I 

113TH CONGRESS 

2D SESSION H. R. 4105 

To establish a Maritime Goods Movement User Fee and provide grants 

for international maritime cargo improvements and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 27, 2014 

Mr. MCDERMOTT (for himself, Ms. DELBENE, Mr. HECK of Washington, Mr. 

KILMER, Mr. LARSEN of Washington, and Mr. SMITH of Washington) introduced the following bill; which was referred to the Committee on 

Transportation and Infrastructure, and in addition to the Committee on 

Ways and Means, for a period to be subsequently determined by the 

Speaker, in each case for consideration of such provisions as fall within 

the jurisdiction of the committee concerned 

A BILL 

To establish a Maritime Goods Movement User Fee and 

provide grants for international maritime cargo improvements and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Maritime Goods Move5 ment Act for the 21st Century’’. 

6 SEC. 2. DEFINITIONS. 

7 In this Act: 


tjames on DSK6SPTVN1PROD with BILLS
2 

•HR 4105 IH

1 (1) COMMERCIAL CARGO.—The term ‘‘commer2 cial cargo’’— 

3 (A) means— 

4 (i) any cargo transported on a com5 mercial vessel, including passengers trans6 ported for compensation or hire; and 

7 (ii) international maritime cargo; and 

8 (B) does not include— 

9 (i) bunker fuel, ship’s stores, sea 

10 stores, or the legitimate equipment nec11 essary to the operation of a vessel; or 

12 (ii) fish or other aquatic animal life 

13 caught and not previously landed on shore. 

14 (2) COMMERCIAL VESSEL.—The term ‘‘commer15 cial vessel’’— 

16 (A) means any vessel used— 

17 (i) in transporting cargo by water for 

18 compensation or hire; or 

19 (ii) in transporting cargo by water in 

20 the business of the owner, lessee, or oper21 ator of the vessel; and 

22 (B) does not include any ferry engaged pri23 marily in the ferrying of passengers (including 

24 their vehicles) between points within the United 


tjames on DSK6SPTVN1PROD with BILLS
3 

•HR 4105 IH

1 States, or between the United States and con2 tiguous countries. 

3 (3) FERRY.—The term ‘‘ferry’’ means any ves4 sel which arrives in the United States on a regular 

5 schedule during its operating season at intervals of 

6 at least once each business day. 

7 (4) INTERNATIONAL MARITIME CARGO.—The 

8 term ‘‘international maritime cargo’’ means any 

9 cargo moved by ship that is imported directly into 

10 the United States from a point outside the United 

11 States, including— 

12 (A) cargo that arrives in the United States 

13 by ship; or 

14 (B) cargo that is unloaded in an inter15 mediate country and arrives in the United 

16 States by another form of transit without being 

17 altered in any manner in the intermediate coun18 try. 

19 (5) LOW-USE PORT.—The term ‘‘low-use port’’ 

20 means a port at which not more than 1,000,000 

21 tons of cargo is transported each calendar year. 

22 (6) POINT OF ENTRY.—The term ‘‘point of 

23 entry’’ means a place where commercial cargo enters 

24 the United States. 

25 (7) PORT.— 


tjames on DSK6SPTVN1PROD with BILLS
4 

•HR 4105 IH

1 (A) IN GENERAL.—Except as provided in 

2 subparagraphs (B) and (C), or otherwise spe3 cifically provided in this Act, the term ‘‘port’’ 

4 means any channel or harbor (or component 

5 thereof) in the United States, which— 

6 (i) is not an inland waterway; and 

7 (ii) is open to public navigation. 

8 (B) EXCEPTION FOR CERTAIN FACILI9 TIES.—The term ‘‘port’’ does not include any 

10 channel or harbor with respect to which no 

11 Federal funds have been used since 1977 for 

12 construction, maintenance, or operation, or 

13 which was deauthorized by Federal law before 

14 2013. 

15 (C) SPECIAL RULE FOR THE COLUMBIA

16 RIVER.—The term ‘‘port’’ shall include the 

17 channels of the Columbia River in the States of 

18 Oregon and Washington only up to the down19 stream side of the Bonneville Lock and Dam. 

20 (8) SUPER DONOR PORT.— 

21 (A) IN GENERAL.—The term ‘‘super donor 

22 port’’ means a port for which average expendi23 tures in the 5 previous fiscal years— 

24 (i) for fiscal years beginning prior to 

25 the date of the enactment of this Act, from 


tjames on DSK6SPTVN1PROD with BILLS
5 

•HR 4105 IH

1 the Harbor Maintenance Trust Fund pur2 suant to section 9505(c)(1) of the Internal 

3 Revenue Code of 1986 (relating to expend4 itures from the Harbor Maintenance Trust 

5 Fund) are less than 10 percent of the total 

6 average amount of harbor maintenance 

7 taxes collected through landings at such 

8 port in such fiscal years; or 

9 (ii) for fiscal years beginning after 

10 such date of enactment, from the amounts 

11 collected for the Maritime Goods Move12 ment User Fee are less than 10 percent of 

13 the total average amount of such Fees col14 lected through landings at such port. 

15 (B) INCLUDED EXPENDITURES.—The 

16 amount of expenditures under subparagraph 

17 (A) shall only include expenditures made at 

18 such a port in the immediate harbor area con19 taining docks and other facilities utilized for the 

20 loading and unloading of foreign waterborne 

21 commerce and in any navigational channels in 

22 the United States that are necessary for the 

23 transportation of such foreign waterborne com24 merce between such immediate harbor areas 

25 and foreign ports. 


tjames on DSK6SPTVN1PROD with BILLS
6 

•HR 4105 IH

1 (9) VALUE.—The term ‘‘value’’ means— 

2 (A) with respect to domestic commercial 

3 cargo, the value as determined by standard 

4 commercial documentation; 

5 (B) with respect to imported commercial 

6 cargo, the appraised value for duty as deter7 mined under section 402 of the Tariff Act of 

8 1930 (19 U.S.C. 1401a); or 

9 (C) with respect to the transportation of 

10 passengers for hire, the actual charge paid for 

11 such service or the prevailing charge for com12 parable service if no actual charge is paid. 

13 SEC. 3. ESTABLISHMENT OF MARITIME GOODS MOVEMENT 

14 USER FEE. 

15 (a) ESTABLISHMENT OF FEE.— 

16 (1) IN GENERAL.—Except as otherwise pro17 vided in this section, there is imposed a Maritime 

18 Goods Movement User Fee on all commercial 

19 cargo— 

20 (A) unloaded from or loaded on a commer21 cial vessel at a port; or 

22 (B) that enters the United States at a 

23 point of entry. 

24 (2) EFFECTIVE DATE.—The Maritime Goods 

25 Movement User Fee shall be imposed on commercial 


tjames on DSK6SPTVN1PROD with BILLS
7 

•HR 4105 IH

1 cargo under paragraph (1) beginning on October 1 

2 of the first fiscal year beginning after the date of the 

3 enactment of this Act. 

4 (b) FEE AMOUNT.—The amount of the Maritime 

5 Goods Movement User Fee shall be an amount equal to 

6 0.125 percent of the value of the commercial cargo. 

7 (c) COLLECTION OF FEE.—The Maritime Goods 

8 Movement User Fee shall be collected by U.S. Customs 

9 and Border Protection. 

10 (d) TIME OF IMPOSITION OF FEE.—The Maritime 

11 Goods Movement User Fee shall be imposed on commer12 cial cargo at the time— 

13 (1) the commercial cargo is unloaded from or 

14 loaded on a commercial vessel at a port in the 

15 United States; or 

16 (2) the commercial cargo enters the United 

17 States at a point of entry. 

18 (e) INAPPLICABILITY TO CARGO.—No Maritime 

19 Goods Movement User Fee shall be imposed under this 

20 section on any export of the United States. 

21 (f) COORDINATION OF FEE WHERE TRANSPOR22 TATION SUBJECT TO TAX IMPOSED UNDER 4042 OF THE

23 INTERNAL REVENUE CODE.—No Maritime Goods Move24 ment User Fee shall be imposed under this section with 

25 respect to the loading or unloading of any cargo on or 


tjames on DSK6SPTVN1PROD with BILLS
8 

•HR 4105 IH

1 from a vessel if any fuel of such vessel has been (or will 

2 be) subject to the tax imposed by section 4042 of the In3 ternal Revenue Code of 1986 (relating to tax on fuels used 

4 in commercial transportation on inland waterways). 

5 (g) SPECIAL RULE FOR ALASKA, HAWAII, AND POS6 SESSIONS.— 

7 (1) IN GENERAL.—No Maritime Goods Move8 ment User Fee shall be imposed on— 

9 (A) cargo loaded on a vessel in a port in 

10 the United States mainland for transportation 

11 to Alaska, Hawaii, or any possession of the 

12 United States for ultimate use or consumption 

13 in Alaska, Hawaii, or any possession of the 

14 United States; 

15 (B) cargo loaded on a vessel in Alaska, 

16 Hawaii, or any possession of the United States 

17 for transportation to the United States main18 land, Alaska, Hawaii, or such a possession for 

19 ultimate use or consumption in the United 

20 States mainland, Alaska, Hawaii, or such a pos21 session; 

22 (C) the unloading of cargo described in 

23 subparagraph (A) or (B) in Alaska, Hawaii, or 

24 any possession of the United States, or in the 

25 United States mainland, respectively; or 


tjames on DSK6SPTVN1PROD with BILLS
9 

•HR 4105 IH

1 (D) cargo loaded on a vessel in Alaska, 

2 Hawaii, or a possession of the United States 

3 and unloaded in the State or possession in 

4 which loaded, or passengers transported on 

5 United States flag vessels operating solely with6 in the State waters of Alaska or Hawaii and ad7 jacent international waters. 

8 (2) CARGO.—For purposes of this subsection, 

9 the term ‘‘cargo’’ does not include crude oil with re10 spect to Alaska. 

11 (3) UNITED STATES MAINLAND.—For purposes 

12 of this section, the term ‘‘United States mainland’’ 

13 means the continental United States (not including 

14 Alaska). 

15 (h) SPECIAL RULES.—Except as provided by regula16 tions: 

17 (1) FEE IMPOSED ONLY ONCE.—The Maritime 

18 Goods Movement User Fee shall be imposed on the 

19 same commercial cargo only 1 time. 

20 (2) EXCEPTION FOR INTRAPORT MOVE21 MENTS.—Under regulations, no Maritime Goods 

22 Movement User Fee shall be imposed on the mere 

23 movement of commercial cargo within a port. 

24 (3) RELAY CARGO.—Only 1 Maritime Goods 

25 Movement User Fee shall be imposed on cargo (movVerDate Mar 15 2010 04:27 Feb 28, 2014 Jkt 039200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H4105.IH H4105

tjames on DSK6SPTVN1PROD with BILLS
10 

•HR 4105 IH

1 ing under a single bill of lading) which is unloaded 

2 from one vessel and loaded onto another vessel at 

3 any port in the United States for relay to or from 

4 any port in Alaska, Hawaii, or any possession of the 

5 United States. For purposes of this paragraph, the 

6 term ‘‘cargo’’ does not include any item not treated 

7 as cargo under subsection (g)(2). 

8 (i) EXEMPTION FOR UNITED STATES.—No Maritime 

9 Goods Movement User Fee shall be imposed on the United 

10 States or any agency or instrumentality thereof. 

11 (j) EXEMPTION FOR HUMANITARIAN AND DEVELOP12 MENT ASSISTANCE CARGOS.—No Maritime Goods Move13 ment User Fee shall be imposed on any nonprofit organi14 zation or cooperative for cargo which is owned or financed 

15 by such nonprofit organization or cooperative and which 

16 is certified by the U.S. Customs and Border Protection 

17 as intended for use in humanitarian or development assist18 ance overseas. 

19 (k) LIMITATION ON COLLECTION OF FEE.—No fee 

20 may be collected under this section except to the extent 

21 that the expenditure of the fee to pay the costs of activities 

22 and services for which the fee is imposed is provided for 

23 in advance in an appropriations Act. 


tjames on DSK6SPTVN1PROD with BILLS
11 

•HR 4105 IH

1 (l) RECEIPTS CREDITED AS OFFSETTING COLLEC2 TIONS.—Notwithstanding section 3302 of title 31, United 

3 States Code, any fee collected under this section— 

4 (1) shall be credited as offsetting collections to 

5 the accounts that finance the activities and services 

6 detailed in section 4; 

7 (2) shall be available for expenditure only to 

8 pay the costs of activities and services detailed in 

9 section 4; and 

10 (3) shall remain available until expended. 

11 SEC. 4. EXPENDITURES OF MARITIME GOODS MOVEMENT 

12 USER FEE. 

13 (a) ADMINISTRATIVE COSTS.—Up to $10,000,000 of 

14 the amount of the Maritime Goods Movement User Fees 

15 collected during any fiscal year shall be used for payment 

16 of expenses of administration incurred by the Department 

17 of Homeland Security, the Army Corps of Engineers, and 

18 the Department of Transportation. 

19 (b) OTHER EXPENDITURES.—The amounts of the 

20 Maritime Goods Movement User Fees collected for a fiscal 

21 year that are not used for administration under subsection 

22 (a) shall be allocated as follows: 

23 (1) HARBOR MAINTENANCE PROGRAMS.—For 

24 the first 5 fiscal years beginning after the date of 

25 the enactment of this Act, 95 percent, and for each 


tjames on DSK6SPTVN1PROD with BILLS
12 

•HR 4105 IH

1 fiscal year thereafter 80 percent, of such amounts 

2 shall be available to pay up to 100 percent of the 

3 eligible operations and maintenance costs assigned 

4 to commercial navigation of all harbors and inland 

5 harbors within the United States, as authorized by 

6 section 210(a)(2) of the Water Resources Develop7 ment Act of 1986 (33 U.S.C. 2238(a)(2)), including 

8 the Federal share of the cost of— 

9 (A) maintenance of Federal navigation 

10 projects to their authorized depths and widths; 

11 (B) disposal of maintenance dredged mate12 rial; 

13 (C) construction and maintenance of 

14 dredged material placement facilities; 

15 (D) projects or activities for the beneficial 

16 use of dredged material or sand mitigation; 

17 (E) jetties, breakwaters, bridges, and other 

18 navigation structures; and 

19 (F) related studies and surveys. 

20 (2) LOW-USE PORTS.—Of the amounts made 

21 available each fiscal year for harbor maintenance 

22 programs under paragraph (1), up to 8 percent shall 

23 be allocated for low-use ports. Special emphasis shall 

24 be placed on low-use ports where there is a Coast 

25 Guard presence and low-use ports which the Coast 


tjames on DSK6SPTVN1PROD with BILLS
13 

•HR 4105 IH

1 Guard determines to be restricted navigation areas 

2 or harbors of refuge. 

3 (3) COMPETITIVE GRANT PROGRAM FOR GOODS

4 MOVEMENT.— 

5 (A) SUPER DONOR PORTS.—For each fis6 cal year beginning with the sixth fiscal year be7 ginning after the date of the enactment of this 

8 Act, 15 percent of the amounts of the Maritime 

9 Goods Movement User Fee not used for admin10 istration under subsection (a), shall be allocated 

11 to super donor ports to carry out projects or ac12 tivities described in paragraphs (1), (2), and (3) 

13 of section 5(e). 

14 (B) OTHER USES.—For each fiscal year 

15 beginning after the date of the enactment of 

16 this Act, 5 percent of the amounts of the Mari17 time Goods Movement User Fee not used for 

18 administration under subsection (a) shall be al19 located to carry out projects or activities de20 scribed in paragraphs (4), (5), and (6) of sub21 section 5(e). 

22 SEC. 5. COMPETITIVE GRANT PROGRAM FOR GOODS MOVE23 MENT. 

24 (a) ESTABLISHMENT OF GRANT PROGRAM.—There is 

25 established a Competitive Grant Program for Goods MoveVerDate Mar 15 2010 04:27 Feb 28, 2014 Jkt 039200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\H4105.IH H4105

tjames on DSK6SPTVN1PROD with BILLS
14 

•HR 4105 IH

1 ment to be administered by the Secretary of Transpor2 tation in consultation with the Assistant Secretary of the 

3 Army for Civil Works. 

4 (b) PURPOSE.—The purpose of the Competitive 

5 Grant Program for Goods Movement is to provide finan6 cial assistance for capital investments that improve the ef7 ficiency of the transportation system of the United States 

8 to move international maritime cargo. 

9 (c) PROJECT ELIGIBILITY.— 

10 (1) MINIMUM NUMBER OF GRANTEES.—For 

11 each fiscal year, there shall be no less than— 

12 (A) 3 grantees that are super donor ports; 

13 and 

14 (B) 3 grantees that are eligible entities 

15 under subsection (d). 

16 (2) COST-SHARE.—The Federal cost share of a 

17 project awarded a grant under this section shall be 

18 no more than 50 percent of the total cost. 

19 (d) ELIGIBLE ENTITY.—A grant under this section 

20 may only be awarded to a State or local government enti21 ty, including a port authority. 

22 (e) ELIGIBLE PROJECTS.—A grant awarded under 

23 this section may be used for the following: 

24 (1) Any in-water improvement in the navigable 

25 waters in or near such port that the Secretary of the 


tjames on DSK6SPTVN1PROD with BILLS
15 

•HR 4105 IH

1 Army is authorized to make, including environ2 mental remediation and habitat mitigation if cer3 tified by the Assistant Secretary to improve the 

4 movement of international maritime cargo. 

5 (2) Any in water improvement in berthing areas 

6 in such port pursuant to a channel widening or 

7 deepening project. 

8 (3) Maintenance of berthing areas adjacent to 

9 navigational channels in such port. 

10 (4) Improvements to an intermodal corridor fa11 cility project to benefit international maritime cargo 

12 as certified by the Secretary of Transportation or 

13 designee, in consultation with the Assistant Sec14 retary of the Army for Civil Works or designee. 

15 (5) Improvements to a land port of entry 

16 project to benefit international maritime cargo as 

17 certified by the Secretary of Transportation or des18 ignee, in consultation with the Assistant Secretary of 

19 the Army for Civil Works or designee. 

20 (6) A project that improves access to a port or 

21 intermodal terminal facility to benefit international 

22 maritime cargo as certified by the Secretary of 

23 Transportation or designee, in consultation with the 

24 Assistant Secretary of the Army for Civil Works or 

25 designee. 


tjames on DSK6SPTVN1PROD with BILLS
16 

•HR 4105 IH

1 SEC. 6. REPEAL OF HARBOR MAINTENANCE TAX. 

2 (a) IN GENERAL.—Subchapter A of chapter 36 of the 

3 Internal Revenue Code of 1986 is repealed. 

4 (b) CONFORMING AMENDMENT.—The table of sub5 chapters for chapter 36 of the Internal Revenue Code of 

6 1986 is amended by striking the item relating to sub7 chapter A. 

8 (c) EFFECTIVE DATE.—The amendments made by 

9 this section shall apply to port uses (as defined in section 

10 4462 of such Code, as in effect on the day before the date 

11 of the enactment of this Act) on or after October 1 of 

12 the first fiscal year beginning after the date of the enact13 ment of this Act. 

14 SEC. 7. TREATMENT OF BALANCES FROM THE HARBOR 

15 MAINTENANCE TRUST FUND. 

16 Any remaining balances in the Harbor Maintenance 

17 Trust Fund established by section 9505 of the Internal 

18 Revenue Code of 1986 (relating to expenditures from the 

19 Harbor Maintenance Trust Fund) shall remain available 

20 until expended in accordance with the requirements of 

21 subsection (c) of that section. 

22 SEC. 8. APPLICATION OF WAGE REQUIREMENTS. 

23 Nothing in this Act shall be construed to prevent the 

24 application of wage requirements otherwise applicable to 


tjames on DSK6SPTVN1PROD with BILLS
17 

•HR 4105 IH

1 harbor maintenance improvement projects on the date of 

2 enactment of this Act. 

Æ 


tjames on DSK6SPTVN1PROD with BILLS