AAPA concerned over funding shortfall

The American Association of Port Authorities (AAPA) is worried that next years federal budget provides no funds to meet port facility security requirements despite being authorised in the Maritime Transportation Security Act (MTSA). AAPA president, Kurt Nagle, said:

“Port authorities and facility operators are expected to comply with the new security regulations at a cost of billions of dollars. Federal help is simply imperative in order to make that expectation reality.”

An FBI official testifying before Congress has stated that ports are a key vulnerability that has attracted interest from terrorists. He added that a significant challenge is the limited amount of funding and resources available to the state and local port agencies. At the same hearing, a USCG official said a major port closure for one month due to a maritime terrorist act could cost up to $60 billion in economic loss to the United States. According to Coast Guard estimates, port facilities will need to spend $5.4 billion on enhanced security measures over the next ten years to comply with new federal regulations mandated by the MTSA, with $1.125 billion of that projected for the first year alone. Since September 11, 2001, Congress has appropriated $493.2 million for the port security grant programme.

AAPA urges an annual federal funding level of $400m for the port security grant programme to make the enhancements required under the new regulations. While disappointed in the lack of funding for port facilities, AAPA says it’s pleased that the Department of Homeland Security (DHS) received a 10% increase over the 2004 budget with several Coast Guard and Customs and Border Patrol maritime security programmes benefiting from the boost in funds. For example, both the Container Security Initiative (CSI) and the Customs Trade Partnership Against Terrorism (C-TPAT) programme received increased funding.