The West Coast Marine Terminal Operators Agreement today announced an 8.1 percent increase in the traffic mitigation fee at the ports of Los Angeles and Long Beach, Calif., effective Aug. 19, in order to sustain continued operation of PierPass OffPeak gates amid labor cost increases.
The fee will increase by $5.00 per 20-foot-equivalent unit to $66.50 per TEU or $133.00 per 40-foot-equivalent unit. The current fee rates are $61.50 and $123.00 respectively.
Since 2011, WCMTOA has been adjusting the traffic mitigation fee annually based on changes in maritime labor costs. In May, the Pacific Maritime Association, which negotiates and administers maritime labor agreements with the International Longshore and Warehouse Union, announced an 8.2 percent increase in wages and benefits for the 2013 to 2014 contract year.
The fee helps pay for the night and Saturday marine terminal shifts created by the PierPass OffPeak program to relieve daytime congestion in and around the ports. It also provides a financial incentive to move cargo during less congested times.