Date: Friday, January 4, 2008

Re:	Port of Los Angeles Passes Clean Truck Fee

Received the following bulletin regarding the Clean Truck Fee:

On Thursday, December 20th the Port of Los Angeles Harbor Commission passed an amendment to its tariff imposing at $70 container (FEU) fee on all loaded containers entering and leaving marine terminals to pay for a new fleet of over 16,000 clean burning harbor trucks. Click here for the details on the L.A. “Clean Truck Fee”.

The fee is identical to an amendment that was passed by the Long Beach Harbor Commission on December 17th. The Clean Truck Fee is to be paid solely by beneficial cargo owners (BCOs) moving only containerized freight. Brokers, forwarders and other intermediaries are prohibited from paying the fee. Containers traveling by rail are exempt as are empties. Also, BCOs moving non-containerized freight by truck are exempt from the fee.

The Waterfront Coalition has posted information on its webpage on the details of the fee and our communications to the Harbor Commissions. Click here to get more information on the Clean Truck Fee.

The tariff amendment that passed the Long Beach Harbor Commission would have BCOs that contract for carriage with trucking companies that already use 2007 model year trucks (or similar clean burning technology such as LNG) pay the fee. However, documents posted on the Port of Los Angeles’ website states that in early 2008 staff for both ports will examine an “incentive” program for BCOs that already contract for carriage with companies that use clean burning trucks. Those following the issue closely believe that staff recommendation may include a rebate for these BCOs. In the same document, staff for both ports are also instructed to forward a framework for a similar BCO fee to pay for certain infrastructure projects by early 2008.

Meanwhile staff for both ports have yet to issue the specifics on collection of the fee or any other details on the administration of the program.