Funding for Corpus Christi Ship Channel Improvement Project through FY19 ‘Minibus’ Appropriations bill
Texas Border Business
WASHINGTON— Congressmen Henry Cuellar (TX-28) and Michael Cloud (TX-27) announced $13 million in federal funding towards the Corpus Christi Ship Channel Improvement Project (CIP), which they voted to secure in a FY19 “minibus” Appropriations package, which includes the Energy and Water, Military Construction and Veterans Affairs, and Legislative Branch Appropriations bills. The package of bills passed the House and Senate and will be sent to the President’s desk shortly. The Corpus Christi Ship Channel Improvement Project is a USACE project to expand the Port’s ship channels, allowing vessels to navigate the channel safely, meeting surging global demand for U.S. produced oil and natural gas. The Port of Corpus Christi is the largest export port of U.S. produced crude oil and is a major export hub for U.S. energy products.
Earlier this year, the U.S. Army Corps of Engineers included $23 million for the project in its FY18 Work Plan. This funds the second of six contracts and extends the project construction from the entrance in the Gulf of Mexico to Redfish Bay. Anticipated completion of the entire Channel Improvement Project is projected for 2021-2022 and is estimated to increase exports of U.S. produced energy by nearly $40 billion while increasing the fluidity and safety of vessel traffic.
Texas is the leading oil-producing state and the number three producer of oil in the world, producing more than one-third of the nation’s crude oil due in large part to reserves in the Permian and Eagle Ford basins. The state is on track to produce more oil than either Iran or Iraq. The 28th District of Texas includes a large portion of the Eagle Ford Shale reserves, one of the most productive natural gas fields in the country. With the Eagle Ford Shale being such an economic boon for South Texas, Congressman Cuellar has made it a top priority to promote energy independence as well as facilitate international trade. In 2015, he worked in a bipartisan manner with Representative Joe Barton (TX-6) to lift the ban on crude oil export which created jobs, increased U.S. oil production, lowered gasoline prices and strengthened national security.
“This funding is an undeniable investment for energy companies in the U.S. and will significantly increase export capacity at the Port of Corpus Christi,” said Congressman Cuellar. “Money will be used to deepen and widen this critical export channel and directly impact the American economy by expanding U.S. energy exports abroad and solidifying our place as a leader in global energy.”
Congressman Cuellar added, “I would like to thank my Appropriations Committee Chairman Frelinghuysen and Ranking Member Lowey, and Energy and Water Subcommittee Chairman Simpson and Ranking Member Kaptur, helping include this funding in the Appropriations Committee. I would also like to thank Representative Cloud and my fellow colleagues from the Texas Congressional Delegation for their assistance bringing these funds back to the Port, and the Port of Corpus Christi for their work in helping our energy companies meet growing demand.”
“Deepening and widening the Port of Corpus Christi is vital for making sure we are able to export our Texas oil and gas,” said Congressman Michael Cloud. “This port project is critical to expanding our energy exports, reducing our nation’s trade deficit, ensuring our allies have access to American oil and gas and creating more jobs here at home.”
“The Port of Corpus Christi is extremely pleased that funding for our Corpus Christi Ship Channel Improvement Project has been appropriated in the FY2019 Minibus Funding Bill. This is a watershed moment, as $13 million in funding for the U.S. Army Corps of Engineers civil works budget is now available to begin construction on this infrastructure expansion project, which is critical to meeting the demands of the rapidly growing energy market,” said Sean Strawbridge, Chief Executive Officer for the Port of Corpus Christi.
Watch Congressman Cuellar speak on the House Floor here.
