Military

Mr. Chairman, I would like to commend you for coordinating this field hearing today on a most important topic. Your committee clearly recognizes the importance of dealing with the issues related to the James River National Defense Reserve Fleet, known locally as the "Ghost Fleet."

We Virginians have for far too long gazed across our beautiful waterway, the very waters that carried the English settlers to Jamestown, to view that hulking mess of ships. I believe in this case, our Nation has not served the Commonwealth well by allowing Virginia to be the dumping ground of these deteriorating, obsolete ships. While I recognize and appreciate the need for a reserve fleet, especially in today's dangerous world, this environmental "ticking time bomb" needlessly threatens our shores and the way of life for tens of thousands of Virginians. I believe the Federal Government must perform its duty by providing the resources to rid the James and the Tidewater Region of this catastrophe waiting to happen.

In a recent report, MARAD, as they assessed the possibility of an environmental mishap from the James River Reserve Fleet, "concludes that damage could stretch for 50 miles along the river and take weeks to clean up. MARAD continued, assessing the ecological damage could take years."

As you know Senator, the Ghost Fleet includes the most decrepit ships in the national reserve, stored in what one Virginia official described as 'probably the worst place, from an environmental standpoint, that you could think of.' Together, the fleet holds about 7.7 million gallons of oils and fuels, according to the latest government estimates. That's slightly less than what the Exxon Valdez spilled off the coast of Alaska in 1989. (MARAD Report)... Virginia can not wait any longer. In Fiscal Year 2003, President Bush asked for only $11 million to scrap ships. I worked hard, and thankfully my colleagues and the House Merchant Marine Panel recognized the severity of this situation and authorized $20 million for the FY '03 ship disposal account to deal with this looming problem. Ultimately, after much debate and arm twisting, the President's request was appropriated. And my colleagues in the Senate were able to provide an additional $20 million from DOD to fund scrapping at $31 million last year. We are making progress.

For Fiscal Year 2004, I am happy to report that again the House Armed Services Committee has authorized my request of $20 million for ship scrapping. And just last week I spoke to Chairman Istook to again make my case to his committee that funding from Transportation Appropriators was critical to continuing this battle.

September 30, 2006, the legislative deadline to rid the Reserve fleet of obsolete vessels, is quickly approaching. MARAD is making good progress and I look forward to Captain Schubert's testimony and his update as to what the Maritime Administration has planned for this summer. Last we spoke a 13 ships deal was in the works and expected to be signed any day. Additionally, I am told that the Maritime Administration has plans for an additional 6 ships to soon follow. It is my hope that Captain Schubert can confirm these recent developments.

Finally, I would be remiss if I did not comment on recent press articles regarding ship scrapping abroad. I concede that it is imperative that every practical measure is taken to ensure an environmentally sound scrapping program. Having said that though, I firmly believe that the best policy for scrapping takes into consideration the timely scrapping to meet the 2006 legislative mandate to rid MARAD of it's obsolete inventory, cost effective proposals that provide the US government with the best value, with a strong emphasis on efforts to scrap ships domestically... BUT not at the expense of quicker more cost effective efforts abroad. Because as we all know, the more affordable our scrapping program is the more ships we can scrap.

Thank you Mr. Chairman for allowing me to testify today.