The Los Angeles and Long Beach ports are experiencing record growth, with commerce predicted to triple over the next 20 years. But that growth is threatened by an inefficient port trucking system. That’s why industry stakeholders are uniting around a plan to set sensible standards for harbor trucking, so ports can meet new clean-air and security regulations —and  prevent any disruption for shippers.

The Heavy Costs of Inefficient Operations

Right now more than 600 trucking companies operate at our ports, contracting with some 16,000 drivers. This fragmented and inefficient system imposes heavy costs across the ports.

• Port Congestion: Since drivers are paid by the trip, not the hour, the companies have little incentive to schedule their runs efficiently. One study found drivers spend up to 50% of their time waiting at—and clogging—the ports.
• Pollution: Trucks produce 30% to 40% of port air pollution. In the recent Clean Air Action Plan (CAAP) Overview, the ports noted that “by far, the single most challenging component” in reducing port pollution is the trucking sector.
• Unstable Workforce: Annual driver turnover is estimated to exceed 130%. Industry experts note that the situation among port drayage truckers could threaten shipping growth.
• Security Concerns: Given high driver turnover and lack of oversight by small trucking firms, a recent report called the trucking system a “gaping hole” in port security.

Currently, the port commissions have no direct relationship with trucking firms so they can’t set standards for this vital harbor service. Creating direct service contracts between the ports and the firms will solve this problem. The ports will set standards that trucking firms must meet in order to do business. Shippers will still negotiate directly with trucking companies for hauling services, but now they’ll know the firms are reliable. It’s a proven business model already used by airports to provide food and other services.

• Qualified Firms & Drivers: The new standards would require companies to operate safe, efficient vehicles and to conduct proper driver oversight. (Small business loans would be available to the many legitimate entrepreneurs in the market.) Drivers would become employees rather than contractors, providing them a stable wage and lowering turnover.
• Increased Productivity, Less Congestion: With drivers paid as employees, trucking firms would have an incentive to maximize productivity and minimize wait times. Also, greater coordination between ports and trucking firms will strengthen initiatives like PierPASS, which is easing port congestion by shifting more truck traffic to nighttime hours.
• Long-Term Growth: The Clean Air Action Plan calls for a new fleet of less-polluting trucks, a key step in reducing public opposition to port growth. Establishing new standards for the trucking firms ensures that they’ll have the resources necessary to maintain these trucks for the long-term.