, Bayview-Hunters Point communities, including the port’s own Southern Waterfront and Maritime Commerce Advisory Committees, to maintain a strong base for maritime and industrial uses in southeast San Francisco. The port estimated that an initial throughput of 115,000 autos would yield about 406 total jobs and $3.9 million in annual tax payments to state and local governments. The port is balancing its financial risk with the rewards of an active marine terminal creating new port revenue and economic benefits to the community.

Port of Oakland Phone App Goes Live

A groundbreaking mobile phone app developed for the Port of Oakland to aid harbor truckers is now live. According to port spokesmen, its DrayQ feature is available at the Apple and Google app stores with no charge. The app tells drivers how long they’ll wait to enter marine terminal gates and how long transactions are taking.

“There’s no more guesswork for truckers picking up or delivering cargo in Oakland,” said Port of Oakland Maritime Director John Driscoll. “Now they can plan their days with real-time information.” The port said DrayQ will display how long it takes to enter terminal gates. It will also calculate how long drivers must wait to complete transactions. The times will appear on mobile phone screens much like freeway drive-time signboards.

The port said its new technology could fundamentally change seaport operations in two ways:

For the first time, truckers and dispatchers will have a precise measure of how long a terminal transaction takes. If it’s too long, drivers can plan around slow periods.

Cargo owners and terminal operators will now have accurate data to determine if containerized shipments are being efficiently processed. If they’re not, the data can help pinpoint where operational changes are needed.

DrayQ was developed for the port by Reston, Va.-based Leidos. It relies on Bluetooth, GPS and WiFi technology to measure truckers’ progress through the port. Automated DrayQ readers anonymously track every truck in the port whose driver carries a cell phone. Leidos officials have been at port terminals in recent weeks introducing harbor truckers to the app. They said their goal is to have 3,000 drivers download the app by the end of June.

Patrick Burnson is the past president and current board member of the Pacific Transportation Association, based in San Francisco. www.pacifictrans.org