The American Salvage Association’s Jon Waldron provides the ultimate cabotage primer. There always seems to be constant chatter about waiving the Jones Act. In reality, it is a simple task to demystify the thought that it is easy to obtain such waivers. To set the stage, in one of her first press conferences after taking the chairmanship of the Senate Energy Committee, Senator Mary Landrieu exclaimed that “Waiving the Jones Act literally hands over work to foreign shippers.” The fact that Senator Landrieu’s comments were not directed against any potential waiver of the Jones Act shows the controversy that Jones Act waivers can rise in the maritime and energy sectors. In reality, however, there exists a misconception amongst many about the ease of obtaining a waiver to the Jones Act. Accordingly, this article will discuss the requirements for obtaining a waiver, analyze key past Jones Act waivers, and look to possibilities for future Jones Act waivers. Jones Act Waivers in Law and Practice The Jones Act prohibits the “transportation of merchandise by water, or by land and water, between points in the United States . . . either directly or via a foreign port” unless the vessel was built in the United States and is U.S.-owned and registered under the U.S.-flag (commonly called “coastwise vessels”)
Maritime Administration Reporting Requirements For The Special Purpose Jones Act Waiver. Hurricane Sandy Special-Purpose Jones Act Waiver Reports to Maritime Administration as Required by Waiver On November 2, 2012, the Department of Homeland Security, in consultation with the US Department of Energy and the Maritime Administration, issued a waiver of the Jones Act to allow non U.S.-flagged oil tankers coming from ports in the Gulf Coast Petroleum Administration for Defense
Fred McCallister, an investment banker with Allegiance Capital Corporation, sent a letter to Incident Commander Admiral Thad Allen on June 17 asking for a limited waiver of the Jones Act, to enable 12 to 25 foreign flagged skimmer ships to assist in clean-up efforts in the Gulf. "Many in the Gulf have been calling for this equipment, which can collect 3,500 gallons of oil per hour per vessel from Gulf waters. With estimates now at 2
The Maritime Cabotage Task Force stated that it opposes legislation to repeal the Jones Act, saying that all the McCain bill would do is put more Americans out of work. “The McCain bill proposes to eliminate the very American industry that is helping to clean up the spill - an industry that supports 500,000 U.S. jobs - and outsource that work to foreign workers and foreign companies registered in nations like Liberia and the Marshall Islands that operate outside of American law
Working to create and preserve American jobs, Congressmen Elijah E. Cummings (D, MD-7) and Jeff Landry (R, LA-3) today introduced the American Mariners Job Protection Act (H.R. 3202), a bill with bipartisan support that will increase government transparency surrounding the issuance of waivers allowing non-Jones Act-qualified vessels to carry cargo between U.S. ports. Under current law, when the head of the agency responsible for the administration of the Jones Act believes
On June 27, I testified on behalf of the American Maritime Partnership (AMP) before the House Coast Guard and Maritime Transportation Subcommittee at a hearing that questioned the Administration’s skirting of the Jones Act during last summer’s Strategic Petroleum Reserve (SPR) drawdown. Members of Congress were keenly interested in understanding how the Administration authorized waivers for foreign flag ships to carry U.S. oil between U.S
Senators Sam Brownback (R-Kan.), Jesse Helms (R-N.C.), Pat Roberts (R-Kan.), Richard Lugar (R-Ind.), Conrad Burns (R-Mont.) and Peter Fitzgerald (R-Ill.) reintroduced legislation (S.1032) designed to reform the U.S.-build requirement of the Jones Act. This bill, similar to the one introduced by Brownback last summer, would allow foreign-built dry- and liquid-bulk oceangoing self-propelled ships over 1,000 tons to ply the U.S. Coastwise trade under U.S. flag. The U.S
David C. Hanby, Jr., President & COO McDonough Marine shares with readers of MarineLink.com his insights on key market drivers for the coming year. What legislative/political issue do you count as the most important for the marine industry in the next few years? DH: Effective funding of infrastructure improvements of the waterway facilities our industry depends on to provide efficient, safe, environmentally friendly transportation of our nation's commodities
The United States should strengthen a century-old law designed to protect the domestic shipping industry, rather than relax it under pressure from the energy industry, the chair of the Senate Energy Committee said on Tuesday. The 1920 Jones Act restricts the delivery of goods between U.S. ports to ships made in the United States and flying the country's flags. Mary Landrieu, a Louisiana Democrat, said defending the law is one of her top priorities and cautioned the Obama
Senator John McCain said a more than 90-year-old law that requires ships servicing coastal businesses to be built and mostly staffed by U.S. crews will be repealed sooner or later if lawmakers keep fighting the trade restriction. Oil refiners, and many manufacturers and state governments oppose the Jones Act, saying the requirement increases costs by blocking shipping by cheaper foreign-built and foreign-flagged vessels.
Iran will boost its crude oil production within one week once international sanctions are lifted and is determined to regain its lost market share, senior Iranian oil officials reiterated on Monday. Iran will raise production by 500,000 barrels per day in the first week after sanctions are
Recent developments in the United States suggest that cybersecurity of the maritime sector will come under increasing focus in 2016, says Hogan Lovells. On December 16, 2015, H.R. 3878, “Strengthening Cybersecurity Information Sharing and Coordination in Our Ports Act of
The American Maritime Partnership (AMP), the voice of the domestic maritime industry, today released a statement in response to the sheer number of factual errors in the recent report published by the Alliance for Innovation and Infrastructure’s (Aii) – Jones Act: Protectionism v
AWO voices strong opposition to McCain anti-Jones Act amendment The American Waterways Operators (AWO) is continuing an intensive lobbying campaign to bring the Vessel Incidental Discharge Act (VIDA) to a vote in the Senate and working with the American Maritime Partnership to strenuously
The United Arab Emirates and the European Union have signed a reciprocal bilateral short-stay visa waiver agreement. UAE citizens who hold diplomatic, special, service and ordinary passports will be able to travel without a visa to EU countries which make up the Schengen area for stays
Captain Jeffrey P. Novotny is Commanding Officer of the U.S. Coast Guard’s National Maritime Center in Martinsburg, WV. He is responsible for all activities related to professional credentialing, training and assessments of the nation’s 215,000 merchant mariners
Navis, a part of Cargotec Corporation, announced that ACT Burgas, the container department of BMF Port Burgas EAD, has gone live on the Navis N4 terminal operating system (TOS). ACT Burgas operates in one of only two major Bulgarian ports in the Black Sea
The Preventing Labor Union Slowdowns Act of 2015 (PLUS Act) was introduced last Thursday in the United States Senate to help prevent the type of maritime labor slowdowns at the Port of Portland and 28 other West Coast ports that disrupted domestic and international trade and nearly brought
U.S. Transportation Secretary Anthony Foxx has announced that applications to the U.S. Department of Transportation for its seventh round of Transportation Investment Generating Economic Recovery (TIGER) grants totaled $9.8 billion, almost 20 times the $500 million set aside for the program
Rickmers Trust Management (Rickmers Maritime) suffered a loss of USD15.7 million for the second quarter ended 30 June 2015 from a profit of USD16 million in 2Q14. Rickmers Maritime recorded a net loss after tax of US$15.7 million in 2Q2015, compared to a net profit of US$16
In preparation for the arrival of Tropical Depression 16W the Coast Guard captain of the port for Guam has established port heavy weather condition x-ray for the ports of Saipan and Tinian effective at 9 p.m. Chamorro Standard Time Saturday.
While September is Suicide Prevention Month, subject matter experts from the 21st Century Sailor Office's Suicide Prevention Office, OPNAV N171, say their goal isn't to prevent suicide on just a single day or month, but every day of the year.
Lloyd's Register informs that new stability instrument requirements will apply to all tankers constructed (keel laid) on or after January 1, 2016. These ships will be required to fit an approved stability instrument, capable of verifying compliance with intact and damage stability requirements.
The UK chamber of shipping has launched "The Bribery Act 2010; Practical Guidance for the Shipping Industry”. The guidelines will be launched at an event for members and shipping industry professionals as part of London international shipping week
Rep. Huffman introduces Stop Arctic Ocean Drilling Act; bill would prohibit oil and gas leasing in the Arctic Ocean U.S. Congressman Jared Huffman (Dem.-Calif.) introduced a bill Monday called the Stop Arctic Ocean Drilling Act of 2015