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2011 October 24   13:24

US ports demand access to $6 billion tax kitty

US ports are demanding access to a $6 billion fund collected from the controversial Harbour Maintenance Tax (HMT), ifw-net reports.

The ports want to use the money for critical infrastructure improvements, mainly dredging of harbour channels to authorised depths and widths – the original intention of the fund.

But despite a large surplus in the the Harbour Maintenance Trust Fund, the busiest US harbours are under-maintained.

Full channel dimensions at the nation’s 59 busiest ports are available less than 35% of the time, according to a congressional research service report prepared by transport policy specialist John Frittelli.

Kristin Meira, of the Pacific Northwest Waterways Association, said: “Critical navigation infrastructure maintenance is going unfunded. Despite collections far exceeding expenditures, the administration does not propose sufficient funding to maintain the existing navigation system, or to meet future needs.”

Dave Sanford, navigation policy and legislation director at the American Association of Port Authorities, said: “The president only requests and congress only appropriates about half of the tax collected specifically for deep-draught channel maintenance.

“The rest – more than $6 billion since 1986 – has essentially ‘disappeared’ into the US Treasury, while serious dredging needs have been neglected.”  

The association contends that the US’s ability to trade internationally depends on timely construction and well-maintained ship channels to access ports.

Bill HR 104, known as the Realise America’s Maritime Promise (RAMP) act, was introduced to the US House of Representatives in January. The goal of the bill is to ensure the Harbour Maintenance Trust Fund is actually used for harbour maintenance. However, no action has been taken since subcommittee hearings were held in July.

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