VMA's Maritime Bulletin Edition 87 Vol. 6

SHAPING THE NEXT WAVE OF OFFSHORE WIND

NORFOLK | The Biden-Harris administration has set a goal of deploying 30 gigawatts of offshore wind energy capacity by 2030. As part of this effort, the Bureau of Ocean Energy Management (BOEM) has announced three final Wind Energy Areas (WEAs) offshore Delaware, Maryland, and Virginia. These WEAs were developed following extensive engagement and feedback from states, Tribes, local residents, ocean users, federal government partners, and other members of the public. If fully developed, the final WEAs could support between four and eight gigawatts of energy production.

WEA (A-2) is 101,767 acres and located 26 nautical miles from Delaware Bay. The second WEA (B-1) is 78,285 acres and about 23.5 nautical miles offshore Ocean City, Maryland. The third WEA (C-1) is 176,506 acres and located about 35 nautical miles from the mouth of the Chesapeake Bay, immediately behind Dominion Energy’s Coastal Virginia Offshore Wind (CVOW) project.

Over a decade ago, the VMA was involved in the initial planning and shaping of the CVOW lease, which is perfectly placed to minimize conflicts with commercial shipping and DOD activities.

The Association was heavily involved in the siting and shaping of the second round of WEA’s in the Central Atlantic, again bringing key stakeholders together to ensure that key industries in the Commonwealth, such as commercial shipping, NASA operations, and DOD operations weren’t hindered. This included several years of work with the U.S. Coast Guard to establish Safety Fairways off Virginia’s coast to ensure commercial vessels could continue to access our port without being too close to development projects.

“By bringing all of Virginia’s ocean users together early on, we were able to ensure that at the end of the day, Virginia would win across multiple industry sectors, including offshore wind,” stated the VMA’s Will Fediw. “We’re now uniquely poised to win in several economic

The three WEAs total approximately 356,550 acres. The first

DIESEL EMISSIONS REDUCTION FUNDS AVAILABLE

WASHINGTON, DC | The U.S. Environmental Protection Agency (EPA) released a Notice of Funding Opportunity (NOFO) for the 2022-2023 Diesel Emissions Reduction Act (DERA) National Grant Program. The DERA Grant Program will award approximately $115 million in grants and aims to accelerate the upgrade and turnover of the legacy diesel fleet.

“Throughout the years, this crucial program to reduce diesel emissions has improved air quality and provided far-reaching public health benefits by reducing hundreds of thousands of

tons of air pollution and saving millions in gallons of fuel,” said Joseph Goffman, Principal Deputy Assistant Administrator for the Office of Air and Radiation. Projects can be funded through state and local agencies with jurisdiction over transportation or air quality, as well as through certain nonprofit organizations. Eligible activities include the retrofit or replacement of existing diesel engines, vehicles and equipment with EPA and California Air Resources Board (CARB) certified engine configurations and verified retrofit and idle reduction technologies.

“The Voice of Port Industries”

OFFICERS

Chairman of the Board

Michael Coleman

President

Judy Barrett

Vice Presidents

Lang Williams

Capt. Kenneth Flowers

Capt. Whiting Chisman

Executive Director & Secretary

David White

Treasurer

Camille Cherry

Assistant Treasurer

Tracy Gregorio

STAFF

Vice President of Finance & Administration..............................

ODU’S PORT DAY

Are you ready for football? Join Virginia Maritime Association and The Port of Virginia® for the excitement of ODU’s Port Day on Saturday, October 21 for the ODU vs. Appalachian State game! Over the years, ODU’s Port Day has been a fun and engaging way to promote our port and educate the community about the importance of our maritime industry and its economic impact.

Sam Davis

Vice President of Industry & Government Affairs....................... Will Fediw

Director of Membership Development............................

Executive Assistant....................

Event Manager & Accounting Assistant................

Marketing Manager ................

Membership & Publications Coordinator...........................

Kristen Greene

Shayla Prince

Jennifer Parham

Jennifer Deason

Susan Wisniewski

For Questions about the Bulletin or Advertising jdeason@vamaritime.com - 757.628.2667

Old Domion University is offering a variety of sponsorship packages to companies who want to be a part of this partnership with ODU that celebrates our industry. Visit our website, VAmaritime.com/oduportday, for package details.

UPCOMING VMA EVENTS

Register for events at VAmaritime.com/events.

September 7, 10:00 - 11:30 AM

Anchor Orientation, Free Virtual

September 7, 5:00 - 7:15 PM

Maritime Mixer, $55 The Bunker Brewpub Virginia Beach, VA

September 13, 7:15 - 9:00 AM

Membership Breakfast Briefing, $55

Norfolk Yacht & Country Club

Norfolk, VA

October 4-6

VMA23 Symposium, Maritime Mixer, Annual Banquet, & Golf

Hilton Norfolk | The Main

Norfolk, VA

VMA COMMITTEES

VMA is built on a foundation of committees dedicated to improving and supporting our port and the maritime supply chain. The following summarizes the VMA industy committees that met over the past quarter. We also recognize the following VMA’s events and adminstration committees that met: Annual Banquet, Maritime Briefing, Membership, and Nominating. Thank you to our chairs and members for their service and contributions to our committees. If you are interested in learning more about VMA committees or joining, please contact Shayla Prince, sprince@vamaritime.com to coordinate.

All Hazards

5/31/23 - The Annual SAR Forum and Annual Marine Firefighting School were discussed, as well as the Spirit of Norfolk casualty report. Increased private sector engagement in drills and exercises were also discussed, as well as offshore wind response challenges.

Cargo Owners

5/3/23 - There was a group discussion on interactions with carriers during contract season, geopolitical impacts to the market, supply & demand in various sectors, etc. Updates were also provided on container terminal operations and trucker reservation systems

Harbor Anchorage, Dredging,

and Navigation Rules

6/24/23 - The USACE provided an overview of the status of the USACE Craney Island Dredge Material Management Area, to include capacity, ongoing dredging projects, future availability, and alternative disposal sites. Alternative disposal areas were also discussed.

Communication & Outreach

5/16/23 - Federal earmarks submitted by the Virginia Congressional Delegation and the debt ceiling impacts to the Appropriations Bill were discussed, as well as the status of the state budget and upcoming elections in November.

Education & Training

6/20/23 - An update on the internship video series was presented, and the Committee’s progress on their Strategic Plan assignments was discussed. Upcoming career fairs and K12 curriculum enhancement was discussed as ways to improve workforce attraction.

Environmental Affairs

5/23/23 - Virginia DEQ’s Office of Environmental Justice provided a presentation on the Commonwealth of Virginia’s environmental justice draft guidance and tools. Updates were provided on several environmental regulations, and several dredging projects were discussed.

Offshore Wind

5/18/23 - Siemens Energy and the Virginia Port Authority provided presentations on the development of PMT, and project updates were provided by Avangrid Renewables and Dominion Energy. The U.S. Coast Guard also discussed adapting operations to offshore wind.

7/20/23 - NOAA provided an overview of the 2023 hurricane season, as well as historical weather trends. Project updates were provided by Avangrid Renewables, Ocean Winds, and Dominion Energy, and increased coordination and collaboration between state agencies to attract more development opportunities was discussed.

Ship Operators & Agents

5/2/23 - Updates were provided on BOEM’s Central Atlantic offshore wind call area, the U.S. Guard’s consolidated Port Access Route Study regarding Safety Fairways, and NOAA’s proposed revision to the North Atlantic Right Whale speed reduction rule. Several dredging projects were also discussed.

Terminal Operators

6/29/23 - Chip Davis, the new MTS Cybersecurity Specialist for USCG Sector Virginia introduced himself and provided an update on several current cybersecurity issues, and there was also a discussion on enhancing cybersecurity as part of the FSP. Increased terminal operator participation and increased collaboration around common issues was discussed.

Towing & Barge

6/14/23 - There was a discussion on bridge opening delays, as well as a presentation on new sexual assault/ harassment regulations. Hurricane season preparedness and the upcoming season were also discussed.

Warehousing & Distribution Centers

5/16/23 - An update on the Hampton Roads commercial real estate market and other regions around Virginia, as well as vacancy rates. There was also a discussion on import volumes, future projects and needs, as well as increasing financing rates and construction costs. VEDP initiatives related to real estate and economic development and port operations were also discussed.

OFFSHORE WIND (CONT.)

It’s amazing what can happen when you get the right people talking together early on,” he said.

“BOEM values a robust and transparent offshore wind planning process, which requires early and frequent engagement with Tribal governments, the Department of Defense, NASA, other government agencies, and ocean users” stated BOEM Director Liz Klein. “We will continue to work closely with them, and all interested stakeholders, as we move forward with our environmental review.”

On August 1, 2023, the Bureau of Ocean Energy Management (BOEM) published a Notice of Intent (NOI) in the Federal Register to prepare an environmental assessment of the potential impacts of offshore wind leasing in the three final Wind Energy Areas (WEAs) offshore Delaware, Maryland, and Virginia. The NOI initiated a 30day public comment period, during which time BOEM is seeking input from the public on the potential environmental impacts of offshore wind development in the WEAs.

Partnering with the National Oceanic and Atmospheric Administration’s National Centers for Coastal Ocean Science (NCCOS), BOEM developed a comprehensive, ecosystem-based ocean planning model that assisted in the selection of the final WEAs, leveraging best available data on natural resources, ocean industries like fisheries and energy production, and areas of national security activities to identify areas with high wind energy resource potential while reducing potential impacts to other ocean users and sensitive environmental resources, facilitating greater transparency and positive coordination with government partners and ocean stakeholders through direct engagement and incorporation of their feedback into the NCCOS model.

For more information on the final WEAs and BOEM’s notice to prepare an environmental assessment, go to BOEM’s website, boem. gov/renewable-energy/state-activities/central-atlantic.

Source: BOEM

VMA Member Testimonial

VMA23 PROGRAM SPOTLIGHT

“Reliability through Regulatory Compliance & Rulemaking” featuring The Honorable Daniel Maffei, Chairman, Federal Maritime Commission and Pete Mento, Director, Customs & International Trade, DSV.

This exclusive discussion features Mr. Daniel Maffei, the Chairman of the Federal Maritime Commission (FMC), the regulatory agency responsible for overseeing the nation’s international ocean transportation system, and Mr. Peter Mento, a renowned expert in the field of maritime transportation. As the head of the FMC, the Chairman plays a pivotal role in ensuring fair and efficient international ocean transportation practices. Having dedicated his career to understanding the intricate workings of global shipping and logistics, Pete Mento brings forth a wealth of practical knowledge and an acute understanding of the industry’s intricacies. These two powerhouses will discuss the evolving regulatory landscape and its impact on the maritime transportation industry as well as addressing congestion, port inefficiencies, and other logistical challenges and the resulting financial impact on the industry. This dynamic discussion promises to offer unique insights into the challenges, trends, and future of the maritime industry.

In addition to the symposium, VMA23 will include the highly anticipated maritime mixer, the prestigious maritime banquet, and attendee favorite, golf. Take advantage of the limited-time discount for Shippers and BCOs. For more information on our program and to register, visit our website at VMAsymposium.com

“Using the VA Maritime website, I have been able to connect with some key contacts in the industry. The website has helped me to understand the organizations and their needs, as well as, find local contacts to connect with. This has been very helpful to me.”

- Zach Schrock, Mucso Lighting

2,000LBS)

DIESEL EMISSIONS (CONT.)

Examples include commercial trucks, locomotives, marine engines, and cargo-handling equipment. Review the following important dates and future information sessions for the Diesel Emissions Reduction Act National Grant Program. For more information visit the DERA website at https://www.epa.gov/dera/national.

Activity Date

Now Open: 2022-2023 Notice of Funding Opportunity (NOFO) Wednesday, August 2, 2023

Webinar Information Sessions

Tuesday, August 22, 2023 at 3:00 PM ET

Additional information sessions will be scheduled and listed on the DERA webpage Deadline for Submitting Questions

November 10, 2023, 11:59 PM ET

December 1, 2023, 11:59 PM ET Anticipated Notification of Selection

2024 Anticipated Awards

2024 and August 2024

ASSOCIATION IN ACTION

July’s often oppressive heat gave frequent cause to think about the extreme conditions many people regularly work in to keep our port and supply chains working without disruption. On the water and docks, in shipyards and warehouses, on the roads and rails, and elsewhere; essential frontline workers regularly endure wet, freezing cold, or extreme heat as they reliably perform their work. The VMA appreciates and will always be grateful to these everyday supply chain heroes, and to the employers who take the steps to keep them safe.

NOAA has proposed amendments to existing North Atlantic Right Whale protection regulations which would increase the size of regulated areas where vessel speeds are not to exceed 10 knots, make the 10-know limit applicable to all vessels larger than 35 feet, and other changes which could unduly hinder maritime operations and compromise navigational safety. However, NOAA has yet to implement North Atlantic Right Whale monitoring systems required by the 2022 Coast Guard Reauthorization Act. The VMA made a request to the Virginia Congressional Delegation to support the bipartisan “Protecting Whales, Human Safety and the Economy Act of 2023” bill (H.R. 4323), which would be a companion to the Senate’s S. 1833 of the same title. These bills would delay NOAA’s pending amendments until it has implemented the previously required monitoring systems, providing a technology-based solution for whale protection prior to placing further restrictions that would compromise maritime operations and navigational safety.

Throughout July, the VMA was busy conducting port tours and attending events held across Virginia to continue strengthening our industry’s relationship with numerous legislators from both political parties. When the General Assembly convenes in 2024, it will be made-up by an unprecedented number of newly elected legislators and will be suffering from a critical loss of institutional knowledge. This upheaval will substantially impact the legislative and budgetary decisions made by the General Assembly. Throughout 2023, the VMA is focused on ensuring that we are well positioned to work with a very different General Assembly for the benefit of our mission and membership.

Continued cargo growth through the port, and ability to support associated business growth and economic development requires new freight-handling capacity. Advocating for increasing Virginia’s inventory of business-ready sites, and additional warehousing and distribution space has been a legislative priority for VMA. Projects can encounter NIMBY resistance from local communities. In July, VMA spoke at a Chesapeake City Council meeting in support of a proposed new facility. The Council deferred the vote, pending additional information.

VMA is the vigilant advocate for our commercial waterways, and the potential they hold for increased business growth and economic development. In July, VMA convened a meeting of industrial property stakeholders on the Eastern Branch of the Elizabeth River to explore such opportunities.

VMA represents the interests of our port and member businesses on several standing boards, advisory committees, and in other venues. In July, these included:

• Advisory Committee on International Trade to the Virginia Economic Development Partnership

• Virginia Offshore Wind Development Authority

• Regional Energy Steering Committee of the Hampton Roads Alliance

Photo by: Independent Docking Pilots

NEW MEMBERS

STERNCASTLE CONSULTING

Cargo/Maritime Related

Consultant/Maritime

3311 W. Broad Street Suite 212 Richmond, VA 23230 sterncastleconsulting.com

h Chris Holt

Principal chris.holt@sterncastleconsulting.com

(804) 278-7787

WILDCAT PROPELLERS, INC.

Platinum Anchor

Marine and Industrial Suppliers/Ship Chandlers

3313 S. Military Hwy Chesapeake, VA 23323 gjcobert.com

h Troy Erb President

wildcat@wildcatprops.com

(757) 647-9525

h Shawn King Supervisor shawn@wildcatprops.com (757) 334-0177

h Brian Marks Supervisor brian@wildcatprops.com

(757) 485-4260

CLUB CONTACTS

Customs Brokers & Int’l Freight Forwarders Assn.

Ben Nelson • cbiffa.va@gmail.com

Hampton Roads Coal Association Finn Host • treasurer@hrcoal.org hrcoal.org

Hampton Roads Global Commerce Council Kevin Speers • info@hrgcc.org hrgcc.org

WILSON PIPE & FABRICATION LLC

Bronze Anchor

Marine and Industrial Suppliers/Ship Chandlers 2810 Cromwell Drive Norfolk, VA 23509 wilsonpipe.com

h Steven Riley Production Manager sriley@wilsonpipe.com (757) 816-5485

h Brandon Wilson Owner bwilson@wilsonpipe.com

(757) 524-4470

NEW ADDITIONAL REPRESENTATIVES

h Bentley Dudek* Operations Manager bendudek@haslergroup.com

(757) 334-9582

HASLER GROUP

Norfolk, VA

h Joe Locke

Operations Manager

joel@morantug.com

(757) 625-6000

MORAN NORFOLK

Norfolk, VA morantug.com

*Young Maritime Professional

VMA 2023-2024 MEMBERSHIP DUES INCREASE

The VMA Executive Committee has approved dues increases effective with the October 1, 2023 billing cycle. The new dues rates will be:

STANDARD MEMBERSHIP LEVELS:

• Young Maritime Professionals $180 ($10 increase)

• Non-Profit Organization $350 ($15 increase)

• Business Service $425 ($20 increase)

• Moving Cargo or Offering Maritime-Related Services $825 ($40 increase)

• Vessel or Marine Terminal Operations $1,225 ($65 increase)

ANCHOR MEMBERSHIP LEVELS

• Bronze $2,115 ($90 increase)

• Silver $3,345 ($140 increase)

• Gold $6,510 ($235 increase)

• Platinum $12,850 ($375 increase)

Propeller Club - Port of Norfolk Noel Stokes • norfolkpropellerclub@gmail.com PropellerClubNorfolk.org

Shenandoah Valley Traffic Club shenandoahtrafficclub@gmail.com shenandoahtrafficclub.com

Tidewater Motor Truck Association Ray Jalkio • ray@servicetransfer.net tmtava.org

Virginia Ship Repair Association Sylvia Bell • 757-233-7034

VirginiaShipRepair.org

Virginia International Business Council robert.davenport@vdacs.virginia.gov vaibc.org

Photo by: Independent Docking Pilots

P.O. Box 3487

Norfolk, Virginia 23510

Bay Power Solutions

Cargomatic

CV International, Inc.

Excel Trucking Group

PLATINUM ANCHORS

Albemarle Tug Company

AdvanSix

BDO USA, LLP

Capes Shipping Agencies

Capital Financial Group

CMA CGM (America), LLC

Colliers

ECPI University

Enviva

GOLDEN ANCHORS

Greater Richmond Partnership, Inc.

Kaufman & Canoles, P.C.

Seajacks UK Limited

T. Parker Host

SILVER ANCHORS

FORVIS

Givens Logistics, LLC

Great Lakes Dredge & Dock Co.

Kokosing Industrial

Kuehne + Nagel, Inc.

Pender & Coward, P.C.

Perdue Agribusiness, LLC

Port City Transportation

SeaGate Terminals, LLC

VHB

Virginia Pilot Association Wood Rogers Vandeventer Black PLC

Shopify Tecnico Corporation

Tidewater Staffing, Inc.

TMEIC Corporation

Truist.

Virginia Natural Gas

Virginia Tech Corporation Research Center

Wells Fargo Bank