When the federal government decommissioned the 330-acre Oakland Army Base in 1999, it dismantled a national maritime asset, an economic engine, and a major job generator for the City of Oakland. The base closure resulted in the loss of more than 7,000 regional jobs and demanded a thoughtful analysis about the future of the site, which had been so important to the City’s past, but could be even more critical to its future. After more than a decade of strategic planning, a revitalized Oakland waterfront is poised to surpass the key place it has held in the city and region’s economic fortunes. Under a sweeping modernization and expansion plan, the former Oakland Army Base will become the Oakland Global Trade and Logistics Center (Oakland Global), transforming it into a world-class intermodal hub and an international gateway for transporting goods by seaport, railroad, and roadway. Instead of military equipment and personnel moving in and out of Oakland to support the U.S. military might, the project will speed the distribution of bulk commodities and cargo. Everything from iron ore to house – hold goods will move more quickly and efficiently helping to bolster the U.S. economic recovery and President Obama’s National Export Initiative. The project is expected be completed in several phases during the next decade. The City of Oakland’s development program will encompass the northern site’s approximately 158 acres as follows:

• West Gateway Working Waterfront: A 34-acre upgraded working waterfront area, including a new Oakland Bulk and Oversized Terminal, which will operate 24-hours a day to facilitate moving cargo directly between ships and rail, handling up to 12, 50-car trainloads per day.

• Central and East Gateways: 96.7 acres redeveloped with approximately 979,620 square feet of logistics facilities, rapid deployment centers, and regional distribution centers.

• North Gateway: Approximately 27.3 acres for up to 379,610 square feet of use for indoor recycling facilities and approximately 7 acres for truck parking. The Port of Oakland’s development program will capture the southern site’s approximately 175 acres and may include 1 million square feet of new logistics and warehouse and space. As part of a cost-sharing agreement with the city, the port, at a minimum, will build the following:

• Port Rail Yards: Two new rail yards, each with 4,000-foot loading tracks and wide span electric powered rail mount cranes for container handling over each track group. This enhanced rail facility will allow railroads to load and unload containers more efficiently and relieve rail congestion. When the first phase of the project is complete, it is expected that as many as 200,000 additional cargo containers will pass through the waterfront annually and that 2 million metric tons of bulk product will move in and out by rail. Construction will create about 2,800 new jobs, 50 percent of which will go to local residents. And, it is estimated that an additional 2,000 permanent positions will be needed to handle the increased volume in the coming years. The project’s first step will be significant site preparation and infrastructure work to support the expanded logistics ad cargo facilities. That work will include soils and materials preparation and construction of rail yards, tracks and roadways. Construction could begin as early as November 2013.

Funding: In August 2012, the California Transportation Commission (CTC) dedicated $242 million to the project, which will be matched by the City and Port of Oakland, the U.S. Department of Transportation, and developers -- Prologis and California Capital Investment Group. Added together, the total funding currently dedicated to the project’s first of two phases is approximately $500 million – including a $15 million federal grant awarded in July.

Top Five Project Economic Benefits

1. Jobs: Sustains and creates thousands of new jobs in a region that has nearly 17 percent unemployment.

• Approximately 2,800 project construction jobs

• Approximately 2,000 permanent waterfront jobs

• An estimated 4,225 regional jobs

• Up to $300 million annually in regional employee income

2. Exports: Enhances capacity for the only U.S. West Coast port that exports more than it imports, allowing the Port to handle trade faster and at a lower cost.

• A new break-bulk marine terminal will increase the amount of material coming through the waterfront and boost import volumes

• A new intermodal terminal will lead to time savings, increased shipping and lower transportation costs

3. Transportation Cost: 112,000 fewer annual truck trips will significantly reduce harmful emissions and make cargo transport more efficient.

• Rehabilitated roads on the former Army Base will reduce truck delays

• New rail capacity for cargo moving between warehouses and the Port will result in a larger share of port cargo arriving by train, rather than by truck

• New warehouses will provide additional storage at the waterfront, decreasing transportation to regional facilities, saving time and money

4. Unlocks and Protects Public Investment: The project will utilize more than $400 million in state, local and private funding, and protect past investments in rail connection, distribution centers and deep navigation channels.

5. Increases U.S. Economic Competitiveness: Provides more service options for U.S. shippers seeking avenues to foreign trade, increases market access for new businesses, and enhances the gateway to world markets for Central Valley agriculture produces.