Letters
MCTF Letter To House Transportation & Infrastructure Committee:
Oppose Requests To Waive Cabotage Laws
September 22, 2005
Via Facsimile
The Honorable Don Young
Chairman
Committee on Transportation and Infrastructure
United States House of Representatives
Washington, DC 20515
Re: Hurricane Katrina - American Domestic Maritime Industry
Dear Mr. Chairman:
The Maritime Cabotage Task Force (MCTF) is comprised of more than 400 American companies, associations, shipyards, labor organizations, defense groups, and others that are interested in maintaining America’s strong domestic maritime industry. The MCTF and the industry it represents have strongly supported President Bush in the Hurricane Katrina recovery effort. In addition to the direct support many U.S. maritime interests are providing to the Coast Guard, FEMA, Maritime Administration and other agencies, the industry (through MCTF) publicly stated that it respected the President’s decision to waive the Jones Act on a temporary basis to permit the coastwise movement of petroleum and petroleum products by foreign flag vessels.
We have learned that various interests, including cruise lines and agriculture interests, are seeking broad waivers of the nation’s cabotage laws, alleging that they are needed as part of the Katrina relief and revitalization effort. These allegations are not consistent with the facts, and the MCTF strongly opposes such requests. Specifically, with regard to the movement of agricultural cargoes, no broad waiver is necessary because there are ample coastwise-qualified U.S. vessels available to meet the needs. Moreover, waivers are not necessary for foreign cruise ships being used as docked living space for evacuees since such use is allowed under existing law. We urge you to resist any effort to turn case-by-case waivers granted by responsible Government officials under longstanding legislative authority (the Act of December 27, 1950) to meet defined threats to U.S. national security into broader legislative grants intended primarily to further the economic self interests of those making the request.
In addition to waivers of U.S. cabotage laws, the MCTF is concerned about reports of broad administrative waivers of other U.S. laws such as taxation that would provide substantial benefits to foreign shipping companies operating in the domestic commerce of the United States for extended periods of time.
As the efforts to recover from the ravages of Hurricane Katrina move forward, US-flag vessels operated by tax-paying American companies and American citizen crews are more than capable of handling domestic waterborne transportation requirements on a going forward basis, including many operating in the affected Gulf region.
The MCTF appreciates your longstanding support of the domestic U.S.-flag maritime industry, and that of many members of the Committee, and stands ready to help those affected by Hurricane Katrina directly or indirectly.
Sincerely,
Philip Grill
Cc: The Honorable James Oberstar
The Honorable Frank LoBiondo
The Honorable Bob Filner
The Maritime Cabotage Task Force was founded in 1995 to promote the U.S.-flag fleet engaged in domestic waterborne commerce. With more than 350 members, MCTF is the largest coalition ever assembled to represent the domestic segment of the U.S. merchant marine. Nationwide, there are more than 35,000 vessels engaged in Jones Act commerce and they annually move more than 1 billion tons of cargo and 100 million passengers. The Jones Act fleet generates nearly 125,000 jobs, 80,000 of which are aboard vessels and represents a $26 billion private sector investment in vessels and infrastructure. The Act has been broadly supported by every Congress and Administration since its passage in 1920 and is considered a key element in the nation's national defense capabilities.
For more information, contact: Glen Nekvasil, Director of Media Relations (1-888-400-9429)/info@mctf.com
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