FMC Offices Closed due Partial Federal Shutdown
The Federal Maritime Commission is closed effective Wednesday, December 26, 2018 as part of the partial federal government shutdown due to a lapse in appropriations. The Commission will resume normal operations when appropriations legislation is enacted and the federal government reopens.With the exceptions of Acting Chairman Michael A. Khouri and Commissioner Rebecca Dye, who are Presidentially-appointed, Senate-confirmed officials, all Commission employees have been placed on furlough and are prohibited by law from performing any duties during the shutdown.
FMC Collects $338,000 In Penalty Payments
Federal Maritime Commission Chairman Mario Cordero announced that the Commission has completed compromise agreements recovering a total of $338,000 in civil penalties. The agreements were reached with one vessel-operating common carrier and six ocean transportation intermediaries (both non-vessel-operating common carriers and ocean freight forwarders). The agreed-to penalties resulted from investigations conducted by the Commission’s Area Representatives in Houston, Seattle, South Florida, and New York, and by Washington D.C. headquarters staff.
Final OTI Rules Approved
The Commission voted at its meeting 22nd October to issue a final rule on ocean transportation intermediary (OTI) licensing and financial responsibility requirements, and directed staff to prepare an advanced notice of proposed rulemaking concerning service contracts and NVOCC service arrangements. Under the new rules, OTIs will be required to renew licenses every three years through a convenient on-line portal beginning in late 2016, and an expedited hearing process will be provided for license denials, revocations, or suspensions. Revision to the OTI rules was first proposed in May of 2013 in an advance notice of proposed rulemaking, and then in October 2014 a proposed rule was issued by the Commission. The Commission received extensive comment from the industry throughout the process.
FMC Collects $1,227,500 in Penalties from NVOCC's
Federal Maritime Commission Chairman Mario Cordero announced that the Commission has completed compromise agreements recovering a total of $1,227,500 in civil penalties. The agreements were reached with seven non-vessel-operating common carriers (NVOCCs) and one vessel-operating common carrier (VOCC). The agreed penalties resulted from investigations conducted by the Commission’s Area Representatives in New York and Seattle, and headquarters staff in Washington D.C. The parties settled and agreed to penalties, but did not admit to violations of the Shipping Act or the Commission’s regulations. In making the announcement, Chairman Mario…
FMC Recovers $503,000 in Penalties
Chairman Mario Cordero announced that the Federal Maritime Commission has completed compromise agreements recovering a total of $503,000 in civil penalties. The agreements were reached with five non-vessel-operating common carriers (NVOCCs), two unlicensed transport businesses and one vessel-operating common carrier. The agreed penalties resulted from investigations conducted by the Commission’s Area Representatives in Miami and Los Angeles, and Washington D.C. headquarters staff.
Commissioner Doyle Addresses NCBFAA
Federal Maritime Commissioner William P. Doyle spoke today at the National Customs Brokers & Forwarders Association of America (NCBFAA) Government Affairs Conference in Washington, DC. There, he addressed OTI regulations, port congestion forums and the upcoming U.S.- China Bilateral Maritime Consultations. His full comments are as follows. Thank you for inviting me here today. I want to let you know that you have a tireless advocate in Ed Greenberg. Ed is always looking out for your interests—he’s on the phone calling my office…
FMC: OTI may not use unlicensed, unbonded agents
The Federal Maritime Commission (FMC) issued an order stating that, under the Shipping Act of 1984 and its implementing regulations, a licensed ocean transportation intermediary (OTI) may not use unlicensed and unbonded agents to provide non-vessel-operating common carrier (NVOCC) and ocean freight forwarder services to the public. The OTI had petitioned for a declaratory order allowing such an exception, citing the evolving business conditions. The majority of the Commission denied the petition, noting that it is not aware of any legislative history or case law that would indicate the Congress intended to distinguish between persons would act as OTIs (and must be licensed and bonded) and persons who provide OTI services (and could avoid the license and bonding requirements).
FMC Holds OTI Panel Discussion
The Federal Maritime Commission (FMC) issued a Press Release stating that on September 21 it hosted a panel discussion by representatives of the ocean transportation intermediary (OTI) community. This was the first of a series of briefings with shipping industry representatives intended to develop a greater awareness and understanding of current issues and concerns affecting the U.S. international liner shipping industry. (HK Law)
