Noncontiguous Shipping Reasonable Rate Act of 2024

# Noncontiguous Shipping Reasonable Rate Act of 2024 - Summary **What the Bill Does** This bill would change how the federal government determines whether shipping rates are "reasonable" for routes to noncontiguous U.S. states and territories (primarily Hawaii, Alaska, and U.S. island territories). Currently, the Surface Transportation Board decides if rates are reasonable on a case-by-case basis. Under this bill, a rate would automatically be considered reasonable if it falls within 10% of rates charged on similar international shipping routes, as tracked by a Federal Maritime Commission index. **Who It Affects and Key Provisions** The bill primarily affects shipping companies and consumers in Hawaii, Alaska, and U.S.

territories that depend on ocean transport for goods. By tying reasonable rates to international market benchmarks, the bill aims to prevent shipping companies from charging excessive rates on these routes. The 10% threshold provides a clear, objective standard rather than requiring individual rate reviews. **Current Status** The bill (HR 666) was introduced in the 119th Congress by Rep. Ed Case (D-Hawaii) and is currently in committee, meaning it has not yet been debated or voted on by the full House.