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December 2003

President's Report
President Signs New MSP
SIUNA Welcomes AMO as Autonomous Affiliate
Prescription Plan Will Reduce Costs
Crowley Pact Approved
SIU Lakes Fleet Gets Big Addition
Top Medical Benefits Highlight Higman Pact
NY Waterway Christens New Ferry
SIU Crew Members Honored During AOTOS Ceremony
'We Stand on the Shoulders of Giants'
This Month in SIU History
Letters to the Editor
Pic-from-the-Past

Seafarers Log / 2003 Archive / December 2003

President Signs New MSP
Defense Bill Includes 10-Year Extension, Expands Fleet
December 2003

A 10-year extension of the U.S. Maritime Security Program (MSP), included in the FY 2004 National Defense Authorization Act, was signed into law late last month. President Bush put his signature on the Defense bill Nov. 24 during a ceremony at the Pentagon.

The reauthorized MSP will begin immediately as the current program expires, in 2005. The U.S. Senate last month voted 95-3 to adopt the conference report on the National Defense Authorization Act; the U.S. House of Representatives earlier in the month cleared the conference report by a vote of 362-40.

“This is a tremendous victory for our entire industry, and it is a major step toward continued job security for Seafarers. It’s also quite clearly a great boost to America’s national security,” stated SIU President Michael Sacco, who had testified before Congress in favor of the extended MSP and who was an invited guest at last month’s signing ceremony.

“The people who supported the expanded MSP all deserve credit, from President Bush to the House and Senate, from maritime labor to the military,” Sacco continued. “There is no way to overstate the importance and effectiveness of this program.”

The new MSP increases the number of participants from 47 ships to 60 ships; provides financial assistance to construct five newly built tankers in the United States that are capable of carrying military petroleum products during a war; establishes a 30-month period to replace older ships with newer Defense Department-approved and militarily useful ships; and increases the annual payment to ship operators from $2.1 million per year to $2.6 million for the first three years of the program, increasing to $2.9 million in FY 2009, and increasing to $3.1 million for the remaining four years of the program. The new program begins on October 1, 2005 and ends on September 30, 2015.

The MSP has been a key element of America’s economic and defense security since its enactment in 1996. The original 10-year program provides limited funding for 47 U.S.-flag commercial vessels, particularly containerships and roll-on/roll-off vessels, which are available to the Department of Defense in times of war or national emergency.

A cost-effective program, the MSP delivers many benefits to our nation. It helps maintain a pool of skilled American mariners who are needed to crew not only the MSP ships, but also the U.S. government-owned strategic sealift and Ready Reserve Force vessels, both in peace and war.

The MSP helps our nation maintain a presence in international commerce—keeping the U.S. flag on the high seas. And, ultimately, the program gives the Defense Department access to program participants’ infrastructure, terminals, communications networks and more.

Support for the program has been widespread, including from the top levels of government and the military. In October 2000, President Bush noted, “In time of war or national emergency, the U.S. military depends on shipping and seafarers drawn from the U.S.-flag commercial fleet to deploy our military overseas and, once deployed, to transport the supplies necessary for them to fight, and win anywhere in the world. . . . Programs . . . that guarantee intermodal cargo lift and management services when needed in times of crisis or conflict, such as the Maritime Security Program, should be maintained.”

U.S. Rep. Duncan Hunter (R-Calif.), chairman of the House Armed Services Committee, conducted hearings on the reauthorized MSP through the committee’s Merchant Marine Panel. In April 2001, he stated, “The MSP has proved very successful. Today, 47 U.S.-flagged commercial vessels, crewed by U.S. citizens, participate in the MSP program. These vessels are engaged in the foreign commerce of the United States and are enrolled in DOD’s Emergency Preparedness Program to ensure that such vessels and associated worldwide intermodal transportation and management assets are incorporated into DOD sealift plans and programs, and are immediately available to meet military sealift requirements. Without the MSP the cost to DOD would be substantial—approximately $800 million annually would be required by DOD to provide similar sealift and related system capacity on its own for the rapid and sustained deployment of military vehicles, ammunition and other equipment and material.”

A year ago, the head of the United States Transportation Command (TRANSCOM) urged Congress to reauthorize the MSP. U.S. Gen. John W. Handy told Congress, “I wholeheartedly support reauthorization of MSP beyond expiration of the current authority on September 30, 2005. The MSP is a vital element of our military’s strategic sealift and global response capability. As we look at operations on multiple fronts in support of the war on terrorism, it is clear that our limited defense resources will increasingly rely on partnerships with industry to maintain the needed capability and capacity to meet our most demanding wartime scenarios. That makes MSP reauthorization even more important as we look toward the future.”

The need to maintain a strong U.S Merchant Marine — a goal greatly aided by the MSP — again was evident during the combat phase of Operation Iraqi Freedom, when U.S. crews sailed into harm’s way to deliver vital materiel to American and allied troops. At least 3,000 civilian mariners — including more than 2,000 SIU members—mobilized for the war. SIU members crewed more than 100 vessels that delivered the troops, tanks, fuel and other materiel that helped coalition forces achieve swift and decisive victory in removing Iraqi dictator Saddam Hussein’s regime.

Vice Admiral David Brewer, commander of the U.S. Military Sealift Command (MSC) and another proponent of the MSP, stated, “The U.S. Merchant Mariner has played a vital role in support of Operation Iraqi Freedom. Most of the tanks, Army helicopters, trucks and vital ground equipment were delivered via ships manned by these great Americans. Operation Iraqi Freedom would not have happened without them.”

Another strong supporter of the MSP, U.S. Maritime Administrator Capt. William Schubert, described the merchant marine’s performance in Operation Iraqi Freedom as “the most impressive sealift in history. The men and women of the U.S. Merchant Marine have performed superbly and have once again made us proud.”

 

 
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