Steel, aluminum, petroleum products, fertilizer, grain and corn are among the goods regularly transported along the McClellan-Kerr Arkansas River Navigation System.
More than 12 million tons of goods are shipped annually on the system, which runs through Oklahoma and Arkansas. Total value of the products is estimated at $4 billion annually.
Protecting the economies tied to the system by finding a long-term fix for a potential problem area in southeastern Arkansas was the focus of a letter from the congressional delegations of Arkansas and Oklahoma. In a letter delivered this week to Jo Ellen Darcy, assistant secretary of the Army for Civil Works in Washington, D.C., potential economic losses were underscored.
Lawmakers are seeking $100,000 for a U.S. Army Corps of Engineers “reconnaissance study” on the three rivers area, the confluence of the Arkansas, Mississippi and White rivers. Portions of the White River are used for shipping along the system because parts of the Arkansas River where it connects with the Mississippi River are unable to handle river traffic. Keeping the White River from flowing into the Arkansas River and affecting the depth of the two rivers would allow for uninterrupted traffic.
“If a breach occurs, navigation could be impacted for more than 100 days and the economic impact could easily exceed $300 million,” the letter reads.
That number is not overstated, according to those who use the system. Bruce Oakley, a dry-bulk hauler based in North Little Rock, uses the McClellan-Kerr Arkansas River Navigation System regularly for its barge operations.
While Oakley, which reports more than $1 billion in annual revenue, would stand to lose significantly if the problem isn’t fixed, the impact would be felt beyond its offices, said David Choate, vice president of Oakley Barge Line Inc.
“We have huge investment in this river system, all of us do,” Choate said. “This system moves goods in Arkansas and Oklahoma, but also into Kansas and Colorado. The Corps of Engineers is probably doing the best they can with the budget they have to work with. I think it’s imperative to complete the study and move forward with a project that would strengthen the structure in place before it does cause a disaster. Fixing it now would be far less expensive than trying to make up for a disaster.”
Gene Higginbotham, executive director of the Arkansas Waterways Commission, said his organization has been working with counterparts in Oklahoma to make a study and fix a priority.
A breach of the White River into the Arkansas River could take even more than the estimated 100 days to correct, he said.
“We could be talking six months,” Higginbotham said. “This won’t be an easy fix if it isn’t addressed properly.”
Shippers are concerned that even a short-term interruption to navigation of the system would lead to lost business long-term. A single barge is the equivalent of approximately 60 semi-truck trailers or 15 rail cars. While shipping on the river takes longer, it is more cost-effective.
“Shutting down the system would be devastating,” said David Yarbrough, deputy director of the Tulsa Port Authority. “How do you get those customers back if they go to other modes of transportation? We stand to lose a lot.”
Also at stake are 100,000 acres of bottomland hardwoods that are part of the White River National Wildlife Refuge. Protecting this area, home to endangered species that include the bald eagle, is another factor pointed to by supporters when outlining a need for the study.
“A breach has ecological impacts as well,” said Deidre Smith, waterways branch manager for the Oklahoma Department of Transportation. “There are many issues at work that suggest this should be a priority.”
Business, Pages 25 on 03/27/2014