Maritime Administration

www.marad.dot.gov

Page 4

Department of Transportation

 

MARAD Update

 

   The MARAD Update is published by the Maritime Administration's Office of Congressional and Public Affairs. 

   This publication is available to all individuals regardless of age, race, religion, color, sex, national origin, disability,

   or sexual orientation.  For more information or to submit questions or concerns, telephone (202) 366-5807, visit the
   MARAD website at www.marad.dot.gov, or e-mail  pao.marad@marad.dot.gov.

Managing Editor

 

Susan Clark

 

Editor

 

Ella Thomas

Publisher

 

Captain William G. Schubert

DOT Announces New Initiative for
Loan and Credit Programs

The U.S. Department of Transportation announced the establishment of a Department-wide Credit Council to enhance oversight and management of the Department’s direct loan and loan guarantee programs that are administered by the Maritime Administration, the Federal Railroad Administration, the Federal Highway Administration, and the Office of Small and Disadvantaged Business Utilization.  Currently, the Department’s four credit programs are responsible for $7.5 billion in outstanding loans and guarantees (including pending commitments).  MARAD’s Title XI Loan Guarantee Program will be subject to the Credit Council’s review.

"As we continue to build a transportation infrastructure and transportation assets that keep our economy moving, it is critical that we act on proven principles of financial management to assure both taxpayers and users of the Department’s direct loan and loan guarantee programs that we are protecting the integrity and management of these programs," said U.S. Secretary of Transportation Norman Y. Mineta.  "The DOT Credit Council achieves this important need."

The DOT Credit Council is scheduled to meet quarterly and is modeled after the Transportation Infrastructure Finance and Innovation Act (TIFIA) Credit Council that will now be combined into the Department-wide Council.

The establishment of the DOT Credit Council will lead to a more expedient and streamlined application review process while preserving autonomy within each operating administration.  For example, applications for the Title XI Loan
Guarantee Program will continue to be submitted to the Maritime Administration, and decisions to approve or disapprove an application will continue to reside with the Administrator.

"Shipbuilders and ship owners should be pleased to note that the Department has developed a process that
encourages and enhances efficiency, transparency, and reliability from the time an application arrives to the point when a decision is made," said Maritime Administrator Captain William G. Schubert.