Los Angeles port budget tops $1 billion
The Port of Los Angeles has adopted a record $1 billion budget for 2007-2008, with major investments in capital improvement, security and waterfront development receiving the lion's share.
The new budget includes $459 million in operating revenue, a 9.5 percent increase over the 2006-2007 fiscal year. The majority of these revenues — $376 million, or 90 percent — will come from carrier paid wharfage fees.
The nation's busiest container port plans to spend $209.3 million on operating expenses during the next year, a 31 percent increase over the 2006-2007 fiscal year. Notable operating expense increases include a nearly 67 percent increase in the hiring of outside services and nearly 50 percent more for both marketing and the purchase of materials and supplies.
The largest allocation of the new budget is the port's $238.8 million capital outlay budget, a 78.6 percent increase of the 2006-2007 fiscal year. Equipment purchases will climb 210 percent and capital improvement outlays will jump 91 percent.
In addition, the port will set aside $191 million for emergency reserve funds and $125 million for unaccounted operations and unanticipated costs.
The port estimates that container volumes for fiscal year 2007-2008 will climb 6 percent to 9.1 million TEUs.
Los Angeles port budget tops $1 billion
