What maritime, infrastructure and exports

mean for labor?Mike Elliott, Brotherhood of Locomotive Engineers & Trainmen (BLET), Washington State Legislative Board (WSLB)

February 2014

FAST FACTSWashington State MOST Trade Dependent in America

1 in Every 4 Jobs Rely on Exports

Up to 40% of All Jobs Are Trade Related

Exports drive 1/6 of state’s economy

In 2011, Washington State ranked 5th in Total Value of Exports

Source: Washington State Department of CommerceSource: Washington Council on International Trade

BackgroundAs a Trade Gateway To Asia, WA ST Plays A Vital

Role In Meeting The Growing International Demand For Agriculture & Energy Products Worldwide

Infrastructure Investment Needed to Upgrade Overland, Maritime Capacity & Support

Important to be “Trade Diversified” while remaining “Commodity Neutral”

MAP-21 Re-Authorization Important Funding Vehicle for Infrastructure Projects

Adequate Funding Coupled w/ Fair, Objective, Timely, Science-Based EIS Process Needed

WPPA, BLET, & other Trade Stakeholders have Expressed Concerns as to potential Negative Impact of Expanded-Scope “Programmatic” EIS Studies

Keep Washington State Attractive to Private Investment and “Open for Business” to Everyone

Protect Blue-Collar Job Opportunities in Heavy Industry (Rail, Manufacturing, Industrial, Maritime, etc.)

Maritime Cluster and the Labor Community

Maritime Cluster Provides Skilled Trade Jobs Throughout The Northwest

Family Wage Jobs & Benefits in Several Skilled Crafts

BNSF ALONE Employs 3500 State-Wide w/ an Annual Payroll Over $248 Million

Unionized Rail Industry Employs 2500+ Operating Craft Jobs State-Wide

Tacoma BLET Local Division ALONE has 170+ members. That’s approx $12 million to Locomotive Engineers in Annual Wages

Rail Transportation Industry and Washington’s Maritime Cluster

Washington Benefits from Over $100 million in Private Railroad Investment Annually.

On 2/4/14, BNSF Announced a Capital Commitment of

$5 Billion for 2014

$2.3 Billion Earmarked for Core Network and Related Projects

Much of Capacity Expansion Will Focus on the Northern Corridor (Hi-Line)

Northern Rail CorridorHi-Line Capacity Expansion Focus to Accommodate :

Agriculture ProductsIntermodalAutomotiveIndustrial Products Related to Crude Oil ProductionBakken Oil & Gas

Direct Correlation Between the Health of Rail Transportation and Growth in Maritime and Export industries.

Working with Ports, Local Governments, and Private Developers, Rail Has Helped Connect Maritime Projects Beneficial to Washington’s Role as an International Trade Center

Staying CompetitiveWashington’s Ports face growing competition

from Canada, from other U.S. Ports, and from the Panama Canal

Harbor Maintenance Tax issue needs to be resolved

While the value of WA exports is at record levels, freight rail volumes in the region remain below pre-recession figures – still capacity available

Need continued investment (i.e. PPP) to preserve & grow a balance of business in all trade categories

Growth OpportunitiesProposed Multi-Commodity Terminals to

Expand Existing Port Facility In Longview, WA Create New Facility at Cherry Point, WARepresent the Single Largest Trade

Investment Opportunity in the Region to Date Nearly 12,000 direct and indirect jobs $1.5 billion in private investment

Research by the Washington Farm Bureau found the terminals are likely to increase export opportunities for other trade industries in Washington State

SAFETY FIRSTBuild/Update Infrastructure to Promote

Highest Safety and Environmental StandardsSupport Broad Spectrum of Union Based

Crafts and PositionsCoordinate Regulatory Oversight at

Federal, State, and Local LevelsSupport Apprenticeship/Education

Programs to ensure “best practices” skill-sets are maintained and passed along to the next generation

QUESTIONS?