Port Houston Holds Special Port Commission Public Meeting

Provides Details on Proposed Houston Ship Channel Project 11 User Fee

The Port Commission of the Port of Houston Authority held a special public meeting on Aug. 8 to discuss the proposed Houston Ship Channel Expansion - Project 11 user fee ordinance and receive public comment. Port Houston is implementing a user fee based on federal law to pay for the local share of costs for Project 11. The purpose of the meeting was to provide further updates and clarifications on the user fee ordinance and receive public input.

“This ordinance represents the official language that will put the user fee into effect and is the result of extensive collaboration with private industry to create a transparent, fair, and equitable user fee,” said Port Commission Chairman Ric Campo. “The idea of implementing a user fee is based on a proposal originally suggested by members of major industries along the channel.” 

The Houston Ship Channel is a cornerstone of the U.S. economy delivering high-value exports and other goods and commerce to the nation. Earlier this year, the U.S. Army Corps of Engineers ranked it the No. 1 busiest waterway in the nation, despite being the narrowest channel at 530 feet (before the start of Project 11); many major U.S. ports exceed 1,000 feet.  Improvements to the channel are vitally necessary to increase safety and reduce congestion in the channel complex.

“The partially completed channel is already creating immediate and tangible congestion benefits for all vessels by significantly reducing daylight restrictions on subject vessels up to two hours in each direction,” Chairman Campo shared. Project 11 will expand the channel by 170 feet in some parts.

The fee is expected to go into effect later in 2025 and end when all local costs have been recovered, which is an estimated 30 years. “The money collected through the user fee can and will only be used for the reimbursement to Port Houston for the money spent on Project 11,” Chairman Campo further highlighted.

The port commission and staff will consider all comments prior to finalizing the ordinance. The port commission could approve the ordinance as soon as the next port commission meeting, which is scheduled for Tuesday, Sept. 24 at 9:15 a.m. The proposed draft ordinance can be accessed here.