The City Council on May 6 unanimously adopted an ordinance that changed wharfage fees. Technically, the ordinance repealed and replaced a chapter of the municipal code.
This was a Consent Calendar item. Consent items are voted on collectively, without discussion, unless a council member pulls one or more items for further discussion. Nothing was pulled from this week’s Consent Calendar.
The council introduced the ordinance on April 15.
“At the March 12, 2025 City Council Meeting, City Staff recommended extending the existing $0.50 cross channel wharfage fee which is scheduled to sunset on June 30, 2025,” wrote Finance Director Matthew Baker in his staff report.
“Additionally, City Staff recommended increasing the cross channel wharfage rate by an additional $2.00 on cross channel carriers departing the Avalon Harbor area, from $3.00 to $5.00. City Staff prepared an analysis of its operations to determine the per passenger cross channel wharfage fee that would reimburse the City’s Harbor Fund on a cost-based and proportional basis. The proposed fee increases are required to adequately fund the cross channel passenger’s share of operations and planned capital outlays in the harbor as outlined in the analysis, which has been included as an attachment to this report,” Baker wrote.
“The proposed application of the fee on departures only is to balance the current $2.00 Measure H special tax assessed on arrivals and would result in a total cost imposed by the City of $10.00 round-trip ($8.00 for Cross Channel Wharfage and $2.00 Measure H Special Tax). When the Measure H Special Tax ceases to be imposed, the City could reduce or modify the fees increased herein, if the fiscal situation merits such a reduction,” Baker wrote.
“The proposed $2.00 increase would generate an additional $1 .30 million in new cross-channel wharfage revenues dedicated to fund capital projects. Based on prior discussions with cross channel operators, City Staff proposes implementing the wharfage increase effective September 2, 2025 to provide operators with adequate notice in consideration for existing advertisements and bookings under the current rate,” Baker wrote.
“Effective thirty (30) days after the adoption of the ordinance, City Staff is proposing to charge all boats, ships, vessels, airplanes or other transportation facilities carrying passengers for hire or charter, whether operating under the authority of the California Public Utilities Commission or not, which land, discharge, load, or embark passengers on, to, or from such City harbor facilities, $3.00 for each passenger so landed, discharged, loaded or embarked. The effect of this would be to extend to $50 fee scheduled to end on June 30, 2025,” Baker wrote.
“Effective September 2, 2025, City Staff is proposing to charge all boats, ships, vessels, airplanes or other transportation facilities carrying passengers for hire or charter, whether operating under the authority of the California Public Utilities Commission or not, which land, discharge, load, or embark passengers on, to, or from such City harbor facilities, $3.00 for each passenger so landed, discharged, and $5.00 for each passenger so loaded or embarked,” Baker wrote.
