California Political and Environmental Leaders Laud PierPass OffPeak Program for Decade of Impact

Program Diverts 34 Million Truck Trips From Los Angeles / Long Beach Peak Traffic Since 2005

LONG BEACH, Calif., July 23, 2015 – PierPass Inc. today celebrated the 10-year anniversary of the OffPeak Program, which established regular night and Saturday work shifts at the Port of Los Angeles and Port of Long Beach, and pledged continuing efforts to minimize cargo-related congestion in and around the ports. Since July 23, 2005, OffPeak has taken 34 million truck trips out of daytime Southern California traffic and diverted them to less congested nights and weekends.

PierPass created OffPeak as a private sector solution to what was then a critical public problem: after a rapid rise in cargo volume in the early 2000s, drayage trucks were causing severe congestion on the roads and highways and in the neighborhoods around the ports, while thousands of idling trucks caught in this traffic every day added to air pollution. The ports came under strong community and political pressure to find a solution.

PierPass effectively doubles the capacity of the nation’s largest and busiest port complex without taxpayer money and without waiting for new infrastructure to be built. It enables the economic benefits of cargo transportation – which provides nearly 700,000 Southern California jobs and generates more than $10 billion in state and local taxes annually – while greatly mitigating the traffic and air quality impacts of the ports’ operations. OffPeak now regularly diverts about half of the roughly 150,000 weekly truck trips to nights and Saturdays.

“Heavy-duty trucks are the largest source of smog-forming nitrogen oxide emissions in our region,” explains South Coast Air Quality Management District Executive Officer Barry Wallerstein. “By decreasing the time that trucks are idling and stuck in traffic, the OffPeak program has helped to significantly improve air quality.”

The mayors of Los Angeles and Long Beach hailed the OffPeak program’s achievements on its 10th anniversary.

“The OffPeak program has facilitated the continued growth of the Port of Long Beach,” said Long Beach Mayor Robert Garcia, “while lowering the adverse environmental impacts of their operations.”

“For the last decade, PierPass has instituted innovative and creative problem solving for the goods movement industry in Southern California,” said Los Angeles Mayor Eric Garcetti. “Their program has helped to bring jobs to America’s #1 port, while helping us reduce our environmental footprint in the Harbor area.”

Congressman Alan Lowenthal, who introduced legislation to address truck congestion at the ports when he was an Assemblyman in the California Legislature, said, “Given the success of OffPeak, many don’t remember how bad it was at the ports in the years before the program’s creation. The OffPeak program really helped reduce the stress on port-adjacent communities and traffic on key freeways.”

Using a congestion pricing model, PierPass charges a Traffic Mitigation Fee (TMF) on weekday daytime cargo moves to incentivize cargo owners to use the OffPeak shifts. The TMF also helps pay for the cost of operating the OffPeak shifts, which upon introduction in 2005 roughly doubled the labor cost to handle the same amount of cargo. Container volume rose only 6% between 2005 and 2014.

On an average OffPeak weeknight, 13,500 trucks visit the marine container terminals at the Los Angeles and Long Beach ports. If all of these trucks were lined up bumper-to-bumper, they would form a line 145 miles long, stretching halfway to Las Vegas. Without the OffPeak program, this cargo would be crammed into a single day shift, doubling daytime volumes and once again causing severe congestion.

“We are proud of what we have accomplished with the OffPeak program, but we aren’t resting on our accomplishments,” said PierPass President John Cushing. “PierPass and the terminals are constantly working with our partners at the ports and others in the supply chain to improve the velocity of freight and reduce the environmental impact of port operations.”

About PierPass
PierPass is a not-for-profit company created by marine terminal operators at the Ports of Los Angeles and Long Beach in 2005 to address multi-terminal issues such as congestion, air quality and security. To learn what it takes for a truck to drop off or pick up a container at a marine terminal, see http://youtu.be/P9IJN1yIIJ4. For additional information, please see www.pierpass.org.

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PierPass Customer Service Numbers:
877-863-3310 (from inside the United States)
1-973-355-3575 (from outside the United States)

PierPass July News and Updates

PierPass Monthly Transaction Data
Each month we provide a summary of the latest transaction data from marine terminal operators (MTOs) at the Port of Los Angeles and Port of Long Beach. Below please find data from the month of June 2015.

Average in-terminal turn time:
49.5 minutes day shift
48.6 minutes night shift

For comparison, the average in-terminal turn time in May 2015 was 49.0 minutes for the day shift and 49.9 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in June:
5 or moves per day: 8%
4 moves per day: 14%
3 moves per day: 29%
2 moves per day: 32%
1 move per day: 17%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In June, 22% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts in June:
Total Peak gate moves: 363,204 (54%)
Total OffPeak/Exempt gate moves: 303,833 (46%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note:
Terminals were closed for the second shift one night in June for an ILWU Stop Work meeting.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

Terminal Operators at the Ports of Los Angeles and Long Beach to Adjust PierPass TMF on August 1

LONG BEACH, Calif., June 30, 2015 – The West Coast MTO Agreement (WCMTOA) today announced an increase in the Traffic Mitigation Fee (TMF) at the Ports of Los Angeles and Long Beach, scheduled to take effect on August 1, 2015. The increase will sustain continued operation of PierPass OffPeak gates amid labor cost increases.

Beginning August 1, the TMF will be increased from $66.50 per TEU (twenty-foot equivalent unit) to $69.17 per TEU or $138.34 per forty-foot container.

WCMTOA periodically adjusts the TMF based on changes in maritime labor costs. The announced change reflects increases in labor costs contained in the contract recently agreed to between the Pacific Maritime Association and the International Longshore and Warehouse Union (ILWU). The TMF was last adjusted in August 2013.

The Traffic Mitigation Fee helps pay for the night and Saturday marine terminal shifts created by the PierPass OffPeak program to relieve daytime congestion in and around the ports. It also provides a financial incentive to move cargo during less-congested times. The TMF is charged for non-exempt containers moving during peak hours (Monday through Friday, 3 a.m. to 6 p.m.).

About PierPass

PierPass is a not-for-profit company created by marine terminal operators at the Port of Los Angeles and Port of Long Beach to address multi-terminal issues such as congestion, air quality and security. The West Coast Marine Terminal Operator Agreement (WCMTOA) is filed with the Federal Maritime Commission, and comprises the 13 international MTOs serving the Los Angeles and Long Beach ports. For more information, please see www.pierpass.org.

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PierPass June News and Updates

PierPass Monthly Transaction Data
Each month we provide a summary of the latest transaction data from marine terminal operators (MTOs) at the Port of Los Angeles and Port of Long Beach. Below please find data from the month of May 2015.

Average in-terminal turn time:
49.0 minutes day shift
49.9 minutes night shift

For comparison, the average in-terminal turn time in April 2015 was 44.6 minutes for the day shift and 49.5 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in May:
5 or moves per day: 8%
4 moves per day: 14%
3 moves per day: 29%
2 moves per day: 32%
1 move per day: 17%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In May, 22% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts:
Total Peak gate moves: 350,226 (56%)
Total OffPeak/Exempt gate moves: 279,785 (44%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note:
Terminals were closed for Memorial Day and for the second shift one night in May for an ILWU Stop Work meeting.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

PierPass May News and Updates

Fastest truck turn times since mid-2014

Truck waiting times continued their rapid improvement in April, as the terminals at the Ports of Los Angeles and Long Beach saw the heavy congestion of last fall and early this year recede into the past.

Trucks are now moving through the terminals faster than they have since mid-2014. For one transaction (picking up or delivering a container) on the Peak (weekday daytime) shift, it took trucks an average of 44.6 minutes in April, down from a high of 60.9 minutes in January 2015 and the lowest since June 2014. On OffPeak shifts (weekday nights and Saturdays), turn times in April averaged 49.5 minutes, down from a high of 61.4 minutes in November 2014 and the lowest since August 2014.

Average in-terminal turn time in April 2015:
44.6 minutes day shift
49.5 minutes night shift

For comparison, the average in-terminal turn time in March 2015 was 51.5 minutes for the day shift and 54.5 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in April:
5 or moves per day: 8%
4 moves per day: 15%
3 moves per day: 29%
2 moves per day: 32%
1 move per day: 16%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In April, 23% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts:
Total Peak gate moves: 362,155 (55%)
Total OffPeak/Exempt gate moves: 297,593 (45%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

Los Angeles / Long Beach Terminal Operators Move Quickly to Recover From Congestion

PierPass April News and Updates

Container throughput surged in March at marine terminals at the Port of Los Angeles and Port of Long Beach. Compared to February, 75% more containers moved through the terminal truck gates in March during the OffPeak shifts (Monday through Friday nights and Saturday) and Exempt shifts (Saturday night and Sunday). Container moves during Peak shifts (Monday through Friday daytimes) jumped 54% in March over February.

Average in-terminal turn time in March 2015:
51.5 minutes day shift
54.5 minutes night shift

For comparison, the average in-terminal turn time in February 2015 was 49.6 minutes for the day shift and 53.0 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in March:
5 or moves per day: 8%
4 moves per day: 15%
3 moves per day: 29%
2 moves per day: 31%
1 move per day: 17%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In March, 23% of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts:
Total Peak gate moves: 374,007 (55%)
Total OffPeak/Exempt gate moves: 306,187 (45%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

With Labor and Chassis Issues Addressed, PierPass Member Terminals Increase Throughput 46% in First Half of March

LONG BEACH, Calif., March 18, 2015 —In the wake of a tentative labor deal announced Feb. 20 and the formation of a port-wide chassis pool on March 1, marine terminals at the Port of Los Angeles and Port of Long Beach moved 46% more cargo containers by truck during the first half of March compared with the same period in February, PierPass Inc. said today.

From March 2 through March 15, nearly 303,000 import and export containers moved by truck into or out of the terminals, compared to nearly 207,000 from Feb. 2 through Feb. 15, according to gate transaction data collected by PierPass. These include containers moved during day shifts and the OffPeak shifts managed by PierPass on nights and Saturdays. The OffPeak program diverts about half of port truck trips out of Monday-through-Friday daytime traffic while roughly doubling the capacity of the Los Angeles and Long Beach ports.

According to the Marine Exchange of Southern California, there were 30 ships waiting to be unloaded at the Los Angeles and Long Beach ports on Monday March 16, down from 36 on Feb. 26.

“The terminals are intensely focused on returning to normal operations as quickly as possible,” said John Cushing, president of PierPass, which represents the 13 container terminals at the two adjacent ports. “While much work remains to be done, we can report progress in accelerating cargo movement by mid- March.”

PierPass today also reported some progress in reducing transaction times for trucks at the terminals. Average truck turn times dropped during the month of February (most of which fell before the Feb. 20 labor agreement) compared with January. It took trucks an average of 49.6 minutes to complete one transaction (picking up or delivering a container) on the Peak (weekday daytime) shift in February, down from 60.9 minutes in January. On OffPeak shifts, turn times in February averaged 53 minutes, down from 55.8 minutes in January.

In another move to reduce the cargo backlog, two terminals have leased additional port-owned land in order to accept empty containers and make more room for imports and exports. A third terminal has leased additional land to where it is bringing loaded containers mounted on chassis ready for truckers to pick up.

Terminal operators continue to work with trucking companies and cargo owners to increase the use of free-flow, sometimes known as peel-off, a practice PierPass has promoted to reduce truck waiting times. Free-flow enables bulk delivery of large groups of containers destined for the same location, typically to a single cargo owner. The terminals pre-stage the containers in a separate stack. The cargo owner then sends a stream of trucks into the terminal and each truck takes the next container in the stack.

“We have been very proactive with different terminal efficiency tools that include our appointment system and peel-off piles,” said Rickey Childs, head of operations for Eagle Marine Services. “We continue to work with the trucking community for increased OffPeak utilization, especially during the second half of the shift when there is minimal truck activity at the gates.”

On March 1, three of the largest chassis leasing companies at the Los Angeles and Long Beach ports formed a gray chassis “pool of pools” intended to solve the chassis supply disruption that emerged last year after shipping lines sold their chassis to private leasing companies. The new system makes chassis interchangeable for truckers and terminals. The three leasing companies control about 100,000 chassis in Southern California.

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PierPass February News and Updates

Overview

On Friday February 20, the Pacific Maritime Association and the International Longshore and Warehouse Union announced a tentative agreement on a new five-year contract covering workers at all 29 West Coast ports. The agreement, which is subject to ratification by both parties, is expected to allow the terminal operators at the Port of Los Angeles and Port of Long Beach to resume fully staffed operations and reduce the congestion that spiked during the nine-month labor negotiations.

January truck gate statistics at the two ports reflected high levels of congestion.

PierPass Monthly Transaction Data

Average in-terminal turn time in January 2015:

  • 60.9 minutes day shift
  • 55.8 minutes night shift

For comparison, the average in-terminal turn time in December 2014 was 55.9 minutes for the day shift and 58.4 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in January:

  • 5 or moves per day: 4%
  • 4 moves per day: 10%
  • 3 moves per day: 27%
  • 2 moves per day: 38%
  • 1 move per day: 21%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In January, 14 percent of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts:

  • Total Peak gate moves: 307,473 (56%)
  • Total OffPeak/Exempt gate moves: 242,961 (44%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note: Two terminals were closed during the first shift on the Martin Luther King, Jr. Day holiday, and one terminal was also closed during the second shift that day.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

PierPass January News and Updates

Overview

Unusually high levels of congestion continued in December at the Port of Los Angeles and Port of Long Beach. The ongoing shortage of available chassis continued to slow port operations. This was compounded by reported shortages of skilled labor needed to operate various terminal equipment.

Marine terminal operators worked to reduce the backlogs of containers by running 72 additional gates (shifts open to truck traffic) during the month. The 72 additional gates were a 31% increase over the 233 OffPeak gates originally scheduled for December. The MTOs operated 73 additional gates in September, a 30% increase, 86 additional gates in October, a 33% increase, and 118 additional gates in November, a 55% increase.

PierPass Monthly Transaction Data

After increasing for several months due to the congestion, truck transaction times began to fall in December.

Average in-terminal turn time in December 2014:

  • 55.9 minutes day shift
  • 58.4 minutes night shift

For comparison, the average in-terminal turn time in November 2014 was 58.3 minutes for the day shift and 61.4 minutes for the night shift.

In-terminal turn time is the average amount of time a truck is inside a terminal to complete a transaction. Truck activity information is derived from RFID data, and excludes lunch hour, breaks and trouble tickets. Turn time at individual terminals will vary depending on time of day and other factors. For more information about turn times and how we measure them, please see our Q&A at http://goo.gl/PiOjBp.

Average daily moves per truck for frequent callers* in December:

  • 5 or moves per day: 5%
  • 4 moves per day: 11%
  • 3 moves per day: 28%
  • 2 moves per day: 36%
  • 1 move per day: 20%

*The ports define frequent callers as trucks making one or more moves per weekday. Average moves per day by frequent callers tells us how many moves a truck can make if it is working every day. In December, 16 percent of frequent callers made four or more moves per day.

Gate moves during Peak and OffPeak/exempt shifts:

  • Total Peak gate moves: 333,879 (55%)
  • Total OffPeak/Exempt gate moves: 271,302 (45%)

A gate move occurs when a container enters or leaves a marine terminal via the truck gates. Peak shifts are Monday through Friday, 8:00 a.m. to 5:00 p.m. OffPeak shifts are Monday through Friday, 6:00 p.m. to 3:00 a.m., and Saturday 8:00 a.m. to 5:00 p.m. Saturday night and Sunday shifts, which are not regularly scheduled, are considered “exempt.”

Note: All terminals were closed on Christmas Day, December 25. Some terminals were also closed for one or both shifts on December 24 and December 31.

To learn what it takes for a truck to drop off or pick up a container at a marine terminal, please see http://youtu.be/P9IJN1yIIJ4.

Terminals Operated 55% More OffPeak and Sunday Truck Gates in November

Marine Terminal Operators (MTOs) at the Ports of Los Angeles and Long Beach in November continued to work additional shifts to alleviate recent congestion. MTOs operated 118 additional gates (shifts open to truck traffic) in November, a 55% increase over the 213 OffPeak gates originally scheduled for the month.

The MTOs have been spending $3 million per week on additional and unbudgeted costs since September 1 to manage congestion. In addition to adding unscheduled gates and shifts, terminals have been working overtime and through lunch and breaks, and paying truckers to move containers between terminals to load on-dock trains.

The terminals have been working with industry partners to relieve a surge in congestion caused by a disruption in chassis availability and other factors.

The MTOs operated 73 additional gates in September, a 30% increase, and 86 additional gates in October, a 33% increase. These additional gates include both OffPeak shifts (Monday through Saturday nights and Saturday daytime) and Sunday shifts, which fall outside the OffPeak program. The regular schedule of gate operation is available at https://www.pierpass.org/wp-content/uploads/2014/10/PierPass-Offpeak-Schedule_10-25-14.pdf. Monthly scheduled totals vary according to the number of business days and holidays in each month. The number of regularly-scheduled OffPeak gates was 245 in September, 258 in October and 213 in November.