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<< Back E-mail Update – February 7, 2005 – Volume 5, Number 3 $15 Million Recommended In President’s Budget Proposal: Today, President Bush announced that he is including $15 Million for the Columbia River Channel Improvement Project in his fiscal year 2006 budget request, marking the first budget request to recommend funds for deepening the channel from 40 to 43 feet. Columbia River Channel Coalition members recognized the announcement as an important step forward for the project and noted the project’s strong support in Congress, which will consider the President’s budget request in the appropriations process for FY 2006. The Coalition is requesting $40 million for the project in the FY 2006 Energy and Water Appropriations bill, which will enable the U.S. Army Corps of Engineers to most efficiently deepen the navigation channel. By appropriating $40 million in FY 2006 and $40 million more in FY 2007, the construction costs would be minimized and transportation cost-savings would be fully delivered to Northwest farmers and businesses by the end of 2007. All four governors, all eight U.S. Senators, and U.S. House Members from Oregon, Washington, Idaho, and Montana support this request. “Money in the President’s budget is good news, and $15 million is a good first step” said Ken O’Hollaren, executive director of the Port of Longview and president of the Columbia River Channel Coalition. “We’ll be working hard in a very tight budget environment for a larger appropriation. Support remains incredibly strong in Congress, including every member of the Northwest Congressional delegation.” “The funds that Congress and the President have already approved will enable us to begin constructing channel improvements this year,” said Bill Wyatt, executive director of the Port of Portland. “We look forward to working with our Congressional delegation to secure a strong appropriation for FY 2006 so the project may move forward on the most cost-efficient and economically beneficial schedule.” “The competitiveness of Northwest wheat farmers has been slipping away as deep-draft ships must leave behind thousands of tons of cargo every week at Columbia River ports,” said Brad Anderson, president of the Oregon Wheat Growers League, who farms in Arlington. “We need strong funding for channel deepening in 2006 so wheat growers and other farmers can effectively transport our crops to world markets.” “The International Longshore and Warehouse Union and other workers across our region are excited that channel deepening will begin this year,” said Jeff Smith, president of the ILWU Columbia River District Council. “Columbia River commerce provides 40,000 good jobs averaging $46,000 per year, which is so important in our high unemployment region.” “On behalf of the more than 1,000 local businesses that rely on the Columbia River for cost-effective shipping each year, we commend the inclusion of this funding in the President’s budget,” said John McKibbin, President and CEO of the Greater Vancouver Chamber of Commerce. “The Columbia River handles 30 million tons of cargo worth $15 billion each year. We need a 43-foot-deep channel to fully load this cargo and ensure that local businesses will thrive in the years to come.” The Columbia River Channel Improvement Project was authorized by Congress in 1999 and will cost $150.5 million (adjusted for inflation) to construct. Non-federal sources must fund approximately 35 percent of total project costs, with the federal government paying the remaining 65 percent. The states of Oregon and Washington each appropriated $27.7 million to fully fund their share. Congress has appropriated a total of $19 million for the project: $4.5 million for FY 2001; $2 million for FY 2003; $3.5 million for FY 2004; and $9 million for FY 2005. When President Bush visited the Columbia River in August 2004, he committed to funding the project through completion and amended his already-presented FY 2005 budget to include $15 million. By that time, however, the U.S. House of Representatives had already passed a FY 2005 energy and water appropriations bill with $3 million for the project. The U.S. Senate did support the full $15 million for the project, and the final House-Senate compromise for FY 2005 was $9 million. This summer, appropriated federal and state funds will enable approximately 15 miles in the lower Columbia River navigation channel and 10 miles in the upper river near Portland/Vancouver to be dredged to the new depth of 43-feet, pending anticipated successful resolution of litigation in the spring. Channel improvements will occur at the same time as annual maintenance dredging continues on the existing 40-foot channel. Take Action! Please contact your United States Senators and Congressmen to ask for the full $40 million. Let them know how important this project is to you! You can reach them by calling (202) 224-3121 or on the web at www.senate.gov and www.house.gov. Did You Know? According to the 2004 Marine Cargo Forecast for the state of Washington, which trade over the next 20 years was examined, the total volume of waterborne trade is expected to increase to 125 million tons from 75 million tons today. In addition, lower Columbia River grain exports are expected to nearly double from 8.5 million tons today to 15.1 million tons, pending deepening of the navigation channel. Please contact us with any questions, concerns, or information requests. Thanks for your partnership in building a stronger economy through maritime trade. Dave Hunt, Executive Director Theeme Holznagel, Office Manager Columbia River Channel Coalition (503) 285-6343 (voice), (503) 285-6350 (fax) CRCC@ChannelCoalition.com (e-mail)
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