WEST COAST SHIPPING INDUSTRY OPPOSES PROPOSED CONTAINER TAX

WEST COAST SHIPPING INDUSTRY OPPOSES PROPOSED CONTAINER TAX    The West Coast shipping industry has started a vigorous lobbying campaign to end the proposal of a new tax on all ocean containers entering California seaports.
   “While we are sympathetic to the needs to fund infrastructure development and to deal with congestion problems at California seaports, SB 1 is not the appropriate method for dealing with these problems,” said Robin Lanier, executive director for the West Coast Waterfront Coalition, in a letter to California Sen. Betty Karnette. “This proposed bill would impose a new fee on all full or empty containers entering any California port for the express purpose of funding road infrastructure and dealing with the problems of port congestion.
   Lanier added: “Assessing a fee on all containers that enter California ports … is almost sure to drive business away from the state. While this might reduce congestion in California, it would surely do so at the expense of the state’s economy.”
   The coalition also said that the proposal probably violates the interstate commerce clause of the U.S. Constitution and could be considered inconsistent with the provisions of the General Agreement on Tariffs and Trade, administered by the World Trade Organization.
   The West Coast Waterfront Coalition, a group of shippers and transportation providers, has suggested that congestion could be reduced in California’s busiest seaports by extending gate hours at the terminals.