Opposition to Inland Waterways Lockage Tax

Thursday, May 14, 2009

The American Waterways Operators, the national trade association for the tugboat, towboat and barge industry, criticized the proposal in the Obama Administration's Fiscal Year 2010 budget to replace the inland waterways fuel tax with a lockage tax.

A similar idea was proposed by the Bush Administration and rejected by the 110th Congress. AWO urges Congress to reject it again. AWO contended that replacing the excise tax on fuel that equitably distributes taxes on all commercial waterways users with a lock usage tax would impose disproportionate tax burdens on vessels transiting certain segments of the inland waterways, while other vessels using the system would pay little or nothing. 

AWO said this approach would increase the cost of shipping essential commodities such as grain and petroleum and would undermine the nation’s inland waterways transportation system, the most economical and environmentally friendly mode of cargo transportation.  Moreover, it would not solve the waste and over-expenditure problems that plague the current system for constructing and funding vital inland waterways infrastructure.

Noting the broad benefits to the nation from its waterways, from commerce to recreation to flood control, AWO President & CEO Tom Allegretti asserted, “Spending tax money wisely cannot occur until bad habits have been reformed.  While it is industry’s responsibility to pay its fair share of taxes, it is the government’s responsibility not to waste tax dollars.  The lock usage tax proposal doesn’t achieve either goal.  Imposing this tax would unfairly burden the mode of transportation that has the smallest carbon footprint and still has unused capacity.  It is totally counterproductive.”
  
AWO said imposing a lockage fee now would short-circuit a promising government-industry initiative currently underway to develop a new Capital Projects Business Model for the nation’s inland waterways infrastructure.  AWO reported that the Capital Projects Business Model is a comprehensive, consensus-based capital investment program that will ensure that resources and processes are in place to achieve a safe, reliable, cost-effective, and environmentally sustainable inland marine transportation system, along with the necessary funding stream.  The model will be presented to Congress later this year for consideration in the development of the 2010 Water Resources Development Act.

Maritime Reporter November 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

News

Port Workers in Argentine Grain Hub End Strike

Port workers in part of the Argentine grains hub of Rosario lifted a work stoppage on Friday, only a day after they went on strike over demands for higher year-end bonuses, a union official said.

Madsen to Chair Norway’s Research Council Executive Board

Henrik O. Madsen appointed chairman of the executive board of the Research Council of Norway   DNV GL president and CEO Henrik O. Madsen was appointed as chairman

Larger Tankers May Offer Better Return Chances

Investors looking for returns in the tanker markets can invest their capital in a variety of ways. Should an owner invest in a VLCC or an Aframax? How about an

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Offshore Oil Pod Propulsion Ship Electronics Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1887 sec (5 req/sec)