In Quest to Learn Why Maersk Line, Limited Refuses to Resume Carrying USMMA Cadets, MLAA Has Filed a FOIA Request Seeking All Active Maritime Security Program (MSP) Operating Agreements
New York, NY
By: MLAA
The purpose of the Maritime Security Program is to maintain “a fleet of active, commercially viable, privately owned vessels to meet national defense and other security requirements and to maintain a United States presence in international commercial shipping.” 60 American-flag vessels are currently enrolled in the Maritime Security Program (MSP), which is administered by the U.S. Maritime Administration.
Under the terms of the Maritime Security Program, Maersk Line, Limited and other Vessel Operators enrolled in the MSP received a direct operating subsidy of $5.23 million for each vessel enrolled in the program during fiscal year 2021. For Maersk, which has more than 20 vessels enrolled in the MSP, these taxpayer-funded payments totaled more than $100,000,000 in 2021, and will increase in 2022.
However, as 2021’s “Sea Year Pause” at the U.S. Merchant Marine Academy drags on into a 2nd “Sea Year Stand Down,” Maersk Line, Limited appears to be in violation of its obligations under the terms of the Maritime Security Program, and at risk of losing more than $100 million in operating subsidies for 2022, because of its refusal to enroll in MARAD’s “Every Mariner Builds a Respectful Culture (EMBARC)” program and its refusal to resume carrying cadets from the U.S. Merchant Marine Academy as required by the terms of the MSP.
The EMBARC standards replace earlier commitments made by Maersk and other Vessel Operators to comply with sea-year eligibility safety requirements previously established by MARAD’s Shipboard Climate Compliance Team (SCCT) incident to their employment of USMMA students as cadets aboard their vessels.
But carrying cadets is not voluntary for MSP participants. According 46 U.S. Code § 51307:
The Secretary shall require an operator of a vessel participating in the Maritime Security Program under chapter 531 of this title…to carry on each Maritime Security Program vessel…2 United States Merchant Marine Academy cadets, if available, on each voyage.
The current lack of available billets for USMMA cadets aboard U.S. flag commercial vessels is due to the refusal of Maersk and other Vessel Operators to agree to comply with MARAD’s EMBARC standards.
MLAA believes the refusal of Maersk and other non-compliant Vessel Operators to comply with MARAD’s EMBARC safety standards may constitute a violation of the terms of the Maritime Security Program Operating Agreements signed by Maersk and other Vessel Operators.
Therefore, MLAA has filed a Freedom of Information Act (FOIA) request with MARAD seeking copies of all active Maritime Security Program Operating Agreements. The terms of these MSP Operating Agreements will be studied by MLAA, and MLAA will consider possible legal action that could be initiated against Maersk and other non-compliant Vessel Operators as a result of their failure to carry USMMA cadets.
Maersk took the money—>Maersk must comply with EMBARC and Maersk must carry the cadets.
Or Maersk must return the money.
Acta Non Verba.