Wednesday, October 19, 2011

New Fees for Inland Water Way Being Considered


As reported by Professional Mariner, Congress recently began considering an Inland Waterways Development Plan to improve the United States inland waterways transportation system and infrastructure over the next 20 years.

Agreed, the inland waterway system is in need of some major maintenance and upgrades, however the idea of another tax submitted under the radar of most media is a bit unsettling. The most troubling aspect, is that there have been numerous expenditures by the Federal Government earmarked for the "Nation's Infrastructure" that have funded projects such as wildlife repopulating, tunnels for turtles, beach erosion repair and countless others. The term "Shovel-ready" has been used a lot in the interest of political posturing with regards to the current unemployment situation.

I get the feeling that a six to nine cent increase per gallon of diesel assessed on commercial carriers may not seem like a big deal to a lot of people. I suggest we dissect what is happening here. First for every 1000 gallons of fuel sold to commercial carriers as a "user fee," this means a 90 dollar fee (tax). Commercial carriers use 10's of thousands of gallons of fuel per month. Next, they (the Government) is redefining the scope of what constitutes U.S. Waterways, more than doubling the covered area to include the Intercoastal Waterways (ICW). What's the big deal? The ICW commercial operators will now be assessed this fee, which means no matter the size of your boat, if you use it commercially you will pay this additional money.


The most important thing to remember about these fees charged to the commercial carriers are passed down to the end consumer. Costs of goods that are transported on the inland waterways as well as the intercoastal waterways will go up. Who's paying for the upgrades, not the commercial carrier, but the every American who struggles to pay for the goods they already buy.

I will end this by comparing this whole situation to the revision of banking regulations Early on, many critics said there would be unintended consequences. Two years later, everyone is up in arms about the fact banks are charging customers to use debit cards. (Most notably Bank of America.) I don't blame the banks, they are a business and are simply passing on the cost of operations to the consumers. Long story short, if you spend money on any product or service you will be contributing to this increased user fee for inland waterways and the expansion to cover the ICW.

K. Swanson

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