The Port of Portland and Wilmington, Calif.-based Harbor Industrial Services Corp. have a framework agreement in place that would pave the way for Harbor Industrial to be the long-term operator for Terminal 6, the only global container terminal in Oregon, the port revealed Dec. 6.
The framework calls for the creation of a timeline and basic terms to be hammered out over the next six months regarding Terminal 6, which is currently operated by the port, with Harbor Industrial as its stevedore.
“We believe this milestone is a fundamental positive shift in support of the Oregon importers and exporters, to ensure an ongoing, reliable and efficient gateway for Oregon businesses,” Harbor Industrial Chief Operating Officer Tim McCarthy said.
News of the agreement comes eight months after the port announced it would wind down operations at the terminal due to a funding shortfall. In May, the port reversed its decision after the Oregon Legislature pushed to financially help the terminal.
“Scores of businesses throughout Oregon rely on Terminal 6 to ship their goods, and Oregon communities rely on the quality jobs it supports,” Gov. Tina Kotek said. “My recommended budget reflects my commitment to resources to facilitate the continuation of container service, and I intend to advocate for these funds in the Legislature.”
Under the agreement, the port seeks to offset losses from container operations with $5 million in state support and secure a $20 million state investment to fund improvements at the terminal, which directly and indirectly supports more than 1,500 jobs and creates an estimated $20 million in local and state tax revenue annually.
The funding is part of the governor’s recommended budget and also includes money set aside for Columbia River navigation channel maintenance, the port said.
Port Executive Director Curtis Robinhold said the lawmakers’ funding commitment sends a strong signal to international shippers and Pacific Northwest businesses about the terminal’s reliability.
“We’re confident that with Harbor on board as a long-term operator, increasing container volumes and adequate state investment to keep marine trade moving, Terminal 6 will continue providing widespread benefits for Oregon for many years to come,” Robinhold said.
Port commissioners are expected to vote on a lease agreement this summer.
