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ASA Joins Letter Urging Senate Finance Committee to Increase Barge, Towing Fees to Maintain Inland Waterways

May 01, 2014

ASA joined 80 other organizations this week in a letter to the Senate Finance Committee, urging an increase in the user fee that barge and towing companies pay into the Inland Waterways Trust Fund.  

“Most of America’s locks and dams were built in the 1920s and 1930s, yet are used to transport 21st century cargoes that fuel our modern economy,” the groups said in the letter. “This critical component of the transportation supply chain needs reinvestment and recapitalization, and any appropriate revenue bill that includes an industry sought increase in the user fee it pays is fiscally responsible.”

The groups propose the fee be increased to 26-to-29 cents per gallon from 20-cents per gallon of fuel to help modernize the inland waterways.

“This amount is matched by General Treasury Funds and is dedicated to new construction and major rehabilitation of the inland waterways system,” the letter states. “This user fee increase is supported by those who pay it – just 300 commercial operators– while the entire nation benefits, including hydropower, municipal water supply, recreational boating and fishing, flood control, national security and waterfront property development.  We hope that members of the Senate Finance Committee will support inclusion of an increase to the user fee in comprehensive tax reform or any appropriate revenue measure ahead.”

According to the letter, the inland waterways provide the best capacity and most cost effective means of transporting goods and are essential to supply American farmers with fertilizer for planting season, keeping U.S. growers competitive and are vital to manufacturing and construction.