The Legal Implications of Container Fees: A Case Study of California Senate Bill 974

Revenue to support California's infrastructure is declining at the same time the infrastructure is aging. Traditionally, financing mechanisms to support infrastructure maintenance and enhancements have included bonds, Private Public Partnerships (PPPs), regulatory fees and taxes. California Senate Bill 974 sought to impose a charge on containerized cargo moving through three California ports - Long Beach, Oakland, and Los Angeles. Revenue generated would have been used to try to improve port infrastructure, mitigate traffic congestion surrounding the ports, and reduce environmental pollution. SB 974 was passed by both houses of the California legislature but was vetoed by Governor Arnold Schwarzenegger. This article uses SB 974 as a case study to address the primary legal issues surrounding a container fee bill. The political and economic pushback that led to the bill's defeat is also addressed.

Language

  • English

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Filing Info

  • Accession Number: 01357070
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Nov 16 2011 2:52PM