The Port of Savannah ranks as the third largest container gateway in the nation, with approximately 45% of the United States population living within the Authority’s service region. As the largest container port in the Southeast, the Port of Savannah is responsible for moving over 9.0% of the U.S. overseas containerized cargo. The volume to be handled by the Authority is projected to increase by more than 55% by 2030. While cargo has grown, so has the size of the ships. The Authority proposed in 1996 to deepen the Savannah River to handle these larger container vessels more efficiently. With the completion of the Panama Canal improvements in 2016, now even larger container vessels are calling the U.S. East Coast with increased efficiencies and reduced costs for the American consumer. In September 2020, the CMA CGM vessels Brazil and Panama will call on the Port of Savannah. At a capacity of over 15,000 twenty-foot equivalent container units, the Brazil and Panama will be the largest ships ever to call on the U.S. East Coast. Currently, approximately 78% of the containerized cargo vessels that call on the Port of Savannah are unable to load to their maximum design draft and call at any tide. To prepare the U.S. marine transportation system for more and larger of these deeper draft vessels, the Savannah River will be deepened to accommodate them. SHEP received the last of all required federal and state regulatory approvals in 2013. On June 10, 2014, the Water Resources Reform and Development Act of 2014 was signed into law, thereby allowing the U.S. Army Corps of Engineers to proceed to construction on the project. Since then, dredging on the entrance channel has been nearing conclusion and several components of the project have completed including acquisition of property for wetlands mitigation, payment for striped bass stocking program, the removal of the CSS Georgia from the channel and the initial dike raising for the project. Contracts for other project features have been awarded. Among the features under construction are the oxygen injection systems and a freshwater diversion structure. The final dredging contract was awarded in November 2019 with completion scheduled in January 2022. While the authorized cost of the SHEP was estimated at $706 million in 2014, a mandated update resulted in an increased cost due to the awards of several contracts at higher than estimated amounts and increased expenses and price levels effected by the length of time for the project. The new cost of $1.019 billion was authorized by Congress as part of America’s Water Infrastructure Act of 2018. The economics analysis was also updated resulting in an increased benefit-to-cost ratio of 7.3 to 1, one of the highest of any deep draft navigation project for the Corps of Engineers. Mason Mega Rail In addition to SHEP, the Georgia Ports Authority’s expansion plans include the development of significant rail infrastructure known as the Mason Mega Rail that plans to increase rail capacity from 500,000 to over 1 million rail lifts. Since March of 2018 the project has experienced significant progress including the completion of multiple bridge structures, civil infrastructure development and the commissioning of two (2) of the ten (10) rail mounted gantry cranes that will operate in the yard. In June 2020, Norfolk Southern began initial operations in the expanded rail yard that will allow for construction sequencing for rail improvements at other locations throughout the project site. By the end of calendar year 2021, the Authority expects to be operating six (6) rail mounted gantry cranes within an expanded yard that will serve both Norfolk Southern and CSX railroads. When fully completed in 2022, the facility will be the largest on-port rail terminal in North America and provide a new supply chain option directly to America’s Midwest. The Mason Mega Rail, specifically designed to efficiently handle 10,000-foot unit trains by both major rail carriers, will have 18 working tracks, a lift capacity of over 1 million containers per year and nearly 180,000 feet of track. Shippers in major markets from Memphis to St. Louis and Chicago to Cincinnati will experience greater efficiencies and reduced transit times to and from Savannah's growing intermodal hub. In many instances, cargo will avoid rail hub layovers, pick up a full day, and in turn open new markets and opportunities for shippers. Environmental Affairs As an instrumentality of the State, the Authority’s mission states that the organization will develop, maintain and operate ocean and inland river ports within Georgia; foster international trade and new industry for state and local communities; promote Georgia’s agricultural, industrial and natural resources; and maintain the natural quality of the environment. To that end the Authority is committed to conducting port operations in an environmentally sensitive and responsible manner to the extent feasible, practicable and consistent with the Authority’s overall mission and goals. iv
