Ports Authority Scrambles To Keep Maersk
The interim president of the S.C. State Ports Authority will present a deal to Maersk-Sealand executives in Charlotte, N.C. today aimed at keeping at least some of the company’s business with the Port of Charleston.
Maersk announced two months ago that it was pulling out of Charleston entirely when its contracts with the Ports Authority expire in 2010, and the company will be moving almost half of its business from Charleston to other U.S ports beginning in March of this year.
Former Ports Authority president Bernard Groseclose resigned in the wake of the Maersk flap, and lawmakers have used the incident to try and strip the governor of his appointment power over Ports Authority board members.
The new deal offered by interim SPA president John Hassell is rumored to give Maersk flexibility over paying “shortfall fees,” or charges assessed by the Ports Authority if a company does not meet certain quotas for container traffic passing through the port.
Of course, the fundamental issue of port managment remains unaddressed, with the SPA still refusing to utilize public-private partnerships at its port facilities.
Even before the global recession began, the Port of Charleston was dropping like a rock compared to other U.S. ports, slipping from No. 4 to No. 8 in the nation.
Also, Ports Authority executives have been working behind the scenes to block the construction of a new deepwater port in Jasper County for decades.
Comments
By Elmo on February 9th, 2009 at 8:33 am
Maersk signed a contract with our SPA guaranteeing South Carolina revenue, even if Maersk’s volume slips. Then when Maersk’s volume does slide off, Maersk threatens to leave Charleston.
Maersk’s parent company has forecast their 2008 profits to be $3.4 BILLION dollars, yet our SPA and our legislators favor allowing them to wiggle out of paying their shortfall fees.
Our State is basically broke – so let’s allow a foreign-owned shipping company to skate on their existing shipping contract.
http://www.reuters.com/article/rbssEnergyNews/idUSDKT00237620090205
By Bigman on February 9th, 2009 at 9:21 am
They are pulling out bc the long shore man’s union is required to be used in tieing up their ships which cost a lot more. Even though we are a right to work state, Groseclose let the long shore man vote whether to allow Maersk to use there own guys and save them money and guess what, they said no. Why in the hell is South Carolina carving to Unions is beyond me. Get rid of the long shore men and they will stay. Easy as that.
By James on February 9th, 2009 at 11:00 am
I think these union guys need to realize that they are the ones losing their jobs over this. When Maersk pulls out to realize a better contract, it is a signal to the other lines that they can do the same. I wonder if Mayor Riley is planning on the future development of the port terminal (Union terminal) downtown. A park maybe? If we charge enough for parking (say $50,000 per hour) we might be able to recoup the losses after the port is extinct.
By anonymous on February 9th, 2009 at 2:18 pm
South Carolina has UNEMPLOYMENT RATES in some counties that are the highest in the nation.
DECEMBER 2008
1. Allendale County unemployment rate of 19.7%
2. Marion County unemployment rate of 19.0%
3. Chester County unemployment rate of 17.3%
You know what “Slum Dog” says? Don’t help South Carolina!
“Slum Dog” says I don’t want tax cuts, incentives, or Federal Spending in South Carolina. “Slum Dog” is a freakin idiot.
The “Slum Lord” of South Carolina has promoted policies to create poverty, high unemployment, high crime and violence and third world medical care. If a crime boss were running our state, this is what our state would look like.
CNN VIDEO
http://www.ajc.com/metro/content/shared-blogs/ajc/politicalinsider/entries/2009/02/08/mmark_sanford_were_closing_in.html
By anonymous on February 9th, 2009 at 3:33 pm
South Carolina unemployment rate IS the HIGHEST LEVEL ON RECORD
December 2008 SC Unemployment Rates
SC Unemployment Rate is 9.5% in December
With momentum from ongoing layoffs and an expanding labor force, South Carolina’s unemployment rate continued to climb in December reaching 9.5%, the State Employment Security Commission reported today. This is more than a full percentage point above November’s rate of 8.4%, and the highest rate since January 1983. The state’s labor force grew nearly 14,300 in December to 2,184,613. The number of unemployed grew almost 25,600 to 207,171, the highest level on record. The national unemployment rate also rose sharply, climbing from 6.7% in November to 7.2% in December.
Unemployment Rates Ranked By County (unadjusted)
Rank – County – December 2008
1 Allendale 19.7
2 Marion 19.0
3 Chester 17.3
4 Marlboro 16.9
5 Barnwell 15.8
6 Bamberg 15.8
7 Union 14.7
8 Dillon 14.2
McCormick 14.2
Williamsburg 14.2
11 Fairfield 14.1
12 Lancaster 13.9
13 Orangeburg 13.6
14 Cherokee 13.2
15 Chesterfield 13.1
16 Hampton 12.7
17 Clarendon 12.6
18 Lee 12.2
19 Colleton 11.8
Georgetown 11.8
21 Darlington 11.7
22 Horry 11.5
23 Abbeville 11.4
24 Greenwood 11.2
25 Oconee 10.9
26 Sumter 10.7
27 Calhoun 10.1
28 York 9.9
29 Newberry 9.7
30 Anderson 9.6
31 Spartanburg 9.4
32 Laurens 9.3
33 Florence 9.1
34 Edgefield 8.4
Kershaw 8.4
36 Berkeley 8.2
37 Jasper 8.1
38 Pickens 8.0
39 Dorchester 7.9
40 Richland 7.8
41 Aiken 7.7
42 Greenville 7.6
43 Saluda 7.5
44 Beaufort 7.0
45 Charleston 6.9
46 Lexington 6.5
http://eascinc.com/unemployment_rate.html