The Avalon City Council on April 15 approved the introduction of a proposed wharfage fee increase. The new rate would start in September
The fee would go up to $5, which represents a $2 increase.
The vote was 4 to 0. Mayor Anni Marshall was absent.
The new wharfage would go into effect in September.
Discussion
City Manager David Maistros told the council that he and Finance Director Matthew Baker had a conference call with Catalina Express on this subject. Maistros said the Sept. 2 start date came from their request.
There were no public comments.
Background
“The current costs of operating the City’s Harbor Facilities and scheduled upgrades of those facilities exceed the fees generated by the Harbor Use and Wharfage Fees,” wrote Finance Director Matthew Baker in his staff report to the council.
“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. 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),” Baker wrote.
“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.
“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.
“City Staff further recommends conducting a review of use rates on a periodic basis to ensure the Harbor Fund is reimbursed by its users on a cost-based and proportional basis,” Baker wrote.
