History of MCTF

”Probably the best organized and broadest coalition of interests in Washington“
Del. Robert Underwood (D-Guam)

MCTF was founded on September 27, 1995, to defend the U.S. maritime cabotage laws from unprecedented attacks by interests who sought to overturn longstanding domestic maritime policies. A well-financed campaign of disinformation even had some Members of Congress actively discussing the possibility of significant changes to America's most venerable maritime laws.

Under MCTF's leadership, the American maritime industry banded together as never before and through an extensive campaign to educate the Congress, the media, and the public of the importance of the cabotage laws to national and economic security, prevailed. Successive attempts to enact anti-cabotage legislation failed, often without receiving a hearing. When, in 1998, a majority of the House of Representatives signed H.Con.Res 65, a bipartisan, pro-Jones Act resolution, the tide had definitely turned. Organized opposition ended in 1999 when the so-called Jones Act Reform Coalition disbanded. MCTF is probably the "best organized and broadest coalition of interests in Washington," conceded one critic of the maritime cabotage laws.

As this decade began, MCTF successfully closed a loophole in lease finanacing regulations by clarifying that foreign firms can finance, but not operate, vessels in the coastwise trade. Even though Congress had made clear that the purpose of a 1996 statutory change was to help the domestic maritime industry by expanding vessel financing sources, and explicitly stated that it did not intend to undermine the basic ownership principle of U.S. maritime law, a loophole was found that allowed foreign interests to gain a foothold in the Jones Act trade. The loophole was closed with the Coast Guard Auhorization Act signed in August 2004.

In 2005, Hurriances Katrina and Rita devastated New Orleans and other Gulf Coast cities, towns and areas, and in the process, threatened the integrity of the Jones Act when the Bush Administration twice waived the law to allow the movement of energy cargos. MCTF once again launched a massive education effort with Federal agencies and proved that the waivers were unnecessary -- sufficient U.S.-flag tonnage had been ready, willing, and able to meet the nation's energy needs at every step of the way. Thanks to MCTF's efforts, a system is now in place whereby any future waiver will be considered only after a determination by the U.S. Maritime Administration that no U.S.-flag vessels are available. It is worth noting that although there again were severe storms that disrupted Gulf production in 2008, no waiver was issued.

One of MCTF's first education efforts was a landmark study on the size and scope of the Jones Act fleet: Full Speed Ahead. In 2007, an updated report was issued entitled "State of the Jones Act." Once again this new report showed that by every measure, America's Jones Act fleet continues to grow in size and efficiency.

As 2009 begins, MCTF remains on watch, guarding the nation's maritime cabotage laws from attempts to undermine them.

Maritime Cabotage Task Force 1601 K Street NW Washington, DC 20006-1600
Phone: (202) 661-3740 Fax: (202) 778-9100 E-Mail: info@mctf.com