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FMC Nominees Both Say Regulatory Flexibility is Key Goal, in Confirmation Hearing

Federal Maritime Commission Chairman Richard Lidinsky said his "top priority will continue to be assisting our economic recovery for job growth, both within our ocean transportation industry and among the exporting and importing businesses they serve," if he's confirmed for a second term. He and commissioner William Doyle testified May 10 during confirmation hearings before the Senate Commerce, Science and Transportation Committee.

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Lidinsky said the two most important ways we can aid the economic recovery are working to ensure the maritime transportation system efficiently supports export growth and continuing to provide regulatory relief. Full opening statement is here.

Lidinsky claimed several accomplishments during his first term as FMC chairman, including:

  • The FMC has given regulatory relief to support the economic recovery, including a 2011 exemption to relieve 3,500 logistics businesses from the costs and burdens of publishing their rates in antiquated tariffs. "Now, with a year of experience, we are looking at ways to improve the exemption and provide additional regulatory relief," he said.
  • "We have been vigilant in supporting American businesses and consumers that rely on the international maritime industry." Due to the "serious shortages in vessel capacity and intermodal containers," the FMC implemented recommendations to more closely monitor carrier rate discussion agreements and receive advanced notice of ocean carrier alliances' capacity decisions. It also formed Rapid Response Teams to cut red tape and provide prompt solutions to disputes between shipping lines and customers, he said.
  • The FMC was "a helpful partner to ocean carriers and ports working to grow in a sustainable manner," he said. He said the FMC has given expedited review and allowed ports and terminals to proceed with agreements to cooperate on efficiency and environmental issues, and allowed the major ocean carrier agreement in the Transpacific to discuss "slow steaming" and other ways to save fuel and reduce pollution.

Doyle Cites Goal of Increasing Exports

After a lengthy recitation of his resume in his written statement (available here), Doyle said one of the Commission’s top priorities is working to "significantly increase the export of goods, the vast majority of which move on ships." He said the required continued coordination and cooperation between the government and the private sector "may be focused on increasing the availability of shipping containers for mid-continent agriculture and manufactured goods, and working with our overseas trading partners to rectify any limitations to waterborne export of goods and services."

Doyle also said providing regulatory relief is a top priority for the FMC. "I would also emphasize the Commission’s effort to reduce court litigation between parties through its newly established Rapid Response Teams in its Office of Consumer Affairs and Dispute Resolution Services," he said. "If confirmed, I will work with the Commission to find fast solutions to disputes between shipping lines and customers and ensure that cargo keeps moving."