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LA-Long Beach PierPass agency determined to keep its 'mitigation fee'
THE Los Angeles-Long Beach terminal operators' agency, PierPass, said it would not give up its surcharge despite the desire of the US Federal Maritime Commission (FMC) that it do so.
PierPass collects a US$66.50 fee from truckers moving full TEUs ($133 for FEUs) containers, supposedly to encourage them to come at night when the fee is not charged, reports American Shipper.
PierPass president John Cushing said truckers were modifying their behaviour to avoid paying the fee.
Since the fee is not charged on empties, truckers returned them in late afternoon on their way to pick loaded import containers. They wait inside the terminal until 6pm when the fee is no longer charged, he said.
Mr Cushing and PierPass chairman Bruce Wargo met with the FMC in Washington together with representatives of shipping and retail groups, who made their arguments and pleas about west coast harbour congestion ahead of Christmas shopping season.
Cargo interests want PierPass to end the charge until the congestion problems are over, saying the fee itself causes congestion because truckers begin lining up at marine terminals two hours or more each day before the fee goes away at 6pm for the night shift.
FMC chairman Mario Cordero has also suggested that PierPass consider suspending the fee during the current congestion.
But Mr Cushing said eliminating the fee would return the ports to 2004-05 when 80 per cent of the truck traffic occurred during the day, and pictures of truck gridlock were widely circulated.
Today, 50 per cent of all truck moves at the ports occur at night and Saturdays, reported Newark's Journal of Commerce.
Terminals have also expanded their gates. Many terminals are opening at 7am and keeping open through the lunch hour.
Mr Cushing said they are adding another flex gate from 5 to 6pm and some terminals are working "hoot" shifts from 3am to 8am to clear yards before the day begins.
Some terminals open Sundays. They operated 73 additional gates in September and 86 additional gates in October, which is a 30 to 33 per cent more that scheduled off-peak gates, he said.
Other terminals have a free-flow programme where pre-positioned blocks of containers are stacked for faster turn times for trucks heading to the same place.
The terminals collectively are spending $3 million each week to reduce congestion, Mr Cushing said.
PierPass collects a US$66.50 fee from truckers moving full TEUs ($133 for FEUs) containers, supposedly to encourage them to come at night when the fee is not charged, reports American Shipper.
PierPass president John Cushing said truckers were modifying their behaviour to avoid paying the fee.
Since the fee is not charged on empties, truckers returned them in late afternoon on their way to pick loaded import containers. They wait inside the terminal until 6pm when the fee is no longer charged, he said.
Mr Cushing and PierPass chairman Bruce Wargo met with the FMC in Washington together with representatives of shipping and retail groups, who made their arguments and pleas about west coast harbour congestion ahead of Christmas shopping season.
Cargo interests want PierPass to end the charge until the congestion problems are over, saying the fee itself causes congestion because truckers begin lining up at marine terminals two hours or more each day before the fee goes away at 6pm for the night shift.
FMC chairman Mario Cordero has also suggested that PierPass consider suspending the fee during the current congestion.
But Mr Cushing said eliminating the fee would return the ports to 2004-05 when 80 per cent of the truck traffic occurred during the day, and pictures of truck gridlock were widely circulated.
Today, 50 per cent of all truck moves at the ports occur at night and Saturdays, reported Newark's Journal of Commerce.
Terminals have also expanded their gates. Many terminals are opening at 7am and keeping open through the lunch hour.
Mr Cushing said they are adding another flex gate from 5 to 6pm and some terminals are working "hoot" shifts from 3am to 8am to clear yards before the day begins.
Some terminals open Sundays. They operated 73 additional gates in September and 86 additional gates in October, which is a 30 to 33 per cent more that scheduled off-peak gates, he said.
Other terminals have a free-flow programme where pre-positioned blocks of containers are stacked for faster turn times for trucks heading to the same place.
The terminals collectively are spending $3 million each week to reduce congestion, Mr Cushing said.
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