Resilient Port Houston Notes New Container Milestone
The Fiscal Year 2018 Operating and Capital Budget was approved Tuesday during a special meeting of the Port Commission of the Port of Houston Authority. Solid financial performance is expected to continue in 2018.
Port Houston projects total revenue growing nine percent over the 2017 mid-year forecast, fueled by container cargo. New resin production along the Houston Ship Channel is anticipated to ramp up in 2018. Operating cash flow will help fund the 2018 capital budget of $275 million.
The 2018 capital improvement program includes strategic project investments supporting new growth opportunities, recapitalization projects to help sustain high service and enhance productivity levels, and channel development projects for development at container terminals and dredged area material program (DAMP).
Lastly, the Port Commission authorized an increase to Tariff Nos. 8, 14, and 15 effective January 1, 2018. The tariff increase will be at an amount equal to the change in the Consumer Price Index average for a 12-month period ending October 2017 as published by the U.S. Bureau of Labor Statistics on or about Nov. 15, 2017. The tariff increase enables Port Houston to remain competitive to continue to meet the increasing demands of the maritime trades.
Following the meeting, Port Houston Executive Director Roger Guenther noted Port Houston surpassed handling two million twenty-foot-equivalent units (TEUs) in October, an especially noteworthy milestone as it was achieved during an unprecedented time. The two-million TEU mark was first reached by the port in 2015. Port Houston expects to finish 2017 in excess of 2.4 million TEUs.
The next regular Port Commission meeting is scheduled to be held Tuesday, Dec. 12 at 9 a.m.
Source: Port Houston