Texas Transportation Commission approves historic funding for ship channels

Credit: Texas Department of Transportation

The Texas Transportation Commission said on Oct. 3 it approved historic levels of funding for ship channel improvement projects in that state.

The commission approved the $400 million for Ship Channel Improvement Revolving Fund (SCIRF) loans for two projects near Beaumont and Brownsville. The funding comes from a bill passed by the legislature and signed into law by Gov. Greg Abbott last year.

Texas ship channels and seaports are vital economic engines for the state, Texas Transportation Commissioner Steven D. Alvis noted.

“Ship channel improvement projects are extremely costly, often making it incredibly difficult to make improvements,” Alvis said. “The foresight of the Governor and the Texas Legislature to make Ship Channel Improvement Revolving Fund loans available is critical to ensure Texas ship channels are prepared to accommodate larger vessel sizes, resulting in a more robust and resilient supply chain.”

In August, the commission approved a loan of up to $357 million for the Sabine-Neches Navigation District to start the process of deepening the Sabine Neches Waterway from 40-feet to 48-feet. The estimated $1.8 billion project is expected to add 336,000 jobs and generate $200 billion in business activity, as well as $6 billion in sales tax annually.

And in September, the commission approved a loan of up to $43 million for the Brownsville Navigation District to help fund the cost of deepening the Barzos Island Harbor Channel from 42 feet to 52 feet. The $139.5 million project is expected to add 800 permanent full-time jobs and increase the export capability of the harbor channel.