The U.S. Army Corps of Engineers (USACE) Mississippi Valley New Orleans (MVN) recently received an additional $33.5 million from the Bipartisan Budget Act of 2018 (Public Law 115-123) for Operations and Maintenance (O&M) of the Mississippi River Ship Channel (Baton Rouge to the Gulf of Mexico).  The MVN has now received a total of $191.329 million in Fiscal Year 2019.

This is the highest level of funding ever received by the MVN to maintain the Mississippi River Ship Channel surpassing the previous record of $179,080,500 in 2009 as part of the American Recovery and Reinvestment Act (ARRA).

The notice for FY19 O&M funding (issued today) and one issued late in FY18 are both attached to provide a complete breakdown of the supplemental funding received from Public Law 115-123 by MVN to maintain the Mississippi River Ship Channel.

RE: UPDATE: USACE SUPPLEMENTAL FUNDING PUBLIC LAW 115-123

Supplemental Funding Public Law 115-123 43019.pdf

Members,

The U.S. Army Corps of Engineers (USACE) Mississippi Valley New Orleans (MVN) recently received an additional $33.5 million from the Bipartisan Budget Act of 2018 (Public Law 115-123) for Operations and Maintenance of the Mississippi River Ship Channel (Baton Rouge to the Gulf of Mexico). The MVN received $10 million from Public Law 115-123 (PL 115-123) earlier this year, raising the total Supplemental Funding received from PL 115-123 in Fiscal Year 2019 (FY19) to $43.5 million. An additional $58.66 million was received early in FY19 from the USACE Work Plan for Civil Works Appropriations.

The Work Plan amount is the difference between the total of the President’s Budget Request and the total amount actually appropriated by Congress. Historically the amount appropriated by Congress is significantly higher than the President’s Budget Request. The MVN has now received a total of $191.329 million in Fiscal Year 2019.

This is the highest level of funding ever received by the MVN to maintain the Mississippi River Ship Channel surpassing the previous record of $179,080,500 in 2009 as part of the American Recovery and Reinvestment Act (ARRA). The ARRA funds was budget (surplus) driven and not based on channel conditions but was utilized for advanced maintenance and repair to water infrastructure features (O&M).

The supplemental funding will be utilized by the MVN to dredge in the three key areas in order of priority: Southwest Pass, Crossings Above New Orleans, and the New Orleans Harbor. The Ship Channel in Southwest Pass was deficient in both 2018 and 2019 with draft reductions at a maximum of three feet in 2018 and a maximum of five feet in 2019. Presently, the maximum draft recommendation in Southwest Pass is 44 feet – deficient by one foot. However, the river stages are predicted to steadily rise again with a crest now forecasted to be 16.9 feet on May 11, 2019.

FISCAL YEAR

PRESIDENT’S BUDGET REQUEST

WORK PLAN

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SUPPLEMENTAL PL 115-123

page1image1703072 page1image5089152

TOTAL ALLOCATION

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2019

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$89,169,000

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$58,660,000

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$43,500,000

$191,329,000

In Fiscal Year 2018, the MVN received a total of $75 million from PL 115-123 and $15 million from the FY18 USACE Work Plan for Civil Works Appropriations. The MVN received a total of $173.846 million in Fiscal Year 2019. This amount is now the third highest ever received by MVN for Operations and Maintenance of the Mississippi River Ship Channel.

An update to Supplemental Funding issued by the Big River Coalition on September 24, 2018 that detailed the information above is also attached.

 

RE: UPDATE: USACE SUPPLEMENTAL FUNDING PUBLIC LAW 115-123

September 24, 2018

UPDATE USACE Supplemental Funding Public Law 115-123 92418[2].pdf

Members,

The BRC released a statement in May 2018, confirming that the U.S. Army Corps of Engineers (USACE) had secured $40 million in supplemental funding from the total of $359 million from theBipartisan Budget Act of 2018 (Public Law 115-123) Initial Damage Estimates. The supplemental funding was distributed to the Operation and Maintenance account of the USACE’s Mississippi Valley New Orleans (MVN) for channel maintenance on the Mississippi River Ship Channel (Baton Rouge to the Gulf).

The MVN eventually received an additional $35 million in supplemental funding from Public Law 115-123. The Big River Coalition began advocating for a total need of $90 million in supplemental funding in early 2018. The Coalition knew that substantial additional funding would be needed to restore the Mississippi River Ship Channel, because of the impact of the high river conditions that led to the twelfth historic opening of the Bonnet Carré Spillway on March 8, 2018.

The estimated breakdown for the $90 million was attributable to the following three focus areas:

1) $35 million: to dredge the Mississippi River Ship Channel (MRSC) with the breakdown of funds to be used to extend hopper dredging in Southwest Pass, fund the three dustpan dredges needed to restore authorized dimensions on the Crossings Above New Orleans, fund the Readiness Exercises for the Corps’ hopper dredge WHEELER and secure a cutterhead dredge for New Orleans Harbor.

2) $20 million: to perform Jetty Repair and Foreshore Rock at Southwest Pass, restoration is critical in several locations.

3) $35 million: to dredge the Hopper Dredge Disposal Area.1

Based on the receipt of the $75 million in supplemental funding and the $15 million received from the Civil Works Appropriations Work Plan for Fiscal Year 2018, the Coalition’s estimate of $90 million was indeed secured by the MVN. The supplemental appropriations appears to have completely funded channel maintenance on the Mississippi River Ship Channel in FY 2018 as described above.

The dredging on the Crossings Above New Orleans continues, dredging in the N.O Harbor was just completed, Southwest Pass (SWP) has been restored, the rock work in SWP has started and the dredging of the HDDA is expected to start in late October. The Coalition must recognize the tremendous support and dedicated response from the members of the Louisiana Congressional Delegation. The USACE must also be praised for their ability to restore the authorized channel dimensions on the Mississippi River Ship Channel, while ensuring the navigation industry was advised throughout the process.