Exclusive Tug News

Gulf LNG Tugs of Texas has been selected to provide towage services for the Texas LNG export terminal to be constructed in the Port of Brownsville.Gulf LNG Tugs, a consortium of Suderman & Young Towing Company, Bay-Houston Towing, and Moran Towing Corporation, will build, deliver and operate tugboats under a long term agreement to assist LNG carriers arriving at the facility.Texas LNG will be a 4 million tonnes per annum (MTPA) liquefied natural gas (LNG) export terminal owned and managed by Glenfarne Energy Transition.

The Federal Maritime Commission (FMC) released a Settlement Agreement it has entered into with one of the stevedoring companies that was allegedly involved in an improper exclusive tug franchise on the Lower Mississippi River. While not admitting that it violated the Shipping Act of 1984, the stevedore agrees to be cease and desist or modify its exclusive tug practices to the same extent and manner as may be required of the other respondents. The Bureau of Enforcement is saved the burden of having to prove particular violations by this particular respondent. Source: HK Law

The Federal Maritime Commission (FMC) issued an Order denying the request of a marine terminal operator on the lower Mississippi River to require various carriers to furnish copies of charter parties and fixture documentation with respect to the on-going proceeding regarding exclusive tug franchises. Docket No. 01-06 Source: HK Law

The Federal Maritime Commission (FMC) issued an Order stating that the ALJ is recommending that the Commission approve settlement of allegations against Cargill, Incorporated that it violated the Shipping Act of 1984 by engaging in an exclusive tug franchise at its four grain facilities on the Lower Mississippi River. Under the agreement, no exclusive tug arrangements would be in place for docking and undocking assistance. In its place, there would be a two-tier system, with the upper tier applying to vessels of 13,501 GRT and larger and the lower tier applying to smaller vessels. For tug assistance services other than docking and undocking, rates would be capped at the rates charged by the tug company selected by Cargill as set forth in the company’s public tariff.

At the request of the Administrative Law Judge, the Federal Maritime Commission (FMC) has extended the time for rendering a decision in the matter relating to exclusive tug franchises on the Lower Mississippi River. The deadline for issuance of an initial decision has been extended from 1 July 2005 to 31 October 2005. 69 Fed. Reg. 35346 (HK Law)

The Federal Maritime Commission will hold a meeting in Washington, DC on January 30, 2002. The Agenda states that the open portion of the meeting will address issues regarding financial coverage for performance of cruises by passenger vessels boarding passengers in the United States. The closed portion of the meeting will address exclusive tug arrangements in Florida ports. Source: HK Law

The Federal Maritime Commission (FMC) issued an Order of Investigation and Hearing with regard to exclusive tug arrangements in Port Canaveral, Florida. The agency also issued an Order to Show Cause to the Canaveral Port Authority, directing the port authority to show cause why it should not be found in violation of the Shipping Act of 1984 for its refusal to consider the application for a tug and towing franchise in the port filed by Tugz International. Source: HK Law

The Federal Maritime Commission, or FMC, is currently making a formal investigation into exclusive tug franchise arrangements in ports in Florida and the lower Mississippi River area. The issue is whether these licenses, with which marine terminal operators grant exclusive towing licenses to certain tug companies, are unreasonably anticompetitive and violate the Shipping Act of 1984. The FMC initially began an inquiry into supposed exclusive franchise agreements involving some tug operators and dry bulk terminals on the lower Mississippi River, but this investigation soon lead to inquiries into the practices of two Florida Ports, Port Canaveral and Port Everglades.

and expedite its appeal had been denied by the Administrative Law Judge (ALJ). towing services in the port and another alleging unreasonable refusal to deal or negotiate. until certain issues related to the second were resolved. The ALJ determined that the port authority was not likely to prevail on the specific issues pending in the second matter. to shorten time for replies from the normal 15 days to two days.

The Federal Maritime Commission (FMC) issued an Order denying the petition of Canaveral Port Authority to consolidate two related enforcement actions involving the port. The FMC had issued an Order to Show Cause why the Port should not be found in violation of the Shipping Act of 1984 for refusal to consider the application of a tug company for a tug and towing franchise. The FMC had also opened an investigation into the exclusive tug arrangements in the port. The Commission denied the petition to consolidate, finding that, while the actions were related, the parties to the two matters were not identical and the legal issues were different.

On August 8 and 9, 2001, the Federal Maritime Commissioner's Investigative Officer will conduct hearings to develop the issues set forth in the Commission's Order of Investigation in the proceeding of Exclusive Tug Arrangements in Florida Ports. These hearings will be conducted in confidential session in Courtroom C, Federal Building, 299 East Broward Blvd., Fort Lauderdale, FL 33301. Witnesses will includes officials of Port Everglades Department of Broward County, representatives of the Port Everglades' Pilots Association, and other member of the of the maritime community in Port Everglades. Other persons who with to testify, or to provide information or evidence to the Investigative Officer, should contact Commissioner Antony M. Merck at: Federal Maritime Commission, 800 N.