The Long Beach Board of Harbor Commissioners approved an annual budget of USD 1.05 billion for the modernization of the port complex, located in the heart of one of the busiest logistics hubs in the world. Approximately 55% of the port’s spending is tied to capital investments in rail infrastructure, zero emissions, technology, and other improvements designed to efficiently handle growing cargo volumes while minimizing environmental impacts.
The budgeted spending for fiscal year 2027, which begins October 1, is 28.6% higher than the estimated amount for fiscal year 2026.
The variance reflects a 53.7% increase in capital expenditures over the prior year, reaching USD 571.8 million, as construction progresses on the Pier B On-Dock Rail Support Facility, the largest project in the port’s history.
The increase is also aligned with the infrastructure needed to realize the 2050 vision of Long Beach Port CEO Dr. Noel Hacegaba, which seeks to double cargo to 20 million containers annually by mid-century and make the port the world’s first with zero emissions. The 10-year capital improvement program, valued at USD 3.3 billion, is the largest of any port in the country.
Next year’s budget also includes USD 54 million in Clean Truck Program subsidies to support drivers and trucking companies in transitioning to zero-emission heavy-duty drayage trucks.
“This budget sends a clear signal to our supply chain partners that we are optimistic about the future and committed to doubling our cargo capacity by 2050,” said Hacegaba.
“Our industry-leading USD 3.3 billion capital improvement plan will help us achieve this as we transform our operations and build the Port of the Future,” he added.
“Our success has always depended on staying ahead of the demands of a rapidly evolving global supply chain and investing with the future in mind,” said Long Beach Harbor Commission President Frank Colonna.
“This budget strengthens our competitive position to move more cargo, faster, and more sustainably,” he emphasized.
Construction of Pier B began in July 2024. The project will triple the port’s on-dock rail capacity and reduce cargo transfer time from ship to train from four days to 24 hours, improving the efficiency of goods movement in Southern California and across the entire U.S. logistics chain. Individual projects are already underway and will deliver benefits as they are completed, with the final facility expected in 2032.
In late summer, the Long Beach City Council will consider budget approval. It includes an estimated transfer of USD 28.7 million to the city’s Tidelands Operating Fund, which funds quality-of-life projects along Long Beach’s 11 kilometers of coastline, improving safety, cleanliness, water quality, facilities, and other services.
Operating revenue is estimated to be relatively stable at USD 577.9 million, up 0.6% from the prior year. Recognized for its strong market position and financial resilience, the Port of Long Beach maintains exceptional credit ratings: AA+ from S&P Global Ratings and AA from Fitch and Moody’s Ratings.
