H.R. 5925House117th Congress (2021-2023)In Committee

Supply Chain Emergency Response Act

Introduced November 9, 2021

AI-Generated Summary

Updated February 8, 2026 at 7:58 AM UTC

The Supply Chain Emergency Response Act directs the Secretary of Transportation, through the Maritime Administration, to set up a grant program that reimburses cargo vessel owners for Panama Canal tolls when they reroute ships from the U.S. West Coast to Gulf of Mexico or East Coast ports. The program can use up to $125 million of unused CARES Act funds and also lets states or local governments apply their own unused CARES funds for similar costs. It bars grants to entities linked to the Chinese Communist Party and stops western ports from charging fees to rerouted vessels that received a grant.

Key Provisions

  • Grants equal to Panama Canal toll costs for eligible cargo vessel owners who reroute from West Coast ports to Gulf or East Coast ports
  • Eligibility requires documented agreements to dock at the original West Coast port and the new destination port
  • Funding limited to $125 million of unobligated CARES Act money
  • Entities owned by or affiliated with the Chinese Communist Party are ineligible for grants
  • States and local governments may use their own unused CARES Act funds for rerouting expenses
  • Western marine terminal operators may not collect port fees from vessels that received a grant and were rerouted

Legislative Activity

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2 earlier actions
HouseCommittee Latest Action

Referred to the Subcommittee on Coast Guard and Maritime Transportation.

November 10, 2021

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HouseIntro Referral

Introduced in House

November 9, 2021

HouseIntro Referral

Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Oversight and Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

November 9, 2021

HouseCommittee

Referred to the Subcommittee on Coast Guard and Maritime Transportation.

November 10, 2021

Bill Text

Latest available legislative text

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Introduced in HouseIssued November 9, 2021

I

117th CONGRESS

1st Session

H. R. 5925

IN THE HOUSE OF REPRESENTATIVES

November 9, 2021

Mr. Gimenez (for himself, Mr. Weber of Texas, Ms. Salazar, Mr. Diaz-Balart, Mr. Mast, Mr. McKinley, Mr. Mooney, Mr. Gohmert, Ms. Malliotakis, Mr. Rouzer, Mr. Harris, and Mr. Cawthorn) introduced the following bill; which was referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Oversight and Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

A BILL

To direct the Secretary of Transportation to establish a program to provide grants to owners of cargo vessels being rerouted from the western seaboard of the United States through the Panama Canal, and for other purposes.

1.

Short title

This Act may be cited as the Supply Chain Emergency Response Act.

2.

Emergency incentive program for rerouting cargo vessels

(a)

In general

The Secretary of Transportation, acting through the Administrator of the Maritime Administration, shall establish a program to provide grants to eligible entities to cover toll costs associated with rerouting cargo vessels from ports along the western seaboard of the United States through the Panama Canal to ports along the Gulf of Mexico and the eastern seaboard of the United States.

(b)

Grant amount

A grant provided under this section shall be in an amount equal to the cost of the toll fees at the Panama Canal.

(c)

Documentation required

To receive a grant under this section, an eligible entity shall submit to the Administrator documentation that such eligible entity—

(1)

had an agreement to dock a cargo vessel at a port along the western seaboard of the United States and intends to reroute such cargo vessel from such port through the Panama Canal to a port along the Gulf of Mexico or the eastern seaboard of the United States; and

(2)

has an agreement to dock such cargo vessel at such port along the Gulf of Mexico or the eastern seaboard of the United States.

(d)

Entities ineligible for grant

Any individual who is a member of the Chinese Communist Party or any company owned, in whole or in part, by the Chinese Communist Party may not receive a grant under this section.

(e)

Definition of eligible entity

In this section, the term eligible entity means the owner of a cargo vessel who intends to reroute such cargo vessel from a port along the western seaboard of the United States through the Panama Canal to a destination located in the United States.

(f)

Funding

Notwithstanding any other provision of law, not more than $125,000,000 of the total amount of unobligated funds made available under the CARES Act (Public Law 116–136) may be used to carry out this section.

3.

Use of COVID relief funds to offset shipping costs

Notwithstanding any other provision of law, a State or unit of local government may use any unobligated funds made available to such State or unit of local government under the CARES Act (Public Law 116–136) for costs related to rerouting cargo vessels from the western seaboard of the United States to the eastern seaboard of the United States.

4.

Prohibition on collection of port fees

Any marine terminal operator (as such term is defined in section 40102 of title 46, United States Code) who is operating a port located along the western seaboard of the United States may not collect port fees from a recipient of a grant under section 2 who has rerouted a cargo vessel from such port due to the inability of such port to receive such vessel.

5.

Definition of cargo vessel

In this Act, the term cargo vessel has the meaning given such term in section 199.30 of title 46, Code of Federal Regulations.