Ocean Cargo: Night gate fee raise postponed at Ports of LA/Long Beach

The schedule change is in response to feedback from customers and other partners in the goods movement industry.

By ·

Responding to shipper concerns, the West Coast MTO Agreement (WCMTOA) announced it will postpone until August 1 its planned adjustment to the Traffic Mitigation Fee (TMF) at the Ports of Los Angeles and Long Beach.

Bruce Wargo, president of PierPass, the non-profit formed by WCMTOA in 2005 that runs the OffPeak program, told LM last month that the TMF adjustment would be implemented on July 4. Having heard from shippers at the recently-concluded Agriculture Transportation Coalition (AgTC) annual conference in San Francisco, may have led to that reversal.

“The schedule change is in response to feedback from customers and other partners in the goods movement industry, and is intended to provide more time for cargo owners to prepare for the adjusted TMF,” added PierPass spokesmen.

Wargo told AgTC shippers that while rate increases are never desirable, it’s important to recognize the value gained through adequate funding of the PierPass OffPeak Program.

In a statement, spokesmen asked shippers to recall six years ago, before PierPass existed to address daytime truck and cargo congestion at the San Pedro Bay ports.

“Heavy traffic plagued freeways, neighboring communities, and roads leading into ports. Long lines of trucks, cargo sitting for extended periods, and ship delays were commonplace.

Over the past six years, PierPass OffPeak gates have grown to handle approximately 55 percent of all container traffic at the ports of Los Angeles and Long Beach, have accommodated close to 20 million truck transactions during OffPeak shifts, and eased congestion in city streets and nearby freeways during normal business hours.

“OffPeak gates help to minimize daytime traffic congestion, allow cargo to move faster at night on less crowded roads, and enables truck owners to deliver more loads through lower turn-times and twice the number of working hours in a day, PierPass spokesmen added. “The TMF funds the nighttime gates, which make these benefits possible.

For related articles click here.


About the Author

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 [email protected]

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!

Article Topics

Ocean Cargo · Ocean Freight · Trucking · All Topics
Latest Whitepaper
Improving Packaging: The Cost of Shipping Air is Going Up
Retailers and manufacturers that insist on using inefficient and sloppy packaging methods—oversized boxes, inefficient packaging, poorly constructed palletized contents—are paying for their mistakes in sharply higher freight rates. Pitt Ohio White Paper, Logistics White Paper, Dimensional Packaging
Download Today!
From the July 2016 Issue
While it’s currently a shippers market, the authors of this year’s report contend that we’ve entered a “period of transition” that will usher in a realignment of capacity, lower inventories, economic growth and “moderately higher” rates. It’s time to tighten the ties that bind.
2016 State of Logistics: Third-party logistics
2016 State of Logistics: Ocean freight
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Getting the most out of your 3PL relationship
Join Evan Armstrong, president of Armstrong & Associates, as he explains how creating a balanced portfolio of "Top 50" global and domestic partners can maximize efficiency and mitigate risk.
Register Today!
EDITORS' PICKS
Regional ports concentrate on growth and connectivity
With the Panama Canal expansion complete, ocean cargo gateways in the Caribbean are investing to...
Digital Reality Check
Just how close are we to the ideal digital supply network? Not as close as we might like to think....

Top 25 ports: West Coast continues to dominate
The Panama Canal expansion is set for late June and may soon be attracting more inbound vessel calls...
Port of Oakland launches smart phone apps for harbor truckers
Innovation uses Bluetooth, GPS to measure how long drivers wait for cargo