The ports of Los Angeles and Long Beach, along with truckers in desperate need of financing to buy new trucks, got some good news last week when state officials said some of the millions promised to them to help out will finally roll in.
But the total will only amount to $49 million ?half of the $98 million that had been expected. The California Air Resources Board, which is allocating the money, said the rest will be held pending the outcome of the state budget crisis.
The money will be put into a joint account for the ports?Clean Trucks Program, which is requiring truckers to junk old rigs and buy new ones. It will then be made available to trucking firms and independent operators looking to purchase new trucks, which average around $100,000 each. The subsidy could amount to as much as 80 percent of the cost of a new truck.
Although a majority of truckers have privately funded their purchases, the ports have been subsidizing some with their own money. The new state money will be able to pay for 350 to 450 new trucks at both ports, according to a Long Beach port spokesman.
Some trucking firms that have applied for the program have remained on waiting lists for six months. Fred Johring, owner of Rancho Dominguez-based Golden State Express, said that he? hoping to snag some of the money for buying 10 new liquefied natural gas trucks as soon as possible.
?? glad that finally the state is helping the ports be good on their promise to help us buy these trucks,?Johring said. ?ith business down, we all need the help.?
The money is being drawn from Proposition 1B, a 2006 voter-approved initiative dedicated to improving the state? transportation infrastructure.
Port Court Battle
Although the ports of Los Angeles and Long Beach are commonly the target of lawsuits, this time they?e merely in the middle of one.
Last month, the Natural Resources Defense Council filed a lawsuit against the Federal Maritime Commission to force the agency to release internal memos and records of meetings related to its decisions to block the Clean Truck Program.
Within the last year, the commission twice delayed the collection of a fee by the ports that is intended to generate revenue for the purchase of clean trucks; it also filed a lawsuit in November to block the clean air plan altogether.
In the lawsuit filed May 19 in federal court in Washington, D.C., the environmental group said the commission violated the Freedom of Information Act by refusing to turn over documents related to its 2008 lawsuit.
?pecifically, we were interested in what spurred on the FMC? attacks and scrutiny on these ports,?said Jessica Lass, an NRDC spokeswoman. ?nd we wanted information about why the commission acted the way it did over the last year.?p>The commission? lawsuit, which contended the truck plan harmed commerce and violated federal trade laws, has stalled since U.S. District Judge Richard A. Leon denied a bid for a preliminary injunction against the ports. The commission has not filed an appeal.
Rail Car Contract
The board of the Los Angeles County Metropolitan Transportation Authority last week voted once again to delay a final decision for up to another two months on whether to grant a $300 million rail car contract to an Italian firm.
The firm, AnsaldoBreda, was in danger of losing the contract after MTA officials complained earlier this year that some of the 50 Metro light rail cars were late, overweight and incompatible with other cars in the fleet. The MTA had the option of ordering an additional 100 cars in the contract, but was thinking of canceling it.
But the board decided last Thursday to extend consideration of the matter after the company promised a $300 million ?inancial guarantee?late Wednesday to the MTA. If AnsaldoBreda fails to deliver the product, it would pay the MTA $300 million, and the agreement would serve as an incentive for the firm to meet delivery deadlines, said Marc Littman, a Metro spokesman.
The board has set a deadline of June 15 to determine whether or not the offer could be legally binding and will vote on the matter by its July 31 meeting.
News & Notes
This Thursday, California businesses interested in trade opportunities with Israel facing companies can attend the Israel Conference at the Luxe Hotel in West Los Angeles by calling (310) 445-5388 or registering at its Web site. ?HNTB, a Kansas City, Mo., company, was awarded a $9.2 million contract for airport pavement design and management at all three Los Angeles World Airports: Los Angeles International, Van Nuys and Ontario.
Staff reporter Francisco Vara-Orta can be reached at [email protected] or (323) 549-5225, ext. 241.
