Page 6: of Maritime Reporter Magazine (January 1971)

Magnuson Introduces

Bill To Revise

Ship Mortgage Program

A bill that would pave the way for a revision of the government's ship mortgage program has been introduced by Sen. Warren G.

Magnuson, D-Wash., chairman of the Senate's Commerce Commit- tee. Many informed sources feel that the bill is especially needed to help finance President Nixon's new long range program to rebuild the merchant marine. If acceptable this would be the first overhaul since 1954 when the program was revamped into substantially its present form.

The maritime industry, interested parties, and government agencies, the Senator indicated, would have the opportunity to examine the ex- tensive suggested detailed changes for "possible future legislative ac- tion", as early as practicable, like- ly this year. The current provisions of the 1936 Merchant Marine Act, which is generally known as Title

XI, have financed mortgages on more than $1 billion worth of ship building and reconstruction.

Under the provisions of the pro- posed bill, mortgage insurance would become more flexible, the insurance more useful, and the im- portant mortgage bonds authorized more marketable. In addition there are many technical changes in the

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When Essomarine develops an oil for your seagoing Lady, you get the proof at the controls. bill (S-4534) which would make for the first time containers and their chassis eligible for mortgage insur- ance up to the maximum 87^ per- cent backing, rather than 75 per- cent of their cost. Also the new lighter-carrying vessels would be covered to the full 87yi percent and the minimum size to qualify re- duced from 200 tons to 25 tons.

In regard to security, various technical alternations were pro- posed, including allowing the com- merce secretary to hold the security directly from the start of the trans- action, rather than acquiring it by assignment once default has oc- curred. It is thought the change would at least simplify the paper- work to some extent.

The proposed bill would "pro- vide much needed simplicity and flexibility," the Senator said. He also noted that technical innova- tions were transforming the ship- ping industry "rapidly" into a "highly capital intensive business enterprise" and as a consequence its financing under Title XI "is be- coming of crucial importance."

McQuaide Appointed

NASSCO Plant Manager

FUELS AND LUBRICANTS

John McQuaide

John McQuaide has been ap- pointed plant manager of National

Steel and Shipbuilding Company,

San Diego, Calif. The announce- ment was made recently by John

V. Banks, NASSCO executive vice- president.

Mr. McQuaide has more than 35 years of experience in the ship- building industry. He began his career at the New York Shipbuild- ing Corporation, Camden, N.J., where he held various positions, in- cluding hull draftsman and general foreman, hull department. For a short time, Mr. McQuaide was em- ployed by the J.J. Henry Company,

Philadelphia, Pa., where he was in charge of the hull drawing room.

Mr. McQuaide joined NASSCO in 1959 as hull superintendent. In 1962, he advanced to assistant pro- duction manager, and in July 1970, to production manager, the posi- tion he held until his recent pro- motion. As plant manager, Mr.

McQuaide is responsible for all production operations in the ship- yard.

He is a native of Philadelphia,

Pa. Mr. McQuaide attended Rut- gers Extension at night, complet- ing several engineering courses. He is a member of The Society of

Naval Architects and Marine En- gineers and The Propeller Club of the United States. 8 Maritime Reporter/Engineering Hews