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THE AMERICAN WATERWAYS2000 OPERATORS annual report CHAIRMAN’S message Change is a constant in our world. Change is that which makes life exciting and unpredictable; yet we instinctively resist it, though we realize that we must adapt or be left behind. The millennium symbolized change Cand many people predicted disaster, both technological and natural. But when reality dawned, the transition proved far less painful than the prognosticators feared. So it has been with our industry. With the first day of the new millennium, AWO members enacted an unprecedented change, requiring members to show evidence of having undergone a third-party audit of compliance with the Responsible Carrier Program (RCP). With this action, AWO became the first transportation trade association to require compliance with a safety program as a condition of membership. After years of planning, there were still questions and fears about whether or not AWO members had the resolve to stand by their conviction and commitment in becoming leaders in safety and environmental protection. We did it. We weathered the change, though it required the difficult decision to terminate the membership of 13 companies, and we are stronger for it. Beyond that, AWO members are now gaining recognition for our leadership. Members received praise for the RCP accomplishment at a spring Capitol Hill reception from Senate Majority Leader Trent Lott, U.S. Secretary of Transportation Rodney Slater, and Vice Commandant of the U.S. Coast Guard “I AM CONFIDENT AWO WILL VADM James C. Card. More recently, VADM (ret.) CONTINUE TO MEET THE CHANGE Card commended the Coast Guard-AWO Safety AHEAD CERTAIN AS IT IS WITH AN Partnership as “the pioneer [of Coast Guard-industry , , partnerships]…the best one, and the one that has EVER-POSITIVE STRATEGIC VISION OF been the most productive.” AN INDUSTRY FOCUSED ON SAFETY We have witnessed an unusual and historic AND ENVIRONMENTAL PROTECTION.” national election, ushering in a new President and a change in the landscape in Washington. AWO members will need to be vigilant and involved in charting the course for a positive outcome on legislative and regulatory issues of importance to the industry, as well as educating new lawmakers on the American tug and barge industry and its enormous value to the nation. I am honored to have a leadership role in AWO during a season of great change and growth A for the association, as it has demonstrated its leadership in change for the better of the industry. W We have emerged from the first year of the millennium stronger than ever. I am confident AWO O will continue to meet the change ahead, certain as it is, with an ever-positive strategic vision of an industry focused on safety and environmental protection. EPORT R NNUAL A William M. Waterman 1 AWO 2000executive committee AWO’s Executive Committee, responsible to the Board of Directors, guides policymaking and exercises day-to-day oversight of the affairs of the association. William M. Waterman Joseph Langjahr Chairman of the Board Chairman, Pacific Region Penn Maritime, Inc. Foss Maritime Company Stamford, CT Seattle, WA Christopher Parsonage W. Bruce Law Vice Chairman of the Board Chairman, Atlantic Region MEMCO Barge Line Inc. Allied Transportation Company Chesterfield, MO Norfolk, VA Fred C. Raskin Stephen D. Little Immediate Past Chairman Chairman, Ohio Valley Region of the Board Crounse Corporation Eastern Enterprises Paducah, KY Weston, MA Larry R. Daily Richard Murray, III Chairman, Midwest Region Chairman, Harbor Services Sector Committee Alter Barge Line, Inc. Crescent Towing Company, Inc. Bettendorf, IA Mobile, AL R.L. Doettling Emmett Neal Financial Advisor Chairman, Southern Region Midland Enterprises Inc. Magnolia Marine Transport Company Cincinnati, OH Vicksburg, MS Jay Kitchener Harvey Walpert Chairman, Coastal Sector Chairman, Shipbuilders Council of America Committee Bender Shipbuilding and Repair Co., Inc. A Gulfcoast Transit Company Mobile, AL W Tampa, FL O H. Merritt Lane, III W.N. Whitlock EPORT Chairman, Inland Liquid Sector Chairman, Inland Dry Sector Committee R Committee American Commercial Barge Line LLC Canal Barge Company, Inc. Jeffersonville, IN New Orleans, LA NNUAL A 21 AWO 2000board of directors The Board of Directors is responsible for overall governance of AWO, exercising control over the affairs and business of the association and for approving association policy. William M. Waterman Larry R. Daily Walter K. Kristiansen Dale Sause PennW Maritime, Inc. Alter Barge Line, Inc. E.N. Bisso & Son, Inc. Sause Bros. OStamford, CT Bettendorf, IA Metairie, LA Coos Bay, OR Chairman of the Board A Keith M. Darling H. Merritt Lane, III Cathy Shantz-Hammond Christopher Parsonage AEP River Transportation Canal Barge Company, Inc. Inland Marine Service MEMCO Barge Line Inc. Lakin, WV New Orleans, LA Hebron, KY Chesterfield, MO Vice Chairman of the Board Wm. Lamar Doyle Joseph Langjahr Dixon Shaver Intracoastal Towing & Foss Maritime Company Shaver Transportation Fred C. Raskin Transportation Corp. Seattle, WA Company Eastern Enterprises Houston, TX Portland, OR Weston, MA W. Bruce Law Immediate Past Chairman Jean Fitzgerald Allied Transportation Ric Shrewsbury of the Board Hvide Marine Incorporated Company Western Towboat Co., Inc. Fort Lauderdale, FL Norfolk, VA Seattle, WA William L. Arnold Garvey Marine, Inc. George Foster Stephen D. Little Richard Smith St. Charles, IL JB Marine Services, Inc. Crounse Corporation Westar Marine Services St. Louis, MO Paducah, KY San Francisco, CA Terry Becker Riverway Co. Terry Frickey David F. Loomis, Jr. J. Craig Stepan Eden Prairie, MN Leevac Shipyards, Inc. The Chevron Companies Warrior & Gulf Navigation Jennings, LA Houston, TX Company Walter E. Blessey, Jr. Chickasaw, AL Blessey Marine Services, Inc. William J. Gobel Jay Luhr Harahan, LA Zidell Marine Corporation Luhr Bros., Inc. Roger Van Duzer Portland, OR Columbia, IL Equiva Trading Company– Morton S. Bouchard, III Marine Department Bouchard Transportation Jerry T. Gonsoulin A.J. McAllister Houston, TX Co., Inc. LeBeouf Bros. Towing Co., Inc. McAllister Towing & Hicksville, NY Houma, LA Transportation Harvey Walpert New York, NY Bender Shipbuilding and Gerald W. Brown Charles Haun Repair Co., Inc. Cargo Carriers Parker Towing Company, Inc. Richard Murray, III Mobile, AL Minneapolis, MN Tuscaloosa, AL Crescent Towing Company Mobile, AL Ted Waxler Mark R. Buese O. Nelson Jones Waxler Towing Co., Inc. Kirby Corporation Madison Coal & Supply Charles Nalen Memphis, TN Houston, TX Company Crowley Marine Services, Inc. Charleston, WV Seattle, WA W.N. Whitlock Jack Buono American Commercial SeaRiver Maritime, Inc. Gordon A. Keenan Emmett Neal Barge Line LLC Houston, TX A Tenn-Tom Towing Co. Magnolia Marine Transport Jeffersonville, IN Mobile, AL Company W Timothy J. Casey Vicksburg, MS George Wittich O K-Sea Transportation Corp. Jay Kitchener Weeks Marine, Inc. Staten Island, NY Gulfcoast Transit Company Craig Philip Cranford, NJ Tampa, FL Ingram Barge Company George Clark EPORT Nashville, TN Rex H. Woodward R Harley Marine Services Gary W. Kovac Premier Marine, Inc. Seattle, WA Mid-South Towing William Rudolf Pittsburgh, PA Metropolis, IL Eckstein Marine Service, Inc. NNUAL Jeffrey N. Covinsky Harahan, LA A Hannah Marine Corporation Lemont, IL 31 PRESIDENT’S report 2000 was an extraordinary year for The American move forward Waterways Operators. Members successfully expeditiously brought to a close the five-year effort to achieve with needed 2000100 percent compliance with the safety standards modernization of of the Responsible Carrier Program. At the America’s aging same time, they opened a new chapter in the infrastructure of Association’s development as implementation of locks and dams. AWO 21 began in earnest. Together, these results More work lies of the recent past and the promise of the near ahead to ensure future made 2000 a year of both high satisfaction that the industry’s and heightened expectation. crews are rested As the year began, AWO members were and fit for duty concluding the effort to ensure that every member despite the demands of the Association was operating its vessels of a 24-hour a day in third-party audited compliance with the industry. Congress Responsible Carrier Program. This campaign and the Administration still must fix the provides the public with assurance that members inappropriate use of strict criminal liability statutes of The American Waterways Operators operate to prosecute responsible vessel operators in the their companies at standards which always meet aftermath of oil spills. and often exceed federal laws and regulations. Achieving meaningful progress on these Ultimately, it became necessary that the Board issues in 2001 must be accomplished in a changed of Directors terminate the memberships of 13 political context in Washington, D.C. A new companies that failed to undergo the third-party president, an array of new cabinet officers and audit. This is action largely unprecedented in the senior decisionmakers in the agencies, and an annals of trade association experience – turning evenly divided Congress create a different members out from the organization and forgoing framework within which these issue goals must their revenue. These 13 members provided more be advanced. Intensity and focus will be needed than $40,000 in annual contributions to AWO. like never before. AWO also concentrated its efforts during the AWO is prepared to meet those challenges. It year on an effective start to the implementation remains an organization blessed by strong member of AWO 21, assuring that the Association’s guidance and extensive member involvement. resources were targeted on the core goals of the That ensures not only sound policies and strategies, strategic plan. This entailed an increased focus but the mechanism and resources to pursue them on advocacy of the industry’s views on a small as well. The Responsible Carrier Program has handful of public policy issues, the outcome of provided a membership foundation now firmly A which are critical to the long-term health and and completely grounded in safety leadership. W stability of AWO members.