Coastwise Coalition

An integrated, multi-modal system in which coastwise and inland shipping operates in conjunction with rail and trucking to:

• Increase overall system capacity and efficiency

• Increase transportation options for truckers, shippers, and passengers

• Achieve a net environmental benefit

Coastwise Coalition

OBJECTIVE

Coastwise Coalition

Coastwise Coalition

RELATIVE CAPACITY: BARGE, RAIL, TRUCK

USDOT/MARAD lacks sufficient tools and resources Existing policy doesn’t recognize the marine highway potential

No programs to encourage new service development No incentives for shippers or trucking to try SST Harbor Maintenance Tax is a discouragement Planning agencies ignore freight and marine transportation Limited ship construction financing and not well suited Marine mode is not integrated into NTS in policy terms Ferry program limited to passengers and mostly earmarked

WASHINGTON & MARINE HIGHWAYS

Coastwise Coalition

Coastwise Coalition

Coastwise Coalition

SST Definition

…. means carriage of cargo contained in intermodal containers or loaded by means of wheeled technology and which is loaded and unloaded in a US port, or a port in Canada on the Great Lakes or Seaway.

Coastwise Coalition

Short Sea Transportation (SST) Program

Among the elements are the designation of SST projects to mitigate landside congestion and various encouragements for the use of SST.

DOT would encourage states, multi-state entities and regional agencies to factor water transportation in their transportation plans and solutions to landside bottlenecks and capacity challenges.

Coastwise Coalition

Cargo and Shippers

DOT would enter into MOUs with other Federal entities to transport federally owned or generated cargo using a SST project when practicable.

DOT would consult shippers and others in logistics and develop proposals for short term incentives to encourage use of SST.

Coastwise Coalition

Financing of SST Vessels

Subject to appropriations DOT may make loan guarantees for the financing of the construction, reconstruction or reconditioning of a vessel for a SST project. This would be separate from, but very much like, the existing Title XI program. Guarantee obligations outstanding at one time may not exceed $2 billion. $25 million is authorized for each of FYs 2008 through 2011.

Coastwise Coalition

Vessel Finance (cont’d)

Vessels in the SST trade would be made eligible for the use of Capital Construction Fund monies in financing the purchase, construction, or reconstruction of vessels.

Interagency Coordination

A board of public and private sector entities would identify and seek solutions to any impediments to the use of SST.

Coastwise Coalition

Research on SST

DOT would be authorized to conduct research regarding: environmental and transportation benefits of SST alternatives for other forms of transportation; technology, vessel design and other improvements to reduce emissions, increase fuel economy and lower costs of SST and increase efficiency of intermodal transfers; identify and seek solutions to impediments to designated SST projects.

Coastwise Coalition

Coastwise Coalition

Coastwise Coalition

RIDE THE MARINE HIGHWAY

Paul H. Bea Jr.pbea@phbpa.com (202) 607 6415

Coastwise Coalition