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2012 Freight in the Southeast Conference America’s Marine Highway Services March 16, 2012 Lauren Brand, Director Office of Marine Highways & Passenger Vessel Services US DOT – Maritime Administration. Vision.
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2012 Freight in the Southeast Conference America’s Marine Highway Services March 16, 2012 Lauren Brand, Director Office of Marine Highways & Passenger Vessel Services US DOT – Maritime Administration
Vision • America’s Marine Highways are a routine intermodal choice among shippers and freight forwarders, providing reliable scheduled liner services; • Expanded use of Marine Highways make measurable improvements to environments impacted by transportation; • Shippers request Marine Highway services as a more efficient means of moving their goods because of both its cost effectiveness and its pubic benefits; • Marine Highway services are self sustaining and profitable across the U.S., using both ships and barges;
M-5 (AK) Marine Highway Grants - September 2010 M-5 M-90 M-84 M-90 M-87 M-71/77 M-90 M-75 M-580 M-95 M-55 M-70 M-70 M-64 M-40 M-5 M-65 M-49 M-95 M-55 LEGEND MH Corridor MH Connector MH Crossing U.S. Interstate M-10 M-A1 M-2 M-5 (AK)
M-5 (AK) America’s Marine Highway - Programmatic NEPA Project in Five Major Regions West Coast (4 States) M-5 Great Lakes & St. Lawrence Seaway (7 States) M-90 M-84 East Coast (15 States) M-90 M-87 M-71/77 M-90 M-75 M-580 M-95 Inland Waterways (13 States) M-55 M-70 M-70 M-64 M-40 M-5 M-65 M-49 M-95 M-55 Gulf Coast (5 States) LEGEND MH Corridor MH Connector MH Crossing U.S. Interstate M-10 M-A1 M-2 M-5 (AK)
M-5 (AK) Marine Highway Cooperative Agreements- Sept. 2010 M-5 M-90 M-84 M-90 M-87 M-71/77 M-90 M-75 M-580 M-95 M-55 M-70 M-70 M-64 M-40 M-5 M-65 M-49 M-95 M-55 LEGEND MH Corridor MH Connector MH Crossing U.S. Interstate M-10 M-A1 M-2 M-5 (AK)
Initiatives & Market Studies • Examining the potential for marine highway services to provide relief of congested landside corridors and to provide additional transportation options. • Identifying types of vessels which would be suited for marine highway routes. • Collecting data from various modes and sources regarding the most congested corridors and types of freight being moved. • Identifying markets which could be served.
SHIPPER CONCERNS • Multiple shippers interviewed – key concerns are: • Reliability • Consistency of schedule • Visibility • Cost • Risk of delays in ports
Bottom Line • Under current market and regulatory conditions, sustainability of services are difficult to predict • Therefore, policy and regulatory changes are required in order for services to be economically sustainable.
Policy Options • Revision in the collection of the Harbor Maintenance Tax • Government support for Ship Construction • Tax credits for shippers who use more environmentally sustainable modes of transportation • Investment in Port Infrastructure • Amend the Tonnage Tax for U.S. flag ships • Implement Marco Polo type startup assistance program • Fund LNG fuel distribution capability • Ensure users and beneficiaries pay for services commensurate with costs of providing them. 11
Focus on States • MAP 21 (Moving Ahead for Progress in the 21st Century) S. 1813: • February 29, 2012 recommended for consideration by the Senate • Maritime projects will be able to compete in State DOT programs for: • CMAQ funds • Up to $400 million for infrastructure projects more cost effective than highway options • Up to $1 billion for infrastructure projects of national or regional significance
Focus on States • 38 State DOTs influence America’s Marine Highways • Which State DOT department will consider it? • 9 = maritime, ports, waterways or marine • 8 = planning • 6 = intermodal • 4 = freight • 3 = rail & marine/railroads & harbors • 1 = aviation & ports • 1 = trade development • 6= have no department that addresses maritime
Next Steps 2012 MTSNAC – Marine Highway Subcommittee Regional Roundtables Issue “Call for Projects”
Thank you America’s Marine Highways Program http://www.marad.dot.gov Existing MH Corridors Map Existing MH Corridor, Project and Initiative descriptions References (Studies) Report to Congress (April 2011) Lauren Brand 202-366-7057 Lauren.Brand@dot.gov