Guard reduces operating hours for fleet; high oil prices blamed The Associated Press 5/10/00 7:47 AM

HOUSTON (AP) -- U.S. Coast Guard operations are cut by one-quarter in the 26-state region that includes Louisiana and Texas, with commanders blaming persistent high oil prices for the reduction in ship and aircraft patrols.

Chronic underfunding and an aging fleet of cutters and aircraft were also identified as threats to the Coast Guard's readiness by Adm. Paul J. Pluta, commander of the Eighth Coast Guard District. But current search and rescue operations are unaffected, he said.

"Our Coast Guard units are scattered throughout our 26 states. Consequently, due to insufficient volume, we can't always take advantage of government-wide contracts and we end up paying a lot more for fuel," Pluta told a meeting of the Texas Waterway Operators Association on Tuesday. "As a result, I've had to restrict operating hours on our cutters, boats, helicopters and airplanes."

Pluta said the result is reduced drug and migrant interdiction and fisheries enforcement.

"The boats are spending more time tied up to the dock than we'd like them to," Pluta told the Houston Chronicle after the meeting. "It's frustrating for me, but even more so for our people. They're the type of folks who like to be out there, not sitting in the fire house waiting for the call."

He said navigational systems -- fixed and mounted on buoys -- are another area affected by the cost-reductions in the district that includes 1,200 miles of the Gulf Coast, the Gulf Intracoastal Waterway and 10,300 miles of navigable rivers.

Since the start of 2000, oil prices have increased dramatically on supply concerns, reaching $34.13 a barrel in early March -- almost $10 higher than in January. On Tuesday, West Texas intermediate crude rose 56 cents to $28.65 a barrel. That's the highest settlement price since March 20, when a five-week run above $30 ended.

Pluta said the petroleum woes first surfaced in January, when he ordered his district to reduce operational hours by 20 percent. He increased the cutback to 25 percent about two weeks ago.

The guard's Eighth District covers 26 states and 1,200 miles of coastline, with an operating budget of $29.4 million. Pluta said that if he hadn't reduced operations, his district would be facing a deficit of $700,000 to $1.2 million for the fiscal year ending Sept. 30. Federal law prohibits him from deficit spending.

"We were hit harder than anyone," said Pluta. "The other districts are more compact. We've got 26 states."

A possible cure for the funding dilemma could come from House Majority Whip Tom DeLay.

A supplemental bill that would have provided more money for the Coast Guard has died in the U.S. Senate, but the House of Representatives is attempting to resurrect the measure, said Emily Miller, press secretary for DeLay, D-Sugar Land.

"It should start moving soon, but it's still in flux," said Miller

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-- Martin Thompson (mthom1927@aol.com), May 10, 2000