New legislation passed by the House of Representatives on July 14 contains language that would allow the Pentagon and federal agencies to buy directly from commercially run online marketplaces such as Amazon, OfficeMax, Home Depot and other e-commerce retailers. The bill, H.R. 2810, is the National Defense Authorization Act for Fiscal Year 2018. It passed in the House 344 to 81. The Defense Acquisition Streamlining and Transparency Act, later merged into the Defense Authorization Act, was designed to reduce bureaucracy and costs for the government. The Washington Post recently stated that House Armed Services Committee Chairman Mac Thornberry (R-Tex.) sponsored the bill, saying ““Everybody understands what a difference Amazon has made…we’re trying to help DoD keep up with the changes in business practices with the goal of getting items faster, cheaper and keeping up with the changes in technology.”
Tariff Reform: FMC Taking Aim
July 5 is the deadline to submit comments in response to the Federal Maritime Commission’s Notice of Inquiry seeking guidance on maritime regulations that should be modified or eliminated. As noted in our previous post, within the NOI the FMC specifically identifies the regulations which impose tariff publication requirements (46 C.F.R. §520) as a target for deregulation.
Coupled with recent comments by Acting FMC Chairman Michael Khouri acknowledging the lack of purpose in tariff publication, it appears that tariff publication requirements may be coming to an end:
The Federal Maritime Commission Authorization Act of 2017: A Death Knell for Tariffs and Closer Carrier Scrutiny?
Current bills (HR 2593, S. 1119) authorizing appropriations for the Federal Maritime Commission contain substantive terms which seem to forecast the path the regulatory agency is taking with respect to both tariff requirements and regulation of ocean transportation intermediaries.
Tariff References
The bills address some meaningful changes to the current antiquated tariff system. Combined with the FMC’s new Regulatory Reform Task Force, and the corresponding Notice of Inquiry issued by the FMC seeking specifics from the shipping public for deregulation, it appears the FMC may be taking a clear stance on tariffs. Acting Chairman of the Federal Maritime Commission, Michael Khouri, has made several public statements which confirm the conclusion that tariffs have no place in the current ocean transportation marketplace.
DOT Expands Potential Liability in the Area of Commercial Truck Driving
On November 30, 2015 the DOT issued its final rule prohibiting coercion of commercial drivers, which expands the current whistle-blowing provisions jointly administered by the Department of Labor and the Department of Transportation via a Memo of Understanding issued last year. The main point of expansion is that now a covered driver is protected not only from discharge, discipline or discrimination for engaging in certain protected activities (focusing on safety regulations issued for this industry), but it now includes “coercion” of such drivers not only as to safety violations, but also as to any violations of commercial regulations that would apply to “motor carriers, shippers, receivers or transportation intermediaries.” The regulations are quite vague regarding what “coercion” shall consist of, stating the DOT will investigate any “non-frivolous” claim that a motor carrier, shipper, receiver or transportation intermediary, or their respective agents, officers, or representatives, have threatened to or actually withheld business, employment or work opportunities from, or taken any adverse employment action against, a driver in order to induce the driver to operate a commercial motor vehicle under conditions in which the driver would be required to violate one or more of the regulations that are codified within the Federal Motor Carrier Safety Regulations.
Ocean Transportation Intermediaries in the Cross-Fire
Husch Blackwell partner Carlos Rodriguez‘s article, “Ocean Transportation Intermediaries in the Cross-Fire,” appeared in the New York New Jersey Foreign Freight Forwarders and Brokers Association Inc. Newsletter, Fall/Winter 2013. Carlos concentrates his practice in international and domestic transportation law. He skillfully navigates his maritime clients through the complexities of regulation and