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Roguish Lawyer
02-21-2006, 16:07
What do you guys think about this? Is the deal a domestic security threat? Would blocking the deal adversely impact relations with Middle Eastern countries and their cooperation in the GWOT? :munchin

http://www.cnn.com/2006/POLITICS/02/21/port.security/index.html

Bush backs Dubai port deal, vows veto
Lawmakers seek more thorough look at takeover by UAE firm

Tuesday, February 21, 2006; Posted: 4:39 p.m. EST (21:39 GMT)

WASHINGTON (CNN) -- President Bush on Tuesday strongly defended a deal that would let a United Arab Emirates-based company run six major U.S. seaports, telling reporters that he would veto any bill to hold up the agreement.

Bush, who has yet to veto a bill during his administration, warned that the United States is sending "mixed signals" by attacking a Middle Eastern company after the American ports had been run by a British firm for several years.

Lawmakers who have called for the deal to be blocked need to "step up and explain why a Middle Eastern company is held to a different standard," he said.

The administration has faced a wave of criticism this week over its decision to let a subsidiary of maritime management firm Dubai Ports World run ports in New York and New Jersey; Philadelphia, Pennsylvania; Baltimore, Maryland; Miami, Florida; and New Orleans, Louisiana.

The company recently acquired the British-based firm that currently directs commercial operations at those ports, Peninsular and Oriental Steam Navigation. The takeover by Dubai Ports World means that it will be in charge of those operations.

"I don't understand why it's OK for a British company to operate our ports but not a company from the Middle East when we've already determined security is not an issue," Bush said.

Bush made his comments to reporters Tuesday aboard Air Force One, which he rarely does. His forceful statement came just hours after Senate Majority Leader Bill Frist urged the administration to block the deal until Congress could scrutinize it.

Frist, a Republican from Tennessee, called on the review committee that approved the deal to open its deliberations to congressional scrutiny.

"If the administration cannot delay the process, I plan on introducing legislation to ensure that the deal is placed on hold until this decision gets a more thorough review," Frist said in a written statement Tuesday.

House Speaker Dennis Hastert, an Illinois Republican, and Minority Leader Nancy Pelosi, a California Democrat, also joined that call as lawmakers from both parties expressed concern over the deal.

"No one can understand it, Democrat or Republican," said Sen. Charles Schumer, a New York Democrat and a leading critic of the agreement. "Average citizens, everywhere we go, are stopping us and saying, 'What is going on?' "

Critics say the takeover raises security concerns, noting that two of the hijackers in the September 11, 2001, attacks on New York and Washington came from the UAE, and that the hijackers drew funds from bank accounts in Dubai, the financial center of the Persian Gulf.

But the Bush administration argues the deal was properly approved and poses no security threat, and that the UAE is an ally in the war on terror. (Watch what role the UAE plays in the war on terror -- 1:57)

"Nothing in this acquisition has anything to do with the responsibility for security in American ports," State Department spokesman Adam Ereli said. "That remains very firmly in the hands of the Department of Homeland Security. What we're talking about is the management of some port operations."

The agreement is scheduled to take effect March 2. It was approved by the federal Committee on Foreign Investments in the United States, which includes representatives of the Treasury, Commerce and Homeland Security departments, the FBI and the Pentagon.

Frist, a potential presidential contender in 2008, said the committee's approval process "needs to be more transparent and include a role for Congress."

"These deals could have a major impact on America's security, the protection of which is our greatest responsibility," he said in a written statement.

Bipartisan concern
Lawmakers swarmed over the issue Tuesday, criticizing the administration's approval of the contract and calling for a more extensive review.

Pelosi called for hearings into the deal "and others pertained to foreign ownership."

"In the meantime, Congress must put an immediate halt to this deal that the administration hastily approved in secret without input from the Congress or state officials and without a thorough review of how it might affect America's security," she said.

Rep. Peter King, the chairman of the House Homeland Security Committee, and Schumer already have introduced a bill to put the deal on hold.

King, a New York Republican, said the UAE "has had unusual ties to al Qaeda in the past," and he called the administration's review of the decision "totally unacceptable after 9/11."

"My office today has received more phone calls on this than any issue in the 14 years I've been in the United States Congress, and every one of them is in support of what Senator Schumer and I are doing," he said.

Ereli said Homeland Security officials have had good relations with Dubai Ports World, and he said the United States has a "strong and effective partnership" with the UAE "from a counterterrorism point of view."

Rep. Ileana Ros-Lehtinen, a Florida Republican, said Congress has until March 2 "to ask a lot of questions, demand some answers and shed some light about these transactions."

And Sen. Susan Collins, a Maine Republican and the chairwoman of the Senate Government Affairs and Homeland Security Committee, said the agreement received "far less scrutiny than it should have."

"Although the UAE is an ally in the war on terrorism, the country has historically been used as a base of terrorist operations and financing," she said.

Two Republican governors -- George Pataki of New York and Robert Ehrlich of Maryland --- have indicated they may try to cancel port lease arrangements, according to The Associated Press.

A Dubai Ports World spokesman said Monday that the firm has received all the necessary regulatory approvals and that the security systems in place at the ports would only get better under the new management.

"We intend to maintain or enhance current security arrangements, and this is business as usual for the P&O terminals," the spokesman said.

A port security expert said fears that the agreement would reduce U.S. security are based on "bigotry" against Arabs and that "shameless" politicians are creating an issue they think will resonate with the public.

"This whole notion that Dubai is going to control or set standards for U.S. ports is a canard ... is factually false," said Kim Petersen, head of SeaSecure, a U.S.-based maritime security company, and executive director of the Maritime Security Council, which represents 70 percent of the world's ocean shipping.

Peregrino
02-21-2006, 16:24
A port security expert said fears that the agreement would reduce U.S. security are based on "bigotry" against Arabs and that "shameless" politicians are creating an issue they think will resonate with the public.

"This whole notion that Dubai is going to control or set standards for U.S. ports is a canard ... is factually false," said Kim Petersen, head of SeaSecure, a U.S.-based maritime security company, and executive director of the Maritime Security Council, which represents 70 percent of the world's ocean shipping.

And the truth comes out in the last two paragraphs - long after the average "Chicken Little" has been incited to knee-jerk reaction. I tried explaining this to the wife after she caught a snippet on the news at noon. Thank God she's intelligent enough to put the pieces together for herself once the facts are brought to light. Wish I could say the same for the unwashed masses. Personally I don't like ANY foreign investment in strategic assets/interests but I also realize that's unrealistic in today's world/economy. My .02 - Peregrino

Pete
02-21-2006, 16:39
The local Port Authority will continue to be "in charge" of the Local ports.

All incoming shipping is still under all US laws and subject to all US inspections starting with the Coast Guard.

Sheeple are whipped up by the MSM while our boarders remain wide open.

jatx
02-21-2006, 16:51
I have no background in maritime affairs, so could someone please explain what functions Peninsular and Oriental Steam Navigation currently carries out pursuant to its leasehold? "Commercial operations" could mean an awful lot or very little. :confused:

I assume that it includes hiring and performing background checks on port employees, maintenance of critical IT systems, scheduling traffic in and out of the port, keeping records of shipments, provision for private security, etc. Seems like an awful lot of holes that the CG might not be best positioned to plug...

Edited to add: info on PO Ports' services and operations can be found at http://portal.pohub.com/portal/page?_pageid=36,1,36_31155:36_32065&_dad=pogprtl&_schema=POGPRTL

Soft Target
02-21-2006, 17:37
And the truth comes out in the last two paragraphs - long after the average "Chicken Little" has been incited to knee-jerk reaction. I tried explaining this to the wife after she caught a snippet on the news at noon. Thank God she's intelligent enough to put the pieces together for herself once the facts are brought to light. Wish I could say the same for the unwashed masses. Personally I don't like ANY foreign investment in strategic assets/interests but I also realize that's unrealistic in today's world/economy. My .02 - Peregrino


You couldn't have said it better. Is there something in the water in Sanford that's not in any major media market? Thank you for a concise, precise commentary. I have been trying to explain that to the FL Panhandle gentry with not success and would like to use your input,

QRQ 30
02-21-2006, 17:51
I see no change other than ownership. Does anyone really think that the TSA (staffed mostly by idiots) would do a better job.:eek:

Look at it this way. If they screw up now we can nuke them in their homeland.:D

Sacamuelas
02-21-2006, 18:27
Look at it this way. If they screw up now we can nuke them in their homeland.:D
THAT was funny. :D

NousDefionsDoc
02-21-2006, 20:14
I don't think the ownership or management of any infrastructre to foreign entities from anywhere should be allowed. In fact, I think it should be prohibited by law. An Amendment to the Constitution if need be.

But that's just me.

Jack Moroney (RIP)
02-21-2006, 20:34
And the truth comes out in the last two paragraphs - long after the average "Chicken Little" has been incited to knee-jerk reaction. I tried explaining this to the wife after she caught a snippet on the news at noon. Thank God she's intelligent enough to put the pieces together for herself once the facts are brought to light. Wish I could say the same for the unwashed masses. Personally I don't like ANY foreign investment in strategic assets/interests but I also realize that's unrealistic in today's world/economy. My .02 - Peregrino


I agree, but unfortunately perception and reality here are two different things. This will be politicized to death, whatever damage might have been done to relations with the Arab street has already been accomplished by what has come out from the media, and just how many of those containers that come in now have ever really been checked out. No, I agree that we should not be putting any of our strategic assets under the control of any other nation, but then how many nations do we depend upon now just for the everyday products we use, not to mention the war toys we field for our own national defense.

Jack Moroney (RIP)
02-21-2006, 20:38
their cooperation in the GWOT?

I must have missed that piece on the news. You are, I assume, talking about their overt statements and not their covert actions.

Roguish Lawyer
02-21-2006, 20:43
I must have missed that piece on the news. You are, I assume, talking about their overt statements and not their covert actions.

I was referring to whatever cooperation is being supplied, if any. Just trying to frame the topic, Sir.

QRQ 30
02-21-2006, 20:49
IMO the true security checks as far as cargo and containers has to take place at the ports of departure, not here. These will be accomplished by foreign personnel, perhaps with our overseeing and cooperation. The same is for aircraft. We have to have contraband prevented from boarding a ship rather than discover it when it is here. Smaller craft are really the responsibility of the USCG who I believe are now members of the DHS.
As with other contracted services, I would hope that the ultimate management and supervision will be US.

Jack Moroney (RIP)
02-21-2006, 20:55
I was referring to whatever cooperation is being supplied, if any. Just trying to frame the topic, Sir.

I know, I just was being a little sarcastic. I find it hard to think of any "emerite" that keeps its subjects under the camels hoof as having a realistic approach to dealing with anything that has to do with fighting terrorism when their actions and culture form a petrie dish for it. Their worry, as most of the "emirs et al" is that their power is at risk from within as much as from without so they deal with us as the devil they know and can manipulate with oil. Just my opinion.

Roguish Lawyer
02-21-2006, 20:57
Their worry, as most of the "emirs et al" is that their power is at risk from within as much as from without so they deal with us as the devil they know and can manipulate with oil. Just my opinion.

I don't think anyone here would disagree with you.

Peregrino
02-21-2006, 21:02
How many people remember the furor when the Chinese took over the operation of the Panama Canal? Or the one before that when Pres. Carter gave the thing away in the first place. The only change between before and after is who's making the profit. (Of course I'm not sure we've seen the other shoe drop yet. The Chinese tend to take a long term view of stratigic issues. But then again they need the PC much more than we do.) As COL M. alluded - "how secure are our ports now?" Bottom line - It is a physical impossibility to inspect every container entering the US. We've got a couple SMEs here who might be willing to chime in on that one. Between the USCG and Homeland Security everything that can (realistically) be done is being done. Besides, can anybody here honestly imagine a longshoreman's union allowing any management company to hire/place potential terrorists? We need to be worrying about building the HUMINT assets to infiltrate the threat and stop attacks before they get to our shores, not worry about who's making money at echelons above reality. Besides - who cares if they own it? It's just like the Japanese speculating in US real estate. They can own anything they want; they just can't take it home. And when we get tired of playing, we can always figure out how to get it back. My .02 - Peregrino

jatx
02-21-2006, 21:08
I agree with NDD that these rights should not be up for foreign ownership. If we can place tariffs on certain foreign goods in the name of national security, we can certainly limit ownership of our critical infrastructure. A major disruption of operations lasting 30 days at the port of Long Beach alone could cost the economy up to $1 trillion.

That being said, after pondering and reading a bit more, I don't think this transaction is the real risk we should be worried about. W/r/t our ports, we should be concerned about two things:


Terrorist attacks on the infrastructure itself
Use of the ports to infiltrate enemy personnel or dangerous materials


The USCG is concerned with both, but seems most likely to have an impact on 1. The number of IM containers inspected is only around 2-4%, depending on whose estimates you believe, too low to have much of a dampening effect or increase the odds of interdicting illicit materials or individuals.

In the case of direct attacks on the ports themselves, you would want a private operator to:


Ensure proper communications with first responders
Provide those first responders with rapid access to the affected sites
Limit non-essential traffic in the port facilities
Ensure the credentials of port employees and the crews of visiting ships (if they are going to disembark)


However, I was able to find several reports indicating incompatible comms as recently as last year, in addition to means of ingress and egress completely inadequate for allowing quick access for large numbers of first responders. At Long Beach, a team from Harvard noted that there was "no credentialing system" in place for port employees, and that 95% of cargo arrives at that port on foreign vessels with crew standards that are even more lax. In addition, small fishing vessels were observed motoring close to larger vessels carrying oil and other hazardous materials.

What if they were carrying explosives???

As I already stated, I am not in favor of foreign ownership, but our ports are a disaster waiting to happen and this red herring just obscures the issue. :(

CoLawman
02-21-2006, 22:38
President Bush is adamant about his position. Even though I am skeptical, he has all the facts, I have the Reader's Digest version. I have no major issues with him on the GWOT so I support him once again.

I do have to admit that I am a little queazy knowing that the worst President in the history of the United States of America (Carter) has giving it his blessing!

But it all balances out in my mind as Hillary is against it.:lifter

Pete
02-24-2006, 04:57
It would appear that Arabs have been in our ports for quite a while now

http://www.chron.com/disp/story.mpl/nation/3681940.html

So why is it such a big deal now? Why not a big deal in the early 90s, right after 9/11 or last year?

How about the Chi-coms? How many ports are they working in on the left coast?

Folks, it's all or nothing. Everybody out or everybody in. After all, this is America, even if it kills us.

Pete
Off to the Rod & Gun club Saturday AM to plink with my M1 Garand - just in case.

QRQ 30
02-24-2006, 06:49
If you want to worry about something remember that most of the contraband and agents in this countrary and the vehicle for getting classified information out of the country is through Embassies. The Soviets and Chinese used these means extensively.

Huey14
02-24-2006, 06:59
If you want to worry about something remember that most of the contraband and agents in this countrary and the vehicle for getting classified information out of the country is through Embassies. The Soviets and Chinese used these means extensively.


As do you. As does everyone.

And I would have to agree with the sentiment that it doesn't matter who runs it, as long as it's run. One of our major ports may be sold off soon, so the discussion is happening here, too.

I don't view it as a security risk. All the security/whatnot is still done by Americans for Americans. As was stated all that's happening is the profits are going elsewhere. If terrorists want the plans or security flaws they could probably just hook up with some of the local smugglers.

My 2RMB. Feel free to poke holes, of course.

brewmonkey
03-09-2006, 16:54
It appears as if the company is going to complete the deal but will be divesting itself of all US ports.

http://www.thekansascitychannel.com/politics/7851041/detail.html

Jimbo
03-10-2006, 11:36
IMO the true security checks as far as cargo and containers has to take place at the ports of departure, not here. These will be accomplished by foreign personnel, perhaps with our overseeing and cooperation. ...As with other contracted services, I would hope that the
ultimate management and supervision will be US.

The Container Security Initiative tries to address much of that concern:
CSI (Container Security Initiative): Enables CBP, in working with host government Customs Services, to examine high-risk maritime containerized cargo at foreign seaports, before they are loaded on board vessels destined for the United States. In addition to the current 42 foreign ports participating in CSI, many more ports are in the planning stages. By the end of 2006, the number is expected to grow to 50 ports, covering 90% of transpacific maritime containerized cargo shipped to the U.S.


http://www.dhs.gov/interweb/assetlibrary/DHSPortSecurityFactSheet-062104.pdf
http://www.dhs.gov/interweb/assetlibrary/OIG_05-26_Jun05.pdf
http://www.mobintele.com/container_security_initiative.html