Southern California Terminal Operators Drop Chassis Fee Plan
Southern California marine terminals have dropped a plan to charge chassis lessors $5 per unit traveling through cargo facilities in the face of opposition from the businesses that provide the majority of chassis equipment to move truck freight in the region.
The announcement from the West Coast Marine Terminals Operating Agreement followed soon after leasing companies such as TRAC Intermodal, Flexi-Van and Direct Chassis Link protested the move at the Federal Maritime Commission, petitioning to have the fee canceled.
The terminal operators announced the fee earlier this year as a means to defray operating costs that have included reported losses from its PierPass program. That program charges a fee to use terminals during daytime hours and waives the fee at night to encourage terminal use during off-peak hours. However, truckers and groups such as the California Trucking Association have pressed for changes to PierPass because of persistent long lines to enter port gates during evening hours.
“While it has shelved plans for the fee, WCMTOA intends to vigorously defend its position in its response to the petition,” a statement said. “WCMTOA members strongly believe the chassis owners must be responsible for covering the land, labor and technology costs the terminals incur on their behalf.
Terminal operators argued that they pay $200,000 per acre in fees to the port to lease land that is largely used to stack chassis.
Chassis owned by ocean carriers, which in some cases own terminals, as well as privately owned chassis provided by parties such as truckers wouldn’t be charged the fee.
