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CONTACT:
Cynthia L. Brown
202-544-8170
(Washington, D.C.) – Today, the Senate Appropriations Committee approved $30 million for commercial ship construction loan guarantees for the Maritime Administration (MARAD). Title XI Loan Guarantees allow small and medium sized ship operating companies to secure affordable financing for the construction of cargo ships in American Shipyards.
The funding was requested by Senators Trent Lott (R-MS); Mary Landrieu (D-LA); Olympia Snowe (R-ME); John Kerry (D-MA); David Vitter (R-LA); Jack Reed (D-RI); Barbara Mikulski (D-MD); Ron Wyden (D-OR); Arlen Specter (R-PA); Susan Collins (R-ME); Ted Stevens (R-AK); Barbara Boxer (D-CA); George Allen (R-VA); Rick Santorum (R-PA); Lincoln Chafee (R-RI); Daniel Akaka (D-HI); Paul Sarbanes (D-MD); Dick Durbin (D-IL); Maria Cantwell (D-WA), and Daniel Inouye (D-HI).
The $30 million was included by the Chairman, Kit Bond (R-MO), and Ranking Member, Patty Murray (D-WA), in the subcommittee mark of the fiscal year 2007 Transportation Appropriations Bill, with strong support from the Chairman of the full Committee on Appropriations, Thad Cochran (R-MS). This funding will create thousands of jobs in the U.S. shipbuilding industry and ensure the availability of commercial ships to transport oil, manufactured goods, and agricultural products to the American consumer.
Title XI allows many U.S. companies to obtain financing terms and conditions that are comparable to finance rates available to large corporations. The vast majority of Title XI guarantees are for companies to order dry and liquid cargo ships that transport goods in our coastwise, Alaskan, and Hawaiian trades. This funding will enable U.S. companies to meet the domestic commerce, energy transportation, and military sealift needs of the United States.
The American Shipbuilding Association is the national trade association of the shipbuilding industry. ASA members include the nation’s six largest shipyards and more than 70 companies engaged in the manufacture of ship systems and components. |
