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PierPass 2.0 Flat Fee Kicks in Next Month

On 19 November the PierPass extended gates program will be making changes to its fee structure in the Port of Los Angeles and Long Beach.  Tim Stewart, Vice President of our USA operations, discusses the history of the PierPass program and the announced changes.
 
Background
 
PierPass Inc. was set up as a non-profit by the Terminal operators at the Port of Los Angeles and Long Beach to address issues with congestion, air quality and security.
 
In 2005 they launched an Off-peak program to help with severe cargo-related congestion on local streets and highways.  Off-peak established regular night and Saturday work shifts to handle the increased volume of imports and exports for both Ports.  To help incentivize the use of the night shift, it was agreed a fee would be charged for all day time movements and any movements during the night shift would not incur this fee.
 
Announced Changes
 
Informally referred to as PierPass 2.0 the PierPass Off-peak Program will change from 19 November.  The current congestion-pricing model with a Traffic Mitigation Fee, charged on daytime moves in or out of the ports of Long Beach and Los Angeles will be replaced with an appointment-based system that uses a single flat fee for both Day and Night container moves.
 
The new fee will be accompanied by mandatory trucker appointments at all 12 container terminals, nine of which already require appointments.  Terminal operators will use the appointments to manage truck traffic.
 
Key Points
  • Pier Pass will be reduced from USD72.09/TEU to USD31.52/TEU.
  • It will now be charged on all Day or Night moves, as opposed to the current model which sees charges levied on only day time movements.
  • All ports will run an appointment system, with the Trucker given a 2-hour window to collect. This may take away some of the current flexibility on arranging delivery windows for both import and export.
  
Tim Stewart
Vice President - USA
ACA International (USA) INC.