Ports ‘Soft Launch’ Truck Plan with O-O Ban Still Unsettled

By Eric Miller, Staff Reporter

This story appears in the Oct. 6 print edition of Transport Topics.

The California ports of Los Angeles and Long Beach formally launched their clean-trucks programs last week without any apparent major glitches, although activity at some terminals was initially reported to be lighter than usual, with fewer trucks showing up at the gates.

The ports’ clean-trucks program is intended to cut diesel emissions by banning 1988 and older trucks immediately and requiring 2007-emission-standards engines by 2012. The Los Angeles port’s plan includes a phased-in ban of independent owner-operators that is being challenged in federal court by American Trucking Associations and investigated by the Federal Maritime Commission.

Officials said that while some trucks were denied entry Oct. 1 because they were not registered as concession operators, the overwhelming majority of drayage trucks had the proper documentation and were allowed entrance to marine terminals for pickups and deliveries.

Officials called Oct. 1 a “soft launch” because cargo owners were not yet required to pay a new $35 container fee, trucks were not yet required to have onboard electronic monitoring devices and some pre-1989 trucks were allowed entry if the owner could prove a new truck had been ordered. It may be 30 days or more before these requirements may be enforced, port officials said.

“The real test is going to come as we move deeper into the program,” said Patty Senecal, who oversees California governmental affairs for the International Warehouse Logistics Association.

“As the week goes on, maybe we’ll be able to get a better picture,” Senecal said. “But port officials have assured us they will not impede the flow of commerce.”

Several officials had said confusion and lack of coordination would slow the flow of commerce at the ports, but those fears did not materialize during the first two days of operation, said Arley Baker, a spokesman for the Port of Los Angeles.

“Things are going well,” Baker said. “We’ve been talking with our terminal operators, keeping an eye on the terminal gates. For the most part, the number of trucks that are compliant is typically better than 95% at our terminals.”

A spokesman for the Port of Long Beach said trucks were entering the port without difficulty. Yet there were indications on Oct. 1 that trucks were not showing up in typical numbers.

Truck traffic at some APL Terminals was down by as much as 30% on Oct. 1, said Scott Smith, director of corporate relations for APL. However, Smith said traffic was heavier later in the evening and appeared normal on Oct. 2.

Overall, Smith said things were going “extremely smoothly.” He estimated only 2% to 3% of the trucks attempting to enter APL terminals were being turned back for lack of temporary compliance stickers.

“This is pretty much what we expected,” Smith said.

“When it really gets tough is when the fee kicks in and all the containers must be claimed,” Smith added. The containers are to be listed in a new database system called PortCheck that is to be operational in upcom-ing weeks, and port operators must verify that the container fee was paid by the shipper or owner before they release the containers to drivers. If the fee has not been paid, the driver will be turned away, he said.

Smith said the smaller truck numbers on the first day could be in part attributed to some inaccurate rumors that truckers needed a Transportation Worker Identification Credential to gain entry.

“From what I understand, the only thing the ports are really monitoring is the stickers, and it’s a pretty light monitoring on that,” said Julie Sauls, a spokeswoman for the California Trucking Association. “Obviously, the employee-only mandate [banning owner-operators] isn’t in place.”

Sauls said truckers and shippers were “anxiously awaiting” a verdict on what effect the plan might have on the flow of freight.

“Even the soft rollout of these regulations creates uneasiness,” Sauls said.

Baker said the ports are not requiring drivers to have TWICs or pay the container fee. Enforcement of the fee is expected to begin within the next 30 days, he said.

Rumors that a TWIC was needed caused a surge in enrollment at the port’s TWIC office. Baker said he saw several dozen truckers waiting for the port’s Terminal Island enrollment center to open. TWIC cards will be required at all U.S. ports beginning April 15.

Although independent owner-operators eventually will be banned from working in the Port of Los Angeles, officials were not yet requiring employee-only drivers. However, to gain a concession permit, carriers agreed to gradually phase-out independent operators.

“Our concessionaires are committing to only using only employee drivers at the end of the five-year period, there’s a stepped approach to it,” Baker said. “That’s a business decision that can’t happen overnight.”