The Los Angeles Board of Harbor Commissioners in early June approved a $2 billion budget for fiscal year 2023-2024 for the Port of Los Angeles, a plan that anticipates modest gains in revenue despite last year’s cargo volume declines and an increased investment in capital projects.
The port expects a 5.1% jump year over year to 8.9 million TEUs in FY 2023-2024.
“This plan lays out a path forward that strategically balances anticipated cargo revenues with important port priorities,” Commission Vice President Edward Renwick said June 7.
The budget also includes $652.9 million in total operating revenues, an 8.6% jump from FY 2022-2023, 73.3% from shipping services and rentals at 15.1%.
The port has set aside $252.3 million for capital projects, a 40.6% jump from last fiscal year, focusing on container and cruise terminal modernization efforts, transportation improvements and public access infrastructure at the LA Waterfront project.
“While economic uncertainties still linger, this plan will help guide us for whatever might come our way, now and in the future,” port Executive Director Gene Seroka said. “(O)ur strategic, long-term priorities remain the same: modernize our physical and digital infrastructure to keep us competitive, and invest in community and environmental projects important to our surrounding communities, our region and industry overall.”
Meanwhile on Jun. 15, the Long Beach Board of Harbor Commissioners announced that it has approved a $634.5 million budget for fiscal year 2024 that includes $250.1 million on capital improvement projects.
The budget is 7.4% lower than last year’s.
Capital spending, which represents almost 40% of the 2024 budget, is focused on projects that “modernize terminals, rail, bridges, waterways, roads and other infrastructure to support the ongoing sustainable and responsible growth of operations,” according to the POLB.
The port said that over the next decade, it expects to invest over $2.2 billion in infrastructure projects.
