AFL-CIO Marine Trades Department---Mr. Frances Pecquex---Member
American Association of Port Authorities---Mr. Bernard Groseclose, Jr.---Member
American Great Lakes Ports Association---Mr. Steve Pfeiffer---Member
American Pilots' ’s Association---Capt.Michael Watson---Member
Boat Owners Assoc. of the U.S. (Boat US)---Mr. Robert Nelson---Member
Center for Marine Conservation---Adm. Roger Rufe---Member
Chamber of Shipping of America---Mr. Charles Kurz---Member
Conf. of Minority Transportation Officials---Dr. Gwendolyn Harris-Gal---Member
Dredging Contractors of America--- Mark Sickles---Alternate
Inland Rivers, Ports and Terminals, Inc.--- Mr. James R. McCarville---Member
International Longshore &Warehouse Union---Ms. Terri Mast---Member
INTERTANKO---Mr. Richard du Moulin---Member
MIT Center for Transportation Studies---Prof. Henry Marcus---Member
National Association of Counties---Ms. Rene Mansho---Member
National Association of Regional Councils---Ms. Peggy Tadej---Alternate
National Association Waterfront Employers---Mr. Patrick Hall---Member
National Industrial TransportationLeague---Mr. Looman Stingo---Member
National Mining Association--- Mr. Gary Dadisman---Alternate
North American Export Grain Assoc. Inc.---Mr. Barry Schechtman---Alternate
Organization of Women in Int’l Trade---Ms. Victoria Stevens---Member
Pacific Maritime Association---Mr. Joseph Miniace---Member
Passenger Vessel Association---Mr. Dick Purinton---Alternate
U.S. Chamber of Commerce---Mr. Don Tieken---Member
United States Maritime Alliance, Ltd.--- Mr. Chuck Raymond---Member
MARAD Personnel Present
Margaret Blum, Associate Administrator for Port, Intermodal and Environmental Activities
Raymond Barberesi, Director, Office of Ports and Domestic Shipping
***
Action Items on Agenda:
Chairman, Chuck Raymond opened the meeting and welcomed the group on behalf of the United States Merchant Marine Academy and MARAD.
February 2, 2001 MTSNAC Meeting Minutes Approved
The first order of business was to approve the minutes from the February 2, 2001 MTSNAC meeting held in Charleston, South Carolina. Charles Kurz II made a motion to approve the minutes which was seconded by Donald Tieken. The motion passed.
Past Resolutions
Carol Lambos was asked to report on the two resolutions from the previous meeting. The first one sought the recognition of the term "Team" as a means of referring to council subcommittees. It was reported that this recognition has been incorporated in the revised council procedures document that the council will be asked to vote on at this meeting. The second resolution concerned team meeting minutes. It was resolved that only team meeting minutes that have been properly discussed and reviewed in the public forum should be posted on the MTSNAC website and if so posted should be posted with an appropriate disclaimer.
Approve Council Procedures
The next order of business was to approve the council procedures document that had been reviewed and revised by the full council at the February meeting. Michael Watson raised certain issues about the procedures which were discussed. As a result the following amendments to the revised council procedures document were suggested:
Under Resolutions section–The sentence that previously stated "[w]hile Council votes are generally taken at full Council meetings, certain Council votes may be taken in between meetings[]", shall be revised to state:
While Council votes are generally taken at full Council meetings, certain Council votes may be taken in between meetings provided that it has been discussed in the public forum.
Under Team Members section–The sentence that states "[t]he Chair has the discretion to approve the list or suggest alternates[,]" has been redacted. The sentence that states "[t]eam leaders should submit a list of team members to the Chair[,]" shall be revised to state:
Team leaders should submit a list of team members to the Chair for informational purposes.
Under Team Meetings section–The sentence that states "[t]eam meetings to not have to be opened to the public[,]" has been redacted. This is subject to clarification from FACA.
Under Action Plans section–The sentence that states "[a]ny action plans adopted by a team should be submitted to the Chair for review and approval to avoid unnecessary duplication of efforts[,]" shall be revised to state:
Any action plans adopted by a team should be submitted to the Chair
for review and approval to avoid unnecessary duplication of efforts prior
to the submission to the MTSNAC as a whole.
Under Team Meeting Minutes section–The sentence that states "[i]t is within the discretion of the Chair to release any team meeting minutes for publication on the MTSNAC website[,]" has been redacted.
Under Council Team-Resolutions–The sentence that states "[i]t is recommended that any team-generated resolutions be submitted to the Chair at least one week prior to the full Council meeting[,]" shall be revised to state:
It is recommended that any team-generated resolutions be submitted
to the Chair and council at least one two weeks
prior to the full Council meeting.
MTSNAC Resolution 1.
Michael Watson made a motion that the above suggested revisions be adopted into the council procedures document and that the so revised council procedures document be adopted by the council. Terri Mast seconded the motion and the motion was approved.
Sponsor’s Remarks
Maggie Blum addressed the council on behalf of MARAD. She thanked the Academy for hosting the meeting and informed the council that its efforts are being taken seriously in Washington. She further stated that the awareness of MTS issues is beginning to broaden and that the Secretary of Transportation appears to be committed to maritime issues.
Ray Barberesireported on the six action items from the last meeting which were to:
MTSNAC Resolution 2.
Charles Kurz noted that Secretary Mineta’s impending visit should bring media attention to this MTSNAC meeting. As such, he suggested that the council designate an appropriate spokesperson to handle inquiries from the media. Accordingly, Charles Kurz made a motion that the Chair act as spokesperson for any media discussion related to the Secretary’s visit. Barry Schechterman seconded the motion and it was approved. Action Item 1. The Chair Reports on His Meeting With Secretary Mineta
On March 9, 2001, the Chair and Vice Chair as well as Maggie Blum
and Ray Barberesi met with Secretary of Transportation, Norman Y. Mineta in
Washington, DC. The Chair reported that they had a very positive meeting with the
Secretary who afforded them an hour and half of his time and displayed a good grasp of
maritime issues. In addition, the Chair indicated that they discussed funding for the
council and awareness issues. The Secretary was familiar with the White Paper and asked
questions about it. The group also had a discussion about a potential SEA-21 initiative
and what form that should take. The Chair invited the Secretary to attend the next council
meeting.
Action Item 2. One Year Review, Council Time Line and
Resolutions Procedures
Carol Lambos made a presentation highlighting the considerable accomplishments of the first year of the MTSNAC. The presentation focused on the areas of council governance, awareness and communications with the Secretary of Transportation. While it was noted that considerable time and effort was dedicated to council governance issues during this formative year, a strong foundation has been created and significant achievements were accomplished in the awareness area which was the council’s number one priority. Gwen Harris-Gale indicated that another accomplishment of the council should be included under the awareness heading. That was the participation of several MTSNAC members in the Federal Transportation Advisory Group’s, a group established by the National Science and Technology Council, efforts to publish Vision 2050: An Integrated National Transportation System. This publication was presented to President Bush in February, 2001. The report will be amended to reflect this additional achievement.
In an effort to maximize council efficiency, a time line for future action was introduced for discussion. The time line assumed semi-annual reporting to the Secretary of Transportation as well as full council meeting in May, September and February. It suggested an appropriate time frame for team meetings and reports that will ensure that future reports to the Secretary are timely and reflect the input of the council. It is also intended to put council members on notice of impending reports to the Secretary.
Carol Lambos also introduced for discussion a draft document suggesting procedures for MTSNAC team reporting and resolutions. The purpose of the paper was to assist council teams in preparing reports for presentation to the full council and ultimately for inclusion in future reports to the Secretary of Transportation. It suggested a two-tier process that recognizes that the full council might not be as familiar with issues of importance to a specific team and would require certain background information before authorizing a team to study an issue. Moreover, it is intended to permit council members to have input into the work of various council teams.
Action Item 3. Team Reports
AWARENESS–JOE MINIACE/ TEAM LEADER
Joe Miniace thanked everyone for their contributions to the White Paper. He recognized the accomplishments of his committee in assisting in the preparation of the White Paper and their efforts in increasing MTS awareness. While it was noted that all submissions received were reviewed and incorporated within the paper, it is anticipated that the additional submissions received would have to be incorporated as well. However, Joe indicated that it was imperative that the paper’s length be kept to 20 pages.
Comments: Michael Watson mentioned that he hoped the paper would discuss labor shortages and training. Rene Mansho stated that it is important to get the White Paper into the hands of as many people as possible because it gives the council a platform for discussion. Francis Pecquex noted that in getting the issues out the message must be clear and concise but it should not contain information that is adverse to workers in the United States.
INFRASTRUCTURE TEAM–CHUCK CARROLL/TEAM COORDINATOR
Chuck Carroll reported for the Infrastructure Team and stated that the Team has had three meetings. He noted that the team has split itself up into landside and waterside interests. Jean Godwin of the AAPA will coordinate the waterside effort and Jim McCarville will coordinate the landside effort. Chuck then introduced the business that the team had to bring before the council which consisted of two proposed resolutions and one letter for Secretary Mineta.
Infrastructure Team–Resolution 1 (MTSNAC Resolution 3)
MTSNAC RESOLUTION REQUESTING THAT THE FEDERAL INTERAGENCY COMMITTEE for MTS BE REQUESTED TO PREPARE A COMPREHENSIVE AND AUTHORITATIVE NEEDS-BASED ASSESSMENT OF EACH COMPONENT MODE OF THE MTS INFRASTRUCTURE
WHEREAS, many of the Agencies of the Federal Interagency Committee have conducted recent studies on various sectors of the MTS, and WHEREAS, no single comprehensive and authoritative study assessing the future needs and funding of the MTS presently exists,
BE IT RESOLVED that the MTSNAC requests that the Secretary of Transportation direct the appropriate Agencies comprising the Federal Interagency MTS Committee to conduct and issue a thorough needs-based assessment of each federal and non-federal component mode of the MTS, documenting: 1) the prerequisites necessary to enable the MTS in its entirety to meet projected traffic demands in a manner consistent with the MTS Vision Statement; 2) the impact on non-MTS transportation modes should future infrastructure disruption/failure occur at critical points in the MTS, and 3) an appraisal of the funding required to ensure the MTS meeting the goals of the MTS Vision Statement.
BE IT FURTHER RESOLVED that the MTSNAC supports the MTS Research and Technology User Needs Study under consideration by the Interagency Committee on the MTS Research and Technology subcommittee as an important first step.
Discussion: There was discussion of this issue. Jeffrey High the Chair of the Interagency Committee on the Marine Transportation System ("ICMTS") indicated that his group was looking forward to doing this but would need private support. The MTSNAC Information Technology and Research and Development Team by way of its Chairs Hank Marcus and Bernie Groseclose indicated its support of this proposed resolution.
Pat Hall made a motion that the full council adopt this resolution. Jim McCarville seconded the motion and the motion was approved.
Infrastructure Team–Resolution 2 (MTSNAC Resolution 4)
MTSNAC RESOLUTION REQUESTING THAT
SUFFICIENT FUNDING BE PROVIDED TO ADDRESS THE NEEDS
OF THE MARINE TRANSPORTATION SYSTEM
WHEREAS, planners for the U.S. Department of Transportation ("DOT") expect the total freight demand will increase by 89% by the year 2020; and WHEREAS, our ports and waterways, carrying 2.3 billion tons of cargo a year and growing, are subjected to increasing demands to operate safely and efficiently within the context of stricter environmental requirements and new demands for recreational and passenger use of the water space; and
WHEREAS, investments in our national public water resource infrastructure has declined from 1.1% of GDP in 1960 to about 0.2% in 2000, and, spending in the Corps of Engineers civil works budget has declined 43% in real dollars from 1980 to 1996, and, that the budget submitted to Congress on April 9, 2001 continued these trends with an additional 14% cut in the Corps of Engineers budget; and
WHEREAS, MTS related investments of other federal agencies, such as U.S. Coast Guard, NOAA, MARAD, Customs, and others, are faced with similar budget pressures due to growing requirements and inadequate budgets; and WHEREAS, the Marine Transportation System National Advisory Council, and its predecessor the MTS Task Force have been working with the DOT to produce the Economic Growth and the U.S. Marine Transportation System ("White Paper") 2001, The Assessment of the U.S. Marine Transportation System, 1999,
and the Proceedings of the National Conference on the Marine Transportation System, 1998, to effectively integrate port and waterway infrastructure and info-structure to minimize multi-modal congestion and maximize national competitiveness; and
WHEREAS, the MTSNAC White Paper has previously stated that "to adequately handle the projected growth in cargo and in other uses of the system, the critical capacity issues at the coastal ports as well as the inland waterways must be addressed; therefore,
BE IT RESOLVED that the MTSNAC adopt as a policy statement of the council, that it requests that sufficient funding be provided to maintain and improve our maritime transportation system as a critical component of our strategy to minimize congestion and maximize national competitiveness and that in the next report of the MTSNAC to the Secretary that this recommendation be included.
For reference attach:
Economic Growth and the U.S. Marine Transportation System ("White Paper") 2001, pp. 10-16
The Assessment of the U.S. Marine Transportation System, 1999, pp 49-53, 77-98
Proceedings of the National Conference on the Marine Transportation System, 1998, pp. 51-55, 60-68
Discussion: Discussion on the proposed resolution ensued. Michael Watson commented that this was a worthy resolution and appropriate in its support of the relevant governmental agencies. Charles Kurz indicated that this resolution was similar to one his team was working on and that it would be appropriate to combine the two resolutions.
Charles Kurz moved to adopt the second Infrastructure Team resolution. Mark Sickles seconded the motion and the motion was approved.
Letter to Secretary Mineta–Infrastructure Team Resolution 3 (MTSNAC Resolution 5)
The Infrastructure Team recommended that the following letter be sent to Secretary Mineta:
Dear Mr. Secretary:
We appreciate your expressions of support for the Marine Transportation System and particularly the work of the MTS National Advisory Council. Your participation in the recent Council meeting was very much appreciated, and we look forward to working with you on the various issues of concern that were discussed.
As the MTS report to Congress makes clear, the ability of the MTS to handle the emerging needs of tomorrow will be severely challenged due to growing levels of demand, shifting user requirements, and other factors. As you recently reiterated in your testimony before the House Transportation and Infrastructure Committee, we need to step up to the challenges of addressing port congestion and improving our marine transportation system. We hope that you will continue to carry that message, within the Administration and to the Congress and the general public.
The MTS report highlights the variety of federal, state and local responsibilities for the development of the system and the need for enhanced coordination. At the federal level, coordination through the Interagency Committee on the MTS is starting to make a difference; however, it remains critical for you to take an active role as an advocate for the MTS system as a whole, including programs not within the direct responsibility of the Department of Transportation.
This support is critical in the near-term, particularly in the context of the federal budget process. For example, under the proposed Administration budget, the funds available for U.S. Army Corps of Engineers would be severely reduced--the proposed nearly 14% cut in the Corps budget is higher than budget reductions proposed for any other federal agency. The proposed budget provides for no new construction project starts even as international trade is projected to at least double by 2020. This budget falls far short of meeting the nation’s water resources infrastructure needs, and will further delay critically-needed improvements.
When past Administrations have proposed to cut the Corps budget, Congress has restored the funds. However, this causes waste and inefficiency as the agency may have to operate for months under the assumption that its budget will be cut then quickly shift gears at the 11th hour when and if funds are restored. In addition, these shifts wreak havoc on the ability of local sponsors, who co-sponsor these projects with significant amounts of local matching funds, to predict the needs and line up their resources.
The development of the MTS has always been a partnership between federal, state and local governments. To put is simply, the federal government must act as a more responsible partner. As the budget process continues, we urge you work within the Administration to bolster support and provide adequate budgets for the variety of federal programs so critical to the marine transportation system. Thank you.
Discussion: It was recommended that this letter not wait for a formal report to the Secretary and that it should be sent promptly.
Jim McCarville moved that this letter be sent to Secretary Mineta under Chuck Raymond’s signature as Chair of the MTSNAC. The motion was seconded by Don Tieken and the motion was approved.
Infrastructure Team–Other Business–MTSNAC Resolution 6.
Chuck Carroll raised an issue that had been brought to his attention concerning the interests of the ship building community. Ship building was not an issue that was considered by the MTSNAC in creating its team structure. Discussion ensued concerning ship building and its importance to the MTS.
Pat Hall made a motion that a Ship Building team be created. Rene Mansho seconded the motion and the motion was approved. The Chair indicated that he would discuss this issue with the sponsor to determine how this will be done.
Chuck Carroll also brought up another infrastructure related issue concerning intermodal connectors and the tendering of intermodal equipment. He requested permission to create a task force to prepare a position paper on the issue. The Chair indicated that this was an issue appropriate for the Infrastructure Team to examine and report on.
BREAK
RETURN FROM BREAK
The Chair thanked Ingram Barge Company and American Waterways Operators for sponsoring the refreshments served during the coffee break.
SAFETY & ENVIRONMENT–CHARLES KURZ II/TEAM LEADER
Charles Kurz reported for the team and indicated that the team had met twice since the Charleston meeting and that the size of the team has increased. He noted that the next team meeting will be on June 7, 2001 and he thanked Jon Benner for hosting that meeting. He further thanked Jean Schneider Snider, the Chair of the ICMTS Safety and Environment Committee for her kind assistance.
The minutes from the team’s March meeting were distributed and Charles Kurz moved that they be accepted by the full counselcouncil. Bernie Groseclose seconded the motion and the motion was unanimously.
Charles Kurz mentioned that he attended the Third National Harbor Safety Conference with Chuck Raymond and Joe Miniace. He further mentioned that the next meeting will be in Houston and recommended attendance at this meeting for the unique opportunities for discussion available.
De-Criminalization of Accidents–Safety and Environment Team Resolution 1 (MTSNAC Resolution 7)
Charles Kurz moved for a resolution that:
Criminal liability for marine pollution incidents should be employed only where a discharge is caused by conduct that is grossly negligent, reckless, or intentional. Mariners, corporations, and corporate officers who engage in reasonable conduct intended to comply with the law should not be subject to criminal prosecution. The MTSNAC authorizes the Safety and Environment Team to study and report on the issue with the intention of including the report into a subsequent presentation to the Secretary of Transportation.
Richard du Moulin seconded the motion.
Discussion: Admiral Roger Rufe raised concerns about the lack of data to support the argument that the subject criminal penalties are keeping qualified people from the industry. Richard du Moulin indicated that Admiral North is aware of the situation and the impact to the industry has been significant and that MARAD and the Coast Guard will be addressing the issue at an upcoming conference. A discussion ensued concerning the de-criminalization of accidents. The Safety and Environment Team is seeking a resolution that the issue be accepted by the MTSNAC for review. Chuck Raymond indicated that this issue might also be studied by the Human Resources Team. Michael Watson indicated that his team will look at the issue as well.
The Chair asked for a vote on the resolution. The resolution was passed.
Safe Navigation Programs–Safety and Environment Team Resolution 2 (MTSNAC Resolution 8)
Charles Kurz introduced another resolution requesting that:
MTSNAC advise the Secretary of Transportation that:
1. MTSNAC recognizes that NOAA’s Promote Safe Navigation programs are essential to the MTS and that additional levels of administrative support and funding are required if the programs are to help achieve the MTS vision.
2. MTSNAC recommends that the Secretary of Transportation recommends to the Secretary of Commerce, the Under Secretary of Commerce for Oceans and Atmosphere and NOAA Administrator, and the Federal Interagency Committee for the Marine Transportation System ("ICMTS"), specifically endorse NOAA’s Safe Navigation Programs as essential to the MTS and work to secure adequate funding for expanding these programs;
3. MTSNAC recommends that NOAA’s Promote Safe Navigation Programs be funded, at a minimum, at the authorized levels in the Hydrographic Services Improvement Act of 1998 and that the levels be increased in coming budget cycles;
4. MTSNAC recommends that the PORTS program be expanded into a nationwide system with a specific timetable for the installation of PORTS systems in each of the nation’s major ports and waterways; and
5. MTSNAC recommends that NOAA accelerate its plan to eliminate the backlog of hydrographic survey data for critical navigation areas and provide data for Electronic Navigation Charts ("Encs) with specific timetables for data collection.
Admiral Rufe moved to adopt the resolution. Jim McCarville seconded the motion and the motion was passed.
Lastly, Charles Kurz mentioned the upcoming National Safety Council awards on June 14, 2001.
INFORMATION TECHNOLOGY AND R & D–BERNIE GROSECLOSE and HANK MARCUS/TEAM LEADERS
Team leaders Hank Marcus and Bernie Groseclose took the opportunity to thank the Infrastructure Team for amending its resolution to include info-structure issues. They discussed the needs for a user need study in the R & T area and indicated support for NOAA’s efforts in this area. Moreover, the National Academy of Science R & T conference to be held on November 14-16, 2001 was noted.
Hank Marcus noted five areas in which the team intends to focus its work: 1) quantifying benefits of using information technology for ports; 2) safety and standardization; 3) weather; 4) under keel clearance; and 5) national working groups for all modes of transportation.
HUMAN RESOURCES–CAPT. MICHAEL WATSON/TEAM LEADER
Michael Watson mentioned that the work of this Team is beginning and that it will report on issues that have been directed to it such as fatigue and near miss reporting. He also mentioned the May 23-24, 2001 conference on recruitment and training and indicated that he would report on this meeting.
SECURITY–CHUCK RAYMOND/TEAM LEADER
Team Leader, Chuck Raymond asked Carol Lambos to report for the Team. She introduced the minutes from the Team’s January 19, 2001 meeting. Chuck Raymond asked for a motion that the minutes be accepted by the full council. Joe Miniace so moved and Rene Mansho seconded. The motion was passed and the minutes accepted.
Seaport Security –Security Team Resolution 1 (MTSNAC Resolution 9)
Carol Lambos then reported on the Team’s April 26, 2001 meeting held in New York. That meeting addressed proposed federal legislation regarding seaport crime and security and the Team proposed the following resolution:
The MTSNAC authorizes the preparation of a position paper concerning the impact of the Report of the Interagency Commission on Crime and Security in U.S. Seaports ("Gov’t Report") and proposed enabling legislation on the MTS. The position paper is to be prepared by the Security Team and will be submitted to the full council for review and discussion. If adopted by the full council, the position paper will become a part of the council’s report to the Secretary.
Rene Mansho moved that the resolution be accepted. Pat Hall seconded and the resolution was passed.
Agenda Items
Gary Magnussen Magnuson from NOAA made a presentation about the MTS Industry Fair being held in Washington, DC on June 19-20, 2001. He suggested that MTS stakeholders get involved.
MTSNAC Terms and Election of Chair and Vice Chair
Chuck Raymond opened a discussion about a letter to MARAD concerning the terms of current MTSNAC members. The letter requested that MARAD extend the current terms of all MTSNAC members given the fact that the first year of the council was dedicated to administrative issues. He indicated that there has been no formal response from MARAD about this request. Michael Watson asked the sponsor which entities are scheduled for the first rotation. Maggie Blum responded that at present there was no scheduled rotation list.
This issue of the term of office for the current Chair and Vice Chair was also discussed. Chuck Raymond indicated that if the council terms were not extended and new members chosen then that council configuration should be entitled to elect their own Chair and Vice Chair. However, if the current council configuration elected him to serve he would be glad to do so. Rene Mansho moved to extend the term of Chuck Raymond and Chair of the MTSNAC. Gwen Harris-Gale seconded the motion and the motion was passed unanimously. Joe Miniace moved that the term of Frank Sims as council Vice Chair be extended as well. Pat Hall seconded the motion and the motion passed unanimously. Chuck Raymond thanked the council for their support.
Admiral Stewart
Admiral Stewart was invited to address the council and make a presentation about the United States Merchant Marine Academy. The presentation informed the council about the school and the training the students receive and the opportunities for employment that are available.
The meeting was adjourned to be reconvened the next day.
DAY TWO--MAY 4, 2001
Chuck Raymond reconvened the meeting at 9:00 am.
Action Item 6. Schedule Next Council Meeting
A discussion ensued regarding the scheduling of the September MTSNAC meeting to be held in Baltimore. It was indicated that as soon as a date was finalized a notice would be sent out.
Report from the ICMTSJeff High the Chair of the ICMTS made a presentation about the work of the federal interagency committee. He provided insight into a potential area for funding for a proposed SEA-21 initiative. That funding would come from unaccounted for future increases in customs duties that will occur as a result of increasing cargo volume. He also solicited the input from the various MTSNAC teams as he noted that two councils have similar agendas. He suggested better links between the councils. The issue of awareness was raised and Jeff High indicated that the ICMTS is working on a press kit that will be made available for distribution.
White Paper Discussion
Joe Miniace was asked to give a status report on the White Paper. He indicated that the primary focus of the paper was to educate individuals and entities that are unaware of the importance of the MTS to the national economy. He stated that while the paper was essentially complete, he would accommodate suggestions and revisions before finalizing the paper and he asked that those revisions should be sent to him. He further indicated that future versions of the paper could be created if directed by the council.
Gwen Harris-Gale commented that she was pleased that her comments were incorporated into the paper. Chuck Raymond indicated that while we have a paper that points out issues, we need to think in terms of recommendations which we need to formulate.
A discussion ensued about the White Paper and its intended audience. Joe Miniace stated that the future direction of the White Paper will come from the other Teams.
Michael Watson asked whether this paper would be circulated. Chuck Raymond indicated that the task assigned to the Awareness Team was to create a paper for the Transition Team. That task was accomplished and now we have a paper that can be usual used for many purposes. It is anticipated that council members will want to use the paper for promoting MTS issues.
BREAK
Chuck Raymond thanked Steve Pfeiffer and the American Great Lakes Port Association for sponsoring the refreshments served during the coffee break. In addition, Chuck Raymond informed the council of the death of Roger Murphy, a MTSNAC representative from the Passenger Vessel Association and requested authorization to send a letter of condolence to Mrs Murphy. The council authorized the letter.
Action Item 4. and 5. SEA-21 and Long Term Priorities
Raymond Barberesi gave a brief introduction to what a SEA-21 initiative would entail. A discussion ensued. Chuck Raymond stated that the subject of SEA-21 came up during his meeting with Secretary Mineta and that the Secretary appeared to be interested in pursuing the concept.
Don Tieken commented on the competitiveness of ports. He questioned whether ports should be competing or developing unique capabilities. Bernie Groseclose responded that generally terminal development is not a federal spending item and that ports need to be developed to relieve pressure from the over-the-road system. Chuck Raymond stated that often commercial issues drive government expenditures. Robert Nelson suggested that any funding scheme should consider a system-wide approach. Looman Stingo stated that attention should be paid to regional areas as potential connectors.
Chuck Raymond raised the question of whether it is appropriate to design a MTS or to let it evolve and would we be more comfortable with a government driven plan or a commercially driven plan. Hank Marcus commented that the government cannot create a an appropriate plan without guidance from the commercial sector. Mark Sickles stated that environmental complications have become a limiting factor in infrastructure rehabilitation. Pat Hall stated that we need to guide the federal government to the appropriate action. Rene Mansho declared that the money that the system provides to the general revenue should be returned in the form of infrastructure improvements.
Dick Furnton Purinton remarked that a strong argument should be made for the construction of passenger vessels to relieve over-the-road congestion. Michael Watson mentioned that an examination of what is causing port congestion must be undertaken and that perhaps the size of ships should be limited. He remarked that many infrastructure issues could be addressed if the carriers adapt. Mark Sickles inquired as to what would be the source of funding for a SEA-21. Jim McCarville responded that perhaps funding could flow as a result of the public benefits that a conversion to water transportation would bring. This funding might come in the form of tax credits or incentives. Moreover, he indicated that MTS stakeholders should get more aggressive about demanding a reasonable share of the $22 billion in revenues generated by the system. Don Tieken raised the issue that the truckers might not be receptive to using water as an alternative to over-the-road transportation. Charles Kurz stated that issues related to national defense and energy policy should not be forgotten. Steve Pfeiffer agreed and noted that the environmental slant will get notice and there would be an advantage if water uses the least amount of energy per ton mile. Rene Mansho reiterated that according to the General Accounting Office report $22 billion in revenues attributable to the MTS went into the general fund of the United States and that the MTS should demand its fair share. With regard to the issue of user fees, Richard du Moulin stated that often user fees put unfair burdens on carriers that serve the public good and it is up to the nation to provide safe ports.
Chuck Raymond reminded the council that the Secretary will asking questions on 3 or 4 themes. One theme is the congestion on the I-5 and I-95 corridors and to what extent can we move this over-the-road capacity to water. Victoria Stevens noted that she did not see the entire system being used effectively. Richard du Moulin stated that waterborne alternatives are viable if time issues were addressed through enhanced terminal efficiencies. Chuck Raymond stated that there needs to be incentives for solving the empty container problem and by doing this part of the over-the-road congestion problem can be solved. Steve Pfeiffer remarked that the in-land waterway system is under utilized to more move this cargo.
Public Comment Period
The public was invited to comment. Joe Lemma of the National Mining Association noted that appropriations are needed for the Army Corps of Engineers for maintenance dredging funds and in-land waterways improvements. He complimented MARAD for having shippers represented on the council. He also pointed out the strategic role of the in-land waterways system in delivering coal, a strategic component of this nation’s energy policy.
Bob McEllerath, Vice President of the ILWU noted that the MTS is not just about infrastructure but it also about people. He also asked about the potential distribution of the White Paper.
Patrick Newman, United States Coast Guard Academy, discussed the Oceans Act of 2000 and noted the creation of a Presidential commission to coordinate national ocean policy. He further noted that issues confronting the oceans have changed dramatically since the sixties. He suggested that the MTSNAC should announce clear a policy position so this new commission is aware of it.
Jose Feminia Femenia of the United States Merchant Marine Academy stated that maritime education is in peril because young people do not want to go into the marine field. He urged that we encourage graduate studies in the field to keep research current.
Bernie Jacobson of the Passenger Vessel Association remarked on the progress made in the area of passenger ferry systems to alleviate over-the-road congestion. He particularly noted systems in San Francisco, CA, Washington, DC and Glen Cove, NY. He said that data on the extent of the passenger ferry industry has been provided to the Federal Highway Administration.
LUNCH BREAK
Chuck Raymond introduced Jeff Keever of the Hampton Road Maritime Association who was invited to make a presentation about regional MTS efforts. Jeff Keever explained the organization of SAMTSO an MTS regional group that was a direct outgrowth from the MTS regional dialog session held in Jacksonville, FL. He noted that the group has identified five key areas in which it will devote its attention. Those areas are: awareness, security, dredging, information management and human resources. They are looking at developing a best practices program for local ports that will include maritime associations, harbor safety committees, MARAD and the Coast Guard. They are also working with local museums in an effort to increase awareness of maritime heritage and regional maritime events. The presentation demonstrated that this group is well organized and cognizant of the issues that confront the MTS and is taking steps to confront those issues.
Sponsor’s Remarks
Bruce Carlton, Acting Deputy Maritime Administrator, made brief remarks to the council indicating how pleased he was with the work of the council and with the Secretary’s visit.
Chuck Raymond introduced Secretary Mineta by recognizing the daunting task that confronts the Secretary in addressing this nation’s transportation infrastructure issues. He noted that Secretary Mineta oversees an agency with over 100,000 employees and a budget of $57 billion. He further noted that as Secretary of Commerce in the Clinton Administration, a member of Congress and a leader in private industry, Secretary Mineta was uniquely knowledgeable in the area of transportation infrastructure.
Remarks of Secretary Mineta
The Secretary thanked the council for its efforts on behalf of the MTS and noted that this work is vital to the prosperity and security of the nation. In noting the site of the meeting, the United States Merchant Marine Academy, he noted that President Eisenhower called the merchant marine the fourth arm of the nation’s defense. Secretary Mineta remarked that improvements to logistics and intermodal transportation are required to manage the intermodal supply chain because the maritime industry may be called upon to protect the nation.
Secretary Mineta further stated that water transportation has been an invisible most mode but its importance is clear with trade expected to grow and a landside system that is stressed. With the significant lag time between demand and project completion we are losing alternatives quickly. As such, he noted, there must be a continued commitment to intermodal integration. Waterborne options, such as Ro-Ro vessels and fast ferries, should be developed not as competitive models but through cooperative efforts to maximize choice.
Questions From Secretary Mineta
Chuck Raymond briefly described the council as a diverse group of MTS stakeholders representing private enterprise, labor and state and local government. He also described the team structure and asked Raymond Barberesi to report on the resolutions that the council adopted during this session. The Chair also noted that the Secretary has the authority to rotate one-third of the council at present and then he invited council members to introduce themselves to the Secretary.
Secretary Mineta asked the council whether or not there is any intercoastal prospects to utilize the waterways on coastal fronts to relieve congestion landside? The Secretary noted that he was aware that the ocean carriers are planning even larger containerships and questioned whether ports are going to be able to handle such ships? In further noting the gridlock on I-95, I-5, and I-10, he asked is water a viable alternative to relieve landside congestion? He stated that TEA-21 was a bill that addressed highway infrastructure issues, Air-21 did the same for airport, and questioned whether a possible SEA-21 could do the same for maritime?
In responding to the Secretary, Steve Pfeiffer stated that water was a viable alternative because there is the opportunity to bring cargo to the center of the country through the St. Lawrence Seaway. Pat Hall remarked that the issue is not whether we take ports down to 65 feet and which is a hub port and which is a feeder port, the issue is that the size of the vessel will drive the infrastructure. He added that while the concept of a
coastal freight highway has merit, he questioned who will bear the costs? The Secretary responded noting that highway development costs are exorbitant and wanted to explore whether on a per mile basis water might be cheaper. He further noted that ports in Singapore and Hong Kong are handling much higher cargo volumes than our domestic ports.
Jim McCarville pointed out the project that is looking to the in-land system for transporting cargo from New York to Pittsburgh. The Secretary recognized this effort and agreed that there is not one silver bullet for this problem and that an array of solutions needs to be considered.
Chuck Raymond mentioned that the industry cannot turn its back on technology. Efficient vessels must create efficiencies throughout the system and the that there must be improvements in information technology to improve the flow of cargo through the system. Looman Stingo noted that their there would be a storage shortage of U.S. vessels for this anticipated coastwise trade. The issues of cargo delays was were discussed and the Secretary questioned whether cargo containers could be tracked like Fed-Ex boxes. Michael Watson indicated that this is being done.
Robert Nelson stated there needs to be a better integration of water needs and surface interface. Surface funding should be used to address the problems of intermodal connectors. Barry Schechterman stated that the United States needs to improve its internal waterways infrastructure and that other countries in South America are utilizing their in-land water resources more efficiently.
The discussion ended with the Secretary stating that an innovative revenue stream to finance much needed infrastructure remediation and enhancements is necessary. However, he cautioned the group from looking towards highway or aviation funding. Lastly, he noted this nation’s role in the global economy and the fact that the United States came to prominence as a seafaring nation.
The meeting was adjourned.