House Lawmakers Introduce HMT Revamp Sister Legislation
The Maritime Goods Movement Act for the 21st Century, introduced in the House on Feb. 27, would replace the Harbor Maintenance Tax (HMT) with the Maritime Goods Movement User Fee in order to discourage shippers from bypassing American ports and transshipping goods through Canada and Mexico, said sponsor Jim McDermott, D-Wash. The Maritime Goods Movement Act for the 21st Century, H.R. 4105 (here), is the sister legislation to a bill introduced by Sens. Patty Murray, D-Wash., and Maria Cantwell, D-Wash., in September (here). The legislation boosts funding for port infrastructure development by guaranteeing that the fee revenue is spent on port upkeep, say sponsors in both chambers. Less than half of the HMT revenue is currently spent on port maintenance and improvement, say the sponsors.
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“The global competitiveness of our ports is on the line. We must reform the way we fund the operation and maintenance of ports in Washington State and across the nation,” said Congressman McDermott in a press release. “This legislation nearly doubles the amount of funding for our ports each year. $1.6 billion in increased funding will keep American ports competitive in global shipping, create new American jobs and energize a key sector of the American economy.” Five other House Democrats from Washington co-sponsored the legislation, alongside McDermott. The Senate legislation has not moved out of the Finance committee since introduction, and has failed to garner additional sponsors. The legislation would impose significant new taxes on any good that does not originate in North America, said Robin Lanier, director of the Waterfront Coalition in November (see 13110829). "The bill is so poorly written that what it would do is basically tax anything that crosses the Canadian or Mexican border that bears a label that says anything other than 'Made in Canada' or 'Mexico,'" said Lanier. A McDermott spokesman did not respond for comment.