Page 21: of Maritime Reporter Magazine (November 1996)

LEGISLATIVE UPDATE

Chairman Roth, Chairman Crane and Representative Gibbons who truly recognized the importance of this agreement," Ms. Barshefsky said. "The OECD Shipbuilding

Agreement is a good agreement that would enhance the competi- tiveness of our shipbuilding indus- try."

At press time, talks were again underway between the signatory countries, in an attempt to salvage the subsidy pact. While the dead- line for scrapping the entire agree- ment seems to have been informally extended to the beginning of 1997, the general mood of the initial meetings were not good.

Transportation

Industry Twos To

Bo Studied

House Ways and Means

Committee Chairman Bill Archer (R-TX) reportedly said that he will convene a blue ribbon panel to study transportation industry taxes.

Jonathan Blank, a managing partner at Preston Gates Ellis &

Rouvelas Meeds, a leading trans- portation law firm in Washington,

D.C., said, "This may be the begin- ning of an overhaul of transporta- tion industry tax policy that would have a significant impact on the total amount of tax paid by each mode, as well as the competitive position of individual carriers within different modes.

Transportation companies should pay very close attention to the actions of this task force."

Passenger Vessel

Operators To Save

Millions

Operators of small passenger vessels will save more than $23 million over 10 years thanks to a bill Congress passed. The bill, according to the Passenger Vessel

Association (PVA), will limit the fees the USCG may charge to con- duct its annual inspection of these vessels.

Just before adjourning, the 104th

Congress adopted the Conference

Report to the Bill, S. 1004, the

USCG Authorization Act for FY96.

November, 1996

Section 1112 of the sweeping mea- sure directs the Secretary of

Transportation to limit the fees the

USCG charges for the inspection of small passenger vessels to $300 for vessels measuring less than 65 ft. (19.8 m), and to $600 for vessels 65 ft. and greater. Publicly owned fer- ries will be exempt from the fees altogether, under terms of the pro- vision.

Senator Ted Stevens, chairman of the Senate Subcommittee on

Oceans and Fisheries, which has jurisdiction over USCG programs, sponsored the amendment. "Members of the Passenger

Vessel Association are thrilled that

Congress acted to rectify this sig- nificant and unwarranted burden on small passenger vessel opera-

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