Monday, April 20, 2020
U.S. Transportation Secretary Elaine L. Chao Announces Nearly $20 Million in Funding to Small Shipyards
WASHINGTON – The U.S. Department of Transportation’s Maritime Administration (MARAD) today awarded $19.6 million in discretionary grants to 24 U.S. small shipyards through the Small Shipyard Grant Program. The funding will help modernize America’s small shipyards, making them more efficient in constructing commercial vessels.
“This $19.6 million federal government investment in the nation’s small shipyards will help maintain the U. S. shipyard infrastructure of our country,” said U.S. Secretary of Transportation Elaine L. Chao.
MARAD’s Small Shipyard Grant Program provides funding to assist eligible shipyards modernize operations, improve efficiency, and reap the benefits of increased productivity by investing in emerging technologies and a highly skilled workforce. Projects under the program include capital and related improvement projects that foster efficiency, competitive operations, and quality ship construction, repair, and reconfiguration. In addition, the program can fund training projects that foster employee skills and enhance productivity.
Of the 24 projects that were awarded grants, 11 are located in Opportunity Zones, which were created to revitalize economically distressed communities using private investments. An Opportunity Zone is an economically distressed community designated by the State’s Governor and certified by the United States Secretary of the Treasury. Opportunity Zones were created to increase economic development in low-income and distressed communities. Opportunity Zones have been designated in all 50 States, the District of Columbia, and five U.S. territories.
“Small shipyard grants play a significant role in supporting local communities by creating jobs for working families,” said Maritime Administrator Mark H. Buzby. “These shipyards are a tangible investment in our nation’s maritime infrastructure and the future of our maritime workforce.”
The economic footprint of American shipyards is nearly 400,000 jobs, $25.1 billion of labor income, and $37.3 billion in GDP. Helping shipyards to upgrade and expand empowers this critical industry, allowing them to compete more effectively in a rapidly changing global marketplace. The capital provided to shipyards increases their repair and production footprints and creates more jobs throughout the country.
Read the entire article here: https://www.maritime.dot.gov/newsroom/press-releases/us-transportation-secretary-elaine-l-chao-announces-nearly-20-million