Port Receives $283 Million for ‘America’s Green Gateway’

The Port of Long Beach will receive $283 million from the federal government to assist in building “America’s Green Gateway,” a rail project which will enable one of the nation’s busiest seaports to move more cargo by trains, speeding deliveries across the entire national supply chain, easing congestion and lessening local environmental impacts.

The funding was awarded for the Port’s Pier B On-Dock Rail Support Facility through the U.S. Department of Transportation’s Mega Grant Program. The $1.567 billion project is the centerpiece of the Port’s on-dock rail construction improvements.

Moving cargo by on-dock rail – directly moving containers to and from marine terminals by trains – is cleaner and more efficient, as it reduces truck traffic. When the new facility opens, no cargo trucks will visit. Instead, smaller train segments will be brought to the facility and joined together into a full-sized train.

“Reliable and efficient transportation of goods is crucial for keeping our economy thriving while protecting the air we breathe,” said U.S. Sen. Alex Padilla. “The Port of Long Beach is a leading international hub for transporting major cargo, and this project will slash truck emissions while supporting economic growth and efficiency. Thanks to the Bipartisan Infrastructure Law, we are strengthening our supply chain while creating jobs and improving air quality in near-port communities across the region.”

“This is a home run and significant investment for Long Beach and trade across the country,” said U.S. Rep. Robert Garcia. “This grant will create over 1,000 local jobs and 13,000 jobs across the country. As the former mayor of Long Beach I know how impactful this project will be to supporting the supply chain while reducing harmful pollution for families here at home. We are grateful to President Biden and Secretary Buttigieg for their support and partnership.”

“This Mega grant – which follows California’s $158.4 million award for the Pier B On Dock Rail project as part of a historic investment in supply chain infrastructure earlier this year – shows the power Governor Newsom’s and President Biden’s infrastructure packages can have when working together,” said California Transportation Secretary Toks Omishakin, who led a state delegation to Washington, D.C., over the summer to engage with top U.S. transportation officials about increased investments in California’s ports. “I thank the Biden-Harris administration and California’s congressional leadership for this award, which will lead to a more efficient supply chain and economic benefits that span the entire country.”

“I want to thank the Biden-Harris administration, Secretary Buttigieg, and the U.S. Department of Transportation for awarding the Port of Long Beach this landmark $283 million infrastructure investment, ensuring that our Port will remain a national leader in goods movement, while creating thousands of quality local jobs,” said Long Beach Mayor Rex Richardson. “The Pier B Rail project represents a vital infrastructure investment that will improve the Port of Long Beach’s sustainability and efficiency, bringing us up to 35% on-dock rail capacity in our terminals and improving the air quality for our residents.”

“The impact this funding will have on developing this project of national importance is staggering,” said Port of Long Beach Chief Executive Officer Mario Cordero. “This is a facility that will help move cargo more efficiently to homes and businesses across America, and from U.S. producers to overseas markets, resulting in systemwide benefits to the supply chain. We’d like to thank the U.S. Department of Transportation, Senator Alex Padilla and Congressman Robert Garcia for recognizing the significance of this project and making a significant investment in sustainable, efficient cargo movement.”

“Moving more cargo with less environmental impact is the focal point of our approach to business,” said Long Beach Harbor Commission President Bobby Olvera Jr. “The Pier B On-Dock Rail Support Facility, ‘America’s Green Gateway,’ will do this while easing traffic on regional roads and improving air quality. It’s also vital to help meet the environmental goals outlined in the Clean Air Action Plan. We are grateful for this funding and thank the California Department of Transportation, our partner agency on this grant application.”

Due to the importance of the Pier B On-Dock Rail Support Facility to the national supply chain, the Port continues to seek funding partners for the project. The California State Transportation Agency – CalSTA – in July 2023 announced a grant of $158 million from the Port and Freight Infrastructure Program to help fund the Pier B project as an important part of the state’s cargo movement strategy. The federal government previously awarded almost $105 million to the project. To date, the Port has secured more than $640 million in grant funding for Pier B.

Construction is expected to begin next year. The new facility will more than double the size of the existing Pier B rail yard from 82 acres to 171 acres and more than triple the volume of on-dock rail cargo the Port can handle annually, from 1.5 million twenty-foot equivalent units (TEUs) to 4.7 million TEUs. The yard will also feature a depot for fueling and servicing up to 30 locomotives at the same time and a full-service staging area to assemble and break down trains up to 10,000 feet long. The overall project will be built in phases, each improving cargo flow, with completion by 2032. View the project fact sheets and more information at the project page. 

The Port of Long Beach is a global leader in green port initiatives and top-notch customer service, moving cargo with reliability, speed and efficiency. As the premier U.S. gateway for trans-Pacific trade, the Port handles trade valued at $200 billion annually and supports 2.6 million jobs across the United States, including 575,000 in Southern California. In 2023, industry leaders named it “The Best West Coast Seaport in North America” for the fifth consecutive year. During the next 10 years, the Port is planning $2.2 billion in capital improvements aimed at enhancing capacity, competitiveness and sustainability.