[House Report 106-42]
[From the U.S. Government Publishing Office]
106th Congress Report
1st Session HOUSE OF REPRESENTATIVES 106-42
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FEDERAL MARITIME COMMISSION AUTHORIZATION ACT OF 1999
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March 4, 1999.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
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Mr. Shuster, from the Committee on Transportation and Infrastructure,
submitted the following
R E P O R T
[To accompany H.R. 819]
[Including cost estimate of the Congressional Budget Office]
The Committee on Transportation and Infrastructure, to whom
was referred the bill (H.R. 819) to authorize appropriations
for the Federal Maritime Commission for fiscal years 2000 and
2001, having considered the same, report favorably thereon
without amendment and recommend that the bill do pass.
purpose of the bill
The primary purpose of H.R. 819 is to authorize funds for
the Federal Maritime Commission for fiscal years 2000 and 2001.
background
The Federal Maritime Commission (FMC) is an independent
agency formed in 1961 following the abolition of the Federal
Maritime Board. The Commission is responsible for enforcing
international shipping rules and regulations involving carriers
(container ship operators), shippers (companies owning goods to
be transported), and transportation facilitators such as
freight forwarders, nonvessel operating common carriers, and
customs brokers.
The FMC is composed of five commissioners, appointed by the
President by and with the consent of the Senate. The current
Chairman of the FMC is the Honorable Harold J. Creel, Jr.
The FMC is primarily engaged in administering the Shipping
Act of 1984. However, the FMC also enforces the Foreign
Shipping Practices Act and Section 19 of the Merchant Marine
Act, 1920. Under these authorities, the FMC protects shippers
and carriers from restrictive or unfair practices of foreign
governments and foreign-flag carriers. Under these laws, the
FMC has the authority to take action against the offending
carriers, including the imposition of per voyage fees and
preventing them from operating in trade with the United States.
The final major responsibility of the FMC is enforcement of
the laws related to cruise vessel financial responsibility.
Under sections 2 and 3 of P.L. 89-777, the FMC ensures that
cruise vessel operators have sufficient resources to pay
judgments to passengers for personal injury or death or for
nonperformance of a voyage.
committee action
On February 11, 1999, the Subcommittee on Coast Guard and
Maritime Transportation held a hearing on the Administration's
fiscal year 2000 budget request for the Federal Maritime
Commission. The Subcommittee received testimony from Edward P.
Walsh, Managing Director of the Federal Maritime Commission.
Mr. Walsh discussed the President's request for the
Commission. The fiscal year 2000 budget request for the Federal
Maritime Commission is $15.3 million, a $1,150,000 increase
over the fiscal year 1999 appropriated level. Nearly two-thirds
of the increase is solely to fund required annual salary and
benefit adjustment for the Federal employees who work for the
Commission. The remainder is for increased rent costs and to
support computer modernization efforts, including the final
stage of upgrades to meet the upcoming year 2000 requirements.
Mr. Walsh also discussed how the Ocean ShippingReform Act,
which is being implemented by the Commission, will affect the agency's
budget in the upcoming year.
On February 24, 1999, the Subcommittee on Coast Guard and
Maritime Transportation met to mark up a Discussion Draft of
the Federal Maritime Commission Authorization Act of 1999. No
amendments to the Discussion Draft were considered. The
Discussion Draft was ordered reported to the full Committee by
voice vote in the presence of a quorum.
The Discussion Draft bill was introduced as H.R. 819 by
Chairman Shuster on February 24, 1999, with Mr. Oberstar, Mr.
Gilchrest, and Mr. DeFazio as cosponsors. The bill was referred
to the Committee on Transportation and Infrastructure.
On March 2, 1999, the Transportation and Infrastructure
Committee met to consider H.R. 819. H.R. 819 was ordered
reported to the House of Representatives by a voice vote in the
presence of a quorum.
section by section analysis of h.r. 819
Section 1. Short Title
This section states that the Act may be cited as the
Federal Maritime Commission Authorization Act of 1999.
Sec. 2. Authorization of Appropriations
Section 2 of H.R. 819 authorizes $15,685,000 for the
activities of the FMC for fiscal year 2000. This is the amount
requested for the FMC by the President, with an additional
$385,000 to fund the office of the new Federal Maritime
Commissioner when he is confirmed. Section 2 also authorizes
$16,312,000 for the FMC for fiscal year 2001.
committee oversight findings and recommendations
With respect to the requirements of clause 3(c)(1) of rule
XIII of the Rules of the House of Representatives, the
Committee's oversight findings and recommendations are
reflected in this report.
cost of the legislation
Clause 3(d)(2) of rule XIII of the Rules of the House of
Representatives requires an estimate and a comparison by the
Committee of the costs which would be incurred by enactment of
H.R. 819. However, clause 3(d)(2) of that Rule provides that
this requirement does not apply when the Committee has included
in its report a timely submitted cost estimate of the bill
prepared by the Director of the Congressional Budget Office
under section 403 of the Congressional Budget Act of 1974.
constitutional authority statement
Article 1, section 8 of the Constitution of the United
States grants Congress the authority to enact H.R. 819.
compliance with house rule xi
1. With respect to the requirement of clause 3(c)(2) of
rule XIII of the Rules of the House of Representatives and
section 308(a) of the Congressional Budget Act of 1974, the
Committee references the report of the Congressional Budget
Office below.
2. With respect to the requirement of clause 3(c)(4) of
rule XIII of the Rules of the House of Representatives, the
Committee has received no report of oversight findings and
recommendations from the Committee on Government Reform and
Oversight on the subject of H.R. 819.
3. With respect to the requirement of clause 3(c)(3) of
rule XIII of the Rules of the House of Representatives and
section 402 of the Congressional Budget Act of 1974, the
Committee has received the following cost estimate for H.R. 819
from the Director of the Congressional Budget Office.
congressional budget office cost estimate
U.S. Congress,
Congressional Budget Office,
Washington, DC, March 2, 1999.
Hon. Bud Shuster,
Chairman, Committee on Transportation and Infrastructure,
U.S. House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 819, the Federal
Maritime Commission Authorization Act of 1999.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Deborah Reis.
Sincerely,
Paul Van de Water
(For Dan L. Crippen).
Enclosure.
H.R. 819--Federal Maritime Commission Authorization Act of 1999
Summary: H.R. 819 would authorize appropriations to the
Federal Maritime Commission (FMC) of about $15.7 million and
$16.3 million for fiscal years 2000 and 2001, respectively. The
bill would not affect direct spending or receipts; therefore,
pay-as-you-go procedures would not apply. H.R. 819 contains no
intergovernmental or private-sector mandates as defined in the
Unfunded Mandates Reform Act (UMRA) and would have no impact on
the budgets of state, local, or tribal governments.
Estimated cost to the Federal Government: The estimated
budgetary impact of H.R. 819 is shown in the following table.
The costs of this legislation fall within budget function 400
(transportation). For purposes of this estimate, CBO assumes
that H.R. 819 will be enacted during fiscal year 1999 and that
the authorized amounts will be appropriated for each year. The
estimate of outlays is based on historical spending patterns of
the FMC.
Pay-as-you-go Considerations: None.
Intergovernmental and Private-Sector Impact: H.R. 819
contains no intergovernmental or private-sector mandates as
defined in UMRA and would have no impact on the budgets of
state, local, or tribal governments.
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By fiscal year, in millions of dollars
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1999 2000 2001 2002 2003 2004
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FMC spending under current law:
Budget authority \1\........................................ 14 0 0 0 0 0
Estimated outlays........................................... 14 0 0 0 0 0
Proposed changes:
Authorization level......................................... 0 16 16 0 0 0
Estimated outlays........................................... 0 15 16 1 0 0
FMC spending under H.R. 819:
Authorization level \1\..................................... 14 16 16 0 0 0
Estimated outlays........................................... 14 15 16 1 0 0
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\1\ The 1999 level is the amount appropriated for that year.
Estimate Prepared by: Deborah Reis.
Estimate Approved by: Robert A. Sunshine, Deputy Assistant
Director for Budget Analysis.
compliance with public law 104
H.R. 819 contains no unfunded mandates, as defined under
Public Law 104-4.