Admiralty and maritime attorney George Gabel said Monday investing in Jacksonville's port facilities – including the proposed dredging of the shipping channel to 47 feet deep – could result in a local economic impact of more than $1 billion.
Gabel prefaced his remarks to the Rotary Club of Jacksonville by declaring he was not speaking as an elected official or in any official capacity representing the Jacksonville Port Authority.
"Take what I say as a private citizen," Gabel said.
With a deeper channel and improved infrastructure, including transportation options and distribution centers, the port could create 14,000 jobs with a payroll of more than $1 billion per year and $900 million in direct business income, he said.
In addition, the development of improved port and logistics facilities could generate more than $780 million in tax revenue over the next 35 years, he said.
The U.S. Army Corps of Engineers last week released a draft report on deepening the shipping channel and estimated the cost of dredging the shipping lane to 47 feet to be $733 million.
"I, for one, am convinced it's the right thing to do," Gabel said.
"The City should take responsibility to make bonding power available," he said.
The port is near three major interstate highways that connect Jacksonville to all regions of the United States and three major railroads move more freight through Jacksonville than any other port on the East Coast, he said.
"We have a wonderful location. Jacksonville is the easternmost port on the East Coast. There are 45 million people within an eight-hour drive of Jacksonville and 60 million people within a trucker's driving day," Gabel said.
"Many years ago, Jacksonville was called the gateway to Florida. The realization now is that Jacksonville is the gateway to America," he said.
The channel is at a 40-foot depth. While the focus has been on the 47-foot depth proposed for the shipping channel, Gabel said the number "47" has more significance in terms of moving freight from the dock to the rest of the country.
He also said Jacksonville's strongest maritime industry competition comes from the Port of Savannah, Ga.
"If we can get a container from Jacksonville to Chicago in 47 hours, we can beat the competition. The container can be in Chicago before the ship can get from Jacksonville to Savannah," he said.
In addition to improving highways and rail service to the port, Gabel said the port authority needs a strategic plan.
He said while development of distribution centers has finally become a priority, Jacksonville needs to catch up to the competition.
"Distribution centers don't create high-wage jobs, but shippers need distribution centers. We are 10-15 years behind. Forty percent of the goods bound for Central Florida go through Savannah," said Gabel.
Developing more passenger-ship business also would be an asset because "it's clean and profitable," but when it comes to the cruise terminal along Heckscher Drive, "there is hardly a worse place to board a cruise ship," he said.
Gabel suggested a solution could be a partnership between JaxPort and the Nassau County Ocean, Highway & Port Authority to put the region's cruise terminal in Fernandina.
Gabel said passengers would arrive and depart "in a village" and Fernandina is the only natural deep-water port in the Southeast.
He said an arrangement similar to The Port Authority of New York & New Jersey could benefit Jacksonville and Nassau County, "but that will probably never happen" due to political interests.
(904) 356-2466
Facebook.com/jacdailyrecord