Economic Value of Shipping in Cleveland tops $4.7 billion, Up $1 billion from 2015

Economic Value of Shipping in Cleveland tops $4.7 billion, Up $1 billion from 2015

Development Financing Supports $4.8 billion in Personal Income since 2010

Cleveland, OH (November 3, 2022) – The Cleveland-Cuyahoga Port Authority (Port Authority), also known as the Port of Cleveland, has completed an update to a key report on the economic value of cargo shipping through Cleveland Harbor including the Port Authority docks and private industry on the Cuyahoga River. The report also assesses the economic impacts of development financing services offered by the Port Authority.

The economic analysis of maritime cargo used data from 2021, which was compared to the Port’s last economic impact report released in 2016 using 2015 data. The methodology and data from the two reports are highly comparable.* Both reports were prepared by Martin Associates, the nation’s leading provider of seaport economic impact assessments.

The report finds that the total value of economic activity in the region that depends on or is related to maritime shipping increased by more than $1 billion compared to 2015, reaching $4.7 billion in 2021. The total number of jobs attributable to shipping topped 22,000 in 2021, a 10% increase from 2015. Total personal income in 2021 increased $368 million to $1.8 billion, up 25% from 2015. Business revenue earned by firms providing cargo and vessel handling services totaled $691 million in 2021, up from $514 million in 2015, a 34% jump. Taxes paid to state and local governments attributable to cargo shipping topped $240 million in 2021.

Stefan Holmes, Chair of the Port Authority board of directors, said, “we are very pleased to see these numbers up sharply from 2015, even in the face of the pandemic and supply chain disruptions. The Port’s mission is to grow jobs and commerce and foster economic vitality. This report card shows progress on all fronts”.

The report also calculated the construction employment person-hours, personal earnings, and taxes based on the total construction cost of projects that received Port Authority financing via the issuance of project revenue bonds and other types of Port-issued bonds. Since 2010, the total construction cost of projects financed utilizing Port bonds totals $6.2 billion**. This construction spending generated 161,283 person-hours of work in the construction industry, $4.8 billion in personal earnings, and $614 million in taxes paid to state and local governments from 2010 to 2021.

Will Friedman, President and CEO of the Port Authority, commented, “This report shows, once again, that commerce through Cleveland Harbor remains a pillar of the regional economy and is growing. Shipping and construction jobs that are catalyzed by Port bonds pay good wages and support families throughout our County and region. We’re proud to support these sectors and we are committed to increasing diversity, equity, and inclusion within the Port-related economy in every way we can.

*The methodology used to calculate taxes paid was changed from 2015, therefore these figures are not strictly comparable between 2015 and 2021.

**The total cost of construction on projects financed by the Port is used to calculate economic impacts. This total exceeds the amount of funds raised by Port bonds due to other sources of debt and equity for most transactions. In most cases, Port bonds are the largest source of capital for the project.

 

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Port of Cleveland Awarded $27 Million Federal Infrastructure Improvement Grant

Port of Cleveland Awarded $27 Million Federal Infrastructure Improvement Grant

Cleveland, OH (October 28, 2022) – The Cleveland-Cuyahoga County Port Authority (Port of Cleveland) announced it has been awarded a $27,223,711 grant to improve cargo handling efficiencies, modernize and expand its electric, and stormwater infrastructure. The grant was awarded by the U.S. Department of Transportation’s (DOT) Port Infrastructure Development Program, which is administered by the U.S. Maritime Administration.

“We appreciate Northeast Ohio’s congressional delegation, Secretary Buttigieg, and MARAD Administrator Rear Admiral Phillips (US Navy, Ret.) for recognizing the importance of investing in the Port of Cleveland, and more broadly, Northeast Ohio’s economy,” said William D. Friedman, President and CEO of the Port of Cleveland. “By enhancing our port’s operations and improving our infrastructure, this grant will help create quality local jobs while bolstering our region’s competitiveness on the global stage.”

The Project will improve the Port’s largest warehouse (Warehouse A), continue the implementation of the Port Authority’s Stormwater Master Plan that seeks to improve the quality of stormwater discharging into Lake Erie, make necessary electrification investments to prepare the Port for a zero-emissions future, and construct a new on-Port maritime learning and resource center to support hands-on learning programs that prepare Davis Aerospace & Maritime High School students for employment opportunities in the maritime industry.

This project will make key steps towards improving the quality of stormwater discharging from the Terminal into Lake Erie and lay the groundwork for the Port’s electrification and emissions reduction efforts,” said Nicholas LaPointe, Director of Planning & Capital Development at the Port of Cleveland.

This funding will have a significant regional economic impact given that the Port of Cleveland is the first major U.S. port of call on the Great Lakes. For ships transiting the St. Lawrence Seaway System, Cleveland is a gateway to major Midwest markets such as Columbus, Cincinnati, Pittsburgh, Indianapolis, and Chicago.

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Dock 20N Cargo Diversification Project Design

Request for SOQs

Cleveland-Cuyahoga County Port Authority | Cleveland, Ohio

NOTICE IS HEREBY GIVEN by the Board of Directors that sealed Statement of Qualifications (“SOQ”) will be received by the Cleveland-Cuyahoga County Port Authority for the following Project:

Port of Cleveland’s General Cargo Terminal Dock 20 Cargo Diversification Project

The successful professional design services firm/team will assist the Port Authority with engineering, permitting, environmental clearance, and the preparation of construction documents for the above referenced Project located at 600 Erieside Ave. in Cleveland, Ohio.  The scope of work, which is further detailed in the supplemental SOQ documentation, also includes detailed planning services to support the continued growth of containerized cargo at the Port of Cleveland’s General Cargo Terminal.  The terminal improvements include new subsurface infrastructure and the resurfacing of the Docks 20 & 22 to accommodate more efficient and safe containerized cargo handling operations. 

Statements will be received at the office of the Cleveland-Cuyahoga County Port Authority, to the attention of Mr. Nicholas A. LaPointe, 1100 West Ninth Street, Suite 300, Cleveland, Ohio 44113 until 3:00 p.m. local time on Wednesday, November 16th, 2022.

SOQ documentation will be available and may be obtained at the office of the Cleveland-Cuyahoga County Port Authority at 1100 West Ninth Street, Suite 300, Cleveland, Ohio 44113 during regular business hours of 9:00 a.m. through 4:00 p.m. or on the Port Authority website: https://www.portofcleveland.com/doing-business/.  Any future addenda will be posted on the Port’s website.

THE PORT AUTHORITY RESERVES THE RIGHT TO REJECT ANY AND ALL SUBMISSIONS, TO WAIVE ANY TECHNICALITIES, TO REQUEST ADDITIONAL INFORMATION, AND TO OTHERWISE PROCEED IN ACCORDANCE WITH THE BEST INTERESTS OF THE PORT AUTHORITY.

Statements will be evaluated and scored in accordance with the Ohio Revised Code to determine the most qualified, responsive, and responsible professional design service firm/team.   The Port Authority may request interviews with firms following the submission of their SOQs.  The Port Authority will negotiate a contract along with fair and reasonable compensation with the most highly ranked and qualified firm.  If negotiations fail with the firm/team ranked most qualified, the Port Authority may elect to enter into negotiations with the firm/team ranked second most qualified.

Any SOQ submissions may be withdrawn or amended prior to the closing deadline. If any interested design firm has questions, they should contact Nicholas LaPointe at 216-377-1342, or e-mail Nicholas.LaPointe@portofcleveland.com.

UNDER NO CIRCUMSTANCE WILL THE PORT AUTHORITY BE RESPONSIBLE FOR ANY COSTS INCURRED BY PROFESSIONAL DESIGN SERVICE FIRMS IN RESPONDING TO THIS STATEMENT OF QUALIFICATIONS REQUEST AND ANY SUBSEQUENT PHASES OF THIS EVALUATION AND NEGOTIATION PROCESS.

Cleveland-Cuyahoga County Port Authority
William Friedman
President/CEO

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CHEERS Project Advances to Design Phase

CHEERS project advances to design phase

Transformational lakefront project enters design phase following Port of Cleveland board’s contract approval

Cleveland, OH (October 12, 2022) – In its October board meeting on Thursday, the Port of Cleveland’s Board of Directors approved a $3.75 million contract with Arup Engineering to undertake the design and permitting services needed to proceed with the transformational Cleveland Harbor Eastern Embayment Resilience Strategy (CHEERS) project.

“We’re excited to be moving forward into the design phase of this transformational and vital project that will benefit Northeast Ohio communities for generations to come,” said William D. Friedman, President and CEO of the Port.

CHEERS project partners include the City of Cleveland, Ohio Department of Transportation, Ohio Department of Natural Resources, Black Environmental Leaders Association, Cleveland Metroparks and the Port of Cleveland. Work is funded through a combination of matching funds provided by each partner and grant funding from the National Fish and Wildlife Foundation’s National Coastal Resilience Fund and the Maritime Assistance Program.

 “We’re thrilled to move the CHEERS project into the design phase and create a more resilient, equitable and prosperous lakefront,” said Cleveland Metroparks CEO Brian M. Zimmerman. “The CHEERS project will be transformational for Cleveland’s East Side by protecting critical infrastructure, improving park access, and expanding natural habitat along the Lake Erie shoreline.

Arup was chosen after a request for proposal was released in March and a review of the submissions was made by CHEERS partner organizations, determining that Arup was the most qualified firm for the project.

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U.S. Customs & Border Protection Cargo & Administration Facility

Advertisement for Bids

Cleveland-Cuyahoga County Port Authority | Cleveland, Ohio

NOTICE IS HEREBY GIVEN by the Board of Directors that Sealed Bids will be received by the Cleveland-Cuyahoga County Port Authority for the:

U.S. Customs & Border Protection Cargo & Administration Facility

The successful Bidder will perform the scope of work outlined in the Contract Documents. The work consists of the renovations to the Port Authority’s office building to create administrative office space for U.S. Customs & Border Protection. Additional improvements will occur at the U.S. Customs & Border Protection’s cargo processing facilities at the Port Authority’s General Cargo Terminal.

Bids will be received at the office of the Cleveland-Cuyahoga County Port Authority, Attention: Mr. Nicholas A. LaPointe, 1100 West Ninth Street, Suite 300, Cleveland, Ohio 44113 until 11:00 a.m. local time on November 11th, 2022.

Electronic drawings and specifications (“Bid Packet”) will be available at the office of the Cleveland-Cuyahoga County Port Authority (“Port Authority”) at 1100 West Ninth Street, Suite 300, Cleveland, Ohio 44113 during regular business hours of 9:00 a.m. through 4:00 p.m or on the Port Authority’s website. As result of the sensitive and secure nature of this Project, interested contractors will be required to complete a Federal non-disclosure agreement and electronically submit a copy of this agreement to Carly.Beck@PortofCleveland.com prior to receiving a copy of the drawing sets. A copy of the Federal non-disclosure agreement, the balance of the Bid Packet documents, and a copy of this advertisement for bids is available on the Port Authority’s website for review: https://www.portofcleveland.com/doing-business/.

The EDGE Goal for this Project is 5%. EDGE participation goals (subcontracts, materials, supplies) have been set on this Project by the Ohio Department of Transportation, pursuant to Ohio Revised Code 123.152. An additional local 15% MBE/FBE goal, on top of the 5% EDGE participation goal, has been set by the Port Authority.

A non-mandatory pre-bid meeting will be held on October 19th, at 10:00 a.m. at the Port Authority’s Office Building located at 1100 W. 9th Street in Cleveland, Ohio. Registration to attend this pre-bid meeting is requested a minimum of 24 hours in advance. All contractors and subcontractors will be required to have picked up a copy of the electronic bid documents in advance of the pre-bid meeting and have a signed copy of the Federal non-disclosure agreement on file with the Port Authority. All attendees must wear appropriate PPE and must present a valid government issued photo ID. TWIC credentials are preferred.

Bids must be submitted on the forms furnished in the Bid Packet.

THE PORT AUTHORITY RESERVES THE RIGHT TO REJECT ANY AND ALL BIDS, TO WAIVE ANY TECHNICALITIES, TO REQUEST ADDITIONAL BIDS AND TO OTHERWISE PROCEED IN ACCORDANCE WITH THE BEST INTEREST OF THE PORT AUTHORITY.

Any Bid may be withdrawn or amended prior to the closing time for the receipt of the Bids. If any Bidder has questions, they should contact Nicholas A. LaPointe at 216-377-1342, or email Nicholas.LaPointe@portofcleveland.com.

UNDER NO CIRCUMSTANCE WILL THE PORT AUTHORITY BE RESPONSIBLE FOR ANY COSTS INCURRED BY ANY BIDDER IN RESPONDING TO THIS REQUEST FOR BIDS.

The successful Bidder will be required to enter into a contract with the Port Authority based upon the materials submitted and any mutually agreeable negotiations completed between the parties.

Cleveland-Cuyahoga County Port Authority
William Friedman
President/CEO

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Ohio Supreme Court affirms siting board ruling that allows Lake Erie wind turbine project to proceed

Cleveland – August 10, 2022 – A proposed six-turbine wind energy project in Lake Erie received a favorable decision from the Ohio Supreme Court which today ruled the project may proceed. The Court held the Ohio Power Siting Board properly issued a permit that allows construction of the project, dubbed Icebreaker Wind, to move ahead. Icebreaker is projected to have a $253 million local economic impact and create more than 500 jobs.
Writing for the Court’s 6-1 majority decision, Justice Jennifer Brunner explained that the siting board collected the necessary research to allow Icebreaker to begin construction, while also requiring more data before the company can operate the turbines.

“Rather than requiring Icebreaker to resolve those matters before issuing the certificate, the board determined that the conditions on its grant of the application were sufficient to protect birds and bats and to ensure that the facility represented the minimum adverse environmental impact,” Justice Brunner wrote.

Today’s ruling provides the Lake Erie Energy Development Corp. (LEEDCo) additional certainty so that it can market Icebreaker’s power to potential customers. One-third of the power is already under contract with the City of Cleveland and Cuyahoga County and with its permit secure, LEEDCo can now focus on marketing the remaining two-thirds of the electricity it will produce.

Will Friedman, President and CEO of the Cleveland-Cuyahoga County Port Authority, said the ruling – while expected – was nonetheless welcome news.

“The Court’s decision preserves the economic potential this project can unlock for the region.” Friedman said. By one estimate, there will be $70 billion in the offshore wind business pipeline in the U.S. by 2030.

“Other states are nipping at our heels to attract offshore wind and its economic benefits. We don’t want to squander this opportunity and let 15 years of work slip away to other states eager to capture market share.”

Icebreaker Wind has faced unprecedented review from regulators for over a decade, and has now received the necessary approvals from more than a dozen local, state and federal agencies—as well as sign-off from the state’s highest court. The project has also overcome a number of obstacles – many of them placed in the project’s path by fossil fuel interests.

The Supreme Court challenge was presented by two residents which, as exposed in court records, were bankrolled by Murray Energy, which prior to bankruptcy billed itself as the biggest coal company in the country. Today’s opinion stated that the residents “have not shown that the (Power Siting) board’s decision to issue the certificate subject to conditions was unlawful or unreasonable.”

Cleveland Mayor Justin Bibb said he believes renewables like Icebreaker Wind bring “a great opportunity to grow the wind industry locally as well as provide access to renewable energy for businesses and residents of Cleveland and the region. This project has always been a win-win for our economy and for our environment. Let’s position ourselves to be a leader, not a follower, to other states.”

LEEDCo Board Chairman Ronn Richard, CEO of the Cleveland Foundation, said Ohio has no choice but to embrace the energy transition to meet the state’s power needs. He noted Intel’s decision to build the world’s largest computer chip factory near Columbus includes a commitment to power 100% of its operations with renewable energy. Other companies in Northeast Ohio and throughout the state have also set ambitious renewable targets.

“We’re pleased with today’s ruling from the Ohio Supreme Court,” Richard said. “The Cleveland Foundation has supported Project Icebreaker from its inception because this is about more than clean energy – this is about a healthy economy and a healthy community. Project Icebreaker shows that Northeast Ohio – and the entire state of Ohio for that matter – is open for businesses.

“This decision will create jobs, attract talent from outside our region and retain the best and brightest minds from right here in Ohio,” he added. “It also shows that we’re committed to improving health outcomes for Ohioans by cleaning up the air we breathe and the water we drink. It’s our hope that LEEDCo can now resume selling the remainder of the power and turn this dream into a reality.

About Icebreaker Wind

Icebreaker Wind is anticipated to create over 500 jobs and pump $253 million into the region’s economy. Ohio already has the largest wind energy manufacturing base of any state in the US, according to the American Wind Energy Association. More than 275 manufacturing companies have expressed interest in being part of the project.

The project has received approvals from agencies including the Ohio EPA, the US Department of Energy, the Federal Aviation Administration, the US Coast Guard, the US Army Corps of Engineers, the US Fish and Wildlife Service, the Ohio Department of Natural Resources, and the Ohio Power Siting Board. It is endorsed by the Ohio Environmental Council, the Sierra Club and the Environmental Defense Fund, bipartisan officials from around the state, and others.

Nine miles from shore, the turbines would have minimal visual impact and not be visible on most days. On a clear day, a person standing on the downtown Cleveland lakeshore holding their arm out would see turbines no taller than half a thumbnail. The small project would only occupy .000002% of Lake Erie’s surface area.

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Notice of Special Meeting of the Cleveland-Cuyahoga Port Authority 8/01/2022

Please be advised that the Board of Directors (“Board”) of the Cleveland-Cuyahoga County Port Authority (“Port Authority”) will hold a special meeting on August 4, 2022 at 8:30 a.m. at the Port Authority Conference Center at 1100 West Ninth Street, First Floor, Cleveland, Ohio 44113. The purpose of the meeting is to consider: (1) the adoption of Resolution No. 2022- 21 declaring the necessity to levy a tax outside the ten-mill limitation, and requesting the County Fiscal Officer to certify the estimated dollar amount of revenue that would be generated by such tax, and repealing and rescinding Board Resolution Nos. 2022-13 and 2022-18; and (2) upon receipt of the Cuyahoga County Fiscal Office Certificate of Estimated Property Tax Revenue, the adoption of Resolution No. 2022-22 authorizing the request for renewal of a 0.13 mill existing tax levy to be placed on the November 8, 2022, ballot.

Notice of Special Meeting for 8-4-2022

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Notice of Public Hearing 6/1/2022

Notice is hereby given that on June 8, 2022, a public hearing, which may be continued or adjourned, will be held by the Cleveland-Cuyahoga County Port Authority, Ohio (the “Issuer”) in its offices located at 1100 West Ninth Street, Suite 300, Cleveland, Ohio 44113 commencing at 11:00 a.m. local time with respect to the proposed issuance by the Issuer of its Student Housing Facility Bonds, Series 2022A (Euclid Avenue Development Project) (the “Bonds”) in an aggregate principal face amount not to exceed $148,400,000 in one or more series, pursuant to Chapter 4582, Ohio Revised Code, as amended (the “Act”), in connection with a plan of finance for the benefit of Euclid Avenue Development Corporation, an Ohio nonprofit corporation, formerly known as Euclid Avenue Housing Corporation (the “Borrower”). The Bonds will be issued as qualified 501(c)(3) bonds under Section 145 of the Internal Revenue Code of 1986, as amended (the “Code”), and the proceeds of the Bonds will be used to finance the costs of acquiring, constructing, renovating, expanding, equipping and improving facilities constituting “port authority facilities” for housing, educational and commercial purposes as defined in the Act) (comprised of the Edge Student Housing Project and the Langston Student Housing Project, both as defined below and collectively referred to herein as the “Housing Facilities”) of the Borrower as further described herein.

The proceeds of the Bonds will be made available to the Borrower to (1) finance costs of the acquisition, construction, renovation, expansion and equipping of certain Housing Facilities located at 1750 Euclid Avenue, Cleveland, Ohio in an amount not to exceed $64,850,000 (the “Edge Student Housing Project”); (2) finance costs of the acquisition, construction, renovation, expansion and equipping of certain Housing Facilities located at 2211-2303 Chester Avenue, Cleveland, Ohio in an amount not to exceed $83,550,000 (the “Langston Student Housing Project”); and (3) paying certain costs and expenses of the Issuer and the Borrower incurred in connection with the issuance of the Bonds.

The initial legal owner or principal user of the Housing Facilities financed by the Bonds is the Borrower.

The public hearing is intended to comply with the public approval requirements of Section 147(f) of the Code.  THE BONDS SHALL NOT REPRESENT OR CONSTITUTE A DEBT OR PLEDGE OF THE FAITH AND CREDIT OR THE TAXING POWER OF THE CLEVELAND-CUYAHOGA COUNTY PORT AUTHORITY, OHIO, THE STATE OF OHIO, OR ANY POLITICAL SUBDIVISION OF THE STATE OF OHIO.

Persons wishing to express their views on the proposed Bonds may appear at the hearing or submit their views in writing regarding the proposed Bonds and the location and nature the Housing Facilities to be financed.

Any written submissions should be sent to the Port Authority at 1100 West Ninth Street, Suite 300, Cleveland, Ohio 44113, and clearly marked “Re: Cleveland-Cuyahoga County Port Authority, Ohio Student Housing Facility Bonds, Series 2022A (Euclid Avenue Development Project).” Written submissions should be mailed in sufficient time to be received before the referenced public hearing on June 8, 2022.

CLEVELAND-CUYAHOGA COUNTY PORT AUTHORITY, OHIO

By: J. Stefan Holmes, Chair

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Port Announces 2021 Tonnage Numbers

Shippers Partner with Port of Cleveland to Solve Supply Chain Woes Port of Cleveland Volumes Surge in 2021 Due to Innovation, Planning & Execution

Cleveland, OH (January 26, 2022) - The Port of Cleveland saw a 69% increase in tonnage across its docks in 2021 compared to 2020. This surge was attributed to significant increases in non-containerized goods, containerized cargo, and iron ore shipments to the Cleveland-Cliffs Cleveland Works steel mill.

Early in 2021, the Port completed two major infrastructure projects that paved the way for the increased cargo volumes. First, the Port expanded its iron ore tunnel at the Cleveland-Bulk Terminal, providing additional capacity for the movement of iron ore.  Additionally, the Port opened a new modernized and expanded main gate at its general cargo facility, which allows for the more efficient movement of trucks, decreases wait times for drivers, and more efficiently moves cargo on/off Port property. The Port also reactivated the Foreign Trade Zone space at the general cargo terminal, leading to additional volumes and cost savings for numerous Port clients.

Cargo owners sought new solutions with the Port of Cleveland in 2021 due to continuing issues in the global supply chain. Container volume doubled compared to 2020 as shippers changed their routings from large coastal ports to alternative ports such as Cleveland.

General Cargo Terminal Volume

Includes steel, containers, project cargo, salt, and cement

  • A 57% increase over 2020 numbers
  • 649,324 metric tons - 2nd highest in last 10 years (only slightly behind 2015)
  • Containers handled doubled compared to 2020

Cleveland Bulk Terminal Volume

Includes iron ore and limestone throughput

  • A 71% increase over 2020 numbers
  • 6,943,139 metric tons

“Our cargo volumes bounced back in a big way in 2021 across the board, which indicates business is up at regional firms that depend on our Port,” said William Friedman, President, and CEO, Port of Cleveland.  “We are particularly pleased to see containerized cargo grow significantly because we’ve worked for years to position Cleveland as an alternative to congested coastal ports. Our momentum continues as we continue expanding Port capacity and services to meet the shipping needs of Northeast Ohio and beyond.”

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Discussing Alternative Supply Chain Solutions with Spliethoff

In this episode of Great Lakes Forward, our host Jade Davis, Vice President of External Affairs, is joined by Claus Sorensen, Vice President of Spliethoff Cleveland. They discuss how they are positioning themselves as a solution to the supply chain crisis in 2022 and beyond.

Great Lakes Forward is a podcast series by the Port of Cleveland that tells the untold story of maritime and tackles topics of shipping, logistics, and trade.
Find us on the web at www.portofcleveland.com and on Facebook, Twitter, Instagram, and LinkedIn we are @portofcleveland Email us with comments and questions at info@portofcleveland.com

 

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