hereof, to conform the methodology used by a

carrier for its computation of freight charges to the weight or volume provisions applicable under this Handbook and Tariff for determination of Wharfage charge (s). The Port Administrator may, in its sole and reasonable discretion, adjust any computation to address any carrier methodology whose purpose is to avoid the payment of the tariffs and charges provided hereunder. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 45 9.1 Weight / Volume Measurements. 9.1.1 When freight charges are computed by the carrier and shown on the Vessel Manifest or shipping documents on the basis of weight or volume, Wharfage will be assessed as so computed and manifested. 9.1.2 When the basis of the freight charge is not shown on a Vessel Manifest or shipping documents or when the basis of the freight charge is a unit other than weight or volume (i.e., per package), Wharfage will be assessed on the basis of weight or volume, whichever will yield the largest Wharfage charge. 9.1.3 In the event that no reliable documentation is provided as to the Cargo weight or volume, making it difficult to determine the basis for a Wharfage charge, a factor of 25 lbs. per cubic foot will be used by the Port Administrator to effect such determination. The determination as to the reliability of any documentation submitted by the carrier will be made at the sole and reasonable discretion of the Port Administrator. 9.1.4 Any Container declared as an Empty Container must be unsealed at the time of unloading or loading Cargo. 9.1.5 The following common Container conversion factors will be used by the Port Administrator in assessing any Wharfage charges. To the extent a Container may have different measurements than those provided below or if such conversion factors are inapplicable to any given Container, documentary evidence may be submitted to the Port Administrator, which will take such evidence into consideration in determining any Wharfage charge. Container 20' = 8' X 8' X 20' = 1,280 p3 Container 40' = 8' X 8' X 40' = 2,560 p3 Container 45' = 8' X 8' X 45' = 2,880 p3 Container 54' = 8' X 8' X 54' = 3,456 p3 Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 46 9.2 Classification of Wharfage. 9.2.1 Inbound or Outbound Cargo. Wharfage charges based on the following rates are assessed on any inbound or outbound, domestic or foreign Cargo, other than Transshipment Cargo or Small Cargo Vessel as provided below. 2012 2013 2014 2015 2016 16.2.1.1 Each inbound $7.69768 $7.69768 $7.85163 $8.00867 $8.16884 or outbound movement for motorized vehicles shipped as Cargo Units (per ton) 16.2.1.2 Each inbound $2.11626 $2.11626 $2.15859 $2.20176 $2.24579 or outbound movement for Cargo in Containers, Flatbeds (per ton) 16.2.1.3 Each inbound $8.00671 $8.00671 $8.16684 $8.33018 $8.49678 or outbound movement for Empty Containers, Flatbeds or Chassis (each) 16.2.1.4 Each liquid $0.02069 $0.02069 $0.02110 $.02153 $0.02196 Cargo (including petroleum) handled in bulk via pipeline at Wharves, Piers, or bulkhead structure designed primarily for the loading or unloading of liquid Cargo in bulk (barrel) 16.2.1.5 Each inbound $1.72085 $1.72085 $1.75527 $1.79037 $1.82618 or outbound Cargo NOS and Loose Cargo (per ton) 9.2.2 Transshipment. The carrier will be responsible for presenting all documents evidencing that the shipment is comprised of Transshipment Cargo. Such Transshipment Cargo may not be altered, modified, or managed in any manner while being at the Port of the Mayagüez. 9.2.2.1 From Vessel to Pier. Transshipment Cargo, which has been identified in the Vessel Manifest as such, is assessed Wharfage only on its inbound movement, with rates applicable as follows. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 47 2012 2013 2014 2015 2016 16.2.2.1 $4.84951 $4.84951 $4.94650 $5.04543 $5.14634 Transshipment inbound movement for motorized vehicles shipped as Cargo Units (Tons/unit) 16.2.2.2 $1.26305 $1.26305 $1.28831 $1.31408 $1.34036 Transshipment inbound movement for Cargo in Containers and Flat-beds (Tons/unit) 16.2.2.3 $4.00034 $4.00034 $4.08035 $4.16195 $4.24519 Transshipment inbound movement for Empty Containers, Flatbeds or Chassis (each) 16.2.2.4 $0.02069 $0.02069 $0.02110 $0.02153 $0.02196 Transshipment inbound movement for liquid Cargo in bulk via pipeline at Wharves, Piers, or bulkhead structure designed primarily for the loading or unloading of liquid Cargo in bulk (barrel) 16.2.2.5 $1.72085 $1.72085 $1.75527 $1.79037 $1.82618 Transshipment inbound movement for Cargo NOS or Loose Cargo (per ton) 9.2.2.2 Transshipment from Vessel to Vessel while berthed. Transshipment Cargo, which has been identified in the Vessel Manifest as such, transferred from one Vessel to another Vessel, simultaneously while both Vessels are berthed at the Port of Mayagüez, are assessed Wharfage only on its inbound movement, with rates applicable as follows. 2012 2013 2014 2015 2016 16.2.3.1 Transshipment Cargo transferred $1.26305 $1.26305 $1.28831 $1.31408 $1.34036 from a Vessel to Wharf and Wharf to Vessel Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 48 9.2.2.3 Transshipment from Vessel to Barges alongside. Transshipment Cargo, which has been identified in the Vessel Manifest as such, loaded on or discharged from a Vessel while berthed at a Port of Mayagüez, to or from a Barge, Scow, Lighter, or another Vessel alongside, will be assessed Wharfage at one half (50%) the applicable rate. 2012 2013 2014 2015 2016 12.2.3.2 $0.63153 $0.63153 $0.64416 $0.65704 $0.67018 Transshipment Cargo transferred from a Vessel to another Vessel alongside 9.2.2.4 Penalties on Transshipment. Transshipment Cargo, which has been identified in the Vessel Manifest as such, that exceed the period of fifteen (15) Operating Days without completing the outbound movement for transshipment, will be subject to Penalties and Demurrage charges provided herein, in addition to being treated as regular Cargo for all purposes under this Handbook and Tariff. 9.2.3 Small Cargo Vessel. A fixed Wharfage rate will be assessed on Cargo loading and unloading from a Small Cargo Vessel, based on its Gross Ton (s), are assessed based on the Gross Ton of the Vessel. Such fixed Wharfage rate will be assessed once, when the Small Cargo Vessel has any Wharfage activity comprised of unloading or loading Cargo or movement thereof, during the time authorized in the Docking Application Permit. 2012 2013 2014 2015 2016 16.3.1 Cargo Vessel of 99 $260.00 $260.00 $265.20 $270.50 $275.91 Gross Ton or less 16.3.2 Cargo Vessel of 100 to $456.32 $456.32 $465.45 $474.76 $484.25 199 Gross Tons 16.3.3 Cargo Vessel of 200 to $650.52 $650.52 $663.53 $676.80 $690.34 299 Gross Tons Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 49 2012 2013 2014 2015 2016 16.3.4 Cargo Vessel of 300 to $844.72 $844.72 $861.61 $878.85 $896.42 400 Gross Tons 9.2.4 Passengers on Cruise Vessels. The following passenger service charge is applicable to all Passengers on Cruise Vessels embarking or disembarking in the Port of Mayagüez, subject to certain exceptions. 2012 2013 2014 2015 2016 16.4.1 Fees for Passenger on $12.00 $12.00 $12.00 $12.00 $12.00 Cruise Vessel or Pleasure Charters carrying Passengers departing, arriving, or in transit 16.4.2 Fees for Passenger on $12.00 $12.00 $12.00 $12.00 $12.00 Cruise Vessel or Pleasure Charters embarking and disembarking as part of a round trip. 9.2.5 Ferryboat Vessels. Wharfage on Ferryboat Vessels is assessed on both inbound and outbound movements, based on the corresponding Vessel Manifest for each movement. 9.2.5.1 Cargo on Ferryboat Vessels. Wharfage on Cargo in Ferryboat Vessels or International Ferryboat will be assessed on any inbound or outbound movement, in accordance with the following rates. Notwithstanding, no Wharfage will be assessed on Passenger baggage or personal belongings traveling with, and being loaded and unloaded onto the Vessel by, such Passenger. 2012 2013 2014 2015 2016 16.2.1.1 Inbound or $7.69768 $7.69768 $7.85163 $8.00867 $8.16884 outbound movement for motorized vehicles shipped as Cargo Units (per ton) 16.2.1.2 Inbound or $2.11626 $2.11626 $2.15859 $2.20176 $2.24579 outbound movement for Cargo in Containers, Flatbeds (per ton) Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 50 2012 2013 2014 2015 2016 16.2.1.3 Inbound or $8.00671 $8.00671 $8.16684 $8.33018 $8.49678 outbound movement for Empty Containers, Flatbeds or Chassis (each) 16.2.1.4 Liquid Cargo $0.02069 $0.02069 $0.02110 $0.02153 $0.02196 (including petroleum) handled in bulk via pipeline at Wharves, Piers, or bulkhead structure designed primarily for the loading or unloading of liquid Cargo in bulk (barrel) 16.2.1.5 Inbound or $1.72085 $1.72085 $1.75527 $1.79037 $1.82618 outbound Cargo NOS and Loose Cargo (per ton) 9.2.5.2 Passengers on Ferryboat Vessels. Ferryboat Vessels carrying twelve (12) or more Passengers are assessed a base passenger service fee for any Passenger embarking or disembarking at the Port of Mayagüez. Moreover, all Passengers traveling on an International Ferryboat Vessel are also assessed an additional international passenger service fee. 2012 2013 2014 2015 2016 Local Ferryboat Vessels 16.5.3 Basic service fee for $1.98 $1.98 $2.02 $2.06 $2.10 Passengers embarking, disembarking, or in transit on a Local Ferryboat, from or to the Port of Mayagüez International Ferryboat Vessels 16.5.4 Basic service fee for $1.98 $1.98 $2.02 $2.06 $2.10 Passengers embarking, disembarking, or in transit on an International Ferryboat, from or to the Port the Mayagüez 16.5.5 Additional Passenger $1.50 $1.50 $1.53 $1.56 $1.59 processing fee for international Passengers embarking, disembarking, or in transit on an International Ferryboat, from or to the Port of Mayagüez. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 51 9.2.5.3 Passenger Motorized vehicles on Ferryboat Vessels. Any one (1) motorized vehicle traveling along with a Passenger on the same voyage of a Local Ferryboat, is assessed a basic motorized vehicle service fee for each inbound or outbound movement at the Port of Mayagüez. Any one (1) motorized vehicle traveling along with a Passenger as part of the same voyage on an International Ferryboat, is also assessed an additional international passenger motorized vehicle fee for each inbound or outbound movement at the Port of Mayagüez. Additional motorized vehicles in traveling with a passenger will be assessed the Wharfage rates applicable to Cargo, as provided above. 2012 2013 2014 2015 2016 Local Ferryboat Vessels 16.5.1 Basic service fee for motorized $5.02 $5.02 $5.12 $5.22 $5.33 vehicles embarking, disembarking, or in transit on a Local Ferryboat from or to the Port of Mayaguez, accompanying its owner or representative traveling as Passenger International Ferryboat Vessels 16.5.2 Basic service fee for $5.02 $5.02 $5.12 $5.22 $5.33 motorized vehicles embarking, disembarking, or in transit on an International Ferryboat from or to the Port of Mayaguez, accompanying its owner or representative traveling as Passenger 16.5.7 Additional Passenger processing $2.50 $2.50 $2.55 $2.60 $2.65 fee for motorized vehicles embarking, disembarking, or in transit on an International Ferryboat, accompanying its owner or representative traveling as Passenger 9.2.5.4 PBC on Ferryboat Vessels. The loading and unloading of PBC, for which a Vessel Owner or Vessel Agent, as applicable, collects an additional fee for the transportation of such PBC, is assessed Wharfage based on the size and volume of every such item of PBC. The Vessel Owner or Vessel Agent, as applicable, will provide to the Port Administrator, as part of the Vessel Manifest, a list detailing for each item of PBC the following: (1) type of personal property (i.e., baggage, box, range, washer, dryer, mattress, etc.) i (2) Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 52 the weight or volume in cubic feet, if known; and (3) if a fee was paid by the corresponding Passenger to the Vessel Owner or Vessel Agent, as applicable, for the transport / carriage of such personal property. Based on this manifest, the Port of Administrator will assess the corresponding Wharfage charge, based on weight or volume of cubic feet. 9.2.5.5 To the extent that a Vessel Owner or Vessel Agent, as applicable, is unable to provided the list contemplated in section 9.2.5.4 and the PBC is transported in a Container, the Port Administrator is assessed the Wharfage charge provided below, regardless of whether the Container is fully or partially loaded). 2012 2013 2014 2015 2016 16.2.5 Passenger Baggage Container - A 20% credit is applicable over tariff 16.2.5.1 PBC 20' $132.65 $132.65 $135.30 $138.01 $140.77 16.2.5.2 PBC 40' $212.24 $212.24 $216.48 $220.81 $225.23 16.2.5.3 PBC 45' & PBC 54' $234.77 $234.77 $239.47 $244.25 $249.14 9.2.5.6 It is the Vessel Owner, Vessel Agent, or Vessel Captain responsibility to report information pertaining to all PBC as part of the Vessel Manifest, in accordance with Section 9.2.5.4 or 9.2.5.5 above. 9.2.6 Wharfage NOS. 9.2.6.1 Whenever the Wharfage rate cannot be determined on a Maritime Operation with respect to Cargo or a Passenger, the Port Administrator will assess Wharfage as follows. 2012 2013 2014 2015 2016 16.2.1.5 Inbound or $1.72085 $1.72085 $1.75527 $1.79037 $1.82618 outbound movement for Cargo NOS and Loose Cargo (per ton) Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 53 2012 2013 2014 2015 2016 16.5.6 Inbound or $8.50 $8.50 $8.67 $8.84 $9.02 outbound movement for Passenger NOS 9.2.6.2 To the extent that a Passenger is assessed a Passenger NOS rate, such Passenger will not be assessed any other Wharfage charge. 9.2.7 Exceptions to Wharfage Assessment. 9.2.7.1 Vessels' Supplies. Vessel supplies, repair materials, and any other goods or merchandise intended for the Vessel's own consumption or use are excepted from any Wharfage assessment. Notwithstanding the foregoing, fuel is not excepted from a Wharfage assessment. 9.2.7.2 Cargo Tools. Cargo handling and stevedores' tools, pallets, equipment, and appliances which are used at a Wharf, Pier, or bulkhead structure for the purpose of loading or unloading a Vessel then berthed at any such facility, are excepted from any Wharfage assessment solely while they are being used for such purpose. 9.2.7.3 Passengers' Baggage. Passenger baggage and other personal belongings are excepted from any Wharfage assessment when such baggage or other personal property are carried on the same Vessel as the Passenger, at no cost to the Passenger other than the Passenger's own carriage / ticket costs, and the Vessel Owner or Vessel Agent, as applicable, does not collect any additional fee for the transportation of such luggage or other personal property. Moreover, any goods with a commercial value will not be considered a personal belonging for purposes of this exception. The Vessel Owner, Vessel Agent, or Vessel Captain will identify such commercial goods by means of a Bill of Lading. The Port Administrator will assess the applicable tariff for such goods. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 54 9.2.7.4 Petroleum. Petroleum and petroleum products in bulk, which are pumped back to Vessel from a tank at the same facility, as originally loaded, if they have paid a Wharfage charge when originally loaded from Vessel to the tank, are excepted from any Wharfage assessment if such activity occurs in the period of fifteen (15) days provided for Transshipment Cargo. 9.2.7.5 Ballast in Bulk. Ballast in bulk, which is not manifested as Cargo, has no commercial value, and is handled directly between the Vessel and a Barge or tank, are excepted from a Wharfage assessment. 9.2.7.6 Dunnage and Ship Lining. Dunnage and ship lining used in the stowage or bracing of Cargo, which is discharged from and reloaded to the same Vessel within thirty (30) days, are excepted from a Wharfage assessment. 9.2.7.7 Scrap Dunnage. Scrap Dunnage or scrap ship lining discharge from a Vessel, provided it has no commercial value, has been used on the Vessel for Dunnage or bracing of Cargo, and is not to be reused for these purposes, is excepted from a Wharfage assessment. 9.2.7.8 Cargo Movement not intended to inbound or outbound. Cargo which a Vessel unloads and reloads, in order to load or unload other Cargo prior to departure, is excepted from a Wharfage assessment. 9.2.7.9 Special Cargo Activities. Cargo transiting through the Port of Mayagüez which is to be used or incidental to assistance or aid for natural disaster or charitable causes, which are recognized as such by the Mayagüez Port Commission or the Port Administrator upon prior written request to such effect, will be excepted from a Wharfage assessment. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 55 10. PASSENGER SERVICE FEE OR WHARFAGE FEE 10.1 Terms applicable to Cruise Vessels. 10.1.1 Number of Passengers. Cruise Vessels carrying twelve (12) or more Passengers which berth at the Port of Mayagüez Wharf, Pier, or bulkhead structure are assessed a fixed fee per Passenger, based on the total number of Passengers who initiate or end a voyage on the Cruise Vessel or are in transit as part of a voyage schedule and whose names appear on the Passengers' list upon arrival of the Vessel at the Port of Mayagüez. In addition, Wharfage is assessed for each period of twenty-four (24) hours or fraction thereof, during which a Vessel is at berth based. 10.1.2 Round Trip. The passenger service charge provided in Section 9.2.4 will not apply to Passengers who both initially board and later disembark at the Port of Mayagüez, from the same voyage and Vessel, provided any such Passenger (s) were included in the Vessel Manifests used to determine the passenger services charges paid by the Vessel at upon boarding and disembarking. 10.1.3 Port of Mayagüez Incentives for the Cruise Vessel Industry. Vessel Owners and/or Vessel Agents of Cruise Vessels interested in making the Port of Mayagüez a regular Port of Call or a Home Port for their Vessels may apply for one or more of the following incentives. Subject to certain limitations, these incentives will be available to Vessel Owners and/or Vessel Agents through individual negotiation with the Port Administrator, such negotiation to take into consideration the frequency of port calls and volume of Passengers. The duration of the incentives negotiated with the Port Administrator may not exceed the original expiration term of this Handbook and Tariff (i.e., December 31, 2016), unless otherwise approved by the Mayagüez Port Commission. 10.1.3.1 Cruise Vessel's Maiden Voyage Incentive. The Port Administrator may exempt a Cruise Vessel from the payment of Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 56 passenger services charges during its first call to the Port of Mayagüez, whenever a Cruise Line has initiated negotiations or has an agreement with the Port Administrator which takes into consideration the frequency of port calls to the Port of Mayagüez and volume of Passengers. This incentive will not be available to any specific Cruise Vessel which has visited the Port of Mayagüez previously. 10.1.3.2 Dockage Exemption Incentive. Cruise Vessels which have agreements in place guaranteeing a minimum volume of Passengers or frequency of port calls may be exempted from Dockage charges by the Port Administrator, for the first twenty-four (24) hours after arrival. 10.1.3.3 Incentive to passenger service charge. Cruise Vessels which have agreements in place guaranteeing a minimum volume of Passengers or frequency of port calls benefit from a reduced passenger service charge of no less than $8.81 per Passenger, as determined by the Port Administrator. 10.1.3.4 Preferential Dockage Incentive. Cruise Vessels which have agreements in place guaranteeing a minimum volume of Passengers or frequency of port calls may be granted preferential docking by the Port Administrator. 10.1.3.5 Other Incentives. Cruise Vessels may apply to the Municipality of Mayagüez as well as any agency or instrumentality of the Commonwealth of Puerto Rico, notwithstanding any incentive granted by the Port Administrator. Neither the Port Administrator nor the Mayagüez Port Commission has any influence, control, or responsibility for any incentives offered by any such government agencies or instrumentalities. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 57 10.2 Terms applicable to Ferryboats. Ferryboat Vessels carrying twelve (12) or more Passengers which berth at the Port of Mayagüez Wharf, Pier, or bulkhead structure are assessed a fixed fee per passenger, based on the total number of Passengers who initiate or end a voyage on the Ferryboat Vessel or are in transit as part of a voyage schedule and whose names appear on the Passengers' list upon arrival of the Ferryboat Vessel at the Port of Mayagüez. In addition, Wharfage is assessed for each period of twenty-four (24) hours or fraction thereof, during which a Vessel is at berth based. 11. PORT SERVICE CHARGES Every Vessel entering, navigating, or otherwise using any port of the Commonwealth of Puerto Rico will be assessed a Harbor Dues charge per each period of twentyfour (24) hours or fraction thereof. Harbor Dues are assessed by the Captain of the Port of Mayagüez, who is an officer / employee of the Ports Authority. Harbor Dues are determined, assessed, and paid solely to the Ports Authority, regardless of whether the corresponding Vessel uses the facilities of the Port of Mayagüez. Neither the Mayagüez Port Commission nor the Port Administrator has any influence, control, or responsibility for the assessment and collection of Harbor Dues. Vessel Owners, Vessel Agents, and Vessel Captains may not include the payment of Harbor Dues as part of the payment for Dockage, Wharfage, and other charges assessed by the Port Administrator. 12. FREE-TIME AND DEMURRAGE 12.1 Conditions and General Rule. The payment of the Wharfage rates established in this Handbook and Tariff will enable the corresponding user to use the Transit Area, Wharf, Wharf premise, Pier, or bulkhead structure without additional charge for inbound Cargo, while the Vessel is unloading such Cargo, and for outbound Cargo, while the Vessel is loading such Cargo. Additionally, Vessels have a Free-Time period before and after completing the loading or unloading of Cargo and to place/store such Cargo at the Port's facilities. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 58 12.1.1 Permit to Use Common Area. Outbound Empty Containers delivered to the Transit Area of the Port of Mayagüez Wharf, Wharf premise, Pier, or bulkhead structure, prior to their respective loading time, and inbound Empty Containers remaining in such area after unloading the Vessel, may be placed, at the sole discretion of the Port Administrator, in storage at the owner's risk, and will be subject to the assessment of Demurrage as provide herein. 12.1.2 Any sealed Container, declared in the Bill of Lading or Vessel Manifest as empty, which is left on common spaces, Transit Areas, Pier, or Wharf premises, will be subject to Demurrage as a full Container, unless it is opened for inspection. 12.2 Commencement and Expiration of Free-Time Period. 12.2.1 Free-Time for outbound Cargo is measured in periods of twenty-four (24) hours or fraction thereof, starting at midnight (12:00am) of the Calendar Day in which Cargo loading begins and expires at 11:59pm of the last Calendar Day of Free-Time period granted, as applicable. The Port Administrator will authorize the deposit of Cargo based on the date of arrival of the Vessel as requested in the Docking Permit Application. Changes to the Vessel arrival date would cause Demurrages charges. 12.2.2 Free-Time for inbound Cargo is measured in periods of twenty-four (24) hours or fraction thereof starting at midnight (12:00am) of the Calendar Day in which Cargo unloading begins and expires at 11:59pm of the last Calendar Day of Free-Time period granted for unloading a Vessel to the bulkhead, Pier, Pier premises, or Wharf or the Vessel vacates the berth, whichever happens first. Whenever a Vessel commences unloading movement in on Pier and shifts to another wharf to finish the unloading activity, Free-Time Period will commence on the first midnight (12:00am) of the last Pier unloading movement. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 59 12.3 Free-Time Granted. 12.3.1 U.S. and Commonwealth of Puerto Rico Seaports. A Free-Time period of five (5) Port Operating Days is extended to those Vessels, from or to the any seaport in the U.S. or the Commonwealth of Puerto Rico, excluding any U.S. territory which is not a state. 12.3.2 Cargo Subject to U.S. Federal Agencies Clearance. A Free-Time period of six (6) Port Operating Days is extended to imported Cargo or motorized vehicles which require clearance from U.S. Customs and Border Patrol. 12.3.3 Foreign Countries Cargo or Motorized vehicles. A Free-Time period of six (6) Port Operating Days is extended to Cargo or motorized vehicles to or from foreign countries. 12.3.4 Cargo of U.S. Federal, Commonwealth and Local Government. A Free-Time period of seven (7) Port Operating Days is extended to Cargo for educational, health, and emergency situations, which does not exceed 1,000 short tons. 12.3.5 Shipments of One Commodity or Consignee. A Free-Time period of (i) six (6) Port Operating Days is extended to shipments of one commodity or consignee, in excess of 3,000 short tons and up to 4,999 short tons, and seven (7) Port Operating Days is extended to shipments of one commodity or consignee, in excess of 5,000 short tons. 12.3.6 Foreign Diplomatic Cargo. A Free-Time period of thirty (30) Port Operating Days is extended to Cargo or motorized vehicle (s) consigned to or to be shipped by an embassy or members of foreign diplomatic corps which are considered as diplomatic Cargo, particularly furniture and household appliances or effects, up to a maximum of 4,000 pounds. 12.3.7 Transshipment Cargo. A Free-Time period of fifteen (15) Port Operating Days is extended to any type of Cargo, including motorized vehicles shipped in Containers, and Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 60 manifested for Transshipment to other ports, without change in form or contents while being at the Port of the Mayagüez. Whenever Free-Time for Transshipment Cargo expires, penalties in addition to Demurrages will apply. See Section 12.5. 12.4 Demurrages. 12.4.1 Cargo Treatment after Free-Time Expiration. Any Cargo or motorized vehicle which is received and deposited in a Pier and is shipped after Free-Time period expiration will be subject to Demurrage immediately, until dispatched from the Pier. 12.4.2 Unknown Measurements. Any Cargo or motorized vehicle for which the basis to ascertain Demurrage is not reflected in the Vessel Manifest or shipping documents, is assessed Demurrage either per hundredweight or cubic feet, whichever yields the highest tariff / charge. 12.4.3 Empty Container and Empty Flatbed. Refers to an unsealed Container. Empty flatbeds will be considered as Empty Containers for purposes of applying Demurrages charges. 2012 2013 2014 2015 2016 16.7.3 Empty Containers - For each Operating Day or fraction thereof $8.17 $8.17 $8.99 $8.99 $8.99 after Free-Time 16.7.4 Empty Flatbeds - For each Operating Day or fraction $8.17 $8.17 $8.99 $8.99 $8.99 thereof after Free-Time 12.4.4 Container. Any sealed or unopened Container. 2012 2013 2014 2015 2016 16.7.2.1 For each of the $0.16 per CWT or $0.18 per CWT or $0.044 per first 5 Operating Days or $0.04 per cubic cubic feet fraction thereof after feet Free-Time as freighted. 16.7.2.2 For each Operating $0.08 per CWT or $0.09 per CWT or $0.055 per Day or fraction thereof, $0.05 per cubic cubic feet after the fifth day of feet paying Demurrage. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 61 12.4.5 Loaded Flatbed. Demurrage charges apply to loaded flatbeds based on weight declared in the Bill of Lading. 2012 2013 2014 2015 2016 16.7.2.1 For each of the first $0.16 per CWT or $0.18 per CWT or $0.044 5 Operating Days or $0.04 per cubic per cubic feet fraction thereof after feet Free-Time as freighted. 16.7.2.2 For each Operating $0.08 per CWT or $0.09 per CWT or $0.055 per Day or fraction thereof, $0.05 per cubic cubic feet after the fifth day of feet paying Demurrage. 12.4.6 Motorized vehicles. Demurrage charges are assessed on cubic feet. 2012 2013 2014 2015 2016 16.7.2.3 Any type of $0.04 per cubic $0.044 per cubic feet motorized vehicle for each feet of the first 5 Operating Days or fraction thereof after Free-Time 16.7.2.4 Any type of $0.05 per cubic $0.055 per cubic feet motorized vehicle for each feet Operating Days or fraction thereof, after the fifth day of paying Demurrage 12.4.7 Loose Cargo. Demurrage charges are assessed on weight as declared on the Bill of Lading or the amount of cubic feet occupied. 2012 2013 2014 2015 2016 16.7.2.1 For each of the $0.16 per CWT or $0.18 per CWT or $0.044 per first 5 Operating Days or $0.04 per cubic cubic feet fraction thereof after feet Free-Time as freighted. 16.7.2.2 For each Operating $0.08 per CWT or $0.09 per CWT or $0.055 per Day or fraction thereof, $0.05 per cubic cubic feet after the fifth day of feet paying Demurrage. 12.5 Demurrages and Penalties and Demurrages to Transshipment Cargo after Expiration of the Free- Time Period. 12.5.1 Transshipment cargo considered regular Cargo. Transshipment Cargo will be considered regular Cargo when remaining in a Pier in excess of fifteen (15) Operating Days. Such designation will be retroactive to the original date of arrival. Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 62 12.5.2 Demurrages assessment when Transshipment Cargo is not loaded prior to Expiration of the Free-Time Period. To the extent that Transshipment Cargo is not loaded onto a Vessel prior to expiration of the Free- Time period, Demurrage charges will apply, following the expiration of the Free-Time period for regular Cargo rather than Transshipment Cargo. 2012 2013 2014 2015 2016 16.7.2.1 For each of the first 5 $0.16 per CWT $0.18 per CWT or Operating Days or fraction or $0.04 per $0.044 per cubic feet thereof after Free-Time as cubic feet freighted 16.7.2.2 For each Operating Day or $0.08 per CWT $0.09 per CWT or fraction thereof, after the or $0.05 per $0.055 per cubic feet fifth day of paying Demurrage cubic feet 16.7.2.3 Any type of motorized $0.04 per $0.044 per cubic feet vehicle for each of the first 5 cubic feet Operating Days or fraction thereof after Free-Time 16.7.2.4 Any type of motorized $0.05 per $0.055 per cubic feet vehicle for each Operating Days cubic feet or fraction thereof, after the fifth day of paying Demurrage 16.7.3 Empty Containers - For each $8.17 per unit $8.99 per unit Operating Day or fraction thereof after Free-Time 16.7.4 Empty Flatbeds - For each $8.17 per unit $8.99 per unit Operating Day or fraction thereof after Free-Time 12.5.3 Demurrages assessment when Transshipment Cargo is embarked after expiration of the Free-Time Period. Transshipment Cargo will be assessed Demurrage from any additional day exceeding Free-Time of fifteen (15) Operating Days extended to Transshipment Cargo until the day of loading thereof. In addition, it is subject to Section 12.5.4. 2012 2013 2014 2015 2016 16.7.2.1 For each of the first 5 $0.16 per CWT $0.18 per CWT or Operating Days or fraction or $0.04 per $0.044 per cubic feet thereof after Free-Time as cubic feet freighted 16.7.2.2 For each Operating Day or $0.08 per CWT $0.09 per CWT or fraction thereof, after the or $0.05 per $0.055 per cubic feet fifth day of paying Demurrage cubic feet Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 63 2012 2013 2014 2015 2016 16.7.2.3 Any type of motorized $0.04 per $0.044 per cubic feet vehicle for each of the first 5 cubic feet Operating Days or fraction thereof after Free-Time 16.7.2.4 Any type of motorized $0.05 per $0.055 per cubic feet vehicle for each Operating Days cubic feet or fraction thereof, after the fifth day of paying Demurrage 16.7.3 Empty Containers - For each $8.17 per unit $8.99 per unit Operating Day or fraction thereof after Free-Time 16.7.4 Empty Flatbeds - For each $8.17 per unit $8.99 per unit Operating Day or fraction thereof after Free-Time 12.5.4 Penalties when Transshipment Cargo is embarked after expiration of the Free-Time Period. Any Transshipment Cargo remaining in the Pier in excess of fifteen (15) Operating Days given as Free-Time, if re-embarked, will assess a penalty charge equivalent to outbound Wharfage for regular Cargo. These penalties are assessed in addition to Section 12.5.3. 2012 2013 2014 2015 2016 Penalties for Transshipment Cargo After 15 Operating Days without completing Transshipment 16.2.4.1 Outbound movement $4.84951 $4.84951 $4.94650 $5.04543 $5.14634 for motorized vehicles shipped as Cargo Units (Tons/unit) 16.2.4.2 Outbound movement for Cargo in Containers, $1.26305 $1.26305 $1.28831 $1.31408 $1.34036 Flat-beds (Tons/unit) 16.2.4.3 Outbound movement for Empty Containers, $4.00034 $4.00034 $4.08035 $4.16195 $4.24519 Flat-beds or Chassis (each) 16.2.4.4 Outbound movement $0.02069 $0.02069 $0.02110 $0.02153 $0.02196 of liquid Cargo (including petroleum) handled in bulk via pipeline at Wharves, Piers, or bulkhead structure designed primarily for the loading or unloading of liquid Cargo in bulk (barrel) 16.2.4.5 Outbound Cargo NOS $1.72085 $1.72085 $1.75527 $1.79037 $1.82618 and Loose Cargo (per ton) Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 64 12.6 Demurrage and Penalties payment before removal of Cargo. 12.6.1 Whenever the Vessel Owner, Vessel Captain, or the Vessel Agent schedules the loading or unloading for any Cargo, he/she must provide to the Port Administrator the Bill of Lading and/or any other document that supports the day of entrance of Cargo to the Wharf or Pier Premises, including the description and amounts of the Cargo. Based on such documentation, the Port Administrator will invoice for any Demurrage incurred by the Vessel Owner, Vessel Agent, or Vessel Captain, as applicable, after the use of the applicable Free-Time period. 12.6.2 Demurrage invoiced will be payable immediately and prior removal of any Cargo. Upon payment of the Demurrage charges, the Vessel Owner, Vessel Agent, or Vessel Captain will have until the end of the Calendar Day to remove the Cargo from the facilities of the Port of Mayagüez. 12.6.3 To remove a Cargo from bulkhead, Pier, Pier Premises or Wharf, the Vessel Owner, Vessel Agent or any other person responsible will require clearance for Cargo removal from the Port Administrator. 12.6.4 Any clearance for Cargo removal will expire at the end of such Calendar Day. 12.6.5 Cargo subject to removal before expiring Free-Time period will require clearance for no Demurrage charges. 12.6.6 Cargo subject to removal after the expiration of the Free-Time period will require a clearance with respect to the payment of Demurrage charges until the day of the Cargo removal. 12.7 Removal of Cargo Tools and Equipment. Whenever a Vessel has in use Cargo Tools which are used on a Wharf, Pier, or bulkhead structures for Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 65 the purpose of loading or unloading a Vessel berthed at the facility, and such Cargo Tools are left behind or remain at the Pier after conclusion of the Port's operations, these will be subject to Demurrage charges, commencing at 11:59pm of the Calendar Day of the conclusion of the operations. 12.8 Move and Storage. Cargo including motorized vehicle remaining in the Transit Area of the Port of Mayagüez Wharf, Wharf premises, Pier, or bulkhead structure after the close of its Free-Time period will, at the option of the Port, be placed in public storage at the risk and expense of the goods, or assessed Demurrage rates. 12.9 Cargo Left on Demurrage, Cargo Damaged or Cargo Abandoned at the Docks. 12.9.1 Abandoned Cargo. The Vessel or the consignee or the Vessel Agent will keep responsible for any charges accrued on any Cargo and/or motorized vehicles remaining at the Dock or abandoned at the Pier, and for further charges accrued for such Cargo sent to public warehouses. 12.9.2 Demurrage as First Lien upon Cargo. The rates or charges owed to the Port of Mayagüez for Demurrage constitute a first lien upon the Cargo. 12.9.3 Disposition of Abandoned Cargo. Whenever Cargo or motorized vehicles accrue Demurrage for twenty (20) days, the Port Administrator will request that the consignee, Vessel Owner, Vessel Agent, or Vessel Captain, immediate remove the Cargo within a period of ten (10) Operating Days. If no response is received during the ten Operating Days period, a second notification will be sent, requesting the Cargo removal in a ten (10) Operating Days period or showing a valid reason for keeping such Cargo at the Port's facilities, the full payment of Demurrages accrued during the thirty (30) Operating Days period, and giving an estimate of time for storing the Cargo at the Port's facilities. The absence of response to the Mayagüez Port Commission Handbook and Tariff No. 02 Rules and Regulations Page 66 second notification and/or payment of Demurrages accrued will constitute abandoned Cargo. The Port Administrator will dispose of the Cargo through public or sealed bids, or by the procedure of voiced (auction) system which will be announced in the local press. The money proceeding from the auction will be credited against all charges owed to the Port of Mayagüez including all expenses incurred by the Port. The Vessel Owner, Vessel Agent, or consignee will be held responsible for the payment of the charges not covered by the product of said auction.