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Auto Storage Firms Get Tentative Waiver on Fees

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The Los Angeles City Council tentatively agreed Wednesday that the city’s new parking tax should not apply to auto storage companies that process about 250,000 cars each year through the Port of Los Angeles.

The decision follows concerns by the Harbor Department that the parking fee would cost the seven companies a total of $250,000 to $500,000 annually and drive their business to other West Coast ports.

In all, the companies occupy about 270 acres in the port and generate more than $6 million in revenue to the harbor department in land leases and other fees.

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The proposed exemption was requested by Harbor area Councilwoman Joan Milke Flores, who told colleagues that the city’s new parking tax was never meant to include anything but commercial parking lots.

The parking tax, devised by Mayor Tom Bradley, took effect in August and is expected to generate $30 million a year. Final action on the exemption is expected in the next few weeks.

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