FOLLOWING a regulatory challenge from chassis lessors, the organisation representing terminal operators at the ports of Los Angeles and Long Beach has shelved its plan to charge a US$5 per-chassis service fee.
Instead, member terminals of the West Coast Marine Terminal Operating Agreement have started negotiating directly with chassis-leasing for rent to store their equipment.
Rent includes the use of costly longshore labour to stack and unstack chassis, and reimbursement for electronic data interchange transmission of data on chassis usage, which the intermodal equipment providers use to bill customers, reported IHS Media.
"WCMTOA's member terminals affirm their right to seek compensation for the costly services they provide to chassis-leasing companies at the ports of Los Angeles and Long Beach," the organisation stated in a release.
"It costs terminals more than US$200,000 per acre per year to lease land from the ports, and the terminals each have many acres stacked with chassis."
The $5 fee, which the 13 terminals intended to charge each time a chassis entered or left the facility, drew opposition from the intermodal equipment providers (Flexi-Van, Direct ContainerLink and TRAC Intermodal), since it was first proposed in July.
The intermodal equipment providers on August 9 filed a petition for an order to show cause with the Federal Maritime Commission, charging that the fee would violate the Shipping Act of 1984. Although it has shelved its plan for the fee, WCMTOA said it "intends to vigorously defend its response to the petition."
PORTS
27 August 2016 - 07:57
Terminal operators at LA-LB abandon plan to levy chassis service fee
FOLLOWING a regulatory challenge from chassis lessors, the organisation representing terminal operators at the ports of Los Angeles and Long Beach has shelved its plan to charge a US$5 per-chassis service fee.
PORTS
27 August 2016 - 07:57
Terminal operators at LA-LB abandon plan to levy chassis service fee
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