Res 0387-2022

Whereas, The Merchant Marine Act of 1920, commonly known as the "Jones Act," requires that all shipping between United States (U.S.) ports be conducted by U.S. built, flagged, crewed and owned vessels; and Whereas, The Jones Act was originally intended to promote and maintain a merchant marine industry for the sake of domestic commerce, and provide appropriate vessels and trained crews ready to assist the U.S. Navy and military in time of war or national emergency; and Whereas, Puerto Rico, a U.S. territory and island in the Caribbean, is almost entirely reliant on shipping for the receipt of goods; and Whereas, Therefore, the requirements of the Jones Act affect the cost of nearly every product Puerto Ricans consume; and Whereas, a 2019 analysis conducted by consulting firm John Dunham & Associates estimated the Act increased the cost of shipping to Puerto Rico by $568.9 million and overall consumer prices by $1.1 billion, prevented the creation of 13,250 jobs paying $337 million in wages, and reduced tax revenues by $106.4 million; and Whereas, Puerto Rico's recovery from Hurricane Maria in 2017 has been hindered by longtime impediments to economic growth and resiliency, including the Jones Act; and Whereas, Hurricane Fiona's impact on Puerto Rico in 2022 was exacerbated by fact that the island had not fully recovered from Maria five years earlier; and Whereas, The federal government has regularly granted Puerto Rico waivers from the Jones Act following hurricanes including Fiona and Maria, and has permanently exempted other United States overseas territories from the Act; and Whereas, Economists across the ideological spectrum have condemned the Jones Act; and Whereas, The United States' shipping industry has radically shrunk in the century since the Jones Act passed, demonstrating that it failed in its protectionist purpose; now, therefore, be it Resolved, That the Council of the City of New York calls on the U.S. Congress to repeal the Merchant Marine Act of 1920, commonly known as the "Jones Act." LS # 10782 AY 11/9/2022