California Policy Options 2013

Clean Trucks Programs were enacted, Southern Californians spent $100-$590 million annually on health care related to pollution from dirty trucks serving the ports.60 An 80% reduction in pollution—particularly localized pollution near the 710 and 110 freeways—will save citizens billions of dollars in future health costs and reduce pain and suffering.

Industry Effects Today, licensed motor carriers complain that there are not enough independent truck owners available to service their customers as independent contractors. The LA Business Journal reported that one trucking executive reported his firm, which utilized about 200 independent owner-operators, was short 20-30 drivers and that he would have to raise pay to fill the vacancies.61 Licensed motor carriers argue that the ports’ regulations combined with the high cost of new clean trucks have driven thousands of drivers away from the industry. They demand that the ports set up programs to train more drivers and provide more financing for new clean trucks.

There are many fewer trucks servicing the ports than there were before the Clean Trucks Programs were implemented. Where there were once 18,000 trucks, mostly owned and operated by independent drivers, there are now 11,000 trucks.62 The majority of truck drivers at the ports still work as independent contractors for licensed motor carriers. There are fewer total drivers mostly because of the high cost of purchasing new clean trucks, but also because the economic recession of 2007 drove some drivers into retirement. Additionally, truck drivers tend to be older as a demographic, and more of them are reaching retirement age than are coming into the workforce.63 The industry is not likely to go into crisis because of a lack of trucks or truck drivers.

While the high fixed cost of new clean trucks has limited the number of trucks, it has also necessitated more efficient uses of each truck. Independent truck drivers may find it economical to share their trucks between two owner-operators and licensed motor carriers may find that they can provide one truck for multiple employees to share. The high cost and somewhat limited supply of clean trucks also provides a disincentive to idling trucks for hours at a time at the ports or in neighborhoods nearby.64 In 2010, trucks idled for nearly two million hours on Port of Long Beach property alone.65 There is a high unemployment rate in Southern California at this writing 13 161