1190-1198

HARBORS AND NAVIGATION CODE
SECTION 1190-1198




1190.  (a) Every vessel spoken inward or outward bound shall pay the
following rate of bar pilotage through the Golden Gate and into or
out of the Bays of San Francisco, San Pablo, and Suisun:
   (1) Eight dollars and eleven cents ($8.11) per draft foot of the
vessel's deepest draft and fractions of a foot pro rata, and an
additional charge of 73.01 mills per high gross registered ton as
changed pursuant to law in effect on December 31, 1999. The mill
rates established by this paragraph may be changed as follows:
   (A) (i) On and after January 1, 2010, if the number of pilots
licensed by the board is 58 or 59 pilots, the mill rate in effect on
December 31, 2006, shall be decreased by an incremental amount that
is proportionate to one-half of the last audited annual average net
income per pilot for each pilot licensed by the board below 60
pilots.
   (ii) On and after January 1, 2010, if the number of pilots
licensed by the board is fewer than 58 pilots, the mill rate in
effect on December 31, 2006, shall be adjusted in accordance with the
method described in clause (i) as though there are 58 pilots
licensed by the board.
   (iii) The incremental mill rate adjustment authorized by this
subparagraph shall be calculated using the data reported to the board
for the number of gross registered tons handled by pilots licensed
under this division during the same 12-month period as the audited
annual average net income per pilot. The incremental mill rate
adjustment shall become effective at the beginning of the immediately
following quarter, commencing January 1, April 1, July 1, or October
1, as directed by the board.
   (iv) On and after January 1, 2010, if, during any quarter
described in this paragraph, the number of pilots licensed by the
board is equal to or greater than 60, clauses (i) to (iii),
inclusive, shall become inoperative on the first day of the
immediately following quarter.
   (B) There shall be an incremental rate of additional mills per
high gross registered ton as is necessary and authorized by the board
to recover the pilots' costs of obtaining new pilot boats and of
funding design and engineering modifications for the purposes of
extending the service life of existing pilot boats, excluding costs
for repair or maintenance. The incremental mill rate charge
authorized by this subparagraph shall be identified as a pilot boat
surcharge on the pilots' invoices and separately accounted for in the
accounting required by Section 1136. Net proceeds from the sale of
existing pilot boats shall be used to reduce the debt on the new
pilot boats and any debt associated with the modification of pilot
boats under this subparagraph. The board may adjust a pilot boat
surcharge to reflect any associated operational savings resulting
from the modification of pilot boats under this subparagraph,
including, but not limited to, reduced repair and maintenance
expenses.
   (C) In addition to the incremental rate specified in subparagraph
(B), the mill rate established by this subdivision may be adjusted at
the direction of the board if, after a hearing conducted pursuant to
Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of
Division 3 of Title 2 of the Government Code, the board determines
that there has been a catastrophic cost increase to the pilots that
would result in at least a 2-percent increase in the overall annual
cost of providing pilot services.
   (2) A minimum charge for bar pilotage shall be six hundred
sixty-two dollars ($662) for each vessel piloted.
   (3) The vessel's deepest draft shall be the maximum draft
attained, on a stillwater basis, at any part of the vessel during the
course of such transit inward or outward.
   (b) The rate specified in subdivision (a) shall apply only to a
pilotage that passes through the Golden Gate to or from the high seas
to or from a berth within an area bounded by the Union Pacific
Railroad Bridge to the north and Hunter's Point to the south. The
rate for pilotage to or from the high seas to or from a point past
the Union Pacific Railroad Bridge or Hunter's Point shall include a
movement fee in addition to the basic bar pilotage rate as specified
by the board pursuant to Section 1191.
   (c) The rate established in paragraph (1) of subdivision (a) shall
be for a trip from the high seas to dock or from the dock to high
seas. The rate specified in Section 1191 shall not be charged by
pilots for docking and undocking vessels. This subdivision does not
apply to the rates charged by inland pilots for their services.
   (d) The board shall determine the number of pilots to be licensed
based on the 1986 manpower study adopted by the board.
   (e) Consistent with the board's May 2002 adoption of rate
recommendations, the rates imposed pursuant to paragraph (1) of
subdivision (a) that are in effect on December 31, 2002, shall be
increased by 4 percent on January 1, 2003; those in effect on
December 31, 2003, shall be increased by 4 percent on January 1,
2004; those in effect on December 31, 2004, shall be increased by 3
percent on January 1, 2005; and those in effect on December 31, 2005,
shall be increased by 3 percent on January 1, 2006.
   (f) (1) There shall be a movement fee as is necessary and
authorized by the board to recover a pilot's costs for the purchase,
lease, or maintenance of navigation software, hardware, and ancillary
equipment purchased after November 5, 2008, and before January 1,
2011.
   (2) The software, equipment, and technology covered by this
subdivision shall be used strictly and exclusively to aid in piloting
on the pilotage grounds. The movement fee authorized by this
subdivision shall be identified as a navigation technology surcharge
on a pilot's invoices and separately accounted for in the accounting
required by Section 1136. The board shall review and adjust as
necessary the navigation technology surcharge at least quarterly.
This subdivision shall become inoperative on January 1, 2011.



1190.1.  Every vessel that uses a pilot under this division while
navigating the waters of Monterey Bay shall pay the rate provided by
subdivisions (a) and (e) of Section 1190.



1191.  (a) The board, pursuant to Chapter 6 (commencing with Section
1200), shall recommend that the Legislature, by statute, adopt a
schedule of pilotage rates providing fair and reasonable return to
pilots and inland pilots engaged in ship movements or special
operations where rates for those movements or operations are not
specified in Section 1190.
   (b) Every vessel using pilots and inland pilots for ship movements
or special operations that do not constitute bar pilotage shall pay
the rate specified in the schedule of pilotage rates adopted by the
Legislature.
   (c) Consistent with the board's adoption of rate recommendations
in May 2002, the minimum rates imposed pursuant to this section that
are in effect on December 31, 2002, shall be increased by 26 percent
on January 1, 2003; those in effect on December 31, 2003, shall be
increased by 26 percent on January 1, 2004; those in effect on
December 31, 2004, shall be increased by 14 percent on January 1,
2005; and those in effect on December 31, 2005, shall be increased by
14 percent on January 1, 2006.



1192.  If a vessel that is subject to the payment of pilotage enters
any port of Monterey Bay and the Bays of San Francisco, San Pablo,
or Suisun solely by reason of being in distress or requiring care, it
shall pay one-half the full pilotage rates.



1193.  (a) Notwithstanding Section 1120, only the following
noncommercial vessels that use pilotage services are exempt from the
pilotage fees and surcharges established pursuant to this division,
except for the board operations surcharge as established and
calculated pursuant to Section 1159.1:
   (1) Maritime academy training vessels, whether foreign or
domestic.
   (2) Vessels owned and operated by a nonprofit museum or
foundation.
   (b) The vessels specified in subdivision (a) are subject to
Section 1198.



1195.  (a) In addition to other fees for pilotage, there shall be a
surcharge in an amount established by the board for each movement of
a vessel using pilot services for each pilot trainee who is enrolled
in the pilot trainee training program established by the board.
   (b) The moneys charged and collected each month from the pilot
trainee surcharge shall be paid to the board. The moneys shall be
used only to fund the pilot trainee training program in the manner
established by the board.
   (c) By action of the board, the board may adjust the amount
established pursuant to subdivision (a) as necessary to efficiently
administer the pilot trainee training program.



1195.1.  (a) The moneys charged and collected each month from the
pilot trainee surcharge pursuant to Section 1195 shall be paid to the
Board of Pilot Commissioners' Special Fund pursuant to Section 1159.
The moneys shall be used only to fund the pilot trainee training
program referred to in subdivision (h) of Section 1171.5 and Section
1195.3.
   (b) Information regarding moneys remitted to the Board of Pilot
Commissioners' Special Fund pursuant to Section 1159 collected from
the surcharge authorized pursuant to Section 1195, or otherwise
collected by the board for that purpose, and information regarding
moneys spent as pilot trainee training program expenses authorized by
Section 1195.3 shall be made available to the public upon request
and to the board or its finance committee.



1195.3.  Expenses of the pilot trainee program shall include all
costs incurred by the board in the operation and administration of
the pilot trainee training program and all costs resulting from any
contracts entered into for the purchase or lease of goods and
services required by the board, including, but not limited to, the
costs of testing, test preparation, advertising and soliciting for
trainee applicants, trainee stipends, worker's compensation insurance
premiums, reimbursement of costs of services provided to the board
by other governmental entities, and for the costs for any other goods
and services necessary for effectuating the purposes of training as
determined by the board.


1196.  (a) In addition to other fees for pilotage, there shall be a
surcharge in an amount established by the board for each movement of
a vessel using pilot services for the pilot and inland pilot
continuing education program established by the board.
   (b) The moneys charged and collected each month from the pilot and
inland pilot continuing education program surcharge shall be paid to
the board. The moneys shall be used only to fund the pilot and
inland pilot continuing education program in the manner established
by the board.
   (c) By action of the board, the board may adjust the amount
established pursuant to subdivision (a) as necessary to efficiently
administer the pilot and inland pilot continuing education program.




1196.1.  (a) The moneys charged and collected each month from the
pilot and inland pilot continuing education surcharge pursuant to
Section 1196 shall be paid to the Board of Pilot Commissioners'
Special Fund pursuant to Section 1159. The moneys shall be used only
to fund the pilot and inland pilot continuing education program
referred to in subdivision (h) of Section 1171.5 and Section 1196.3.
   (b) Information regarding moneys remitted to the Board of Pilot
Commissioners' Special Fund pursuant to Section 1159 collected from
the surcharge authorized pursuant to Section 1196, or otherwise
collected by the board for that purpose, and information regarding
moneys spent as pilot and inland pilot continuing education expenses
authorized by Section 1196.3 shall be made available to the public
upon request and to the board or its finance committee.



1196.3.  Pilot and inland pilot continuing education expenses shall
include all costs incurred by the board in the operation and
administration of the pilot and inland pilot continuing education
program and all costs resulting from any contracts entered into for
the purchase or lease of goods and services required by the board,
including, but not limited to, the reimbursement of costs of services
provided to the board by other governmental entities, and for the
costs for any other goods and services necessary for effectuating the
purposes of continuing education as determined by the board.



1198.  (a) Except as provided in subdivision (c), the rates and
charges for pilotage services shall not include the cost of primary
marine insurance insuring a pilot, an organization of pilots, or
their officers or employees, from liability arising from negligence
or errors in judgment in connection with the provision of pilotage
service by pilots, organizations of pilots, or their officers or
employees.
   (b) A pilot who holds a state license for the Bays of San
Francisco, San Pablo, and Suisun shall arrange to have available,
upon advance written notice, trip insurance, with coverage limits of
thirty-six million dollars ($36,000,000), naming as insureds the
pilot, any organization of pilots to which the pilot belongs, and
their officers and employees, and insuring the named insureds against
any civil claim, demand, suit, or action by whomsoever asserted,
arising out of, or relating to, directly or indirectly, acts or
omissions of the insureds in connection with the provision of
pilotage service, except willful misconduct.
   (c) Every vessel, owner, operator, or demise or bareboat charterer
hiring a pilot with a state license for the Bays of San Francisco,
San Pablo, and Suisun shall either defend, indemnify, and hold
harmless pilots pursuant to paragraph (1), or alternatively, notify
pilots of an intent to pay for trip insurance pursuant to paragraph
(2). If a vessel or its owner, operator, or demise or bareboat
charterer does not provide written notice pursuant to paragraph (2)
of an intent to exercise the trip insurance option, then the vessel
and its owner, operator, and demise or bareboat charterer will be
deemed to have elected the obligation to defend, indemnify, and hold
harmless pilots pursuant to paragraph (1).
   (1) (A) Except for a vessel electing trip insurance pursuant to
paragraph (2), a vessel subject to this subdivision, and its owner,
operator, demise or bareboat charterer, and agent shall not assert
any claim, demand, suit, or action against the pilot, any
organization of pilots to which the pilot belongs, and their officers
and employees, for damages, including any rights over, arising out
of, or connected with, directly or indirectly, any damage, loss, or
expense sustained by the vessel, its owners, agents, demise or
bareboat charterers, operators, or crew, or by any third parties,
even if the damage results, in whole, or in part, from any act,
omission, or negligence of the pilot, any organization of pilots to
which the pilot belongs, and their officers and employees.
   (B) A vessel subject to this paragraph and its owner, operator,
and demise or bareboat charterer shall defend, indemnify, and hold
harmless the pilot, any organization of pilots to which the pilot
belongs, and their officers and employees, with respect to liability
arising from any claim, suit, or action, by whomsoever asserted,
resulting in whole, or in part, from any act, omission, or negligence
of the pilot, any organization of pilots to which the pilot belongs,
and their officers and employees. The obligation to indemnify under
this paragraph shall not apply to the extent that it causes the
amount recoverable from a vessel, its owner, operator, or demise or
bareboat charterer to exceed the limits of liability to which it is
entitled under any bill of lading, charter party, contract of
affreightment, or provision of law.
   (C) The prohibition on claims by vessels, owners, operators,
demise or bareboat charterers, and agents imposed by subparagraph (A)
and the obligation to defend, indemnify, and hold harmless the pilot
imposed by subparagraph (B) shall not apply in cases of willful
misconduct by a pilot, any organization of pilots to which the pilot
belongs, and their officers and employees.
   (D) A pilot who is the prevailing party shall be awarded attorney'
s fees and costs incurred in any action to enforce a right to
indemnification provided pursuant to this subdivision.
   (2) In lieu of paragraph (1), a vessel subject to this subdivision
and its owner, operator, demise or bareboat charterer, and agent may
elect to notify the pilot, or the organization of pilots to which
the pilot belongs, of intent to pay for trip insurance, as described
in subdivision (b). If notice of this election is received, in
writing, by the pilot, or the organization of pilots to which the
pilot belongs, at least 24 hours prior to the time pilotage services
are requested, the vessel, and its owner, operator, demise or
bareboat charterer, and agent are not subject to the requirements of
paragraph (1). The pilot shall take all steps necessary to have trip
insurance coverage in place during the vessel movement for which it
is requested. The pilot shall assess to the vessel the premium for
the trip insurance at the pilot's cost, in addition to any other
applicable rates and charges for the pilotage services provided.
   (d) Nothing in this section is intended to limit, alter, or
diminish the liability of a vessel, owner, operator, or demise or
bareboat charterer to any person who sustains loss or damage.