RICHMOND, Va. (AP) — Virginia is extending its deadline for companies to submit proposals to take over the operation of some of the state’s port terminals.
The original deadline was set for Thursday. State officials say the new deadline is Aug. 13.
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The state Department of Transportation issued a request for alternative proposals following an unsolicited one by APM Terminals Inc., a division of global shipping company Maersk. Ryan Pedraza, program manager for the Office of Transportation Public-Private Partnerships, said the deadline was extended because several groups said they needed more time to complete their submissions. So far, no other companies have submitted proposals.
The APM Terminals proposal calls for a 48-year agreement to operate state ports in the Hampton Roads region as well as the Virginia Inland Port in Warren County. The proposal is valued between $3.2 billion and $3.9 billion.
The Port of Virginia is currently the third-largest port on the East Coast, but state officials have been frustrated that it hasn’t rebounded from the recession as quickly as its competitors in New York and Savannah, Ga. have. Republican Gov. Bob McDonnell replaced 10 of the port authority’s 11 commissioners last year in an effort to spur growth.
This isn’t the first time private companies have taken an interest in operating the state’s ports. In 2009, three companies submitted proposals, at least one of which was valued at $3.5 billion. The state declined to accept those offers. The state is under no obligation to accept any submitted proposals this time, either.
The state will notify companies about whether their proposals have been accepted or rejected by Aug. 31.