Virginia Port Authority - History

History

The Virginia Port Authority had its roots in the Virginia State Ports Authority (VSPA), an agency of the Commonwealth created in 1952 that was responsible for operating the port terminals in the Hampton Roads harbor. Studies commissioned by the Virginia General Assembly during the 1970s and the early 1980s suggested that the port terminals should be consolidated under a single port authority that would manage the activities of the terminals while remaining under the authority of the General Assembly. Legislation changed the name of the Virginia State Ports Authority to the Virginia Port Authority to reflect the goal of integrating the ports. Virginia Senate Bill 548 mandated that the Virginia Port Authority complete the unification as swiftly as possible. In addition, the General Assembly revised the VPA’s enabling legislation to allow the agency to subordinate local port cities, towns, and other entities; to acquire federal, state, and local property; and to provide for a tariff.

The VPA purchased the terminals piecemeal. Portsmouth Marine Terminal became the first port to enter the unification program; the City of Portsmouth conveyed the port to the VPA in 1971. Later that same year, Newport News Marine Terminal (NNMT) was transferred to the VPA with the consent of its owner Peninsula Ports Authority (PPAV), its operator Chesapeake and Ohio Railway, and the cities of Hampton and Newport News. The VPA acquired Norfolk International Terminals from the City of Norfolk in 1972.

In order to manage the consolidated marine terminal operations, Virginia International Terminals, Inc. was created in 1982. VIT not only systematized operations at the VPA’s facilities, but also moved cargo more efficiently and strengthened the port’s marketing program.

Two pieces of legislation in the 1980s aided the development of The Port of Virginia. The first, the Transportation Trust Fund, became the source for the Commonwealth Port Fund. The Commonwealth Port Fund was created by the General Assembly from a portion of the revenue generated by transportation taxes and fees, and was transferred to the Board of Commissioners of the VPA to satisfy port capital needs within Virginia.

The second piece of legislation was the Water Resources Act of 1986, a federal cost-sharing initiative that provided for the dredging of all major U.S. river channels and waterways. The Hampton Roads harbor became the first to begin dredging under the new legislation, with the aim of deepening the outbound navigational channel from 45 to 50 feet (15 m). The project was completed in 1988 with the help of the U.S. Army Corps of Engineers.

In 1989, the VPA opened the Virginia Inland Port, a $10 million intermodal facility in Front Royal, Virginia. The combination truck-and-rail terminal sits near the intersection of U.S. Interstate 81 and U.S. Interstate 66 and extends the VPA’s activities to Maryland, Delaware, West Virginia, Ohio, Pennsylvania, and New York.