LOS ANGELES HARBOR COMMISSION ADOPTS 2007/2008 FISCAL YEAR BUDGET FOR THE PORT OF LOS ANGELES



LOS ANGELES HARBOR COMMISSION ADOPTS 2007/2008 FISCAL YEAR
BUDGET FOR THE PORT OF LOS ANGELES

SAN PEDRO, Calif. — June 19, 2007 — The Los Angeles Board of Harbor Commissioners has adopted a $1 billion 2007/2008 fiscal year (FY) budget for the Port of Los Angeles that focuses on expenditures for clean & responsible growth, safeguarding the Port including significant increases in Port Police staffing, and numerous capital projects. 

"We’ve got a busy year ahead of us, as this budget clearly illustrates,” said Geraldine Knatz, Ph.D., Port of Los Angeles executive director.  “The rubber hits the road this year as we ‘grow green’ – we’re funding more Clean Air Action Plan initiatives to clean the air and we’re also getting back on track with our capital improvement program which has been on the back burner for years.”

The FY 2007/2008 budget reflects anticipated Operating Revenues of $459 million, a 9.5 percent increase over the prior year projections, due chiefly to an expected cargo volume increase of 6 percent, tariff/inflation adjustments and compensation renegotiations.  Operating Expenses are anticipated at $209 million, a 31 percent increase from the prior year estimates, due to increased Port Police staffing, maintenance contracts for Port facilities, Transportation Worker Identification Credential (TWIC) Program, and environmental assessment services.

The Capital Budget expenditures increased 79 percent over 2006/2007 estimates to $239 million which represents funding for waterfront development projects, enhancing security, building a temporary baggage handling area at the World Cruise Center, and improving a number of existing terminals.  Future year commitments on these projects are budgeted at $87 million.

Operating and Capital environmental program expenditures include $25 million for the Clean Air Action Plan Truck Program, $10.7 million for work related to shore-side electrical powering of one container terminal as well as the World Cruise Center, and $2 million for improvements at Cabrillo Beach.  Additional environmental expenditures are budgeted within individual programs.

Celebrating its Centennial in 2007, the Port of Los Angeles is America's premier port. As the leading seaport in the nation in terms of shipping container volume and cargo value, the Port generates 259,000 regional jobs and $8.4 billion in annual wages and tax revenues. A proprietary department of the City of Los Angeles, the Port is self-supporting and does not receive taxpayer dollars. At the Port of Los Angeles, high priority is placed on responsible and sustainable growth initiatives, combined with high security, environmental stewardship and community outreach. For its industry leading environmental initiatives, the Port received two Environmental Protection Agency awards in 2006. The Port of Los Angeles – A Cleaner Port. A Brighter Future.