Subscribe to our free, weekly email newsletter!


Ballot proposition may weaken Port of Long Beach cargo operations

According to spokesmen representing broad coalition of shipping interests, the proposed measure in Long Beach threatens local jobs and will make it more difficult for the Port of Long Beach to remain a leading ocean cargo gateway.
By Patrick Burnson, Executive Editor
October 20, 2010

Leaders from Southern California’s goods movement industry today announced their unanimous opposition to Measure D.

According to spokesmen representing broad coalition of shipping interests, the proposed measure in Long Beach threatens local jobs and will make it more difficult for the Port of Long Beach to remain a leading ocean cargo gateway.

Measure D, which is on the Long Beach November 2 ballot, is a proposed city of Long Beach Charter Amendment that would change the formula for how revenues from the Harbor Department are transferred to the Tidelands Operating Funds (from 10 percent of net income to 5 percent of gross operating revenues). This amendment states that the management of the city’s oil properties and subsidence control operations are under the exclusive control of the Long Beach City Council rather than the Harbor Commission.

“Measure D is just a bad idea,” said Dan Meylor, President, Los Angeles Customs Brokers and Freight Forwarders Association. “City politicians put it on the ballot without thinking about the negative impact on the local economy, jobs, or important projects ensuring clean air in the Long Beach Community. It will likely affect the port’s bond ratings and associated borrowing costs, driving up the cost of every project and program and
reducing the number of these that can be accomplished, which in turn will drive discretionary cargo to other ports in the United States.”
Which may already be happening, noted Luciana Suran, and economist with CB Richard Ellis Econometric Advisors. Speaking at the 2010 Supply Chain Council Executive Summit in Houston last week, she noted that the anticipated widening of the Panama Canal will impact Southern California.

“We see shippers exploring other all-water options,” she said. “While the sheer sized of the California market is impressive, it must still be managed for growth.”

William Lyte, past president of the Harbor Association of Industry and Commerce, agrees:

“Measure D could put a halt to the continued economic viability of the port. Failing to invest in the port only puts us at a greater disadvantage in the years to come.”

Sue Dvonch, vice president, Propeller Club of Los Angeles-Long Beach, observed that all of California may be hurt by Measure D.

“Those involved in international commerce play a vital and important role in our state’s economic structure,” she said. “They are concerned that Measure D will threaten California’s position as a leading global gateway and will negatively impact our economy should we fail to adequately invest in our state’s transportation infrastructure.”

About the Author

image
Patrick Burnson
Executive Editor

Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

The “good news story” of the season appears to be generated by officials at The Port of Oakland, who report that it has taken additional steps in an ongoing effort to manage a surge of inbound container vessel calls.

The PMA, which represents employers at America’s 29 West Coast ports, has finally asked for federal mediation in its contract negotiations with the ILWU.

Seasonally-adjusted (SA) for-hire truck tonnage in November was up 3.5 percent compared to October, which was up 0.5 percent over September at 136.8 (2000=100), marking the highest SA on record.

UPS said that through this acquisition it will augment its healthcare expertise and network in Europe, specifically in the fast growing healthcare markets in Central and Eastern Europe.

Carloads were up 12.1 percent at 312,271, and intermodal at 280,337 containers and trailers saw a 4.5 percent annual gain.

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA