Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee...

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US Army Corps of Engineers BUILDING STRONG ® Great Lakes Navigation Update February 2015

Transcript of Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee...

Page 1: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

US Army Corps of Engineers BUILDING STRONG®

Great Lakes Navigation Update

February 2015

Page 2: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Ogdensburg

Lake Superior

MI

MI

NY

PA

IL

WI

IN

CANADA

OH

Morristown

Cape Vincent

Sackets Harbor

Port Ontario

Oswego

Bolles Harbor

Monroe

Rouge River Detroit River

Clinton River Belle River

Pine River

Lake St. Clair

St. Clair River

Black River

Lexington

Port Austin

Harbor Beach

Port Sanilac Saginaw

Point Lookout

Tawas Bay

Au Sable Harbor

Harrisville

Alpena

Hammond Bay

Cheboygan

Inland Route

Mackinac City Mackinac Island

St. James

Petoskey

Charlevoix

Channels in Straits of Mackinac

Grays Reef

Leland

Greilickville Frankfort

Arcadia

Portage Lake

Manistee

Ludington

Pentwater

White Lake

Muskegon

Saugatuck

Grand River

Holland

Grand Haven

South Haven

St. Joseph

St. Joseph River

New Buffalo

Michigan City

Chicago Harbor

Waukegan

Kenosha

Milwaukee

Port Washington

Sheboygan

Manitowoc

Washington Island

Green Bay

Big Suamico

Kewaunee

Algoma

Sturgeon Bay

Two Rivers

Pensaukee

Oconto

Menominee Cedar River

Little Bay de noc

Manistique Detour

Les Cheneaux Island

Soo Locks

St. Marys River

Whitefish Point Harbor Little Lake

Grand Marais Presque Isle

Marquette

Big Bay

Grand Traverse Bay

Lac La Belle Eagle Harbor

Keweenaw Waterway

Chippewa Harbor

Grand Marais

Silver Bay

Two Harbors

Knife River

Duluth-Superior Bayfield

La Pointe

Port Wing

Commercial

Recreational

Federal Projects on the Great Lakes

A non-linear navigation system with 60 federal commercial projects and 80 federal shallow draft/recreational projects

Taconite

Niagara River

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Page 3: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG® 3

• Congress passed the FY15 Consolidated and Furthering

Continuing Appropriations Act; enacted Dec 16, 2014.

• The FY15 Appropriations bill included FY15 President’s Budget with some adjustments, plus additional O&M funds for ongoing work – to be allocated by USACE HQ

Additional Funding for Ongoing Work - Navigation Maintenance $45M

- Deep-draft harbor and channel $165M - Small, remote, or subsistence nav $42.5M

FY15 Corps Funding Status

Page 4: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG® 4

$6.0M Dredging - Rouge River, MI - Burns Harbor, IN - Sturgeon Bay, WI - St. Joseph Harbor, MI - Holland Harbor, MI - Waukegan Harbor, IL

$3.3M Soo Asset Renewal $0.59M Chicago Lock Electrical Repair $2.122M Fox Locks Transfer Payment $1.2M Calumet Harbor dredged material management and shoreline protection

FY15 Projects Funded from Additional Funds for Ongoing Work

Page 5: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG® 5

$115.7M Great Lakes Navigation Operations & Maintenance Key Items $46.2M in Dredging (21 projects – 3.1M cubic yards) $10.3M in Dredged Material Management $8.65M in Soo Asset Renewal $3.1M Emergency Funding – Oct 31, 2014 Storm Dredging – Muskegon, MI Pier Repair – Grand Haven, MI Total FY15 Program $118.8M

FY 15 Great Lakes Navigation Program

Page 6: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG® 6

Ogdensburg

Lake Superior

MI

MI

NY

PA

IL

WI

IN

CANADA

OH

Morristown

Cape Vincent

Sackets Harbor

Port Ontario

Oswego

Bolles Harbor

Monroe

Rouge River Detroit River

Clinton River Belle River

Pine River

Lake St. Clair

St. Clair River Black River

Lexington

Port Austin

Harbor Beach

Port Sanilac

Saginaw

Point Lookout

Tawas Bay

Au Sable Harbor

Harrisville

Black River Harbor

Alpena

Hammond Bay

Cheboygan

Inland Route

Mackinac City Mackinac Island

St. James

Petoskey

Charlevoix

Channels in Straits of Mackinac

Grays Reef

Leland

Greilickville Frankfort

Arcadia

Portage Lake

Manistee

Ludington

Pentwater

White Lake

Muskegon

Saugatuck

Grand River

Holland

Grand Haven

South Haven

St. Joseph St. Joseph River

New Buffalo

Michigan City Chicago River

Chicago Harbor

Waukegan

Kenosha

Milwaukee

Port Washington

Sheboygan

Manitowoc

Washington Island

Green Bay

Big Suamico

Kewaunee

Algoma

Sturgeon Bay

Two Rivers

Pensaukee

Oconto

Menominee Cedar River

Little Bay de noc

Manistique Detour

Les Cheneaux Island

Soo Locks

St. Marys River

Whitefish Point Harbor Little Lake

Grand Marais Presque Isle

Marquette

Big Bay

Grand Traverse Bay

Lac La Belle Eagle Harbor

Keweenaw Waterway

Chippewa Harbor

Grand Marais

Two Harbors

Knife River

Duluth-Superior Bayfield

La Pointe Cornucopia

Port Wing

FY15 Dredging Funding and Dredging Requirements

Calumet

Commercial

Recreational

Silver Bay Taconite

FY15 Unbudgeted Dredging Need

FY15 Funded Dredging

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BUILDING STRONG® 7

$111.6M Great Lakes Navigation Operations & Maintenance Key Items $49M in Dredging (25 projects – 3.4M cubic yards) $8.4M in Dredged Material Management $3.7M in Soo Asset Renewal

FY 16 Great Lakes Navigation

Page 8: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG® 8

Ogdensburg

Lake Superior

MI

MI

NY

PA

IL

WI

IN

CANADA

OH

Morristown

Cape Vincent

Sackets Harbor

Port Ontario

Oswego

Bolles Harbor

Monroe

Rouge River Detroit River

Clinton River Belle River

Pine River

Lake St. Clair

St. Clair River Black River

Lexington

Port Austin

Harbor Beach

Port Sanilac

Saginaw

Point Lookout

Tawas Bay

Au Sable Harbor

Harrisville

Black River Harbor

Alpena

Hammond Bay

Cheboygan

Inland Route

Mackinac City Mackinac Island

St. James

Cross Village Petoskey

Charlevoix

Channels in Straits of Mackinac

Grays Reef

Leland

Greilickville Frankfort

Arcadia

Portage Lake

Manistee

Ludington

Pentwater

White Lake

Muskegon

Saugatuck

Grand River

Holland

Grand Haven

South Haven

St. Joseph St. Joseph River

New Buffalo

Michigan City Chicago River

Chicago Harbor

Waukegan

Kenosha

Milwaukee

Port Washington

Sheboygan

Manitowoc

Washington Island

Green Bay

Big Suamico

Kewaunee

Algoma

Sturgeon Bay

Two Rivers

Pensaukee

Oconto

Menominee Cedar River

Little Bay de noc

Gladstone

Manistique Detour

Les Cheneaux Island

Soo Locks

St. Marys River

Whitefish Point Harbor Little Lake

Grand Marais Presque Isle

Marquette

Big Bay

Grand Traverse Bay

Lac La Belle Eagle Harbor

Keweenaw Waterway

Chippewa Harbor

Grand Marais

Beaver Bay

Two Harbors

Knife River

Duluth-Superior Bayfield

La Pointe Cornucopia

Port Wing

FY16 President’s Budget Dredging Projects

Calumet

Commercial

Recreational

President’s Budget

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BUILDING STRONG® 9

0

4,000

8,000

12,000

16,000

20,000

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

1985 1990 1995 2000 2005 2010 2015

Cum

ulat

ive

Bac

klog

(1,

000

cu y

ds)

-Gre

en L

ine

Cub

ic Y

ards

Dre

dged

(x1

000)

-B

lue

Line

Annual Great Lakes Dedging 1986-2013 Average Annual Need Dredging Backlog

Backlog Growth Under Constrained Dredging Funding 2013-2020

Assume FY16-FY20 Ann. Dredging Equalto FY16PB Level of 3.3M CY

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BUILDING STRONG® 0.0

1.0

2.0

3.0

4.0

5.0

6.0

FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 Qua

ntity

Dre

dged

(mill

ions

of c

ubic

yar

ds)

Dredging Funding Trends 2007 – 2016

Appropriation - Add'l Funds for Ongoing Work

ARRA (Stimulus)

L. Superior Regional Provisions

Michigan Regional Provisions

Commercial Regional Provisions

Energy & Water Adds

President's Budget

3.3M Annual Reqm’t

Page 11: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG® 11

Current Dredged Material Management Conditions

Lake Superior

CANADA

WISCONSIN

OHIO

INDIANA ILLINIOS

PENNSYLVANIA

NEW YORK

MICHIGAN

MINNESOTA

Two Harbors

Duluth Superior

Ashland Ontonagon

Keweenaw Waterway

Presque Isle Marquette Grand

Marias St. Marys River Channel in Straits of Mackinac

Grays Reef Little Bay de Noc

Menominee

Green Bay Kewaunee

Port Washington

Milwaukee

Kenosha

Manitowoc

Sheboygan

Waukegan

Chicago River & Harbor

Calumet

St. Joseph Harbor

Holland

Grand Haven

Muskegon Harbor

Ludington

Manistee

Frankfort

Charlevoix

Cheboygan

Alpena

Saginaw Harbor Beach

Monroe

Channels in Lake St.

Clair

St. Clair River

Detroit River

Rouge River

Toledo

800K

100K – 250K

50K – 95K

<50K

ANNUAL DREDGING REQUIREMENT (CY)

DREDGED MATERIAL MANAGEMENT STATUS Critical – Dredged Material Management issues could severely restrict channel availability within 2 years Pressing – Dredged Material Management issues could severely restrict channel availability within 10 years. No pressing issues within next 10 years; continue to work on long range planning such as DMMPs.

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BUILDING STRONG® 12

Dredged Material Management Initiatives Initiatives underway to reduce requirements/increase efficiencies:

Leverage EPA funding from Legacy Act and GLRI (both dredging and dredged material management)

Work with states and local sponsors on finding beneficial uses of dredged material and reuse for CDF material

Work with states on acceptability of testing protocols for open lake placement

Page 13: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Harbor Structure Condition Assessments

Lake Superior

MI

MI

NY

PA

IL

WI

IN

CANADA

OH

Oswego

Detroit River

Harbor Beach

Alpena

Cheboygan

Charlevoix

Frankfort

Manistee

Ludington

Muskegon

Holland

Grand Haven

South Haven

St. Joseph

Michigan City

Indiana Harbor Chicago River

Chicago Harbor

Waukegan

Kenosha

Milwaukee

Port Washington

Sheboygan

Manitowoc

Kewaunee

Algoma

Sturgeon Bay

Menominee

Manistique Detour

Grand Marais

Presque Isle Marquette

Keweenaw

Waterway

Two Harbors Knife River

Duluth-Superior

Bolles Harbor

Au Sable

Hammond Bay

Harrisville

Lexington

Mackinac Island Mackinaw City

Point Lookout Port Austin

Port Sanilac

Tawas Bay Arcadia

Greilickville

Inland Route

Leland

New Buffalo

Pentwater

Petoskey

Portage Lake

Saugatuck

White Lake

Clinton River

Big Bay

Eagle Harbor

Grand Traverse Lac La Belle

Little Lake Whitefish Point

Grand Marais

Port Ontario

Cape Vincent

Oconto

Two Rivers

Bayfield

Cedar River

Commercial Recreational

A – Failure Unlikely

B – Low Risk of Failure C – Medium Risk of Failure

D – High Risk of Failure F – Failed

Cost to Restore Most Critical Harbors to

Acceptable Level of Risk:

Ashtabula Harbor

$39.0M

Chicago Harbor $19.6M

Cleveland Harbor

$10.0M

Fairport Harbor $28.0M

Lorain Harbor

$14.0M

Milwaukee Harbor $33.0M

________________ Total: $143.6M

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Page 14: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Lake Superior

MI

MI

NY

PA

IL

WI

IN

CANADA

OH

Oswego Harbor Beach

Alpena

Cheboygan

Charlevoix

Frankfort

Manistee

Ludington

Muskegon

Holland

Grand Haven

South Haven

St. Joseph

Michigan City Chicago River

Chicago Harbor

Waukegan

Kenosha

Milwaukee

Port Washington

Sheboygan

Manitowoc

Kewaunee

Algoma

Sturgeon Bay Menominee

Manistique Detour

Grand Marais

Presque Isle Marquette

Keweenaw Waterway

Two Harbors Knife River

Duluth-Superior

Regional Risk Communication Meetings

Bolles Harbor

Au Sable

Hammond Bay

Harrisville

Lexington

Mackinac Island Mackinaw City

Point Lookout Port Austin

Port Sanilac

Tawas Bay Arcadia

Greilickville

Leland

New Buffalo

Pentwater

Petoskey

Portage Lake

Saugatuck

White Lake

Clinton River

Big Bay

Eagle Harbor

Grand Traverse Lac La Belle

Little Lake Whitefish Point

Grand Marais

Port Ontario

Cape Vincent

Oconto

Two Rivers

Bayfield

Regional Meetings

#1 15 Aug2011 #2 8 Nov 2011 #3 18 Jan 2012 #4 18 Jul 2012 #5 30 Aug2012 #6 15 Oct 2012 #7 17 May 2013 #8 20 June 2013 #9 27 Aug 2013 #10 23 Sep 2013 #11 29 Oct 2013

Cedar River

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Page 15: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Soo Locks Reliability

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Page 16: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG® 16

70% of the commercial commodities transiting the Soo Locks are limited by size to the Poe Lock

•Security concerns - foreign crews in vessels are capable of seriously damaging or destroying locks

•There is currently no redundancy for the Poe Lock

Two major efforts are underway to improve reliability of the Soo Locks 1. Maintain existing infrastructure through Asset Renewal Plan 2. New replacement lock with the same dimensions as the Poe Lock-

BCR sensitivity analysis underway

•The economic impact of a 30-day unscheduled closure of the Soo Locks = $160M

The Soo Locks A Lynch Pin of the Great Lakes Navigation System

Page 17: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Soo Locks – Iron Ore Impact Assessment

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• Iron ore is by far the number one commodity transiting the Soo Locks • 97% of iron ore mined in U.S. comes from Mesabi Range in MN or Marquette Range in MI. • Integrated steel mills are located on the lower lakes Great Lakes; do not have the infrastructure to accept iron ore by any means but ship. • Most of this iron ore passes through the Soo Locks.

Soo Locks 2013 Tonnage

58% 20%

8%

7% 7%

Iron ore

Coal

Wheat

Limestone

Other

Page 18: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Ranked by: mmtons tons 30-day conseq Soo Locks 71.4 5 1 Calcasieu L,GIWW 36.7 19 2 Bowman L, GIWW 36.1 20 3 Lagrange L&D 25.4 25 4 Peoria LD 22.6 31 5 Bayou Boeuf Lock 25.9 24 6 Miss River LD24 23.9 27 7 Miss River LD22 23.3 29 8 Miss River LD19 20.8 33 9 Miss River LD25 23.9 28 10

Results – Ranked by Cost 30-day MAIN CHAMBER CLOSURE

Corps Locks: Value and Economic Consequences

Page 19: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Ranked by: mmtons 30-day conseq tons Ohio River LD 52 88.8 42 1 Ohio River LD 53 76.7 105 2 Newburgh LD 76.2 23 3 Smithland LD 75.0 128 4 Soo Locks 69.5 1 5 John T. Myers LD 69.4 49 6 McAlpine LD 65.2 137 7 Cannelton LD 64.9 46 8 Miss River LD27 58.7 38 9 Markland LD 55.6 96 10

Corps Locks: Value and Economic Consequences Results – Ranked by tons MAIN CHAMBER CLOSURE

Page 20: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Soo Locks Asset Renewal Long-Term Plan

Asset Renewal Plan will maximize reliability and reduce risk through 2035 $47.2M funded to date through FY14

New hydraulics, stop logs, utilities Compressed Air System Gate Anchorage Replacement Mac Lock Controls Replacement

Remaining key priorities

Poe Miter and Quoin Block Replacement Poe Electrical Rehabilitation Poe Lock Gate 1 Replacement

0

5

10

15

20

25

30

FY08 FY10 FY12 FY14 FY16 FY18 Fu

ndin

g, $

M

Funded

Requirements

Page 21: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

New Replacement Lock

WRDA 2007: Construction at 100% federal expense Inconsistent with Administration policy due to BCR of 0.73 Currently conducting a partial benefits reanalysis to determine

if some benefit categories were not captured or if insufficient information was used. If there is a large enough increase in benefits, a BCR revisit may be in order.

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Page 22: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG®

Benefits Analysis Status • Evaluate potential benefits which might impact the BCR • Review completed by end of FY14 by contract • Involvement included District staff, Inland Navigation

Planning Center of Expertise, Lake Carriers’ Association, shippers, system users

• Survey of top shippers/operators that move coal and iron ore through the locks. The objective was to determine how a closure would affect businesses, what their response would be, and what costs would be associated with that response.

• Incorporated updated probabilities of failure and combined with costs to the users to determine possible impacts on project benefits.

Page 23: Great Lakes Navigation Update · 2015-02-24 · Cross Village . Petoskey CharlevoixMenominee Channels in Straits of Mackinac . Grays Reef ... Annual Great Lakes Dedging 1986 -2013

BUILDING STRONG® 23

GL Navigation Business Line Manager Mike O’Bryan – (313) 226-6444 Marie Strum – (313) 226-6794

Shamel Abou-El-Seoud - Chicago Operations Chief

(312) 846-5470

Josh Feldmann - Buffalo District Operations Chief (716) 879-4393

Dave Wright - Detroit Operations Chief (313) 226-3573

www.lre.usace.army.mil/greatlakes/navigation

Key Great Lakes Navigation Contacts