Buttigieg doles out $241 million to bolster ports

WASHINGTON — Transportation Secretary Pete Buttigieg is awarding more than $241 million in grants to bolster U.S ports, part of the Biden administration’s near-term plan to address America’s clogged supply chain with infrastructure improvements to speed the flow of goods.

The transportation money is being made available immediately to 25 projects in 19 states. Next year, the amount of money for port improvements will nearly double to $450 million in grants annually for five years under President Biden’s new infrastructure law.

“U.S. maritime ports play a critical role in our supply chains,” Buttigieg said with Thursday’s announcement. “These investments in our nation’s ports will help support American jobs, efficient and resilient operations and faster delivery of goods to the American people.”

Biden on Wednesday touted the coming grants as one of a series of efforts that will alleviate supply bottlenecks over the short and long term.

“Earlier this fall, we heard a lot of dire warnings about supply chain problems leading to a crisis around the holidays, so we acted,” Biden said. “We brought together business and labor leaders to solve problems and the much predicted crisis didn’t occur. Packages are moving. Gifts are being delivered. Shelves are not empty.”

The grant money includes $52.3 million to help boost rail capacity at the port in Long Beach (Los Angeles County) with a new locomotive facility, 10,000-foot support track and extensions of five existing tracks to speed up freight movement while cutting down the number of truck trips required to do that.

In recent months, higher prices have eaten into wages and turned public sentiment on the economy against Biden in polls. One of the obstacles for reducing inflation amid a coronavirus pandemic has been backlogged ports with ships waiting to dock at major transit hubs, causing shortages and leaving some store shelves depleted.

Buttigieg’s announcement seeks to build upon recent moves by the Transportation Department to reduce supply chain congestion, such as by allowing port authorities to redirect leftover money from grant projects.

Earlier this year, the Biden administration sought to reduce delays by working to move major ports to 24/7 operations.