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Sunday, January 21, 2018

Budget Proposal News

White House Releases FY07 Budget Proposal

The White House issued a News Release summarizing the President’s budget proposal for fiscal year 2007. Details of the $2.77 trillion plan can be found on the Web site for the Office of Management and Budget (OMB). The budget calls for a 6 percent increase for both homeland security and transportation. source: HK Law

Is Navy Mulling New Cuts?

According to a Reuters report, the U.S. Navy has proposed cutting a Lockheed Martin Corp. missile program and a Northrop Grumman Corp. amphibious assault ship in its fiscal 2008 budget, but Pentagon leaders will make the final decision, analysts said. Navy officials declined to comment on its spending proposal for 2008, saying the Pentagon and White House must still review all proposals. The Bush administration is expected to send its massive government-wide budget proposal for fiscal 2008 to Congress in early February 2007. A defense industry publication, Inside the Navy, on Tuesday quoted Lt. Cmdr. Anthony Wright from the office of the Chief of Naval Operations as saying that the Joint Common Missile (JCM) was no longer in the Navy's 2008 budget proposal.

Skelton on Defense Budget Proposal

“Members of the House Armed Services Committee are anxious to examine the details of the President’s defense budget proposal and get to work on the Fiscal Year 2010 defense authorization bill. In the current economic climate, it is more important than ever to ensure that each defense dollar is spent wisely and effectively. While many difficult budget and policy decisions are ahead of us, I believe the $533.8 billion requested for defense is a reasonable level which will allow us to support our troops and keep America safe. “I commend the administration for making service members and their families a priority in this budget. I am especially pleased that this year’s budget proposal does not impose new fees on the TRICARE health benefits our service members and their families need.

Federal Budget Proposal Released

The White House issued a Press Release stating that the proposed FY 2005 federal budget has been sent to Congress. As can only occur in Washington, the agencies are lining up to explain how happy they are to have their budgets cut or capped. The Department of Homeland Security (one of the few winners in the battle of the budget) announced that a $3.7 billion increase in funding to $40.2 billion has been proposed for the department for FY05. On border and port security, the budget includes $411 million more than in FY04 for customs and border patrol, immigration and customs enforcement, and the Coast Guard. For seaport security, the president proposed an additional $25 million over last year's funding for the final phase of a pre-screening cargo initiative.

Senator Hollings Offers Budget Proposal

Senator Hollings (D-SC) e is offering an amendment to the budget resolution that would, if adopted, transfer $2 billion of the proposed tax cut to pay for various requirements of the Maritime Transportation Security Act. Under his proposal, $450 million would be allocated for grants to ports and facilities, $150 million would be allocated for states and other entities, and $10 million would be used to develop seaport security training curricula.

DHS Budget Proposal

The U.S. Department of Homeland Security discussed its portion of the FY07 budget request. Among other things, the proposal calls for $139 million for the Container Security Initiative; $55 million for the Customs-Trade Partnership Against Terrorism; $30.3 million for the Cargo Advanced Automated Radiography System; $157 million for acquisition of radiation portal monitors; and $934.4 million for the Coast Guard Integrated Deepwater System.

Proposed Fees Under Attack

Senator Olympia Snowe (R-Maine), chairwoman of the Senate Oceans and Fisheries Subcommittee, told USCG Commandant James Loy the Administration's proposal to impose new taxes on commercial vessel operators will not be considered by Congress. Contained in the USCG's FY 00 budget proposal, the navigational assistance user fee is the same as that proposed and rejected by Congress last year. Charirwoman Snowe took issue with the Administration for sending such a proposal to the Congress as part of the FY 00 budget, when just four months earlier, the Congress enacted legislation prohibiting the USCG from planning, implementing or finalizing any regulation that would promulgate a new user fee on the industry.

USACE Programs Come Under Bush Gaze

The Bush administration may require independent reviews of Army Corps of Engineers' plans for projects that are expensive or controversial to avoid a repeat of the Mississippi River dams study that was found rigged in favor of the project. "The administration is evaluating additional steps, including the need for independent review of Corps planning reports involving controversial or costly projects," the White House said in its fiscal 2002 budget proposal. The Corps is responsible for building dams, flood plains and other public works projects. The president's proposed budget for the federal government included $3.9 billion for the Army Corps of Engineers, a 14 percent cut from last year.

Bush Gives Speech on Homeland Security Budget

With Director of Homeland Security Tom Ridge, Secretary of Transportation Norman Mineta, and a contingent of Coast Guard personnel standing behind him, President Bush delivered a Speech announcing that he intends to seek major budget increases to fund homeland security. The budget proposal to be submitted to Congress will seek $38 billion for homeland security, of which $11 billion would be devoted to controlling the U.S. borders. The President also discussed his admiration for the Coast Guard and its many missions. A fact sheet released by the White House in conjunction with the President's speech indicates that the Coast Guard's budget for homeland security-related missions would be increased by $282 million…

AAPA Sees Just One Bright Spot in President's Fiscal 2015 Budget

Kurt Nagle: Photo credit AAPA

The American Association of Port Authorities (AAPA), on behalf of its United States member seaports, expresses both encouragement and disappointment over the funding levels and programmatic changes in federal port-related programs proposed in the President’s FY 2015 budget. While the President’s budget proposal included funding for a new National Infrastructure Investment program, it also decreases funding for the Corps of Engineers’ modernization and maintenance programs for seaports and eliminates the Environmental Protection Agency’s (EPA) Diesel Emissions Reduction Act grant program.

Homeland Security Budget to Increase by 6%

The fiscal year 2007 homeland security portion of the proposed federal budget has been designed to help enhance the security of America’s borders and improve the enforcement of U.S. immigration laws, according to the Office of Management and Budget (OMB). The fiscal 2007 budget provides $58.3 billion -- a $3.4 billion, 6 percent increase over 2006 -- to support the homeland security activities of 32 government agencies, including the Department of Defense, in areas such as improving nuclear detection and defense; safeguarding critical infrastructure; establishing interoperability standards for first responders; and improving terrorism information sharing among all levels of government.

House OKs Spending

On May 1, 2002, the House Armed Services Committee reported H.R. 4546 out of committee on a bipartisan 57 to 1 vote. The bill authorizes $383.4 billion for the “core” of the fiscal year 2003 defense program, fully funding the President’s non-war budget request. The committee also began work on H.R. 4547, the Cost of War Against Terrorism Authorization Act, but agreed to complete consideration of the legislation at a later date. This second bill will contain the second portion of the President’s defense budget request – approximately $10 billion for items related to the cost of the war against terrorism. This two-bill approach recognizes that America's military will face unprecedented and as yet undefined challenges in the war against terrorism.

Budget Proposal Raises Transport Spending

Overall federal transportation spending would rise by 1.5 percent to $61.93 billion in the coming fiscal year under the White House budget proposal submitted to Congress. However, while total proposed spending is going up, discretionary spending, or the amount of money Congress can adjust from year-to-year, was cut by $2.1 billion to $16.8 billion in the fiscal year that begins Oct. To achieve that savings and spare major aviation, road and mass transit programs from cuts, the Transportation Department would not spend as much money in fiscal 2002 as it plans to spend this year on one-time grants for big projects. The department would also seek further savings through reductions in administrative and other expenses.

Progress Afoot in Wash. State Ferry System

The Joint Legislative Audit and Review Committee (JLARC) has issued a report noting the state ferry system’s progress in meeting legislative requirements for capital cost accounting passed in 2007. The report also pointed out areas where WSF needs to improve, such as indicating why WSF requested funding for assets not in poor condition and including clear and concise reports of asset conditions in budget proposals. “I welcome the findings of the report,” said Assistant Secretary David Moseley. JLARC Audit Coordinator David Dean will present the report titled “State Ferry Terminals: Procedures to Account for and Request Capital Funds Have Improved but Additional Actions Are Needed,” to the JLARC committee today.

Organizations Shoot Down Budget with HSF

The Administration's FY 01 budget request for the USACE' Civil Works program calls for nearly $1 billion in new taxes on the maritime industry to fund a Harbor Services Fund (HSF). The Administration has proposed a replacement for the Harbor Maintenance Tax, which the U.S. Supreme Court declared unconstitutional in March 1998, with a new tax on commercial vessels that use federal navigation channels in U.S. harbors. A variety of maritime organizations reacted strongly to inclusion of the HSF, for the second year in a row, in the Administration's budget proposal. The HSF is included in FY 01 budget request of $4.06 billion. It compares to $4.15 billion in FY 00 appropriated levels.

Bush Budget Boon to Shipyard

Shipbuilding in Pascagoula would gain, but big farms in the Delta would lose under President Bush's $2.9b budget proposal for next year. Released Monday, the budget recommends spending $168m to expand the Strategic Petroleum Reserve, a series of underground salt caverns along the Gulf of Mexico that store millions of gallons of oil to be used in emergencies. The Energy Department has identified the salt caverns near Richton as the preferred site to increase the reserve's storage of oil from 691 million barrels to 1.5 billion barrels. The reserve was tapped in 2005 for more than 20 million barrels of oil to respond to shortages and price spikes following Hurricane Katrina.

WCI Reacts to President's Budget Proposal

The US Waterways Council Inc. (WCI) has mixed feelings about the impact on their sector of President Obama's FY 2014 budget proposals. This budget is steady-state with the overall funding level essentially the continuation of the post-sequester level for the U.S. Army Corps of Engineers’ Civil Works Program at $4.726 billion for FY ’14. While details are still unknown according to Assistant Secretary of the Army for Civil Works Jo-Ellen Darcy, the Administration’s per-vessel user fee proposal remains unwelcome by industry. The proposed level of funding for the Corps’ Operations & Maintenance (O&M) -- $2.588 billion, is encouraging, but the funding level for its Construction account ($135 billion is very disappointing.

FY 01 Civil Works Budget Proposes $4.06B Program

President Clinton's budget transmitted to Congress includes $4.06 billion for the USACE Civil Works program. In addition, the program will include $322 million in non-federal contributions and trust fund receipts. Funding in this request will be used to continue the development of the nation's water resources, the efficient operations, maintenance and management of the nation's navigation, flood damage reduction, and multiple-purpose projects, the equitable regulation of wetlands, and the restoration of important environmental resources such as the South Florida Ecosystem. The budget also begins to address some of the Corp's long-term water resources infrastructure main-tenance requirements.

Navy Leaders Budget for Future Force

President Bush submitted his 2007 fiscal year (FY) budget request to Congress Feb. 6, which included the Navy’s $127 billion budget proposal. The President’s budget request was also accompanied by the recently released Department of Defense’s Quadrennial Defense Review (QDR). The Navy’s proposed budget boasts a $4.4 billion increase from last year’s baseline appropriations. If approved, the FY 07 - FY11 budget provides the necessary funding levels to sustain current readiness, build the fleet for the future and develop the 21st Century Sailor over the next four years. What that means for Sailors and Marines are possible increases in pay and benefits as well as several quality of life improvements.

Port Industry Urges Congress To Fund Investments

During testimony today before the House Transportation and Infrastructure Subcommittee on Water Resources and Environment, port director Erik Stromberg urged Congress to provide adequate funding for deep draft navigation projects. Stromberg is executive director of the North Carolina State Ports Authority in Wilmington, N.C. He testified on behalf of the American Association of Port Authorities, a trade association representing ports in the Western Hemisphere. In his written testimony, Stromberg said U.S. ports are gravely concerned that the Administration's Fiscal Year 2003 (FY 03) budget request does not provide enough funding to keep critical navigation projects on schedule or allow for the start of new projects.

Navy Budgets for Future Force

President Bush submitted his 2007 fiscal year (FY) budget request to Congress recently, which included the Navy's $127 billion budget proposal. The president's budget request was also accompanied by the recently released Department of Defense's Quadrennial Defense Review (QDR). The Navy's proposed budget boasts a $4.4 billion increase from last year's baseline appropriations. If approved, the FY07 - FY11 budget provides the necessary funding levels to sustain current readiness, build the fleet for the future and develop the 21st Century Sailor over the next four years, which means a possible increase in pay and benefits, as well as several quality of life improvements.

AAPA Lobbies For Deeper Harbors

During testimony before the House Transportation and Infrastructure Subcommittee on Water Resources and Environment, port director Erik Stromberg urged Congress to provide adequate funding for deep draft navigation projects. Mr. Stromberg is Executive Director of the North Carolina State Ports Authority in Wilmington, NC. He testified on behalf of the American Association of Port Authorities (AAPA). In his written testimony, Mr. Stromberg said U.S. ports are gravely concerned that the Administration's Fiscal Year 2003 (FY 03) budget request does not provide enough funding to keep critical navigation projects on schedule or allow for the start of new projects.

AAPA Judge the FY 2014 Budget a Support 'Potpouri'

The American Association of Port Authorities (AAPA) consider the FY 2014 Administration Budget contains mixed blessings for the industry. With the release today of President Obama’s fiscal 2014 budget, the American Association of Port Authorities (AAPA)—representing seaports in the United States and throughout the Americas—stated there are both positive and concerning aspects of the budget pertaining to ports and the efficient and secure movement of freight. In regard to modernizing and maintaining America’s port navigation infrastructure, AAPA commends the Administration’s budget request for being $42 million higher than last year’s $848 million request for the coastal navigation portion of the U.S. Army Corps of Engineers’ Civil Works Program.

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