US Government Accountability Office (GAO)
The GAO, an independent, non-partisan agency that functions as the investigate arm of Congress, recently issued reports relating to various aspects of maritime security, including: mutual recognition of supply chain security standards, 100 percent scanning of maritime cargo containers, the Customs-Trade Partnership Against Terrorism, and Container Security Initiative. According to… [ read more]

White House: US Ocean Action plan issued
President Bush recently delivered remarks on the US Ocean Action Plan. A Fact Sheet on protection of ocean resources was released in that context. Concerning right whales the President said: “And there are going to be new regulations that will be coming to be shortly that require ships to slow down as they approach seaports where these whales are likely to be.”

Department of Homeland Security: Chertoff pushes back on 100 percent scanning
Homeland Security Secretary Michael Chertoff characterised in a recent address attempts to require overseas technology-based inspection of all ocean containers a throwback to “Soviet-style” command-and-control methods. He went on to say government does not have the resources or expertise to physically protect the nation’s entire infrastructure when most of it is in private hands. A better approach, he told an audience at a prominent Washington think tank, would be to set standards and let private industry partners figure out the best way to implement security measures that address their particular vulnerabilities. “It’s simply impossible for the federal government, certainly within any reasonable budget, to take on the responsibility of micromanaging the business operations of every major business activity in the United States, and to supply federal boots on the ground to all of those businesses to reduce vulnerability.” Chertoff’s remarks indicate that the administration is still intent, over the objections of Congress, on implementing the mandate on a limited basis and availing itself of out-clauses to extend the deadline in two-year increments in other port locations. DHS has yet to formally respond to recent letter from Chairman Bennie Thompson (D-Mississippi) asking for an explanation by 11 August on progress towards meeting the box scan deadline, whether there are any continuity plans for the next administration and a definition of high-risk trade corridors.

US Coast Guard : Increase in COFR amounts
The US Coast Guard issued a final rule increasing the levels of financial responsibility that must be demonstrated by owners and operators of certain vessels. The applicable amounts of the Certificates of Financial Responsibility (COFRs) are being increased in order to be consistent with recent statutory increases in the limits of liability. The amendments implement changes in the Coast Guard’s administration of the COFR program and clarify the current rule. The amendment eliminates the requirement that the original of the COFR be carried onboard the vessel and increases the fees for obtaining COFRs. The changes come into effect on 17 October and vessels subject to the COFR requirement must have COFRs in the new appropriate amount by 15 January 2009.

TSA: TWIC update
The Transportation Security Administration (TSA) issued another update on the status of the implementation of the Transportation Worker Identification Credential (TWIC) programme. As of 19 September, 511,294 maritime workers have enrolled for a TWIC and 332,909 cards have been activated. Over one million workers require the identification but less than one-third of them have been issued the cards to date. Another six months at the minimum is needed before card readers ready at ports.

Environmental Protection Agenc: Hazard waste shipment regulations issued
The Environmental Protection Agency (EPA) issued a news release proposing revisions to regulatory requirements for hazardous waste shipments between countries to ensure that recovery is done in an environmentally sound and economically efficient manner. The proposed changes would make domestic regulations consistent with those of the OECD. The full text of the proposal will be published shortly.

Federal Maritime Commission: Investigation into marine terminal practices
The Federal Maritime Commission (FMC) issued a news release stating that it has initiated an investigation to determine whether certain practices of the Ports of Los Angeles and Long Beach violate the Shipping Act of 1984. The Order of Investigation cites practices that include the employee-driver mandate, incentive payments, and provisions for denying access to marine terminal facilities to certain harbour trucking providers. Commissioner Brennan issued a statement opposing the investigation.

National Oceanic and Atmospheric Administration (NOAA): Administrator resigns
The National Oceanic and Atmospheric Administration (NOAA) issued a news release stating that NOAA Administrator Conrad Lautenbacher is resigning from his position, effective 31 October.

The Maritime Administration (MARAD): going green
MARAD released a presentation delivered by Maritime Administrator Sean Connaughton on environmental challenges facing the maritime industry. In the speech, Connaughton proposes moving toward more intelligent and efficient ocean transportation.

US Committee on the Marine Tranportation System (CMTS): National strategy on marine transportation system released
CMTS released the National Strategy for the Marine Transportation System. The National Strategy (a “policy framework”) provides an overview of the various components of the system (e.g., waterways, ports, intermodal connections, vessels, and users). The multi-agency paper recommends the examination of alternative approaches to funding important infrastructure: possible approaches include fees, taxes, and general revenue contributions. One possible method might include congestion pricing. The various alternatives must consider environmental and health costs, promotion of economic efficiency, and the avoidance of unfair competitive disadvantages.

CONGRESSIONAL ACTIVITY

Hearing on TWIC
The Subcommittee on Border, Maritime and Global Counterterrorism of the House Committee on Homeland Security held a hearing on the Transportation Worker Identification Credential (TWIC) programme. Chairman Bennie Thompson (D-Mississippi) expressed concern about missed deadlines, as did other members. James Watson, US Coast Guard, explained a variety of complexities of the programme and how enforcement is being implemented; Maurine Fanguy, Transportation Security Administration, testified that 149 fixed enrolment centres are in operation and numerous mobile one are being deployed; and Stephen Lord, GAO, told members that progress has been made in the TWIC program, but that additional testing is necessary to ensure that all key components work effectively.

Partisan shots on 9/11 anniversary
The Majority Staffs of the House Committee on Homeland Security and the House Committee on Foreign Affairs issued a report on the seventh anniversary of the attacks of 9/11 highly critical of the Bush Administration’s record in protecting the homeland. It faults the Department of Homeland Security (DHS) on scanning, claiming it has “not acted in a manner that is likely to result in the fulfilment the mandate.” DHS responded with a Fact Sheet outlining measures it has taken to enhance security at land and seaports of entry, such as installing advanced radiation detection equipment.

Container fee legislation introduced
Representative Richardson (D-California) introduced the Making Opportunities Via Efficient and More Effective National Transportation Act of 2008, or the MOVEMENT Act of 2008 (HR. 7002). The bill would establish a fee of $25 per TEU on imported containers, to be paid by cargo owners, in order to fund infrastructure projects to improve the movement of goods, enhance transportation security, and mitigate environmental damage caused by port activity. (see also “Other” below).

Treaties sent to Senate floor for ratification
The Protocol of 2005 to the Convention for the Suppression of Unlawful Acts against the Safety of Maritime Navigation (the “2005 SUA Protocol”) and the Protocol of 2005 to the Protocol for the Suppression of Unlawful Acts against the Safety of Fixed Platforms Located on the Continental Shelf (the “2005 Fixed Platforms Protocol”), signed by the US on 17 February 2006, were agreed to in the Senate as part of its advice and consent authority. The International Convention on Control of Harmful Anti-Fouling Systems on Ships also received the Senate’s advice and consent.

OTHERS
Schwarzenegger vetoes container fees
California Governor Arnold Schwarzenegger vetoed legislation that would have imposed a fee of $30 per TEU on marine containers processed in the Ports of Los Angeles, Long Beach, and Oakland. The Governor said that the bill that did not provide assurances that projects funded by the fee would achieve the stated goals of mitigating environmental impacts. Media reports suggest that the upcoming presidential elections and interests at stake played a role in the governor’s decision-making.