Los Angeles

Port of LA

May 11, 2023 Item #4

Agenda Item 4

4. RESOLUTION NO. ____________ - APPROVE TEMPORARY ORDER TO AMEND\nPORT OF LOS ANGELES TARIFF NO. 4, “GENERAL RATE INCREASE”\nSummary: Staff requests approval to amend Port of Los Angeles Tariff No. 4 (Tariff) to increase\nrated tariff items based on the West Region Consumer Price Index for All Urban Consumers\n(CPI-U). The California Association of Port Authorities (CAPA), of which the Port of Los Angeles\n(Port) is a member, adopted an annual general rate increase (GRI) methodology for tariffs based\non the CPI-U. The Bureau of Labor Statistics has identified a 6.2 percent increase in the CPI-U\nfor the 12-month period ending December 2022. On April 28, 2022, the Board of Harbor\nCommissioners (Board) approved Order No. 22-7327, which was approved by City Council\nOrdinance No. 187649, adopting a 7.1 percent GRI through CAPA, effective August 1, 2022.\nPrior to that, the Port implemented GRIs in the Port’s Tariff No. 4 (POLA Tariff) in calendar year\n(CY) 2004 and 2005, and a 1.7 percent GRI for a temporary 9-month period in July 2013 - March\n2014 under Temporary Orders only, which expired when it was not approved by City Council\nunder Permanent Order. The proposed CAPA GRI, effective July 1, 2023, of 6.2 percent, is\napplicable to the POLA Tariff rated tariff items, excluding rated tariff items that have a scheduled\nrate increase as of the effective date. Staff is recommending approval of the CAPA GRI,\neffective July 1, 2023, of 6.2 percent, applicable to the POLA Tariff rated tariff items, excluding\nrated tariff items that have a scheduled rate increase as of the effective date. This Temporary\nOrder is being proposed within the Board’s authority to adopt rates for up to 90-days. A separate\naction recommends a Permanent Order and Ordinance for approval by the Board and City\nCouncil, which are required to make effective changes to Tariff No. 4 beyond the Temporary\nOrder’s 90-day effective period.\nRecommendation: Board resolve to (1) find that the Director of Environmental Management has\ndetermined that the proposed action is categorically exempt from the requirements of the\nCalifornia Environmental Quality Act (CEQA) under Article III Class 1(31) of the Los Angeles\nCity CEQA Guidelines; (2) approve the amendment to Port of Los Angeles Tariff No. 4 increasing\nrates to Section Four “Dockage”, Items 450 & 480; Section Five “Wharfage”, Items 550-001\nthrough 550-801; Section Nine “Container Cranes” Item 900; Section Eleven “Charges for\nOccupancy of Office Space, etc. In Transit Sheds and on Wharves and Wharf Premises”, Item\n1100; Section Twelve “Water and Electricity”, Item 1200; Section Fifteen “Public Landings”,\nItems 1525 & 1530; Section Eighteen “General Rules and Regulations – Miscellaneous”, Item\n1802; and Section Nineteen “Commercial Fishing Vessel”, Items 1910 & 1930, subject to the\nCalifornia Association of Port Authorities’ review and approval, and authorize the Executive\nDirector to work with the California Association of Port Authorities to secure this approval or\nproceed to take independent action in accordance with the California Association of Port\nAuthorities’ procedure;\n4. (Continued)\n(3) adopt Temporary Order No.____________ with an effective date of July 1, 2023, to amend\nPort of Los Angeles Tariff No. 4, increasing rates to Section Four “Dockage”, Items 450 & 480;\nSection Five “Wharfage”, Items 550-001 through 550-801; Section Nine “Container Cranes” Item\n900; Section Eleven “Charges for Occupancy of Office Space, etc. In Transit Sheds and on\nWharves and Wharf Premises””, Item 1100; Section Twelve “Water and Electricity”, Item 1200;\nSection Fifteen “Public Landings”, Items 1525 & 1530; Section Eighteen “General Rules and\nRegulations – Miscellaneous”, Item 1802; and Section Nineteen “Commercial Fishing Vessel”,\nItems 1910 & 1930; (4) authorize the Board Secretary to certify the adoption of Temporary Order\nby the Board of Harbor Commissioners and cause the same to be published once in a\nnewspaper printed and published in the City of Los Angeles, to take effect on July 1, 2023, for a\nperiod not-to-exceed 90 days pursuant to City Charter Section 653(b); and (5) adopt Resolution\nNo.___________.\nCargo Marketing