President’s Corner July 2015I sit enjoying the patriotic feeling that the festivities and solemn remembrances around the 4th of July always bring me. As you I do honor the men and women who keep us safe and independent through their continuing service. There are as always many happenings since the last email. We had a special Board of Directors meeting in June to discuss the location and staffing of the home office. Evie is eventually going to retire (or at least she keeps threatening me with that) and i have tasked the BOD to consider changing the location of the office or outsourcing the office to an association management company. A sub committee is analyzing both options and will be reporting to the entire BOD in September. Additionally, we considered a Memorandum of Understanding to cement and further define the relationship between the NAMSGlobal and IAMWS organizations. The initial MOU was not approved and is in being revisited by a sub committee of the BOD. The MOU is an attempt to better define and enumerate the relationship and various responsibilities of the organizations. Both groups agree that remaining affiliated is the preferred method but the parameters are being discussed and finalized. We hope to have full details in a near future update. Additionally, I have heard from regions that there is possibly a misunderstanding as to what the IAMWS focus is and what Marine Warranty Surveying is and who and how many members actually cross over. Many in NAMSGlobal do marine warranty surveying. This would be things like heavy lift, project cargo, Trip in Tows and other surveys made necessary by an insurance policy warranty. The IAMWS marine warranty surveys are specifically laid out in the London Joint Rig Subcommittee Scope of Work and warranty practices. This is a very techincal area which involves everything from engineering review of the initial plans, through design and approval of the transportation and installation plans. It is as much Naval Architecture and Marine Engineering as it is surveying. Most of the players in this arena are large multi-national and multi-dimensional firms that have an integration of the above and also have field surveyors that actually approve the final implementation of the agreed plans. The testing protocols are focused on offshore pipe lay, platform installation, subsea installation and review, etc I hope this clears up some of the misunderstanding as to the differences between the two organizations. Please call me if you have any questions or would like additional information on this. I have heard some interest in developing a subspecialty on the NAMSGlobal side for Marine Warranty Surveying as well and welcome the opportunity to have someone step up to spearhead this. The election for President and Vice President is also coming up fast in the fall. I have heard from a couple of interested parties. Please contact Dick Frenzel or me to be put on the ballot. For the purposes of disclosure – I am term limited and the current National Vice President – John Venneman will be running for the National VP position again so the balloting for National President is open. The National President is also the Chairman of the Board of Directors of the IAMWS. On another equally important note, we are always looking for new blood in the organization. Please continue to recruit and sponsor new individuals. I am making it my goal to sponsor at least one new member per year. We are also looking for a new International VP. Is there anyone interested? Steven Weiss Applicant List
New Members Elected 5 July 2015
CMS Members Retiring
Crossed The Bar
Obituary
Upcoming Educational EventsSeptember 17, 2015 Louisville, Kentucky , USA September 18,2015 Louisville, Kentucky, USA 14-17 October 2015 Milwaukee, Wisconsin, USA 15 & 16 October 2015 Golden Meadow, Louisiana, USA. October 15-18, 2015 Las Vegas, Nevada, USA Bonus: This class is being held prior to ASA’s joint 2015 International Appraisers and Advanced Business Valuationconferences in Las Vegas. This course will introduce appraisal terminology and concepts and provide students with a solid foundation for a career in appraisal of machinery and equipment. This course covers ME appraisal terminology; functions and purposes of appraisals; introduction of the three approaches to value; depreciation and factors affecting depreciation; field inspection techniques and safety; introduction to the issues of indexes in machinery and equipment appraising; basic pricing exercises for current and obsolete assets; ethics and professional standards.CE: 27 hours Price:$1,020 Member; $1,170 Non-Member November 3-4, 2015 Fort Lauderdale (Florida) Mariners Club 26th Marine Seminar. Important Seminar for Insurance Agents, Brokers, Underwriters, Surveyors, Admiralty Attorneys & Marine Industry Professionals. Conference Registration Includes:Seminar Activities, Continental Breakfast and Buffet, Lunch (located in seminar break area), Complimentary Parking Available, Meet the Speakers Reception & Continuing Education Credits. NAMSWorthy Articles of InterestCommon OSHA Deficiencies on
Uninspected Commercial Vessels
CAPT Joseph A. Derie, NAMS-CMS; AMS, SAMS; CMI Co-Chair, NAMS Fishing Vessel Technical Committee Southwest Passage Marine Surveys The U.S. Coast Guard and Occupational Safety and Health Administration (OSHA) standards establish a standard of reasonable care and reasonable fitness for uninspected commercial vessels. OSHA has regulatory responsibility regarding safety aboard uninspected commercial vessels while they are in US waters. The latest OSHA Instruction on these matters is Directive Number: CPL 02-01-04, effective date: 02/22/2010, Subject: OSHA Authority Over Vessels and Facilities on or Adjacent to U.S. Navigable Waters and the Outer Continental Shelf (OCS). Appendix A of that Instruction lists “Specific Conditions on Commercial Uninspected Fishing Industry Vessels Subject to OSHA Enforcement.” Marine surveyors conducting surveys on uninspected commercial vessels should therefore survey them to OSHA as well as USCG standards. This article describes common OSHA deficiencies found on these vessels. The left-hand column below shows the relevant regulations while the right-hand column shows my comments. These are based on my experience surveying uninspected commercial vessels and acting as an expert witness in personal injury cases on these type vessels.
It should be noted that when 46 CFR Subchapter M becomes effective (now programmed for 15 October 2015), tugboats will have a Certificate of Inspection and will no longer be uninspected commercial vessels and therefore OSHA will no longer apply. Although the above common deficiencies will no longer be OSHA violations, they are safety defects and should be noted as such in a survey. In conclusion, marine surveyors should be aware of the OSHA requirements when surveying uninspected commercial vessels. Since underwriters often send the list of recommendations to the assured, with a demand that recommendations be complied with in a specified time frame, survey reports should identify each deficiency citing the appropriate OSHA section and paragraph and make an appropriate recommendation in an easily understood manner. It is also recommended that marine surveyors surveying uninspected commercial vessels take the OSHA 30-hour General Industry Training Course to familiarize themselves with OSHA requirements. This course is designed for managers and gives a good general overview of OSHA requirements. The course will also prepare surveyors to discuss these requirements with their clients and defend their findings in court. This course can be taken on-line from a variety of sources and can be used to meet NAMS surveyor CEU requirements. Blast from the Past While browsing on-line, Greg Gant, NAMS-CMS found this article about a NAMS meeting announcement in 1977 in Maritime Reporter magazine:
This year’s innovation includes, that in addition to the speakers, the second day will consist of several round table meetings where attendees will be able to select from among the topics on the agenda that are of most interest to them. Following brief presentations from the moderator and the panel ofspeakers, there will be an open meeting for questions from the floor. NAMSis the professional association of marine surveyors, with members locatedthroughout the United States, Canada, Central America, South America andEurope. Guests at the Annual Marine Conference are drawn from all facets ofthe marine and insurance industry and Government. Any person interested in attending should write to NAMS Marine Conference, P.O. Box 55, New York, NY, USA, 10038. BOATING SAFETY OVERVIEW Boating is surprisingly safe compared to many other activities we engage in – and getting safer. As reported in the October 2014 issue, fatalities have dropped to 4.7 per 100,000 registered recreational boats (2013 USCG Recreational Boating Statistics), more than 80 percent below the all-time high of 27.7 deaths per 100,000 registered boats in 1973. Collision and crew-overboard incidences account for most of the fatalities. Injuries occur more frequently – somewhere around 100 per 100,000 registered boats. While collision is also the leading cause of injury, the majority of boating accidents leading to injury are more mundane than life-threatening: a sprained ankle from jumping off the boat to the dock, a broken rib from falling down the companionway, a back injury from being thrown from the seat by a wave. These smaller accidents can still wreck your day, your week, your month, and possibly your year. Proper boat-handling practices and a few minor modifications to your boat can go a long way toward reducing the chances of an injury. We would all prefer that no one died while boating, but there isn’t anything we do that doesn’t have some degree of risk associated with it. So, the question becomes: How risky is boating compared to other activities? Based on an analysis of the BoatUS Marine Insurance claim files between January 1, 2009, and December 31, 2013, an estimated five people died per 100,000 registered boats. According to the Coast Guard 2013 Recreational Boating Statistics, 560 people died in recreational boating accidents in 2013, or 4.7 per 100,000 registered recreational vessels. In 2012, 14 people per 100,000 registered cars and 60 people per registered motorcycles died in accidents as reported by the National Highway Traffic Safety Administration (NHTSA) in Traffic Safety Facts. While it is difficult to directly compare any of these statistics, they all point in the same direction – boating does not seem that risky compared to other activities involving a vehicle. But people do die aboard boats, most for one of two reasons: the boat hit something, or someone accidentally went overboard. 36 percent of fatalities in the BoatUS claim files involved an accident where someone went overboard, and 18 percent resulted from a collision – usually with something solid like a pier or another boat. This data mirrors the findings in the Coast Guard’s report where, in 2013, 40 percent of fatalities occurred after someone accidentally went overboard and 18 percent resulted from a collision. Since most capsize fatalities occur because someone went overboard, and grounding can be considered hitting something, collision and crew-overboard accidents combined result in more than two-thirds of boating fatalities in the BoatUS data. Bottom line: If you don’t hit anything and you don’t let anyone fall overboard, the chances of someone dying on your boat – small to begin with – will be cut by more than half. (Seaworthy, April 2015) After fatal fire, Coast Guard urges safe engine-room operations The U.S. Coast Guard has issued a safety alert with suggestions for safe engine-room operations. The alert urges operators to pay attention and respond to service bulletins, and recommends that mariners know escape routes and the location of lifesaving equipment. The alert issued April 15 suggests that engine-room personnel perform regular inspections and be trained to identify failing components and other potential issues before a problem arises. The alert follows a fatal December engine-room fire aboard a cruise ship in the Caribbean Sea. “The ongoing investigation into the fire has revealed that a fuel line supply flange integral to the engine parted after three bolts completely loosened and the remaining bolt fractured,” the alert said. Investigators determined engine maker Wärtsilä has issued technical bulletins over the years pertaining to the popular engine model’s fuel piping system. It’s not clear whether the components that failed on this vessel’s Wärtsilä engine were reinstalled following these bulletins. The Coast Guard urges mariners, engineers, technicians and others working in engine rooms to familiarize themselves with the layout and escape routes and to know where emergency breathing equipment is located and how to manually operate watertight doors. The agency recommends carrying a powerful flashlight at all times. USCG – safety alert re ground tackle The US Coast Guard issued a safety alert reminding masters of the importance of proper ground tackle use, maintenance, and replacement. Recently, a freighter underway in 15-foot seas suffered flooding of its bow thruster and emergency fire pump compartment when the anchor slipped 10-15 links , allowing it to strike and puncture the hull. The ship’s original anchor had been replaced with one that was dissimilar, preventing the riding pawl from properly engaging the anchor chain. The crew improvised a wire sling to secure the anchor, but this experienced heavy corrosion and failed. The anchor windlass brake failed because its brake pads were heavily worn. USCG – temporary certificates of documentation The USCG National Vessel Documentation Center (NVDC) issued a notice [located at http://www.uscg.mil/hq/cg5/nvdc/news/Tempcod2015.pdf] stating that, starting 13 May 2015, it will reinstitute the issuing of Temporary Certificates of Documentation (TCODs) for recreational vessels. (5/12/15). Courtesy: Bryant’s Maritime Blog USCG – boating safety app for smartphones The US Coast Guard issued a news release [located at http://www.uscgnews.com/go/doc/4007/2504662/] stating that it will release its first boating safety App Saturday as the kickoff to this year’s National Safe Boating Week. The Boating Safety Mobile app was not designed to replace a boater’s marine VHF radio, which the Coast Guard strongly recommends all boaters have aboard their vessels. The app was mainly designed to provide additional boating safety resources for mobile device users. The app will be available on the Apple and Google Play online stores. Features of the app include: state boating information; a safety equipment checklist; free boating safety check requests; navigation rules; float plans; and calling features to report pollution or suspicious activity. When location services are enabled, users can receive the latest weather reports from the closest National Oceanic and Atmospheric Administration weather buoys as well as report the location of a hazard on the water. The app also features an Emergency Assistance button, which, with locations services enabled, will call the closest Coast Guard command center. (5/13/15). Courtesy: Bryant’s Maritime Blog U.S. CARGO THEFTS INCREASING IN VALUE Cargo thefts in the United States were down 14% year-over-year by volume in the first quarter, but up 25% in value, according to the Freightwatch International Q1 2015 U.S. Cargo Theft Report. FreightWatch International Supply Chain Intelligence Center (FWI SCIC) recorded a total of 191 cargo thefts in the United States during the first quarter of 2015. According to the FWI Q1 2015 U.S. Cargo Theft Report, the average loss value per incident during this time was $256,966, a 26 percent increase from last quarter and a 15 percent increase from the first quarter of 2014. Cargo theft volumes were up 1 percent in the quarter compared to Q4 2014, but down 14 percent compared to Q1 2014. The total value of these cargo thefts increased 26 percent and 25 percent, respectively, when compared to the previous quarter and the same quarter last year. “This is a continuation of the trend identified by the FWI SCIC in Q3-2014 of a large rise in average loss value indicating that organized cargo thieves are targeting more lucrative shipments while many carriers continue to improve the security of their supply chain,” FreightWatch said in a statement. The most common incidents during Q1 2015 involved the theft of Full Truckloads, which accounted for 80 percent of all reported thefts. Food and Drinks continued to be the most stolen product type in the first quarter of 2015, accounting for 31 percent of total thefts in the U.S. during this time. Products that were primarily targeted in this category include candy, cookies and snacks, meats, sodas, juices, teas and water, and canned and dry goods. The Electronics category produced 14 percent of the total, making it the second most stolen product type, primarily consisting of televisions and displays, as well as software, components and peripherals. Home and Garden was the third most targeted category with the largest share of its 12 percent of total thefts in cleaning supplies and products. The Metals category came in fourth with 11 percent, mostly in Aluminum and Copper thefts and one theft of Precious Metals in the first quarter of 2015. Geographically speaking, New Jersey, typically fifth through ninth in state rankings, was the state with the most reported thefts in Q1 2015 with 19 percent of total thefts occurring there. Florida was the second most active state in terms of cargo thefts for the quarter, despite a decrease in thefts compared to Q4 2014 and Q1 2014. FWI attributed the ranking primarily to “the recent and persistent drop in theft volumes within the state of California. Likely a result of several factors, not the least of which is the continued West Coast port slowdown, the volume of freight in the state to drop. Additionally, due to the long delays experienced at the ports, the freight that is unloaded at the docks is less likely to be at rest for a significant amount of time before it is shipped to its final destination,” FWI added. (American Shipper, 5/14/2015) Courtesy AIMU Weekly Bulletin Expired Marine CO Alarms  Carbon Monoxide Alarms have now been used in the boating industry for over 30 years and any detector/alarm that has been used for over 5 years has seen the end of its useful life. It is easy to check if a detector/alarm should be replaced. If it doesn’t have a UL/ETL label or markings toss it. All Safe-T-Alert models SA-4, SA-5, SA-50 and 50-541/542 are over 20 years old and should be discarded and replaced immediately. Recently we came across a liveaboard couple that purchased a boat manufactured in 1988. The boat had three CO detectors that were installed on board. Unfortunately the three detectors were the same ones installed in 1988, so they were each over 27 years old. The “new” boat owners assumed the detectors were functioning properly because the power indicator light was on but the detectors were so old they did not have a test switch to check the alarm and they had a long ago banned on/off switch. We tested the three detectors and found that none of the sensors detected carbon monoxide. Boats are often sold with out-of-date CO alarms posing a potential risk to boaters. Add the Marine Safe T.R.I.P. Tip* to your surveyor checklist so this important information is covered in your final inspection report. MTI Industries, Inc.. Phone: 1-800-383-0269 *Marine Safe T.R.I.P. Tip Poem of the Monthcourtesy Ted Crosby, NAMS-CMS SAFETY FIRST
Thus spake my old grandfather
As he bounced me on his knee, “If you want to be an underwriter, Listen now to me. If you would have your name acclaimed And with esteem regarded Don’t be a sucker for a risk Two other guys discarded. Do not cover wooden hulls- They are not what they seem. Never reinsure a risk Unless you get the cream. Never pay the slightest heed To what a broker says, And never let a premium run Beyond its sixty days. Never back an owner Who is broke or badly bent. Never write a fishing boat At less than six percent. Take it easy…Play it safe… You’ll find that if you do, You will always miss the losses- (But you’ll miss the premiums, too.).” By James A. Quinby
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