Ninth Ann

of 

Federal Maritim

Fiscal Year End

For sale by the Superintendent of Docu

Washington DC20402 
FED

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LETTER OF 

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TO THE SENATE AND HO

Pursuant to sec

No 7 of 1961 and s

Act 1936 I respec

the Federal Maritime 
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TABLE OF 

HIGHLIGHTS OF THE YEAR

SCOPE OF AUTHORITY AND BASI

INTERNATIONAL COMMERCE

Carrier Agreements

Exclusive Patronage Dual Rate C

Freight Rates

Shippers Requests and Complaints

Special Studies and Analyses

International Relations

DOMESTIC OFFSHORE COMMERC

Freight Rates

Special Investigations

Domestic Carrier Agreements

Financial Analysis

MARINE TERMINAL OPERATORS

OCEAN FREIGHT FORWARDING

PASSENGER INDEMNITY

OIL POLLUTION FINANCIAL RES

ECONOMIC ANALYSIS

EFFORCENIENT AND COMPLIANC

Informal Complaints

Surveys of Domestic Carrier Operati

Field Investigations

Formal Proceedings

PROCEEDINGS BEFORE HEARING 

MARITIME COMMISSION

Decisions of Hearing Examiners

Final Decisions of the Conmtissimr

RULEMAKING

ACTION IN THE COURTS

LEGISLATIVE DEVELOPMENTT

ADMINISTRATION

Organization Chart

Statement of Appropriation and Obl

HIGHLIGHTS 

The Federal Maritime Comm

1970 to administer programs an

the regulation of the waterborne 

merce of the United States H

developments and Commission a

transportation for the fiscal ye

follows

Technological Developments

The most significant develop

acceleration of integrated trans

technological developments in th

related there are four developm

reasons serves as a spur to fur

four developments are 1 Incre

tion systems based on the intermo

the unitization of cargo on palle

loading and discharging 3 the 

and 4 the introduction of soca

ing both inland waterways and the 

Increasing Development of Inte

The North Atlantic trade betw

Europe including the United Ki

very rapidly toward the point 

trend which began more than a 

Hawaiian trades and about five y

showed signs of development in 
are not based solely on t

the fully containerized 

highspeed terminal fac

to control the flow of go

facturing plant embrace

an ocean terminal ocean 

terminal and further inla

ever end use is desireda

producer and the user

U

Spurred by the direct 

ship other carriers are c

more conventionaltype o

to lower the cost of cargo 

which can be loaded an

tiously and with less use o

These efforts involved 

mechanical means such a

specially designed with s

be lifted on for lowerin

are the problems of enc

their own production and 

of equipment and inducin

so as to encourage this ty

LASHSEA

During the year the wos

went into operation betwee

approximately 28 simila

vessels of the SEABEE typ

or planned for use in US 

four USflag carriers an

Vessels of this type are 

barges are lifted on the 

shipboard cranes or mar

barges at any port in the 

towed to a deepwater por

2
UNITED STATES PORTS NAM

CONTRO

9 FEET OR MORE

UNDER 9 FEET 1011H4

AUTHORIZED EXTENSIONS
the ocean transportation 

or even in open water th

towed to any port where 

The expense of transfer 

carrier is virtually elimi

is only a fraction of tha

been estimated that thre

the same utility as 15 con

The benefits of direc

lading will be extended 

tem The first tariff filed 

the LASH system in our e

1969 The potential imp

patterns of movements o

judged by reference to th

in this tariff

During the year the fi

primarily between Gree

Central American ports 

in the near future to int

trades

These vessels as distin

are self propelled They 

either at sea or on inland 

to barges The current t

Mississippi River ports P

way system

Automation Affects N

Contribution to 

Efficient and speedy loa

by containerization and 

basis for a dispute which 

the 140 members of the N

tion of steamship lines 

waterfront contractors at 

4
The controversy involved the 

make allocations of the expenses 

guaranteed annual wage and N

contributions had been made so

totals at New York are increasin

and other innovations manhour

increased tonnage are decreasing 

the International Longshoremes

contributions on the basis of a m

jections indicated that the manh

guaranteed minimum

The need for a change in th

tainerization was recognized by th

assessment formula was filed with 

which was protested Later a p

manhours was filed This agreem

bulk lines Then a third agreem

hourtonnage formula was filed 

On March 11 1970 the Commis

Shipping Act 1916 gave condi

man hourtonnage formula Opp

Commission sconditional appro

Court of Appeals for the Distri

refused to issue an order to stay th

the Commission to decide the m

conducted in February and Mar

1970 in Washington DC Num

ceeding The matter is now pendin

Freight Rate Disparity Prog

Disparities between inbound 

have been alleged to disadvantag

penetrate and compete in foreign 

a new program whose purpose 

disparities

Commission activity has been 

significant rate disparities in the 
East trade the North Atla

ican Great LakesMedite

will be scheduled for stud

Commission Decisions

The Commission sdeci

however the following are 

Docket No 689Free T

On Apri19 1970 the Commi

the practice of granting unlim

York and Philadelphia to be 

of section 17 of the Shipping 

be enforced at these ports G

not exceed ten 10 working 

level for the first period fol

periods The effective date 

August 17 1970

Docket No 6933Atla

Conference Agreement No 2

mission served its report in 

agreements of nine 9 ship

The approval authorized the 

intermodal arrangements w

was for a period of 18 month

tiating such matters with the 

achieve no results in negotiat

tion will lapse

Docket No 6951Agree

Between Prudential Lines In

fer of Prudential Assets and 

December 22 1969 the Com

Act 1916 approved an agree

Prudential Lines Inc and G

bined operation of Prudentia

ical advancement and econo

shippers and ports primarily 

to the trade areas served by the 

Docket No 6953Filing 

Commission on April 15 19

by water in the foreign comm

mission tariffs of through rat

between ports or points in the 

R
country The rule requires filing o

description of the through route an

participating carrier Additionally t

be collected by the water carrier fo

service The rules became effective Ju

Puerto RicoVirgin Island 

A staff study of the trades w

commenced during the fiscal ye

fiscal year ended June 30 197

in which the many facets of these 

Transportation services water 

role in the industrial developm

containerization on the carriers 

the relation of ocean transporta

the development of terminal fac

the adequacy and efficiency of e

lems of pickup and delivery se

levels and the rate on specific com

It is expected that this study w

pers and carriers alike and that 

the background information for 

day use in the development of m

latory techniques

Other Significant Activities

In other activities the Comm

tuted on its own motion 3 form

visions of the Shipping Act 191

1933 b issued 31 final dec

ings c approved under provi

198 carrier agreements and 64 

35 freight forwarders e issu

owners and charterers attestin

demnification of passengers in e

transportation fissued 11 ce

sibility to meet liability incurre
or other persons g pro

h granted 243 and de

effect new or increased fre

time i initiated action

and concluded its action 

j participated in 18 cas

the decisions and orders o

These and other activit

in subsequent sections of t

Special Activities of t

During fiscal year 19

engaged in a number of s

the Commission sviews o

sional committees addre

tions and making telev

Visits were made to majo

information on local sh

interested public official

Immediately after assu

Mrs Helen Delich Bentl

consultations and meeting

areas of the four seacoas

Kingdom and Northern E

cused upon the interrelat

and responsibilities of th

maritime program and th

United States

The Chairman continue

to the financial respons

pollution of our coastal 

duties ultimately delegate

the outset has adopted an 

sons shipowners conferen

and government representa

promptly present their p

Affording the opportunit

resulted in a noticeable im

8
mission and shipping interests in 

Europe Throughout the year the 

liaison with the congressional co

with maritime matters and has giv

raised by individual members L

upon close coordination with oth

cies concerned with maritime affa

Vice Chairman James F Fan

on various panels and seminars w

lution speaking before the Cong

Forwarding Agents Associations 

tional Transportation Semina

International Container Services 

cago During the celebration of W

Vice Chairman Fanseen gave the 

address

Commissioner Ashton C Bar

various capacities eg particip

launchings and working receptio

many of the complex features fo

shipping industry

Commissioner James V Day 

national Transportation Confere

the Commission sconcept cont

delegates

He was guest of honor at a me

tion Club of Greater New Orle

National Transportation Week a

role of our ports ocean carrie

overall cargo transportation pict

Among other recognitions Co

of a citation For Meritorious S

of Visitor of the 114aine Maritim

Commissioner George H Hea

tationoriented conventions con

discussed and spoke on variou

The National Defense Transpo

pean Convention and other tran
sioner Hearn answer c

explaining the essential 

the intention of the Unit

good of all nations At t

Association Commission

and showed how the FMC 

from unfair practices of 

practitioners and at sem

Hearn explained problem

and outlined how the FM

lems through rulemaking 

other agencies to ensure o

from unnecessary regulat

Commissioner Hearn a

the fourth session of the T

on Shipping of the Un

Development

10
SCOPE OF AUTH

FUNC

The Federal Maritime Comm

pendent agency by Reorganizatio

1961 Its basic regulatory autho

Act 1916 Merchant Marine Ac

1933 Merchant Marine Act 19

ber61966 and Public Law 912

The Commission is composed 

by the President with the advic

Commissioners are appointed fo

three of the Commissioners being 

party The President designates 

Chairman who also serves as the 

officer of the agency

The statutory authorities and 

brace the following principal a

practices and agreements of com

other persons engaged in the fore

2 acceptance rejection or dis

carriers engaged in the foreign c

regulation of rates fares charge

and practices of common carrier

trades of the United States 4 

forwarders 5 investigation of 

r Executive Order 11548 dated July 

Commission the responsibility and auth

Quality Improvement Act of 1970 to 

the certification by the Commission of pro

to meet the liability to the United States 

411748 0713
sification and practices 

shore commerce 6 is

responsibility of vessel 

personal injury or death 

formance of voyages or 

dencing financial respo

operators to meet the lia

of oil and 8 renderi

rules and regulations go

water terminal operator

The Commission shea

Washington DC 2057

follows

New York office

San Francisco office

New Orleans office

12
INTERNATION

Carrier Agreements

Section 15 of the Shipping Ac

to grant exemptions from the p

common carriers by water in t

and to other persons subject to th

riers or persons enter into arra

ments regarding anticompetitive 

Such activities include fixing ra

or apportioning earnings or traf

ings limiting or regulating the 

carried and providing for exc

working arrangements The agre

may not be implemented prior 

agreement must be disapproved 

and hearing that the agreeme

2 operates to the detriment of 

3 is contrary to the public inte

of the Shipping Act 1916

Activity in Processin

The Commission is current 

agreements The average proce

the date of filing in fiscal year 1

fiscal year 1970 This is an opt

cludes a normal 20day Federal 

interested persons are given the 

tests It also includes prolonged 

ings on certain agreements appro
Processing of 43 perce

in fiscal year 1970 was f

of the authority delegated 

it possible to process va

ments covering nonsubsta

other interstitial matters w

At the beginning of fis

pending Commission ap

of 15 new agreements a

agreements During the y

agreements and 120 mod

agreements 20 agreement

of informal discussions c

agreements five were pe

in process of staff analysis

At the close of fiscal y

agreements on file consist

10 joint conference agre

pooling agreements 29 

agreements and 86 misce

Exemption of Nonexclu

Se

Section 35 of the Shipp

sion upon application or 

exempt for the future any 

ject to the Act or any sp

requirement of the Shippin

Act 1933 However this 

Commission when it finds 

impair effective regulation 

unjustly discriminatory o

Final rules exempting 

from section 15 approval 

The Commission under a

requirement of filing for i

implementation of tariff f

the Act is able to exercise 

14
transshipment agreements from f

under section 15 The best intere

now being served by implementa

shipment arrangements with litt

readily negotiated and put into o

During fiscal year 1970 50 

ments were filed with the Com

rules Most of these became ef

compliance with the tariff filing r

Agreements Involving New 

During the fiscal year the Co

on agreements which deal with th

1 Agreement 9798 is a cooperativ

Atlantic Line Wilhelmsens and Lyk

of cargo containers and equipment 

European trade This agreement 

commerce because it will help main

tainers and equipment in this trade

2 Agreement 9806 is another c

Swedish Atlantic Line Wilhelmse

German Lloyd providing for the inte

equipment in the I1S GulfUnited 

agreement was approved July 31 19

3 The Commission approved Ag

viding for the operation of a LASH 

service in the westbound trade fro

inland waters in the United Kin

dinavia and Baltic area to US Sout

andor places on inland waterways

This is the first agreement prov

places on inland waters to ports and 

States It is expected that the app

thereunder will provide a pattern f

commerce

4 Agreement 9810 providing fo

of the capital stock of Grace Line a

the PrudentialGrace Lines Inc 

hearing on December 22 1969 O

issued by the Commission on Septe

mation about the circumstances a

merger and its impact upon the re
The issue of Commission ju

sides and then laid to rest 

in the Matson Navigation C

2d 796 wherein the US 

December 18 1968 that a p

American Mail Line Ameri

subject to approval under se

ment regulating preventing 

The major argument for a

lighteraboard ship conce

Prudential was already com

ranean and proposed to fol

trades of Grace Line

The Commission in appr

shippers importers and exp

nomical service in the relev

found that the agreement wou

discriminatory or unfair as 

or ports or between expo

competitors

5 On June 10 1969 the 

ing for a cooperative working 

mon carriers This cooperativ

Operators Intermodal Comm

present a common position 

vate associations on all aspe

6 Agreement 9815 covers 

a Unit Load Council to p

United States and internation

ent Gulf Line A P Moller 

agreement at the time it was 

may be admitted to the coun

at least 3i of the regular mem

ers railroads and port author

7 On February 13 1970 

establishing a Pacific Unit 

load concept in the Pacific Co

B Agreement 9721 betwee

and Yamashita Shinnihon an

joint establishment of two c

Los Angeles and one at Oak

1968 and modified Decemb

carry on the business of loa

receiving handling and deliv

16
and operating marine cargo and con

doring and other services

9 Agreement 9768 was approved 

and modified November 6 1969 T

between Hamburg America LineNor

vides for interchange of cargo conta

the US GulfUnited KingdomNorth 

10 On December 18 1969 the C

gation and hearing to determine wh

tainer Conference Agreement 9813 

modified Parties to the agreemen

Lines Atlantic Container Line Dart 

Moore McCormack SeaLand North 

Although the agreement does not a

cargo it apparently establishes a 

through transport and inlandtoinla

are currently 21 conferences and r

covered by this agreement and many 

agreements the investigation was o

ments could create a competitive co

11 A container consultation an

approved by the Commission on Fe

flag lines and one American flag Fa

United States agreement The propo

the New ZealandUnited States trad

complete transition from traditional 

plete container service For this rea

are anxious to exchange informa

refrigerated containers which is the 

12 Agreement No 9827 betwee

Land Service Inc two major con

sion consideration on October 27 

time charter of all 16 United States 

or under construction for a 20year p

lease to Sea Land of certain contain

of United States Lines offices and fa

of the parties obligations bti their 

Kidde 3 Co and R J Reynolds To

by a number of other carriers Invo

for 16 ships it is probably the larg

before the Commission The Commi

investigation and hearing under Do

teas completed in fiscal year 1970 

Paul D Page Jr Chief Hearing E
Exclusive Patronage 

Section 14b of the Ship

sion on application after 

the use by any common c

commerce of any contrac

and consignees on equal t

rates to a shipper or cons

portion of his patronage 

If the Commission finds 

mental to the commerce o

interest or unjustly disc

exporters importers or p

States and their foreign 

prove such application

At the beginning of fisc

for permission to institute 

mission approval and one 

ing system During the ye

approved systems were fi

Commission in fiscal year 

withdrawn before appro

during the year leaving o

The latter is now before th

7023 and concerns the e

rate system to cover Puerto 

The Commission grante

United States Atlantic and 

ment 6080 to institute a d

trade from the Dominica

Gulf ports This system c

modities moving in the tra

year time limit was placed 

the expectation that increas

modes of transportation w

petitive aspects of ocean c

There were 69 dual rate 

During the year one new 

systems were canceled lea

18
Freight Rates

Section 18b of the Shipp

mon carriers by water and confe

file with the Commission tariffs 

and rates applicable to the tra

borne foreign commerce of th

requires the Commission by re

manner in which ocean freight 

regulations

General Order

to accomplish

13 Filing

this

requi

w

are designed to insure that ade

that the tariffs are reasonably u

applied without difficulty Modi

ently being considered to furthe

to standardize certain essential 

simplified documentation and r

During the fiscal year 1970 

received This brings the total 

effect to 2595 A total of 104 299 

iffs reissued tariffs and chang

received These pages represent 

tial rates and 260 00 rate cha

pages were issued for failur

requirements

Particular emphasis has be

filings on those commodities for 

a significant effect upon the 

Shippers are given advice a

requests for rate adjustments w

permitting a satisfactory rate 

close and detailed examination 

tions governing the application 

Freight Rate 

In an effort to insure that fre

against the US exporter by b

level on outbound cargo as op

the same or similar merchandis

411746 0714
the Commission initiated 

and to seek their elimina

the Commission srepor

Ocean Freight Rate Struc

the Commission stated t

show that a rate appears 

rate on a similar commo

petitive trade When a p

merce the burden of pro

to the carrier

Commission activity h

ing significant rate dispa

Far East trade the Nort

American Great Lakes Me

will be scheduled for stu

49 disparately rated com

conference lines and to d

adjusted In the North A

lines voluntarily reduced 

significantly higher outbo

Where the Commissios

third market disparities w

effort is made to obtain v

the carriers assessing the 

the carriers may be subjec

tigation The Commission s

a continuing basis

Filing of Throu

Current expansion of 

commerce involving con

LASH lighteraboard sh

and new tariffs covering 

setting forth rules and reg

tion of such tariffs seeks t

such service Believing th

services offer economic b

Commission endeavors to 

inherent in these new servic

20
As a result the Commission a

amendment to its tariff filing reg

ment 4 providing for the filing 

modal rates These tariffs cov

destination points will be much 

porttoport ocean tariffs

In adopting the above regulat

jurisdiction over or desire to r

tions However in order to reg

through rate representing ocean 

for the Commission to have infor

accomplished just as it must h

subject to its jurisdiction contr

fulfilling the transportation con

concern will be extended into ne

with other Government agencies 

ters will be required Similarly 

miniship operations portend a

areas in which the Commissio

involved

It is apparent particularly in 

ical advances developing sim

movement and rate structures 

changes will affect the opportu

foreign markets the expansion 

of employment in shipping and 

posture of US carriers in wor

national and international conc

the next three to five years unde

may well endure for decades 

bility of shaping its regulatory p

conditions so as to best serve the 

Special Perm

During the fiscal year 1970 

for waiver of the filing notice w

section 18bof the Shipping A

ized in its discretion and for g
notice requirement set fort

applications received 91 

were withdrawn by the app

Frei

The Commission main

riers and conferences with 

freight rate surcharges S

temporary basis because 

stoppage or some other im

expenses not under the co

increased costs to shippers 

keting capabilities the Co

all pertinent facts with a 

charge is warranted

When a surcharge is fi

immediately requested re

the carrier or conference 

the right of carriers to offse

seen circumstances it has 

not more than necessary a

The Department of State h

data concerning condition

carriers have cooperated 

postpone or eliminate surch

Listed below are those p

been instrumental in havin

PortCountry 

Kingston 

Santos 

Brazil 

Conarky 

Nigeria

Caribbean area 

Benghazi 

Tripoli 

Valetta 

Venice 

Le Havre 

22
In addition to the above canc

riers and conferences by the C

reductions andor postponement

savings to shippers Listed below 

ments for fiscal year 1970

Portcountry A

Port of Spain 10 pe

Puntarenas 20 p

LagosApapa 20 pe

Danang Quinhon

Nhatrang Camranh

B 275 

Ashdod 10 p

Haifa 15 p

Israel 10 p

Beirut 15 p

In addition to the foregoing 

closed instances in which carrie

tariffs to include ports which 

surcharges set forth in their tar

the Suez Canal In all instances 

successful in having the carrier

nation also disclosed that severa

Suez deviation charges than co

Here again after contacting t

tained in reducing the applicabl

Because of the Commission s

for surcharges it is apparent th

more cautious with respect to su
Genera

The Commission has 

general freight rate incr

pose of the program is to 

carriers and conferences 

undue burden on our co

the provisions of the Ship

lish notice of a general fre

as to the specific factors th

by the member lines In a 

in reduction or postponem

benefiting American expo

to shippers were obtained 

Outbound Conference re

to 5 percent and postpone

October 1 1969 the Ne

postponed a 7Y2percent g

to November 1 1969 th

ence postponed indefinite

and the Shipping Corpora

eral rate increase in the 

Coast of United States rate 

Shippers Requests an

Conferences and ratema

in US foreign commerce 

trust laws as provided by 

required by that section to 

for promptly and fairly h

and complaints To imple

mission adopted rules an

in the form of General Or

file quarterly reports of sh

and indicate the dispositio

for the period July 1 196

conferences received and a

percent of the requests rec

24
Although the percentage is slig

results reported are very nearly 

years since 1965 when reporting 

the Commission This relatively 

by the conferences is doubtlessly 

pers requests but also to the 

tomarily give to these matters 

exercised by the Commission

Special Studies and Analyse

Adaptability of Confe

Containerization has become 

changes in trade patterns to Eu

creasing numbers of containersh

East trades In order to prope

tions the Commission is contin

rules to insure that the develop

hampered by restrictive tariff ru

In fiscal 1969 the Commissio

the container rules as publishe

quently the Commission reque

container rules that adversely af

ized services Those conference

parity in the rates and charges 

as compared to other forms of s

watch developments in this field 

of rules which inhibit the use of c

Staff InvestigationNo

Carrier

On March 2 1961 in its dec

of Common Carrier Status 6 F

time Board established a class 

riers NVOCCs The majority 

ing before the Commission s

engaged in the transportation of 
development of specialize

through intermodal carria

plexing problems particu

small shipments by NVOC

operates as a carrier to sh

carriers Because of this 

NVOCCs by the equipme

not been uniform

The consolidation of s

NVOCC to offer the under

believes that this is a va

forded lower rates than th

the vessel operators fear 

between shippers

In fiscal 1969 the Com

ground data on the opera

and carriers At informal 

from NVOCCs brokers s

riers operating in both the 

of the United States

The staff has summariz

developed in this study 

with that developed by ot

Commisson policy with re

in developing intermodal t

International Relations

The Federal Maritime C

in close touch with the Dep

sentatives of foreign nation

which arise out of the Coms

efforts

utes During

to bring

fiscal

about

year

better

19

by the major shipping co

showed improvement Repo

eral Maritime Commission 

sources indicate that the 

Delich Bentley and the oth
about better acceptance of an

requirements in our oceanborne 

Chairman Bentley in her fi

international regulatory proble

cials and explained the US 

measures of the Federal Maritim

Commissioner Day visited w

ping officials to review inter

problems of the Pacific area

Commissioner Hearn discus

problems with government and 

dom and represented the Com

On Shipping of the United Na

velopment in Geneva Switzerl

The staff of the Federal Ma

meetings with European and J

various problems arising out 

shipping containerization and 

discussion and elaboration of t

filing of through routes and 

items discussed at this series of 

During the period under re

with representatives of embass

had international shipping pro

mission regulatory activities

The Commission secured as

ican embassies abroad concern

in ports around the world M

Commission evaluation of the v

ports

The Commission also furnis

sies abroad on a variety of int

freight rates conference matte

other allied subjects

Foreign 

The prospect of foreign ship

fiscal year 1970 The staff of 

411746 0716
tinual surveillance of fore

tions and has kept the Com

There is a growing ten

of the world to direct car

ment decrees In Latin Am

the kinds of commerce w

regulations requiring tha

generated cargoes move on 

The discriminations m

about by the direction o

cargoes to nationalflag s

lines

Experience has shown t

acceptable alternatives to 

in opposing this type of d

any governmental action w

ofUSshipping lines in th

During the period und

pooling and equal acces

Lines Inc and Flota M

traffic between US Atlan

Empressa Lineas Maritim

Lines Inc covering cargo

Coast and Great Lakes p

Argentinas and Delta Ste

tween Argentine ports and 

In addition the Commis

ments between Prudential

de Vapores CPV for ca

Peruvian ports as well as 

can Steamship Co and CP

Gulf ports to ports in Per

and Lloyd Brasileiro and 

mar SAcovering the m

and Gulf ports to Braz

Companhia de Navegacao 

cantil SA covering the 

ports to ports in Brazil an

FI13
Lines Inc and Lloyd Brasileir

from theUSPacific ports to por

The Federal Maritime Comm

tion and surveillance in this prob
DOMESTIC OF

The Federal Maritime C

of domestic offshore comm

Alaska Hawaii Puerto Ri

Virgin Islands pursuant to 

Act 1916 and the Interco

These two statutes provid

over common carrier freig

water carriers are required 

rates with the Commission 

tive date of the rate The C

period of four months the e

rates pending a hearing an

tariff in question If the C

ings that any rate fare c

practice is unjust or unrea

order enforced a just and re

During fiscal year 1970 

shore domestic trades have 

operations The past trend 

tainerized vessels has cont

domestic trades continue to 

and a generally reasonable 

In the USPacificHaw

tered the trade and existing 

In the Alaska trade an a

trade

In the Puerto Rican trade 

ices and additional lines ha

In the Pacific CoastGua

service during this fiscal ye

Bb
In the East Coast Virgin Isla

converted from a service which 

to a more efficient specialized c

Freight Rates

The Intercoastal Shipping Ac

require that carriers file with 

public inspection schedules sho

for or in connection with tra

the domestic offshore trade T

which are in accordance with th

Commission srules and regula

which violate these statutes or re

In fiscal year 1970 approxim

to the transportation of propert

these 721 pages were rejecte

with respect to corrective action 

one investigation and suspensio

essed relating to questionable 

and in 16 of these instances th

ceedings placing such matters u

During fiscal year 1970 se

cials of domestic offshore carr

tives of the offshore governme

informal settlements These se

tion in formal proceedings It 

proceedings were prevented by 

tial saving to the Commission 

Special Perm

Upon application of the reg

Commission may at its discret

viation from the statutory req

its rules governing the form of 

the commission processed 161 

regulated carriers denied tw

applicants
Exemptions Fro

Section 35 Shipping Ac

exempt

any class of agreements be

fied activity of such persons fro

or the Intercoastal Shipping A

substantially impair effective 

or be detrimental to commerce

During fiscal year 1970 

under this authority involv

trades

The first exemption app

tank vessels in the trade b

Puerto Rico Such carriers 

quirements of the Interco

monwealth of Puerto Rico 

the exemption was a matte

to be a continuing expan

Puerto Rico The exemptio

enables carriers to conduc

ments of shippers of large v

The second exemption a

cargoes transported betwee

oil development area of Ala

A carrier was made exe

the Intercoastal Shipping A

tions only for the 1970 su

the movement of supplies a

in that region in 1968 The 

trolled by ice conditions a

that the service may be re

involved and the uniquenes

each of the exempted carrie

relating to the movement T

future movements if any 

quirements in the public 

32
Special Investigations

General Investigation of US 

On February 20 1970 the Co

investigation into the rates and 

ing the US AtlanticPuerto R

first broad investigation into t

riers in this trade in many yea

of the rates of the carriers and 

tures are just and reasonable T

carriers will go beyond any pr

consideration as to whether c

carriers require similar or diff

adequate and efficient ocean 

sider whether certain corporat

two carriers are proper under 

should be treated as a single e

lawaiian Trade Brea

In the Hawaiian trade the m

rates for the carriage of brea

containerized Since most of 

trade now carries cargo in con

cerned with the availability o

ableness of rates for shipmen

or too large to be containerize

into an investigation of these p

Domestic Carrier Agreem

Section 15 of the Shipping 

riers by water may not enter 

volving certain anticompetitiv

unless such agreements are fi

Maritime Commission Such 

the Commission finds after no

unjustly discriminatory opera

the United States is contrary 
violation of the Shipping A

section 15 grants exempti

within the scope of the appr

All agreements entered 

are reviewed by the Coms

meet the standards for app

should be set down for he

proval The Commission m

proved section 15 agreemen

being carried out in a mann

During fiscal year 1970 

tions to approved agreemen

tic offshore trades were file

agreements were approved 

were determined to be not s

were pending Commission 

Financial Analysis

During fiscal year 1970 

ments from 41 carriers in t

accordance with the provis

reflect the financial conditio

tities In addition 47 report

of General Order 11 an in

1969 General Order 11 re

of data pertinent to carrier 

offshore trade These data d

at headquarters and on the 

material assistance in clarif

A summary of the data su

by the major carriers in each 

the following changes in the

a Total revenues over the 

crease of approximately 58 mi

that for 1968

b Tonnage carried also in

that for 1965 and in 1969 appro

34
These results may be attribut

containerships with the ability t

contrasted to breakbulk vessels 

vessel has been proven so effic

cargoes heretofore limited to b

of this type will be operating i

future

Net operating results howev

ble in part to the significant in

and the subsequent increases in 
MARINE TER

The activities of marine 

Commission pursuant to th

This entails the processing 

minal tariffs and policing 

rying out this responsibilit

Commission during fiscal y

1 The US Court of App

on June 11 1970 affirmed 

tion rules promulgated by 

sioned at piers operated b

Conference in New York

2 A staff level study c

property at Pacific Coast po

The study indicated that the 

to valuation of marine te

through negotiation betwee

proceedings if a protesting 

rather than by Commission 

3 The Commission inst

22Inthe Matter of Agre

Seattle and Japan Line Lt

OSKLines Ltd Nippon 

and YamashitaShinnihon S

the agreement covering a p

terminal facilities at the Po

whether it should be appro

to section 15 of the Shipping 

The lease involves the 

equipment for container ha

36
lease additional land plus the 

cupancy of other land Protest

were filed by the City of Portla

Calif urging inter alia that t

not compensatory

4 The Commission institute

57Inthe Matter of Agreeme

Association Cooperative Workin

it should be approved disapp

tion 15 of the Shipping Act 1

late to an assessment formula a

obligation provided for in co

the International Longshorems

members of the Association pro

Subsequently various modifica

completely new agreements w

proceeding in Docket 6957 O

granted conditional approval 

Agreement No T2390 Pro

Appeals for a stay of the Comms

on April 29 1970 However t

conduct hearings within 30 da

have been concluded and the m

5 The Commission institut

47Inthe Matter of Agreemen

nal Lease for Passenger Facilit

the two agreements are 1 

between carriers 2 detrime

States 3 contrary to the pub

tion of the Shipping Act 1916

Agreement No T2271 be

and the Port of New York Aut

operative working arrangemen

operation of a new modern ma

River in midManhattan The 

efforts to effectuate the conso

the new terminal So long as 

provide adequate service to pas
construct operate or ma

other parties to do so

Agreement No T227

various steamship operato

to the proposed passenge

struction of the new facili

has with the Carriers The 

terminal The carriers ag

to and from the Port of 

agreements Carriers wil

a tariff to be published b

be permitted to utilize t

agreement or under othe

tical effect as the agreeme

The agreements were 

February 20 1969 and p

Marine Space Enclosures 

land NY Comments were 

ing that the agreements 

approved by the Commis

issued a memorandum or

on the grounds that the p

interest Subsequently M

before the US Court o

Circuit to review the orde

closures Inc v Federal M

F 2d 577 the Court of Ap

sion for further proceedin

Commission instituted Doc

6 On January 14 197

cause why the Boston Sh

and desist from the pract

the member stevedoring c

volve actions taken pursu

Shipping Act 1916 which 

This action resulted from 

Commission by United S

in the Port of Boston Th

703United Stevedorin

38
7 The staff processed 158 

such agreements carried over f

section 15 of the Shipping Act 

mined not to be subject to the 

mission and 10 were voluntar

eight were pending final Comm

8 Eightytwo quarterly rep

complaints submitted by rate

cordance with the Commissios

9 Approximately 5430 ter

determine whether they confor

eral Order 15 Shipping Act 

agreements to which the termin

10 The minutes of 113 te

viewed and analyzed to determ

proposed action was violative o
OCEAN FREI

Licensing

Section 44 of the Shippi

and regulation of independe

mission Inasmuch as ocea

special fiduciary responsib

them all persons filing a

and information developed 

ing and able to function a

within the meaning of the st

The following represents 

during the year

At the close of fiscal yea

pendent ocean freight for

completion of review Durin

were received 35 licenses w

or withdrawn and 35 wer

Thirtyone licenses issued 

during fiscal 1970 As of th

ocean freight forwarders li

four over the previous year t

It appears that containe

warders traditional port a

mentation of small shipme

are attracting increasingly g

from factory to inland term

dated into container loads 

port Thus many exporters n

with ocean freight forward

40
ments by separate intermediate 

complexes provide all or mo

thereby eliminating the most 

by ocean freight forwarders for 

As indicated above howev

not yet perceptibly reduced th

warders However spokesmen 

as the Federal Maritime Com

warders must either find way

operation in order to remain c

tion complexes or face an alm

forwarding industry Because 

those American exporters who 

tional functions of ocean freigh

taining an awareness of the s

existing regulations or to initia

end the staff of the Commissio

men of the freight forwarding i

In a number of formal proce

Commission was seeking to det

licensed independent freight f

the question of whether a forw

dependent ocean freight forwa

company by a firm which is an 

the United States Several oth

forwarders with exporters or a

1916 and the Commission sre

Other Sig

The Commission srules app

freight forwarders Part 510 

Federal Regulations will be re

pose of updating and stream

include deletion of obsolete g

The trend toward mergers i

warder industry is continuing 

to determine its implication a
the shipping public At th

in section 15 Shipping A

area monopolies by forwa

42
PASSENGER 

The Commission is charged w

and 3 of Public Law 89777 en

protection for passengers on ocea

Section 2 of the statute requi

having berth or stateroom acco

gers and embarking passengers 

responsibility to meet any liab

passengers or other persons on 

Section 3 requires persons 

providing passage on such ves

bility for indemnification of 

transportation

The rules implementing sectio

prescribed in General Order No 

During the fiscal year the Cos

sive review of operating experie

Order 20 and recommended ch

beneficial to the public and pa

the rules The public was offered 

posed revisions and at the con

making proceeding was nearing 

During fiscal year 1970 the C

for performance and casualty ce

3 of the statute This represent

cates of Financial Responsibility 

performance of Transportation 

of Financial Responsibility to 

or Injury and 16 amendments 

ments represented additional ve
cated operators changes in 

organizations and new cha

of the year were one appli

applications for casualty c

ing performance and casua

In addition to the issuanc

the fiscal year the Commiss

and seven casualty certific

the termination of operat

and changes of ownership

Twentyfour informal co

ger vessel operations con

mission does not have the 

complaints every effort is 

and to improve conditions 

interested shipping officials 

Included in the passen

Commission was one whic

bean Cruise Association a 

bean cruise operations Th

is devoted exclusively to the 

While some operators h

number of cruises being 

New applications filed w

entry of seven passenger v

cruises alone

44
OIL POLLUT

RESPO

On March 25 1970 Congres

ment Act of 1970 which amen

trol Act to provide measures fo

bill was approved by President 

Section 11p1 requires a

ing any barge of equivalent 

United States or the navigable 

siting the Panama Canal to es

Maritime Commission evidenc

per gross ton or 14 million w

liability to the United State to 

for the discharge of oil into 

United States adjoining shore

the contiguous zone The amou

on the gross tonnage of a vess

The President in a letter tC

1970 delegated to the Federal 

bility including issuance of 

tions to carry out the provisio

Executive Order 11548 Dele

Under the Federal Pollution 

July 20 1970 incorporates the 

3 of the order and supersedes th

derogating from any action he

This responsibility will cons

thevessefs J Uni

required to establish and main

mission evidence of financial r
oil spills At the end of 

implement the financial r

section IIp1of the W

were in preparation and r

ter for comments thereon

46
ECONOMIC 

Transport Economics

The economic functions of the 

evaluation and assembly of a w

tion data related to the moveme

and foreign trades of the United 

studies and analyses designed t

these trades of the Commission s

to determine what changes if 

expand the overseas trade of the 

Among the studies that have 

level of carriers general rate s

level of rates and to the relati

other surveys of foreign market 

tion compares unfavorably with 

toward correcting any inequities 

nation of the practice of impo

cargoes for destinations describ

ports

Establishmen

In order to provide the Comm

marshaling the volume of econ

with its regulatory problems and 

bility in preparing studies on 

information repository is being e

data applicable to the foreign and 
ENFORCEMEN

Informal Complaints

US Foreig

The Commission has a 

informal complaints recei

shipping in US foreign 

quently encountering shipp

shippers or receivers of c

significant segment of the 

published rules and regu

to establish procedures fo

sidering shippers reques

shortened procedure by 

1000 or under adjud

pense It has provided a c

mission offers its good of

involving matters within it

effect resolution of such 

necessity of initiating for

During the fiscal year 

received from shippers ca

District of Columbia Pu

types of complaints receiv

or thirdcountry rate dis

porters 2 protests aga

and export 3 claims p

tices by carriers 5 prot

putes as to commodity 

48
operations without a lawful t

Commission

Under the Commission spr

plaints and protests a total of 

sion in fiscal year 1970 Of th

or third country rate disparities 

US shippers After strong inte

these cases were resolved throu

shippers There were 65 other 

which were concluded on the bas

The 84 claims complaints ha

a 55percent increase over the 

in problems is accounted for by 

is not clear No doubt this is a f

concluded in a manner favorab

Investigations of alleged vio

ments of section 18b of the 

misbilling and misdescription v

which shippers or consignees att

ful charges were conducted Nin

Department of Justice for prose

The matters involved in the 

manner satisfactory to the comp

themselves or were found not to 

Domestic 0

During fiscal year 1970 the 

complaints involving freight ra

and practices of domestic offsh

were carried over from the prev

new and pending informal com

fiscal year 1970 Allegations of 

volving 38 cases were determin

were withdrawn and in all othe

rates claims and tariff filings 

the staff
Te

At the beginning of fisca

plaints were pending car

year 1970 151 new term

265 148 pertain to pro

and unloading All are 

Docket 6546Truck Lo

Harbor 13 FMC 51 1

being held awaiting a Co

ceedings Sixtyseven info

satisfaction of the parties i

Surveys of Domestic 

The administration an

shipping statutes and rule

Commission imposes an o

pliance surveys of the op

offshore trades Surveys o

headquarters offices are in

of noncompliance with the 

to become more knowled

statutes and regulations to 

general surveys initially 

completed during fiscal ye

irregularities in the carri

The Commission is co

cancellation of tariffs of 

operations or have rema

siderable periods of time 

year 1970 by the issuanc

ceeding arose out of a 

being ordered by the Com

Field Investigations

During fiscal year 1970 

tion of containers in bo

emphasis on carrier sel

50
in revenues due to shipper mis

articles placed in a container Th

unlawful practices and the conta

in recovery of substantial freigh

found to be improperly describ

the Commission sinspection p

domestic offshore trade have rep

tional revenue since the incep

which would not have been co

year alone the increased reven

600 0resulting from reb

shippers A carrier in the foreig

of the container inspections in 

60000 in actual rebillings had 

it is virtually impossible to est

tainer inspection program but t

far have caused them to set up t

terminals throughout the Unite

the presence of the Commission 

impetus to keep it moving

During the fiscal year 303 n

and 269 were completed Thes

of sections 14 15 16 17 18 

and section 2 of the Intercoas

investigations of applicants for i

licenses compliance checks of 

financial responsibility inquiries 

Of the investigative cases ref

for prosecutive action nine cas

verdict guilty plea award of jud

in the amount of 211 525 A

pending cases and 132 pending 

tion had been completed but a

Commission or finalization by th

Formal Proceedings

The Commission on its own m

received nine formal complaint
filed pursuant to the Com

s

Small Claims 46 CFR 

filed to permit special ref

to rules promulgated by 

90298 which permits s

clerical or technical natur

cluded either through C

plaint or discontinuance 

were 74 small claims and 

proceedings were discon

voluntarily withdrawing 

pended and investigated o

There was a substanti

investigations instituted b

the Commission scontinu

activity for which an antit

ceedings of unusual impo

the year is an investgatio

Conference which would c

ing the trades between the 

Atlantic and Mediterranea

During the course of 

noteworthy decisions In 

establishing free time and 

Atlantic ports and the Cos

Prudential Lines Inc of 

combining those two estab

promulgation by the Com

carriers to file tariffs con

which they may establish 

carriers

The status of the Com

indicated below

52
Total 50 

Beginn

Investigations

fisc

197

Section 15 7 

Sections 14 16 17 5 

Section 18b5 1 

Complaints 12 

Small claims 5 

Special dockets 

Dual rate contracts 0 

Freight forwarder

licensing 2 

Rate proceedings 12 

Rulemaking 5 

Total 50 
PROCEEDING

EXAMINE

MARITI

Hearing examiners pr

complaint or institution 

motion Examiners have 

ister oaths and affirmatio

upon motions and offers 

take or cause depositions 

will be served thereby 

conferences for the settle

sent of the parties dispo

and take any other action 

trative Procedure Act

At the beginning of th

before hearing examine

added which included f

further proceedings The 

held prehearing conferen

sions during the fiscal yea

of by the examiners 19 

being

procedures

small

therefor

claims hand

Un

against common carriers 

amended and the Interco

the amount of1000 or 

cluding claims for loss of 

of overcharges are with 

mined by the Commissios

for formal hearing unde

F1
Decisions of Hearing Exami

Decided by Commissio

Docket No 1092 Agreement N

Steamship Conference A proposed 

covers the three southbound and the 

ference which in turn encompasses a

conferences and which provides rat

bility of service is required by a s

as securing important public benefi

regulatory purpose of the Act

Docket No 6810InterAmerica

Agreements Nos 9682 9683 and 96

up pooling arrangements for the ca

from Brazil to Atlantic ports of the U

in the trade and do not represent 

thereto The agreements would be 

between carriers would operate to 

United States and would be contrary 

were disapproved by the examiner

Docket No 6847Valley Evap

In its tariff revision a conference did 

fruit and complainant failed to ascer

its next shipment and another shipme

weeks later The carriers charged the 

both shipments which was higher th

thereafter the conference reinstated 

missed the complaint because under 

carrier by water shall not charge a g

than the rates and charges specified 

and duly published and in effect at the 

Docket No 695In the Matter 

San Francisco Port Authority and 

10 year nonexclusive preferential are

building the carrier guaranteed the p

the first five years of the lease accr

dockage wharfage demurrage and 

guarantee would be apportioned on 

and 40 percent to the Port with no 

the right to secondary use of the ter

tional revenue Examiner found ag

approvable under section 15 of the Ac

Docket No 6921Transconex 

US South AtlanticPuerto Rico 

6929Consolidated Express Inc
North AtlanticPuerto Pico 

ing common carriers by wa

United States which were s

services to and from termi

areas were found subject to 

ness of rates where the cas

income was determined prim

relationship between gross in

also was given to the value 

efficiency of the carrier s op

increased operating costs an

new capital in an expanding 

be unreasonable unjust or o

Docket No 69 48Indep

1092 Speed Freight Inc R

independent freight forwar

principal customer as mana

customer to lease part of ress

antee a loan made false an

forwarder license and faile

by General Order 4 The exa

and otherwise in violation o

hold an independent ocean f

The examiners also issued 

6922 6944 6959 SD 40

SD411 SD412 SD413 

SD419 SD420 and SD4

Commission

Pending Proceedings

At the close of fiscal ye

of which 36 were investi

motion The remaining c

plaints andor applicat

shippers individual com

Final Decisions of th

In proceedings other t

oral arguments and issu

ceedings Of these proc

56
report three were referred to t

hearing and one was remanded fo

Docket No 1083 Investigation o

Atlantic and Gulf Trade 11 FMC 

petitions of Maritime Company of th

and for issuance of a declaratory o

on charges that relevant evidence h

denied upon a finding that the allega

also denied the petition for issuance 

conduct under section 15 of the Ship

of this proceeding on the ground th

by the courts

Docket No 65146Truck Loadi

Harbor 13 FMC 51 1969 It wa

Conference sdefinition of truck loa

for movement between transit shed 

unreasonable practice

Docket No 66146Gillen s Son

Docket No 66147Gillen sSons L

et al 12 FMC 325 1969 In Doc

plainants were entitled to reparation

Commission order in a prior proce

Unloading at New York 10 FMC 

illegal In Docket No 66 the Co

not be awarded absent proof of inj

to the prior order of the Commission 

in Docket No 669 was approved

Docket No 6663Ballmill Lum

Authority et al 12 FMC 29 11968

of the Port of New York Authority f

the requirements imposed by the Coms

Docket No 6756Pittston Stev

Inc 13 FMC 33 1969 The us

Terminal was found to be an unjust 

it was not reasonably related to 

prejudicial in that lumber withou

commodity against which the charge 

Docket No 689Free Time and 

April 9 1970 Rules governing free 

were prescribed for the Ports of New 

Docket No 6813Assembly Ti

1969 Proposed tariff rules of the 

viding for 10 days free time on c

the US Government and 10 days 
cargo bagged on port prem

or more

Docket No 6814CH 

76 1969 The assessment 

delays caused by the Suez 

and bill of lading

Docket No 6829Una

Australia et al Trade 13 

Australasian Tariff Bureau 

without Commission appr

controlling and limiting co

reconsideration of the dec

Docket No 692AP 

ment Co and Seaboard Coas

contract which conditioned 

use of a designated tugboa

unjust practice and cons

disadvantage

Docket No 69Agree

and Transocean Gateway 

adopted the initial decisio

agreement providing for n

from the City of Long Beach 

Docket No 697Pacifi

520026 13 FMC 16 19

to the agreement of the 

the conference to utilize 

prosecute breaches of the 

procedures

Docket No 6922Viol

30 1969 The Commissio

granting a license to Violet 

freight forwarder

Docket No 6933Atla

Conference Agreement No 

to nine conference agreeme

permitting the conferences 

in the establishment of th

were limited to 18 months 

conferences had taken no ac

individually

Docket No 6944Ghe

Tariff May 19 1970 The 

examiner canceling the tari

ance thereunder

58
Docket No 6951Agreement N

and W R Grace Co December 

Agreement No 9810 which in substa

dential Lines of all the capital stock 

Prudential would sell all its vessels 

which would then become the sole ope

Docket No 6952Johns Manville 

tory Order January 27 1970 Upon 

Line had properly rated shipments 

Manville Corp

Docket No 6959LTCAir Ca

sion adopted the initial decision of th

Air Cargo Inc to operate as an ind

Docket No 6950Rejection of T

March 24 1970 The Commission fou

staff of a reduced rate on wines and 

differed from that of the North Atla

which SeaLand was a member wa

or the Commission srules could be 

the conference provisions pursuant to 

The Commission also issued 19 d

cation and 36 decisions involving sm
RU

The following rulema

year 1969 are still in pro

Docket No 6938 Mand

Systems Proposed rules pub

Docket No 7020 Secu

rules published April 29 19

The following rules w

result of rulemaking pro

General Order 4 Rev 

warders Amendment 1 Doc

General Order 13Filing 

Foreign Commerce of the U

Amendment 4 Docket No 

Routes

General Order 16Rule

Docket No 690 Practice 

General Order 22Public 

Fees for Services

General Order 25Doc

Termination of Enforcement 

60
ACTION IN 

At the beginning of fiscal year 

Maritime Commission orders w

of Appeals Seven more petition

On June 30 1970 eight of these 

pleted and the remaining ten w

court decision

Among the more significant c

Commission was involved durin

In American ExportIsbrandts

No 22820 DCCir June 11 

sion order requiring a conferenc

to assume responsibility for tru

terminals to provide adequate la

mission had found that the term

for labor shortages was an unrea

tion 17 Shipping Act 1916

Now pending before the Dis

Coast European Conference et 

and 23330 is a consolidation 

Commission orders holding that 

cannot be implemented unless 

its agreement and that an appro

requiring the use of fair proced

may be applied against a confer

resigned prior to adoption of th

In Port of Boston Marine Te

iaktiebolaget Transatlantic 42

proceeding involved the questio

the Commission upholding the v
be collaterally attacked 

jurisdiction to which the 

only be challenged in dire

in which the Commission 

The case also presents th

charge from cargo to ves

ence agreement so as to r

be effectuated The Supr

United States and the Co

In Port of New York 

the Port of New Orleans 

1970 now pending in the 

volved is the Commissios

Investigation of Overla

that rates established by 

Pacific Coast ports and th

cargo moving from the 

rates and which were lo

near

basic

the

ratemaking

ports local

author

ra

and had not been otherwi

In The City of Portlan

August 11 1970 the Co

Circuit remanded to the 

ings

conditional

questions

approval

raised

of

by

containership service by 

Seattle and certain ports 

ceedings the court also d

order staying the Comms

judicial review

To the seven criminal 

on July 1 1969 another 

time Commission for cr

Also during this period 

were won or settled and 

recovered

62
LEGISLATIVE 

Changes in Penalties for Vio

The Commission slegislative 

to civil penalties for violation of 

Act 1916 and the Intercoastal Sh

in the second session of the 91st C

House bill HR 15548 These b

mission to determine the amou

provision of the abovementioned 

mission sjurisdiction and for wh

changes proposed in the existing 

and effective regulatory sanctions 

mission to relate the penalty di

of the statutes and in its discretio

less than the maximum permitte

ment of such a lesser amount seem

Other Leg

In 1962 the Congress enacte

ferred on the Interstate Comme

through routes and joint rates be

vehicle and a common carrier by 

1916 and the Intercoastal Shipp

portation of property in the Ala

trades This statute has been inter

of the shipping statutes not only 

and joint rate arrangement involv

arrangement between the water ca

merely for incidental pickup a
area if that arrangement 

the arrangement is chara

the Federal Maritime C

misssion believes that to p

the agency by which it w

effective regulation The 

tion in the form of a sim

Interstate Commerce Act 

eral Maritime Commissio

the motor carrier are inci

water carrier The propo

term through routes and 

between water common c

a common carrier by mo

tion or delivery or the 

another within a terminal 

On June 11 1970 the 

mittee on Surface Transpo

to present the Federal Ma

to S 3626 and S 2245 S 

carriers subject to the Int

routes and joint rates wit

Interstate Commerce Co

through routes and joint r

would make it mandatory 

Act 1916 and the Inter

property between Alaska 

lish through routes and j

vehicle subject to the Int

posed enactment of this 

certain recommended am

make it mandatory for ca

mission jurisdiction to es

and authorize the Intersta

such through routes and jo

such obligations on the wa

Federal Maritime Comm

On June 24 1970 th

Select Committee on Sm

64
S 3595 a bill To establish a C

of Cargo While recognizing th

cargo in transit with which we ar

with our regulatory activities the 

type of criminal activity inciden

Commission has no jurisdiction 

dorsed the objectives of the bill 

commission to study the problem

view that these problems can be 

existing agencies

On April 3 1970 Public La

provement Act of 1970 was ap

that any vessel over 300 gross t

United States or the navigable w

and maintain evidence of financ

ton or 14 million whichever is 

the United States to which the v

Act for the cost of cleanup of sp

1970 delegated to the Federal 

sibility to carry out the provision

cial responsibility

During fiscal year 1970 the 

numerous bills introduced in the 

comments to the appropriate com
ADM

Mrs Helen Delich Be

dent Richard Nixon to su

effective September 1 1

expired term of her pred

on October 3 1969 On 

dent Nixon sreappointm

expiring on June 30 197

by the President to serve 

Mr Day s appointment w

1969 Other members of 

F Fanseen of Marylan

George H Hearn of New 

to the position of Manag

66
k2S2e

ke

7

r
Statement of Appropria

E

APPROPRIATION

Public Law 91153 91st 

necessary expenses of the 

services authorized by 

vehicles and uniforms 

5 USC5901 5502 

Public Law 91305 91st 

Supplemental Appropria

cost

Appropriation availab

OBLIGATIONS AND UNOBLIGATED 

Net obligations for salarie

June 30 1970 

Unobligated balance w

STATEMENT OF RECEIPTS DEPO

TREASURY FOR THE FISCAL Y

Publications and reproduct

Freight forwarder license fe

Fines and penalties 

Total general fund recei

68