The Port of Virginia delivers opportunity by driving business to, and through, the Commonwealth

The Port of Virginia's diverse talent, agile use of technology, and command of our ever-changing industry sets the pace for the supply chain of today, while plotting the course for its tomorrow.

Innovation:  We embrace challenges as opportunities. We leverage technology and experience to move our business and our industry forward.

Helpfulness:  We are dedicated to making a positive impact on the world. We offer assistance and are appreciative when it's accepted - and understanding when it isn't. We ask questions and offer our best solutions

Fortitude:  We are clear in our intent, thoughtful in our approach, and professional in our execution

Accessibility:  We build strong, enduring relationships with our customers by listening, fostering dialogue, and creating connections

Mindfulness:  We drive business and deliver opportunities today while maintaining a clear vision for the future

Sustainability:  We are responsible stewards of the communities in which we operate, the relationships we foster, and all of the resources entrusted to our care

The Virginia Port Authority (VPA) is the leading agency for international transportation and waterborne commerce in the Commonwealth. The Authority’s primary responsibilities are to foster and stimulate the commerce of the Ports of the Commonwealth, to develop and optimize port facilities and infrastructure, to improve operating efficiencies and to manage port assets in a fiscally responsible way. The Virginia Port Authority manages, on behalf of the Commonwealth, the four state-owned facilities located in Norfolk, Portsmouth, Newport News and Front Royal and leases the Virginia International Gateway Terminal in Portsmouth and the Richmond Marine Terminal. 

The Virginia Port Authority, marketing itself as the Port of Virginia, is the third largest container port on the East Coast and the fifth largest container port complex in the United States.   VPA has a master services agreement with a private operator, Virginia International Terminals (VIT), to provide terminal operations at all of its facilities and hire the union labor that works on those facilities.  That agreement also includes work by VIT’s subsidiary, Hampton Roads Chassis Pool II to lease and maintain chassis for our port partners.  VIT also handles all of the commercial contracts with the shipping lines that call on the port’s various facilities.  VPA is committed to operational excellence, fiscal responsibility, and sustainable growth resulting in investment and job creation across the Commonwealth.  

The agency remains focused on optimizing its modern terminals, making strategic investments to increase overall capacity and increasing efficiencies across its facilities. With the ongoing support of the Governor, General Assembly, the Secretary of Transportation and the Virginia Port Authority Board of Commissioners, the port has expanded its capabilities and the result is cargo volumes that have been growing steadily since 2020.

From 2016 to 2019, VPA was engaged in a significant expansion, renovation and modernization project that centered on adding capacity and capabilities at its two primary container terminals: Virginia International Gateway (VIG) and the South Berth of Norfolk International Terminals (NIT). The total cost of the two projects was nearly $800 million, with $350 million of that coming from the Commonwealth specifically for use at South NIT. 

The projects provided the capacity to process an additional 1.2 million container units annually within the terminals’ existing footprint. New ship-to-shore cranes, more gates for motor carriers, a longer wharf at VIG, improved capability to handle rail cargo, automated container stacking cranes and twenty-first century technology were all part of these projects. In addition, the projects began our shift to clean energy – from diesel fuel to electricity -- for use in our cargo handling equipment. 

The result of these investments is evident in the amount of cargo the port has been able to handle during the most challenging trade environment in the industry’s history. The added capacity and increased efficiency combined with some of the world’s most modern terminals is bringing business to The Port of Virginia. 

Over the last two fiscal years, the port has differentiated itself as the fastest growing port on the East Coast and set records for the amount of cargo processed (measured in twenty-foot equivalent units, or TEUs): 

• FY21 = 3.2 million TEUs


• FY22 = 3.7 million TEUs

A recent William & Mary economic impact study showed that the port and the activity tied to it was responsible for 437,000 full-time jobs and $100 billion in spending throughout the Commonwealth. Ocean carriers sending big ships with heavy cargo loads to specific ports – those that are most efficient and capable -- is the industry’s new normal.  

The new normal is driving the port to invest $1.4 billion during the next five years to ensure it has the capacity to handle the growing demand and continue to drive outside the gate investment and job growth across the Commonwealth.  This investment includes: 

• Expanding the Central Rail Yard at NIT to accommodate 260,000 additional annual container lifts. When complete, the terminal will be able to accommodate 610,000 annual rail lifts and the port will have annual rail lift capacity of more than 1 million units.


• Renovating, expanding and modernizing the North Berth at NIT to create capacity for 800,000 total annual lifts. This includes installation of new ship-to-shore cranes and a reconfigured container stack yard supported by the industry’s most advanced cargo handling equipment and technology.


• Deepening (to at least 55 feet) and widening the Norfolk Harbor and commercial channels.

The Commonwealth and federal government are sharing the $450 million cost of the harbor widening and deepening project. The work is underway and when complete, Virginia will have the widest and deepest commercial port on the US East Coast. Deep, wide channels allow for safe, two-way traffic of ultra-large container ships that are loaded to their maximum capacity. Moreover, this advantage will help drive first-in and last-out vessel services that are a catalyst to attracting new businesses across the Commonwealth.

With each new investment from the state or federal government, the port is working toward a more sustainable operating future. Ultimately, these investments in the Commonwealth’s network of terminals enables meeting the needs of the millions of Americans served daily across the Commonwealth and beyond. It is long range, responsible planning for expansion projects like the ones at VIG and NIT that open the door to even more cargo and sustainable growth. 

Industry and trade developments

Several developments have created an opportunity for the Port of Virginia to grow its market share by leveraging its consistent, reliable service levels created by recent infrastructure investments and operational best practices. The COVID-19 pandemic presented the greatest challenge in history to the global shipping and logistics industry. As the pandemic took hold, there was a significant jump in cargo as manufacturers rushed to fill on-line orders from larger retailers, resulting in a rapid increase in cargo coming to the United States West Coast. Ports there became so congested that ship lines and cargo owners had to find alternatives for moving their cargo and began re-routing cargoes to the United States East Coast. The Port of Virginia, because of its investments, performance and efficiency, became the East Coast choice of many. This change has resulted in significantly stronger demand for port-centric transload and distribution center capacity on the East Coast and the port has been actively attracting developers and third party logistics companies to invest and bring jobs to Virginia.  The port’s cargo volumes have grown significantly in 2021 and 2022 and they will continue to leverage superior performance and reliability during this period to demonstrate the advantages of doing business here. 

There are several strategic initiatives underway that will improve the port’s operational and administrative abilities.

There are five initiatives that impact the port’s operational facilities. 

Truck Reservation System: The Port of Virginia is currently updating the port truck reservation system to a level consistent with best practices on the U.S. East Coast. In doing this we recognize the need to significantly extend the concept to further advance the state-of-the-art technology. This is the basis for the need to create a “second generation” system. This effort will include a published data model to provide real-time updates to dispatchers and truckers via their Truck Management Systems. The system also will include a Data Subscription Model to push information out to the truckers and other logistics chain stakeholders (shippers, brokers, shipping lines, etc.) using a cloud-based system ubiquitous across all of Virginia’s terminals. The proposed Data Model will serve as the basis for a standard industry dataset to scale across other ports.

NIT: Central Rail Yard Expansion: Adding 10,700 feet of new track (8 working tracks) inside the terminal with cantilevered rail mounted gantry cranes, doubling the existing capacity.  This project requires images to be taken of the trains as they enter the newly built tracks for inventory purposes.  These images need proper data storage and server compute power for the train images and data to be process. The network devices needed to process the rail will communicate over a redundant fiber backbone back to datacenters that host the application used to process containers. Complete in 2024.

Richmond Marine Terminal Gate:  The project builds an automated gate complex with two In-Gate and two Out-Gate lanes similar to VIG and NIT which improves safety, security, and performance.  This project requires fiber-optic cabling, a network capable of transferring truck images to maintenance inspection personnel, security validation at each gate lane, voice-over-ip communications when there is a requirement to speak to the driver, and the software to process gate transactions in the central office building.

NNIT Expansion:  This project adds 18 new semi-automated stacks and supporting crane rails in North NIT; Completion estimate 2027.  Information technology will install a new fiber-optic backbone and resilient network switching technology to support the availability requirements for each stack.  Wireless access points to support the movement of container handling equipment throughout North NIT and satisfy the operational requirement of tracking containers and maintaining an accurate inventory.

N4 Upgrades – VIG and NIT: This project upgrades the terminal operating systems at both terminals to new versions in order to take advantage enhancements such as improved rail performance and stability.

In addition to the operational projects, the IT department in concert with Finance has implemented a new financial system.  This project combined the port’s two aging finance systems into a single modern and robust system that automates many manual processes, upgrades existing workflows and enhances financial reporting. 

To foster and grow their human capital, VPA offers several engaging initiatives:

Education Reimbursment & Certification, Licensures and Trades: VPA supports colleague participation in degree programs offering up to $5,000 reimbursement per year, as well as various certification, and participation in associations and conferences. They also fund licensures and continuing eduation for trades includings (e.g. electrical, plumbing, IT Security, CPA and Legal). 20% of port colleagues participate in this form of development.

Internal Programs and Training: VPA has established a Learning Management System (LMS) which provides access to over 500,000 courses that cover various topics and content. The approach is to provide the tools and knowledge that build self-awareness, so that colleagues can in turn be more equipped with the competencies and strengths needed to better lead people and lead the organization. There is 100% utilization of the LMS. VPA also offers various other learning opportunities: Including programs focused on developing colleagues, building self-awareness (MBTI, Appreciation at Work): Opportunities focused on expanding awareness of our industry and region (tug boat tours, port tours).

Onboarding: The VPA onboarding program equips new colleagues with the training, resources, and mentorship that enables them to be productive and successful from their first day. New hires complete a survey during their first week and at their 30-day and 90-day milestones. Questions such as "I'm confident using the tools and systems I need for my role" and "The training I have received so far has been effective" allow insight regarding their onboarding experience, training, and access to tools and resources. Having comparable data over a span of time allows the port to follow up, provide a positive experience, and establish relationships with new hires early in their career.

Wellness Programs: Wellness incentive programs offer employees the opportunity to earn rewards for completing important health screenings and participating in physical fitness activities. VPA offers free annual flu shots, mobile mammography screenings, and an onsite clinic, allowing team members to prioritize their health without taking costly time away from the job. They also partner with EdlLogics, an online platform that provides colleagues with the opportunity to learn health and wellness in a fun and angaging way. Improving health literacy results in overall better health. On average, approximately 400 employees and spouses participate. Over 50% of POV colleagues registered for EdLogics, with high levels of participation since its inception (over 250 "activities" and 17 learning modules completed per person).

Performance Management, Rewards and Recognition: Performance management plays a vital role in workforce development. Colleagues create goals to support and align with tghe overall vision and mission of The Port of Virginia. They are assessed and evalutated on their goal achievement and performance throughout the year. Colleague driven rewards and recognition programs (Stewardship Recognition Program, Stewardship Captain Award, Spot Award) allow colleagues the opportunity to recognize and show appreciation of one another for professional excellene and demonstratin our shared values and making notable impacts on department, division, or organizational operations.

Diversity, Opportunity & Inclusion Program (DO&I): VPA has developed a strategic plan and roll out of DO&I related activities and initiatives that will foster diversity and inclusion. The program was announced in Aug 2020, with an introduction to required DO&I training. VPA is currently partnership with a vendor to ensure continued customized training and development.

Succession Management Program: Implementing a new Succession Management Program, designed to identify and manage the career development of high potential colleagues, reduce attrition among high potentials and ensure a steady pipeline of qualified candidates for areas of need.

Staffing:

Authorized Maximum Employment Level (MEL) = 260

Salaried Employees = 128

Wage Employees = 82

Contracted Employees = 9

The Port of Virginia is one of the fastest growing ports in the nation, absorbing cargoes at a faster rate than other ports partially due to diversion of cargo from those ports and preventing additional congestion at those gateways. The port handled 67 percent more containers in 2021 than it did 10 years earlier, and this growth has been particularly pronounced over the last two years with the port’s volumes growing by 25% in 2021 compared to 2020.  The Port of Virginia has been able to handle that growth through a focused capital investment strategy. 

Ensuring that The Port of Virginia has the capacity and throughput capabilities to support the global supply chain, providing consumers across the country with the goods they need now and in the future, requires the optimization of its facilities and building out of its infrastructure.  The Commonwealth of Virginia and the Port Authority have invested more than $2 billion in port infrastructure to expand Virginia International Gateway (completed 2019), Norfolk International Terminals - South (SNIT) (completed 2021), the deepening and widening of Norfolk Harbor and Channels (scheduled to be completed in 2024), expansion of the Central Rail Yard at NIT (scheduled to be complete in 2024) and the optimization of NIT – North (scheduled to be complete in two phases, 2025 and 2027 respectively).  

To maintain and increase its ability to serve American farmers, manufacturers, and consumers, the port will continue to invest in its major container terminals and its two inland terminals at Virginia Inland Port in Front Royal and Richmond Marine Terminal.  The port has also dedicated Portsmouth Marine Terminal (PMT)  to serve as a the premiere Mid-Atlantic offshore wind hub and will be completing $223 million of upgrades to PMT to be able to handle the load bearing strength of offshore wind components, along with leasing portions of the terminal to an offshore wind developer and component manufacturer to foster the establishment of the supply chain of the offshore wind industry in Virginia.  

TheThe Port of Virginia Enterprise Risk Management (ERM) Program launched in 2016. Since that time, the Program has facilitated the identification of key risks facing the organization, strategies for mitigating those risks, and a reporting mechanism for tracking progress. The following factors are the top risks that may impact the Agency over the next several years:

Cybersecurity

Cyber security threats continue to be on the rise with significant increases in ransomware and industrial control system attacks. With the ongoing increased use of technology in the port’s capacity expansion projects, the protection of the terminal operating software systems is paramount to continued and future success. Networking, navigation infrastructure, control systems, and numerous integration points between multiple systems increase the target footprint. Adversaries, whether automated, interactive, or the Advanced Persistent Threat, can quickly, and with very little effort, take down a technologically advanced terminal; and the response and recovery time can be drawn out leading to the loss of millions of dollars in revenue from the incident, as well as a potential loss in cargo through diversions. The port has a Cyber Security Operations Committee that sets policies regarding Cyber, establishes training for all colleagues to mitigate against threats, is building a cybersecurity operations command center and plans table top and live exercises with port colleagues and partners so that in the event of a cybersecurity attack, operations would resume as quickly as possible.  Additionally, we have a third party consultant come in and assess our cybersecurity mitigation measures annually to continually improve our planning and response preparedness. 

Disaster Recovery

Should a significant weather event or natural disaster strike the Hampton Roads area, several Port of Virginia facilities could be impacted.  The port relies heavily on local transportation and utility infrastructures, over which it has no control, to perform cargo operations.  Following a disaster, the response and recovery time can be protracted, leading to the loss of millions of dollars in revenue, as well as a potential loss in cargo through diversions. The port has a dedicated Maritime Incident Response Team (MIRT) Infrastructure which consists of port colleagues, the Coast Guard, US Navy, other local government agencies, Virginia Department of Emergency Management and other community partners that prepare and respond for all hazard events in the port to ensure business continuity after an event.   

Supply Chain Volatility

As the supply chain continues to be impacted by changes caused by the pandemic (just in case, rather than just in time buying patterns, increased ecommerce, factory shutdowns, labor shortages, shifts in trade routes), global economic uncertainty, and consumer inflation the port will need to continue to closely monitor market indicators and be agile in its approach to demand and slowdown predictions.   

The Virginia Port Authority has the following funding sources:

Terminal Revenues:

The VPA receives (net) terminal revenues from VIT on a monthly basis. In addition, VPA generates a small amount of revenue from other sources (security surcharge per container or breakbulk ton, license agreements, advertising, special security detail, etc.) Terminal revenues fund all operating expenses for the VPA as well as certain capital expenditures.



Commonwealth Port Fund:

The VPA receives 2.5% of revenues from the Commonwealth’s Transportation Trust Fund taxes collected pursuant to Virginia Code Section 33.2- 1524.1. The allocation is called the “Commonwealth Port Fund”. As required by statute, CPF revenues are used by the VPA to pay for capital projects, terminal maintenances expenses, aid to local ports, and waterway maintenance. The VPA often utilizes CPF revenues to support the issuance of bonds to finance capital projects. 



Other Sources:

The VPA periodically receives funds from the federal government, primarily in the form of port security grants, though environmental grants are common too. The grant funding is used to fund capital equipment, construction, port security, freight related transportation improvements, and studies pursuant to the award criteria The VPA also periodically receives pass-through appropriation from the Commonwealth for specific capital projects. These projects are normally maritime or transportation related, and may benefits other entities outside of the VPA, as well as the VPA.

Though the Authority has no taxing abilities, Commonwealth Port Fund Allocations are based on tax revenues collected by the Commonwealth, hence the detailed revenue sources noted above include the components of the CPF Allocation.  The major revenues of the Authority are collections for services provided by the operations of the terminals through their operating company.  Additional capital revenues include funds from the Commonwealth Public Building Authority Bonds allocated to PMT construction and work on the harbor channel project. The funding is recognized by the port as it is spent during construction.  Further capital revenue includes General Fund dollars allocated to North NIT construction, as well as revenues derived by grants received from the Federal Government and the Commonwealth. 

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The Virginia Port Authority, through its terminal operator Virginia International Terminals, LLC, provides container and non-container handling services for companies involved in international trade. The Authority's main services include the following:

• To promote the use of the state-owned and leased general cargo facilities by increasing container volume and general cargo tonnage from existing and new customers.


• To maintain and improve port and facility infrastructure to ensure future capacity and long-term viability of port assets.


• To ensure necessary improvements to navigable tidal waters within the Commonwealth.


• To promote sustainability and ensure that port development and terminal operations comply with government regulations.


• To promote port-related economic development to bring investment and jobs to the Commonwealth.


• To provide grant funding to local governments to support port capital and preservation needs for existing ocean, river, or tributary ports within the Commonwealth of Virginia through the Aid to Local Ports program and Waterway Maintenance Fund.


• To facilitate the lawful flow of commerce through Port of Virginia facilities; to safeguard life and property, and to maintain law and order at those facilities.


• To issue debt and lease-purchase financing to support the Agency’s capital investment in port development projects and equipment acquisition.


• To inform and provide information to customers, partners and the general public on the services the VPA offers.

Utilizing trucks, barges and the East Coast’s two Class I railroads, the port handled a record 3,695,000 TEUs of import and export cargo. The exports were bound for far-away destinations and the imports landed at warehouses, assembly plants and retailers throughout Virginia and the Midwest’s traditional manufacturing and population centers. The cargo is diverse: finished passenger vehicles, massive electrical transformers bound for new power plants, coffee beans destined for regional roasting operations, agricultural products and boulder-sized rolls of paper in addition to the goods stowed into millions of containers. 

In FY22, total barge volume (service to Richmond, Baltimore and Philadelphia) was up 25.7 percent; rail cargo was up 12.4 percent and truck traffic was up 16.5 percent when compared with FY21. It is important to note that our on-dock rail operations move more cargo by volume – roughly one-third -- than any other port in the nation. 

The cargo growth came aboard fewer, but increasingly larger ships.  In FY22 the port processed 1,471 ship calls, a decrease of 4.4 percent when compared with FY21. Though there were fewer vessel calls, those ships were carrying more cargo. Further, there were more first-in ship calls, which indicates importers taking advantage of the port’s efficiency and lack of congestion. Additionally, the port added several new vessel services with direct connections to Asia, many of which connected Virginia with new markets. 

A modern and growing port attracts users that, in turn, invest or reinvest in their facilities. In FY22, the port helped to attract 33 businesses engaging in international trade that generated more than $4.4 billion in investment to Virginia and the creation of 12, 516 new jobs.  

Growth in cargo equates to job creation, business investment, growth in taxable revenue, economic development and prosperity across the Commonwealth. 

Foster and stimulate commerce via The Port of Virginia in a safe, fiscally responsible way and with excellence in terminal operations resulting in greater economic impact generated for the Commonwealth.

• Pursue health and safety excellence through the port’s Terminal Safety Excellence Program (TSEP) to identify hazards, develop solutions that will control those hazards, and motivate all terminal patrons toward safe behaviors.

• Maintain a strong culture of safety and delivery of superior safety performance by having engaged leadership working with a committed and skilled workforce.

• Manage facilities in a fiscally responsible way; maximize asset utilization and make strategic investments to increase cargo

Continue to invest in the Port’s terminals and channels as valuable assets to The Port of Virginia and the Commonwealth.

• Facilitate on time, on budget construction through timely procurement and management of projects

• Establish a risk register and actively manage risks

• Maintain close Executive oversight by the US Army Corps of Engineers on their contracted portions of the deepening and widening project

• Facilitate on time, on budget construction through timely procurement and management of projects

• Establish a risk register and actively manage risks

Continue to grow The Port of Virginia's containerized business and outside the gate port-centric logistics development to solidify the Port's market share of cargo and leverage the ports’ investments in infrastructure.

• Facilitate the attraction of developers and third party logistics providers to invest in the Commonwealth

• Pursue an economic development strategy to utilize available land and warehouse space

• Establish Sales Verticals and subject matter expertise to help attract targeted industries to invest in the Commonwealth

• Facilitate the attraction of developers and third party logistics providers to invest in the Commonwealth

• Pursue an economic development strategy to utilize available land and warehouse space

• Establish Sales Verticals and subject matter expertise to help attract targeted industries to invest in the Commonwealth

To promote the use of the state-owned general cargo terminals by increasing container volume and general cargo tonnage from existing customers and identifying and securing new potential business.

The mission statement of the Virginia Port Authority (VPA) mandates that the primary goal is to stimulate cargo movement through the leased and state-owned terminals. This is accomplished through direct customer contact and a well-developed strategic plan.

Summary - Virginia's strategic mid-Atlantic location and unparalleled transportation infrastructure offer unbeatable access to two-thirds of the U.S. population and one of the most frequent direct sailing schedules of any port. Virginia has the best natural deep-water harbor on the U.S. East Coast. Fifty-foot-deep, unobstructed channels provide easy access and maneuvering room for the larger post-Panamax ships. Virginia ports are located just 18 miles from the open sea on a year-round, ice-free harbor. A modern network of rail, interstate, and local highways permits fast, direct inland motor-freight transportation to any point in the United States.



Shiplines - As coordinated through VIT: provide berth space, reliable and available cranes, inside and outside storage, intermodal connections, price competitiveness, well-trained labor and ample importer/exporter base.



Importer/Exporters - Provide shipline service to all trade lanes, efficient intermodal connections, security/safety, price competitiveness, customer service and ample inside and outside storage.



Intermodal Customers (railroad, truckers, barge services, etc.) - Provide sufficient cargo volume, import and export balance, efficient access to state-of-the-art facilities, and trade information.



General Public - Job generation, community support and responsiveness, and trade information.



International Freight Forwarders/Custom House Brokers - Provide effective communications between the terminal and state and federal agencies (i.e., U.S. Customs, USDA), and other customer service.



Other Members of Maritime Community - Provide customer service, reliable transportation modes, port management, and strategic planning.

National and International Trade Services is funded 100% from Port Facilities Revenues.

The Marketing Team is responsible for Commerce Advertising. This advertising activity is a vital area within which design, development and printing of promotional literature, brochures, audiovisual materials, and institutional advertising are executed. 

To inform and educate customers on the various services the VPA has to offer, to meet the needs of clients, and to encourage use of VPA ports by shippers.

MarCom Generates the advertising used by the port to attract business.  Internally they provide all Service Areas support with

• Social Media


• Graphic Design


• Advertisements


• Event Displays


• Video production


• Photography


• Website Design & Maintenance


• Partner Communications

The Marketing team designs, acquires marketing collateral, maintains communications assets, and the branding for the port.

Commerce Advertising is funded 100% from Port Facility Revenue

Maintenance and Operations of Ports and Facilities is responsible for maintenance and improvements to the infrastructure on the state-owned and controlled port facilities. Major work areas of this function are the planning, design, and construction activities to accommodate cargo-handling requirements, which ensure compliance with project plans and specifications. In order to adequately maintain the more than 1,800 acres of fully developed, state-of-the-art marine terminals, the VPA must also manage a maintenance program sufficient to protect the Commonwealth’s extensive marine terminal investment. Maintenance policies and standards are developed to process work required, to promote efficient operations and to ensure an extended life of state-owned facilities. 

As a result of the Maintenance and Operations of Ports and Facilities, the VPA’s terminal operators have the tools needed to operate more efficiently, resulting in lower operating costs, while at the same time increasing revenues and capacity for additional cargo volume and protecting the Commonwealth’s investment

Developing, expanding, improving, and maintaining state-owned port facilities.

Maintenance and Operations of Ports and Facilities is funded 45% from Port Facility Revenues, 41% from Commonwealth Port Fund revenues and 14% from a Federal grant.

Port Facilities Planning, under supervision of the Chief Development & Public Affairs Officer, is responsible for developing, expanding, improving, and maintaining state-owned port facilities. In addition, Port Facilities Planning is responsible for all environmental management programs, including environmental compliance related to port development and terminal operations. They also perform pre-planning work necessary to assist in capital budget and grant requests. Major work areas of this function include the selection of engineering design consultants; the management of the design process; the project public bid process; and the oversight of construction activities to accommodate cargo handling requirements which ensure compliance with project plans and specifications. 

As a result of the Port Facilities Planning work performed/supervised by the Chief Development & Public Affairs Officer, the VPA’s terminal operators, have the tools they need to operate more efficiently, resulting in lower operating costs, while at the same time increasing revenues and capacity for additional cargo volume and protecting the Commonwealth’s investment. 

The Sustainability team works with the VPA’s terminal operators to promote sustainability and ensure that port development and terminal operations are in compliance with government regulations. The goals of this support are to prevent construction delays and losses in operating efficiency and achieve lower operating costs. 

Developing, expanding, improving, and maintaining state-owned port facilities.

Port Facilities Planning is funded 100% from Port Facility Revenues.

The VPA utilizes the issuance of tax-exempt debt and lease-purchase financing to support its capital investment in port development projects and equipment acquisition. The VPA issues both terminal revenue (Special Fund) and Commonwealth Port Fund (CPF) revenue supported debt instruments, which require regularly scheduled debt service payments.

Debt financing funds the majority of the port’s major capital projects and improvements. These enhancements allow the Port to provide modern and efficient cargo-handling facilities, and expand those facilities, to be competitive.

Debt service instruments for the acquisition of capital assets and improvements.

Debt Service for Port Facilities is currently funded 68% from Port Facility revenues and 32% from Commonwealth Port Fund revenues

The Virginia General Assembly, in September 1986, established the Commonwealth Port Fund (CPF) to “support port capital needs and the preservation of existing capital needs of all ocean, river, or tributary ports within the Commonwealth,” as presented by the Governor’s Commission on Virginia’s enactment of this legislation. In conjunction with establishing the CPF, the VPA also established the Aid to Local Ports (ALP) program. The ALP program is a grant program through which the Commonwealth Port Fund is used to support port capital and preservation needs for existing ocean, river, or tributary ports within the Commonwealth of Virginia.

In 2018, the Virginia General Assembly established the Virginia Waterway Maintenance Fund (VWMF) to support the dredging projects of political subdivisions and the governing bodies of Virginia Localities.  In conjunction with establishing the VWMF, the Virginia Waterway Maintenance Grant Program was established and is administered by the VPA.  The grant program is used to for the purpose of supporting shallow-draft dredging projects throughout the Commonwealth of Virginia. 

Local governments within the Commonwealth may apply for capital improvement support for their local port facilities. The grants will foster and stimulate the flow of commerce through the ports of Virginia.

Aid to Local Port grants and Virginia Waterway Maintenance Fund grants foster and stimulate the flow of commerce through the ports of Virginia, which is VPA’s primary mission.

Grant funding to local governments, which apply and qualify for ALP or VWMF.

Aid to Localities is funded 100% from Commonwealth Port Fund and Specialty Dedicated Commonwealth Revenues.

In lieu of paying real property taxes, in accordance with §58.1-3043 of the Code of Virginia, the VPA pays a service charge to the localities where VPA property is located based on the assessed value of state-owned tax-exempt real estate and the amount that the locality spent on fire, police and refuse collection/disposal.  Additionally, the Commonwealth contributes $1,000,000 each fiscal year to PILOT payments for road maintenance.

The Payments in Lieu of Taxes (PILOT) fees are less than the actual real property tax that the Port would have to otherwise pay, but the Port host localities benefit from tax revenues and investment from port-related development. This reduction in expenses allows the Port to utilize its money towards furthering the commerce through the Ports of Virginia, resulting in job creation, increased state and local tax revenues, and economic development.

Provides revenues to the localities to offset fire, police, and refuse collection/disposal costs.

Payment in Lieu of Taxes is paid 60% by Port Facility revenues and 40% by General Fund revenue.

The Administrative and Support Services area provides the funding, staffing, technology, managerial, and administrative services to help the  other service areas achieve their goals and objectives. Included in this service area are the following departments: CEO/Executive Director, Chief Financial Officer, Finance, Human Resources, Risk Management, Contracts & Real Estate, Procurement/Purchasing, Development, and Information Technology.

This service area provides support to the other service areas to help them achieve agency goals and objectives.

Funding, staffing, technology, managerial, and administrative services, including payment of rent on the VIG terminal in Portsmouth Virginia.

Administrative and Support Services are funded 100% from Port Facility Revenues.

The Virginia Port Authority Police Department is responsible for providing a full range of law enforcement and security services for the state  owned and operated maritime, storage and inland intermodal facilities.  Authorized under state code, police and security officers are certified under the Department of Criminal Justice Services with full arrest powers.  In addition to routine law enforcement and security responsibilities, The Port of Virginia Police/Security division is under regulatory direction of the 2002 Maritime Transportation Security Act.  Police Department functions ensure a safe, secure, and environmentally responsible workplace, consistently maintaining the lowest pilferage rate of any port in the United States. 

The mission of the Virginia Port Authority Police Department is to facilitate the lawful flow of commerce throughout the marine terminals of Hampton Roads; to safeguard life and property, and to maintain law and order at those facilities; and to meet goals and objectives of the department.

The protection of cargo and personnel that move through the ports, and to safeguard against possible terrorist acts against the ports, the Commonwealth, or the United States.

Security Services is funded 52% from Port Facility Revenues, 42% from federal revenues, and 6% from Commonwealth Port Fund Revenues.