Kentucky allocates $5.5 million in state funds for riverport infrastructure projects to boost economic activity and waterborne cargo activity. Gov. Beshear emphasizes the importance of expanding capacity and improving facilities to support maritime freight operations, with plans to continue investing in the state's logistics sector. Other states like Michigan and Minnesota also allocate funds to support port development initiatives.
Photo courtesy of KYTC
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Gov. Andy Beshear recently hailed the issue of $5.5 million in state funding to 16 Kentucky public river port projects to "enhance economic activity and support future expansion" of waterborne cargo activity.
Those grants — administered by the Kentucky Transportation Cabinet (KYTC) — will fund dredging; mooring and warehouse repairs; port equipment purchases; and other needs, he said.
Approved grants must be used to improve river port facilities and infrastructure for new construction and major replacement or repair projects, including but not limited to the improvement of docks, wharves, equipment, port buildings, storage facilities, roads and railroads to facilitate the flow of commerce through the port, other on-site improvements and related professional services.
Eligible projects do not include routine operations, maintenance or repair activities, the KYTC emphasized.
Photo courtesy of KYTC
In early 2024, the Kentucky General Assembly allocated $15 million for the next two years to fund the new Kentucky Public Riverport Construction and Maintenance or KPRCM grant program to help maintain current maritime freight operations and improve current facilities and infrastructure.
"Kentucky is a national leader in logistics, and our river ports are responsible for moving billions of dollars' worth of freight," the governor said in a statement. "This investment is the first step and we're just getting started. Each round of approved projects is critical to expanding capacity and doing more business, which means more money stays here in Kentucky."
"An investment in our transportation infrastructure is an investment in our economy and in every Kentuckian's quality of life," said KYTC Secretary Jim Gray. "Our waterways are a vital mode of transportation for the efficient transport of goods, which also reduces wear and tear from vehicle travel on our roadways each year."
Other state departments of transportation oversee similar funding programs to support waterborne freight operations in their respective regions.
For example, in August, the Michigan Department of Transportation recently issued $5 million via its Michigan Maritime and Port Facility Assistance Grant Program to five maritime projects that aim to help strengthen the state's economic competitiveness; reduce the cost of freight transportation; improve reliability; and mitigate the impact of freight movement on the environment.
And in February, the Minnesota Department of Transportation issued $18.1 million in grants to support seven port development projects aimed at bolstering the efficient and reliable movement of freight on state waterways.
That funding, which comes through the agency's Port Development Assistance Program, also leverages $8.8 million in local and private funding, for a total construction program of $26.9 million. The agency noted that program has awarded nearly $70 million to a variety of port projects since it was established in 1994.