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3 COSTS, BENEFITS, AND FUNDING
Pages 29-35

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From page 29...
... vessel traffic and waterways management systems are run as federal, federal/private, private, or port authority operations. The eight federal VTS systems and the two most prominent private systems, LA/LB and Delaware Bay, are listed in Table 3-1 with corresponding annual operating costs.
From page 30...
... Estimates of operating cost estimates do not vary as widely as estimates of capital costs and thus may be easier to project based on existing data. Annual operating costs for the eight federal VTS systems in 1995 were about $19 million.
From page 31...
... harbors, and they would support reasonable user fees for VTS operations if federal funding cannot be assured (Intertanko, 1996~. FUNDING PROSPECTS The opposition to user fees is particularly strong with respect to VTS-2000 because, as was discussed in Chapter 2, some stakeholders believe the program will produce overly expensive systems with high capital costs that could not be funded locally without having negative economic effects on port users.
From page 32...
... User fees are based on the kinds of vessels covered; sometimes fees vary in direct proportion to the overall length of vessels, ranging from $200 to $380 per vessel. Monthly user fees are charged for other vessels, for example, vessels that provide local services, like scheduled passenger or freight service between the mainland California coast and Santa Catalina Island, vessels engaged in commercial rescue or emergency assistance service for hire, and vessels engaged in offshore oil well maintenance and supply or construction projects.
From page 33...
... The ARTF consists of two accounts, the boat safety account and the sport fish restoration account. The boat safety account is funded solely from motorboat fuel taxes; the sport fish restoration account is funded from federal excise taxes on motor boat fuels; gasoline used in small engines and fishing equipment (e.g., a 10 percent tax on fishing tackle and tackle boxes and a 3 percent tax on electric trolling motors)
From page 34...
... Navy and Coast Guard, the two port authorities, and pilots from both ports. In addition, harbor safety committees were established in a number of ports as the result of a recommendation (made by the States/British Columbia Oil Spill iThe group developed a comprehensive user's manual, a survey of existing communications and surveillance capabilities at the Marine Exchange and pilot stations, and took steps to develop state liability legislation.
From page 35...
... The principal example of funds from user fees is the LA/ LB system, where fees are charged to most vessels transiting the port to pay for VTIS operating costs. User fees, however, were only established following state legislation and after local maritime industries and other stakeholders had worked together to define the parameters of a VTIS, agreed on 2Recommendation CA-2: "Create portlharbor safety committees for the harbors of San Diego, Los Angeles/Long Beach, Port Hueneme, and for the bays of San Francisco/San Pablo/Suisun and Humbolt.


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