Posted:
June 15, 2016
By Paul Doell
National President
Individual membership investment in the increasingly important American Maritime Officers Voluntary Political Action Fund continues to yield substantial returns for all deep-sea, Great Lakes and inland waters AMO families.
One fresh example arose on Capitol Hill June 8 in connection with a Puerto Rico debt relief bill in the House of Representatives. Meeting late in the evening, the powerful House Rules Committee shot down a last-minute amendment to exempt Puerto Rico from the Jones Act. The next day, the financial aid package for the island commonwealth was approved in the House - with Jones Act jurisdiction intact.
A Jones Act exemption on this specific front would have three immediate and lasting consequences: the permanent displacement of all privately owned and operated U.S. merchant vessels now serving the two-way trade lanes between the U.S. mainland and Puerto Rico and the corresponding loss of the U.S. seagoing jobs these vessels provide - jobs held primarily by AMO engine and deck officers; the preclusion of service by forthcoming U.S. vessels intended for this key domestic market under AMO contract; and the waste of a fortune in private capital investment in new tonnage, efficient new design, innovative technologies and sustained employment by TOTE and Crowley Maritime.
In addition, a Jones Act exemption for Puerto Rico would set a dangerous precedent. It would inspire new demands for local exemptions and encourage Jones Act critics pressing for harmful amendment to or outright repeal of the venerable law.
At this writing, the economic crisis in Puerto Rico was awaiting consideration in the Senate, where the Jones Act has fared well historically, and where the Jones Act's most prominent and persistent critic - Arizona Republican Sen. John McCain - has conceded that U.S. maritime interests represent the strongest obstacle to what he calls Jones Act "reform." But anything can happen in Washington at any time for any reason, and our union will remain vigilant.
Weeks before the positive Puerto Rico-Jones Act development, the House voted 383-41 to torpedo a National Defense Authorization Act amendment that sought a Government Accountability Office study of budget savings that would result from the use of foreign-flagged ships as an alternative to the proven Maritime Security Program - which ensures immediate Department of Defense access to 60 commercial U.S.-flagged and crewed ships for sealift service during prolonged national security emergencies. The MSP represents jobs for AMO engine and deck officers on 15 ships.
In an encouraging related turn, the House Appropriations Committee approved a transportation spending bill that would increase MSP funding from the fiscal 2016 level of $3.5 million per ship to $5 million per ship per year, beginning in fiscal 2017 next October 1.
The full Senate approved its transportation appropriations bill earlier, but with funding short of the House level. The differences on MSP and other matters will be resolved in a House-Senate conference.
We also saw promise on a traditionally difficult issue - funding of the PL-480 "Food for Peace" farm product export program.
Under Title II of PL-480 (the 1954 law that launched this humanitarian aid program), the U.S. buys grains, soybeans and other commodities from private sector agricultural interests and ships them to impoverished countries to ease famine, promote stability and develop diplomatic good will. Current law requires the use of privately owned and operated U.S. merchant ships for delivery of up to 50 percent of these farm goods - although the cargo preference level had been 75 percent between 1985 and 2011.
The damaging effect of the reduced statutory U.S.-flag share of food aid exports is aggravated by a concerted, persistent effort to reconfigure the program itself by diverting money from the purchase and transportation of U.S.-grown commodities to foreign "local and regional purchase," or to substitute cash transfers or vouchers to overseas interests, ostensibly for on-scene famine relief. The White House, the U.S. Agency for International Development, faith-based charities, non-governmental organizations and private volunteer organizations advocate such flawed alternatives to the direct shipment of U.S. commodities to recipient countries in U.S. merchant ships.
The good news is that House and Senate allies of the U.S. merchant fleet have not only prevented such diversion, but also slowed the eight-year decline in the PL-480 food aid budget. For fiscal 2016, Congress increased this budget by $250 million; for fiscal 2017, the House Appropriations Committee approved $1.4 billion (a decrease of less than one percent from the 2016 amount), and the Senate Appropriations Committee approved $1.6 billion. A House-Senate conference will reconcile this and any other differences between the two appropriations bills.
American Maritime Officers - the most recognized, respected and effective maritime interest in Washington - was front and center on these and other issues, and credit for multiple successes goes to AMO members who contribute to the AMO Voluntary Political Action Fund. The non-partisan, non-ideological VPAF works as intended by easing access to the right Congressional offices at the right time for the right reasons, and U.S. maritime policy is our union's exclusive focus on Capitol Hill.
On behalf of the National Executive Board of AMO, I encourage all deep-sea, Great Lakes and inland AMO members and applicants to acknowledge the undeniably direct link between legislative legwork and seagoing job and benefit security by contributing to the AMO Voluntary Political Action Fund as their comfort levels allow.
As always, I welcome questions and comments. I can be reached at headquarters at 954-921-2221, extension 1001, on my cell at 954-881-5651, or toll free at 800-362-0513.
VPAF investments enhance seagoing job and benefit security
By Paul Doell
National President
Individual membership investment in the increasingly important American Maritime Officers Voluntary Political Action Fund continues to yield substantial returns for all deep-sea, Great Lakes and inland waters AMO families.
One fresh example arose on Capitol Hill June 8 in connection with a Puerto Rico debt relief bill in the House of Representatives. Meeting late in the evening, the powerful House Rules Committee shot down a last-minute amendment to exempt Puerto Rico from the Jones Act. The next day, the financial aid package for the island commonwealth was approved in the House - with Jones Act jurisdiction intact.
A Jones Act exemption on this specific front would have three immediate and lasting consequences: the permanent displacement of all privately owned and operated U.S. merchant vessels now serving the two-way trade lanes between the U.S. mainland and Puerto Rico and the corresponding loss of the U.S. seagoing jobs these vessels provide - jobs held primarily by AMO engine and deck officers; the preclusion of service by forthcoming U.S. vessels intended for this key domestic market under AMO contract; and the waste of a fortune in private capital investment in new tonnage, efficient new design, innovative technologies and sustained employment by TOTE and Crowley Maritime.
In addition, a Jones Act exemption for Puerto Rico would set a dangerous precedent. It would inspire new demands for local exemptions and encourage Jones Act critics pressing for harmful amendment to or outright repeal of the venerable law.
At this writing, the economic crisis in Puerto Rico was awaiting consideration in the Senate, where the Jones Act has fared well historically, and where the Jones Act's most prominent and persistent critic - Arizona Republican Sen. John McCain - has conceded that U.S. maritime interests represent the strongest obstacle to what he calls Jones Act "reform." But anything can happen in Washington at any time for any reason, and our union will remain vigilant.
Weeks before the positive Puerto Rico-Jones Act development, the House voted 383-41 to torpedo a National Defense Authorization Act amendment that sought a Government Accountability Office study of budget savings that would result from the use of foreign-flagged ships as an alternative to the proven Maritime Security Program - which ensures immediate Department of Defense access to 60 commercial U.S.-flagged and crewed ships for sealift service during prolonged national security emergencies. The MSP represents jobs for AMO engine and deck officers on 15 ships.
In an encouraging related turn, the House Appropriations Committee approved a transportation spending bill that would increase MSP funding from the fiscal 2016 level of $3.5 million per ship to $5 million per ship per year, beginning in fiscal 2017 next October 1.
The full Senate approved its transportation appropriations bill earlier, but with funding short of the House level. The differences on MSP and other matters will be resolved in a House-Senate conference.
We also saw promise on a traditionally difficult issue - funding of the PL-480 "Food for Peace" farm product export program.
Under Title II of PL-480 (the 1954 law that launched this humanitarian aid program), the U.S. buys grains, soybeans and other commodities from private sector agricultural interests and ships them to impoverished countries to ease famine, promote stability and develop diplomatic good will. Current law requires the use of privately owned and operated U.S. merchant ships for delivery of up to 50 percent of these farm goods - although the cargo preference level had been 75 percent between 1985 and 2011.
The damaging effect of the reduced statutory U.S.-flag share of food aid exports is aggravated by a concerted, persistent effort to reconfigure the program itself by diverting money from the purchase and transportation of U.S.-grown commodities to foreign "local and regional purchase," or to substitute cash transfers or vouchers to overseas interests, ostensibly for on-scene famine relief. The White House, the U.S. Agency for International Development, faith-based charities, non-governmental organizations and private volunteer organizations advocate such flawed alternatives to the direct shipment of U.S. commodities to recipient countries in U.S. merchant ships.
The good news is that House and Senate allies of the U.S. merchant fleet have not only prevented such diversion, but also slowed the eight-year decline in the PL-480 food aid budget. For fiscal 2016, Congress increased this budget by $250 million; for fiscal 2017, the House Appropriations Committee approved $1.4 billion (a decrease of less than one percent from the 2016 amount), and the Senate Appropriations Committee approved $1.6 billion. A House-Senate conference will reconcile this and any other differences between the two appropriations bills.
American Maritime Officers - the most recognized, respected and effective maritime interest in Washington - was front and center on these and other issues, and credit for multiple successes goes to AMO members who contribute to the AMO Voluntary Political Action Fund. The non-partisan, non-ideological VPAF works as intended by easing access to the right Congressional offices at the right time for the right reasons, and U.S. maritime policy is our union's exclusive focus on Capitol Hill.
On behalf of the National Executive Board of AMO, I encourage all deep-sea, Great Lakes and inland AMO members and applicants to acknowledge the undeniably direct link between legislative legwork and seagoing job and benefit security by contributing to the AMO Voluntary Political Action Fund as their comfort levels allow.
As always, I welcome questions and comments. I can be reached at headquarters at 954-921-2221, extension 1001, on my cell at 954-881-5651, or toll free at 800-362-0513.