april 2012
DESCRIPTION
Port Bureau NewsTRANSCRIPT
Port Bureau News
Spotlight on Captain Bill Hennessey Marine Manager—ExxonMobil Baytown Refinery
Dredging Keeping a Twelve-Foot Ditch Dug to Forty-Five Feet
Comparative Costs and the Budgetary Process
April 2012 www.txgulf.org
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Board of Directors *Dennis Hansell—Chairman
*Steve Stewart—1st Vice Chair
*Capt. Bill Hennessey—2nd Vice Chair
*John Taylor—Sec./Treas.
*Tom Marian—Immediate Past Chair
*David Ellis
*Charles H. Flournoy
*Capt. John G. Peterlin III
*Vinny Pilegge
*Nolan Richardson
*Capt. Richard Russell
*Captain Robert Thompson
*Len Waterworth
*Nathan Wesely
April Bailey
Jim Black
Robert Blades
Ken Burnett
Mike Drieu
Celeste Harris
Jason Hayley
Mehdi Hejazi
Kevin Hickey
Guy W. Hitt
Charlie Jenkins
Brad Maxcey
Jerry Nagel
Bernt Netland
Lloyd Schwing
Colin Scott
Capt. Christos Sotirelis
Tim Studdert *Denotes Executive Committee Members
Port Bureau Staff Bill Diehl
Jeannie Angeli
David Cooley
Al Cusick
Cristina Gomez
Janette Molina
Patrick Seeba
Josh Whitehead
00 The rodeo—there’s an organization that gets it. Every year, the Rodeo Committees get together
and have a good time while doing good for the community by putting on the world’s largest livestock
show and rodeo in support of scholarships, education, and getting kids more involved in the business. I
first heard about the Houston Rodeo in Panama from the Canal Administrator, Alberto Aleman (an Ag-
gie). When Mr. Aleman learned about my assignment to Houston, he said: “You have to go to the rodeo.
It is so impressive—and it is mostly staffed by volunteers.”
When I came to Houston, I made sure to follow his ad-
vice, and he was right; the size and scope of the event is awe-inspiring. Since 1957,
the Houston Livestock Show and Rodeo has awarded more than $100 million in
scholarships, seen more than 2,000,000 attendees a year, and uses more than 24,000
volunteers over it’s nearly three week annual run. On an average day, 50,000 people
converge on the grounds of the old Astrodome to learn about the industry, see ex-
citing events like bull and bronco riding, and have fun at the carnival doing every-
thing from eating fried treats (who knew that Deep-Fried Mozzarella Sticks were veg-
etables?) to watching 8 year olds mount a running sheep with a flak jacket and hel-
met trying to outlast their friends.
What made me think about the Rodeo’s volunteer spirit was our recent
Board of Directors election, which was going on as the rodeo was wrapping up. On our Board, we have busy business leaders
volunteering their time, energy and resources to promote our maritime community. The whole concept behind the Port Bu-
reau is that if we can work together to bring more cargo to the region, we benefit everyone who works on the waterfront from
the facilities, tugs, stevedores, agents, to the communities in which we all live and work. Like the rodeo, doing good for the
community at large is the focus of Port Bureau Board meetings and it has worked well for us for over 80 years.
With the new Board Member election comes change and we are very pleased to announce our new Board Directors
and Officers later in the magazine. I also want to extend my public congratulations to Dennis Hansell from Suderman & Young
Towing who will take over as the Chairman of our Board and my thanks to Tom Marian who served in that role throughout my
time here at the Port Bureau.
Tom’s leadership and dedication have drawn recognition from across the port community. At the Port of Houston Au-
thority’s March Commissioner Meeting Chairman Jim Edmonds gave a very nice acknowledgment to Tom, comments which
drew a standing ovation as he recognized Tom’s leadership during his six year tenure as the Chairman of the Port Bureau.
When Tom took the reins of the Port Bureau in 2006 the Port Bureau was in trouble and losing financial and membership sup-
port; Tom spent a significant amount of time working with staff and the board devising ways to refocus the Port Bureau to
make it relevant and solvent. Through three organizational presidents, Tom addressed difficult decisions and stemmed the
tide of negative cash flow. The organization is now on the right track and making a positive impact in the Port Community,
membership has grown by 50% and the professionalism and progress of your Port Bureau products and services are a direct
result of Tom's leadership and dedication.
Tom will stay on as Immediate Past Chairman, but there are several Directors leaving the Board after many years of
faithful service, and I would like to acknowledge and extend my
appreciation to them:
· Don Welch: (1996—2012), Chair (2002—2006)
· Armando Waterland (1996—2012)
· Jan Crittenden (2002—2012)
· Earl Smith (2006—2012)
· Lawrence Waldron (2009—2012)
· Shareen Larmond (2010—2012)
Mr. Aleman was right—volunteers are impressive. I am
extremely grateful to the volunteers that give their time to help
the Port Bureau promote our maritime com-
munity; they make the Port a joy to work in.
Howdy Captain’s Corner
Fifty Miles Long: Keeping Houston Ship Channel a 45 Foot Ditch through a Seven Foot Pond Dredging
Dredging: An excavation activity generally undertaken underwater in shallow seas or fresh water areas with the pur-
pose of removing bottom sediments for disposal at a different location or artificially deepening the seabed to improve access.
Put more simply: digging a ditch at the bottom of the sea. But as every child who has used his fingers to dig a moat around a
beach sand-castle knows: digging a ditch through wet sand requires careful work to keep the pathway clear and deep.
Background
Following the Civil War (referenced in the University of Texas’ historical literature on Galveston Bay as The War of
Southern Independence), luxury steamboat traffic between Houston and Galveston picked up and by 1874, Commodore
Charles Morgan decided to move eight dredges and a fleet of barges and tugs to widen Buffalo Bayou from Galveston Bay to
Houston. Now, with a new land cut at Morgan’s Point and a channel 120’ wide by 9’ deep (quickly deepened to 12’ by 1876),
the Army Corps of Engineers began entertaining project bids to deepen and widen the channel, however funding for dredging
was eliminated in 1888, as Congress decided that the channel’s “lack of permanence” didn’t justify further expenditure.
When the Great Galveston Hurricane of 1900 swept ashore killing 8,000 and wrecking havoc on the barrier island,
work was already underway to fulfill a congressionally directed surveying and planning project to dig the channel to 25’ from
the Galveston Jetties to Houston. The 58-mile plan included extensive work on the nine-miles of waterway between the city
center and the Turning Basin which was never fully realized.
However, by 1937, twenty-four years after being christened
the Houston Ship Channel, dredging was complete to ac-
commodate post-WWI petroleum tankers and the channel
dimensions reached 32’x400’ across the bay. This capital
dredging also resulted in the expansion of the Texas City
Channel from 16’ to 30’x800’ by 1931. The fledgling Ship
Channels, connected to
the newly enlarged
9’x100’ Intracoastal Water-
way spurred industrial
trade in products ranging
from cotton and petroleum
to rice, lumber and sulfur.
Soon, the silt-loaded cur-
Unless Noted—All Photos Courtesy of Captain Lou Vest, Houston Pilots Association All Photos Courtesy of the United States Army Corps of Engineers Unless Otherwise Noted
The Jetties between Galveston and Bolivar in 1887
Source: University of Texas
An Early Dredge Works Galveston Bay
rents crossing the channels ensured that dredging would
need to be regularly undertaken, so the first dedicated
dredge disposal sites were constructed. In addition to hold-
ing dredge material, these dikes and additions to the Red
Fish Bar protected the channel from natural silt transport.
Today, the Houston Ship Channel cuts through Gal-
veston Bay providing access to the most heavily travelled
commercial harbor in the nation. While the Bay’s average
depth holds steady at only seven feet, the 8,000 deep-draft
vessels a year and 200,000 barges traverse a forty-five foot
channel that requires constant maintenance to avoid sand
and sediment building up and restricting the flow of traffic. If
the natural currents of Galveston Bay weren’t enough, a series of smaller waterways (like Buffalo Bayou running from west of
downtown to the Turning Basin, or Sims Bayou cutting a swatch through the southern half of the city) constantly drain into the
channel depositing sediment, rainwaters and particulate buildup raising the channel’s depth more, creating shoaling and sand-
bars. Not a phenomenon unique to Houston, almost all of the nation’s ports and waterways require periodic maintenance
dredging, which is overseen by the US Army Corps of Engineers.
Dredging Basics
The Corps of Engineers dredges more than 200 million cubic yards of material from 926
coastal, Great Lakes, and inland harbors every year. The material includes sediment from each of
the 137 ports which each move over 1,000,000 tons annually, as well as numerous smaller reefs
and harbors. Completed in 2005, the most recent Houston Ship Channel deepening and widen-
ing project removed more than 60 million cubic yards of new material during the initial build
phase and engineers expect to remove more than 190 million cubic yards of silt and sediment
over the next fifty years. This excavation will be carried out by dredges—machines configured to
scoop, scrape or suck the bottom of the sea into waiting containers where it can be used later for land reclamation, dike con-
struction, wetland/habitat development and other beneficial use activities and construction projects.
Dredges Washington and Pensacola Finish Work on the Turning Basin (1912)
Dredging activity is generally separated into two categories—Capital dredging and Maintenance dredging. Capital
dredging—digging out a new harbor, berth, waterway or digging out existing passages, usually involves hard material and
high volumes. Maintenance dredging, which can cost less than half of capital dredging when comparing dollars per cubic me-
ter, is used to maintain existing navigable waterways by clearing sediment, sand and mud which accumulates through drain-
age, usage, or the physical characteristics of each particular channel.
The type of dredge used depends on the environment of each job. Hopper dredges are large ships that perform jobs
that smaller dredges would find potentially hazardous due to the conditions in which they operate such as offshore dredge
work, clear the mouths of major rivers and open new channels as they move slowly across their area of operations. Using
hydraulically powered pumps operating like large vacuum cleaners, sucking sediment and material mixed with water from
the sea floor, hopper dredges drain water from the slurry and
pump the water back to sea before depositing dredged material
into onboard containers (hoppers). After the hoppers are full,
the vessel moves to a dredge disposal site, and opens the clam-
shell-like doors at the bottom of the ship , spilling sediment into a
waiting basin or inlet.
Hopper barges like the United States Army Corps of Engi-
neers vessel Wheeler, can dredge more than 100,000 cubic yards
of material per trip from a project site. Because of their size and
So What Comes Up Off the Ocean Floor?
Rock
Rock may vary from soft marl and weak rocks (for example, sandstone and coral) to hard rock (such as granite and basalt).
Rock is usually not contaminated and a valuable construction material and used for both terrestrial and aquatic projects.
Gravel and Sand
Gravel and sand are generally not contaminated and considered the most valuable materials derived from a dredging project.
Gravel and sand are suitable for most engineering uses without processing, but freshwater washing may be needed for certain
agricultural or product uses. Granular material can be used for beach nourishment, parks, turtle nesting beaches, bird nesting
islands, wetlands restoration and establishment, and many other applications.
Consolidated Clay
Consolidated clay varies from hard to soft clay, is generally not contaminated, and is material obtained from capital dredging.
The material may occur as lumps or as a homogeneous mixture of water and clay, depending on the material type and the
dredging equipment used. If the water content is high, dredged clay may have to be dewatered before being transported. Pos-
sible uses of consolidated clay range from forming industrial products, such as bricks and ceramics, to building erosion control
structures, such as dikes and berms.
Silt/Soft Clay
Silt and soft clay are the most common materials acquired from maintenance dredging in rivers, canals, and ports. These mate-
rials are most suitable for agricultural purposes (such as topsoil) and all forms of wildlife habitat development. Depending on
national regulations and laws, mildly contaminated silt and soft clay may be used for some engineered uses or product uses
such as bricks, tiles, and ceramics. Because of the high water content, silt and soft clay must be dewatered for any product use
and can require months or years and, depending on the
draining process used, can require temporary storage.
Mixture (rock/sand/silt/soft clay)
Capital dredged material usually occurs in layers as deposit-
ed from some past hydraulic process and may require the
use of different dredging methods. Maintenance dredged
material is usually a mixture of materials such as boulders,
lumps of clay, gravel, organic matter, and shells, with varying
densities. Even though engineered and product uses will be
somewhat restricted because of the mixture, mixed material
may be used for a wide range of beneficial uses, such as land
reclamation, habitat improvement, and landfill capping.
Source: US Army Corps of Engineers
Silt—The Most Commonly Acquired Material From Maintenance Dredging
Hopper Dredge Operations Hopper Dredge at Sea
stability, these dredges can maintain operations in relatively rough seas however when the hop-
pers are full, the vessel must move to a disposal site, so work stops until they return to station.
Another type of hydraulic dredge is the pipeline, or cutterhead dredge, which is towed to
a dredging site, fastened to a barge, and anchored in place with special pilings called spuds. As
the name implies, it uses a special machine with rotating blades to loosen ground material so
that it can be sucked up into the piping system and sent to a disposal site. The cutterhead moves
in a crab-walk fashion, sweeping side to side as the suction head grabs sediment from the
bottom. Because the cutterhead dredge uses a static pipeline which sits atop the water, general-
ly these dredges are not suitable for unprotected bays and harbors where rough seas could dis-
rupt the equipment and operations.
Bucket or clamshell dredges are mechanical dredges used in places where larger hydrau-
lic dredges may not fit, or when ground de-
bris requires materials to be physically
picked up and moved out of the way. When
the dredge equipment is mounted on a large
(generally unpowered) barge, it is towed,
anchored in place, and scoops up material
from the bottom before placing it in a dump
scow which is filled, moved to a disposal
site, and replaced. According to the Army
Corps, the mechanical dredges, though not
suited for areas of high traffic or rough seas
and having difficulty retaining fine or loose
material, can operate semi-continuously as
multiple disposal scows may be used to de-
crease wait time. These dredges are partic-
ularly well suited for clearing rock and debris
or working in confined spaces such as next
to a berth or dock.
So What Happens To The Dredge Material?
Before 1900, material dredged from
the Houston Ship Channel was disposed of
in an offhand manner: usually the sediment
was simply scattered to the bay or dumped
in mounds near where it was removed from
the channel. As governmental interest in
the navigable waters grew, dredgers began
depositing material in new barriers, reefs
and dikes to offer temporary protection to
the channel and other navigable waterways
to keep them from refilling with silt and sed-
iment. These dikes and levees also used
A Cutterhead
A Mechanical Dredge Working for the Army Corps
dredged material and rock to moderate the effects of wave action upon local beaches and
shorelines—normally subject to a type of erosion called littoral transport which occurs when
the prevailing direction of a wave is less than 90 degrees, carrying beach material offshore and
degrading the integrity of the coastline.
Soon the material commanded demand from developers who used it to create or ex-
pand land for commercial endeavors such as airports or housing developments. The beneficial
usage options for dredge material vary depending on the type and status of what is pulled from
the sea: factors such as contamination, project technical feasibility and cost vs. benefit all affect
how dredged material may be used. Today, when dredging permits are issued, operators must
submit plans and receive permits from the Army Corps (with oversight from the Environmental
Protection Agency) that detail how the dredged material will be used. All projects submitted to the Corps require an Environ-
mental Impact Assessment which explains the project baseline, gives a summary of the impact the project will have on the
local environment taking into account the phys-
iochemical and biological conditions of the im-
pacted area, and presents a management plan
that ensures that the project takes sufficient
consideration of long-term effects on the envi-
ronment. Normally, highly contaminated ele-
ments are not suitable for beneficial use pro-
jects, however methods of treatment can clean
the material to an acceptable standard.
In addition to the creation of dikes—
breakwaters constructed roughly perpendicular
to the shoreline to reduce the intensity of wave
actions—semi-submerged berms may be creat-
ed by the bottom discharge of dredged material
from hoppers. This often allows for improved
beach access and conditions for recreational
surfers, swimmers and sailing channels.
In the Houston Ship Channel, dredge
disposal sites are maintained where, surround-
ed by riprapped berms, dredge material can
settle, draining water into a spill box where it is
filtered, coming away clean and is redeposited
into the channel. These artificial reefs can be
maintained as nature sanctuaries and wildlife
preserves. One example of an artificially con-
structed island is the Mid-Bay Navigation Pro-
ject—at a cost of $105 million, one of the larg-
est and most complex projects ever undertaken
by the Army Corps’ Galveston Division
Using five dredges, including a 26 cubic
yard clamshell dredge, two 4,000 cubic yard
hopper dredges and two 30” cutter dredges,
the Mid-Bay Beneficial Use Site was construct-
ed as part of the 2005 Houston Ship Channel
deepening and widening project, and at project
completion, will include over 1,100 acres of
marsh and upland habitat—part of over 4,200
acres of marshland created over the economic
life of the project which includes rebuilding his-
torical islands, and creation of new oyster reefs
and other environmental developments.
Slurry Pouring into a Disposal Site
How are projects like Mid-Bay
proposed? In 1990, users of the Hou-
ston Ship Channel formed an interagen-
cy coordination team called the Benefi-
cial Users Group (BUG); this group—one
of the first in the country to use the In-
teragency process for the Corps—was tasked to identify and implement beneficial uses for dredge material in the region.
Soon, the task force came back with recommendations to build small-boat access channels in the lower bay, build and re-
store several islands along the bay and use dredge sites to develop wildlife sanctuaries. The process also created a near-
shore berm that lessened wave activity to slow erosion and used material to create nearly 120 acres of oyster reefs.
So What’s Going On In Houston Now?
As of January, the Army Corps was
engaged in several major projects in the
Houston area. Rehabilitation of the levees
off Clinton Drive ensured proper caretaking
of material placement areas while dredge
activity on the upper channel includes work
from the Exxon facility just upchannel of
Alexander Island to Carpenters Bayou. In
addition to federally-sponsored channel de-
velopment projects, private dredging operations in the area include work on individual facility docks and berths such as the
new BOSTCO terminal whose dredging is slated for completion later this year. In addition, the Army Corps is rehabilitating
placement areas 14 and 15, creating 21,000 additional feet of levee, and creating marshland on the eastern sides of the sites.
South of Mid-Bay, the Corps approved a contract to dredge from Redfish Island to Beacon 76—a large swatch of the Chan-
nel’s path south towards the Gulf Intercoastal Waterway. Later in the year, the Corps will dredge from Greens to Sims Bay-
ou on the upper channel and deepen the Bayport Flare in preparation for deeper-draft ves-
sels such as the 8,000 TEU Maersk Maeva and her sister ships which began calling on PHA
facilities late last year. Studies are also underway to investigate widening and deepening
the channel from Boggy Bayou to the turning basin, easing the Bayport flare to aid naviga-
tion, and overhauling the regional Dredged Material Management Plan, according to Tricia
Campbell, P.E., Operations Manager for the Army Corps’ Galveston District.
The waters along the Gulf Coast—like those throughout the nation—need to be
maintained by constant dredging. The funding process, as you will read on the following
pages, is somewhat convoluted, however our coastal waters play a vital role in the American
economy. The Army Corps and Industry work through challenging conditions to keep com-
merce flowing and find environmentally sound methods to dispose of dredged materials.
The Texas Water Resources Institute from Texas A&M University noted that “though dredg-
ing operations have been previously marked by controversy and conflict, the recent experi-
ence of the Corps in the Houston Ship Channel holds promise as a solution that all parties
can accept and endorse. If this becomes a framework for dredging in Texas, maybe some
problems and delays can be avoided in the future.” Houston is an example of the efficien-
cies gained through
cooperation and discus-
sion, and by maintain-
ing lines of communi-
cation and profession-
alism, we are able to
address the region’s
needs and stay one of
the busiest and most
efficient ports in the
nation.—D. Cooley, P.
Seeba, GHPB
The Upper Channel to the Turning Basin Dredging Dredging Exxon to Carpenters Bayou
Dredge Sites: Placement Areas 14-15 and the Channel from Redfish to B-76
On the North-East Corner of the GIWW Barrier Island, New Marsh is Being Created While Completed Marshes and Channels Are Visible on the South-West Side
Dredges Shore Levees and Perform Maintenance on Mid-Bay Dredge Disposal Site in Galveston Bay
In the US, the vast majority of ports and harbors along our coast are unable to sustain waterborne commerce without the assistance of dredging: a necessary step to accommodate the size of the current and future fleets plying our seas. As coun-tries around the world specialize on what each can do best, trade among nations continues to increase in accordance with the Law of Comparative Advantage postulated by David Ricardo in the 1817 treatise On the Principles of Political Economy and Taxa-tion. Ricardo argued that there is mutual benefit from trade even if one country is more efficient in the production of all goods (absolute advantage); both countries will still gain by trading with each other, as long as each concentrates on the activities where it has a relative productivity advantage (lower opportunity cost). This is evident today as manufacturing continually moves from country to country seeking low cost labor and materials. For trade to remain a cost-effective component of international commerce, scale is necessary. As a result, ships contin-ue to increase in size; yet without dredging, there are fewer and fewer places where safe harbors can be found for them to call upon. This is particularly critical in the United States, where the natural harbors that once existed now do not provide sufficient water depth to accommodate the new ships whether container ships, tankers, or bulkers.
As the Army Corps maintains America’s Ports and Harbors utilizing Corps owned equipment or contracts to third parties, it provides statistics for the effectiveness of dredging in different ports. The graph to the left shows $5.2 billion in Corps’ third party contracts to the Districts of Gal-veston (including all the Ports of Texas), LA, New Orleans, and New York between 2006-2011. While the cost of dredg-ing activity is predicated on a number of factors, when eval-uated on dollars per cubic yard of dredged material, spend-ing falls within a relatively consistent range. As costs vary among ports, in a fiscally constrained environment it may prove beneficial to the economic health of the country to determine a methodology to more efficiently allocate dredg-ing funds to ensure an optimum result.—D. Cooley, GHPB
Comparative Assessment of Dredging Controlling Costs
The Budget Process It May be An Election Year: But Something’s Gotta’ Give
With a Congressional ban on earmarks, a proposed freeze on government spending and lawmakers on both sides of the aisle looking for ways to trim the budget, projects already approved for funding are in danger of losing support and fading to dust. American waterways are in trouble—and worse, in danger of losing position without consideration of merit or value.
Put in perspective, political theatre used to be as scripted as a Euripidean tragedy—without the traditional catharsis at the end. The Army Corps submitted a budget to the Office of Management and Budget. From this, the President submitted his budget to Congress. Telling Congress that he was fiscally responsible and working in the people’s interest, the Corps only re-ceived a percentage of what it needed. Then, the President stepped off the stage, allowing Congressmen to extol the virtues of one particular project or another, one waterway or harbor’s claim to fame—Houston: the busiest com-mercial waterway with more exports than any other port; in LA: importing the highest value of cargo, NOLA: the highest total tonnage, etc. Finally, each local Congressman ensured that ports got what they needed.
Now, without earmarks add-ing to the budget, Congressmen are fighting to hold what they have and the President’s proposal is the end of the play: a troubling precedent no matter which party the Commander in Chief may belong to.
Right now, the RAMP Act is attempting to bring sense to the is-sue of Army Corps funding. The Act would ensure that every nickel col-lected from the Harbor Maintenance Tax is spent maintaining American ports and waterways. The Act has 188 co-sponsors: without ever having been presented to the floor, 43% of the House wants to have their name on the Bill. A caucus of yea votes will surely see enough to pass. In the Senate, 36 Senators are similarly moved to lend their name to the top of the Bill. Why does the RAMP Act make sense? By allowing the Army Corps—professional engineers dedi-cated to the specific mission of Civil Works and Engineering to do their jobs while tying their budget to the actual usage of the waterways, com-merce keeps flowing.
As an industry, we may have been sold a bill of goods when the HMTF was created: 25 years later—a lifetime, in my case—we’re still trying to implement a sensible solution that will allow us to provide funding to maintain our infrastructure.—P. See-ba, GHPB
“How many people have I worked with—from all over the world... South Africans, the
French, Norwegians, Eastern Europeans, Australians, Indians… that probably would’ve sur-
prised me more than anything else if you’d told me that when I started, I’d be, for example, in
Abu Dhabi at a facility where they don’t get to see many Americans, and as soon as we’re in-
troduced, they start asking me about the American presidential candidates and talking about
our elections. I was surprised how much they kept up on that. The Maritime industry gives
you that reach—that getting to know people from all over the world.”
Born in Brooklyn to a maritime family, Captain Bill Hennessey’s grandfather worked
as a tug captain, and his father did the same in addition to work as a docking pilot, securing
vessels in and out of the Port of New York/New Jersey. “I never really expected to get too far
out of New York harbor—work on tugs, maybe work up to a pilot, but I never expected to be in California, in Texas, the Middle
East, travelling around doing inspections or even half of the opportunities I’ve had over the course of thirty years at sea and
now ten years ashore.” Captain Hennessey grew up on Long Island, and while he may have never expected to be inspecting
OSVs in West Africa, performing audits in Malaysia, or managing a Marine terminal in Houston, over forty year career, he’s
touched hundreds of vessels in all corners of the world. The elder Hennessey sailed for Moran Towing for decades, and when
Bill got out of school at 18, he couldn’t wait to get to sea. Working his way up with Texaco starting as an Ordinary Seaman,
Bill was a tug captain by 1984 when he joined Moran for four years working New York Harbor.
In 1988, labor stoppages in New York saw Bill ashore, and he spent two years on the beach working in the financial
services business. Eager to get back to sea, when Exxon called, he joined the company’s Bayway Tug and Barge Fleet. In
1991, Bill started working with the San Francisco Bay Tug Fleet, with orders from moving tractor tugs about the harbor with
ship assist work to longer trips. “The longest trip, we probably spent 56 days—started in San Francisco, moved up to Seattle
to pick up barges, then towed them all the way around through the
Panama Canal to Jacksonville, Florida.” Bill spent twelve years sailing
up and down the West Coast with the San Francisco Bay Tug Fleet
transiting the Panama Canal three times.
On the ATBs S/R Everett and S/R New York, Bill had his share of
interesting journeys, including one trip from Baton Rouge to Puerto
Rico where he passed through three tropical storms. “You try to avoid
them, but moving at 9 knots on a tug & barge doesn’t give you the ad-
vantage of a cruise ship that may be able to crank it up to 30 knots. At
the time, we were off of the Cayman Islands heading towards Puerto
Rico when we hit a tropical storm which’d been hiding below Jamaica,
and as soon as we started moving, the hurricane moved right on top of
us—the good thing was they’re pretty fast, they pass through in about 24 hours. From there, you just dead-slow, keep push-
ing into it until it passes you, then gradually increase your speed
and go on your merry way… as soon as we left Puerto Rico, an-
other one caught up to us at about Haiti, so I ducked in to the
forks at Haiti, let that go by, then we went up the windward pas-
sage through the Bahamas where we hit a third one—that was a
pretty active Hurricane season that year. You know, hurricanes
can almost seem like they have a mind of their own. We tried to
outrun the one that chased us into Haiti, then once it got past us,
it blocked us from going west through the Yucatan, so we come
up with a different plan around the Bahamas, changed the crew
in Ft Lauderdale, and went along our way, all well.”
A year later, Bill came ashore and moved to Houston
where he began working in ExxonMobil’s Vetting group, where
Spotlight on Captain Bill Hennessey Marine Superintendent—ExxonMobil Baytown Refinery
The S/R Everett with the Barge S/R New York
he used his role to provide training and guidance to inspectors, playing a key role in creating and expanding reporting proce-
dures and inspection programs for barges and was instrumental in organizing the Houston-based Oil Companies International
Marine Forum Barge SIRE workgroup. Over the next several years, Captain Hennessey performed operational safety audits in
Angola, Abu Dhabi, Malaysia and all over the world, as well as assessments on behalf of ExxonMobil on seismic vessels. “It’s
been a good business to be in. The quality and diversity of people that you get to meet in this industry— not every industry
has that benefit, that insight. I enjoyed people from every region of the world. If you spend enough time sailing, travelling
around, you get to meet so many people from so many different regions.” In 2010, Bill accepted a position as the Marine Su-
perintendent of the ExxonMobil Baytown Refinery, and has been working steadily to increase the operational tempo, safety
and quality standards on the docks.
In his free time, Bill spends time with his family and enjoys golfing and Scuba Diving—a pastime he picked up while
working with the San Francisco Bay Tug Fleet—and living in Jupiter, Florida. He and his wife Margaret have been married for
28 years and have three children including Bill Jr. practicing law in Dallas, Sean who works in the computer business in New
York, and Mariel who is still with the family and going to school. Bill has been active in the community and was recently
elected to the Greater Houston Port Bureau Board of Directors as a member of the Executive Board and 2nd Vice Chairman.
Founded in 1919, the ExxonMobil Complex in Baytown, Texas is located on approximately 3,400 acres along the Hou-
ston Ship Channel and is made up of a Refinery and Chemical Plant. Staffed by approximately 2,200 ExxonMobil employees
and 2,100 contract personnel, the facilities are operated 24/7/365 with a capacity of 573,000 barrels of crude per day. The
majority of crude for the refinery is supplied by tanker and is used to produce a full range of petroleum products including lube
oils, waxes, hydrocarbon fluids, and specialty blends. The Chemical plant manufactures more then 7.2 billion pounds of petro-
chemical products annually including butylene for butane-1 production. As the largest petrochemical facility in the Western
Hemisphere, the ExxonMobil Baytown Com-
plex earns respect and developing trust by
operating safely and by active involvement in
the community.
Changes to the Port Bureau Board of Directors
At the Greater Houston Port Bureau’s March 2012 meeting of the Board of Directors the board voted on a new mem-
bership slate. Thanking six directors for their service, the Board filled empty seats with nine individuals who, at their monthly
meetings, will lend voice to directing the Port Bureau’s efforts and resources for the coming years. In addition to the new
Directors, the Board elected a new slate of officers as Chairman Tom Marian stepped down from the position he held since
2006. The new officer slate includes:
Chairman—Dennis Hansell, Suderman & Young Towing Company
1st Vice Chairman—Steve Stewart, Gulf Winds International
2nd Vice Chairman—Capt. Bill Hennessey, ExxonMobil
Secretary/Treasurer—John Taylor, Houston Mooring Company
Past-Chairman—Tom Marian, Buffalo Marine Service
In a congratulatory email to the new board, Chairman Hansell
began to outline ambitious goals that the Board will discuss in the
coming months including continuing and expanding work to solve
dredge funding issues, preparing the region for the 2014 opening of
the Panama Canal Expansion and a discussion about how the Ship
Channel can greet our 100-year anniversary. In the message, he also
reminded directors that one of the constant issues facing the organi-
zation is a drive to make our port commerce more efficient by en-
hancing communication and cooperation among all the entities op-
erating along the channel. The Port Bureau has expanded from 90 members in 2009 to 145 as the 2012 Membership Directo-
ry goes to print: the next three years promise further expansion as the Port Bureau works to serve its constituency.
New Greater Houston Port Bureau Directors (from left to right)
April Bailey—VP Commercial Banking Amegy Bank of Texas
Dave Ellis—President Odfjell Terminals (Houston)
Mehdi Hejazi—Port Manager Norton Lilly International
Capt. Bill Hennessey—Marine Superintendent ExxonMobil Baytown Refinery
Brad Maxcey—Operations & Business Development Danners, Inc.
Bernt Netland—President and CEO Intercontinental Terminals Company
Colin Scott—Terminal Manager Vopak Terminals North America (Deer Park)
Capt. Christos Sotirelis—Presiding Officer Galveston-Texas City Pilots
COL Len Waterworth, USA (Ret.) - Interim CEO Port of Houston Authority
Immediate Past-Chairman Tom Marian Congratulates Chairman Dennis Hansell on Taking the Reins at the Port Bureau
Pete Reixach Retires from Port Freeport after 27 Years
In 1985, A.J. “Pete” Reixach ac-
cepted a job as assistant general manager
at Port Freeport, and when Port Director
Peter Schaff died not even two months
later, he stepped up and held the reins for
nearly three decades.
Pete was influential in the Port
Freeport deepening and widening projects
which saw the channel from 36 feet to 45
and he expects that depth to grow to 55
feet very soon. During his tenure, he saw the Port grow from a
small port with 3-5 fruit vessels per month to the twenty-
seventh largest port in the country moving 27 million tons annu-
ally and creating $1.11 billion in personal income for over 11,696
people mostly in Brazoria county.
During his tenure as Port Director, Pete was heavily in-
volved with many chambers of commerce including having
served as the Chairman of the Gulf Ports Association of the
Americas, Texas Ports Association, and the 2010-2011 Chairman
of the Board of the American Association of Port Authorities.
Visit the Apple iPad App Store!
HarborLights Expansion and Updates
Last year, the Galveston-Texas City Pilots Organization began using the HarborLights Vessel Traffic Management Sys-
tem to organize their dispatch and billing operations. As with the Houston Pilots, the HarborLights program effectively al-
lows the GalTex Pilots to streamline their internal processes to improve billing turnaround time, increase responsiveness to
customers, and simplify their office operations allowing new dispatchers to train quickly and experienced personnel to in-
crease the number of vessels they can handle in a shorter time period.
In late March, the HarborLights user interface new release included dispatch information from both the Houston Pi-
lots and the GalTex Pilots, allowing terminals, agents, stevedores, line handlers, tertiary service providers and more to get the
up-to-the-second data from both organizations.
At the same time, the HarborLights application became available on the iPad App Store: now, see the ships of the
Gulf and the Pilots’ sailing schedules on the go! Taking advantage of native efficiencies of the Apple operating system and
innovative touch-screen design, the HarborLights iPad application allows a user to generate many of the same reports availa-
ble on the HarborLights desktop system and easily email or print them for use in a myriad of situations. With one-touch login
and multi-purpose filtering elements, you can use the HarborLights iPad application to keep pace with your vessel on-the-go.
What’s on Tap for HarborLights?
Global AIS Coverage
New Port Data
Expanded Reporting Capabilities
Weather and Radar Displays
New Information from the US Coast Guard and National Oceanic and Atmospheric Administration
Don’t Have HarborLights Yet?
Call (713) 678-4300 and ask for Patrick or email
[email protected] for your free 10 day trial today!
(top-left:) Frank Files, Clark Freight Lines and Art Flana-gan, HUB International Rigg top-middle:) Todd Stewart, Gulf Winds International and Ron Hyden, Halliburton (top-right:) Sean Carney, Rickmers-Linie (America), discusses business with a colleague (upper-left:) Chelsea Egmon, Shareen Larmond, and Nathan Wesely, WGMA and Coun-cilmember Mike Sullivan, District E (upper-middle:) Joe Burkett, Angie Corfield, and Peter Wurschy, Texas Termi-nals (upper-right:) Ray Lesoon and Robert Paddison, SGS (mid-left:) Capt. Robert Thompson, Houston Pilots listens to a question as Cap-tain James Whitehead, USCG and Capt. JJ Plunkett, Houston Pilots (mid-middle:) Patrick Shanley and Mike Smith, IGSI (mid-right:) Captain Diehl greets Steve Stapleton, Sam-tarel Chartering, and Brooks Elliot, Pinch Flatbed (mid-lower-left:) Ryan Whitmire, Schröder Marine Services, and Ricky Raven, Chipolbrok (mid-lower-middle:) Martin Abel, Rickmers-Linie (America) and Rainer Lilenthal, Port of Hou-ston Authority (mid-lower-right:) Chuck King, Buffalo Marine, Capt. JJ Plunkett, Houston Pilots, and Pat Stud-dert, Buffalo Marine (lower-left) Ginny Hughes, and Arthur Ross, Texas Terminals (lower-middle:) Jürgen Schröder, Schröder Marine Services, and Hieno Winkler, Global Project Services (lower-right:) Chad Burke, and Randy Boeding, Economic Alliance Houston Port Region (bottom-left:) The Commerce Club at Brady’s Landing. (bottom-right:) Ron Hyden from Halliburton ad-dresses the Commerce Club
Port Watch
With 156 hours of fog on the Houston Ship Channel, February was literally a stop-and-
go month on the maritime trade front. In fact, this year’s fog season stands to eclipse last
year’s. Not unexpectedly, triple-digit fog hours lead to double-digit declines in vessel arrivals for
the majority of the region’s ports from January to February. The most significant monthly de-
cline took place in Galveston with 19% fewer vessel calls. Corpus Christi, Freeport, and Sabine
also experienced at or near 14% fewer vessel arrivals. As expected, these somewhat significant
declines resulted in year-to-date arrival totals below 2011 with the exception of Sabine which
remains 2% ahead of last year. Yet, the other 2 data points that are of interest when comparing
the first two months of 2012 against 2011, are the ports of Houston and Texas City. With re-
spect to the latter, despite a 9.5% month-to-month drop, Texas City remains up over 29% - a
rather impressive showing largely attributable to greater petrochemical throughput. Mean-
while, Houston’s 11% monthly decline still permitted the port to remain 1% above last year’s
running total.
How did the port of Houston’s 11% decrease for the month translate across vessel
types? All vessel categories save one – piloted tug and barges - were down or flat. General Cargo vessel arrivals were rela-
tively robust in February since they matched January numbers and continued to climb over last’s year running totals. Bulk
arrivals, on the other hand, were down 6% and remain off by over 17% for the year. Container vessels chalked up a 11.5%
monthly drop but still managed to remain above 2011’s numbers in terms of arrivals. Car carriers fared about the same as
containers – off for February but ahead of last year. Ro/Ro vessel and tank vessels did not have an upside either in the
monthly or annual arrival arena with the latter down 12% and 13% respectively. So, if crude is off, what of chemicals? After a
truly extraordinary January, there were 26% less chemical tankers in February; however, the first 2 months of 2012 is an un-
fathomable 84% above 2011!
Of course, most of us realize that vessel arrivals is but one of several indicators as to the state of things on the water-
front. As the Presiding Officer of the Houston Pilots recently observed, the ships that have been coming in of late are carrying
more cargo as evidenced by the deeper drafts. This was reinforced by the Port of Houston Authority’s most recent report
that February revenue was up 16%; container tonnage is currently up 6% for the year; and steel is up 143% for the month.
Indeed, not even the fog could dampen the positive numbers.
Interestingly enough, when one dissects Houston Ship Channel
tow movements – a vessel category that is particularly impacted
by fog – there are strong indications that sunny times loom.
Based upon the raw numbers, the month-to-month change for
this category was a decline of 5%. Yet, 22% of the month was
impacted by fog in addition to 6% fewer days. Consequently,
when you make the appropriate adjustments and factor in the
13% loss of hours attributable to fog in January, February actu-
ally yields a commendable 10% monthly increase – a number
which is consistent with the current 6% gain for the year. That
result is clearly consistent with the current activity on the water-
ways that are benefiting from the spring sunshine.—T. Marian
Tom Marian—Buffalo Marine Service Foggy February Leads to Sunny March
GREATER HOUSTON PORT BUREAU 111 East Loop North
Houston, TX 77029
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713.678.4839 fax
www.txgulf.org
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Upcoming Events:
12 April Commerce Club Luncheon
Gary Sera, TEEX
10 May Commerce Club Luncheon
COL Len Waterworth, USA (Ret.), PHA
5 June HCBFFA Golf Tournament
12 July Commerce Club Luncheon
18 August 2012 Annual Maritime Dinner
13 September Commerce Club Luncheon
11 October Greater Houston Coffee Association Annual Luncheon
5 November GHPB Captain’s Cup Golf Tournament
8 November Houston Ship Channel Security District Annual Luncheon