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HomeMy WebLinkAbout08262024 City Council Laydown - Jesse Groom ILWU LetterGood evening community and council members. My name is Jesse Groom and I live out of city limits. I am the President of ILWU Unit 60. As most of you know the ILWU is the work force for the cruise ships at the end of Port Ave on the Alaska Railroad Facility, but we also offload a number of other vessels and barges on the freight dock. The ILWU has had a presence in Seward working the docks for 80+ years. We employ Seward residents, as well, our employers are long time Alaska based. On any given day we employ over 100 people. The last couple years the Port of Seward has received numerous cargo vessels at the freight dock discharging thousands of tons of pipe and fracking sand heading to projects on the North Slope. From Oct.1st 2023 till April 30th 2024 the ILWU payroll was $1.3 million and a substantial portion of that was put directly into the community of Seward. We picked that specific timeline for payroll to help you understand the type of revenue that the ILWU is bringing to the community without cruise ship vessels in the port. The vessels worked by ILWU on the freight dock are in serious jeopardy of going elsewhere due to the inefficiencies of the Alaska Railroad. The ILWU and our Employer became aware of a ship that was destined for the Port of Seward with pipe that has been redirected to Houston, Texas to be offloaded. Those cargoes will then be discharged and loaded out onto rail cars and trained across the country, and finally loaded onto a Matson ship to dock in Anchorage all because the customer will get their cargo to the final destination faster than the vessel coming directly to the Port of Seward. The timeline for the vessel going to Texas will take approximately 5 months and this is still quicker for the customer than bringing their cargoes to the Port of Seward and the AKRR transferring the cargoes from Seward to Fairbanks which is the customers preferred method. This is a direct result of the Railroads inefficient operations. As an example, we offloaded a vessel this past June and as of Aug.1st only 6 railcars of cargo have made it to their destination. Due to the Railroads inadequate rail operations more and more cargo vessels are looking to go elsewhere which will result in the community of Laydown 8/26/2024 CC meeting letter from Jesse Groom Seward losing work opportunity and revenue. Over the last couple years when the port has been at it’s busiest the Railroad repeatedly promises cargo customers railcars to move their cargo and then either does not or cannot provide them with any of the necessary equipment. Once they finally do bring railcars down, the railcars will sit in Seward for weeks and sometimes months on end fully loaded with the customers cargo. The ILWU has learned recently that the AKRR has even gone as far as telling customers to take their vessels to other ports in Alaska. The railroad has the luxury to say these types of things because regardless of what Alaska port the vessels dock at the Railroad will still make a profit. The community of Seward is the only one that loses in this case. Working on the waterfront with the Railroad for decades we have been told by AKRR employees numerous times that the Railroad is not interested in moving cargo out of the Port of Seward, they only want to cater to the cruise ships and passenger trains. We are aware that in 2018 a $20 million grant was awarded to expand the freight dock and that the City of Seward is partnered with Alaska Railroad on this expansion, that is why we are here today voicing our concerns. ILWU Unit 60 Seward’s officers, members, families and the Alaska Longshore Division officers and members are prepared to be apart of a proactive solution to ensure the Port of Seward is the fully operational cargo port it has been for over 80 years into the next 80+ years. I have so much more to say about the Railroad and it’s facilities beyond the freight dock but due to time constraints I encourage every community and council member to reach out to me with any questions. I will gladly make the time for a conversation to expand further and in more detail on everything. Thank you for your time. Please feel free to contact us with any questions. ILWU Unit 60 Executive Board President Jesse Groom ilwu60_groom@yahoo.com 907-362-1823 Vice President Caleb Adelmann caleb_adelmann@hotmail.com 907-362-7969 Sec./Treas. Sonya Hibbetts stravis4662@gmail.com 907-362-2660 ILWU Unit 60 ilwuunit60@gmail.com 907-224-5515