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Bush wants $42 million for new port

Feb. 7th, 2006
Jonathan Athens

Bush wants $42 million for new port

BY JONATHAN ATHENS, SUN STAFF WRITER
Feb 6, 2006, 9:10 pm

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Ambitious plans to build a new commercial port five miles east of the existing U.S. Port of Entry in San Luis, Ariz., are another step closer to becoming a reality.

The Bush Administration is asking Congress to approve $42 million for the design and construction of San Luis II, a proposed four-lane commercial port. The money for the port is in the $2.77 trillion fiscal year 2007 budget President Bush is asking Congress to approve.

"I'm just happy we received the attention we needed. This is an asset for the country and for the region. We need a better port and I think everyone recognizes that fact," said Greater Yuma Port Authority Board President Gary Magrino.

GYPA officials planned to redesign the existing port to accommodate private vehicles and pedestrian traffic while San Luis II would
accommodate commercial traffic only.

GYPA officials have said the planned new port is necessary to meet the increasing demands of cross-border traffic and to compete with larger land ports in Texas and California.

In addition, port authority officials see the new port as instrumental to attracting export-related logistics businesses to Yuma County and to connect the area to Canamex, the existing Canadian-Mexico trade route that was created when the North American Free Trade Agreement was ratified in the 1990s.

"It's a real shot in the arm for the logistics industry and for Arizona," Magrino said.

Design and construction of the port was delayed by one year when the Bush administration last year dropped funding for the planned port from its 2006 fiscal year budget. That delay frustrated stakeholders on both sides of the border — some were concerned the delay would drive away investors and others were worried the delay could erode political support for the planned port.

The federal government approved San Luis II five years ago and diplomatic notes between the United States and Mexico's President Vicente Fox were exchanged in September 2001.

The one-year delay, aside from driving up the cost to build the port by $10 million, also marked the first time the Mexican government moved ahead of the U.S. government on a binational project. The Mexican government had already put out a bid for construction work on their side of the port but they had to postpone awarding that bid because of the delay on the U.S. side.

"It will be a race to see who gets there first. At this point it looks like the Mexicans are ahead, but you never know," said GYPA Administrator Jim Chessum.

Hugo Oliva, the Mexican consulate in Yuma, could not be reached for comment.

San Luis II was initially projected to be finished in late 2007 or late 2008 and construction on the Mexican side was expected to begin in late March 2006 and be open by April 2007.

Chessum said if Congress approves funding for the proposed new port, construction could begin in early 2007 and be finished in 2009. Chessum said the port authority will continue to lobby Congress to approve funding for the port.

Magrino said he does not think Congress will eliminate San Luis II from the budget considering the positive support the project has from some of Arizona's elected officials.

Among those who have voiced their support for San Luis II are U.S. Reps. Raul Grijalva and Ed Pastor and Gov. Janet Napolitano, all Democrats. It also has the support of Republican U.S. Reps. Jim Kolbe and Rick Renzi and U.S. Sens. Jon Kyl and John McCain, also Republicans.

Grijalva, whose district includes Yuma County, told The Sun he expects Congress will approve that portion of the budget earmarked for San Luis II.

"I think the justification was strong last year and the justification is strong this year," Grijalva said.

Jonathan  Athens
Staff Writer
Yuma Sun
Feb. 7th, 2006

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