MARAD and Massachusetts Maritime Academy Answer Critics of Training Ship Conversion

A self-described “white paper” that was written and posted on the Internet by a group called the Friends of Mass. Maritime Academy (FOMMA) has gotten the attention of a wide range of industry players. Not everyone is happy about the contents of that document. The white paper’s purpose, according to its authors, was to “highlight the immediate need for completing the ‘as delivered’ 2002 ship conversion of the T.S. Enterprise in order to meet the Massachusetts Maritime Academy’s current and future educational enrollment needs.” Instead, the document has served to offend several parties, some of whom allege that the paper is rife with distortions and inaccuracies. The document was brought to the attention of MarEx last week and it was posted, after receiving permission from FOMMA to do so, on-line in our 7 December MarEx e-newsletter.

The paper summarizes the need for the Mass. Maritime (MMA) administration to press Congress for the additional funds necessary to complete what FOMMA describes as “deferred conversion work on the T.S. Enterprise.” On Monday, ADM Richard Gurnon, the President of the 115 year-old Academy, told MarEx, “I spent all of Wednesday last week, doing just that on the Hill.” When asked as to describe how he was received in Washington, Gurnon replied, “We made a convincing argument.” The Enterprise is MMA’s training ship and primary teaching platform for guiding its license track cadets who eventually will be certified as US Merchant Marine officers.

The vessel, like similar ships at the four other state-run maritime academies, is on loan from the U.S. Maritime Administration (MARAD). But funds for conversions and other training ship upgrades do not come from MARAD’s budget. Instead, MARAD spokespersons told MarEx also on Monday, “The Enterprise conversion was funded outside of MARAD’s budget. The schools are responsible for lobbying Congress for those funds.” MARAD also reminded MarEx that MARAD’s budget is sufficient for annual maintenance, but not for upgrades. In the case of Mass. Maritime, it is widely recognized that Ted Kennedy (D-MA) led the fight to secure two consecutive FY appropriations of $12.5 million each, which then led to the $25 million funding of the Enterprise conversion. Bender Shipyard performed the work in 2002 in Mobile, AL.

The FOMMA document, however, alleges among other things, that MARAD’s ship manager, Interocean Ugland Management (now called Interocean American Shipping), was “inefficient.” Because of this, the FOMMA document explains, decisions were made that MMA did not agree with and as a result, issues which were identified could not be rectified. Richard Gurnon told MarEx that FOMMA is a separate organization from MMA, made up primarily of Mass. Maritime alumni and that they do not speak for the Academy on any issue.

MARAD training ship program managers told MarEx that there was “no mismanagement on the part of IAS” and that “We are very happy with them.” They went on to say that IAS is also one of MARAD’s Ready Reserve Fleet managers and that “they are a good firm.” IAS is an experienced contractor, especially in terms of MARAD work. They converted the State of Maine for MARAD and are also managing a special project involving the former “TEXAS CLIPPER,” also used for a time as a training ship for the Texas A&M Maritime Academy. Notably, IAS operated the SUNY Maritime training ship during the response to hurricane Katrina.

At the heart of the matter is the conversion of the former “CAPE BON” to meet the needs of the Academy’s training programs and expected cadet enrollment. According to MARAD, the original $25 million estimate to convert the vessel eventually increased, over time, to more than $30 million. In the end, the work needed to convert the vessel to the requirements of a 750 cadet training vessel exceeded the federal funds allocated for the task. Shannon Russell, MARAD’s Director of Congressional and Public Affairs, told MarEx, “MMA’s ship was readied to the best capabilities that we could, to the extent of the funds that we had.” In fact, she said, “MARAD went above and beyond with the amount of funds available.” The vessel currently supports berthing arrangements for about 600 cadets.

IAS Vice President and General Manager Mitch Walker initially, but mistakenly thought the white paper had been written by the Massachusetts Maritime Academy. His immediate response was to E-mail the Academy to let them know of his displeasure. In that E-mail message, Walker catalogued a long history of partnership with the Academy as an employer of literally hundreds of MMA graduates. He went on to tell MarEx, “We are owned by a firm that operates at least 17 different maritime companies, operates and manages many ships and we employ 4,000 officers and crew in doing so. We’ve had a great relationship with the school.”

Walker was particularly upset with the insinuation made in the FOMMA document that MMA had little or no involvement with the conversion process. “Nothing could be further from the truth,” he said. Both Walker and MARAD spokespersons were in agreement that the conversion process for the Cape Bon was the first of its kind, whereby the benefiting Academy was intimately involved in each step of the process, and in fact dispatched two individuals to the shipyard to make sure of that.

MARAD program managers also stressed that while the shipyard was unable to complete the conversion to the needs of a 750-berth cadet complement, they did say that all of the infrastructure necessary for the expanded complement is in place, including some of the lifesaving equipment necessary for those numbers. This was done, they say, to provide for an economical and efficient upgrade at a later time when adequate funding was made available. Mitch Walker says that IAS was a big part of that effort. “We made sure the setups were in place, ‘the roughing in’ completed, and we did this by saving money elsewhere in the project,” he added.

Another $9.6 million is now needed to complete the conversion and, as the FOMMA white paper correctly points out, the Academy has yet to secure the necessary funding. When asked about the prospects of that happening any time soon, Gurnon would say only that, “Certainly, the federal budget deficit is weighing on decisions in Washington.” He also told MarEx that all of the state-operated maritime academies are having difficulties getting adequate funding at this time and that MMA was relying primarily on some $30 million in state grants to fund necessary infrastructure projects on their Buzzards Bay, MA campus.

The FOMMA document also highlighted additional issues above and beyond the physical plant of the vessel and funds needed to accomplish upgrades. For example, FOMMA asked why non-license track cadets were being given priority over those who eventually intend to sit for Coast Guard certification for the limited ship berths available. While Gurnon was reluctant to engage in a prolonged discussion with MarEx on this issue, he did say that the inclusion of a few non-license upper class cadets was necessary in terms of the Academy’s expanded curriculum, lesson-planning and a wider menu of degree majors.

The differences of opinion highlight a quiet rift between some old-school alumni of the storied Academy and the current Administration. The reality of training future merchant marine officers in a climate of declining US-flag shipping platforms has forced most of the maritime academies to expand curriculum far beyond the traditional deck (marine transportation) and engine (marine engineering) degrees. This, in turn, has resulted in discussions as to the wisdom of allowing “non-regiment” cadets and students who have no intention of ever going to sea onto the campuses of the five state maritime schools. Educators - and some alumni themselves - say that the changes are necessary for the schools to survive, while continuing to have a license-track curriculum for those that want it.

The episode has proven to be a particularly embarrassing one for the Academy. With MMA already pressed for adequate funding and trying to put their best foot forward as they attempt to secure additional money to expand the training ship to meet present and future needs, the distraction was unwelcome. The irritation expressed by other players in the drama was also clear and the spat came at a time when the Academy could least afford to be offending anyone in a position to forward their goals and mission. Gurnon himself characterized the white paper as "unhelpful." For their part, IAS says that they have sent an E-mail to FOMMA demanding a retraction of the paper as it refers to statements about IAS’ involvement in the conversion.

FOMMA spokespersons declined to comment or provide input to this article. The ultimate fate of the training ship and the prospects for securing additional funding to complete the conversion are both uncertain, but the arrival of the 110th Congress in January could possibly bring some joy to Buzzards Bay. With the Democrats possibly in control of both houses, the influential, largely Democratic Massachusetts delegation could very well bring home the bacon in the New Year. But, as one MMA graduate who asked to remain anonymous put it, “Not if they can’t learn how to play nice in Buzzard's Bay.”

Contact Joseph Keefe - MarEx Managing Editor at [email protected] with comments, questions and / or input. Keefe is a 1980 graduate of the Massachusetts Maritime Academy.