February 11, 2008 Oil profits a trove for Harbor Dept. By Kristopher Hanson Long Beach Press Telegram     LONG BEACH - The Harbor Department is expected to earn at least $20 million profit, and probably much more, from oil operations this fiscal year as petroleum prices continue hovering near record highs.     Bean counters anticipate collecting at least $62 million total revenue through the 12 months ending Sept. 30, the end of the city's fiscal year, according to financial statements made available Monday.     After expenses, net income is budgeted to exceed $20 million on profits skimmed from 960,000 barrels that officials plan to extract from oil wells located throughout port property.     But those numbers are based on conservative estimates of oil selling at $64.87 per barrel, far below the $80.75-per-barrel oil from Long Beach was fetching on commodities markets Monday.     If oil continues selling at or near $80 per barrel, the port could rake in $76 million net income, pushing profits much higher.     Last fiscal year, the port projected earnings of $15.9 million, but ended with profits approaching $22 million, figures pushed up by rising oil prices.     City officials typically budget artificially low in the event oil prices collapse in an effort to prevent overspending.     The Harbor Department contracts with Tidelands Oil Production Company (TOPKO) for oil drilling operations on port property.     Under a separate contract with the city, Occidental Petroleum pumps oil from three man-made islands situated in the harbor. Miserable yet?     Los Angeles is America's seventh-most miserable city to live in, according to a new Forbes survey, and poor air quality has a lot to do with the region's plight.     The new survey ranks communities based on crime, weather, economy, environment, unemployment and tax rates.     Forbes found that while the Los Angeles region has, by far, the nation's poorest air quality, it's also riddled with high taxes, environmental waste and horrendous commute times.     Port industry is the largest fixed source of air pollution in the Los Angeles basin, according to the South Coast Air Quality Management District.     Rounding out the top 10 "most miserable" cities are Detroit; Stockton; Flint, Mich.; New York; Philadelphia; Chicago; Los Angeles; Modesto,; Charlotte, N.C., and Providence, R.I. Grand Prix     Harbor commissioners Monday approved a $115,000 gift to the for-profit corporation that organizes the Toyota Grand Prix of Long Beach in exchange for two pit row suites, 60 VIP race passes and numerous promotional opportunities.     It's the Long Beach port's largest donation yet to Toyota Grand Prix of Long Beach LLC. This year, the company is weaving environmental themes into the three-day race, including use of a hybrid pace car and demonstrations of ethanol and biodiesel-fueled race cars.     In the past, the port would purchase racetrack suites that allowed harbor executives and their shipping industry customers exclusive trackside access, said Port spokesman Art Wong.     This year's big donation was made to promote the port's environmental initiatives.     The Grand Prix, scheduled for April 18-20, is the city's largest annual event, drawing about 180,000 to the city and millions more via an international TV audience.     Port officials plan to wrap the Toyota Prius pace car with a "Green Port" logo. Clean trucks     L.B. and L.A. port commissioners hope to vote on final provisions of their truck concession program at a joint hearing by month's end, ending nearly a year of debate on what the future of trucking should look like in San Pedro Bay.     Port staff in both cities, with help from their respective legal teams, have been busy poring over final language in the "Clean Trucks Program," which seeks to restrict access to marine terminals to trucking companies with the cleanest fleets.     As first proposed last April, the plan sought to shift the burden of truck ownership and maintenance to motor carriers by creating a taxicab-style concession system that required participating carriers to hire employee drivers.     Motor carriers and shippers protested the employee provision and have virtually guaranteed they will sue if it's adopted.     Industry pressure sent port staff back to the drawing board on the employee proviso even as support for drivers poured in from labor, environmental, health and community groups across the region.     Democratic presidential hopefuls Barack Obama and Hillary Clinton even weighed in, telling port and city staff in separate letters that the clean-truck program needed to make motor carriers, and not drivers, responsible for new trucks.     Currently, most containers are hauled by "owner-operator" truck drivers paid by the load and responsible for all fuel, insurance, maintenance and truck loan costs.     Economic studies show these drivers earn about $11-$12 per hour after expenses. At such income levels, it's unlikely these drivers would be able to purchase or maintain newer, cleaner trucks, which retail new for about $150,000 new.     Port authorities have mandated all trucks doing regular business in the harbor meet federal 2007 emission standards no later than Jan. 1, 2012.     It's the ports' strongest effort to date to reduce deadly diesel pollution, blamed for highly elevated cancer, heart disease and asthma rates locally.     kristopher.hanson@presstelegram.com, 562-499-1466     Copyright 2008 Long Beach Press-Telegram