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Mr. DREWRY. Just this one ?
Mr. SMITH. I say that a jumboized vessel is a much better vessel if it has a completely new forward section and when you take two older vessels and cut them up and take some of each out, I think it is obvious to anyone that new construction would be a better job. Mr. DREWRY. That is all, Mr. Chairman.
The CHAIRMAN. I would like to place a telegram in the record from Mr. Hood, of the Shipbuilders Council of America, and another from the Keystone Shipping Co.
The committee will stand adjourned. (The telegrams follow :)
WASHINGTON, D.O., July 9, 1963. Hon. HERBERT C. BONNER, Chairman, House Merchant Marine and Fisheries Committee, House of Repre
sentatives, Washington, D.O.: We oppose H.R. 2457 on grounds that U.S. registry of SS Spitfire can only have net effect of discouraging U.S. shipbuilding and ship conversion and could establish pattern for admission of other vessels in like situation to further detriment of U.S. shipyard industry.
SHIPBUILDERS COUNCIL OF AMERICA,
PHILADELPHIA, PA., July 9, 1963. Hon. HERBERT C. BONNER, Chairman, Committee on Merchant Marine and Fisheries, U.S. House of Repre
sentatives, Washington, D.C.: The undersigned as independent owner and operator of a large fleet or U.S. flag tankers protests the principle of H.R. 2457 and opposes its passage because, first, employment for present U.S. flagships is insufficient and the 50-50 provision of the Cargo Preference Act is one of few remaining sources of employment. Second, although not profitable such employment makes it possible to continue operation and avoids discharge of trained crews. Third, so long as the possibility of special exceptions of this kind exists it is unlikely that tanker companies will plan replacement at high cost in U.S. shipyards. Fourth, we understand Spitfire owner gambled economy against prompt construction and lost. Fifth, this is special legislation for the benefit of a single owner which always sets a bad precedent. If one owner is entitled to build abroad all owners should be given the same privilege. Request that the foregoing be included in record of hearings.
KEYSTONE SHIPPING CO. (Whereupon, at 12:15 p.m., the subcommittee adjourned, subject to the call of the Chair.)
UVa Law Library
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THE SUBSIDIZED LINES
HEARINGS SUBCOMMITTEE ON MERCHANT MARINE
COMMITTEE ON MERCHANT MARINE AND FISHERIES HOUSE OF REPRESENTATIVES EIGHTY-EIGHTH CONGRESS
H.R. 83 A BILL TO AMEND SECTION 802 OF THE MERCHANT MARINE ACT, 1936, AS AMENDED, TO PROVIDE THAT OWNERS OF VESSELS REQUISITIONED BY THE UNITED STATES SHALL BE ACCORDED PREFERENCE TOWARD REACQUIRING THESE VESSELS WHEN THEY CAN BE RELEASED BY THE GOVERNMENT, AND FOR OTHER PURPOSES
H.R. 6814 A BILL TO AMEND TITLE 12 OF THE MERCHANT MARINE ACT, 1936, IN ORDER TO REMOVE CERTAIN LIMITATIONS WITH RESPECT TO WAR RISK INSURANCE ISSUED UNDER THE PROVISIONS OF SUCH
H.R. 82, H.R. 3117 BILLS TO AMEND THE MERCHANT MARINE ACT, 1936, IN ORDER TO PROVIDE FOR THE REIMBURSEMENT OF CERTAIN VESSEL CON
H.R. 6813 A BILL TO AMEND PUBLIC LAW 86-518 AND SECTION 506 OF THE MERCHANT MARINE ACT, 1936, TO AUTHORIZE THE AMENDMENT OF CONTRACTS BETWEEN SHIPOWNERS AND THE UNITED STATES DEALING WITH VESSELS WHOSE LIFE HAS BEEN EXTENDED BY
PUBLIC LAW 86–518
JULY 10, 11, AND 16, 1963
Serial No. 88_5
Printed for the use of the Committee on Merchant Marine and Fisheries
U.S. GOVERNMENT PRINTING OFFICE
WASHINGTON : 1963
COMMITTEE ON MERCHANT MARINE AND FISHERIES
HERBERT C. BONNER, North Carolina, Chairman EDWARD A. GARMATZ, Maryland
THOR C. TOLLEFSON, Washington LEONOR K. (MRS. JOHN B.) SULLIVAN, WILLIAM K, VAN PELT, Wisconsin Missouri
WILLIAM S. MAILLIARD, California T. A. THOMPSON, Louisiana
THOMAS M. PELLY, Washington FRANK M. CLARK, Pennsylvania
MILTON W. GLENN, New Jersey THOMAS L. ASHLEY, Ohio
ROBERT F. ELLSWORTH, Kansas JOHN D. DINGELL, Michigan
GEORGE A. GOODLING, Pennsylvania L. MENDEL RIVERS, South Carolina STANLEY R. TUPPER, Maine ALTON LENNON, North Carolina
CHARLES A. MOSHER, Ohio THOMAS N. DOWNING, Virginia
JAMES R. GROVER, JR., New York BOB CASEY, Texas
ROGERS C. B. MORTON, Maryland JAMES A. BYRNE, Pennsylvania,
HASTINGS KEITH, Massachusetts
John M. DREWRY, Ohief Counsel
PAUL S. BAUER, Consultant
SUBCOMMITTEE ON MERCHANT MARINE
HERBERT C. BONNER, North Carolina, Chairman THOMAS L. ASHLEY, Ohio
THOR C. TOLLEFSON, Washington THOMAS N. DOWNING, Virginia
WILLIAM K. VAN PELT, Wisconsin BOB CASEY, Texas
WILLIAM S. MAILLIARD, California HARLAN HAGEN, California
THOMAS M. PELLY, Washington
MILTON W. GLENN, New Jersey
Hearing held July 10, 1963.-.
Commerce Department -
General Accounting Office..
Alexander, Hon. Donald W., Maritime Administrator, on behalf of the
Maritime Administration and the Department of Commerce -----
of American Steamship Lines ---
Co., on behalf of the Committee of American Steamship Lines ------
Purdon, Alexander, executive vice president, United States Lines ----
** D ------------------------------------
Comparative text showing changes proposed substitute text for
H.R. 6814 would make in the first proviso in the first sentence
of the Merchant Marine Act, 1936, as amended.---.
Proposed substitute text for H.R. 6814.--
Alexander, Hon. Donald W., Administrator, Maritime Administra-
tration.------------ -- : :- Iniclat
mittee of American Steamsip Lines
the Committee of American Steamship Lines ----
Committee of American Steamship Lines---
letter dated July 8, 1963, enclosing letter from C. R. Fullenkamp,
Insurance Division, Department of Commerce, dated June 14, 1963.
dated July 10, 1963..---
dated July 10, 1963..-----
H.R. 82 and H.R. 3117
Hearing held July 16, 1963.
Substitute text for H.R. 82, recommended by the Maritime Ad
ministration and the Department of CommerceGeneral Accounting Office--------
Ables, Robert J., General Counsel Maritime Administration.--.
tee of American Steamship Lines --------
Comparative text showing the changes the proposed substitute
text would make in H.R. 82....
Comparative text of S. 1263------------
--Communications submitted to the committee by Alvin Shapiro, American Merchant Marine Institute, Inc., dated July 16, 1963
Treasury Department --
Ables, Robert J., General Counsel, Maritime Administration.
representing the Committee of American Steamship Lines
mittee of American Steamship Lines..
Pessel, A. J., vice president, Matson Navigation Co----
Comparative computation of section 506, refund of construction
differential subsidy assuming domestic revenue at 5 percent of
total revenue, table
Memorandum of Matson Navigation Co.--
Merchant Marine Institute, Inc., dated July 16, 1963---
114 115 115