Deployments a major coup for Galveston, three years after Ike

Rattlesnakes and water moccasins slithered through several inches of slick mud that covered the floor of a cruise terminal at the Port of Galveston. Steven Cernak took in the scene, slipped in the muck and decided to make a hasty exit.

As director of the Port of Galveston, he'd started exploring what was left of the facility's two cruise terminals after Hurricane Ike slammed the region the day before. The walls were still standing, but the damage was astonishing.

"It was Sept. 13, 2008, when we got hit," Cernak recalled. "It was one of those times when you appreciate the enormity of the moment. You realize the enormity of the task at hand, to bring this all back on line."

But it was brought back, some of it very quickly, and now, Cernak declared, "The magic has come back to Galveston."

Besides the hard work it took to repair $250 million in damage (and to remove the poisonous serpents), the magic he referred to is arriving in the shape of a Fun Ship and a pair of Mickey Mouse ears.

This fall, Carnival Cruise Lines will deploy its newest vessel, the 3,600-passenger Carnival Magic, year-round in Galveston, and in fall 2012 Disney Cruise Line will deploy its 2,700-passenger Disney Magic through winter.

These deployments are major coups for Galveston, building on other important cruise line commitments and ensuring the survival of the southeast Texas city as a prime embarkation point for hundreds of thousands of cruise passengers each year.

The 2,700-passenger Carnival Triumph also will sail year-round starting in October, replacing the Carnival Ecstasy, and Royal Caribbean International's 3,100-pasenger Mariner of the Seas will call Galveston home for the winter season. In 2012 Princess Cruises' 3,080-passenger Caribbean Princess will operate seasonally from Galveston.

"We're growing," Cernak said. "It's a nice problem to have."

Galveston's path to recovery from Ike was a challenge, he said, because the damage was so severe.

"The power of water is really unbelievable," Cernak said. "We had thick metal doors in the cruise terminals that were designed to swing outward. After the storm, they were all turned inward 90 degrees on their hinges. The water inside the buildings rose to three-and-a-half feet."

And the immediate aftermath of the storm was just as devastating.

"The backside of the hurricane was ferocious," Cernak said. "It hit the upper limits of the bay and gravity did its thing: A wall of water went back into the Gulf of Mexico, taking with it everything in its path."

But disaster recovery crews worked fast, he said, and cruise ship operations were able to resume just 50 days later.

"Carnival came in and gave us the white glove test and said, 'Yep, you're ready for us,'" he recalled.

Cernak said he is excited about the long-term future of the port and about the new drive-market customers that he believes the Disney Magic and the Carnival Magic are sure to attract.

"I think Disney will drive more families," he said. "It's different from what we've had here before. And we're very appreciative of Carnival and Royal; they've allowed us to grow."

Terry Thornton, Carnival's senior vice president of revenue management and deployment, said the line pioneered year-round cruising from Galveston in 2000.

"Over the years, we have dramatically expanded our presence at the port," he said. "With the seven-day cruises of the Carnival Magic, combined with the four- and five-day voyages of the Carnival Triumph, Carnival expects to carry more than 450,000 guests annually from Galveston, a 250% increase over the past 11 years."

Thornton added that Galveston is "particularly well located to attract guests from the large population bases in Texas and surrounding markets within driving distance."

Carnival Cruise Lines said it expects to welcome about 2,500 agents aboard the Magic for an overnight event in Galveston on Nov. 13.

Cernak isn't the only Texan who's upbeat about the future of the Port of Galveston and the commitment of the cruise brands.

Agent Stephen Eaton opened a storefront cruise agency, Strand 'n' Sand, in Galveston's historic district earlier this year.

"My agency is right at the entrance to the port, and I think our area [of town] is the most excited about the new ships coming, the injection of money into the local economy," he said.

Most of the passengers who sail out of Galveston are not from the immediate area, Eaton said.

"We get people from Dallas and Fort Worth and from out of state," he said. "And I think that with Disney coming, it's going to be like shooting fish in a barrel. It's going to be a big draw for families and for people who want the Disney experience and are willing to pay for it."

It isn't just the cruise lines and agents that are making money because of the port, Eaton said: "It's good for the hotels here, restaurants, the rental vacation homes and lots of other businesses."

Beyond anecdotal evidence, however, the total impact is hard to assess, because the most recent economic impact statement available from the port was done in 2007, before Ike wreaked havoc.

"The volume is better now than then," Cernak said, adding that the port expects to welcome 925,000 passengers this year.

The 2007 impact statement, which was based on 525,000 passengers coming through the port, found that local businesses supplying food, beverages and services to the cruise lines took in $241.6 million in revenue. Nearly $20 million more came in the form of local purchases made in the Galveston area by firms providing other direct services to the cruise lines. And during the 2007 cruise season, the port garnered the state and local governments $7.7 million in tax revenue.

Eaton said he thinks Galveston Island is a better place now than it was before Ike.

"All the crummy houses are gone, and all the people who didn't really want to be here have moved away," he said. "A lot of new businesses have opened. I think the survival of the fittest came into play."