S-4756-119
Read twice and referred to the Committee on Commerce, Science, and Transportation.
Sponsored by Mike Lee (R-UT)
What it does
This bill would create an exception to the Jones Act's dredging restrictions (46 U.S.C. § 55109) by allowing vessels built in, documented under, and majority-owned by entities from NATO member countries or designated major non-NATO allies to perform dredging work in U.S. navigable waters. It would also remove dredged material from the Jones Act's domestic transportation requirements, meaning dredged material could be transported on non-U.S.-flagged vessels without restriction.
Who benefits
U.S. port authorities and the Army Corps of Engineers, which would gain access to a larger pool of dredging vessels for harbor deepening and maintenance projects. Coastal communities and municipalities dependent on navigable waterways for commerce. Shipping companies and importers/exporters who rely on deep-draft ports. Allied-nation dredging companies (particularly from the Netherlands, Belgium, and other NATO members with large dredging fleets) that would gain access to the U.S. market. Taxpayers, if increased competition reduces the cost of federally funded dredging contracts. Agricultural exporters who ship through ports that require regular dredging.
Who is hurt
U.S.-flagged dredging companies and their workers, who currently operate in a protected domestic market and would face new foreign competition. U.S. maritime labor unions representing dredge crews. U.S. shipyards that build dredging vessels, which benefit from the current requirement that dredges be U.S.-built. Domestic dredging equipment manufacturers. Potentially, U.S. national security interests if domestic dredging capacity atrophies over time due to reduced market share.
Supporters argue
Supporters argue that the U.S. faces a critical shortage of domestic dredging capacity, with only a handful of large hopper dredges available for major port deepening projects, causing costly delays to infrastructure work. They contend that NATO allies — particularly the Netherlands and Belgium — operate some of the world's most advanced dredging fleets, and that restricting their access raises project costs and slows port modernization that benefits the entire U.S. economy. They further argue that limiting the exception to allied nations preserves national security considerations while addressing a genuine market gap.
Opponents argue
Opponents argue that opening U.S. navigable waters to foreign dredging vessels would undermine the domestic maritime industry, eroding the skilled workforce and shipbuilding capacity that the Jones Act was designed to protect. They contend that a weakened domestic dredging fleet creates long-term national security vulnerabilities, since military and emergency dredging operations depend on U.S.-flagged vessels and crews. They further argue that the perceived capacity shortage reflects temporary market conditions and that permanent statutory changes would permanently disadvantage U.S. companies against heavily subsidized European competitors.
Constitutional context
Congress has broad authority to regulate maritime commerce and navigable waters under the Commerce Clause (Art. I, §8, cl. 3). The Jones Act itself has been upheld as a valid exercise of that power. No active constitutional tension is implicated here, as this bill modifies an existing statutory framework rather than delegating new rulemaking authority to an agency in a way that would trigger the major questions doctrine under West Virginia v. EPA (2022).
Checks and balances
Congress gains direct authority to define which foreign vessels may operate in U.S. waters, bypassing agency rulemaking; the executive branch retains authority to designate major non-NATO allies under 10 U.S.C. § 2350a(i), giving it indirect influence over which countries' vessels qualify.
Historical precedent
Congress has previously granted temporary Jones Act waivers for dredging and other maritime work during emergencies (e.g., post-hurricane relief operations), but a permanent statutory carve-out for allied-nation dredge vessels has not previously been enacted.