California Invests $27 Million in Port Data System Development

The California Governor’s Office of Business and Economic Development (GO-Biz) today announced the award of $27 million to support data system development and interoperability across California’s five containerized ports, the first-ever state-level funding in the country focused on improving data functionality across a statewide network of ports.

As the nation’s premier gateway for international trade, California and its ports are essential to the smooth functioning of the global economy. The state’s containerized ports, which include the Ports of Los Angeles, Long Beach, Oakland, San Diego, and Hueneme, handle a staggering 40% of all U.S. containerized imports, supporting millions of jobs and generating billions in economic activity.

“California’s ports are critical to the stability of our national and global supply chains, as well as the health of our worldwide economy,” said GO-Biz Director and Senior Advisor to Governor Gavin Newsom, Dee Dee Myers. “These historic, first-of-their-kind awards will allow us to use data to improve the functionality of our supply chain, and we look forward to working with our ports to further the momentum that these projects will generate across the state.”

The awards will fund ten innovative projects across the five ports that address key challenges in port operations and foster long-term statewide freight resilience. These projects encompass a wide range of solutions including optimization of cargo-routing, deployment of cutting-edge technologies such as artificial intelligence, implementation of climate resiliency and emissions reductions measures, adoption of trucking appointment systems, and the development of new data standards for cargo.

“This milestone marks significant progress in the Governor’s vision to improve California’s supply chain, powering us into a more equitable and economically prosperous future,” said California Transportation Secretary Toks Omishakin. “Through this critical funding and strong collaboration between California’s ports, key operators will now have essential data to help move goods using a more efficient, reliable and resilient transportation network. Together with our recent Port and Freight Infrastructure Program investments, these groundbreaking awards will help leverage innovation and new approaches, continuing to advance CalSTA’s Core Four priorities of economic prosperity, equity, climate action and safety.”

 The grant program and awards also mark a significant milestone in the Governor and Legislature’s historic investment in supply chain and goods movement, aimed at building long-term resilience in the wake of global supply chain challenges just years ago.

“As Chair of the Select Committee on Ports and Goods Movement, I am happy to see all of California’s containerized ports continue to modernize their infrastructure and benefit from this $27 million for data system development,” said Assemblymember Mike A. Gipson (D-Carson). “I am dedicated to ensuring a continued, collective partnership between the Legislature, State, and ports. Ports are a vital part of California’s economy, and I will work to ensure that California is doing everything to support our ports.”

The funds follow the signing of a first-of-its-kind Memorandum of Understanding (MOU) last spring that formed the California Port Data Partnership between the five ports. Both the MOU and the awards are expected to yield significant economic, environmental, and transportation benefits for the State.

What the Ports Are Saying

“This unprecedented level of funding is crucial for California’s containerized ports as it will enhance the sharing of supply chain data to improve information flow. With the state’s investment, the Port of Hueneme will support collaborative efforts to bridge data gaps in the regional, state, and national supply chain. The funding will also accelerate the Port’s data strategy enhancing commercial, operational, and financial data sharing systems. We appreciate the State’s commitment to resiliency and its significant investment in goods movement.” – Port of Hueneme CEO & Port Director Kristin Decas

“With six marine terminals at the Port of Long Beach now connecting to a beta version of the Supply Chain Information Highway, we’ve entered a crucial phase of development. We are grateful to the State of California and GO-Biz for their continued leadership in supporting data modernization to bolster goods movement. This funding will be important as we roll out these new enhancements to increase cargo velocity and tighten coordination across modes of transportation.” – Port of Long Beach CEO Mario Cordero

“California is the first state to step up with policy and funding to enhance supply chain digitalization. This GO-Biz funding will help the Port of Los Angeles accelerate our proven technology, the Port Optimizer, to further improve efficiency, lower impacts on our communities and make us more competitive.” –  Port of Los Angeles Executive Director Gene Seroka

“The California Port Data Partnership is a monumental and strategic achievement. This grant allows the Port of Oakland to further expand its current data environment, as well as improve the trucker appointment system in Oakland to allow for a more seamless user experience. These enhancements are critical in improving overall supply chain visibility, efficiency and planning at the local, state and national levels.” – Port of Oakland Maritime Director Bryan Brandes

“We are grateful to the Governor’s Office for prioritizing data partnerships among California’s ports. We are eager to upgrade our technology and create an interoperable system where we can share information and collaborate to further improve our maritime operations, increase cargo throughput, and enhance customer service, as we promised our constituents. Together, we’re modernizing our seaports to strengthen the supply chain and to be greener and cleaner overall.” – Port of San Diego Board of Port Commissioners Chairman Frank Urtasun