The American Trucking Associations (ATA), with the support of its Intermodal Conference (IMCC), has been fighting efforts by the Ports of Los Angeles and Long Beach to reregulate the sector of the trucking industry that serves the ports.
ATA filed suit in U.S. District Court in Los Angeles to challenge specific concession requirements that the Los Angeles and Long Beach Ports included in their Clean Trucks Program (CTP), which the Ports began implementing on October 1, 2008.
ATA President and CEO Bill Graves emphasizes that "the litigation is not challenging the environmental programs that will clean the air, only the concession plans which impose needless economic regulation in an effort to reshape the motor carrier industry that services the ports."
In particular, the ATA opposes the Port of Los Angeles' concession requirements that will lead to a complete ban of independent owner operator drivers from servicing that port's operations within five years. This threatens a well-established trucking industry practice that provides efficiency and the flexibility needed to effectively serve customers.
Additional provisions in both Los Angeles and Long Beach concession plans that limit off-street parking, require unnecessary financial disclosures, and place regulations on driver hiring practices do nothing to improve the environment or safety conditions at the ports. Implementing these provisions violates federal law that prohibits states or their political subdivisions from enacting or enforcing a legal requirement that is "related to a price, route, or service of any motor carrier."
The ATA litigation is currently before the Ninth Circuit in an appeal of a District Court's refusal to enjoin the Concession Plans pending a final ruling on the Plan's merits. The District Court determined that the overall Plans directly impact motor carrier rates, routes, and services, but found them to be protected from preemption because they advanced general port safety and security interests.
Following completion of the briefing schedule and a possible oral argument, the Ninth Circuit will consider whether the District Court erred in its application of the motor vehicle safety exception and whether the lower court appropriately analyzed the question of harm to motor carriers under the Concession Plans. Amicus Briefs supporting ATA's position have been filed with the court by the U.S. Department of Justice, the National Industrial Transportation League, and the National Association of Waterfront Employers.
In addition, the Federal Maritime Commission (FMC) filed a separate complaint with the U.S. District Court for the District of Columbia because the ports concession plans are likely, by a reduction in competition, to produce an unreasonable increase in transportation cost or unreasonable reduction in service in violation of the Shipping Act of 1984.
The ATA believes the Concession Plans that took effect on October 1, 2008; unlawfully re-regulate the port trucking industry to the detriment of motor carriers, shippers, businesses and the consumers that depend on the products that are handled at those ports.
The ATA promotes and encourages environmentally friendly and sustainable practices within the shipping industry. We support the measures within the LA and LB Ports' Clean Trucks Program that remove the older model trucks from port service and provide funds to efficiently transition the industry to cleaner 07 EPA compliant engines. This goal can be reached without imposing concession requirements that restrict competition and in effect re-regulate the port trucking industry.