Closing the Loopholes: Congressman John Garamendi’s Fight for the Jones Act and American Seafarers

In the bustling halls of the U.S. Capitol, change often emerges from a commitment to correcting oversights and standing up for the rights of the people. Recently, Congressman John Garamendi (D-CA) demonstrated this commitment by reintroducing the “Close Agency Loopholes to the Jones Act” bill, which aims to right a wrong that has affected American maritime workers for nearly half a century.

The Jones Act and Its Loopholes

Enacted in 1920, the Jones Act is a cornerstone of U.S. maritime law (as Houston maritime attorneys, we utilize this legislation all the time!). Its primary intention is to support the American maritime industry by ensuring that transportation and shipments between U.S. ports are conducted on ships that are not only built in America, but are also operated by American citizens or permanent residents.

However, as with many pieces of legislation, loopholes have emerged over time. These gaps, dubbed “letter rulings,” have permitted federal regulators to sidestep the Jones Act’s foundational principles. As a result, many American workers have faced unfair competition, lost job opportunities, and watched as their livelihoods diminished by foreign interests.

The Implications of Letter Rulings

These issue these “letter rulings” pose is how they allow foreign-built and foreign-operated ships to operate within U.S. waters, undermining the very essence of the Jones Act. The economic implications of these rulings are vast: every job in the American maritime sector generates additional employment opportunities in related industries. Thus, by allowing foreign competition to creep into this space, we are disadvantaging maritime workers and those in sectors that depend on a thriving maritime domestic industry.

In January 2021, one such “letter ruling” was issued by U.S. Customs and Border Protection, allowing foreign vessels to participate in energy projects on the outer continental shelf. However, this letter ruling was in direct conflict with President Biden’s January 2021 executive order, which emphasized a policy upholding the protections the Jones Act affords the U.S. maritime industry.

Over the decades, Garamendi argues, such letter rulings such as this have increasingly been exploited to allow foreign vessels not meeting Jones Act requirements to operate in violation of the law’s intent. This puts American maritime jobs at risk, all while undermining national security and hurricane response capabilities.

“For nearly 50 years, letter rulings by federal agencies have slowly eroded the Jones Act and outsourced American jobs overseas,” said Garamendi. “These loopholes have given foreign companies a competitive advantage over American workers and operators.”

He emphasized the importance of the Jones Act to maintaining a strong U.S. shipbuilding industry as well as skilled American crews to operate vessels during wartime or national emergencies.

Garamendi’s bill would require proposed letter rulings to be reviewed by the Departments of Defense, Homeland Security, Commerce and Labor to determine impacts on national security and the American workforce. The Maritime Administration would have the authority to deny rulings deemed harmful.

Congressman Garamendi’s Charge Forward

Understanding the profound implications of these loopholes, Congressman John Garamendi is championing the rights of American workers by seeking to eliminate these “letter rulings.” The “Close Agency Loopholes to the Jones Act” bill is not merely a call for economic justice; it’s a call to protect America’s national interests. A strong domestic maritime industry ensures that the U.S. has the necessary resources and workforce to protect such interests. Loopholes put our security at risk.

Upon introducing the bill, Congressman Garamendi remarked, “For almost 50 years, these loopholes have allowed foreign interests to take precedence over our own. It’s high time we prioritize American workers and our national security.”

The Road Ahead

While the reintroduction of this bill signifies hope for many in the maritime sector, the road to its passage remains uncertain. Advocates for the bill stress the importance of bipartisan support, highlighting the broader national implications beyond party lines.

As we await the legislative journey of this bill, it serves as a poignant reminder of the ongoing struggle to preserve and protect American industries and jobs. The “Close Agency Loopholes to the Jones Act” bill is not just a piece of legislation; it represents the hopes, dreams, and rights of countless American workers.

In the ever-evolving landscape of U.S. politics and policies, it is the dedication of individuals like Congressman John Garamendi that reminds us of the importance of safeguarding American interests. Now, more than ever, the maritime community looks to the horizon with renewed hope and anticipation.

The Jones Act and maritime personal injury law stand as testaments to society’s commitment to protecting these brave souls. Here at the Herd Law Firm, PLLC, as Jones Act seamen’s lawyers, we are proud to fight for maritime workers and passengers in all types of personal injury claims, and never waver in our commitment to help these maritime workers and their families when they are injured, become ill, or are killed as a result of maritime casualties.

October 27, 2023