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05/01/08 Presidents of Maritime Unions Urge Congress to Repeal Tax for Domestic Vessels
Fees imposed upon U.S.-flag vessels making multiple stops at American ports are impeding the competitiveness of the domestic maritime industry vis-à-vis other modes of transportation, according to several MTD-affiliated unions and a number of U.S. maritime research organizations. The presidents of these labor unions—Michael Sacco, Seafarers International Union and the Maritime Trades Department; Thomas Bethel, American Maritime Officers; Timothy Brown, International Organization of Masters, Mates & Pilots; Donald Keefe, Marine Engineers’ Beneficial Association; Gunnar Lundeberg, Sailors’ Union of the Pacific; and Anthony Poplawski, Marine Firemen’s Union—are supporting a bill, H.R. 1499, to correct this situation. Introduced by Rep. Elijah Cummings (D-MD), the legislation would amend the Internal Revenue Code of 1986 to exempt the waterborne transportation of cargo between American ports from the Harbor Maintenance Tax (HMT). Under present practice, the HMT is imposed on cargo entering a U.S. port from an overseas market. The tax is assessed again on the same cargo when it moves by water on U.S.-flag vessels along our coasts to other American ports. In a letter to Congress, the union presidents observed, “This application of the HMT which results in the dual or multiple taxation of waterborne cargo does not apply to cargo moving domestically by truck or rail. “Consequently, this application of the HMT discourages the transportation of domestic cargo by water and impedes the development of a U.S. short sea shipping and marine highway system and should be eliminated.” The presidents stressed that waterborne movements of cargo are “cost-effective, efficient and environmentally sound.” Moreover, “A short sea transportation network will offer shippers another means to transport the ever-increasing volumes of imported cargo expected to move in interstate commerce between American ports in coming years.” In remarks promoting the measure, Cummings contrasted the benefits of eliminating HMT fees on U.S.-flag carriers as opposed to its cost. He cited a reported by the Congressional Budget Office that stated the H.R. 1499 would “reduce revenues by less than $500,000 over 10 years.” The research organizations affixing their names to the letter include the Transportation Institute, the American Maritime Officers Service, the American Maritime Congress and the Maritime Institute for Research and Industrial Development. |
Maritime Matsuda Confirmed as Maritime Administrator09/01/10 David Matsuda, who has been serving as acing administrator of the Maritime Administration, recently was confirmed as Maritime Administrator... Maritime ITF Updates Its FOC Campaign08-28-10 The International Transport Workers’ Federation recently voted to update its flag-of-convenience c0ampaign during its quadrennial congress...GRASSROOTS ACTION
MCTF Updates the Situation in the Gulf The Maritime Cabotage Task Force has issued an update on the situation along the Gulf Coast, citing retired U.S. Coast Guard Admiral Thad Allen, the National Incident Commander for the cleanup effort, as stating "at no time" has the Jones Act inhibited the clean up... more... Crfisis in the Gulf Special interest groups seeking to take advantage of developments in the Gulf of Mexico have been asserting that the Jones Act has hindered cleanup efforts. But as the AFL-CIO noted, “Those behind the campaign attacking the Jones Act have two aims: To discredit the federal response to the disaster and to attack unions." The federation quoted information provided by FactCheck.org, a respected, nonpartisan organization dedicated to ensuring fair media coverage. The federation also quoted MTD President Michael Sacco. “The assertion that Obama has invoked the Jones Act on behalf of maritime unions is the most ridiculous” of the Jones Act lies, he said. Moreover, the State Department announced that new offers of aid would be accepted from 12 foreign countries and international organizations... more... Update on Oil Disaster Add Rep. Linda Sachez (D-CA) to the growing list of lawmakers who are pushing back on the rampant misinformation campaign that has been hitting the airwaves about the Jones Act in recent weeks. In her published letter to the editor, Sanchez tore into an editorial that appeared in the Washington Post on June 25 calling for a repeal of the nation’s cabotage freight law. "The fact is there is no evidence the Jones Act has interfered with the cleanup in any way,” she wrote... more... Gulf of Mexico Oil Spill The recent calls against the Jones Act in the wake of the oil spill disaster in the Gulf led MTD President Michael Sacco to devote his monthly column in the July Seafarers International Union publication to refuting the arguments:
“There were times in June when I almost had to check my calendar to make sure we weren’t back in the mid-1990s," he wrote. "During that era, well-financed, calculated opposition to American-flag shipping repeatedly attacked the Jones Act, one of the staples of our industry for the last 90 years..." more... Port Maritime Council Takes Action Dean Corgey, the executive secretary of the West Gulf Ports Council, said that the offshore oil industry needs to change the way that it does business if the Gulf Coast is ever to stage a comeback from the devastating oil spill that killed 11 workers and led to the worst environmental crisis in the nation’s history. Writing in the Houston Chronicle, he noted, “The answer is simple. The offshore exploration, production and service industry in the Gulf of Mexico, to the best of our knowledge, is 100 percent nonunion and increasingly foreign..." more... U.S. Cabotage Laws Come Under Attack Leading members of Congress are setting the record straight about inaccuracies that are being made about the Jones Act and the oil spill cleanup in the Gulf of Mexico...
more... Crisis In the Gulf On June 25, the Washington Post published an editorial that called for foreign competition on America’s domestic waterways without considering what the ramifications of such action would entail. MTD President Michael Sacco responded immediately: "We find it amazing how your own words come back to bite you. In the case of your editorial, 'Time to Rethink the Jones Act,' your own slogan comes to mind: 'You don’t get it...'" more... The Jones Act Special interest groups are seeking to use the crisis in the Gulf of Mexico to overturn the Jones Act, America’s most important cabotage law. Misinformation about the law and the waiver process has been dominating the news. All too often, little or no effort has been made to check the facts (i.e.—asking the U.S. Coast Guard about the number of petitions that have been submitted for waivers of the Jones Act). The Maritime Cabotage Task Force, a grass roots organization dedicated to preserving U.S. cabotage laws, has been correcting the record... more... |
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