Senate Commerce Committee Advances OSRA22

Senate Commerce Committee Advances OSRA22

The Senate Commerce, Science, and Transportation Committee voted unanimously to advance S.3580, the Ocean Shipping Reform Act of 2022 (OSRA22), to the full Senate for consideration. IWLA endorsed the legislation in October of 2021 and has advocated for its passage in Congress.

OSRA22 seeks to modernize the Shipping Act to address 21st century challenges. Cargo owners and trucks often face increasing detention and demurrage fees for port congestion issues beyond their control. OSRA22 would shift the burden of proof regarding the reasonableness of detention and demurrage charges from the invoiced party to the ocean carrier and require carriers to certify that charges comply with federal regulations or face penalties imposed by the Federal Maritime Commission (FMC). The legislation will also require carriers to report quarterly on the total import/export tonnage and twenty-foot equivalent units (loaded/empty) per vessel that make port in the U.S. and prohibit carriers from unreasonably declining opportunities for U.S. exports as determined by the FMC.

IWLA is currently reviewing amendments adopted by the Senate Commerce Committee that differ from the House-passed companion legislation. OSRA22 enjoys broad bipartisan support and an endorsement from the White House.

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