I admit I’m not an expert on the Jones Act. I don’t even play one on TV. But I’ve covered the maritime industry for more than two decades and have at least a pedestrian’s understanding of the law. To wit: vessels operating between two or more U.S. ports must use boats/ships that are owned, built and crewed by U.S. citizens.
Is it a good law? I think so. I would be angry (not the word I really wanted to use) to see the majority of OSVs operating in the Gulf of Mexico built in China and crewed by men and women from other countries. Call me pro-American. I can take it. I’ve ridden on many vessels and visited many shipyards over the past 25 years and have a great respect for the people who own and operate those businesses.
So why should you listen to me since I admit I am no expert? I can’t think of a reason. I also can’t think of a time when more private companies and governments have tried to blame the Jones Act for their own poor decision-making.
Last month, Paul “Chip” Jaenichen, head of the Maritime Administration and a Jones Act expert, told the Jones Act Shipping Forum in New York that the law seems to be blamed for almost everything these days.
“Before you know it — the Jones Act is going to be blamed for high cholesterol and heart disease,” he said. “The Jones Act is not responsible for the cost of gasoline, the price of groceries in Hawaii, the debt crisis in Puerto Rico or New Jersey’s snowy roads.”
Jaenichen said the U.S. shipbuilding industry, long a target for execution by Sen. John McCain, R-Ariz., is responsible for roughly 400,000 jobs in the U.S., contributing $36 billion to the gross domestic product annually and $24 billion in yearly labor income.
“Our shipbuilding industry is the largest employer in several states…and it pays strong, family-supporting middle class wages,” he said.
Marad’s administrator reminded his audience that the primary reason for the Jones Act is to ensure a healthy domestic maritime sector for the Department of Defense to use in times of need.
“Plain and simple — we need the Jones Act,” said Jaenichen. “That’s why the Jones Act got specific honor and recognition in the 2015 National Defense Authorization Act. Legislation passed by wide margins in both chambers of Congress. And that’s why for almost a century — presidents from both parties have supported the Act.”
