*** PRESS RELEASE ***

January 16, 2015

FOR IMMEDIATE RELEASE

Contact: Larry Blumberg
(619) 299 3762

McCain amendment threatens existence of San Diego

shipyards, suppliers and jobs
San Diego, CA The San Diego Military Advisory Council (SDMAC) strongly opposes the McCain
amendment to the Keystone Pipeline Bill which would repeal the Jones Act, an act that requires
goods shipped between U.S. ports be carried by vessels built in the country and owned and
operated by Americans.
This amendment would significantly impact the entire San Diego shipbuilding industrynot
only General Dynamics NASSCO (NASSCO), but also the many suppliers and subcontractors to
NASSCO in our region. NASSCO currently has a total of ten Jones Act ships under contract or
construction, which are a substantial portion of the yards current workload and allows
NASSCO (along with contracted Navy work) to hire hundreds of additional workers for the first
time in several years. None of those ships would be under construction or contract without the
Jones Act US-build requirement. Nationwide, tens of thousands of jobs are at stake if this
amendment passes.
If the Jones Act goes away, then it will inevitably impact tens of thousands of jobs, the
industrial base, and will result in higher cost to the Navy to build ships. I dont understand why
the chair of the U.S. Senate Armed Services Committee chooses to operate in this manner,
said Larry Blumberg, executive director of SDMAC.
Another consequence of the repeal of the Jones act would be the impact on the industrial base.
Loss of commercial shipbuilding contracts throughout the country would inevitably lead to
increase cost to the U.S. Navy to build new ships, and a less robust and reliable industrial base.

A strong industrial base is necessary for innovation and quality. Proposing this amendment in a
time of sequestration and tightening Defense budgets, is not in the best interest of the country.
About the San Diego Military Advisory Council:
SDMAC is a non-profit, mutual benefit association, which supports, promotes and represents
the common interests of the military, their quality of life issues, and the defense community in
the San Diego region. SDMAC advances the partnership and communications between the
military, our elected officials and the business community, while working to enhance the
recognition of the Militarys many contributions to the San Diego region. SDMAC is capable of
focusing on, speaking publicly on, and taking appropriate actions in furtherance of its mission.
For additional information regarding SDMAC, please visit our web site at www.sdmac.org.

###