PORTLAND, Ore. (KOIN) — In the months-long saga involving financial struggles at Oregon’s only international container terminal, the Port of Portland has reached a tentative deal with a long-term operator.
On Friday, leaders announced they have established a “framework agreement” with Harbor Industrial — the company that currently operates Terminal 6 in tandem with the Port.
In January, Port Executive Director Curtis Robinhold wrote a letter asking state officials for an additional $10 million in support of T6. As the sole terminal of its kind in Oregon, the facility plays a significant role in allowing local and regional businesses to import and export products with other companies worldwide.
Robinhold asserted that T6’s future had been threatened for many years, citing factors like the size of Portland’s market in comparison to Los Angeles and Seattle and the facility’s distance from the coast.
Later in April, after the initial failure to secure funding from state officials, the Port’s Chief Trade and Economic Development Officer Keith Leavitt alerted “industry stakeholders” that container operations would halt in October of this year.
Six Oregon legislators responded with a pledge to back the Port in its efforts to “find a sustainable financial model” for the facility.
The following month, Gov. Tina Kotek proposed a $40 million investment in local container services. T6 is estimated to garner about $20 million in local and state tax revenue every year.
"Scores of businesses throughout Oregon rely on Terminal 6 to ship their goods and Oregon communities rely on the quality jobs it supports," Gov. Kotek said in a recent announcement. "My recommended budget reflects my commitment to resources to facilitate the continuation of container service, and I intend to advocate for these funds in the Legislature."
According to the Port, the framework agreement with Harbor Industrial “assumes” state leaders will allocate $5 million toward container service losses and another $20 million toward capital improvements at the facility.
The Port and Harbor are expected to finalize their agreement over the next six months.
