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[Comment on S. 1518]

B-220343 Published: Nov 05, 1985. Publicly Released: Nov 14, 1985.
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Highlights

Pursuant to a congressional request, GAO presented: (1) views on the provisions of S. 1518; (2) recommendations for possible committee action; and (3) an assessment of possible paperwork and regulatory burdens which might result from the bill's passage. The bill: (1) provides for cost efficiency in the shipment of U.S. cargos; (2) establishes the Great Lakes and Saint Lawrence Seaway Advisory Council; and (3) requires that U.S Government cargo be shipped at the lowest cost. GAO found that the law would: (1) require GAO to review all federal agencies' compliance with its provisions and report findings and recommendations; (2) authorize the chairman of the Council to appoint and fix the compensation of such staff personnel as he deems necessary without regard to U.S. Code classification provisions; and (3) provide that, if a foreign entity breaches the prompt-payment provisions, the shipper may petition the negotiating federal agency to take action regarding the payment. GAO recommended that: (1) its review and reporting requirements be deleted; (2) there be a ceiling on all salaries; and (3) although the prompt-payment provisions are necessary, care should be taken to avoid possible duplication with the current prompt-payment provisions.

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Cargo preference lawsCompensationCost controlFreight transportation ratesLitigationPrompt payment discountsProposed legislationTransportation contractsPrompt paymentRegulatory burden