Pacific Maritime Association

I N D U S T R Y B E N E F I T S Industry Travel System The Industry Travel System, originally called the Voluntary Travel Fund, was established to provide PMA member employers with an economic incentive to use voluntary travelers. The purpose of the system is to provide a mechanism whereby all ports may have available qualified longshore employees in periods of peak work opportunity and to provide reimbursement for travel expenses to longshore registrants who travel to nearby ports to seek work opportunity. Individual longshore registrants who travel voluntarily or individual longshore registrants and/or gangs who are ordered to travel by an employer within a defined area are paid for travel, when assigned to a job, under the provisions of the Industry Travel System. Clerks registered in the multi-chartered locals receive the same benefit when they travel. Employers are reimbursed for the payments made to individuals and/or gangs ordered to travel for their travel expenses, payroll taxes, payroll hour assessments and an allowance for workmen's compensation insurance and other related expenses. Qualified travelers are paid for travel time at the rate of one-half of the basic hourly rate. A mileage allowance for transportation is also paid, not to exceed the maximum nontaxable rate allowed by IRS standards. Travelers employed on successive days are paid travel time and transportation allowances for the first day and the last day. For any intervening days, travelers are paid the lesser of travel time plus transportation and subsistence. Subsistence rates are $120.00 per night for lodging and $30.00 per meal. ILWU-PMA Marine Clerk Work Opportunity The purpose of the ILWU-PMA Marine Clerk Work Opportunity Program is to ensure a registered marine clerk will be provided full work opportunity as a marine clerk five out of seven days in any payroll week pursuant to the "Framework for Special Agreement on Application of Technologies and Preservation of Marine Clerk Jurisdiction, Item VI, November 23, 2002 Memorandum of Understanding." If the employer is unable to provide a work opportunity, a marine clerk checked into the hall on five out of seven days in any payroll week will receive a payment in lieu of work. The Program is funded through assessments on containers as described in a membership agreement filed with the Federal Maritime Commission. When a clerk qualifies for payment through the Marine Clerk Work Opportunity Program, the fund pays wages, taxes and appropriate hourly benefits assessments. CFS Program Fund The purpose of the Container Freight Station (CFS) Program is to "encourage the establishment, development and growth of efficient and productive container freight stations on the docks to preserve work which has historically been performed by the longshore work force." In order to accomplish the program objective, assessments collected on containerized cargo are used to reimburse PMA member employers operating designated CFS facilities for payments they have made for payroll hour assessments. CFS hours are hours that are paid to certain longshore, clerk and walking boss/foreman registrants for job assignments in designated CFS facilities. There are two types of reimbursements made for CFS activity: (1) a credit based on CFS hours paid in a facility defined as an "A-Credit," for "Assessment Credit," and (2) a credit based on both CFS hours paid and CFS tonnage defined as an "I-Credit," for "Incentive Credit." The A-Credit is an amount equal to 90% of the hourly benefit assessment rate excluding that portion of the vacation assessment that is collected to cover insurance and taxes. The I-Credits are CFS PROGRAM FUND Payroll A-Credit I-Credit Year (Assessment (Incentive Total Credit) Credit) 2013 $1,322,656 $146,962 $1,469,618 2014 $1,492,412 $165,807 $1,658,219 2015 $1,457,290 $161,905 $1,619,195 2016 $1,777,822 $197,516 $1,975,338 2017 $1,660,250 $184,736 $1,844,986 INDUSTRY TRAVEL PAYMENTS Contract Year Ended June 30 2013 $21,074,048 2014 $23,608,239 2015 $21,132,030 2016 $18,425,371 2017 $17,492,802 ITS conducts rail operations at the Port of Long Beach. 46 2 0 1 7 A N N U A L R E P O R T

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