The Port of Oakland Board of Commissioners Thursday approved a roughly $513.6 million budget for the 2020 fiscal year, according to port officials.
The new budget, which covers both the seaport and the Oakland International Airport, is about 4 percent larger than last year's and it projects revenue of $398 million.
Operating expenses are likely to increase by 10.4 percent in this budget, according to port officials, mostly due to costs associated with personnel, maritime maintenance and dredging and aviation security.
"The budget reflects steady, digestible growth in our core businesses and a recognition that expenses will continue to increase," said port spokesman Mike Zampa.
The budget document notes that the airport has "experienced a period of significant growth" and now has flights to roughly 64 domestic and international destinations, although "passenger growth" diminished somewhat in 2019 and is expected to hold at about 2 percent over the next five years.
The maritime port has been able to maintain steady cargo volume "despite periods of market volatility" and port officials expect modest growth over the next five years, although the budget document notes that the "trade war with China may negatively impact the economy and future business growth."
"All current terminal operators have recently extended their leases, strengthening port revenue certainty over the next decade," the budget document notes. "Maritime trade and the demand for supporting facilities continues to be strong."
The budget includes $42.3 million in construction and other capital projects, mostly at the seaport, airport and Jack London Square.
The port could add an additional $81.4 million in projects this fiscal year, which starts July 1, according to port officials.