Editorial: Finance Woes Are Heavy Burden on Coast Guard

Before discussing the financial woes of the Coast Guard, let us put that agency, formed in 1790 as the Revenue Cutter Service, into perspective. Today it functions as the U.S. Coast Guard and is one of the nation’s five armed services. It once was part of the U.S. Department of Transportation, but after the terrorist attack of September 11, 2001, it began its transition into the newly created Department of Homeland Security (DHS).

Like many other federal agencies, the Coast Guard is immense. Very few people, other than those who must deal with it, recognize its size or the extent of its responsibilities, particularly after the 2001 attack. This, the oldest U.S. maritime service, operates around the world.

An elderly agency, the Coast Guard has paid its dues and deserves proper financing. According to the Center for American Progress, it doesn’t get it. In February 2010 its fiscal year 2011 budget was cut 3 percent less than the amount appropriated for the current year ending September 30, 2010.

As it relates to inland waterways and the towing industry, we have observed that the Coast Guard and the U.S. Army Corps of Engineers have always struggled with budgets. Responsibilities heaped upon the agency by the government almost always have outdistanced the finances provided.

We’ve all heard about the need to rebuild the agency’s fleet and the vast amount of money needed but not available. Like locks and dams, ships and planes and helicopters wear out and must be maintained or replaced. Under the banner of the Center for American Progress, in a 50-plus page report titled “Building a U.S. Coast Guard for the 21st Century,” authors Lawrence J. Korb, Sean Duggan, and Laura Conley tell the story of where the agency has been, where it is currently, and what is needed to build that 21st century Coast Guard.

When Hurricane Katrina devastated the Gulf Coast, both the Coast Guard and Corps were immediately burdened with responsibilities that strapped their capabilities. To accomplish some goals, Peter had to borrow from Paul. Another example of available money never being enough is the tremendous backlog in water resource development projects.

Another major example of financial woes within the Coast Guard is its involvement in the Horizon Deepwater oil spill in the Gulf. Will BP repay the U.S. for Coast Guard involvement? Even if it does, will the repayment be made soon enough to prevent serious problems within the agency? It is known already that when the agency is called upon to take part in such emergencies, it is necessary to shift assets from one area of the country to another. And about those budget cuts? The Coast Guard is supposed to eliminate 1,100 billets.

Today, in addition to the oil spill responsibilities, demands on the Coast Guard are greater than ever in history. Its personnel and assets are conducting counterpiracy missions in the Gulf of Aden, protecting Iraqi petroleum pipelines and shipping lanes in the Persian Gulf, in addition to its better-known search and rescue, drug interdictions and port security missions, the authors said. And what about those inland waterways duties?

The report says, “The accelerated pace and scope of these domestic and international missions is the new norm for the Coast Guard, but if the Obama administration and Congress expect the Coast Guard to maintain its current level of operations effectively, they must begin providing the service with the commensurate leadership and resources necessary to transform and modernize the service. Failure to correct the current imbalance between responsibilities and capabilities will further erode the service’s already dwindling ability to carry out its statutory missions, and deny it the ability to protect this nation against 21st century challenges.”

“As a result of an already constrained fiscal environment,” the authors say, “the Coast Guard is engaged in making difficult trade-offs even before any further possible cuts to its budget are made.” According to recently retired Coast Guard Commandant Adm. Thad Allen, the agency’s point man in the oil spill mission, “the agency is now shifting funding away from programs that support current operational capacity in order to focus scarce resources on asset modernization and recapitalization programs.” In the meantime, “the service has lowered its performance goals in anticipation that it will not be able to meet previous standards as a result of major asset decommissioning.”

The Coast Guard has been a critical player in the relief effort in Haiti, but it has not been able to do so without experiencing serious equipment and logistic challenges as a result of the age and condition of its equipment. Twelve of the 19 cutters that were eventually sent to Haiti required emergency maintenance, while two of them had to be recalled from operations for emergency drydock repairs, the report said. Coast Guard helicopters that were needed to assist in surveillance and rescue missions instead had to be assigned to transport spare parts and equipment to Coast Guard assets in the field.

This agency, which has served well for more than 220 years, deserves better treatment by Congress and the administration. Instead of spending ourselves into oblivion with programs that more than 50 percent of the nation’s citizens believe are failing, the government should prudently protect old proven standbys like the Coast Guard.

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