Port of San Diego Awarded $5 Million Federal DOT Grant to Continue Tenth Avenue Marine Terminal Redevelopment Plan

The Port of San Diego has been awarded a $5 million grant from the U.S. Department of Transportation (DOT) for planning, design, and environmental permitting for Phase II of the Tenth Avenue Marine Terminal (TAMT) Redevelopment Plan. The project includes on-terminal rail track replacement, realignment, and load capacity improvements. It will also advance the planning of seismic upgrades, concrete resurfacing, potentially additional stormwater improvements, water and utility reconfiguration and upgrades, as well as front gate, perimeter fence, and operations center reconfiguration. These improvements will maximize operational areas on the terminal, make cargo handling and movement more efficient, and support future charging technologies for electric vehicles and equipment.

The announcement came June 25, 2024, from U.S. Senator Alex Padilla's office as part of the FY 2024 Rebuilding American Infrastructure with Sustainability and Equity (RAISE) discretionary grants program, which invests in road, rail, transit, and port projects across the country that may not quality for funding through other U.S. DOT grant programs. Sen. Padilla supported the Bipartisan Infrastructure Law's substantial increase in funding for the RAISE program.

"Modernizing our ports is crucial for transporting the goods that power our economy and keep the nation's supply chain moving," said Senator Padilla. "Thanks to the Bipartisan Infrastructure Law's continued historic investment, the Port of San Diego can move forward on critical upgrades to bolster the Port's reliability and capacity. This funding will create good-paying jobs and stimulate economic growth in California and across the nation."

"The Port of San Diego and its tenants are vital to our regional economy," said Rep. Juan Vargas. "This federal grant will help fund the next phase of modernization plans, designs, and permits for the critical redevelopment work taking place at the Tenth Avenue Marine Terminal, providing jobs and helping to reduce air pollution at the waterfront and surrounding communities."

"We are immensely grateful to Sen. Padilla and Rep. Vargas for their continued support and helping us deliver on our promises to support commerce, community and the environment," said Chairman Frank Urtasun, Port of San Diego Board of Port Commissioners. "Modernizing our cargo terminals creates better efficiency for our maritime tenants and cargo trade business and aligns with and bolsters our environmental and public health goals."

For next steps, the Port will collaborate with the U.S. Maritime Administration, an agency within the DOT, to finalize the grant agreement ahead of starting the planning, design, and environmental review process for TAMT Redevelopment Phase II. The timeline for construction is to be determined and is dependent on future funding.

The Port completed Phase I of the TAMT Redevelopment Plan, also known as the TAMT Modernization Project, in 2020. That project, funded in part by a $10 million Transportation Investment Generation Economic Recovery (TIGER) grant from the U.S. DOT, removed two obsolete warehouses and created much-needed laydown area for project cargo like windmill components. It also included improvements to on-dock rail, utilities, and new lighting and pavement. Additionally, an exemplary stormwater treatment system was developed to maximize stormwater capture on the terminal. The project brought new maritime cargo business to the Port and created more local jobs. The Port's maritime sector employs thousands of residents and generates billions of dollars per year for the regional economy.

As part of Port of San Diego Maritime, the Tenth Avenue Marine Terminal Redevelopment Plan supports the Port's specialty cargo advantage by providing laydown space and flexibility for each cargo type. The plan envisions three distinct cargo nodes within the existing footprint of the terminal and is focused on current core specialties of:

• Project, roll-on/roll-off, and break-bulk cargo such as military equipment, wind energy parts, shipbuilding steel, and vehicles;
• Refrigerated containers for fresh produce such as bananas or other produce; and
• Dry bulk cargo such as soda ash, aggregate and cement, used primarily in construction.