DHS won’t extend Jones Act waiver for Puerto Rico

The Jones Act waiver for Puerto Rico expired Sunday and will not be renewed, the Department of Homeland Security said Monday.

The Trump administration had issued a waiver of the shipping law on Sept. 28 to fulfill fuel needs on the island after Hurricane Maria.

Enacted in 1920, the Jones Act prohibits shipments between U.S. ports unless those vessels are American-made, flagged and manned by a crew that is made up of 75 percent U.S. citizens. Waiving the law allowed any ship to help get supplies to the island after two major hurricanes devastated it.

The Trump administration was initially hesitant to grant the 10-day waiver to Puerto Rico, as it did for Texas and Florida after Hurricanes Harvey and Irma. It justified its reluctance by saying American vessels were able to adequately serve the island.

But it acted after from a request from Puerto Rico Gov. Ricardo Rossello and pressure from lawmakers, including Sen. John McCain, R-Ariz.

Experts say the law blocking foreign-flagged vessels imposes higher shipping costs on Puerto Rico than on other islands. The nearby U.S. Virgin Islands have been exempt from the Jones Act since its inception.

The recent attention to the Jones Act has prompted lawmakers to call for the repeal of the law, or other limitations. Last month, McCain and Sen. Mike Lee, R-Utah, introduced legislation to permanently exempt Puerto Rico from the Jones Act.

Any changes to the law are challenged by the powerful U.S. shipping industry, which lobbied against the waiver issued for Puerto Rico and has sway with lawmakers across the country.

McCain said in a Monday statement that the end of the waiver means Congress should now look at his bill to permanently waive the law.

“Until we provide Puerto Rico with long-term relief, the Jones Act will continue to hinder much-needed efforts to help the people of Puerto Rico recover and rebuild from Hurricane Maria,” he said.

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