[Federal Register Volume 76, Number 216 (Tuesday, November 8, 2011)]
[Notices]
[Pages 69271-69272]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-28878]


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FEDERAL MARITIME COMMISSION

[Docket No. 11-19]


Notice of Inquiry; U.S. Inland Containerized Cargo Moving Through 
Canadian and Mexican Seaports

AGENCY: Federal Maritime Commission.

ACTION: Notice of Inquiry.

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SUMMARY: The Federal Maritime Commission is issuing this Notice of 
Inquiry to solicit the public's views and information concerning 
factors that may cause or contribute to the shift of containerized 
cargo destined for U.S. inland points from U.S. to Canadian and Mexican 
seaports.

DATES: Comments are due on or before December 22, 2011.

ADDRESSES: Submit comments to: Karen V. Gregory, Secretary, Federal 
Maritime Commission, 800 North Capitol Street, NW., Washington, DC 
20573-0001, or email non-confidential comments to: [email protected] 
(email comments as attachments preferably in Microsoft Word or PDF)

FOR FURTHER INFORMATION CONTACT: Karen V. Gregory, Secretary, Federal 
Maritime Commission, 800 N. Capitol Street, NW., Washington, DC 20573-
0001, (202) 523-5725, Fax (202) 523-0014, Email: [email protected], 
Rebecca A. Fenneman, General Counsel, Federal Maritime Commission, 800 
N. Capitol Street, NW., Washington, DC 20573-0001, (202) 523-5740, Fax 
(202) 523-5738, Email: [email protected].

SUPPLEMENTARY INFORMATION: 

Background

    The Federal Maritime Commission (FMC or Commission) has received 
requests from United States Senators Patty Murray and Maria Cantwell 
(both of Washington), Members of Congress

[[Page 69272]]

Rick Larsen, Jay Inslee, Norm Dicks, Adam Smith, Dave Reichert, Jaime 
Herrera Beutler and Jim McDermott (all of Washington), and 
Congresswoman Laura Richardson (California), to study the impacts and 
the extent to which the U.S. Harbor Maintenance Tax (HMT), other U.S. 
policies, and other factors may incentivize container cargo to shift 
from U.S. West Coast ports to those located in Canada and Mexico. These 
requests also asked the Commission to make legislative and regulatory 
recommendations to address this concern.
    In recent years, there has been a steadily observed increase in the 
amount of U.S.-destined cargo moving through newly established west 
coast Canadian port Prince Rupert and the expanded Mexican port 
L[aacute]zaro C[aacute]rdenas. These same years saw investment in and 
promotion of Canadian and Mexican port and intermodal rail 
infrastructure, as well as changes to environmental requirements, 
security considerations, and customs inspection procedures.
    The HMT has also been the subject of recent congressional interest. 
Originally enacted as part of the Comprehensive Water Resources 
Development Act of 1986, the HMT was devised to help fund harbor and 
channel maintenance by charging users of U.S. seaports at an ad valorem 
rate of 0.125%. See 26 U.S.C. 4461. The HMT is currently imposed only 
on imports and is payable at the time of unloading of the cargo in the 
U.S. port. Id. Cargo ultimately destined for U.S. inland points but 
entering at Canadian or Mexican seaports is not subject to the HMT.
    In order to prepare the fullest response possible, the Commission 
now invites comment and information from all members of the interested 
public (whether they be located in the United States or elsewhere), 
including public port authorities, private marine terminal operators, 
ocean common carriers, ocean transportation intermediaries, supply 
chain experts, providers of rail and trucking services, state, local, 
provincial or national governments, importers, exporters and beneficial 
cargo owners. Comments that are specific and provide supporting data 
are most helpful.
    1. Describe the differences, if any, in taxes, fees, laws, 
regulations, cargo handling, customs processes, related terminal/port 
procedure, infrastructure, or intermodal services between U.S. and 
Canadian or Mexican ports that may come into consideration when 
determining how to route cargo destined for U.S. inland points. Please 
be as specific as possible.
    2. Provide your opinion and supporting data regarding the reasons 
vessel-operating common carriers serving the U.S., Canada and Mexico 
may prefer to make Mexican or Canadian ports their first North American 
ports of call.
    3. Describe why ocean transportation intermediaries or importers 
may prefer to route their customers' inland U.S.-destined cargo via a 
Mexican or Canadian port.
    4. Describe and, if possible, quantify the advantages and 
disadvantages a beneficial cargo owner may face when considering 
whether to route inland U.S.-destined cargo via a Mexican or Canadian 
port. Specifically, what role, if any, does the assessment of the 
Harbor Maintenance Tax (HMT) have on that determination? What are the 
other considerations? If there is a cost advantage due to lower total 
transportation costs (ocean, truck, rail), please quantify those 
differences and describe the source of any such cost differentials.
    5. Please quantify the effect, if any, the change in cargo routing 
has had on employment in the United States.
    6. Describe what volume or other incentives, bonuses or discounts, 
if any, are offered by ports, common carriers, terminal operators, or 
other entities for cargo moved through Canadian or Mexican ports and 
where these may be available to the shipping public.
    7. Describe the advantages and/or disadvantages current 
transportation services via Canadian or Mexican ports may offer to U.S. 
exporters.
    8. State your view on actions that the U.S. Government can take to 
improve competitiveness of U.S. ports. Of those actions, what are the 
most important or pressing?
    Submit Comments:
    Non-confidential filings may be submitted in hard copy or by email 
as an attachment (preferably in Microsoft Word or PDF) addressed to 
[email protected] on or before December 22, 2011. Include in the 
subject line: ``U.S. Containerized Cargo Flows--Response to NOI.'' 
Confidential filings must be submitted in the traditional manner on 
paper, rather than by email. Comments submitted that seek confidential 
treatment must be submitted in hard copy by U.S. mail or courier. 
Confidential filings must be accompanied by a transmittal letter that 
identifies the filing as ``confidential'' and describes the nature and 
extent of the confidential treatment requested. When submitting 
comments in response to the Notice of Inquiry that contain confidential 
information, the confidential copy of the filing must consist of the 
complete filing and be marked by the filer as ``Confidential-
Restricted,'' with the confidential material clearly marked on each 
page. When a confidential filing is submitted, an original and one 
additional copy of the public version of the filing must be submitted. 
The public version of the filing should exclude confidential materials, 
and be clearly marked on each affected page, ``confidential materials 
excluded.'' The Commission will provide confidential treatment to the 
extent allowed by law for those submissions, or parts of submissions, 
for which confidential treatment is requested. Questions regarding 
filing or treatment of confidential responses to this Notice of Inquiry 
should be directed to the Commission's Secretary, Karen V. Gregory, at 
the telephone number or email provided above.

    By the Commission.
Karen V. Gregory,
Secretary.
[FR Doc. 2011-28878 Filed 11-7-11; 8:45 am]
BILLING CODE 6730-01-P