The Maritime Administration and the National Maritime Council--Was Their Relationship Appropriate?

The Maritime Administration (MarAd), an agency within the Department of Commerce, is charged with promoting the development of a strong American merchant marine. One method of achieving this goal is to help the U.S. shipping industry to increase its cargo share of U.S. oceanborne trade. To promote this program, the National Maritime Council was organized in 1971 as a nonprofit organization which would bring together all elements of the maritime industry, such as carriers, shipbuilders, maritime labor unions, and the Government. GAO made a review of the nature of the relationship between MarAd and the National Maritime Council. The Secretary of Commerce directed MarAd to withdraw from the Council in July 1978 because of questions raised concerning the relationship between MarAd and the Council.