MARAD Announces $5 Million in Small Shipyard Grants

The U.S. Maritime Administration (MARAD) has announced the availability of nearly $5 million in grants to support efficiency improvements and modernization at small American shipyards.

“American shipyards are currently producing some of the most modern and innovative vessels in the world,” said Maritime Administrator Paul “Chip” Jaenichen. The grants are intended to strengthen domestic yards' global competitiveness.

“Investments in our shipyards and American workers is critical,” said Transportation Secretary Anthony Foxx. “These grants support and strengthen both local communities and our national economy.”

Eligible projects include training programs and equipment or infrastructure improvements. The grants are limited to no more than 75 percent of estimated improvement costs, and are available to U.S. shipyards with less than 1,200 production employees. The application deadline is February 16, with award announcements no later than April 18.

The shipyard funds were allocated by Congress as part of the 2016 Omnibus Appropriations bill passed and signed in December. The budget bill came just shy of the Maritime Administration’s requested total funding level of $407 million, including $210 million allocated for the Maritime Security Program (MSP), funding for the maritime academies and the small shipyard funds referred to in today’s announcement. 

The bill also provided a substantial increase for the U.S. Corps of Engineers Civil Works program with funding of nearly $6 billion, fully one quarter more than the amount requested by the president. The Corps budget includes $3 billion for waterways operation and maintenance and $1.25 billion for harbor maintenance. Some communities along the flood-stricken Mississippi are already expressing gratitude for the additional federal help addressing long-term problems with water level management.