MINUTES Ports of Massachusetts Strategic Plan Cruiseport Boston/Black Falcon Terminal

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MINUTES

MASSACHUSETTS PORTS COMPACT MEETING #5

SUBJECT: Ports of Massachusetts Strategic Plan

LOCATION:

DATE/TIME:

Cruiseport Boston/Black Falcon Terminal

November 18, 2013, 3:00 – 4:30 PM

COMPACT MEMBERS: Secretary Richard Davey, MassDOT

Mayor Kimberley Driscoll, City of Salem

Thomas Glynn, Massport CEO

Josh Katz, Representing State Representative Straus

Mayor Carolyn Kirk, City of Gloucester

State Senator Thomas McGee

Rich McGuinness, City of Boston

David Mohler, MassDOT

Jeffrey Stieb, Representing New Bedford Mayor Jonathan

Mitchell

OTHER ATTENDEES: Melissa Abbott, Cruiseport Gloucester

Ellen Cebula, Seaport Advisory Council

John Crowther, New Bedford

Michael Driscoll, DCR Waterways

Louis Elisa, Seaport Advisory Council

Scott Farmelant, Boston/Mills PR

Sarah Garcia, City of Salem

Valerie Gingrich, CZM

Deb Hadden, Massport

Mike Leone, HNTB

Kevin Mooney, DCR Waterways

Ed Washburn, Port of New Bedford

Kathy Winn, City of Salem

PROJECT TEAM: Matthew Ciborowski, MassDOT Project Manager

Jay Duncan, AECOM Project Manager

Andrew Cairns, AECOM

Alden Raine, AECOM

Leading the Nation in Transportation Excellence

Ten Park Plaza, Suite 4160, Boston, MA 02116

Tel: 857-368-4636, TDD: 617-973-7306 www.mass.gov/massdot

Frank Mahady, FXM

David Vine, GZA

Jack Wiggin, UMass Boston Urban Harbors Institute

Kate Barrett, Regina Villa Associates

Kerri Chace, Regina Villa Associates

PURPOSE/SUBJECT: Summarize activities since last meeting, summarize Plan draft recommendations, discuss next steps and obtain public input.

Introductions

Massachusetts Ports Compact Chairman and MassDOT Secretary Richard Davey opened the meeting at 3:00 PM, welcomed Compact members and the public and asked attendees to introduce themselves. Secretary Davey thanked Massport for hosting the meeting and invited Thomas Glynn, Massport CEO, to speak. Mr. Glynn welcomed the attendees to the Black Falcon Cruise Terminal and said he is pleased with the quality of the Ports of Massachusetts Strategic Plan. Mr. Glynn said Massport is committed to the maritime mission, and cruising and fishing are two large industries in the Boston port.

The cruise terminal operates from May 1 through November 1 and boarded 382,000 passengers last year, a record number. Mr. Glynn reported seafood shipping is abundant at the port and product is generally shipped within four hours of arrival (via truck if within New England, otherwise delivered to Logan for secondary destination).

North Coast has a facility at Dry Dock that processes 100,000 pounds of fish per day.

Lastly, Mr. Glynn said Fish Pier and the World Trade Center are approaching their 100 th anniversary. Massport’s goal is to preserve the attributes and historical aspects while complementing the modern aspects for a thriving port.

Presentation

Matthew Ciborowski, MassDOT’s project manager for the Ports Strategic Plan, welcomed the Compact members and public and said this is the last meeting for this phase of the project, which has been underway for 8 to 9 months. The meeting agenda included introductions, meeting purpose, plan status/schedule, draft recommendations, next steps and public input. Mr. Ciborowski said the majority of today’s meeting would focus on the port recommendations, which are summarized on the matrix handout. Since the last meeting in September in Fall River, the recommendations have been drafted and Technical Memoranda 4 (Analysis) and 6 (Finance) have been completed and are posted on the website. These reports were revised to reflect comments received at the last meeting and in writing. Over the past month, the project team has met with legislative staff, agency staff and representatives of each port community to discuss the recommendations and gather input. Feedback from each meeting has been incorporated into the recommendations whenever possible.

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Mr. Ciborowski reviewed the next steps for the Ports Strategic Plan. The last currently scheduled Compact meeting is today. There will be three public meetings to present the recommendations and gather feedback from the public – in Boston tonight (November

18), in Gloucester on Wednesday, November 20 (for the Gloucester and Salem ports) and in New Bedford on Monday, November 25 (for the New Bedford and Fall River ports). All comments are due on December 2, and can be submitted at the meeting or via postal mail, email, fax or phone. The team will incorporate the comments and submit the final Ports Strategic Plan for Compact approval by the end of December. Mr.

Ciborowski noted that the scoring of recommendations will be completed in December and the rankings will give the Compact a sense of the level of importance for each.

Recommendations

Mr. Ciborowski said the recommendations are broken into six categories, one for compact-wide and one for each of the major Massachusetts ports (Boston, Fall River,

Gloucester, New Bedford and Salem). The recommendations presented tonight have been developed with input from meetings, interviews and Compact discussions; research of best practices nation and worldwide; the knowledge and expertise of the team; and administration policy initiatives. The process included members of the communities, businesses, leadership from the state and local level and agencies. Mr.

Ciborowski noted that the application of evaluation criteria is still to come, and will be completed within the next few weeks.

Jeffrey Stieb, Port of New Bedford, asked how the ranking and scoring would be evaluated and if it would include economic benefit and mobility. Secretary Davey said the evaluation criteria would function similar to the criteria for identifying transportation planning projects, although not all criteria will be applicable to maritime projects.

Secretary Davey said economic benefit and mobility will be part of the criteria, and his hope is to develop criteria that the Compact agrees on, which will also include job creation, state of repair and greenhouse gas. Specific objectives would then be prioritized using the criteria. State Senator Thomas McGee said critical port improvements, such as dredging, will have an impact on economic benefit. The evaluation criteria model will show how the impact of return on investment will be analyzed. Secretary Davey agreed, adding that dredging projects should be analyzed.

Compact-Wide Recommendations

Mr. Ciborowski said these are a general set of recommendations applicable to each port.

The compact-wide recommendations include: creating a comprehensive maritime organization to better house recreational, passenger and transport activities under one entity (to include a mission statement and organized council). The project team envisions the entity would be Cabinet level. Currently, activities of the Ports Compact,

Ferry Compact and Seacoast Advisory Council are not coordinated. Other

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recommendations are to transition jurisdiction state piers and funding; retain the

Designated Port Areas (DPAs) and advance discussion on future collaboration, flexibility and how ports ought to coordinate; and a continued need for focus on groundfish recovery, comprehensive dredging assessment, new maritime funding sources, cruise marketing and commercial excursion and passenger transport. Mr. Ciborowski elaborated on the ports issues that need more focus, saying groundfish recovery is a key issue for the Commonwealth; all of the ports need dredging work and this effort requires a comprehensive approach; funding sources change over time which requires constant monitoring of what is available; and cruise marketing is not well addressed at the state level so there is unfulfilled potential.

Louis Elisa, Seaport Advisory Council, asked who would Chair the comprehensive maritime organization. Secretary Davey said it would be a coordinated approach, and include the interests of CZM, officers, regulators and operators of the ports. Gloucester

Mayor Carolyn Kirk expressed her concern with bureaucracy, including the Seaport

Advisory Council. Mayor Kirk suggested an “eyes wide open” approach and being mindful of all port interests, including fishing, ferry and seafood processing. The new bureaucracy must be nimble. The scale of projects in each port may vary and it may not be good to package them together due to different economic interests. Secretary Davey said the Ports Compact recognizes that each port has specific interests and the goal is to set priorities for the legislature via the Seaport Bond Bill next year and centralize and unify the interests to foster economic development. Although there are several organizations involved, there are common overarching goals that should be incorporated in a state strategy.

Salem Mayor Kimberley Driscoll said she recognizes this effort as an opportunity to represent maritime interests, including treating maritime activity as a genuine interest and an alternative to land-based transportation and other programs. A Cabinet level organization will help elevate the interests and community and port leaders should have a robust seat at the table. Secretary Davey agreed that water uses and their potential aren’t always prioritized in community, transportation and DCR capital planning. The

Cabinet level entity would provide one stop shopping for ports. An action item is to identify a draft structure in collaboration with Senator McGee and Representative Straus and envision how it fits in the overall government structure. Senator McGee said evaluating potential future uses and linking that to planning is essential to the success.

Business development and access by water are connected in many communities such as New Bedford, Fall River, Lynn and Quincy. This is a good proposal that can generate other ideas. Secretary Davey agreed noting unifying challenges that require a common strategy for investments that protect airports, ports and other infrastructure. Senator

McGee suggested looking at Hamburg, Germany as an example. Mayor Driscoll said the

Secretary is positioned to help and a Metropolitan Planning Organization model for coastal communities might be useful. Secretary Davey said MassDOT will do more work

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on this recommendation. Mr. Ciborowski said staff will look at the different interests and scales and draft a proposal of how to accomplish structure.

Mr. Ciborowski noted that transitioning jurisdictions includes the incorporation of state piers into MassDOT from DCR Waterways, as well as funding sources.

There was discussion about dredging and agreement that it is a shared challenge that requires a common strategy. Mr. Ciborowski said dredging is a state-wide issue and should not be solely focused on specific ports. The maritime council would focus on the needs of the five major ports to minimize costs and maximize the ability to dispose of dredge materials. Funding sources will change. Secretary Davey said investments to protect air quality, fishing, and other resources while dredging should be addressed.

Mayor Driscoll said there are several coastal Massachusetts cities and town that would benefit from dredging projects. Dredging is similar to brownfields where the need should be assessed and evaluated based on criteria, which is missing from the federal policies.

There should be more federal funding because the benefits reach far beyond the port community. Mr. Ciborowski said the topic needs further detailed consideration, but at the very least the need for dredging across the Massachusetts coast should be evaluated.

Mr. Ciborowski said having a database/inventory of dredging information and needs would be helpful for planning and funding projects. Dredging should be managed like

MassDOT’s roadways and bridges where the level of need is identified first and then a schedule or frequency and cost is assigned. The information can be provided to the legislature for funding decisions.

The group discussed the DPA role and private investments. Mayor Kirk said private investment should be incorporated into robust and relevant DPA policies. With more flexibility for private investments within the DPA, private funding could help unlock economic vitality but there is no business model. Mayor Kirk said Ken Fiola of Fall River would probably agree that opening more parcels to private development opportunities is beneficial. Harbor plans help identify how finite space can be used, and DPAs coupled with Chapter 91 can be constraining. Mr. Ciborowski said the DPAs would be retained for regulating and protecting the waterfront, but greater flexibility can accommodate what residents want to see on their town or city waterfront. The project team is coordinating with CZM on this issue. Secretary Davey said it is a balancing act, and these protections need to be in place but perhaps with more contemporary policies and incorporating more area in the DPAs. Secretary Davey said he and Governor Deval Patrick are interested in private/public investments and the elected officials on the Compact could help develop tangible recommendations for seeking these investments.

Mr. Elisa asked how the recommendations in the Ports Strategic Plan affect Massport as an entity and other port locations adjacent to it, such as Chelsea and the agency’s

Medford Street property in Charlestown. Secretary Davey said Mr. Glynn and his team

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think strategically about investments at surrounding ports. An example of this is dredging in Chelsea Creek, which has state-wide benefits.

Mr. Ciborowksi reviewed the recommendations for each port.

Boston

The report recommends supporting the Boston Harbor Deep Draft Navigation Project, which is the single most important project to maintain the port’s national competiveness.

It recommends improving landside access and the ability to get cargo on and off ships.

Truck and rail access should be preserved for port operations and moving goods. This effort includes the Conley/Coastal Oil/Dedicated Freight Corridor for quick port to highway travel avoiding residential neighborhoods, Track 61 improvements and maintenance and improvements to existing truck networks. The report also recommends improving the Boston Marine Industrial Park (BMIP) maritime assets, including necessary improvements at Dry Dock 4 and the south and east jetties. Lastly, the Ports

Strategic Plan supports the Massport Strategic Plan with a particular focus to the

Medford Street properties (in the Charlestown area), Cruiseport Boston/Black Falcon terminal and the future of Fish Pier.

Mr. Elisa asked whether the reference to “Mass port” meant Massport the entity or communities within Massachusetts with a port. If it’s the ports of Massachusetts, it would include several other communities such as Quincy and Hingham. Mr. Ciborowski said the two designations should be distinguished when using the terminology. It’s a concept that needs to be carefully considered to fold Massport into the structure. Secretary

Davey said the Ports Strategic Plan specifically focuses on five ports and MassDOT’s recommendations to leverage the unique potential at each port, but the effect is statewide on a strategic level. It’s a broader perspective for the future. Secretary Davey said that Massport is working with the other communities and is not acting unilaterally.

Mr. Glynn added that Massport doesn’t receive funding for work in other communities, but noted that Massport’s Strategic Plan and the Compact are good parallel processes.

Rich McGuinness, City of Boston, added that private DPAs such as Charlestown and

East Boston don’t have the opportunity to get funding.

Fall River

Fall River faces several central waterfront issues that could improve access to attractions and the waterfront and transportation, if addressed. The issues could be resolved by several measures, some of which are in progress. They include the ferry to

Newport and Block Island, State and City Pier improvements, Route 79 boulevard redesign, central waterfront/downtown connections and the “spaghetti ramps” project (I-

195/R-79), and South Coast Rail (with a proposed waterfront station that would increase waterfront activity). Lastly, the Plan recommends long-term industrial reuse at Weaver’s

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Cove and Brayton Point, which are distant from residential neighborhoods and the downtown area.

Mr. Elisa asked if the State Pier would see increased international shipping, noting the port currently has routes connecting to Cape Verde and the Azores. He added that there are three rail lines into the port, so it can take on more shipping. Mr. Ciborowski said the hope is for increased activity, but the report will not recommend how the pier is used specifically.

Gloucester

The Ports Strategic Plan describes a series of business strategies applicable to the

Gloucester port. These strategies include supporting the new maritime economy (NME) by using the waterfront to accomplish the City’s “maritime economy” goals; redeveloping

I4-C2 parcel as an NME anchor; inner harbor private property improvements and potentially using programmed money to incentivize private interests to realize waterfront goals; and increasing recreational vessel dockage. The Plan supports two necessary dredging projects at Inner Harbor and the Annisquam River, which is often used as a cut-through for vessels traveling to Cape Cod.

Mayor Kirk said governance and the transition from the Seaport Advisory Council, how projects are funded and which projects are in the queue should be carefully considered.

She said the new maritime economy is all about the use table and leveraging private assets, such as Cruiseport Gloucester. It’s not just about relief from the DPA, but also about investing to advance goals. Mayor Kirk said the City will submit formal comments in writing.

New Bedford

The Ports Strategic Plan identifies locations in New Bedford that require infrastructure improvements in order to unlock underutilized land. They include State Pier improvements rather than just responding to issues with emergency repairs; Route 6 bridge replacement, a barrier to the northern harbor and currently under review with the

Southeastern MPO; offshore wind business development; inner harbor maintenance dredging; and the South Terminal rail connection from South Coast Rail. The report also recommends fishing fleet berthing expansion; an excursion/public access hub at

Fisherman’s Wharf; a recreational vessel dockage study (as a long-term improvement); and South Coast Rail to bring activity to the waterfront.

Mr. Stieb presented comments on behalf of Mayor Jonathan Mitchell who could not attend the meeting. Mayor Mitchell is pleased with the recommendations of “The Way

Forward” and he is specifically interested in maritime sector job creation, maintaining channels and keeping deep draft and small port processes separate, using public investment to leverage private investments since there is currently no reliable and

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systematic source of funding (for example Massport leveraging revenues from Logan

Airport). New Bedford is the number one fishing port and number two cargo port in the state; New Bedford wants to grow private business but it doesn’t know if the State Pier can support the increased activity. The transition to MassDOT should happen quickly because private investment is on hold until businesses can be certain the port can accommodate them. Ports should not compete but rather collaborate to realize individual goals. New Bedford would like a Cabinet level organization with committed maritime staff and a dedicated port advisory council to identify funding sources and pursue the state’s port recommendations, perhaps phasing them in. Lastly, identifying the roles of

MassDOT, DCR and other state agencies and how they can help fund port initiatives is important. The ports need predictability, professionalism and sustained execution.

Secretary Davey said the state is committed to working together with the ports. Mayor

Kirk suggested Mayor Mitchell submit written comments elaborating on the need for state commitment and funding, and a governance solution.

Secretary Davey said a reality is that there is limited funding at the state level because ports are competing with Chapter 90, education, local aid and other areas that also require improvements and funding. A collective effort to push for maritime resources at the legislative level will increase the funding opportunities. Mr. Stieb said a professional staff may be better able to identify projects for private development than a committee.

Mayor Driscoll questioned whether enough work has been done proving the return on maritime investments. People often don’t realize the benefits of investing in port projects, unless told, because they aren’t as visible as other types of investments. Deb Hadden of

Massport said the agency is working on an economic development assessment that could be used as a tool for identifying useful investments and that the money is worth spending.

Mr. Elisa said the Seaport Advisory Council does cost-benefit analyses, but they are not publicized. The Council can do more of this if the ports would like. Secretary Davey said the maritime industry and agencies can do a better job of articulating what investments mean to the economy.

Salem

The recommendations for the Salem port focus on harbor infrastructure and redevelopment at the Power Station. The Ports Strategic Plan recommends completing the Salem Wharf project, which is currently undergoing redevelopment at the Power

Station and will improve access to and from Salem once completed. The South River

Basin, a popular recreation area, requires dredging and is currently only at six feet in depth in some locations. Integrating the Harborwalk and Derby Street will play a key role in reconnecting historic Salem with its waterfront. Another harbor infrastructure recommendation is improvements at the Hawthorne Cove commercial fishing dockage.

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The Power Station redevelopment recommendations are to continue the redevelopment efforts of the Power Station DPA and evaluate the need for Derby/Webb Streets access improvements.

Mayor Driscoll said she appreciates the Ports Strategic Plan effort and this summary generally captures the City’s projects of interest and vision for the port. The Salem Ferry carries approximately 75,000 passengers yearly and the ability to pay the fare using

MBTA passes has been an extremely useful alternative to trains. Mayor Driscoll said more interaction is needed with the industry to understand the models; for instance, the ferry to Provincetown. The industry should be involved in review of the Ports Strategic

Plan.

Next Steps

Mr. Ciborowski said the next steps are to complete the public meetings over the next week (Boston on November 18, Gloucester on November 20 and New Bedford on

November 25), receive comments by December 2 (to incorporate into the report) and develop the final Ports Strategic Plan throughout December. Mr. Ciborowski shared his contact information to access project information or submit comments.

Public Comment/Input

Mr. Ciborowski invited the Compact members to comment, followed by members of the public. Mr. Ciborowski said that comments would also be accepted after this meeting until December 2.

Kevin Mooney of DCR Waterways said a dredging needs assessment was conducted in

1991 that reported for every dollar spent on dredging there was a direct return on investment of $1.78, and an indirect return of $38. DCR is launching a new comprehensive study with the US Army Corps of Engineers to update the 1991 report, which should be completed within one year. The effort will include economic development and will provide a better understanding of dredging needs.

Mayor Driscoll asked what other states are doing to market cruises, including Canada and Maine. Mr. Ciborowski said locations with a successful cruise industry have a broad and well devised marketing strategy and a market that is being appropriately leveraged.

He said smaller ships that are not viable for a Boston port call could go to one of the other Massachusetts ports. Mr. Ciborowski said the Massachusetts Office of Travel and

Tourism needs to play a role in this effort, perhaps with an initiative similar to its Historic

Ports Initiative. Secretary Davey said a collaborative approach is essential and the project team will reach out to Betsy Wall, the agency’s Executive Director.

There were no further comments, and Secretary Davey thanked the participants and closed the meeting at 4:30 PM.

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