Bill Overview
Title: Puerto Rico Recovery Act
Description: This bill requires the U.S. Coast Guard to provide temporary exemptions from certain Jones Act restrictions to vessels providing relief to Puerto Rico for areas affected by Hurricane Fiona. The Jones Act requires that vessels transporting merchandise or passengers between Puerto Rico and other U.S. ports be built in the United States, be at least 75% owned by U.S. citizens , and be mostly crewed by U.S. C itizens. The exemptions are valid for one year or until the end of the major disaster declaration of September 22, 2022, for Puerto Rico, whichever comes first.
Sponsors: Sen. Lee, Mike [R-UT]
Target Audience
Population: People in Puerto Rico affected by Hurricane Fiona
Estimated Size: 3200000
- The primary population impacted by this bill are individuals in Puerto Rico who are in need of goods and services following Hurricane Fiona.
- The exemptions allow foreign-built and foreign-crewed vessels to transport goods to Puerto Rico, potentially speeding up recovery efforts by increasing the availability of transportation options.
- Businesses involved in shipping and logistics that service routes to Puerto Rico may also be impacted by the change in restrictions.
- The bill could indirectly affect markets and supply chains linked to Puerto Rican imports and exports.
Reasoning
- Puerto Rico was severely affected by Hurricane Fiona, causing extensive damage to infrastructure and communities, which necessitates immediate relief measures.
- The policy targets a unique situation where transportation logistics are crucial in delivering relief goods to the island, speeding up the recovery process.
- While the primary impact zone is Puerto Rico, secondary impacts include businesses in the shipping industry that may have new opportunities or face competition from foreign vessels during the exemption period.
- Puerto Ricans who rely on goods transported from the mainland may experience changes in availability or prices, affecting their wellbeing.
Simulated Interviews
Shipping Manager (Tulsa, Oklahoma)
Age: 45 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 1.0 years
Commonness: 4/20
Statement of Opinion:
- The exemption could help speed up our shipping times to Puerto Rico, making us more competitive.
- However, it could also mean increased competition for my company, as foreign ships might offer cheaper rates.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Local Business Owner (San Juan, Puerto Rico)
Age: 60 | Gender: male
Wellbeing Before Policy: 4
Duration of Impact: 5.0 years
Commonness: 8/20
Statement of Opinion:
- This policy could help get more goods into Puerto Rico faster, which might stabilize my stock levels.
- In the long term, if this helps rebuild the broader economy faster, it'll be beneficial for everyone.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 4 |
| Year 2 | 7 | 4 |
| Year 3 | 7 | 4 |
| Year 5 | 6 | 4 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 4 |
Tech Consultant (New York, NY)
Age: 29 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 1.0 years
Commonness: 5/20
Statement of Opinion:
- The policy seems beneficial as it allows for more dynamic logistical solutions to help get goods to those in need.
- Although not directly affected in my job, I'm encouraged by any measures that speed up disaster recovery for my family.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Logistics Analyst (Miami, Florida)
Age: 35 | Gender: other
Wellbeing Before Policy: 6
Duration of Impact: 2.0 years
Commonness: 3/20
Statement of Opinion:
- Logistically, allowing foreign ships to carry cargo directly should help bypass some bottlenecks temporarily.
- It will be interesting to see if this changes the long-term perspective on the Jones Act.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Insurance Broker (Chicago, IL)
Age: 55 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 3.0 years
Commonness: 4/20
Statement of Opinion:
- While my company is not directly affected, this policy might impact the contracts and insurance policies with modifications necessary.
- It's crucial for economic recovery which, in the long run, is positive for us as well from a macroeconomic standpoint.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Maritime Lawyer (Houston, Texas)
Age: 38 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 1.0 years
Commonness: 3/20
Statement of Opinion:
- This policy presents a unique case that could challenge the way the Jones Act is perceived.
- It might not affect me directly, but it will certainly affect the advice I provide to my clients.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Environmental Activist (San Francisco, California)
Age: 50 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 1.0 years
Commonness: 4/20
Statement of Opinion:
- I am concerned about foreign ships possibly having lower environmental standards.
- However, facilitating relief efforts is crucial, and this policy provides much-needed flexibility given the circumstances.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Policy Analyst (Atlanta, Georgia)
Age: 42 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 1.0 years
Commonness: 6/20
Statement of Opinion:
- This exemption could provide an interesting case study on the flexibility needed in domestic maritime policies.
- It's unlikely to affect my immediate wellbeing, but as a professional, it's a critical learning point.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Online Retailer (Las Vegas, Nevada)
Age: 27 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 3.0 years
Commonness: 3/20
Statement of Opinion:
- I hope this exemption helps stabilize shipping timelines so that I can keep my stock levels consistent.
- It's crucial that products coming from Puerto Rico reach the mainland efficiently.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
NGO Worker (Boston, Massachusetts)
Age: 33 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 4/20
Statement of Opinion:
- Any measure that speeds up relief efforts is welcome, and this exemption should help get more resources to where they're needed.
- It will directly help us be more efficient in our operations.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Cost Estimates
Year 1: $50000000 (Low: $30000000, High: $70000000)
Year 2: $0 (Low: $0, High: $0)
Year 3: $0 (Low: $0, High: $0)
Year 5: $0 (Low: $0, High: $0)
Year 10: $0 (Low: $0, High: $0)
Year 100: $0 (Low: $0, High: $0)
Key Considerations
- The exemptions are temporary and linked to recovery efforts; thus, the cost and savings will be limited to the duration of the exemptions.
- The Jones Act exemptions are likely to have minimal long-term changes in U.S. maritime activities due to their temporary nature.
- Potential shifts in shipping costs and disruptions to Jones Act carriers require consideration of both short and potential longer-term impacts on the industry.