On behalf of the International Brotherhood of Boilermakers thank you for In an effort to make sure that shipbuilding labor's views are incorporated Once again, thank you for the opportunity to present shipbuilding labor's Sincerely, Ande M. Abbott Ande Abbot Director of Legislation & Director of Shipbuilding International Brotherhood of Boilermakers, Iron Ship Builders, Enclosure Frope SAVE SHIPBUILDING JOBS To Sharmon Brett Date: 6/29/02 Time: 7 40:30 AM ★ INTERNATIONAL ASSOCIATION OF MACHINISTS ★ INTERNATIONAL BROTHERHOOD OF BOILERMAKERS, IRON SHIPBUILDERS, ★INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS ★ UNITED ASSOCIATION OF JOURNEYMEN AND APPRENTICES OF THE PLUMBING & ✰ UNITED STEEL WORKERS OF AMERICA 2722 Merrilee Drive, Suite 360, Fairfax, VA 22031 − (703) 560-1493Phone – (703) 560-2584 Fax The Honorable Duncan L. Hunter U.S. House of Representatives 2265 Rayburn House Office Building Washington, DC 20515 Dear Chairman Hunter: June 26, 2002 On behalf of the thousands of working men and women employed in shipbuilding, we write to ask you to strengthen America's national security to ensure a reserve fleet of commercial, militarily useful ships – built, owned, crewed, and operated by Americans - to meet national security requirements in time of war and national emergency. As debate begins to reauthorize the Maritime Security Program (MSP), an extension of the program as currently structured will not meet our national security requirements for the 21" Century and will not receive our members' support. To meet America's national security requirements and ensure a commercial fleet of the right size and types of ships needed, the Department of Defense (DOD) should procure commercial, militarily useful ships and lease them to U.S. ship operators in peacetime based on the international bare boat charter rates for comparable commercial vessels. Lease payments to DOD will defray the up-front cost of constructing an American Merchant Marine fleet, and will restore U.S. ownership and control of this fleet to serve as a fifth branch of our Armed Forces in emergency. If these major reforms are not made to the 1995 Maritime Security Program, the demise of an American Merchant Marine will be inevitable, and U.S. dependency upon foreign shipyards and foreign companies to build and operate a fleet of merchant ships to serve as a DOD reserve fleet will increase. Foreign maritime dependency will increase the risk of terrorist attack, increase the risk of terrorist tampering in construction of the fleet, increase DOD transportation cost in peace time, jeopardize transportation of DOD supplies in time of war, jeopardize the industrial capability of the United States to build warships for the Navy, increase the price of those warships, and eliminate thousands of highly skilled shipbuilding jobs essential to national defense. This is an unacceptable and unaffordable security risk to the United States. Page 2 of 3 Thank you for your support in restoring U.S. construction and ownership to the U.S. Merchant Marine in the Maritime Security Program reauthorization. DEPARTMENT OF DEFENSE REQUIREMENTS FOR VESSELS OPERATING UNDER THE MARITIME SECURITY PROGRAM HOUSE OF REPRESENTATIVES, SPECIAL OVERSIGHT PANEL ON THE MERCHANT MARINE, Washington, DC, Tuesday, October 8, 2002. The panel met, pursuant to call, at 9:01 a.m., in room 2212, Rayburn House Office Building, Hon. Duncan Hunter (chairman of the panel) presiding. OPENING STATEMENT OF HON. DUNCAN HUNTER, A REPRESENTATIVE FROM CALIFORNIA, CHAIRMAN, SPECIAL OVERSIGHT PANEL ON THE MERCHANT MARINE Mr. HUNTER. The hearing will come to order. My opening remarks will be brief. However, before we address the business before this panel, which is consideration of the military's commercial sealift requirements under a new maritime security program, I would like to extend a warm welcome to our witness today, General John Handy, Commander in Chief, United States Transportation Command (TRANSCOM). Thank you very much, General Handy, for being with us and spending some valuable time with the panel today. We appreciate you. General HANDY. Thank you, sir. Mr. HUNTER. This is the third in a series of hearings being held by the panel that will lead to a reauthorization of a new Maritime Security Program (MSP). At the first hearing, the panel heard from current vessel operators, as well as the so-called section 2 citizens. Frankly, I think many of us learned a great deal at that hearing. At some point, I am convinced, we will come up with a legislative solution that will address some of the issues raised at the hearing. At the second hearing, we heard from witnesses representing both large and small shipbuilding interests. Since that hearing, I have started to see some creative financing proposals that offer us a realistic opportunity to have a shipbuilding component in any new MSP reauthorization. My personal view is that we can reach agreement on a shipbuilding component without jeopardizing the operational component of the new bill. After hearing from General Handy today on the Department of Defense (DOD), MSP sealift requirements, I will ask the Department of Transportation (DOT) and the Maritime Administration (MARAD) to appear before us and present their proposal for a reauthorization of MSP. Just as important as their appearance and |