Transcript National Waterways

Returning to Our
National Waterways
Dabney Hegg
U.S. Senate Committee on
Commerce, Science and Transportation
Committee on Commerce, Science and
Transportation
The Committee has jurisdiction over:
• Inland Waterways, Except Construction and Dredging
• Coast Guard
• Interstate Commerce
• Marine and Ocean Navigation
• Merchant Marine
This Translates in Oversight of:
• Coast Guard (navigation, safety, security, vessel documentation, enforcement etc.)
• Maritime Administration (cargo preference, Jones Act, marine highways, port
development)
• U.S. Customs and Border Protection (CBP) (cargo security, and Jones Act
enforcement)
• National Transportation Safety Board (NTSB)
• Federal Maritime Commission (FMC)
• Research and Innovative Technology Administration (RITA)
Freight Transportation
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The U.S. supply chain is a competitive advantage and major economic engine
employing more the 8 million people.
Higher fuel costs, congestion, aging infrastructure are all driving up logistics costs
as a percentage of our GDP.
By 2030 our population is predicted to grow to 364 million, vehicle miles traveled
to grow by 150%, and freight rail to increase by 92%.
By total tonnage, 78 % of domestic freight moves by truck, 16 % by the freight-rail
system, and 6% by barges and coastal shipping.
50% of freight moves to west coast ports from Asia.
Shippers are diversifying their gateways into the United States to use more east
coast and gulf ports such as Savannah, Norfolk and Houston to serve Mid-Atlantic
and Mid-West markets . This industry shift is driven by costs, ease of conducting
business , and minimizing risk.
The widening of the Panama Canal in 2014 will dramatically alter the flow of cargo
from Asia to the United States and will optimize the potential for inland
waterways to be a more significant mode for freight transportation.
North American Rail Network
(Bottlenecks & Congestion Areas)
Major Freight Truck Bottlenecks
America’s Marine Highways:
A solution
Marine Highway Corridors
Easing Congestion
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Energy Independence and
Security Act of 2007
Requires the Secretary of Transportation to establish a
Short Sea Transportation Program that includes:
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Regional Transportation Planning - Encourage the development of multijurisdictional and regional coalitions to focus public and private investments on
maritime transportation
Marine Highway Corridors - Identify and designate regional marine corridors
as an extension of the surface transportation system
Marine Highway Projects – Identify regional maritime transportation projects
on approved marine highway corridors that can provide a public benefit by
transitioning freight off the roads to relieve highway congestion and
transportation bottlenecks
Incentives, Impediments and Solutions - Working with stakeholders and
Congress to identify all necessary means for advancing the program
Vessel Construction - Vessels engaged in Marine Highway operations now
also qualify for Capital Construction Fund benefits
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Next Steps
American Recovery and Reinvestment Act of 2009
• Provides the Secretary of Transportation with $1.5 billion is
discretionary funds for capital investments in our surface
transportation infrastructure.
• Grants States the flexibility to utilize highway formula funds for port
infrastructure development.
Maritime Administration Authorization Act of 2010
• Building on the Energy Policy Act of 2010 by authorizing the
allocation of grants to fund projects identified to support the
development of marine highways
• Support President’s Budget which recommends a start up of this
program of $15 million for Fiscal Year 2010
• Establishes a Port Infrastructure Development Program to assist
States, territories, municipalities, and port facilities, at their request,
with the management and federal coordination of their port
infrastructure development projects
Next Steps Cont….
Harbor Maintenance Tax (HMT) Relief
• S.551 introduce by Senator Lautenberg eliminates the HMT for domestic
moves
Tax Credits
•The Committee is reviewing a proposal to authorize federal tax credits for
shippers that utilize marine highways for the transportation of containerized
freight
National Inland Waterways Information Gateway
•Development of the Marine View information technology system to serve as a
web-based tool to collect, stores, analyzes data and
exchange information relevant to the inland
waterways.