PHA Commission Approves $35.9 Million Contract for Bayport Container Yard

$2 Million Agreement With TSU to Develop Maritime Degree Programs

HOUSTON, April 1, 2009: At its March 31 meeting, the Port Commission of The Port of Houston Authority (PHA) approved the award of a $35.9 million construction contract to McCarthy Building Companies, Inc., for the Phase I - Stage 2 container yard for Bayport Terminal, and an agreement with Texas Southern University to devote $2 million toward its development of undergraduate and graduate maritime transportation management and security degree programs.

Dr. John Rudley, president of Texas Southern University, spoke to the Commission about the agreement.

"You are to be commended for reaching out to TSU," he said. "These degrees in maritime transportation management and security will be a wonderful opportunity for children to participate in the global economy. Thank you for having this vision for the future. You are guaranteed a return on your investment."

GENERAL MATTERS

(Agenda M3) Commissioners approved an agreement with Texas Southern University to develop undergraduate and graduate maritime transportation management and security degree programs for $2 million over a two-year period. These would be the first such university degree programs related to maritime transportation and security in Houston and the first sponsored by a Historically Black College or University (HBCU) in the country. In pursuit of their shared interest in education, TSU and PHA will work together to meet the maritime industry's critical workforce needs, resulting in the creation at TSU of new university degree programs and related educational opportunities in Maritime Transportation Management and Security, addressing logistics, security and environmental needs. By tying into existing partnerships with local schools, the two institutions' cooperative work is also expected to create a critical pipeline from public school through college to bring young people into a broad array of maritime fields. Letters of support were received from HISD Superintendent Abelardo Saavedra, state Senator Rodney Ellis, state Rep. Garnet Coleman and U.S. Rep. Sheila Jackson-Lee.

BAYPORT MATTERS

(Agenda G7) Commissioners approved awarding a contract to McCarthy Building Companies, Inc., for the Phase 1 - Stage 2 container yard for Bayport Container Terminal, for $35.9 million. The Stage 2 design provides for 48 acres of roller-compacted concrete pavement with a 30-year service life, in a configuration that will enable flexible container operations during successive phases of the Bayport projects. Other features of the product include a stormwater collection system, water and sanitary sewer mains, site electrical distribution and high mast lighting.

(Agenda G8) Commissioners approved awarding a professional services contract to Shaw GBB, LLC, for inspection services for three dockside electric container cranes for Bayport Container Terminal for $783,725. The Port Commission approved procurement of these massive, complex cranes at its February meeting. PHA requires inspection on a full-time basis as these cranes are now manufactured. Since overseas fabrication of these cranes is beyond the manpower capabilities of its staff, PHA has opted to retain an inspection services consultant.

BARBOURS CUT MATTERS

(Agenda G6) Commissioners approved awarding a construction contract to Laughlin-Thyssen, Inc. for fender system maintenance at Barbours Cut Container Terminal for $742,850. The fender system for Wharf Nos. 1-5 at Barbours Cut Terminal requires periodic maintenance to maintain its current level of service.

OPERATIONS MATTERS

(Agenda K1) Commissioners approved advertising and receipt of competitive sealed proposals for the purchase of miscellaneous filters for Barbours Cut and Bayport container terminals for a two-year period for $450,000. More than 320 devices using filters are currently in operation at Barbours Cut Container Terminal, and 85 more are at Bayport Container Terminal. A two-year contract will permit the purchase air, oil, water, hydraulic and fuel filters as needed, in order to maintain adequate inventory and minimize equipment downtime.

This news release is not a substitute for the official PHA agenda. To view the complete agenda, please visit: http://portofhouston.com/publicrelations/meetings.html

The Port of Houston Authority owns and operates the public facilities located along the Port of Houston, the 25-mile-long complex of diversified public and private facilities designed for handling general cargo, containers, grain and other dry bulk materials, project and heavy lift cargo, and other types of cargo. Each year, there are more than 8,000 vessel calls at the port, which ranks first in the U.S. in foreign waterborne tonnage and second in overall total tonnage. The port authority plays a vital role in ensuring navigational safety along the Houston Ship Channel, which has been instrumental in Houston's development as a center of international trade. The Barbours Cut Container Terminal and Central Maintenance Facility are the first of any U.S. port facilities to develop and implement an innovative Environmental Management System that meets the rigorous standards of ISO 14001. The second recertification of those facilities in 2009 included an extension for the state-of-the-art Bayport Container Terminal. PHA is the first port authority in the world to receive ISO 28000:2007 certification for Port Police and the perimeter security operations at both the Barbours Cut and Bayport Terminals. Additionally, the port is an approved delivery point for Coffee "C" futures contracts traded on the New York Board of Trade's Coffee, Sugar & Cocoa Exchange.