I-SEARCH (tm) V1.89P Retrieved Documents Listing on 10/25/93 at 04:29:18. Database: USCODE Search: (46:CITE) ------DocID 53139 Document 1 of 963------ -CITE- 46 USC TITLE 46 -EXPCITE- TITLE 46 -HEAD- TITLE 46 - SHIPPING -MISC1- This title was enacted by Pub. L. 98-89, Sec. 1, Aug. 26, 1983, 97 Stat. 500; Pub. L. 99-509, title V, subtitle B, Sec. 5101, Oct. 21, 1986, 100 Stat. 1913; Pub. L. 100-424, Sec. 6, Sept. 9, 1988, 102 Stat. 1591; and Pub. L. 100-710, Nov. 23, 1988, 102 Stat. 4735 Subtitle Sec. I. GENERAL 101 II. VESSELS AND SEAMEN 2101 III. MARITIME LIABILITY 30101 (BALANCE OF TITLE RESERVED) AMENDMENTS 1988 - Pub. L. 100-710, title I, Sec. 102(b), Nov. 23, 1988, 102 Stat. 4738, amended title analysis generally, substituting 'GENERAL' for '(Reserved - general)' in item I and adding item III. Table Showing Disposition of All Sections of Former Title 46 (Former sections of Title 46 that are not included in Title 46, Pub. L. 99-509, section 6 of Pub. L. 100-424, and Pub. L. 100-710 ar --------------------------------------------------------------------- Title 46 Former Sections Title 46 New Sections --------------------------------------------------------------------- 1 Rep. 2 2103 3 Rep. 4 2105 5, 6 Rep. 7 2107 8 2108 9 (less (c)) 3316 9(c) 46 App. 11, 12 Rep. 13, 14 46 App. 15-41 Rep. 42 46 App. 43-56 Rep. 57 46 App. 58 Rep. 59 46 App. 60-63 Rep. 65(1) 2101(10) 65(2) 2101(11) 65(3) 2101(34) 65a 12113 65b 12102 65c 12114 65d 12115 65e 12103 65f 12116 65g 12104 65h 12105 65i 12106 65j 12107 65k 12108 65l 12109 65m 12110 65n 12122 65o 12111 65p 12112 65q 12117 65r 12118 65s 12119 65t 12120 65u 2107, 12122(a) 65v(1) 2104 65v(2) 12121 65w 12101 71 12102, 14102, 14104, 14501, 14502, 14504, 14511, 14521, 14522 72 14503 73, 74 Rep. 75 14512 76 Rep. 77 14502, 14512 78, 79 Rep. 80 (See former 660-1) 81 14306 82 3101 83 14502, 14513 83a-83g 14513 83h 14102 83i 14702 83j 14701 83k 2107 85-85g Rep. 86 5114, 5115 86a 5101 86b 5102 86c 5102, 5103, 5104, 5106 86d 5107 86e 5108 86f 5109 86g 5112 86h 5113 86i 5116 88 5102 88a 5104, 5108 88b 5103, 5107 88c 5112 88d 5109 88e 5112 88f 5113 88g 5116 88h, 88i Rep. 91, 91a 46 App. 92 Rep. 93, 94 46 App. 95 Rep. 96-98 46 App. 99 Rep. 100-102 46 App. 103 Rep. 104 46 App. 105-109 Rep. 110-113 46 App. 121-135 46 App. 141-146 46 App. 151-162 Rep. 163 46 App. 170(14) 2106 170 3306(a)(5), Rep. in part 170a, 170b Rep. 171-175 Rep. 178, 179 Rep. 181-183 46 App. 183a Rep. 183b-196 46 App. 201 11301 202 11302 203 11303 211 8501(a) 212 8501(b) 213 8501(c), (e) 214 7101 214(c) 7106 215 8501(d), 8502 216(a) 9301(2) 216(b) 2101(34) 216(c) 9301(3) 216(d) 9301(1) 216(e), (f) Rep. 216a 9302(a), (b), (d) 216b(a)-(c) 9303 216b(d) 9305 216b(e) 9304 216c 9303 216d 9305 216e(a)-(c) 9308 216e(d) 2107 216e(e) 2106 216f 9302(c) 216g 9306 216h 9307 216i Rep. 221 8103 222 8101 223 8301 224 7101, 8101 224a 8303, 8304 224a(2) 7111 225 7106, 7109, 7113 226 7101, 7106, 7703 227 Rep. 228 7101, 7106, 7703 229 7101, 7106, 7703 229a 7101, 7103 229b 7101, 7103 229c 7106, 7108, 7318 229d Rep. 229e 7105 229f 7110 229g 7103, 7318 229h Rep. 230 7112 231 7105 232 7110 233 7109 234 3315 235 8104 236 8103 237, 238 Rep. 239 6101, 6301, 7703 239(d) 6303 239(e) 6304, 7705 239(f) 6304 239(g) 6305, 7701 239(i) 6306 239(j) 6301, 6307 239(k) 6305 239a(a) 7503(a), 7704(a) 239a(b) 2101(34) 239a(c) 7302 239b(a) 7503(b) 239b(b) 7704(b), (c) 240 7703 241 8304 242 7101, 7102, 8302(a)-(d) 243 7101, 7104, 7107, 7108 244 7101, 7105 245 8302(g), (h) 246(a) 8302(a)-(d) 246(b) Rep. 246(c) 7703 247 7101 248 8302 249-249c Rep. 251-251b 46 App. 252-261 Rep. 262 46 App. 263-273 Rep. 274 46 App. 275, 276 Rep. 277 46 App. 278-288 Rep. 289-293b 46 App. 294-305 Rep. 306-316 46 App. 317, 318 Rep. 319-324 46 App. 325 Rep. 326-328 46 App. 329, 330 Rep. 331 2110 332-335 Rep. 336 46 App. 351-355 46 App. 361 2101(16), (37) 362 2109, 3301(9), 3314 362(a) 3303 362(b) 3504 362(c) 3505 363 2109 364 8502 365 Rep. 366 3306 367 2101(16), (33), 2303, 3301(7), 3302 369 3305, 3306, 3316 369(b) 3503 369(e) 3318 371 Rep. 372 2103 373-374a Rep. 375 3306 376-382a-1 Rep. 382b 2104, 2111, 2112 382b-1 3317(b) 382c-385 Rep. 390 3302, 3304 390(a) 2101(21)(B) 390(b) 2101(35) 390(d) 2101(34) 390(e) 2101(13) 390(f) 2101(27) 390(g) 2101(30) 390(h) 2101(28) 390(i) 2101(29) 390a 3301(4), (5), (8), 3305 390a(a) 3307(2) 390a(b) 3317(a), 7114 390b 3306, 8901, 8902 390c 3303(a), 3309, 3311 390c(b), (c) 3313 390d 2106, 3318(a), 8906 390e-390g Rep. 391 3301(1), (4), (9), 3304, 3305 391(b) 3307(3) 391(c) 2101(22), 3307(1) 391(e) 3302 391a 3301(10), 3702, 8502 391a(2)(A) 2101(9) 391a(2)(B) 2101(12) 391a(2)(C) 2101(14) 391a(2)(D) 2101(15) 391a(2)(E) 2101(20) 391a(2)(F) 3701(4) 391a(2)(G) 2101(24) 391a(2)(H) 2101(5) 391a(2)(I) 2101(34) 391a(2)(J) 3701(5) 391a(2)(K) 3701(6) 391a(2)(L) 2101(46) 391a(2)(M) 2101(38) 391a(2)(N) 2101(8) 391a(2)(O) 2101(23) 391a(2)(P) 3701(2) 391a(2)(Q) 3701(3) 391a(2)(R) 3701(1) 391a(2)(S) 2101(7) 391a(3) 2101(39), 2301, 3303, 3702(a) 391a(4) 2109 391a(4)(B) 8703(c) 391a(5) 3702 391a(6) 3703 391a(7) 3704-3709 391a(8) 3309, 3313 391a(8)(A) 3710, 3712 391a(8)(B) 3711, 3712 391a(8)(C) 3711 391a(8)(D) 3710 391a(8)(E) 3710, 3711 391a(9) 9102 391a(10)(A) 8703(a) 391a(10)(B) 9101(b) 391a(10)(C) 7317, 8703(b) 391a(10)(D) Rep. See 7701 et seq. 391a(11) 9101(a) 391a(12) 3703 391a(13) 3713 391a(14) 2107, 3718 391a(14)(C) 2106 391a(15) 3714 391a(16) 3717 391a(17) 3715 391a(18) 3716 391b Rep. 392 3304-3306 392(b) 3307(3) 393, 394 Rep. 395 3301(6), 3305, 3311 395(d) 3309 395(e) 2101(32) 396, 397 Rep. 398 3318 399 3309, 3311, 3314 400 3312 401, 402 Rep. 403 3318 404 2101(13), (16), (17), 3301(1), 3302, 3306, 3307 404-1 3301(3), 3305, 3501 404-1(1) 2101(19) 404-1(4) 2101(21)(C) 404-1(6) 3307(2), (3) 404-1(8) 8301 404a Rep. 405 2101(40), 3301(9), 3305 405(b) 8104 405(b)(1)(A) 2101(34) 405(b)(2) 8904 405(b)(3) 8905(b) 406 3305 407 3305, 3318 408 3305, 3306, 3318 409 Rep. 410 3318 411, 412 3306 413 3318 414 3310, 7502 415 Rep. 416 2104, 3306 417 (See former 416) 418, 419 Rep. 420 3302, 3306 431-434 Rep. 435 3308, 3313 436 2106, 3318 437-440 Rep. 441 46 App. 441(1) 2101(18) 441(2) 2101(31) 442 3302 443 46 App. 444 8701 444 46 App. 445 2113, 3306 446-446c 46 App. 446d 8101 451 3501 452 3501(b), (c) 453 2113 454-457 T. 33 Sec. 1233-1236 458 Rep. 459 3306 460, 460a, 461 3502 462 2106, 3501, 3502 463, 463a, 464 Rep. 465 (See former 170) 466 Rep. 466a 3901 466b 3902 467-469 Rep. 470, 471 8102 472 Rep. 473 3306 474-476 Rep. 477-479 3306 480 2301 481 2106, 3306 481(a) 2101(34) 481(c) 2106 481(d) 3318 482, 483 3306 484-488 Rep. 489 3306 490 Rep. 491 46 App. 492 3506 493-496 Rep. 497 2106, 3318, 8502 498 Rep. 511-522 Rep. 526 2101(43) 526a-526d Rep. 526e 4102(b) 526f Rep. 526g 4102(a) 526h 4103 526i 4102(c) 526j 4102(d) 526k-526n Rep. 526o 2106, 2107, 4106 526p 2107, 3306, 4104 526q-526t Rep. 526u 4101 527-527h Rep. 531 10601 532 Rep. See 11501 533, 534 10602 541-542a Rep. 543 2104 544, 545 Rep. 546 10102 547-549 Rep. 561, 562 Rep. 563 11110 564 10301, 10302 565 10305 566 10301 567, 568 10321 569 10309 570 10308 571 10321 572, 573 Rep. 574 10301, 10501, 10502 575 10508 576 10509 577 10307 578 11107 579 Rep. 591 10313(a) 592 10313(b) 593 10313(b) 594 10313(c) 595 10313(d) 596 10313(e)-(i), 10504 597 2101(12), 10313(e)-(i), 10504 598 10313(e), 10504(a), (d), 10505(d) 599 2101(12), 10314, 10315, 10505, 10506 599(g) 10316 600 10317 601 11108, 11109 602 11111 603-608, 611 Rep. 621 10701, 10702 622 10703 623 10711 624 10704, 10705 625 10706 626 10707 627 10709 628 10708, 10710 641, 642 10310 643 8701, 8702, 10102(c), 10311, 10503 643(a) 7302, 7303, 7318 643(b) 7304 643(c) 7302, 10306 643(e) 10311 643(f) 7319, 7502 643(h) 7501 643(l) 7316, 10103 643a 8701 643b Rep. 644 10312(a), (b), (d)-(f) 645, 646, 651 Rep. 652 10312(c) 653 10901, 10902(a), 10907 654 10901, 10903(a), (b) 655 10901, 10904 656 10901, 10905 657 10905 658 10901, 10906, 10908 659 10903(c) 660 10903(d) 660-1 11101 660a 3305, 3308 660b 3308 661 10321 662 10902(b) 663 Rep. 664 10907 665 10321, 11106(b)-(d) 666 11102(a) 667 11102(b) 668, 669 Rep. 670, 671 11103 672 8701, 8702 672(a) 2101(34) 672(b) 7306 672(b)(1) 7307 672(b)(2) 7308 672(b)(3) 7309, 7310 672(b)(4) 7311 672(c) 7301, 7315 672(d) 8702(d) 672(e) 8702(b), (c) 672(f) 7312 672(g) 7313, 7314 672(h) 8103 672(i) 7302 672(j) 2106, 8702(e) 672-1, 672-2 Rep. 672a 8103 672b, 672b-1, 672c Rep. 673 8104 674-677 46 App. 678 11104(a) 679 11104(b)-(d) 680, 681 Rep. 682 10318, 10507 683 10318, 10507 684 11105 685 11106(a) 686, 687 Rep. 688 46 App. 689 2103, 2104 690 8103 691 Sec. 2(f) of Pub. L. 98-89 692 Rep. 701 11501 702 11502 703 11503 704 T. 18 Sec. 2196 705 11504 706 11505 707 10319 708 T. 18 Sec. 2279 709 Rep. 710 11506 710a Rep. 710b (See former 239a) 710c (See former 239b) 711 Rep. 712 11507 713 10101, 10303, 10304 721-727 46 App. 728 2304 729-731 46 App. 732-735 Rep. 738-738d 46 App. 740-752 46 App. 761, 762 46 App. 763 Rep. 763a-768 46 App. 781-790 46 App. 791-799 Rep. 801-804a 46 App. 805-807 Rep. 808 46 App. 808(4th par.) 31328 809-810a Rep. 811, 812 46 App. 813, 813a Rep. 814-817 46 App. 817a-817c Rep. 817d, 817e 46 App. 818-824 46 App. 825 Rep. 826 46 App. 827 Rep. 828-837 46 App. 838 31306 839 46 App. 840, 841 Rep. 841a 46 App. 841b Rep. 841c-845b 46 App. 846 Rep. 847, 848 46 App. 861 46 App. 862-864 Rep. 864, 864b 46 App. 865-869 46 App. 870-870d Rep. 871, 872 46 App. 873, 874 Rep. 875-877 46 App. 878-880 Rep. 881 3305, 3316, 12119 882 3304 883-885 46 App. 886 Rep. 887-889 46 App. 891 46 App. 891a Rep. 891b, 891c 46 App. 891d-891r Rep. 891s, 891t Rep. 891u-891x 46 App. 891y Rep. 911(1), (2) 30101(1) 911(3) Rep. 911(4) 30101(1) 911(5) 31301(3) 921 31321(a)(1), (e) 922(a), (b) 31322(a)(1) 922(b) 31301(6)(A) 922(c), (d) Rep. 922(e), (f) 31322(c) 923 31324 924 31323(a), (b) 925 31343 925(b) 31321(f), (h) 926(a), (b) 31321(b) 926(c) Rep. 926(d) 31322(b) 927 31302(1), (2) 941(a) Rep. 941(b)(1st sentence) 31330(a), (c) 941(b)(last sentence) 31323(c) 941(c) 31304 951(1st par.) 31325(a), (b)(1), (c), (d) 951(2d par. less proviso) 31301(6)(B) 951(2d par. proviso) 31326(b)(2) 952(1st, 2d sentences) 31325(e) 952(last sentence) 31308 953(a) 31301(5) 953(b) 31326(a), (b)(1) 954(a) 31325(b)(2) 954(b) 31303 961(a) Rep. 961(b) 31327 961(c) 31326(a) 961(d), (e) 31328 961(f) 31329 971 31342 972 31341 973 31341(a) 974 31305 975 31307 981-984 Rep. 1011 Rep. 1012 31321(a)(2) 1013, 1014 Rep. 1101 46 App. 1111-1111a 46 App. 1111b Rep. 1112 46 App. 1113 Rep. 1114-1119 46 App. 1119a, 1119b Rep. 1120-1125a 46 App. 1126 Rep. 1126-1 46 App. 1126a, 1126a-1 Rep. 1126b, 1126b-1 Rep. 1126c, 1126d Rep. 1127-1128h Rep. 1131 46 App. 1132 8103 1132(a) 7102 1132(g) 8302 1141-1144 Rep. 1145 Rep. 1151-1155 46 App. 1155a Rep. 1156-1161 46 App. 1171-1181 46 App. 1182 Rep. 1183-1185 46 App. 1191-1205 46 App. 1206 Rep. 1211-1213 46 App. 1214 Rep. 1221 Rep. 1222, 1223 46 App. 1224, 1225 Rep. 1226-1228 46 App. 1241-1242 46 App. 1242-1 Rep. 1242a 46 App. 1243 Rep. 1244, 1245 46 App. 1246 Rep. 1247, 1248 46 App. 1251-1262 Rep. 1271-1275 46 App. 1276-1279 Rep. 1279a 46 App. 1279b Rep. 1279c-1295e 46 App. 1295f(a), (b) 46 App. 1295f(c) 2101(17), 3301(2), 3306, 3307(1) 1295f(d)(1) 46 App. 1295f(d)(2), (3) 3318(g) 1295g(a)-(d) 46 App. 1295g(e)(1) 2101(17) 1295g(e)(2)-(5) Rep. 1300-1315 46 App. 1331-1341 Rep. 1351-1364 Rep. 1381-1388 Rep. 1401-1413 Rep. 1451 Rep. 1452(1)(A), (B) 2101(25) 1452(1)(C) 2101(42) 1452(2) 2101(45) 1452(3) 2101(41) 1452(5) 2101(21)(D) 1452(7) 2101(26) 1452(8) 2101(1) 1452(9) 2101(34) 1452(10) 2102(2) 1452(11) 2102(1) 1452(12) 2102(4) 1452(13) 2102(5) 1452(14) 2102(3) 1453 4105, 4301 1454, 1455 4302 1456 4302(a)(3) 1457 4303 1458 4305 1459 4306 1460 4304, 4306 1461(a) 4307(a) 1461(b) 4311(f) 1461(c) 4307(b) 1461(d) 2302(a), (b) 1461(e) 8903 1461(f) 8903, 8905(a) 1462 4308 1463 4309 1464 4310 1464(g) 4302 1465 2303 1466 12301 1467 12302 1468 12303 1469 12304 1470 12305 1471 12306 1472 12307 1473 12308 1474 13101 1475 13102 1476 13103 1477 13104 1478 13105 1479 13106 1479a 13107 1480 13108 1481 13109 1482 13110 1483 2302(b), 4311(a), 12309(a) 1484(a) 4311(b) 1484(b) 2106, 2302(a), (c), 4311(c), 12309(b) 1484(c) 2107 1484(d) 4311(d), 12309(c) 1485 2305, 4311(e) 1486 6101, 6102 1487 Rep. 1488 4302 1489 4311(g) 1501-1507 46 App. 1508 Rep. 1601-1605 46 App. 1606 Rep. 1607-1610 46 App. ------------------------------- ENACTING CLAUSES Pub. L. 100-710, title I, Sec. 102(a), Nov. 23, 1988, 102 Stat. 4738, provided that: 'Certain general and permanent laws of the United States, related to definitions and maritime commercial instruments and liens, are revised, consolidated, and enacted by paragraph (3) of this subsection (probably means subsection (c) of this section) as subtitle III of title 46, United States Code, 'Shipping'.' Section 1 of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 500, provided in part that: 'Certain general and permanent laws of the United States, related to vessels and seamen, are revised, consolidated, and enacted as title 46, United States Code, 'Shipping' '. CONSTRUCTION Section 105 of Pub. L. 100-710, title I, Nov. 23, 1988, 102 Stat. 4751, provided that: '(a) A reference to a law replaced by section 102 of this Act, including a reference in a regulation, order, or other law, is deemed to refer to the corresponding provision of this Act. '(b) An order, rule, or regulation in effect under a law replaced by section 102 of this Act continues in effect under the corresponding provision of this Act until repealed, amended, or superseded. '(c) An action taken or an offense committed under a law replaced by section 102 of this Act is deemed to have been taken or committed under the corresponding provision of this Act. '(d) An inference of legislative construction is not to be drawn by reason of the caption or catch line of a provision enacted by section 102 of this Act. '(e) If a provision of this Act is held invalid, all valid provisions that are severable from the invalid provision remain in effect. If a provision of this Act is held invalid in any of its applications, the provision remains valid for all valid applications that are severable from any of the invalid applications.' Section 5103(a)-(f) of Pub. L. 99-509, title V, subtitle B, Oct. 21, 1986, 100 Stat. 1927, provided that: '(a) Laws effective after January 1, 1986, that are inconsistent with this subtitle supersede this subtitle to the extent of the inconsistency. '(b) A reference to a law replaced by this subtitle, including a reference in a regulation, order, or other law, is deemed to refer to the corresponding provision of this subtitle. '(c) An order, rule, or regulation in effect under a law replaced by this subtitle continues in effect under the corresponding provision of this subtitle until repealed, amended, or superseded. '(d) An action taken or an offense committed under a law replaced by this subtitle is deemed to have been taken or committed under the corresponding provision of this subtitle. '(e) An inference of legislative construction is not to be drawn by reason of the caption or catch line of a provision enacted by this subtitle. '(f) If a provision enacted by this subtitle is held invalid, all valid provisions that are severable from the invalid provision remain in effect. If a provision of this subtitle is held invalid in one or more of its applications, the provision remains in effect in all valid applications that are severable from the invalid application or applications.' Section 2(a)-(f) of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 598, provided that: '(a) Laws effective after December 31, 1982, that are inconsistent with this Act supersede this Act to the extent of the inconsistency. '(b) A reference to a law replaced by this Act, including a reference in a regulation, order, or other law, is deemed to refer to the corresponding provision of this Act. '(c) An order, rule, or regulation in effect under a law replaced by this Act continues in effect under the corresponding provision of this Act until repealed, amended, or superseded. '(d) An action taken or an offense committed under a law replaced by this Act is deemed to have been taken or committed under the corresponding provision of this Act. '(e) An inference of legislative construction is not to be drawn by reason of the caption or catch line of a provision enacted by this Act. '(f) If a provision enacted by this Act is held invalid, all valid provisions that are severable from the invalid provision remain in effect. If a provision of this Act is held invalid in one or more of its applications, the provision remains in effect in all valid applications that are severable from the invalid application or applications.' CODIFICATION OF SHIPPING AND MARITIME LAWS BY FEDERAL MARITIME COMMISSION AND SECRETARY OF TRANSPORTATION Section 2(j) of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 599, provided that: 'Within 2 years after the date of enactment of this Act (Aug. 26, 1983), the Federal Maritime Commission and the Secretary of Transportation each shall submit to Congress a proposed codification of the laws within their respective jurisdictions related to shipping and maritime matters.' REPEALS AND SAVINGS PROVISIONS Section 106(a) of Pub. L. 100-710, title I, Nov. 23, 1988, 102 Stat. 4752, provided that: 'The repeal of a law by this title may not be construed as a legislative implication that the provision was or was not in effect before its repeal.' Section 106(b) of Pub. L. 100-710, title I, Nov. 23, 1988, 102 Stat. 4752, repealed specified laws relating to shipping, except for rights and duties that matured, penalties that were incurred, and proceedings that were begun before the effective date of this title, which is Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as a note under section 30101 of this title. Section 5104(a) of Pub. L. 99-509, title V, subtitle B, Oct. 21, 1986, 100 Stat. 1928, provided that: 'The repeal of a law by this subtitle may not be construed as a legislative implication that the provision was or was not in effect before its repeal.' Section 5104(b) of Pub. L. 99-509, title V, subtitle B, Oct. 21, 1986, 100 Stat. 1928, repealed specified laws relating to shipping, except for rights and duties that matured, penalties that were incurred, and proceedings that were begun before Oct. 21, 1986. Section 4(a) of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 599, provided that: 'The repeal of a law by this Act may not be construed as a legislative implication that the provision was or was not in effect before its repeal.' Section 4(b) of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 599, repealed specified laws relating to shipping, except for rights and duties that matured, penalties that were incurred, and proceedings that were begun before Aug. 26, 1983, and except as provided by section 2 of Pub. L. 98-89, set out as notes above and notes under sections 3101, 3302, 3715, and 6301 of this title. -SECREF- TITLE REFERRED TO IN OTHER SECTIONS This title is referred to in title 7 section 5602; title 19 section 1609; title 26 section 415; title 33 section 59aa; title 42 section 9607. ------DocID 54332 Document 2 of 963------ -CITE- 48 USC Sec. 46-1 to 46-3 -EXPCITE- TITLE 48 CHAPTER 2 -HEAD- Sec. 46-1 to 46-3. Omitted -COD- CODIFICATION Sections 46-1 to 46-3, relating to Territory of Alaska, were omitted in view of admission of Alaska into the Union. Section 46-1, act July 28, 1956, ch. 772, title I, Sec. 101, 70 Stat. 709, authorized territorial legislature to enact laws on subject of mental health. Section 46-2, act July 28, 1956, ch. 772, title I, Sec. 102, 70 Stat. 709, related to jurisdiction, functions and duties of commissioners and courts in carrying out section 46-1 of this title. Section 46-3, act July 28, 1956, ch. 772, title II, Sec. 202, 70 Stat. 711, prescribed a land-grant program for purpose of section 46-1 of this title. ------DocID 11480 Document 3 of 963------ -CITE- 8 USC Sec. 46 to 51 -EXPCITE- TITLE 8 CHAPTER 3 -HEAD- Sec. 46 to 51. Transferred -COD- CODIFICATION Sections 46 to 51 transferred to sections 1984 to 1987, 1989, and 1990, respectively, of Title 42, The Public Health and Welfare. ------DocID 17083 Document 4 of 963------ -CITE- 14 USC Sec. 46 -EXPCITE- TITLE 14 PART I CHAPTER 3 -HEAD- Sec. 46. Retirement of Commandant -STATUTE- (a) Any Commandant who is not reappointed shall, at the expiration of his term, be retired with the grade of admiral. (b) A Commandant who is retired for physical disability shall be placed on the retired list with the grade of admiral. (c) An officer who is retired prior to the expiration of his term, while serving as Commandant, may, in the discretion of the President, be retired with the grade of admiral. -SOURCE- (Aug. 4, 1949, ch. 393, 63 Stat. 499; May 14, 1960, Pub. L. 86-474, Sec. 1(5), 74 Stat. 144; Sept. 24, 1963, Pub. L. 88-130, Sec. 1(4), 77 Stat. 175; June 9, 1966, Pub. L. 89-444, Sec. 1(4), (5), 80 Stat. 195; Oct. 12, 1982, Pub. L. 97-295, Sec. 2(1), 96 Stat. 1301; July 1, 1986, Pub. L. 99-348, title II, Sec. 205(b)(1), 100 Stat. 699.) -MISC1- HISTORICAL AND REVISION NOTES Based on title 14, U.S.C., 1946 ed., Sec. 161 (Jan. 12, 1923, ch. 25, Sec. 2, 42 Stat. 1130; June 25, 1936, ch. 808, 49 Stat. 1924; June 9, 1937, ch. 309, Sec. 1, 50 Stat. 252; June 6, 1940, ch. 257, Sec. 1(a), 54 Stat. 246). Provision is added for retirement of the Commandant with the grade and pay of vice admiral after 3 years service, in the discretion of the President, regardless of total length of service. Provision is also added for retirement with the grade and pay of vice admiral in case of physical disability. 81st Congress, House Report No. 557. AMENDMENTS 1986 - Pub. L. 99-348 struck out 'and retired pay computed at the highest rates of basic pay applicable to him while he served as Commandant' after 'admiral' in subsecs. (a) to (c). 1982 - Subsec. (a). Pub. L. 97-295 substituted 'Commandant' for 'commandant'. 1966 - Subsec. (c). Pub. L. 89-444, Sec. 1(4), removed requirement that the Commandant serve 2 1/2 years as Commandant before being eligible for retirement with the grade of admiral and retired pay computed at the highest rates of basic pay applicable to him while he served as Commandant. Subsec. (d). Pub. L. 89-444, Sec. 1(5), repealed subsec. (d) which provided that a Commandant who retired within 2 1/2 years of the date of his original appointment as Commandant would retire in his permanent grade and with the retired pay of that grade. 1963 - Subsecs. (a) to (c). Pub. L. 88-130 substituted 'of admiral and retired pay computed at the highest rates of basic pay applicable to him while he served as Commandant' for 'and retired pay of admiral'. 1960 - Pub. L. 86-474 authorized any Commandant who is not reappointed at the expiration of his term to be retired with the grade and retired pay of admiral, directed placement on the retired list with the grade and retired pay of admiral for a Commandant who is retired for physical disability, reduced from three to two and one-half years the period that the Commandant must serve before he may voluntarily apply retirement without regard to total length of service, and provided that any Commandant who retires within two and one-half years of the date of his original appointment as Commandant shall retire in his permanent grade and with the retired pay of that grade. ------DocID 17486 Document 5 of 963------ -CITE- 15 USC Sec. 46 -EXPCITE- TITLE 15 CHAPTER 2 SUBCHAPTER I -HEAD- Sec. 46. Additional powers of Commission -STATUTE- The Commission shall also have power - (a) Investigation of persons, partnerships, or corporations To gather and compile information concerning, and to investigate from time to time the organization, business, conduct, practices, and management of any person, partnership, or corporation engaged in or whose business affects commerce, excepting banks, savings and loan institutions described in section 57a(f)(3) of this title, Federal credit unions described in section 57a(f)(4) of this title, and common carriers subject to the Act to regulate commerce, and its relation to other persons, partnerships, and corporations. (b) Reports of persons, partnerships, and corporations To require, by general or special orders, persons, partnerships, and corporations, engaged in or whose business affects commerce, excepting banks, savings and loan institutions described in section 57a(f)(3) of this title, Federal credit unions described in section 57a(f)(4) of this title, and common carriers subject to the Act to regulate commerce, or any class of them, or any of them, respectively, to file with the Commission in such form as the Commission may prescribe annual or special, or both annual and special, reports or answers in writing to specific questions, furnishing to the Commission such information as it may require as to the organization, business, conduct, practices, management, and relation to other corporations, partnerships, and individuals of the respective persons, partnerships, and corporations filing such reports or answers in writing. Such reports and answers shall be made under oath, or otherwise, as the Commission may prescribe, and shall be filed with the Commission within such reasonable period as the Commission may prescribe, unless additional time be granted in any case by the Commission. (c) Investigation of compliance with antitrust decrees Whenever a final decree has been entered against any defendant corporation in any suit brought by the United States to prevent and restrain any violation of the antitrust Acts, to make investigation, upon its own initiative, of the manner in which the decree has been or is being carried out, and upon the application of the Attorney General it shall be its duty to make such investigation. It shall transmit to the Attorney General a report embodying its findings and recommendations as a result of any such investigation, and the report shall be made public in the discretion of the Commission. (d) Investigations of violations of antitrust statutes Upon the direction of the President or either House of Congress to investigate and report the facts relating to any alleged violations of the antitrust Acts by any corporation. (e) Readjustment of business of corporations violating antitrust statutes Upon the application of the Attorney General to investigate and make recommendations for the readjustment of the business of any corporation alleged to be violating the antitrust Acts in order that the corporation may thereafter maintain its organization, management, and conduct of business in accordance with law. (f) Publication of information; reports To make public from time to time such portions of the information obtained by it hereunder as are in the public interest; and to make annual and special reports to the Congress and to submit therewith recommendations for additional legislation; and to provide for the publication of its reports and decisions in such form and manner as may be best adapted for public information and use: Provided, That the Commission shall not have any authority to make public any trade secret or any commercial or financial information which is obtained from any person and which is privileged or confidential, except that the Commission may disclose such information to officers and employees of appropriate Federal law enforcement agencies or to any officer or employee of any State law enforcement agency upon the prior certification of an officer of any such Federal or State law enforcement agency that such information will be maintained in confidence and will be used only for official law enforcement purposes. (g) Classification of corporations; regulations From time to time classify corporations and (except as provided in section 57a(a)(2) of this title) to make rules and regulations for the purpose of carrying out the provisions of this subchapter. (h) Investigations of foreign trade conditions; reports To investigate, from time to time, trade conditions in and with foreign countries where associations, combinations, or practices of manufacturers, merchants, or traders, or other conditions, may affect the foreign trade of the United States, and to report to Congress thereon, with such recommendations as it deems advisable. Provided, That the exception of 'banks, savings and loan institutions described in section 57a(f)(3) of this title, Federal credit unions described in section 57a(f)(4) of this title, and common carriers subject to the Act to regulate commerce' from the Commission's powers defined in clauses (a) and (b) of this section, shall not be construed to limit the Commission's authority to gather and compile information, to investigate, or to require reports or answers from, any person, partnership, or corporation to the extent that such action is necessary to the investigation of any person, partnership, or corporation, group of persons, partnerships, or corporations, or industry which is not engaged or is engaged only incidentally in banking, in business as a savings and loan institution, in business as a Federal credit union, or in business as a common carrier subject to the Act to regulate commerce. The Commission shall establish a plan designed to substantially reduce burdens imposed upon small businesses as a result of requirements established by the Commission under clause (b) relating to the filing of quarterly financial reports. Such plan shall (1) be established after consultation with small businesses and persons who use the information contained in such quarterly financial reports; (2) provide for a reduction of the number of small businesses required to file such quarterly financial reports; and (3) make revisions in the forms used for such quarterly financial reports for the purpose of reducing the complexity of such forms. The Commission, not later than December 31, 1980, shall submit such plan to the Committee on Commerce, Science, and Transportation of the Senate and to the Committee on Energy and Commerce of the House of Representatives. Such plan shall take effect not later than October 31, 1981. No officer or employee of the Commission or any Commissioner may publish or disclose information to the public, or to any Federal agency, whereby any line-of-business data furnished by a particular establishment or individual can be identified. No one other than designated sworn officers and employees of the Commission may examine the line-of-business reports from individual firms, and information provided in the line-of-business program administered by the Commission shall be used only for statistical purposes. Information for carrying out specific law enforcement responsibilities of the Commission shall be obtained under practices and procedures in effect on May 28, 1980, or as changed by law. Nothing in this section (other than the provisions of clause (c) and clause (d)) shall apply to the business of insurance, except that the Commission shall have authority to conduct studies and prepare reports relating to the business of insurance. The Commission may exercise such authority only upon receiving a request which is agreed to by a majority of the members of the Committee on Commerce, Science, and Transportation of the Senate or the Committee on Energy and Commerce of the House of Representatives. The authority to conduct any such study shall expire at the end of the Congress during which the request for such study was made. -SOURCE- (Sept. 26, 1914, ch. 311, Sec. 6, 38 Stat. 721; Nov. 16, 1973, Pub. L. 93-153, title IV, Sec. 408(e), 87 Stat. 592; Jan. 4, 1975, Pub. L. 93-637, title II, Sec. 201(b), 202(b), 203(a), 88 Stat. 2193, 2198; July 23, 1979, Pub. L. 96-37, Sec. 1(b), 93 Stat. 95; Mar. 25, 1980, H. Res. 549; May 28, 1980, Pub. L. 96-252, Sec. 3-5(a), 94 Stat. 374, 375; Aug. 10, 1987, Pub. L. 100-86, title VII, Sec. 715(a), (b), 101 Stat. 655.) -REFTEXT- REFERENCES IN TEXT The Act to regulate commerce, referred to in subsecs. (a), (b), and the proviso following subsec. (h), is defined in section 44 of this title. The antitrust Acts, referred to in subsecs. (c) to (e), are defined in section 44 of this title. -MISC2- AMENDMENTS 1987 - Subsecs. (a), (b). Pub. L. 100-86, Sec. 715(a)(1), (2), inserted reference to Federal credit unions described in section 57a(f)(4) of this title. Pub. L. 100-86, Sec. 715(b), in proviso following subsec. (h), inserted reference to Federal credit unions described in section 57a(f)(4) of this title and reference to in business as a Federal credit union. 1980 - Subsec. (f). Pub. L. 96-252, Sec. 3(a), substituted 'as are' for ', except trade secrets and names of customers, as it shall deem expedient' and inserted proviso restricting Commission's authority to make public trade secrets or commercial or financial information which is obtained from any person and which is privileged or confidential. Pub. L. 96-252, Sec. 3(b)-5(a), inserted three undesignated paragraphs following subsec. (h) requiring the Commission to establish a plan to reduce burdens imposed upon small businesses by the quarterly financial reporting requirements under subsec. (b) of this section, prohibiting Commissioners and officers and employees of the Commission from publishing or disclosing information whereby line-of-business data furnished by particular establishments or individuals can be identified, and, with certain exceptions, making this section inapplicable to the business of insurance. 1979 - Subsecs. (a), (b). Pub. L. 96-37, Sec. 1(b)(1), (2), inserted reference to savings and loan institutions described in section 57a(f)(3) of this title. Pub. L. 96-37, Sec. 1(b)(3), in proviso following subsec. (h), inserted references to savings and loan institutions and to persons, partnerships, corporations, groups of persons, partnerships, or corporations or industries that are not engaged or are engaged only incidentally in business as savings and loan institutions. 1975 - Subsec. (a). Pub. L. 93-637, Sec. 201(b), 203(a)(1), substituted 'in or whose business affects commerce' for 'in commerce', 'person, partnership, or corporation' for 'corporation', and 'persons, partnerships, and corporations' for 'corporations and to individuals, associations, and partnerships'. Subsec. (b). Pub. L. 93-637, Sec. 201(b), 203(a)(2), substituted 'in or whose business affects commerce' for 'in commerce', 'special orders, persons, partnerships, and corporations, engaged in or whose business affects commerce, excepting' for 'special orders, corporations engaged in or whose business affects commerce, excepting', and 'respective persons, partnerships, and corporations' for 'respective corporations'. Subsec. (g). Pub. L. 93-637, Sec. 202(b), inserted '(except as provided in section 57a(a)(2) of this title)' before 'to make rules and regulations'. Pub. L. 93-637, Sec. 203(a)(3), in proviso following subsec. (h), substituted 'any person, partnership, or corporation to the extent that such action is necessary to the investigation of any person, partnership, or corporation, group of persons, partnerships, or corporations,' for 'any such corporation to the extent that such action is necessary to the investigation of any corporation, group of corporations,'. 1973 - Pub. L. 93-153 inserted proviso following subsec. (h) that the Commission's investigatory powers to gather and compile information, investigate, and require reports or answers is not curtailed as regards banks and common carriers when the investigation in question is an investigation of a corporation, group of corporations, or industry not engaged or engaged only incidentally in banking or in business as a common carrier subject to the Act to regulate commerce notwithstanding provisions excepting banks and common carriers subject to the Act from the exercise of the Commission's power to investigate and require reports from corporations. -CHANGE- CHANGE OF NAME Committee on Interstate and Foreign Commerce of House of Representatives changed to Committee on Energy and Commerce immediately prior to noon on Jan. 3, 1981, by House Resolution 549, Ninety-sixth Congress, Mar. 25, 1980. -MISC4- EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96-252 effective May 28, 1980, see section 23 of Pub. L. 96-252, set out as a note under section 45 of this title. APPLICABILITY OF 1975 AMENDMENT TO SUBSECTION (G) OF THIS SECTION For applicability to rules promulgated or proposed under subsec. (g) of this section prior to Jan. 4, 1975, of amendment made to said subsec. (g) by section 202(b) of Act Jan. 4, 1975, see 'Applicability' provisions of section 202(c) of Act Jan. 4, 1975, set out as a note under section 57a of this title. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of Federal Trade Commission, with certain exceptions, to Chairman of such Commission, see Reorg. Plan No. 8 of 1950, Sec. 1, eff. May 24, 1950, 15 F.R. 3175, 64 Stat. 1264, set out under section 41 of this title. -MISC5- STUDY AND EVALUATION OF EFFECTIVENESS OF STATE POLICIES AND PROGRAMS RELATING TO REGULATION OF CERTAIN HEALTH INSURANCE POLICIES Section 5(b) of Pub. L. 96-252 provided that: 'The amendment made in subsection (a) (adding undesignated paragraph authorizing studies and reports relating to the business of insurance) shall not be construed to prohibit the Federal Trade Commission from participating with the Secretary of Health and Human Services in a comprehensive study and evaluation of the comparative effectiveness of various State policies and programs relating to the regulation of health insurance policies available for purchase by individuals who are eligible for benefits under the program of health insurance benefits established in title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.).' -EXEC- EX. ORD. NO. 10544. INSPECTION OF INCOME TAX RETURNS BY FEDERAL TRADE COMMISSION Ex. Ord. No. 10544, July 12, 1954, 19 F.R. 4289, provided: By virtue of the authority vested in me by section 55(a) of the Internal Revenue Code (53 Stat. 29; 54 Stat. 1008; 55 Stat. 722) and in the interest of the internal management of the Government, it is hereby ordered that corporation income tax returns made for the year 1953 and subsequent years shall be open to inspection by the Federal Trade Commission as an aid in executing the powers conferred upon such Commission by the Federal Trade Commission Act of September 26, 1914, 38 Stat. 717, (this subchapter), such inspection to be in accordance and upon compliance with the rules and regulations prescribed by the Secretary of the Treasury in the Treasury decision relating to the inspection of returns by the Federal Trade Commission, approved by me this date (T.D. 6080, 19 F.R. 4308). This Executive Order shall be effective upon its filing for publication in the Federal Register. -CROSS- CROSS REFERENCES Enforcement by Federal Trade Commission of requirements imposed under section 1601 et seq. of this title, see section 1607 of this title. Jurisdiction, powers and duties of Secretary of Agriculture in enforcing the provisions of the Packers and Stockyards Act, application of this section to, see section 222 of Title 7, Agriculture. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 57b-1, 57b-2, 57b-3 of this title; title 7 sections 222, 2146, 3807; title 13 section 91; title 21 sections 467d, 677, 1051. ------DocID 17788 Document 6 of 963------ -CITE- 15 USC Sec. 80a-46 -EXPCITE- TITLE 15 CHAPTER 2D SUBCHAPTER I -HEAD- Sec. 80a-46. Validity of contracts -STATUTE- (a) Waiver of compliance as void Any condition, stipulation, or provision binding any person to waive compliance with any provision of this subchapter or with any rule, regulation, or order thereunder shall be void. (b) Equitable results; rescission; severance (1) A contract that is made, or whose performance involves, a violation of this subchapter, or of any rule, regulation, or order thereunder, is unenforceable by either party (or by a nonparty to the contract who acquired a right under the contract with knowledge of the facts by reason of which the making or performance violated or would violate any provision of this subchapter or of any rule, regulation, or order thereunder) unless a court finds that under the circumstances enforcement would produce a more equitable result than nonenforcement and would not be inconsistent with the purposes of this subchapter. (2) To the extent that a contract described in paragraph (1) has been performed, a court may not deny rescission at the instance of any party unless such court finds that under the circumstances the denial of rescission would produce a more equitable result than its grant and would not be inconsistent with the purposes of this subchapter. (3) This subsection shall not apply (A) to the lawful portion of a contract to the extent that it may be severed from the unlawful portion of the contract, or (B) to preclude recovery against any person for unjust enrichment. -SOURCE- (Aug. 22, 1940, ch. 686, title I, Sec. 47, 54 Stat. 845; Oct. 21, 1980, Pub. L. 96-477, title I, Sec. 104, 94 Stat. 2277.) -MISC1- AMENDMENTS 1980 - Subsec. (b). Pub. L. 96-477 provided that a contract whose terms violated this subchapter or any rule, regulation, or order thereunder would be unenforceable by either party or by a nonparty to the contract who acquired a right under such contract with knowledge of the facts by reason of which the making or performance of the contract would violate this subchapter, struck out provisions declaring such contracts void as regards the rights of the violators or nonparties to the contract with actual knowledge of its illegality, authorized the court to enforce such contracts where the court found that under the circumstances enforcement would produce a more equitable result than nonenforcement and such enforcement would not be inconsistent with the purposes of this subchapter, authorized the same two-part test to save from rescission any portions of such contracts which had been performed, and provided that subsec. (b) was not to apply to a lawful portion of a contract to the extent it could be severed from an unlawful portion of such contract, or to preclude recovery against any person for unjust enrichment. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 80a-6, 80a-58 of this title. ------DocID 18839 Document 7 of 963------ -CITE- 15 USC CHAPTER 46 -EXPCITE- TITLE 15 CHAPTER 46 -HEAD- CHAPTER 46 - MOTOR VEHICLE INFORMATION AND COST SAVINGS -MISC1- Sec. 1901. Definitions. SUBCHAPTER I - BUMPER STANDARDS 1911. Congressional findings and declaration of purpose. (a) Findings. (b) Purpose. 1912. Promulgation of bumper standards. (a) Authority of Secretary; applicability to passenger motor vehicles and equipment. (b) Criteria; conflict of standards with motor vehicle safety standards. (c) Exemptions; attachment of detachable hitches. (d) Effective date. (e) Rule making procedure; hearing. 1913. Judicial review of rules establishing bumper standards. (a) Filing of petition; time for filing; jurisdiction; venue; transmittal of copy of petition to Secretary; filing of record of proceedings by Secretary. (b) Additional evidence before Secretary; procedure; findings and recommendations of Secretary. (c) Applicability of sections 701 to 706 of title 5. (d) Review by Supreme Court. (e) Availability of other remedies. 1914. Powers of Secretary. (a) Conduct of hearings; subpena of witnesses and production of books, records, etc.; examination of relevant documentary evidence; orders requiring persons to file reports and answer specific questions; enforcement of subpenas and orders by district courts; contempt proceedings; payment of fees and mileage to witnesses. (b) Disclosure of confidential information. (c) Requests for information from other Federal departments, agencies, and instrumentalities; compliance; detail of personnel by head of other Federal departments, agencies, and instrumentalities. (d) Conduct of research. 1915. Determination of compliance by manufacturer with bumper standards. (a) Records, reports, and information from manufacturer; inspection and examination of vehicles and relevant documents; availability of vehicles and equipment for testing; negotiated price for test vehicles and equipment. (b) Entry into factory, warehouse, or establishment for reasonable inspection by duly designated officers, etc., of Secretary upon presentment to owner, operator, or agent in charge of credentials and written notice. (c) Certification by manufacturer or distributor to distributor or dealer at time of delivery of vehicle or item of equipment of conformance to applicable Federal bumper standards; form of certification; nonapplicability to exports. 1916. Prohibited acts. (a) Failure to comply with bumper standard, rule, recordkeeping, inspection, or certification requirements. (b) Exemptions from compliance with bumper standards; compliance of imported passenger motor vehicles or equipment with bumper standard; importation of passenger motor vehicle or equipment after first purchase in good faith for purpose other than resale. (c) Liability under statutory or common law not affected by compliance with bumper standard. 1917. Enforcement provisions. (a) Civil penalties; assessment and collection in civil action; separate nature of violations; maximum amount of penalties. (b) Violations by persons or corporations subsequent to receipt of notice of noncompliance; liability; amount of penalties. (c) Injunctive relief to restrain violations of bumper standards; petition; jurisdiction; notice by Secretary to person against whom action is contemplated to present views and achieve compliance; criminal contempt proceedings; venue; subpenas for witnesses. 1918. Civil action against manufacturer for failure to comply with bumper standards; persons entitled to bring suit; jurisdiction; venue; items of recovery; period of limitation. 1919. Public access to information. 1920. State and local bumper standards. (a) Establishment. (b) Enforcement; bumper standards for Federal, State, or locally owned vehicles. 1921. Authorization of appropriations. 1922. Annual report. SUBCHAPTER II - AUTOMOBILE CONSUMER INFORMATION STUDY 1941. Consumer information study by Secretary. (a) Scope of study. (b) Recommendations. (c) Dissemination of information to consumers. (d) Compilation and distribution of information. (e) Insurance premium rate comparisons; establishment of procedures requiring automobile dealers to distribute information to prospective purchasers. 1942. Appointment, compensation, etc., by Secretary of personnel, experts, consultants, and advisory committees to assist in study. 1943. Requests by Secretary for information from other Federal departments, etc. (a) Compliance. (b) Detail of personnel by head of other Federal departments, etc.; reimbursement. 1944. Powers of Secretary. (a) Conduct of hearings; subpena of witnesses and production of books, records, etc. (b) Examination of relevant documentary evidence. (c) Orders requiring persons to file reports and answer specific questions. (d) Enforcement of subpenas and orders by district courts; contempt proceedings. (e) Payment of fees and mileage to witnesses. (f) Disclosure of confidential information. 1945. Insurance reports and information. (a) Duty of insurers of passenger motor vehicles. (b) Scope of reports and information. (c) Considerations governing request by Secretary for reports and information. (d) Voluntary nature of compliance by insurer with request of Secretary. (e) Damage susceptibility, crashworthiness, and damage repair and personal injury cost information. (f) Dissemination of information by Secretary. (g) Time and manner of furnishing information. 1946. Prohibited acts. 1947. Injunctive relief to restrain violations of information requirements; petition; jurisdiction; notice by Secretary to person against whom action is contemplated for opportunity to present views and achieve compliance; venue; subpenas for witnesses. 1948. Civil penalties for violations of information requirements. (a) Separate nature of violations; maximum amount of penalties. (b) Compromise of penalty by Secretary; determination of amount of penalty or amount of compromised penalty; deduction of amount of penalty. (c) Venue; subpenas for witnesses. 1949. Authorization of appropriations. SUBCHAPTER III - DIAGNOSTIC INSPECTION DEMONSTRATION PROJECTS PART A - STATE PROGRAMS 1961. Powers of Secretary. (a) Establishment of demonstration projects; commencement of inspections. (b) Grants and technical assistance to States; consultations with Administrator of Environmental Protection Agency. (c) Conduct or supervision by States of demonstration projects; nonprofit performance of diagnostic inspection services; limitations on demonstration projects. 1962. Eligibility of States for grants or other assistance. (a) Application. (b) Requirements for demonstration projects. 1963. Implementation of grants or other assistance to States. (a) Time, manner, and contents of application. (b) Limitation on amount of grant; date for eligibility of inspection costs; retention of equipment by State; manner of payments. (c) Minimum use of grants for diagnostic inspection demonstration projects. PART B - SPECIAL DEMONSTRATION PROJECTS 1963a. Duties of Secretary. (a) Establishment of special demonstration project; purposes of motor vehicle inspection. (b) Evaluation of equipment available for use in small automotive repair establishments; report to Congress. (c) Participation of certain Federal Administrators. PART C - AUTHORIZATION OF APPROPRIATIONS 1964. Authorization of appropriations. SUBCHAPTER IV - ODOMETER REQUIREMENTS 1981. Congressional findings and declaration of purpose. 1982. Definitions. 1983. Devices causing odometer to register other than true mileage driven prohibited. 1984. Change of mileage indicated on odometer prohibited. 1985. Operation of motor vehicle with knowledge of disconnected or nonfunctional odometer prohibited. 1986. Conspiracy to violate odometer requirements. 1987. Lawful service, repair, or replacement of odometer; adjustment of mileage and notice of adjustment; failure to adjust mileage or affix notice of adjustment and removal or alteration of notice with fraudulent intent prohibited. (a) Adjustment of mileage and notice of adjustment. (b) Failure to adjust mileage or affix notice; fraudulent removal or alteration. 1988. Disclosure requirements upon transfer of ownership of motor vehicle. (a) Promulgation of rules. (b) Violations of rules and giving false statements to transferees prohibited. (c) Acceptance of incomplete written disclosure by transferees acquiring ownership for resale prohibited. (d) Statement by transferor of mileage disclosure prior to licensing by transferee. (e) Written disclosure regarding mileage by lessee to lessor upon lessor's transfer of ownership of leased motor vehicle. (f) State alternate motor vehicle mileage disclosure requirements. (g) Recordkeeping requirements for auction company where motor vehicle sold at auction. 1989. Civil actions to enforce liability for violations of odometer requirements. (a) Amount of damages. (b) Jurisdiction; period of limitation. 1990. Injunctive relief to restrain violations. (a) Jurisdiction; venue; service of process. (b) Subpenas for witnesses. 1990a. State action to restrain violation or recover damages. (a) Action by chief law enforcement officer. (b) Period of limitation; jurisdiction. 1990b. Civil penalty. (a) Maximum amounts. (b) Assessment; collection; compromise. 1990c. Criminal penalties. (a) Maximum amounts. (b) Liability of director, etc., of corporation. 1990d. Inspections and investigations. (a) Authorization of Secretary; cooperation with State and local officials; power of designated officers or employees to enter, impound, and inspect; compensation for impounding of motor vehicles or equipment. (b) Recordkeeping requirements. (c) Administrative proceedings; access to and copying of documentary evidence; written reports and answers; judicial enforcement of subpoenas or orders; witness fees and mileage. (d) Disclosure of confidential information. 1990e. Administrative warrants. (a) Necessity. (b) Issuance and execution; inventory of impounded property; filing of papers. 1990f. Compliance with inspection and investigation requirements. 1990g. Authorization of appropriations. 1991. State odometer requirements. SUBCHAPTER V - IMPROVING AUTOMOTIVE EFFICIENCY 2001. Definitions. 2002. Average fuel economy standards. (a) Standards for passenger vehicles manufactured after 1977; review of standards; report to Congress; standards for passenger automobiles manufactured from 1981 through 1984; amendment of standards. (b) Standards for other than passenger automobiles. (c) Exemptions for manufacturers of limited number of cars. (d) Application for modification of standards. (e) Determination of maximum feasible average fuel economy. (f) Amendment of average fuel economy standards. (g) Exemption of emergency vehicles from fuel economy standards. (h) Application of other laws. (i) Consultation with Secretary of Energy; impact of proposed standards upon conservation goals; comments. (j) Notification of Secretary of Energy; comments. (k) Adjustments or relief regarding standards for other than passenger automobiles. (l) Credits for exceeding average fuel economy standards. 2003. Calculation of average fuel economy. (a) Method of calculation. (b) Automobile categories. (c) 'Automobiles manufactured' defined. (d) Testing and calculation procedures. (e) Rounding off of measurements of fuel economy. (f) Consultation and coordination by Administrator with Secretary. 2004. Judicial review. (a) Review of rules in courts of appeals. (b) Additional submissions. (c) Finality of determination; review by United States Supreme Court. (d) Remedy in addition to other remedies provided by law. 2005. Information and reports. (a) Reports by manufacturers; time; contents. (b) Hearings; evidence. (c) Tests, reports, etc., which may be required of manufacturers. (d) Disclosure of information to public. 2006. Labeling. (a) Label required on automobile; contents. (b) Booklet containing fuel economy data; distribution by administrator. (c) Violations. (d) Creation of warranties. (e) Consultation by Administrator with other agency personnel. 2007. Unlawful conduct. (a) Designation. (b) Exception. 2008. Civil penalty. (a) Penalty for violations; credit against penalty. (b) Amount of penalty; compromise or modification. (c) Review of penalty by interested person. (d) Prescription of additional amount by rule. (e) Publication of proposed rule; hearing; evidence; publication of final rule; judicial review. 2009. State laws. (a) Fuel economy standards. (b) Fuel economy disclosures. (c) State or political subdivision automobiles. 2010. Use of fuel efficient passenger automobiles by Federal Government. (a) Rules. (b) Definitions. 2011. Retrofit devices. (a) Examination of fuel economy representations. (b) Evaluation of retrofit devices. (c) Results of tests; publication in Federal Register. (d) Rules establishing tests and procedures for evaluation of retrofit devices. (e) Definitions. 2012. Reports to Congress. (a) Fuel flow instrument requirement. (b) Inclusion of electric vehicles under provisions of this subchapter. (c) Effects of exemption granted. 2013. Manufacturing incentives for automobiles. (a) Alcohol powered automobile. (b) Dual energy automobile. (c) Natural gas powered automobile. (d) Natural gas dual energy automobile. (e) Fuel economy calculation. (f) Applicability. (g) Maximum increase. (h) Definitions. SUBCHAPTER VI - THEFT PREVENTION 2021. Definitions. 2022. Theft prevention standards. (a) Authority to promulgate. (b) Criteria. (c) Proposed and final rules establishing standard. (d) Required identification. (e) Recordkeeping requirements. 2023. Designation of high theft vehicle lines and parts. (a) Categories. (b) Determination of theft rate. (c) Need for manufacturer information. (d) Power of Secretary. 2024. Cost limitation. (a) Maximum cost to manufacturer. (b) Computation of manufacturer's costs. (c) Adjustment of costs. 2025. Exemption for vehicles with antitheft devices. (a) Grounds. (b) Procedure. (c) Time of determination. (d) Rescission of exemption. (e) 'Antitheft device' defined. 2026. Determination of compliance of manufacturer. (a) Recordkeeping requirements. (b) Notice and inspection. (c) Certificate of compliance. (d) Notice of error. 2027. Prohibited acts. 2028. Enforcement provisions; maximum penalties; injunctive relief. 2029. Confidentiality of information. 2030. Judicial review. 2031. Coordination with State and local law. 2032. Insurance reports and information. (a) Required information. (b) Periodic compilations. (c) Consultation with State and insurance regulatory agencies. (d) Reduced claims payment. (e) Prescribed form for information. (f) 'Motor vehicle' defined. 2033. Voluntary vehicle identification standards. (a) Authority to promulgate. (b) Criteria. (c) Voluntary compliance. (d) Relief from requirements. 2034. Three-year and five-year studies regarding motor vehicle theft. (a) Three-year report. (b) Five-year report. (c) Bases of reports. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 2512 of this title; title 18 section 511. ------DocID 19684 Document 8 of 963------ -CITE- 16 USC Sec. 46 -EXPCITE- TITLE 16 CHAPTER 1 SUBCHAPTER VI -HEAD- Sec. 46. Yosemite National Park; lands segregated from and included in Sierra National Forest; rights-of-way over -STATUTE- All those tracts or parcels of ground described in section 471c of this title, but not included within the metes and bounds of the land hereinafter described are included and made a part of the Sierra National Forest, namely: The tracts of land in the State of California known and described as follows: Beginning at the point where the middle of the channel of the South Fork of the Merced River intersects the line between sections 3 and 4, township 4 south, range 20 east, Mount Diablo base and meridian; thence northerly along section lines through the middle of townships 3 and 4 south, range 20 east, to the northwest corner of section 3, township 3 south, range 20 east; thence westerly along township line to the southwest corner of section 33, township 2 south, range 20 east; thence northerly along section lines to the northwest corner of section 21, said township; thence westerly along section lines to the southwest corner of section 18, said township; thence southerly along range line to the southeast corner of the northeast quarter of section 24, township 2 south, range 19 east; thence westerly to the southwest corner of the northeast quarter of section 24, said township; thence southerly to the southeast corner of the southwest quarter of section 24, said township; thence westerly along section lines to the southwest corner of section 23, said township; thence northerly along section lines to the northwest corner of the southwest quarter of section 14, said township; thence easterly to the northeast corner of the southeast quarter of section 14, said township; thence northerly along section line to the northwest corner of section 13, said township; thence easterly along section line to the northeast corner of section 13, said township; thence northerly along range line to the northwest corner of the southwest quarter of section 7, township 2, south, range 20 east; thence easterly to the northeast corner of the southeast quarter of section 7, said township; thence southerly along section line to the northwest corner of section 17, said township; thence easterly along section lines to the northeast corner of section 16, said township; thence northerly along section lines to the northwest corner of section 3, said township; thence westerly along township line to the southwest corner of section 33, township 1 south, range 20 east; thence northerly along section lines to the northwest corner of section 21, said township; thence westerly along section lines to the southwest corner of section 18, said township; thence northerly along range line to the northwest corner of section 6, said township; thence westerly along Mount Diablo base line to the southwest corner of section 34, township 1 north, range 19 east; thence northerly along section lines through the middle of townships 1 and 2 north, range 19 east, to the point of intersection with the summit of the divide between Cherry Creek on the west and Eleanor and Fall Creeks on the east; thence along the summit of said divide in a northeasterly direction to the summit of the Sierra Nevada Mountains; thence southeasterly along the summit of the Sierra Nevada Mountains to the divide between the Merced and San Joaquin Rivers; thence southwesterly along said divide to the point of intersection with the south boundary of township 4 south, range 23 east, Mount Diablo base and meridian; thence westerly along township line to the point of intersection with the middle of the channel of the South Fork of the Merced River; thence westerly down the middle of said river to the place of beginning. The lands above described are reserved and withdrawn from settlement, occupancy, or sale under the laws of the United States, and set apart as reserved forest lands, subject to all the provisions of sections 55, 61, 471c and 471d of this title. The Secretary of the Interior may require the payment of such price as he may deem proper for privileges on the land herein segregated from the Yosemite National Park and made a part of the Sierra National Forest accorded under section 79 of this title, relating to rights of way over certain parks, reservations, and other lands, and other acts concerning rights of way over public lands; and the moneys received from the privileges accorded on the lands herein segregated and included in the Sierra National Forest shall be paid into the Treasury of the United States as provided by law. The forest lands herein set aside and reserved shall be known as the 'Yosemite National Park.' -SOURCE- (Feb. 7, 1905, ch. 547, Sec. 1, 33 Stat. 702; Mar. 4, 1907, ch. 2907, 34 Stat. 1279.) -REFTEXT- REFERENCES IN TEXT Section 79 of this title, referred to in text, was in the original a reference to act Feb. 15, 1901, ch. 372, 31 Stat. 790. For further details, see Codification note set out under section 79 of this title. -COD- CODIFICATION 'Sierra National Forest' substituted in text for 'Sierra Forest Reserve' on authority of act Mar. 4, 1907, ch. 2907, 34 Stat. 1269, which provided that forest reserves shall hereafter be known as national forests. -MISC3- ADDITIONS TO YOSEMITE NATIONAL PARK The following provisions authorized the addition of lands to Yosemite National Park: Pub. L. 98-425, title I, Sec. 105(a)(2), (d), Sept. 28, 1984, 98 Stat. 1626. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 48, 49 of this title. ------DocID 21428 Document 9 of 963------ -CITE- 16 USC Sec. 460uu-46 -EXPCITE- TITLE 16 CHAPTER 1 SUBCHAPTER CVI Part E -HEAD- Sec. 460uu-46. Exchanges and acquisitions generally; withdrawal -STATUTE- (a) Exchanges on basis of equal value; cash equalization; exceptions All exchanges pursuant to this subchapter shall be made in a manner consistent with applicable provisions of law, including this subchapter, and unless otherwise specified in this subchapter shall be on the basis of equal value; either party to an exchange may pay or accept cash in order to equalize the value of the property exchange, except that if the parties agree to an exchange and the Secretary determines it is in the public interest, such exchange may be made for other than equal value. (b) 'Public lands' defined For purposes of this subchapter, the term 'public lands' shall have the same meaning as such term has when used in the Federal Land Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.). (c) Incorporation and management of after-acquired lands Except as otherwise provided in section 460uu-45 of this title, any lands or interests therein within the boundaries of the monument or conservation area which after December 31, 1987, may be acquired by the United States shall be incorporated into the monument or conservation area, as the case may be, and managed accordingly, and all provisions of this subchapter and other laws applicable to the monument or the conservation area, as the case may be, shall apply to such incorporated lands. (d) Prohibition on transfer of lands out of Federal ownership; withdrawal of lands from all forms of entry (1) Except as otherwise provided in this subchapter, no federally-owned lands located within the boundaries of the monument or the conservation area shall be transferred out of Federal ownership, or be placed in trust for any Indian tribe or group, by exchange or otherwise. (2) Except as otherwise provided in this subchapter, and subject to valid existing rights, all Federal lands within the monument and the conservation area and all lands and interests therein which are acquired on and after December 31, 1987, by the United States are hereby withdrawn from all forms of entry, appropriation, or disposal under the public land laws and from location, entry and patent under the mining laws, and from operation of the mineral leasing and geothermal leasing laws and all amendments thereto. (e) Discrepancies in citation of acreage; maps as controlling The acreages cited in this subchapter are approximate, and in the event of discrepancies between cited acreages and the lands depicted on referenced maps, the maps shall control. (f) Acceptance of lands proposed for donation The Secretary is authorized to accept any lands contiguous to the boundaries of the Pecos National Monument (as such boundaries were established on December 31, 1987) which may be proposed for donation to the United States. If acceptance of such lands proposed for donation would be in furtherance of the purposes for which the Pecos National Monument was established, the Secretary shall accept such lands, and upon such acceptance such lands shall be incorporated into such monument and managed accordingly. (g) Redesignation and revision of boundaries of Capulin Mountain National Monument (1) Capulin Mountain National Monument is hereby redesignated as Capulin Volcano National Monument. (2) Any reference in any record, map, or other document of the United States of America to Capulin Mountain National Monument shall hereafter be deemed to be a reference to Capulin Volcano National Monument. (3) Section 1 of the Act of September 5, 1962 (76 Stat. 436) is hereby amended by striking the remaining portion of section 1 after 'boundaries of the monument' and inserting 'shall include the lands and interests in lands as generally depicted on the map entitled 'Capulin Volcano National Monument Boundary Map' which is numbered 125-80,014 and dated January 1987.'. (4) Jurisdiction over federally-owned lands within the revised boundaries of the monument is hereby transferred to the National Park Service, without monetary consideration, for administration as part of the monument. -SOURCE- (Pub. L. 100-225, title V, Sec. 506, Dec. 31, 1987, 101 Stat. 1546.) -REFTEXT- REFERENCES IN TEXT The Federal Land Policy and Management Act of 1976, referred to in subsec. (b), is Pub. L. 94-579, Oct. 21, 1976, 90 Stat. 2743, as amended, which is classified principally to chapter 35 (Sec. 1701 et seq.) of Title 43, Public Lands. For complete classification of this Act to the Code, see Short Title note set out under section 1701 of Title 43 and Tables. The public land laws, referred to in subsec. (d)(2), are classified generally to Title 43. The mining laws, referred to in subsec. (d)(2), are classified generally to Title 30, Mineral Lands and Mining. Mineral leasing laws, referred to in subsec. (d)(2), have been defined in sections 351, 505, 530, and 541e of Title 30, to mean acts Oct. 20, 1914, ch. 330, 38 Stat. 741; Feb. 25, 1920, ch. 85, 41 Stat. 437; Apr. 17, 1926, ch. 158, 44 Stat. 301; and Feb. 7, 1927, ch. 66, 44 Stat. 1057. The act of Oct. 20, 1914, was repealed by Pub. L. 86-252, Sec. 1, Sept. 9, 1959, 73 Stat. 490. The act of Feb. 25, 1920, is known as the Mineral Leasing Act and is classified generally to chapter 3A (Sec. 181 et seq.) of Title 30. The act of Apr. 17, 1926, is classified generally to subchapter VIII (Sec. 271 et seq.) of chapter 3A of Title 30. The act of Feb. 7, 1927, is classified principally to subchapter IX (Sec. 281 et seq.) of chapter 3A of Title 30. For complete classification of these Acts to the Code, see Tables. Geothermal leasing laws, referred to in subsec. (d)(2), are classified principally to chapter 23 (Sec. 1001 et seq.) of Title 30. Section 1 of the Act of September 5, 1962, referred to in subsec. (g)(3), is section 1 of Pub. L. 87-635, Sept. 5, 1962, 76 Stat. 436, which is not classified to the Code. ------DocID 23227 Document 10 of 963------ -CITE- 16 USC CHAPTER 46 -EXPCITE- TITLE 16 CHAPTER 46 -HEAD- CHAPTER 46 - PUBLIC UTILITY REGULATORY POLICIES -MISC1- Sec. 2601. Findings. 2602. Definitions. 2603. Relationship to antitrust laws. SUBCHAPTER I - RETAIL REGULATORY POLICIES FOR ELECTRIC UTILITIES 2611. Purposes. 2612. Coverage. (a) Volume of total retail sales. (b) Exclusion of wholesale sales. (c) List of covered utilities. 2613. Federal contracts. SUBCHAPTER II - STANDARDS FOR ELECTRIC UTILITIES 2621. Consideration and determination respecting certain ratemaking standards. (a) Consideration and determination. (b) Procedural requirements for consideration and determination. (c) Implementation. (d) Establishment. 2622. Obligations to consider and determine. (a) Request for consideration and determination. (b) Time limitations. (c) Failure to comply. 2623. Adoption of certain standards. (a) Adoption of standards. (b) Establishment. (c) Procedural requirements. 2624. Lifeline rates. (a) Lower rates. (b) Determination. (c) Prior proceedings. 2625. Special rules for standards. (a) Cost of service. (b) Time-of-day rates. (c) Load management techniques. (d) Master metering. (e) Automatic adjustment clauses. (f) Information to consumers. (g) Procedures for termination of electric service. (h) Advertising. 2626. Reports respecting standards. (a) State authorities and nonregulated utilities. (b) Secretary. 2627. Relationship to State law. (a) Revenue and rate of return. (b) State authority. (c) Federal agencies. SUBCHAPTER III - INTERVENTION AND JUDICIAL REVIEW 2631. Intervention in proceedings. (a) Authority to intervene and participate. (b) Access to information. (c) Effective date; procedures. 2632. Consumer representation. (a) Compensation for costs of participation or intervention. (b) Alternative means. (c) Transcripts. (d) Federal agencies. (e) Rights under other authority. 2633. Judicial review and enforcement. (a) Limitation of Federal jurisdiction. (b) Enforcement of intervention right. (c) Review and enforcement. (d) Other authority of Secretary. 2634. Prior and pending proceedings. SUBCHAPTER IV - ADMINISTRATIVE PROVISIONS 2641. Voluntary guidelines. 2642. Responsibilities of Secretary. (a) Authority. (b) Technical assistance. (c) Appropriations. 2643. Gathering information on costs of service. (a) Information required to be gathered. (b) Commission rules. (c) Filing and publication. (d) Enforcement. 2644. Relationship to other authority. 2645. Utility regulatory institute. (a) Matching grants. (b) Federal share. (c) Restrictions. (d) Authorization of appropriations. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in title 10 section 2483; title 42 sections 6807, 7375. ------DocID 23817 Document 11 of 963------ -CITE- 18 USC Sec. 46 -EXPCITE- TITLE 18 PART I CHAPTER 3 -HEAD- Sec. 46. Transportation of water hyacinths -STATUTE- (a) Whoever knowingly delivers or receives for transportation, or transports, in interstate commerce, alligator grass (alternanthera philoxeroides), or water chestnut plants (trapa natans) or water hyacinth plants (eichhornia crassipes) or the seeds of such grass or plants; or (b) Whoever knowingly sells, purchases, barters, exchanges, gives, or receives any grass, plant, or seed which has been transported in violation of subsection (a); or (c) Whoever knowingly delivers or receives for transportation, or transports, in interstate commerce, an advertisement, to sell, purchase, barter, exchange, give, or receive alligator grass or water chestnut plants or water hyacinth plants or the seeds of such grass or plants - Shall be fined not more than $500, or imprisoned not more than six months, or both. -SOURCE- (Added Aug. 1, 1956, ch. 825, Sec. 1, 70 Stat. 797.) ------DocID 24140 Document 12 of 963------ -CITE- 18 USC CHAPTER 46 -EXPCITE- TITLE 18 PART I CHAPTER 46 -HEAD- CHAPTER 46 - FORFEITURE -MISC1- Sec. 981. Civil forfeiture. 982. Criminal forfeiture. AMENDMENTS 1988 - Pub. L. 100-690, title VII, Sec. 7069, Nov. 18, 1988, 102 Stat. 4405, substituted 'forfeiture' for 'Forfeiture' in items 981 and 982. ------DocID 25137 Document 13 of 963------ -CITE- 18 USC Rule 46 -EXPCITE- TITLE 18 RULES OF CRIMINAL PROCEDURE FOR THE UNITED STATES DISTRICT COURTS X -HEAD- Rule 46. Release From Custody -STATUTE- (a) Release Prior to Trial. Eligibility for release prior to trial shall be in accordance with 18 U.S.C. Sec. 3142 and 3144. (b) Release During Trial. A person released before trial shall continue on release during trial under the same terms and conditions as were previously imposed unless the court determines that other terms and conditions or termination of release are necessary to assure such person's presence during the trial or to assure that such person's conduct will not obstruct the orderly and expeditious progress of the trial. (c) Pending Sentence and Notice of Appeal. Eligibility for release pending sentence or pending notice of appeal or expiration of the time allowed for filing notice of appeal, shall be in accordance with 18 U.S.C. Sec. 3143. The burden of establishing that the defendant will not flee or pose a danger to any other person or to the community rests with the defendant. (d) Justification of Sureties. Every surety, except a corporate surety which is approved as provided by law, shall justify by affidavit and may be required to describe in the affidavit the property by which the surety proposes to justify and the encumbrances thereon, the number and amount of other bonds and undertakings for bail entered into by the surety and remaining undischarged and all the other liabilities of the surety. No bond shall be approved unless the surety thereon appears to be qualified. (e) Forfeiture. (1) Declaration. If there is a breach of condition of a bond, the district court shall declare a forfeiture of the bail. (2) Setting aside. The court may direct that a forfeiture be set aside in whole or in part, upon such conditions as the court may impose, if a person released upon execution of an appearance bond with a surety is subsequently surrendered by the surety into custody or if it otherwise appears that justice does not require the forfeiture. (3) Enforcement. When a forfeiture has not been set aside, the court shall on motion enter a judgment of default and execution may issue thereon. By entering into a bond the obligors submit to the jurisdiction of the district court and irrevocably appoint the clerk of the court as their agent upon whom any papers affecting their liability may be served. Their liability may be enforced on motion without the necessity of an independent action. The motion and such notice of the motion as the court prescribes may be served on the clerk of the court, who shall forthwith mail copies to the obligors to their last known addresses. (4) Remission. After entry of such judgment, the court may remit it in whole or in part under the conditions applying to the setting aside of forfeiture in paragraph (2) of this subdivision. (f) Exoneration. When the condition of the bond has been satisfied or the forfeiture thereof has been set aside or remitted, the court shall exonerate the obligors and release any bail. A surety may be exonerated by a deposit of cash in the amount of the bond or by a timely surrender of the defendant into custody. (g) Supervision of Detention Pending Trial. The court shall exercise supervision over the detention of defendants and witnesses within the district pending trial for the purpose of eliminating all unnecessary detention. The attorney for the government shall make a biweekly report to the court listing each defendant and witness who has been held in custody pending indictment, arraignment or trial for a period in excess of ten days. As to each witness so listed the attorney for the government shall make a statement of the reasons why such witness should not be released with or without the taking of a deposition pursuant to Rule 15(a). As to each defendant so listed the attorney for the government shall make a statement of the reasons why the defendant is still held in custody. (h) Forfeiture of Property. Nothing in this rule or in chapter 207 of title 18, United States Code, shall prevent the court from disposing of any charge by entering an order directing forfeiture of property pursuant to 18 U.S.C. 3142(c)(2)(K) if the value of the property is an amount that would be an appropriate sentence after conviction of the offense charged and if such forfeiture is authorized by statute or regulation. -SOURCE- (As amended Apr. 9, 1956, eff. July 8, 1956; Feb. 28, 1966, eff. July 1, 1966; Apr. 24, 1972, eff. Oct. 1, 1972; Oct. 12, 1984, Pub. L. 98-473, title II, Sec. 209(d), 98 Stat. 1987; Mar. 9, 1987, eff. Aug. 1, 1987.) -MISC1- NOTES OF ADVISORY COMMITTEE ON RULES Note to Subdivision (a)(1). This rule is substantially a restatement of existing law, 18 U.S.C. 596, 597 (now 3141). Note to Subdivision (a)(2). This rule is substantially a restatement of Rule 6 of Criminal Appeals Rules, with the addition of a reference to bail pending certiorari. This rule does not supersede 18 U.S.C. 682 (now 3731) (Appeals; on behalf of the United States; rules of practice and procedure), which provides for the admission of the defendant to bail on his own recognizance pending an appeal taken by the Government. Note to Subdivision (b). This rule is substantially a restatement of existing law, 28 U.S.C. (former) 657. Note to Subdivision (d). This rule is a restatement of existing practice, and is based in part on 6 U.S.C. 15 (now 31 U.S.C. 9103) (Bonds or notes of United States in lieu of recognizance, stipulation, bond, guaranty, or undertaking; place of deposit; return to depositor; contractors' bonds). Note to Subdivision (e). This rule is similar to Sec. 79 of A.L.I. Code of Criminal Procedure introducing, however, an element of flexibility. Corporate sureties are regulated by 6 U.S.C. 6-14 (now 31 U.S.C. 9304-9308). Note to Subdivision (f). 1. With the exception hereafter noted, this rule is substantially a restatement of existing law in somewhat greater detail than contained in 18 U.S.C. (former) 601 (Remission of penalty of recognizance). 2. Subdivision (f)(2) changes existing law in that it increases the discretion of the court to set aside a forfeiture. The present power of the court is limited to cases in which the defendant's default had not been willful. 3. The second sentence of paragraph (3) is similar to Rule 73(f) of the Federal Rules of Civil Procedure (28 U.S.C., Appendix). This paragraph also substitutes simple motion procedure for enforcing forfeited bail bonds for the procedure by scire facias, which was abolished by Rule 81(b) of the Federal Rules of Civil Procedure. Note to Subdivision (g). This rule is a restatement of existing law and practice. It is based in part on 18 U.S.C. 599 (now 3142) (Surrender by bail). NOTES OF ADVISORY COMMITTEE ON RULES - 1966 AMENDMENT Subdivision (c). - The more inclusive word 'terms' is substituted for 'amount' in view of the amendment to subdivision (d) authorizing releases without security on such conditions as are necessary to insure the appearance of the defendant. The phrase added at the end of this subdivision is designed to encourage commissioners and judges to set the terms of bail so as to eliminate unnecessary detention. See Stack v. Boyle, 342 U.S. 1 (1951); Bandy v. United States, 81 S.Ct. 197 (1960); Bandy v. United States, 82 S.Ct. 11 (1961); Carbo v. United States, 82 S.Ct. 662 (1962); review den. 369 U.S. 868 (1962). Subdivision (d). - The amendments are designed to make possible (and to encourage) the release on bail of a greater percentage of indigent defendants than now are released. To the extent that other considerations make it reasonably likely that the defendant will appear it is both good practice and good economics to release him on bail even though he cannot arrange for cash or bonds in even small amounts. In fact it has been suggested that it may be a denial of constitutional rights to hold indigent prisoners in custody for no other reason than their inability to raise the money for a bond. Bandy v. United States, 81 S.Ct. 197 (1960). The first change authorizes the acceptance as security of a deposit of cash or government securities in an amount less than the face amount of the bond. Since a defendant typically purchases a bail bond for a cash payment of a certain percentage of the face of the bond, a direct deposit with the court of that amount (returnable to the defendant upon his appearance) will often be equally adequate as a deterrent to flight. Cf. Ill.CodeCrim.Proc. Sec. 110-7 (1963). The second change authorizes the release of the defendant without financial security on his written agreement to appear when other deterrents appear reasonably adequate. See the discussion of such deterrents in Bandy v. United States, 81 S.Ct. 197 (1960). It also permits the imposition of nonfinancial conditions as the price of dispensing with security for the bond. Such conditions are commonly used in England. Devin, The Criminal Prosecution in England, 89 (1958). See the suggestion in Note, Bail: An Ancient Practice Reexamined, 70 Yale L.J. 966, 975 (1961) that such conditions '* * * might include release in custody of a third party, such as the accused's employer, minister, attorney, or a private organization; release subject to a duty to report periodically to the court or other public official; or even release subject to a duty to return to jail each night.' Willful failure to appear after forfeiture of bail is a separate criminal offense and hence an added deterrent to flight. 18 U.S.C. Sec. 3146. For full discussion and general approval of the changes made here see Report of the Attorney General's Committee on Poverty and the Administration of Criminal Justice 58-89 (1963). Subdivision (h). - The purpose of this new subdivision is to place upon the court in each district the responsibility for supervising the detention of defendants and witnesses and for eliminating all unnecessary detention. The device of the report by the attorney for the government is used because in many districts defendants will be held in custody in places where the court sits only at infrequent intervals and hence they cannot be brought personally before the court without substantial delay. The magnitude of the problem is suggested by the facts that during the fiscal year ending June 30, 1960, there were 23,811 instances in which persons were held in custody pending trial and that the average length of detention prior to disposition (i.e., dismissal, acquittal, probation, sentence to imprisonment, or any other method of removing the case from the court docket) was 25.3 days. Federal Prisons 1960, table 22, p. 60. Since 27,645 of the 38,855 defendants whose cases were terminated during the fiscal year ending June 30, 1960, pleaded guilty (United States Attorneys Statistical Report, October 1960, p. 1 and table 2), it would appear that the greater part of the detention reported occurs prior to the initial appearance of the defendant before the court. NOTES OF ADVISORY COMMITTEE ON RULES - 1972 AMENDMENT The amendments are intended primarily to bring rule 46 into general conformity with the Bail Reform Act of 1966 and to deal in the rule with some issues not now included within the rule. Subdivision (a) makes explicit that the Bail Reform Act of 1966 controls release on bail prior to trial. 18 U.S.C. Sec. 3146 refers to release of a defendant. 18 U.S.C. Sec. 3149 refers to release of a material witness. Subdivision (b) deals with an issue not dealt with by the Bail Reform Act of 1966 or explicitly in former rule 46, that is, the issue of bail during trial. The rule gives the trial judge discretion to continue the prior conditions of release or to impose such additional conditions as are adequate to insure presence at trial or to insure that his conduct will not obstruct the orderly and expeditious progress of the trial. Subdivision (c) provides for release during the period between a conviction and sentencing and for the giving of a notice of appeal or of the expiration of the time allowed for filing notice of appeal. There are situations in which defense counsel may informally indicate an intention to appeal but not actually give notice of appeal for several days. To deal with this situation the rule makes clear that the district court has authority to release under the terms of 18 U.S.C. Sec. 3148 pending notice of appeal (e.g., during the ten days after entry of judgment; see rule 4(b) of the Rules of Appellate Procedure). After the filing of notice of appeal, release by the district court shall be in accordance with the provisions of rule 9(b) of the Rules of Appellate Procedure. The burden of establishing that grounds for release exist is placed upon the defendant in the view that the fact of conviction justifies retention in custody in situations where doubt exists as to whether a defendant can be safely released pending either sentence or the giving of notice of appeal. Subdivisions (d), (e), (f), and (g) remain unchanged. They were formerly lettered (e), (f), (g), and (h). NOTES OF ADVISORY COMMITTEE ON RULES - 1987 AMENDMENT The amendments are technical. No substantive change is intended. 1984 AMENDMENT Subd. (a). Pub. L. 98-473, Sec. 209(d)(1), substituted 'Sec. 3142 and 3144' for 'Sec. 3146, Sec. 3148, or Sec. 3149'. Subd. (c). Pub. L. 98-473, Sec. 209(d)(2), substituted '3143' for '3148'. Subd. (e)(2). Pub. L. 98-473, Sec. 209(d)(3), substituted 'be set aside in whole or in part upon such conditions as the court may impose, if a person released upon execution of an appearance bond with a surety is subsequently surrendered by the surety into custody or if it otherwise appears that justice does not require the forfeiture' for 'set aside, upon such conditions as the court may impose, if it appears that justice does not require the enforcement of the forfeiture'. Subd. (h). Pub. L. 98-473, Sec. 209(d)(4), added subd. (h). EFFECTIVE DATE OF 1956 AMENDMENT Amendment by Order of April 9, 1956, became effective 90 days thereafter. -CROSS- CROSS REFERENCES Appeal, stay of sentence of imprisonment, see rule 38. Continuation of bail after granting motion to dismiss for defects in institution of prosecution or in indictment or information, pending filing of new indictment or information, see rule 12. Grand jury, secrecy of indictment until bail is given, see rule 6. Obstructing justice by false bail, see section 1506 of this title. Surety bonds - Government obligations instead of surety bonds, see section 9303 of Title 31, Money and Finance. Surety corporations as sureties, see sections 9304 to 9308 of Title 31. Transfer of proceedings from district or division for trial, transmission of bail, see rule 21. Witnesses - Appearance in criminal case, return to clerk of court, see section 3041 of this title. Direction for taking deposition when committed for failure to give bail to appear to testify at trial or hearing, see rule 15. ------DocID 25179 Document 14 of 963------ -CITE- 19 USC Sec. 46, 47 -EXPCITE- TITLE 19 CHAPTER 1 -HEAD- Sec. 46, 47. Repealed. Feb. 28, 1933, ch. 131, Sec. 1, 47 Stat. 1349 -MISC1- Sections, R.S. Sec. 2644 and 2645, respectively, related to rendition of monthly and quarterly estimates and accounts of certain collectors. ------DocID 26095 Document 15 of 963------ -CITE- 20 USC Sec. 46 -EXPCITE- TITLE 20 CHAPTER 3 SUBCHAPTER I -HEAD- Sec. 46. Duties of Secretary -STATUTE- The Secretary of the Board of Regents shall take charge of the building and property of the institution, and shall, under their direction, make a fair and accurate record of all their proceedings, to be preserved in the institution until no longer needed in conducting current business; and shall also discharge the duties of librarian and of keeper of the museum, and may, with the consent of the Board of Regents, employ assistants. -SOURCE- (R.S. Sec. 5583; Oct. 25, 1951, ch. 562, Sec. 2(4), 65 Stat. 639.) -COD- CODIFICATION R.S. Sec. 5583 derived from act Aug. 10, 1846, ch. 178, Sec. 7, 9 Stat. 105. -MISC3- AMENDMENTS 1951 - Act Oct. 25, 1951, inserted 'until no longer needed in conducting current business'. -CROSS- CROSS REFERENCES Management and disposition of records, see sections 2101 et seq., 2301 et seq., 2501 et seq., 2901 et seq., 3101 et seq., and 3301 et seq. of Title 44, Public Printing and Documents. Statement of expenditures, see section 49 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 57, 67 of this title. ------DocID 27484 Document 16 of 963------ -CITE- 20 USC CHAPTER 46 -EXPCITE- TITLE 20 CHAPTER 46 -HEAD- CHAPTER 46 - CAREER EDUCATION INCENTIVE -MISC1- Sec. 2601 to 2614. Repealed or Omitted. ------DocID 28271 Document 17 of 963------ -CITE- 21 USC Sec. 46 -EXPCITE- TITLE 21 CHAPTER 2 -HEAD- Sec. 46. Examiners; examination according to usages of trade -STATUTE- The examination provided for by this chapter shall be made by a duly qualified examiner at a port where standard samples are established, and where the merchandise is entered at ports where there is no qualified examiner, the examination shall be made at that one of said ports which is nearest the port of entry, and that for this purpose samples of the merchandise, obtained in the manner prescribed by section 44 of this title, shall be forwarded to the proper port by the collector or chief officer at the port of entry. In all cases of examination or reexamination of teas, or merchandise described as tea, by examiners or the United States Board of Tea Appeals under the provisions of this chapter, the purity, quality, and fitness for consumption of the same shall be tested according to the usages and customs of the tea trade, including the testing of an infusion of the same in boiling water and, if necessary, chemical analysis. -SOURCE- (Mar. 2, 1897, ch. 358, Sec. 7, 29 Stat. 606; May 31, 1920, ch. 217, 41 Stat. 712, 713.) -TRANS- TRANSFER OF FUNCTIONS For abolition of the offices of collector of customs, see note set out under section 44 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 44 of this title. ------DocID 30663 Document 18 of 963------ -CITE- 22 USC CHAPTER 46 -EXPCITE- TITLE 22 CHAPTER 46 -HEAD- CHAPTER 46 - INTERNATIONAL INVESTMENT AND TRADE IN SERVICES SURVEY -MISC1- Sec. 3101. Congressional statement of findings and declaration of purpose. (a) Findings. (b) Purpose. (c) Nonrestraint and nondeterrence of investment. 3102. Definitions. 3103. Presidential authority and duties. (a) Data collection program; studies and surveys; periodic report to Congressional committees; statistical information publication. (b) Benchmark survey of United States direct investment abroad and foreign direct investment in United States. (c) Benchmark survey of foreign portfolio investment in United States and United States portfolio investment abroad; report to Congress. (d) Foreign agricultural and real property investment and land data system: study; submittal of findings and conclusions to Congress. (e) Report on cost of monitoring and compiling data on legislation enacted by foreign nations regulating and restricting foreign inward investment. (f) Reporting, recordkeeping, and documentation. (g) Costs for collecting information. (h) Bureau of Economic Analysis report. 3104. Rules and regulations. (a) Authorization. (b) Recordkeeping and reports. (c) Access to information; limitation. (d) Access to Bureau of Economic Analysis information. (e) Penalty. 3105. Enforcement. (a) Civil penalty for failure to furnish information. (b) Civil action for failure to furnish information. (c) Criminal penalty for failure to submit information. 3106. Use of experts and administrative support services. (a) Compensation and travel expenses. (b) Use of available Federal agency services, equipment, personnel, and facilities. 3107. Consultations; creation of independent public advisory committees. 3108. Authorization of appropriations. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 3142, 3144 of this title; title 13 section 401. ------DocID 31718 Document 19 of 963------ -CITE- 25 USC Sec. 46 -EXPCITE- TITLE 25 CHAPTER 2 -HEAD- Sec. 46. Preference to Indians in employment of clerical, mechanical, and other help -STATUTE- Preference shall at all times, as far as practicable, be given to Indians in the employment of clerical, mechanical, and other help on reservations and about agencies. -SOURCE- (May 17, 1882, ch. 163, Sec. 6, 22 Stat. 88; July 4, 1884, ch. 180, Sec. 6, 23 Stat. 97.) -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Interior, with certain exceptions, to Secretary of the Interior, with power to delegate, see Reorg. Plan No. 3 of 1950, Sec. 1, 2, eff. May 24, 1950, 15 F.R. 3174, 64 Stat. 1262, set out in the Appendix to Title 5, Government Organization and Employees. -CROSS- CROSS REFERENCES Indian schools, employment of Indians where practicable, see section 274 of this title. Purchases from Indian manual and training schools when advantageous, see section 104 of this title. Standards for Indians appointed to office, see section 472 of this title. ------DocID 33568 Document 20 of 963------ -CITE- 26 USC Sec. 46 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart E -HEAD- Sec. 46. Amount of credit -STATUTE- For purposes of section 38, the amount of the investment credit determined under this section for any taxable year shall be the sum of - (1) the rehabilitation credit, (2) the energy credit, and (3) the reforestation credit. -SOURCE- (Added Pub. L. 87-834, Sec. 2(b), Oct. 16, 1962, 76 Stat. 963, and amended Pub. L. 88-272, title II, Sec. 201(d)(4), Feb. 26, 1964, 78 Stat. 32; Pub. L. 89-384, Sec. 1(c)(1), Apr. 8, 1966, 80 Stat. 102; Pub. L. 89-389, Sec. 2(b)(5), Apr. 14, 1966, 80 Stat. 114; Pub. L. 89-800, Sec. 3, Nov. 8, 1966, 80 Stat. 1514; Pub. L. 90-225, Sec. 2(a), Dec. 27, 1967, 81 Stat. 731; Pub. L. 91-172, title III, Sec. 301(b)(4), title IV, Sec. 401(e)(1), title VII, Sec. 703(b), Dec. 30, 1969, 83 Stat. 585, 603, 666; Pub. L. 92-178, title I, Sec. 102(a)(1), (b), 105(a)-(c), 106(a)-(c), 107(a)(1), 108(a), Dec. 10, 1971, 85 Stat. 499, 503, 506, 507; Pub. L. 93-406, title II, Sec. 2001(g)(2)(B), 2002(g)(2), 2005(c)(4), Sept. 2, 1974, 88 Stat. 957, 968, 991; Pub. L. 94-12, title III, Sec. 301(a), (b)(1)-(3), 302(a), (b)(1), Mar. 29, 1975, 89 Stat. 36, 37, 40, 43; Pub. L. 94-455, title V, Sec. 503(b)(4), title VIII, Sec. 802(a), (b)(1)-(5), 803(a), (b)(1), 805(a), title XVI, Sec. 1607(b)(1)(B), title XVII, Sec. 1701(b), 1703, title XIX, Sec. 1901(a)(4), (b)(1)(C), 1906(b)(13)(A), title XXI, Sec. 2112(a)(2), Oct. 4, 1976, 90 Stat. 1562, 1580-1583, 1596, 1756, 1759, 1761, 1764, 1790, 1834, 1905; Pub. L. 95-600, title I, Sec. 141(e), (f)(2), title III, Sec. 311(a), (c), 312(a), (b), (c)(2), 313(a), 316(a), (b)(1), (2), title VII, Sec. 703(a)(1), (2), (j)(9), Nov. 6, 1978, 92 Stat. 2794, 2795, 2824-2826, 2829, 2939, 2941; Pub. L. 95-618, title II, Sec. 241(a), title III, Sec. 301(a), (c)(1), Nov. 9, 1978, 92 Stat. 3192, 3194, 3199; Pub. L. 96-222, title I, Sec. 101(a)(7)(A), (L)(iii)(I), (v)(I), (M)(i), 103(a)(2)(A), (B)(i)-(iii), (3), (4)(A), 107(a)(3)(A), Apr. 1, 1980, 94 Stat. 197, 200, 201, 208, 209, 223; Pub. L. 96-223, title II, Sec. 221(a), 222(e)(2), 223(b)(1), Apr. 2, 1980, 94 Stat. 260, 263, 266; Pub. L. 97-34, title II, Sec. 207(c)(1), 211(a)(1), (b), (d), (e)(1), (2), (f)(1), 212(a)(1), (2), title III, Sec. 302(c)(3), (d)(1), 332(a), Aug. 13, 1981, 95 Stat. 225, 227-229, 235, 236, 272, 274, 296; Pub. L. 97-248, title II, Sec. 201(d)(8)(A), formerly Sec. 201(c)(8)(A), Sec. 205(b), 265(b)(2)(A)(i), Sept. 3, 1982, 96 Stat. 420, 430, 547, redesignated Pub. L. 97-448, title III, Sec. 306(a)(1)(A)(i), Jan. 12, 1983, 96 Stat. 2400; Pub. L. 97-354, Sec. 5(a)(4)-(6), Oct. 19, 1982, 96 Stat. 1692; Pub. L. 97-424, title V, Sec. 541(b), 546(b), Jan. 6, 1983, 96 Stat. 2192, 2199; Pub. L. 97-448, title I, Sec. 102(e)(1), (f)(5), title II, Sec. 202(f), Jan. 12, 1983, 96 Stat. 2370, 2372, 2396; Pub. L. 98-21, title I, Sec. 122(c)(1), Apr. 20, 1983, 97 Stat. 87; Pub. L. 98-369, div. A, title I, Sec. 16(a), 31(f), 113(b)(2)(B), title IV, Sec. 431(a), (b)(1), (d)(1)-(3), 474(o)(1)-(7), title VII, Sec. 713(c)(1)(C), July 18, 1984, 98 Stat. 505, 521, 637, 805, 807, 810, 834-836, 957; Pub. L. 99-514, title II, Sec. 201(d)(7)(B), 251(a), title IV, Sec. 421(a), (b), title XVIII, Sec. 1802(a)(6), (8), 1844(a), (b)(3), (5), 1847(b)(11), 1848(a), Oct. 22, 1986, 100 Stat. 2141, 2183, 2229, 2789, 2855, 2857; Pub. L. 100-647, title I, Sec. 1002(a)(4), (15), (17), (25), 1009(a)(1), 1013(a)(44), title IV, Sec. 4006, Nov. 10, 1988, 102 Stat. 3353, 3355, 3356, 3445, 3545, 3652; Pub. L. 101-239, title VII, Sec. 7106, 7814(d), Dec. 19, 1989, 103 Stat. 2306, 2413; Pub. L. 101-508, title XI, Sec. 11406, 11813(a), Nov. 5, 1990, 104 Stat. 1388-474, 1388-536.) -MISC1- AMENDMENTS 1990 - Pub. L. 101-508, Sec. 11813(a), amended section generally, substituting present provisions for provisions relating to amount of investment credit, determination of percentages, qualified investments and qualified progress expenditures, limitations with respect to certain persons, a limitation in the case of certain regulated companies, a 50 percent credit in the case of certain vessels, and special rule for cooperatives. Subsec. (b)(2)(A). Pub. L. 101-508, Sec. 11406, substituted 'Dec. 31, 1991' for 'Sept. 30, 1990' in table items (viii) C. and (ix) B. 1989 - Subsec. (b)(2)(A). Pub. L. 101-239, Sec. 7106, substituted 'Sept. 30, 1990' for 'Dec. 31, 1989' in table items (viii) C., (ix) B., and (x). Pub. L. 101-239, Sec. 7814(d), made technical correction to language of Pub. L. 100-647, Sec. 4006, see 1988 Amendment note below. 1988 - Subsec. (b)(2)(A). Pub. L. 100-647, Sec. 4006, as amended by Pub. L. 101-239, Sec. 7814(d), substituted '1989' for '1988' in table items (viii) C., (ix) B., and (x). Subsec. (c)(5)(B). Pub. L. 100-647, Sec. 1013(a)(44), substututed 'private activity bonds' for 'industrial development bonds' in heading, and in text substituted 'a private activity bond (within the meaning of section 141)' for 'an industrial development bond (within the meaning of section 103(b)(2))'. Subsec. (c)(7). Pub. L. 100-647, Sec. 1002(a)(17), substituted 'property to which section 168 applies' for 'recovery property' in heading, substituted 'property to which section 168 applies' for 'recovery property' and '168(e)' for '168(c)' in subpar. (A), substituted '168(e)' for '168(c)' in subpar. (B), and inserted '(as in effect on the day before the date of the enactment of the Tax Reform Act of 1986)' after 'section 168(f)(3)(B)' in concluding provisions. Subsec. (d)(1)(B)(i). Pub. L. 100-647, Sec. 1002(a)(25)(A), substituted 'property to which section 168 applies' for 'recovery property (within the meaning of section 168)'. Subsec. (d)(1)(B)(ii). Pub. L. 100-647, Sec. 1002(a)(25)(B), substituted 'to which section 168 does not apply' for 'which is not recovery property (within the meaning of section 168)'. Subsec. (e)(3). Pub. L. 100-647, Sec. 1002(a)(15), substituted 'property to which section 168 applies' for 'recovery property (within the meaning of section 168)', 'class life' for 'present class life', and '168(i)(1)' for '168(g)(2)'. Subsec. (e)(4)(B). Pub. L. 100-647, Sec. 1002(a)(4)(A), substituted '168(i)(3)' for '168(j)(6)'. Subsec. (e)(4)(C). Pub. L. 100-647, Sec. 1009(a)(1), inserted provisions at end which provided that any such election shall terminate effective with respect to the 1st taxable year of the organization making such election which begins after 1986, and which defined 'regular investment tax credit property'. Subsec. (e)(4)(D). Pub. L. 100-647, Sec. 1002(a)(4)(B), substituted 'paragraphs (5) and (6) of section 168(h)' for 'paragraphs (8) and (9) of section 168(j)'. Subsec. (e)(4)(E). Pub. L. 100-647, Sec. 1002(a)(4)(C), (D), substituted '168(h)' for '168(j)' and '168(h)(2)' for '168(j)(4)'. 1986 - Subsec. (b)(2)(A). Pub. L. 99-514, Sec. 1847(b)(11), substituted '48(l)(3)(A)(viii)' for '48(l)(3)(A)(vii)' in table item (ii). Pub. L. 99-514, Sec. 421(a), inserted table items (viii) to (xi). Subsec. (b)(2)(E). Pub. L. 99-514, Sec. 421(b), added subpar. (E). Subsec. (b)(4). Pub. L. 99-514, Sec. 251(a), in amending par. (4) generally, substituted in subpar. (A) definition of 'rehabilitation percentage' for former table specifying specific rehabilitation percentages, reenacted subpar. (B), and struck out subpar. (C) which related to definitions. Subsec. (c)(8)(D)(v). Pub. L. 99-514, Sec. 1844(a), substituted 'this subparagraph' for 'clause (i)'. Pub. L. 99-514, Sec. 201(d)(7)(B), substituted 'section 465(b)(3)(C)' for 'section 168(e)(4)'. Subsec. (c)(9)(A). Pub. L. 99-514, Sec. 1844(b)(3), substituted 'an increase in the credit base for' for 'additional qualified investment in'. Subsec. (c)(9)(C)(i). Pub. L. 99-514, Sec. 1844(b)(5), substituted 'any increase in a taxpayer's credit base for any property by reason of this paragraph shall be taken into account as if it were property placed in service by the taxpayer in the taxable year in which the property referred to in subparagraph (A) was first placed in service' for 'any increase in a taxpayer's qualified investment in property by reason of this paragraph shall be deemed to be additional qualified investment made by the taxpayer in the year in which the property referred to in subparagraph (A) was first placed in service'. Subsec. (e)(4)(D), (E). Pub. L. 99-514, Sec. 1802(a)(6), (8), added subpars. (D) and (E). Subsec. (f)(9). Pub. L. 99-514, Sec. 1848(a), struck out par. (9) which related to a special rule for additional credit. 1984 - Subsec. (a). Pub. L. 98-369, Sec. 474(o)(1), amended subsec. (a) generally, so as to contain provisions relating to amount of investment credit, which formerly constituted only par. (2)(A)(i), (ii), and (iv) of subsec. (a). Subsec. (a)(4). Pub. L. 98-369, Sec. 713(c)(1)(C), substituted 'premature distributions to key employees' for 'premature distributions to owner-employees'. Subsec. (b). Pub. L. 98-369, Sec. 474(o)(1), amended subsec. (b) generally, substituting provisions relating to determination of percentages for purposes of subsec. (a), for provisions relating to carryback and carryover of unused credits. Subsec. (c)(7)(A). Pub. L. 98-369, Sec. 13(b)(2)(B), inserted 'recovery' before first reference to 'property'. Subsec. (c)(8). Pub. L. 98-369, Sec. 431(a), substituted 'Certain nonrecourse financing excluded from credit base' for 'Limitation to amount at risk' in heading. Subsec. (c)(8)(A). Pub. L. 98-369, Sec. 431(a), substituted provisions reducing the credit base of any property to which this paragraph applies by the nonqualified nonrecourse financing with respect to such property for provisions relating to limitation of the basis to the amount at risk in the case of new or used section 38 property placed in service during the taxable year by a taxpayer described in section 465(a)(1) and used in connection with an activity with respect to which any loss was subject to limitation under section 465. Subsec. (c)(8)(B). Pub. L. 98-369, Sec. 431(a), substituted provisions relating to the property to which this paragraph applies for provisions defining 'at risk' and stating the circumstances under which a taxpayer would be considered to be at risk for purposes of this paragraph. Subsec. (c)(8)(C). Pub. L. 98-369, Sec. 431(a), substituted provisions defining 'credit base' for provisions relating to a special rule for partnerships and subchapter S corporations. Subsec. (c)(8)(D). Pub. L. 98-369, Sec. 431(a), substituted provisions defining 'nonqualified nonrecourse financing' for provisions defining 'qualified person'. Subsec. (c)(8)(D)(i)(I). Pub. L. 98-369, Sec. 16(a), repealed amendments made by Pub. L. 97-34, Sec. 302(c). See 1981 Amendment note below. Subsec. (c)(8)(E). Pub. L. 98-369, Sec. 431(a), substituted provisions relating to the application of this paragraph to partnerships and subchapter S corporations for provisions defining 'related person'. Subsec. (c)(8)(F)(i). Pub. L. 98-369, Sec. 431(d)(1), substituted provisions that subpar. (A) shall not apply with respect to qualified energy property for provisions that subpar. (A) would not apply to amounts borrowed with respect to qualified energy property (other than amounts described in subpar. (B)). Subsec. (c)(8)(F)(ii)(II). Pub. L. 98-369, Sec. 474(o)(2), substituted 'subsection (b)(2)' for 'section 46(a)(2)(C)'. Subsec. (c)(8)(F)(ii)(III). Pub. L. 98-369, Sec. 431(d)(2), substituted provisions that qualified energy property means energy property to which (but for this subpar.) subpar. (A) applies and not more than 75 percent of the basis of which is attributable to nonqualified nonrecourse financing for provisions that qualified energy property meant energy property to which (but for this subpar.) subpar. (A) applied and with respect to which the taxpayer was at risk (within the meaning of section 465(b) without regard to par. (5) thereof) in an amount equal to at least 25 percent of the basis of the property. Subsec. (c)(8)(F)(ii)(IV). Pub. L. 98-369, Sec. 431(d)(3), substituted 'nonqualified nonrecourse financing' for 'nonrecourse financing (other than financing described in section 46(c)(8)(B)(ii))'. Subsec. (c)(9). Pub. L. 98-369, Sec. 431(b)(1), substituted provisions relating to subsequent decreases in nonqualified nonrecourse financing with respect to the property for provisions relating to subsequent increases in the taxpayer's amount at risk with respect to the property. Subsec. (e)(1). Pub. L. 98-369, Sec. 474(o)(3)(A), struck out 'and the $25,000 amount specified under subparagraphs (A) and (B) of subsection (a)(3)', and substituted 'such qualified investment' for 'such items', in provisions following subpar. (B). Subsec. (e)(2). Pub. L. 98-369, Sec. 474(o)(3)(B), substituted 'qualified investment' for 'the items described therein' in introductory provisions. Subsec. (e)(4). Pub. L. 98-369, Sec. 31(b), added par. (4). Subsec. (f)(1). Pub. L. 98-369, Sec. 474(o)(4)(A), substituted 'no credit determined under subsection (a) shall be allowed by section 38' for 'no credit shall be allowed by section 38' in introductory provisions. Subsec. (f)(1)(A), (B). Pub. L. 98-369, Sec. 474(o)(4)(B), substituted 'the credit determined under subsection (a) and allowable by section 38' for 'the credit allowable by section 38'. Subsec. (f)(2). Pub. L. 98-369, Sec. 474(o)(4)(A), substituted 'no credit determined under subsection (a) shall be allowed by section 38' for 'no credit shall be allowed by section 38' in introductory provisions. Subsec. (f)(2)(A), (B). Pub. L. 98-369, Sec. 474(o)(4)(B), substituted 'the credit determined under subsection (a) and allowable by section 38' for 'the credit allowable by section 38'. Subsec. (f)(4)(B). Pub. L. 98-369, Sec. 474(o)(4)(C), substituted 'the credit determined under subsection (a) and allowed by section 38' for 'the credit allowed by section 38' in introductory provisions. Subsec. (f)(8). Pub. L. 98-369, Sec. 474(o)(5), substituted 'the credit determined under subsection (a) and allowable under section 38' for 'the credit allowable under section 38' in two places, and '(within the meaning of the first sentence of subsection (c)(3)(B))' for '(within the meaning of subsection (a)(7)(C))'. Subsec. (g)(2). Pub. L. 98-369, Sec. 474(o)(6), substituted 'the limitation of section 38(c)' for 'the limitation of subsection (a)(3)'. Subsec. (h)(1). Pub. L. 98-369, Sec. 474(o)(7), substituted 'the credit determined under subsection (a) and allowable to the organization under section 38' for 'the credit allowable to the organization under section 38' and 'the limitation contained in section 38(c)' for 'the limitation contained in subsection (a)(3)'. 1983 - Subsec. (a)(2)(C)(i). Pub. L. 97-424, Sec. 546(b), added section VII to the table. Subsec. (a)(2)(C)(iii)(I). Pub. L. 97-448, Sec. 202(f), substituted 'before January 1, 1983, all engineering studies in connection with the commencement of the construction of the project have been completed and all environmental and construction permits required under Federal, State, or local law in connection with the commencement of the construction of the project have been applied for, and' for 'before January 1, 1983, the taxpayer has completed all engineering studies in connection with the commencement of the construction of the project, and has applied for all environmental and construction permits required under Federal, State, or local law in connection with the commencement of the construction of the project, and'. Subsec. (a)(2)(F)(iii)(II). Pub. L. 97-448, Sec. 102(f)(5)(A), substituted 'a qualified rehabilitated building' for 'any building'. Subsec. (a)(2)(F)(iii)(III). Pub. L. 97-448, Sec. 102(f)(5)(B), substituted 'means a qualified rehabilitated building which meets the requirements of section 48(g)(3)' for 'has the meaning given to such term by section 48(g)(3)'. Subsec. (a)(4)(B). Pub. L. 98-21 substituted 'relating to credit for the elderly and the permanently and totally disabled' for 'relating to credit for the elderly'. Subsec. (c)(7). Pub. L. 97-448, Sec. 102(e)(1), substituted 'in the case of property other than 3-year property (within the meaning of section 168(c))' for 'in the case of 15-year public utility, 10-year, or 5-year property (within the meaning of section 168(c))' in subpar. (A) and, in provisions following subpar. (B), substituted 'shall be treated as property which is not 3-year property' for 'shall be treated as 5-year property'. Subsec. (f)(10). Pub. L. 97-424, Sec. 541(b), added par. (10). 1982 - Subsec. (a)(3)(B). Pub. L. 97-248, Sec. 205(b)(1), substituted '85 percent' for 'the following percentage', substituted a period for the colon, and struck out table of percentages at end of subpar. (B). Subsec. (a)(4). Pub. L. 97-354, Sec. 5(a)(4), substituted 'section 1374 (relating to tax on certain capital gains of S corporations)' for 'section 1378 (relating to tax on certain capital gains of subchapter S corporations)'. Pub. L. 97-248, Sec. 201(d)(8)(A), formerly 201(c)(8)(A), 265(b)(2)(A), substituted '(relating to corporate minimum tax)' for '(relating to minimum tax for tax preferences)' after 'section 56', and inserted 'section 72(q)(1) (relating to 5-percent tax on premature distributions under annuity contracts),' after 'owner-employees)'. Subsec. (a)(7). Pub. L. 97-248, Sec. 205(b)(2), redesignated par. (9) as (7), and, in par. (7)(B), as so redesignated, substituted reference to 85 percent for former reference to the percentage determined under subsec. (a)(3)(B) in cl. (i), struck out former cl. (ii), which provided that pars. (7) and (8) would not apply in certain instances, and redesignated former cl. (iii) as (ii). Former par. (7), which provided for alternative limitations in the case of certain utilities, was struck out. Subsec. (a)(8). Pub. L. 97-248, Sec. 205(b)(2)(A), struck out par. (8) which provided for alternative limitations in the case of certain railroads and airlines. Subsec. (a)(9). Pub. L. 97-248, Sec. 205(b)(2)(A), redesignated par. (9) as (7). Subsec. (c)(8)(C). Pub. L. 97-354, Sec. 5(a)(5), substituted 'S corporation' for 'electing small business corporation (within the meaning of section 1371(b))'. Subsec. (e)(3). Pub. L. 97-354, Sec. 5(a)(6), substituted 'an S corporation' for 'an electing small business corporation (as defined in section 1371)'. 1981 - Subsec. (a)(2)(A)(iv). Pub. L. 97-34, Sec. 212(a)(1), added cl. (iv). Subsec. (a)(2)(E). Pub. L. 97-34, Sec. 332(a), substituted 'December 31, 1982' for 'December 31, 1983' in cls. (i) and (ii) and added cl. (iii). Subsec. (a)(2)(F). Pub. L. 97-34, Sec. 212(a)(2), added subpar. (F). Subsec. (b)(1). Pub. L. 97-34, Sec. 207(c)(1), inserted provision after subpar. (D) directing that, in the case of an unused credit for an unused credit year ending after Dec. 31, 1973, this paragraph be applied by substituting '15' for '7' in subpar. (B) and by substituting '18' for '10' and '17' for '9' in second sentence. Subsec. (c)(2). Pub. L. 97-34, Sec. 211(e)(1), inserted references in provisions preceding table to exceptions provided in paragraphs (3), (6), and (7). Subsec. (c)(6)(A). Pub. L. 97-34, Sec. 211(e)(2), substituted 'Notwithstanding paragraph (2) or (3)' for 'Notwithstanding paragraph (2)' and inserted 'or which is recovery property (within the meaning of section 168),' after '3 years or more,'. Subsec. (c)(7). Pub. L. 97-34, Sec. 211(a)(1), added par. (7). Subsec. (c)(8). Pub. L. 97-34, Sec. 211(f)(1), added par. (8). Subsec. (c)(8)(D)(i)(I). Pub. L. 97-34, Sec. 302(c)(3), (d)(1), provided that, applicable to taxable years beginning after Dec. 31, 1984, subsection (c)(8)(D)(i)(I) of this section (relating to limitation to amount at risk) is amended by striking out 'clause (i), (ii), or (iii) of subparagraph (A) or subparagraph (B) of section 128(c)(2)' and inserting in lieu thereof 'subparagraph (A) or (B) of section 128(c)(1)'. Section 16(a) of Pub. L. 98-369, repealed section 302(c) of Pub. L. 97-34, and provided that this title shall be applied and administered as if section 302(c), and the amendments made by section 302(c), had not been enacted. Subsec. (c)(9). Pub. L. 97-34, Sec. 211(f)(1), added par. (9). Subsec. (d)(1). Pub. L. 97-34, Sec. 211(b)(1), designated existing provisions as subpar. (A), substituted 'an amount equal to the aggregate of the applicable percentage of each qualified progress expenditure for the taxable year' for 'an amount equal to his aggregate qualified progress expenditures for the taxable year' in subpar. (A) as so designated, and added subpar. (B). Subsec. (d)(2)(A)(ii). Pub. L. 97-34, Sec. 211(b)(2), struck out 'having a useful life of 7 years or more' after 'it is reasonable to believe will be new section 38 property'. Subsec. (e)(3). Pub. L. 97-34, Sec. 211(d), in provisions following subpar. (B), inserted provision that, for purposes of subpar. (B), in the case of any recovery property (within the meaning of section 168), the useful life be the present class life for such property (as defined in section 168(g)(2)). 1980 - Subsec. (a)(2)(A). Pub. L. 96-222, Sec. 101(a)(7)(L)(iii)(I), substituted 'employee plan' for 'ESOP'. Subsec. (a)(2)(C). Pub. L. 96-223, Sec. 221(a), revised provisions relating to energy percentage by substituting a tabular format embracing separate coverage for solar, wind, or geothermal property, ocean thermal property, qualified hydroelectric generating property, and biomass property using percentages varying between 10 and 15 percent and covering periods from Oct. 1, 1978, to Dec. 31, 1985, with longer periods for certain long-term projects and certain hydroelectric generating property for provisions that had set the energy percentage at 10 percent for the period beginning Oct. 1, 1978, and ending Dec. 31, 1982, and zero with respect to any other period. Subsec. (a)(2)(D). Pub. L. 96-223, Sec. 222(e)(2), inserted provision that in the case of any qualified hydroelectric generating property which is a fish passageway, the special rule for certain energy property embraced in the first sentence would not apply to any period after 1979 for which the energy percentage for such property is greater than zero. Subsec. (a)(2)(E). Pub. L. 96-222, Sec. 101(a)(7)(L)(v)(I), (M)(i), substituted in heading 'employee plan' for 'ESOP' and in cls. (i) and (ii) inserted 'and ending on' before 'December 31, 1983'. Subsec. (a)(9). Pub. L. 96-222, Sec. 103(a)(2)(B)(i), redesignated par. (10) as (9). A former par. (9) was previously repealed by section 312(b)(2) of Pub. L. 95-600. Subsec. (a)(9)(A). Pub. L. 96-223, Sec. 223(b)(1)(A), inserted 'and' at end of cl. (i), substituted a period for '(other than solar wind energy property), and' at end of cl. (ii), and struck out cl. (iii) which had provided for the application of so much of the credit allowed by section 38 as was attributable to the application of the energy percentage to solar or wind energy property. Subsec. (a)(9)(B). Pub. L. 96-223. Sec. 223(b)(1)(B), struck out 'other than solar or wind energy property' after 'energy property' in heading. Pub. L. 96-222, Sec. 103(a)(2)(B)(ii), (iii), substituted 'paragraph (3)(B) shall be applied by substituting '100 percent' for the percentage determined under the table contained in such paragraph' for 'paragraph (3)(C) shall be applied by substituting '100 percent' for '50 percent' ' in cl. (i) and '(7) and (8)' for '(7), (8), and (9)' in cl. (ii). Subsec. (a)(9)(C). Pub. L. 96-223, Sec. 223(b)(1)(C), struck out subpar. (C) which related to a refundable credit for solar or wind energy property. Subsec. (a)(10). Pub. L. 96-222, Sec. 103(a)(2)(B)(i), redesignated par. (10) as (9). Subsec. (c)(5)(B). Pub. L. 96-222, Sec. 103(a)(3), inserted provisions requiring that this subparagraph not apply for purposes of applying the energy percentage. Subsec. (e)(3). Pub. L. 96-222, Sec. 103(a)(4)(A), inserted provisions requiring that this paragraph not apply with respect to any property which is treated as section 38 property by reason of section 48(a)(1)(E). Subsec. (f)(1), (2). Pub. L. 95-600, Sec. 312(c)(2), as amended by Pub. L. 96-222, Sec. 103(a)(2)(A), substituted ' 'described in section 50 (as in effect before its repeal by the Revenue Act of 1978)' ' for ' 'described in section 50' '. Subsec. (f)(8). Pub. L. 96-222, Sec. 107(a)(3)(A), substituted 'subsection (a)(7)(C)' for 'subsection (a)(7)(D)'. Subsec. (f)(9). Pub. L. 96-222, Sec. 101(a)(7)(A), substituted in provisions preceding subpar. (A) 'subparagraph (E) of subsection (a)(2)' for 'subparagraph (B) of subsection (a)(2)' and in subpar. (A) 'a tax credit employee stock ownership plan which meets the requirements of section 409A' for 'an employee ownership plan which meets the requirements of section 301(d) of the Tax Reduction Act of 1975'. 1978 - Subsec. (a)(2). Pub. L. 95-618, Sec. 301(a)(1), among other changes, inserted provisions relating to an alternative energy property tax credit which would pay for a certain percentage of the cost of equipment which uses sources of energy other than oil and gas and of associated pollution control, handling, and preparation equipment. Subsec. (a)(2)(B). Pub. L. 95-600, Sec. 311(a), made 10 percent limitation on investment tax credit permanent. Subsec. (a)(2)(E). Pub. L. 95-600, Sec. 141(e), (f)(2), substituted 'December 31, 1983' for 'and ending on December 31, 1980' wherever appearing, 'section 48(n)(1)(B)' for 'section 301(e) of the Tax Reduction Act of 1975' and 'section 409A' for 'section 301(d) of the Tax Reduction Act of 1975'. Subsec. (a)(3). Pub. L. 95-600, Sec. 312(a), increased the present 50 percent tax liability limitation to 90 percent, to be phased in at an additional 10 percentage points per year beginning with taxable years which end in 1979. Subsec. (a)(7). Pub. L. 95-600, Sec. 312(b)(1), in subpar. (A) substituted 'the taxable year ending in 1979' for 'a taxable year ending after calendar year 1974 and before calendar year 1981', 'subparagraph (B)' for 'subparagraph (C)', and 'for '60 percent' the taxpayer's' for 'for 50 percent his' and inserted 'the application of this paragraph results in a percentage higher than 60 percent,' before 'then subparagraph (B)'; in subpar. (B) substituted '70 percent' for '50 percent plus the tentative percentage for such year'; struck out former subpar. (C), which related to the determination of the tentative percentage, and redesignated former subpar. (D) as (C). Subsec. (a)(8). Pub. L. 95-600, Sec. 312(b)(2), in subpar. (A) substituted 'the taxable year ending in 1979' for 'a taxable year ending after calendar year 1976, and before calendar year 1983', 'subparagraph (B)' for 'subparagraph (C)', and 'for '60 percent' ('70 percent' in the case of a taxable year ending in 1980) the taxpayer's' for 'for 50 percent his' and inserted reference to airline property and 'the application of this paragraph results in a percentage higher than 60 percent (70 percent in the case of a taxable year ending in 1980),' before 'then subparagraph (B)'; in subpar. (B) inserted reference to airline property and substituted '90 percent (80 percent in the case of a taxable year ending in 1980)' for '50 percent plus the tentative percentage for such year'; in subpar. (C) table struck out tentative percentage of 50 for 1977 or 1978, 20 for 1981, and 10 for 1982; and added subpar. (E). Subsec. (a)(9). Pub. L. 95-600, Sec. 312(b)(2), struck out par. (9) which related to the alternative limitation in the case of certain airlines. Subsec. (a)(10). Pub. L. 95-618, Sec. 301(c)(1), added par. (10). Subsec. (c)(3)(A). Pub. L. 95-618, Sec. 301(a)(2)(A), substituted 'For the period beginning on January 1, 1981, in the case of any property' for 'To the extent that subsection (a)(2)(C) applies to property' and inserted provisions that the preceding sentence not apply for purposes of applying the energy percentage. See Codification note above. Pub. L. 95-600, Sec. 311(c)(1), substituted 'To the extent that the credit allowed by section 38 with respect to any public utility property is determined at the rate of 7 percent' for 'For the period beginning on January 1, 1981'. See Codification note above. Subsec. (c)(5). Pub. L. 95-600, Sec. 313(a), increased the investment credit available to pollution control facilities which a taxpayer has elected to amortize over a five-year period to a full investment credit from a one-half investment credit. Subsec. (c)(6). Pub. L. 95-618, Sec. 241(a), added par. (6). Subsec. (e)(1)(C). Pub. L. 95-600, Sec. 316(b)(1), struck out subpar. (C) which related to a cooperative organization described in section 1381(a). Subsec. (e)(2)(C). Pub. L. 95-600, Sec. 316(b)(2), struck out subpar. (C) which related to a cooperative organization. Subsec. (f)(1), (2). Pub. L. 95-600, Sec. 312(c)(2), struck out 'described in section 50' after 'with respect to any property'. See 1980 Amendment note above. Subsec. (f)(8). Pub. L. 95-618, Sec. 301(a)(2)(B), substituted ', the Tax Reform Act of 1976, and the Energy Tax Act of 1978' for 'and the Tax Reform Act of 1976'. See Codification note above. Pub. L. 95-600, Sec. 311(c)(2), 703(a)(1), substituted 'subsection (a)(7)(D)' for 'subsection (a)(6)(D)' and inserted reference to the Revenue Act of 1978. See Codification note above. Subsec. (g)(5). Pub. L. 95-600, Sec. 703(a)(2), substituted 'Merchant Marine Act, 1936' for 'Merchant Marine Act, 1970'. Subsec. (h). Pub. L. 95-600, Sec. 316(a), added subsec. (h). 1976 - Subsec. (a)(1). Pub. L. 94-455, Sec. 802(a)(2), added par. (1) and struck out former par. (1) which related to the percentage of allowable credit under section 38. Subsec. (a)(2). Pub. L. 94-455, Sec. 802(a)(2), added par. (2). Former par. (2) redesignated (3). Subsec. (a)(3). Pub. L. 94-455, Sec. 802(a)(1), redesignated former par. (2) as (3). Former par. (3) redesignated (4). Subsec. (a)(4). Pub. L. 94-455, Sec. 503(b)(4), 802(a)(1), (b)(1), 1901(a)(4)(A), (b)(1)(C), as amended by Pub. L. 95-600, Sec. 703(j)(9), redesignated former par. (3) as (4), and in par. (4) as so redesignated, redesignated former subpar. (C) as (B) and substituted in provisions preceding subpar. (A) 'paragraph (3)' for 'paragraph (2)', in subpar. (B) as so redesignated 'credit for the elderly' for 'retirement income', and in provisions following subpar. (B) 'section 408(f)' for 'section 408(e)'. Former par. (4) redesignated (5). Subsec. (a)(5). Pub. L. 94-455, Sec. 802(a)(1), (b)(1), redesignated former par. (4) as (5) and substituted 'paragraph (3)' for 'paragraph (2)'. Former par. (5) redesignated (6). Subsec. (a)(6). Pub. L. 94-455, Sec. 802(a)(1), (b)(1), 1906(b)(13)(A), redesignated former par. (5) as (6) and substituted 'paragraph (3)' for 'paragraph (2)' and struck out 'or his delegate' after 'Secretary'. Former par. (6) redesignated (7). Subsec. (a)(7). Pub. L. 94-455, Sec. 802(a)(1), (b)(1), redesignated former par. (6) as (7) and substituted 'paragraph (3)' for 'paragraph (2)'. Subsec. (a)(8). Pub. L. 94-455, Sec. 1701(b), added par. (8). Subsec. (a)(9). Pub. L. 94-455, Sec. 1703, added par. (9). Subsec. (b). Pub. L. 94-455, Sec. 802(b)(2), among other changes, inserted requirement that tax credits carried over are applied first to the tax liability for that year, after which tax credits earned currently are then applied. Subsec. (c)(3)(A). Pub. L. 94-455, Sec. 802(b)(3), substituted 'subsection (a)(2)(C)' for 'subsection (a)(1)(C)'. Subsec. (c)(3)(B)(iii). Pub. L. 94-455, Sec. 1901(a)(4)(B), substituted '47 U.S.C. 222(a)(5)' for '47 U.S.C., sec. 222(a)(5)'. Subsec. (c)(5). Pub. L. 94-455, Sec. 2112(a)(2), added par. (5). Subsec. (d)(4)(D), (6). Pub. L. 94-455, Sec. 1906(b)(13)(A), struck out 'or his delegate' after 'Secretary'. Subsec. (e)(1)(C). Pub. L. 94-455, Sec. 802(b)(4), substituted 'subsection (a)(3)' for 'subsection (a)(2)'. Subsec. (e)(2). Pub. L. 94-455, Sec. 1607(b)(1)(B), substituted in subpar. (B) '857(b)(2)(B)' for '857(b)(2)(C)' and inserted in provisions following subpar. (C) reference to determine without regard to any deduction for capital gains dividends (as defined in section 857(b)(3)(C)) and by excluding any net capital gain. Subsec. (f)(1)(B), (2), (3). Pub. L. 94-455, Sec. 1906(b)(13)(A), struck out 'or his delegate' after 'Secretary'. Subsec. (f)(4)(A). Pub. L. 94-455, Sec. 803(b)(1)(A), (B), substituted 'paragraphs (1), (2), and (9)' for 'paragraphs (1) and (2)' and 'paragraph (1), (2), or (9)' for 'paragraph (1) or (2)' wherever appearing. Subsec. (f)(4)(B)(ii). Pub. L. 94-455, Sec. 803(b)(1)(C), substituted 'paragraph (2) or the election described in paragraph (9),' for 'paragraph (2),'. Subsec. (f)(7). Pub. L. 94-455, Sec. 1906(b)(13)(A), struck out 'or his delegate' after 'Secretary'. Subsec. (f)(8). Pub. L. 94-455, Sec. 802(b)(5), 1906(b)(13)(A), inserted reference to the Tax Reform Act of 1976 and struck out 'or his delegate' after 'Secretary'. Subsec. (f)(9). Pub. L. 94-455, Sec. 803(a), added par. (9). Subsec. (g). Pub. L. 94-455, Sec. 805(a), added subsec. (g). 1975 - Subsec. (a)(1). Pub. L. 94-12, Sec. 301(a), designated existing provisions as subpar. (A), substituted 'Except as otherwise provided in this paragraph, in the case of a property described in subparagraph (D), the' for 'The', '10 percent' for '7 percent', and '(as determined under subsections (c) and (d))' for '(as defined in subsection (c))' in subpar. (A) as so designated, and added subpars. (B), (C), and (D). Subsec. (a)(6). Pub. L. 94-12, Sec. 301(b)(2), added par. (6). Subsec. (c)(3)(A). Pub. L. 94-12, Sec. 301(b)(1), substituted 'To the extent that subsection (a)(1)(C) applies to property which is public utility property, the' for 'In the case of section 38 property which is public utility property, the'. Subsec. (c)(4). Pub. L. 94-12, Sec. 302(b)(1), added par. (4). Subsecs. (d), (e). Pub. L. 94-12, Sec. 302(a), added subsec. (d) and redesignated former subsec. (d) as (e). Former subsec. (e) redesignated (f) and amended. Subsec. (f). Pub. L. 94-12, Sec. 301(b)(3), 302(a), redesignated former subsec. (e) as (f) and in subsec. (f) as so redesignated added par. (8). 1974 - Subsec. (a)(3). Pub. L. 93-406 inserted reference to section 402(e) (relating to tax on lump sum distributions), section 72(m)(5)(B) (relating to 10 percent tax on premature distributions to owner-employees), and section 408(e) (relating to additional tax on income from certain retirement accounts). 1971 - Subsec. (b)(1). Pub. L. 92-178, Sec. 106(b), inserted concluding sentence 'In the case of an unused credit for an unused credit year ending before January 1, 1971, which is an investment credit carryover to a taxable year beginning after December 31, 1970 (determined without regard to this sentence), this paragraph shall be applied by substituting '10 taxable years' for '7 taxable years' in subparagraph (B) and by substituting '13 taxable years' for '10 taxable years' and '12 taxable years' for '9 taxable years' in the preceding sentence.' Subsec. (b)(3). Pub. L. 92-178, Sec. 106(a), added par. (3). Subsec. (b)(5). Pub. L. 92-178, Sec. 106(c)(1), substituted 'Certain taxable years ending in 1969, 1970, or 1971' for 'Taxable years beginning after December 31, 1968, and ending after April 18, 1969' in heading; substituted 'ending after April 18, 1969, and before January 1, 1972,' for 'ending after April 18, 1969,'; and provided that 'In the case of a taxable year ending after August 15, 1971, and before January 1, 1972, the percentage contained in the preceding sentence shall be increased by 6 percentage points for each month (or portion thereof) in the taxable year after August 15, 1971'. Subsec. (b)(6). Pub. L. 92-178, Sec. 106(c)(2), substituted 'ending after April 18, 1969, and before January 1, 1971,' for 'ending after April 18, 1969,' and 'following the 7th taxable year after the unused credit year' for 'following the last taxable year for which such portion may be added under paragraph (1)', respectively. Subsec. (c)(2). Pub. L. 92-178, Sec. 102(a)(1), (b), substituted '3 years', '5 years', and '7 years' for '4 years' (once), '6 years' (twice), and '8 years' (twice), respectively in tables of first sentence and substituted in second sentence 'subpart' for 'paragraph' and 'useful life of any property shall be the useful life used in computing the allowance for depreciation under section 167 for the taxable year in which the property is placed in service' for 'useful life of any property shall be determined as of the time such property is placed in service by the taxpayer'. Subsec. (c)(3)(A). Pub. L. 92-178, Sec. 105(a), substituted the fraction of ' 4/7' for ' 3/7'. Subsec. (c)(3)(B). Pub. L. 92-178, Sec. 105(b)(1), (2), struck out cl. (iii) provisions respecting telephone service, redesignated cl. (iv) as (iii), included in cl. (iii) provision of former cl. (iii) respecting telephone service, included other communication services (other than international telegraph service), and defined term 'public utility property' to also mean communication property of type used by persons engaged in providing telephone or microwave communication services to which cl. (iii) applies, if such property is used predominantly for communication purposes, respectively. Subsec. (c)(3)(C). Pub. L. 92-178, Sec. 105(b)(3), added subpar. (C). Subsec. (c)(4). Pub. L. 92-178, Sec. 107(a)(1), struck out provisions respecting reduction in basis or cost of certain replacement property. Subsec. (d)(3). Pub. L. 92-178, Sec. 108(a), added par. (3). Subsec. (e). Pub. L. 92-178, Sec. 105(c), added subsec. (e). 1969 - Subsec. (a)(3). Pub. L. 91-172, Sec. 301(b)(4), inserted 'section 56 (relating to minimum tax for tax preference),'. Subsec. (a)(5). Pub. L. 91-172, Sec. 401(e)(1), reenacted subsection with minor changes and substituted reference to section 1563(a) for reference to section 1504. Subsec. (b)(5), (6). Pub. L. 91-172, Sec. 703(b), added pars. (5) and (6). 1967 - Subsec. (b). Pub. L. 90-225 struck out par. (3) which provided that to the extent that the excess described in par. (1) of this subsection arises by reason of net operating loss carryback, subpar. (A) of par. (1) of this subsection shall not apply. 1966 - Subsec. (a)(2). Pub. L. 89-800, Sec. 3(a), inserted 'for taxable years ending on or before the last day of the suspension period (as defined in section 48(j)),' at beginning of subpar. (B), and added subpar. (C) and provisions following subpar. (C) covering the application of subpar. (C) and the reduction of the amount otherwise determined under par. (2) by the credit allowable but for the application of section 48(h)(1). Subsec. (a)(3). Pub. L. 89-389 inserted reference to tax imposed for the taxable year by section 1378 (relating to tax on certain capital gains of subchapter S corporations) in the list of taxes not to be considered tax imposed by this chapter for purposes of par. (3). Pub. L. 89-384 added any additional tax imposed for the taxable year by section 1351 (relating to recoveries of foreign expropriation losses) to the list of taxes not to be considered a tax imposed by this chapter for purposes of par. (3). Subsec. (b)(1). Pub. L. 89-800, Sec. 3(b), substituted '7 taxable years' for '5 taxable years' in subpar. (B) and '10 taxable years' and 'other 9 taxable years' for '8 taxable years' and 'other 7 taxable years' respectively in text following subpar. (B). 1964 - Subsec. (a)(3)(B) to (D). Pub. L. 88-272 struck out subpar. (B) relating to section 34, and redesignated subpars. (C) and (D) as (B) and (C), respectively. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by section 11813(a) of Pub. L. 101-508 applicable to property placed in service after Dec. 31, 1990, but not applicable to any transition property (as defined in section 49(e) of this title), any property with respect to which qualified progress expenditures were previously taken into account under section 46(d) of this title, and any property described in section 46(b)(2)(C) of this title, as such sections were in effect on Nov. 4, 1990, see section 11813(c) of Pub. L. 101-508, set out as a note under section 29 of this title. EFFECTIVE DATE OF 1989 AMENDMENT Amendment by section 7814(d) of Pub. L. 101-239 effective, except as otherwise provided, as if included in the provision of the Technical and Miscellaneous Revenue Act of 1988, Pub. L. 100-647, to which such amendment relates, see section 7817 of Pub. L. 101-239, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by sections 1002(a)(4), (15), (17), (25), 1009(a)(1), and 1013(a)(44) of Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 201(d)(7)(B) of Pub. L. 99-514 applicable to property placed in service after Dec. 31, 1986, in taxable years ending after such date, with exceptions, see sections 203 and 204 of Pub. L. 99-514, set out as a note under section 168 of this title. Section 251(d) of Pub. L. 99-514, as amended by Pub. L. 100-647, title I, Sec. 1002(k), Nov. 10, 1988, 102 Stat. 3371, provided that: '(1) In general. - Except as otherwise provided in this subsection, the amendments made by this section (amending this section and section 48 of this title) shall apply to property placed in service after December 31, 1986, in taxable years ending after such date. '(2) General transitional rule. - The amendments made by this section and section 201 (amending this section and sections 48, 167, 168, 178, 179, 280F, 291, 312, 465, 467, 514, 751, 1245, 4162, 6111, and 7701 of this title) shall not apply to any property placed in service before January 1, 1994, if such property is placed in service as part of - '(A) a rehabilitation which was completed pursuant to a written contract which was binding on March 1, 1986, or '(B) a rehabilitation incurred in connection with property (including any leasehold interest) acquired before March 2, 1986, or acquired on or after such date pursuant to a written contract that was binding on March 1, 1986, if - '(i) parts 1 and 2 of the Historic Preservation Certification Application were filed with the Department of the Interior (or its designee) before March 2, 1986, or '(ii) the lesser of $1,000,000 or 5 percent of the cost of the rehabilitation is incurred before March 2, 1986, or is required to be incurred pursuant to a written contract which was binding on March 1, 1986. '(3) Certain additional rehabilitations. - The amendments made by this section and section 201 (amending this section and sections 48, 167, 168, 178, 179, 280F, 291, 312, 465, 467, 514, 751, 1245, 4162, 6111, and 7701 of this title) shall not apply to - '(A) the rehabilitation of 8 bathhouses within the Hot Springs National Park or of buildings in the Central Avenue Historic District at such Park, '(B) the rehabilitation of the Upper Pontalba Building in New Orleans, Louisiana, '(C) the rehabilitation of at least 60 buildings listed on the National Register at the Frankford Arsenal, '(D) the rehabilitation of De Baliveriere Arcade, St. Louis Centre, and Drake Apartments in Missouri, '(E) the rehabilitation of The Tides in Bristol, Rhode Island, '(F) the rehabilitation and renovation of the Outlet Company building and garage in Providence, Rhode Island, '(G) the rehabilitation of 10 structures in Harrisburg, Pennsylvania, with respect to which the Harristown Development Corporation was designated redeveloper and received an option to acquire title to the entire project site for $1 on June 27, 1984, '(H) the rehabilitation of a project involving the renovation of 3 historic structures on the Minneapolis riverfront, with respect to which the developer of the project entered into a redevelopment agreement with a municipality dated January 4, 1985, and industrial development bonds were sold in 3 separate issues in May, July, and October 1985, '(I) the rehabilitation of a bank's main office facilities of approximately 120,000 square feet, in connection with which the bank's board of directors authorized a $3,300,000 expenditure for the renovation and retrofit on March 20, 1984, '(J) the rehabilitation of 10 warehouse buildings built between 1906 and 1910 and purchased under a contract dated February 17, 1986, '(K) the rehabilitation of a facility which is customarily used for conventions and sporting events if an analysis of operations and recommendations of utilization of such facility was prepared by a certified public accounting firm pursuant to an engagement authorized on March 6, 1984, and presented on June 11, 1984, to officials of the city in which such facility is located, '(L) Mount Vernon Mills in Columbia, South Carolina, '(M) the Barbara Jordan II Apartments, '(N) the rehabilitation of the Federal Building and Post Office, 120 Hanover Street, Manchester, New Hampshire, '(O) the rehabilitation of the Charleston Waterfront project in South Carolina, '(P) the Hayes Mansion in San Jose, California, '(Q) the renovation of a facility owned by the National Railroad Passenger Corporation ('Amtrak') for which project Amtrak engaged a development team by letter agreement dated August 23, 1985, as modified by letter agreement dated September 9, 1985, '(R) the rehabilitation of a structure or its components which is listed in the National Register of Historic Places, is located in Allegheny County, Pennsylvania, will be substantially rehabilitated (as defined in section 48(g)(1)(C) prior to amendment by this Act), prior to December 31, 1989; and was previously utilized as a market and an auto dealership, '(S) The Bellevue Stratford Hotel in Philadelphia, Pennsylvania, '(T) the Dixon Mill Housing project in Jersey City, New Jersey, '(U) Motor Square Garden, '(V) the Blackstone Apartments, and the Shriver-Johnson building, in Sioux Falls, South Dakota, '(W) the Holy Name Academy in Spokane, Washington, '(X) the Nike/Clemson Mill in Exeter, New Hampshire, '(Y) the Central Bank Building in Grand Rapids, Michigan, and '(Z) the Heritage Hotel, in the City of Marquette, Michigan. '(4) Additional rehabilitations. - The amendments made by this section and section 201 (amending sections 46, 48, 167, 168, 178, 179, 280F, 291, 312, 465, 467, 514, 751, 1245, 4162, 6111, and 7701 of this title) shall not apply to - '(A) the Fort Worth Town Square Project in Texas, '(B) the American Youth Hostel in New York, New York, '(C) The Riverwest Loft Development (including all three phases, two of which do not involve rehabilitations), '(D) the Gaslamp Quarter Historic District in California, '(E) the Eberhardt & Ober Brewery, in Pennsylvania, '(F) the Captain's Walk Limited Partnership-Harris Place Development, in Connecticut, '(G) the Velvet Mills in Connecticut, '(H) the Roycroft Inn, in New York, '(I) Old Main Village, in Mankato, Minnesota, '(J) the Washburn-Crosby A Mill, in Minneapolis, Minnesota, '(K) the Marble Arcade office building in Lakeland, Florida, '(L) the Willard Hotel, in Washington, D.C., '(M) the H. P. Lau Building in Lincoln, Nebraska, '(N) the Starks Building, in Louisville, Kentucky, '(O) the Bellevue High School, in Bellevue, Kentucky, '(P) the Major Hampden Smith House, in Owensboro, Kentucky, '(Q) the Doe Run Inn, in Brandenburg, Kentucky, '(R) the State National Bank, in Frankfort, Kentucky, '(S) the Captain Jack House, in Fleming, Kentucky, '(T) the Elizabeth Arlinghaus House, in Covington, Kentucky, '(U) Limerick Shamrock, in Louisville, Kentucky, '(V) the Robert Mills Project, in South Carolina, '(W) the 620 Project, consisting of 3 buildings, in Kentucky, '(X) the Warrior Hotel, Ltd., the first two floors of the Martin Hotel, and the 105,000 square foot warehouse constructed in 1910, all in Sioux City, Iowa, '(Y) the waterpark condominium residential project, to the extent of $2 million of expenditures, '(Z) the Bigelow-Hartford Carpet Mill in Enfield, Connecticut, '(AA) properties abutting 125th street in New York County from 7th Avenue west to Morningside and the pier area on the Hudson River at the end of such 125th Street, '(BB) the City of Los Angeles Central Library project pursuant to an agreement dated December 28, 1983, '(CC) the Warehouse Row project in Chattanooga, Tennessee, '(DD) any project described in section 204(a)(1)(F) of this Act (26 U.S.C. 168 note), '(EE) the Wood Street Commons project in Pittsburgh, Pennsylvania, '(FF) any project described in section 803(d)(6) of this Act (26 U.S.C. 263A note), '(GG) Union Station, Indianapolis, Indiana, '(HH) the Mattress Factory project in Pittsburgh, Pennsylvania, '(II) Union Station in Providence, Rhode Island, '(JJ) South Pack Plaza, Asheville, North Carolina, '(KK) Old Louisville Trust Project, Louisville, Kentucky, '(LL) Stewarts Rehabilitation Project, Louisville, Kentucky, '(MM) Bernheim Officenter, Louisville, Kentucky, '(NN) Springville Mill Project, Rockville, Connecticut, and '(OO) the D.J. Stewart Company Building, State and Main Streets, Rockford, Illinois. '(5) Reduction in credit for property under transitional rules. - In the case of property placed in service after December 31, 1986, and to which the amendments made by this section (amending sections 46 and 48 of this title) do not apply, subparagraph (A) of section 46(b)(4) of the Internal Revenue Code of 1954 (now 1986) (as in effect before the enactment of this Act) shall be applied - '(A) by substituting '10 percent' for '15 percent', and '(B) by substituting '13 percent' for '20 percent'. '(6) Expensing of rehabilitation expenses for the frankford arsenal. - In the case of any expenditures paid or incurred in connection with improvements (including repairs and maintenance) of the Frankford Arsenal pursuant to a contract and partnership agreement during the 8-year period specified in the contract or agreement, all such expenditures to be made during the period 1986 through and including 1993 shall - '(A) be treated as made (and allowable as a deduction) during 1986, '(B) be treated as qualified rehabilitation expenditures made during 1986, and '(C) be allocated in accordance with the partnership agreement regardless of when the interest in the partnership was acquired, except that - '(i) if the taxpayer is not the original holder of such interest, no person (other than the taxpayer) had claimed any benefits by reason of this paragraph, '(ii) no interest under section 6611 of the 1986 Code on any refund of income taxes which is solely attributable to this paragraph shall be paid for the period - '(I) beginning on the date which is 45 days after the later of April 15, 1987, or the date on which the return for such taxes was filed, and '(II) ending on the date the taxpayer acquired the interest in the partnership, and '(iii) if the expenditures to be made under this provision are not paid or incurred before January 1, 1994, then the tax imposed by chapter 1 of such Code for the taxpayer's last taxable year beginning in 1993 shall be increased by the amount of the tax benefits by reason of this paragraph which are attributable to the expenditures not so paid or incurred. '(7) Special rule. - In the case of the rehabilitation of the Willard Hotel in Washington, D.C., section 205(c)(1)(B)(ii) of the Tax Equity and Fiscal Responsibility Act of 1982 (section 205(c)(1)(B)(ii) of Pub. L. 97-248, set out as a note under section 196 of this title) shall be applied by substituting '1987' for '1986'.' Section 421(c) of Pub. L. 99-514 provided that: 'The amendments made by this section (amending this section) shall apply to periods beginning after December 31, 1985, under rules similar to rules under section 48(m) of the Internal Revenue Code of 1986.' Amendment by sections 1802(a)(6), (8), 1844(a), (b)(3), (5), 1847(b)(11), 1848(a) of Pub. L. 99-514 effective, except as otherwise provided, as if included in the provisions of the Tax Reform Act of 1984, Pub. L. 98-369, div. A, to which such amendment relates, see section 1881 of Pub. L. 99-514, set out as a note under section 48 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 16 of Pub. L. 98-369 applicable to taxable years ending after Dec. 31, 1983, see section 18(a) of Pub. L. 98-369, set out as a note under section 48 of this title. Amendment by section 31(f) of Pub. L. 98-369 effective, except as otherwise provided in section 31(g) of Pub. L. 98-369, as to property placed in service by the taxpayer after Nov. 5, 1983, in taxable years ending after such date and to property placed in service by the taxpayer on or before Nov. 5, 1983, if the lease to the organization described in section 593 of this title is entered into after Nov. 5, 1983, see section 31(g)(1), (14) of Pub. L. 98-369, set out as a note under section 168 of this title. Amendment by section 113(b)(2)(B) of Pub. L. 98-369 applicable as if included in the amendments by sections 201(a), 211(a)(1), and 211(f)(1) of Pub. L. 97-34, which amended this section and enacted section 168 of this title, see section 113(c)(2)(B) of Pub. L. 98-369, set out as a note under section 168 of this title. Section 431(e) of Pub. L. 98-369 provided: '(1) In general. - The amendments made by this section (amending this section and sections 47 and 48 of this title) shall apply to property placed in service after the date of the enactment of this Act (July 18, 1984) in taxable years ending after such date; except that such amendments shall not apply to any property to which the amendments made by section 211(f) of the Economic Recovery Tax Act of 1981 (section 211(f) of Pub. L. 97-34, amending sections 46 and 47 of this title) do not apply. '(2) Amendments may be elected retroactively. - At the election of the taxpayer, the amendments made by this section shall apply as if included in the amendments made by section 211(f) of the Economic Recovery Tax Act of 1981. Any election made under the preceding sentence shall apply to all property of the taxpayer to which the amendments made by such section 211(f) apply and shall be made at such time and in such manner as the Secretary of the Treasury or his delegate may by regulations prescribe.' Amendment by section 474(o)(1)-(7) of Pub. L. 98-369 applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as a note under section 21 of this title. Amendment by section 713 of Pub. L. 98-369 effective as if included in the provision of the Tax Equity and Fiscal Responsibility Act of 1982, Pub. L. 97-248, to which such amendment relates, see section 715 of Pub. L. 98-369, set out as a note under section 31 of this title. EFFECTIVE DATE OF 1983 AMENDMENTS Amendment by section 122(c)(1) of Pub. L. 98-21 applicable to taxable years beginning after Dec. 31, 1983, except that if an individual's annuity starting date was deferred under section 105(d)(6) of this title as in effect on the day before Apr. 20, 1983, such deferral shall end on the first day of such individual's first taxable year beginning after Dec. 31, 1983, see section 122(d) of Pub. L. 98-21, set out as a note under section 22 of this title. Amendment by title I of Pub. L. 97-448 effective, except as otherwise provided, as if it had been included in the provision of the Economic Recovery Tax Act of 1981, Pub. L. 97-34, to which such amendment relates, see section 109 of Pub. L. 97-448, set out as a note under section 1 of this title. Amendment by section 202(f) of Pub. L. 97-448 effective, except as otherwise provided, as if it had been included in the provision of the Crude Oil Windfall Profit Tax Act of 1980, Pub. L. 96-223, to which such amendment relates, see section 203(a) of Pub. L. 97-448, set out as a note under section 6652 of this title. Section 541(c) of Pub. L. 97-424, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) General rule. - The amendments made by subsections (a) and (b) (amending this section and sections 167 and 168 of this title) shall apply to taxable years beginning after December 31, 1979. '(2) Special rule for periods beginning before march 1, 1980. - '(A) In general. - Subject to the provisions of paragraphs (3) and (4), notwithstanding the provisions of sections 167(l) and 46(f) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) and of any regulations prescribed by the Secretary of the Treasury (or his delegate) under such sections, the use for ratemaking purposes or for reflecting operating results in the taxpayer's regulated books of account, for any period before March 1, 1980, of - '(i) any estimates or projections relating to the amounts of the taxpayer's tax expense, depreciation expense, deferred tax reserve, credit allowable under section 38 of such code, or rate base, or '(ii) any adjustments to the taxpayer's rate of return, shall not be treated as inconsistent with the requirements of subparagraph (G) of such section 167(l)(3) nor inconsistent with the requirements of paragraph (1) or (2) of such section 46(f), where such estimates or projections, or such rate of return adjustments, were included in a qualified order. '(B) Qualified order defined. - For purposes of this subsection, the term 'qualified order' means an order - '(i) by a public utility commission which was entered before March 13, 1980, '(ii) which used the estimates, projections, or rate of return adjustments referred to in subparagraph (A) to determine the amount of the rates to be collected by the taxpayer or the amount of a refund with respect to rates previously collected, and '(iii) which ordered such rates to be collected or refunds to be made (whether or not such order actually was implemented or enforced). '(3) Limitations on application of paragraph (2). - '(A) Paragraph (2) not to apply to amounts actually flowed through. - Paragraph (2) shall not apply to the amount of any - '(i) rate reduction, or '(ii) refund, which was actually made pursuant to a qualified order. '(B) Taxpayer must enter into closing agreement before paragraph (2) applies. - Paragraph (2) shall not apply to any taxpayer unless, before the later of - '(i) July 1, 1983, or '(ii) 6 months after the refunds or rate reductions are actually made pursuant to a qualified order. the taxpayer enters into a closing agreement (within the meaning of section 7121 of the Internal Revenue Code of 1986) which provides for the payment by the taxpayer of the amount of which paragraph (2) does not apply by reason of subparagraph (A). '(4) Special rules relating to payment of refunds or interest by the united states or the taxpayer. - '(A) Refund defined. - For purposes of this subsection, the term 'refund' shall include any credit allowed by the taxpayer under a qualified order but shall not include interest payable with respect to any refund (or credit) under such order. '(B) No interest payable by united states. - No interest shall be payable under section 6611 of the Internal Revenue Code of 1986 on any overpayment of tax which is attributable to the application of paragraph (2). '(C) Payments may be made in two equal installments. - '(i) In general. - The taxpayer may make any payment required by reason of paragraph (3) in 2 equal installments, the first installment being due on the last date on which a taxpayer may enter into a closing agreement under paragraph (3)(B), and the second payment being due 1 year after the last date for the first payment. '(ii) Interest payments. - For purposes of section 6601 of such Code, the last date prescribed for payment with respect to any payment required by reason of paragraph (3) shall be the last date on which such payment is due under clause (i). '(5) No inference. - The application of subparagraph (G) of section 167(l)(3) of the Internal Revenue Code of 1986, and the application of paragraphs (1) and (2) of section 46(f) of such Code, to taxable years beginning before January 1, 1980, shall be determined without any inference drawn from the amendments made by subsections (a) and (b) of this section (amending this section and sections 167 and 168 of this title) or from the rules contained in paragraphs (2), (3), and (4). Nothing in the preceding sentence shall be construed to limit the relief provided by paragraphs (2), (3), and (4).' EFFECTIVE DATE OF 1982 AMENDMENTS Amendment by Pub. L. 97-354 applicable to taxable years beginning after Dec. 31, 1982, see section 6(a) of Pub. L. 97-354, set out as an Effective Date note under section 1361 of this title. Amendment by section 201(d)(8)(A), formerly section 201(c)(8)(A), of Pub. L. 97-248, applicable to taxable years beginning after Dec. 31, 1982, see section 201(e)(1) of Pub. L. 97-248, set out as a note under section 5 of this title. Section 205(c)(2) of Pub. L. 97-248 provided that: 'The amendments made by subsection (b) (amending this section) shall apply to taxable years beginning after December 31, 1982.' Amendment by section 265(b)(2)(A)(i) of Pub. L. 97-248 applicable to distributions after Dec. 31, 1982, see section 265(c)(2) of Pub. L. 97-248, set out as a note under section 72 of this title. EFFECTIVE DATE OF 1981 AMENDMENT Amendment by section 207(c)(1) of Pub. L. 97-34 applicable to unused credit years ending after Dec. 31, 1973, see section 209(c)(2)(A) of Pub. L. 97-34, set out as an Effective Date note under section 168 of this title. Section 211(i) of Pub. L. 97-34 provided that: '(1) In general. - Except as provided in this subsection, the amendments made by this section (amending this section and sections 47 and 48 of this title) shall apply to property placed in service after December 31, 1980. '(2) Progress expenditures. - The amendments made by subsection (b) (amending this section) shall apply to progress expenditures made after December 31, 1980. '(3) Petroleum storage facilities. - The amendments made by subsection (c) (amending this section) shall apply to periods after December 31, 1980, under rules similar to the rules under section 48(m). '(4) Noncorporate lessors. - The amendments made by subsection (d) (amending this section) shall apply to leases entered into after June 25, 1981. '(5) At risk rules. - '(A) In general. - The amendment made by subsection (f) (amending this section and section 47 of this title) shall not apply to - '(i) property placed in service by the taxpayer on or before February 18, 1981, and '(ii) property placed in service by the taxpayer after February 18, 1981, where such property is acquired by the taxpayer pursuant to a binding contract entered into on or before that date. '(B) Binding contract. - For purposes of subparagraph (A)(ii), property acquired pursuant to a binding contract shall, under regulations prescribed by the Secretary, include property acquired in a manner so that it would have qualified as pretermination property under section 49(b) (as in effect before its repeal by the Revenue Act of 1978) (Pub. L. 95-600). '(6) Leased rolling stock. - The amendment made by subsection (h) (amending section 48 of this title) shall apply to taxable years beginning after December 31, 1980.' Section 212(e) of Pub. L. 97-34, as amended by Pub. L. 97-448, title I, Sec. 102(f)(1), Jan. 12, 1983, 96 Stat. 2371; Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) In general. - Except as provided in paragraph (2), the amendments made by this section (amending this section and sections 48, 57, 167, 280B, 642, 1016, 1082, 1245, and 1250 of this title and repealing section 191 of this title) shall apply to expenditures incurred after December 31, 1981, in taxable years ending after such date. '(2) Transitional rule. - The amendments made by this section shall not apply with respect to any rehabilitation of a building if - '(A) the physical work on such rehabilitation began before January 1, 1982, and '(B) such building does not meet the requirements of paragraph (1) of section 48(g) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as amended by this Act (Pub. L. 97-34)).' Section 332(c)(1) of Pub. L. 97-34 provided that: 'The amendments made by subsection (a) (amending this section) shall be effective on the date of enactment of this Act (Aug. 13, 1981).' EFFECTIVE DATE OF 1980 AMENDMENT Amendment by section 222(e)(2) of Pub. L. 96-223 applicable to periods after Dec. 31, 1979, under rules similar to the rules of section 48(m) of this title, see section 222(j)(1) of Pub. L. 96-223, set out as a note under section 48 of this title. Section 223(b)(3) of Pub. L. 96-223 provided that: 'The amendments made by this subsection (amending this section and section 6401 of this title) shall apply to qualified investment for taxable years beginning after December 31, 1979.' EFFECTIVE DATE OF 1978 AMENDMENT Amendment by section 141(e), (f)(2) of Pub. L. 95-600 effective with respect to qualified investment for taxable years beginning after Dec. 31, 1978, see section 141(g)(1) of Pub. L. 95-600, set out as an Effective Date note under section 409 of this title. Section 312(d) of Pub. L. 95-600 provided that: 'The amendments made by this section (amending this section and sections 48 and 167 of this title and repealing sections 49 and 50 of this title) shall apply to taxable years ending after December 31, 1978.' Section 313(b) of Pub. L. 95-600 provided that: 'The amendment made by subsection (a) (amending this section) shall apply to - '(1) property acquired by the taxpayer after December 31, 1978, and '(2) property the construction, reconstruction, or erection of which was completed by the taxpayer after December 31, 1978 (but only to the extent of the basis thereof attributable to construction, reconstruction, or erection after such date).' Section 316(c) of Pub. L. 95-600 provided that: 'The amendments made by this section (amending this section and section 1388 of this title) shall apply to taxable years ending after October 31, 1978.' Section 703(r) of Pub. L. 95-600 provided that: 'Except as otherwise provided, the amendments made by this section (amending this section and sections 48, 103, 447, 453, 501, 801, 911, 995, 996, 999, 1033, 1212, 1375, 1402, 1561, 4041, 4911, 6104, 6427, 6501, 6504, 6511, 7609 of this title and sections 402, 405, 410, and 411 of Title 42, The Public Health and Welfare, enacting provisions set out as notes under sections 103, 311, 443, 501, and 4973 of this title, and amending provisions set out as notes under section 120, 311, 907, 995, 2011, 2501, and 4940 of this title) shall take effect on October 4, 1976.' EFFECTIVE DATE OF 1976 AMENDMENT Amendment by section 503(b)(4) of Pub. L. 94-455 applicable to taxable years beginning after Dec. 31, 1975, see section 508 of Pub. L. 94-455, set out as a note under section 3 of this title. Section 802(c) of Pub. L. 94-455 provided that: 'The amendments made by this section (amending this section and section 48 of this title and provisions set out below) shall apply to taxable years beginning after December 31, 1975.' Section 803(j) of Pub. L. 94-455 provided that: '(1) General rule. - Except as provided in paragraph (2), the amendments made by this section (see Tables for classification of section 803 of Pub. L. 94-455) shall apply for taxable years beginning after December 31, 1974. '(2) Exceptions. - '(A) Section 301(e) of the Tax Reduction Act of 1975 (set out below), as added by subsection (d), shall apply for taxable years beginning after December 31, 1976. '(B) The amendments made by subsections (a) and (b)(1) shall apply for taxable years beginning after December 31, 1975. '(C) The amendments made by subsections (b)(4) and (f) shall apply for years beginning after December 31, 1975.' Section 805(b) of Pub. L. 94-455, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) In general. - Except as provided in subparagraph (B), the amendment made by subsection (a) (amending this section) shall apply to taxable years beginning after December 31, 1975, in the case of property placed in service after such date. '(2) Section 46(g)(4). - Section 46(g)(4) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as added by subsection (a)) shall apply to taxable years beginning after December 31, 1975.' Amendment by section 1607(b)(1)(B) of Pub. L. 94-455 applicable to taxable years ending after Oct. 4, 1976, with certain exceptions, see section 1608(c) of Pub. L. 94-455, set out as a note under section 857 of this title. Amendment by section 1901(a)(4)(A), (B), (b)(1)(C) of Pub. L. 94-455 applicable with respect to taxable years beginning after Dec. 31, 1976, see section 1901(d) of Pub. L. 94-455, set out as a note under section 2 of this title. Section 2112(d)(1) of Pub. L. 94-455 provided that: 'The amendments made by subsection (a) (amending this section and section 48 of this title) shall apply to - '(A) property acquired by the taxpayer after December 31, 1976, and '(B) property the construction, reconstruction, or erection of which was completed by the taxpayer after December 31, 1976, (but only to the extent of the basis thereof attributable to construction, reconstruction, or erection after such date), in taxable years beginning after such date.' EFFECTIVE DATE OF 1975 AMENDMENT Section 301(b)(4) of Pub. L. 94-12 provided that: 'The amendment made by paragraph (1) of this subsection (amending this section) shall apply to property placed in service after January 21, 1975, in taxable years ending after January 21, 1975. The amendments made by paragraphs (2) and (3) (amending this section) shall apply to taxable years ending after December 31, 1974.' Section 305(a) of Pub. L. 94-12 provided that: 'The amendments made by section 302 (amending this section and sections 47, 48, and 50B of this title) shall apply to taxable years ending after December 31, 1974.' EFFECTIVE DATE OF 1974 AMENDMENT Amendment by section 2001(g)(2)(B) of Pub. L. 93-406 applicable to distributions made in taxable years beginning after Dec. 31, 1975, see section 2001(i)(5) of Pub. L. 93-406, set out as a note under section 72 of this title. Amendment by section 2002(g)(2) of Pub. L. 93-406 effective on Jan. 1, 1975, see section 2002(i)(2) of Pub. L. 93-406, set out as an Effective Date note under section 4973 of this title. Amendment by section 2005(c)(4) of Pub. L. 93-406 applicable only with respect to distributions or payments made after Dec. 31, 1973, in taxable years beginning after Dec. 31, 1973, see section 2005(d) of Pub. L. 93-406, set out as a note under section 402 of this title. EFFECTIVE DATE OF 1971 AMENDMENT Section 102(d)(1), (2) of Pub. L. 92-178, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) The amendments made by subsections (a) and (b) (amending this section and section 48 of this title) shall apply to property described in section 50 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954). '(2) In redetermining qualified investment for purposes of section 47(a) of the Internal Revenue Code of 1986 in the case of any property which ceases to be section 38 property with respect to the taxpayer after August 15, 1971, or which becomes public utility property after such date, section 46(c)(2) of such Code shall be applied as amended by subsection (a).' Section 105(d) of Pub. L. 92-178, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'The amendments made by this section (amending this section and enacting provisions set out below) shall apply to property described in section 50 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954).' Section 106(d) of Pub. L. 92-178 provided that: 'The amendments made by subsections (a), (b), and (c)(2) (amending this section) shall apply to taxable years beginning after December 31, 1970. The amendments made by subsection (c)(1) (amending this section) shall apply to taxable years ending after August 15, 1971.' Section 107(a)(2) of Pub. L. 92-178 provided that: 'The repeals made by paragraph (1) (amending this section and section 47 of this title) shall apply to casualties and thefts occurring after August 15, 1971.' Section 108(d) of Pub. L. 92-178 provided that: 'The amendments made by subsections (a) and (b) (amending this section and section 48 of this title) shall apply to leases entered into after September 22, 1971. The amendment made by subsection (c) (amending section 48 of this title) shall apply to leases entered into after November 8, 1971.' EFFECTIVE DATE OF 1969 AMENDMENT Amendment by section 301(b)(4) of Pub. L. 91-172 applicable to taxable years ending after Dec. 31, 1969, see section 301(c) of Pub. L. 91-172, set out as a note under section 5 of this title. Amendment by section 401(e)(1) of Pub. L. 91-172 applicable with respect to taxable years ending on or after Dec. 31, 1970, see section 401(h)(3) of Pub. L. 91-172, set out as a note under section 1561 of this title. EFFECTIVE DATE OF 1967 AMENDMENT Section 2(g) of Pub. L. 90-225 provided that: 'The amendments made by this section (amending this section and sections 6411, 6501, 6511, 6601, and 6611 of this title) shall apply with respect to investment credit carrybacks attributable to net operating loss carrybacks from taxable years ending after July 31, 1967.' EFFECTIVE DATE OF 1966 AMENDMENTS Section 4 of Pub. L. 89-800 provided that: 'The amendments made by this Act (amending this section and sections 48 and 167 of this title) shall apply to taxable years ending after October 9, 1966, except that the amendments made by section 3(b) (amending this section) shall apply only if the fifth taxable year following the unused credit year ends after December 31, 1966.' Section 2(c) of Pub. L. 89-389 provided that: 'The amendments made by this section (enacting section 1378 of this title and amending this section and sections 1372, 1373, and 1375 of this title) shall apply with respect to taxable years of electing small business corporations beginning after the date of enactment of this Act (Apr. 14, 1966), but such amendments shall not apply with respect to sales or exchanges occurring before February 24, 1966.' Amendment by Pub. L. 89-384 applicable with respect to amounts received after December 31, 1964, in respect of foreign expropriation losses (as defined in section 1351(b) of this title) sustained after December 31, 1958, see section 2 of Pub. L. 89-384, set out as an Effective Date note under section 1351 of this title. EFFECTIVE DATE OF 1964 AMENDMENT Amendment by Pub. L. 88-272 applicable with respect to dividends received after Dec. 31, 1964, in taxable years ending after such date, see section 201(e) of Pub. L. 88-272, set out as a note under section 22 of this title. EFFECTIVE DATE Section 2(h) of Pub. L. 87-834 provided that: 'The amendments made by this section (enacting this section and sections 38, 47, 48, and 181 of this title, amending sections 381, 1016, 6501, 6511, 6601, and 6611 of this title, and renumbering former section 38 as section 39 of this title) shall apply with respect to taxable years ending after December 31, 1961.' SAVINGS PROVISION For provisions that nothing in amendment by section 11813(a) of Pub. L. 101-508 be construed to affect treatment of certain transactions occurring, property acquired, or items of income, loss, deduction, or credit taken into account prior to Nov. 5, 1990, for purposes of determining liability for tax for periods ending after Nov. 5, 1990, see section 11821(b) of Pub. L. 101-508, set out as a note under section 29 of this title. PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989 For provisions directing that if any amendments made by subtitle A or subtitle C of title XI (Sec. 1101-1147 and 1171-1177) or title XVIII (Sec. 1800-1899A) of Pub. L. 99-514 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1989, see section 1140 of Pub. L. 99-514, as amended, set out as a note under section 401 of this title. CLARIFICATION OF EFFECT OF 1984 AMENDMENT ON INVESTMENT TAX CREDIT Section 475(c) of Pub. L. 98-369 provided that: 'Nothing in the amendments made by section 474(o) (amending this section and sections 47 and 48 of this title) shall be construed as reducing the amount of any credit allowable for qualified investment in taxable years beginning before January 1, 1984.' REGULATED PUBLIC UTILITIES; SPECIAL TRANSITIONAL RULE Section 209(d)(2) of Pub. L. 97-34, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'If, by the terms of the applicable rate order last entered before the date of the enactment of this Act (Aug. 13, 1981) by a regulatory commission having appropriate jurisdiction, a regulated public utility would (but for this provision) fail to meet the requirements of paragraph (1) or (2) of section 46(f) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) with respect to property for an accounting period ending after December 31, 1980, such regulated public utility shall not fail to meet such requirements if, by the terms of its first rate order determining cost of service with respect to such property which becomes effective after the date of the enactment of this Act and on or before January 1, 1983, such regulated public utility meets such requirements. This provision shall not apply to any rate order which, under the rules in effect before the date of the enactment of this Act was inconsistent with the requirements of paragraph (1) or (2) of section 46(f) of such Code (whichever would have been applicable).' PLAN REQUIREMENTS FOR TAXPAYERS ELECTING ADDITIONAL CREDITS Section 301(d), (e), (f) of Pub. L. 94-12, as amended by Pub. L. 94-455, Sec. 802(b)(7), 803(c), (d), (e), relating to plan requirements for taxpayers electing additional credit, was repealed by Pub. L. 95-600, title I, Sec. 141(f)(1), Nov. 6, 1978, 92 Stat. 2795. PUBLIC UTILITY PROPERTY SUBJECT TO SUBSEC. (E); PROVISIONS RESPECTING TREATMENT OF INVESTMENT CREDIT BY FEDERAL REGULATORY AGENCIES INAPPLICABLE Section 105(e) of Pub. L. 92-178, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'Section 203(e) of the Revenue Act of 1964 (set out as note under section 38 of this title) shall not apply to public utility property to which section 46(e) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as added by subsection (c)) (subsec. (e) of this section) applies.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 38, 47, 48, 49, 50, 52, 111, 196 of this title. ------DocID 34912 Document 21 of 963------ -CITE- 26 USC CHAPTER 46 -EXPCITE- TITLE 26 Subtitle D CHAPTER 46 -HEAD- CHAPTER 46 - GOLDEN PARACHUTE PAYMENTS -MISC1- Sec. 4999. Golden parachute payments. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 275 of this title. ------DocID 36176 Document 22 of 963------ -CITE- 28 USC Sec. 46 -EXPCITE- TITLE 28 PART I CHAPTER 3 -HEAD- Sec. 46. Assignment of judges; panels; hearings; quorum -STATUTE- (a) Circuit judges shall sit on the court and its panels in such order and at such times as the court directs. (b) In each circuit the court may authorize the hearing and determination of cases and controversies by separate panels, each consisting of three judges, at least a majority of whom shall be judges of that court, unless such judges cannot sit because recused or disqualified, or unless the chief judge of that court certifies that there is an emergency including, but not limited to, the unavailability of a judge of the court because of illness. Such panels shall sit at the times and places and hear the cases and controversies assigned as the court directs. The United States Court of Appeals for the Federal Circuit shall determine by rule a procedure for the rotation of judges from panel to panel to ensure that all of the judges sit on a representative cross section of the cases heard and, notwithstanding the first sentence of this subsection, may determine by rule the number of judges, not less than three, who constitute a panel. (c) Cases and controversies shall be heard and determined by a court or panel of not more than three judges (except that the United States Court of Appeals for the Federal Circuit may sit in panels of more than three judges if its rules so provide), unless a hearing or rehearing before the court in banc is ordered by a majority of the circuit judges of the circuit who are in regular active service. A court in banc shall consist of all circuit judges in regular active service, or such number of judges as may be prescribed in accordance with section 6 of Public Law 95-486 (92 Stat. 1633), except that any senior circuit judge of the circuit shall be eligible to participate, at his election and upon designation and assignment pursuant to section 294(c) of this title and the rules of the circuit, as a member of an in banc court reviewing a decision of a panel of which such judge was a member. (d) A majority of the number of judges authorized to constitute a court or panel thereof, as provided in paragraph (c), shall constitute a quorum. -SOURCE- (June 25, 1948, ch. 646, 62 Stat. 871; Nov. 13, 1963, Pub. L. 88-176, Sec. 1(b), 77 Stat. 331; Oct. 20, 1978, Pub. L. 95-486, Sec. 5(a), (b), 92 Stat. 1633; Apr. 2, 1982, Pub. L. 97-164, title I, Sec. 103, title II, Sec. 205, 96 Stat. 25, 53.) -MISC1- HISTORICAL AND REVISION NOTES Based in part on title 28, U.S.C., 1940 ed., Sec. 212 (Mar. 3, 1911, ch. 231, Sec. 117, 36 Stat. 1131). Subsections (a)-(c) authorize the establishment of divisions of the court and provide for the assignment of circuit judges for hearings and rehearings in banc. The Supreme Court of the United States has ruled that, notwithstanding the three-judge provision of section 212 of title 28, U.S.C., 1940 ed., a court of appeals might lawfully consist of a greater number of judges, and that the five active circuit judges of the third circuit might sit in banc for the determination of an appeal. (See Textile Mills Securities Corporation v. Commissioner of Internal Revenue, 1941, 62 S.Ct. 272, 314 U.S. 326, 86 L.Ed. 249.) The Supreme Court in upholding the unanimous view of the five judges as to their right to sit in banc, notwithstanding the contrary opinion in Langs Estate v. Commissioner of Internal Revenue, 1938, 97 F.2d 867, said in the Textile Mills case: 'There are numerous functions of the court, as a 'court of record, with appellate jurisdiction', other than hearing and deciding appeals. Under the Judicial Code these embrace: prescribing the form of writs and other process and the form and style of its seal (28 U.S.C., Sec. 219); the making of rules and regulations (28 U.S.C., Sec. 219); the appointment of a clerk (28 U.S.C., Sec. 221) and the approval of the appointment and removal of deputy clerks (28 U.S.C., Sec. 222); and the fixing of the 'times' when court shall be held (28 U.S.C., Sec. 223). Furthermore, those various sections of the Judicial Code provide that each of these functions shall be performed by the court.' This section preserves the interpretation established by the Textile Mills case but provides in subsection (c) that cases shall be heard by a court of not more than three judges unless the court has provided for hearing in banc. This provision continues the tradition of a three-judge appellate court and makes the decision of a division, the decision of the court, unless rehearing in banc is ordered. It makes judges available for other assignments, and permits a rotation of judges in such manner as to give to each a maximum of time for the preparation of opinions. Whether divisions should sit simultaneously at the same or different places in the circuit is a matter for each court to determine. -REFTEXT- REFERENCES IN TEXT Section 6 of Public Law 95-486 (92 Stat. 1633), referred to in subsec. (c), is section 6 of Pub. L. 95-486, Oct. 20, 1978, 92 Stat. 1633, which is set out as an Appeals Court Administrative Units note under section 41 of this title. -MISC2- AMENDMENTS 1982 - Subsec. (a). Pub. L. 97-164, Sec. 103(a), substituted 'panels' for 'divisions'. Subsec. (b). Pub. L. 97-164, Sec. 103(b), substituted 'panels' for 'divisions' wherever appearing and inserted provisions requiring that at least a majority of the panels of each circuit be judges of that court, unless such judges cannot sit because recused or disqualified, or unless the chief judge of that court certifies that there is an emergency including, but not limited to, the unavailability of a judge of the court because of illness, and that the United States Court of Appeals for the Federal Circuit determine by rule a procedure for the rotation of judges from panel to panel to ensure that all of the judges sit on a representative cross section of the cases heard and determine by rule the number of judges, not less than three, who constitute a panel. Subsec. (c). Pub. L. 97-164, Sec. 103(c), 205, inserted provision that the United States Court of Appeals for the Federal Circuit may sit in panels of more than three judges if its rules so provide and that, as an alternative to the requirement that a court in banc consist of all circuit judges in regular active service, such a court may consist of such number of judges as may be prescribed in accordance with section 6 of Public Law 95-486 (92 Stat. 1633), except that any senior circuit judge of the circuit shall be eligible to participate, at his election and upon designation and assignment pursuant to section 294(c) of this title and the rules of the circuit, as a member of an in banc court reviewing a decision of a panel of which such judge was a member. Subsec. (d). Pub. L. 97-164, Sec. 103(d), substituted 'panel' for 'division'. 1978 - Pub. L. 95-486, Sec. 5(b), substituted 'panels' for 'divisions' in section catchline. Subsec. (c). Pub. L. 95-486, Sec. 5(a), substituted 'panel' for 'division' and struck out provision authorizing a retired circuit judge to sit as a judge of the court in banc in the rehearing of a case if he sat in the court or division in the original hearing of such case. 1963 - Subsec. (c). Pub. L. 88-176 inserted 'regular' before 'active service' wherever appearing, and provided that a retired circuit judge shall be competent to sit as a judge of the court in banc, in a rehearing if he sat in at the original hearing. EFFECTIVE DATE OF 1982 AMENDMENT Amendment by Pub. L. 97-164 effective Oct. 1, 1982, see section 402 of Pub. L. 97-164, set out as a note under section 171 of this title. ------DocID 37028 Document 23 of 963------ -CITE- 28 USC APPENDIX - RULES OF APPELLATE PROCEDURE Rule 46 -EXPCITE- TITLE 28 APPENDIX FEDERAL RULES OF APPELLATE PROCEDURE TITLE VII -HEAD- Rule 46. Attorneys -STATUTE- (a) Admission to the bar of a court of appeals; eligibility; procedure for admission. - An attorney who has been admitted to practice before the Supreme Court of the United States, or the highest court of a state, or another United States court of appeals, or a United States district court (including the district courts for the Canal Zone, Guam and the Virgin Islands), and who is of good moral and professional character, is eligible for admission to the bar of a court of appeals. An applicant shall file with the clerk of the court of appeals, on a form approved by the court and furnished by the clerk, an application for admission containing the applicant's personal statement showing eligibility for membership. At the foot of the application the applicant shall take and subscribe to the following oath or affirmation: I, XXXXXXXXXXXXXXX, do solemnly swear (or affirm) that I will demean myself as an attorney and counselor of this court, uprightly and according to law; and that I will support the Constitution of the United States. Thereafter, upon written or oral motion of a member of the bar of the court, the court will act upon the application. An applicant may be admitted by oral motion in open court, but it is not necessary that the applicant appear before the court for the purpose of being admitted, unless the court shall otherwise order. An applicant shall upon admission pay to the clerk the fee prescribed by rule or order of the court. (b) Suspension or disbarment. - When it is shown to the court that any member of its bar has been suspended or disbarred from practice in any other court of record, or has been guilty of conduct unbecoming a member of the bar of the court, the member will be subject to suspension or disbarment by the court. The member shall be afforded an opportunity to show good cause, within such time as the court shall prescribe, why the member should not be suspended or disbarred. Upon the member's response to the rule to show cause, and after hearing, if requested, or upon expiration of the time prescribed for a response if no response is made, the court shall enter an appropriate order. (c) Disciplinary power of the court over attorneys. - A court of appeals may, after reasonable notice and an opportunity to show cause to the contrary, and after hearing, if requested, take any appropriate disciplinary action against any attorney who practices before it for conduct unbecoming a member of the bar or for failure to comply with these rules or any rule of the court. -SOURCE- (As amended Mar. 10, 1986, eff. July 1, 1986.) -MISC1- NOTES OF ADVISORY COMMITTEE ON APPELLATE RULES Subdivision (a). The basic requirement of membership in the bar of the Supreme Court, or of the highest court of a state, or in another court of appeals or a district court is found, with minor variations, in the rules of ten circuits. The only other requirement in those circuits is that the applicant be of good moral and professional character. In the District of Columbia Circuit applicants other than members of the District of Columbia District bar or the Supreme Court bar must claim membership in the bar of the highest court of a state, territory or possession for three years prior to application for admission (D.C. Cir. Rule 7). Members of the District of Columbia District bar and the Supreme Court bar again excepted, applicants for admission to the District of Columbia Circuit bar must meet precisely defined prelaw and law school study requirements (D.C. Cir. Rule 7 1/2). A few circuits now require that application for admission be made by oral motion by a sponsor member in open court. The proposed rule permits both the application and the motion by the sponsor member to be in writing, and permits action on the motion without the appearance of the applicant or the sponsor, unless the court otherwise orders. Subdivision (b). The provision respecting suspension or disbarment is uniform. Third Circuit Rule 8(3) is typical. Subdivision (c). At present only Fourth Circuit Rule 36 contains an equivalent provision. The purpose of this provision is to make explicit the power of a court of appeals to impose sanctions less serious than suspension or disbarment for the breach of rules. It also affords some measure of control over attorneys who are not members of the bar of the court. Several circuits permit a non-member attorney to file briefs and motions, membership being required only at the time of oral argument. And several circuits permit argument pro hac vice by non-member attorneys. NOTES OF ADVISORY COMMITTEE ON APPELLATE RULES - 1986 AMENDMENT The amendments to Rules 46(a) and (b) are technical. No substantive change is intended. -TRANS- TERMINATION OF UNITED STATES DISTRICT COURT FOR THE DISTRICT OF THE CANAL ZONE For termination of the United States District Court for the District of the Canal Zone at end of the 'transition period', being the 30-month period beginning Oct. 1, 1979, and ending midnight Mar. 31, 1982, see Paragraph 5 of Article XI of the Panama Canal Treaty of 1977 and sections 3831 and 3841 to 3843 of Title 22, Foreign Relations and Intercourse. -CROSS- CROSS REFERENCES Clerk as prohibited from practicing law, see section 955 of this title. Practice of law prohibited by United States marshal or deputy marshal, see section 568 of this title. ------DocID 37092 Document 24 of 963------ -CITE- 28 USC APPENDIX - RULES OF CIVIL PROCEDURE Rule 46 -EXPCITE- TITLE 28 APPENDIX FEDERAL RULES OF CIVIL PROCEDURE VI -HEAD- Rule 46. Exceptions Unnecessary -STATUTE- Formal exceptions to rulings or orders of the court are unnecessary; but for all purposes for which an exception has heretofore been necessary it is sufficient that a party, at the time the ruling or order of the court is made or sought, makes known to the court the action which the party desires the court to take or the party's objection to the action of the court and the grounds therefor; and, if a party has no opportunity to object to a ruling or order at the time it is made, the absence of an objection does not thereafter prejudice the party. -SOURCE- (As amended Mar. 2, 1987, eff. Aug. 1, 1987.) -MISC1- NOTES OF ADVISORY COMMITTEE ON RULES Abolition of formal exceptions is often provided by statute. See Ill.Rev.Stat. (1937), ch. 110, Sec. 204; Neb.Comp.Stat. (1929) Sec. 20-1139; N.M.Stat.Ann. (Courtright, 1929) Sec. 105-830; 2 N.D.Comp.Laws Ann. (1913) Sec. 7653; Ohio Code Ann. (Throckmorton, 1936) Sec. 11560; 1 S.D.Comp.Laws (1929) Sec. 2542; Utah Rev.Stat.Ann. (1933) Sec. 104-39-2, 104-24-18; Va.Rules of Court, Rule 22, 163 Va. v, xii (1935); Wis.Stat. (1935) Sec. 270.39. Compare N.Y.C.P.A. (1937) Sec. 583, 445, and 446, all as amended by L. 1936, ch. 915. Rule 51 deals with objections to the court's instructions to the jury. U.S.C., Title 28, (former) Sec. 776 (Bill of exceptions; authentication; signing of by judge) and (former) 875 (Review of findings in cases tried without a jury) are superseded insofar as they provide for formal exceptions, and a bill of exceptions. NOTES OF ADVISORY COMMITTEE ON RULES - 1987 AMENDMENT The amendments are technical. No substantive change is intended. -CROSS- FEDERAL RULES OF CRIMINAL PROCEDURE Exceptions unnecessary, see rule 51, Title 18, Appendix, Crimes and Criminal Procedure. CROSS REFERENCES Form and admissibility of evidence, see rule 43. Harmless error, see rule 61. Objections to instructions, see rule 51. ------DocID 37314 Document 25 of 963------ -CITE- 28 USC APPENDIX - RULES OF THE SUPREME COURT Rule 46 -EXPCITE- TITLE 28 APPENDIX RULES OF THE SUPREME COURT OF THE UNITED STATES PART VIII -HEAD- Rule 46. Dismissing Cases -STATUTE- .1. Whenever all parties, at any stage of the proceedings, file with the Clerk an agreement in writing that a case be dismissed, specifying the terms with respect to the payment of costs, and pay to the Clerk any fees that may be due, the Clerk, without further reference to the Court, shall enter an order of dismissal. .2. (a) A petitioner or appellant in a case in this Court may file a motion to dismiss the case, with proof of service as prescribed by Rule 29, and must tender to the Clerk any fees and costs payable. An adverse party may, within 15 days after service thereof, file an objection, limited to the quantum of damages and costs in this Court alleged to be payable, or, in a proper case, to a showing that the moving party does not represent all petitioners or appellants. The Clerk will refuse to receive any objection not so limited. (b) When the objection goes to the standing of the moving party to represent the entire side, the party moving for dismissal, within 10 days thereafter, may file a reply, after which time the matter shall be submitted to the Court for its determination. (c) If no objection is filed, or if upon objection going only to the quantum of damages and costs in this Court, the party moving for dismissal, within 10 days thereafter, tenders the whole of such additional damages and costs demanded, the Clerk, without further reference to the Court, shall enter an order of dismissal. If, after objection as to the quantum of damages and costs in this Court, the moving party does not respond with a tender within 10 days, the Clerk shall report the matter to the Court for its determination. .3. No mandate or other process shall issue on a dismissal under this Rule without an order of the Court. ------DocID 37369 Document 26 of 963------ -CITE- 28 USC APPENDIX - RULES OF CLAIMS COURT Rule 46 -EXPCITE- TITLE 28 APPENDIX RULES OF THE UNITED STATES CLAIMS COURT TITLE VI -HEAD- Rule 46. Exceptions Unnecessary -STATUTE- Formal exceptions to rulings or orders of the court are unnecessary; but for all purposes for which an exception has heretofore been necessary it is sufficient that a party, at the time the ruling or order of the court is made or sought, makes known to the court the action which the party desires the court to take or the party's objection to the action of the court and the party's grounds therefor; and, if a party has no opportunity to object to a ruling or order at the time it is made, the absence of an objection does not thereafter prejudice the party. ------DocID 37477 Document 27 of 963------ -CITE- 28 USC APPENDIX - RULES OF THE COURT OF INTERNATIONAL TRADE Rule 46 -EXPCITE- TITLE 28 APPENDIX RULES OF THE UNITED STATES COURT OF INTERNATIONAL TRADE TITLE VI -HEAD- Rule 46. Exceptions Unnecessary -STATUTE- Formal exceptions to rulings or orders of the court are unnecessary; but for all purposes for which an exception has heretofore been necessary it is sufficient that a party, at the time the ruling or order of the court is made or sought, makes known to the court the action which the party desires the court to take or the party's objection to the action of the court and the grounds therefor; and, if a party has no opportunity to object to a ruling or order at the time it is made, the absence of an objection does not thereafter prejudice the party. -SOURCE- (As amended July 28, 1988, eff. Nov. 1, 1988.) ------DocID 38512 Document 28 of 963------ -CITE- 30 USC Sec. 46 -EXPCITE- TITLE 30 CHAPTER 2 -HEAD- Sec. 46. Additional land districts and officers -STATUTE- The President is authorized to establish additional land districts, and to appoint the necessary officers under existing laws, wherever he may deem the same necessary for the public convenience in executing the provisions of sections 21, 22 to 24, 26 to 28, 29, 30, 33 to 48, 50 to 52, 71 to 76 of this title and section 661 of title 43. -SOURCE- (R.S. Sec. 2343.) -REFTEXT- REFERENCES IN TEXT Sections 21, 22 to 24, 26 to 28, 29, 30, 33 to 48, 50 to 52, 71 to 76 of this title and section 661 of title 43, referred to in text, were in the original 'this chapter', meaning chapter 6 of title 32 of the Revised Statutes, consisting of R.S. Sec. 2318 to 2352. -COD- CODIFICATION R.S. Sec. 2343 derived from act July 26, 1866, ch. 262, Sec. 7, 14 Stat. 252. -TRANS- DELEGATION OF FUNCTIONS For delegation to the Secretary of the Interior of authority vested in the President by this section, see Ex. Ord. No. 10250, June 5, 1951, 16 F.R. 5385, set out as a note under section 301 of Title 3, The President. -MISC5- SUBMERGED LANDS ACT Provisions of this section as not amended, modified or repealed by the Submerged Lands Act, see section 1303 of Title 43, Public Lands. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 24, 29, 33, 37, 38, 39, 40, 42, 47, 48, 102 of this title; title 16 section 460mm-1. ------DocID 39726 Document 29 of 963------ -CITE- 33 USC Sec. 46 -EXPCITE- TITLE 33 CHAPTER 1 SUBCHAPTER II -HEAD- Sec. 46. Tchula Lake, Mississippi -STATUTE- Tchula Lake, in Holmes County, in the State of Mississippi, is declared to be a nonnavigable stream within the meaning of the Constitution and laws of the United States. The right of Congress to alter, amend, or repeal this section is expressly reserved. -SOURCE- (July 1, 1922, ch. 266, Sec. 1, 2, 42 Stat. 816.) -COD- CODIFICATION The two sentences comprising this section are, respectively, sections 1 and 2 of act July 1, 1922, entitled 'An act declaring Tchula Lake, Holmes County, Mississippi, to be a nonnavigable stream'. ------DocID 41182 Document 30 of 963------ -CITE- 36 USC Sec. 46 -EXPCITE- TITLE 36 CHAPTER 3 -HEAD- Sec. 46. Nonpolitical nature of corporation -STATUTE- The organization shall be nonpolitical and, as an organization, shall not promote the candidacy of any person seeking public office. -SOURCE- (Sept. 16, 1919, ch. 59, Sec. 6, 41 Stat. 285.) ------DocID 41993 Document 31 of 963------ -CITE- 36 USC CHAPTER 46 -EXPCITE- TITLE 36 CHAPTER 46 -HEAD- CHAPTER 46 - UNITED STATES HOLOCAUST MEMORIAL COUNCIL -MISC1- Sec. 1401. Council established; functions. 1402. Membership. (a) Composition of Council; appointment; vacancies. (b) Composition of initial Council; tenure. (c) Term of office. (d) Chairperson and Vice Chairperson; term of office; vacancies. (e) Reappointment. 1403. Compensation; travel expenses; full-time officers or employees of United States or Members of Congress. 1404. Administrative provisions. (a) Bylaws; quorum. (b) Experts and consultants. (c) Contract authority. (d) Assistance from other Federal departments and agencies. (e) Administrative services and support. 1405. Staff. (a) Executive Director. (b) Appointment of employees. 1406. Memorial museum. (a) Transfer or purchase of real property in District of Columbia. (b) Architectural design approval. (c) Termination of construction and operation authority. 1407. Gifts, bequests, and devises of property; tax treatment. 1408. Authorization of appropriations; construction restriction. 1409. Annual report. 1410. Audit of financial transactions. ------DocID 43592 Document 32 of 963------ -CITE- 38 USC APPENDIX - RULES OF COURT OF VETERANS APPEALS Rule 46 -EXPCITE- TITLE 38 APPENDIX -HEAD- Rule 46. Representation -STATUTE- (a) Admission of Attorneys to Practice. (1) General. A person of good moral character and repute who has been admitted to practice in the Supreme Court of the United States, or the highest court of any state, the District of Columbia, or a territory, possession, or commonwealth of the United States, and is in good standing therein, may be admitted to the bar of this Court upon application. (2) Application. An attorney at law may be admitted to the bar of the Court upon filing with the Clerk a completed application accompanied by the prescribed fee (payable by check or money order) and a current certificate from the clerk of the appropriate court showing that the applicant is a member in good standing of the bar of one of the courts named in subparagraph (1). A current court certificate is one executed within three months preceding the date of the filing of the application. (b) Admission of Non-attorney Practitioners to Practice. A non-attorney of good moral character and repute (1) under the direct supervision of an attorney admitted to the bar of the Court, or (2) employed by an organization which is chartered by Congress, is recognized by the Secretary of Veterans Affairs for claims representation, and provides a statement signed by the organization's chief executive officer certifying to the employee's: (A) understanding of the procedures and jurisdiction of the Court and of the nature, scope, and standards of its judicial review; and (B) proficiency to represent appellants before the Court may be admitted to practice before the Court upon filing with the Clerk a completed application accompanied by the prescribed fee (payable by check or money order). In making the certification in subparagraph (2), the chief executive officer should be aware that knowledge of and competence in veterans law and the administrative claims process does not in and of itself connote competence in appellate practice and procedure. (c) Appearance in a Particular Case. On motion and upon a showing of good cause, the Court may permit any attorney or a non-attorney representative to appear before the Court for the purposes of a particular case. (d) Appearance, Withdrawal, and Change of Address. (1) Appearance. No attorney or non-attorney practitioner may participate in any proceedings in any case unless that individual has entered an appearance. The signing of a pleading or motion, or the physical appearance at oral argument, by an attorney or non-attorney practitioner constitutes an appearance by that individual as the representative in the case. The appearance must be accompanied by filing and service on all parties of a written statement that the representative is representing a designated client or clients, giving the name, address, and telephone number of the representative, and signed by him or her. In the case of a non-attorney practitioner, the name, address, and signature of the responsible supervising attorney (subparagraph (b)(1) of this rule) or the identification of the employing organization (subparagraph (b)(2) of this rule) must appear on the Notice of Appearance. Appearances may not be made in the name of a law firm or other organization. See sample Notice of Appearance at Form 3 in the Appendix of Forms. (2) Withdrawal. A representative may not withdraw, leaving the client unrepresented, without the Court's permission upon motion and written notice to the client and all other parties who have appeared. The motion must describe the current or last known address or addresses of the client and the efforts made to notify the client of the motion to withdraw. The authority and duty of the representative will continue until he or she is relieved by order of the Court. Permission to withdraw may be granted subject to such conditions as the Court considers appropriate. This paragraph will not apply when a representative, without taking any other action, files a Notice of Appeal on behalf of an appellant under Rule 3(f). (3) Change of address. Each representative and each party appearing on his or her own behalf has a continuing duty to notify the Clerk and all other parties of any change of address or telephone number. Absent such notice, service of documents at the most recently provided address of that representative or party will be fully effective. (e) Appearance by Law Students. (1) An eligible law student, with the written consent of the appellant and his attorney of record, who must be a member of the bar of the Court, may appear in this Court. (2) An eligible law student may participate in the preparation of briefs and other documents to be filed in this Court, but such briefs or documents must be signed by the attorney of record. The student may also participate in oral argument with leave of the Court, but only in the presence of the attorney of record. The attorney of record shall assume personal professional responsibility for the law student's work and for supervising the quality of his or her work. The attorney should be familiar with the case and prepared to supplement or correct any written or oral statement made by the student. (3) In order to make an appearance pursuant to this rule, the student must: (A) be duly enrolled in a law school approved by the American Bar Association; (B) have completed legal studies amounting to at least four semesters, or the equivalent if studies are scheduled on other than a semester basis; (C) be certified by the dean of the law school as being of good character and competent legal ability. This certification must be filed with the Clerk and may be withdrawn at any time by the dean, upon written notice to the Clerk, or by the Court, without notice of hearing and without any showing of cause; (D) be introduced by the attorney of record in the case; (E) neither ask for nor receive any compensation or remuneration of any kind for his or her services from the person on whose behalf such services are rendered, but this will not prevent an attorney, legal aid bureau, law school, a state, or the United States from paying compensation to the eligible law student, nor will it prevent any agency from making such charges for its services as it may otherwise properly require; (F) certify in writing that he or she has read and is familiar with the code of professional responsibility or rules of professional conduct in effect in the state or jurisdiction in which the student's law school is located. (f) Self-representation. Any appellant may appear and present his or her own case before the Court. -SOURCE- (As amended Sept. 19, 1991, eff. Oct. 1, 1991.) ------DocID 43845 Document 33 of 963------ -CITE- 40 USC Sec. 46 -EXPCITE- TITLE 40 CHAPTER 1 -HEAD- Sec. 46. Compensation of Chief of Engineers -STATUTE- The Chief of Engineers shall receive no compensation, other than his regular pay as an officer of the Corps of Engineers, for the services required of him under the provisions of title 21 of the Revised Statutes. -SOURCE- (R.S. Sec. 1807.) -REFTEXT- REFERENCES IN TEXT Title 21 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 21 of the Revised Statutes, comprising R.S. Sec. 1795 to 1835, which were classified to sections 49 to 52 of former Title 3, The President, sections 6 and 7 of former Title 4, Flag and Seal, Seat of Government and the States, section 702 of former Title 18, Criminal Code and Criminal Procedure, and sections 8, 19, 20, 45 to 52, 54 to 58, 66, 102, 166, 170, 187 to 189, 193, 206, 207, 208, 210, 211, 215, 216, 218 to 221 of this title. Such sections 49 to 52 of former Title 3 were repealed by act June 25, 1948, ch. 644, Sec. 3, 62 Stat. 672, and are covered by sections 109 and 110 of revised Title 3. Such sections 6 and 7 of former Title 4 were repealed by act July 30, 1947, ch. 389, Sec. 2, 61 Stat. 645, and are covered by sections 71 and 72 of revised Title 4. Such section 702 of former Title 18 was repealed by act June 25, 1948, ch. 645, Sec. 21, eff. Sept. 1, 1948, as covered by D.C. Code, 1940, Sec. 24-416. Such sections 8, 20, and 218 to 220 of this title were repealed by act Oct. 31, 1951, ch. 654, Sec. 1(75)-(80), (82), 3(19)-(21), 65 Stat. 704, 709. Such sections 57, 58, and 221 of this title were omitted from the Code. See notes thereunder. -COD- CODIFICATION R.S. Sec. 1807 derived from act Mar. 3, 1859, ch. 84, Sec. 1, 11 Stat. 435. ------DocID 44622 Document 34 of 963------ -CITE- 41 USC Sec. 46 -EXPCITE- TITLE 41 CHAPTER 1 -HEAD- Sec. 46. Committee for Purchase from the Blind and Other Severely Handicapped -STATUTE- (a) Establishment There is established a committee to be known as the Committee for Purchase from the Blind and Other Severely Handicapped (hereafter in sections 46 to 48c of this title referred to as the 'Committee'). The Committee shall be composed of fifteen members appointed as follows: (1) The President shall appoint as a member one officer or employee from each of the following: The Department of Agriculture, the Department of Defense, the Department of the Army, the Department of the Navy, the Department of the Air Force, the Department of Health and Human Services, the Department of Commerce, the Veterans' Administration, the Department of Justice, the Department of Labor, and the General Services Administration. The head of each such department and agency shall nominate one officer or employee in his department or agency for appointment under this paragraph. (2)(A) The President shall appoint one member from persons who are not officers or employees of the Government and who are conversant with the problems incident to the employment of the blind. (B) The President shall appoint one member from persons who are not officers or employees of the Government and who are conversant with the problems incident to the employment of other severely handicapped individuals. (C) The President shall appoint one member from persons who are not officers or employees of the Government and who represent blind individuals employed in qualified nonprofit agencies for the blind. (D) The President shall appoint one member from persons who are not officers or employees of the Government and who represent severely handicapped individuals (other than blind individuals) employed in qualified nonprofit agencies for other severely handicapped individuals. (b) Vacancy A vacancy in the membership of the Committee shall be filled in the manner in which the original appointment was made. (c) Chairman The members of the Committee shall elect one of their number to be Chairman. (d) Terms (1) Except as provided in paragraphs (2), (3), and (4), members appointed under paragraph (2) of subsection (a) of this section shall be appointed for terms of five years. Any member appointed to the Committee under such paragraph may be reappointed to the Committee if he meets the qualifications prescribed by that paragraph. (2) Of the members first appointed under paragraph (2) of subsection (a) of this section - (A) one shall be appointed for a term of three years, (B) one shall be appointed for a term of four years, and (C) one shall be appointed for a term of five years, as designated by the President at the time of appointment. (3) Any member appointed under paragraph (2) of subsection (a) of this section to fill a vacancy occurring prior to the expiration of the term for which his predecessor was appointed shall be appointed only for the remainder of such term. A member appointed under such paragraph may serve after the expiration of his term until his successor has taken office. (4) The member first appointed under paragraph (2)(B) of subsection (a) of this section shall be appointed for a term of three years. (e) Pay and travel expenses (1) Except as provided in paragraph (2), members of the Committee shall each be entitled to receive the daily equivalent of the annual rate of basic pay in effect for grade GS-18 of the General Schedule for each day (including traveltime) during which they are engaged in the actual performance of services for the Committee. (2) Members of the Committee who are officers or employees of the Government shall receive no additional pay on account of their service on the Committee. (3) While away from their homes or regular places of business in the performance of services for the Committee, members of the Committee shall be allowed travel expenses, including per diem in lieu of subsistence, in the same manner as persons employed intermittently in the Government service are allowed expenses under section 5703(b) (FOOTNOTE 1) of title 5. (FOOTNOTE 1) See References in Text note below. (f) Staff (1) Subject to such rules as may be adopted by the Committee, the Chairman may appoint and fix the pay of such personnel as the Committee determines are necessary to assist it in carrying out its duties and powers under sections 46 to 48c of this title. (2) Upon request of the Committee, the head of any entity of the Government is authorized to detail, on a reimbursable basis, any of the personnel of such entity to the Committee to assist it in carrying out its duties and powers under section 46 to 48c of this title. (3) The staff of the Committee appointed under paragraph (1) shall be appointed subject to the provisions of title 5 governing appointments in the competitive service, and shall be paid in accordance with the provisions of chapter 51 and subchapter III of chapter 53 of such title 5 relating to classification and General Schedule pay rates. (g) Obtaining official data The Committee may secure directly from any entity of the Government information necessary to enable it to carry out sections 46 to 48c of this title. Upon request of the Chairman of the Committee, the head of such Government entity shall furnish such information to the Committee. (h) Administrative support services The Administrator of General Services shall provide to the Committee on a reimbursable basis such administrative support services as the Committee may request. (i) Annual report The Committee shall, not later than December 31 of each year, transmit to the President and to the Congress a report which shall include the names of the Committee members serving in the preceding fiscal year, the dates of Committee meetings in that year, a description of its activities under sections 46 to 48c of this title in that year, and any recommendations for changes in sections 46 to 48c of this title which it determines are necessary. -SOURCE- (June 25, 1938, ch. 697, Sec. 1, 52 Stat. 1196; June 23, 1971, Pub. L. 92-28, Sec. 1, 85 Stat. 77; July 25, 1974, Pub. L. 93-358, Sec. 1(1), (2), 88 Stat. 392, 393; Apr. 21, 1976, Pub. L. 94-273, Sec. 8(2), 90 Stat. 378; Oct. 17, 1979, Pub. L. 96-88, title V, Sec. 509(b), 93 Stat. 695.) -REFTEXT- REFERENCES IN TEXT Section 5703 of title 5, referred to in subsec. (e)(3), was amended generally by Pub. L. 94-22, Sec. 4, May 19, 1975, 89 Stat. 85, and, as so amended, does not contain a subsec. (b). -MISC2- AMENDMENTS 1976 - Subsec. (i). Pub. L. 94-273 substituted 'December 31' for 'September 30'. 1974 - Subsec. (a). Pub. L. 93-358, Sec. 1(1)(A), (B), substituted 'Committee for Purchase from Blind and Other Severely Handicapped' for 'Committee for Purchase of Products and Services of the Blind and Other Severely Handicapped' and 'fifteen' for 'fourteen' in provisions preceding par. (1). Subsec. (a)(2). Pub. L. 93-358, Sec. 1(1)(C), (D), struck out 'and other severely handicapped individuals' after 'employment of the blind' in subpar. (A), added subpar. (B), and redesignated former subpars. (B) and (C) as (C) and (D), respectively. Subsec. (d)(1). Pub. L. 93-358, Sec. 1(2)(A), substituted 'paragraphs (2), (3), and (4)' for 'paragraphs (2) and (3)'. Subsec. (d)(4). Pub. L. 93-358, Sec. 1(2)(B), added par. (4). 1971 - Pub. L. 92-28, in substituting subsecs. (a) to (i) for former paragraph, among other changes: renamed Committee on Purchases of Blind-made Products as Committee for Purchase of Products and Services of the Blind and Other Severely Handicapped; increased membership of Committee from seven to fourteen members; provided for appointments from Departments of Defense, Air Force, Health, Education, and Welfare, Justice, and Labor and from Veterans' Administration and General Services Administration; eliminated appointments from Treasury Department and Department of Interior; substituted appointment from Department of the Army for appointment from War Department; required one appointee to be also conversant with problems incident to employment of other severely handicapped individuals; substituted requirement that such appointment be from persons not officers or employees of the Government rather than that he be a private citizen; reenacted provision for Presidential appointment; substituted subsec. (e) pay and travel expenses provisions for former requirement for service of Committee members without additional compensation; incorporated in subsec. (c) provision for selection of a Chairman, substituting 'election' for 'designation'; and inserted provisions incorporated in subsecs. (a)(1) (for nomination by head of each department and agency of one officer or employee of the department or agency for appointment under par. (1)), (a)(2)(B), (C), (b), (d), and (f) to (i). -CHANGE- CHANGE OF NAME Reference to Veterans' Administration deemed to refer to Department of Veterans Affairs pursuant to section 10 of Pub. L. 100-527, set out as a Department of Veterans Affairs Act note under section 201 of Title 38, Veterans' Benefits. 'Department of Health and Human Services' substituted for 'Department of Health, Education, and Welfare' in subsec. (a)(1) pursuant to section 509(b) of Pub. L. 96-88 which is classified to section 3508(b) of Title 20, Education. -MISC4- EFFECTIVE DATE OF 1971 AMENDMENT Section 2 of Pub. L. 92-28 provided that: 'The amendment made by the first section of this Act (amending this section and sections 47 and 48 and enacting sections 48a to 48c of this title) shall take effect on the first day of the first month which begins more than thirty days after the date of enactment of this Act (June 23, 1971).' SHORT TITLE Act June 25, 1938, ch. 697, 52 Stat. 1196, as amended, which enacted this section and sections 47 to 48c of this title, is popularly known as the 'Wagner-O'Day Act'. REFERENCES IN OTHER LAWS TO GS-16, 17, OR 18 PAY RATES References in laws to the rates of pay for GS-16, 17, or 18, or to maximum rates of pay under the General Schedule, to be considered references to rates payable under specified sections of Title 5, Government Organization and Employees, see section 529 (title I, Sec. 101(c)(1)) of Pub. L. 101-509, set out in a note under section 5376 of Title 5. -SECREF- ACT REFERRED TO IN OTHER SECTIONS The Wagner-O'Day Act is referred to in section 253 of this title; title 10 sections 2304, 2461; title 40 section 490c. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 47, 48a, 48b, 48c of this title; title 15 section 644. ------DocID 44779 Document 35 of 963------ -CITE- 42 USC Sec. 46 -EXPCITE- TITLE 42 CHAPTER 1 SUBCHAPTER I -HEAD- Sec. 46. Omitted -COD- CODIFICATION Section, which related to relocation of physicians and dentists, was from the First Supplemental National Defense Appropriation Act, 1944, act Dec. 23, 1943, ch. 380, title I, Sec. 101, 57 Stat. 617, and was not repeated in subsequent appropriation acts. ------DocID 45778 Document 36 of 963------ -CITE- 42 USC Sec. 300ff-46 -EXPCITE- TITLE 42 CHAPTER 6A SUBCHAPTER XXIV Part C subpart i -HEAD- Sec. 300ff-46. Reporting and partner notification -STATUTE- (a) Reporting The Secretary may not make a grant under section 300ff-41 of this title unless, with respect to testing for HIV disease, the State involved provides assurances satisfactory to the Secretary that the State will require that any entity carrying out such testing confidentially report to the State public health officer information sufficient - (1) to perform statistical and epidemiological analyses of the incidence in the State of cases of such disease; (2) to perform statistical and epidemiological analyses of the demographic characteristics of the population of individuals in the State who have the disease; and (3) to assess the adequacy of early intervention services in the State. (b) Partner notification The Secretary may not make a grant under section 300ff-41 of this title unless the State involved provides assurances satisfactory to the Secretary that the State will require that the public health officer of the State, to the extent appropriate in the determination of the officer, carry out a program of partner notification regarding cases of HIV disease. (c) Rules of construction An agreement made under this section may not be construed - (1) to require or prohibit any State from providing that identifying information concerning individuals with HIV disease is required to be submitted to the State; or (2) to require any State to establish a requirement that entities other than the public health officer of the State are required to make the notifications referred to in subsection (b) of this section. -SOURCE- (July 1, 1944, ch. 373, title XXVI, Sec. 2646, as added Aug. 18, 1990, Pub. L. 101-381, title III, Sec. 301(a), 104 Stat. 602.) -MISC1- STUDY REGARDING PARTNER NOTIFICATION Section 402 of Pub. L. 101-381 provided that: '(a) In General. - The Secretary shall conduct a study of programs of HIV partner notification for the purpose of determining - '(1) in the case of individuals who have been notified under such programs, the percentage of such individuals who undergo counseling and testing regarding HIV disease; '(2) in the case of such individuals who have undergone HIV testing, the number of such individuals determined through such tests to have HIV disease; '(3) the extent to which such programs have, in the case of such individuals, resulted in behavioral changes that are effective regarding the prevention of exposure to, and the transmission of, HIV disease; and '(4) the extent to which such programs represent a cost effective use of available HIV-related resources. '(b) Report. - Not later than 1 year after the date of enactment of this Act (Aug. 18, 1990), the Secretary of Health and Human Services shall complete the study required under subsection (a) and prepare and submit, to the appropriate committees of Congress, a report describing the findings made as a result of such study.' ------DocID 47815 Document 37 of 963------ -CITE- 42 USC CHAPTER 46 -EXPCITE- TITLE 42 CHAPTER 46 -HEAD- CHAPTER 46 - JUSTICE SYSTEM IMPROVEMENT -MISC1- Sec. 3701. Repealed. SUBCHAPTER I - OFFICE OF JUSTICE PROGRAMS 3711. Establishment of Office of Justice Programs. 3712. Duties and functions of Assistant Attorney General. (a) Specific, general and delegated powers. (b) Annual report to President and Congress. 3713. Omitted. SUBCHAPTER II - NATIONAL INSTITUTE OF JUSTICE 3721. Statement of purpose. 3722. National Institute of Justice. (a) Establishment; general authority of Attorney General over Institute. (b) Director of Institute; appointment by President; authority; restrictions. (c) Duties and functions. (d) Criminal and civil justice research. 3723. Authority for 100 per centum grants. 3724. Repealed. SUBCHAPTER III - BUREAU OF JUSTICE STATISTICS 3731. Statement of purpose. 3732. Bureau of Justice Statistics. (a) Establishment. (b) Appointment of Director; experience; authority; restrictions. (c) Duties and functions of Bureau. (d) Justice statistical collection, analysis, and dissemination. (e) Furnishing of information, data, or reports by Federal agencies. (f) Consultation with representatives of State and local government and judiciary. 3733. Authority for 100 per centum grants. 3734. Repealed. 3735. Use of data. SUBCHAPTER IV - ESTABLISHMENT OF BUREAU OF JUSTICE ASSISTANCE 3741. Establishment of Bureau of Justice Assistance. 3742. Duties and functions of Director. SUBCHAPTER V - BUREAU OF JUSTICE ASSISTANCE GRANT PROGRAMS 3750. Name of programs. PART A - DRUG CONTROL AND SYSTEM IMPROVEMENT GRANT PROGRAM 3751. Description of drug control and system improvement grant program. (a) Purpose of program. (b) Grants to States and units of local government; purposes of grants. (c) Program evaluation component; waiver. 3752. Eligibility. 3753. State applications. 3754. Grant limitations. (a) Cost of identified uses. (b) Administrative costs. (c) Participation in State and Local Task Force Program; use of grant. (d) Conduct of evaluation expenses. (e) Non-Federal portion costs. (f) Programs already receiving funds. 3755. Review of State applications. (a) Financial assistance upon approval of application or amendment. (b) Time limitation for approval; specific reasons for disapproval. (c) Limitation on use of grant funds for land acquisition or construction projects. (d) Reasonable notice and opportunity for reconsideration before final disapproval. 3756. Allocation and distribution of funds under formula grants. (a) States. (b) Units of local government. (c) Programs eligible. (d) Unneeded State allocated funds distributed to units of local government. (e) Funds not distributed. (f) Testing certain sex offenders for human immunodeficiency virus. 3757. State office. 3758. Distribution of grants to local government. 3759. Improvement of criminal justice records. (a) Percentage allocation of funds. (b) Includible improvements. (c) Guidelines. (d) Expenditures unwarranted in light of quality of criminal justice records. PART B - DISCRETIONARY GRANTS SUBPART 1 - GRANTS TO PUBLIC AND PRIVATE ENTITIES 3760. Purposes. 3761. Allocation of funds for grants. 3762. Limitation on use of discretionary grant funds. SUBPART 2 - GRANTS TO PUBLIC AGENCIES 3762a. Correctional options grants. (a) Authority to make grants. (b) Selection of grantees. (c) Consultations. 3762b. Allocation of funds; administrative provisions. (a) Allocation of funds. (b) Limit on grant share of cost. (c) Rules; report; request for applications. SUBPART 3 - GENERAL REQUIREMENTS 3763. Application requirements. 3764. Period of award. PART C - ADMINISTRATIVE PROVISIONS 3766. Evaluation. (a) Guidelines and comprehensive evaluations. (b) Criteria for selecting programs for review. (c) Annual report. 3766a. General provisions. 3766b. Reports. SUBCHAPTER VI - CRIMINAL JUSTICE FACILITY CONSTRUCTION: PILOT PROGRAM 3769. Authority for payments. 3769a. Eligibility. (a) Conditions. (b) Development of plan; limitation of assistance. 3769b. Application; approval; payment. (a) Terms and conditions of application. (b) Approval of application; criteria. (c) Amount of payment; limitation. (d) Amendment of application; approval. 3769c. Recapture provisions. 3769d. Clearinghouse on the construction and modernization of criminal justice facilities. (a) Functions; information. (b) Authority of Director. SUBCHAPTER VII - FBI TRAINING OF STATE AND LOCAL CRIMINAL JUSTICE PERSONNEL 3771. Training and manpower development. (a) Functions, powers, and duties of Director of Federal Bureau of Investigation. (b) General authority of Attorney General over Director. (c) Training programs for State and local personnel at Federal Training Center. 3772 to 3775. Omitted. SUBCHAPTER VIII - ADMINISTRATIVE PROVISIONS 3781. Repealed. 3782. Rules, regulations, and procedures; consultations and establishment. (a) General authorization of certain Federal agencies. (b) Continuing evaluation of selected programs or projects; cost, effectiveness, impact value, and comparative considerations; annual performance report; assessment of activity effectiveness; suspension of funds for nonsubmission of report. (c) Procedures for paperwork minimization and prevention of duplication and delays in award and expenditure of funds. 3783. Notice and hearing on denial or termination of grant. (a) Payments to recipients; limitation, reduction, or termination. (b) Notice of action; reasons for action; hearing or investigation; finality of findings and determinations; reasons in detail for action without hearing. (c) Rehearing; regulations and procedures; presentation of additional information. 3784. Finality of determinations. 3785. Appellate court review. (a) Jurisdiction of court of appeals; petition for review; time for filing, copies; record; objections before appropriate agency. (b) Determination by court of appeals: conclusiveness of findings; remand; conclusiveness of new or modified findings. (c) Determination by court of appeals; Supreme Court review. 3786. Delegation of functions. 3787. Subpoena power; employment of hearing officers; authority to hold hearings. 3788. Personnel and administrative authority. (a) Officers and employees of certain Federal agencies; employment; compensation. (b) Use of available services; reimbursement. (c) Other Federal agency performance of functions under this chapter; reimbursement. (d) Experts and consultants; compensation. (e) Advisory committees; compensation and travel expenses of committee members. (f) Payments; installments; advances or reimbursement; transportation and subsistence expenses for attendance at conferences or other assemblages. (g) Voluntary services; status as Federal employee; exceptions. 3789. Title to personal property. 3789a to 3789c. Repealed. 3789d. Prohibition of Federal control over State and local criminal justice agencies; prohibition of discrimination. (a) General rule. (b) Racial imbalance requirement restriction. (c) Discrimination prohibited; notice of non-compliance; suspension and restoration of payments; hearing; civil action by Attorney General; private action, attorney fees, intervention by Attorney General. 3789e. Report to President and Congress. 3789f. Other administrative provisions. (a) Recordkeeping requirement; scope of disclosure; other sources of funds. (b) Access to records for audit and examination. (c) Audit and examination period after completion of program or project. (d) Recipients of assistance subject to provisions of section. (e) Revolving fund for acquisition of stolen goods and property within Law Enforcement Assistance Administration. 3789g. Confidentiality of information. (a) Research or statistical information; immunity from process; prohibition against admission as evidence or use in any proceedings. (b) Criminal history information; disposition and arrest data; procedures for collection, storage, dissemination, and current status; security and privacy; availability for law enforcement, criminal justice, and other lawful purposes; automated systems: review, challenge, and correction of information. (c) Criminal intelligence systems and information; prohibition against violation of privacy and constitutional rights of individuals. (d) Violations; fine as additional penalty. 3789h. Repealed. 3789i. Administration of juvenile delinquency programs. 3789j. Prohibition on land acquisition. 3789k. Prohibition on use of Central Intelligence Agency services. 3789l. Indian liability waiver. 3789m. District of Columbia matching fund source. 3789n. Limitation on civil justice matters. 3789o. Repealed. SUBCHAPTER IX - DEFINITIONS 3791. General provisions. (a) Definitions. (b) Data basis for definitions; reflection of technical changes or modifications. (c) Designation of public agencies for undertaking a program or project. SUBCHAPTER X - FUNDING 3793. Authorization of appropriations. 3793a, 3793b. Repealed. SUBCHAPTER XI - CRIMINAL PENALTIES 3795. Misuse of Federal assistance. 3795a. Falsification or concealment of facts. 3795b. Conspiracy to commit offense against United States. SUBCHAPTER XII - PUBLIC SAFETY OFFICERS' DEATH BENEFITS 3796. Payment of death benefits. (a) Amount; recipients. (b) Benefits for permanent and total disability. (c) Interim benefit payment. (d) Deduction of interim payment. (e) Repayment of interim payment; waiver. (f) Reductions from final benefit payment. (g) Execution or attachment prohibited. (h) Consumer Price Index adjustment. (i) Amount payable determined as of date of death. (j) Limitations on benefits. 3796a. Limitations on benefits. 3796a-1. National programs for families of public safety officers who have died in line of duty. 3796b. Definitions. 3796c. Administrative provisions; rules, regulations, and procedures; use of State and local administrative and investigative assistance. SUBCHAPTER XII-A - REGIONAL INFORMATION SHARING SYSTEMS GRANTS 3796h. Regional information sharing systems grants. (a) Authority of Director. (b) Purposes. (c) Rules and regulations. SUBCHAPTER XII-B - GRANTS FOR CLOSED-CIRCUIT TELEVISING OF TESTIMONY OF CHILDREN WHO ARE VICTIMS OF ABUSE 3796aa. Function of Director. 3796aa-1. Description of grant program. 3796aa-2. Applications to receive grants. 3796aa-3. Review of applications. 3796aa-4. Allocation and distribution of funds under formula grants. (a) States. (b) Local governments. (c) Limitation upon use of funds. (d) Waiver. 3796aa-5. Reports. 3796aa-6. Expenditure of grants; records. (a) Identified uses. (b) Administration. (c) Records. 3796aa-7. State office. 3796aa-8. Definitions. SUBCHAPTER XII-C - RURAL DRUG ENFORCEMENT ASSISTANCE 3796bb. Rural drug enforcement assistance. 3796bb-1. Other requirements. SUBCHAPTER XIII - TRANSITION; EFFECTIVE DATE; REPEALER 3797. Continuation of rules, authorities, and proceedings. (a) Continuing status until otherwise affected. (b) Obligation by Director of National Institute of Justice of previously appropriated unused or reversionary funds for continuation of research and development projects or purposes of this chapter. (c) Obligation by Director of Bureau of Justice Statistics of pre-fiscal year 1980 appropriated funds for statistical projects or purposes of this chapter. (d) Obligation by Administrator of Law Enforcement Assistance Administration of previously appropriated unused or reversionary funds or presently appropriated funds for continuation of projects or purposes of this chapter. (e) Pending suits, actions, or other proceedings unaffected. (f) Appropriated funds available for audit matters and continuing programs and projects. (g) Transfer of personnel pursuant to performance-of-functions standard; determination of interim positions for Administrator and Deputy Administrators by Attorney General. (h) Unobligated funds of a State or unit of local government available for cost of any program or project. (i) State criminal justice council as the State planning agency for carrying out predecessor provisions. (j) Construction project funding for additional two years. -COD- CODIFICATION Title I of the Omnibus Crime Control and Safe Streets Act of 1968, comprising this chapter, was originally enacted by Pub. L. 90-351, June 19, 1968, 82 Stat. 197, and amended by Pub. L. 91-644, Jan. 2, 1971, 84 Stat. 1880; Pub. L. 93-83, Aug. 6, 1973, 87 Stat. 197; Pub. L. 93-415, Sept. 7, 1974, 88 Stat. 1109; Pub. L. 94-237, Mar. 19, 1976, 90 Stat. 241; Pub. L. 94-273, Apr. 21, 1976, 90 Stat. 375; Pub. L. 94-430, Sept. 29, 1976, 90 Stat. 1346; Pub. L. 94-503, Oct. 15, 1976, 90 Stat. 2407; Pub. L. 95-115, Oct. 3, 1977, 91 Stat. 1048. Such title is shown herein, however, as having been added by Pub. L. 96-157, Dec. 27, 1979, 93 Stat. 1167, without reference to such intervening amendments because of the extensive revision of the title's provisions by Pub. L. 96-157. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 5751, 10501 of this title. ------DocID 51017 Document 38 of 963------ -CITE- 43 USC Sec. 46 -EXPCITE- TITLE 43 CHAPTER 2 -HEAD- Sec. 46. Omitted -COD- CODIFICATION Section, act Oct. 12, 1949, ch. 680, title I, 63 Stat. 785, related to exchange of old freight carrying vehicles as part payment for new, was from the Interior Department Appropriation Act, 1950, and was not repeated in subsequent appropriation acts. -MISC3- SIMILAR PROVISIONS Similar provisions were contained in the following prior appropriation acts: June 29, 1948, ch. 754, 62 Stat. 1133. July 25, 1947, ch. 337, 61 Stat. 477. July 1, 1946, ch. 529, 60 Stat. 369. July 3, 1945, ch. 262, 59 Stat. 343. June 28, 1944, ch. 298, 58 Stat. 491. July 12, 1943, ch. 219, 57 Stat. 477. July 2, 1942, ch. 473, 56 Stat. 537. June 28, 1941, ch. 259, 55 Stat. 339. June 18, 1940, ch. 395, 54 Stat. 439. May 10, 1939, ch. 119, 53 Stat. 719. May 9, 1938, ch. 187, 52 Stat. 325. Aug. 9, 1937, ch. 570, 50 Stat. 598. June 22, 1936, ch. 691, 49 Stat. 1785. May 9, 1935, ch. 101, 49 Stat. 200. Mar. 2, 1934, ch. 38, 48 Stat. 382. Feb. 17, 1933, ch. 98, 47 Stat. 846. Apr. 22, 1932, ch. 125, 47 Stat. 118. Feb. 14, 1931, ch. 187, 46 Stat. 1147. May 14, 1930, ch. 273, 46 Stat. 310. Mar. 4, 1929, ch. 705, 45 Stat. 1594. Mar. 7, 1928, ch. 137, 45 Stat. 231. Jan. 12, 1927, ch. 27, 44 Stat. 961. May 10, 1926, ch. 277, 44 Stat. 486. Mar. 3, 1925, ch. 462, 43 Stat. 1172. June 5, 1924, ch. 264, 43 Stat. 419. Jan. 24, 1923, ch. 42, 42 Stat. 1208. May 24, 1922, ch. 199, 42 Stat. 586. ------DocID 52713 Document 39 of 963------ -CITE- 45 USC Sec. 44 to 46 -EXPCITE- TITLE 45 CHAPTER 1 -HEAD- Sec. 44 to 46. Transferred -COD- CODIFICATION Section 44, acts Feb. 23, 1905, ch. 744, Sec. 1, 33 Stat. 743; June 13, 1957, Pub. L. 85-50, Sec. 1(1), 71 Stat. 69, relating to awards for acts of heroism involving railroads or motor vehicles, was transferred to section 1201 of Title 49, Appendix, Transportation. Section 45, act Feb. 23, 1905, ch. 744, Sec. 2, 33 Stat. 743, relating to issuance of rosettes and ribbons, was transferred to section 1202 of Title 49, Appendix. Section 46, acts Feb. 23, 1905, ch. 744, Sec. 3, 33 Stat. 743; June 13, 1957, Pub. L. 85-50, Sec. 1(2), 71 Stat. 69, relating to authorization of appropriations for carrying out sections 44 and 45 of this title, was transferred to section 1203 of Title 49, Appendix. ------DocID 6994 Document 40 of 963------ -CITE- 2 USC Sec. 44 to 46 -EXPCITE- TITLE 2 CHAPTER 3 -HEAD- Sec. 44 to 46. Omitted -COD- CODIFICATION Section 44, act May 7, 1906, ch. 2083, Sec. 1, 34 Stat. 170, authorized a mileage allowance to Delegate from Alaska, and was omitted from the Code as obsolete because Alaska was admitted into the Union with membership of one Representative in Congress on Jan. 3, 1959, upon issuance of Proc. No. 3269, Jan. 3, 1959, 24 F.R. 81, 73 Stat. c16, as required by sections 1, 7 and 8 of Pub. L. 85-508, July 7, 1958, 72 Stat. 339, set out as notes preceding section 21 of Title 48, Territories and Insular Possessions. Section 45, acts July 1, 1902, ch. 1369, Sec. 8, 32 Stat. 694; Aug. 29, 1916, ch. 416, Sec. 20, 39 Stat. 552, which authorized a mileage allowance to Resident Commissioners from Philippine Islands, and was formerly covered by section 1237 of Title 48, Territories and Insular Possessions, is no longer in force in view of the independence of the Philippine Islands effected by section 1394 of Title 22, Foreign Relations and Intercourse, and proclaimed by the President of the United States in Proc. No. 2695, July 4, 1946, 11 F.R. 7517, 60 Stat. 1352, set out as note under section 1394 of Title 22. Act Aug. 29, 1916, ch. 416, Sec. 20, 39 Stat. 552, from which section 45 of this title was derived, was repealed by Pub. L. 89-554, Sec. 8(a), Sept. 6, 1966, 80 Stat. 643. Section 46, acts Mar. 2, 1917, ch. 145, Sec. 36, 39 Stat. 963; May 17, 1932, ch. 190, 47 Stat. 158, allowed sum of $500 as mileage for each session to Resident Commissioner, and was omitted from the Code as superseded by section 43b-1 of this title. ------DocID 53140 Document 41 of 963------ -CITE- 46 USC Subtitle II -EXPCITE- TITLE 46 Subtitle II -HEAD- Subtitle II - Vessels and Seamen -MISC1- PART A - GENERAL PROVISIONS Chap. Sec. 21. General 2101 23. Operation of vessels generally 2301 PART B - INSPECTION AND REGULATION OF VESSELS 31. General 3101 33. Inspection generally 3301 35. Carriage of passengers 3501 37. Carriage of liquid bulk dangerous cargoes 3701 39. Carriage of animals 3901 41. Uninspected vessels generally 4101 43. Recreational vessels 4301 45. Fish processing vessels (FOOTNOTE 1) 4501 (FOOTNOTE 1) Chapter heading amended by Pub. L. 100-424 without corresponding amendment of subtitle analysis. PART C - LOAD LINES OF VESSELS 51. Load lines 5101 PART D - MARINE CASUALTIES 61. Reporting marine casualties 6101 63. Investigating marine casualties 6301 PART E - MERCHANT SEAMEN LICENSES, CERTIFICATES, AND DOCUMENTS 71. Licenses and certificates of registry 7101 73. Merchant mariners' documents 7301 75. General procedures for licensing, certification, and documentation 7501 77. Suspension and revocation 7701 PART F - MANNING OF VESSELS 81. General 8101 83. Masters and officers 8301 85. Pilots 8501 87. Unlicensed personnel 8701 89. Small vessel manning 8901 91. Tank vessel manning standards 9101 93. Great Lakes pilotage 9301 PART G - MERCHANT SEAMEN PROTECTION AND RELIEF 101. General 10101 103. Foreign and intercoastal voyages 10301 105. Coastwise voyages 10501 106. Fishing voyages 10601 107. Effects of deceased seamen 10701 109. Proceedings on unseaworthiness 10901 111. Protection and relief 11101 113. Official logbooks 11301 115. Offenses and penalties 11501 PART H - IDENTIFICATION OF VESSELS 121. Documentation of vessels 12101 123. Numbering undocumented vessels 12301 125. Vessel Identification System (FOOTNOTE 2) 12501 (FOOTNOTE 2) So in original. Only first word should be capitalized. PART I - STATE BOATING SAFETY PROGRAMS 131. Recreational boating safety 13101 PART J - MEASUREMENT OF VESSELS 141. General 14101 143. Convention measurement 14301 145. Regulatory measurement 14501 147. Penalties 14701 AMENDMENTS 1988 - Pub. L. 100-710, title I, Sec. 101(b), Nov. 23, 1988, 102 Stat. 4738, added item 125. Pub. L. 100-424, Sec. 6(b), Sept. 9, 1988, 102 Stat. 1592, added item 106. 1986 - Pub. L. 99-509, title V, Sec. 5101(1), Oct. 21, 1986, 100 Stat. 1913, inserted items for parts C and J. 1985 - Pub. L. 99-36, Sec. 1(a)(9)(A), May 15, 1985, 99 Stat. 67, substituted 'Merchant Seamen Licenses, Certifications, and' for 'Licenses, Certificates, and Merchant Mariners' ' in heading for part E. 1984 - Pub. L. 98-364, title IV, Sec. 402(7)(A), July 17, 1984, 98 Stat. 446, inserted 'generally' in item 41, reenacted item 43 without change, and added item 45. ------DocID 53141 Document 42 of 963------ -CITE- 46 USC Part A -EXPCITE- TITLE 46 Part A -HEAD- Part A - General Provisions -MISC1- HISTORICAL AND REVISION NOTES Part A contains general provisions that apply throughout the subtitle and provisions that apply generally to the operation of all vessels. -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in section 14305 of this title. ------DocID 53142 Document 43 of 963------ -CITE- 46 USC CHAPTER 21 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- CHAPTER 21 - GENERAL -MISC1- Sec. 2101. General definitions. 2102. Limited definitions. 2103. Superintendence of the merchant marine. 2104. Delegation. 2105. Report. 2106. Liability in rem. 2107. Civil penalty procedures. 2108. Refund of penalties. 2109. Public vessels. 2110. Fees. 2111. Pay for overtime services. 2112. Authority to change working hours. 2113. Authority to exempt certain vessels. 2114. Protection of seamen against discrimination. HISTORICAL AND REVISION NOTES Chapter 21 contains definitions that are general in nature and applicable to all references within Subtitle II - Vessels and Seamen. The chapter provides the basic authority and responsibility for the enforcement and administration of this subtitle with appropriate delegation and reporting requirements. AMENDMENTS 1990 - Pub. L. 101-508, title X, Sec. 10401(b), Nov. 5, 1990, 104 Stat. 1388-398, substituted 'Fees' for 'Fees prohibited' in item 2110. 1984 - Pub. L. 98-557, Sec. 13(b), Oct. 30, 1984, 98 Stat. 2864, added item 2114. ------DocID 53143 Document 44 of 963------ -CITE- 46 USC Sec. 2101 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2101. General definitions -STATUTE- In this subtitle - (1) 'associated equipment' - (A) means - (i) a system, accessory, component, or appurtenance of a recreational vessel; or (ii) a marine safety article intended for use on board a recreational vessel; but (B) does not include radio equipment. (2) 'barge' means a non-self-propelled vessel. (3) 'Boundary Line' means a line established under section 2(b) of the Act of February 19, 1895 (33 U.S.C. 151). (3a) 'citizen of the United States' means a national of the United States as defined in section 101(a)(22) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(22)) or an individual citizen of the Trust Territory of the Pacific Islands who is exclusively domiciled in the Northern Mariana Islands within the meaning of section 1005(e) of the Covenant to establish a Commonwealth of the Northern Mariana Islands in Political Union with the United States of America (48 U.S.C. 1681 note). (4) 'Coast Guard' means the organization established and continued under section 1 of title 14. (5) 'commercial service' includes any type of trade or business involving the transportation of goods or individuals, except service performed by a combatant vessel. (6) 'consular officer' means an officer or employee of the United States Government designated under regulations to grant visas. (7) 'crude oil' means a liquid hydrocarbon mixture occurring naturally in the earth, whether or not treated to render it suitable for transportation, and includes crude oil from which certain distillate fractions may have been removed, and crude oil to which certain distillate fractions may have been added. (8) 'crude oil tanker' means a tanker engaged in the trade of carrying crude oil. (8a) 'dangerous drug' means a narcotic drug, a controlled substance, or a controlled substance analog (as defined in section 102 of the Comprehensive Drug Abuse (FOOTNOTE 1) and Control Act of 1970 (21 U.S.C. 802)). (FOOTNOTE 1) So in original. Probably should be 'Abuse Prevention'. (9) 'discharge', when referring to a substance discharged from a vessel, includes spilling, leaking, pumping, pouring, emitting, emptying, or dumping, however caused. (10) 'documented vessel' means a vessel for which a certificate of documentation has been issued under chapter 121 of this title. (10a) 'Exclusive Economic Zone' means the zone established by Presidential Proclamation Numbered 5030, dated March 10, 1983. (11) 'fish' means finfish, mollusks, crustaceans, and all other forms of marine animal and plant life, except marine mammals and birds. (11a) 'fishing vessel' means a vessel that commercially engages in the catching, taking, or harvesting of fish or an activity that can reasonably be expected to result in the catching, taking, or harvesting of fish. (11b) 'fish processing vessel' means a vessel that commercially prepares fish or fish products other than by gutting, decapitating, gilling, skinning, shucking, icing, freezing, or brine chilling. (11c) 'fish tender vessel' means a vessel that commercially supplies, stores, refrigerates, or transports fish, fish products, or materials directly related to fishing or the preparation of fish to or from a fishing, fish processing, or fish tender vessel or a fish processing facility. (12) 'foreign vessel' means a vessel of foreign registry or operated under the authority of a country except the United States. (13) 'freight vessel' means a motor vessel of more than 15 gross tons that carries freight for hire, except an oceanographic research vessel or an offshore supply vessel. (14) 'hazardous material' means a liquid material or substance that is - (A) flammable or combustible; (B) designated a hazardous substance under section 311(b) of the Federal Water Pollution Control Act (33 U.S.C. 1321); or (C) designated a hazardous material under section 104 of the Hazardous Materials Transportation Act (49 App. U.S.C. 1803); (14a) 'major conversion' means a conversion of a vessel that - (A) substantially changes the dimensions or carrying capacity of the vessel; (B) changes the type of the vessel; (C) substantially prolongs the life of the vessel; or (D) otherwise so changes the vessel that it is essentially a new vessel, as decided by the Secretary. (15) 'marine environment' means - (A) the navigable waters of the United States and the land and resources in and under those waters; (B) the waters and fishery resources of an area over which the United States asserts exclusive fishery management authority; (C) the seabed and subsoil of the outer Continental Shelf of the United States, the resources of the Shelf, and the waters superjacent to the Shelf; and (D) the recreational, economic, and scenic values of the waters and resources referred to in subclauses (A)-(C) of this clause. (15a) 'mobile offshore drilling unit' means a vessel capable of engaging in drilling operations for the exploration or exploitation of subsea resources. (16) 'motor vessel' means a vessel propelled by machinery other than steam. (17) 'nautical school vessel' means a vessel operated by or in connection with a nautical school or an educational institution under section 13 of the Coast Guard Authorization Act of 1986. (17a) 'numbered vessel' means a vessel for which a number has been issued under chapter 123 of this title. (18) 'oceanographic research vessel' means a vessel that the Secretary finds is being employed only in instruction in oceanography or limnology, or both, or only in oceanographic or limnological research, including those studies about the sea such as seismic, gravity meter, and magnetic exploration and other marine geophysical or geological surveys, atmospheric research, and biological research. (19) 'offshore supply vessel' means a motor vessel of more than 15 gross tons but less than 500 gross tons that regularly carries goods, supplies, or equipment in support of exploration, exploitation, or production of offshore mineral or energy resources and is not a small passenger vessel. (20) 'oil' includes oil of any type or in any form, including petroleum, fuel oil, sludge, oil refuse, and oil mixed with wastes except dredged spoil. (20a) 'overall in length' means - (A) for a foreign vessel or a vessel engaged on a foreign voyage, the greater of - (i) 96 percent of the length on a waterline at 85 percent of the least molded depth measured from the top of the keel (or on a vessel designed with a rake of keel, on a waterline parallel to the designed waterline); or (ii) the length from the fore side of the stem to the axis of the rudder stock on that waterline; and (B) for any other vessel, the horizontal distance of the hull between the foremost part of the stem and the aftermost part of the stern, excluding fittings and attachments. (21) 'passenger' - (A) on a passenger vessel, means an individual carried on the vessel except - (i) the master; or (ii) a crewmember or other individual engaged in the business of the vessel who has not contributed consideration for carriage on board the vessel. (B) on a small passenger vessel means an individual carried on the vessel except - (i) the owner or representative of the owner; (ii) the master or a crewmember engaged in the business of the vessel who has not contributed consideration for carriage and who is paid for services; (iii) an employee of the owner of the vessel engaged in the business of the owner, except when the vessel is operating under a demise charter; (iv) an employee of the demise charterer of the vessel engaged in the business of the demise charterer; (v) a guest on board a vessel being operated only for pleasure who has not contributed consideration for carriage on board; or (vi) an individual on board a towing vessel of at least 50 gross tons who has not contributed consideration for carriage on board. (C) on an offshore supply vessel, means an individual carried on the vessel except - (i) the owner; (ii) a representative of the owner; (iii) the master; (iv) a crewmember engaged in the business of the vessel who has not contributed consideration for carriage on board and who is paid for services on board; (v) an employee of the owner, or of a subcontractor to the owner, engaged in the business of the owner; (vi) a charterer of the vessel; (vii) a person with the same relationship to a charterer as a person in subclause (ii) or (v) of this subclause has to an owner; (viii) a person employed in a phase of exploration, exploitation, or production of offshore mineral or energy resources served by the vessel; or (ix) a guest who has not contributed consideration for carriage on board. (D) on an uninspected passenger vessel, means an individual carried on the vessel except - (i) the owner or representative of the owner; (ii) the managing operator; (iii) a crewmember engaged in the business of the vessel who has not contributed consideration for carriage on board and who is paid for services on board; or (iv) a guest on board a vessel that is being operated only for pleasure who has not contributed consideration for carriage on board. (E) on a fishing, fish processing, or fish tender vessel, means an individual transported on the vessel except - (i) the owner; (ii) a representative of the owner; (iii) the managing operator; (iv) the master; (v) a crewmember engaged in the business of the vessel who has not contributed consideration for transportation on board and who is paid for services on board; (vi) an employee of the owner, or of a subcontractor to the owner, engaged in the business of the owner; (vii) a charterer of the vessel; (viii) a person with the same relationship to a charterer as a person in subclause (ii) or (vi) of this subclause has to an owner; or (ix) a guest who has not contributed consideration for transportation on board. (F) on a sailing school vessel, means an individual carried on the vessel except - (i) the owner or representatives of the owner; (ii) the master or a crewmember engaged in the business of the vessel who has not contributed consideration for carriage and who is paid for services; (iii) an employee of the owner of the vessel engaged in the business of the owner, except when the vessel is operating under a demise charter; (iv) an employee of the demise charterer of the vessel engaged in the business of the demise charterer; (v) a guest on board the vessel who has not contributed consideration for carriage on board; or (vi) a sailing school instructor or sailing school student. (22) 'passenger vessel' means a vessel of at least 100 gross tons carrying at least one passenger for hire. (23) 'product carrier' means a tanker engaged in the trade of carrying oil except crude oil. (24) 'public vessel' means a vessel that - (A) is owned, or demise chartered, and operated by the United States Government or a government of a foreign country; and (B) is not engaged in commercial service. (25) 'recreational vessel' means a vessel - (A) being manufactured or operated primarily for pleasure; or (B) leased, rented, or chartered to another for the latter's pleasure. (26) 'recreational vessel manufacturer' means a person engaged in the manufacturing, construction, assembly, or importation of recreational vessels, components, or associated equipment. (27) 'sailing instruction' means teaching, research, and practical experience in operating vessels propelled primarily by sail and may include - (A) any subject related to that operation and to the sea, including seamanship, navigation, oceanography, other nautical and marine sciences, and maritime history and literature; and (B) only when in conjunction with a subject referred to in subclause (A) of this clause, instruction in mathematics and language arts skills to sailing school students having learning disabilities. (28) 'sailing school instructor' means an individual who is on board a sailing school vessel to provide sailing instruction, but does not include an operator or crewmember who is among those required to be on board the vessel to meet a requirement established under part F of this subtitle. (29) 'sailing school student' means an individual who is on board a sailing school vessel to receive sailing instruction. (30) 'sailing school vessel' means a vessel - (A) that is less than 500 gross tons; (B) carrying at least 6 individuals who are sailing school instructors or sailing school students; (C) principally equipped for propulsion by sail, even if the vessel has an auxiliary means of propulsion; and (D) owned or demise chartered, and operated by an organization described in section 501(c)(3) of the Internal Revenue Code of 1986 (26 U.S.C. 501(c)(3)) and exempt from tax under section 501(a) of that Code, or by a State or political subdivision of a State, during times that the vessel is operated by the organization, State, or political subdivision only for sailing instruction. (31) 'scientific personnel' means individuals on board an oceanographic research vessel only to engage in scientific research, or to instruct or receive instruction in oceanography or limnology. (32) 'seagoing barge' means a non-self-propelled vessel of at least 100 gross tons making voyages beyond the Boundary Line. (33) 'seagoing motor vessel' means a motor vessel of at least 300 gross tons making voyages beyond the Boundary Line. (34) 'Secretary', except in part H, means the head of the department in which the Coast Guard is operating. (35) 'small passenger vessel' means a vessel of less than 100 gross tons carrying more than 6 passengers (as defined in clause (21)(B) and (C) of this section). (36) 'State' means a State of the United States, Guam, Puerto Rico, the Virgin Islands, American Samoa, the District of Columbia, the Northern Mariana Islands, and any other territory or possession of the United States. (37) 'steam vessel' means a vessel propelled in whole or in part by steam, except a recreational vessel of not more than 40 feet in length. (38) 'tanker' means a self-propelled tank vessel constructed or adapted primarily to carry oil or hazardous material in bulk in the cargo spaces. (39) 'tank vessel' means a vessel that is constructed or adapted to carry, or that carries, oil or hazardous material in bulk as cargo or cargo residue, and that - (A) is a vessel of the United States; (B) operates on the navigable waters of the United States; or (C) transfers oil or hazardous material in a port or place subject to the jurisdiction of the United States. (40) 'towing vessel' means a commercial vessel engaged in or intending to engage in the service of pulling, pushing, or hauling along side, or any combination of pulling, pushing, or hauling along side. (41) 'undocumented' means not having and not required to have a document issued under chapter 121 of this title. (42) 'uninspected passenger vessel' means an uninspected vessel carrying not more than 6 passengers. (43) 'uninspected vessel' means a vessel not subject to inspection under section 3301 of this title that is not a recreational vessel. (44) 'United States', when used in a geographic sense, means the States of the United States, Guam, Puerto Rico, the Virgin Islands, American Samoa, the District of Columbia, the Northern Mariana Islands, and any other territory or possession of the United States. (45) 'vessel' has the same meaning given that term in section 3 of title 1. (46) 'vessel of the United States' means a vessel documented or numbered under the laws of the United States or titled under the law of a State. (47) 'vessel of war' means a vessel - (A) belonging to the armed forces of a country; (B) bearing the external marks distinguishing vessels of war of that country; (C) under the command of an officer commissioned by the government of that country and whose name appears in the appropriate service list or its equivalent; and (D) staffed by a crew under regular armed forces discipline. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 501; Pub. L. 98-364, title IV, Sec. 402(1), July 17, 1984, 98 Stat. 445; Pub. L. 98-454, title III, Sec. 301(a), Oct. 5, 1984, 98 Stat. 1734; Pub. L. 98-557, Sec. 34(a), Oct. 30, 1984, 98 Stat. 2876; Pub. L. 99-307, Sec. 1(1), (2), May 19, 1986, 100 Stat. 444; Pub. L. 99-509, title V, Sec. 5102(b)(1), Oct. 21, 1986, 100 Stat. 1926; Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095; Pub. L. 99-640, Sec. 10(b)(1), 11(a), 13(d), Nov. 10, 1986, 100 Stat. 3549-3551; Pub. L. 100-239, Sec. 6(a)(1), Jan. 11, 1988, 101 Stat. 1781; Pub. L. 100-424, Sec. 8(c)(1), Sept. 9, 1988, 102 Stat. 1593; Pub. L. 100-710, title I, Sec. 104(a)(1), (2), Nov. 23, 1988, 102 Stat. 4749; Pub. L. 101-225, title II, Sec. 209, Dec. 12, 1989, 103 Stat. 1913; Pub. L. 101-380, title IV, Sec. 4103(a)(2)(A), Aug. 18, 1990, 104 Stat. 511; Pub. L. 101-595, title VI, Sec. 603(1), Nov. 16, 1990, 104 Stat. 2993.) -MISC1- HISTORICAL AND REVISION NOTES A number of definitions are provided because of the need to define jurisdictional and applicability limits of various sections to the many types and classes of vessels. --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2101(1) 46:1452(8) 2101(2) 2101(3) 2101(4) 14:1 2101(5) 46:391a(2)(H) 2101(6) 2101(7) 46:391a(2)(S) 2101(8) 46:391a(2)(N) 2101(9) 46:391a(2)(A) 2101(10) 46:65(1) 2101(11) 46:65(2) 2101(12) 46:391a(2)(B) 46:597 46:599 2101(13) 46:404 46:390(e) 2101(14) 46:391a(2)(C) 2101(15) 46:391a(2)(D) 2101(16) 46:361 46:367 46:404 2101(17) 46:404 46:1295f(c) 46:1295g(e)(1) 2101(18) 46:441(1) 2101(19) 46:404-1(1) 2101(20) 46:391a(2)(E) 2101(21) 46:390(a) 46:404-1(4) 46:1452(5) 2101(22) 46:391(c) 2101(23) 46:391a(2)(O) 2101(24) 46:391a(2)(G) 2101(25) 46:1452(1)(A), (B) 2101(26) 46:1452(7) 2101(27) 46:390(f) 2101(28) 46:390(h) 2101(29) 46:390(i) 2101(30) 46:390(g) 2101(31) 46:441(2) 2101(32) 46:395(e) 2101(33) 46:367 2101(34) 33:151 46:216(b) 46:239a(b) 46:390(d) 46:391a(2)(I) 46:405(b)(1)(A) 46:481(a) 46:672(a) 46:1452(9) 2101(35) 46:390(b) 2101(36) 2101(37) 46:361 2101(38) 46:391a(2)(M) 2101(39) 46:391a(3) 2101(40) 46:405 2101(41) 46:1452(3) 2101(42) 46:1452(1)(C) 2101(43) 46:526 2101(44) 2101(45) 1:3 46:1452(2) 2101(46) 46:391a(2)(L) ------------------------------- Section 2101(1) defines the type of 'associated equipment' that is involved in the use of recreational boats that are subject to Federal regulatory authority. This equipment is subject to a number of controls under federally established construction and performance standards. Radio equipment is exempt from these regulatory controls, since this equipment continues to be regulated by the Federal Communications Commission. Section 2101(2) defines 'barge' as a vessel that is non-self-propelled and that is often pushed ahead, towed alongside, or towed astern on a hawser by a towing vessel. It does not include a vessel that is propelled by sail only. Section 2101(3) defines 'boundary line' for the establishment of jurisdictional parameters for various maritime safety laws. Public Law 96-324, codified at 33 U.S.C. 151, permits the Secretary to establish appropriate identifiable lines dividing inland waters of the U.S. from the high seas for the purpose of determining the applicability of these laws. These laws will now be included within subtitle II of title 46 - Shipping. These lines may not be located more than twelve nautical miles seaward of the baseline from which the territorial sea is measured and may differ in position for the purposes of different parts or sections of subtitle II. Section 2101(4) defines 'Coast Guard'. Section 2101(5) provides that wherever the term 'commercial service' is used it is to include all vessels except those that are primarily used for combatant purposes. This is to make sure that vessels that are engaged in the transportation of goods or individuals are subject to the applicable maritime and environmental safety laws, even if they are sovereign controlled vessels. Section 2101(6) defines 'consular officer' as one who has authority to issue visas. Traditionally this person is knowledgeable and familiar with the maritime safety and seamen's welfare laws. Section 2101(7) defines 'crude oil' because certain equipment requirements like inert gas systems, segregated ballast tanks, crude oil washing systems or special ballast arrangements are applicable only to tank vessels that carry crude oil. Crude oil is still included within the definition of 'hazardous material' and 'oil'. Section 2101(8) defines a 'crude oil tanker' as one engaged in carrying crude oil. The definition does not include a tank barge since a tanker is defined as a self-propelled tank vessel. See also 2101(38). Section 2101(9) makes it clear that the term 'discharge' when referring to a substance that emanates from a vessel and is related to the marine environmental laws concerning pollution by oil or hazardous substances. Section 2101(10) defines a 'documented vessel' as any vessel of the United States that has been issued a certificate of documentation that might include a register, enrollment, license, or enrollment and license for various trades. Section 2101(11) lists what is included in the term 'fisheries' for the purpose of documentation of vessels and is intended to be all-inclusive of the numerous types of fishing activities. Section 2101(12) defines 'foreign vessel' as any foreign flag or foreign operated vessel that is operated under the jurisdiction or authority of a government other than the United States. Section 2101(13) defines a 'freight vessel' as a motor vessel or any vessel propelled by diesel or other internal combustion engines and that carries freight for hire. Section 2101(14) defines 'hazardous materials' as a broad range of materials that are not only flammable or combustible but are also designated under related maritime safety and environmental laws. Section 2101(15) defines 'marine environment' as an all-inclusive term that was developed to cover land and water areas that could be affected by pollution from all vessels and not only tank vessels. Section 2101(16) defines 'motor vessel' as a vessel propelled by machinery other than steam to make it clear that these vessels are not steam vessels. Section 2101(17) defines 'nautical school vessel' as a vessel that can be a privately owned and operated as well as a publicly owned and operated school vessel. Section 2101(18) defines 'oceanographic research vessel' as a vessel employed in oceanography or limnology research or instruction. It is defined because this type of vessel, while not inspected and certified as such, is subject to a number of special statutory and regulatory requirements. Section 2101(19) defines 'offshore supply vessel' as a class of vessel that is limited by tonnage and its employment in the mineral and oil industry and while so employed it is not a small passenger vessel. Section 2101(20) defines 'oil' to include oil of any type, in any form, or in any mixture. This is the definition that originated with marine environment and pollution laws and continues the definition that was adopted by port and tanker safety laws. Section 2101(21) defines the term 'passengers' in relation to various types of vessels. Due to the complexity of existing laws with respect to the definitions of 'passenger' on various categories of vessels and the need to not make any changes of a substantive nature that could be construed as controversial, four definitions of 'passenger' have been included. Section 2101(22) defines 'passenger vessel' as one that is at least 100 gross tons and carries at least one passenger for hire. Section 2101(23) defines 'product carrier' as a tanker that is engaged in carrying oil. This definition when read with the definition of tanker means that it is a self-propelled vessel. A tank barge carrying oil products is a tank vessel but is not subject to the special standards or requirements for a product carrier. Section 2101(24) defines a 'public vessel' as a governmental vessel that is not in commercial service. It should be noted that a sovereign-controlled foreign-flag vessel that is engaged in commercial service is not a public vessel and is subject to maritime safety and environment laws. Section 2101(25) defines a 'recreational vessel' as a class of vessel whose primary purpose is for pleasure. These vessels while not subject to inspection are subject to certain requirements of law to improve boating safety. Section 2101(26) defines a 'recreational vessel manufacturer' as one that is involved with not only the recreational vessels themselves but also with their components or associated equipment. Section 2101(27), (28), (29), and (30) provides a number of definitions that define the type of instruction, instructor, student, and vessel that is involved in the teaching of sailing. Section 2101(31) defines 'scientific personnel' as individuals engaged in oceanography or limnology because they are specially treated under various maritime safety requirements. Section 2101(32) defines a 'seagoing barge' as a vessel that is at least 100 gross tons making voyages to sea beyond the boundary line. Section 2101(33) defines a 'seagoing motor vessel' as a vessel that must be a motor vessel, as defined in 2101(15), of at least 300 gross tons making voyages to sea beyond the boundary line. Section 2101(34) defines 'Secretary' so that maritime safety and seamen's welfare jurisdiction remains within the Coast Guard at all times. Section 2101(35) defines 'small passenger vessel' as one that is less than 100 gross tons carrying more than six passengers as defined in section 2101(21). Section 2101(36) defines 'State' as a State, territory or possession of the United States and is used to establish jurisdictional limits for the application of the various maritime safety and environmental safety laws of this subtitle. This definition is further limited by definitions in section 2102 that relate to recreational boating safety and facility improvement programs. Section 2101(37) defines a 'steam vessel' as a vessel propelled by steam. However, steam vessels of not more than 40 feet that are used exclusively for pleasure are not included. Section 2101(38) defines 'tanker' as a self-propelled tank vessel that has been constructed or primarily adapted to carry oil or hazardous material in bulk in the cargo spaces. This vessel is a subclass of tank vessel, which is defined in section 2101(39). This subclass definition is necessary because certain statutory minimum requirements that are consistent with internationally accepted standards are solely applicable to these vessels. Section 2101(39) defines a 'tank vessel' as a vessel carrying oil or hazardous materials in bulk or residue including a tanker as defined in section 2101(38). Section 2101(40) defines 'towing vessel' as a vessel in commercial service that pushes, pulls, or tows alongside and includes what is traditionally known as a tug. Section 2101(41) defines 'undocumented' which, in part, facilitates the classification of vessels that may be numbered by the proper issuing authority in a State. Section 2101(42) defines an 'uninspected passenger vessel' as a vessel carrying six or less passengers. Section 2101(43) defines an 'uninspected vessel' as a vessel not subject to inspection and certification by the Coast Guard under section 3301. Recreational vessels and inland towing vessels are typical uninspected vessels. Section 2101(44) defines 'United States' to establish geographical boundaries for the applicability of the various maritime safety and environmental safety laws of this subtitle. This definition is further limited by definitions in section 2102 that relate to recreational boating safety and facility improvement programs. Section 2101(45) makes it clear that 'vessel' as used in this subtitle has the same meaning as is provided in section 3 of title 1, of the U.S.C. Section 2101(46) defines 'vessel of the United States' as a vessel that is documented or numbered under the laws of the United States. A documented vessel and those vessels that are numbered by a State or Federal authority are afforded the protection of the laws of the United States. -REFTEXT- REFERENCES IN TEXT Presidential Proclamation Numbered 5030, referred to in par. (10a), is set out under section 1453 of Title 16, Conservation. Section 13 of the Coast Guard Authorization Act of 1986, referred to in par. (17), is section 13 of Pub. L. 99-640, which enacted section 484d of Title 40, Public Buildings, Property, and Works and amended sections 2101 and 3305 of this title. -MISC2- AMENDMENTS 1990 - Par. (8a). Pub. L. 101-380 added par. (8a). Par. (14)(C). Pub. L. 101-595 substituted '(49 App. U.S.C. 1803)' for '(49 U.S.C. 1803)'. 1989 - Par. (17a). Pub. L. 101-225 added par. (17a). 1988 - Par. (10a). Pub. L. 100-239 added par. (10a). Par. (14a). Pub. L. 100-424 added par. (14a). Par. (34). Pub. L. 100-710, Sec. 104(a)(1), inserted ', except in part H,' before 'means'. Par. (46). Pub. L. 100-710, Sec. 104(a)(2), inserted 'or titled under the law of a State' before period at end. 1986 - Par. (11b). Pub. L. 99-640, Sec. 10(b)(1), inserted 'freezing,'. Par. (14)(C). Pub. L. 99-307, Sec. 1(1), substituted 'Materials' for 'Material'. Par. (15a). Pub. L. 99-640, Sec. 11(a), added par. (15a). Par. (17). Pub. L. 99-640, Sec. 13(d), inserted 'or an educational institution under section 13 of the Coast Guard Authorization Act of 1986'. Par. (20a). Pub. L. 99-509, Sec. 5102(b)(1)(A), added par. (20a). Par. (21)(A)(ii). Pub. L. 99-307, Sec. 1(2)(A), inserted 'or other individual engaged in the business of the vessel who has not contributed consideration for carriage on board the vessel' after 'crewmember'. Par. (21)(B). Pub. L. 99-307, Sec. 1(2)(D), struck out 'or a sailing school vessel,' after 'passenger vessel'. Par. (21)(B)(v) to (vii). Pub. L. 99-307, Sec. 1(2)(B), added cls. (v) and (vi) and struck out former cls. (v) to (vii) which read as follows: '(v) a guest on board a vessel that is being operated only for pleasure, or a guest on board a sailing school vessel, who has not contributed consideration for carriage on board; '(vi) an individual on board a towing vessel of at least 50 gross tons who has not contributed consideration for carriage on board; or '(vii) a sailing school instructor or sailing school student.' Par. (21)(F). Pub. L. 99-307, Sec. 1(2)(C), added subpar. (F). Par. (30)(D). Pub. L. 99-514 substituted 'Internal Revenue Code of 1986' for 'Internal Revenue Code of 1954'. Par. (47). Pub. L. 99-509, Sec. 5102(b)(1)(B), added par. (47). 1984 - Par. (3a). Pub. L. 98-454 added par. (3a). Par. (11). Pub. L. 98-364, Sec. 402(1)(A), substituted ' 'fish' means finfish, mollusks, crustaceans, and all other forms of marine animal and plant lift, except marine mammals and birds' for ' 'fisheries' includes planting, cultivating, catching, taking, or harvesting fish, shellfish, marine animals, pearls, shells, or marine vegetation at a place in the fishery conservation zone established by section 101 of the Magnuson Fishery Conservation and Management Act of 1976 (16 U.S.C. 1811)', which is now covered in section 12101 of this title. Pars. (11a) to (11c). Pub. L. 98-364, Sec. 402(1)(B), added pars. (11a) to (11c). Par. (21)(B). Pub. L. 98-557, Sec. 34(a)(1), inserted reference to a sailing school vessel in provisions preceding cl. (i). Par. (21)(E). Pub. L. 98-364, Sec. 402(1)(C), added subpar. (E). Par. (27). Pub. L. 98-557, Sec. 34(a)(2), designated existing provisions as subpar. (A) and added subpar. (B). EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. SHORT TITLE OF 1990 AMENDMENT Section 601 of title VI of Pub. L. 101-595 provided that: 'This title (amending this section and sections 2102, 3302, 4502, 5102, 5114, 8103, 8104, 8702, 12109, 12501, 12503, 12505, and 31308 of this title, repealing sections 4104, 5115, 8105, and 14102 of this title, and enacting provisions set out as notes under sections 4502 and 7306 of this title) may be cited as the 'Aleutian Trade Act of 1990'.' SHORT TITLE OF 1988 AMENDMENTS Section 1 of Pub. L. 100-424 provided that: 'This Act (enacting chapter 106 and sections 4505 to 4508 and 6104 of this title, amending this section and sections 3102, 3701, 4101, 4102, 4501 to 4504, and 6103 of this title, repealing sections 531 to 534 of the Appendix to this title, and enacting provisions set out as notes under sections 4501, 4502, 4508, and 7101 of this title) may be cited as the 'Commercial Fishing Industry Vessel Safety Act of 1988'.' Section 1 of Pub. L. 100-239 provided that: 'This Act (enacting section 8704 of this title, amending this section, sections 8103, 8702, 12101, 12102, 12106 to 12108 of this title, sections 251 and 883 of the Appendix to this title, and section 1802 of title 16, Conservation, and enacting provisions set out as notes under sections 8103, 8704, 12102, 12105, and 12108 of this title and section 883 of the Appendix of this title) may be cited as the 'Commercial Fishing Industry Vessel Anti-Reflagging Act of 1987'.' SHORT TITLE OF 1984 AMENDMENT Section 401 of title IV of Pub. L. 98-364 provided that: 'This title (enacting sections 4501 to 4504, and 7311a of this title, amending this section and sections 3301, 3302, 3304, 3306, 3702, 7111, 7301, 7306, 7312, 8102, 8104, 8701, 8702, 10101, 11108, 11109, and 12101 of this title and enacting provisions set out as a note under section 3302 of this title) may be cited as the 'Commercial Fishing Industry Vessel Act'.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 2102 of this title; sections 121, 446c, 808, 808a, 1160, 1807 of Appendix to this title; title 8 section 1184; title 15 section 2052; title 16 section 1383a; title 33 sections 1225, 1321, 2602, 2732; title 42 section 7511b. ------DocID 53144 Document 45 of 963------ -CITE- 46 USC Sec. 2102 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2102. Limited definitions -STATUTE- (a) In chapters 37, 43, 51, and 123 of this title and part I of this subtitle - (1) 'eligible State' means a State that has a State recreational boating safety program accepted by the Secretary. (2) 'State' and 'United States', in addition to their meanings under section 2101(36) and (44) of this title, include the Trust Territory of the Pacific Islands. (3) 'State recreational boating safety program' means education, assistance, and enforcement activities conducted for marine casualty prevention, reduction, and reporting for recreational boating. (b) In chapters 33, 45, 51, 81, and 87 of this title, 'Aleutian trade' means the transportation of cargo (including fishery related products) for hire on board a fish tender vessel to or from a place in Alaska West of 153 degrees west longitude and east of 172 degrees East longitude, if that place receives weekly common carrier service by water, to or from a place in the United States (except a place in Alaska). -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 505; Pub. L. 98-369, div. A, title X, Sec. 1011(a), July 18, 1984, 98 Stat. 1013; Pub. L. 99-509, title V, Sec. 5102(b)(2), Oct. 21, 1986, 100 Stat. 1926; Pub. L. 101-595, title VI, Sec. 602(a), Nov. 16, 1990, 104 Stat. 2990.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2102 46:1452(10)-(14) ------------------------------- Section 2102 contains a number of definitions that are limited to recreational vessels in Chapter 43 of Part B and the numbering of these vessels in Chapter 123 of Part H. AMENDMENTS 1990 - Pub. L. 101-595 designated existing provisions as subsec. (a) and added subsec. (b). 1986 - Pub. L. 99-509 inserted reference to chapters 37 and 51. 1984 - Par. (1). Pub. L. 98-369, Sec. 1011(a)(1), struck out 'and facilities improvement' after 'recreational boating safety'. Par. (3). Pub. L. 98-369, Sec. 1011(a)(2), (3), redesignated par. (5) as (3) and struck out former par. (3) which defined a State recreational boating facilities improvement program. Par. (4). Pub. L. 98-369, Sec. 1011(a)(2), struck out par. (4) which defined State recreational boating safety and facilities improvement program. Par. (5). Pub. L. 98-369, Sec. 1011(a)(3), redesignated par. (5) as (3). EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 effective Oct. 1, 1984, to apply with respect to fiscal years beginning after Sept. 30, 1984, see section 1013 of Pub. L. 98-369, set out as a note under section 13101 of this title. ------DocID 53145 Document 46 of 963------ -CITE- 46 USC Sec. 2103 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2103. Superintendence of the merchant marine -STATUTE- The Secretary has general superintendence over the merchant marine of the United States and of merchant marine personnel insofar as the enforcement of this subtitle is concerned and insofar as those vessels and personnel are not subject, under other law, to the supervision of another official of the United States Government. In the interests of marine safety and seamen's welfare, the Secretary shall enforce this subtitle and shall carry out correctly and uniformly administer this subtitle. The Secretary may prescribe regulations to carry out the provisions of this subtitle. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 506; Pub. L. 99-307, Sec. 9, May 19, 1986, 100 Stat. 447.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2103 46:2 46:372 46:689 ------------------------------- Section 2103 provides the Secretary with the authority to superintend the merchant marine and those involved personnel insofar as the vessels and personnel are not subject, under other laws, to the supervision of another official. The Secretary has the duty to enforce the laws with respect to vessels and seamen and to carry out correctly and uniformly these laws and regulations. The term 'superintendence' is used to indicate the Secretary's broad responsibility for overseeing maritime safety and seamen's welfare, including employment, shipping, navigation, and protection of the marine environment. AMENDMENTS 1986 - Pub. L. 99-307 substituted 'subtitle. The Secretary may prescribe regulations to carry out the provisions of this subtitle' for 'subtitle and regulations prescribed under this subtitle'. ------DocID 53146 Document 47 of 963------ -CITE- 46 USC Sec. 2104 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2104. Delegation -STATUTE- (a) The Secretary may delegate the duties and powers conferred by this subtitle to any officer, employee, or member of the Coast Guard, and may provide for the subdelegation of those duties and powers. (b) When this subtitle authorizes an officer or employee of the Customs Service to act in place of a Coast Guard official, the Secretary may designate that officer or employee subject to the approval of the Secretary of the Treasury. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 506.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2104 46:65v(1) 46:382b 46:416 46:543 46:689 ------------------------------- Section 2104 provides the Secretary with authority to delegate duties and powers to others. It also contains the authority to designate an officer or employee of the United States Customs Service to act in the place of a Coast Guard official. ------DocID 53147 Document 48 of 963------ -CITE- 46 USC Sec. 2105 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2105. Report -STATUTE- The Secretary shall provide for the investigation of the operation of this subtitle and of all laws related to marine safety, and shall require that a report be made to the Secretary annually about those matters that may require improvement or amendment. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 506.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2105 46:4 ------------------------------- Section 2105 requires the Secretary to investigate the operation of this subtitle and all laws related to maritime safety and requires appropriate reports to ensure that the Secretary is attentive to all the shipping laws under the Secretary's superintendence. ------DocID 53148 Document 49 of 963------ -CITE- 46 USC Sec. 2106 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2106. Liability in rem -STATUTE- When a vessel is made liable in rem under this subtitle, the vessel may be libeled and proceeded against in a district court of the United States in which the vessel is found. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 506.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2106 46:170(14) 46:216e(e) 46:390d 46:391a(14)(C) 46:436 46:462 46:481(c) 46:497 46:526o 46:672(j) 46:1484(b) ------------------------------- Section 2106 provides that when a vessel is made liable in rem the vessel may be libeled and proceeded against in a United States district court. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. ------DocID 53149 Document 50 of 963------ -CITE- 46 USC Sec. 2107 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2107. Civil penalty procedures -STATUTE- (a) After notice and an opportunity for a hearing, a person found by the Secretary to have violated this subtitle or a regulation prescribed under this subtitle for which a civil penalty is provided, is liable to the United States Government for the civil penalty provided. The amount of the civil penalty shall be assessed by the Secretary by written notice. In determining the amount of the penalty, the Secretary shall consider the nature, circumstances, extent, and gravity of the prohibited acts committed and, with respect to the violator, the degree of culpability, any history of prior offenses, ability to pay, and other matters that justice requires. (b) The Secretary may compromise, modify, or remit, with or without consideration, a civil penalty under this subtitle until the assessment is referred to the Attorney General. (c) If a person fails to pay an assessment of a civil penalty after it has become final, the Secretary may refer the matter to the Attorney General for collection in an appropriate district court of the United States. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 506.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2107 33:364 46:7 46:65u 46:216e(d) 46:391a(14) 46:526o 46:526p 46:1484(c) ------------------------------- Section 2107 provides for standard procedures for the handling of civil penalties for infractions of law or regulation. Some changes were made to increase some antiquated and inadequate penalties. The assessment of civil penalties under this section should not require an 'on the record' hearing within the meaning of the Administrative Procedures Act (APA). It is intended that these civil penalties be assessed in a fair manner. However, the Committee recognizes that statutes passed in the last decade have involved the Coast Guard in tens of thousands of civil penalty enforcement cases and that it is necessary that the penalties be assessed efficiently. The Coast Guard's procedural regulations for assessing civil penalties ensure that the essential elements of due process, notice, and opportunity to be heard, are provided to alleged violators (see 33 CFR Subpart 1.07). The more rigid and time-consuming procedures applicable to APA adjudications are unwarranted in the case of Coast Guard civil penalty assessment procedures and would seriously hamper the orderly enforcement of these administrative penalties. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 251a, 883-1, 883a of Appendix to this title. ------DocID 53150 Document 51 of 963------ -CITE- 46 USC Sec. 2108 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2108. Refund of penalties -STATUTE- The Secretary may refund or remit a civil penalty collected under this subtitle if - (1) application has been made for refund or remission of the penalty within one year from the date of payment; and (2) the Secretary finds that the penalty was unlawfully, improperly, or excessively imposed. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 507.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2108 46:8 ------------------------------- Section 2108 provides for the refunding of civil penalties. ------DocID 53151 Document 52 of 963------ -CITE- 46 USC Sec. 2109 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2109. Public vessels -STATUTE- Except as otherwise provided, this subtitle does not apply to a public vessel of the United States. However, this subtitle does apply to a vessel (except a Coast Guard or a Saint Lawrence Seaway Development Corporation vessel) owned or operated by the Department of Transportation or by any corporation organized or controlled by the Department. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 507; Pub. L. 99-509, title V, Sec. 5102(b)(3), Oct. 21, 1986, 100 Stat. 1927.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2109 46:362 46:363 46:391a(4) ------------------------------- Section 2109 exempts public vessels from the applicability of the maritime safety and seamen's welfare laws of this subtitle although some public vessels are inspected under interagency voluntary agreements. AMENDMENTS 1986 - Pub. L. 99-509 substituted 'Except as otherwise provided, this' for 'This'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 49 App. section 1806. ------DocID 53152 Document 53 of 963------ -CITE- 46 USC Sec. 2110 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2110. Fees -STATUTE- (a)(1) Except as otherwise provided in this title, the Secretary shall establish a fee or charge for a service or thing of value provided by the Secretary under this subtitle, in accordance with section 9701 of title 31. (2) The Secretary may not establish a fee or charge under paragraph (1) for inspection or examination of a non-self-propelled tank vessel under part B of this title (FOOTNOTE 1) that is more than $500 annually. (FOOTNOTE 1) So in original. Probably should be 'subtitle'. (3) The Secretary may, by regulation, adjust a fee or charge collected under this subsection to accommodate changes in the cost of providing a specific service or thing of value, but the adjusted fee or charge may not exceed the total cost of providing the service or thing of value for which the fee or charge is collected, including the cost of collecting the fee or charge. (4) The Secretary may not collect a fee or charge under this subsection that is in conflict with the international obligations of the United States. (5) The Secretary may not collect a fee or charge under this subsection for any search or rescue service. (b)(1) The Secretary shall establish a fee or charge as provided in paragraph (2) of this subsection, and collect it annually in fiscal years 1991, 1992, 1993, 1994, and 1995, from the owner or operator of each recreational vessel that is greater than 16 feet in length. (2) The fee or charge established under paragraph (1) of this subsection is as follows: (A) for vessels greater than 16 feet in length but less than 20 feet, not more than $25; (B) for vessels of at least 20 feet in length but less than 27 feet, not more than $35; (C) for vessels of at least 27 feet in length but less than 40 feet, not more than $50; and (D) for vessels of at least 40 feet in length, not more than $100. (3) The fee or charge established under this subsection applies only to vessels operated on the navigable waters of the United States where the Coast Guard has a presence. (4) The fee or charge established under this subsection does not apply to a - (A) public vessel; or (B) vessel deemed to be a public vessel under section 827 of title 14. (c) In addition to the collection of fees and charges established under subsections (a) and (b), the Secretary may recover appropriate collection and enforcement costs associated with delinquent payments of the fees and charges. (d)(1) The Secretary may employ any Federal, State, or local agency or instrumentality, or any private enterprise or business, to collect a fee or charge established under this section. A private enterprise or business selected by the Secretary to collect fees or charges - (A) shall be subject to reasonable terms and conditions agreed to by the Secretary and the enterprise or business; (B) shall provide appropriate accounting to the Secretary; and (C) may not institute litigation as part of that collection. (2) A Federal agency shall account for the agency's costs of collecting the fee or charge under this subsection as a reimbursable expense, and the costs shall be credited to the account from which expended. (e) A person that violates this section by failing to pay a fee or charge established under this section is liable to the United States Government for a civil penalty of not more than $5,000 for each violation. (f) When requested by the Secretary, the Secretary of the Treasury shall deny the clearance required by section 4197 of the Revised Statutes of the United States (46 App. U.S.C. 91) to a vessel for which a fee or charge established under this section has not been paid until the fee or charge is paid or until a bond is posted for the payment. (g) The Secretary may exempt a person from paying a fee or charge established under this section if the Secretary determines that it is in the public interest to do so. (h) Fees and charges collected by the Secretary under this section shall be deposited in the general fund of the Treasury as offsetting receipts of the department in which the Coast Guard is operating and ascribed to Coast Guard activities. (i) The collection of a fee or charge under this section does not alter or expand the functions, powers, responsibilities, or liability of the United States under any law for the performance of services or the provision of a thing of value for which a fee or charge is collected under this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 507; Pub. L. 99-509, title V, Sec. 5102(b)(4), Oct. 21, 1986, 100 Stat. 1927; Pub. L. 100-710, title I, Sec. 104(a)(3), Nov. 23, 1988, 102 Stat. 4749; Pub. L. 101-508, title X, Sec. 10401(a), Nov. 5, 1990, 104 Stat. 1388-397.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2110 46:331 ------------------------------- Section 2110 prevents the assessment of user fees for certain maritime safety and seamen's welfare services unless otherwise provided for by law. These include: Measurement of tonnage and certifying the same, except that the compensation and necessary travel and subsistence expenses of the officers so measuring or certifying such vessels at the request of the owners thereof at a place other than a port of entry or a customs station shall be paid by such owners; issuing of license or granting of certificate of registry, record, or enrollment, including all indorsements on the same and oath; indorsement of change of master; certifying and receiving manifest, including master's oath and permit; granting permit to vessels licensed for the fisheries to touch and trade; granting certificate of payment of tonnage dues; recording bill of sale, mortgage, hypothecation or conveyance, or the discharge of such mortgage or hypothecation; furnishing certificate of title; furnishing the crew list; certificate of protection to seamen; bill of health; shipping or discharging of seamen; apprenticing boys to the merchant service; inspecting, examining, and licensing steam vessels, including inspection certificate and copies thereof; and licensing of master, engineer, pilot, or mate of a vessel. AMENDMENTS 1990 - Pub. L. 101-508 substituted 'Fees' for 'Fees prohibited' as section catchline and amended text generally. Prior to amendment, text read as follows: 'Fees may not be charged or collected by the Secretary for services provided for in this subtitle related to the engagement and discharge of seamen, the inspection and examination of vessels under part B of this subtitle, and the licensing of masters, mates, pilots, and engineers, except when specifically provided for in this subtitle.' 1988 - Pub. L. 100-710 substituted 'and the licensing of masters, mates, pilots, and engineers' for 'the licensing of masters, mates, pilots, and engineers, and the documentation of vessels'. 1986 - Pub. L. 99-509 substituted 'examination of vessels under part B of this subtitle' for 'examination of vessels' and struck out 'measurement or' before 'documentation'. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. ------DocID 53153 Document 54 of 963------ -CITE- 46 USC Sec. 2111 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2111. Pay for overtime services -STATUTE- (a) The Secretary may prescribe a reasonable rate of extra pay for overtime services of civilian officers and employees of the Coast Guard required to remain on duty between 5 p.m. and 8 a.m., or on Sundays or holidays, to perform services related to - (1) the inspection of vessels or their equipment; (2) the engagement and discharge of crews of vessels; (3) the measurement of vessels; and (4) the documentation of vessels. (b) Except for Sundays and holidays, the overtime rate provided under subsection (a) of this section is one-half day's additional pay for each 2 hours of overtime (or part of 2 hours of at least one hour). The total extra pay may be not more than 2 and one-half days' pay for any one period from 5 p.m. to 8 a.m. (c) The overtime rate provided under subsection (a) of this section for Sundays and holidays is 2 additional days' pay. (d) The owner, charterer, managing operator, agent, master, or individual in charge of the vessel shall pay the amount of the overtime pay provided under this section to the official designated by regulation. The official shall deposit the amount paid to the Treasury as miscellaneous receipts. Payment to the officer or employee entitled to the pay shall be made from the annual appropriations for salaries and expenses of the Coast Guard. (e) The overtime pay provided under this section shall be paid if the authorized officers and employees have been ordered to report for duty and have reported, even if services requested were not performed. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 507.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2111 46:382b ------------------------------- Section 2111 provides for the payment of overtime rates for work performed by civilian officers and employees of the Coast Guard for certain specified activities. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 2112 of this title; title 5 section 5549. ------DocID 53154 Document 55 of 963------ -CITE- 46 USC Sec. 2112 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2112. Authority to change working hours -STATUTE- In a port at which the customary working hours begin before 8 a.m. or end after 5 p.m., the Secretary may regulate the working hours of the officers and employees referred to in section 2111 of this title so that those hours conform to the prevailing working hours of the port. However - (1) the total period for which overtime pay may be required under section 2111 of this title may not be more than 15 hours between any 2 periods of ordinary working hours on other than Sundays and holidays; (2) the length of the working day for the officers and employees involved may not be changed; and (3) the rate of overtime pay may not be changed. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 508.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2112 46:382b ------------------------------- Section 2112 provides the Secretary with the authority to regulate the working hours of civilian officers and employees of the Coast Guard to conform with the prevailing working hours of a port. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 5 section 5549. ------DocID 53155 Document 56 of 963------ -CITE- 46 USC Sec. 2113 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2113. Authority to exempt certain vessels -STATUTE- If the Secretary decides that the application of a provision of part B or F of this subtitle is not necessary in performing the mission of a vessel engaged in excursions or an oceanographic research vessel, the Secretary by regulation may - (1) for an excursion vessel, issue a special permit specifying the conditions of operation and equipment; and (2) exempt the oceanographic research vessel from that provision under conditions the Secretary may specify. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 508.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2113 46:445 46:453 ------------------------------- Section 2113 provides the Secretary with the authority to exempt certain vessels from the inspection and manning requirements of law when vessels are engaged in excursions or oceanographic research. This is the authority of the issuance of excursion permits when special circumstances justify the waiver of certain maritime safety and seamen's welfare laws for a short period of time. It also contains flexible exemption authority for regulation of oceanographic research vessels. ------DocID 53156 Document 57 of 963------ -CITE- 46 USC Sec. 2114 -EXPCITE- TITLE 46 Part A CHAPTER 21 -HEAD- Sec. 2114. Protection of seamen against discrimination -STATUTE- (a) An owner, charterer, managing operator, agent, master, or individual in charge of a vessel may not discharge or in any manner discriminate against a seaman because the seaman in good faith has reported or is about to report to the Coast Guard that the seaman believes that a violation of this subtitle, or a regulation issued under this subtitle, has occurred. (b) A seaman discharged or otherwise discriminated against in violation of this section may bring an action in an appropriate district court of the United States. In that action, the court may order any appropriate relief, including - (1) restraining violations of this section; and (2) reinstatement to the seaman's former position with back pay. -SOURCE- (Added Pub. L. 98-557, Sec. 13(a), Oct. 30, 1984, 98 Stat. 2863.) ------DocID 53157 Document 58 of 963------ -CITE- 46 USC CHAPTER 23 -EXPCITE- TITLE 46 Part A CHAPTER 23 -HEAD- CHAPTER 23 - OPERATION OF VESSELS GENERALLY -MISC1- Sec. 2301. Application. 2302. Penalties for negligent operations. 2303. Duties related to marine casualty assistance and information. 2304. Duty to provide assistance at sea. 2305. Injunctions. 2306. Vessel reporting requirements. HISTORICAL AND REVISION NOTES Chapter 23 lists requirements that relate to the general operation of all vessels. These include penalties and injunctive relief for negligent operation of a vessel. It also provides penalties for failure to render assistance. AMENDMENTS 1984 - Pub. L. 98-498, title II, Sec. 212(a)(1), Oct. 19, 1984, 98 Stat. 2305, added item 2306. ------DocID 53158 Document 59 of 963------ -CITE- 46 USC Sec. 2301 -EXPCITE- TITLE 46 Part A CHAPTER 23 -HEAD- Sec. 2301. Application -STATUTE- Except as provided in section 2306 of this title, this chapter applies to a vessel operated on waters subject to the jurisdiction of the United States and, for a vessel owned in the United States, on the high seas. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 508; Pub. L. 98-498, title II, Sec. 212(a)(2), Oct. 19, 1984, 98 Stat. 2305.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2301 46:480 ------------------------------- Section 2301 provides that this chapter is applicable to all vessels, including foreign flag vessels, when operating on waters subject to the jurisdiction of the United States. Any vessel owned in the United States while operating on the high seas would be included. By ownership the Committee means those vessels that are documented or numbered under United States laws and those other vessels that are neither documented or numbered but are of national origin and are not documented under the laws of a foreign nation. This chapter is applicable to a foreign flag vessel that is in innocent passage through territorial waters of the United States, presently 3 miles seaward, whether or not it is bound to or from a port subject to the jurisdiction of the United States. AMENDMENTS 1984 - Pub. L. 98-498 substituted 'Except as provided in section 2306 of this title, this chapter' for 'This chapter'. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-498 effective 180 days after Oct. 19, 1984, see section 214 of Pub. L. 98-498, set out as an Effective Date note under section 2306 of this title. ------DocID 53159 Document 60 of 963------ -CITE- 46 USC Sec. 2302 -EXPCITE- TITLE 46 Part A CHAPTER 23 -HEAD- Sec. 2302. Penalties for negligent operations -STATUTE- (a) A person operating a vessel in a negligent manner that endangers the life, limb, or property of a person is liable to the United States Government for a civil penalty of not more than $1,000. (b) A person operating a vessel in a grossly negligent manner that endangers the life, limb, or property of a person commits a class A misdemeanor. (c) An individual who is under the influence of alcohol, or a dangerous drug in violation of a law of the United States when operating a vessel, as determined under standards prescribed by the Secretary by regulation - (1) is liable to the United States Government for a civil penalty of not more than $1,000; or (2) commits a class A misdemeanor. (d) For a penalty imposed under this section, the vessel also is liable in rem unless the vessel is - (1) owned by a State or a political subdivision of a State; (2) operated principally for governmental purposes; and (3) identified clearly as a vessel of that State or subdivision. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 508; Pub. L. 98-557, Sec. 7(a), Oct. 30, 1984, 98 Stat. 2862; Pub. L. 101-380, title IV, Sec. 4105(b)(2), 4302(a), Aug. 18, 1990, 104 Stat. 513, 537.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2302(a) 46:1461(d) 46:1484(b) 2302(b) 46:1461(d) 46:1483 2302(c) 46:1484(b) ------------------------------- Section 2302 states that the negligent operation of a vessel is prohibited. These acts are subject to civil and criminal penalties and the involved vessel is subject to an in rem action. The negligent operation provisions have their genesis in the Act of April 25, 1940, 54 Stat. 167, when Congress prescribed that no person shall operate any motorboat or any vessel in a reckless or negligent manner. This provision was directed at all vessels and not those solely engaged in recreational boating. When the Federal Boat Safety Act of 1971, P.L. 92-75, 85 Stat. 217 (46 U.S.C. 1461) was enacted it adopted the reckless or negligent operation provisions of the 1940 Act. It adopted for the first time a provision for assessing civil penalties in addition to criminal penalties. It dropped the word 'reckless' because of redundancy. It also combined the two classes of vessels; 'any motorboat or any vessel' into one class by using the word 'vessel' and defined vessel as including every description of watercraft. AMENDMENTS 1990 - Subsec. (b). Pub. L. 101-380, Sec. 4302(a)(1), substituted 'commits a class A misdemeanor' for 'shall be fined not more than $5,000, imprisoned for not more than one year, or both'. Subsec. (c). Pub. L. 101-380, Sec. 4105(b)(2), 4302(a)(2)(A), substituted 'under the influence of alcohol, or a dangerous drug in violation of a law of the United States' for 'intoxicated' and struck out ', shall be' after 'by the Secretary by regulation'. Subsec. (c)(1). Pub. L. 101-380, Sec. 4302(a)(2)(B), substituted 'is liable' for 'liable'. Subsec. (c)(2). Pub. L. 101-380, Sec. 4302(a)(2)(C), amended par. (2) generally. Prior to amendment, par. (2) read as follows: 'fined not more than $5,000, imprisoned for not more than one year, or both.' 1984 - Subsecs. (c), (d). Pub. L. 98-557 added subsec. (c) and redesignated former subsec. (c) as (d). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53160 Document 61 of 963------ -CITE- 46 USC Sec. 2303 -EXPCITE- TITLE 46 Part A CHAPTER 23 -HEAD- Sec. 2303. Duties related to marine casualty assistance and information -STATUTE- (a) The master or individual in charge of a vessel involved in a marine casualty shall - (1) render necessary assistance to each individual affected to save that affected individual from danger caused by the marine casualty, so far as the master or individual in charge can do so without serious danger to the master's or individual's vessel or to individuals on board; and (2) give the master's or individual's name and address and identification of the vessel to the master or individual in charge of any other vessel involved in the casualty, to any individual injured, and to the owner of any property damaged. (b) An individual violating this section or a regulation prescribed under this section shall be fined not more than $1,000 or imprisoned for not more than 2 years. The vessel also is liable in rem to the United States Government for the fine. (c) An individual complying with subsection (a) of this section or gratuitously and in good faith rendering assistance at the scene of a marine casualty without objection by an individual assisted, is not liable for damages as a result of rendering assistance or for an act or omission in providing or arranging salvage, towage, medical treatment, or other assistance when the individual acts as an ordinary, reasonable, and prudent individual would have acted under the circumstances. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 509.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2303(a) 33:367 46:1465(a) 2303(b) 33:368 2303(c) 46:1465(b) ------------------------------- Section 2303 requires a master or anyone in charge of a vessel to provide assistance and render aid to those involved in a marine casualty and to exchange information in a manner similar to automobile accident cases. It also includes a 'Good Samaritan' clause that exonerates anyone from liability when rendering assistance in an ordinary, reasonable, or prudent manner. ------DocID 53161 Document 62 of 963------ -CITE- 46 USC Sec. 2304 -EXPCITE- TITLE 46 Part A CHAPTER 23 -HEAD- Sec. 2304. Duty to provide assistance at sea -STATUTE- (a) A master or individual in charge of a vessel shall render assistance to any individual found at sea in danger of being lost, so far as the master or individual in charge can do so without serious danger to the master's or individual's vessel or individuals on board. (b) A master or individual violating this section shall be fined not more than $1,000, imprisoned for not more than 2 years, or both. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 509.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2304 46:728 ------------------------------- Section 2304 requires a master or individual in charge of a vessel to render assistance to those in danger at sea if able to do so without seriously endangering the vessel or crew. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3304 of this title. ------DocID 53162 Document 63 of 963------ -CITE- 46 USC Sec. 2305 -EXPCITE- TITLE 46 Part A CHAPTER 23 -HEAD- Sec. 2305. Injunctions -STATUTE- (a) The district courts of the United States have jurisdiction to enjoin the negligent operation of vessels prohibited by this chapter on the petition of the Attorney General for the United States Government. (b) When practicable, the Secretary shall - (1) give notice to any person against whom an action for injunctive relief is considered under this section an opportunity to present that person's views; and (2) except for a knowing and willful violation, give the person a reasonable opportunity to achieve compliance. (c) The failure to give notice and opportunity to present views under subsection (b) of this section does not preclude the court from granting appropriate relief. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 509.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 2305 46:1485 ------------------------------- Section 2305 provides injunctive authority to enjoin the negligent operation of vessels. This authority can also be used to enjoin the operation of foreign or domestic vessels on our waters when they are unsuitable for the voyage intended. ------DocID 53163 Document 64 of 963------ -CITE- 46 USC Sec. 2306 -EXPCITE- TITLE 46 Part A CHAPTER 23 -HEAD- Sec. 2306. Vessel reporting requirements -STATUTE- (a)(1) An owner, charterer, managing operator, or agent of a vessel of the United States, having reason to believe (because of lack of communication with or nonappearance of a vessel or any other incident) that the vessel may have been lost or imperiled, immediately shall - (A) notify the Coast Guard; and (B) use all available means to determine the status of the vessel. (2) When more than 48 hours have passed since the owner, charterer, managing operator, or agent of a vessel required to report to the United States Flag Merchant Vessel Location Filing System under authority of section 212(A) of the Merchant Marine Act, 1936 (46 App. U.S.C. 1122a), has received a communication from the vessel, the owner, charterer, managing operator, or agent immediately shall - (A) notify the Coast Guard; and (B) use all available means to determine the status of the vessel. (3) A person notifying the Coast Guard under paragraph (1) or (2) of this subsection shall provide the name and identification number of the vessel, the names of individuals on board, and other information that may be requested by the Coast Guard. The owner, charterer, managing operator, or agent also shall submit written confirmation to the Coast Guard within 24 hours after nonwritten notification to the Coast Guard under those paragraphs. (4) An owner, charterer, managing operator, or agent violating this subsection is liable to the United States Government for a civil penalty of not more than $5,000 for each day during which the violation occurs. (b)(1) The master of a vessel of the United States required to report to the System shall report to the owner, charterer, managing operator, or agent at least once every 48 hours. (2) A master violating this subsection is liable to the Government for a civil penalty of not more than $1,000 for each day during which the violation occurs. (c) The Secretary may prescribe regulations to carry out this section. -SOURCE- (Added Pub. L. 98-498, title II, Sec. 212(a)(3), Oct. 19, 1984, 98 Stat. 2305.) -MISC1- EFFECTIVE DATE Section 214 of Pub. L. 98-498 provided that: 'Sections 211(a) and 212 of this subtitle (enacting this section and amending sections 2302, 3309, 6101, and 6103 of this title) are effective one hundred and eighty days after the date of enactment of this Act (Oct. 19, 1984).' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 2301 of this title. ------DocID 53164 Document 65 of 963------ -CITE- 46 USC Part B -EXPCITE- TITLE 46 Part B -HEAD- Part B - Inspection and Regulation of Vessels -MISC1- HISTORICAL AND REVISION NOTES Part B provides authority and responsibility for the inspection and regulation of vessels by the Coast Guard. This part specifies those vessels subject to inspection, those that are specifically exempt from inspection, and related inspection requirements and procedures. Due to the need for special requirements for the inspection and regulation of passenger vessels and those vessels carrying liquid bulk dangerous cargoes separate chapters have been developed. Additional chapters provide for recreational vessels and those other vessels that are regulated but are not subject to inspection and certification by the Coast Guard. It should also be noted that the United States is signatory to a number of international treaties on maritime safety and seamen's welfare, such as the various Safety of Life at Sea (SOLAS) treaties, and that their provisions and requirements are part of United States maritime law and in many cases are quite extensive. -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in sections 2110, 2113, 7111, 7113, 8101, 8104, 8303, 8501, 8502, 14305 of this title; title 49 section 10542. ------DocID 53165 Document 66 of 963------ -CITE- 46 USC CHAPTER 31 -EXPCITE- TITLE 46 Part B CHAPTER 31 -HEAD- CHAPTER 31 - GENERAL -MISC1- Sec. 3101. Authority to suspend inspection. 3102. Immersion suits. AMENDMENTS 1988 - Pub. L. 100-424, Sec. 8(a)(3), Sept. 9, 1988, 102 Stat. 1593, substituted 'Immersion' for 'Exposure' in item 3102. 1985 - Pub. L. 99-36, Sec. 2, May 15, 1985, 99 Stat. 68, repealed section 22 of Pub. L. 98-557 and the amendments made by that section, which added first identical item 3102, effective Nov. 8, 1984, thereby leaving Pub. L. 98-623 as the sole authority for the addition of item 3102. See 1984 Amendment note below. 1984 - Pub. L. 98-557, Sec. 22(a)(2), Oct. 30, 1984, 98 Stat. 2871, and Pub. L. 98-623, title VII, Sec. 701(a)(2), Nov. 8, 1984, 98 Stat. 3413, added identical item 3102. See 1985 Amendment note above. ------DocID 53166 Document 67 of 963------ -CITE- 46 USC Sec. 3101 -EXPCITE- TITLE 46 Part B CHAPTER 31 -HEAD- Sec. 3101. Authority to suspend inspection -STATUTE- When the President decides that the needs of foreign commerce require, the President may suspend a provision of this part for a foreign-built vessel registered as a vessel of the United States on conditions the President may specify. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 510.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3101 46:82 ------------------------------- Section 3101 provides the President with the authority to suspend the inspection laws for a foreign-built reflagged U.S. vessel when the needs of foreign commerce require this. For example, if a foreign-flag vessel is reflagged in the U.S. but does not meet the specific Coast Guard inspection requirements, the President could suspend these requirements. EFFECTIVE DATE Section 2(g)(1) of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 599, provided that: 'Part B (chapters 31 to 43) of subtitle II and sections 7306 (related to able seaman sail) and 7311 of title 46 (as enacted by section 1 of this Act) take effect April 15, 1984, or when regulations for sailing school vessels under part B are effective, whichever is earlier.' (Part B of subtitle II and sections 7306 (related to able seaman sail) and 7311 of title 46 effective Apr. 15, 1984, in absence of regulations for sailing school vessels under part B on that date.) -TRANS- DELEGATION OF FUNCTIONS For delegation to Secretary of the Treasury of authority vested in President by this section, see Ex. Ord. No. 10289, Sept. 17, 1951, 16 F.R. 9499, as amended, set out as a note under section 301 of Title 3, The President. ------DocID 53167 Document 68 of 963------ -CITE- 46 USC Sec. 3102 -EXPCITE- TITLE 46 Part B CHAPTER 31 -HEAD- Sec. 3102. Immersion suits -STATUTE- (a) The Secretary shall by regulation require immersion suits on vessels designated by the Secretary that operate in the Atlantic Ocean north of 32 degrees North latitude or south of 32 degrees South latitude and in all other waters north of 35 degrees North latitude or south of 35 degrees South latitude. The Secretary may not exclude a vessel from designation under this section only because that vessel carries other lifesaving equipment. (b) The Secretary shall establish standards for an immersion suit required by this section, including standards to guarantee adequate thermal protection, buoyance, and flotation stability. (c)(1) The owner, charterer, managing operator, agent, master, or individual in charge of a vessel violating this section or a regulation prescribed under this section is liable to the United States Government for a civil penalty of not more than $5,000. The vessel also is liable in rem for the penalty. (2) The owner, charterer, managing operator, agent, master, or individual in charge of a vessel violating this section or a regulation prescribed under this section may be fined not more than $25,000, imprisoned for not more than 5 years, or both. -SOURCE- (Added Pub. L. 98-557, Sec. 22(a)(1), Oct. 30, 1984, 98 Stat. 2871; Pub. L. 98-623, title VII, Sec. 701(a)(1), Nov. 8, 1984, 98 Stat. 3413; Pub. L. 99-36, Sec. 2, May 15, 1985, 99 Stat. 68; Pub. L. 100-424, Sec. 8(a)(1), (2), Sept. 9, 1988, 102 Stat. 1592, 1593.) -COD- CODIFICATION Pub. L. 98-557 and Pub. L. 98-623 enacted identical section 3102 of this title. Section 22 of Pub. L. 98-557, which enacted first identical section 3102 of this title, was repealed by section 2 of Pub. L. 99-36, set out below as a Repeal of Duplicate Section note. -MISC3- AMENDMENTS 1988 - Pub. L. 100-424 substituted 'Immersion' for 'Exposure' in section catchline, and 'immersion' for 'exposure' in subsecs. (a) and (b). REPEAL OF DUPLICATE SECTION 3102; REFERENCES THERETO AND REGULATIONS AND ACTIONS THEREUNDER Section 2 of Pub. L. 99-36 provided that: 'Section 22 of the Coast Guard Authorization Act of 1984 (Public Law 98-557; 98 Stat. 2871), and the amendments made by such section (enacting first identical section 3102 of this title and provisions set out as a note under this section and amending the analysis of chapter 31 of this title), are repealed as of November 8, 1984. Regulations prescribed and actions taken under, and references to, such section and the amendments made by such section are deemed to be regulations prescribed and actions taken under, and references to, section 701 of the Act of November 8, 1984 (Public Law 98-623; 98 Stat. 3413), and the amendments made by such section 701 (enacting second identical section 3102 of this title and provisions set out as a note under this section and amending the analysis of chapter 31 of this title).' REGULATIONS Section 701(b), (c) of title VII of Pub. L. 98-623 provided: '(b) Section 3102 of title 46, United States Code (as added by subsection (a) of this section), does not limit the authority of the Secretary of the department in which the Coast Guard is operating to prescribe regulations requiring exposure suits on vessels not required by section 3102 to have exposure suits. '(c) The regulations prescribed under section 3102 of title 46, United States Code (as added by subsection (a) of this section), shall be effective not later than 60 days after the date of enactment of this title (Nov. 8, 1984).' (Regulations effective Dec. 30, 1984, see 49 F.R. 50722, Dec. 31, 1984.) Similar provisions were contained in section 22(b), (c) of Pub. L. 98-557, which was repealed by section 2 of Pub. L. 99-36, set out above as a Repeal of Duplicate Section note. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 4502 of this title. ------DocID 53168 Document 69 of 963------ -CITE- 46 USC CHAPTER 33 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- CHAPTER 33 - INSPECTION GENERALLY -MISC1- Sec. 3301. Vessels subject to inspection. 3302. Exemptions. 3303. Reciprocity for foreign vessels. 3304. Transporting individuals in addition to crew. 3305. Scope and standards of inspection. 3306. Regulations. 3307. Frequency of inspection. 3308. Examinations. 3309. Certificate of inspection. 3310. Records of certification. 3311. Certificate of inspection required. 3312. Display of certificate of inspection. 3313. Compliance with certificate of inspection. 3314. Expiration of certificate of inspection. 3315. Disclosure of defects and protection of informants. 3316. United States classification societies. 3317. Fees. 3318. Penalties. HISTORICAL AND REVISION NOTES Chapter 33 consolidates the laws governing the inspection and certification of vessels by the Coast Guard that have developed over a period in excess of 140 years. The original laws were directed to the safety of the relatively new and potentially dangerous steam vessel. The demand for Federal remedial legislation began during the early 1800's after frequent and disastrous explosions of steam boilers on passenger vessels. This directly led to the first maritime safety laws in 1838 that required periodic inspection and certification of vessels engaged in the transportation of passengers and freight on the waters of the United States. This was followed by a more extensive steamboat inspection law in 1852 which adopted for the first time the principle of licensing for river pilots and engineers. It also created a new Federal maritime safety inspection service called the Federal Inspection Service that eventually became the Bureau of Marine Inspection and Navigation, whose duties were temporarily assumed in 1941 and permanently assumed in 1946 by the United States Coast Guard. In 1864 the principal inspection and licensing provisions of the 1852 act were made applicable to ferries, towing vessels, and canal boats. However, steamboat explosions continued with high loss of life and property. One of the greatest of all disasters, the destruction of the passenger vessel Sultana by explosion and fire with a loss of life estimated at more than 1500 lives in April 1865, led to renewed legislation efforts. In 1871 this culminated with legislation that combined a number of new requirements into a coherent and unified body of maritime safety laws. At the time of the adoption of the Revised Statutes in 1874, a maritime safety code was well established for vessels propelled in whole or in part by steam. In the more than 100 years since then, as the public recognized the need for vessel safety legislation, primarily as the result of maritime disasters, other classes of vessels were subjected to Federal inspection or regulatory control. These included vessels propelled by gas, fluid, naphtha, or electric motors in 1897; sail vessels and barges carrying passengers for hire in 1898; seagoing barges in 1908; motorboats in 1910; steam vessels owned by the Department of Commerce in 1919; seagoing vessels of 300 gross tons and over on June 20, 1936; all tank vessels carrying flammable or combustible liquid cargo in bulk regardless of size or means of propulsion of June 23, 1936; motorboats again in 1940; all vessels carrying more than six passengers in 1956; tank vessels again in 1978; and offshore supply vessels in 1980. There was also considerable legislation that amended or supplemented these primary maritime safety laws. The net result has been a patchwork quilt of categories and classifications that requires a tabulation of more than seventy different classes of inspected vessels. This revision gathers into one section of the law all classes of vessels that are subject to inspection and certification without changing the application of present law as to any one class of vessel. The revision does not alter the application of the present law so as to expand inspection requirements to any vessel presently not subject to inspection nor to remove from inspection any vessel that is presently subject to inspection. AMENDMENTS 1986 - Pub. L. 99-307, Sec. 1(5)(B), May 19, 1986, 100 Stat. 445, substituted 'Transporting' for 'Carrying' in item 3304. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 2102, 8101, 8301 of this title; title 40 section 484d. ------DocID 53169 Document 70 of 963------ -CITE- 46 USC Sec. 3301 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3301. Vessels subject to inspection -STATUTE- The following categories of vessels are subject to inspection under this part: (1) freight vessels. (2) nautical school vessels. (3) offshore supply vessels. (4) passenger vessels. (5) sailing school vessels. (6) seagoing barges. (7) seagoing motor vessels. (8) small passenger vessels. (9) steam vessels. (10) tank vessels. (11) fish processing vessels. (12) fish tender vessels. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 510; Pub. L. 98-364, title IV, Sec. 402(2), July 17, 1984, 98 Stat. 445.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3301(1) 46:391 46:404 3301(2) 46:1295f(c) 3301(3) 46:404-1 3301(4) 46:390a 46:391 3301(5) 46:390a 3301(6) 46:395 3301(7) 46:367 3301(8) 46:390a 3301(9) 46:362 46:391 46:405 3301(10) 46:391a ------------------------------- Section 3301 lists all classes of vessels that are subject to inspection and certification by the Coast Guard. This section represents one of the sought-after advantages of the bill to simplify access to the provisions of law governing the regulation of vessels. Under the present law, a vessel's inspection status must be determined by examining a table appearing at section 2.01-7A of title 46, Code of Federal Regulations that divides all vessels into more than 70 separate classes. It is important to note that while the classes of vessels are now limited to ten, there is no prohibition against developing regulations to meet the special needs of various size vessels within any one category. For example, it is expected that the Coast Guard will continue the practice of establishing standards for freight vessels of not more than 100 gross tons and other standards for larger freight vessels. It should also be noted that a particular vessel can, when engaged in various types of operations, be subject to varying inspection laws. For example, an offshore supply vessel could be classed as a small passenger vessel or a passenger vessel when it operates as a crew boat carrying individuals other than those defined in section 2101(21). If the offshore supply vessel is 500 gross tons and over it would then be subject to inspection as a seagoing motor vessel, a freight vessel, or a passenger vessel. AMENDMENTS 1984 - Pars. (11), (12). Pub. L. 98-364 added pars. (11) and (12). EFFECTIVE DATE Chapter effective Apr. 15, 1984, see section 2(g)(1) of Pub. L. 98-89, set out as a note under section 3101 of this title. SHORT TITLE OF 1984 AMENDMENT Pub. L. 98-498, title II, Sec. 210, Oct. 19, 1984, 98 Stat. 2303, provided that: 'This subtitle (subtitle A (Sec. 210-214) of title II of Pub. L. 98-498, enacting section 2306 of this title, amending sections 2301, 3309, 3311, 3318, 6101, and 6103 of this title and section 183 of the Appendix to this title, and enacting provisions set out as notes under section 2306 of this title and section 183 of the Appendix to this title) may be cited as the 'Maritime Safety Act of 1984'.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 2101, 3302 of this title. ------DocID 53170 Document 71 of 963------ -CITE- 46 USC Sec. 3302 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3302. Exemptions -STATUTE- (a) A vessel is not excluded from one category only because the vessel is - (1) included in another category of section 3301 of this title; or (2) excluded by this section from another category of section 3301 of this title. (b) A fishing vessel, including a vessel chartered part-time as a fish tender vessel, is exempt from section 3301(1), (7), (11), and (12) of this title. (c)(1) A fish processing vessel of not more than 5,000 gross tons is exempt from section 3301(1), (6), (7), (11), and (12) of this title. (2) A fish tender vessel of not more than 500 gross tons is exempt from section 3301(1), (6), (7), (11), and (12) of this title. (3) A fishing, fish processing, or fish tender vessel of not more than 500 gross tons is exempt from section 3301(1), (6), and (7) of this title if - (A) when transporting cargo to or from a place in Alaska - (i) that place does not receive weekly common carrier service by water from a place in the United States; or (ii) the cargo is of a type not accepted by that common carrier service; or (B) in the case of a fish tender vessel, the vessel is not engaged in the Aleutian trade. (4) A fish tender vessel is exempt from section 3301(1), (6), and (7) of this title when engaged in the Aleutian trade if the vessel - (A) is not more than 500 gross tons; (B) has an incline test performed by a marine surveyor; and (C) has written stability instructions posted on board the vessel. (d)(1) A motor vessel of less than 150 gross tons, constructed before August 23, 1958, is not subject to inspection under section 3301(1) of this title if the vessel is owned or demise chartered to a cooperative or association that only transports cargo owned by at least one of its members on a nonprofit basis between places within the waters of - (A) southeastern Alaska shoreward of the Boundary Line; or (B) southeastern Alaska shoreward of the Boundary Line and - (i) Prince Rupert, British Columbia; or (ii) waters of Washington shoreward of the Boundary Line, via sheltered waters, as defined in article I of the treaty dated December 9, 1933, between the United States and Canada defining certain waters as sheltered waters. (2) The transportation authorized under this subsection is limited to and from places not receiving annual weekly transportation service from any part of the United States by an established water common carrier. However, the limitation does not apply to transporting cargo of a character not accepted for transportation by that carrier. (e) A vessel laid up, dismantled, or out of commission is exempt from inspection. (f) Section 3301(4) and (8) of this title does not apply to an oceanographic research vessel because it is carrying scientific personnel. (g)(1) Except when compliance with major structural or major equipment requirements is necessary to remove an especially hazardous condition, an offshore supply vessel is not subject to regulations or standards for those requirements if the vessel - (A) was operating as an offshore supply vessel before January 2, 1979; or (B) was contracted for before January 2, 1979, and entered into service as an offshore supply vessel before October 6, 1980. (2) After December 31, 1988, this subsection does not apply to an offshore supply vessel that is at least 20 years of age. (h) An offshore supply vessel operating on January 1, 1979, under a certificate of inspection issued by the Secretary, is subject to an inspection standard or requirement only if the standard or requirement could have been prescribed for the vessel under authority existing under law on October 5, 1980. (i)(1) The Secretary may issue a permit exempting a vessel from any part of the requirements of this part for vessels transporting cargo, including bulk fuel, from one place in Alaska to another place in Alaska only if the vessel - (A) is not more than 300 gross tons; (B) is in a condition that does not present an immediate threat to the safety of life or the environment; and (C) was operating in the waters off Alaska as of June 1, 1976, or the vessel is a replacement for a vessel that was operating in the waters off Alaska as of June 1, 1976, if the vessel being replaced is no longer in service. (2) Except in a situation declared to be an emergency by the Secretary, a vessel operating under a permit may not transport cargo to or from a place if the cargo could be transported by another commercial vessel that is reasonably available and that does not require exemptions to operate legally or if the cargo could be readily transported by overland routes. (3) A permit may be issued for a specific voyage or for not more than one year. The permit may impose specific requirements about the amount or type of cargo to be carried, manning, the areas or specific routes over which the vessel may operate, or other similar matters. The duration of the permit and restrictions contained in the permit shall be at the sole discretion of the Secretary. (4) A designated Coast Guard official who has reason to believe that a vessel issued a permit is in a condition or is operated in a manner that creates an immediate threat to the safety of life or the environment or is operated in a manner that is inconsistent with the terms of the permit, may direct the master or individual in charge to take immediate and reasonable steps to safeguard life and the environment, including directing the vessel to a port or other refuge. (5) If a vessel issued a permit creates an immediate threat to the safety of life or the environment, or is operated in a manner inconsistent with the terms of the permit or the requirements of paragraph (2) of this subsection, the permit may be revoked. The owner, charterer, managing operator, agent, master, or individual in charge of a vessel issued a permit, that willfully permits the vessel to be operated, or operates, the vessel in a manner inconsistent with the terms of the permit, is liable to the United States Government for a civil penalty of not more than $1,000. (j) Notwithstanding another provision of this chapter, the Secretary is not required to inspect or prescribe regulations for a nautical school vessel of not more than 15 gross tons - (1) when used in connection with a course of instruction dealing with any aspect of maritime education or study; and (2) operated by - (A) the United States Merchant Marine Academy; or (B) a State maritime academy assisted under section 1304 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1295c). (k) Only the boiler, engine, and other operating machinery of a steam vessel that is a recreational vessel of not more than 65 feet overall in length are subject to inspection under section 3301(9) of this title. (l)(1) The Secretary may issue a permit exempting the following vessels from the requirements of this part for passenger vessels so long as the vessels are owned by nonprofit organizations and operated as nonprofit memorials to merchant mariners: (A) The steamship John W. Brown (United States official number 242209), owned by Project Liberty Ship Baltimore, Incorporated, located in Baltimore, Maryland. (B) The steamship Lane Victory (United States official number 248094), owned by the United States Merchant Marine Veterans of World War II, located in San Pedro, California. (C) The steamship Jeremiah O'Brien (United States official number 243622), owned by the United States Maritime Administration. (2) The Secretary may issue a permit for a specific voyage or for not more than one year. The Secretary may impose specific requirements about the number of passengers to be carried, manning, the areas or specific routes over which the vessel may operate, or other similar matters. (3) A designated Coast Guard official who has reason to believe that a vessel operating under this subsection is in a condition or is operated in a manner that creates an immediate threat to life or the environment or is operated in a manner that is inconsistent with this section, may direct the master or individual in charge to take immediate and reasonable steps to safeguard life and the environment, including directing the vessel to a port or other refuge. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 510; Pub. L. 98-364, title IV, Sec. 402(3), July 17, 1984, 98 Stat. 445; Pub. L. 99-307, Sec. 1(3), (4), May 19, 1986, 100 Stat. 444; Pub. L. 101-595, title III, Sec. 303(a), title VI, Sec. 602(b), 603(2), Nov. 16, 1990, 104 Stat. 2983, 2990, 2993.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3302 46:367 46:390 46:391(e) 46:404 46:420 46:442 ------------------------------- Section 3302 does three things. It makes clear that a vessel included in one of the ten categories of vessels subject to inspection is not necessarily excluded from another category of vessel that is subject to inspection. For example, a vessel inspected and certified as a small passenger vessel would, when carrying oil or hazardous materials in bulk as cargo or cargo residue, also have to be inspected as a tank vessel. It makes it clear that a vessel excluded by section 3302 from the requirements of inspection in any one of the ten categories is not necessarily excluded from inspection as a vessel in another category. This section also contains a number of exemptions for certain classes of vessels and for those vessels engaged in a specific trade that have been considered to be of a special circumstance. AMENDMENTS 1990 - Subsec. (c)(3), (4). Pub. L. 101-595, Sec. 602(b), added pars. (3) and (4). Subsec. (j)(2)(B). Pub. L. 101-595, Sec. 603(2), substituted '(46 App. U.S.C. 1295c)' for '(46 App. U.S.C. 1295(c))'. Subsec. (l). Pub. L. 101-595, Sec. 303(a), added subsec. (l). 1986 - Subsec. (i)(5). Pub. L. 99-307, Sec. 1(3), substituted 'charterer' for 'charter'. Subsec. (k). Pub. L. 99-307, Sec. 1(4), added subsec. (k). 1984 - Subsec. (b). Pub. L. 98-364 amended subsec. (b) generally, which prior to amendment read as follows: 'A motor vessel engaged in fishing as a regular business, including oystering, clamming, crabbing, or the kelp or sponge industry, is exempt from section 3301(1), (4), and (7) of this title.' Subsec. (c). Pub. L. 98-364 amended subsec. (c) generally, which prior to amendment read as follows: '(1) Before January 1, 1988, a motor vessel is exempt from section 3301(1), (4), and (7) of this title if the vessel is not more than 500 gross tons and - '(A) is a cannery tender or a fishing tender in the salmon or crab fisheries of Alaska, Oregon, and Washington; and '(B) only carries cargo to or from vessels in those fisheries or a facility used in processing or assembling fishery products, or transports cannery or fishing personnel to or from operating locations. '(2) Before January 1, 1988, a vessel is exempt from section 3301(1), (4), (6), and (7) of this title if the vessel is not more than 5,000 gross tons and is used only in processing and assembling fishery products in the fisheries of Alaska, Oregon, and Washington.' EFFECTIVE DATE OF 1990 AMENDMENT Amendment by section 602(b) of Pub. L. 101-595 effective Nov. 16, 1990, except that requirements imposed by subsec. (c)(4)(B) and (C), effective six months after Nov. 16, 1990, see section 602(f) of Pub. L. 101-595, set out as a note under section 4502 of this title. VESSELS REPAIRED OR RETROFITTED FOR MOBILE TRADE FAIR PURPOSES DEEMED OUT OF COMMISSION Pub. L. 100-418, title X, Sec. 10003(b), Aug. 23, 1988, 102 Stat. 1573, provided that: 'For one year after the date of enactment of this Act (Aug. 23, 1988), a vessel that is undergoing repair or retrofitting for use solely for mobile trade fair purposes is deemed to be out of commission under section 3302(e) of title 46, United States Code, during the repair or retrofitting.' EXEMPTION OF CERTAIN FISHING AND FISH PROCESSING VESSELS Section 403 of Pub. L. 98-364, as amended by Pub. L. 99-36, Sec. 3, May 15, 1985, 99 Stat. 68; Pub. L. 101-225, title III, Sec. 306, Dec. 12, 1989, 103 Stat. 1925, provided that: '(a) Except as provided in chapter 37 of title 46, United States Code, and before January 1, 1991, a fishing, fish processing, or fish tender vessel, that is (1) not more than 500 gross tons and (2) in operation, or contracted for purchase to be used as a vessel of this type, before July 1, 1984, may transport cargo to or from a place in Alaska not receiving weekly transportation service from a port of the United States by an established water common carrier, except that the service limitation does not apply to transporting cargo of a type not accepted by that carrier. '(b) A fish processing vessel entered into service before January 1, 1988, and more than 1,600 gross tons or entered into service after December 31, 1987, and having more than 16 individuals on board primarily employed in the preparation of fish or fish products is exempt from section 8702(b) of title 46, United States Code, until 18 months after the date of enactment of this Act (July 17, 1984). '(c) As used in subsections (a) and (b) of this section, the terms 'fishing vessel', 'fish processing vessel' and 'fish tender vessel' shall have the meaning given to such terms in section 2101 of title 46, United States Code.' OFFSHORE SUPPLY VESSELS; TRANSITION PERIOD FOR COMPLIANCE WITH VESSEL INSPECTION PROVISIONS Section 2(i) of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 599, provided that: 'Each offshore supply vessel described in section 3302(g) of title 46 (as enacted by section 1 of this Act), that was registered with the Secretary of Transportation under section 4426a(7) of the Revised Statutes (former 46 U.S.C. 404-1(7)) but that has not been inspected by the Secretary shall be held to be in compliance with all applicable vessel inspection laws pending verification by actual inspection or until one year after the date of enactment of this Act (Aug. 26, 1983), whichever is earlier.' ------DocID 53171 Document 72 of 963------ -CITE- 46 USC Sec. 3303 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3303. Reciprocity for foreign vessels -STATUTE- (a) Except as provided in chapter 37 of this title, a foreign vessel of a country having inspection laws and standards similar to those of the United States and that has an unexpired certificate of inspection issued by proper authority of its respective country, is subject only to an inspection to ensure that the condition of the vessel's propulsion equipment and lifesaving equipment are as stated in its current certificate of inspection. A foreign country is considered to have inspection laws and standards similar to those of the United States when it is a party to an International Convention for Safety of Life at Sea to which the United States Government is currently a party. A foreign certificate of inspection may be accepted as evidence of lawful inspection only when presented by a vessel of a country that has by its laws accorded to vessels of the United States visiting that country the same privileges accorded to vessels of that country visiting the United States. (b) The Secretary shall collect and pay to the Treasury the same fees for the inspection of foreign vessels carrying passengers from the United States that a foreign country charges vessels of the United States trading to the ports of that country. The Secretary may waive at any time the collection of the fees on notice of the proper authorities of any country concerned that the collection of fees for the inspection of vessels of the United States has been discontinued. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 512.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3303 46:362(a) 46:390c 46:391a(3) ------------------------------- Section 3303 acknowledges the international concept of comity with respect to recognizing inspection laws and standards for foreign flag vessels that are similar to those of the United States. If a foreign nation is signatory to the International Convention for Safety of Life at Sea, it is presumed to have similar standards. However, reciprocity requirements for foreign flag tank vessels are included in chapter 37. Subsection (b) provides for a mutual waiver of fees for the inspection of foreign vessels carrying passengers from the United States. INTERNATIONAL CONVENTION FOR SAFETY OF LIFE AT SEA For International Conventions for the Safety of Life at Sea to which the United States has been a party, see section 1602 of Title 33, Navigation and Navigable Waters, and notes thereunder. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3505 of this title. ------DocID 53172 Document 73 of 963------ -CITE- 46 USC Sec. 3304 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3304. Transporting individuals in addition to crew -STATUTE- (a) A documented vessel transporting cargo that transports not more than 12 individuals in addition to the crew on international voyages, or not more than 16 individuals in addition to the crew on other voyages, is not subject to inspection as a passenger vessel or a small passenger vessel if the vessel is otherwise subject to inspection under this chapter. (b) Except when subsection (e) of this section applies, before an individual in addition to the crew is transported on a vessel as permitted by this section, the owner, charterer, managing operator, agent, master, or individual in charge of the vessel first shall notify the individual of the presence on board of dangerous articles as defined by law, and of other conditions or circumstances that would constitute a risk of safety to the individual on board. (c) A privilege authorized by this section applies to a vessel of a foreign country that affords a similar privilege to vessels of the United States in trades not restricted to vessels under its own flag. (d) A fishing, fish processing, or fish tender vessel that transports not more than 12 individuals employed in the fishing industry in addition to the crew is not subject to inspection as a passenger or small passenger vessel. (e) The Secretary may by regulation allow individuals in addition to the crew to be transported in an emergency or under section 2304 of this title. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 513; Pub. L. 98-364, title IV, Sec. 402(4), July 17, 1984, 98 Stat. 446; Pub. L. 99-307, Sec. 1(5)(A), May 19, 1986, 100 Stat. 444.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3304 46:390-393 46:882 ------------------------------- Section 3304 permits the carriage of not more than 12 individuals in addition to the crew on international voyages or not more than 16 individuals in addition to the crew on other voyages without subjecting a documented vessel carrying cargo to the inspection requirements of a passenger vessel. This section permits the bulk of vessels subject to the International Convention for Safety of Life at Sea to carry up to 12 passengers and to permit other cargo vessels, primarily those engaged in the coastwise trade, to carry up to 16 passengers without being categorized as passenger vessels. It also requires that these individuals be notified of the presence of dangerous articles or other conditions or circumstances that constitute a risk of safety. This is of prime importance on tank vessels that carry flammable or hazardous cargoes. AMENDMENTS 1986 - Pub. L. 99-307, Sec. 1(5)(A)(i), substituted 'Transporting' for 'Carrying' in section catchline. Subsec. (a). Pub. L. 99-307, Sec. 1(5)(A)(ii), substituted 'transporting cargo that transports' for 'carrying cargo that carries' and inserted 'if the vessel is otherwise subject to inspection under this chapter'. Subsec. (b). Pub. L. 99-307, Sec. 1(5)(A)(iii), substituted 'Except when subsection (e) of this section applies, before' for 'Before' and 'transported' for 'carried'. Subsec. (c). Pub. L. 99-307, Sec. 1(5)(A)(iv), substituted 'A privilege' for 'The privilege'. Subsec. (e). Pub. L. 99-307, Sec. 1(5)(A)(v), added subsec. (e). 1984 - Subsec. (d). Pub. L. 98-364 added subsec. (d). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3318 of this title. ------DocID 53173 Document 74 of 963------ -CITE- 46 USC Sec. 3305 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3305. Scope and standards of inspection -STATUTE- (a) The inspection process shall ensure that a vessel subject to inspection - (1) is of a structure suitable for the service in which it is to be employed; (2) is equipped with proper appliances for lifesaving, fire prevention, and firefighting; (3) has suitable accommodations for the crew, sailing school instructors, and sailing school students, and for passengers on the vessel if authorized to carry passengers; (4) is in a condition to be operated with safety to life and property; and (5) complies with applicable marine safety laws and regulations. (b) If an inspection, or examination under section 3308 of this title, reveals that a life preserver, lifesaving device, or firehose is defective and incapable of being repaired, the owner or master shall destroy the life preserver, lifesaving device, or firehose in the presence of the official conducting the inspection or examination. (c) A nautical school vessel operated by a civilian nautical school or by an educational institution under section 13 of the Coast Guard Authorization Act of 1986 shall be inspected like a small passenger vessel or a passenger vessel, depending on its tonnage. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 513; Pub. L. 99-36, Sec. 1(a)(1), May 15, 1985, 99 Stat. 67; Pub. L. 99-640, Sec. 13(e), Nov. 10, 1986, 100 Stat. 3551.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3305 46:369 46:390a 46:391 46:392 46:395 46:404-1 46:405 46:406 46:407 46:408 46:660a 46:881 ------------------------------- Section 3305 consolidates, at one place, the basic scope of coverage of the inspection process. It is to be noted that the time difference in enactment of various statutes has resulted in some anomalies. Thus, for example, R.S. 4417 (46 U.S.C. 391) which had originally set periods of inspection and vested authority in 'local inspectors' was expanded over the years to provide the base for inspection of certain classes of vessels as well as setting out the periods and scope. The distillation of inspection objectives and standards in later laws and the transfer of all functions of separately created bureaus and functionaries to the Coast Guard permit this consolidation. There are those who have a desire to see the scope and standards of inspection be more specific in law similar to those presently applicable to boilers and boiler plating that predate 1871. The Committee believes this serves no useful purpose since the specifics are either antiquated or too limiting and have, in fact, been superceded by the statutorily authorized adoption of various industrial specifications, standards, and codes by the Coast Guard. These include the American Bureau of Shipping (ABS), American Society of Mechanical Engineers (ASME), American National Standards Institute (ANSI), American Society for Testing and Materials (ASTM), American Welding Society (AWS), Underwriters Laboratories (UL), and many others. In addition, Coast Guard regulations must also implement and conform to the numerous international maritime safety treaties to which the United States is signatory. The Committee expects that the regulatory flexibility being provided will not reduce the present vessel inspection requirements that have been historically developed. Section 3305(a) establishes the statutory scope of the Coast Guard's vessel inspection authority and duty. The inspection process shall ensure that a vessel is of suitable structure, equipment, and accommodations, is maintained in an operating condition consistent with safety of life and property, and complies with applicable marine safety laws and regulations. Subsection (b) requires that defective life preservers and firehose be destroyed in the presence of the inspecting official, normally a qualified Coast Guard marine inspector. The Committee believes that if this equipment is defective for use on an inspected vessel, it should be destroyed so that it cannot be used on an uninspected or recreational vessel. Subsection (c) provides flexibility in the inspection of various sizes of nautical school vessels. -REFTEXT- REFERENCES IN TEXT Section 13 of the Coast Guard Authorization Act of 1986, referred to in subsec. (c), is section 13 of Pub. L. 99-640, which enacted section 484d of Title 40, Public Buildings, Property, and Works and amended sections 2101 and 3305 of this title. -MISC2- AMENDMENTS 1986 - Subsec. (c). Pub. L. 99-640 inserted 'or by an educational institution under section 13 of the Coast Guard Authorization Act of 1986'. 1985 - Subsec. (b). Pub. L. 99-36 substituted 'lifesaving' and 'life preserver, lifesaving device, or firehose' for 'life-saving' and 'life preserver or firehose', respectively. ------DocID 53174 Document 75 of 963------ -CITE- 46 USC Sec. 3306 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3306. Regulations -STATUTE- (a) To carry out this part and to secure the safety of individuals and property on board vessels subject to inspection, the Secretary shall prescribe necessary regulations to ensure the proper execution of, and to carry out, this part in the most effective manner for - (1) the design, construction, alteration, repair, and operation of those vessels, including superstructures, hulls, fittings, equipment, appliances, propulsion machinery, auxiliary machinery, boilers, unfired pressure vessels, piping, electric installations, and accommodations for passengers and crew, sailing school instructors, and sailing school students; (2) lifesaving equipment and its use; (3) firefighting equipment, its use, and precautionary measures to guard against fire; (4) inspections and tests related to clauses (1)-(3) of this subsection; and (5) the use of vessel stores and other supplies of a dangerous nature. (b) Equipment subject to regulation under this section may not be used on any vessel without prior approval as prescribed by regulation. (c) In prescribing regulations for sailing school vessels, the Secretary shall consult with representatives of the private sector having experience in the operation of vessels likely to be certificated as sailing school vessels. The regulations shall - (1) reflect the specialized nature of sailing school vessel operations, and the character, design, and construction of vessels operating as sailing school vessels; and (2) include requirements for notice to sailing school instructors and sailing school students about the specialized nature of sailing school vessels and applicable safety regulations. (d) In prescribing regulations for nautical school vessels operated by the United States Merchant Marine Academy or by a State maritime academy (as defined in section 1302(3) of the Merchant Marine Act, 1936 (46 App. U.S.C. 1295a(3))), the Secretary shall consider the function, purpose, and operation of the vessels, their routes, and the number of individuals who may be carried on the vessels. (e) When the Secretary finds it in the public interest, the Secretary may suspend or grant exemptions from the requirements of a regulation prescribed under this section related to lifesaving and firefighting equipment, muster lists, ground tackle and hawsers, and bilge systems. (f) In prescribing regulations for offshore supply vessels, the Secretary shall consider the characteristics, methods of operation, and the nature of the service of offshore supply vessels. (g) In prescribing regulations for fish processing or fish tender vessels, the Secretary shall consult with representatives of the private sector having experience in the operation of these vessels. The regulations shall reflect the specialized nature and economics of fish processing or fish tender vessel operations and the character, design, and construction of fish processing or fish tender vessels. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 513; Pub. L. 98-364, title IV, Sec. 402(5), July 17, 1984, 98 Stat. 446.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3306 46:366 46:369 46:375 46:390b 46:392 46:404 46:408 46:411 46:412 46:416 46:420 46:445 46:459 46:473 46:477 46:478 46:479 46:481 46:482 46:483 46:489 46:526p 46:1295f(c) ------------------------------- Section 3306 contains broad authority to prescribe regulations for the proper inspection and certification of vessels. It provides regulatory flexibility for meeting technological changes. The section also permits flexibility in prescribing regulations for nautical school vessels operated by the United States Merchant Marine Academy or by a State maritime academy. The Secretary may suspend or grant exemptions to certain limited inspection requirements when the Secretary finds that this is necessary in the public interest. It also contains the requirement that in regulating offshore supply vessels consideration must be given to the special nature of their operations. AMENDMENTS 1984 - Subsec. (g). Pub. L. 98-364 added subsec. (g). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 3313, 3318 of this title. ------DocID 53175 Document 76 of 963------ -CITE- 46 USC Sec. 3307 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3307. Frequency of inspection -STATUTE- Each vessel subject to inspection under this part shall undergo an initial inspection for certification before being put into service. After being put into service - (1) each passenger vessel and nautical school vessel shall be inspected at least once a year; (2) each small passenger vessel, freight vessel or offshore supply vessel of less than 100 gross tons, and sailing school vessel shall be inspected at least once every 3 years; and (3) any other vessel shall be inspected at least once every 2 years. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 514.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3307(1) 46:391(c) 46:1295f(c) 3307(2) 46:390a(a) 46:404-1(6)(i) 3307(3) 46:391(b) 46:392(b) 46:404-1(6)(ii) ------------------------------- Section 3307 requires each vessel subject to inspection to undergo an initial inspection prior to being placed in service. This is normally started during the construction or reconstruction phase and is a continuing process until final certification for operation in a particular trade. Subsequent periodic inspections are also required for various types of vessels. It is to be noted that a freight vessel of less than 100 gross tons shall be inspected at 3 year intervals while the larger freight vessel has a 2 year inspection period. This is being done to retain the existing procedure of issuing 3 year certificates of inspection to smaller vessels, however, this does not prevent periodic inspections or examinations at intervening periods. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 3308, 3309 of this title. ------DocID 53176 Document 77 of 963------ -CITE- 46 USC Sec. 3308 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3308. Examinations -STATUTE- In addition to inspections required by section 3307 of this title, the Secretary shall examine - (1) each vessel subject to inspection at proper times to ensure compliance with law and regulations; and (2) crewmember accommodations on each vessel subject to inspection at least once a month or when the vessel enters United States ports to ensure that the accommodations are - (A) of the size required by law and regulations; (B) properly ventilated and in a clean and sanitary condition; and (C) equipped with proper plumbing and mechanical appliances required by law and regulations, and the appliances are in good working condition. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 514.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3308 46:435 46:660a 46:660b ------------------------------- Section 3308 requires the Secretary to carry out additional inspections as might be necessary to ensure compliance with applicable laws and regulations, and to ensure that accommodations are maintained in a sanitary condition and that all appliances are in good working order. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3305 of this title. ------DocID 53177 Document 78 of 963------ -CITE- 46 USC Sec. 3309 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3309. Certificate of inspection -STATUTE- (a) When an inspection under section 3307 of this title has been made and a vessel has been found to be in compliance with the requirements of law and regulations, a certificate of inspection, in a form prescribed by the Secretary, shall be issued to the vessel. (b) The Secretary may issue a temporary certificate of inspection in place of a regular certificate of inspection issued under subsection (a) of this section. (c) At least 30 days (but not more than 60 days) before the current certificate of inspection issued to a vessel under subsection (a) of this section expires, the owner, charterer, managing operator, agent, master, or individual in charge of the vessel shall submit to the Secretary in writing a notice that the vessel - (1) will be required to be inspected; or (2) will not be operated so as to require an inspection. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 515; Pub. L. 98-498, title II, Sec. 211(a), Oct. 19, 1984, 98 Stat. 2303.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3309 46:390c 46:391a(8) 46:395(d) 46:399 ------------------------------- Section 3309 provides for the issuance of a certificate of inspection that attests to the fact that the vessel has been found to be in compliance with the applicable maritime safety laws and regulations. Under this provision the Coast Guard can issue a temporary certificate of inspection upon compliance with the applicable laws or regulations to facilitate the preparation, processing, and forwarding of the regular certificate of inspection to the vessel. A temporary certificate does not imply less than satisfactory compliance. AMENDMENTS 1984 - Subsec. (c). Pub. L. 98-498 added subsec. (c). EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-498 effective 180 days after Oct. 19, 1984, see section 214 of Pub. L. 98-498, set out as an Effective Date note under section 2306 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 3311, 3312, 3318 of this title. ------DocID 53178 Document 79 of 963------ -CITE- 46 USC Sec. 3310 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3310. Records of certification -STATUTE- The Secretary shall keep records of certificates of inspection of vessels and of all acts in the examination and inspection of vessels, whether of approval or disapproval. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 515.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3310 46:414 ------------------------------- Section 3310 contains the requirement for maintaining inspection records. ------DocID 53179 Document 80 of 963------ -CITE- 46 USC Sec. 3311 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3311. Certificate of inspection required -STATUTE- (a) Except as provided in subsection (b), a vessel subject to inspection under this part may not be operated without having on board a certificate of inspection issued under section 3309 of this title. (b) The Secretary may direct the owner, charterer, managing operator, agent, master, or individual in charge of a vessel subject to inspection under this chapter and not having on board a certificate of inspection - (1) to have the vessel proceed to mooring and remain there until a certificate of inspection is issued; (2) to take immediate steps necessary for the safety of the vessel, individuals on board the vessel, or the environment; or (3) to have the vessel proceed to a place to make repairs necessary to obtain a certificate of inspection. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 515; Pub. L. 98-498, title II, Sec. 211(b), Oct. 19, 1984, 98 Stat. 2304.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3311 46:390c 46:395 46:399 ------------------------------- Section 3311 prohibits the operation of a vessel subject to inspection without having on board a valid certificate of inspection. AMENDMENTS 1984 - Pub. L. 98-498 designated existing provisions as subsec. (a), substituted 'Except as provided in subsection (b), a vessel' for 'A vessel', struck out 'valid' before 'certificate of inspection', and added subsec. (b). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3318 of this title. ------DocID 53180 Document 81 of 963------ -CITE- 46 USC Sec. 3312 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3312. Display of certificate of inspection -STATUTE- The certificate of inspection issued to a vessel under section 3309 of this title shall be displayed, suitably framed, in a conspicuous place on the vessel. When it is not practicable to so display the certificate, it shall be carried in the manner prescribed by regulation. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 515.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3312 46:400 ------------------------------- Section 3312 requires the conspicuous display of the certificate of inspection to provide notice that the vessel is in compliance with applicable maritime safety laws and regulations. The section also applies to the posting of the temporary certificate of inspection. ------DocID 53181 Document 82 of 963------ -CITE- 46 USC Sec. 3313 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3313. Compliance with certificate of inspection -STATUTE- (a) During the term of a vessel's certificate of inspection, the vessel must be in compliance with its conditions, unless relieved by a suspension or an exemption granted under section 3306(e) of this title. (b) When a vessel is not in compliance with its certificate or fails to meet a standard prescribed by this part or a regulation prescribed under this part - (1) the owner, charterer, managing operator, agent, master, or individual in charge shall be ordered in writing to correct the noted deficiencies promptly; (2) the Secretary may permit any repairs to be made at a place most convenient to the owner, charterer, or managing operator when the Secretary decides the repairs can be made with safety to those on board and the vessel; (3) the vessel may be required to cease operating at once; and (4) if necessary, the certificate shall be suspended or revoked. (c) The vessel's certificate of inspection shall be revoked if a condition unsafe to life that is ordered to be corrected under this section is not corrected at once. (d) The owner, charterer, managing operator, agent, master, or individual in charge of a vessel whose certificate has been suspended or revoked shall be given written notice immediately of the suspension or revocation. The owner or master may appeal to the Secretary the suspension or revocation within 30 days of receiving the notice, as provided by regulations prescribed by the Secretary. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 515.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3313 46:390c 46:391a(8) 46:435 ------------------------------- Section 3313 requires a vessel to be maintained in a condition so as to always be in compliance with the applicable laws and regulations. Here the master, owner, or other responsible party is required to maintain the vessel to inspection standards and to correct all deficiencies observed. When a vessel is not in compliance with its certificate the responsible parties shall be ordered in writing to correct the deficiencies promptly. The section provides flexibility as to when and where these deficiencies may be corrected consistent with the safety of the vessel and crew. The section provides authority to require the vessel to cease operating or, if necessary, to suspend or revoke its certificate of inspection when found not to be in compliance with its certificate or regulations. The owner or master, or other responsible party must be given written notice and may appeal this action within 30 days of receiving the notice. ------DocID 53182 Document 83 of 963------ -CITE- 46 USC Sec. 3314 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3314. Expiration of certificate of inspection -STATUTE- (a) If the certificate of inspection of a vessel expires when the vessel is on a foreign voyage, the vessel may complete the voyage to a port of the United States within 30 days of the expiration of the certificate without incurring the penalties for operating without a certificate of inspection. (b) If the certificate of inspection would expire within 15 days of sailing on a foreign voyage from a United States port, the vessel shall secure a new certificate of inspection before sailing, unless the voyage is scheduled to be completed prior to the expiration date of the certificate. If a voyage scheduled to be completed in that time is not so completed, the applicable penalties may be enforced unless the failure to meet the schedule was beyond the control of the owner, charterer, managing operator, agent, master, or individual in charge of the vessel. (c) When the certificate of inspection of a foreign vessel carrying passengers, operated on a regularly established line, expires at sea after leaving the country to which it belongs or when the vessel is in the United States, the Secretary may permit the vessel to sail on its regular route without further inspection than would have been required had the certificate not expired. This permission applies only when the vessel will be regularly inspected and issued a certificate before the vessel's next return to the United States. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 516.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3314 46:362 46:399 ------------------------------- Section 3314 contains the procedures for when a vessel's certificate of inspection expires while on a foreign voyage. ------DocID 53183 Document 84 of 963------ -CITE- 46 USC Sec. 3315 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3315. Disclosure of defects and protection of informants -STATUTE- (a) Each individual licensed under part E of this subtitle shall assist in the inspection or examination under this part of the vessel on which the individual is serving, and shall point out defects and imperfections known to the individual in matters subject to regulations and inspection. The individual also shall make known to officials designated to enforce this part, at the earliest opportunity, any marine casualty producing serious injury to the vessel, its equipment, or individuals on the vessel. (b) An official may not disclose the name of an individual providing information under this section, or the source of the information, to a person except a person authorized by the Secretary. An official violating this subsection is liable to disciplinary action under applicable law. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 516.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3315 46:234 ------------------------------- Section 3315 requires an individual holding a license issued by the Coast Guard to assist inspection authorities and to make defects and imperfections known to those authorities. Anyone licensed also has a duty to report any marine casualty producing serious injury to the vessel, its equipment, or individuals on board the vessel. These licensed individuals who have this statutorily imposed duty to disclose are also protected by prohibiting any government official from disclosing the identity or source of the information except as authorized by the Secretary. ------DocID 53184 Document 85 of 963------ -CITE- 46 USC Sec. 3316 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3316. United States classification societies -STATUTE- (a) In carrying out this part, the Secretary may rely on reports, documents, and certificates issued by the American Bureau of Shipping or a similar United States classification society, or an agent of the Bureau or society. (b) Each department, agency, and instrumentality of the United States Government shall recognize the Bureau as its agent in classifying vessels owned by the Government and in matters related to classification, as long as the Bureau is maintained as an organization having no capital stock and paying no dividends. The Secretary and the Secretary of Transportation each shall appoint one representative (except when the Secretary is the Secretary of Transportation, in which case the Secretary shall appoint both representatives) who shall represent the Government on the executive committee of the Bureau. The Bureau shall agree that the representatives shall be accepted by it as active members of the committee. The representatives shall serve without compensation, except for necessary traveling expenses. (c)(1) To the maximum extent practicable, the Secretary may delegate to the Bureau or a similar United States classification society, or an agent of the Bureau or society, the inspection or examination, in the United States or in a foreign country, of a vessel documented or to be documented as a vessel of the United States. The Bureau, society, or agent may issue the certificate of inspection required by this part and other certificates essential to documentation. (2) When an inspection or examination has been delegated under this subsection, the Secretary's delegate - (A) shall maintain in the United States complete files of all information derived from or necessarily connected with the inspection or examination for at least 2 years after the vessel ceases to be certified; and (B) shall permit access to those files at all reasonable times to any officer, employee, or member of the Coast Guard designated - (i) as a marine inspector and serving in a position as a marine inspector; or (ii) in writing by the Secretary to have access to those files. (d) The Secretary also may make an agreement with or use the Bureau or a similar United States classification society, or an agent of the Bureau or society, for reviewing and approving plans required for issuing a certificate of inspection. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 516.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3316 46:9 (less (c)) 46:369 46:881 ------------------------------- Section 3316 prescribes the relationship between certain classification societies and the Federal Government with respect to the promotion of maritime safety and the security of life and property at sea. Briefly stated, a classification society, like the American Bureau of Shipping (ABS), establishes and administers standards for the design, construction, and periodic survey of commercial vessels, yachts, and other marine structures. Classification certifies adherence to these standards, thus representing that a vessel or structure possesses the structural and mechanical fitness required for its intended service. The section requires that a Federal department, agency, or instrumentality recognize the American Bureau of Shipping as its agent for classing vessels owned by the Federal Government and in any matters related to classification. In effect, the ABS has a statutory monopoly on classing vessels of the United States Government. Additionally, the section contains the authority to permit the Secretary to rely on reports, documents, and certificates issued by a classification society that is similar to the American Bureau of Shipping. However, a 'similar classification society' continues to mean one that is organized like the American Bureau of Shipping with attendant governmental representation. ------DocID 53185 Document 86 of 963------ -CITE- 46 USC Sec. 3317 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3317. Fees -STATUTE- (a) The Secretary may prescribe by regulation fees for inspecting or examining a small passenger vessel or a sailing school vessel. (b) When an inspection or examination under this chapter of a documented vessel is conducted at a foreign port or place at the request of the owner or managing operator of the vessel, the owner or operator shall reimburse the Secretary for the travel and subsistence expenses incurred by the personnel assigned to perform the inspection or examination. Amounts received as reimbursement for these expenses shall be credited to the appropriation for operating expenses of the Coast Guard. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 517.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3317 46:390a(b) 46:382b-1 ------------------------------- Section 3317 provides the regulatory authority for prescribing fees for the inspection of small passenger vessels and sailing school vessels. Although section 2110 generally prohibits fees of this nature, this provision is consistent with the exception that permits specific statutory authorization for fee collection. Subsection (b) requires the reimbursement of expenses for the conduct of an inspection or examination at a foreign port or place when done there for the convenience of the owner or operator of the vessel. ------DocID 53186 Document 87 of 963------ -CITE- 46 USC Sec. 3318 -EXPCITE- TITLE 46 Part B CHAPTER 33 -HEAD- Sec. 3318. Penalties -STATUTE- (a) Except as otherwise provided in this part, the owner, charterer, managing operator, agent, master, or individual in charge of a vessel operated in violation of this part or a regulation prescribed under this part, and a person violating a regulation that applies to a small passenger vessel, freight vessel of less than 100 gross tons, or sailing school vessel, are liable to the United States Government for a civil penalty of not more than $5,000. The vessel also is liable in rem for the penalty. (b) A person that knowingly manufactures, sells, offers for sale, or possesses with intent to sell, any equipment subject to this part, and the equipment is so defective as to be insufficient to accomplish the purpose for which it is intended, commits a class D felony. (c) A person that employs a means or device whereby a boiler may be subjected to a pressure greater than allowed by the terms of the vessel's certificate of inspection commits a class D felony. (d) A person that deranges or hinders the operation of any machinery or device employed on a vessel to denote the state of steam or water in any boiler or to give warning of approaching danger, or permits the water level of any boiler when in operation of a vessel to fall below its prescribed low-water line, commits a class D felony. (e) A person that alters, defaces, obliterates, removes, or destroys any plans or specifications required by and approved under a regulation prescribed under section 3306 of this title, with intent to deceive or impede any official of the United States in carrying out that official's duties, commits a class A misdemeanor. (f) A person commits a class D felony. (FOOTNOTE 1) if the person - (FOOTNOTE 1) So in original. The period probably should be a comma. (1) forges or counterfeits with intent to make it appear genuine any mark or stamp prescribed for material to be tested and approved under section 3306 of this title or a regulation prescribed under section 3306; (2) knowingly uses, affixes, or causes to be used or affixed, any such forged or counterfeited mark or stamp to or on material of any description; (3) with fraudulent intent, possesses any such mark, stamp, or other device knowing it to be forged or counterfeited; or (4) with fraudulent intent, marks or causes to be marked with the trademark or name of another, material required to be tested and approved under section 3306 of this title or a regulation prescribed under section 3306. (g) A person is liable to the Government for a civil penalty of not more than $5,000, if the person - (1) interferes with the inspection of a nautical school vessel; (2) violates a regulation prescribed for a nautical school vessel; (3) is an owner of a nautical school vessel operated in violation of this part; or (4) is an officer or member of the board of directors of a school, organization, association, partnership, or corporation owning a nautical school vessel operated in violation of a regulation prescribed for a nautical school vessel. (h) An owner, charterer, managing operator, agent, master, or individual in charge of a vessel that fails to give the notice required by section 3304(b) of this title is liable to the Government for a civil penalty of not more than $1,000. The vessel also is liable in rem for the penalty. (i) A person violating section 3309(c) of this title is liable to the Government for a civil penalty of not more than $1,000. (j)(1) An owner, charterer, managing operator, agent, master, or individual in charge of a vessel required to be inspected under this chapter operating the vessel without the certificate of inspection is liable to the Government for a civil penalty of not more than $10,000 for each day during which the violation occurs, except when the violation involves operation of a vessel of less than 1,600 gross tons, the penalty is not more than $2,000 for each day during which the violation occurs. The vessel also is liable in rem for the penalty. (2) A person is not liable for a penalty under this subsection if - (A) the owner, charterer, managing operator, agent, master, or individual in charge of the vessel has notified the Secretary under section 3309(c) of this title; (B) the owner, charterer, managing operator, agent, master, or individual in charge of the vessel has complied with all other directions and requirements for obtaining an inspection under this part; and (C) the Secretary believes that unforeseen circumstances exist so that it is not feasible to conduct a scheduled inspection before the expiration of the certificate of inspection. (k) The owner, charterer, managing operator, agent, master, or individual in charge of a vessel failing to comply with a direction issued by the Secretary under section 3311(b) of this title is liable to the Government for a civil penalty of not more than $10,000 for each day during which the violation occurs. The vessel also is liable in rem for the penalty. (l) A person committing an act described by subsections (b)-(f) of this section is liable to the Government for a civil penalty of not more than $5,000. If the violation involves the operation of a vessel, the vessel also is liable in rem for the penalty. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 517; Pub. L. 98-498, title II, Sec. 211(c), Oct. 19, 1984, 98 Stat. 2304; Pub. L. 99-307, Sec. 1(6), May 19, 1986, 100 Stat. 445; Pub. L. 101-380, title IV, Sec. 4302(b), Aug. 18, 1990, 104 Stat. 538.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3318 46:369(e) 46:390d 46:398 46:403 46:407 46:408 46:410 46:413 46:436 46:481(d) 46:1295f(d)(2), (3) ------------------------------- Section 3318 provides for a number of specific civil and criminal penalties. AMENDMENTS 1990 - Subsec. (b). Pub. L. 101-380, Sec. 4302(b)(1), substituted 'commits a class D felony' for 'shall be fined not more than $10,000, imprisoned for not more than 5 years, or both'. Subsec. (c). Pub. L. 101-380, Sec. 4302(b)(2), substituted 'commits a class D felony' for 'shall be fined not more than $5,000, imprisoned for not more than 5 years, or both'. Subsec. (d). Pub. L. 101-380, Sec. 4302(b)(3), substituted 'commits a class D felony' for 'shall be fined not more than $5,000, imprisoned for not more than 5 years, or both'. Subsec. (e). Pub. L. 101-380, Sec. 4302(b)(4), substituted 'commits a class A misdemeanor' for 'shall be fined not more than $10,000, imprisoned for not more than 2 years, or both'. Subsec. (f). Pub. L. 101-380, Sec. 4302(b)(5), substituted 'commits a class D felony.' for 'shall be fined not less than $1,000 but not more than $10,000, and imprisoned for not less than 2 years but not more than 5 years,'. 1986 - Subsec. (f). Pub. L. 99-307 in provision preceding par. (1) substituted 'than' for 'then' in two places. 1984 - Subsec. (a). Pub. L. 98-498, Sec. 211(c)(1), substituted 'Except as otherwise provided in this part, the' for 'The' and 'not more than $5,000' for '$1,000, except that when the violation involves operation of a barge, the penalty is $500'. Subsec. (c). Pub. L. 98-498, Sec. 211(c)(2), substituted '$5,000' for '$2,000'. Subsec. (d). Pub. L. 98-498, Sec. 211(c)(3), substituted '$5,000' for '$2,000'. Subsec. (e). Pub. L. 98-498, Sec. 211(c)(4), substituted '$10,000' for '$2,000'. Subsec. (f). Pub. L. 98-498, Sec. 211(c)(5), substituted '$10,000' for '$5,000'. Subsec. (g). Pub. L. 98-498, Sec. 211(c)(6), substituted 'is liable to the Government for a civil penalty of not more than $5,000' for 'shall be fined not more than $10,000, imprisoned for not more than one year, or both'. Subsec. (h). Pub. L. 98-498, Sec. 211(c)(7), substituted 'Government for a civil penalty of not more than $1,000.' for 'United States Government for a civil penalty of not more than $500.' Subsecs. (i) to (l). Pub. L. 98-498, Sec. 211(c)(8), added subsecs. (i) to (l). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53187 Document 88 of 963------ -CITE- 46 USC CHAPTER 35 -EXPCITE- TITLE 46 Part B CHAPTER 35 -HEAD- CHAPTER 35 - CARRIAGE OF PASSENGERS -MISC1- Sec. 3501. Number of passengers. 3502. List or count of passengers. 3503. Fire-retardant materials. 3504. Notification to passengers. 3505. Prevention of departure. 3506. Copies of laws. HISTORICAL AND REVISION NOTES Chapter 35 consolidates the laws that have specific application to the carriage of passengers. They provide special provisions for listing and counting the number of passengers on board a vessel, for notifying the general public of the safety standards that are applicable, and for related control measures. ------DocID 53188 Document 89 of 963------ -CITE- 46 USC Sec. 3501 -EXPCITE- TITLE 46 Part B CHAPTER 35 -HEAD- Sec. 3501. Number of passengers -STATUTE- (a) Each certificate of inspection issued to a vessel carrying passengers (except a ferry) shall include a statement on the number of passengers that the vessel is permitted to carry. (b) The owner, charterer, managing operator, agent, master, or individual in charge of a vessel is liable to a person suing them for carrying more passengers than the number of passengers permitted by the certificate of inspection in an amount equal to - (1) passage money; and (2) $100 for each passenger in excess of the number of passengers permitted. (c) An owner, charterer, managing operator, agent, master, or individual in charge of a vessel that knowingly carries more passengers than the number of passengers permitted by the certificate of inspection also shall be fined not more than $100, imprisoned for not more than 30 days, or both. (d) The vessel also is liable in rem for a penalty under this section. (e) An offshore supply vessel may not carry passengers except in an emergency. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 519; Pub. L. 99-36, Sec. 1(a)(2), May 15, 1985, 99 Stat. 67.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3501 46:404-1 46:451 46:452 46:462 ------------------------------- Section 3501 requires that a vessel carrying passengers, including a passenger vessel as well as a small passenger vessel (except a ferry), shall have on the certificate of inspection a statement as to the number of passengers the vessel is permitted to carry. It also provides penalties for carrying passengers in excess of the number permitted. AMENDMENTS 1985 - Subsec. (a). Pub. L. 99-36, Sec. 1(a)(2)(A), struck out the comma after '(except a ferry)'. Subsec. (c). Pub. L. 99-36, Sec. 1(a)(2)(B), substituted 'carries more passengers than the number of passengers permitted by the certificate of inspection' for 'violates subsection (b) of this section'. EFFECTIVE DATE Chapter effective Apr. 15, 1984, see section 2(g)(1) of Pub. L. 98-89, set out as a note under section 3101 of this title. ------DocID 53189 Document 90 of 963------ -CITE- 46 USC Sec. 3502 -EXPCITE- TITLE 46 Part B CHAPTER 35 -HEAD- Sec. 3502. List or count of passengers -STATUTE- (a) The owner, charterer, managing operator, master, or individual in charge of the following categories of vessels carrying passengers shall keep a correct list of passengers received and delivered from day to day: (1) vessels arriving from foreign ports (except at United States Great Lakes ports from Canadian Great Lakes ports). (2) seagoing vessels in the coastwise trade. (3) passenger vessels making voyages of more than 300 miles on the Great Lakes except from a Canadian to a United States port. (b) The master of a vessel carrying passengers (except a vessel listed in subsection (a) of this section) shall keep a correct count of all passengers received and delivered. (c) Lists and counts required under this section shall be open to the inspection of designated officials of the Coast Guard and the Customs Service at all times. The total number of passengers shall be provided to the Coast Guard when requested. (d) This section applies to a foreign vessel arriving at a United States port. (e) The owner, charterer, managing operator, master, or individual in charge of a passenger vessel failing to make a list or count of passengers as required by this section is liable to the United States Government for a civil penalty of $100. The vessel also is liable in rem for the penalty. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 519.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3502 46:460 46:460a 46:461 46:462 ------------------------------- Section 3502 is related to section 3501 and requires the listing or counting of passengers on certain vessels. This requirement applies to large as well as small passenger vessels when operating on the types of voyages enumerated. This section also applies to a foreign vessel arriving at a port or place in the United States. ------DocID 53190 Document 91 of 963------ -CITE- 46 USC Sec. 3503 -EXPCITE- TITLE 46 Part B CHAPTER 35 -HEAD- Sec. 3503. Fire-retardant materials -STATUTE- (a) A passenger vessel of the United States having berth or stateroom accommodations for at least 50 passengers shall be granted a certificate of inspection only if the vessel is constructed of fire-retardant materials. Before November 1, 1993, this section does not apply to a vessel in operation before January 1, 1968, and operating only on the inland rivers. (b)(1) When a vessel is exempted from the fire-retardant standards of this section - (A) the owner or managing operator of the vessel shall notify prospective passengers that the vessel does not comply with applicable fire safety standards due primarily to the wooden construction of passenger berthing areas; (B) the owner or managing operator of the vessel may not disclaim liability to a passenger for death, injury, or any other loss caused by fire due to the negligence of the owner or managing operator; and (C) the penalties provided in section 3504(c) of this title apply to a violation of this subsection. (2) The Secretary shall prescribe regulations under this subsection on the manner in which prospective passengers are to be notified. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 519; Pub. L. 99-307, Sec. 1(7)(A), May 19, 1986, 100 Stat. 444.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3503 46:369(b) ------------------------------- Section 3503 requires the use of fire retardant materials on a vessel having berthing facilities for at least 50 passengers. This requirement in the case of vessels engaged in foreign trade is consistent with our international treaty obligations, which impose extensive and additional fire safety standards. A waiver that grandfathers existing inland river passenger vessels is also included. AMENDMENTS 1986 - Pub. L. 99-307 designated existing provision as subsec. (a), substituted 'November 1, 1993' for 'November 1, 1988' and inserted 'in operation before January 1, 1968, and' after 'to a vessel', and added subsec. (b). NOTIFICATION TO PROSPECTIVE PASSENGERS OF NONCOMPLIANCE WITH FIRE-RETARDANT STANDARDS Section 1(7)(B) of Pub. L. 99-307 provided that: 'Until the regulations required by subclause (A) of this clause (see subsec. (b)(2) of this section) become effective, the owner or managing operator shall notify prospective passengers in all promotional literature and on each ticket that the vessel does not comply with those standards due primarily to the wooden construction of passenger berthing areas.' ------DocID 53191 Document 92 of 963------ -CITE- 46 USC Sec. 3504 -EXPCITE- TITLE 46 Part B CHAPTER 35 -HEAD- Sec. 3504. Notification to passengers -STATUTE- (a) A person selling passage on a foreign or domestic passenger vessel having berth or stateroom accommodations for at least 50 passengers and embarking passengers at United States ports for a coastwise or an international voyage shall notify each prospective passenger of the safety standards applicable to the vessel in a manner prescribed by regulation. (b) All promotional literature or advertising through any medium of communication in the United States offering passage or soliciting passengers for ocean voyages anywhere in the world shall include information similar to the information described in subsection (a) of this section, and shall specify the registry of each vessel named, as a part of the advertisement or description of the voyage. Except for the inclusion of the country of registry of the vessel, this subsection does not apply to voyages by vessels meeting the safety standards described in section 3505 of this title. (c) A person violating this section or a regulation prescribed under this section is liable to the United States Government for a civil penalty of not more than $10,000. If the violation involves the sale of tickets for passage, the owner, charterer, managing operator, agent, master, individual in charge, or any other person involved in each violation also is liable to the Government for a civil penalty of $500 for each ticket sold. The vessel on which passage is sold also is liable in rem for a violation of this section or a regulation prescribed under this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 519.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3504 46:362(b) ------------------------------- Section 3504 requires notification to the public of the safety standards that are applicable to certain foreign flag or United States passenger vessels. In addition, all promotional literature or advertising that offers passage or solicits passengers for ocean voyages anywhere in the world shall include a safety standard statement and shall specify the registry of the vessel. If the vessel meets the international standards to which the United States adheres, then the safety standard statement need not be included. In all other cases the type of safety standard statement that must be included is as prescribed by regulation. This section is intended to place the United States public on notice as to the degree of fire safety compliance of a foreign-flag passenger vessel that does not operate or depart from a port or place in the United States but does embark passengers from the United States at nearby foreign ports. Departures from foreign ports are undertaken because the foreign-flag passenger vessel cannot comply with the safety standards applicable to a United States flag passenger vessel. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3503 of this title. ------DocID 53192 Document 93 of 963------ -CITE- 46 USC Sec. 3505 -EXPCITE- TITLE 46 Part B CHAPTER 35 -HEAD- Sec. 3505. Prevention of departure -STATUTE- Notwithstanding section 3303(a) of this title, a foreign or domestic vessel of more than 100 gross tons having berth or stateroom accommodations for at least 50 passengers may not depart from a United States port with passengers who are embarked at that port, if the Secretary finds that the vessel does not comply with the standards stated in the International Convention for the Safety of Life at Sea to which the United States Government is currently a party. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 520.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3505 46:362(c) ------------------------------- Section 3505 prohibits the departure from a United States port or place of any passenger vessel of more than 100 gross tons having berthing for at least 50 passengers, if the vessel does not comply with the international maritime safety standards applicable to United States vessels. INTERNATIONAL CONVENTION FOR SAFETY OF LIFE AT SEA For International Conventions for the Safety of Life at Sea to which the United States has been a party, see section 1602 of Title 33, Navigation and Navigable Waters, and notes thereunder. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3504 of this title. ------DocID 53193 Document 94 of 963------ -CITE- 46 USC Sec. 3506 -EXPCITE- TITLE 46 Part B CHAPTER 35 -HEAD- Sec. 3506. Copies of laws -STATUTE- A master of a passenger vessel shall keep on board a copy of this subtitle, to be provided by the Secretary at reasonable cost. If the master fails to do so, the master is liable to the United States Government for a civil penalty of $200. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 520.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3506 46:492 ------------------------------- Section 3506 requires the master of a passenger vessel to keep on board a copy of subtitle II of title 46, U.S.C. Copies of the subtitle shall be provided by the Secretary at reasonable cost. ------DocID 53194 Document 95 of 963------ -CITE- 46 USC CHAPTER 37 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- CHAPTER 37 - CARRIAGE OF LIQUID BULK DANGEROUS CARGOES -MISC1- Sec. 3701. Definitions. 3702. Application. 3703. Regulations. 3703a. Tank vessel construction standards. 3704. Coastwise trade vessels. 3705. Crude oil tanker minimum standards. 3706. Product carrier minimum standards. 3707. Tanker minimum standards. 3708. Self-propelled tank vessel minimum standards. 3709. Exemptions. 3710. Evidence of compliance by vessels of the United States. 3711. Evidence of compliance by foreign vessels. 3712. Notification of noncompliance. 3713. Prohibited acts. 3714. Inspection and examination. 3715. Lightering. 3716. Tank washings. 3717. Marine safety information system. 3718. Penalties. AMENDMENTS 1990 - Pub. L. 101-380, title IV, Sec. 4115(c), Aug. 18, 1990, 104 Stat. 520, added item 3703a. HISTORICAL AND REVISION NOTES Chapter 37 consolidates the laws that are applicable to vessels that transport oil or hazardous material in bulk as cargo or cargo residue. The history of Federal authority to carry out a tank vessel safety program begins with the enactment of the so-called Tank Vessel Act of 1936 which, as amended, is presently codified in section 391a of title 46, United States Code. The 1936 Act remained essentially the same until it was amended by the Ports and Waterways Safety Act of 1972. The 1972 amendment contained more specific standards for the protection of a tank vessel and its crew and added vessel standards to improve the quality of the marine environment. After a rash of tank vessel accidents during the latter part of 1976 and early 1977 within our territorial seas and in nearby coastal waters, there was an outpouring of public attention to the need to protect United States ports and waterways, for the safety of tank vessels, and for the protection of the marine environment. This led to the enactment of the Port and Tanker Safety Act of 1978, which provided broader and more extensive regulatory authority over areas already regulated and over many areas not previously regulated. It provided for improvements in the supervision and control of vessels of all types operating in the navigable waters of the United States, and in the safety of all tank vessels, foreign or domestic, that transport or transfer oil or hazardous cargoes in ports or places subject to the jurisdiction of the United States. The 1978 amendments also reflect, in part, certain tank vessel standards and requirements that have been accepted internationally, in particular those developed by the International Conference on Tanker Safety and Pollution Prevention held in London in February, 1978. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 2102, 3303, 4501, 8501, 8502, 8701, 8702, 8703, 9101, 9102 of this title; title 8 section 1288; title 33 section 1228; title 49 section 10542; title 49 App. section 1806. ------DocID 53195 Document 96 of 963------ -CITE- 46 USC Sec. 3701 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3701. Definitions -STATUTE- In this chapter - (1) 'existing', when referring to a type of vessel to which this chapter applies, means a vessel that is not a new vessel. ((2) Repealed. Pub. L. 100-424, Sec. 8(c)(2), Sept. 9, 1988, 102 Stat. 1593.) (3) 'new', when referring to a type of vessel to which this chapter applies, means a vessel - (A) for which the building contract is placed after June 1, 1979; (B) in the absence of a building contract, the keel of which is laid, or which is at a similar stage of construction, after January 1, 1980; (C) the delivery of which is after June 1, 1982; or (D) that has undergone a major conversion under a contract made after June 1, 1979, or construction work that began after January 1, 1980, or was completed after June 1, 1982. (4) 'person' means an individual (even if not a citizen or national of the United States), a corporation, partnership, association, or other entity (even if not organized or existing under the laws of a State), the United States Government, a State or local government, a government of a foreign country, or an entity of one of those governments. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 521; Pub. L. 99-509, title V, Sec. 5102(b)(5), Oct. 21, 1986, 100 Stat. 1927; Pub. L. 100-424, Sec. 8(c)(2), Sept. 9, 1988, 102 Stat. 1593.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3701(1) 46:391a(2)(R) 3701(2) 46:391a(2)(P) 3701(3) 46:391a(2)(Q) 3701(4) 46:391a(2)(F) 3701(5) 46:391a(2)(J) 3701(6) 46:391a(2)(K) ------------------------------- Section 3701 contains definitions that are of a special nature with limited applicability to this chapter. AMENDMENTS 1988 - Par. (2). Pub. L. 100-424 struck out par. (2) which read as follows: ' 'major conversion' means a conversion of an existing vessel that substantially changes the dimensions or carrying capacity of the vessel or changes the type of vessel or substantially prolongs its life or that otherwise so changes the vessel that it is essentially a new vessel, as decided by the Secretary.' 1986 - Pars. (5), (6). Pub. L. 99-509 struck out par. (5) defining 'State' as including Trust Territory of the Pacific Islands in addition to its meaning under section 2101(36) of this title, and struck out par. (6) defining 'United States' as including the Trust Territory of the Pacific Islands in addition to its meaning under section 2101(44) of this title. EFFECTIVE DATE Chapter effective Apr. 15, 1984, see section 2(g)(1) of Pub. L. 98-89, set out as a note under section 3101 of this title. ------DocID 53196 Document 97 of 963------ -CITE- 46 USC Sec. 3702 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3702. Application -STATUTE- (a) Subject to subsections (b)-(e) of this section, this chapter applies to a tank vessel. (b) This chapter does not apply to a documented vessel that would be subject to this chapter only because of the transfer of fuel from the fuel supply tanks of the vessel to offshore drilling or production facilities in the oil industry if the vessel is - (1) not more than 500 gross tons; (2) not a tanker; and (3) in the service of oil exploitation. (c) This chapter does not apply to a fishing or fish tender vessel of not more than 500 gross tons when engaged only in the fishing industry. (d) This chapter does not apply to a fish processing vessel of not more than 5,000 gross tons. However, the vessel is subject to regulation by the Secretary when carrying flammable or combustible liquid cargo in bulk. (e) This chapter does not apply to a foreign vessel on innocent passage on the navigable waters of the United States. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 521; Pub. L. 98-364, title IV, Sec. 402(6), July 17, 1984, 98 Stat. 446.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3702 46:391a ------------------------------- Section 3702, with certain exceptions, makes this chapter applicable to any tank vessel operating in the navigable waters of the United States or transferring oil or hazardous materials in any port or place subject to the jurisdiction of the United States, and which carries oil or any hazardous materials in bulk as cargo or in residue, regardless of tonnage, size or manner of propulsion; whether it is self-propelled or not; whether it is carrying freight or passengers for hire or not; and whether it is a vessel of the United States or a foreign vessel. It exempts certain small vessels documented in the service of oil exploitation, certain small tender and fishing vessels used in the Northwest salmon or crab fisheries, certain vessels used in the processing and assembling of fishery products used in the Northwest fisheries, public vessels, and foreign vessels engaged on innocent passage on the navigable waters of the United States. However, processing vessels, while not treated as tank vessels, are still subject to regulation when carrying flammable or combustible liquid cargo in bulk. AMENDMENTS 1984 - Subsec. (c). Pub. L. 98-364, Sec. 402(6)(A), substituted 'This chapter does not apply to a fishing or fish tender vessel of not more than 500 gross tons when engaged only in the fishing industry' for 'This chapter does not apply to a cannery tender, fishing tender, or fishing vessel of not more than 500 gross tons, used in the salmon or crab fisheries of Alaska, Oregon, or Washington, when engaged only in the fishing industry'. Subsec. (d). Pub. L. 98-364, Sec. 402(6)(B), substituted 'This chapter does not apply to a fish processing vessel of not more than 5,000 gross tons' for 'This chapter does not apply to a vessel of not more than 5,000 gross tons used in processing and assembling fishery products of the fisheries of Alaska, Oregon, and Washington'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 8703 of this title; title 49 App. section 1806. ------DocID 53197 Document 98 of 963------ -CITE- 46 USC Sec. 3703 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3703. Regulations -STATUTE- (a) The Secretary shall prescribe regulations for the design, construction, alteration, repair, maintenance, operation, equipping, personnel qualification, and manning of vessels to which this chapter applies, that may be necessary for increased protection against hazards to life and property, for navigation and vessel safety, and for enhanced protection of the marine environment. The Secretary may prescribe different regulations applicable to vessels engaged in the domestic trade, and also may prescribe regulations that exceed standards set internationally. Regulations prescribed by the Secretary under this subsection are in addition to regulations prescribed under other laws that may apply to any of those vessels. Regulations prescribed under this subsection shall include requirements about - (1) superstructures, hulls, cargo holds or tanks, fittings, equipment, appliances, propulsion machinery, auxiliary machinery, and boilers; (2) the handling or stowage of cargo, the manner of handling or stowage of cargo, and the machinery and appliances used in the handling or stowage; (3) equipment and appliances for lifesaving, fire protection, and prevention and mitigation of damage to the marine environment; (4) the manning of vessels and the duties, qualifications, and training of the officers and crew; (5) improvements in vessel maneuvering and stopping ability and other features that reduce the possibility of marine casualties; (6) the reduction of cargo loss if a marine casualty occurs; and (7) the reduction or elimination of discharges during ballasting, deballasting, tank cleaning, cargo handling, or other such activity. (b) In prescribing regulations under subsection (a) of this section, the Secretary shall consider the types and grades of cargo permitted to be on board a tank vessel. (c) In prescribing regulations under subsection (a) of this section, the Secretary shall establish procedures for consulting with, and receiving and considering the views of - (1) interested departments, agencies, and instrumentalities of the United States Government; (2) officials of State and local governments; (3) representatives of port and harbor authorities and associations; (4) representatives of environmental groups; and (5) other interested parties knowledgeable or experienced in dealing with problems involving vessel safety, port and waterways safety, and protection of the marine environment. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 522.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3703 46:391a(6) 46:391a(12) ------------------------------- Section 3703 requires the Secretary to issue regulations to implement this section. Specific items are listed to be included within the regulations issued. The regulatory authority must be exercised under the Administrative Procedure Act and, in prescribing these regulations, the Secretary must consider the kinds and grades of cargo carried on board. Furthermore, in addition to any requirements of the Administrative Procedure Act, the Secretary must establish specific consultation procedures for considering the views of various specified interested officials, groups, and individuals. The procedures are intended to provide for consultation as early as possible in the regulatory process. REGULATIONS REQUIRING PERIODIC GAUGING OF PLATING THICKNESS FOR OIL CARRYING COMMERCIAL VESSELS Pub. L. 101-380, title IV, Sec. 4109, Aug. 18, 1990, 104 Stat. 515, provided that: 'Not later than 1 year after the date of the enactment of this Act (Aug. 18, 1990), the Secretary shall issue regulations for vessels constructed or adapted to carry, or that carry, oil in bulk as cargo or cargo residue - '(1) establishing minimum standards for plating thickness; and '(2) requiring, consistent with generally recognized principles of international law, periodic gauging of the plating thickness of all such vessels over 30 years old operating on the navigable waters or the waters of the exclusive economic zone.' REGULATIONS REQUIRING USE OF OVERFILL AND TANK LEVEL OR MONITORING DEVICES ON OIL CARRYING COMMERCIAL VESSELS Pub. L. 101-380, title IV, Sec. 4110, Aug. 18, 1990, 104 Stat. 515, provided that: '(a) Standards. - Not later than 1 year after the date of the enactment of this Act (Aug. 18, 1990), the Secretary shall establish, by regulation, minimum standards for devices for warning persons of overfills and tank levels of oil in cargo tanks and devices for monitoring the pressure of oil cargo tanks. '(b) Use. - Not later than 1 year after the date of the enactment of this Act (Aug. 18, 1990), the Secretary shall issue regulations establishing, consistent with generally recognized principles of international law, requirements concerning the use of - '(1) overfill devices, and '(2) tank level or pressure monitoring devices, which are referred to in subsection (a) and which meet the standards established by the Secretary under subsection (a), on vessels constructed or adapted to carry, or that carry, oil in bulk as cargo or cargo residue on the navigable waters and the waters of the exclusive economic zone.' TANKER NAVIGATION SAFETY STANDARDS STUDY Pub. L. 101-380, title IV, Sec. 4111, Aug. 18, 1990, 104 Stat. 515, provided that: '(a) In General. - Not later than 1 year after the date of enactment of this Act (Aug. 18, 1990), the Secretary shall initiate a study to determine whether existing laws and regulations are adequate to ensure the safe navigation of vessels transporting oil or hazardous substances in bulk on the navigable waters and the waters of the exclusive economic zone. '(b) Content. - In conducting the study required under subsection (a), the Secretary shall - '(1) determine appropriate crew sizes on tankers; '(2) evaluate the adequacy of qualifications and training of crewmembers on tankers; '(3) evaluate the ability of crewmembers on tankers to take emergency actions to prevent or remove a discharge of oil or a hazardous substance from their tankers; '(4) evaluate the adequacy of navigation equipment and systems on tankers (including sonar, electronic chart display, and satellite technology); '(5) evaluate and test electronic means of position-reporting and identification on tankers, consider the minimum standards suitable for equipment for that purpose, and determine whether to require that equipment on tankers; '(6) evaluate the adequacy of navigation procedures under different operating conditions, including such variables as speed, daylight, ice, tides, weather, and other conditions; '(7) evaluate whether areas of navigable waters and the exclusive economic zone should be designated as zones where the movement of tankers should be limited or prohibited; '(8) evaluate whether inspection standards are adequate; '(9) review and incorporate the results of past studies, including studies conducted by the Coast Guard and the Office of Technology Assessment; '(10) evaluate the use of computer simulator courses for training bridge officers and pilots of vessels transporting oil or hazardous substances on the navigable waters and waters of the exclusive economic zone, and determine the feasibility and practicality of mandating such training; '(11) evaluate the size, cargo capacity, and flag nation of tankers transporting oil or hazardous substances on the navigable waters and the waters of the exclusive economic zone - '(A) identifying changes occurring over the past 20 years in such size and cargo capacity and in vessel navigation and technology; and '(B) evaluating the extent to which the risks or difficulties associated with tanker navigation, vessel traffic control, accidents, oil spills, and the containment and cleanup of such spills are influenced by or related to an increase in tanker size and cargo capacity; and '(12) evaluate and test a program of remote alcohol testing for masters and pilots aboard tankers carrying significant quantities of oil. '(c) Report. - Not later than 2 years after the date of enactment of this Act (Aug. 18, 1990), the Secretary shall transmit to the Congress a report on the results of the study conducted under subsection (a), including recommendations for implementing the results of that study.' RULES GOVERNING OPERATION OF VESSELS ON AUTO-PILOT OR WITH UNATTENDED ENGINE ROOM Pub. L. 101-380, title IV, Sec. 4114(a), Aug. 18, 1990, 104 Stat. 517, provided that: 'In order to protect life, property, and the environment, the Secretary shall initiate a rulemaking proceeding within 180 days after the date of the enactment of this Act (Aug. 18, 1990) to define the conditions under, and designate the waters upon, which tank vessels subject to section 3703 of title 46, United States Code, may operate in the navigable waters with the auto-pilot engaged or with an unattended engine room.' REGULATIONS REQUIRING ESCORTS FOR CERTAIN TANKERS; 'TANKER' DEFINED Pub. L. 101-380, title IV, Sec. 4116(c), (d), Aug. 18, 1990, 104 Stat. 523, provided that: '(c) Escorts for Certain Tankers. - Not later than 6 months after the date of the enactment of this Act (Aug. 18, 1990), the Secretary shall initiate issuance of regulations under section 3703(a)(3) of title 46, United States Code, to define those areas, including Prince William Sound, Alaska, and Rosario Strait and Puget Sound, Washington (including those portions of the Strait of Juan de Fuca east of Port Angeles, Haro Strait, and the Strait of Georgia subject to United States jurisdiction), on which single hulled tankers over 5,000 gross tons transporting oil in bulk shall be escorted by at least two towing vessels (as defined under section 2101 of title 46, United States Code) or other vessels considered appropriate by the Secretary. '(d) Tanker Defined. - In this section (amending section 8502 of this title) the term 'tanker' has the same meaning the term has in section 2101 of title 46, United States Code.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 42 section 7511b. ------DocID 53198 Document 99 of 963------ -CITE- 46 USC Sec. 3703a -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3703a. Tank vessel construction standards -STATUTE- (a) Except as otherwise provided in this section, a vessel to which this chapter applies shall be equipped with a double hull - (1) if it is constructed or adapted to carry, or carries, oil in bulk as cargo or cargo residue; and (2) when operating on the waters subject to the jurisdiction of the United States, including the Exclusive Economic Zone. (b) This section does not apply to - (1) a vessel used only to respond to a discharge of oil or a hazardous substance; (2) a vessel of less than 5,000 gross tons equipped with a double containment system determined by the Secretary to be as effective as a double hull for the prevention of a discharge of oil; or (3) before January 1, 2015 - (A) a vessel unloading oil in bulk at a deepwater port licensed under the Deepwater Port Act of 1974 (33 U.S.C. 1501 et seq.); or (B) a delivering vessel that is offloading in lightering activities - (i) within a lightering zone established under section 3715(b)(5) of this title; and (ii) more than 60 miles from the baseline from which the territorial sea of the United States is measured. (c)(1) In this subsection, the age of a vessel is determined from the later of the date on which the vessel - (A) is delivered after original construction; (B) is delivered after completion of a major conversion; or (C) had its appraised salvage value determined by the Coast Guard and is qualified for documentation under section 4136 of the Revised Statutes of the United States (46 App. U.S.C. 14). (2) A vessel of less than 5,000 gross tons for which a building contract or contract for major conversion was placed before June 30, 1990, and that is delivered under that contract before January 1, 1994, and a vessel of less than 5,000 gross tons that had its appraised salvage value determined by the Coast Guard before June 30, 1990, and that qualifies for documentation under section 4136 of the Revised Statutes of the United States (46 App. U.S.C. 14) before January 1, 1994, may not operate in the navigable waters or the Exclusive Economic Zone of the United States after January 1, 2015, unless the vessel is equipped with a double hull or with a double containment system determined by the Secretary to be as effective as a double hull for the prevention of a discharge of oil. (3) A vessel for which a building contract or contract for major conversion was placed before June 30, 1990, and that is delivered under that contract before January 1, 1994, and a vessel that had its appraised salvage value determined by the Coast Guard before June 30, 1990, and that qualifies for documentation under section 4136 of the Revised Statutes of the United States (46 App. U.S.C. 14) before January 1, 1994, may not operate in the navigable waters or Exclusive Economic Zone of the United States unless equipped with a double hull - (A) in the case of a vessel of at least 5,000 gross tons but less than 15,000 gross tons - (i) after January 1, 1995, if the vessel is 40 years old or older and has a single hull, or is 45 years old or older and has a double bottom or double sides; (ii) after January 1, 1996, if the vessel is 39 years old or older and has a single hull, or is 44 years old or older and has a double bottom or double sides; (iii) after January 1, 1997, if the vessel is 38 years old or older and has a single hull, or is 43 years old or older and has a double bottom or double sides; (iv) after January 1, 1998, if the vessel is 37 years old or older and has a single hull, or is 42 years old or older and has a double bottom or double sides; (v) after January 1, 1999, if the vessel is 36 years old or older and has a single hull, or is 41 years old or older and has a double bottom or double sides; (vi) after January 1, 2000, if the vessel is 35 years old or older and has a single hull, or is 40 years old or older and has a double bottom or double sides; and (vii) after January 1, 2005, if the vessel is 25 years old or older and has a single hull, or is 30 years old or older and has a double bottom or double sides; (B) in the case of a vessel of at least 15,000 gross tons but less than 30,000 gross tons - (i) after January 1, 1995, if the vessel is 40 years old or older and has a single hull, or is 45 years old or older and has a double bottom or double sides; (ii) after January 1, 1996, if the vessel is 38 years old or older and has a single hull, or is 43 years old or older and has a double bottom or double sides; (iii) after January 1, 1997, if the vessel is 36 years old or older and has a single hull, or is 41 years old or older and has a double bottom or double sides; (iv) after January 1, 1998, if the vessel is 34 years old or older and has a single hull, or is 39 years old or older and has a double bottom or double sides; (v) after January 1, 1999, if the vessel is 32 years old or older and has a single hull, or 37 years old or older and has a double bottom or double sides; (vi) after January 1, 2000, if the vessel is 30 years old or older and has a single hull, or is 35 years old or older and has a double bottom or double sides; (vii) after January 1, 2001, if the vessel is 29 years old or older and has a single hull, or is 34 years old or older and has a double bottom or double sides; (viii) after January 1, 2002, if the vessel is 28 years old or older and has a single hull, or is 33 years old or older and has a double bottom or double sides; (ix) after January 1, 2003, if the vessel is 27 years old or older and has a single hull, or is 32 years old or older and has a double bottom or double sides; (x) after January 1, 2004, if the vessel is 26 years old or older and has a single hull, or is 31 years old or older and has a double bottom or double sides; and (xi) after January 1, 2005, if the vessel is 25 years old or older and has a single hull, or is 30 years old or older and has a double bottom or double sides; and (C) in the case of a vessel of at least 30,000 gross tons - (i) after January 1, 1995, if the vessel is 28 years old or older and has a single hull, or 33 years old or older and has a double bottom or double sides; (ii) after January 1, 1996, if the vessel is 27 years old or older and has a single hull, or is 32 years old or older and has a double bottom or double sides; (iii) after January 1, 1997, if the vessel is 26 years old or older and has a single hull, or is 31 years old or older and has a double bottom or double sides; (iv) after January 1, 1998, if the vessel is 25 years old or older and has a single hull, or is 30 years old or older and has a double bottom or double sides; (v) after January 1, 1999, if the vessel is 24 years old or older and has a single hull, or 29 years old or older and has a double bottom or double sides; and (vi) after January 1, 2000, if the vessel is 23 years old or older and has a single hull, or is 28 years old or older and has a double bottom or double sides. (4) Except as provided in subsection (b) of this section - (A) a vessel that has a single hull may not operate after January 1, 2010; and (B) a vessel that has a double bottom or double sides may not operate after January 1, 2015. -SOURCE- (Added Pub. L. 101-380, title IV, Sec. 4115(a), Aug. 18, 1990, 104 Stat. 517.) -REFTEXT- REFERENCES IN TEXT The Deepwater Port Act of 1974, referred to in subsec. (b)(3)(A), is Pub. L. 93-627, Jan. 3, 1975, 88 Stat. 2126, as amended, which is classified generally to chapter 29 (Sec. 1501 et seq.) of Title 33, Navigation and Navigable Waters. For complete classification of this Act to the Code, see Short Title note set out under section 1501 of Title 33 and Tables. -MISC2- EFFECTIVE DATE Section applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as a note under section 2701 of Title 33, Navigation and Navigable Waters. TANK VESSELS OVER 5,000 GROSS TONS TO COMPLY UNTIL JANUARY 1, 2015, WITH ENVIRONMENTALLY PROTECTIVE STRUCTURAL AND OPERATIONAL REQUIREMENTS Section 4115(b) of Pub. L. 101-380 provided that: 'The Secretary shall, within 12 months after the date of the enactment of this Act (Aug. 18, 1990), complete a rulemaking proceeding and issue a final rule to require that tank vessels over 5,000 gross tons affected by section 3703a of title 46, United States Code, as added by this section, comply until January 1, 2015, with structural and operational requirements that the Secretary determines will provide as substantial protection to the environment as is economically and technologically feasible.' STUDY ON OTHER STRUCTURAL AND OPERATIONAL TANK VESSEL REQUIREMENTS Section 4115(e) of Pub. L. 101-380 provided that: '(1) Other requirements. - Not later than 6 months after the date of enactment of this Act (Aug. 18, 1990), the Secretary shall determine, based on recommendations from the National Academy of Sciences or other qualified organizations, whether other structural and operational tank vessel requirements will provide protection to the marine environment equal to or greater than that provided by double hulls, and shall report to the Congress that determination and recommendations for legislative action. '(2) Review and assessment. - The Secretary shall - '(A) periodically review recommendations from the National Academy of Sciences and other qualified organizations on methods for further increasing the environmental and operational safety of tank vessels; '(B) not later than 5 years after the date of enactment of this Act (Aug. 18, 1990), assess the impact of this section on the safety of the marine environment and the economic viability and operational makeup of the maritime oil transportation industry; and '(C) report the results of the review and assessment to the Congress with recommendations for legislative or other action.' -EXEC- TERRITORIAL SEA OF UNITED STATES For extension of territorial sea of United States, see Proc. No. 5928, set out as a note under section 1331 of Title 43, Public Lands. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3715 of this title. ------DocID 53199 Document 100 of 963------ -CITE- 46 USC Sec. 3704 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3704. Coastwise trade vessels -STATUTE- A segregated ballast tank, a crude oil washing system, or an inert gas system, required by this chapter or a regulation prescribed under this chapter, on a vessel entitled to engage in the coastwise trade under section 27 of the Merchant Marine Act, 1920 (46 App. U.S.C. 883), shall be installed in the United States (except the trust territories). A vessel failing to comply with this section may not engage in the coastwise trade. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 522.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3704 46:391a(7) ------------------------------- Section 3704 requires any tank vessel that is entitled to engage in the coastwise trade to install certain equipment in the United States under the penalty of losing coastwise trading privileges if the installation work is done in a foreign country. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3709 of this title; section 1185 of Appendix to this title. ------DocID 53200 Document 101 of 963------ -CITE- 46 USC Sec. 3705 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3705. Crude oil tanker minimum standards -STATUTE- (a) A new crude oil tanker of at least 20,000 deadweight tons shall be equipped with - (1) protectively located segregated ballast tanks; (2) a crude oil washing system; and (3) a cargo tank protection system consisting of a fixed deck froth system and a fixed inert gas system. (b)(1) An existing crude oil tanker of at least 40,000 deadweight tons shall be equipped with - (A) segregated ballast tanks; or (B) a crude oil washing system. (2) Compliance with paragraph (1) of this subsection may be delayed until June 1, 1985, for any tanker of less than 70,000 deadweight tons that has dedicated clean ballast tanks. (c) An existing crude oil tanker of at least 20,000 deadweight tons but less than 40,000 deadweight tons, and at least 15 years of age, shall be equipped with segregated ballast tanks or a crude oil washing system before January 2, 1986, or the date on which the tanker reaches 15 years of age, whichever is later. (d) An existing crude oil tanker of at least 20,000 deadweight tons shall be equipped with an inert gas system. However, for a crude oil tanker of less than 40,000 deadweight tons not fitted with high capacity tank washing machines, the Secretary may grant an exemption if the vessel's owner can show clearly that compliance would be unreasonable and impracticable due to the vessel's design characteristics. (e) A crude oil tanker engaged in transferring oil from an offshore oil exploitation or production facility on the Outer Continental Shelf of the United States shall be equipped with segregated ballast tanks, or may operate with dedicated clean ballast tanks or special ballast arrangements. However, the tanker shall comply with other applicable minimum standards of this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 523.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3705(a) 46:391a(7)(A) 3705(b) 46:391a(7)(D) 3705(c) 46:391a(7)(E) 3705(d) 46:391a(7)(F) 3705(e) 46:391a(7)(M) ------------------------------- Section 3705 requires compliance with certain minimum standards by a crude oil tanker, which is self-propelled. In general, the minimum required standards are consistent with those international standards that have been adopted as Protocols to the 1974 Safety of Life at Sea Convention and the 1973 Marine Pollution Convention. Section 3705(a) requires new crude oil tankers of 20,000 deadweight tons or above to have protectively located segregated ballast tanks, a crude oil washing system, and a specified cargo tank protection system. Section 3705(b) requires existing crude oil tankers of 40,000 deadweight tons or above to have segregated ballast tanks or a crude oil washing system. Compliance may be delayed until June 1, 1985 for smaller tankers that have dedicated clean ballast tanks. Section 3705(c) requires existing crude oil tankers of 20,000 deadweight tons or above, but less than 40,000 deadweight tons, that are 15 years or older, to have segregated ballast tanks or a crude oil washing system by January 1, 1985 or if less than 15 years old, by the date on which it reaches 15 years of age. Section 3705(d) requires existing crude oil tankers of 20,000 deadweight tons or above, to install an inert gas system. An exemption for crude oil tankers of less than 40,000 deadweight tons not fitted with high-capacity tank washing machines may be granted by the Secretary, only if it is demonstrated that compliance would be unreasonable and impracticable due to the vessel's design characteristics. Section 3705(e) requires existing crude oil tankers of 20,000 deadweight tons or above, engaged in the transfer of oil from Outer Continental Shelf oil exploitation or production facilities, to have segregated ballast tanks or be operated with dedicated clean ballast tanks or special ballast arrangements. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3709 of this title; section 1185 of Appendix to this title. ------DocID 53201 Document 102 of 963------ -CITE- 46 USC Sec. 3706 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3706. Product carrier minimum standards -STATUTE- (a) A new product carrier of at least 30,000 deadweight tons shall be equipped with protectively located segregated ballast tanks. (b) A new product carrier of at least 20,000 deadweight tons shall be equipped with a cargo tank protection system consisting of a fixed deck froth system and a fixed inert gas system or, if the product carrier carries dedicated products incompatible with the cargo tank protection system, an alternate protection system authorized by the Secretary. (c) An existing product carrier of at least 40,000 deadweight tons shall be equipped with segregated ballast tanks or may operate with dedicated clean ballast tanks. (d) An existing product carrier of at least 20,000 deadweight tons but less than 40,000 deadweight tons, and at least 15 years of age, shall be equipped with segregated ballast tanks or may operate with dedicated clean ballast tanks before January 2, 1986, or the date on which it reaches 15 years of age, whichever is later. (e) An existing product carrier of at least 40,000 deadweight tons, or an existing product carrier of at least 20,000 deadweight tons but less than 40,000 deadweight tons that is fitted with high-capacity tank washing machines, shall be equipped with an inert gas system. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 523.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3706(a) 46:391a(7)(B) 3706(b) 46:391a(7)(C) 3706(c) 46:391a(7)(G) 3706(d) 46:391a(7)(H) 3706(e) 46:391a(7)(I) ------------------------------- Section 3706 requires compliance with certain minimum standards by a product carrier, which is a self-propelled tank vessel. Section 3706(a) requires new product carriers of 30,000 deadweight tons or above, to have protectively located segregated ballast tanks. Section 3706(b) requires new product carriers of 20,000 deadweight tons or above, to have a cargo tank protection system consisting of a fixed deck froth system or a fixed inert gas system. If the products carried are incompatible with the cargo tank protection system, then an alternative protection system may be authorized. Section 3706(c) requires existing product carriers of 40,000 deadweight tons or above, to have segregated ballast tanks or to operate with dedicated clean ballast tanks. Section 3706(d) requires existing product carriers of 20,000 deadweight tons or above, but less than 40,000 deadweight tons, that are 15 years or older, to have segregated ballast tanks by January 1, 1985, or on the date on which it reaches 15 years of age or, in the alternative, that the vessel operate with dedicated clean ballast tanks. Section 3706(e) requires existing product carriers of 40,000 deadweight tons or above, or to existing product carriers, fitted with high-capacity tank washing machines, of 20,000 deadweight tons but less than 40,000 deadweight tons, to install an inert gas system. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3709 of this title; section 1185 of Appendix to this title. ------DocID 53202 Document 103 of 963------ -CITE- 46 USC Sec. 3707 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3707. Tanker minimum standards -STATUTE- (a) A new tanker of at least 10,000 gross tons shall be equipped with - (1) 2 remote steering gear control systems operable separately from the navigating bridge; (2) the main steering gear control in the steering gear compartment; (3) means of communications and rudder angle indicators on the navigating bridge, a remote steering gear control station, and the steering gear compartment; (4) at least 2 identical and adequate power units for the main steering gear; (5) an alternative and adequate power supply, either from an emergency source of electrical power or from another independent source of power located in the steering gear compartment; and (6) means of automatic starting and stopping of power units with attendant alarms at all steering stations. (b) An existing tanker of at least 10,000 gross tons shall be equipped with - (1) 2 remote steering gear control systems operable separately from the navigating bridge; (2) the main steering gear control in the steering gear compartment; and (3) means of communications and rudder angle indicators on the navigating bridge, a remote steering gear control station, and the steering gear compartment. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 524.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3707(a) 46:391a(7)(K) 3707(b) 46:391a(7)(L) ------------------------------- Section 3707 requires compliance with certain minimum standards by a tanker, which is a self-propelled tank vessel. Section 3707(a) requires new tankers of 10,000 gross tons or above, to have two remote steering gear control systems, a main steering gear control in the steering gear compartment, a means of communications and rudder angle indicators at specified locations, two or more specified power units for the main steering gear, an alternative and adequate power supply of specified characteristics, and a means of automatic operation of power units, with attendant alarms at all steering stations. Section 3707(b) requires existing tankers of 10,000 gross tons or above, to have two remote steering gear control systems, a main steering gear control in the steering gear compartment, and a means of communication and rudder angle indicators at specified locations. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1185 of Appendix to this title. ------DocID 53203 Document 104 of 963------ -CITE- 46 USC Sec. 3708 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3708. Self-propelled tank vessel minimum standards -STATUTE- A self-propelled tank vessel of at least 10,000 gross tons shall be equipped with - (1) a dual radar system with short-range and long-range capabilities, each with true-north features; (2) an electronic relative motion analyzer that is at least functionally equivalent to equipment complying with specifications established by the Secretary of Transportation; (3) an electronic position-fixing device; (4) adequate communications equipment; (5) a sonic depth finder; (6) a gyrocompass; and (7) up-to-date charts. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 524.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3708 46:391a(7)(J) ------------------------------- Section 3708 requires compliance with certain minimum standards by a self-propelled tank vessel. These requirements apply to any tank vessel of 10,000 gross tons or above with no distinction being made as to whether or not the vessel is 'primarily' constructed or adapted to carry oil or hazardous material in bulk in the cargo spaces. These vessels are required to be equipped with a dual radar system, a computerized relative motion analyzer, an electronic position fixing device, adequate communications equipment, a sonic depth finder, a gyrocompass, and up-to-date charts. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1185 of Appendix to this title. ------DocID 53204 Document 105 of 963------ -CITE- 46 USC Sec. 3709 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3709. Exemptions -STATUTE- The Secretary may exempt a vessel from the minimum requirements established by sections 3704-3706 of this title for segregated ballast, crude oil washing, and dedicated clean ballast if the Secretary decides that shore-based reception facilities are a preferred method of handling ballast and that adequate facilities are readily available. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 524.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3709 46:391a(7)(N) ------------------------------- Section 3709 provides the Secretary with the authority to exempt certain minimum tanker requirements of sections 3704, 3705, and 3706 when shorebased reception facilities are a better way of handling ballast and when the facilities are adequate and readily available. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1185 of Appendix to this title. ------DocID 53205 Document 106 of 963------ -CITE- 46 USC Sec. 3710 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3710. Evidence of compliance by vessels of the United States -STATUTE- (a) A vessel of the United States to which this chapter applies that has on board oil or hazardous material in bulk as cargo or cargo residue must have a certificate of inspection issued under this part, endorsed to indicate that the vessel complies with regulations prescribed under this chapter. (b) Each certificate endorsed under this section is valid for not more than 24 months and may be renewed as specified by the Secretary. In appropriate circumstances, the Secretary may issue a temporary certificate valid for not more than 30 days. A certificate shall be suspended or revoked if the Secretary finds that the vessel does not comply with the conditions under which the certificate was issued. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 524.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3710 46:391a(8)(A) 46:391a(8)(E) ------------------------------- Section 3710 prohibits any vessels of the United States subject to this chapter from having on board oil or hazardous material in bulk as cargo or in residue, unless it has a required Certificate of Inspection endorsed to indicate vessel compliance with applicable regulations. Certificates shall be valid for a period not to exceed two years and may be renewed as specified by the Secretary. The Secretary may issue temporary certificates of not more than thirty days duration and may revoke or suspend any certificate under designated circumstances. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3715 of this title. ------DocID 53206 Document 107 of 963------ -CITE- 46 USC Sec. 3711 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3711. Evidence of compliance by foreign vessels -STATUTE- (a) A foreign vessel to which this chapter applies may operate on the navigable waters of the United States, or transfer oil or hazardous material in a port or place under the jurisdiction of the United States, only if the vessel has been issued a certificate of compliance by the Secretary. The Secretary may issue the certificate only after the vessel has been examined and found to be in compliance with this chapter and regulations prescribed under this chapter. The Secretary may accept any part of a certificate, endorsement, or document, issued by the government of a foreign country under a treaty, convention, or other international agreement to which the United States is a party, as a basis for issuing a certificate of compliance. (b) A certificate issued under this section is valid for not more than 24 months and may be renewed as specified by the Secretary. In appropriate circumstances, the Secretary may issue a temporary certificate valid for not more than 30 days. (c) A certificate shall be suspended or revoked if the Secretary finds that the vessel does not comply with the conditions under which the certificate was issued. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 525.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3711 46:391a(8)(B) 46:391a(8)(C) 46:391a(8)(E) ------------------------------- Section 3711 prohibits any foreign vessel from operating on the navigable waters of the United States or from transferring oil or hazardous material in any port or place under the jurisdiction of the United States, unless it has a certificate of compliance issued by the Secretary indicating that the vessel has been examined and found to be in compliance with the provisions of the applicable regulations. It also authorizes the Secretary to accept, in whole or in part, an appropriate foreign certificate issued pursuant to any international agreement to which the United States is a party, as a basis for issuing the certificate of compliance. This means that the Secretary does not have to accept foreign certificates as evidence of compliance, but may take additional action to assure compliance with applicable domestic laws and regulations and international treaty provisions. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3715 of this title. ------DocID 53207 Document 108 of 963------ -CITE- 46 USC Sec. 3712 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3712. Notification of noncompliance -STATUTE- The Secretary shall notify the owner, charterer, managing operator, agent, master, or individual in charge of a vessel found not to be in compliance with a regulation prescribed under this part and state how compliance may be achieved. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 525.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3712 46:391a(8)(A) 46:391a(8)(B) ------------------------------- Section 3712 requires the Secretary to notify appropriate parties when a vessel is found not to be in compliance with applicable requirements, standards, or regulations and what remedial steps must be taken in order to comply with them. ------DocID 53208 Document 109 of 963------ -CITE- 46 USC Sec. 3713 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3713. Prohibited acts -STATUTE- (a) A person may not - (1) violate this chapter or a regulation prescribed under this chapter; (2) refuse to permit any official, authorized by the Secretary to enforce this chapter, to board a vessel or to enter a shore area, place, or premises, under a person's control to make an inspection under this chapter; or (3) refuse to obey a lawful directive issued under this chapter. (b) A vessel to which this chapter applies may not - (1) operate on the navigable waters of the United States or use a port or place subject to the jurisdiction of the United States when not in compliance with this chapter or a regulation prescribed under this chapter; (2) fail to comply with a lawful directive issued under this chapter; or (3) carry a type or grade of oil or hazardous material in bulk as cargo or cargo residue unless its certificate is endorsed to allow that carriage. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 525.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3713 46:391a(13) ------------------------------- Section 3713(a) prohibits any person from violating any provision of this chapter or a regulation prescribed under its authority. It prohibits the refusal to permit authorized officials to board a vessel or to enter a shore area for the purposes of inspection of the vessel or premises. It also prohibits the refusal to obey any lawful directive issued under this chapter. Section 3713(b) prohibits any vessel, subject to the provisions of this chapter from operating on the navigable waters of the United States, or from using any port or place subject to the jurisdiction of the United States while not in compliance with any provision of applicable law or regulation. It further prohibits any vessel from failing to comply with a lawful directive issued pursuant to the authority of this chapter. It also prohibits the vessel from carrying oil or hazardous material as cargo or cargo residue unless its certificate is so endorsed to permit its carriage. ------DocID 53209 Document 110 of 963------ -CITE- 46 USC Sec. 3714 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3714. Inspection and examination -STATUTE- (a)(1) The Secretary shall have each vessel to which this chapter applies inspected or examined at least once each year. (2) Each of those vessels that is more than 10 years of age shall undergo a special and detailed inspection of structural strength and hull integrity as specified by the Secretary. (3) The Secretary may make contracts for conducting inspections or examinations in the United States and in foreign countries. An inspector conducting an inspection or examination under contract may not issue a certificate of inspection or a certificate of compliance, but the inspector may issue a temporary certificate. (4) The Secretary shall prescribe by regulation reasonable fees for an inspection or examination conducted under this section outside the United States, or which, when involving a foreign vessel, is conducted under a contract authorized by paragraph (3) of this subsection. The owner, charterer, or managing operator of a vessel inspected or examined by the Secretary is liable for the fees. Amounts received as fees shall be deposited in the Treasury. (5) The Secretary may allow provisional entry of a vessel to conduct an inspection or examination under this chapter. (b) Each vessel to which this chapter applies shall have on board those documents the Secretary considers necessary for inspection and enforcement, including documents listing - (1) the type, grade, and approximate quantities of cargo on board; (2) the shipper and consignee of the cargo; (3) the places of origin and destination of the vessel; and (4) the name of an agent in the United States authorized to accept service of legal process. (c) Each vessel to which this chapter applies that operates in the United States shall have a person designated as authorized to accept service of legal process for the vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 526; Pub. L. 99-307, Sec. 1(8), May 19, 1986, 100 Stat. 445.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3714 46:391a(15) ------------------------------- Section 3714(a) requires the Secretary to establish a program for the inspection of tank vessels, foreign or domestic, at least once each year. The Committee contemplates that United States vessels will be issued a 2 year certificate of inspection with a mid-period examination. The Committee also contemplates that foreign-flag vessels will continue to be tracked and boarded at least once a year or when they first arrive in the United States. The Secretary may examine the foreign-flag tank vessel but may accept, as a basis for the issuance of a certificate of compliance, in whole or in part a foreign-issued certificate. Each vessel over 10 years of age must undergo a special and detailed inspection of structural strength and hull integrity, as specified by the Secretary. An inspection or examination may be conducted by any officer authorized by the Secretary. The Committee expects that, whenever possible, a qualified marine inspector will be used wherever the vessel undergoes these 10-year inspections. The Secretary may also contract for inspections or examinations in the United States and in foreign countries. The primary reason for including a provision that permits the contracting for the conduct of inspections and examinations is to provide flexibility in foreign areas where Coast Guard marine inspectors are not normally available. A contract inspector may be authorized to act on behalf of the Secretary, but may not issue a certificate of inspection or compliance. The inspector may, however, issue a temporary certificate. The Committee understands that the 10-year inspections of United States-flag and foreign-flag vessels may occur at the time the vessel is scheduled for shipyard availability to complete the periodic classification society survey. The Secretary is also authorized and directed to prescribe by regulation reasonable fees for certain inspections or examinations conducted pursuant to this section based on the cost incurred. The owner of any vessel inspected or examined by the Secretary or his designee shall be liable for the fee. Amounts received as fees under this section are to be deposited in the Treasury. Section 3714(b) requires each vessel subject to this chapter to have on board those documents the Secretary declares are necessary for inspection or enforcement, including, but not limited to documents indicating the kind, grade, and approximate quantities of any cargo on board; the shipper and consignee of the cargo; the points of origin and destination of the vessel; and the name of an agent in the United States authorized to accept legal process. Section 3714(c) requires each vessel subject to this chapter to have a person authorized to accept service of legal process for the vessel. AMENDMENTS 1986 - Subsec. (a)(4). Pub. L. 99-307 substituted 'charterer' for 'charter'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3717 of this title. ------DocID 53210 Document 111 of 963------ -CITE- 46 USC Sec. 3715 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3715. Lightering -STATUTE- (a) A vessel may transfer oil or hazardous material in a port or place subject to the jurisdiction of the United States, when the cargo has been transferred from another vessel on the navigable waters of the United States or in the marine environment, only if - (1) the transfer was conducted consistent with regulations prescribed by the Secretary; (2) both the delivering and receiving vessels had on board, at the time of transfer, a certificate of inspection or a certificate of compliance, as would have been required under section 3710 or 3711 of this title, had the transfer taken place in a port or place subject to the jurisdiction of the United States; and (3) the delivering and the receiving vessel had on board at the time of transfer, a certificate of financial responsibility as would have been required under section 1016 of the Oil Pollution Act of 1990, had the transfer taken place in a place subject to the jurisdiction of the United States; (4) the delivering and the receiving vessel had on board at the time of transfer, evidence that each vessel is operating in compliance with section 311(j) of the Federal Water Pollution Control Act (33 U.S.C. 1321(j)); and (5) the delivering and the receiving vessel are operating in compliance with section 3703a of this title. (b) The Secretary shall prescribe regulations to carry out subsection (a) of this section. The regulations shall include provisions on - (1) minimum safe operating conditions, including sea state, wave height, weather, proximity to channels or shipping lanes, and other similar factors; (2) the prevention of spills; (3) equipment for responding to a spill; (4) the prevention of any unreasonable interference with navigation or other reasonable uses of the high seas, as those uses are defined by treaty, convention, or customary international law; (5) the establishment of lightering zones; and (6) requirements for communication and prearrival messages. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 526; Pub. L. 101-380, title IV, Sec. 4115(d), Aug. 18, 1990, 104 Stat. 520.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3715 46:391a(17) ------------------------------- Section 3715 requires the Secretary to control lightering operations; that is, the transferring of cargoes at sea from large deep-draft vessels to shallow-draft vessels for subsequent transfer to shoreside terminals due to the inability of the larger tank vessels to enter shallow ports. It prohibits a tank vessel from unloading any cargo of oil or hazardous material at any port or terminal under the jurisdiction of the United States, unless the cargo has been transferred in accordance with lightering regulations. It also prohibits the shoreside transfer unless both the delivering and receiving vessels involved in the prior lightering had on board at the time of the offshore transfer, the certificates that would have been required had the transfer taken place in a port or place subject to the jurisdiction of the United States. The regulations to be prescribed by the Secretary shall include a number of specific considerations but may include any related matters deemed necessary to promote navigation and vessel safety and protection of the marine environment. The Secretary must consider standards for minimum safe operating conditions, including sea state, wave height, weather, vessel traffic, the prevention of oil spills, and oil spill response equipment. In regulating this operation, there must not be any unreasonable interference with international navigation or reasonable uses of the high seas, and there must be established lightering zones with attendant communications and prearrival message requirements. -REFTEXT- REFERENCES IN TEXT Section 1016 of the Oil Pollution Act of 1990, referred to in subsec. (a)(3), is classified to section 2716 of Title 33, Navigation and Navigable Waters. -MISC2- AMENDMENTS 1990 - Subsec. (a)(3) to (5). Pub. L. 101-380 added pars. (3) to (5). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. EFFECTIVE DATE Section 2(g)(2) of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 599, provided that: 'Section 3715(a) of title 46 (as enacted by section 1 of this Act) is effective on the day after the effective date of the regulations prescribed by the Secretary under section 3715(b) of title 46.' (Regulations effective Apr. 26, 1984, see 49 F.R. 11170, Mar. 26, 1984.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3703a of this title. ------DocID 53211 Document 112 of 963------ -CITE- 46 USC Sec. 3716 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3716. Tank washings -STATUTE- (a) A vessel may not transfer cargo in a port or place subject to the jurisdiction of the United States if, before arriving, the vessel has discharged tank washings containing oil or hazardous material in preparation for loading at that port or place in violation of the laws of the United States or in a manner or quantities inconsistent with a treaty to which the United States is a party. (b) The Secretary shall establish effective control and supervisory measures to carry out this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 527.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3716 46:391a(18) ------------------------------- Section 3716 requires the Secretary to establish effective control and supervisory measures to prohibit the discharge of tank washings by dumping at sea. The section also prohibits the dumping vessel from subsequently loading any cargo at a port or terminal subject to the jurisdiction of the United States. This section is intended to prohibit the practice of discharging a cargo of oil or hazardous substance, then going to sea to clean tanks by pumping tank washing mixtures overboard, and then returning to a port or terminal subject to the jurisdiction of the United States for the purpose of loading a cargo that was incompatible with the prior cargo. ------DocID 53212 Document 113 of 963------ -CITE- 46 USC Sec. 3717 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3717. Marine safety information system -STATUTE- (a) The Secretary shall establish a marine safety information system that shall contain information about each vessel to which this chapter applies that operates on the navigable waters of the United States, or that transfers oil or hazardous material in a port or place under the jurisdiction of the United States. In acquiring this information, the Secretary shall make full use of publicly available information. The Secretary may by regulation require the vessel to provide information that the Secretary considers necessary to carry out this subsection, including - (1) the name of each person with an ownership interest in the vessel; (2) details of compliance with the financial responsibility requirements of applicable laws or regulations; (3) registration information, including all changes in the name of the vessel; (4) the history of marine casualties and serious repair problems of the vessel; and (5) a record of all inspections and examinations of a vessel conducted under section 3714 of this title. (b) On written request from the Secretary, the head of each department, agency, or instrumentality of the United States Government shall provide available information that the Secretary considers necessary to confirm the information received under subsection (a) of this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 527.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3717 46:391a(16) ------------------------------- Section 3717 requires the Secretary to establish a marine safety information system which is to contain selected information on any tank vessel, foreign or domestic, that comes within the jurisdiction of the United States. This information must be recorded and maintained up-to-date and is available from a number of sources. In some instances, this information is required as a condition of entry. This information shall include certain ownership interests, financial responsibility information, all registered names that the vessel has had since it was built, the present and prior countries of registry, history of accidents or serious repair problems, record of the various inspections or examinations required, and any other data the Secretary deems appropriate to carry out the intent of the section. The section also provides for interagency cooperation and the furnishing of available data and information. ------DocID 53213 Document 114 of 963------ -CITE- 46 USC Sec. 3718 -EXPCITE- TITLE 46 Part B CHAPTER 37 -HEAD- Sec. 3718. Penalties -STATUTE- (a)(1) A person violating this chapter or a regulation prescribed under this chapter is liable to the United States Government for a civil penalty of not more than $25,000. Each day of a continuing violation is a separate violation. (2) Each vessel to which this chapter applies that is operated in violation of this chapter or a regulation prescribed under this chapter is liable in rem for a civil penalty under this subsection. (b) A person willfully and knowingly violating this chapter or a regulation prescribed under this chapter commits a class D felony. (c) Instead of the penalties provided by subsection (b) of this section, a person willfully and knowingly violating this chapter or a regulation prescribed under this chapter, and using a dangerous weapon, or engaging in conduct that causes bodily injury or fear of imminent bodily injury to an official authorized to enforce this chapter or a regulation prescribed under this chapter, commits a class C felony. (d) The district courts of the United States have jurisdiction to restrain a violation of this chapter or a regulation prescribed under this chapter. (e) At the request of the Secretary, the Secretary of the Treasury shall withhold or revoke the clearance required by section 4197 of the Revised Statutes (46 App. U.S.C. 91) of a vessel the owner or operator of which is subject to a penalty under this section. Clearance may be granted on filing a bond or other surety satisfactory to the Secretary. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 527; Pub. L. 101-380, title IV, Sec. 4302(c), Aug. 18, 1990, 104 Stat. 538.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3718 46:391a(14) ------------------------------- Section 3718 provides the authority to assess civil penalties for violation of the chapter or regulations. Each violation subjects the violator to a penalty not to exceed $25,000 for each violation and, in the case of a continuing violation, each day shall constitute a separate violation and the vessel is liable in rem. The procedures for assessing penalties are found in section 2107 of part A. With respect to criminal penalties, a willful or knowing violation of the section or a requlation subjects the offender, upon conviction, to a criminal fine of not more than $50,000 for each violation or imprisonment for not more than 1 year, or both. If the willful and knowing violation involves the use of a dangerous weapon or constitutes an assault or battery, the offender is subjected to a fine of not more than $100,000 or imprisonment of not more than 10 years, or both. In addition, where the owner or operator of the vessel is subject to any of the penalties prescribed, the Secretary of the Treasury is directed to withhold required Customs clearance, at the request of the Secretary. Clearance may be granted upon the filing of a bond or other surety satisfactory to the Secretary. AMENDMENTS 1990 - Subsec. (b). Pub. L. 101-380, Sec. 4302(c)(1), substituted 'commits a class D felony' for 'shall be fined not more than $50,000, imprisoned for not more than 5 years, or both'. Subsec. (c). Pub. L. 101-380, Sec. 4302(c)(2), substituted 'commits a class C felony' for 'shall be fined not more than $100,000, imprisoned for not more than 10 years, or both'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53214 Document 115 of 963------ -CITE- 46 USC CHAPTER 39 -EXPCITE- TITLE 46 Part B CHAPTER 39 -HEAD- CHAPTER 39 - CARRIAGE OF ANIMALS -MISC1- Sec. 3901. Regulations for accommodations for export animals. 3902. Penalties. ------DocID 53215 Document 116 of 963------ -CITE- 46 USC Sec. 3901 -EXPCITE- TITLE 46 Part B CHAPTER 39 -HEAD- Sec. 3901. Regulations for accommodations for export animals -STATUTE- The Secretary of Agriculture may prescribe regulations governing the accommodations on board vessels for cattle, horses, mules, asses, sheep, goats, and swine to be carried from the United States to a foreign country. The regulations shall prescribe standards for space, ventilation, fittings, food and water supply, and other requirements the Secretary of Agriculture considers necessary for the safe and proper transportation and humane treatment of those animals. The Secretary of Agriculture may examine any vessel the Secretary of Agriculture considers necessary to carry out this chapter. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 528.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 3901 46:466a ------------------------------- Section 3901 contains the authority to regulate accommodations for the export of animals by the Secretary of Agriculture. The regulations shall prescribe standards for space and ventilation and any other requirements considered necessary. EFFECTIVE DATE Chapter effective Apr. 15, 1984, see section 2(g)(1) of Pub. L. 98-89, set out as a note under section 3101 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 3902 of this title. ------DocID 53216 Document 117 of 963------ -CITE- 46 USC Sec. 3902 -EXPCITE- TITLE 46 Part B CHAPTER 39 -HEAD- Sec. 3902. Penalties -STATUTE- When the owner, charterer, managing operator, agent, master, or individual in charge of a vessel carrying animals referred to in section 3901 of this title willfully violates, or causes or permits to be violated, a regulation prescribed under this chapter, the vessel may be prohibited from carrying any such animals from the United States for a period, of not more than one year, that the Secretary of Agriculture directs. The vessel may not be cleared from a port of the United States during that period. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 528.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4101 46:526u ------------------------------- Section 4101 makes this chapter applicable to uninspected vessels, as defined in section 2101(43), that operate on the navigable waters of the United States or that are owned in the United States and while operating on the high seas. Therefore a vessel that operates on waters that are considered to be solely State waters would not be subject to these Federal requirements. AMENDMENTS 1988 - Pub. L. 100-424 inserted 'not subject to chapter 45 of this title' after 'an uninspected vessel'. EFFECTIVE DATE Chapter effective Apr. 15, 1984, see section 2(g)(1) of Pub. L. 98-89, set out as a note under section 3101 of this title. ------DocID 53217 Document 118 of 963------ -CITE- 46 USC Sec. 4102 -EXPCITE- TITLE 46 Part B CHAPTER 39 -HEAD- Sec. 4102. Safety equipment -STATUTE- (a) Each uninspected vessel propelled by machinery shall be provided with the number, type, and size of fire extinguishers, capable of promptly and effectively extinguishing burning liquid fuel, that may be prescribed by regulation. The fire extinguishers shall be kept in condition for immediate and effective use and so placed as to be readily accessible. (b) Each uninspected vessel propelled by machinery shall carry at least one readily accessible life preserver or other lifesaving device, of the type prescribed by regulation, for each individual on board. (c) Each uninspected vessel shall have the carburetors of each engine of the vessel (except an outboard motor) using gasoline as fuel, equipped with an efficient flame arrestor, backfire trap, or other similar device prescribed by regulation. (d) Each uninspected vessel using a volatile liquid as fuel shall be provided with the means prescribed by regulation for properly and efficiently ventilating the bilges of the engine and fuel tank compartments, so as to remove any explosive or flammable gases. (e) Each manned uninspected vessel operating on the high seas or beyond three nautical miles from the coastline of the Great Lakes shall be equipped with the number and type of alerting and locating equipment, including emergency position indicating radio beacons, prescribed by the Secretary. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 528; Pub. L. 99-640, Sec. 16, Nov. 10, 1986, 100 Stat. 3552; Pub. L. 100-424, Sec. 2(c), Sept. 9, 1988, 102 Stat. 1590; Pub. L. 100-540, Sec. 1(a), Oct. 28, 1988, 102 Stat. 2719.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4102(a) 46:526g 4102(b) 46:526e 4102(c) 46:526i 4102(d) 46:526j ------------------------------- Section 4102 requires uninspected vessels to comply with certain provisions that incorporate minimum safety equipment and construction requirements. The Committee intends that the term life preserver include all types of personal equipment, including exposure suits with floatation characteristics. AMENDMENTS 1988 - Subsec. (e). Pub. L. 100-540 amended subsec. (e) generally without regard to the prior repeal of subsec. (e) by Pub. L. 100-424. Pub. L. 100-424 struck out subsec. (e) which read as follows: 'Each uninspected fishing, fish processing, or fish tender vessel operating on the high seas shall be equipped with the number and type of emergency position indicating radio beacons prescribed by regulation.' See section 4502(a)(7) of this title. 1986 - Subsec. (e). Pub. L. 99-640 added subsec. (e). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 4103 of this title. ------DocID 53218 Document 119 of 963------ -CITE- 46 USC Sec. 4103 -EXPCITE- TITLE 46 Part B CHAPTER 39 -HEAD- Sec. 4103. Exemptions -STATUTE- (a) The Secretary may exempt a vessel from any part of this chapter if, under regulations prescribed by the Secretary (including regulations on special operating conditions), the Secretary finds that - (1) good cause exists for granting an exemption; and (2) the safety of the vessel and individuals on board will not be adversely affected. (b) Section 4102(a) of this title does not apply to a vessel propelled by outboard motors when competing in a race previously arranged and announced or, if the vessel is designed and intended only for racing, when operated incidental to tuning up the vessel and its engines for the race. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 529; Pub. L. 100-540, Sec. 2, Oct. 28, 1988, 102 Stat. 2719.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4103 46:525h ------------------------------- Section 4103 contains an exemption from carrying fire extinguishers, for on a vessel competing in an organized race or a vessel designed and intended for racing only. AMENDMENTS 1988 - Pub. L. 100-540 added subsec. (a) and designated existing provisions as subsec. (b). ------DocID 53219 Document 120 of 963------ -CITE- 46 USC Sec. 4104 -EXPCITE- TITLE 46 Part B CHAPTER 39 -HEAD- (Sec. 4104. Repealed. Pub. L. 101-595, title VI, Sec. 603(3)(A), Nov. 16, 1990, 104 Stat. 2993) -MISC1- Section, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 529, required Secretary to prescribe regulations to carry out provisions of this chapter. ------DocID 53220 Document 121 of 963------ -CITE- 46 USC Sec. 4105 -EXPCITE- TITLE 46 Part B CHAPTER 39 -HEAD- Sec. 4105. Uninspected passenger vessels -STATUTE- Chapter 43 of this title applies to an uninspected passenger vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 529.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4105 46:1452 46:1453 ------------------------------- Section 4105 provides that an uninspected passenger vessel is subject to Chapter 43, as a recreational vessel even when it is carrying not more than six passengers. ------DocID 53221 Document 122 of 963------ -CITE- 46 USC Sec. 4106 -EXPCITE- TITLE 46 Part B CHAPTER 39 -HEAD- Sec. 4106. Penalties -STATUTE- If a vessel to which this chapter applies is operated in violation of this chapter or a regulation prescribed under this chapter, the owner, charterer, managing operator, agent, master, and individual in charge are each liable to the United States Government for a civil penalty of not more than $5,000. The vessel also is liable in rem for the penalty. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 529; Pub. L. 100-540, Sec. 3, Oct. 28, 1988, 102 Stat. 2719.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4106 46:526o ------------------------------- Section 4106 provides a civil penalty of $100 for a violation of this chapter or a regulation under this chapter. The vessel also is liable in rem. AMENDMENTS 1988 - Pub. L. 100-540 substituted 'not more than $5,000' for '$100'. ------DocID 53222 Document 123 of 963------ -CITE- 46 USC CHAPTER 43 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- CHAPTER 43 - RECREATIONAL VESSELS -MISC1- Sec. 4301. Application. 4302. Regulations. 4303. Inspection and testing. 4304. Importation of nonconforming vessels and equipment. 4305. Exemptions. 4306. Federal preemption. 4307. Prohibited acts. 4308. Termination of unsafe operation. 4309. Investigation and reporting. 4310. Repair and replacement of defects. 4311. Penalties and injunctions. HISTORICAL AND REVISION NOTES Chapter 43 contians the laws applicable to recreational vessels, which originated primarily with the enactment of the Federal Boat Safety Act of 1971 (Public Law 92-75, 85 Stat. 213). That Act embraced a number of activities, but the portion restated in this chapter deals with the establishment of national construction and performance standards for recreational vessels and their associated equipment, the necessary flexible regulatory authority for inspection and testing, Federal preemption, certain necessary prohibited acts, enforcement authority, investigation and reporting requirements, procedures for repair and defect notification, and attendant penalties and injunctive relief. These laws are a direct response to the dramatic increase in the number of recreational boats and the Congressional recognition of the maritime safety problems that recreational boating has imposed upon our more than 25 million miles of waterways. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 2102, 4105 of this title; title 15 section 2052. ------DocID 53223 Document 124 of 963------ -CITE- 46 USC Sec. 4301 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4301. Application -STATUTE- (a) This chapter applies to a recreational vessel and associated equipment carried in the vessel on waters subject to the jurisdiction of the United States and, for a vessel owned in the United States, on the high seas. (b) Except when expressly otherwise provided, this chapter does not apply to a foreign vessel temporarily operating on waters subject to the jurisdiction of the United States. (c) Until there is a final judicial decision that they are navigable waters of the United States, the following waters lying entirely in New Hampshire are declared not to be waters subject to the jurisdiction of the United States within the meaning of this section: Lake Winnisquam, Lake Winnipesaukee, parts of the Merrimack River, and their tributary and connecting waters. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 529.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4301 46:1453 ------------------------------- Section 4301 provides that this chapter is applicable to a recreational vessel that operates on waters subject to the jurisdiction of the United States or that is owned in the United States and while operating on the high seas. It also provides that a foreign recreational vessel that temporarily uses our waters is not subject to the requirements of this chapter. However, if the vessel remains permanently in the United States, it would be subject to the provisions of this chapter. Section 4301(c) recognizes the ongoing controversy over the navigability of certain waters of New Hampshire. While a recreational vessel operating on these waters need not meet the requirements of this chapter, it would be prohibited from operating on any other waters subject to the jurisdiction of the United States if it does not comply with these requirements. EFFECTIVE DATE Chapter effective Apr. 15, 1984, see section 2(g)(1) of Pub. L. 98-89, set out as a note under section 3101 of this title. ------DocID 53224 Document 125 of 963------ -CITE- 46 USC Sec. 4302 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4302. Regulations -STATUTE- (a) The Secretary may prescribe regulations - (1) establishing minimum safety standards for recreational vessels and associated equipment, and establishing procedures and tests required to measure conformance with those standards, with each standard - (A) meeting the need for recreational vessel safety; and (B) being stated, insofar as practicable, in terms of performance; (2) requiring the installation, carrying, or use of associated equipment (including fuel systems, ventilation systems, electrical systems, sound-producing devices, firefighting equipment, lifesaving devices, signaling devices, ground tackle, life- and grab-rails, and navigational equipment) on recreational vessels and classes of recreational vessels subject to this chapter, and prohibiting the installation, carrying, or use of associated equipment that does not conform with safety standards established under this section; and (3) requiring or permitting the display of seals, labels, plates, insignia, or other devices for certifying or evidencing compliance with safety regulations and standards of the United States Government for recreational vessels and associated equipment. (b) Each regulation prescribed under this section shall specify an effective date that is not earlier than 180 days from the date the regulation was published, unless the Secretary finds that there exists a recreational vessel safety hazard so critical as to require an earlier effective date. However, this period may not be more than 24 months for cases involving, in the discretion of the Secretary, major product design, retooling, or major changes in the manufacturing process. (c) In prescribing regulations under this section, the Secretary shall, among other things - (1) consider the need for and the extent to which the regulations will contribute to recreational vessel safety; (2) consider relevant available recreational vessel safety standards, statistics, and data, including public and private research, development, testing, and evaluation; (3) not compel substantial alteration of a recreational vessel or item of associated equipment that is in existence, or the construction or manufacture of which is begun before the effective date of the regulation, but subject to that limitation may require compliance or performance, to avoid a substantial risk of personal injury to the public, that the Secretary considers appropriate in relation to the degree of hazard that the compliance will correct; and (4) consult with the National Boating Safety Advisory Council established under section 13110 of this title about the considerations referred to in clauses (1)-(3) of this subsection. (d) Section 8903 of this title does not apply to a vessel being operated for bona fide dealer demonstrations provided without fee to business invitees. However, if on the basis of substantial evidence, the Secretary decides under this section that requiring vessels so operated to be under the control of licensed individuals is necessary for boating safety, then the Secretary may prescribe regulations requiring the licensing of individuals controlling these vessels in the same manner as provided in chapter 89 of this title for individuals in control of vessels carrying passengers for hire. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 530.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4302 46:1454 46:1455 46:1456 46:1464(g) 46:1488 ------------------------------- Section 4302 authorizes the Secretary to prescribe regulations to carry out the provisions of this chapter. In lieu of establishing specific statutory safety requirements, subsection (a) provides flexible regulatory authority to establish uniform standards for the design, construction, materials, and performance of the boats themselves and all associated equipment. It also provides for the display of seals and other devices for certifying or evidencing compliance with applicable safety regulations or standards. Section 4302(b) requires a regulation prescribed under this section to have an effective date that is not earlier than 180 days from publication. However, in those instances where a safety hazard may be critical an earlier effective date is authorized. Section 4302(c) requires the Secretary to consider certain objectives in developing regulatory controls and regulations or standards and that there must be an effective consultation process. Section 4302(d) exempts dealer demonstration boats from the requirement of having to be named by a licensed individual when demonstrating boats to prospective purchasers or other business invitees when no fees are charged. The Secretary may require that boats so used be under control of a licensed individual. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 4303, 4306, 4310, 8905, 13110 of this title. ------DocID 53225 Document 126 of 963------ -CITE- 46 USC Sec. 4303 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4303. Inspection and testing -STATUTE- (a) Subject to regulations, supervision, and reviews that the Secretary may prescribe, the Secretary may delegate to a person, private or public agency, or organization, or to an officer or employee under the supervision of that person or agency, any work, business, or function related to the testing, inspection, and examination necessary for compliance enforcement and for the development of data to enable the Secretary to prescribe regulations under section 4302 of this title. (b) The Secretary may - (1) conduct research, testing, and development necessary to carry out this chapter, including the procurement by negotiation or otherwise of experimental and other recreational vessels or associated equipment for research and testing purposes; and (2) subsequently sell those vessels. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 531.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4303 46:1457 ------------------------------- Section 4303 authorizes the Secretary to delegate to certain persons or agencies or organizations any work, business, or function related to the testing, inspection, and examination necessary for compliance enforcement. The Secretary may also conduct research, testing, and development necessary to carry out this chapter, including procurement of vessels and equipment and their subsequent sale. The Committee wishes to make clear that the Secretary may sell anything that was purchased to test. ------DocID 53226 Document 127 of 963------ -CITE- 46 USC Sec. 4304 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4304. Importation of nonconforming vessels and equipment -STATUTE- The Secretary and the Secretary of the Treasury may authorize by joint regulations the importation of any nonconforming recreational vessel or associated equipment on conditions, including providing a bond, that will ensure that the recreational vessel or associated equipment will be brought into conformity with applicable safety regulations and standards of the Government before the vessel or equipment is operated on waters subject to the jurisdiction of the United States. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 531.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4304 46:1460 ------------------------------- Section 4304 requires the regulation and control of the importation of nonconforming recreational vessels and associated equipment. This is to assure United States manufacturers that foreign imports comply with those regulations and standards in effect for United States products so that all manufacturers will be on this same competitive footing. This is being done in lieu of providing a specific prohibition against the importation of these vessels and equipment that might be considered an imposition of a non-tariff barrier to trade. ------DocID 53227 Document 128 of 963------ -CITE- 46 USC Sec. 4305 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4305. Exemptions -STATUTE- If the Secretary considers that recreational vessel safety will not be adversely affected, the Secretary may issue an exemption from this chapter or a regulation prescribed under this chapter. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 531.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4305 46:1458 ------------------------------- Section 4305 permits the Secretary to grant appropriate exemptions from the requirements of this chapter when recreational vessel safety will not be adversely affected. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 4306 of this title. ------DocID 53228 Document 129 of 963------ -CITE- 46 USC Sec. 4306 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4306. Federal preemption -STATUTE- Unless permitted by the Secretary under section 4305 of this title, a State or political subdivision of a State may not establish, continue in effect, or enforce a law or regulation establishing a recreational vessel or associated equipment performance or other safety standard or imposing a requirement for associated equipment (except insofar as the State or political subdivision may, in the absence of the Secretary's disapproval, regulate the carrying or use of marine safety articles to meet uniquely hazardous conditions or circumstances within the State) that is not identical to a regulation prescribed under section 4302 of this title. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 531.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4306 46:1459 46:1460 ------------------------------- Section 4306 establishes the Federal preemption of recreational boating standards and requirements. A State or a political subdivision may not establish, continue, or enforce a law or regulation establishing a performance or other safety standard that is not identical to a Federal standard. The Secretary may grant an exemption to a State when the State requirement is one that is needed to meet uniquely hazardous conditions or circumstances within a State. This is to provide uniform standards without the imposition of excessive special requirements by individual States. ------DocID 53229 Document 130 of 963------ -CITE- 46 USC Sec. 4307 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4307. Prohibited acts -STATUTE- (a) A person may not - (1) manufacture, construct, assemble, sell or offer for sale, introduce or deliver for introduction into interstate commerce, or import into the United States, a recreational vessel, associated equipment, or component of the vessel or equipment unless - (A)(i) it conforms with this chapter or a regulation prescribed under this chapter; and (ii) it does not contain a defect which has been identified, in any communication to such person by the Secretary or the manufacturer of that vessel, equipment or component, as creating a substantial risk of personal injury to the public; or (B) it is intended only for export and is so labeled, tagged, or marked on the recreational vessel or equipment, including any markings on the outside of the container in which it is to be exported; (2) affix, attach, or display a seal, document, label, plate, insignia, or other device indicating or suggesting compliance with standards of the United States Government on, in, or in connection with, a recreational vessel or item of associated equipment that is false or misleading; or (3) fail to provide a notification as required by this chapter or fail to exercise reasonable diligence in carrying out the notification and reporting requirements of this chapter. (b) A person may not operate a vessel in violation of this chapter or a regulation prescribed under this chapter. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 531; Pub. L. 98-557, Sec. 8(a), Oct. 30, 1984, 98 Stat. 2862.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4307(a) 46:1461(a) 4307(b) 46:1461(c) ------------------------------- Section 4307 prohibits certain acts in the manufacture and operation of recreational vessels. AMENDMENTS 1984 - Subsec. (a)(1)(A). Pub. L. 98-557 designated existing provisions as cl. (i), substituted 'and' for 'or', and added cl. (ii). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 4311 of this title. ------DocID 53230 Document 131 of 963------ -CITE- 46 USC Sec. 4308 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4308. Termination of unsafe operation -STATUTE- If an official charged with the enforcement of this chapter observes a recreational vessel being operated without sufficient lifesaving or firefighting devices or in an overloaded or other unsafe condition (as defined in regulations prescribed under this chapter) and, in the judgment of the official, the operation creates an especially hazardous condition, the official may direct the individual in charge of the recreational vessel to take immediate and reasonable steps necessary for the safety of individuals on board the vessel, including directing the individual in charge to return to a mooring and to remain there until the situation creating the hazard is corrected or ended. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 532; Pub. L. 99-307, Sec. 1(9), May 19, 1986, 100 Stat. 445.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4308 46:1462 ------------------------------- Section 4308 authorizes an appropriate official to terminate the unsafe operation of recreational vessels. If the official observes the vessel being operated without sufficient lifesaving or firefighting devices or in an overloaded or other unsafe condition (as defined in regulations) and believes the operation creates an especially hazardous condition, the operator may be directed to take immediate and reasonable steps necessary for safety, including returning to a mooring and remaining there until the hazard is corrected or ended. This does not prevent the assessment of any applicable civil penalties nor the pursuing of appropriate criminal action. AMENDMENTS 1986 - Pub. L. 99-307 substituted 'individual in charge' for 'operator' in two places. ------DocID 53231 Document 132 of 963------ -CITE- 46 USC Sec. 4309 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4309. Investigation and reporting -STATUTE- (a) A recreational vessel manufacturer to whom this chapter applies shall establish and maintain records and reports and provide information the Secretary may require to enable the Secretary to decide whether the manufacturer has acted or is acting in compliance with this chapter and regulations prescribed under this chapter. On request of an officer, employee, or agent authorized by the Secretary, a recreational vessel manufacturer shall permit the officer, employee, or agent to inspect, at reasonable times, factories or other facilities, and records related to deciding whether the manufacturer has acted or is acting in compliance with this chapter and regulations prescribed under this chapter. (b) Information reported to or otherwise obtained by the Secretary or the representative of the Secretary under this section containing or related to a trade secret or other matter referred to in section 1905 of title 18, or authorized to be exempt from public disclosure by section 552(b) of title 5, is confidential under section 1905. However, on approval of the Secretary, the information may be disclosed to other officers, employees, or agents concerned with carrying out this chapter or when it is relevant in a proceeding under this chapter. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 532.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4309 46:1463 ------------------------------- Section 4309 requires the establishment and maintenance of certain records by manufacturers, and the inspection and access to these records by the Secretary, at reasonable times, so as to assure Federal enforcement officials that the manufacturer has acted or is in compliance with applicable laws and regulations. It also provides protection for matters related to trade secrets and exemptions from public disclosure. ------DocID 53232 Document 133 of 963------ -CITE- 46 USC Sec. 4310 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4310. Repair and replacement of defects -STATUTE- (a) In this section, 'associated equipment' includes only items or classes of associated equipment that the Secretary shall prescribe by regulation after deciding that the application of the requirements of this section to those items or classes of associated equipment is reasonable and in furtherance of this chapter. (b) If a recreational vessel or associated equipment has left the place of manufacture and the recreational vessel manufacturer discovers or acquires information that the manufacturer decides, in the exercise of reasonable and prudent judgment, indicates that a recreational vessel or associated equipment subject to an applicable regulation prescribed under section 4302 of this title either fails to comply with the regulation, or contains a defect that creates a substantial risk of personal injury to the public, the manufacturer shall provide notification of the defect or failure of compliance as provided by subsections (c) and (d) of this section within a reasonable time after the manufacturer has discovered the defect. (c)(1) The notification required by subsection (b) of this section shall be given to the following persons in the following manner: (A) by certified mail to the first purchaser for other than resale, except that the requirement for notification of the first purchaser shall be satisfied if the recreational vessel manufacturer exercises reasonable diligence in establishing and maintaining a list of those purchasers and their current addresses, and sends the required notice to each person on that list at the address appearing on the list. (B) by certified mail to subsequent purchasers if known to the manufacturer. (C) by certified mail or other more expeditious means to the dealers and distributors of the recreational vessels or associated equipment. (2) The notification required by subsection (b) of this section is required to be given only for a defect or failure of compliance discovered by the recreational vessel manufacturer within a reasonable time after the manufacturer has discovered the defect or failure, except that the manufacturer's duty of notification under paragraph (1)(A) and (B) of this subsection applies only to a defect or failure of compliance discovered by the manufacturer within one of the following appropriate periods: (A) if a recreational vessel or associated equipment required by regulation to have a date of certification affixed, 5 years from the date of certification. (B) if a recreational vessel or associated equipment not required by regulation to have a date of certification affixed, 5 years from the date of manufacture. (d) The notification required by subsection (b) of this section shall contain a clear description of the defect or failure to comply, an evaluation of the hazard reasonably related to the defect or failure, a statement of the measures to correct the defect or failure, and an undertaking by the recreational vessel manufacturer to take those measures only at the manufacturer's cost and expense. (e) Each recreational vessel manufacturer shall provide the Secretary with a copy of all notices, bulletins, and other communications to dealers and distributors of that manufacturer, and to purchasers of recreational vessels or associated equipment of that manufacturer, about a defect related to safety in the recreational vessels or associated equipment, and any failure to comply with the regulation or order applicable to the recreational vessels or associated equipment. The Secretary may publish or otherwise disclose to the public information in the notices or other information the Secretary has that the Secretary considers will assist in carrying out this chapter. However, the Secretary may disclose any information that contains or relates to a trade secret only if the Secretary decides that the information is necessary to carry out this chapter. (f) If, through testing, inspection, investigation, or examination of reports, the Secretary decides that a recreational vessel or associated equipment to which this chapter applies contains a defect related to safety or fails to comply with an applicable regulation prescribed under this chapter and notification under this chapter is appropriate, the Secretary shall notify the recreational vessel manufacturer of the defect or failure. The notice shall contain the findings of the Secretary and shall include a synopsis of the information on which they are based. The manufacturer may then provide the notification required by this chapter to the persons designated in this chapter or dispute the Secretary's decision. If disputed, the Secretary shall provide the manufacturer with an opportunity to present views and establish that there is no such defect or failure. When the Secretary considers it to be in the public interest, the Secretary may publish notice of the proceeding in the Federal Register and provide interested persons, including the National Boating Safety Advisory Council, with an opportunity to comment. If, after presentation by the manufacturer, the Secretary decides that the recreational vessel or associated equipment contains a defect related to safety or fails to comply with an applicable regulation, the Secretary may direct the manufacturer to provide the notifications specified in this chapter. (g) The Secretary may prescribe regulations to carry out this section, including the establishment of procedures that require dealers and distributors to assist manufacturers in obtaining information required by this section. A regulation prescribed under this subsection does not relieve a manufacturer of any obligation imposed by this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 532.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4310 46:1464 ------------------------------- Section 4310 imposes certain requirements on a recreational vessel and associated equipment manufacturer to provide notification of a defect or the failure of compliance after a manufacturer discovers the defect or failure. This section spells out the procedure for notification and who shall be notified. It assures the public of notification while protecting the manufacturer from the potential of damaging and inaccurate disclosures. ------DocID 53233 Document 134 of 963------ -CITE- 46 USC Sec. 4311 -EXPCITE- TITLE 46 Part B CHAPTER 43 -HEAD- Sec. 4311. Penalties and injunctions -STATUTE- (a) A person willfully operating a recreational vessel in violation of this chapter or a regulation prescribed under this chapter shall be fined not more than $5,000, imprisoned for not more than one year, or both. (b) A person violating section 4307(a)(1) of this title is liable to the United States Government for a civil penalty of not more than $2,000, except that the maximum civil penalty may be not more than $100,000 for a related series of violations. When a corporation violates section 4307(a)(1), any director, officer, or executive employee of the corporation who knowingly and willfully ordered, or knowingly and willfully authorized, a violation is individually liable to the Government for the penalty, in addition to the corporation. However, the director, officer, or executive employee is not liable individually under this subsection if the director, officer, or executive employee can demonstrate by a preponderance of the evidence that - (1) the order or authorization was issued on the basis of a decision, in exercising reasonable and prudent judgment, that the defect or the nonconformity with standards and regulations constituting the violation would not cause or constitute a substantial risk of personal injury to the public; and (2) at the time of the order or authorization, the director, officer, or executive employee advised the Secretary in writing of acting under this clause and clause (1) of this subsection. (c) A person violating any other provision of this chapter or other regulation prescribed under this chapter is liable to the Government for a civil penalty of not more than $1,000. If the violation involves the operation of a vessel, the vessel also is liable in rem for the penalty. (d) When a civil penalty of not more than $200 has been assessed under this chapter, the Secretary may refer the matter of collection of the penalty directly to the United States magistrate of the jurisdiction in which the person liable may be found for collection procedures under supervision of the district court and under an order issued by the court delegating this authority under section 636(b) of title 28. (e) The district courts of the United States have jurisdiction to restrain a violation of this chapter, or to restrain the sale, offer for sale, introduction or delivery for introduction into interstate commerce, or importation into the United States, of a recreational vessel or associated equipment that the court decides does not conform to safety standards of the Government. A civil action under this subsection shall be brought by filing a petition by the Attorney General for the Government. When practicable, the Secretary shall give notice to a person against whom an action for injunctive relief is contemplated and provide the person with an opportunity to present views and, except for a knowing and willful violation, shall provide the person with a reasonable opportunity to achieve compliance. The failure to give notice and provide the opportunity does not preclude the granting of appropriate relief by the district court. (f) A person is not subject to a penalty under this chapter if the person - (1) establishes that the person did not have reason to know, in exercising reasonable care, that a recreational vessel or associated equipment does not conform with the applicable safety standards of the Government or that the person was not advised by the Secretary or the manufacturer of that vessel, equipment or component that the vessel, equipment or component contains a defect which creates a substantial risk of personal injury to the public; or (2) holds a certificate issued by the manufacturer of that recreational vessel or associated equipment to the effect that the recreational vessel or associated equipment conforms to all applicable recreational vessel safety standards of the Government, unless the person knows or reasonably should have known that the recreational vessel or associated equipment does not so conform. (g) Compliance with this chapter or standards, regulations, or orders prescribed under this chapter does not relieve a person from liability at common law or under State law. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 534; Pub. L. 98-557, Sec. 8(b), (c), Oct. 30, 1984, 98 Stat. 2862.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 4311(a) 46:1483 4311(b) 46:1484(a) 4311(c) 46:1484(b) 4311(d) 46:1484(d) 4311(e) 46:1485 4311(f) 46:1461(b) 4311(g) 46:1489 ------------------------------- Section 4311 provides penalties for violating any of the provisions of this chapter or a regulation prescribed under this chapter. For a willful violation the penalty is a criminal fine; all other penalties are civil in nature. A person violating any of the prohibited acts specified in section 4307(a)(1) is subject to a maximum civil penalty that can go as high as a $100,000 for a related series of violations. However, the section provides for no liability for good faith reliance on certifications of compliance by others within the chain of responsibility and for defects that are not within an individual's responsibility or control. This section also contains an alternate procedure for the collection of a civil penalty of not more than $200 through a U.S. magistrate in lieu of the civil penalty procedures of the Coast Guard. It also directs the district courts of the United States to restrain the sale, offer for sale, introduction or delivery for introduction into interstate commerce, or importation of a recreational vessel or associated equipment that does not conform to applicable safety standards. Finally, compliance with this chapter or standards, regulations, or orders does not relieve a person from liability at common law or under State law. AMENDMENTS 1984 - Subsec. (b)(1). Pub. L. 98-557, Sec. 8(b), inserted 'defect or the' before 'nonconformity'. Subsec. (f)(1). Pub. L. 98-557, Sec. 8(c), inserted provisions relating to advice by the Secretary or manufacturer of the vessel, equipment or component respecting defects creating substantial risk of personal injury to the public. -CHANGE- CHANGE OF NAME Reference to United States magistrate or to magistrate deemed to refer to United States magistrate judge pursuant to section 321 of Pub. L. 101-650, set out as a note under section 631 of Title 28, Judiciary and Judicial Procedure. ------DocID 53234 Document 135 of 963------ -CITE- 46 USC CHAPTER 45 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- CHAPTER 45 - UNINSPECTED COMMERCIAL FISHING INDUSTRY VESSELS -MISC1- Sec. 4501. Application. 4502. Safety standards. 4503. Fish processing vessel certification. 4504. Prohibited acts. 4505. Termination of unsafe operations. 4506. Exemptions. 4507. Penalties. 4508. Commercial Fishing Industry Vessel Advisory Committee. AMENDMENTS 1988 - Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1585, in chapter heading substituted 'UNINSPECTED COMMERCIAL FISHING INDUSTRY VESSELS' for 'FISH PROCESSING VESSELS', substituted 'Safety standards' for 'Regulations' in item 4502, 'Fish processing vessel certification' for 'Equivalency' in item 4503, 'Prohibited acts' for 'Penalties' in item 4504, and added items 4505 to 4508. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 2102, 4101 of this title. ------DocID 53235 Document 136 of 963------ -CITE- 46 USC Sec. 4501 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- Sec. 4501. Application -STATUTE- (a) This chapter applies to an uninspected vessel which is a fishing vessel, fish processing vessel, or fish tender vessel. (b) This chapter does not apply to the carriage of bulk dangerous cargoes regulated under chapter 37 of this title. -SOURCE- (Added Pub. L. 98-364, title IV, Sec. 402(7)(C), July 17, 1984, 98 Stat. 446, and amended Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1585.) -MISC1- AMENDMENTS 1988 - Pub. L. 100-424 amended section generally, in subsec. (a) substituting provisions which related to uninspected fish processing vessel entered into service after Dec. 31, 1987, having more than 16 individuals on board primarily employed in preparation of fish on navigable waters of United States or owned in United States and operating on high seas, for provisions which related to uninspected fishing vessel, fish processing vessel, or fish tender vessel, and in subsec. (b) substituting 'carriage of bulk' for 'carriage of liquid bulk'. FOREIGN BUILT VESSELS, EQUIVALENT COMPLIANCE UNTIL JULY 28, 1990 Section 7 of Pub. L. 100-424 provided that: 'Until July 28, 1990, a foreign built fish processing vessel subject to chapter 45 of title 46, United States Code, is deemed to comply with the requirements of that chapter if - '(1) it has an unexpired certificate of inspection issued by a foreign country that is a party to an International Convention for Safety of Life at Sea to which the United States Government is a party; and '(2) it is in compliance with the safety requirements of that foreign country that apply to that vessel.' ------DocID 53236 Document 137 of 963------ -CITE- 46 USC Sec. 4502 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- Sec. 4502. Safety standards -STATUTE- (a) The Secretary shall prescribe regulations which require that each vessel to which this chapter applies shall be equipped with - (1) readily accessible fire extinguishers capable of promptly and effectively extinguishing a flammable or combustible liquid fuel fire; (2) at least one readily accessible life preserver or other lifesaving device for each individual on board; (3) an efficient flame arrestor, backfire trap, or other similar device on the carburetors of each inboard engine which uses gasoline as fuel; (4) the means to properly and efficiently ventilate enclosed spaces, including engine and fuel tank compartments, so as to remove explosive or flammable gases; (5) visual distress signals; (6) a buoyant apparatus, if the vessel is of a type required by regulations prescribed by the Secretary to be equipped with that apparatus; (7) alerting and locating equipment, including emergency position indicating radio beacons, on vessels that operate on the high seas; and (8) a placard as required by regulations prescribed under section 10603(b) of this title. (b)(1) In addition to the requirements of subsection (a) of this section, the Secretary shall prescribe regulations requiring the installation, maintenance, and use of the equipment in paragraph (2) of this subsection for documented vessels to which this chapter applies that - (A) operate beyond the Boundary Line; (B) operate with more than 16 individuals on board; or (C) in the case of a fish tender vessel, engage in the Aleutian trade. (2) The equipment to be required is as follows: (A) alerting and locating equipment, including emergency position indicating radio beacons; (B) lifeboats or liferafts sufficient to accommodate all individuals on board; (C) at least one readily accessible immersion suit for each individual on board that vessel when operating on the waters described in section 3102 of this title; (D) radio communications equipment sufficient to effectively communicate with land-based search and rescue facilities; (E) navigation equipment, including compasses, radar reflectors, nautical charts, and anchors; (F) first aid equipment, including medicine chests; and (G) other equipment required to minimize the risk of injury to the crew during vessel operations, if the Secretary determines that a risk of serious injury exists that can be eliminated or mitigated by that equipment. (c)(1) In addition to the requirements described in subsections (a) and (b) of this section, the Secretary may prescribe regulations establishing the standards in paragraph (2) of this subsection for vessels to which this chapter applies that - (A)(i) were built after December 31, 1988, or undergo a major conversion completed after that date; and (ii) operate with more than 16 individuals on board; or (B) in the case of a fish tender vessel, engage in the Aleutian trade. (2) The standards shall be minimum safety standards, including standards relating to - (A) navigation equipment, including radars and fathometers; (B) lifesaving equipment, immersion suits, signaling devices, bilge pumps, bilge alarms, life rails, and grab rails; (C) fire protection and firefighting equipment, including fire alarms and portable and semiportable fire extinguishing equipment; (D) use and installation of insulation material; (E) storage methods for flammable or combustible material; and (F) fuel, ventilation, and electrical systems. (d)(1) The Secretary shall prescribe regulations for the operating stability of a vessel to which this chapter applies - (A) that was built after December 31, 1989; or (B) the physical characteristics of which are substantially altered after December 31, 1989, in a manner that affects the vessel's operating stability. (2) The Secretary may accept, as evidence of compliance with this subsection, a certification of compliance issued by the person providing insurance for the vessel or by another qualified person approved by the Secretary. (e) In prescribing regulations under this chapter, the Secretary - (1) shall consider the specialized nature and economics of the operations and the character, design, and construction of the vessel; and (2) may not require the alteration of a vessel or associated equipment that was constructed or manufactured before the effective date of the regulation. (f) To ensure compliance with the requirements of this chapter, at least once every 2 years the Secretary shall examine - (1) a fish processing vessel; and (2) a fish tender vessel engaged in the Aleutian trade. -SOURCE- (Added Pub. L. 98-364, title IV, Sec. 402(7)(C), July 17, 1984, 98 Stat. 447, and amended Pub. L. 98-557, Sec. 33(a), Oct. 30, 1984, 98 Stat. 2876; Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1585; Pub. L. 101-595, title VI, Sec. 602(c), Nov. 16, 1990, 104 Stat. 2990.) -MISC1- AMENDMENTS 1990 - Subsec. (b). Pub. L. 101-595, Sec. 602(c)(1), amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'In addition to the requirements of subsection (a) of this section, the Secretary shall prescribe regulations for documented vessels to which this chapter applies that operate beyond the Boundary Line or that operate with more than 16 individuals on board, for the installation, maintenance, and use of - '(1) alerting and locating equipment, including emergency position indicating radio beacons; '(2) lifeboats or liferafts sufficient to accommodate all individuals on board; '(3) at least one readily accessible immersion suit for each individual on board that vessel when operating on the waters described in section 3102 of this title; '(4) radio communications equipment sufficient to effectively communicate with land-based search and rescue facilities; '(5) navigation equipment, including compasses, radar reflectors, nautical charts, and anchors; '(6) first aid equipment, including medicine chests; and '(7) other equipment required to minimize the risk of injury to the crew during vessel operations, if the Secretary determines that a risk of serious injury exists that can be eliminated or mitigated by that equipment.' Subsec. (c). Pub. L. 101-595, Sec. 602(c)(1), amended subsec. (c) generally. Prior to amendment, subsec. (c) read as follows: 'In addition to the requirements described in subsections (a) and (b) of this section, the Secretary may prescribe regulations establishing minimum safety standards for vessels to which this chapter applies that were built after December 31, 1988, or that undergo a major conversion completed after that date, and that operate with more than 16 individuals on board, including standards relating to - '(1) navigation equipment, including radars and fathometers; '(2) life saving equipment, immersion suits, signaling devices, bilge pumps, bilge alarms, life rails, and grab rails; '(3) fire protection and firefighting equipment, including fire alarms and portable and semiportable fire extinguishing equipment; '(4) use and installation of insulation material; '(5) storage methods for flammable or combustible material; and '(6) fuel, ventilation, and electrical systems.' Subsec. (f). Pub. L. 101-595, Sec. 602(c)(2), amended subsec. (f) generally. Prior to amendment, subsec. (f) read as follows: 'The Secretary shall examine a fish processing vessel at least once every two years to ensure that the vessel complies with the requirements of this chapter.' 1988 - Pub. L. 100-424 amended section generally, substituting 'Safety standards' for 'Regulations' in section catchline, adding subsecs. (a) and (b), redesignating former subsec. (a) as (c) and establishing list of standards as minimum safety standards, in addition to requirements of subsecs. (a) and (b), for vessels built after Dec. 31, 1988, or that undergo major conversion completed after that date, that operate with more than 16 individuals on board, adding subsec. (d), redesignating former subsec. (b) as (e) and striking out provisions which required Secretary to consult with representatives of private sector, experienced in operation of these vessels, to ensure practicability of regulations, and adding subsec. (f). 1984 - Subsec. (b)(3). Pub. L. 98-557 substituted 'this chapter' for 'the exemption'. EFFECTIVE DATE OF 1990 AMENDMENT Section 602(f) of Pub. L. 101-595, provided that: 'This section (amending this section and sections 2102, 3302, 5102, 8104, and 8702 of this title, and enacting provisions set out as a note under section 7306 of this title) is effective on the date of enactment of this section (Nov. 16, 1990) except as follows: '(1) The requirements imposed by section 3302(c)(4)(B) and (C) of title 46, United States Code, (as enacted by subsection (b) of this section) is effective 6 months after the date of enactment of this Act. '(2) Before January 1, 1993, section 4502(c) (as amended by subsection (c) of this section) does not apply to a fish tender vessel engaged in the Aleutian trade, if the vessel - '(A)(i) before September 8, 1990, operated in that trade; or '(ii) before September 8, 1990, was purchased to be used in that trade and, before June 1, 1992, entered into service in that trade; and '(B) does not undergo a major conversion. '(3) Before January 1, 2003, a fish tender vessel is exempt from chapter 51 of title 46, United States Code, (as amended by subsection (d) of this section) when engaged in the Aleutian trade, if the vessel - '(A)(i) before September 8, 1990, operated in that trade; or '(ii) before September 8, 1990, was purchased to be used in this trade and, before June 1, 1992, entered into service in that trade; '(B) does not undergo a major conversion; and '(C) did not have a load line assigned at any time before the date of enactment of this Act. '(4) The requirements imposed by section 8702(b)(2) of title 46, United States Code, (as amended by subsection (e)(2)(B) of this section) are effective 1 year after the date of enactment of this Act.' FISHING INDUSTRY VESSEL INSPECTION STUDY Section 5(a) of Pub. L. 100-424 provided that: 'The Secretary of Transportation, utilizing the National Academy of Engineering and in consultation with the National Transportation Safety Board, the Commercial Fishing Industry Vessel Advisory Committee, and the fishing industry, shall - '(1) conduct a study of the safety problems on fishing industry vessels; '(2) make recommendations regarding whether a vessel inspection program should be implemented for fishing vessels, fish tender vessels, and fish processing vessels, including recommendations on the nature and scope of that inspection; and '(3) submit the study and recommendations to Congress before January 1, 1990.' UNCLASSIFIED FISH PROCESSING VESSEL STUDY Section 5(b) of Pub. L. 100-424 provided that: 'The Secretary of the department in which the Coast Guard is operating, in consultation with the Commercial Fishing Industry Vessel Advisory Committee established under section 4508 of title 46, United States Code (as amended by this Act), and with representatives of persons operating fish processing vessels - '(1) shall conduct a study of fish processing vessels that are not surveyed and classed by an organization approved by the Secretary; '(2) shall make recommendations regarding what hull and machinery requirements should apply to vessels described in paragraph (1) to ensure that those vessels are operated and maintained in a condition in which they are safe to operate at sea; and '(3) shall submit the study and recommendations to Congress before July 28, 1991.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 4506 of this title. ------DocID 53237 Document 138 of 963------ -CITE- 46 USC Sec. 4503 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- Sec. 4503. Fish processing vessel certification -STATUTE- (a) A fish processing vessel to which this section applies may not be operated unless the vessel - (1) meets all survey and classification requirements prescribed by the American Bureau of Shipping or another similarly qualified organization approved by the Secretary; and (2) has on board a certificate issued by the American Bureau of Shipping or that other organization evidencing compliance with this subsection. (b) This section applies to a fish processing vessel to which this chapter applies that - (1) is built after July 27, 1990; or (2) undergoes a major conversion completed after that date. -SOURCE- (Added Pub. L. 98-364, title IV, Sec. 402(7)(C), July 17, 1984, 98 Stat. 447, and amended Pub. L. 98-557, Sec. 33(b), Oct. 30, 1984, 98 Stat. 2876; Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1587.) -MISC1- AMENDMENTS 1988 - Pub. L. 100-424 amended section generally, substituting 'Fish processing vessel certification' for 'Equivalency' in section catchline, and provisions which require certification issued by American Bureau of Shipping or similar organization for fish processing vessel built after July 27, 1990, or undergoes major conversion completed after that date, for provisions which deemed compliance with this chapter if vessel has unexpired certificate of inspection issued by foreign country that is party to International Convention for Safety of Life at Sea to which United States is party. 1984 - Pub. L. 98-557 substituted 'is deemed' for 'shall be deemed'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 4505 of this title. ------DocID 53238 Document 139 of 963------ -CITE- 46 USC Sec. 4504 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- Sec. 4504. Prohibited acts -STATUTE- A person may not operate a vessel in violation of this chapter or a regulation prescribed under this chapter. -SOURCE- (Added Pub. L. 98-364, title IV, Sec. 402(7)(C), July 17, 1984, 98 Stat. 447, and amended Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1587.) -MISC1- AMENDMENTS 1988 - Pub. L. 100-424 amended section generally, substituting 'Prohibited acts' for 'Penalties' in section catchline, and provisions prohibiting operation of vessel in violation of this chapter, for provisions which imposed civil penalty not more than $1,000 for operation of vessel in violation of chapter, and liability in rem for penalty. ------DocID 53239 Document 140 of 963------ -CITE- 46 USC Sec. 4505 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- Sec. 4505. Termination of unsafe operations -STATUTE- An official authorized to enforce this chapter - (1) may direct the individual in charge of a vessel to which this chapter applies to immediately take reasonable steps necessary for the safety of individuals on board the vessel if the official observes the vessel being operated in an unsafe condition that the official believes creates an especially hazardous condition, including ordering the individual in charge to return the vessel to a mooring and to remain there until the situation creating the hazard is corrected or ended; and (2) may order the individual in charge of an uninspected fish processing vessel that does not have on board the certificate required under section 4503(1) of this title to return the vessel to a mooring and to remain there until the vessel is in compliance with that section. -SOURCE- (Added Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1587.) ------DocID 53240 Document 141 of 963------ -CITE- 46 USC Sec. 4506 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- Sec. 4506. Exemptions -STATUTE- (a) The Secretary may exempt a vessel from any part of this chapter if, under regulations prescribed by the Secretary (including regulations on special operating conditions), the Secretary finds that - (1) good cause exists for granting an exemption; and (2) the safety of the vessel and those on board will not be adversely affected. (b) A vessel to which this chapter applies is exempt from section 4502(b)(2) of this title if it - (1) is less than 36 feet in length; and (2) is not operating on the high seas. -SOURCE- (Added Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1587.) ------DocID 53241 Document 142 of 963------ -CITE- 46 USC Sec. 4507 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- Sec. 4507. Penalties -STATUTE- (a) The owner, charterer, managing operator, agent, master, and individual in charge of a vessel to which this chapter applies which is operated in violation of this chapter or a regulation prescribed under this chapter may each be assessed a civil penalty by the Secretary of not more than $5,000. Any vessel with respect to which a penalty is assessed under this subsection is liable in rem for the penalty. (b) A person willfully violating this chapter or a regulation prescribed under this chapter shall be fined not more than $5,000, imprisoned for not more than one year, or both. -SOURCE- (Added Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1588.) ------DocID 53242 Document 143 of 963------ -CITE- 46 USC Sec. 4508 -EXPCITE- TITLE 46 Part B CHAPTER 45 -HEAD- Sec. 4508. Commercial Fishing Industry Vessel Advisory Committee -STATUTE- (a) The Secretary shall establish a Commercial Fishing Industry Vessel Advisory Committee. The Committee - (1) may advise, consult with, report to, and make recommendations to the Secretary on matters relating to the safe operation of vessels to which this chapter applies, including navigation safety, safety equipment and procedures, marine insurance, vessel design, construction, maintenance and operation, and personnel qualifications and training; (2) may review proposed regulations under this chapter; (3) may make available to Congress any information, advice, and recommendations that the Committee is authorized to give to the Secretary; and (4) shall meet at the call of the Secretary, who shall call such a meeting at least once during each calendar year. (b)(1) The Committee shall consist of seventeen members with particular expertise, knowledge, and experience regarding the commercial fishing industry as follows: (A) ten members from the commercial fishing industry who - (i) reflect a regional and representational balance; and (ii) have experience in the operation of vessels to which this chapter applies or as a crew member or processing line worker on an uninspected fish processing vessel; (B) three members from the general public, including, whenever possible, an independent expert or consultant in maritime safety and a member of a national organization composed of persons representing owners of vessels to which this chapter applies and persons representing the marine insurance industry; (C) one member representing each of - (i) naval architects or marine surveyors; (ii) manufacturers of equipment for vessels to which this chapter applies; (iii) education or training professionals related to fishing vessel, fish processing vessel, or fish tender vessel safety or personnel qualifications; and (iv) underwriters that insure vessels to which this chapter applies. (2) At least once each year, the Secretary shall publish a notice in the Federal Register and in newspapers of general circulation in coastal areas soliciting nominations for membership on the Committee, and, after timely notice is published, appoint the members of the Committee. An individual may be appointed to a term as a member of the Committee more than once. The Secretary may not seek or use information concerning the political affiliation of individuals in making appointments to the Committee. (3)(A) A member of the Committee shall serve a term of three years. (B) If a vacancy occurs in the membership of the Committee, the Secretary shall appoint a member to fill the remainder of the vacated term. (4) The Committee shall elect one of its members as the Chairman and one of its members as the Vice Chairman. The Vice Chairman shall act as Chairman in the absence or incapacity of, or in the event of a vacancy in the office of, the Chairman. (5) The Secretary shall, and any other interested agency may, designate a representative to participate as an observer with the Committee. These representatives shall, as appropriate, report to and advise the Committee on matters relating to vessels to which this chapter applies which are under the jurisdiction of their respective agencies. The Secretary's designated representative shall act as executive secretary for the Committee and perform the duties set forth in section 10(c) of the Federal Advisory Committee Act (5 App. U.S.C.). (c)(1) The Secretary shall, whenever practicable, consult with the Committee before taking any significant action relating to the safe operation of vessels to which this chapter applies. (2) The Secretary shall consider the information, advice, and recommendations of the Committee in consulting with other agencies and the public or in formulating policy regarding the safe operation of vessels to which this chapter applies. (d)(1) A member of the Committee who is not an officer or employee of the United States or a member of the Armed Forces, when attending meetings of the Committee or when otherwise engaged in the business of the Committee, is entitled to receive - (A) compensation at a rate fixed by the Secretary, not exceeding the daily equivalent of the current rate of basic pay in effect for GS-18 of the General Schedule under section 5332 of title 5 including travel time; and (B) travel or transportation expenses under section 5703 of title 5. (2) Payments under this section do not render a member of the Committee an officer or employee of the United States or a member of the Armed Forces for any purpose. (3) A member of the Committee who is an officer or employee of the United States or a member of the Armed Forces may not receive additional pay based on the member's service to the Committee. (4) The provisions of this section relating to an officer or employee of the United States or a member of the Armed Forces do not apply to a member of a reserve component of the Armed Forces unless that member is in an active status. (e)(1) The Federal Advisory Committee Act (5 U.S.C. App. 1 et seq.) applies to the Committee, except that the Committee terminates on September 30, 1992. (2) Two years prior to the termination date referred to in paragraph (1) of this subsection, the Committee shall submit to Congress its recommendation regarding whether the Committee should be renewed and continued beyond the termination date. -SOURCE- (Added Pub. L. 100-424, Sec. 2(a), Sept. 9, 1988, 102 Stat. 1588, and amended Pub. L. 101-225, title I, Sec. 106, Dec. 12, 1989, 103 Stat. 1910.) -REFTEXT- REFERENCES IN TEXT The Federal Advisory Committee Act, referred to in subsecs. (b)(5) and (e)(1), is Pub. L. 92-463, Oct. 6, 1972, 86 Stat. 770, as amended, which is set out in the Appendix to Title 5, Government Organization and Employees. -MISC2- AMENDMENTS 1989 - Subsec. (b)(2). Pub. L. 101-225 inserted provision that Secretary not seek or use information concerning political affiliation in making appointments. REFERENCES IN OTHER LAWS TO GS-16, 17, OR 18 PAY RATES References in laws to the rates of pay for GS-16, 17, or 18, or to maximum rates of pay under the General Schedule, to be considered references to rates payable under specified sections of Title 5, Government Organization and Employees, see section 529 (title I, Sec. 101(c)(1)) of Pub. L. 101-509, set out in a note under section 5376 of Title 5. INITIAL APPOINTMENTS TO COMMERCIAL FISHING INDUSTRY ADVISORY COMMITTEE Section 2(b) of Pub. L. 100-424 provided that: '(1) Terms of initial appointments. - Of the members first appointed to the Commercial Fishing Industry Advisory Committee under section 4508 of title 46, United States Code (as amended by this Act) - '(A) one-third of the members shall serve a term of one year and one-third of the members shall serve a term of two years, to be determined by lot at the first meeting of the Committee; and '(B) terms may be adjusted to coincide with the Government's fiscal year. '(2) Completion of initial appointments. - The Secretary shall complete appointment of members pursuant to this subsection not later than 90 days after the date of the enactment of this Act (Sept. 9, 1988).' ------DocID 53243 Document 144 of 963------ -CITE- 46 USC Part C -EXPCITE- TITLE 46 Part C -HEAD- Part C - Load Lines of Vessels -MISC1- HISTORICAL AND REVISION NOTES Part C contains provisions that apply to load lines. A load line is a mark drawn on a vessel that indicates whether a vessel is overloaded. Load line requirements for international voyages are based not only on domestic law but also the 1966 International Load Line Convention. -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in section 14305 of this title. ------DocID 53244 Document 145 of 963------ -CITE- 46 USC CHAPTER 51 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- CHAPTER 51 - LOAD LINES -MISC1- Sec. 5101. Definitions. 5102. Application. 5103. Load line requirements. 5104. Assignment of load lines. 5105. Load line surveys. 5106. Load line certificate. 5107. Delegation of authority. 5108. Special exemptions. 5109. Reciprocity for foreign vessels. 5110. Submersible vessels. 5111. Providing loading information. 5112. Loading restrictions. 5113. Detention of vessels. 5114. Use of Customs Service officers and employees for enforcement. (5115. Repealed.) 5116. Penalties. HISTORICAL AND REVISION NOTES Chapter 51 provides for the assignment of load lines and issuance of load line certificates to vessels, and requires that certain classes of vessels be marked with load lines. AMENDMENTS 1990 - Pub. L. 101-595, title VI, Sec. 603(5)(B), Nov. 16, 1990, 104 Stat. 2993, struck out item 5115 'Regulations'. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 2102 of this title; title 30 section 1422. ------DocID 53245 Document 146 of 963------ -CITE- 46 USC Sec. 5101 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5101. Definitions -STATUTE- In this chapter - (1) 'domestic voyage' means movement of a vessel between places in, or subject to the jurisdiction of, the United States, except movement between - (A) a place in a territory or possession of the United States or the Trust Territory of the Pacific Islands; and (B) a place outside that territory, possession, or Trust Territory. (2) 'economic benefit of the overloading' means the amount obtained by multiplying the weight of the overload (in tons) by the lesser of - (A) the average freight rate value of a ton of the vessel's cargo for the voyage; or (B) $50. (3) 'existing vessel' means - (A) a vessel on a domestic voyage, the keel of which was laid, or that was at a similar stage of construction, before January 1, 1986; and (B) a vessel on a foreign voyage, the keel of which was laid, or that was at a similar stage of construction, before July 21, 1968. (4) 'freeboard' means the distance from the mark of the load line assigned under this chapter to the freeboard deck. (5) 'freeboard deck' means the deck or other structure the Secretary prescribes by regulation. (6) 'minimum safe freeboard' means the freeboard that the Secretary decides cannot be reduced safely without limiting the operation of the vessel. (7) 'weight of the overload' means the amount obtained by multiplying the number of inches that the vessel is submerged below the applicable assigned freeboard by the tons-an-inch immersion factor for the vessel at the assigned minimum safe freeboard. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1913.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5101 Source: Section (U.S. Code) 46 App. U.S.C. 86a. Section 5101 contains definitions that are limited to Chapter 51 - Load Lines. Existing Section 46 App. U.S.C. 86a (which defines only the terms 'new ship' and 'existing ship') will be replaced by section 5101. Definitions of technical terms ('freeboard', 'freeboard deck', and 'minimum safe freeboard') have been added for clarity. The definition of the term 'new ship' has been deleted because the term is not used in Chapter 51. The definition of 'domestic voyage' includes the phrase 'places in or subject to the jurisdiction of the United States.' 'Places subject to the jurisdiction of the United States' include deep water ports, production platforms, mining sites outside of territorial waters of the United States but within the United States' Exclusive Economic Zone (EEZ) that was established by Presidential Proclamation 5030, dated March 10, 1983, or on the outer continental shelf. The phrases 'economic benefit of overloading' and 'weight of the overload' have been defined for purposes of establishing a standard method of determining the value of the cargo with which a vessel is overloaded. The value of the cargo will in turn affect the maximum penalty assessed for overloading the vessel. The definition of 'freeboard deck' provides the Secretary with the authority to designate as the freeboard deck either the actual deck (on standard vessels) or another structure (on non-standard vessels). Non-standard vessels, for which this regulatory flexibility is necessary, include shelter deck vessels, semi-submersible multi-hull units, container ships, surface effect vessels, and commercial submarines. ------DocID 53246 Document 147 of 963------ -CITE- 46 USC Sec. 5102 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5102. Application -STATUTE- (a) Except as provided in subsection (b) of this section, this chapter applies to the following: (1) a vessel of the United States. (2) a vessel on the navigable waters of the United States. (3) a vessel - (A) owned by a citizen of the United States or a corporation established by or under the laws of the United States or a State; and (B) not registered in a foreign country. (4) a public vessel of the United States. (5) a vessel otherwise subject to the jurisdiction of the United States. (b) This chapter does not apply to the following: (1) a vessel of war. (2) a recreational vessel when operated only for pleasure. (3) a fishing vessel. (4) a fish processing vessel of not more than 5,000 gross tons that - (A)(i) was constructed as a fish processing vessel before August 16, 1974; or (ii) was converted for use as a fish processing vessel before January 1, 1983; and (B) is not on a foreign voyage. (5) a fish tender vessel of not more than 500 gross tons that - (A)(i) was constructed, under construction, or under contract to be constructed as a fish tender vessel before January 1, 1980; or (ii) was converted for use as a fish tender vessel before January 1, 1983; and (B)(i) is not on a foreign voyage; or (ii) engaged in the Aleutian trade (except a vessel in that trade assigned a load line at any time before June 1, 1992). (6) a vessel of the United States on a domestic voyage that does not cross the Boundary Line, except a voyage on the Great Lakes. (7) a vessel of less than 24 meters (79 feet) overall in length. (8) a public vessel of the United States on a domestic voyage. (9) a vessel excluded from the application of this chapter by an international agreement to which the United States Government is a party. (10) an existing vessel of not more than 150 gross tons that is on a domestic voyage. (11) a small passenger vessel on a domestic voyage. (12) a vessel of the working fleet of the Panama Canal Commission not on a foreign voyage. (c) On application by the owner and after a survey under section 5105 of this title, the Secretary may assign load lines for a vessel excluded from the application of this chapter under subsection (b) of this section. A vessel assigned load lines under this subsection is subject to this chapter until the surrender of its load line certificate and the removal of its load line marks. (d) This chapter does not affect an international agreement to which the Government is a party that is not in conflict with the International Convention on Load Lines currently in force for the United States. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1914, and amended Pub. L. 101-595, title VI, Sec. 602(d), Nov. 16, 1990, 104 Stat. 2991.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5102 Source: Section (U.S. Code) 46 App. U.S.C. 86b, 86c, 88. The delineation of the vessels that will be subject to load line requirements is made in section 5102 as follows: subsection (a) is an all-inclusive list of vessels subject to load line requirements, followed by subsection (b) which specifically exempts those vessels to which the requirements do not apply. Section 5102(a) lists five categories of vessels which are subject to load line requirements. They are as follows: Clause (1) regarding 'a vessel of the United States' includes all vessels documented under Chapter 121 of title 46 or numbered under Chapter 123 of title 46. Clause (2) regarding 'a vessel on the navigable waters of the United States' includes all domestic or foreign vessels found in or on the navigable waters of the United States. Clause (3) regarding 'a vessel owned by a citizen of the United States or a corporation established by or under the laws of the United States or a State, and not registered in a foreign country' includes all vessels owned by citizens of the United States (as defined in 5107(7)) (sic) and not registered under the laws of a foreign country, wherever the vessels may be located. Clause (4) regarding 'a public vessel of the United States' includes all United States public vessels. Clause (5) regarding 'a vessel otherwise subject to the jurisdiction of the United States' includes foreign vessels that are subject to United States jurisdiction as a result of bilateral agreements, licenses, customary international law or other means, including those using deepwater port or outer continental shelf or EEZ facilities located in areas subject to the jurisdiction of the United States. Section 5102(b) lists the specific exemptions from load line requirements. The specific exemptions may be grouped as follows: (a) Vessel type (ships of war, pleasure vessels, fishing vessels, small passenger vessels on domestic voyages); (b) Area of operation (rivers, harbors, bays, sounds, etc.); (c) Minimum size (length); and (d) Treaty exclusions. Clause (1) exempts vessels of war from load line requirements. Clause (2) exempts recreational vessels operated only for pleasure from load line requirements. Clause (3) exempts fishing vessels from load line requirements. Clauses (4) and (5) exempt certain existing fish processing and fish tender vessels not on a foreign voyage from load line requirements. The exception is limited to those vessels not on international voyages to ensure compliance with United States obligations under the International Load Line Convention. Clause (6) exempts from load line requirements all U.S. vessels operating on domestic voyages within the Boundary Line, as defined in section 2101 of this title, except vessels operating on the Great Lakes. Clause (7) exempts all vessels that are less than 24 meters (79 feet) in length from load line requirements whether on international or domestic voyages. Clause (8) exempts from load line requirements those public vessels that are on domestic voyages. Clause (9) exempts from load line requirements those vessels which have been excluded from the requirements 'by specific action of a treaty of the United States.' The only current treaty which excludes vessels from load line requirements is the Convention Between the United States of America and the Dominion of Canada Concerning Load Lines (49 Stat. 2685), which entered into force on August 11, 1934. Clause (10) exempts from load line requirements existing U.S. vessels that are under 150 gross tons while engaged on a domestic voyage. This is a grandfather provision, continuing the existing exemption for these vessels. Vessels built after January 1, 1986 must be marked with a load line, however, if they are over 79 feet long and do not qualify for any other exemption. Clause (11) exempts small passenger vessels engaged on domestic voyages from load line requirements. Small passenger vessels are inspected under Subchapter T of Title 46 of the Code of Federal Regulations. Under Subchapter T, the Coast Guard regulates these vessels with regard to safety; the requirements are based on the number of passengers, length, and gross tonnage of the vessel. Safety-related requirements in Subchapter T regulations include hull structure and watertightness, stability, weathertight integrity, and safe movement of persons on deck, the principal safety features covered by load line regulations. This specific exemption from load line requirements for small passenger vessels is consistent with existing law and does not alter in any way the Coast Guard's authority to regulate small passenger vessels under Subchapter T. Clause (12) exempts vessels of the working voyages from the requirement to have load lines. Section 5102(c) authorizes the Secretary to assign load lines for any vessel exempted from load line requirements by subsection (b) upon the request of the owner. It also provides that any exempted vessel for which load lines are assigned will remain subject to the load line requirements until its load line certificate is surrendered and the load line marks are removed. Section 5102(d) provides that this chapter shall not be construed as abrogating the provisions of other treaties and conventions to which the United States is a party, which are not in conflict with the International Convention on Load Lines. AMENDMENTS 1990 - Subsec. (b)(5)(B). Pub. L. 101-595 amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: 'is not on a foreign voyage.' EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-595 effective Nov. 16, 1990, with provision that before Jan. 1, 2003, a fish tender vessel is exempt from this chapter when engaged in Aleutian trade if the vessel either operated in that trade before Sept. 8, 1990, or was purchased before that date to be used in such trade and entered into service in that trade before June 1, 1992, did not undergo a major conversion, and did not have a load line assigned at any time before Nov. 16, 1990, see section 602(f) of Pub. L. 101-595, set out as a note under section 4502 of this title. ------DocID 53247 Document 148 of 963------ -CITE- 46 USC Sec. 5103 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5103. Load line requirements -STATUTE- (a) A vessel may be operated only if the vessel has been assigned load lines. (b) The owner, charterer, managing operator, agent, master, and individual in charge of a vessel shall mark and maintain the load lines permanently and conspicuously in the way prescribed by the Secretary. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1915.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5103 Source: Section (U.S. Code) 46 App. U.S.C. 86c, 88b. Section 5103(a) prohibits a vessel that is subject to load line requirements from operating, unless it has load lines assigned by the Secretary. Section 5103(b) requires that load lines be permanently and conspicuously maintained in the manner prescribed by the Secretary. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 5110, 5116 of this title. ------DocID 53248 Document 149 of 963------ -CITE- 46 USC Sec. 5104 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5104. Assignment of load lines -STATUTE- (a) The Secretary shall assign load lines for a vessel so that they indicate the minimum safe freeboard to which the vessel may be loaded. However, if the owner requests, the Secretary may assign load lines that result in greater freeboard than the minimum safe freeboard. (b) In assigning load lines for a vessel, the Secretary shall consider - (1) the service, type, and character of the vessel; (2) the geographic area in which the vessel will operate; and (3) applicable international agreements to which the United States Government is a party. (c) An existing vessel may retain its load lines assigned before January 1, 1986, unless the Secretary decides that a substantial change in the vessel after those load lines were assigned requires that new load lines be assigned under this chapter. (d) The minimum freeboard of an existing vessel may be reduced only if the vessel complies with every applicable provision of this chapter. (e) The Secretary may designate by regulation specific geographic areas that have less severe weather or sea conditions and from which there is adequate time to return to available safe harbors. The Secretary may reduce the minimum freeboard of a vessel operating in these areas. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1915.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5104 Source: Section (U.S. Code) 46 App. U.S.C. 86c, 88a. Section 5104(a) requires the Secretary to assign load lines indicating the minimum safe freeboard to which a vessel may be loaded. It also authorizes the Secretary to assign a load line that results in a freeboard that is greater than the minimum freeboard, if the owner requests. Section 5104(b) sets forth guidelines that the Secretary must consider when assigning load lines on vessels. Section 5104(c) allows an existing vessel to retain its load line assigned before January 1, 1986, unless the Secretary decides that a change made in the vessel requires the assignment of a new load line. Section 5104(d) is a new provision that requires that a vessel comply with all the provisions of this chapter before the Secretary will consider a reduction in its minimum freeboard. This provision is similar to Article 4(4) of the International Convention on Load Lines. Section 5104(e) is a new provision that authorized the Secretary to designate specific geographic areas having relatively non-severe weather or sea conditions and from which there is adequate time to return to safe harbors. Section 5104(e) also authorizes the Secretary to reduce the minimum freeboard of vessels operating in these areas. Regulations that have been issued under this authority (46 C.F.R. 44) authorize special service load lines for vessels operating not more than 20 nautical miles offshore or between islands in a group. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 5110 of this title. ------DocID 53249 Document 150 of 963------ -CITE- 46 USC Sec. 5105 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5105. Load line surveys -STATUTE- (a) The Secretary may provide for annual, renewal, and other load line surveys. (b) In conducting a load line survey, the Secretary shall consider whether - (1) the hull and fittings of the vessel - (A) are adequate to protect the vessel from the sea; and (B) meet other requirements the Secretary may prescribe by regulation; (2) the strength of the hull is adequate for all loading conditions; (3) the stability of the vessel is adequate for all loading conditions; (4) the topsides of the vessel are arranged and constructed to allow rapid overboard drainage of deck water in heavy weather; and (5) the topsides of the vessel are adequate in design, arrangement, and equipment to protect crewmembers performing outside tasks necessary for safe operation of the vessel. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1916.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5105 Section 5105 authorizes the Secretary of Transportation to provide for load line surveys and requires that while conducting a load line survey, the Secretary must consider various strength, stability, design, and construction features of the vessel. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 5102, 5110 of this title. ------DocID 53250 Document 151 of 963------ -CITE- 46 USC Sec. 5106 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5106. Load line certificate -STATUTE- (a) On finding that a load line survey of a vessel under this chapter is satisfactory and that the vessel's load lines are marked correctly, the Secretary shall issue the vessel a load line certificate and deliver it to the owner, master, or individual in charge of the vessel. (b) The certificate shall be maintained as required by the Secretary. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1916.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5106 Source: Section (U.S. Code) 46 App. U.S.C. 86c. Section 5106(a) requires the Secretary to issue a load line certificate upon finding that a vessel has received a satisfactory load line survey and that the vessel's load line is marked correctly. Section 5106(b) requires that the load line certificate be maintained as required by the Secretary of Transportation. It is expected that the Secretary will require in most cases that the certificate be carried on board the vessel. However, certain types of vessels such as barges do not have facilities for the carriage of certificates. In this case, this provision would give the Secretary the discretion to require that the certificates for the barges be carried on the towing vessels. ------DocID 53251 Document 152 of 963------ -CITE- 46 USC Sec. 5107 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5107. Delegation of authority -STATUTE- (a) The Secretary shall delegate to the American Bureau of Shipping or other similarly qualified organizations the authority to assign load lines, survey vessels, determine that load lines are marked correctly, and issue load line certificates under this chapter. (b) Under regulations prescribed by the Secretary, a decision of an organization delegated authority under subsection (a) of this section related to the assignment of a load line may be appealed to the Secretary. (c) For a vessel intended to be engaged on a foreign voyage, the Secretary may delegate to another country that is a party to the International Convention on Load Lines, 1966, the authority to assign load lines, survey vessels, determine that the load lines are marked correctly, and issue an International Load Line Certificate (1966). (d) The Secretary may terminate a delegation made under this section after giving written notice to the organization. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1916.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5107 Source: Section (U.S. Code) 46 App. U.S.C. 86d, 88b. Section 5107(a) requires the Secretary to delegate the performance of various load line functions to the American Bureau of Shipping or other similarly qualified organizations. In providing for the delegation to a 'similarly qualified organization,' the Committee expects that the Secretary will ensure that that organization complies with the same stringent standards and requirements for conducting business that apply to the American Bureau of Shipping. Section 5107(b) permits an appeal to the Secretary of a decision by an organization that has received delegated authority. This ensures that the Secretary has full oversight of the delegated load line functions. Section 5107(c) permits the Secretary to delegate various load line functions to another country for vessels that are engaged on a foreign voyage, provided that the country is a party to the International Convention on Load Lines, 1966. Section 5107(d) clarifies the Secretary's authority to revoke a delegation at any time without cause. This authority is given so that no delay occurs administratively in revoking a delegation whenever the Secretary decides a revocation is warranted. ------DocID 53252 Document 153 of 963------ -CITE- 46 USC Sec. 5108 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5108. Special exemptions -STATUTE- (a) The Secretary may exempt a vessel from any part of this chapter when - (1) the vessel is entitled to an exemption under an international agreement to which the United States Government is a party; or (2) under regulations (including regulations on special operations conditions) prescribed by the Secretary, the Secretary finds that good cause exists for granting an exemption. (b) When the Secretary grants an exemption under this section, the Secretary may issue a certificate of exemption stating the extent of the exemption. (c) A certificate of exemption issued under subsection (b) of this section shall be maintained as required by the Secretary. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1916.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5108 Source: Section (U.S. Code) 46 App. U.S.C. 86e, 88a. Section 5108(a) authorizes the Secretary to exempt a vessel from load line requirements if the vessel is entitled to an exemption under an international agreement to which the United States is a party. It also provides the Secretary with the new authority to exempt a vessel from load line requirements if the Secretary finds that there is good reason for granting the exemption. A specific exemption from load line requirements was authorized in Public Law 98-557 for barges operating close to shore between Calumet Harbor, Illinois and Burns Harbor, Indiana, because the geographic area and type of operation in this case did not warrant a requirement for load lines. Additional exemptions currently must be made by an Act of Congress. Section 5108(a) authorizes the Secretary to make such exemptions through regulation, and the Committee expects the Secretary to continue the exemption under this provision for vessels operating close to shore between Calumet Harbor, Illinois and Burns Harbor, Indiana. Section 5108(b) authorizes the Secretary to issue a certificate of exemption when an exemption is granted. Section 5108(c) requires that the certificate of exemption be maintained as required by the Secretary in a similar manner as under section 5106(b). ------DocID 53253 Document 154 of 963------ -CITE- 46 USC Sec. 5109 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5109. Reciprocity for foreign vessels -STATUTE- (a) When the Secretary finds that the laws and regulations of a foreign country related to load lines are similar to those of this chapter and the regulations prescribed under this chapter, or when a foreign country is a party to an international load line agreement to which the United States Government is a party, the Secretary shall accept the load line marks and certificate of a vessel of that foreign country as complying with this chapter and the regulations prescribed under this chapter. The Secretary may control the vessel as provided for in the applicable international agreement. (b) Subsection (a) of this section does not apply to a vessel of a foreign country that does not recognize load lines assigned under this chapter. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1917.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5109 Source: Section (U.S. Code) 46 App. U.S.C. 86f, 88d. Section 5109(a) requires the Secretary to accept the load line mark and load line certificate of a vessel of a foreign country if the Secretary finds that the load line laws and regulations of that country are similar to those of this chapter, or if that country is a party to an international load line agreement to which the United States is a party. ------DocID 53254 Document 155 of 963------ -CITE- 46 USC Sec. 5110 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5110. Submersible vessels -STATUTE- Notwithstanding sections 5103-5105 of this title, the Secretary may prescribe regulations for submersible vessels to provide a minimum level of safety. In developing the regulations, the Secretary shall consider factors relevant to submersible vessels, including the structure, stability, and watertight integrity of those vessels. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1917.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5110 Section 5110 authorizes the Secretary to prescribe regulations for the marking of load lines of submersible vessels. This general authority has been included in anticipation of the commercial development of submersibles. ------DocID 53255 Document 156 of 963------ -CITE- 46 USC Sec. 5111 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5111. Providing loading information -STATUTE- The Secretary may prescribe regulations requiring the owner, charterer, managing operator, and agent of a vessel to provide loading information (including information on loading distribution, stability, and margin of strength) to the master or individual in charge of the vessel in a language the master or individual understands. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1917.) -MISC1- HISTORICAL AND REVISION NOTES Section 5111 authorizes the Secretary to prescribe regulations requiring that the master of a vessel be provided with loading and stability information for the vessel that the master understands. ------DocID 53256 Document 157 of 963------ -CITE- 46 USC Sec. 5112 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5112. Loading restrictions -STATUTE- (a) A vessel may not be loaded in a way that submerges the assigned load line or the place at which the load line is required to be marked on the vessel. (b) If the loading or stability conditions of a vessel change, the master or individual in charge of the vessel, before moving the vessel, shall record in the official logbook or other permanent record of the vessel - (1) the position of the assigned load line relative to the water surface; and (2) the draft of the vessel fore and aft. (c) A vessel may be operated only if the loading distribution, stability, and margin of strength are adequate for the voyage or movement intended. (d) Subsections (a) and (b) of this section do not apply to a submersible vessel. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1917.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5112 Source: Section (U.S. Code) 46 App. U.S.C. 86g, 88c, 88e. Section 5112(a) prohibits a vessel from being loaded in a manner that submerges its load line. Section 5112(b) requires that whenever the loading or stability conditions of a vessel change, the master or individual in charge of the vessel must record in the official logbook the position of the load line and the draft of the vessel. Section 5112(c) is a new provision that provides that a vessel may be operated only if the loading distribution, stability, and margin of strength are adequate for the intended voyage or movement. Section 5112(d) provides that subsections (a) and (b) do not apply to a submersible vessel. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 5116 of this title. ------DocID 53257 Document 158 of 963------ -CITE- 46 USC Sec. 5113 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5113. Detention of vessels -STATUTE- (a) When the Secretary believes that a vessel is about to leave a place in the United States in violation of this chapter or a regulation prescribed under this chapter, the Secretary may detain the vessel by giving notice to the owner, charterer, managing operator, agent, master, or individual in charge of the vessel. (b) A detained vessel may be cleared under section 4197 of the Revised Statutes (46 App. U.S.C. 91) only after the violation has been corrected. If the vessel was cleared before being detained, the clearance shall be withdrawn. (c) Under regulations prescribed by the Secretary, the owner, charterer, managing operator, agent, master, or individual in charge of a detained vessel may petition the Secretary to review the detention order. (d) After reviewing a petition, the Secretary may affirm, withdraw, or change the detention order. Before acting on the petition, the Secretary may require any independent survey that may be necessary to determine the condition of the vessel. (e) The owner of a vessel is liable for the cost incident to a petition for review and any required survey if the vessel is found to be in violation of this chapter or a regulation prescribed under this chapter. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1918.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5113 Source: Section (U.S. Code) 46 App. U.S.C. 86h, 88f. Section 5113 authorizes the Secretary to detain a vessel if the Secretary believes that the vessel is in violation of the load line requirements, and describes the process through which a vessel may be cleared. It also states that a vessel owner is liable for certain costs resulting from a petition for review and load line survey that is made pursuant to a violation of load line requirements. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 5116 of this title. ------DocID 53258 Document 159 of 963------ -CITE- 46 USC Sec. 5114 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5114. Use of Customs Service officers and employees for enforcement -STATUTE- (a) With the approval of the Secretary of the Treasury, the Secretary may use an officer or employee of the United States Customs Service to enforce this chapter and the regulations prescribed under this chapter. (b) The Secretary shall consult with the Secretary of the Treasury before prescribing a regulation that affects the enforcement responsibilities of an officer or employee of the Customs Service. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1918, and amended Pub. L. 101-595, title VI, Sec. 603(4), Nov. 16, 1990, 104 Stat. 2993.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5114 Source: Section (U.S. Code) 46 App. U.S.C. 86 Section 5114(a) authorizes the Secretary to use a Customs Service officer or employee to enforce load line requirements. The expected role of a Customs Service officer or employee in this regard is to ensure that a vessel is carrying a load line certificate and that the load line is not submerged. Section 5114(b) requires the Secretary to consult with the Secretary of the Treasury before prescribing a regulation that affects the enforcement responsibilties of a Customs Service officer or employee. AMENDMENTS 1990 - Pub. L. 101-595 substituted 'officers and employees' for 'officers employees' in section catchline. ------DocID 53259 Document 160 of 963------ -CITE- 46 USC Sec. 5115 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- (Sec. 5115. Repealed. Pub. L. 101-595, title VI, Sec. 603(5)(A), Nov. 16, 1990, 104 Stat. 2993) -MISC1- Section, added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1918, authorized Secretary to prescribe regulations to carry out this chapter. ------DocID 53260 Document 161 of 963------ -CITE- 46 USC Sec. 5116 -EXPCITE- TITLE 46 Part C CHAPTER 51 -HEAD- Sec. 5116. Penalties -STATUTE- (a) Except as otherwise provided in this section, the owner, charterer, managing operator, agent, master, and individual in charge of a vessel violating this chapter or a regulation prescribed under this chapter are each liable to the United States Government for a civil penalty of not more than $5,000. Each day of a continuing violation is a separate violation. The vessel also is liable in rem for the penalty. (b) The owner, charterer, managing operator, agent, master, and individual in charge of a vessel allowing, causing, attempting to cause, or failing to take reasonable care to prevent a violation of section 5112(a) of this title are each liable to the Government for a civil penalty of not more than $10,000 plus an additional amount equal to twice the economic benefit of the overloading. The vessel also is liable in rem for the penalty. (c) The master or individual in charge of a vessel violating section 5112(b) of this title is liable to the Government for a civil penalty of not more than $5,000. The vessel also is liable in rem for the penalty. (d) A person causing or allowing the departure of a vessel from a place within the jurisdiction of the United States in violation of a detention order issued under section 5113 of this title commits a class A misdemeanor. (e) A person causing or allowing the alteration, concealment, or removal of a mark placed on a vessel under section 5103(b) of this title and the regulations prescribed under this chapter, except to make a lawful change or to escape enemy capture in time of war, commits a class A misdemeanor. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(2), Oct. 21, 1986, 100 Stat. 1918, and amended Pub. L. 101-380, title IV, Sec. 4302(d), Aug. 18, 1990, 104 Stat. 538.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 5116 Source: Section (U.S. Code) 46 App. U.S.C. 86i, 88g. Section 5116 provides penalties for violations of load line requirements. The penalties are raised substantially from existing law to provide a sufficient deterrence against violations of the load line requirements and to conform with the level of penalties throughout the subtitle. The monetary penalties have not been changed since the 1930's. Section 5116(a) raises from $1,000 to $5,000 the maximum penalty for violation of a load line provision under this chapter or a regulation promulgated under this chapter. Section 5116(b) raises from $1,000 to $10,000 the maximum penalty for loading a vessel in such a way as to submerge the load line. In addition, a violator must pay up to two times the amount of the economic benefit of the overloading. Section 5116(c) raises from $500 to $5,000 the maximum penalty for a violation of the requirement in section 5112(b) that the load line position and draft of a vessel be noted in the logbook. Section 5116(a)-(c) also states that the vessel is liable in rem for the penalty. Section 5116(d) raises from $1,000 to $10,000 the maximum penalty for a violation of a detention order and may also include imprisonment for up to one year. Section 5116(e) raises from $2,000 to $10,000 the maximum penalty for the alteration, removal, or concealment of a load line mark and may also include imprisonment for two years. AMENDMENTS 1990 - Subsec. (d). Pub. L. 101-380, Sec. 4302(d)(1), substituted 'commits a class A misdemeanor' for 'shall be fined not more than $10,000, imprisoned for not more than one year, or both'. Subsec. (e). Pub. L. 101-380, Sec. 4302(d)(2), substituted 'commits a class A misdemeanor' for 'shall be fined not more than $10,000, imprisoned for not more than 2 years, or both'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53261 Document 162 of 963------ -CITE- 46 USC Part D -EXPCITE- TITLE 46 Part D -HEAD- Part D - Marine Casualties ------DocID 53262 Document 163 of 963------ -CITE- 46 USC CHAPTER 61 -EXPCITE- TITLE 46 Part D CHAPTER 61 -HEAD- CHAPTER 61 - REPORTING MARINE CASUALTIES -MISC1- Sec. 6101. Marine casualties and reporting. 6102. State marine casualty reporting system. 6103. Penalty. 6104. Commercial fishing industry vessel casualty statistics. HISTORICAL AND REVISION NOTES Chapter 61 provides for the reporting of marine casualties and incidents involving all United States flag vessels occurring anywhere in the world and any foreign flag vessel operating on waters subject to the jurisdiction of the United States. AMENDMENTS 1988 - Pub. L. 100-424, Sec. 4(c), Sept. 9, 1988, 102 Stat. 1591, added item 6104. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 13102 of this title. ------DocID 53263 Document 164 of 963------ -CITE- 46 USC Sec. 6101 -EXPCITE- TITLE 46 Part D CHAPTER 61 -HEAD- Sec. 6101. Marine casualties and reporting -STATUTE- (a) The Secretary shall prescribe regulations on the marine casualties to be reported and the manner of reporting. The regulations shall require reporting the following marine casualties: (1) death of an individual. (2) serious injury to an individual. (3) material loss of property. (4) material damage affecting the seaworthiness or efficiency of the vessel. (5) significant harm to the environment. (b) A marine casualty shall be reported within 5 days as provided in this part and regulations prescribed under this part. Each report filed under this section shall include information as to whether the use of alcohol contributed to the casualty. ((c) Repealed. Pub. L. 98-498, title II, Sec. 212(b)(1)(B), Oct. 19, 1984, 98 Stat. 2306.) (d)(1) This part applies to a foreign vessel when involved in a marine casualty on the navigable waters of the United States. (2) This part applies, to the extent consistent with generally recognized principles of international law, to a foreign vessel constructed or adapted to carry, or that carries, oil in bulk as cargo or cargo residue involved in a marine casualty described under subsection (a)(4) or (5) in waters subject to the jurisdiction of the United States, including the Exclusive Economic Zone. (e) A marine casualty not resulting in the death of an individual shall be classified according to the gravity of the casualty, as prescribed by regulation, giving consideration to the extent of injuries to individuals, the extent of property damage, the dangers that the casualty creates, and the size, occupation, and means of propulsion of each vessel involved. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 536; Pub. L. 98-498, title II, Sec. 212(b)(1), Oct. 19, 1984, 98 Stat. 2306; Pub. L. 98-557, Sec. 7(b)(1), Oct. 30, 1984, 98 Stat. 2862; Pub. L. 101-380, title IV, Sec. 4106(b), Aug. 18, 1990, 104 Stat. 513.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 6101 46:239 46:1486 33:361 33:365 6101(b) 33:362 ------------------------------- Section 6101(a) requires the Secretary to prescribe regulations on the types and manner of reporting of marine casualties to be reported under subsection (b) and incidents to be reported under subsection (c). The casualties to be reported must include casualties involving death to an individual, serious injury to an individual, material loss of property, and any damage affecting the seaworthiness or efficiency of the vessel, in addition to the other casualties (if any) the Secretary feels should be reported. Subsection (b) requires the owner, charterer, agent, master, operator, or individual in charge of a vessel to report within 5 days, any casualty required in subsection (a) or by regulation. Subsection (c) requires the owner, charterer, managing operator, or agent of a U.S. vessel to immediately determine the status of their vessel if they have not heard from the vessel, if it has not passed a scheduled point, or for any other reason which may indicate the vessel may have been lost or imperiled. If the owner, charterer, managing operator, or agent cannot reach the vessel and determine that it is operating safely, then they shall immediately notify the Coast Guard and provide the Coast Guard with the name and number of the vessel, the names of individuals on board, and any other information that the Coast Guard may request. If communication with the vessel indicates the vessel was involved in a casualty, then the owner, charterer, or agent of the vessel must immediately notify the Coast Guard under subsection (b). Notification to the Coast Guard does not impose or create any additional responsibility for the Coast Guard to take search and rescue action beyond those already existing under title 14, United States Code. Subsection (d) makes it clear that the reporting requirements under subsection (b) are applicable to foreign vessels involved in a marine casualty when operating on thd navigable waters of the United States, whether in innocent passage or not. Subsection (e) provides for the classification of marine casualties by regulation according to the gravity of the casualty, injuries to individuals, property damage, dangers created, and size, occupation, and means of propulsion of each vessel. AMENDMENTS 1990 - Subsec. (a)(5). Pub. L. 101-380, Sec. 4106(b)(1), added par. (5). Subsec. (d). Pub. L. 101-380, Sec. 4106(b)(2), designated existing provisions as par. (1) and added par. (2). 1984 - Subsec. (a). Pub. L. 98-498, Sec. 212(b)(1)(A), struck out 'and incidents' after 'marine casualties' in provisions preceding par. (1). Subsec. (b). Pub. L. 98-557 inserted provisions relating to alcohol as a contributing factor to the casualty. Subsec. (c). Pub. L. 98-498, Sec. 212(b)(1)(B), struck out subsec. (c) which related to determination of status of a vessel that may be lost or imperiled and notification of the Coast Guard. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-498 effective 180 days after Oct. 1, 1984, see section 214 of Pub. L. 98-498, set out as an Effective Date note under section 2306 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 6103, 9101 of this title; title 49 App. section 1903. ------DocID 53264 Document 165 of 963------ -CITE- 46 USC Sec. 6102 -EXPCITE- TITLE 46 Part D CHAPTER 61 -HEAD- Sec. 6102. State marine casualty reporting system -STATUTE- (a) The Secretary shall prescribe regulations for a uniform State marine casualty reporting system for vessels. Regulations shall prescribe the casualties to be reported and the manner of reporting. A State shall compile and submit to the Secretary reports, information, and statistics on casualties reported to the State, including information and statistics concerning the number of casualties in which the use of alcohol contributed to the casualty. (b) The Secretary shall collect, analyze, and publish reports, information, and statistics on marine casualties together with findings and recommendations the Secretary considers appropriate. If a State marine casualty reporting system provides that information derived from casualty reports (except statistical information) may not be publicly disclosed, or otherwise prohibits use by the State or any person in any action or proceeding against a person, the Secretary may use the information provided by the State only in the same way that the State may use the information. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 536; Pub. L. 98-557, Sec. 7(b)(2), Oct. 30, 1984, 98 Stat. 2862.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 6102 46:1486 ------------------------------- Section 6102(a) requires the Secretary to prescribe regulations for a uniform State marine casualty reporting system for vessels. The Secretary may limit the scope and types of casualties to be investigated and reported by the State. It also requires the State to submit to the Secretary reports, information, and statistics on casualties reported to the State. Subsection (b) requires the Secretary to analyze the information that is received from the State. It also prohibits the Secretary from disclosing the information, proceeding against any person based on this information, or otherwise using the information, if the State cannot use the information in the same way. AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-557 inserted provisions relating to alcohol as a contributing factor to the casualty. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 13102 of this title. ------DocID 53265 Document 166 of 963------ -CITE- 46 USC Sec. 6103 -EXPCITE- TITLE 46 Part D CHAPTER 61 -HEAD- Sec. 6103. Penalty -STATUTE- (a) An owner, charterer, managing operator, agent, master, or individual in charge of a vessel failing to report a casualty as required under section 6101 of this title or a regulation prescribed under section 6101 is liable to the United States Government for a civil penalty of $1,000. (b) A person failing to comply with section 6104 of this title or a regulation prescribed under that section is liable to the Government for a civil penalty of not more than $5,000. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 536; Pub. L. 98-498, title II, Sec. 212(b)(2), Oct. 19, 1984, 98 Stat. 2306; Pub. L. 100-424, Sec. 4(b), Sept. 9, 1988, 102 Stat. 1590.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 6103 33:361 33:362 ------------------------------- Section 6103 provides for a civil penalty of $1,000 for any owner, charterer, managing operator, agent, master, or individual in charge of a vessel that fails to report a casualty required to be reported under subsection (b) of section 6101 or an incident required to be reported under subsection (c) of section 6101. AMENDMENTS 1988 - Pub. L. 100-424 designated existing provisions as subsec. (a) and added subsec. (b). 1984 - Pub. L. 98-498 struck out 'or incident' after 'a casualty'. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-498 effective 180 days after Oct. 19, 1984, see section 214 of Pub. L. 98-498, set out as an Effective Date note under section 2306 of this title. ------DocID 53266 Document 167 of 963------ -CITE- 46 USC Sec. 6104 -EXPCITE- TITLE 46 Part D CHAPTER 61 -HEAD- Sec. 6104. Commercial fishing industry vessel casualty statistics -STATUTE- (a) The Secretary shall compile statistics concerning marine casualties from data compiled from insurers of fishing vessels, fish processing vessels, and fish tender vessels. (b) A person underwriting primary insurance for a fishing vessel, fish processing vessel, or fish tender vessel shall submit periodically to the Secretary data concerning marine casualties that is required by regulations prescribed by the Secretary. (c) After consulting with the insurance industry, the Secretary shall prescribe regulations under this section to gather a statistical base for analyzing vessel risks. (d) The Secretary may delegate to a qualified person that has knowledge and experience in the collection of statistical insurance data the authority of the Secretary under this section to compile statistics from insurers. -SOURCE- (Added Pub. L. 100-424, Sec. 4(a), Sept. 9, 1988, 102 Stat. 1590.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 6103 of this title. ------DocID 53267 Document 168 of 963------ -CITE- 46 USC CHAPTER 63 -EXPCITE- TITLE 46 Part D CHAPTER 63 -HEAD- CHAPTER 63 - INVESTIGATING MARINE CASUALTIES -MISC1- Sec. 6301. Investigation of marine casualties. 6302. Public investigations. 6303. Rights of parties in interest. 6304. Subpena authority. 6305. Reports of investigations. 6306. Penalty. 6307. Notifications to Congress. HISTORICAL AND REVISION NOTES Chapter 63 sets forth the scope and procedures for the investigation of marine casualties and incidents that are required to be reported by Chapter 61, as well as the rights of parties involved in a casualty. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 7705 of this title. ------DocID 53268 Document 169 of 963------ -CITE- 46 USC Sec. 6301 -EXPCITE- TITLE 46 Part D CHAPTER 63 -HEAD- Sec. 6301. Investigation of marine casualties -STATUTE- The Secretary shall prescribe regulations for the immediate investigation of marine casualties under this part to decide, as closely as possible - (1) the cause of the casualty, including the cause of any death; (2) whether an act of misconduct, incompetence, negligence, unskillfulness, or willful violation of law committed by any individual licensed, certificated, or documented under part E of this subtitle has contributed to the cause of the casualty, or to a death involved in the casualty, so that appropriate remedial action under chapter 77 of this title may be taken; (3) whether an act of misconduct, incompetence, negligence, unskillfulness, or willful violation of law committed by any person, including an officer, employee, or member of the Coast Guard, contributed to the cause of the casualty, or to a death involved in the casualty; (4) whether there is evidence that an act subjecting the offender to a civil penalty under the laws of the United States has been committed, so that appropriate action may be undertaken to collect the penalty; (5) whether there is evidence that a criminal act under the laws of the United States has been committed, so that the matter may be referred to appropriate authorities for prosecution; and (6) whether there is need for new laws or regulations, or amendment or repeal of existing laws or regulations, to prevent the recurrence of the casualty. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 537.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 6301 46:239 ------------------------------- Section 6301 requires the Secretary to prescribe regulations for the immediate investigation of marine casualties in order to determine, as closely as possible, the cause of the casualty; whether the actions of individuals licensed, certificated, or documented have contributed to the cause of the casualty, whether the action of an individual in the Coast Guard contributed to the cause of the casualty, whether there is evidence that an act subjecting the offender to civil or criminal penalty has been committed, and whether there is a need for new laws or to amend or repeal existing laws or regulations in order to prevent a recurrence of the casualty. CONSTRUCTION Section 2(h) of Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 599, provided that: 'Chapter 63 of title 46 (as enacted by section 1 of this Act) does not supersede section 304(a)(1)(E) of the Independent Safety Board Act of 1974 (49 App. U.S.C. 1903(a)(1)(E)).' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 6307 of this title; title 49 App. section 1903. ------DocID 53269 Document 170 of 963------ -CITE- 46 USC Sec. 6302 -EXPCITE- TITLE 46 Part D CHAPTER 63 -HEAD- Sec. 6302. Public investigations -STATUTE- Each investigation conducted under this chapter and regulations prescribed under this chapter shall be open to the public, except when evidence affecting the national security is to be received. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 537.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- ------------------------------- Section 6302 provides that each investigation conducted under this chapter shall be open to the public, except when evidence affecting the national security of the United States is to be received. ------DocID 53270 Document 171 of 963------ -CITE- 46 USC Sec. 6303 -EXPCITE- TITLE 46 Part D CHAPTER 63 -HEAD- Sec. 6303. Rights of parties in interest -STATUTE- In an investigation conducted under this chapter, the following shall be allowed to be represented by counsel, to cross-examine witnesses, and to call witnesses: (1) an owner, (2) any holder of a license or certificate of registry, (3) any holder of a merchant mariner's document, (4) any other person whose conduct is under investigation, and (5) any other party in interest. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 537.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 6304 46:239(e) 46:239(f) ------------------------------- Section 6304 provides an officer investigating a marine casualty with the necessary subpena authority to require the attendance and testimony of witnesses and the production of evidence. It also authorizes a district court of the United States to direct compliance with a subpena. ------DocID 53271 Document 172 of 963------ -CITE- 46 USC Sec. 6305 -EXPCITE- TITLE 46 Part D CHAPTER 63 -HEAD- Sec. 6305. Reports of investigations -STATUTE- (a) The Secretary shall prescribe regulations about the form and manner of reports of investigations conducted under this part. (b) Reports of investigations conducted under this part shall be made available to the public, except to the extent that they contain information related to the national security. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 538.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 6305 46:239(g) 46:239(k) ------------------------------- Section 6305 requires the Secretary to prescribe regulations about the form and manner of reports of investigations of marine casualties. It also provides that the reports shall be available to the public, except for any information they contain related to national security. ------DocID 53272 Document 173 of 963------ -CITE- 46 USC Sec. 6306 -EXPCITE- TITLE 46 Part D CHAPTER 63 -HEAD- Sec. 6306. Penalty -STATUTE- A person attempting to coerce a witness, or to induce a witness, to testify falsely in connection with a marine casualty, or to induce a witness to leave the jurisdiction of the United States, shall be fined $5,000, imprisoned for one year, or both. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 538.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 6306 46:239(i) ------------------------------- Section 6306 provides for a $5,000 criminal penalty for anyone attempting to coerce or to induce a witness to a marine casualty investigation to testify falsely or to leave the jurisdiction of the United States. ------DocID 53273 Document 174 of 963------ -CITE- 46 USC Sec. 6307 -EXPCITE- TITLE 46 Part D CHAPTER 63 -HEAD- Sec. 6307. Notifications to Congress -STATUTE- (a) The Secretary shall notify the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Merchant Marine and Fisheries of the House of Representatives of any hearing, before the hearing occurs, investigating a major marine casualty involving a death under section 6301 of this title. (b) The Secretary shall submit to a committee referred to in subsection (a) of this section information on a major marine casualty that is requested by that committee or the chairman of the committee if the submission of that information is not prohibited by a law of the United States. (c) The Secretary shall submit annually to Congress a summary of the marine casualties reported during the prior fiscal year, together with a brief statement of action taken concerning those casualties. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 538.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 6307 46:239(j) 33:366 ------------------------------- Subsection (a) requires the Secretary to notify the Merchant Marine and Fisheries Committee and the Senate Commerce Committee in advance of any hearing concerning a major marine accident (as defined by regulation) where there has been a loss of life. Subsection (b) requires the Coast Guard to supply the Merchant Marine and Fisheries Committee and the Senate Commerce Committee with any requested marine casualty information, if its release is not specifically prohibited by law. Subsection (c) requires the Secretary to submit an annual report to Congress summarizing the marine casualties reported during the prior fiscal year, with a brief statement of action taken concerning those casualties. ------DocID 53274 Document 175 of 963------ -CITE- 46 USC Part E -EXPCITE- TITLE 46 Part E -HEAD- Part E - Merchant Seamen Licenses, Certificates, and Documents -MISC1- HISTORICAL AND REVISION NOTES Part E establishes the authority for the Coast Guard to issue, suspend, and revoke licenses, certificates of registry, and merchant mariner's documents for individuals who are to be engaged on vessels of the United States. AMENDMENTS 1985 - Pub. L. 99-36, Sec. 1(a)(9)(B), May 15, 1985, 99 Stat. 67, substituted 'Merchant Seamen Licenses, Certificates, and' for 'Licenses, Certificates, and Merchant Mariners' ' in part E heading. -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in sections 3315, 6301, 14305 of this title. ------DocID 53275 Document 176 of 963------ -CITE- 46 USC CHAPTER 71 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- CHAPTER 71 - LICENSES AND CERTIFICATES OF REGISTRY -MISC1- Sec. 7101. Issuing and classifying licenses and certificates of registry. 7102. Citizenship. 7103. Licenses for radio officers. 7104. Certificates for medical doctors and nurses. 7105. Oaths. 7106. Duration of licenses. 7107. Duration of certificates of registry. 7108. Termination of licenses and certificates of registry. 7109. Review of criminal records. 7110. Exhibiting licenses. 7111. Oral examinations for licenses. 7112. Licenses of masters or mates as pilots. 7113. Exemption from draft. 7114. Fees. AMENDMENTS 1990 - Pub. L. 101-380, title IV, Sec. 4102(e)(2), Aug. 18, 1990, 104 Stat. 510, substituted 'Review of criminal records' for 'Renewal of licenses' in item 7109. 1984 - Pub. L. 98-364, title IV, Sec. 402(8)(A), July 17, 1984, 98 Stat. 447, substituted 'Oral examinations for licenses' for 'Licenses for fishing vessels not subject to inspection' in item 7111. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in title 47 section 155. ------DocID 53276 Document 177 of 963------ -CITE- 46 USC Sec. 7101 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7101. Issuing and classifying licenses and certificates of registry -STATUTE- (a) Licenses and certificates of registry are established for individuals who are required to hold licenses or certificates under this subtitle. (b) Under regulations prescribed by the Secretary, the Secretary - (1) issues the licenses and certificates of registry; and (2) may classify the licenses and certificates of registry as provided in subsections (c) and (f) of this section, based on - (A) the tonnage, means of propulsion, and horsepower of machine-propelled vessels; (B) the waters on which vessels are to be operated; or (C) other reasonable standards. (c) The Secretary may issue licenses in the following classes to applicants found qualified as to age, character, habits of life, experience, professional qualifications, and physical fitness: (1) masters, mates, and engineers. (2) pilots. (3) operators. (4) radio officers. (d) In classifying individuals under subsection (c)(1) of this section, the Secretary shall establish, when possible, suitable career patterns and service and other qualifying requirements appropriate to the particular service or industry in which the individuals are engaged. (e) An individual may be issued a license under subsection (c)(2) of this section only if the applicant - (1) is at least 21 years of age; (2) is of sound health and has no physical limitations that would hinder or prevent the performance of a pilot's duties; (3) has a thorough physical examination each year while holding the license, except that this requirement does not apply to an individual who will serve as a pilot only on a vessel of less than 1,600 gross tons; (4) demonstrates, to the satisfaction of the Secretary, that the applicant has the requisite general knowledge and skill to hold the license; (5) demonstrates proficiency in the use of electronic aids to navigation; (6) maintains adequate knowledge of the waters to be navigated and knowledge of regulations for the prevention of collisions in those waters; (7) has sufficient experience, as decided by the Secretary, to evidence ability to handle any vessel of the type and size which the applicant may be authorized to pilot; and (8) meets any other requirement the Secretary considers reasonable and necessary. (f) The Secretary may issue certificates of registry in the following classes to applicants found qualified as to character, knowledge, skill, and experience: (1) pursers. (2) medical doctors. (3) professional nurses. (g) The Secretary may not issue a license or certificate of registry under this section unless an individual applying for the license or certificate makes available to the Secretary, under section 206(b)(7) of the National Driver Register Act of 1982 (23 U.S.C. 401 note), any information contained in the National Driver Register related to an offense described in section 205(a)(3)(A) or (B) of that Act committed by the individual. (h) The Secretary may review the criminal record of an individual who applies for a license or certificate of registry under this section. (i) The Secretary shall require the testing of an individual who applies for issuance or renewal of a license or certificate of registry under this chapter for use of a dangerous drug in violation of law or Federal regulation. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 539; Pub. L. 98-557, Sec. 29(a), Oct. 30, 1984, 98 Stat. 2873; Pub. L. 101-380, title IV, Sec. 4101(a), Aug. 18, 1990, 104 Stat. 509.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7101 46:214 46:224 46:226 46:228 46:229 46:229a 46:229b 46:242 46:243 46:244 46:247 ------------------------------- Section 7101(a) provides the authority for the establishment of licenses and certificates of registry for officers and individuals operating vessels who are required to hold them under Subtitle II. Subsection (b) authorizes the Secretary to issue licenses and certificates of registry based on tonnage, means of propulsion, horsepower, vessel operating area, and other reasonable standards. Subsection (c) authorizes the Secretary to issue licenses to masters, mates, engineers, pilots, operators, and radio officers when found qualified as to age, character, habits of life, experience, professional qualifications, and physical fitness. These qualifying standards must by necessity be reasonable and related to the rigors of the profession. Subsection (d) requires the Secretary to establish, when possible, suitable career patterns and service for and other qualifying requirements appropriate to the particular service or industry for the individuals so engaged. Subsection (e) sets forth the requirements that pilots must meet before being issued a license. Subsection (f) authorizes the Secretary to issue certificates of registry to qualified individuals as pursers, medical doctors, and professional nurses. -REFTEXT- REFERENCES IN TEXT Sections 205(a)(3)(A) or (B) and 206(b)(7) of the National Driver Register Act of 1982, referred to in subsec. (g), are sections 205(a)(3)(A), (B) and 206(b)(7) of Pub. L. 97-364, which are set out as a note under section 401 of Title 23, Highways. -MISC2- AMENDMENTS 1990 - Subsecs. (g) to (i). Pub. L. 101-380 added subsecs. (g) to (i). 1984 - Subsec. (e)(3). Pub. L. 98-557 inserted exemption for pilots on a vessel of less than 1,600 gross tons. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. PLAN FOR LICENSING OPERATORS OF FISHING INDUSTRY VESSELS Pub. L. 100-424, Sec. 3, Sept. 9, 1988, 102 Stat. 1590, provided that: 'The Secretary of the department in which the Coast Guard is operating shall, within two years after the date of enactment of this Act (Sept. 9, 1988), and in close consultation with the Commercial Fishing Industry Vessel Advisory Committee established under section 4508 of title 46, United States Code (as amended by this Act), prepare and submit to the Congress a plan for the licensing of operators of documented fishing, fish processing, and fish tender vessels. The plan shall take into consideration the nature and variety of the different United States fisheries and of the vessels engaged in those fisheries, the need to license all operators or only those working in certain types of fisheries or vessels, and other relevant factors.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 8101, 8302, 8304, 8502, 8503, 8703, 9302, 9303 of this title; section 1295c of Appendix to this title. ------DocID 53277 Document 178 of 963------ -CITE- 46 USC Sec. 7102 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7102. Citizenship -STATUTE- Licenses and certificates of registry for individuals on documented vessels may be issued only to citizens of the United States. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 540.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7102 46:242 46:1132(a) ------------------------------- Section 7102 requires that any individual issued a license or certificate of registry allowing the individual to be engaed on a documented vessel must be a U.S. citizen. ------DocID 53278 Document 179 of 963------ -CITE- 46 USC Sec. 7103 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7103. Licenses for radio officers -STATUTE- (a) A license as radio officer may be issued only to an applicant who has a first-class or second-class radiotelegraph operator license issued by the Federal Communications Commission. (b) Except as provided in section 7318 of this title, this part does not affect the status of radiotelegraph operators serving on board vessels operating only on the Great Lakes. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 540.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7103 46:229a 46:229b 46:229g ------------------------------- Section 7103 requires an applicant for a license as a radio officer to have, as a prerequisite, a first-class or second-class radiotelegraph operator license issued by the Federal Communications Commission (FCC). It also excepts radiotelegraph operators that are engaged on Great Lakes vessels from the requirement of having to obtain a radio officer's license. ------DocID 53279 Document 180 of 963------ -CITE- 46 USC Sec. 7104 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7104. Certificates for medical doctors and nurses -STATUTE- A certificate of registry as a medical doctor or professional nurse may be issued only to an applicant who has a license as a medical doctor or registered nurse, respectively, issued by a State. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 540.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7104 46:243 ------------------------------- Section 7104 requires an applicant for a certificate of registry as a medical doctor or professional nurse to have, as a prerequisite, a license as a medical doctor or registered nurse issued by a State. ------DocID 53280 Document 181 of 963------ -CITE- 46 USC Sec. 7105 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7105. Oaths -STATUTE- An applicant for a license or certificate of registry shall take, before the issuance of the license or certificate, an oath before a designated official, without concealment or reservation, that the applicant will perform faithfully and honestly, according to the best skill and judgment of the applicant, all the duties required by law. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 540.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7105 46:229e 46:231 46:244 ------------------------------- Section 7105 requires all individuals who wish to be issued a license or certificate of registry to take an oath before a government official that they will perform all the duties required by law according to their best skill and judgment. ------DocID 53281 Document 182 of 963------ -CITE- 46 USC Sec. 7106 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7106. Duration of licenses -STATUTE- A license issued under this part is valid for 5 years and may be renewed for additional 5-year periods. However, the validity of a license issued to a radio officer is conditioned on the continuous possession by the holder of a first-class or second-class radiotelegraph operator license issued by the Federal Communications Commission. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 540; Pub. L. 101-380, title IV, Sec. 4102(a), Aug. 18, 1990, 104 Stat. 509.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7106 46:214(c) 46:225 46:226 46:228 46:229 46:229c ------------------------------- Section 7106 sets a 5 year time limit on the validity of a license. It also requires a licensed radio officer to be in continuous possession of an FCC license. AMENDMENTS 1990 - Pub. L. 101-380 inserted 'and may be renewed for additional 5-year periods' after 'for 5 years'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. TERMINATION OF EXISTING LICENSES, CERTIFICATES, AND DOCUMENTS; APPLICABILITY OF 1990 AMENDMENT Section 4102(d) of Pub. L. 101-380 provided that: 'A license, certificate of registry, or merchant mariner's document issued before the date of the enactment of this section (Aug. 18, 1990) terminates on the day it would have expired if - '(1) subsections (a), (b), and (c) (amending this section and sections 7107 and 7302 of this title) were in effect on the date it was issued; and '(2) it was renewed at the end of each 5-year period under section 7106, 7107, or 7302 of title 46, United States Code.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 7108 of this title. ------DocID 53282 Document 183 of 963------ -CITE- 46 USC Sec. 7107 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7107. Duration of certificates of registry -STATUTE- A certificate of registry issued under this part is valid for 5 years and may be renewed for additional 5-year periods. However, the validity of a certificate issued to a medical doctor or professional nurse is conditioned on the continuous possession by the holder of a license as a medical doctor or registered nurse, respectively, issued by a State. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 540; Pub. L. 101-380, title IV, Sec. 4102(b), Aug. 18, 1990, 104 Stat. 509.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7107 46:243 ------------------------------- Section 7107 specifies that there is no time limit on the validity of a certificate of registry issued to a medical doctor or a professional nurse but is conditioned on the continuous possession of the appropriate license issued by a State. AMENDMENTS 1990 - Pub. L. 101-380 substituted 'is valid for 5 years and may be renewed for additional 5-year periods' for 'is not limited in duration'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. TERMINATION OF EXISTING LICENSES, CERTIFICATES, AND DOCUMENTS; APPLICABILITY OF 1990 AMENDMENT For provisions that a certificate of registry issued before Aug. 18, 1990, terminates on the day it would have expired if the amendment to this section by Pub. L. 101-380 were in effect on date it was issued and was renewed at the end of each 5-year period under this section, see section 4102(d) of Pub. L. 101-380, set out as a note under section 7106 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 7108 of this title. ------DocID 53283 Document 184 of 963------ -CITE- 46 USC Sec. 7108 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7108. Termination of licenses and certificates of registry -STATUTE- When the holder of a license or certificate of registry, the duration of which is conditioned under section 7106 or 7107 of this title, fails to hold the license required as a condition, the license or certificate of registry issued under this part is terminated. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 540.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7108 46:229c 46:243 ------------------------------- Section 7108 specifies if any individual issued a license or certificate of registry fails to have the required FCC or appropriate State medical license, the license or certificate is automatically terminated. The suspension and revocation procedures provided in chapter 77 are not applicable in these cases. ------DocID 53284 Document 185 of 963------ -CITE- 46 USC Sec. 7109 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7109. Review of criminal records -STATUTE- The Secretary may review the criminal record of each holder of a license or certificate of registry issued under this part who applies for renewal of that license or certificate of registry. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 540; Pub. L. 101-380, title IV, Sec. 4102(e)(1), Aug. 18, 1990, 104 Stat. 510.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7109 46:225 46:233 ------------------------------- Section 7109 authorizes the Secretary to renew licenses and certificates of registry for additional 5 year periods. AMENDMENTS 1990 - Pub. L. 101-380 substituted 'Review of criminal records' for 'Renewal of licenses' in section catchline and amended text generally. Prior to amendment, text read as follows: 'A license issued under this part may be renewed for additional 5-year periods.' EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53285 Document 186 of 963------ -CITE- 46 USC Sec. 7110 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7110. Exhibiting licenses -STATUTE- Each holder of a license issued under this part shall display, within 48 hours after employment on a vessel for which that license is required, the license in a conspicuous place on the vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 541.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7109 46:229f 46:232 ------------------------------- Section 7110 requires licensed individuals to display the license in a conspicuous place on the vessel within 48 hours after they are employed. ------DocID 53286 Document 187 of 963------ -CITE- 46 USC Sec. 7111 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7111. Oral examinations for licenses -STATUTE- An individual may take an oral examination for a license to serve on a fishing, fish processing, or fish tender vessel not required to be inspected under part B of this subtitle. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 541; Pub. L. 98-364, title IV, Sec. 402(8)(B), July 17, 1984, 98 Stat. 447; Pub. L. 99-307, Sec. 1(10), May 19, 1986, 100 Stat. 445.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7109 46:224a(2) ------------------------------- Section 7111 provides for oral tests for licenses for individuals on fishing vessels that are not required to be inspected under part B. AMENDMENTS 1986 - Pub. L. 99-307 substituted 'part' for 'Part'. 1984 - Pub. L. 98-364 substituted in section catchline 'Oral examinations for licenses' for 'Licenses for fishing vessels not subject to inspection' and in text 'An individual may take an oral examination for a license to serve on a fishing, fish processing, or fish tender vessel not required to be inspected under Part B of this subtitle' for 'Examinations for licensing individuals on fishing vessels not required to be inspected under part B of this subtitle shall be oral'. ------DocID 53287 Document 188 of 963------ -CITE- 46 USC Sec. 7112 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7112. Licenses of masters or mates as pilots -STATUTE- A master or mate licensed under this part who also qualifies as a pilot is not required to hold 2 licenses. Instead, the qualification of the master or mate as pilot shall be endorsed on the master's or mate's license. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 541.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7112 46:230 ------------------------------- Section 7112 provides for the endorsement of a master's or mate's license as a pilot if they meet those specifications. These individuals do not have to hold two separate licenses. ------DocID 53288 Document 189 of 963------ -CITE- 46 USC Sec. 7113 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7113. Exemption from draft -STATUTE- A licensed master, mate, pilot, or engineer of a vessel inspected under part B of this subtitle, propelled by machinery or carrying hazardous liquid cargoes in bulk, is not liable to draft in time of war, except for performing duties authorized by the license. When performing those duties in the service of the United States Government, the master, mate, pilot, or engineer is entitled to the highest rate of wages paid in the merchant marine of the United States for similar services. If killed or wounded when performing those duties, the master, mate, pilot, or engineer, or the heirs or legal representatives of the master, mate, pilot, or engineer, are entitled to all the privileges under the pension laws of the United States provided to members of the Armed Forces. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 541.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7113 46:225 ------------------------------- Section 7113 exempts licensed masters, mates, pilots, and engineers of inspected vessels that are propelled by machinery or carrying hazardous liquid cargo from the Selective Service draft in time of war. This section also provides that, while serving in that capacity during war, they shall be entitled to the highest rate of pay paid in the U.S. merchant marine for similar services. If a master, mate, pilot, or engineer is killed or wounded when performing those duties during a war, these individuals, their heirs or legal representatives, are entitled to all the privileges provided to members of the Armed Forces under the pension laws of the United States. ------DocID 53289 Document 190 of 963------ -CITE- 46 USC Sec. 7114 -EXPCITE- TITLE 46 Part E CHAPTER 71 -HEAD- Sec. 7114. Fees -STATUTE- The Secretary may prescribe by regulation reasonable fees for the inspection of and the issuance of a certificate, license, or permit related to small passenger vessels and sailing school vessels. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 541.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7114 46:390a(b) ------------------------------- Section 7114 allows the Secretary to prescribe reasonable fees for the issuance of a certificate of inspection, license, or registry, or permits related to small passenger vessels and sailing school vessels. ------DocID 53290 Document 191 of 963------ -CITE- 46 USC CHAPTER 73 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- CHAPTER 73 - MERCHANT MARINERS' DOCUMENTS -MISC1- Sec. 7301. General. 7302. Issuing merchant mariners' documents and continuous discharge books. 7303. Possession and description of merchant mariners' documents. 7304. Citizenship notation on merchant mariners' documents. 7305. Oaths for holders of merchant mariners' documents. 7306. General requirements and classifications for able seamen. 7307. Able seamen - unlimited. 7308. Able seamen - limited. 7309. Able seamen - special. 7310. Able seamen - offshore supply vessels. 7311. Able seamen - sail. 7311a. Able seamen - fishing industry. 7312. Scale of employment. 7313. General requirements for members of engine departments. 7314. Service requirements for qualified members of engine departments. 7315. Training. 7316. Lifeboatmen. 7317. Tankermen. 7318. Radiotelegraph operators on Great Lakes. 7319. Records of merchant mariners' documents. HISTORICAL AND REVISION NOTES Chapter 73 establishes the general requirements for the issuance of a merchant mariners' document to those individuals who are required to have a document prior to engagement or employment on certain vessels of the United States. AMENDMENTS 1984 - Pub. L. 98-364, title IV, Sec. 402(9)(A), July 17, 1984, 98 Stat. 448, added item 7311a. ------DocID 53291 Document 192 of 963------ -CITE- 46 USC Sec. 7301 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7301. General -STATUTE- (a) In this chapter - (1) 'service on deck' means service in the deck department in work related to the work usually performed on board vessels by able seamen and may include service on fishing, fish processing, fish tender vessels and on public vessels of the United States; (2) 360 days is equal to one year's service; and (3) a day is equal to 8 hours of labor or duty. (b) The Secretary may prescribe regulations to carry out this chapter. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 541; Pub. L. 98-364, title IV, Sec. 402(9)(B), July 17, 1984, 98 Stat. 448.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7301 46:672(c) ------------------------------- Section 7301 defines 'service on deck', 'one year's service' and 'day' with respect to the qualifying time for the issuance of various types of endorsements as able seamen. This section also provides the Secretary with the authority to prescribe regulations to carry out this chapter. AMENDMENTS 1984 - Subsec. (a)(1). Pub. L. 98-364 substituted 'fishing, fish processing, fish tender vessels' for 'decked fishing vessels'. ------DocID 53292 Document 193 of 963------ -CITE- 46 USC Sec. 7302 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7302. Issuing merchant mariners' documents and continuous discharge books -STATUTE- (a) The Secretary shall issue a merchant mariner's document to an individual required to have that document under part F of this subtitle if the individual satisfies the requirements of this part. The document serves as a certificate of identification and as a certificate of service, specifying each rating in which the holder is qualified to serve on board vessels on which that document is required under part F. (b) The Secretary also may issue a continuous discharge book to an individual issued a merchant mariner's document if the individual requests. (c) The Secretary may not issue a merchant mariner's document under this chapter unless the individual applying for the document makes available to the Secretary, under section 206(b)(7) of the National Driver Register Act of 1982 (23 U.S.C. 401 note), any information contained in the National Driver Register related to an offense described in section 205(a)(3)(A) or (B) of that Act committed by the individual. (d) The Secretary may review the criminal record of an individual who applies for a merchant mariner's document under this section. (e) The Secretary shall require the testing of an individual applying for issuance or renewal of a merchant mariner's document under this chapter for the use of a dangerous drug in violation of law or Federal regulation. (f) A merchant mariner's document issued under this chapter is valid for 5 years and may be renewed for additional 5-year periods. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 542; Pub. L. 101-380, title IV, Sec. 4101(b), 4102(c), Aug. 18, 1990, 104 Stat. 509.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7302 46:239a(c) 46:643(a) 46:643(c) 46:672(i) ------------------------------- Section 7302(a) requires the Secretary to issue a merchant mariner's document to qualified individuals required to have that document as a prerequisite to employment on certain vessels of the United States. The purpose of the document is to serve as positive identification and to specify each rating in which the individual is qualified to serve on vessels. Subsection (b) allows the Secretary to issue a continuous discharge book to an individual who requests a book. -REFTEXT- REFERENCES IN TEXT Sections 205(a)(3)(A) or (B) and 206(b)(7) of the National Driver Register Act of 1982, referred to in subsec. (c), are sections 205(a)(3)(A), (B) and 206(b)(7) of Pub. L. 97-364, which are set out as a note under section 401 of Title 23, Highways. -MISC2- AMENDMENTS 1990 - Subsecs. (c) to (e). Pub. L. 101-380, Sec. 4101(b), added subsecs. (c) to (e). Subsec. (f). Pub. L. 101-380, Sec. 4102(c), added subsec. (f). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. TERMINATION OF EXISTING LICENSES, CERTIFICATES, AND DOCUMENTS; APPLICABILITY OF 1990 AMENDMENT For provisions that a merchant mariner's document issued before Aug. 18, 1990, terminates on the day it would have expired if the amendment to this section by section 4102(c) of Pub. L. 101-380 were in effect on date it was issued and was renewed at the end of each 5-year period under this section, see section 4102(d) of Pub. L. 101-380, set out as a note under section 7106 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 8701 of this title. ------DocID 53293 Document 194 of 963------ -CITE- 46 USC Sec. 7303 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7303. Possession and description of merchant mariners' documents -STATUTE- A merchant mariner's document shall be retained by the seaman to whom issued. The document shall contain the signature, notations of nationality, age, and physical description, the photograph, the thumbprint, and the home address of the seaman. In addition, the document shall specify the rate or ratings in which the seaman is qualified to serve. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 542.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7303 46:643(a) ------------------------------- Section 7303 requires seamen to retain their merchant mariner's documents. It also specifies the information that is to be contained in the document. ------DocID 53294 Document 195 of 963------ -CITE- 46 USC Sec. 7304 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7304. Citizenship notation on merchant mariners' documents -STATUTE- An individual applying for a merchant mariner's document shall provide satisfactory proof that the individual is a citizen of the United States before that notation is made on the document. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 542.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7304 46:643(b) ------------------------------- Section 7304 specifies, that before a merchant mariner's document is noted to specify that the individual is a U.S. citizen, the individual must provide satisfactory proof that he is a citizen. This does not impose a requirement of United States citizenship as a condition for issuance of a document. ------DocID 53295 Document 196 of 963------ -CITE- 46 USC Sec. 7305 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7305. Oaths for holders of merchant mariners' documents -STATUTE- An applicant for a merchant mariner's document shall take, before issuance of the document, an oath that the applicant will perform faithfully and honestly all the duties required by law, and will carry out the lawful orders of superior officers. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 542.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- ------------------------------- The requirement for an oath, drawn from a clause which had appeared in 46 U.S.C. 672(g), and administered by the Coast Guard to all applicants, was repealed in a 1980 amendment by section 4 of Public Law 96-378 (94 Stat. 1516). Since no specific comment was made regarding the elimination in 1980 and the agency has continued to administer an oath to all applicants, this provision is being reinstated. The Committee believes the oath will contribute to the discipline and order necessary in the merchant marine. ------DocID 53296 Document 197 of 963------ -CITE- 46 USC Sec. 7306 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7306. General requirements and classifications for able seamen -STATUTE- (a) To qualify for an endorsement as able seaman authorized by this section, an applicant must provide satisfactory proof that the applicant - (1) is at least 18 years of age; (2) has the service required by the applicable section of this part; (3) is qualified professionally as demonstrated by an applicable examination or educational requirements; and (4) is qualified as to sight, hearing, and physical condition to perform the seaman's duties. (b) The classifications authorized for endorsement as able seaman are the following: (1) able seaman - unlimited. (2) able seaman - limited. (3) able seaman - special. (4) able seaman - offshore supply vessels. (5) able seaman - sail. (6) able seaman - fishing industry. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 542; Pub. L. 98-364, title IV, Sec. 402(9)(C), July 17, 1984, 98 Stat. 448.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7306 46:672(b) ------------------------------- Section 7306(a) establishes the minimum requirements an individual must meet before being issued a merchant mariner's document endorsed for able seamen. Subsection (b) establishes the classifications of able seamen - unlimited, able seamen - limited, able seamen - special, able seamen - offshore supply vessels, and able seamen - sail. AMENDMENTS 1984 - Subsec. (b)(6). Pub. L. 98-364 added par. (6). EFFECTIVE DATE Provisions of this section (related to able seaman - sail) effective Apr. 15, 1984, see section 2(g)(1) of Pub. L. 98-89, set out as a note under section 3101 of this title. ACCEPTANCE OF CERTAIN SERVICES TOWARD ENDORSEMENT AS ABLE SEAMAN Pub. L. 101-595, title VI, Sec. 602(e)(3), Nov. 16, 1990, 104 Stat. 2992, provided that: 'For the purposes of chapter 73 of title 46, United States Code, the Secretary of Transportation shall accept the service used by an individual to qualify for an endorsement as able seaman - fishing industry as qualifying service toward an endorsement as an able seaman - '(A) under sections 7307 and 7309 of that title; or '(B) if the service is on board a vessel of at least 100 gross tons, under section 7308 of that title.' ------DocID 53297 Document 198 of 963------ -CITE- 46 USC Sec. 7307 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7307. Able seamen - unlimited -STATUTE- The required service for the endorsement of able seaman - unlimited, qualified for unlimited service on a vessel on any waters, is at least 3 years' service on deck on board vessels operating at sea or on the Great Lakes. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 543.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7307 46:672(b)(1) ------------------------------- Section 7307 requires individuals to have at least 3 years service on deck on vessels operating at sea or on the Great Lakes before their merchant mariner's documents can be endorsed as able seamen - unlimited. ACCEPTANCE OF CERTAIN SERVICES TOWARD ENDORSEMENT AS ABLE SEAMAN Service used to qualify for endorsement as able seaman - fishing industry to be accepted as qualifying service toward an endorsement under this section, see section 602(e)(3) of Pub. L. 101-595, set out as a note under section 7306 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 7312, 7315 of this title. ------DocID 53298 Document 199 of 963------ -CITE- 46 USC Sec. 7308 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7308. Able seamen - limited -STATUTE- The required service for the endorsement of able seaman - limited, qualified for limited service on a vessel on any waters, is at least 18 months' service on deck on board vessels of at least 100 gross tons operating on the oceans or navigable waters of the United States (including the Great Lakes). -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 543.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7308 46:672(b)(2) ------------------------------- Section 7308 establishes the minimum service requirements for an individual to qualify for an endorsement as able seamen - limited. ACCEPTANCE OF CERTAIN SERVICES TOWARD ENDORSEMENT AS ABLE SEAMAN Service used to qualify for endorsement as able seaman - fishing industry to be accepted as qualifying service toward an endorsement under this section, see section 602(e)(3) of Pub. L. 101-595, set out as a note under section 7306 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 7312, 7315 of this title. ------DocID 53299 Document 200 of 963------ -CITE- 46 USC Sec. 7309 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7309. Able seamen - special -STATUTE- The required service for the endorsement of able seaman - special, qualified for special service on a vessel on any waters, is at least 12 months' service on deck on board vessels operating on the oceans or the navigable waters of the United States (including the Great Lakes). -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 543.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7309 46:672(b)(3) ------------------------------- Section 7309 establishes the minimum service requirements for an individual to qualify as able seamen - special. ACCEPTANCE OF CERTAIN SERVICES TOWARD ENDORSEMENT AS ABLE SEAMAN Service used to qualify for endorsement as able seaman - fishing industry to be accepted as qualifying service toward an endorsement under this section, see section 602(e)(3) of Pub. L. 101-595, set out as a note under section 7306 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 7312, 7315 of this title. ------DocID 53300 Document 201 of 963------ -CITE- 46 USC Sec. 7310 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7310. Able seamen - offshore supply vessels -STATUTE- For service on a vessel of less than 500 gross tons engaged in support of exploration, exploitation, or production of offshore mineral or energy resources, an individual may be rated as able seaman - offshore supply vessels if the individual has at least 6 months' service on deck on board vessels operating on the oceans or the navigable waters of the United States (including the Great Lakes). -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 543.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7310 46:672(b)(3) ------------------------------- Section 7310 establishes the minimum service requirements for an individual to serve as able seamen - offshore supply vessels on vessels of less than 500 gross tons engaged in the exploration, exploitation, or production of offshore mineral or energy resources. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 7312, 7315 of this title. ------DocID 53301 Document 202 of 963------ -CITE- 46 USC Sec. 7311 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7311. Able seamen - sail -STATUTE- For service on a sailing school vessel on any waters, an individual may be rated as able seaman - sail if the individual has at least 6 months' service on deck on sailing school vessels, oceanographic research vessels powered primarily by sail, or equivalent sailing vessels operating on the oceans or navigable waters of the United States (including the Great Lakes). -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 543.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7311 46:672(b)(4) ------------------------------- Section 7311 establishes the minimum service requirements for an individual to qualify as able seamen - sail on board sailing vessels. EFFECTIVE DATE Section effective Apr. 15, 1984, see section 2(g)(1) of Pub. L. 98-89, set out as a note under section 3101 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 7315 of this title. ------DocID 53302 Document 203 of 963------ -CITE- 46 USC Sec. 7311a -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7311a. Able seamen - fishing industry -STATUTE- For service on a fish processing vessel, an individual may be rated as able seaman - fishing industry if the individual has at least 6 months' service on deck on board vessels operating on the oceans or the navigable waters of the United States (including the Great Lakes). -SOURCE- (Added Pub. L. 98-364, title IV, Sec. 402(9)(D), July 17, 1984, 98 Stat. 448.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 7312 of this title. ------DocID 53303 Document 204 of 963------ -CITE- 46 USC Sec. 7312 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7312. Scale of employment -STATUTE- (a) Individuals qualified as able seamen - unlimited under section 7307 of this title may constitute all of the able seamen required on a vessel. (b) Individuals qualified as able seamen - limited under section 7308 of this title may constitute all of the able seamen required on a vessel of less than 1,600 gross tons or on a vessel operating on the Great Lakes and the Saint Lawrence River as far east as Sept Iles. Individuals qualified as able seamen - limited may constitute not more than 50 percent of the number of able seamen required on board other vessels. (c) Individuals qualified as able seamen - special under section 7309 of this title may constitute - (1) all of the able seamen required on a vessel of not more than 500 gross tons or on a seagoing barge or towing vessel; and (2) not more than 50 percent of the number of able seamen required on board other vessels. (d) Individuals qualified as able seamen - offshore supply vessels under section 7310 of this title may constitute all of the able seamen required on board a vessel of less than 500 gross tons engaged in support of exploration, exploitation, or production of offshore mineral or energy resources. (e) When the service of able seamen - limited or able seamen - special is authorized for only a part of the required number of able seamen on board a vessel, the combined percentage of those individuals so qualified may not be greater than 50 percent of the required number. (f) Individuals qualified as able seamen - fishing industry under section 7311a of this title may constitute - (1) all of the able seamen required on a fish processing vessel entered into service before January 1, 1988, and of more than 1,600 gross tons but not more than 5,000 gross tons; and (2) all of the able seamen required on a fish processing vessel entered into service after December 31, 1987, and having more than 16 individuals on board primarily employed in the preparation of fish or fish products but of not more than 5,000 gross tons. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 543; Pub. L. 98-364, title IV, Sec. 402(9)(E), July 17, 1984, 98 Stat. 448; Pub. L. 99-307, Sec. 1(11), May 19, 1986, 100 Stat. 445.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7312 46:672(f) ------------------------------- Section 7312(a) provides that able seamen - unlimited may constitute all of the able seamen required on a vessel. Subsection (b) provides that able seamen - limited may constitute 100 percent of the able seamen required on board vessels of less than 600 gross tons operating on the Great Lakes and 50 percent of the number of able seamen required on the larger vessels. Subsection (c) provides that able seamen - special may constitute 100 percent of the able seamen required on vessels not more than 500 gross tons, or a seagoing barge or towing vessel. Able seamen - special may only constitute up to 50 percent of the number of able seamen required on other vessels. Subsection (d) provides that able seamen - offshore supply vessels may constitute 100 percent of the number of able seamen required on vessels of less than 500 gross tons engaged in support of exploration, exploitation, or production of offshore mineral or energy facilities. They may not serve on board other vessels as an able seaman until they have the appropriate required document. Subsection (e) provides that the total number of able seamen - limited or able seamen - special may not be greater than 50 percent of the required number of able seamen on a vessel. AMENDMENTS 1986 - Subsec. (e). Pub. L. 99-307 substituted 'able seamen - limited' for 'able seaman - limited'. 1984 - Subsec. (f). Pub. L. 98-364 added subsec. (f). ------DocID 53304 Document 205 of 963------ -CITE- 46 USC Sec. 7313 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7313. General requirements for members of engine departments -STATUTE- (a) Classes of endorsement as qualified members of the engine department on vessels of at least 100 gross tons (except vessels operating on rivers or lakes (except the Great Lakes)) may be prescribed by regulation. (b) The ratings of wiper and coal passer are entry ratings and are not ratings as qualified members of the engine department. (c) An applicant for an endorsement as qualified member of the engine department must provide satisfactory proof that the applicant - (1) has the service required by section 7314 of this title; (2) is qualified professionally as demonstrated by an applicable examination; and (3) is qualified as to sight, hearing, and physical condition to perform the member's duties. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 544.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7313 46:672(g) ------------------------------- Section 7313(a) authorizes the Secretary to establish classes of endorsement for qualified members of the engine department on vessels of 100 gross tons or more (except on vessels operating on rivers and lakes (except the Great Lakes)). Subsection (b) establishes the entry ratings of wiper and coal passer, but specifically excludes them as qualified members of the engine department. Subsection (c) establishes the minimum qualifications individuals must meet in order to have their documents endorsed as a qualified member of engine department. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 7314 of this title. ------DocID 53305 Document 206 of 963------ -CITE- 46 USC Sec. 7314 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7314. Service requirements for qualified members of engine departments -STATUTE- To qualify for an endorsement as qualified member of the engine department, an applicant must provide proof that the applicant has 6 months' service in the related entry rating as described in section 7313(b) of this title. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 544.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7314 46:672(g) ------------------------------- Section 7314 requires individuals who wish to have their documents endorsed as a qualified member of the engine department must have at least 6 months service as a wiper or coal passer. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 7313, 7315 of this title. ------DocID 53306 Document 207 of 963------ -CITE- 46 USC Sec. 7315 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7315. Training -STATUTE- (a) Graduation from a nautical school vessel approved under law and regulation may be substituted for the service requirements under section 7307 or 7314 of this title. (b) The satisfactory completion of other courses of instruction approved by the Secretary may be substituted for not more than one-third of the required service on deck at sea under sections 7307-7311 of this title. (c) The satisfactory completion of other courses of instruction approved by the Secretary may be substituted for not more than one-half of the required service at sea under section 7314 of this title. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 544.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7315 46:672(c) ------------------------------- Section 7315 specifies the training or course work that may be substituted for service requirements for an endorsement as an able seaman or a qualified member of the engine department. ------DocID 53307 Document 208 of 963------ -CITE- 46 USC Sec. 7316 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7316. Lifeboatmen -STATUTE- To qualify for an endorsement as lifeboatman, an applicant must provide satisfactory proof that the applicant - (1) has the service or training required by regulation; (2) is qualified professionally as demonstrated by examination; and (3) is qualified professionally by actual demonstration. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 544.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7316 46:643(l) ------------------------------- Section 7316 establishes the minimum standards an individual must meet in order to qualify for an endorsement as lifeboatman. ------DocID 53308 Document 209 of 963------ -CITE- 46 USC Sec. 7317 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7317. Tankermen -STATUTE- (a) The Secretary shall prescribe procedures, standards, and qualifications for the issuance of certificates or endorsements as tankerman, stating the types of oil or hazardous material that can be handled with safety to the vessel and the marine environment. (b) An endorsement as tankerman shall indicate the grades or types of cargo the holder is qualified and authorized to handle with safety on board vessels. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 545.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7317(a) 46:391a(10)(C) ------------------------------- Section 7317(a) establishes the minimum standards an individual must meet in order to qualify for an endorsement as tankerman for various types of oil or hazardous substances. Subsection (b) specifies that the tankerman's endorsement must specify the grades or types of cargo the holder is qualified and allowed to handle. ------DocID 53309 Document 210 of 963------ -CITE- 46 USC Sec. 7318 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7318. Radiotelegraph operators on Great Lakes -STATUTE- (a) A radiotelegraph operator on the Great Lakes only shall have a first-class or second-class radiotelegraph operator's license issued by the Federal Communications Commission. (b) An endorsement as radiotelegraph operator on the Great Lakes only ends if the holder ceases to hold the license issued by the Commission. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 545.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7318 46:229c 46:229g 46:643(a) ------------------------------- Section 7318 specifies that radiotelegraph operators on the Great Lakes shall have a first-class or second-class radiotelegraph operator's license issued by the FCC and need not be licensed as a radio operator by the Coast Guard. However, an endorsement as radio telegraph operator has to be noted on his merchant mariners' document. If the holder ceases to have a valid FCC license, then the endorsement is terminated automatically without recourse to suspension and revocation proceedings. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 7103 of this title. ------DocID 53310 Document 211 of 963------ -CITE- 46 USC Sec. 7319 -EXPCITE- TITLE 46 Part E CHAPTER 73 -HEAD- Sec. 7319. Records of merchant mariners' documents -STATUTE- The Secretary shall maintain records on each merchant mariner's document issued, including the name and address of the seaman to whom issued and the next of kin of the seaman. The records are not open to general or public inspection. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 545.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7319 46:643(f) ------------------------------- Section 7319 requires the Secretary to maintain records on each merchant mariner's document issued and the seaman's next of kin. However, these records are not open for general or public inspection. ------DocID 53311 Document 212 of 963------ -CITE- 46 USC CHAPTER 75 -EXPCITE- TITLE 46 Part E CHAPTER 75 -HEAD- CHAPTER 75 - GENERAL PROCEDURES FOR LICENSING, CERTIFICATION, AND DOCUMENTATION -MISC1- Sec. 7501. Duplicates. 7502. Records. 7503. Dangerous drugs as grounds for denial. 7504. Travel and expense reimbursement. 7505. Review of information in National Driver Register. AMENDMENTS 1990 - Pub. L. 101-380, title IV, Sec. 4105(c), Aug. 18, 1990, 104 Stat. 513, added item 7505. 1986 - Pub. L. 99-640, Sec. 10(b)(2)(B), Nov. 10, 1986, 100 Stat. 3550, added item 7504. ------DocID 53312 Document 213 of 963------ -CITE- 46 USC Sec. 7501 -EXPCITE- TITLE 46 Part E CHAPTER 75 -HEAD- Sec. 7501. Duplicates -STATUTE- (a) If a license, certificate of registry, or merchant mariner's document issued under this part is lost as a result of a marine casualty, the holder shall be supplied with a duplicate without cost. (b) For any other loss, the seaman may obtain a duplicate on payment of reasonable costs prescribed by regulation by the Secretary. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 545; Pub. L. 99-36, Sec. 1(a)(9)(C), May 15, 1985, 99 Stat. 68.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7501 46:643(h) ------------------------------- Section 7501(a) provides that if a license, certificate or document issued to an individual is lost due to a marine casualty, the individual will be supplied with a duplicate without cost. Subsection (b) provides that if a license, certificate or document is lost for any reason other than a marine casualty, the seaman must pay a reasonable cost for the replacement. AMENDMENTS 1985 - Subsec. (a). Pub. L. 99-36 substituted 'certificate of registry, or merchant mariner's document' for 'certificate, or document'. ------DocID 53313 Document 214 of 963------ -CITE- 46 USC Sec. 7502 -EXPCITE- TITLE 46 Part E CHAPTER 75 -HEAD- Sec. 7502. Records -STATUTE- The Secretary shall maintain computerized records on the issuances, denials, suspensions, and revocations of licenses, certificates of registry, merchant mariners' documents, and endorsements on those licenses, certificates, and documents. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 545; Pub. L. 101-380, title IV, Sec. 4114(e), Aug. 18, 1990, 104 Stat. 517.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7502 46:414 46:643(f) ------------------------------- Section 7502 requires the Secretary to maintain records on the issuances, denials, suspensions, and revocations of licenses, certificates of registry, merchant mariner's documents, and endorsements. AMENDMENTS 1990 - Pub. L. 101-380 substituted 'maintain computerized records' for 'maintain records'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53314 Document 215 of 963------ -CITE- 46 USC Sec. 7503 -EXPCITE- TITLE 46 Part E CHAPTER 75 -HEAD- Sec. 7503. Dangerous drugs as grounds for denial -STATUTE- ((a) Repealed. Pub. L. 101-380, title IV, Sec. 4103(a)(2)(B), Aug. 18, 1990, 104 Stat. 511.) (b) A license, certificate of registry, or merchant mariner's document authorized to be issued under this part may be denied to an individual who - (1) within 10 years before applying for the license, certificate, or document, has been convicted of violating a dangerous drug law of the United States or of a State; or (2) when applying, has ever been a user of, or addicted to, a dangerous drug unless the individual provides satisfactory proof that the individual is cured. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 545; Pub. L. 99-36, Sec. 1(a)(9)(D), May 15, 1985, 99 Stat. 68; Pub. L. 101-380, title IV, Sec. 4103(a)(2)(B), Aug. 18, 1990, 104 Stat. 511.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7503(a) 46:239a(a) 46:239b(a) ------------------------------- Section 7503 provides that the issuance of a license, certificate, or document may be denied by the Secretary to any individual who has been convicted, within 10 years, of violating a dangerous drug law of the United States or to any individual who has been a user of a dangerous drug, unless the individual provides satisfactory proof of being cured. This includes PCP and LSD. See also the note to section 7704. However, the Secretary may deny issuing a license, certificate or document to the individual who has used or been convicted of a 'controlled substance' such as LSD if that use or conviction occurred before the date of enactment of this Act. AMENDMENTS 1990 - Subsec. (a). Pub. L. 101-380 repealed subsec. (a) which defined 'dangerous drug' for purpose of this section as narcotic drug, controlled substance, and marihuana. 1985 - Subsec. (b). Pub. L. 99-36 substituted 'certificate of registry, or merchant mariner's document' for first reference to 'certificate, or document'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 49 App. section 1903. ------DocID 53315 Document 216 of 963------ -CITE- 46 USC Sec. 7504 -EXPCITE- TITLE 46 Part E CHAPTER 75 -HEAD- Sec. 7504. Travel and expense reimbursement -STATUTE- When a requirement to qualify for the issuance of, or endorsement on, a certificate, license, or document under this part is administered at a place at the request of an applicant or an applicant's representative, the applicant or representative may reimburse the Secretary for the travel and subsistence expenses incurred by the personnel assigned to perform the administration of the requirement. Amounts received as reimbursement under this section shall be credited to the appropriation for operating expenses of the Coast Guard. -SOURCE- (Added Pub. L. 99-640, Sec. 10(b)(2)(A), Nov. 10, 1986, 100 Stat. 3549.) ------DocID 53316 Document 217 of 963------ -CITE- 46 USC Sec. 7505 -EXPCITE- TITLE 46 Part E CHAPTER 75 -HEAD- Sec. 7505. Review of information in National Driver Register -STATUTE- The Secretary shall make information received from the National Driver Register under section 206(b)(7) of the National Driver Register Act of 1982 (23 U.S.C. 401 note) available to an individual for review and written comment before denying, suspending, revoking, or taking any other action relating to a license, certificate of registry, or merchant mariner's document authorized to be issued for that individual under this part, based on that information. -SOURCE- (Added Pub. L. 101-380, title IV, Sec. 4105(b)(1), Aug. 18, 1990, 104 Stat. 512.) -MISC1- EFFECTIVE DATE Section applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as a note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53317 Document 218 of 963------ -CITE- 46 USC CHAPTER 77 -EXPCITE- TITLE 46 Part E CHAPTER 77 -HEAD- CHAPTER 77 - SUSPENSION AND REVOCATION -MISC1- Sec. 7701. General. 7702. Administrative procedure. 7703. Bases for suspension or revocation. 7704. Dangerous drugs as grounds for revocation. 7705. Subpenas and oaths. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 6301, 9303 of this title; title 49 App. section 1903. ------DocID 53318 Document 219 of 963------ -CITE- 46 USC Sec. 7701 -EXPCITE- TITLE 46 Part E CHAPTER 77 -HEAD- Sec. 7701. General -STATUTE- (a) The purpose of suspension and revocation proceedings is to promote safety at sea. (b) Licenses, certificates of registry, and merchant mariners' documents may be suspended or revoked for acts described in section 7703 of this title. (c) When a license, certificate of registry, or merchant mariner's document has been revoked under this chapter, the former holder may be issued a new license, certificate of registry, or merchant mariner's document only after - (1) the Secretary decides, under regulations prescribed by the Secretary, that thd issuance is compatible with the requirement of good discipline and safety at sea; and (2) the former holder provides satisfactory proof that the bases for revocation are no longer valid. (d) The Secretary may prescribe regulations to carry out this chapter. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 546; Pub. L. 101-380, title IV, Sec. 4103(c), Aug. 18, 1990, 104 Stat. 511.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7701 46:239(g) ------------------------------- Section 7701 establishes the general purpose of suspension and revocation proceedings, which is to promote safety at sea. This section also provides the Secretary with the authority to suspend or revoke licenses, certificates, and documents, as well as the authority to issue a new license, certificate or document to an individual when the issuance is compatible with the requirements of good discipline and safety at sea. It also provides for necessary regulatory authority to carry out its purposes. AMENDMENTS 1990 - Subsec. (c). Pub. L. 101-380 amended subsec. (c) generally. Prior to amendment, subsec. (c) read as follows: 'When a license, certificate of registry, or merchant mariner's document has been revoked under this chapter, the former holder may be issued a new license, certificate, or document only after it has been decided, under regulations prescribed by the Secretary, that the issuance is compatible with the requirements of good discipline and safety at sea.' EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53319 Document 220 of 963------ -CITE- 46 USC Sec. 7702 -EXPCITE- TITLE 46 Part E CHAPTER 77 -HEAD- Sec. 7702. Administrative procedure -STATUTE- (a) Sections 551-559 of title 5 apply to each hearing under this chapter about suspending or revoking a license, certificate of registry, or merchant mariner's document. (b) The individual whose license, certificate of registry, or merchant mariner's document has been suspended or revoked under this chapter may appeal, within 30 days, the suspension or revocation to the Secretary. (c)(1) The Secretary shall request a holder of a license, certificate of registry, or merchant mariner's document to make available to the Secretary, under section 206(b)(4) of the National Driver Register Act of 1982 (23 U.S.C. 401 note), all information contained in the National Driver Register related to an offense described in section 205(a)(3)(A) or (B) of that Act committed by the individual. (2) The Secretary shall require the testing of the holder of a license, certificate of registry, or merchant mariner's document for use of alcohol and dangerous drugs in violation of law or Federal regulation. The testing may include preemployment (with respect to dangerous drugs only), periodic, random, reasonable cause, and post accident testing. (d)(1) The Secretary may temporarily, for not more than 45 days, suspend and take possession of the license, certificate of registry, or merchant mariner's document held by an individual if, when acting under the authority of that license, certificate, or document - (A) that individual performs a safety sensitive function on a vessel, as determined by the Secretary; and (B) there is probable cause to believe that the individual - (i) has performed the safety sensitive function in violation of law or Federal regulation regarding use of alcohol or a dangerous drug; (ii) has been convicted of an offense that would prevent the issuance or renewal of the license, certificate, or document; or (iii) within the 3-year period preceding the initiation of a suspension proceeding, has been convicted of an offense described in section 205(a)(3)(A) or (B) of the National Driver Register Act of 1982. (2) If a license, certificate, or document is temporarily suspended under this section, an expedited hearing under subsection (a) of this section shall be held within 30 days after the temporary suspension. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 546; Pub. L. 99-36, Sec. 1(a)(3), May 15, 1985, 99 Stat. 67; Pub. L. 101-380, title IV, Sec. 4103(a)(1), Aug. 18, 1990, 104 Stat. 510.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- ------------------------------- Section 7702(a) provides that Sections 551-559 of title 5 of the United States Code shall apply to each involving the suspension or revocation of a license, certificate, or document. Subsection (b) allows an individual whose license, certificate, or document has been suspended or revoked to appeal it to the Secretary within 30 days. -REFTEXT- REFERENCES IN TEXT Sections 205(a)(3)(A) or (B) and 206(b)(4) of the National Driver Register Act of 1982, referred to in subsecs. (c)(1) and (d)(1)(B)(iii), are sections 205(a)(3)(A), (B) and 206(b)(4) of Pub. L. 97-364, which are set out as a note under section 401 of Title 23, Highways. -MISC2- AMENDMENTS 1990 - Subsecs. (c), (d). Pub. L. 101-380 added subsecs. (c) and (d). 1985 - Subsec. (a). Pub. L. 99-36 substituted 'mariner's' for 'mariners' '. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53320 Document 221 of 963------ -CITE- 46 USC Sec. 7703 -EXPCITE- TITLE 46 Part E CHAPTER 77 -HEAD- Sec. 7703. Bases for suspension or revocation -STATUTE- A license, certificate of registry, or merchant mariner's document issued by the Secretary may be suspended or revoked if the holder - (1) when acting under the authority of that license, certificate, or document - (A) has violated or fails to comply with this subtitle, a regulation prescribed under this subtitle, or any other law or regulation intended to promote marine safety or to protect navigable waters; or (B) has committed an act of incompetence, misconduct, or negligence; (2) is convicted of an offense that would prevent the issuance or renewal of a license, certificate of registry, or merchant mariner's document; or (3) within the 3-year period preceding the initiation of the suspension or revocation proceeding is convicted of an offense described in section 205(a)(3)(A) or (B) of the National Driver Register Act of 1982 (23 U.S.C. 401 note). -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 546; Pub. L. 99-36, Sec. 1(a)(9)(E), May 15, 1985, 99 Stat. 68; Pub. L. 101-380, title IV, Sec. 4103(b), Aug. 18, 1990, 104 Stat. 511.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7703 46:226 46:239 46:240 46:246(c) ------------------------------- This section provides the bases for suspension and revocation of a license, certificate or document. The individual must have been operating under the authority of the required license, certificate, or document and has violated a law or regulation intended to promote marine safety or to protect the navigable waters or has committed an act of incompetence, misconduct, or negligence. AMENDMENTS 1990 - Pub. L. 101-380 amended section generally. Prior to amendment, section read as follows: 'A license, certificate of registry, or merchant mariner's document issued by the Secretary may be suspended or revoked if, when acting under the authority of that license, certificate, or document, the holder - '(1) has violated or failed to comply with this subtitle, a regulation prescribed under this subtitle, or any other law or regulation intended to promote marine safety or to protect navigable waters. '(2) has committed an act of incompetence, misconduct, or negligence.' 1985 - Pub. L. 99-36 substituted 'certificate of registry,' for first reference to 'certificate,'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 7701 of this title. ------DocID 53321 Document 222 of 963------ -CITE- 46 USC Sec. 7704 -EXPCITE- TITLE 46 Part E CHAPTER 77 -HEAD- Sec. 7704. Dangerous drugs as grounds for revocation -STATUTE- ((a) Repealed. Pub. L. 101-380, title IV, Sec. 4103(a)(2)(B), Aug. 18, 1990, 104 Stat. 511.) (b) If it is shown at a hearing under this chapter that a holder of a license, certificate of registry, or merchant mariner's document issued under this part, within 10 years before the beginning of the proceedings, has been convicted of violating a dangerous drug law of the United States or of a State, the license, certificate, or document shall be revoked. (c) If it is shown that a holder has been a user of, or addicted to, a dangerous drug, the license, certificate of registry, or merchant mariner's document shall be revoked unless the holder provides satisfactory proof that the holder is cured. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 546; Pub. L. 99-36, Sec. 1(a)(9)(F), (G), May 15, 1985, 99 Stat. 68; Pub. L. 101-380, title IV, Sec. 4103(a)(2)(B), Aug. 18, 1990, 104 Stat. 511.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7704(a) 46:239a(a) 7704(b) 46:239b(b)(1) 7704(c) 46:239b(b)(2) ------------------------------- Section 7704 requires the Secretary to revoke the license, certificate, or document of any individual who has been convicted of a dangerous drug law within 10 years before the beginning of the suspension or revocation procedures. This section has expanded current law to incorporate violations involving 'controlled substances' which are not narcotic. This includes PCP and LSD. Unless it can be done under existing law, the suspension or revocation of an individual's license based on the use of a 'controlled substance' only applies to the use or conviction after the date of enactment of this Act. This section also provides that anyone who has been a user of or addicted to a dangerous drug since July 14, 1954, may be subjected to revocation procedures unless the individual provides satisfactory proof of being cured. In sections 7503(b)(2) and 7704(c), the term 'use', when applying to 'narcotic drugs' or 'controlled substances', is not intended to include the use of 'off the shelf' drugs or drugs acquired with a prescription lawfully issued by a medical doctor, as long as the drugs are used by the individual in the recommended amounts and the drugs will not impair the individual's ability to perform duties. AMENDMENTS 1990 - Subsec. (a). Pub. L. 101-380 struck out subsec. (a) which defined 'dangerous drug' for purpose of this section as narcotic drug, controlled substance, and marihuana. 1985 - Subsec. (b). Pub. L. 99-36, Sec. 1(a)(9)(F), substituted 'merchant mariner's document' for first reference to 'document'. Subsec. (c). Pub. L. 99-36, Sec. 1(a)(9)(G), substituted 'certificate of registry, or merchant mariner's document' for 'certificate, or document'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53322 Document 223 of 963------ -CITE- 46 USC Sec. 7705 -EXPCITE- TITLE 46 Part E CHAPTER 77 -HEAD- Sec. 7705. Subpenas and oaths -STATUTE- (a) An official designated to investigate or preside at a hearing on matters that are grounds for suspension or revocation of licenses, certificates of registry, and merchant mariners' documents may administer oaths and issue subpenas to compel the attendance and testimony of witnesses and the production of records or other evidence during investigations and at hearings. (b) The jurisdictional limits of a subpena issued under this section are the same as, and are enforceable in the same manner as, subpenas issued under chapter 63 of this title. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 547; Pub. L. 99-36, Sec. 1(a)(9)(H), May 15, 1985, 99 Stat. 68.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 7705 46:239(e) ------------------------------- Section 7705 allows officials designated to investigate or preside at hearings on matters that are grounds for suspension and revocation proceedings to administer oaths and issue subpenas. AMENDMENTS 1985 - Subsec. (a). Pub. L. 99-36 substituted 'certificates of registry, and merchant mariners' documents' for 'certificates, and documents'. ------DocID 53323 Document 224 of 963------ -CITE- 46 USC Part F -EXPCITE- TITLE 46 Part F -HEAD- Part F - Manning of Vessels -MISC1- HISTORICAL AND REVISION NOTES Part F provides for the manning of vessels including requirements generally for the number of individuals required, qualifications and conditions of employment, and duties; for masters and other licenses and registered individuals; for pilots; for unlicensed personnel; for small vessels; for tank vessels; and for pilotage on the Great Lakes. The Committee intends that all manning provisions throughout this subtitle will be interpreted to be consistent with one another. -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in sections 2101, 2113, 7302, 12306, 14305 of this title. ------DocID 53324 Document 225 of 963------ -CITE- 46 USC CHAPTER 81 -EXPCITE- TITLE 46 Part F CHAPTER 81 -HEAD- CHAPTER 81 - GENERAL -MISC1- Sec. 8101. Complement of inspected vessels. 8102. Watchmen. 8103. Citizenship and Naval Reserve requirements. 8104. Watches. (8105. Repealed.) HISTORICAL AND REVISION NOTES Chapter 81 provides for the composition, citizenship, working hours, and other limitations affecting the complement of licensed individuals and crew on certain vessels, a safety watch onboard passenger vessels, membership in the Naval Reserve for certain deck and engineer officers, and penalties for violating, and regulatory authority for implementing its provisions. AMENDMENTS 1990 - Pub. L. 101-595, title VI, Sec. 603(7)(B), Nov. 16, 1990, 104 Stat. 2993, struck out item 8105 'Regulations'. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 2102 of this title. ------DocID 53325 Document 226 of 963------ -CITE- 46 USC Sec. 8101 -EXPCITE- TITLE 46 Part F CHAPTER 81 -HEAD- Sec. 8101. Complement of inspected vessels -STATUTE- (a) The certificate of inspection issued to a vessel under part B of this subtitle shall state the complement of licensed individuals and crew (including lifeboatmen) considered by the Secretary to be necessary for safe operation. A manning requirement imposed on - (1) a sailing school vessel shall consider the participation of sailing school instructors and sailing school students in the operation of that vessel; (2) a mobile offshore drilling unit shall consider the specialized nature of the unit; and (3) a tank vessel shall consider the navigation, cargo handling, and maintenance functions of that vessel for protection of life, property, and the environment. (b) The Secretary may modify the complement, by endorsement on the certificate, for reasons of changed conditions or employment. (c) A requirement made under this section by an authorized official may be appealed to the Secretary under prescribed regulations. (d) A vessel to which this section applies may not be operated without having in its service the complement required in the certificate of inspection. (e) When a vessel is deprived of the service of a member of its complement without the consent, fault, or collusion of the owner, charterer, managing operator, agent, master, or individual in charge of the vessel, the master shall engage, if obtainable, a number of members equal to the number of those of whose services the master has been deprived. The replacements must be of the same or a higher grade or rating than those whose places they fill. If the master finds the vessel is sufficiently manned for the voyage, and replacements are not available to fill all the vacancies, the vessel may proceed on its voyage. Within 12 hours after the vessel arrives at its destination, the master shall report in writing to the Secretary the cause of each deficiency in the complement. A master failing to make the report is liable to the United States Government for a civil penalty of $1,000 for each deficiency. (f) The owner, charterer, or managing operator of a vessel not manned as required by this section is liable to the Government for a civil penalty of $10,000. (g) A person may not employ an individual as, and an individual may not serve as, a master, mate, engineer, radio officer, or pilot of a vessel to which this part applies or which is subject to inspection under chapter 33 of this title if the individual is not licensed by the Secretary. A person (including an individual) violating this subsection is liable to the Government for a civil penalty of not more than $10,000. Each day of a continuing violation is a separate offense. (h) The owner, charterer, or managing operator of a freight vessel of less than 100 gross tons, a small passenger vessel, or a sailing school vessel not manned as required by this section is liable to the Government for a civil penalty of $1,000. The vessel also is liable in rem for the penalty. (i) When the 2 next most senior licensed officers on a vessel reasonably believe that the master or individual in charge of the vessel is under the influence of alcohol or a dangerous drug and is incapable of commanding the vessel, the next most senior master, mate, or operator licensed under section 7101(c)(1) or (3) of this title shall - (1) temporarily relieve the master or individual in charge; (2) temporarily take command of the vessel; (3) in the case of a vessel required to have a log under chapter 113 of this title, immediately enter the details of the incident in the log; and (4) report those details to the Secretary - (A) by the most expeditious means available; and (B) in written form transmitted within 12 hours after the vessel arrives at its next port. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 547; Pub. L. 98-557, Sec. 29(b), Oct. 30, 1984, 98 Stat. 2873; Pub. L. 99-640, Sec. 11(b), Nov. 10, 1986, 100 Stat. 3550; Pub. L. 101-380, title IV, Sec. 4104, 4114(c), 4302(e), Aug. 18, 1990, 104 Stat. 511, 517, 538.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8101 46:222 46:224 46:446d ------------------------------- Section 8101 provides for the required composition of the complement of licensed individuals and crew of an inspected vessel when being operated. Subsection (a) requires that the certificate of inspection for a vessel state the manning necessary for safe navigation. Manning means the complement of licensed officers and crew (including lifeboatmen). Any manning requirements for sailing school vessels shall take into account the participation of sailing school instructors and sailing school students in the operation of those vessels. Subsection (b) permits the Secretary to modify the manning requirements for reasons of changed conditions or employment. Subsection (c) permits an appeal to the Secretary of any manning requirements made by an authorized official. Subsection (d) prohibits the operation of a vessel without the manning required in the vessel's certificate of inspection. When a vessel has a vacancy in the manning required by its certificate of inspection without the consent, fault, or collusion of anyone responsible for the management or operation of the vessel, subsection (e) requires that the master hire replacements, if possible, in the same or higher grade or rating. However, if the master finds the vessel sufficiently manned and replacements are not available, the vessel may proceed on its voyage. Within 12 hours of arrival at its destination, the master is required to file a written report with the Secretary stating the cause of each deficiency or be liable for a civil penalty. The report of deficiency should include both the reason for the vacancy in the first instance and the reason for the unavailability of a qualified replacement. Subsections (f), (g) and (h) prescribe civil penalties for noncompliance with manning requirements. Subsection (g) also prohibits the employment or service of an individual in a licensed capacity who is not licensed by the Secretary. AMENDMENTS 1990 - Subsec. (a)(3). Pub. L. 101-380, Sec. 4114(c), added par. (3). Subsec. (e). Pub. L. 101-380, Sec. 4302(e)(1), substituted '$1,000' for '$50'. Subsec. (f). Pub. L. 101-380, Sec. 4302(e)(2), substituted '$10,000' for '$100, or, for a deficiency of a licensed individual, a penalty of $500'. Subsec. (g). Pub. L. 101-380, Sec. 4302(e)(3), substituted '$10,000' for '$500'. Subsec. (i). Pub. L. 101-380, Sec. 4104, added subsec. (i). 1986 - Subsec. (a). Pub. L. 99-640 amended subsec. (a) generally, inserting cl. (1) designation before 'a sailing school' and adding cl. (2). 1984 - Subsec. (g). Pub. L. 98-557 substituted provisions relating to inspection under chapter 33 of this title, for provisions relating to applicability of part B of this subtitle. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 8301 of this title. ------DocID 53326 Document 227 of 963------ -CITE- 46 USC Sec. 8102 -EXPCITE- TITLE 46 Part F CHAPTER 81 -HEAD- Sec. 8102. Watchmen -STATUTE- (a) The owner, charterer, or managing operator of a vessel carrying passengers during the nighttime shall keep a suitable number of watchmen in the vicinity of the cabins or staterooms and on each deck to guard against and give alarm in case of a fire or other danger. An owner, charterer, or managing operator failing to provide watchmen required by this section is liable to the United States Government for a civil penalty of $1,000. (b) The owner, charterer, managing operator, agent, master, or individual in charge of a fish processing vessel of more than 100 gross tons shall keep a suitable number of watchmen trained in firefighting on board when hotwork is being done to guard against and give alarm in case of a fire. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 548; Pub. L. 98-364, title IV, Sec. 402(10), July 17, 1984, 98 Stat. 448.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8102 46:470 46:471 ------------------------------- Section 8102 requires the person responsible for the management of a vessel carrying passengers to have a suitable watch at night to guard against, and to sound an alarm in case of fire or other danger, or be liable for a civil penalty. AMENDMENTS 1984 - Pub. L. 98-364 designated existing provisions as subsec. (a) and added subsec. (b). ------DocID 53327 Document 228 of 963------ -CITE- 46 USC Sec. 8103 -EXPCITE- TITLE 46 Part F CHAPTER 81 -HEAD- Sec. 8103. Citizenship and Naval Reserve requirements -STATUTE- (a) Only a citizen of the United States may serve as master, chief engineer, radio officer, or officer in charge of a deck watch or engineering watch on a documented vessel. (b)(1) Except as otherwise provided in this section, on a documented vessel - (A) each unlicensed seaman must be a citizen of the United States or an alien lawfully admitted to the United States for permanent residence; and (B) not more than 25 percent of the total number of unlicensed seamen on the vessel may be aliens lawfully admitted to the United States for permanent residence. (2) Paragraph (1) of this subsection does not apply to - (A) a yacht; (B) a fishing vessel fishing exclusively for highly migratory species (as that term is defined in section 3 of the Magnuson Fishery Conservation and Management Act (16 U.S.C. 1802)); and (C) a fishing vessel fishing outside of the exclusive economic zone. (3) The Secretary may waive a citizenship requirement under this section, other than a requirement that applies to the master of a documented vessel, with respect to - (A) an offshore supply vessel or other similarly engaged vessel of less than 1,600 gross tons that operates from a foreign port; (B) a mobile offshore drilling unit or other vessel engaged in support of exploration, exploitation, or production of offshore mineral energy resources operating beyond the water above the outer Continental Shelf (as that term is defined in section 2(a) of the Outer Continental Shelf Lands Act (43 U.S.C. 1331(a)); and (C) any other vessel if the Secretary determines, after an investigation, that qualified seamen who are citizens of the United States are not available. (c) On each departure of a vessel (except a passenger vessel) for which a construction or operating differential subsidy has been granted, all of the seamen of the vessel must be citizens of the United States. (d)(1) On each departure of a passenger vessel for which a construction or operating differential subsidy has been granted, at least 90 percent of the entire complement (including licensed individuals) must be citizens of the United States. (2) An individual not required by this subsection to be a citizen of the United States may be engaged only if the individual has a declaration of intention to become a citizen of the United States or other evidence of admission to the United States for permanent residence. An alien may be employed only in the steward's department of the passenger vessel. (e) If a documented vessel is deprived for any reason of the services of an individual (except the master and the radio officer) when on a foreign voyage and a vacancy consequently occurs, until the vessel's return to a port at which in the most expeditious manner a replacement who is a citizen of the United States can be obtained, an individual not a citizen of the United States may serve in - (1) the vacancy; or (2) a vacancy resulting from the promotion of another individual to fill the original vacancy. (f) A person employing an individual in violation of this section or a regulation prescribed under this section is liable to the United States Government for a civil penalty of $500 for each individual so employed. (g) A deck or engineer officer employed on a vessel on which an operating differential subsidy is paid, or employed on a vessel (except a vessel of the Coast Guard or Saint Lawrence Seaway Development Corporation) owned or operated by the Department of Transportation or by a corporation organized or controlled by the Department, if eligible, shall be a member of the Naval Reserve. (h) The President may - (1) suspend any part of this section during a proclaimed national emergency; and (2) when the needs of commerce require, suspend as far and for a period the President considers desirable, subsection (a) of this section for crews of vessels of the United States documented for foreign trade. (i)(1) Except as provided in paragraph (3) of this subsection, each unlicensed seaman on a fishing, fish processing, or fish tender vessel that is engaged in the fisheries in the navigable waters of the United States or the exclusive economic zone must be - (A) a citizen of the United States; (B) an alien lawfully admitted to the United States for permanent residence; or (C) any other alien allowed to be employed under the Immigration and Nationality Act (8 U.S.C. 1101 et seq.). (2) Not more than 25 percent of the unlicensed seamen on a vessel subject to paragraph (1) of this subsection may be aliens referred to in clause (C) of that paragraph. (3) This subsection does not apply to a fishing vessel fishing exclusively for highly migratory species (as that term is defined in section 3 of the Magnuson Fishery Conservation and Management Act (16 U.S.C. 1802)). -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 548; Pub. L. 100-239, Sec. 5(a)(1), (2), (b)-(d)(1), Jan. 11, 1988, 101 Stat. 1780; Pub. L. 100-255, Mar. 4, 1988, 102 Stat. 23; Pub. L. 101-595, title VI, Sec. 603(6), title VII, Sec. 711, Nov. 16, 1990, 104 Stat. 2993, 2997.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8103 46:221 46:236 46:672(h) 46:672a 46:690 46:1132 ------------------------------- Section 8103 sets forth the requirements for citizenship and Naval Reserve membership for the complement on a vessel documented under the laws of the United States. Subsection (a) requires that the master, chief engineer, or officer in charge of a deck or engineering watch on a United States documented vessel be a United States citizen. Subsection (b) requires that 75 percent of the seamen, excluding licensed individuals, on a United States documented vessel be United States citizens, except for a fishing or whaling vessel or yacht. The Secretary may reduce the percentage if the Secretary decides on investigation that United States seamen are not available. This investigation and percentage reduction authority is the sole responsibility of the Secretary of Transportation and accordingly the Secretary is to make these decisions expeditiously, promptly, and independently so as not to be dependent on any other agency to make this reduction. The Committee believes the Secretary is capable of this decision and need not delay or fail to make the decision because some other agency does not have the information or would require an extended period to acquire that information. The phrase 'for any reason' is used merely to emphasize the complete discretion of the Secretary in making this decision. In addition, because this decision is based on an investigation, formal procedures of the Administrative Procedure Act do not apply. Subsections (c) and (d) provide that a vessel, except a passenger vessel, on departure from the United States that has been granted a construction or operating differential subsidy have a higher percentage citizenship requirement. Subsection (c) requires all of the crew and employees of a cargo vessel be United States citizens. Subsection (d) requires at least 90 percent of the entire complement of a passenger vessel be United States citizens. The phrase 'including all licensed individuals' emphasizes that all licensed individuals are required to be United States citizens as required by subsection (a) and that they compose part of the 90 percent requirement under this subsection. Further, under subsection (d), the balance of the complement must be individuals who have a declaration of intention to become a United States citizen or evidence of admission to the United States as a permanent resident and may only be employed in the steward's department of the passenger vessel. Except for the master, subsection (e) permits a non-United States citizen to fill a vacancy that occurs for any reason on a United States documented vessel during a foreign voyage until the vessel returns to a United States port where a United States citizen replacement can be obtained. The phrase 'for any reason' is used merely for emphasis. Subsection (f) provides for the penalty for violation of this section. Subsection (g) requires a deck or engineer officer on a vessel that has been granted an operating differential subsidy or is under the control by the Department of Transportation to be, if eligible, a member of the Naval Reserve. This section does not apply to a vessel of the Coast Guard or the Saint Lawrance Seaway Development Corporation. Subsection (h) permits the President to suspend the requirements of this section during a proclaimed national emergency or the requirement of subsection (a) for United States vessels documented for foreign trade when the needs of commerce require. -REFTEXT- REFERENCES IN TEXT The Immigration and Nationality Act, referred to in subsec. (i)(1)(C), is act June 27, 1952, ch. 477, 66 Stat. 163, as amended, and is classified principally to chapter 12 (Sec. 1101 et seq.) of Title 8, Aliens and Nationality. For complete classification of this Act to the Code, see Short Title note set out under section 1101 of Title 8 and Tables. -MISC2- AMENDMENTS 1990 - Subsec. (i)(3)(C). Pub. L. 101-595, Sec. 603(6) and 711, amended subpar. (C) identically, substituting 'Nationality' for 'Naturalization'. 1988 - Subsec. (a). Pub. L. 100-239, Sec. 5(a)(1), inserted 'radio officer,' after 'chief engineer,'. Subsec. (b). Pub. L. 100-255 substituted 'section,' for 'subsection,' in par. (3). Pub. L. 100-239, Sec. 5(a)(2), amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'On each departure of a documented vessel (except a fishing or whaling vessel or yacht) from a port of the United States, 75 percent of the seamen (excluding licensed individuals) must be citizens of the United States. If the Secretary decides, on investigation, that qualified citizen seamen are not available, the Secretary may reduce the percentage.' Subsecs. (c), (d)(1). Pub. L. 100-239, Sec. 5(b), struck out 'from the United States' after 'On each departure'. Subsec. (e). Pub. L. 100-239, Sec. 5(c), inserted 'and the radio officer' after 'the master' and substituted 'until the vessel's return to a port at which in the most expeditious manner' for 'until the vessel's first return to a United States port at which'. Subsec. (i). Pub. L. 100-239, Sec. 5(d)(1), added subsec. (i). EFFECTIVE DATE OF 1988 AMENDMENT Section 5(a)(3) of Pub. L. 100-239 provided that: 'Paragraph (2) of this subsection (amending this section) is effective 30 days after the date of enactment of this Act (Jan. 11, 1988).' Section 5(d)(2) of Pub. L. 100-239 provided that: 'This subsection (amending this section) is effective 360 days after the day of the enactment of this Act (Jan. 11, 1988).' APPLICATION OF SECTION TO FISHING VESSELS IN CALIFORNIA Section 317 of Pub. L. 101-595 provided that: '(a) Definition. - For purposes of the application of sections 8103(a), 12102, 12110, and 12111 of title 46, United States Code, to a fishing vessel operating in waters subject to the jurisdiction of the United States off the coast of the State of California, the term 'citizen of the United States' includes an alien lawfully admitted to the United States for permanent residence. '(b) Termination. - This section shall terminate on October 1, 2000.' ------DocID 53328 Document 229 of 963------ -CITE- 46 USC Sec. 8104 -EXPCITE- TITLE 46 Part F CHAPTER 81 -HEAD- Sec. 8104. Watches -STATUTE- (a) An owner, charterer, managing operator, master, individual in charge, or other person having authority may permit an officer to take charge of the deck watch on a vessel when leaving or immediately after leaving port only if the officer has been off duty for at least 6 hours within the 12 hours immediately before the time of leaving. (b) On an oceangoing or coastwise vessel of not more than 100 gross tons (except a fishing, fish processing, or fish tender vessel), a licensed individual may not be required to work more than 9 of 24 hours when in port, including the date of arrival, or more than 12 of 24 hours at sea, except in an emergency when life or property are endangered. (c) On a towing vessel (except a towing vessel operated only for fishing, fish processing, fish tender, or engaged in salvage operations) operating on the Great Lakes, harbors of the Great Lakes, and connecting or tributary waters between Gary, Indiana, Duluth, Minnesota, Niagara Falls, New York, and Ogdensburg, New York, a licensed individual or seaman in the deck or engine department may not be required or permitted to work more than 8 hours in one day, except in an emergency when life or property are endangered. (d) On a merchant vessel of more than 100 gross tons (except a vessel only operating on rivers, harbors, lakes (except the Great Lakes), bays, sounds, bayous, and canals, a fishing, fish tender, or whaling vessel, a fish processing vessel of not more than 5,000 gross tons, yacht, or vessel engaged in salvage operations), the licensed individuals, sailors, coal passers, firemen, oilers, and water tenders shall be divided, when at sea, into at least 3 watches, and shall be kept on duty successively to perform ordinary work incident to the operation and management of the vessel. The requirement of this subsection applies to radio officers only when at least 3 radio officers are employed. A licensed individual or seaman in the deck or engine department may not be required to work more than 8 hours in one day. (e) On a vessel designated by subsections (c) and (d) of this section - (1) a seaman may not be - (A) engaged to work alternately in the deck and engine departments; or (B) required to work in the engine department if engaged for deck department duty or required to work in the deck department if engaged for engine department duty; (2) a seaman may not be required to do unnecessary work on Sundays, New Year's Day, July 4th, Labor Day, Thanksgiving Day, or Christmas Day, when the vessel is in a safe harbor, but this clause does not prevent dispatch of a vessel on a voyage; and (3) when the vessel is in a safe harbor, 8 hours (including anchor watch) is a day's work. (f) Subsections (d) and (e) of this section do not limit the authority of the master or other officer or the obedience of the seamen when, in the judgment of the master or other officer, any part of the crew is needed for - (1) maneuvering, shifting the berth of, mooring, or unmooring, the vessel; (2) performing work necessary for the safety of the vessel, or the vessel's passengers, crew, or cargo; (3) saving life on board another vessel in jeopardy; or (4) performing fire, lifeboat, or other drills in port or at sea. (g) On a towing vessel (except a vessel to which subsection (c) of this section applies), an offshore supply vessel, or a barge to which this section applies, that is engaged on a voyage of less than 600 miles, the licensed individuals and crewmembers (except the coal passers, firemen, oilers, and water tenders) may be divided, when at sea, into at least 2 watches. (h) On a vessel to which section 8904 of this title applies, an individual licensed to operate a towing vessel may not work for more than 12 hours in a consecutive 24-hour period except in an emergency. (i) A person violating subsection (a) or (b) of this section is liable to the United States Government for a civil penalty of $10,000. (j) The owner, charterer, or managing operator of a vessel on which a violation of subsection (c), (d), (e), or (h) of this section occurs is liable to the Government for a civil penalty of $10,000. The seaman is entitled to discharge from the vessel and receipt of wages earned. (k) On a fish processing vessel subject to inspection under part B of this subtitle, the licensed individuals and deck crew shall be divided, when at sea, into at least 3 watches. (l) Except as provided in subsection (k) of this section, on a fish processing vessel, the licensed individuals and deck crew shall be divided, when at sea, into at least 2 watches if the vessel - (1) entered into service before January 1, 1988, and is more than 1,600 gross tons; or (2) entered into service after December 31, 1987, and has more than 16 individuals on board primarily employed in the preparation of fish or fish products. (m) This section does not apply to a fish processing vessel - (1) entered into service before January 1, 1988, and not more than 1,600 gross tons; or (2) entered into service after December 31, 1987, and having not more than 16 individuals on board primarily employed in the preparation of fish or fish products. (n) (FOOTNOTE 1) On a tanker, a licensed individual or seaman may not be permitted to work more than 15 hours in any 24-hour period, or more than 36 hours in any 72-hour period, except in an emergency or a drill. In this subsection, 'work' includes any administrative duties associated with the vessel whether performed on board the vessel or onshore. (FOOTNOTE 1) So in original. Two subsecs. (n) have been enacted. (n)(1) (FOOTNOTE 1) Except as provided in paragraph (2) of this subsection, on a fish tender vessel of not more than 500 gross tons engaged in the Aleutian trade, the licensed individuals and crewmembers shall be divided, when at sea, into at least 3 watches. (2) On a fish tender vessel of not more than 500 gross tons engaged in the Aleutian trade, the licensed individuals and crewmembers shall be divided, when at sea, into at least 2 watches, if the vessel - (A) before September 8, 1990, operated in that trade; or (B)(i) before September 8, 1990, was purchased to be used in that trade; and (ii) before June 1, 1992, entered into service in that trade. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 549; Pub. L. 98-364, title IV, Sec. 402(11), July 17, 1984, 98 Stat. 448; Pub. L. 98-557, Sec. 33(c), Oct. 30, 1984, 98 Stat. 2876; Pub. L. 99-307, Sec. 1(12), May 19, 1986, 100 Stat. 445; Pub. L. 101-380, title IV, Sec. 4114(b), 4302(f), Aug. 18, 1990, 104 Stat. 517, 538; Pub. L. 101-595, title VI, Sec. 602(e)(1), Nov. 16, 1990, 104 Stat. 2991.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8104 46:235 46:405(b) 46:673 ------------------------------- Section 8104 prescribes certain working hours and conditions under which working hours are set. The Committee intends that these sections be interpreted in a manner consistent with one another. Subsection (a) permits an individual to take charge of the deck watch on leaving port and immediately thereafter only if the individual has been off duty for 6 of the 12 hours immediately prior to departure. Subsection (b) prohibits a licensed individual from being required to work more than 9 of 24 hours in port or more than 12 of 24 hours at sea on an oceangoing or coastwise vessel of not more than 100 gross tons, except in an emergency. Subsection (c) prescribes a maximum 8-hour day for licensed individuals and seamen on towing vessels operating on the Great Lakes and certain connecting or tributary waters. Subsection (d) requires certain members of the complement of certain merchant vessels of more than 100 gross tons to be divided into at least 3 successive watches when at sea. This requirement applies to radio officers only when at least 3 radio officers are employed. Subsection (d) also prescribes a maximum 8-hour work day for licensed individuals and seamen on these vessels. For the Great Lakes towing vessels and merchant vessels in subsections (c) and (d(, subsection (e) requires that seamen be hired only for work in either the deck or the engine department. When in a safe harbor, seamen may be required to do only necessary work on Sundays and certain holidays, unless the vessel is getting underway on a voyage. Further, when in a safe harbor, this subsection restates the maximum 8-hour work day which applies even for anchor watch. Subsection (f) states that the limitations in subsections (d) and (e) do not apply if the master or other officer decides the crew is needed for certain routine, safety, or rescue activities. Subsection (g) provides that for a towing vessel (except a Great Lakes towing vessel under subsection (c)), offshore supply vessel, or barge on a voyage of less than 600 miles, the licensed officers and certain crewmembers may be divided into not less than two watches when at sea. Subsection (h) provides that the licensed operator for a towing vessel at least 26 feet long may not be required to work more than 12 of 24 hours, except in an emergency. Subsections (i) and (j) prescribe penalties for violations of the provisions of this section and, in certain instances, entitles the seaman to discharge and payment of wages. AMENDMENTS 1990 - Subsecs. (i), (j). Pub. L. 101-380, Sec. 4302(f), substituted '$10,000' for '$100' in subsec. (i) and for '$500' in subsec. (j). Subsec. (n). Pub. L. 101-595 added subsec. (n) relating to fish tender vessels of not more than 500 gross tons engaged in Aleutian trade. Pub. L. 101-380, Sec. 4114(b), added subsec. (n) relating to tankers. 1986 - Subsec. (k). Pub. L. 99-307 substituted 'watches' for 'watchers'. 1984 - Subsec. (b). Pub. L. 98-364, Sec. 402(11)(A), substituted '100 gross tons (except a fishing, fish processing, or fish tender vessel)' for '100 gross tons'. Subsec. (c). Pub. L. 98-364, Sec. 402(11)(B), substituted 'fishing, fish processing, fish tender,' for 'fishing'. Subsec. (d). Pub. L. 98-364, Sec. 402(11)(C), substituted 'a fishing, fish tender, or whaling vessel, a fish processing vessel of not more than 5,000 gross tons' for 'a fishing or whaling vessel'. Subsec. (k). Pub. L. 98-557 substituted 'shall' for 'may'. Pub. L. 98-364, Sec. 402(11)(D), added subsec. (k). Subsec. (l). Pub. L. 98-557 substituted 'shall' for 'may' in provisions preceding par. (1). Pub. L. 98-364, Sec. 402(11)(D), added subsec. (l). Subsec. (m). Pub. L. 98-364, Sec. 402(11)(D), added subsec. (m). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 8702 of this title. ------DocID 53329 Document 230 of 963------ -CITE- 46 USC Sec. 8105 -EXPCITE- TITLE 46 Part F CHAPTER 81 -HEAD- (Sec. 8105. Repealed. Pub. L. 101-595, title VI, Sec. 603(7)(A), Nov. 16, 1990, 104 Stat. 2993) -MISC1- Section, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 550, authorized Secretary to prescribe regulations to carry out this part. ------DocID 53330 Document 231 of 963------ -CITE- 46 USC CHAPTER 83 -EXPCITE- TITLE 46 Part F CHAPTER 83 -HEAD- CHAPTER 83 - MASTERS AND OFFICERS -MISC1- Sec. 8301. Minimum number of licensed individuals. 8302. Staff department. 8303. Service under licenses issued without examination. 8304. Implementing the Officers' Competency Certificates Convention, 1936. HISTORICAL AND REVISION NOTES For certain vessels of the United States, chapter 83 prescribes the minimum number of licensed individuals (including masters), establishes the staff department consisting of medical and clerical personnel, restricts service under certain licenses issued without examination, and implements the Officers' Competency Certificates Convention of 1936. ------DocID 53331 Document 232 of 963------ -CITE- 46 USC Sec. 8301 -EXPCITE- TITLE 46 Part F CHAPTER 83 -HEAD- Sec. 8301. Minimum number of licensed individuals -STATUTE- (a) Except as provided in chapter 89 of this title and except for a vessel operating only on rivers, harbors, lakes (except the Great Lakes), bays, sounds, bayous, and canals, a vessel subject to inspection under chapter 33 of this title shall engage a minimum of licensed individuals as follows: (1) Each of those vessels propelled by machinery or carrying passengers shall have a licensed master. (2) A vessel of at least 1,000 gross tons and propelled by machinery shall have 3 licensed mates, except - (A) in the case of a vessel other than a mobile offshore drilling unit, if on a voyage of less than 400 miles from port of departure to port of final destination, the vessel shall have 2 licensed mates; and (B) in the case of a mobile offshore drilling unit, the vessel shall have licensed individuals as provided by regulations prescribed by the Secretary under section 8101 of this title. (3) A vessel of at least 200 gross tons but less than 1,000 gross tons and propelled by machinery shall have 2 licensed mates. (4) A vessel of at least 100 gross tons but less than 200 gross tons and propelled by machinery shall have one licensed mate. However, if the vessel is on a voyage of more than 24 hours, it shall have 2 licensed mates. (5) A freight vessel or a passenger vessel of at least 300 gross tons and propelled by machinery shall have a licensed engineer. (b) An offshore supply vessel on a voyage of less than 600 miles shall have a licensed mate. However, if the vessel is on a voyage of at least 600 miles, the vessel shall have 2 licensed mates. An offshore supply vessel of more than 200 gross tons may not be operated without a licensed engineer. (c) Subsection (a) of this section does not apply to a fishing or whaling vessel, a mobile offshore drilling unit when on location, or a yacht. (d) The Secretary may - (1) suspend any part of this chapter during a national emergency proclaimed by the President; and (2) increase the number of licensed individuals on a vessel to which this chapter applies if, in the Secretary's judgment, the vessel is not sufficiently manned for safe operation. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 550; Pub. L. 98-557, Sec. 29(c), (d), Oct. 30, 1984, 98 Stat. 2873, 2874; Pub. L. 99-640, Sec. 11(d), Nov. 10, 1986, 100 Stat. 3550; Pub. L. 100-448, Sec. 7, Sept. 28, 1988, 102 Stat. 1842.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8301 46:223 46:404-1(8) ------------------------------- Section 8301 prescribes the minimum number of licensed individuals on board certain vessels based on the vessel's size or propulsion, length of voyage by distance or time, or any combination of these factors. Subsection (a) applies to certain merchant and passenger carrying vessels of the United States, each of which must have a licensed master regardless of the factors listed above. Subsection (b) applies to offshore supply vessels. Subsection (c) exempts fishing or whaling vessels or yachts from these requirements. Subsection (d) permits the Secretary to suspend any part of this chapter during a declared national emergency or to increase the number of licensed individuals required by this chapter if required for safe operation of a vessel. AMENDMENTS 1988 - Subsec. (a)(2). Pub. L. 100-448 amended par. (2) generally. Prior to amendment, par. (2) read as follows: 'A vessel of at least 1,000 gross tons and propelled by machinery shall have 3 licensed mates. However, if the vessel is on a voyage of less than 400 miles from port of departure to port of final destination, it shall have 2 licensed mates.' 1986 - Subsec. (c). Pub. L. 99-640 inserted ', a mobile offshore drilling unit when on location,'. 1984 - Subsec. (a). Pub. L. 98-557, Sec. 29(c), in provisions preceding par. (1) inserted exception for the Great Lakes and substituted provisions relating to inspection under chapter 33 of this title for provisions relating to applicability of part B of this subtitle. Subsec. (a)(1). Pub. L. 98-557, Sec. 29(d), inserted 'propelled by machinery or carrying passengers'. ------DocID 53332 Document 233 of 963------ -CITE- 46 USC Sec. 8302 -EXPCITE- TITLE 46 Part F CHAPTER 83 -HEAD- Sec. 8302. Staff department -STATUTE- (a) This section applies to a vessel of the United States except - (1) a fishing or whaling vessel or a yacht; (2) a vessel operated only on bays, sounds, inland waters, and lakes (except the Great Lakes); and (3) a vessel ferrying passengers and cars on the Great Lakes. (b) The staff department on a vessel is a separate and independent department. It consists of individuals registered under section 7101 of this title, clerks, and individuals assigned to the senior registered medical doctor. (c) The staff department is composed of a medical division and a purser's division. The officer in charge of each division is responsible only to the master. The senior registered medical doctor is in charge of the medical division. The senior registered purser is in charge of the purser's division. (d) The officer in charge of the purser's division of the staff department on an oceangoing passenger vessel licensed to carry more than 100 passengers shall be a registered chief purser. When more than 3 persons are employed in the purser's division of that vessel, there also shall be at least one registered senior assistant purser and one registered junior assistant purser. (e) A person may not employ an individual to serve in, and an individual may not serve in, a grade of staff officer on a vessel, when that staff officer is required by this section to be registered, if the individual does not have a certificate of registry as staff officer in that grade. A person (including an individual) violating this subsection is liable to the United States Government for a civil penalty of $100. However, if a registered staff officer is not available at the time of sailing, the vessel may sail with an unregistered staff officer or without a staff officer. (f) A staff officer may not be included in a vessel's certificate of inspection. (g) A registered staff officer serving under this section who is a member of the Naval Reserve may wear on the officer's uniform special distinguishing insignia prescribed by the Secretary of the Navy. (h) The uniform stripes, decoration, or other insignia worn by a staff officer shall be of gold braid or woven gold or silver material. A crewmember (except a staff officer) may not wear any uniform with a staff officer's identifying insignia. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 551; Pub. L. 99-36, Sec. 1(a)(4), May 15, 1985, 99 Stat. 67.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8302(a)-(d) 46:242 46:248 8302(e), (f) 46:246(a) 8302(g) 46:245(a) 8302(h) 46:245(b) ------------------------------- Section 8302 sets forth the organization and manning requirements of the staff department of a vessel. The staff department has medical and clerical responsibilities. Subsection (a) applies this section to every United States vessel except a yacht, a fishing, whaling, or certain types of inland waterway vessel, and a ferry carrying passengers or cars on the Great Lakes. A ferry is a vessel that primarily carries passengers, cars, or trains from shore to shore as a means to connect existing points on a transportation route so that the same type of transportation mode may continue to be used upon arrival at either point. Vessels carrying cars as cargo would not be included in this type of vessel. Subsection (b) establishes the staff department as a separate one consisting of registered individuals (pursers, medical doctors, and professional nurses), clerks, and medical assistants. Subsection (c) divides the department into a medical division and a purser's division and designates the individual in charge of each division. Subsection (d) prescribes particular requirements of the purser's division based on size of the vessel or number of individuals employed in the division. Subsection (e) prohibits the employment or service of an individual who is not registered or of the grade as required under this section and prescribes a penalty for violation of the subsection. This penalty applies to both the employer and the individual employed. If a registered staff officer is unavailable at the time of departure for a voyage, the vessel may proceed on its voyage with either an unregistered staff officer or without a staff officer. Subsection (f) prohibits including a staff officer on a vessel's certificate of inspection. Subsections (g) and (h) prescribe the type and restrictions for the uniform accouterments of a staff officer. AMENDMENTS 1985 - Subsec. (b). Pub. L. 99-36 inserted a comma after 'clerks'. ------DocID 53333 Document 234 of 963------ -CITE- 46 USC Sec. 8303 -EXPCITE- TITLE 46 Part F CHAPTER 83 -HEAD- Sec. 8303. Service under licenses issued without examination -STATUTE- An individual issued a license without examination before October 29, 1941, to serve as master, mate, or engineer on a vessel not subject to inspection under part B of this subtitle, may not serve under authority of that license on a vessel that is subject to inspection under part B. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 552.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8303 46:224a ------------------------------- Section 8303 prohibits an individual licensed without an examination on an uninspected vessel prior to October 29, 1941, from serving as a master, mate, or engineer on an inspected vessel. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 14305 of this title. ------DocID 53334 Document 235 of 963------ -CITE- 46 USC Sec. 8304 -EXPCITE- TITLE 46 Part F CHAPTER 83 -HEAD- Sec. 8304. Implementing the Officers' Competency Certificates Convention, 1936 -STATUTE- (a) In this section, 'high seas' means waters seaward of the Boundary Line. (b) The Officers' Competency Certificates Convention, 1936 (International Labor Organization Draft Convention Numbered 53, on the minimum requirement of professional capacity for masters and officers on board merchant vessels), as ratified by the President on September 1, 1938, with understandings appended, and this section apply to a documented vessel operating on the high seas except - (1) a public vessel; (2) a wooden vessel of primitive build, such as a dhow or junk; (3) a barge; and (4) a vessel of less than 200 gross tons. (c) A person may not engage or employ an individual to serve as, and an individual may not serve as, a master, mate, or engineer on a vessel to which this section applies, if the individual does not have a license issued under section 7101 of this title authorizing service in the capacity in which the individual is to be engaged or employed. (d) A person (including an individual) violating this section is liable to the United States Government for a civil penalty of $100. (e) A license issued to an individual to whom this section applies is a certificate of competency. (f) A designated official may detain a vessel to which this section applies (by written order served on the owner, charterer, managing operator, agent, master, or individual in charge of the vessel) when there is reason to believe that the vessel is about to proceed from a port of the United States to the high seas in violation of this section or a provision of the convention described in subsection (b) of this section. The vessel may be detained until the vessel complies with this section. Clearance may not be granted to a vessel ordered detained under this section. (g) A foreign vessel to which the convention described in subsection (b) of this section applies, on the navigable waters of the United States, is subject to detention under subsection (f) of this section, and to an examination that may be necessary to decide if there is compliance with the convention. (h) The owner, charterer, managing operator, agent, master, or individual in charge of a vessel detained under subsection (f) or (g) of this section may appeal the order within 5 days as provided by regulation. (i) An officer or employee of the Customs Service may be designated to enforce this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 552.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8304 46:224a 46:241 ------------------------------- Section 8304 implements the Officers' Competency Certificates Convention, 1936, as ratified by the President on September 1, 1938, with understandings appended. Subsection (a) defines 'high seas' for this section. Subsection (b) implements the Convention, applies the Convention to United States vessels on the high seas, and exempts certain vessels. Subsection (c) prohibits the employment or service of an individual as a master, mate, or engineer on a vessel under this section unless the individual has a license issued under section 7101 for the particular capacity in which the individual is employed. Subsection (d) prescribes a civil penalty for violating this section. Subsection (e) states that the license referred to in subsection (c) is a certificate of competency for purposes of the Convention. Subsection (f) provides for the detention of a vessel in violation of this section or the Convention. Subsection (g) applies the detention provision to a foreign vessel on the navigable waters of the United States and subjects it to an examination for compliance with the Convention. Subsection (h) provides for an appeal of the detention order. Subsection (i) permits the designation of a Customs Service officer or employee to enforce this section. -REFTEXT- REFERENCES IN TEXT The Officers' Competency Certificates Convention, 1936, referred to in subsec. (b), is set out in 54 Stat. Pt. 2, p. 1683. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 14305 of this title. ------DocID 53335 Document 236 of 963------ -CITE- 46 USC CHAPTER 85 -EXPCITE- TITLE 46 Part F CHAPTER 85 -HEAD- CHAPTER 85 - PILOTS -MISC1- Sec. 8501. State regulation of pilots. 8502. Federal pilots required. 8503. Federal pilots authorized. HISTORICAL AND REVISION NOTES Chapter 85 provides for State pilotage to be regulated by the States and only in conformity with the laws of the States. It clearly spells out the preeminence of the State's role in regulating pilots for vessels operating on the bays, rivers, harbors, and ports of the United States. However, those vessels that are required to have a Federally licensed pilot, those that operate on waters outside the territorial sea of the United States, and those that operate on waters of the Great Lakes are not subject to State pilotage laws or requirements. In essence this chapter, with minor changes, confirms the State and Federal relationship with respect to pilotage that has evolved since the founding of the Nation. This chapter permits the continuation of Federal pilotage requirements for vessels that are not required to obtain compulsory State pilotage. It confirms the practice of allowing anyone with a Federal pilotage endorsement for the waters in which the vessel is operating to be in control of a vessel when engaged in the coastwide trade. It also confirms the practice of using Federal pilots that are often organized into groups or working organizations who offer their expertise and services to vessels that are not required to obtain compulsory State pilotage. AMENDMENTS 1984 - Pub. L. 98-557, Sec. 29(f)(3)(B), Oct. 30, 1984, 98 Stat. 2874, added item 8503. ------DocID 53336 Document 237 of 963------ -CITE- 46 USC Sec. 8501 -EXPCITE- TITLE 46 Part F CHAPTER 85 -HEAD- Sec. 8501. State regulation of pilots -STATUTE- (a) Except as otherwise provided in this subtitle, pilots in the bays, rivers, harbors, and ports of the United States shall be regulated only in conformity with the laws of the States. (b) The master of a vessel entering or leaving a port on waters that are a boundary between 2 States, and that is required to have a pilot under this section, may employ a pilot licensed or authorized by the laws of either of the 2 States. (c) A State may not adopt a regulation or provision that discriminates in the rate of pilotage or half-pilotage between vessels sailing between the ports of one State and vessels sailing between the ports of different States, or against vessels because of their means of propulsion, or against public vessels of the United States. (d) A State may not adopt a regulation or provision that requires a coastwise vessel to take a pilot licensed or authorized by the laws of a State if the vessel - (1) is propelled by machinery and subject to inspection under part B of this subtitle; or (2) is subject to inspection under chapter 37 of this title. (e) Any regulation or provision violating this section is void. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 553; Pub. L. 98-557, Sec. 29(e), Oct. 30, 1984, 98 Stat. 2874.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8501(a) 46:211 8501(b) 46:212 8501(c), (e) 46:213 8501(d) 46:215 ------------------------------- Section 8501 establishes the general proposition that the States regulate pilots in the bays, rivers, harbors, and ports of the United States, unless otherwise specifically provided by law. Subsection (a) states this general proposition and uses the word 'only' for emphasis on this point. Further, except as specifically provided in law, the Committee intends that this chapter not be construed to annul or affect any regulation established by the laws of a State requiring a vessel entering or leaving a port in that State to employ a pilot licensed or authorized by the laws of that State. In at least two places in current law, this general proposition is stated in both a positive and negative manner. The Committee intends to consolidate those separate statements into one provision to avoid ambiguity and redundancy. Subsections (b) and (c) contain provisions regarding pilotage in waters between two States. Subsection (d) prohibits a State from requiring a State licensed pilot on certain coastwise vessels. Subsection (e) voids any regulation or provision violating this section. AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-557 substituted 'subtitle' for 'part'. ------DocID 53337 Document 238 of 963------ -CITE- 46 USC Sec. 8502 -EXPCITE- TITLE 46 Part F CHAPTER 85 -HEAD- Sec. 8502. Federal pilots required -STATUTE- (a) Except as provided in subsections (g) and (i) of this section, a coastwise seagoing vessel shall be under the direction and control of a pilot licensed under section 7101 of this title if the vessel is - (1) not sailing on register; (2) underway; (3) not on the high seas; and (4)(A) propelled by machinery and subject to inspection under part B of this subtitle; or (B) subject to inspection under chapter 37 of this title. (b) The fees charged for pilotage by pilots required under this section may not be more than the customary or legally established rates in the States in which the pilotage is performed. (c) A State or political subdivision of a State may not impose on a pilot licensed under this subtitle an obligation to procure a State or other license, or adopt any other regulation that will impede the pilot in the performance of the pilot's duties under the laws of the United States. (d) A State or political subdivision of a State may not levy pilot charges on a vessel lawfully piloted by a pilot required under this section. (e) The owner, charterer, managing operator, agent, master, or individual in charge of a vessel operated in violation of this section or a regulation prescribed under this section is liable to the United States Government for a civil penalty of $10,000. The vessel also is liable in rem for the penalty. (f) An individual serving as a pilot without having a license required by this section or a regulation prescribed under this section is liable to the Government for a civil penalty of $10,000. (g)(1) The Secretary shall designate by regulation the areas of the approaches to and waters of Prince William Sound, Alaska, if any, on which a vessel subject to this section is not required to be under the direction and control of a pilot licensed under section 7101 of this title. (2) In any area of Prince William Sound, Alaska, where a vessel subject to this section is required to be under the direction and control of a pilot licensed under section 7101 of this title, the pilot may not be a member of the crew of that vessel and shall be a pilot licensed by the State of Alaska who is operating under a Federal license, when the vessel is navigating waters between 60 49 North latitude and the Port of Valdez, Alaska. (h) The Secretary shall designate waters on which tankers over 1,600 gross tons subject to this section shall have on the bridge a master or mate licensed to direct and control the vessel under section 7101(c)(1) of this title who is separate and distinct from the pilot required under subsection (a) of this section. (i)(1) Except as provided in paragraph (2), a dredge to which this section would otherwise apply is exempt from the requirements of this section. (2) If the Secretary determines, after notice and comment, that the exemption under paragraph (1) creates a hazard to navigational safety in a specified area, the Secretary may require that a dredge exempted by paragraph (1) which is operating in that area shall comply with this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 553; Pub. L. 98-557, Sec. 29(f)(1), (2), Oct. 30, 1984, 98 Stat. 2874; Pub. L. 99-307, Sec. 1(13), May 19, 1986, 100 Stat. 446; Pub. L. 101-380, title IV, Sec. 4116(a), (b), 4302(g), Aug. 18, 1990, 104 Stat. 522, 539; Pub. L. 101-595, title III, Sec. 307, Nov. 16, 1990, 104 Stat. 2985.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8502 46:215 46:364 46:391a 46:497 ------------------------------- Section 8502 sets forth the provisions and requirements for pilots licensed under section 7101. It is an exception provided by law envisioned under section 8501(a). Subsection (a) applies the requirement for a Federal pilot to coastwise seagoing vessels if propelled by machinery and inspected under part B or if inspected under chapter 37, including a tank barge. The section has been carefully worded to clearly set out those vessels that are required at times to have a Federal pilot. Subsection (b) prohibits Federal pilot fees from being higher than those required for State pilots. Subsections (c) and (d) prohibit States from imposing impediments to the proper performance of, or levying charges related to, Federal pilotage. Subsections (e) and (f) prescribe civil penalties for violation of this section. AMENDMENTS 1990 - Subsec. (a). Pub. L. 101-595, Sec. 307(1), substituted 'subsections (g) and (i)' for 'subsection (g)' in introductory provisions. Subsecs. (e), (f). Pub. L. 101-380, Sec. 4302(g), substituted '$10,000' for '$500'. Subsec. (g). Pub. L. 101-380, Sec. 4116(a), amended subsec. (g) generally. Prior to amendment, subsec. (g) read as follows: 'The Secretary shall designate by regulation the areas of the approaches to and waters of Prince William Sound, Alaska, on which a vessel subject to this section is not required to be under the direction and control of a pilot licensed under section 7101 of this title.' Subsec. (h). Pub. L. 101-380, Sec. 4116(b), added subsec. (h). Subsec. (i). Pub. L. 101-595, Sec. 307(2), added subsec. (i). 1986 - Subsec. (a)(4)(A). Pub. L. 99-307 substituted 'part' for 'Part'. 1984 - Subsec. (a). Pub. L. 98-557, Sec. 29(f)(1), amended subsec. (a) generally, which prior to amendment read as follows: 'A coastwise seagoing vessel, when not sailing on register and when underway (except on the high seas), shall be under the direction and control of a pilot licensed under section 7101 of this title if the vessel is - '(1) propelled by machinery and subject to inspection under part B of this subtitle; or '(2) subject to inspection under chapter 37 of this title.' Subsec. (g). Pub. L. 98-557, Sec. 29(f)(2), added subsec. (g). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53338 Document 239 of 963------ -CITE- 46 USC Sec. 8503 -EXPCITE- TITLE 46 Part F CHAPTER 85 -HEAD- Sec. 8503. Federal pilots authorized -STATUTE- (a) The Secretary may require a pilot licensed under section 7101 of this title on a self-propelled vessel when a pilot is not required by State law and the vessel is - (1) engaged in foreign commerce; and (2) operating on the navigable waters of the United States. (b) A requirement prescribed under subsection (a) of this section is terminated when the State having jurisdiction over the area involved - (1) establishes a requirement for a State licensed pilot; and (2) notifies the Secretary of that fact. (c) For the Saint Lawrence Seaway, the Secretary may not delegate the authority under this section to an agency except the Saint Lawrence Seaway Development Corporation. (d) A person violating this section or a regulation prescribed under this section is liable to the United States Government for a civil penalty of not more than $25,000. Each day of a continuing violation is a separate violation. The vessel also is liable in rem for the penalty. (e) A person that knowingly violates this section or a regulation prescribed under this section commits a class D felony. -SOURCE- (Added Pub. L. 98-557, Sec. 29(f)(3)(A), Oct. 30, 1984, 98 Stat. 2874, and amended Pub. L. 101-380, title IV, Sec. 4302(h), Aug. 18, 1990, 104 Stat. 539.) -MISC1- AMENDMENTS 1990 - Subsec. (e). Pub. L. 101-380 substituted 'commits a class D felony' for 'shall be fined not more than $50,000, imprisoned for not more than five years, or both'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53339 Document 240 of 963------ -CITE- 46 USC CHAPTER 87 -EXPCITE- TITLE 46 Part F CHAPTER 87 -HEAD- CHAPTER 87 - UNLICENSED PERSONNEL -MISC1- Sec. 8701. Merchant mariners' documents required. 8702. Certain crew requirements. 8703. Tankermen on tank vessels. 8704. Alien deemed to be employed in the United States. HISTORICAL AND REVISION NOTES Chapter 87 prescribes certain requirements for unlicensed personnel on vessels of at least 100 gross tons and on certain tank vessels. AMENDMENTS 1988 - Pub. L. 100-239, Sec. 5(f)(2), Jan. 11, 1988, 101 Stat. 1781, added item 8704. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 2102 of this title. ------DocID 53340 Document 241 of 963------ -CITE- 46 USC Sec. 8701 -EXPCITE- TITLE 46 Part F CHAPTER 87 -HEAD- Sec. 8701. Merchant mariners' documents required -STATUTE- (a) This section applies to a merchant vessel of at least 100 gross tons except - (1) a vessel operating only on rivers and lakes (except the Great Lakes); (2) a barge (except a seagoing barge or a barge to which chapter 37 of this title applies); (3) a fishing, fish tender, or whaling vessel or a yacht; (4) a sailing school vessel with respect to sailing school instructors and sailing school students; (5) an oceanographic research vessel with respect to scientific personnel; (6) a fish processing vessel entered into service before January 1, 1988, and not more than 1,600 gross tons or entered into service after December 31, 1987, and having not more than 16 individuals on board primarily employed in the preparation of fish or fish products; (7) a fish processing vessel (except a vessel to which clause (6) of this subsection applies) with respect to individuals on board primarily employed in the preparation of fish or fish products or in a support position not related to navigation; and (8) a mobile offshore drilling unit with respect to individuals, other than crew members required by the certificate of inspection, engaged on board the unit for the sole purpose of carrying out the industrial business or function of the unit. (b) A person may not engage or employ an individual, and an individual may not serve, on board a vessel to which this section applies if the individual does not have a merchant mariner's document issued to the individual under section 7302 of this title. Except for an individual required to be licensed or registered under this part, the document must authorize service in the capacity for which the holder of the document is engaged or employed. (c) On a vessel to which section 10306 or 10503 of this title does not apply, an individual required by this section to hold a merchant mariner's document must exhibit it to the master of the vessel before the individual may be employed. (d) A person (including an individual) violating this section is liable to the United States Government for a civil penalty of $500. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 554; Pub. L. 98-364, title IV, Sec. 402(12)(A), July 17, 1984, 98 Stat. 449; Pub. L. 99-640, Sec. 11(c), Nov. 10, 1986, 100 Stat. 3550.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8701 46:444 46:643 46:643a 46:672 ------------------------------- Section 8701 requires an individual to have a merchant mariner's document before that individual can be engaged or employed on certain vessels. Subsection (a) makes this documentation requirement applicable to United States merchant vessels of at least 100 gross tons except for certain inland vessels and barges, fishing or whaling vessels, yachts, and, in certain circumstances, to sailing school vessels or oceanographic research vessels. Subsection (b) prohibits the engagement or employment of an individual required to have a document prescribed under section 7302 if the individual does not have one. Except for licensed or registered individuals, the document must specify the capacity in which the individual is engaged or employed. Subsection (c) requires an individual to exhibit the required document to the master, if not otherwise required to do so in some other manner before that individual may be employed. Subsection (d) prescribes the penalty for violation of this section. AMENDMENTS 1986 - Subsec. (a)(8). Pub. L. 99-640 added par. (8). 1984 - Subsec. (a)(3). Pub. L. 98-364, Sec. 402(12)(A)(i), substituted 'fishing, fish tender, or whaling' for 'fishing or whaling'. Subsec. (a)(6), (7). Pub. L. 98-364, Sec. 402(12)(A)(ii)- (iv), added pars. (6) and (7). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10103, 10306, 10503 of this title. ------DocID 53341 Document 242 of 963------ -CITE- 46 USC Sec. 8702 -EXPCITE- TITLE 46 Part F CHAPTER 87 -HEAD- Sec. 8702. Certain crew requirements -STATUTE- (a) This section applies to a vessel of at least 100 gross tons except - (1) a vessel operating only on rivers and lakes (except the Great Lakes); (2) a barge (except a seagoing barge or a barge to which chapter 37 of this title applies); (3) a fishing, fish tender, or whaling vessel (except a fish tender vessel engaged in the Aleutian trade) or a yacht; (4) a sailing school vessel with respect to sailing school instructors and sailing school students; (5) an oceanographic research vessel with respect to scientific personnel; (6) a fish processing vessel entered into service before January 1, 1988, and not more than 1,600 gross tons or entered into service after December 31, 1987, and having not more than 16 individuals on board primarily employed in the preparation of fish or fish products; and (7) a fish processing vessel (except a vessel to which clause (6) of this subsection applies) with respect to individuals on board primarily employed in the preparation of fish or fish products or in a support position not related to navigation. (b) A vessel may operate only if at least - (1) 75 percent of the crew in each department on board is able to understand any order spoken by the officers, and (2) 65 percent of the deck crew (excluding licensed individuals) have merchant mariners' documents endorsed for a rating of at least able seaman, except that this percentage may be reduced to 50 percent - (i) on a vessel permitted under section 8104 of this title to maintain a 2-watch system; or (ii) on a fish tender vessel engaged in the Aleutian trade. (c) An able seaman is not required on a towing vessel operating on bays and sounds connected directly with the seas. (d) An individual having a rating of less than able seaman may not be permitted at the wheel in ports, harbors, and other waters subject to congested vessel traffic, or under conditions of reduced visibility, adverse weather, or other hazardous circumstances. (e) The owner, charterer, managing operator, agent, master, or individual in charge of a vessel operated in violation of this section or a regulation prescribed under this section is liable to the United States Government for a civil penalty of $10,000. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 554; Pub. L. 98-364, title IV, Sec. 402(12)(B), July 17, 1984, 98 Stat. 449; Pub. L. 100-239, Sec. 5(e), Jan. 11, 1988, 101 Stat. 1781; Pub. L. 101-380, title IV, Sec. 4302(i), Aug. 18, 1990, 104 Stat. 539; Pub. L. 101-595, title VI, Sec. 602(e)(2), Nov. 16, 1990, 104 Stat. 2992.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8702 46:643 46:672 ------------------------------- Section 8702 specifies certain crew requirements. Subsection (a) applies this section to the same vessels to which section 8701 applies. Subsection (b) requires that 75 percent of the crew in each department on board a vessel understand any order spoken by the officers and that 65 percent of the deck crew be at least able seamen, except for the licensed officers. For 2-watch system vessels under section 8104, the 65-percent deck crew requirement may be reduced to 50 percent. Subsection (c) exempts certain inland towing vessels from the able seaman requirement. Subsection (d) prohibits anyone having a rating of less than able seamen from serving as a helmsman in congested vessel traffic or under hazardous conditions. Subsection (e) prescribes the penalty for violation of this section. AMENDMENTS 1990 - Subsec. (a)(3). Pub. L. 101-595, Sec. 602(e)(2)(A), substituted 'vessel (except a fish tender vessel engaged in the Aleutian trade)' for 'vessel'. Subsec. (b)(2). Pub. L. 101-595, Sec. 602(e)(2)(B), inserted provisions authorizing reduction to 50 percent of the deck crew in the case of a fish tender vessel engaged in the Aleutian trade. Subsec. (e). Pub. L. 101-380 substituted '$10,000' for '$500'. 1988 - Subsec. (b). Pub. L. 100-239 substituted 'operate' for 'depart from a port of the United States'. 1984 - Subsec. (a)(3). Pub. L. 98-364, Sec. 402(12)(B)(i), substituted 'fishing, fish tender, or whaling' for 'fishing or whaling'. Subsec. (a)(6), (7). Pub. L. 98-364, Sec. 402(12)(B)(ii)- (iv), added pars. (6) and (7). EFFECTIVE DATE OF 1990 AMENDMENTS Amendment by section 602(e)(2)(A) of Pub. L. 101-595 effective Nov. 16, 1990, and requirements imposed by subsec. (b)(2), as amended by section 602(e)(2)(B) of Pub. L. 101-595, effective 1 year after Nov. 16, 1990, see section 602(f) of Pub. L. 101-595, set out as a note under section 4502 of this title. Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. EXEMPTION OF CERTAIN FISH PROCESSING VESSELS Certain fish processing vessels exempt from crew requirements of subsec. (b) of this section, see section 403(b) of Pub. L. 98-364, as amended, set out as a note under section 3302 of this title. ------DocID 53342 Document 243 of 963------ -CITE- 46 USC Sec. 8703 -EXPCITE- TITLE 46 Part F CHAPTER 87 -HEAD- Sec. 8703. Tankermen on tank vessels -STATUTE- (a) A vessel of the United States to which chapter 37 of this title applies, that has on board oil or hazardous material in bulk as cargo or cargo residue, shall have a specified number of the crew certified as tankermen as required by the Secretary. This requirement shall be noted on the certificate of inspection issued to the vessel. ((b) Repealed. Pub. L. 98-557, Sec. 18, Oct. 30, 1984, 98 Stat. 2869.) (c) A vessel to which section 3702(b) of this title applies shall have on board as a crewmember in charge of the transfer operation an individual certified as a tankerman (qualified for the grade of fuel transferred), unless a master, mate, pilot, engineer, or operator licensed under section 7101 of this title is present in charge of the transfer. If the vessel does not have that individual on board, chapter 37 of this title applies to the vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 555; Pub. L. 98-557, Sec. 18, Oct. 30, 1984, 98 Stat. 2869.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8703(a) 46:391a(10)(A) 8703(b) 46:391a(10)(C) 8703(c) 46:391a(4)(B) ------------------------------- Section 8703 sets requirements for tankermen on board vessels carrying oil or hazardous material in bulk as cargo or cargo residue. Subsection (a) requires a specified number of the crew certified as tankermen on board these vessels and a notation be made to that effect on the vessel's certificate of inspection. A tankerman is an individual who is experienced and trained in the procedures for transferring oil or hazardous material to or from a vessel and is responsible for carrying out these duties and responsibilities. Subsection (b) authorizes the Secretary to regulate tankermen and restrict the types of oil or hazardous materials on the basis of safety to the vessel and the marine environment. Subsection (c) requires a tankerman or licensed master, pilot, engineer, or operator to be present and in charge of a transfer of oil or hazardous material on certain vessels in the service of oil exploitation. If this individual is not on board, then the tank vessel requirements of chapter 37 apply to the vessel. AMENDMENTS 1984 - Subsec. (b). Pub. L. 98-557 repealed subsec. (b) which contained duplicate tankerman manning requirements. See section 7317(a) of this title. ------DocID 53343 Document 244 of 963------ -CITE- 46 USC Sec. 8704 -EXPCITE- TITLE 46 Part F CHAPTER 87 -HEAD- Sec. 8704. Alien deemed to be employed in the United States -STATUTE- An alien is deemed to be employed in the United States for purposes of section 274A of the Immigration and Nationality Act (8 U.S.C. 1324a) if the alien is an unlicensed individual employed on a fishing, fish processing, or fish tender vessel that - (1) is a vessel of the United States engaged in the fisheries in the navigable waters of the United States or the exclusive economic zone; and (2) is not engaged in fishing exclusively for highly migratory species (as that term is defined in section 3 of the Magnuson Fishery Conservation and Management Act (16 U.S.C. 1802). -SOURCE- (Added Pub. L. 100-239, Sec. 5(f)(1), Jan. 11, 1988, 101 Stat. 1781.) -MISC1- CONSTRUCTION Section 5(f)(3) of Pub. L. 100-239 provided that: 'With respect to an alien who is deemed to be employed in the United States under section 8704 of title 46, United States Code (as amended by this subsection), the term 'date of the enactment of this section' (translated as 'November 6, 1986') as used in section 274A(i) of the Immigration and Nationality Act (8 U.S.C. 1324a(i)) means the date 180 days after the enactment of this section (Jan. 11, 1988).' ------DocID 53344 Document 245 of 963------ -CITE- 46 USC CHAPTER 89 -EXPCITE- TITLE 46 Part F CHAPTER 89 -HEAD- CHAPTER 89 - SMALL VESSEL MANNING -MISC1- Sec. 8901. Freight vessels. 8902. Small passenger vessels. 8903. Self-propelled, uninspected passenger vessels. 8904. Towing vessels. 8905. Exemptions. 8906. Penalty. HISTORICAL AND REVISION NOTES Chapter 89 provides for the manning of freight vessels, small passenger vessels, uninspected passenger vessels, and towing vessels. It permits a licensed operator to be in charge of a vessel in lieu of a licensed master or pilot. It also sets forth exemption and civil penalties. AMENDMENTS 1986 - Pub. L. 99-307, Sec. 1(14)(A), May 19, 1986, 100 Stat. 446, substituted 'Self-propelled, uninspected' for 'Uninspected' in item 8903. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 4302, 8301 of this title. ------DocID 53345 Document 246 of 963------ -CITE- 46 USC Sec. 8901 -EXPCITE- TITLE 46 Part F CHAPTER 89 -HEAD- Sec. 8901. Freight vessels -STATUTE- A freight vessel of less than 100 gross tons shall be operated by an individual licensed by the Secretary to operate that type of vessel in the particular geographic area, under prescribed regulations. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 555.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8901 46:390b ------------------------------- Section 8901 requires that a freight vessel of less than 100 gross tons be operated by a licensed individual for that type vessel and for a particular geographic area. ------DocID 53346 Document 247 of 963------ -CITE- 46 USC Sec. 8902 -EXPCITE- TITLE 46 Part F CHAPTER 89 -HEAD- Sec. 8902. Small passenger vessels -STATUTE- A small passenger vessel shall be operated by an individual licensed by the Secretary to operate that type of vessel in the particular geographic area, under prescribed regulations. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 555.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8902 46:390b ------------------------------- Section 8902 requires that a small passenger vessel of less than 100 gross tons be operated by a licensed individual for that type vessel and for a particular geographic area. ------DocID 53347 Document 248 of 963------ -CITE- 46 USC Sec. 8903 -EXPCITE- TITLE 46 Part F CHAPTER 89 -HEAD- Sec. 8903. Self-propelled, uninspected passenger vessels -STATUTE- A self-propelled, uninspected passenger vessel shall be operated by an individual licensed by the Secretary to operate that type of vessel, under prescribed regulations. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 555; Pub. L. 99-307, Sec. 1(14)(B), (C), May 19, 1986, 100 Stat. 446.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8903 46:1461(e), (f) ------------------------------- Section 8903 requires that an uninspected passenger vessel be operated by a licensed individual for that type of vessel. AMENDMENTS 1986 - Pub. L. 99-307 substituted 'Self-propelled, uninspected' for 'Uninspected' in section catchline and 'A self-propelled,' for 'An' in text. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 4302, 8905 of this title. ------DocID 53348 Document 249 of 963------ -CITE- 46 USC Sec. 8904 -EXPCITE- TITLE 46 Part F CHAPTER 89 -HEAD- Sec. 8904. Towing vessels -STATUTE- (a) A towing vessel that is at least 26 feet in length measured from end to end over the deck (excluding sheer), shall be operated by an individual licensed by the Secretary to operate that type of vessel in the particular geographic area, under prescribed regulations. (b) A vessel that tows a disabled vessel for consideration shall be operated by an individual licensed by the Secretary to operate that type of vessel in the particular geographic area, under prescribed regulations. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 555; Pub. L. 99-640, Sec. 12(a), Nov. 10, 1986, 100 Stat. 3550.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8904 46:405(b)(2) ------------------------------- Section 8904 requires that a 26-foot or larger towing vessel be operated by a licensed individual for that type of vessel and for a particular geographic area. AMENDMENTS 1986 - Pub. L. 99-640 designated existing provisions as subsec. (a) and added subsec. (b). EFFECTIVE DATE OF 1986 AMENDMENT Section 12(b) of Pub. L. 99-640 provided that: 'The amendments made by subsection (a) of this section (amending this section) shall take effect on January 1, 1988.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 8104, 8905 of this title; title 14 section 88. ------DocID 53349 Document 250 of 963------ -CITE- 46 USC Sec. 8905 -EXPCITE- TITLE 46 Part F CHAPTER 89 -HEAD- Sec. 8905. Exemptions -STATUTE- (a) Section 8903 of this title applies to a recreational vessel operated in dealer demonstrations only if the Secretary decides that the application of section 8903 is necessary for recreational vessel safety under section 4302(d) of this title. (b) Section 8904 of this title does not apply to a vessel of less than 200 gross tons engaged in the offshore mineral and oil industry if the vessel has offshore mineral and oil industry sites or equipment as its ultimate destination or place of departure. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 556.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8905(a) 46:1461(f) 8905(b) 46:405(b)(3) ------------------------------- Section 8905 provides for certain exemptions from the requirements of this chapter. Subsection (a) exempts dealer demonstration recreational vessels from the licensed operator requirement in section 8903 unless the Secretary decides that safety considerations require the application of that section. Subsection (b) exempts an offshore supply vessel of less than 200 gross tons from the licensed operator requirement under section 8904 when used in the offshore mineral and oil industry. ------DocID 53350 Document 251 of 963------ -CITE- 46 USC Sec. 8906 -EXPCITE- TITLE 46 Part F CHAPTER 89 -HEAD- Sec. 8906. Penalty -STATUTE- An owner, charterer, managing operator, agent, master, or individual in charge of a vessel operated in violation of this chapter or a regulation prescribed under this chapter is liable to the United States Government for a civil penalty of $1,000. The vessel also is liable in rem for the penalty. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 556.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 8906 46:390d ------------------------------- Section 8906 prescribes the penalties for violations of this chapter. ------DocID 53351 Document 252 of 963------ -CITE- 46 USC CHAPTER 91 -EXPCITE- TITLE 46 Part F CHAPTER 91 -HEAD- CHAPTER 91 - TANK VESSEL MANNING STANDARDS -MISC1- Sec. 9101. Standards for foreign tank vessels. 9102. Standards for tank vessels of the United States. HISTORICAL AND REVISION NOTES Chapter 91 prescribes manning standards for certain foreign and United States tank vessels carrying oil or hazardous materials. ------DocID 53352 Document 253 of 963------ -CITE- 46 USC Sec. 9101 -EXPCITE- TITLE 46 Part F CHAPTER 91 -HEAD- Sec. 9101. Standards for foreign tank vessels -STATUTE- (a)(1) The Secretary shall evaluate the manning, training, qualification, and watchkeeping standards of a foreign country that issues documentation for any vessel to which chapter 37 of this title applies - (A) on a periodic basis; and (B) when the vessel is involved in a marine casualty required to be reported under section 6101(a)(4) or (5) of this title. (2) After each evaluation made under paragraph (1) of this subsection, the Secretary shall determine whether - (A) the foreign country has standards for licensing and certification of seamen that are at least equivalent to United States law or international standards accepted by the United States; and (B) those standards are being enforced. (3) If the Secretary determines under this subsection that a country has failed to maintain or enforce standards at least equivalent to United States law or international standards accepted by the United States, the Secretary shall prohibit vessels issued documentation by that country from entering the United States until the Secretary determines those standards have been established and are being enforced. (4) The Secretary may allow provisional entry of a vessel prohibited from entering the United States under paragraph (3) of this subsection if - (A) the owner or operator of the vessel establishes, to the satisfaction of the Secretary, that the vessel is not unsafe or a threat to the marine environment; or (B) the entry is necessary for the safety of the vessel or individuals on the vessel. (b) A foreign vessel to which chapter 37 of this title applies that has on board oil or hazardous material in bulk as cargo or cargo residue shall have a specified number of personnel certified as tankerman or equivalent, as required by the Secretary, when the vessel transfers oil or hazardous material in a port or place subject to the jurisdiction of the United States. The requirement of this subsection shall be noted in applicable terminal operating procedures. A transfer operation may take place only if the crewmember in charge is capable of clearly understanding instructions in English. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 556; Pub. L. 101-380, title IV, Sec. 4106(a), Aug. 18, 1990, 104 Stat. 513.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9101(a) 46:391a(11) 9101(b) 46:391a(10)(B) ------------------------------- Section 9101 requires monitoring of manning standards for foreign tank vessels operating on the navigable waters of the United States and transferring oil or hazardous material in the United States. Subsection (a) requires the Secretary of Transportation to evaluate the manning, training, qualification, and watchkeeping standards of foreign countries whose tank vessels operate on United States waters, or use transfer facilities, and to decide if the standards are equivalent or more stringent than United States standards. Subsection (b) authorizes the Secretary to specify the number of tankermen required on a foreign tank vessel and to have certified tankermen who can understand English when transferring oil or hazardous material in the United States. This requirement is to be made part of the terminal operating procedures. AMENDMENTS 1990 - Subsec. (a). Pub. L. 101-380 amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: 'The Secretary shall - '(1) periodically evaluate the manning, training, qualification, and watchkeeping standards prescribed by the certificating country of a foreign vessel to which chapter 37 of this title applies, that operates on the navigable waters of the United States and transfers oil or hazardous material in a port or place under the jurisdiction of the United States; and '(2) after each evaluation made under clause (1) of this subsection, decide whether the foreign country, whose system for licensing and certification of seamen was evaluated, has standards that are equivalent to or more stringent than United States standards or international standards accepted by the United States.' EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 33 section 1228. ------DocID 53353 Document 254 of 963------ -CITE- 46 USC Sec. 9102 -EXPCITE- TITLE 46 Part F CHAPTER 91 -HEAD- Sec. 9102. Standards for tank vessels of the United States -STATUTE- (a) The Secretary shall prescribe standards for the manning of each vessel of the United States to which chapter 37 of this title applies, related to the duties, qualifications, and training of the officers and crew of the vessel, including standards related to - (1) instruction in vessel and cargo handling and vessel navigation under normal operating conditions in coastal and confined waters and on the high seas; (2) instruction in vessel and cargo handling and vessel navigation in emergency situations and under marine casualty or potential casualty conditions; (3) qualifications for licenses by specific type and size of vessels; (4) qualifications for licenses by use of simulators for the practice or demonstration of marine-oriented skills; (5) minimum health and physical fitness criteria for various grades of licenses and certificates; (6) periodic retraining and special training for upgrading positions, changing vessel type or size, or assuming new responsibilities; (7) decisions about licenses and certificates, conditions of licensing or certification, and periods of licensing or certification by reference to experience, amount of training completed, and regular performance testing; and (8) instruction in vessel maintenance functions. (b) The Secretary shall waive the application of criteria required by subsection (a)(5) of this section for an individual having a license or certificate (including a renewal of the license or certificate) in effect on October 17, 1978. When the waiver is granted, the Secretary may prescribe conditions for the license or certificate and its renewal, as the Secretary decides are reasonable and necessary for the safety of a vessel on which the individual may be employed. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 556; Pub. L. 101-380, title IV, Sec. 4114(d), Aug. 18, 1990, 104 Stat. 517.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9102 46:391a(9) ------------------------------- Section 9102 prescribes manning standards for United States tank vessels. Subsection (a) requires the Secretary of Transportation to prescribe certain standards for the duties, qualifications, and training of the officers and crew of United States tank vessels. Subsection (b) provides for a waiver of any health and physical fitness criteria prescribed under subsection (a). AMENDMENTS 1990 - Par. (8). Pub. L. 101-380 added par. (8). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53354 Document 255 of 963------ -CITE- 46 USC CHAPTER 93 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- CHAPTER 93 - GREAT LAKES PILOTAGE -MISC1- Sec. 9301. Definitions. 9302. Great Lakes pilots required. 9303. United States registered pilot service. 9304. Pilotage pools. 9305. Agreements with Canada. 9306. State regulation prohibited. 9307. Great Lakes Pilotage Advisory Committee. 9308. Penalties. HISTORICAL AND REVISION NOTES Chapter 93 contains the pilotage requirements for United States vessels sailing under register and foreign flag vessels operating on the Great Lakes, qualifications for a registered pilot for the Great Lakes, authority for agreements with Canada, prohibition of State regulation, establishment of an advisory committee, and imposition of civil penalties. ------DocID 53355 Document 256 of 963------ -CITE- 46 USC Sec. 9301 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- Sec. 9301. Definitions -STATUTE- In this chapter - (1) 'Canadian registered pilot' means an individual (except a regular crewmember of a vessel) who is registered by Canada on the same basis as an individual registered under section 9303 of this title. (2) 'Great Lakes' means Lakes Superior, Michigan, Huron, Erie, and Ontario, their connecting and tributary waters, the Saint Lawrence River as far east as Saint Regis, and adjacent port areas. (3) 'United States registered pilot' means an individual (except a regular crewmember of a vessel) who is registered under section 9303 of this title. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 557.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9301(1) 46:216(d) 9301(2) 46:216(a) 9301(3) 46:216(c) ------------------------------- Section 9301 contains definitions which pertain to this chapter only. Clause (1) defines 'Canadian registered pilot' as an individual registered as a pilot in Canada on the same basis as the United States. Clause (2) defines 'Great Lakes' as the five lakes plus their connecting and tributary waters, a certain part of the Saint Lawrence River, and adjacent ports. Clause (3) defines 'United States registered pilot' as an individual registered under regulations for competency under section 9303. ------DocID 53356 Document 257 of 963------ -CITE- 46 USC Sec. 9302 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- Sec. 9302. Great Lakes pilots required -STATUTE- (a)(1) Except as provided in subsections (d) and (e) of this section, each vessel of the United States operating on register and each foreign vessel shall engage a United States or Canadian registered pilot for the route being navigated who shall - (A) in waters of the Great Lakes designated by the President, direct the navigation of the vessel subject to the customary authority of the master; and (B) in waters of the Great Lakes not designated by the President, be on board and available to direct the navigation of the vessel at the discretion of and subject to the customary authority of the master. (2) The President shall make water designations under this subsection with regard to the public interest, the effective use of navigable waters, marine safety, and the foreign relations of the United States. (b) A member of the complement of a vessel of the United States operating on register or of a vessel of Canada may serve as the pilot required on waters not designated by the President if the member is licensed under section 7101 of this title, or under equivalent provisions of Canadian law, to direct the navigation of the vessel on the waters being navigated. (c) The authority extended under subsections (a) and (b) of this section to a Canadian registered pilot or other Canadian licensed officer to serve on certain vessels in United States waters of the Great Lakes shall continue as long as Canada extends reciprocity to United States registered pilots and other individuals licensed by the United States for pilotage service in Canadian waters of the Great Lakes. (d) A vessel may be operated on the United States waters of the Great Lakes without a United States or Canadian registered pilot when - (1) the Secretary notifies the master that a registered pilot is not available; or (2) the vessel or its cargo is in distress or jeopardy. (e) A Canadian vessel regularly operating on the Great Lakes or between ports on the Great Lakes and the Saint Lawrence River, with only an occasional voyage to ports in the maritime provinces of Canada in the Canadian coastal trade, is exempt from subsections (a) and (b) of this section as long as Canada permits enrolled vessels of the United States to be operated on Canadian waters of the Great Lakes under the direction of individuals licensed under section 7101 of this title. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 557; Pub. L. 101-380, title IV, Sec. 4108(a), Aug. 18, 1990, 104 Stat. 514.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9302(a), (b), (d) 46:216a 9302(c) 46:216f ------------------------------- Section 9302 sets forth the requirements for pilots on the waters of the Great Lakes under the jurisdiction of the United States or Canada. Subsection (a) requires each United States vessel sailing on register and each foreign vessel to engage a United States or Canadian registered pilot who shall direct the navigation of the vessel in designated waters of the Great Lakes or be available to direct the navigation of the vessel in undesignated waters of the Great Lakes. The President must make the designation with regard to public interest, effective use of navigable waters, marine safety, and United States foreign relations. The direction of the vessel by an authorized pilot is subject to the customary authority of the master. Subsection (b) provides that a crewmember licensed for Great Lakes navigation under section 7101 or equivalent Canadian law may serve as the pilot on undesignated waters. Subsection (c) provides for reciprocity of recognizing United States and Canadian pilots. Subsections (d) and (e) are exceptions to subsection (a). Subsection (d) permits operation of a vessel on the Great Lakes without a registered pilot if notice is given that one is not available or if the vessel or cargo is in distress or jeopardy. Subsection (e) exempts a Canadian vessel in the coastwise or Great Lakes trade from the requirement of having a registered pilot if similar United States vessels are extended the same exemption by Canada. AMENDMENTS 1990 - Subsec. (b). Pub. L. 101-380 amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'An individual of a vessel licensed for navigation on the Great Lakes under section 7101 of this title, or equivalent provisions of Canadian law, and qualified for the route being navigated, may serve as the pilot required on waters not designated by the President.' EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. -EXEC- PROC. NO. 3385. DESIGNATION OF RESTRICTED WATERS Proc. No. 3385, Dec. 22, 1960, 25 F.R. 13681, as amended by Proc. No. 3855, June 10, 1968, 33 F.R. 8535, provided: WHEREAS, pursuant to section 3(a) of the Great Lakes Pilotage Act of 1960 (Public Law 86-555; 74 Stat. 259) (46 U.S.C. 9302(a)), the President is directed to designate and by proclamation announce those United States waters of the Great Lakes in which registered vessels of the United States and foreign vessels shall be required to have in their service a United States registered pilot or a Canadian registered pilot for the waters concerned; and WHEREAS the aforesaid section 3(a) (46 U.S.C. 9302(a)) provides that these designations shall be made with due regard to the public interest, the effective utilization of navigable waters, marine safety, and the foreign relations of the United States: NOW, THEREFORE, I, DWIGHT D. EISENHOWER, President of the United States of America, acting under and by virtue of the authority vested in me by section 3(a) of the Great Lakes Pilotage Act of 1960 (46 U.S.C. 9302(a)), do hereby designate and proclaim the following areas in which registered vessels of the United States and foreign vessels shall be required to have in their service a United States registered pilot or a Canadian registered pilot for the waters concerned, on and after the effective date of regulations issued by the Secretary of Transportation pursuant to the Act: (1) District 1. All United States waters of the St. Lawrence River between the international boundary at St. Regis and a line at the head of the river running (at approximately 127 true) between Carruthers Point Light and South Side Light extended to the New York shore. (2) District 2. All United States waters of Lake Erie westward of a line running (at approximately 026 true) from Sandusky Pierhead Light at Cedar Point to Southeast Shoal Light; all waters contained within the arc of a circle of one mile radius eastward of Sandusky Pierhead Light; the Detroit River; Lake St. Clair; the St. Clair River, and northern approaches thereto south of latitude 43 05 30 N. (3) District 3. All United States waters of the St. Marys River, Sault Sainte Marie Locks and approaches thereto between latitude 45 59 N. at the southern approach and longitude 84 33 W. at the northern approach. IN WITNESS WHEREOF, I have hereunto set my hand and caused the Seal of the United States of America to be affixed. DONE at the City of Washington this twenty-second day of December in the year of our Lord nineteen hundred and sixty, and of the Independence of the United States of America the one hundred and eighty-fifth. (seal) Dwight D. Eisenhower. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 9308 of this title. ------DocID 53357 Document 258 of 963------ -CITE- 46 USC Sec. 9303 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- Sec. 9303. United States registered pilot service -STATUTE- (a) The Secretary shall prescribe by regulation standards of competency to be met by each applicant for registration under this chapter. An applicant must - (1) have a license as master, mate, or pilot issued under section 7101 of this title; (2) have acquired at least 24 months licensed service or equivalent experience on vessels or integrated towing vessels and tows of at least 4,000 gross tons, operating on the Great Lakes or oceans, with a minimum of 6 months of that service or experience having been on the Great Lakes; and (3) agree that, if appointed as a United States registered pilot, the applicant will be available for service when required. (b) The Secretary shall issue to each registered pilot under this chapter a certificate of registration describing the areas within which the pilot may serve. The pilot shall carry the certificate when in the service of a vessel. (c) The Secretary shall prescribe by regulation the duration of validity of registration. (d) The Secretary may prescribe by regulation the conditions for service by United States registered pilots, including availability for service. (e) Subject to sections 551-559 of title 5, the Secretary may suspend or revoke a certificate of registration issued under this section if the holder fails to comply with a regulation prescribed under this chapter. Suspension or revocation of the holder's license under chapter 77 of this title includes the holder's certificate of registration. (f) The Secretary shall prescribe by regulation rates and charges for pilotage services, giving consideration to the public interest and the costs of providing the services. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 558.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9303(a) 46:216b(a) 9303(b) 46:216b(b) 9303(c) 46:216b(c) 9303(e) 46:216b(c) 9303(f) 46:216c ------------------------------- Section 9303 authorizes the Secretary to prescribe regulatory standards of competency for registered pilots. Subsection (a) requires an applicant for registration as a pilot to have a master's, mate's, or pilot's license, 24 months of licensed service, or equivalent, on vessels on the oceans or Great Lakes, with a minimum of 6 months on the Great Lakes, and agree to be available for service as a United States registered pilot if appointed. Subsection (b) requires the Secretary to issue a certificate of registration describing the areas of service of a registered pilot who must carry the certificate when in a vessel's service. Subsection (c) authorizes the Secretary to prescribe the duration of the validity of registration, while subsection (d) authorizes the Secretary to prescribe conditions for service by United States registered pilots. Subsection (e) provides for the suspension or revocation of a certificate or registration by the Secretary. Subsection (f) provides for setting the rates and charges for pilotage services. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 9301, 9308 of this title; title 49 App. section 1903. ------DocID 53358 Document 259 of 963------ -CITE- 46 USC Sec. 9304 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- Sec. 9304. Pilotage pools -STATUTE- (a) The Secretary may authorize the formation of a pool by a voluntary association of United States registered pilots to provide for efficient dispatching of vessels and rendering of pilotage services. (b) For pilotage pools, the Secretary may - (1) limit the number of the pools; (2) prescribe regulations for their operation and administration; (3) prescribe a uniform system of accounts; (4) perform audits and inspections; and (5) require coordination on a reciprocal basis with similar pool arrangements authorized by the appropriate agency of Canada. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 559.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9304 46:216b(e) ------------------------------- Section 9304 provides for the formation of a pool by a voluntary association of United States registered pilots to provide for efficient pilotage services. Subsection (a) permits the Secretary to authorize formation of United States pilotage pools. Subsection (b) sets forth the restrictions and conditions that the Secretary may prescribe for these pools. ------DocID 53359 Document 260 of 963------ -CITE- 46 USC Sec. 9305 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- Sec. 9305. Agreements with Canada -STATUTE- To provide for a coordinated system of pilotage service on the Great Lakes, the Secretary, subject to the concurrence of the Secretary of State, may make agreements with the appropriate agency of Canada to - (1) fix the number of pilots to be registered in each country; (2) provide for participation on an equitable basis; (3) prescribe joint or identical rates and charges; (4) coordinate pool operations; and (5) establish conditions for services by registered pilots. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 559.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9305 46:216b(d) 46:216d ------------------------------- Section 9305 authorizes the Secretary of Transportation, subject to the concurrence of the Secretary of State, to make agreements with Canada for a coordinated system of pilotage service on the Great Lakes. The agreements may fix the number of registered pilots, provide for equitable participation, prescribe rates and charges, coordinate pool operations, and establish conditions for service. ------DocID 53360 Document 261 of 963------ -CITE- 46 USC Sec. 9306 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- Sec. 9306. State regulation prohibited -STATUTE- A State or political subdivision of a State may not regulate or impose any requirement on pilotage on the Great Lakes. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 559.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9306 46:216g ------------------------------- Section 9306 prohibits State or local regulations of pilotage on the Great Lakes and is part of the exception provided by law envisioned under section 8501(a). ------DocID 53361 Document 262 of 963------ -CITE- 46 USC Sec. 9307 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- Sec. 9307. Great Lakes Pilotage Advisory Committee -STATUTE- (a) The Secretary may establish a Great Lakes Pilotage Advisory Committee. The Committee - (1) may review proposed Great Lakes pilotage regulations and policies and make recommendations to the Secretary that the Committee considers appropriate; (2) may make available to Congress recommendations that the Committee makes to the Secretary; and (3) shall meet at the call of the Secretary. (b) The Committee shall consist of 3 members appointed by the Secretary each of whom has at least 5 years practical experience in maritime operations. The term of each member is for a period of not more than 5 years, specified by the Secretary. Before filling a position on the Committee, the Secretary shall publish a notice in the Federal Register soliciting nominations for membership on the Committee. (c) When attending meetings or otherwise serving at the request of the Secretary, a member of the Committee (except a member regularly employed by the United States Government) may be paid at a rate of not more than $75 a day. When serving away from home or regular place of business, the member may be allowed travel expenses, including per diem in lieu of subsistence as authorized by section 5703 of title 5 for individuals employed intermittently in the Government service. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 559.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9307 46:216h ------------------------------- Section 9307 permits the Secretary to establish a Great Lakes Pilotage Advisory Committee. This Committee is to be established consistant with the Federal Advisory Committee Act (P.L. 92-463; 5 App. U.S.C.) and with the requirements imposed by section 19 (118(e)) of P.L. 97-322 (14 U.S.C. 631 note). Subsection (a) authorizes the Committee to review and make recommendations on Great Lakes pilotage regulation and policies and to make the recommendations available to Congress and requires the Committee to meet at the call of the Secretary. Subsection (b) establishes the membership of the Committee as 3 members with 5 years of practical maritime experience appointed by the Secretary for a term of not more than 5 years. A Federal Register notice of solicitation for membership nominations for filling a position is required. Subsection (c) provides for pay and travel expenses, including per diem, for the members. TERMINATION OF ADVISORY COMMITTEES Advisory committees established after Jan. 5, 1973, to terminate not later than the expiration of the 2-year period beginning on the date of their establishment, unless, in the case of a committee established by the President or an officer of the Federal Government, such committee is renewed by appropriate action prior to the expiration of such 2-year period, or in the case of a committee established by the Congress, its duration is otherwise provided by law. See section 14 of Pub. L. 92-463, Oct. 6, 1972, 86 Stat. 776, set out in the Appendix to Title 5, Government Organization and Employees. ------DocID 53362 Document 263 of 963------ -CITE- 46 USC Sec. 9308 -EXPCITE- TITLE 46 Part F CHAPTER 93 -HEAD- Sec. 9308. Penalties -STATUTE- (a) An owner, charterer, managing operator, agent, master, or individual in charge of a vessel knowingly allowing the vessel to be operated in violation of section 9302 of this title is liable to the United States Government for a civil penalty of no more than $10,000 for each day during which the vessel is in violation. The vessel also is liable in rem for the penalty. (b) An individual who directs the navigation of a vessel in violation of section 9302 of this title is liable to the Government for a civil penalty of no more than $10,000 for each day during which the violation occurs. (c) A person violating a regulation prescribed under section 9303 of this title is liable to the Government for a civil penalty of no more than $10,000. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 560; Pub. L. 101-380, title IV, Sec. 4108(b), Aug. 18, 1990, 104 Stat. 515.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 9308 46:216e(a)-(c) ------------------------------- Section 9308 prescribes the penalties for violations of sections 9302 and 9303. AMENDMENTS 1990 - Subsecs. (a) to (c). Pub. L. 101-380 substituted 'no more than $10,000' for '$500'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53363 Document 264 of 963------ -CITE- 46 USC Part G -EXPCITE- TITLE 46 Part G -HEAD- Part G - Merchant Seamen Protection and Relief -MISC1- HISTORICAL AND REVISION NOTES Part G provides for a number of measures for the protection and relief of merchant seamen by requiring certain contractual obligations between the master who represents the vessel owner's interest and the seamen who are engaged or employed on board a vessel, by requiring certain proceedings when a seaman dies or a vessel is suspected of being unseaworthy, by requiring certain standards for accommodations, medicine, clothing, miscellaneous merchandise, and for the handling of special and unique problems of seamen. It also provides for a method of imposing disciplinary controls through the logging of offenses and provides penalties for specified offenses, and certain related disciplinary procedures. The provisions of this part generally do not apply to fishing vessels, whaling vessels, or yachts. -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in section 14305 of this title. ------DocID 53364 Document 265 of 963------ -CITE- 46 USC CHAPTER 101 -EXPCITE- TITLE 46 Part G CHAPTER 101 -HEAD- CHAPTER 101 - GENERAL -MISC1- Sec. 10101. Definitions. 10102. Designations and duties of shipping commissioners. 10103. Reports. 10104. Requirement to report sexual offenses. AMENDMENTS 1989 - Pub. L. 101-225, title II, Sec. 214(b), Dec. 12, 1989, 103 Stat. 1914, substituted 'Requirement to report sexual offenses' for 'Regulations' in item 10104. ------DocID 53365 Document 266 of 963------ -CITE- 46 USC Sec. 10101 -EXPCITE- TITLE 46 Part G CHAPTER 101 -HEAD- Sec. 10101. Definitions -STATUTE- In this part - (1) 'master' means the individual having command of a vessel. (2) 'owner' means the person to whom the vessel belongs. (3) 'seaman' means an individual (except scientific personnel, a sailing school instructor, or a sailing school student) engaged or employed in any capacity on board a vessel. (4) 'fishing vessel' includes - (A) a fish tender vessel; or (B) a fish processing vessel entered into service before January 1, 1988, and not more than 1,600 gross tons or entered into service after December 31, 1987, and having not more than 16 individuals on board primarily employed in the preparation of fish or fish products. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 560; Pub. L. 98-364, title IV, Sec. 402(13), July 17, 1984, 98 Stat. 449; Pub. L. 98-557, Sec. 33(d), Oct. 30, 1984, 98 Stat. 2876; Pub. L. 99-640, Sec. 10(b)(3), Nov. 10, 1986, 100 Stat. 3550.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10101 46:713 ------------------------------- Section 10101 defines the terms master, seaman, and owner as they apply to merchant seamen's protection and relief. AMENDMENTS 1986 - Pars. (1), (3). Pub. L. 99-640 struck out 'owned by a citizen of the United States' after 'vessel'. 1984 - Par. (4). Pub. L. 98-364, as amended Pub. L. 98-557, added par. (4). ------DocID 53366 Document 267 of 963------ -CITE- 46 USC Sec. 10102 -EXPCITE- TITLE 46 Part G CHAPTER 101 -HEAD- Sec. 10102. Designations and duties of shipping commissioners -STATUTE- (a) The Secretary shall designate officers, employees, and members of the Coast Guard to act as shipping commissioners under this part. The Secretary may designate officers and employees of the Customs Service as shipping commissioners. (b) The general duties of shipping commissioners are to supervise the engagement and discharge of seamen. (c) The owner, charterer, managing operator, agent, or master of the vessel shall perform the duties of shipping commissioner when a shipping commissioner is not available. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 560.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10102 46:546 ------------------------------- Section 10102 authorizes Federal officials (either Coast Guard or Customs Service officers), designated by the Secretary of Transportation as shipping commissioners, to supervise the engagement and discharge of seamen. ------DocID 53367 Document 268 of 963------ -CITE- 46 USC Sec. 10103 -EXPCITE- TITLE 46 Part G CHAPTER 101 -HEAD- Sec. 10103. Reports -STATUTE- (a) A master of a vessel to which section 8701(a) of this title applies, who engages or discharges a seaman without a shipping commissioner being present, shall submit reports in the form, content, and manner of filing as prescribed by regulation, to ensure compliance with laws related to manning and the engagement and discharge of seamen. (b) This section does not apply to a ferry or towing vessel operated in connection with a ferry operation, employed only in trades other than with foreign ports, lakes, bays, sounds, bayous, canals, or harbors. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 560.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10103 46:643(l) ------------------------------- Section 10103 requires that masters who engage or discharge seamen submit to the Coast Guard reports of the manning of the vessel, and reports of shipping agreements which are not supervised by a shipping commissioner. It also contains a number of exceptions for specified vessels. ------DocID 53368 Document 269 of 963------ -CITE- 46 USC Sec. 10104 -EXPCITE- TITLE 46 Part G CHAPTER 101 -HEAD- Sec. 10104. Requirement to report sexual offenses -STATUTE- (a) A master or other individual in charge of a documented vessel shall report to the Secretary a complaint of a sexual offense prohibited under chapter 109A of title 18, United States Code. (b) A master or other individual in charge of a documented vessel who knowingly fails to report in compliance with this section is liable to the United States Government for a civil penalty of not more than $5,000. -SOURCE- (Added Pub. L. 101-225, title II, Sec. 214(a)(2), Dec. 12, 1989, 103 Stat. 1914.) -MISC1- PRIOR PROVISIONS A prior section 10104, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 561, relating to regulations, was repealed by Pub. L. 101-225, title II, Sec. 214(a)(1), Dec. 12, 1989, 103 Stat. 1914. ------DocID 53369 Document 270 of 963------ -CITE- 46 USC CHAPTER 103 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- CHAPTER 103 - FOREIGN AND INTERCOASTAL VOYAGES -MISC1- Sec. 10301. Application. 10302. Shipping articles agreements. 10303. Provisions. 10304. Form of agreement. 10305. Manner of signing agreement. 10306. Exhibiting merchant mariners' documents. 10307. Posting agreements. 10308. Foreign engagements. 10309. Engaging seamen to replace those lost by desertion or casualty. 10310. Discharge. 10311. Certificates of discharge. 10312. Settlements on discharge. 10313. Wages. 10314. Advances. 10315. Allotments. 10316. Trusts. 10317. Loss of lien and right to wages. 10318. Wages on discharge in foreign ports. 10319. Costs of a criminal conviction. 10320. Records of seamen. 10321. General penalty. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 10501 of this title. ------DocID 53370 Document 271 of 963------ -CITE- 46 USC Sec. 10301 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10301. Application -STATUTE- (a) Except as otherwise specifically provided, this chapter applies to a vessel of the United States - (1) on a voyage between a port in the United States and a port in a foreign country (except a port in Canada, Mexico, or the West Indies); or (2) of at least 75 gross tons on a voyage between a port of the United States on the Atlantic Ocean and a port of the United States on the Pacific Ocean. (b) This chapter does not apply to a vessel on which the seamen are entitled by custom or agreement to share in the profit or result of a voyage. (c) Unless otherwise provided, this chapter does not apply to a foreign vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 561.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10301 46:564 46:566 46:574 ------------------------------- Section 10301 specifies that vessels on foreign and intercoastal voyages (except for fishing vessels and foreign vessels) are subject to the seamen protection and relief provisions contained in chapter 103. ------DocID 53371 Document 272 of 963------ -CITE- 46 USC Sec. 10302 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10302. Shipping articles agreements -STATUTE- (a) Before proceeding on a voyage, the master of a vessel to which this chapter applies shall make a shipping articles agreement in writing with each seaman in the crew. (b) The agreement shall contain the following: (1) the nature, and, as far as practicable, the duration of the intended voyage, and the port or country in which the voyage is to end. (2) the number and description of the crew and the capacity in which each seaman is to be engaged. (3) the time at which each seaman is to be on board to begin work. (4) the amount of wages each seaman is to receive. (5) regulations about conduct on board, and information on fines, short allowance of provisions, and other punishment for misconduct provided by law. (6) a scale of the provisions that are to be provided each seaman. (7) any stipulation in reference to advances and allotments of wages. (8) other matters not contrary to law. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 561.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10302 46:564 ------------------------------- Section 10302 requires the master to make a shipping agreement with each crew member and lists the information that must be included in the agreement. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10303, 10304, 10305, 10306, 10307, 10308, 10312, 10313, 10314, 10315, 10318, 10507 of this title. ------DocID 53372 Document 273 of 963------ -CITE- 46 USC Sec. 10303 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10303. Provisions -STATUTE- (a) A seaman shall be served at least 3 meals a day that total at least 3,100 calories, including adequate water and adequate protein, vitamins, and minerals in accordance with the United States Recommended Daily Allowances. (b) The text of subsection (a) of this section shall be included in the agreement required by section 10302 of this title. A copy of the text also shall be posted in a conspicuous place in the galley and forecastle of each vessel. (c) This section does not apply to a fishing or whaling vessel or a yacht. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 562.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10303 46:713 ------------------------------- Section 10303 requires that seamen be served adequate food and water and that the text of this requirement be posted in the galley. The provisions do not apply to fishing vessels, whaling vessels, or yachts. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10507 of this title. ------DocID 53373 Document 274 of 963------ -CITE- 46 USC Sec. 10304 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10304. Form of agreement -STATUTE- The form of the agreement required by section 10302 of this title shall be in substance as follows: UNITED STATES OF AMERICA (Date and place of first signature of agreement): It is agreed between the master and seamen of the , of which The seamen agree to conduct themselves in an orderly, faithful, honest, and sober manner, and to be at all times diligent in their respective duties, and to be obedient to the lawful commands of the master, or of an individual who lawfully succeeds the master, and of their superior officers in everything related to the vessel, and the stores and cargo of the vessel, whether on board, in boats, or on shore. In consideration of this service by the seamen to be performed, the master agrees to pay the crew, as wages, the amounts beside their names respectively expressed, and to supply them with provisions according to the annexed scale. It is agreed that any embezzlement, or willful or negligent destruction of any part of the vessel's cargo or stores, shall be made good to the owner out of the wages of the person guilty of the embezzlement or destruction. If an individual holds himself or herself out as qualified for a duty which the individual proves incompetent to perform, the individual's wages shall be reduced in proportion to the incompetency. It also is agreed that if a seaman considers himself or herself to be aggrieved by any breach of this agreement or otherwise, the seaman shall present the complaint to the master or officer in charge of the vessel, in a quiet and orderly manner, who shall take steps that the case requires. It also is agreed that (here any other stipulations may be inserted to which the parties agree, and that are not contrary to law). In witness whereof, the parties have subscribed their names to this agreement, on the dates beside their respective signatures. Signed by , master, on the day of , nineteen hundred and . Signature of seaman Time of service: Birthplace Months Age Days Height: Hospital money Feet Whole wages Inches Wages due Description: Place and time of entry Complexion Time at which seaman is to Hair be on board Wages each month In what capacity Wages each voyage Shipping commissioner's sig- Advance wages nature or initials Amount of monthly Allotment payable to allotment Conduct qualifications Note. - In the place for signature and descriptions of individuals engaged after the first departure of the vessel, the entries are to be made as above, except that the signature of the consul or vice consul, customs officer, or witness before whom the individual is engaged, is to be entered. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 562.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10304 46:713 ------------------------------- Section 10304 provides the form of the shipping articles of agreement. While the exact format need not be followed, the form that is used must contain all the pertinent elements. ------DocID 53374 Document 275 of 963------ -CITE- 46 USC Sec. 10305 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10305. Manner of signing agreement -STATUTE- (a) The agreement required by section 10302 of this title shall be signed - (1) first by the master and dated at that time, after which each seaman shall sign; and (2) in the presence of a shipping commissioner. (b) When the crew is first engaged, the agreement shall be signed in duplicate. One of the copies shall be retained by the shipping commissioner. The other copy shall contain space for the description and signatures of seamen engaged subsequent to the first making of the agreement, and shall be delivered to the master. (c) An agreement signed before a shipping commissioner shall be acknowledged and signed by the commissioner on the agreement in the manner and form prescribed by regulation. The acknowledgment and certification shall include a statement by the commissioner that the seaman - (1) has read the agreement; (2) is acquainted with and understands its conditions; and (3) has signed it freely and voluntarily when sober. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 563.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10305 46:565 ------------------------------- Section 10305 describes the procedures for signing the shipping agreement, and for keeping official records of the agreement. It also requires that the agreement include a statement that the seaman understand its provisions, and did so while sober. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10507 of this title. ------DocID 53375 Document 276 of 963------ -CITE- 46 USC Sec. 10306 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10306. Exhibiting merchant mariners' documents -STATUTE- Before signing the agreement required by section 10302 of this title, each individual required by section 8701 of this title to have a merchant mariner's document shall exhibit to the shipping commissioner a document issued to the individual, appropriately endorsed for the capacity in which the individual is to serve. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 564.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10306 46:643(c) ------------------------------- Section 10306 requires a seaman to exhibit an appropriately endorsed merchant mariner's document to the shipping commissioner before signing a shipping agreement. When a master acts as a shipping commissioner, the same procedure applies. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 8701 of this title. ------DocID 53376 Document 277 of 963------ -CITE- 46 USC Sec. 10307 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10307. Posting agreements -STATUTE- At the beginning of a voyage, the master shall have a legible copy of the agreement required by section 10302 of this title, omitting signatures, exhibited in a part of the vessel accessible to the crew. A master violating this section is liable to the United States Government for a civil penalty of $100. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 564.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10307 46:577 ------------------------------- Section 10307 requires the master to post a copy of the shipping agreement in a part of the vessel accessible to the crew prior to the commencement of a voyage. The posting must be done in a manner that gives seamen adequate notice of the particulars of the pending voyage. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10507 of this title. ------DocID 53377 Document 278 of 963------ -CITE- 46 USC Sec. 10308 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10308. Foreign engagements -STATUTE- (a) When a seaman is engaged outside the United States, the agreement required by section 10302 of this title shall be signed in the presence of a consular officer. If a consular officer is not available at the port of engagement, the seaman may be engaged, and the agreement shall be signed in the next port at which a consular officer is available. (b) A master engaging a seaman in violation of this section is liable to the United States Government for a civil penalty of $100. The vessel also is liable in rem for the penalty. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 564.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10308 46:570 ------------------------------- Section 10308 requires that shipping agreements made in foreign ports be signed in the presence of a consular officer. The penalty for violation of this section is $100. ------DocID 53378 Document 279 of 963------ -CITE- 46 USC Sec. 10309 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10309. Engaging seamen to replace those lost by desertion or casualty -STATUTE- (a) If a desertion or casualty results in the loss of at least one seaman, the master shall engage, if obtainable, a number equal to the number of seamen of whose services the master has been deprived. The new seaman must have at least the same grade or rating as the seaman whose place the new seaman fills. The master shall report the loss and replacement to a consular officer at the first port at which the master arrives. (b) The master is liable to the United States Government for a civil penalty of $200 for each report not made. The vessel also is liable in rem for the penalty. (c) This section does not apply to a fishing or whaling vessel or a yacht. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 564.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10309 46:569 ------------------------------- Section 10309 provides for the replacement of seamen lost by desertion or casualty. It does not apply to fishing vessels, whaling vessels, or yachts. ------DocID 53379 Document 280 of 963------ -CITE- 46 USC Sec. 10310 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10310. Discharge -STATUTE- A master shall deliver to a seaman or a shipping commissioner a full and true account of the seaman's wages and all deductions at least 48 hours before paying off or discharging the seaman. A master failing to deliver the account is liable to the United States Government for a civil penalty of $50. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 564.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10311 46:643 ------------------------------- Section 10311 requires a shipping commissioner, when discharging a seaman, either to provide the seaman with a certificate of discharge or to make an entry in the seaman's continuous discharge book. It requires that certain facts be included in the certificate or in the entry, prohibits other information from being included, and requires the Secretary to keep records of all discharges, copies of which must be furnished to seamen at cost upon request. These discharges are used to substantiate the nature and duration of the seaman's employment on a particular vessel. This section does not apply to fishing vessels, whaling vessels, or yachts. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10507 of this title. ------DocID 53380 Document 281 of 963------ -CITE- 46 USC Sec. 10312 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10312. Settlements on discharge -STATUTE- (a) When discharge and settlement are completed, the master or owner and each seaman shall sign the agreement required by section 10302 of this title in the presence of a shipping commissioner. The commissioner shall sign the agreement and retain a copy. When signed, it shall serve as a mutual release of all claims for wages for the voyage. (b) In a dispute about wages or deductions, if the parties agree in writing to submit the dispute to a shipping commissioner, the award made by the commissioner is conclusive in any subsequent legal proceeding. A document signed and sealed by a shipping commissioner purporting to be the award is prima facie evidence of the award. (c) In a proceeding before a shipping commissioner related to the wages, claims, or discharge of a seaman, the shipping commissioner may call on the owner, charterer, managing operator, agent, master, or a seaman to produce logbooks or other documents about a matter in question, and may summon before the commissioner and examine any person on the matter. An owner, charterer, managing operator, agent, master, or seaman failing on summons to produce a document in the possession or control of the owner, charterer, managing operator, agent, master, or seaman, or to give evidence, without reasonable cause, is liable to the United States Government for a civil penalty of $100. On application of the shipping commissioner, the owner, charterer, managing operator, agent, master, or seaman may be punished by a district court of the United States as in other cases of contempt of court. (d) On request, a certified copy of an agreement may be provided to a party to the agreement and is admissible in evidence with the effect of the original in any subsequent proceeding. (e) When a seaman has been discharged before a shipping commissioner, only the agreement is evidence of the release or satisfaction of any claim. (f) If a discharge is made under this section, the shipping commissioner, at the request of the master, shall provide the master with a signed statement of the total amount of wages paid. Between the master and the employer, the statement shall be received as evidence that the master has made the payments as stated. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 565.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10312(a), (b), (d)-(f) 46:644 10312(c) 46:652 ------------------------------- Section 10312 outlines the procedures for settlements upon discharge and for settling disputes over seamen's wages and discharges. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10313, 10504, 10507 of this title. ------DocID 53381 Document 282 of 963------ -CITE- 46 USC Sec. 10313 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10313. Wages -STATUTE- (a) A seaman's entitlement to wages and provisions begins when the seaman begins work or when specified in the agreement required by section 10302 of this title for the seaman to begin work or be present on board, whichever is earlier. (b) Wages are not dependent on the earning of freight by the vessel. When the loss or wreck of the vessel ends the service of a seaman before the end of the period contemplated in the agreement, the seaman is entitled to wages for the period of time actually served. The seaman shall be deemed a destitute seaman under section 11104 of this title. This subsection applies to a fishing or whaling vessel but not a yacht. (c) When a seaman who has signed an agreement is discharged improperly before the beginning of the voyage or before one month's wages are earned, without the seaman's consent and without the seaman's fault justifying discharge, the seaman is entitled to receive from the master or owner, in addition to wages earned, one month's wages as compensation. (d) A seaman is not entitled to wages for a period during which the seaman - (1) unlawfully failed to work when required, after the time fixed by the agreement for the seaman to begin work; or (2) lawfully was imprisoned for an offense, unless a court hearing the case otherwise directs. (e) After the beginning of the voyage, a seaman is entitled to receive from the master, on demand, one-half of the balance of wages earned and unpaid at each port at which the vessel loads or delivers cargo during the voyage. A demand may not be made before the expiration of 5 days from the beginning of the voyage, not more than once in 5 days, and not more than once in the same port on the same entry. If a master does not comply with this subsection, the seaman is released from the agreement and is entitled to payment of all wages earned. Notwithstanding a release signed by a seaman under section 10312 of this title, a court having jurisdiction may set aside, for good cause shown, the release and take action that justice requires. This subsection does not apply to a fishing or whaling vessel or a yacht. (f) At the end of a voyage, the master shall pay each seaman the balance of wages due the seaman within 24 hours after the cargo has been discharged or within 4 days after the seaman is discharged, whichever is earlier. When a seaman is discharged and final payment of wages is delayed for the period permitted by this subsection, the seaman is entitled at the time of discharge to one-third of the wages due the seaman. (g) When payment is not made as provided under subsection (f) of this section without sufficient cause, the master or owner shall pay to the seaman 2 days' wages for each day payment is delayed. (h) Subsections (f) and (g) of this section do not apply to a fishing or whaling vessel or a yacht. (i) This section applies to a seaman on a foreign vessel when in a harbor of the United States. The courts are available to the seaman for the enforcement of this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 566; Pub. L. 99-640, Sec. 10(b)(4), Nov. 10, 1986, 100 Stat. 3550.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10313(a) 46:591 10313(b) 46:592 46:593 10313(c) 46:594 10313(d) 46:595 10313(e)-(i) 46:596 46:597 46:598 ------------------------------- Section 10313 provides that a seaman's entitlement to wages begins when the seaman begins work, or as specified in the shipping agreement. This section also qualifies a seaman's entitlement to wages if the vessel is lost or wrecked, if the seaman is discharged improperly, or if the seaman unlawfully failed to work or was imprisoned. It also establishes procedures for the payment of wages at each port the vessel loads or unloads cargo, and at the end of the voyage. This section applies to seamen on foreign vessels in United States harbors, but not to fishing vessels, whaling vessels or yachts. AMENDMENTS 1986 - Subsec. (e). Pub. L. 99-640 struck out last sentence which read as follows: 'However, this subsection applies to a vessel taking oysters.' Subsec. (h). Pub. L. 99-640 struck out last sentence which read as follows: 'However, subsections (f) and (g) apply to a vessel taking oysters.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10507 of this title. ------DocID 53382 Document 283 of 963------ -CITE- 46 USC Sec. 10314 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10314. Advances -STATUTE- (a)(1) A person may not - (A) pay a seaman wages in advance of the time when the seaman has earned the wages; (B) pay advance wages of the seaman to another person; or (C) make to another person an order, note, or other evidence of indebtedness of the wages, or pay another person, for the engagement of seamen when payment is deducted or to be deducted from the seaman's wage. (2) A person violating this subsection is liable to the United States Government for a civil penalty of not more than $500. A payment made in violation of this subsection does not relieve the vessel or the master from the duty to pay all wages after they have been earned. (b) A person demanding or receiving from a seaman or an individual seeking employment as a seaman, remuneration for providing the seaman or individual with employment, is liable to the Government for a civil penalty of not more than $500. (c) This section applies to a foreign vessel when in waters of the United States. An owner, charterer, managing operator, agent, or master of a foreign vessel violating this section is liable to the Government for the same penalty as an owner, charterer, managing operator, agent, or master of a vessel of the United States for the same violation. (d) The owner, charterer, managing operator, agent, or master of a vessel seeking clearance from a port of the United States shall present the agreement required by section 10302 of this title at the office of clearance. Clearance may be granted to a vessel only if this section has been complied with. (e) This section does not apply to a fishing or whaling vessel or a yacht. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 567; Pub. L. 99-640, Sec. 10(b)(4), Nov. 10, 1986, 100 Stat. 3550.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10314 46:599 ------------------------------- Section 10314 forbids advance payment of wages to seamen prior to the commencement of the seaman's employment. It provides a civil penalty of $500 for any person making such a payment, and for any person demanding or receiving remuneration for providing a seaman with employment. This means that the use of employment agencies for hiring seamen is prohibited. It also requires compliance with section 10302 regarding the signing of articles of agreement before a vessel can be cleared from a United States port. This section applies to foreign vessels in United States waters but not to fishing vessels, whaling vessels or yachts. AMENDMENTS 1986 - Subsec. (e). Pub. L. 99-640 struck out last sentence which read as follows: 'However, this section applies to a vessel taking oysters.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10316 of this title. ------DocID 53383 Document 284 of 963------ -CITE- 46 USC Sec. 10315 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10315. Allotments -STATUTE- (a) Under prescribed regulations, a seaman may stipulate as follows in the agreement required by section 10302 of this title for an allotment of any part of the wages the seaman may earn: (1) to the seaman's grandparents, parents, spouse, sister, brother, or children; (2) to an agency designated by the Secretary of the Treasury to handle applications for United States savings bonds, to purchase bonds for the seaman; and (3) for deposits to be made in an account for savings or investment opened by the seaman and maintained in the seaman's name at a savings bank or a savings institution in which the accounts are insured by the Federal Deposit Insurance Corporation or the Federal Savings and Loan Insurance Corporation. (b) An allotment is valid only if made in writing and signed by and approved by a shipping commissioner. The shipping commissioner shall examine allotments and the parties to them to enforce compliance with the law. Stipulations for allotments made at the beginning of a voyage shall be included in the agreement and shall state the amounts and times of payment and the person to whom payments are to be made. (c) Only an allotment complying with this section is lawful. A person falsely claiming qualification as an allottee under this section is liable to the United States Government for a civil penalty of not more than $500. (d) The owner, charterer, managing operator, agent, or master of a vessel seeking clearance from a port of the United States shall present the agreement at the office of clearance. Clearance may be granted to a vessel only if this section has been complied with. (e) This section applies to a foreign vessel when in waters of the United States. An owner, charterer, managing operator, agent, or master of a foreign vessel violating this section is liable to the Government for the same penalty as an owner, charterer, managing operator, agent, or master of a vessel of the United States for the same violation. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 567.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10315 46:599 ------------------------------- Section 10315 lists the persons to whom a seaman may allot wages, specifies the conditions which make an allotment valid, and provides a civil penalty of $500 for falsely claiming qualification as an allotee. It also requires that this section be complied with before a vessel can be cleared from a United States port. This section applies to foreign vessels. -TRANS- TRANSFER OF FUNCTIONS Federal Savings and Loan Insurance Corporation abolished and functions transferred, see sections 401 to 406 of Pub. L. 101-73, set out as a note under section 1437 of Title 12, Banks and Banking. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10316, 11109 of this title. ------DocID 53384 Document 285 of 963------ -CITE- 46 USC Sec. 10316 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10316. Trusts -STATUTE- Sections 10314 and 10315 of this title do not prevent an employer from making deductions from the wages of a seaman, with the written consent of the seaman, if - (1) the deductions are paid into a trust fund established only for the benefit of seamen employed by that employer, and the families and dependents of those seamen (or of those seamen, families, and dependents jointly with other seamen employed by other employers, and the families and dependents of the other seamen); and (2) the payments are held in trust to provide, from principal or interest, or both, any of the following benefits for those seamen and their families and dependents: (A) medical or hospital care, or both. (B) pensions on retirement or death of the seaman. (C) life insurance. (D) unemployment benefits. (E) compensation for illness or injuries resulting from occupational activity. (F) sickness, accident, and disability compensation. (G) purchasing insurance to provide any of the benefits specified in this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 568.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10316 46:599(g) ------------------------------- Section 10316 qualifies the two previous sections by allowing an employer to make deductions from seamen's wages for the purpose of placing the wages into a trust fund or holding them in trust to provide for the seamen's benefit. ------DocID 53385 Document 286 of 963------ -CITE- 46 USC Sec. 10317 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10317. Loss of lien and right to wages -STATUTE- A master or seaman by any agreement other than one provided for in this chapter may not forfeit the master's or seaman's lien on the vessel or be deprived of a remedy to which the master or seaman otherwise would be entitled for the recovery of wages. A stipulation in an agreement inconsistent with this chapter, or a stipulation by which a seaman consents to abandon a right to wages if the vessel is lost, or to abandon a right the seaman may have or obtain in the nature of salvage, is void. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 568.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10317 46:600 ------------------------------- Section 10317 prohibits a master or seaman from entering into an agreement which forfeits his or her lien on the vessel or other remedy for recovery of wages, and renders such agreements void. ------DocID 53386 Document 287 of 963------ -CITE- 46 USC Sec. 10318 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10318. Wages on discharge in foreign ports -STATUTE- (a) When a master or seaman applies to a consular officer for the discharge of the seaman, the consular officer shall require the master to pay the seaman's wages if it appears that the seaman has carried out the agreement required by section 10302 of this title or otherwise is entitled to be discharged. Then the consular officer shall discharge the seaman. A consular officer shall require the payment of extra wages only as provided in this section or in chapter 109 of this title. (b) When discharging a seaman, a consular officer who fails to require the payment of the wages due a seaman at the time, and of the extra wages due under subsection (a) of this section, is accountable to the United States Government for the total amount. (c) A seaman discharged under this section with the consent of the seaman is entitled to wages up to the time of discharge, but not for any additional period. (d) If the seaman is discharged involuntarily, and it appears that the discharge was not because of neglect of duty, incompetency, or injury incurred on the vessel, the master shall provide the seaman with employment on a vessel agreed to by the seaman or shall provide the seaman with one month's extra wages. (e) Expenses for the maintenance and return of an ill or injured seaman to the United States shall be paid by the Secretary of State. If a seaman is incapacitated by illness or injury and prompt discharge is necessary, but a personal appearance of the master before a consular officer is impracticable, the master may provide transportation to the seaman to the nearest consular officer for discharge. (f) A deduction from wages of the seaman is permitted only if the deduction appears in the account of the seaman required to be delivered under section 10310 of this title, except for matters arising after delivery of the account, in which case a supplementary account is required. During a voyage, the master shall record in the official logbook the matters about which deductions are to be made with the amounts of the deductions. The entries shall be made as the matters occur. The master shall produce the official logbook at the time of payment of wages, and also before a competent authority on the hearing of any complaint or question about the payment of wages. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 568.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10318 46:682 46:683 ------------------------------- Section 10318 establishes consular officers' responsibilities in discharging seamen and the seamen's right to wages when discharged and when incapacitated by illness or injury. It also requires a master to record in the official logbook all matters for which deductions are to be made from seamen's wages. ------DocID 53387 Document 288 of 963------ -CITE- 46 USC Sec. 10319 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10319. Costs of a criminal conviction -STATUTE- In a proceeding about a seaman's wages, if it is shown that the seaman was convicted during the voyage of an offense by a competent tribunal and sentenced by the tribunal, the court hearing the case may direct that a part of the wages due the seaman, but not more than $15, be applied to reimburse the master for costs properly incurred in procuring the conviction and sentence. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 569.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10319 46:707 ------------------------------- Section 10319 provides that if a seaman was convicted during a voyage by a tribunal, that the court may direct that up to $15 of the seaman's wages be used to reimburse the master for the costs incurred. ------DocID 53388 Document 289 of 963------ -CITE- 46 USC Sec. 10320 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10320. Records of seamen -STATUTE- The Secretary may prescribe regulations for reporting by a master of matters about the engagement, discharge, or service of seamen that may be needed in keeping central records of seamen. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 569.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- ------------------------------- Section 10320 authorizes the Secretary to provide for the maintenance of records of the engagement, discharge, or service of seamen. ------DocID 53389 Document 290 of 963------ -CITE- 46 USC Sec. 10321 -EXPCITE- TITLE 46 Part G CHAPTER 103 -HEAD- Sec. 10321. General penalty -STATUTE- The owner, charterer, managing operator, agent, or master of a vessel on which a seaman is carried in violation of this chapter or a regulation prescribed under this chapter is liable to the United States Government for a civil penalty of $200 for each seaman carried in violation. The vessel also is liable in rem for the penalty. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 569.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10321 46:567 46:568 46:571 46:661 46:665 ------------------------------- Section 10321 makes a vessel on which a seaman is carried to sea in violation of this chapter or regulation prescribed under this chapter liable in rem to the United States Government for a civil penalty of $200 for each seaman carried in violation. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10507 of this title. ------DocID 53390 Document 291 of 963------ -CITE- 46 USC CHAPTER 105 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- CHAPTER 105 - COASTWISE VOYAGES -MISC1- Sec. 10501. Application. 10502. Shipping articles agreements. 10503. Exhibiting merchant mariners' documents. 10504. Wages. 10505. Advances. 10506. Trusts. 10507. Duties of shipping commissioners. 10508. General penalties. 10509. Penalty for failing to begin voyage. ------DocID 53391 Document 292 of 963------ -CITE- 46 USC Sec. 10501 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10501. Application -STATUTE- (a) Except for a vessel to which chapter 103 of this title applies, this chapter applies to a vessel of at least 50 gross tons on a voyage between a port in one State and a port in another State (except an adjoining State). (b) This chapter does not apply to a vessel on which the seamen are entitled by custom or agreement to share in the profit or result of a voyage. (c) Unless otherwise provided, this chapter does not apply to a foreign vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 570.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10501 46:574 ------------------------------- Section 10501 specifies that vessels over 50 gross tons that are not subject to chapter 103 and are engaged on voyages between two states (except for adjoining states) are subject to the provisions of this chapter. Specifically excluded are foreign vessels and vessels on which seamen share the profits. ------DocID 53392 Document 293 of 963------ -CITE- 46 USC Sec. 10502 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10502. Shipping articles agreements -STATUTE- (a) Before proceeding on a voyage, the master of a vessel to which this chapter applies shall make a shipping articles agreement in writing with each seaman on board, declaring the nature of the voyage or the period of time for which the seaman is engaged. (b) The agreement shall include the date and hour on which the seaman must be on board to begin the voyage. (c) The agreement may not contain a provision on the allotment of wages or a scale of provisions. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 570.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10502 46:574 ------------------------------- Section 10502 requires the master on a vessel engaged on a coastwise voyage to sign a shipping agreement with each member of the crew and lists provisions which must be and provisions which may not be included in the agreement. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10503, 10504, 10505, 10508, 10509 of this title. ------DocID 53393 Document 294 of 963------ -CITE- 46 USC Sec. 10503 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10503. Exhibiting merchant mariners' documents -STATUTE- Before signing the agreement required by section 10502 of this title, a seaman required by section 8701 of this title to have a merchant mariner's document shall exhibit to the master a document issued to the seaman and appropriately endorsed for the capacity in which the seaman is to serve. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 570.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10503 46:643 ------------------------------- Under section 10503 seamen who are required to have a merchant mariner's document must exhibit it before signing a shipping agreement on a coastwise voyage. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 8701 of this title. ------DocID 53394 Document 295 of 963------ -CITE- 46 USC Sec. 10504 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10504. Wages -STATUTE- (a) After the beginning of a voyage, a seaman is entitled to receive from the master, on demand, one-half of the balance of wages earned and unpaid at each port at which the vessel loads or delivers cargo during the voyage. A demand may not be made before the expiration of 5 days from the beginning of the voyage, not more than once in 5 days, and not more than once in the same port on the same entry. If a master does not comply with this subsection, the seaman is released from the agreement required by section 10502 of this title and is entitled to payment of all wages earned. Notwithstanding a release signed by a seaman under section 10312 of this title, a court having jurisdiction may set aside, for good cause shown, the release and take action that justice requires. This subsection does not apply to a fishing or whaling vessel or a yacht. (b) The master shall pay a seaman the balance of wages due the seaman within 2 days after the termination of the agreement required by section 10502 of this title or when the seaman is discharged, whichever is earlier. (c) When payment is not made as provided under subsection (b) of this section without sufficient cause, the master or owner shall pay to the seaman 2 days' wages for each day payment is delayed. (d) Subsections (b) and (c) of this section do not apply to: (1) a vessel engaged in coastwise commerce. (2) a yacht. (3) a fishing vessel. (4) a whaling vessel. (e) This section applies to a seaman on a foreign vessel when in harbor of the United States. The courts are available to the seaman for the enforcement of this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 570; Pub. L. 99-36, Sec. 1(a)(5), May 15, 1985, 99 Stat. 67; Pub. L. 99-640, Sec. 10(b)(4), (5), Nov. 10, 1986, 100 Stat. 3550.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10504 46:596 46:597 46:598 ------------------------------- Section 10504 specifies when seamen on coastwise voyages may obtain portions of their wages. The section does not apply to fishing vessels, whaling vessels or yachts, and portions of it do not apply to vessels taking oysters. It does apply to foreign vessels while in United States ports. AMENDMENTS 1986 - Subsec. (a). Pub. L. 99-640, Sec. 10(b)(4), struck out last sentence which read as follows: 'However, this subsection applies to a vessel taking oysters.' Subsec. (d)(3). Pub. L. 99-640, Sec. 10(b)(5), struck out '(except a vessel taking oysters)' after 'vessel'. 1985 - Subsec. (d). Pub. L. 99-36 amended subsec. (d) generally, thereby including reference to a vessel engaged in coastwise commerce. EFFECTIVE DATE OF 1985 AMENDMENT Section 1(b) of Pub. L. 99-36 provided that: 'The effective date of subsection (a)(5) of this section (amending this section) is August 26, 1983.' ------DocID 53395 Document 296 of 963------ -CITE- 46 USC Sec. 10505 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10505. Advances -STATUTE- (a)(1) A person may not - (A) pay a seaman wages in advance of the time when the seaman has earned the wages; (B) pay advance wages of the seaman to another person; or (C) make to another person an order, note, or other evidence of indebtedness of the wages, or pay another person, for the engagement of seamen when payment is deducted or to be deducted from the seaman's wage. (2) A person violating this subsection is liable to the United States Government for a civil penalty of not more than $100. A payment made in violation of this subsection does not relieve the vessel or the master from the duty to pay all wages after they have been earned. (b) A person demanding or receiving from a seaman or an individual seeking employment as a seaman, remuneration for providing the seaman or individual with employment, is liable to the Government for a civil penalty of not more than $500. (c) The owner, charterer, managing operator, agent, or master of a vessel seeking clearance from a port of the United States shall present the agreement required by section 10502 of this title at the office of clearance. Clearance may be granted to a vessel only if this section has been complied with. (d) This section does not apply to a fishing or whaling vessel or a yacht. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 571; Pub. L. 99-640, Sec. 10(b)(4), Nov. 10, 1986, 100 Stat. 3550.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10505 46:598 46:599 ------------------------------- Section 10505 prohibits any person from paying a seaman on a coastwise voyage advance wages, or to pay to another person any form of a seaman's wages prior to the commencement of the seaman's employment. It also prohibits a person from seeking or receiving remuneration for providing a seaman with employment. This section also requires that a vessel comply with this section before clearing port. It provides penalties for offenses of its provisions. The section does not apply to fishing vessels, whaling vessels, or yachts, but does apply to vessels taking oysters. AMENDMENTS 1986 - Subsec. (d). Pub. L. 99-640 struck out last sentence which read as follows: 'However, this section applies to a vessel taking oysters.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10506 of this title. ------DocID 53396 Document 297 of 963------ -CITE- 46 USC Sec. 10506 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10506. Trusts -STATUTE- Section 10505 of this title does not prevent an employer from making deductions from the wages of a seaman, with the written consent of the seaman, if - (1) the deductions are paid into a trust fund established only for the benefit of seamen employed by that employer, and the families and dependents of those seamen (or of those seamen, families, and dependents jointly with other seamen employed by other employers, and the families and dependents of the other seamen); and (2) the payments are held in trust to provide, from principal or interest, or both, any of the following benefits for those seamen and their families and dependents: (A) medical or hospital care, or both. (B) pensions on retirement or death of the seaman. (C) life insurance. (D) unemployment benefits. (E) compensation for illness or injuries resulting from occupational activity. (F) sickness, accident, and disability compensation. (G) purchasing insurance to provide any of the benefits specified in this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 571.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10506 46:599 ------------------------------- Section 10506 permits deductions to be made from wages of seamen on coastwise voyages if the deductions are to be used for the benefit of the seamen or their families. ------DocID 53397 Document 298 of 963------ -CITE- 46 USC Sec. 10507 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10507. Duties of shipping commissioners -STATUTE- (a) At the option of the owner or master of a vessel to which this chapter applies, a shipping commissioner may engage and discharge the crew. (b) When a crew is engaged under this section, sections 10302, 10303, 10305, 10307, 10311, 10312, 10313(b)-(f), and 10321, and chapter 107 of this title apply. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 571.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- ------------------------------- Under section 10507 the master of a vessel on a coastwise voyage has the option of using a shipping commissioner if one is available. It also provides that the engagements of crews under this section are subject to certain provisions in chapter 103. ------DocID 53398 Document 299 of 963------ -CITE- 46 USC Sec. 10508 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10508. General penalties -STATUTE- (a) A master who carries a seaman on a voyage without first making the agreement required by section 10502 of this title shall pay to the seaman the highest wage that was paid for a similar voyage within the 3 months before the time of engagement at the port or place at which the seaman was engaged. A seaman who has not signed an agreement is not bound by the applicable regulations, penalties, or forfeitures. (b) A master engaging a seaman in violation of this chapter or a regulation prescribed under this chapter is liable to the United States Government for a civil penalty of $20. The vessel also is liable in rem for the penalty. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 572.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10508 46:575 ------------------------------- Section 10508 provides for a fair wage to be paid to a seaman who was engaged without a shipping agreement, and also exempts the seaman under certain conditions from applicable regulations, penalties or forfeitures. It also provides a penalty for violation of its provisions. ------DocID 53399 Document 300 of 963------ -CITE- 46 USC Sec. 10509 -EXPCITE- TITLE 46 Part G CHAPTER 105 -HEAD- Sec. 10509. Penalty for failing to begin voyage -STATUTE- (a) A seaman who fails to be on board at the time contained in the agreement required by section 10502 of this title, without having given 24 hours' notice of inability to do so, shall forfeit, for each hour's lateness, one-half of one day's pay to be deducted from the seaman's wages if the lateness is recorded in the official logbook on the date of the violation. (b) A seaman who does not report at all or subsequently deserts forfeits all wages. (c) This section does not apply to a fishing or whaling vessel or a yacht. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 572.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10509 46:576 ------------------------------- This section provides for a reduction in the wages of seamen who arrive late for voyages, if their late arrival is noted in the official logbook. It does not apply to fishing vessels, whaling vessels or yachts. ------DocID 53400 Document 301 of 963------ -CITE- 46 USC CHAPTER 106 -EXPCITE- TITLE 46 Part G CHAPTER 106 -HEAD- CHAPTER 106 - FISHING VOYAGES -MISC1- Sec. 10601. Fishing agreements. 10602. Recovery of wages and shares of fish under agreement. 10603. Seaman's duty to notify employer regarding illness, disability, and injury. ------DocID 53401 Document 302 of 963------ -CITE- 46 USC Sec. 10601 -EXPCITE- TITLE 46 Part G CHAPTER 106 -HEAD- Sec. 10601. Fishing agreements -STATUTE- (a) Before proceeding on a voyage, the master or individual in charge of a fishing vessel, fish processing vessel, or fish tender vessel shall make a fishing agreement in writing with each seaman enployed (FOOTNOTE 1) on board if the vessel is - (FOOTNOTE 1) So in original. Probably should be 'employed'. (1) at least 20 gross tons; and (2) on a voyage from a port in the United States. (b) The agreement shall be signed also by the owner of the vessel. (c) The agreement shall - (1) state the period of effectiveness of the agreement; (2) include the terms of any wage, share, or other compensation arrangement peculiar to the fishery in which the vessel will be engaged during the period of the agreement; and (3) include other agreed terms. -SOURCE- (Added Pub. L. 100-424, Sec. 6(a), Sept. 9, 1988, 102 Stat. 1591.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10601 46:531 ------------------------------- -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10602 of this title. ------DocID 53402 Document 303 of 963------ -CITE- 46 USC Sec. 10602 -EXPCITE- TITLE 46 Part G CHAPTER 106 -HEAD- Sec. 10602. Recovery of wages and shares of fish under agreement -STATUTE- (a) When fish caught under an agreement under section 10601 of this title are delivered to the owner of the vessel for processing and are sold, the vessel is liable in rem for the wages and shares of the proceeds of the seamen. An action under this section must be brought within six months after the sale of the fish. (b)(1) In an action under this section, the owner shall produce an accounting of the sale and division of proceeds under the agreement. If the owner fails to produce the accounting, the vessel is liable for the highest value alleged for the shares. (2) The owner may offset the value of general supplies provided for the voyage and other supplies provided the seaman bringing the action. (c) This section does not affect a common law right of a seaman to bring an action to recover the seaman's share of the fish or proceeds. -SOURCE- (Added Pub. L. 100-424, Sec. 6(a), Sept. 9, 1988, 102 Stat. 1592.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10602 46:533, 534 ------------------------------- ------DocID 53403 Document 304 of 963------ -CITE- 46 USC Sec. 10603 -EXPCITE- TITLE 46 Part G CHAPTER 106 -HEAD- Sec. 10603. Seaman's duty to notify employer regarding illness, disability, and injury -STATUTE- (a) A seaman on a fishing vessel, fish processing vessel, or fish tender vessel shall notify the master or individual in charge of the vessel or other agent of the employer regarding any illness, disability, or injury suffered by the seaman when in service to the vessel not later than seven days after the date on which the illness, disability, or injury arose. (b) The Secretary shall prescribe regulations requiring that each fishing vessel, fish processing vessel, and fish tender vessel shall have on board a placard displayed in a prominent location accessible to the crew describing the seaman's duty under subsection (a) of this section. -SOURCE- (Added Pub. L. 100-424, Sec. 6(a), Sept. 9, 1988, 102 Stat. 1592.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10603 New ------------------------------- -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 4502 of this title. ------DocID 53404 Document 305 of 963------ -CITE- 46 USC CHAPTER 107 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- CHAPTER 107 - EFFECTS OF DECEASED SEAMEN -MISC1- Sec. 10701. Application. 10702. Duties of masters. 10703. Procedures of masters. 10704. Duties of consular officers. 10705. Disposition of money, property, and wages by consular officers. 10706. Seamen dying in the United States. 10707. Delivery to district court. 10708. Sale of property. 10709. Distribution. 10710. Unclaimed money, property, and wages. 10711. Penalties. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 10507 of this title. ------DocID 53405 Document 306 of 963------ -CITE- 46 USC Sec. 10701 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10701. Application -STATUTE- (a) Except as otherwise specifically provided, this chapter applies to a vessel on a voyage between - (1) a port of the United States and a port in a foreign country (except a port in Canada, Mexico, and the West Indies); and (2) a port of the United States on the Atlantic Ocean and a port of the United States on the Pacific Ocean. (b) This chapter does not apply to a vessel on which a seaman by custom or agreement is entitled to share in the profit or result of a voyage. (c) This chapter does not apply to a foreign vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 572.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10701 46:621 ------------------------------- Section 10701 provides that the provisions in chapter 107 apply to vessels on voyages between U.S. ports and foreign countries (except Canada, Mexico, or the West Indies) and between United States ports on the Atlantic and United States ports on the Pacific. It does not apply to foreign vessels or vessels on which the seamen share the profits. ------DocID 53406 Document 307 of 963------ -CITE- 46 USC Sec. 10702 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10702. Duties of masters -STATUTE- (a) When a seaman dies during a voyage, the master shall take charge of the seaman's money and property. An entry shall be made in the official logbook, signed by the master, the chief mate, and an unlicensed crewmember containing an inventory of the money and property and a statement of the wages due the seaman, with the total of the deductions to be made. (b) On compliance with this chapter, the master shall obtain a written certificate of compliance from a shipping commissioner. Clearance may be granted to a foreign-bound vessel only when the certificate is received at the office of customs. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 572.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10702 46:621 ------------------------------- Section 10702 requires a master to take charge of the property of a deceased seaman, make note in the official logbook that the property was taken and obtain a certificate of compliance from a shipping commissioner which must be exhibited for port clearance of foreign bound vessels. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 11301 of this title. ------DocID 53407 Document 308 of 963------ -CITE- 46 USC Sec. 10703 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10703. Procedures of masters -STATUTE- (a) If the vessel is proceeding to the United States when a seaman dies, the master shall deliver the seaman's money, property, and wages when the agreement required by this part is ended, as provided by regulations prescribed by the Secretary. (b) If the vessel touches at a foreign port after the death of the seaman, the master shall report to the first available consular officer. The consular officer may require the master to deliver to the officer the money, property, and wages of the seaman. The consular officer shall give the master a receipt for the matters delivered and certify on the agreement the particulars of the delivery. When the agreement ends, the master shall deliver the receipt as prescribed by regulations. (c) If the consular officer does not require the master to deliver the seaman's money, property, and wages, the officer shall so certify on the agreement, and the master shall dispose of the money, property, and wages as provided under subsection (a) of this section. (d) A deduction from the account of a deceased seaman is valid only if certified by a proper entry in the official logbook. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 573.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10703 46:622 ------------------------------- Section 10703 provides for the disposal by the master of the property and wages of deceased seamen who have died outside the United States. ------DocID 53408 Document 309 of 963------ -CITE- 46 USC Sec. 10704 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10704. Duties of consular officers -STATUTE- When a seaman dies outside the United States leaving money or property not on board a vessel, the consular officer nearest the place at which the money and property is located shall claim and take charge of it. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 573.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10704 46:624 ------------------------------- Section 10704 requires consular officers to take charge of the property (not left on board a vessel) of deceased seamen who have died outside the United States. ------DocID 53409 Document 310 of 963------ -CITE- 46 USC Sec. 10705 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10705. Disposition of money, property, and wages by consular officers -STATUTE- When money, property, or wages of a deceased seaman comes into possession of a consular officer, the officer may - (1) sell the property and remit the proceeds and other money or wages of the seaman the officer has received, to the district court of the United States for the district in which the voyage begins or ends; or (2) deliver the money, property, and wages to the district court. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 573.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10705 46:624 ------------------------------- Section 10705 instructs consular officers on the disposal of the property and wages of deceased seamen who have died outside the United States. ------DocID 53410 Document 311 of 963------ -CITE- 46 USC Sec. 10706 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10706. Seamen dying in the United States -STATUTE- When a seaman dies in the United States and is entitled at death to claim money, property, or wages from the master or owner of a vessel on which the seaman served, the master or owner shall deliver the money, property, and wages as provided by regulations prescribed by the Secretary. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 573.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10706 46:625 ------------------------------- Section 10706 provides for the disposal by the master of the property and wages of deceased seamen who have died in the United States. ------DocID 53411 Document 312 of 963------ -CITE- 46 USC Sec. 10707 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10707. Delivery to district court -STATUTE- The Secretary shall provide for the delivery to a district court of the United States of the money, property, and wages of a deceased seaman within one week from the date of receipt. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 573.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10707 46:626 ------------------------------- Section 10707 requires the Secretary to provide for the prompt delivery of the property and wages of a deceased seaman to a district court. ------DocID 53412 Document 313 of 963------ -CITE- 46 USC Sec. 10708 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10708. Sale of property -STATUTE- A district court of the United States may direct the sale of any part of the property of a deceased seaman. Proceeds of the sale shall be held as wages of the seaman are held. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 574.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10708 46:628 ------------------------------- Section 10708 permits a district court to sell a deceased seaman's property and treat the proceeds as wages. ------DocID 53413 Document 314 of 963------ -CITE- 46 USC Sec. 10709 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10709. Distribution -STATUTE- (a)(1) If the money, property, and wages of a seaman, including proceeds from the sale of property, are not more than $1,500 in value, the court, subject to deductions it allows for expenses and at least 60 days after receiving the money, property, and wages, may deliver the money, property, and wages to a claimant proving to be - (A) the seaman's surviving spouse or child; (B) entitled to the money, property, and wages under the seaman's will or under a law or at common law; or (C) entitled to secure probate, or take out letters of administration, although no probate or letters of administration have been issued. (2) The court is released from further liability for the money, property, and wages distributed under paragraph (1) of this subsection. (3) Instead of acting under paragraphs (1) and (2) of this subsection, the court may require probate or letters of administration to be taken out, and then deliver the money, property, and wages to the legal representative of the seaman. (b) If the money, property, and wages are more than $1,500 in value, the court, subject to deductions for expenses, shall deliver the money, property, and wages to the legal representative of the seaman. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 574; Pub. L. 99-307, Sec. 1(15), May 19, 1986, 100 Stat. 446.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10709 46:627 ------------------------------- Section 10709 instructs a district court to deliver a deceased seaman's property and wages to the proper claimant or legal representative. It also discharges the court from liability. AMENDMENTS 1986 - Subsec. (a)(1). Pub. L. 99-307, in text preceding cl. (A), substituted 'than $1,500 in value, the court,' for 'then $1,500 in value, and' and 'wages, may' for 'wages, the court may'. ------DocID 53414 Document 315 of 963------ -CITE- 46 USC Sec. 10710 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10710. Unclaimed money, property, and wages -STATUTE- (a) When a claim for the money, property, or wages of a deceased seaman held by a district court of the United States has not been substantiated within 6 years after their receipt by the court, the court, if a subsequent claim is made, may allow or refuse the claim. (b) If, after money, property, and wages have been held by the court for 6 years, it appears to the court that no claim will have to be satisfied, the property shall be sold. The money and wages and the proceeds from the sale shall be deposited in the Treasury trust fund receipt account 'Unclaimed Moneys of Individuals Whose Whereabouts are Unknown'. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 574.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10710 46:628 ------------------------------- Section 10710 provides that if no claim is made to a deceased seaman's property and wages within six years, the court shall sell the property and deposit the proceeds into the Treasury trust fund receipt account 'Unclaimed Moneys of Individuals Whose Whereabouts are Unknown'. -CROSS- CROSS REFERENCES Refund of amounts erroneously deposited in unclaimed trust fund, see section 1322 of Title 31, Money and Finance. ------DocID 53415 Document 316 of 963------ -CITE- 46 USC Sec. 10711 -EXPCITE- TITLE 46 Part G CHAPTER 107 -HEAD- Sec. 10711. Penalties -STATUTE- An owner or master violating this chapter are each liable to the United States Government for a civil penalty of 3 times the value of the seaman's money, property, and wages involved or, if the value is not determined, of $200. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 574.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10711 46:623 ------------------------------- Section 10711 provides penalties for masters and owners violating this chapter. ------DocID 53416 Document 317 of 963------ -CITE- 46 USC CHAPTER 109 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- CHAPTER 109 - PROCEEDINGS ON UNSEAWORTHINESS -MISC1- Sec. 10901. Application. 10902. Complaints of unfitness. 10903. Proceedings on examination of vessel. 10904. Refusal to proceed. 10905. Complaints in foreign ports. 10906. Discharge of crew for unsuitability. 10907. Permission to make complaint. 10908. Penalty for sending unseaworthy vessel to sea. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 10318 of this title. ------DocID 53417 Document 318 of 963------ -CITE- 46 USC Sec. 10901 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- Sec. 10901. Application -STATUTE- This chapter applies to a vessel of the United States except a fishing or whaling vessel or a yacht. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 575.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10901 46:653 46:654 46:655 46:656 46:658 ------------------------------- Section 10901 provides that chapter 109 applies to all vessels of the United States except fishing vessels, whaling vessels or yachts. ------DocID 53418 Document 319 of 963------ -CITE- 46 USC Sec. 10902 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- Sec. 10902. Complaints of unfitness -STATUTE- (a)(1) If the chief and second mates or a majority of the crew of a vessel ready to begin a voyage discover, before the vessel leaves harbor, that the vessel is unfit as to crew, hull, equipment, tackle, machinery, apparel, furniture, provisions of food or water, or stores to proceed on the intended voyage and require the unfitness to be inquired into, the master immediately shall apply to the district court of the United States at the place at which the vessel is located, or, if no court is being held at the place at which the vessel is located, to a judge or justice of the peace, for the appointment of surveyors. At least 2 complaining seamen shall accompany the master to the judge or justice of the peace. (2) A master failing to comply with this subsection is liable to the United States Government for a civil penalty of $500. (b)(1) Any 3 seamen of a vessel may complain that the provisions of food or water for the crew are, at any time, of bad quality, unfit for use, or deficient in quantity. The complaint may be made to the commanding officer of a United States naval vessel, consular officer, Coast Guard shipping commissioner, or chief official of the Customs Service. (2) The officer, commissioner, or official shall examine, or have examined, the provisions of food or water. If the provisions are found to be of bad quality, unfit for use, or deficient in quantity, the person making the findings shall certify to the master of the vessel which provisions are of bad quality, unfit for use, or deficient. (3) The officer, commissioner, or official to whom the complaint was made shall - (A) make an entry in the official logbook of the vessel on the results of the examination; and (B) submit a report on the examination to the district court of the United States at which the vessel is to arrive, with the report being admissible into evidence in any legal proceeding. (4) The master is liable to the Government for a civil penalty of not more than $100 each time the master, on receiving the certification referred to in paragraph (2) of this subsection - (A) does not provide other proper provisions of food or water, when available, in place of the provisions certified as of bad quality or unfit for use; (B) does not obtain sufficient provisions when the certification includes a finding of a deficiency in quantity; or (C) uses provisions certified to be of bad quality or unfit for use. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 575.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10902(a) 46:653 10902(b) 46:662 ------------------------------- Section 10902 instructs the crew on making complaints of unfitness of vessel with regard to equipment and provisions, and instructs the master on responding to those complaints, and provides a penalty for violations. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10903, 10905 of this title. ------DocID 53419 Document 320 of 963------ -CITE- 46 USC Sec. 10903 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- Sec. 10903. Proceedings on examination of vessel -STATUTE- (a) On application made under section 10902(a) of this title, the judge or justice of the peace shall appoint 3 experienced and skilled marine surveyors to examine the vessel for the defects or insufficiencies complained of. The surveyors have the authority to receive and consider evidence necessary to evaluate the complaint. When the complaint involves provisions of food or water, one of the surveyors shall be a medical officer of the Public Health Service, if available. The surveyors shall make a report in writing, signed by at least 2 of them, stating whether the vessel is fit to proceed to sea or, if not, in what respect it is unfit, making appropriate recommendations about additional seamen, provisions, or stores, or about physical repairs, alterations, or additions necessary to make the vessel fit. (b) On receiving the report, the judge or justice of the peace shall endorse on the report the judgment of the judge or justice on whether the vessel is fit to proceed on the voyage, and, if not, whether the vessel may proceed to another port at which the deficiencies can be corrected. The master and the crew shall comply with the judgment. (c) The master shall pay all costs of the survey, report, and judgment. However, if the complaint of the crew appears in the report and judgment to have been without foundation, or if the complaint involved provisions of food or water, without reasonable grounds, the master or owner may deduct the amount of the costs and reasonable damages for the detention of the vessel, as determined by the judge or justice of the peace, from the wages of the complaining seamen. (d) A master of a vessel violating this section who refuses to pay the costs and wages is liable to the United States Government for a civil penalty of $100 and is liable in damages to each person injured by the refusal. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 575.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10903(a), (b) 46:654 10903(c) 46:659 10903(d) 46:660 ------------------------------- Section 10903 provides for marine surveyors appointed by a judge or justice of the peace to inspect a vessel on which a complaint of unfitness was made, for a judge or justice of the peace to judge the fitness based on the findings, and for the payment of costs of the inspection by the master or the crew. It also includes a penalty for noncompliance. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10904 of this title. ------DocID 53420 Document 321 of 963------ -CITE- 46 USC Sec. 10904 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- Sec. 10904. Refusal to proceed -STATUTE- After a judgment under section 10903 of this title that a vessel is fit to proceed on the intended voyage, or after the order of a judgment to make up deficiencies is complied with, if a seaman does not proceed on the voyage, the unpaid wages of the seaman are forfeited. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 576.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10904 46:655 ------------------------------- Section 10904 provides that if a vessel is found fit to proceed by a judge or justice of the peace and a seaman refuses to proceed, the seaman shall forfeit any unpaid wages. ------DocID 53421 Document 322 of 963------ -CITE- 46 USC Sec. 10905 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- Sec. 10905. Complaints in foreign ports -STATUTE- (a) When a complaint under section 10902(a) of this title is made in a foreign port, the procedures of this chapter shall be followed, with a consular officer performing the duties of the judge or justice of the peace. (b) On review of the marine surveyors' report, the consular officer may approve and must certify any part of the report with which the officer agrees. If the consular officer dissents from any part of the report, the officer shall certify reasons for dissenting from that part. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 576.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10905 46:656 46:657 ------------------------------- Section 10905 provides that if a complaint of unfitness is made in a foriegn port, a consular officer shall perform the duties of a judge or justice of the peace. ------DocID 53422 Document 323 of 963------ -CITE- 46 USC Sec. 10906 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- Sec. 10906. Discharge of crew for unsuitability -STATUTE- When a survey is made at a foreign port, the surveyors shall state in the report whether, in their opinion, the vessel had been sent to sea unsuitably provided in any important particular, by neglect or design or through mistake or accident. If by neglect or design, and the consular officer approves the finding, the officer shall discharge a seaman requesting discharge and shall require the master to pay one month's wages to that seaman in addition to wages then due, or sufficient money for the return of the seaman to the nearest and most convenient port of the United States, whichever is the greater amount. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 576.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10906 46:658 ------------------------------- Section 10906 provides that if a consular officer finds that a vessel has been sent to sea in an unsuitable state, a crew member requesting discharge must be paid one month's additional wages and passage to the United States. ------DocID 53423 Document 324 of 963------ -CITE- 46 USC Sec. 10907 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- Sec. 10907. Permission to make complaint -STATUTE- (a) A master may not refuse to permit, deny the opportunity to, or hinder a seaman who wishes to make a complaint authorized by this chapter. (b) A master violating this section is liable to the United States Government for civil penalty of $500. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 577.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10907 46:653 46:664 ------------------------------- Section 10907 prohibits a master from hindering a seaman from making a complaint authorized by this chapter and subjects the master to a fine for violation of this section. ------DocID 53424 Document 325 of 963------ -CITE- 46 USC Sec. 10908 -EXPCITE- TITLE 46 Part G CHAPTER 109 -HEAD- Sec. 10908. Penalty for sending unseaworthy vessel to sea -STATUTE- A person that knowingly sends or attempts to send, or that is a party to sending or attempting to send, a vessel of the United States to sea, in an unseaworthy state that is likely to endanger the life of an individual, shall be fined not more than $1,000, imprisoned for not more than 5 years, or both. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 577.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 10908 46:658 ------------------------------- Section 10908 provides a penalty for a person knowingly sending or attempting to send an unseaworthy vessel to sea. ------DocID 53425 Document 326 of 963------ -CITE- 46 USC CHAPTER 111 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- CHAPTER 111 - PROTECTION AND RELIEF -MISC1- Sec. 11101. Accommodations for seamen. 11102. Medicine chests. 11103. Slop chests. 11104. Destitute seamen. 11105. Wages on discharge when vessel sold. 11106. Wages on justifiable complaint of seamen. 11107. Unlawful engagements void. 11108. Taxes. 11109. Attachment of wages. 11110. Seamen's clothing. 11111. Limit on amount recoverable on voyage. 11112. Master's lien for wages. AMENDMENTS 1986 - Pub. L. 99-307, Sec. 1(19)(A), May 19, 1986, 100 Stat. 446, added item 11112. ------DocID 53426 Document 327 of 963------ -CITE- 46 USC Sec. 11101 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11101. Accommodations for seamen -STATUTE- (a) On a merchant vessel of the United States the construction of which began after March 4, 1915 (except a yacht, pilot vessel, or vessel of less than 100 gross tons) - (1) each place appropriated to the crew of the vessel shall have a space of at least 120 cubic feet and at least 16 square feet, measured on the floor or deck of that place, for each seaman or apprentice lodged in the vessel; (2) each seaman shall have a separate berth and not more than one berth shall be placed one above another; (3) the place or berth shall be securely constructed, properly lighted, drained, heated, and ventilated, properly protected from weather and sea, and, as far as practicable, properly shut off and protected from the effluvium of cargo or bilge water; and (4) crew space shall be kept free from goods or stores that are not the personal property of the crew occupying the place in use during the voyage. (b) In addition to the requirements of subsection (a) of this section, a merchant vessel of the United States that in the ordinary course of trade makes a voyage of more than 3 days' duration between ports and carries a crew of at least 12 seamen shall have a hospital compartment, suitably separated from other spaces. The compartment shall have at least one bunk for each 12 seamen constituting the crew (but not more than 6 bunks may be required). (c) A steam vessel of the United States operating on the Mississippi River or its tributaries shall provide, under the direction and approval of the Secretary, an appropriate place for the crew that shall conform to the requirements of this section, as far as they apply to the steam vessel, by providing a properly heated sleeping room in the engineroom of the steam vessel properly protected from the cold, wind, and rain by means of suitable awnings or screens on either side of the guards or sides and forward, reaching from the boiler deck to the lower or main deck. (d) A merchant vessel of the United States, the construction of which began after March 4, 1915, having more than 10 seamen on deck, shall have at least one lighted, clean, and properly heated and ventilated washing place. There shall be provided at least one washing outfit for each 2 seamen of the watch. A separate washing place shall be provided for the fireroom and engineroom seamen, if their number is more than 10, that shall be large enough to accommodate at least one-sixth of them at the same time, and have a hot and cold water supply and a sufficient number of washbasins, sinks, and shower baths. (e) Forecastles shall be fumigated at intervals provided by regulations prescribed by the Secretary of Health and Human Services, with the approval of the Secretary, and shall have at least 2 exits, one of which may be used in emergencies. (f) The owner, charterer, managing operator, agent, master, or licensed individual of a vessel not complying with this section is liable to the United States Government for a civil penalty of at least $50 but not more than $500. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 577; Pub. L. 99-36, Sec. 1(a)(6), May 15, 1985, 99 Stat. 67.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11101 46:660-1 ------------------------------- Section 11101 provides mandatory standards for crew accommodations and a penalty for noncompliance with those standards. AMENDMENTS 1985 - Subsec. (d). Pub. L. 99-36 substituted 'lighted' for 'light'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 446b of Appendix to this title. ------DocID 53427 Document 328 of 963------ -CITE- 46 USC Sec. 11102 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11102. Medicine chests -STATUTE- (a) A vessel of the United States on a voyage from a port in the United States to a foreign port (except to a Canadian port), and a vessel of the United States of at least 75 gross tons on a voyage between a port of the United States on the Atlantic Ocean and Pacific Ocean, shall be provided with a medicine chest. (b) The owner and master of a vessel not equipped as required by subsection (a) of this section or a regulation prescribed under subsection (a) are liable to the United States Government for a civil penalty of $500. If the offense was due to the fault of the owner, a master penalized under this section has the right to recover the penalty and costs from the owner. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 578.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11102(a) 46:666 11102(b) 46:667 ------------------------------- Section 11102 requires that a United States vessel on a foreign or intercoastal domestic voyage be equipped with a medicine chest, and provides a penalty for noncompliance. The Committee intends that regulation will provide for a well stocked medicine chest adequate for the crew of a vessel. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 11103 of this title. ------DocID 53428 Document 329 of 963------ -CITE- 46 USC Sec. 11103 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11103. Slop chests -STATUTE- (a) A vessel to which section 11102 of this title applies shall be provided with a slop chest containing sufficient clothing for the intended voyage for each seaman, including - (1) boots or shoes; (2) hats or caps; (3) underclothing; (4) outer clothing; (5) foul weather clothing; (6) everything necessary for the wear of a seaman; and (7) a complete supply of tobacco and blankets. (b) Merchandise in the slop chest shall be sold to a seaman desiring it, for the use of the seaman, at a profit of not more than 10 percent of the reasonable wholesale value of the merchandise at the port at which the voyage began. (c) This section does not apply to a vessel on a voyage to Canada, Bermuda, the West Indies, Mexico, or Central America, or a fishing or whaling vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 578.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11103 46:670 46:671 ------------------------------- Section 11103 requires that a United States vessel on a foreign or intercoastal domestic voyage be equipped with a slop chest and lists the items the slop chest must contain. ------DocID 53429 Document 330 of 963------ -CITE- 46 USC Sec. 11104 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11104. Destitute seamen -STATUTE- (a) A consular officer shall provide, for a destitute seaman of the United States, subsistence and passage to a port of the United States in the most reasonable manner, at the expense of the United States Government and subject to regulations prescribed by the Secretary of State. A seaman, if able, shall be required to perform duties on the vessel giving the seaman passage, in accordance with the seaman's rating. (b) A master of a vessel of the United States bound to a port of the United States shall take a destitute seaman on board at the request of a consular officer and transport the seaman to the United States. A master refusing to transport a destitute seaman when requested is liable to the United States Government for a civil penalty of $100. The certificate signed and sealed by a consular officer is prima facie evidence of refusal. A master is not required to carry a destitute seaman if the seaman's presence would cause the number of individuals on board to exceed the number permitted in the certificate of inspection or if the seaman has a contagious disease. (c) Compensation for the transportation of destitute seamen to the United States who are unable to work shall be agreed on by the master and the consular officer, under regulations prescribed by the Secretary of State. However, the compensation may be not more than the lowest passenger rate of the vessel, or 2 cents a mile, whichever is less. (d) When a master of a vessel of the United States takes on board a destitute seaman unable to work, from a port or place not having a consular officer, for transportation to the United States or to a port at which there is a consular officer, the master or owner of the vessel shall be compensated reasonably under regulations prescribed by the Secretary of State. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 578.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11104(a) 46:678 11104(b)-(d) 46:679 ------------------------------- Section 11104 provides for the return to the United States of destitute seamen of the United States at the expense of the United States Government. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 10313 of this title. ------DocID 53430 Document 331 of 963------ -CITE- 46 USC Sec. 11105 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11105. Wages on discharge when vessel sold -STATUTE- (a) When a vessel of the United States is sold in a foreign country, the master shall deliver to the consular officer a certified crew list and the agreement required by this part. The master shall pay each seaman the wages due the seaman and provide the seaman with employment on board another vessel of the United States bound for the port of original engagement of the seaman or to another port agreed on. If employment cannot be provided, the master shall - (1) provide the seaman with the means to return to the port of original engagement; (2) provide the seaman passage to the port of original engagement; or (3) deposit with the consular officer an amount of money considered sufficient by the officer to provide the seaman with maintenance and passage home. (b) The consular officer shall endorse on the agreement the particulars of the payment, provision, or deposit made under this section. (c) An owner of a vessel is liable to the United States Government for a civil penalty of $500 if the master does not comply with this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 579.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11105 46:684 ------------------------------- Section 11105 provides that when a United States vessel is sold in a foreign port, the seamen must be provided employment on another vessel, or passage to the port of original shipment. ------DocID 53431 Document 332 of 963------ -CITE- 46 USC Sec. 11106 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11106. Wages on justifiable complaint of seamen -STATUTE- (a) Before a seaman on a vessel of the United States is discharged in a foreign country by a consular officer on the seaman's complaint that the agreement required by this part has been breached because the vessel is badly provisioned or unseaworthy, or against the officers for cruel treatment, the officer shall inquire about the complaint. If satisfied of the justice of the complaint, the consular officer shall require the master to pay the wages due the seaman plus one month's additional wages and shall discharge the seaman. The master shall provide the seaman with employment on another vessel or provide the seaman with passage on another vessel to the port of original engagement, to the most convenient port of the United States, or to some port agreeable to the seaman. (b) When a vessel does not have sufficient provisions for the intended voyage, and the seaman has been forced to accept a reduced ration or provisions that are bad in quality or unfit for use, the seaman is entitled to recover from the master or owner an allowance, as additional wages, that the court hearing the case considers reasonable. (c) Subsection (b) of this section does not apply when the reduction in rations was for a period during which the seaman willfully and without sufficient cause failed to perform duties or was lawfully under confinement on board or on shore for misconduct, unless that reduction can be shown to have been unreasonable. (d) Subsection (b) of this section does not apply to a fishing or whaling vessel or a yacht. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 579.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11106(a) 46:685 11106(b)-(d) 46:665 ------------------------------- Section 11106 provides compensation to seamen on United States vessels when a shipping agreement is breached. It does not apply to fishing vessels, whaling vessels or yachts. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 11503 of this title. ------DocID 53432 Document 333 of 963------ -CITE- 46 USC Sec. 11107 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11107. Unlawful engagements void -STATUTE- An engagement of a seaman contrary to a law of the United States is void. A seaman so engaged may leave the service of the vessel at any time and is entitled to recover the highest rate of wages at the port from which the seaman was engaged or the amount agreed to be given the seaman at the time of engagement, whichever is higher. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 580.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11107 46:578 ------------------------------- Section 11107 entitles seamen engaged contrary to any United States law to leave the service of the vessel without loss of wages. ------DocID 53433 Document 334 of 963------ -CITE- 46 USC Sec. 11108 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11108. Taxes -STATUTE- Wages due or accruing to a master or seaman on a vessel in the foreign, coastwise, intercoastal, interstate, or noncontiguous trade or an individual employed on a fishing vessel or any fish processing vessel may not be withheld under the tax laws of a State or a political subdivision of a State. However, this section does not prohibit withholding wages of a seaman on a vessel in the coastwise trade between ports in the same State if the withholding is under a voluntary agreement between the seaman and the employer of the seaman. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 580; Pub. L. 98-364, title IV, Sec. 402(14), July 17, 1984, 98 Stat. 450.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11108 46:601 ------------------------------- Section 11108 prohibits the mandatory withholding of state or local taxes from crewmembers on certain specified vessels. It permits, however, voluntary withholding agreements. AMENDMENTS 1984 - Pub. L. 98-364 substituted 'an individual employed on a fishing vessel or any fish processing vessel' for 'a fisherman employed on a fishing vessel'. ------DocID 53434 Document 335 of 963------ -CITE- 46 USC Sec. 11109 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11109. Attachment of wages -STATUTE- (a) Wages due or accruing to a master or seaman are not subject to attachment or arrestment from any court, except for an order of a court about the payment by a master or seaman of any part of the master's or seaman's wages for the support and maintenance of the spouse or minor children of the master or seaman, or both. A payment of wages to a master or seaman is valid, notwithstanding any prior sale or assignment of wages or any attachment, encumbrance, or arrestment of the wages. (b) An assignment or sale of wages or salvage made before the payment of wages does not bind the party making it, except allotments authorized by section 10315 of this title. (c) This section applies to an individual employed on a fishing vessel or any fish processing vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 580; Pub. L. 98-364, title IV, Sec. 402(15), July 17, 1984, 98 Stat. 450.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11109 46:601 ------------------------------- Section 11109 limits the attachment of a seaman's wages and establishes certain rules for the assignment of a seaman's wages. It also applies to fishermen on fishing vessels. AMENDMENTS 1984 - Subsec. (c). Pub. L. 98-364 substituted 'an individual employed on a fishing vessel or any fish processing vessel' for 'a fisherman on a fishing vessel'. ------DocID 53435 Document 336 of 963------ -CITE- 46 USC Sec. 11110 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11110. Seamen's clothing -STATUTE- The clothing of a seaman is exempt from attachments and liens. A person detaining a seaman's clothing shall be fined not more than $500, imprisoned for not more than 6 months, or both. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 580.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11110 46:563 ------------------------------- Section 11110 exempts seamen's clothing from attachments and liens. It also provides a penalty for violations. ------DocID 53436 Document 337 of 963------ -CITE- 46 USC Sec. 11111 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11111. Limit on amount recoverable on voyage -STATUTE- When a seaman is on a voyage on which a written agreement is required under this part, not more than $1 is recoverable from the seaman by a person for a debt incurred by the seaman during the voyage for which the seaman is signed on until the voyage is ended. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 581.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11111 46:602 ------------------------------- Section 11111 limits the amount of money recoverable from a seaman for a debt incurred while on a voyage on which a shipping agreement is required. ------DocID 53437 Document 338 of 963------ -CITE- 46 USC Sec. 11112 -EXPCITE- TITLE 46 Part G CHAPTER 111 -HEAD- Sec. 11112. Master's lien for wages -STATUTE- The master of a documented vessel has the same lien against the vessel for the master's wages and the same priority as any other seaman serving on the vessel. -SOURCE- (Added Pub. L. 99-307, Sec. 1(19)(B), May 19, 1986, 100 Stat. 446.) ------DocID 53438 Document 339 of 963------ -CITE- 46 USC CHAPTER 113 -EXPCITE- TITLE 46 Part G CHAPTER 113 -HEAD- CHAPTER 113 - OFFICIAL LOGBOOKS -MISC1- Sec. 11301. Logbook and entry requirements. 11302. Manner of making entries. 11303. Penalties. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 8101 of this title. ------DocID 53439 Document 340 of 963------ -CITE- 46 USC Sec. 11301 -EXPCITE- TITLE 46 Part G CHAPTER 113 -HEAD- Sec. 11301. Logbook and entry requirements -STATUTE- (a) Except a vessel on a voyage from a port in the United States to a port in Canada, a vessel of the United States shall have an official logbook if the vessel is - (1) on a voyage from a port in the United States to a foreign port; or (2) of at least 100 gross tons and is on a voyage between a port of the United States on the Atlantic Ocean and on the Pacific Ocean. (b) The master of the vessel shall make or have made in the official logbook the following entries: (1) each legal conviction of a seaman of the vessel and the punishment inflicted. (2) each offense committed by a seaman of the vessel for which it is intended to prosecute or to enforce under a forfeiture, together with statements about reading the entry and the reply made to the charge as required by section 11502 of this title. (3) each offense for which punishment is inflicted on board and the punishment inflicted. (4) a statement of the conduct, character, and qualifications of each seaman of the vessel or a statement that the master declines to give an opinion about that conduct, character, and qualifications. (5) each illness of or injury to a seaman of the vessel, the nature of the illness or injury, and the medical treatment. (6) each death on board, with the cause of death, and if a seaman, the information required by section 10702 of this title. (7) each birth on board, with the sex of the infant and name of the parents. (8) each marriage on board, with the names and ages of the parties. (9) the name of each seaman who ceases to be a crewmember (except by death), with the place, time, manner, and the cause why the seaman ceased to be a crewmember. (10) the wages due to a seaman who dies during the voyage and the gross amount of all deductions to be made from the wages. (11) the sale of the property of a seaman who dies during the voyage, including a statement of each article sold and the amount received for the property. (12) when a marine casualty occurs, a statement about the casualty and the circumstances under which it occurred, made immediately after the casualty when practicable to do so. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 581; Pub. L. 98-557, Sec. 30, Oct. 30, 1984, 98 Stat. 2875.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11301 46:201 ------------------------------- Section 11301 requires United States vessels on certain types of voyages to have an official logbook and lists the types of entries that must be made in the logbook. AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-557 amended subsec. (a) generally, which prior to amendment read as follows: 'A vessel of the United States on a voyage between a port in the United States and a port in a foreign country, and a vessel of the United States of at least 75 gross tons on a voyage between a port of the United States on the Atlantic Ocean and a port of the United States on the Pacific Ocean, shall have an official logbook.' ------DocID 53440 Document 341 of 963------ -CITE- 46 USC Sec. 11302 -EXPCITE- TITLE 46 Part G CHAPTER 113 -HEAD- Sec. 11302. Manner of making entries -STATUTE- Each entry made in the official logbook - (1) shall be made as soon as possible after the occurrence; (2) if not made on the day of the occurrence, shall be dated and state the date of the occurrence; (3) if the entry is about an occurrence happening before the vessel's arrival at the final port of discharge, shall be made not later than 24 hours after the arrival; (4) shall be signed by the master; and (5) shall be signed by the chief mate or another seaman. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 581.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11302 46:202 ------------------------------- Section 11302 describes the manner in which entries shall be made in the logbook, specifying when they shall be made, who shall sign them, and requiring that they shall be dated. ------DocID 53441 Document 342 of 963------ -CITE- 46 USC Sec. 11303 -EXPCITE- TITLE 46 Part G CHAPTER 113 -HEAD- Sec. 11303. Penalties -STATUTE- (a) A master failing to maintain an official logbook as required by this part is liable to the United States Government for a civil penalty of $200. (b) A master failing to make an entry in the vessel's official logbook as required by this part is liable to the Government for a civil penalty of $200. (c) A person is liable to the Government for a civil penalty of $150 when the person makes, procures to be made, or assists in making, an entry in the vessel's official logbook - (1) later than 24 hours after the vessel's arrival at the final port of discharge; and (2) that is about an occurrence that happened before that arrival. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 582.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11303 46:203 ------------------------------- Section 11303 provides a penalty for violation of the provisions about logbooks in this part. ------DocID 53442 Document 343 of 963------ -CITE- 46 USC CHAPTER 115 -EXPCITE- TITLE 46 Part G CHAPTER 115 -HEAD- CHAPTER 115 - OFFENSES AND PENALTIES -MISC1- Sec. 11501. Penalties for specified offenses. 11502. Entry of offenses in logbook. 11503. Duties of consular officers related to insubordination. 11504. Enforcement of forfeitures. 11505. Disposal of forfeitures. 11506. Carrying sheath knives. 11507. Surrender of offending officers. ------DocID 53443 Document 344 of 963------ -CITE- 46 USC Sec. 11501 -EXPCITE- TITLE 46 Part G CHAPTER 115 -HEAD- Sec. 11501. Penalties for specified offenses -STATUTE- When a seaman lawfully engaged commits any of the following offenses, the seaman shall be punished as specified: (1) For desertion, the seaman forfeits any part of the money or property the seaman leaves on board and any part of earned wages. (2) For neglecting or refusing without reasonable cause to join the seaman's vessel or to proceed to sea in the vessel, for absence without leave within 24 hours of the vessel's sailing from a port (at the beginning or during the voyage), or for absence without leave from duties and without sufficient reason, the seaman forfeits from the seaman's wages not more than 2 days' pay or a sufficient amount to defray expenses incurred in hiring a substitute. (3) For quitting the vessel without leave after the vessel's arrival at the port of delivery and before the vessel is placed in security, the seaman forfeits from the seaman's wages not more than one month's pay. (4) For willful disobedience to a lawful command at sea, the seaman, at the discretion of the master, may be confined until the disobedience ends, and on arrival in port forfeits from the seaman's wages not more than 4 days' pay or, at the discretion of the court, may be imprisoned for not more than one month. (5) For continued willful disobedience to lawful command or continued willful neglect of duty at sea, the seaman, at the discretion of the master, may be confined, on water and 1,000 calories, with full rations every 5th day, until the disobedience ends, and on arrival in port forfeits, for each 24 hours' continuance of the disobedience or neglect, not more than 12 days' pay or, at the discretion of the court, may be imprisoned for not more than 3 months. (6) For assaulting a master, mate, pilot, engineer, or staff officer, the seaman shall be imprisoned for not more than 2 years. (7) For willfully damaging the vessel, or embezzling or willfully damaging any of the stores or cargo, the seaman forfeits from the seaman's wages the amount of the loss sustained and, at the discretion of the court, may be imprisoned for not more than 12 months. (8) For smuggling for which a seaman is convicted causing loss or damage to the owner or master, the seaman is liable to the owner or master for the loss or damage, and any part of the seaman's wages may be retained to satisfy the liability. The seaman also may be imprisoned for not more than 12 months. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 582.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11501 46:701 ------------------------------- Section 11501 provides penalties for specific offenses committed by seamen. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 11502 of this title. ------DocID 53444 Document 345 of 963------ -CITE- 46 USC Sec. 11502 -EXPCITE- TITLE 46 Part G CHAPTER 115 -HEAD- Sec. 11502. Entry of offenses in logbook -STATUTE- (a) When an offense listed in section 11501 of this title is committed, an entry shall be made in the vessel's official logbook - (1) on the day of the offense; (2) stating the details; (3) signed by the master; and (4) signed by the chief mate or another seaman. (b) Before arrival in port if the offense was committed at sea, or before departure if the offense was committed in port and the offender is still on the vessel - (1) the entry shall be read to the offender; (2) the offender shall be given a copy; and (3) the offender shall be given the opportunity to reply. (c) After subsection (b) of this section has been complied with, an entry shall be made in the official logbook - (1) stating that the entry about the offense was read and a copy provided to the offender; (2) stating the offender's reply; (3) signed by the master; and (4) signed by the chief mate or another seaman. (d) In a subsequent legal proceeding, if the entries required by this section are not produced or proved, the court may refuse to receive evidence of the offense. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 583.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11502 46:702 ------------------------------- Section 11502 describes the manner in which offenses must be recorded in the official logbook, and the use of the records by the court. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 11301 of this title. ------DocID 53445 Document 346 of 963------ -CITE- 46 USC Sec. 11503 -EXPCITE- TITLE 46 Part G CHAPTER 115 -HEAD- Sec. 11503. Duties of consular officers related to insubordination -STATUTE- (a) A consular officer shall use every means to discountenance insubordination on vessels of the United States, including employing the aid of local authorities. (b) When a seaman is accused of insubordination, a consular officer shall inquire into the facts and proceed as provided in section 11106 of this title. If the consular officer discharges the seaman, the officer shall endorse the agreement required by this part and enter in the vessel's official logbook the cause and particulars of the discharge. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 583.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11503 46:703 ------------------------------- Section 11503 delegates to consular officers certain responsibilities related to insubordination of seamen on United States vessels. ------DocID 53446 Document 347 of 963------ -CITE- 46 USC Sec. 11504 -EXPCITE- TITLE 46 Part G CHAPTER 115 -HEAD- Sec. 11504. Enforcement of forfeitures -STATUTE- When an offense by a seaman also is a criminal violation, it is not necessary that a criminal proceeding be brought to enforce a forfeiture. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 584.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11504 46:705 ------------------------------- Section 11504 provides that when a seaman has committed a criminal offense, a forefeiture may be enforced through civil proceedings. ------DocID 53447 Document 348 of 963------ -CITE- 46 USC Sec. 11505 -EXPCITE- TITLE 46 Part G CHAPTER 115 -HEAD- Sec. 11505. Disposal of forfeitures -STATUTE- (a) Money, property, and wages forfeited under this chapter for desertion may be applied to compensate the owner or master of the vessel for expenses caused by the desertion. The balance shall be transferred to the Secretary when the voyage is completed, as prescribed by the Secretary. (b) Within one month of receiving the balance under subsection (a) of this section, the Secretary shall transfer the balance to the appropriate district court of the United States. If it appears to the district court that the forfeiture was imposed properly, the property transferred may be sold in the same manner prescribed for the disposition of the property of deceased seamen. The court shall deposit in the Treasury as miscellaneous receipts the proceeds of the sale and any money and wages transferred to the court. (c) When an owner or master fails to transfer the balance as required under subsection (a) of this section, the owner or master is liable to the United States Government for a civil penalty of 2 times the amount of the balance, recoverable by the Secretary in the same manner that seaman's wages are recovered. (d) In all other cases of forfeiture of wages, the forfeiture shall be for the benefit of the owner of the vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 584.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11505 46:706 ------------------------------- Section 11505 provides for the disposal of wages forfeited by deserting seamen. ------DocID 53448 Document 349 of 963------ -CITE- 46 USC Sec. 11506 -EXPCITE- TITLE 46 Part G CHAPTER 115 -HEAD- Sec. 11506. Carrying sheath knives -STATUTE- A seaman in the merchant marine may not wear a sheath knife on board a vessel without the consent of the master. The master of a vessel of the United States shall inform each seaman of this prohibition before engagement. A master failing to advise a seaman is liable to the United States Government for a civil penalty of $50. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 584.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11506 46:710 ------------------------------- Section 11506 prohibits a merchant seaman from carrying a sheath knife without permission of the master, and penalizes a master who does not advise a seaman of this provision. ------DocID 53449 Document 350 of 963------ -CITE- 46 USC Sec. 11507 -EXPCITE- TITLE 46 Part G CHAPTER 115 -HEAD- Sec. 11507. Surrender of offending officers -STATUTE- When an officer of a vessel of the United States (except the master) has violated section 2191 of title 18, and the master has actual knowledge of the offense or if complaint is made within 3 days after reaching port, the master shall surrender the offending officer to the proper authorities. If the master fails to use diligence to comply with this section and the offender escapes, the owner, the master, and the vessel are liable for damages to the individual unlawfully punished. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 584.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 11507 46:712 ------------------------------- Section 11507 requires a master of a vessel of the United States to surrender to the proper authorities any officer who has violated section 2191 of title 18 (which provides a penalty for cruelty to seamen by officers), and penalizes the master for noncompliance. ------DocID 53450 Document 351 of 963------ -CITE- 46 USC Part H -EXPCITE- TITLE 46 Part H -HEAD- Part H - Identification of Vessels -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in section 2101 of this title. ------DocID 53451 Document 352 of 963------ -CITE- 46 USC CHAPTER 121 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- CHAPTER 121 - DOCUMENTATION OF VESSELS -MISC1- Sec. 12101. Definitions and related terms in other laws. 12102. Vessels eligible for documentation. 12103. Certificates of documentation. 12104. Effect of documentation. 12105. Registry endorsements. 12106. Coastwise endorsements. 12107. Great Lakes endorsements. 12108. Fishery endorsements. 12109. Recreational endorsements. 12110. Limitations on operations authorized by certificates. 12111. Surrender and invalidation of certificates of documentation. 12112. Vessels procured outside the United States. (12113 to 12116. Repealed.) 12117. Recording of United States built vessels. (12118. Repealed.) 12119. List of documented vessels. 12120. Reports. (12121. Repealed.) 12122. Penalties. AMENDMENTS 1990 - Pub. L. 101-595, title VI, Sec. 603(8), Nov. 16, 1990, 104 Stat. 2993, which directed the amendment of the chapter analysis of title 46 was executed to the chapter analysis of this chapter to reflect the probable intent of Congress by striking out items 12113 'Ports of documentation', 12114 'Home ports', 12115 'Names of vessels', 12116 'Numbers, signal letters, and identification markings', 12118 'Registration of funnel marks and house flags', and 12121 'Regulations'. 1989 - Pub. L. 101-225, title III, Sec. 301(a)(12), Dec. 12, 1989, 103 Stat. 1922, inserted 'endorsements' in item 12105, substituted 'endorsements' for 'licenses and registry' in items 12106, 12107, and 12108, and substituted 'endorsements' for 'vessel licenses' in item 12109. 1988 - Pub. L. 100-710, title I, Sec. 103(b), Nov. 23, 1988, 102 Stat. 4749, substituted 'Surrender and invalidation' for 'Invalidation' in item 12111. Pub. L. 100-239, Sec. 3(1), Jan. 11, 1988, 101 Stat. 1778, substituted 'Definitions and related' for 'Related' in item 12101. 1985 - Pub. L. 99-36, Sec. 1(a)(7)(A), May 15, 1985, 99 Stat. 67, substituted 'Recreational' for 'Pleasure' in item 12109. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 2101, 14301, 14304, 14501, 14504, 30101, 31322, 31325, 31329 of this title; sections 808a, 1903 of Appendix to this title; title 16 sections 1802, 2432; title 40 section 484d. ------DocID 53452 Document 353 of 963------ -CITE- 46 USC Sec. 12101 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12101. Definitions and related terms in other laws -STATUTE- (a) In this chapter - (1) 'fisheries' includes processing, storing, transporting (except in foreign commerce), planting, cultivating, catching, taking, or harvesting fish, shellfish, marine animals, pearls, shells, or marine vegetation in the navigable waters of the United States or in the exclusive economic zone. (2) 'rebuilt' has the same meaning as in the second proviso of section 27 of the Merchant Marine Act, 1920 (46 App. U.S.C. 883). (b) When used in a law, regulation, document, ruling, or other offical act referring to the documentation of a vessel - (1) 'certificate of registry', 'register', and 'registry' mean a registry endorsement as provided in section 12105 of this title. (2) 'license', 'enrollment and license', 'license for the coastwise (or coasting) trade', and 'enrollment and license for the coastwise (or coasting) trade' mean a coastwise endorsement as provided in section 12106 of this title. (3) 'enrollment and license to engage in the foreign and coastwise (or coasting) trade on the northern, northeastern, and northwestern frontiers, otherwise than by sea' means a Great Lakes endorsement as provided in section 12107 of this title. (4) 'yacht' means a recreational vessel even if not documented. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 585; Pub. L. 98-364, title IV, Sec. 402(16), July 17, 1984, 98 Stat. 450; Pub. L. 99-36, Sec. 1(a)(7)(B), May 15, 1985, 99 Stat. 67; Pub. L. 100-239, Sec. 3(2), (3), Jan. 11, 1988, 101 Stat. 1778; Pub. L. 101-225, title III, Sec. 301(a)(1), Dec. 12, 1989, 103 Stat. 1920.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12101 46:65w ------------------------------- Section 12101 defines the types of certificates of documentation that are used in this chapter, and in other laws, regulations, document rulings or other official acts referring to the documentation of a vessel. AMENDMENTS 1989 - Subsec. (b)(1). Pub. L. 101-225, Sec. 301(a)(1)(A), substituted 'registry endorsement as' for 'registry as'. Subsec. (b)(2). Pub. L. 101-225, Sec. 301(a)(1)(B), substituted 'coastwise endorsement' for 'coastwise license'. Subsec. (b)(3). Pub. L. 101-225, Sec. 301(a)(1)(C), substituted 'Great Lakes endorsement' for 'Great Lakes license'. Subsec. (b)(4), (5). Pub. L. 101-225, Sec. 301(a)(1)(D), (E), redesignated par. (5) as (4) and struck out former par. (4) which defined 'license for the fisheries' and 'enrollment and license for the fisheries' as meaning a fishery license as provided in section 12108 of this title. 1988 - Pub. L. 100-239 substituted 'Definitions and related' for 'Related' in section catchline, added subsec. (a), designated existing provisions as subsec. (b), and struck out par. (6) which read as follows: ' 'fisheries' includes planting, cultivating, catching, taking, or harvesting fish, shellfish, marine animals, pearls, shells, or marine vegetation in the navigable waters of the United States or in the fishery conservation zone established by section 101 of the Magnuson Fishery Conservation and Management Act of 1976 (16 U.S.C. 1811).' 1985 - Par. (5). Pub. L. 99-36 substituted 'recreational' for 'pleasure'. 1984 - Par. (6). Pub. L. 98-364 added par. (6). EFFECTIVE DATE OF 1989 AMENDMENT Section 309 of Pub. L. 101-225 provided that: '(a) In General. - Except as provided in subsection (b), the amendments made by this Act (see Tables for classification) take effect on the date of the enactment of this Act (Dec. 12, 1989). '(b) Exceptions. - '(1) The amendments made by section 1(a)(2) (probably means section 301(a)(2) of Pub. L. 101-225, which amended section 12102 of this title) take effect January 1, 1989, except that the amendment made by subparagraph (A) of such section does not apply to a vessel titled in a State until one year after the Secretary of Transportation prescribes guidelines for a titling system under section 13106(b)(8) of title 46, United States Code. '(2) The amendments made by section 1(a)(3) (probably means section 301(a)(3) of Pub. L. 101-225, which amended section 12103 of this title) take effect on the 180th day after the date of the enactment of this Act.' ------DocID 53453 Document 354 of 963------ -CITE- 46 USC Sec. 12102 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12102. Vessels eligible for documentation -STATUTE- (a) A vessel of at least 5 net tons that is not registered under the laws of a foreign country or is not titled in a State is eligible for documentation if the vessel is owned by - (1) an individual who is a citizen of the United States; (2) an association, trust, joint venture, or other entity - (A) all of whose members are citizens of the United States; and (B) that is capable of holding title to a vessel under the laws of the United States or of a State; (3) a partnership whose general partners are citizens of the United States, and the controlling interest in the partnership is owned by citizens of the United States; (4) a corporation established under the laws of the United States or of a State, whose president or other chief executive officer and chairman of its board of directors are citizens of the United States and no more of its directors are noncitizens than a minority of the number necessary to constitute a quorum; (5) the United States Government; or (6) the government of a State. (b) A vessel is eligible for documentation only if it has been measured under part J of this subtitle. However, the Secretary of Transportation may issue a temporary certificate of documentation for a vessel before it is measured. (c)(1) A vessel owned by a corporation is not eligible for a fishery endorsement under section 12108 of this title unless the controlling interest (as measured by a majority of voting shares in that corporation) is owned by individuals who are citizens of the United States. However, if the corporation is owned in whole or in part by other United States corporations, the controlling interest in those corporations, in the aggregate, must be owned by individuals who are citizens of the United States. (2) The Secretary shall apply the restrictions on controlling interest in section 2(b) of the Shipping Act, 1916 (46 App. U.S.C. 802(b)) when applying this subsection. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 585; Pub. L. 99-509, title V, Sec. 5102(b)(6), Oct. 21, 1986, 100 Stat. 1927; Pub. L. 100-239, Sec. 7(a), Jan. 11, 1988, 101 Stat. 1782; Pub. L. 100-710, title I, Sec. 104(a)(4), (5), Nov. 23, 1988, 102 Stat. 4750; Pub. L. 101-225, title III, Sec. 301(a)(2), Dec. 12, 1989, 103 Stat. 1920.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12102 46:65b ------------------------------- Section 12102 provides that vessels of at least five net tons, not registered under the laws of a foreign nation, are eligible for documentation if certain ownership requirements are met, and lists the ownership requirements. AMENDMENTS 1989 - Subsec. (a). Pub. L. 101-225, Sec. 301(a)(2)(A), inserted 'that is' before 'not' and 'or is not titled in a State' after 'foreign country'. Subsecs. (b), (c). Pub. L. 101-225, Sec. 301(a)(2)(B)-(D), redesignated former subsec. (b), relating to eligibility of a vessel owned by a corporation for a fishery license, as (c), substituted 'fishery endorsement' for 'fishery license' in par. (1), and struck out former subsec. (c) which provided that a vessel titled in a State was eligible for documentation only if the State certificate of title was surrendered. 1988 - Pub. L. 100-710 directed insertion of 'of Transportation' after 'Secretary' in subsec. (b), which was executed by making insertion in subsec. (b) relating to eligibility of a vessel for documentation after having been measured under part J, as probable intent of Congress, and added subsec. (c). Pub. L. 100-239, Sec. 7(a), directed that '(a)' be inserted before 'A vessel', which was not executed because of a similar amendment by Pub. L. 99-509, and added at end subsec. (b) relating to eligibility of a vessel owned by a corporation for a fishery license under section 12108 of this title. 1986 - Pub. L. 99-509 designated existing provisions as subsec. (a) and added subsec. (b) relating to eligibility of a vessel for documentation after having been measured under part J. EFFECTIVE DATE OF 1989 AMENDMENT Amendments by section 301(a)(2) of Pub. L. 101-225 effective Jan. 1, 1989, except that amendment by section 301(a)(2)(A) inapplicable to a vessel titled in a State until one year after the Secretary of Transportation prescribes guidelines for a titling system under section 13106(b)(8) of this title, see section 309(b)(1) of Pub. L. 101-225, set out as a note under section 12101 of this title. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. APPLICATION OF SECTION TO FISHING VESSELS IN CALIFORNIA Citizen of the United States to include an alien lawfully admitted for permanent residence, for purposes of applying this section to vessels operating in waters off the coast of California, subject to United States jurisdiction, see section 317 of Pub. L. 101-595, set out as a note under section 8103 of this title. APPLICABILITY OF SUBSECTION (B) Section 7(b) of Pub. L. 100-239 provided that: 'Section 12102(b) of title 46, United States Code (as enacted by subsection (a) of this section) applies to vessels issued a fishery license after July 28, 1987. However, that section does not apply if before that date the vessel - '(1) was documented under chapter 121 of title 46 and operating as a fishing, fish processing, or fish tender vessel in the navigable waters of the United States or the Exclusive Economic Zone; or '(2) was contracted for purchase for use as a fishing, fish tender, or fish processing vessel in the navigable waters of the United States or the Exclusive Economic Zone, if the purchase is shown by the contract or similarly reliable evidence acceptable to the Secretary to have been made for the purpose of using the vessel in the fisheries.' TEMPORARY RESTRICTION ON DOCUMENTATION OF FOREIGN-BUILT FISH PROCESSING VESSELS Pub. L. 100-111, Aug. 20, 1987, 101 Stat. 733, as amended by Pub. L. 100-151, Sec. 2, Nov. 3, 1987, 101 Stat. 884, provided: 'That notwithstanding chapter 121 of title 46 of the United States Code, the Secretary of the department in which the Coast Guard is operating may not document a foreign-built vessel for which an application for documentation was submitted after July 20, 1987, for use as a fish processing vessel as defined in section 2101(11b) of title 46, United States Code. This prohibition is effective until November 15, 1987. The Secretary may issue regulations to obtain information about the intended use of a vessel for which an application for documentation has been submitted to prevent the documentation of a foreign-built fish processing vessel.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12106, 12112, 31329 of this title. ------DocID 53454 Document 355 of 963------ -CITE- 46 USC Sec. 12103 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12103. Certificates of documentation -STATUTE- (a) On application by the owner of a vessel eligible for documentation, the Secretary of Transportation shall issue a certificate of documentation endorsed with one or more of the endorsements specified in sections 12105-12109 of this title. (b)(1) The Secretary may prescribe the form of, the manner of filing, and the information to be contained in, applications for certificates of documentation. (2) The Secretary shall require each person applying to document a vessel to provide - (A) the person's social security number; or (B) for a person other than an individual - (i) the person's taxpayer identification number; or (ii) if the person does not have a taxpayer identification number, the social security number of an individual who is a corporate officer, general partner, or individual trustee of the person and who signs the application for documentation for the vessels. (c) Each certificate of documentation shall - (1) identify and describe the vessel; (2) identify the owner of the vessel; and (3) contain additional information prescribed by the Secretary. (d) The Secretary shall prescribe procedures to ensure the integrity of, and the accuracy of information contained in, certificates of documentation. (e) The owner and master of a documented vessel shall make the vessel's certificate of documentation available for examination as the law or Secretary may require. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 585; Pub. L. 100-710, title I, Sec. 104(a)(4), (6), Nov. 23, 1988, 102 Stat. 4750; Pub. L. 101-225, title III, Sec. 301(a)(3), Dec. 12, 1989, 103 Stat. 1920.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12103 46:65e ------------------------------- Section 12103 provides that a certificate of documentation shall be issued upon application by the owner of any vessel eligible for documentation on the form and in the manner prescribed by the Secretary and that it shall be available for examination. This section also provides that each certificate of documentation shall contain the name, the home port, the description of the vessel, identity of its owner, and be in the form and contain the additional information that the Secretary prescribes. The Secretary shall, by regulation, prescribe procedures to ensure the integrity of, and the accuracy of, information contained in, certificates of documentation. AMENDMENTS 1989 - Subsec. (a). Pub. L. 101-225, Sec. 301(a)(3)(A), substituted 'endorsed with one or more of the endorsements' for 'of one of the types'. Subsec. (b). Pub. L. 101-225, Sec. 301(a)(3)(B), designated existing provisions as par. (1) and added par. (2). 1988 - Subsec. (a). Pub. L. 100-710, Sec. 104(a)(4), inserted 'of Transportation' after 'Secretary'. Subsec. (c)(1). Pub. L. 100-710, Sec. 104(a)(6), in amending par. (1) generally, substituted 'identify and describe the vessel' for 'contain the name, the home port, and a description of the vessel'. EFFECTIVE DATE OF 1989 AMENDMENT Amendment by Pub. L. 101-225 effective on the 180th day after Dec. 12, 1989, see section 309(b)(2) of Pub. L. 101-225, set out as a note under section 12101 of this title. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. ------DocID 53455 Document 356 of 963------ -CITE- 46 USC Sec. 12104 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12104. Effect of documentation -STATUTE- A certificate of documentation is - (1) conclusive evidence of nationality for international purposes, but not in a proceeding conducted under the laws of the United States; (2) except for a recreational endorsement, conclusive evidence of qualification to be employed in a specified trade; and (3) not conclusive evidence of ownership in a proceeding in which ownership is in issue. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 586; Pub. L. 99-36, Sec. 1(a)(7)(B), May 15, 1985, 99 Stat. 67; Pub. L. 101-225, title III, Sec. 301(a)(4), Dec. 12, 1989, 103 Stat. 1920.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12104 46:65g ------------------------------- Section 12104 provides that a certificate of documentation is conclusive evidence of nationality but not conclusive evidence of ownership in any proceeding in which ownership is an issue. AMENDMENTS 1989 - Par. (2). Pub. L. 101-225 substituted 'endorsement' for 'vessel license'. 1985 - Par. (2). Pub. L. 99-36 substituted 'recreational' for 'pleasure'. ------DocID 53456 Document 357 of 963------ -CITE- 46 USC Sec. 12105 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12105. Registry endorsements -STATUTE- (a) A certificate of documentation may be endorsed with a registry endorsement. (b) A vessel for which a registry endorsement is issued may be employed in foreign trade or trade with Guam, American Samoa, Wake, Midway, or Kingman Reef. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 586; Pub. L. 100-710, title I, Sec. 104(a)(4), Nov. 23, 1988, 102 Stat. 4750; Pub. L. 101-225, title III, Sec. 301(a)(5), Dec. 12, 1989, 103 Stat. 1920.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12105 46:65h ------------------------------- Section 12105 authorizes the Secretary to issue a vessel a registry entitling it to be employed in the foreign trade, and to issue special endorsements for the coastwise trade, the Great Lakes trade or the fisheries. It also prohibits foreign built vessels from engaging in United States domestic trades. AMENDMENTS 1989 - Pub. L. 101-225, Sec. 301(a)(5)(D), inserted 'endorsements' after 'Registry' in section catchline. Subsec. (a). Pub. L. 101-225, Sec. 301(a)(5)(A), amended subsec. (a) generally, substituting 'certificate of documentation may be endorsed with a registry endorsement' for 'registry may be issued for a vessel eligible for documentation'. Subsec. (b). Pub. L. 101-225, Sec. 301(a)(5)(B), inserted 'endorsement' after 'registry'. Subsecs. (c), (d). Pub. L. 101-225, Sec. 301(a)(5)(C), struck out subsecs. (c) and (d) which read as follows: '(c) On application of the owner of a vessel that qualifies for a coastwise license under section 12106 of this title, a Great Lakes license under section 12107 of this title, or a fishery license under section 12108 of this title, the Secretary of Transportation may issue a registry appropriately endorsed authorizing the vessel to be employed in the coastwise trade, the Great Lakes trade, or the fisheries, as the case may be. '(d) Except as provided in sections 12106-12108 of this title, a foreign built vessel registered under this section may not engage in the coastwise trade, the Great Lakes trade, or the fisheries.' 1988 - Subsec. (c). Pub. L. 100-710 inserted 'of Transportation' after 'Secretary'. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. SAVINGS PROVISION Pub. L. 100-239, Sec. 6(b), Jan. 11, 1988, 101 Stat. 1782, provided that: 'Notwithstanding the requirements of chapter 121 of title 46, United States Code, a vessel for which a coastwise, Great Lakes, or fishery license, or an appropriately endorsed registry, was issued before July 28, 1987, may continue to be employed in the specified trades for which it was qualified at the time the license or registry was issued for one year from date of enactment (Jan. 11, 1988) or until the certificate of documentation is renewed, whichever comes later. On renewal, the owner or master of a documented vessel shall make the vessel's certificate of documentation available as the law or Secretary may require for replacement with an appropriately endorsed certificate.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12101, 12103 of this title. ------DocID 53457 Document 358 of 963------ -CITE- 46 USC Sec. 12106 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12106. Coastwise endorsements -STATUTE- (a) A certificate of documentation may be endorsed with a coastwise endorsement for a vessel that - (1) is eligible for documentation; (2)(A) was built in the United States; or (B) if not built in the United States, was captured in war by citizens of the United States and lawfully condemned as prize, was adjudged to be forfeited for a breach of the laws of the United States, or qualified for documentation under section 4136 of the Revised Statutes (46 App. U.S.C. 14); and (3) otherwise qualifies under laws of the United States to be employed in the coastwise trade. (b) Subject to the laws of the United States regulating the coastwise trade, only a vessel for which a certificate of documentation with a coastwise endorsement is issued may be employed in the coastwise trade. (c) A coastwise endorsement to engage in the coastwise trade of fisheries products between places in Guam, American Samoa, and the Northern Mariana Islands may be issued for a vessel that - (1) is less than two hundred gross tons; (2) was not built in the United States; (3) is eligible for documentation; and (4) otherwise qualifies under the laws of the United States to be employed in the coastwide trade. (d)(1) A vessel may be issued a certificate of documentation with a coastwise endorsement if - (A) the vessel is owned by a not-for-profit oil spill response cooperative or by members of such a cooperative who dedicate the vessel to use by the cooperative; (B) the vessel is at least 50 percent owned by persons or entities described in section 12102(a) of this title; (C) the vessel otherwise qualifies under section 12106 to be employed in the coastwise trade; and (D) use of the vessel is restricted to - (i) the deployment of equipment, supplies, and personnel to recover, contain, or transport oil discharged into the navigable waters of the United States, or within the Exclusive Economic Zone, or (ii) for training exercises to prepare to respond to such a discharge. (2) For purposes of the first proviso of section 27 of the Merchant Marine Act, 1920, section 2 of the Shipping Act of 1916, and section 12102(a) of this title, a vessel meeting the criteria of this subsection shall be considered to be owned exclusively by citizens of the United States. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 586; Pub. L. 98-454, title III, Sec. 301(b), Oct. 5, 1984, 98 Stat. 1734; Pub. L. 100-239, Sec. 6(a)(2), (3), Jan. 11, 1988, 101 Stat. 1781; Pub. L. 101-225, title III, Sec. 301(a)(6), Dec. 12, 1989, 103 Stat. 1921; Pub. L. 101-380, title IV, Sec. 4205, Aug. 18, 1990, 104 Stat. 533.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12106 46:65i ------------------------------- Section 12106 provides for the issuance of a certificate of documentation in the form of a coastwise license or an appropriately endorsed registry for any vessel that is eligible for documentation, is built in the United States, and qualifies under the laws of the United States to be employed in the coastwise trade. It also provides for the documentation of certain vessels captured during war that have not been built in the United States. -REFTEXT- REFERENCES IN TEXT Section 27 of the Merchant Marine Act, 1920, referred to in subsec. (d)(2), is classified to section 883 of the Appendix to this title. Section 2 of the Shipping Act of 1916, referred to in subsec. (d)(2), is classified to sections 802 and 803 of the Appendix to this title. -MISC2- AMENDMENTS 1990 - Subsec. (d). Pub. L. 101-380 added subsec. (d). 1989 - Pub. L. 101-225, Sec. 301(a)(6)(E), substituted 'endorsements' for 'licenses and registry' in section catchline. Subsec. (a). Pub. L. 101-225, Sec. 301(a)(6)(A), substituted 'certificate of documentation may be endorsed with a coastwise endorsement' for 'coastwise license or, as provided in section 12105(c) of this title, an appropriately endorsed registry, may be issued'. Subsec. (b). Pub. L. 101-225, Sec. 301(a)(6)(B), substituted 'certificate of documentation with a coastwise endorsement' for 'coastwise license or an appropriately endorsed registry'. Subsec. (c). Pub. L. 101-225, Sec. 301(a)(6)(C), substituted 'endorsement' for 'license'. Subsec. (d). Pub. L. 101-225, Sec. 301(a)(6)(D), struck out subsec. (d) which read as follows: 'On application of the owner of a vessel that qualifies for a Great Lakes license under section 12107 or a fishery license under section 12108 of this title, the Secretary may issue an endorsement authorizing the vessel to be employed in the Great Lakes trade or fisheries, as the case may be.' 1988 - Subsec. (b). Pub. L. 100-239, Sec. 6(a)(2), amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'Subject to the laws of the United States regulating the coastwise trade and the fisheries, only a vessel for which a coastwise license or an appropriately endorsed registry is issued may be employed in - '(1) the coastwise trade; and '(2) the fisheries.' Subsec. (d). Pub. L. 100-239, Sec. 6(a)(3), added subsec. (d). 1984 - Subsec. (c). Pub. L. 98-454 added subsec. (c). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-380 applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as an Effective Date note under section 2701 of Title 33, Navigation and Navigable Waters. APPLICATION OF WEIGHT LIMITATIONS TO NORTHERN MARIANA ISLANDS Section 303 of Pub. L. 98-454 provided that: 'The weight limitations contained in subsections (b) and (c) of section 301 above (amending sections 12106 and 12108 of this title) shall not apply to the Northern Mariana Islands until the termination of the Trusteeship Agreement for the Trust Territory of the Pacific Islands (61 Stat. 3301).' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12101, 12103, 14305 of this title; section 316 of Appendix to this title. ------DocID 53458 Document 359 of 963------ -CITE- 46 USC Sec. 12107 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12107. Great Lakes endorsements -STATUTE- (a) A certificate of documentation may be endorsed with a Great Lakes endorsement for a vessel that - (1) is eligible for documentation; (2)(A) was built in the United States; or (B) if not built in the United States, was captured in war by citizens of the United States and lawfully condemned as prize, was adjudged to be forfeited for a breach of the laws of the United States, or qualified for documentation under section 4136 of the Revised Statutes (46 App. U.S.C. 14); and (3) otherwise qualifies under the laws of the United States to be employed in the coastwise trade. (b) Subject to the laws of the United States regulating trade with Canada, only a vessel for which a certificate of documentation with a Great Lakes endorsement is issued may be employed on the Great Lakes and their tributary and connecting waters in trade with Canada. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 587; Pub. L. 100-239, Sec. 6(a)(4), (5), Jan. 11, 1988, 101 Stat. 1782; Pub. L. 101-225, title III, Sec. 301(a)(7), Dec. 12, 1989, 103 Stat. 1921.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12107 46:65j ------------------------------- Section 12107 provides that a certificate of documentation in the form of a Great Lakes license or an appropriately endorsed registry may be issued for any vessel that is eligible for documentation, was built in the United States, and qualifies under the laws of the United States to be employed in the coastwise trade. It also provides for the documentation of certain vessels captured in war that have not been built in the United States. AMENDMENTS 1989 - Pub. L. 101-225, Sec. 301(a)(7)(D), substituted 'endorsements' for 'licenses and registry' in section catchline. Subsec. (a). Pub. L. 101-225, Sec. 301(a)(7)(A), which directed amendment of subsec. (a) by substituting 'A certificate of documentation may be endorsed with a Great Lakes endorsement' for 'A Great Lakes license, or as provided in section 12105(c) of this title, an appropriately endorsed registry, may be issued', was executed by making the substitution for 'A Great Lakes license or, as provided in section 12105(c) of this title, an appropriately endorsed registry, may be issued' as the probable intent of Congress. Subsec. (b). Pub. L. 101-225, Sec. 301(a)(7)(B), amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'Subject to the laws of the United States regulating the coastwise trade, trade with Canada, and the fisheries, only a vessel for which a Great Lakes license or an appropriately endorsed registry is issued may be employed on the Great Lakes and their tributary and connecting waters in - '(1) the coastwise trade; and '(2) trade with Canada.' Subsec. (c). Pub. L. 101-225, Sec. 301(a)(7)(C), struck out subsec. (c) which read as follows: 'On application of the owner of a vessel that qualifies for a coastwise license under section 12106 or a fishery license under section 12108 of this title, the Secretary may issue an endorsement authorizing the vessel to be employed in the coastwise trade or the fisheries, as the case may be.' 1988 - Subsec. (b)(3). Pub. L. 100-239, Sec. 6(a)(4), struck out par. (3) which read 'the fisheries.' Subsec. (c). Pub. L. 100-239, Sec. 6(a)(5), added subsec. (c). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12101, 12103 of this title; section 316 of Appendix to this title. ------DocID 53459 Document 360 of 963------ -CITE- 46 USC Sec. 12108 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12108. Fishery endorsements -STATUTE- (a) A certificate of documentation may be endorsed with a fishery endorsement for a vessel that - (1) is eligible for documentation; (2)(A) was built in the United States; or (B) if not built in the United States, was captured in war by citizens of the United States and lawfully condemned as prize, was adjudged to be forfeited for a breach of the laws of the United States, or qualified for documentation under section 4136 of the Revised Statutes (46 App. U.S.C. 14); (3) if rebuilt, was rebuilt in the United States; and (4) otherwise qualifies under the laws of the United States to be employed in the fisheries. (b) Subject to the laws of the United States regulating the fisheries, only a vessel for which a certificate of documentation with a fishery endorsement is issued may be employed in the fisheries. (c) A fishery endorsement to engage in fishing in the territorial sea and fishery conservation zone adjacent to Guam, American Samoa, and the Northern Mariana Islands may be issued to a vessel that - (1) is less than two hundred gross tons; (2) was not built or rebuilt in the United States; (3) is eligible for documentation; and (4) otherwise qualifies under the laws of the United States to be employed in the fisheries. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 587; Pub. L. 98-454, title III, Sec. 301(c), Oct. 5, 1984, 98 Stat. 1734; Pub. L. 100-239, Sec. 3(4), (5), 6(a)(6), Jan. 11, 1988, 101 Stat. 1779, 1782; Pub. L. 101-225, title III, Sec. 301(a)(8), Dec. 12, 1989, 103 Stat. 1921.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12108 46:65k ------------------------------- Section 12108 provides that a certificate of documentation in the form of a fishery license or an appropriately endorsed registry may be issued for any vessel that is eligible for documentation, was built in the United States, and qualifies under the laws of the United States to be employed in the fisheries. It also provides for the documentation of certain vessels captured in war that have not been built in the United States. AMENDMENTS 1989 - Pub. L. 101-225, Sec. 301(a)(8)(F), substituted 'endorsements' for 'licenses and registry' in section catchline. Subsec. (a). Pub. L. 101-225, Sec. 301(a)(8)(A), (B), in introductory provisions substituted 'certificate of documentation may be endorsed with a fishery endorsement' for 'fishery license or, as provided in section 12105(c) of this title, an appropriately endorsed registry, may be issued' and in par. (1) struck out 'and' after semicolon. Subsec. (b). Pub. L. 101-225, Sec. 301(a)(8)(C), substituted 'certificate of documentation with a fishery endorsement' for 'fishery license or an appropriately endorsed registry'. Subsec. (c). Pub. L. 101-225, Sec. 301(a)(8)(D), which directed substitution of 'endorsement' for 'license' in subsec. (C), was executed by making substitution in subsec. (c) as the probable intent of Congress. Subsec. (d). Pub. L. 101-225, Sec. 301(a)(8)(E), struck out subsec. (d) which read as follows: 'On application of the owner of a vessel that qualifies for a coastwise license under section 12106 or a Great Lakes license under section 12107 of this title, the Secretary may issue an endorsement authorizing the vessel to be employed in the coastwise trade or the Great Lakes trade, as the case may be.' 1988 - Subsec. (a)(3), (4). Pub. L. 100-239, Sec. 3(4), added par. (3) and redesignated former par. (3) as (4). Subsec. (c)(2). Pub. L. 100-239, Sec. 3(5), substituted 'built or rebuilt' for 'built'. Subsec. (d). Pub. L. 100-239, Sec. 6(a)(6), added subsec. (d). 1984 - Subsec. (c). Pub. L. 98-454 added subsec. (c). SAVINGS PROVISION Section 4 of Pub. L. 100-239, as amended by Pub. L. 101-225, title III, Sec. 310, Dec. 12, 1989, 103 Stat. 1926, provided that: '(a) Notwithstanding the requirements of section 12108(a)(2) and (3) of title 46, United States Code, a fishery license may be issued to a vessel that before July 28, 1987 - '(1)(A) was documented under chapter 121 of that title; and '(B) was operated as a fish processing or fish tender vessel in the navigable waters of the United States or the exclusive economic zone; '(2) was a fish tender or fish processing vessel contracted to be purchased by a citizen of the United States, if the purchase is shown by contract or similarly reliable evidence acceptable to the Secretary to have been made for the purpose of using the vessel as a fish tender or fish processing vessel in the fisheries; '(3) was documented under chapter 121 of that title and - '(A) was rebuilt in a foreign country; or '(B) is subsequently rebuilt in the United States for use as a fish processing vessel; or '(4) was built in the United States and - '(A) is rebuilt in a foreign country under a contract entered into before 6 months after the date of enactment of this Act (Jan. 11, 1988), and was purchased or contracted to be purchased before July 28, 1987 with the intent that the vessel be used in the fisheries, if that intent is evidenced by - '(i) the contract itself; or '(ii) a ruling letter by the Coast Guard before July 29, 1987 under 46 C.F.R. Sec. 67.21-1 or Sec. 67.27-3 pursuant to a ruling request evidencing that intent; or '(B) is purchased for use as a fish processing vessel under a contract entered into after July 27, 1987, if - '(i) a contract to rebuild the vessel for use as a fish processing vessel was entered into before September 1, 1987; and '(ii) that vessel is part of a specific business plan involving the conversion in foreign shipyards of a series of three vessels and rebuilding work on at least one of the vessels had begun before July 28, 1987. '(b) A vessel rebuilt under subsection (a)(3)(B) or (4) of this section must be redelivered to the owner before July 28, 1990. However, the Secretary may, on proof of circumstances beyond the control of the owner of a vessel affected by this section, extend the period for rebuilding in a foreign country permitted by this section. '(c)(1) Any fishery license or registry issued to a vessel built in a foreign country under this section shall be endorsed to restrict the vessel from catching, taking, or harvesting. '(2) Before being issued a fishery license, any vessel described in subsection (a)(2) of this section must be documented under an application for documentation acceptable to the Secretary filed before July 28, 1987, except that an alternative vessel of no greater tonnage than the vessel in the application may be substituted, if that substitution is made by the original applicant.' EXTENSION OF PERIOD FOR REBUILDING VESSELS IN FOREIGN COUNTRIES Section 6(c)(3) of Pub. L. 100-239 provided that: 'The Secretary, on proof of circumstances beyond the control of the owner of a vessel affected by this section (amending sections 2101, 12106, 12107, and 12108 of this title and section 883 of the Appendix to this title, and enacting notes set out under sections 12105 and 12108 of this title and section 883 of the Appendix to this title), may extend the period for rebuilding in a foreign country permitted by this section.' -CROSS- DEFINITIONS Section 6(d) of Pub. L. 100-239 provided that: 'The terms in this Act (see Short Title of 1988 Amendment note set out under section 2101 of this title) have the same meaning as in subtitle II of title 46, United States Code (as amended by this Act).' -MISC7- APPLICATION OF WEIGHT LIMITATIONS TO NORTHERN MARIANA ISLANDS For provisions directing that weight limitations contained in subsec. (c) of this section shall not apply to the Northern Mariana Islands until the termination of the Trusteeship Agreement for the Trust Territory of the Pacific Islands, see section 303 of Pub. L. 98-454, set out as a note under section 12106 of this title. TERRITORIAL SEA OF UNITED STATES For extension of territorial sea of United States, see Proc. No. 5928, set out as a note under section 1331 of Title 43, Public Lands. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12102, 12103, 14305 of this title. ------DocID 53460 Document 361 of 963------ -CITE- 46 USC Sec. 12109 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12109. Recreational endorsements -STATUTE- (a) A certificate of documentation with a recreational endorsement may be issued for a vessel that is eligible for documentation. (b) A documented vessel with a recreational endorsement may proceed between a port of the United States and a port of a foreign country without entering or clearing with the Customs Service. A recreational vessel must, however, comply with all customs requirements for reporting arrival under section 433 of the Tariff Act of 1930 (19 U.S.C. 1433) and all persons on board that recreational vessel shall be subject to all applicable customs regulations. (c) A documented vessel operating under a recreational endorsement may be operated only for pleasure. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 587; Pub. L. 99-36, Sec. 1(a)(7)(C), May 15, 1985, 99 Stat. 67; Pub. L. 99-570, title III, Sec. 3151, Oct. 27, 1986, 100 Stat. 3207-94; Pub. L. 100-710, title I, Sec. 106(b)(5), Nov. 23, 1988, 102 Stat. 4752; Pub. L. 101-225, title III, Sec. 301(a)(9), Dec. 12, 1989, 103 Stat. 1921; Pub. L. 101-595, title VI, Sec. 603(9), Nov. 16, 1990, 104 Stat. 2993.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12109 46:65l ------------------------------- Section 12109 provides that a certificate of documentation in the form of a pleasure vessel license may be issued for any vessel that is eligible for documentation and is to be used exclusively for pleasure. This section also authorizes the Secretary to charge a reasonable fee for issuing, reviewing, or replaceing a pleasure vessel license or for providing any other related service. AMENDMENTS 1990 - Subsec. (b). Pub. L. 101-595 substituted 'on board that recreational vessel' for 'aboard such a pleasure vessel'. 1989 - Pub. L. 101-225, Sec. 301(a)(9)(D), substituted 'endorsements' for 'vessel licenses' in section catchline. Subsec. (a). Pub. L. 101-225, Sec. 301(a)(9)(A), added subsec. (a) and struck out former subsec. (a) which read as follows: 'A recreational vessel license may be issued for a vessel that is - '(1) eligible for documentation; and '(2) to be operated only for pleasure.' Subsec. (b). Pub. L. 101-225, Sec. 301(a)(9)(B), substituted 'documented vessel with a recreational endorsement' for 'licensed recreational vessel' and 'A recreational' for 'Such'. Subsec. (c). Pub. L. 101-225, Sec. 301(a)(9)(C), added subsec. (c). 1988 - Subsec. (c). Pub. L. 100-710 struck out subsec. (c) which read as follows: 'The Secretary may prescribe by regulation reasonable fees for issuing, renewing, or replacing a recreational vessel license, or for providing any other service related to a recreational vessel license. The fees shall be based on the costs of the service provided.' 1986 - Subsec. (b). Pub. L. 99-570 inserted 'Such vessel must, however, comply with all customs requirements for reporting arrival under section 433 of the Tariff Act of 1930 (19 U.S.C. 1433) and all persons aboard such a pleasure vessel shall be subject to all applicable customs regulations.' 1985 - Pub. L. 99-36 substituted 'Recreational' and 'recreational vessel' for 'Pleasure' and 'pleasure vessel', respectively, in section catchline and wherever appearing in text. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 12103 of this title. ------DocID 53461 Document 362 of 963------ -CITE- 46 USC Sec. 12110 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12110. Limitations on operations authorized by certificates -STATUTE- (a) A vessel may not be employed in a trade except a trade covered by the endorsement issued for that vessel. (b) A barge qualified to be employed in the coastwise trade may be employed, without being documented, in that trade on rivers, harbors, lakes (except the Great Lakes), canals, and inland waters. (c) When a vessel is employed in a trade not covered by the endorsement issued for that vessel, or a documented vessel with a recreational endorsement is operated other than for pleasure, the vessel and its equipment are liable to seizure by and forfeiture to the United States Government. (d) A documented vessel may be placed under the command only of a citizen of the United States. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 588; Pub. L. 99-36, Sec. 1(a)(7)(D), May 15, 1985, 99 Stat. 67; Pub. L. 100-710, title I, Sec. 104(a)(4), Nov. 23, 1988, 102 Stat. 4750; Pub. L. 101-225, title III, Sec. 301(a)(10), Dec. 12, 1989, 103 Stat. 1922.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12110 46:65m ------------------------------- Section 12110 provides that a vessel is limited to the trade covered by its certificate of documentation; exempts certain barges from documentation; requires that the person in charge be a citizen of the United States; and provides for a penalty for violation. AMENDMENTS 1989 - Subsec.(a). Pub. L. 101-225, Sec. 301(a)(10)(A), amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: 'A vessel may not be employed in a trade except a trade covered by the certificate of documentation issued for that vessel. A documented recreational vessel may be operated only for pleasure. However, a certificate of documentation may be exchanged, under regulations prescribed by the Secretary of Transportation, for another type of certificate of documentation or endorsed appropriately for a trade for which the vessel qualifies.' Subsec. (c). Pub. L. 101-225, Sec. 301(a)(10)(B), substituted 'endorsement' for 'certificate of documentation', 'vessel with a recreational endorsement' for 'recreational vessel', and 'other than' for 'except'. 1988 - Subsec. (a). Pub. L. 100-710 inserted 'of Transportation' after 'Secretary'. 1985 - Subsecs. (a), (c). Pub. L. 99-36 substituted 'documented recreational' for 'documented pleasure'. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. APPLICATION OF SECTION TO FISHING VESSELS IN CALIFORNIA Citizen of the United States to include an alien lawfully admitted for permanent residence, for purposes of applying this section to vessels operating in waters off the coast of California, subject to United States jurisdiction, see section 317 of Pub. L. 101-595, set out as a note under section 8103 of this title. ------DocID 53462 Document 363 of 963------ -CITE- 46 USC Sec. 12111 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12111. Surrender and invalidation of certificates of documentation -STATUTE- (a) A certificate of documentation is invalid if the vessel for which it is issued - (1) no longer meets the requirements of this chapter and regulations prescribed under this chapter applicable to that certificate of documentation; or (2) is placed under the command of a person not a citizen of the United States. (b) An invalid certificate of documentation must be surrendered as provided by regulations prescribed by the Secretary of Transportation. (c)(1) Notwithstanding subsection (a) of this section, until the certificate of documentation is surrendered with the approval of the Secretary, a documented vessel is deemed to continue to be documented under this chapter for purposes of - (A) chapter 313 of this title for an instrument filed or recorded before the date of invalidation and an assignment after that date; (B) sections 9 and 37(b) of the Shipping Act, 1916 (46 App. U.S.C. 808, 835(b)); (C) section 902 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1242); and (D) any other law of the United States identified by the Secretary by regulation as a law to which the Secretary applies this subsection. (2) This subsection does not apply when a vessel is forfeited or sold by order of a district court of the United States. (3) The Secretary may approve the surrender of the certificate of documentation of a documented vessel covered by a mortgage filed or recorded under section 31321 of this title only if the mortgagee consents. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 588; Pub. L. 100-710, title I, Sec. 103(a), Nov. 23, 1988, 102 Stat. 4749.) -MISC1- Historical and Revision Notes 1983 Act --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12111 46:65o ------------------------------- Under section 12111, a certificate of documentation becomes invalid if the vessel for which it is issued no longer meets the requirements for issuance of the certificate or is placed under the command of a person who is not a citizen of the United States. It also requires the surrender of invalid certificates but gives protection to preferred mortgages. 1988 ACT This amends section 12111 of title 46, United States Code, concerning surrendering and invalidation of certificates of documentation. This section clarifies the requirement that an invalid certificate of documentation must be surrendered to the Secretary. However, until the surrender is approved by the Secretary, the vessel is still a documented vessel for certain purposes such as for commerical instruments that have been recorded, foreign transfer restrictions, and requisitioning in time of war or national emergency. It also requires the Secretary to obtain the mortgagee's approval of the surrender if there is a mortgage on the vessel that has been filed or recorded with the Secretary. HOUSE FLOOR STATEMENT Section 12111(c)(3) is changed to prohibit the approval of the surrendering of a certificate of documentation for any vessel with a mortgage filed or recorded with the Secretary, not just a vessel with a preferred mortgage. AMENDMENTS 1988 - Pub. L. 100-710 substituted 'Surrender and invalidation' for 'Invalidation' in section catchline, added subsecs. (b) and (c), and struck out former subsec. (b) which read as follows: 'Except as provided by section 30(O) of the Merchant Marine Act, 1920 (46 App. U.S.C. 961(a)), an invalid certificate of documentation shall be surrendered as provided by regulations prescribed by the Secretary.' EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. APPLICATION OF SECTION TO FISHING VESSELS IN CALIFORNIA Citizen of the United States to include an alien lawfully admitted for permanent residence, for purposes of applying this section to vessels operating in waters off the coast of California, subject to United States jurisdiction, see section 317 of Pub. L. 101-595, set out as a note under section 8103 of this title. DOCUMENTATION SURRENDER AND INVALIDATION Pub. L. 101-225, title III, Sec. 301(b), Dec. 12, 1989, 103 Stat. 1922, provided that: 'Section 12111(c)(3) of title 46, United States Code, does not apply to a mortgage that - '(1) was filed or recorded before January 1, 1989; and '(2) was not a preferred mortgage (as that term is defined in section 31301(6) of that title) on that date.' ------DocID 53463 Document 364 of 963------ -CITE- 46 USC Sec. 12112 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12112. Vessels procured outside the United States -STATUTE- (a) The Secretary of Transportation and the Secretary of State, acting jointly, may provide for the issuance of a certificate of documentation with an appropriate endorsement for a vessel procured outside the United States meeting the ownership requirements of section 12102 of this title. (b) Subject to limitations the Secretary of Transportation may prescribe, a vessel for which a document is issued under this section may proceed to the United States and engage en route in the foreign trade or trade with Guam, American Samoa, Wake, Midway, or Kingman Reef. On the vessel's arrival in the United States, the document shall be surrendered as provided by regulations prescribed by the Secretary. (c) A vessel for which a document is issued under this section is subject to the jursidiction and laws of the United States. However, the Secretary of Transportation may suspend for a period of not more than 6 months, the application of a vessel inspection law carried out by the Secretary or regulations prescribed under that law if the Secretary considers the suspension to be in the public interest. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 588; Pub. L. 100-710, title I, Sec. 104(a)(4), Nov. 23, 1988, 102 Stat. 4750; Pub. L. 101-225, title III, Sec. 301(a)(11), Dec. 12, 1989, 103 Stat. 1922.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12112 46:65p ------------------------------- Section 12112 authorizes the Secretary and the Secretary of State to provide for the issuance of an appropriate document for a vessel procured outside of the United States by a United States citizen. This enables the vessel to proceed directly to the United States and to trade en route, with the requirement that the document be surrendered upon the vessel's arrival in the United States. It also authorizes the Secretary to temporarily suspend application of those vessel inspection and measurement laws if the suspension is deemed to be in the public interest. AMENDMENTS 1989 - Subsec. (a). Pub. L. 101-225, Sec. 301(a)(11)(A), substituted 'a certificate of documentation with an appropriate endorsement' for 'an appropriate document'. Subsec. (b). Pub. L. 101-225, Sec. 301(a)(11)(B), substituted 'a document' for 'an appropriate document'. 1988 - Pub. L. 100-710 inserted 'of Transportation' after first reference to 'Secretary' in subsecs. (a) to (c). EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. ------DocID 53464 Document 365 of 963------ -CITE- 46 USC Sec. 12113 to 12116 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- (Sec. 12113 to 12116. Repealed. Pub. L. 100-710, title I, Sec. 106(b)(5), Nov. 23, 1988, 102 Stat. 4752) -MISC1- Section 12113, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 588, related to ports of documentation. Section 12114, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 589; Pub. L. 99-36, Sec. 1(a)(8), May 15, 1985, 99 Stat. 67, related to home ports. Section 12115, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 589, related to names of vessels. Section 12116, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 589, related to numbers, signal letters, and identification markings. EFFECTIVE DATE OF REPEAL Repeal effective Jan. 1, 1989, with certain exceptions and qualifications, see section 106 of Pub. L. 100-710, set out as a Repeals and Savings Provisions note preceding section 2101 of this title and section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. ------DocID 53465 Document 366 of 963------ -CITE- 46 USC Sec. 12117 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12117. Recording of United States built vessels -STATUTE- The Secretary of Transportation may provide for the recording and certifying of information about vessels built in the United States that the Secretary considers to be in the public interest. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 589; Pub. L. 100-710, title I, Sec. 104(a)(4), Nov. 23, 1988, 102 Stat. 4750.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12117 46:65q ------------------------------- Section 12117 authorizes the Secretary to provide for the recording and certifying of that information pertaining to vessels built in the United States that is considered to be in the public interest. AMENDMENTS 1988 - Pub. L. 100-710 inserted 'of Transportation' after first reference to 'Secretary'. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. ------DocID 53466 Document 367 of 963------ -CITE- 46 USC Sec. 12118 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- (Sec. 12118. Repealed. Pub. L. 100-710, title I, Sec. 106(b)(5), Nov. 23, 1988, 102 Stat. 4752) -MISC1- Section, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 589, related to registration of funnel marks and house flags. EFFECTIVE DATE OF REPEAL Repeal effective Jan. 1, 1989, with certain exceptions and qualifications, see section 106 of Pub. L. 100-710, set out as a Repeals and Savings Provisions note preceding section 2101 of this title and section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. ------DocID 53467 Document 368 of 963------ -CITE- 46 USC Sec. 12119 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12119. List of documented vessels -STATUTE- The Secretary of Transportation shall publish periodically a list of all documented vessels and information about those vessels that the Secretary considers pertinent or useful. The list shall contain a notation clearly indicating all vessels classed by the American Bureau of Shipping. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 589; Pub. L. 100-710, title I, Sec. 104(a)(4), Nov. 23, 1988, 102 Stat. 4750.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12119 46:65s 46:881 ------------------------------- Section 12119 requires the Secretary to publish a list of all documented vessels and pertinent and useful information about the vessels, including a notation of which vessels are classed by the American Bureau of Shipping. AMENDMENTS 1988 - Pub. L. 100-710 inserted 'of Transportation' after first reference to 'Secretary'. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. ------DocID 53468 Document 369 of 963------ -CITE- 46 USC Sec. 12120 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12120. Reports -STATUTE- To ensure compliance with this chapter and laws governing the qualifications of vessels to engage in the coastwise trade and the fisheries, the Secretary of Transportation may require owners and masters of documented vessels to submit reports in any reasonable form and manner the Secretary may prescribe. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 589; Pub. L. 100-710, title I, Sec. 104(a)(4), Nov. 23, 1988, 102 Stat. 4750.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12120 46:65t ------------------------------- Section 12120 authorizes the Secretary to require masters and owners of documented vessels to submit reports to ensure compliance with this chapter and with the laws governing the qualifications required of vessels engaging in the coastwise trade and fisheries. These reports are for keeping the vessel data current and certificates of documentation up to date. AMENDMENTS 1988 - Pub. L. 100-710 inserted 'of Transportation' after first reference to 'Secretary'. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. ------DocID 53469 Document 370 of 963------ -CITE- 46 USC Sec. 12121 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- (Sec. 12121. Repealed. Pub. L. 100-710, title I, Sec. 106(b)(5), Nov. 23, 1988, 102 Stat. 4752) -MISC1- Section, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 589, authorized the Secretary to prescribe regulations to carry out this chapter. EFFECTIVE DATE OF REPEAL Repeal effective Jan. 1, 1989, with certain exceptions and qualifications, see section 106 of Pub. L. 100-710, set out as a Repeals and Savings Provisions note preceding section 2101 of this title and section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of this title. Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12121 46:65v(2) ------------------------------- Section 12121 gives the Secretary authority to prescribe regulations to carry out this chapter. ------DocID 53470 Document 371 of 963------ -CITE- 46 USC Sec. 12122 -EXPCITE- TITLE 46 Part H CHAPTER 121 -HEAD- Sec. 12122. Penalties -STATUTE- (a) A person that violates this chapter or a regulation prescribed under this chapter is liable to the United States Government for a civil penalty of not more than $500. Each day of continuing violation is a separate violation. (b) When the owner of a vessel knowingly falsifies or conceals a material fact, or makes a false statement or representation about the documentation of the vessel, that vessel and its equipment are liable to seizure by and forfeiture to the United States Government. (c) When a certificate of documentation is knowingly and fraudulently used for a vessel, that vessel and its equipment are liable to seizure by and forfeiture to the Government. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 590; Pub. L. 99-307, Sec. 1(16), May 19, 1986, 100 Stat. 446.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12122(a) 46:65u(a) 12122(b) 46:65n(a) 12122(c) 46:65n(b) ------------------------------- Section 12122 provides a civil penalty of not more than $500 for each violation of this chapter. It also provides for seizure and forfeiture of a vessel for false statements or representations in connection with the documentation of vessels and for fraudulent use of a certificate of documentation. AMENDMENTS 1986 - Subsec. (a). Pub. L. 99-307 inserted provision that each day of continuing violation is a separate violation. ------DocID 53471 Document 372 of 963------ -CITE- 46 USC CHAPTER 123 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- CHAPTER 123 - NUMBERING UNDOCUMENTED VESSELS -MISC1- Sec. 12301. Numbering vessels. 12302. Standard numbering system. 12303. Exemption from numbering requirements. 12304. Certificates of numbers. 12305. Displaying numbers. 12306. Safety certificates. 12307. Regulations on numbering and fees. 12308. Providing vessel numbering and registration information. 12309. Penalties. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 2101, 2102, 12501, 13102, 13103, 30101 of this title; section 1903 of Appendix to this title; title 16 sections 1802, 2432; title 33 section 2602. ------DocID 53472 Document 373 of 963------ -CITE- 46 USC Sec. 12301 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12301. Numbering vessels -STATUTE- An undocumented vessel equipped with propulsion machinery of any kind shall have a number issued by the proper issuing authority in the State in which the vessel principally is operated. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 590.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12301 46:1466 ------------------------------- Section 12301 requires that undocumented vessels that are propelled by machinery be issued an identification number by the proper issuing authority in the State in which the vessel is primarily operated. ------DocID 53473 Document 374 of 963------ -CITE- 46 USC Sec. 12302 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12302. Standard numbering system -STATUTE- (a) The Secretary shall prescribe by regulation a standard numbering system for vessels to which this chapter applies. On application by a State, the Secretary shall approve a State numbering system that is consistent with the standard numbering system. In carrying out its numbering system, a State shall adopt any definitions of relevant terms prescribed by regulations of the Secretary. (b) A State with an approved numbering system is the issuing authority within the meaning of this chapter. The Secretary is the issuing authority in a State in which a State numbering system has not been approved. (c) When a vessel is numbered in a State, it is deemed in compliance with the numbering system of a State in which it temporarily is operated. (d) When a vessel is removed to a new State of principal operation, the issuing authority of that State shall recognize the validity of the number issued by the original State for 60 days. (e) If a State has a numbering system approved after the Secretary issues a number, the State shall recognize the validity of the number issued by the Secretary for one year. (f) When the Secretary decides that a State numbering system is not being carried out consistent with the standard numbering system or the State has changed the system without the Secretary's approval, the Secretary may withdraw approval after giving notice to the State, in writing, stating the reasons for the withdrawal. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 590.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12302 46:1467 ------------------------------- Section 12302 provides for a standard numbering system for undocumented vessels and for approval of State numbering systems by the Secretary. It also requires that a State, when implementing its numbering system, adopt any relevant terms required by the Secretary. In States without approved numbering systems, the Federal Government issues the numbers. This section also provides for the operation of a vessel in a State other than the one in which it was numbered. ------DocID 53474 Document 375 of 963------ -CITE- 46 USC Sec. 12303 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12303. Exemption from numbering requirements -STATUTE- (a) When the Secretary is the authority issuing a number under this chapter, the Secretary may exempt a vessel or class of vessels from the numbering requirements of this chapter under conditions the Secretary may prescribe. (b) When a State is the issuing authority, it may exempt from the numbering requirements of this chapter a vessel or class of vessels exempted under subsection (a) of this section or otherwise as permitted by the Secretary. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 591.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12303 46:1468 ------------------------------- Section 12303 permits the Secretary and any State, when it is the issuing authority, to exempt vessels from the numbering requirements. ------DocID 53475 Document 376 of 963------ -CITE- 46 USC Sec. 12304 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12304. Certificates of numbers -STATUTE- (a) A certificate of number is granted for a number issued under this chapter. The certificate shall be pocketsized, shall be at all times available for inspection on the vessel for which issued when the vessel is in operation, and may be valid for not more than 3 years. The certificate of number for a vessel less than 26 feet in length and leased or rented to another for the latter's noncommercial operation of less than 7 days may be retained on shore by the vessel's owner or representative at the place from which the vessel departs or returns to the possession of the owner or the owner's representative. A vessel that does not have the certificate of number on board shall be identified when in operation, and comply with requirements, as the issuing authority prescribes. (b) The owner of a vessel numbered under this chapter shall provide - (1) the issuing authority notice of the transfer of any part of the owner's interest in the vessel or of the destruction or abandonment of the vessel, within a reasonable time after the transfer, destruction, or abandonment; and (2) notice of a change of address within a reasonable time of the change, as prescribed by regulation. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 591.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12304 46:1469 ------------------------------- Section 12304 describes a certificate of number and stipulates when it must be carried on board a vessel. It also requires that the number issuing authority be notified when a boat is sold, transferred, destroyed, or abandoned, or when the owner's address changes. ------DocID 53476 Document 377 of 963------ -CITE- 46 USC Sec. 12305 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12305. Displaying numbers -STATUTE- A number required by this chapter shall be painted on, or attached to, each side of the forward half of the vessel for which it was issued, and shall be the size, color, and type as may be prescribed by the Secretary. No other number may be carried on the forward half of the vessel. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 591.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12305 46:1470 ------------------------------- Section 12305 describes the manner in which a number must be displayed on a vessel, and prohibits the display of other numbers on the forward half of the vessel. ------DocID 53477 Document 378 of 963------ -CITE- 46 USC Sec. 12306 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12306. Safety certificates -STATUTE- When a State is the authority issuing a number under this chapter, it may require that the individual in charge of a numbered vessel have a valid safety certificate issued under conditions set by the issuing authority, except when the vessel is subject to manning requirements under part F of this subtitle. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 591.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12306 46:1471 ------------------------------- Section 12306 authorizes a State that is an issuing authority to require a numbered vessel operator to hold a valid safety certificate, unless the vessel is subject to manning requirements under part F of this subtitle. ------DocID 53478 Document 379 of 963------ -CITE- 46 USC Sec. 12307 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12307. Regulations on numbering and fees -STATUTE- The authority issuing a number under this chapter may prescribe regulations and establish fees to carry out the intent of this chapter. The fees shall apply equally to residents and nonresidents of the State. A State issuing authority may impose only conditions for vessel numbering that are - (1) prescribed by this chapter or regulations of the Secretary about the standard numbering system; or (2) related to proof of payment of State or local taxes. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 591.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12307 46:1472 ------------------------------- Section 12307 provides the States or the Secretary with the authority to prescribe regulations and establish fees for carrying out the requirements of this chapter. The fee must apply equally to residents and nonresidents of the State in which the vessel is numbered. ------DocID 53479 Document 380 of 963------ -CITE- 46 USC Sec. 12308 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12308. Providing vessel numbering and registration information -STATUTE- A person may request from an authority issuing a number under this chapter the numbering and registration information of a vessel that is retrievable from vessel numbering system records of the issuing authority. When the issuing authority is satisfied that the request is reasonable and related to a boating safety purpose, the information shall be provided on paying the cost of retrieving and providing the information requested. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 592.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12308 46:1473 ------------------------------- Section 12308 requires the number issuing authority to supply for a fee, numbering and registration information to any person, upon request, if the request is reasonable and related to boating safety. ------DocID 53480 Document 381 of 963------ -CITE- 46 USC Sec. 12309 -EXPCITE- TITLE 46 Part H CHAPTER 123 -HEAD- Sec. 12309. Penalties -STATUTE- (a) A person willfully violating this chapter or a regulation prescribed under this chapter shall be fined not more than $5,000, imprisoned for not more than one year, or both. (b) A person violating this chapter or a regulation prescribed under this chapter is liable to the United States Government for a civil penalty of not more than $1,000. If the violation involves the operation of a vessel, the vessel also is liable in rem for the penalty. (c) When a civil penalty of not more than $200 has been assessed under this chapter, the Secretary may refer the matter of collection of the penalty directly to the United States magistrate of the jurisdiction in which the person liable may be found for collection procedures under supervision of the district court and under an order issued by the court delegating this authority under section 636(b) of title 28. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 592.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 12309(a) 46:1483 12309(b) 46:1484(b) 12309(c) 46:1484(d) ------------------------------- Section 12309 provides for civil and criminal penalties for violation of the vessel numbering provisions in this title. -CHANGE- CHANGE OF NAME Reference to United States magistrate or to magistrate deemed to refer to United States magistrate judge pursuant to section 321 of Pub. L. 101-650, set out as a note under section 631 of Title 28, Judiciary and Judicial Procedure. ------DocID 53481 Document 382 of 963------ -CITE- 46 USC CHAPTER 125 -EXPCITE- TITLE 46 Part H CHAPTER 125 -HEAD- CHAPTER 125 - VESSEL IDENTIFICATION SYSTEM -MISC1- Sec. 12501. Establishment of a vessel identification system. 12502. Identification numbers, signal letters, and markings. 12503. Information available to the system. 12504. Information available from the system. 12505. Fees. 12506. Delegation of authority. 12507. Penalties. HISTORICAL AND REVISION NOTES Section 101 of H.R. 3105, as amended, adds a new chapter 125 to title 46, United States Code, to establish a vessel identification system for all vessels of the United States. This would include vessels documented under chapter 121 of title 46, numbered under chapter 123 of that title, or titled under the law of a State. This new chapter consists of new sections 12501-12507 as follows. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 31321, 31322 of this title; title 33 sections 1321, 2602. ------DocID 53482 Document 383 of 963------ -CITE- 46 USC Sec. 12501 -EXPCITE- TITLE 46 Part H CHAPTER 125 -HEAD- Sec. 12501. Establishment of a vessel identification system -STATUTE- (a) The Secretary of Transportation shall establish a vessel identification system to make available information under section 12503 of this title for use by the public for law enforcement and other purposes relating to - (1) the ownership of documented vessels; (2) the ownership of vessels numbered under chapter 123 of this title; and (3) the ownership of vessels titled under the law of a State. (b) The vessel identification system shall include information prescribed by the Secretary including - (1) identifying a vessel; (2) identifying the owner of the vessel, including - (A) the owner's social security number or, if that number is not available, other means of identification acceptable to the Secretary; or (B) for an owner other than an individual - (i) the owner's taxpayer identification number; or (ii) if the owner does not have a taxpayer identification number, the social security number of an individual who is a corporate officer, general partner, or individual trustee of the owner and who signed the application for documentation or numbering for the vessel; (3) identifying the State in which it is titled or numbered; (4) indicating whether the vessel is numbered or titled, or both; (5) if titled in a State, indicating where evidence of a lien or other security interest may be found against the vessel in that State; and (6) information assisting law enforcement officials. (c) The Secretary may maintain information under this chapter in connection with any other information system maintained by the Secretary. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 101(a), Nov. 23, 1988, 102 Stat. 4735, and amended Pub. L. 101-225, title III, Sec. 302(1), Dec. 12, 1989, 103 Stat. 1922; Pub. L. 101-595, title VI, Sec. 603(10), Nov. 16, 1990, 104 Stat. 2993.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 12501 Subsection (a) of section 12501 requires the Secretary of Transportation to establish a system of information concerning vessels of the United States for law enforcement and other purposes. The Secretary is required to make available information from the system relating to the ownership of vessels documented under chapter 121 of title 46, numbered under chapter 123 of that title, and titled under the law of a State. The information is available under section 12503 for use by the public, similarly under the Ship Mortgage Act, 1920. Subsection (b) lists the vessel identification information which is required to be maintained by the Secretary. The Secretary has the authority to prescribe other information to be maintained in addition to the items listed. For example, the Secretary may identify vessels issued fisheries permits by the Department of Commerce. The Secretary may also monitor transactions involving vessels that require approval by the Secretary under section 9 of the Shipping Act, 1916 (46 App. U.S.C. 808) before interest or control in the vessel may be transferred to a noncitizen. Subsection (c) clarifies that the Secretary has the flexibility to maintain this system in connection with any other information system maintained by the Secretary, including the Federal Aviation Administration system containing aircraft ownership information. This would also permit the Secretary to combine various systems and data bases maintained by the Secretary such as documentation and numbering of vessels, and safety, casualty, and law enforcement statistics. AMENDMENTS 1990 - Subsec. (b)(2)(A). Pub. L. 101-595 amended subpar. (A) generally. Prior to amendment, subpar. (A) read as follows: 'the owner's social security number; or'. 1989 - Subsec. (b)(2). Pub. L. 101-225 amended par. (2) generally, adding subpars. (A) and (B). EFFECTIVE DATE Chapter effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as a note under section 30101 of this title. RECORDS AND OTHER INFORMATION; ESTABLISHMENT, CENTRALIZATION AND COMPUTERIZATION Section 104(e)(2) of title I of Pub. L. 100-710 provided that: 'To establish, centralize, and computerize records and other information maintained under chapters 121, 125, and 313 of title 46, United States Code, from the effective date of this title (Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as a note under section 30101 of this title) through September 30, 1993, the Secretary of Transportation shall spend (out of amounts appropriated for the Department of Transportation under an appropriations law) not less than an amount that is equal to the amounts estimated to be - '(A) collected under section 9701 of title 31, United States Code, for fees paid for services and things of value provided under chapter 313 of title 46, United States Code (as enacted by section 101 of this Act), and for documenting vessels under chapter 121 of title 46; and '(B) transferred to or collected by the Secretary under chapter 125 of title 46, United States Code (as enacted by section 101 of this Act).' PERSONNEL AND EQUIPMENT; RECRUITMENT, COMPENSATION, TRAINING, PURCHASING, OR DEPLOYMENT Section 104(g) of Pub. L. 100-710 provided that: 'Nothing in this section (amending sections 2101, 2110, 12102, 12103, 12105, 12110, 12112, 12117, 12119, and 12120 of this title and sections 808, 1242, and 1271 of the Appendix to this title, and enacting provisions set out as notes under sections 12501, 12502, and 12505 of this title) requires the Coast Guard to recruit, compensate, train, purchase, or deploy any personnel or equipment to carry out chapter 125 of title 46, United States Code (as enacted by section 101 of this Act), except to the extent that appropriations are made available in an appropriations law for the Department of Transportation.' ------DocID 53483 Document 384 of 963------ -CITE- 46 USC Sec. 12502 -EXPCITE- TITLE 46 Part H CHAPTER 125 -HEAD- Sec. 12502. Identification numbers, signal letters, and markings -STATUTE- (a) For the identification of a vessel of the United States, the Secretary of Transportation - (1) shall maintain a unique numbering system and assign a number to each vessel of the United States; (2) may maintain a system of signal letters for a documented vessel; (3) shall record a name selected by the owner of a documented vessel approved by the Secretary as the vessel's name of record; and (4) may establish other identification markings. (b) The manufacturer or owner of a vessel shall affix to the vessel and maintain in the manner prescribed by the Secretary the number assigned and any other markings the Secretary may require. (c) Once a number is assigned under this section, it may not be used by another vessel. (d) Once a documented vessel's name is established, the name may not be changed without the approval of the Secretary. (e) A person may not tamper with or falsify a number or other marking required under this section. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 101(a), Nov. 23, 1988, 102 Stat. 4736.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 12502 Subsection (a) of this section requires the Secretary to maintain a unique numbering system for vessels of the United States. The Secretary may use existing vessel numbering systems such as the hull identification number for this purpose, but must ensure that no two existing vessels of the United States have the same number. The Secretary should consider and propose the use of a 17-digit number to implement this requirement. This subsection also requires the Secretary to maintain a system of signal letters and to record vessel names for documented vessels. The Secretary is authorized to establish other vessel identification markings for vessels of the United States, such as hailing ports. Subsections (b), (c), (d), and (e) contain other requirements and restrictions concerning vessel identification markings. This section consolidates the requirements of sections 12114, 12115, 12116, and 12118 of title 46. For this reason, section 106 of this bill repeals those sections. VESSELS NOT HAVING UNIQUE NUMBER; APPLICABILITY OF PROVISIONS FOR NUMBER ASSIGNMENT Section 104(f) of Pub. L. 100-710 provided that: 'Section 12502(a)(1) of title 46, United States Code (as enacted by section 101 of this Act), applies to a vessel of the United States that does not have a unique number as prescribed by the Secretary of Transportation under that section until the earlier of the following: '(1) the next time the vessel is documented, numbered, or titled. '(2) January 1, 1995.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 12507 of this title; title 33 section 2602. ------DocID 53484 Document 385 of 963------ -CITE- 46 USC Sec. 12503 -EXPCITE- TITLE 46 Part H CHAPTER 125 -HEAD- Sec. 12503. Information available to the system -STATUTE- (a) Except as provided in subsections (b) and (c) of this section, a State or a State's delegee approved by the Secretary of Transportation may make information available to the Secretary if, in a manner and form prescribed by the Secretary, the State - (1) identifies the vessel; (2) identifies the owner of the vessel, including by - (A) the owner's social security number or, if that number is not available, other means of identification acceptable to the Secretary; or (B) for an owner other than an individual - (i) the owner's taxpayer identification number; or (ii) if the owner does not have a taxpayer identification number, the social security number of an individual who is a corporate officer, general partner, or individual trustee of the owner and who signed the application for documentation or numbering for the vessel; (3) identifies the State in which it is titled or numbered; (4) indicates whether the vessel is numbered or titled, or both; (5) if titled in a State, indicates where evidence of a lien or other security interest may be found against the vessel in that State; (6) includes information to assist law enforcement; and (7) includes other information agreed to by the Secretary and the State. (b) Except as provided in subsection (c) of this section, the Secretary also may accept information under conditions and in a manner and form prescribed by the Secretary. (c) The Secretary shall - (1) retain information on a vessel with a preferred mortgage under section 31322(d) of this title that is no longer titled in a State making information available to the Secretary under this chapter until the mortgage is discharged or the vessel is sold; and (2) accept information under section 31321(h) of this title only if that information cannot be provided to a State. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 101(a), Nov. 23, 1988, 102 Stat. 4736, and amended Pub. L. 101-225, title III, Sec. 302(2), Dec. 12, 1989, 103 Stat. 1922; Pub. L. 101-595, title VI, Sec. 603(10), Nov. 16, 1990, 104 Stat. 2993.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 12503 Subsection (a) of section 12503 allows a State or approved State delegee to make vessel identification information available to the Secretary. Participation in the system is voluntary on the part of a State. A benefit to boat purchasers and financiers in States with approved titling systems participating in this system is that vessel mortgages or financing instruments made in those States are deemed to be preferred mortgages under chapter 313 of title 46, United States Code (as codified and enacted by this Act). Under subsection (a), the Secretary may prescribe the manner and form in which the information is made available by the States. In this regard, the Committee intends that the Secretary employ the most efficient, up-to-date computer technology in maintaining information made available from the States to avoid duplication of effort in maintaining information and to reduce the costs of the system. In addition to the vessel identification information made available by States under paragraphs (1)-(6), the Secretary and a State may agree that the State make available other information. For example, the purpose for which a vessel is routinely used would be valuable information for the system. The Committee intends that most of the information in the system will become available directly and exclusively from the States to the greatest extent possible. However, under subsection (b), the Secretary may accept information from others under conditions and in a manner and form prescribed by the Secretary. Thus, if the Secretary discovers a valuable and reliable source of data that can be conveniently made available to the system, the Secretary can approve it. Under paragraph (c)(1), the Secretary must maintain information on a State-titled vessel with a preferred mortgage that moves to a nonparticipating, nontitle State, until the mortgage is discharged or the vessel is sold. Under paragraph (c)(2), the Secretary must accept information submitted under section 31321 of title 46 (as enacted by this Act) concerning a discharge of a preferred mortgage on a vessel title under State law. This would be necessary if the vessel moves to a nonparticipating State, and information on that vessel would not be provided to the system by that State. This subsection will allow the Secretary to keep the vessel information system current on these matters and purge files no longer required to be maintained. AMENDMENTS 1990 - Subsec. (a)(2)(A). Pub. L. 101-595 amended subpar. (A) generally. Prior to amendment, subpar. (A) read as follows: 'the owner's social security number; or'. 1989 - Subsec. (a)(2). Pub. L. 101-225 amended par. (2) generally, adding subpars. (A) and (B). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12501, 12504, 12505 of this title. ------DocID 53485 Document 386 of 963------ -CITE- 46 USC Sec. 12504 -EXPCITE- TITLE 46 Part H CHAPTER 125 -HEAD- Sec. 12504. Information available from the system -STATUTE- For law enforcement or other purposes and under conditions prescribed by the Secretary of Transportation, the Secretary - (1) shall make available information in the vessel identification system to a State making information available under section 12503(a) of this title; and (2) may make available information in the vessel identification system to others. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 101(a), Nov. 23, 1988, 102 Stat. 4736, and amended Pub. L. 101-225, title III, Sec. 302(3), Dec. 12, 1989, 103 Stat. 1923.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 12504 This section requires that the Secretary make available information maintained in the vessel identification system to a State participating in the system for law enforcement or other purposes. The Secretary may make available information in the system to others, under conditions the Secretary may prescribe. At first, the Secretary may elect to deal only with the States. However, the Committee firmly expects that information will be made available through computer terminals in satellite offices or direct computer access by modem. In this manner, boating organizations or financial or documentation services could retrieve data without paper transactions for a fee. AMENDMENTS 1989 - Pub. L. 101-225 substituted 'Secretary of Transportation, the Secretary' for 'Secretary, the Secretary of Transportation'. ------DocID 53486 Document 387 of 963------ -CITE- 46 USC Sec. 12505 -EXPCITE- TITLE 46 Part H CHAPTER 125 -HEAD- Sec. 12505. Fees -STATUTE- (a) The Secretary of Transportation may charge a fee under section 9701 of title 31 for providing information to or requesting information from the vessel identification system, except to - (1) an agency; or (2) a State making information available to the Secretary under section 12503(a) of this title. (b) The Secretary shall deposit amounts transferred or collected under this section in the general fund of the Treasury as proprietary receipts of the Secretary and ascribed to the vessel identification system. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 101(a), Nov. 23, 1988, 102 Stat. 4737, and amended Pub. L. 101-595, title VI, Sec. 603(11), Nov. 16, 1990, 104 Stat. 2993.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 12505 This section contains the authority for the Secretary to charge a fee under the user charge law, 31 U.S.C. 9701, for providing information to or requesting information from the vessel identification system. Fees may not be charged under this subsection to an agency or a State that is participating in the vessel identification system maintained by the Secretary. Under subsection (b) of this section, the Secretary may collect an annual fee of not more than $1.00 from the owner of a vessel of the United States under 31 U.S.C. 9701 for the vessel identification system. Since vessel owners will benefit from the vessel identification system, such as from documentation of ownership data and stolen vessel tracking, this fee is designed as a maintenance charge to owners for this service. The collection of the annual fee may be delayed by the Secretary, and an agency, State, or person may be employed to collect the fee under subsection (c). The Committee expects that the Secretary will make agreements with States to collect this fee at the time of vessel registrations. The term of these registrations varies from one to three years as permitted by chapter 123 of title 46. Under subsection (d) of this section, if a State is employed to collect the fee, the State may retain one-half of the amounts collected, and must transfer the remainder to the Secretary. The amounts retained by a State may be used to cover the costs of making vessel identification information available to the Secretary. This includes upgrading or establishing titling systems as well as making improvements and other changes to vessel numbering systems to make information available. Because States are allowed to make improvements to their vessel titling and numbering systems with the amounts retained under this section, the costs of those programs may decrease. This could result in a corresponding decrease in State numbering fees and offset vessel identification system fees paid by vessel owners. AMENDMENTS 1990 - Subsec. (b). Pub. L. 101-595 redesignated subsec. (e) as (b) and struck out former subsec. (b) which read as follows: 'In addition to any fee under subsection (a) of this section, the Secretary may collect an annual fee of not more than $1.00 from the owner of each vessel of the United States under section 9701 of title 31 for maintaining the vessel identification system. However, the collection of that fee may be delayed under conditions prescribed by the Secretary.' Subsecs. (c), (d). Pub. L. 101-595 struck out subsecs. (c) and (d) which read as follows: '(c) The Secretary may employ any agency, State, or person to collect the fee established under subsection (b) of this section. '(d) If a State is employed to collect a fee under subsection (c) of this section, the State may retain one-half of the amounts collected. A State shall transfer one-half of the amounts collected under subsection (b) of this section to the Secretary.' Subsec. (e). Pub. L. 101-595 redesignated subsec. (e) as (b). Subsec. (f). Pub. L. 101-595 struck out subsec. (f) which read as follows: 'The amounts retained by a State under this section may be used to make information available to the Secretary and to pay incremental administrative costs.' ANNUAL FEE PRIOR TO JAN. 1, 1992 Section 104(e)(1) of Pub. L. 100-710 provided that: 'Before January 1, 1992, the annual fee under section 12505 of title 46, United States Code (as enacted by section 101 of this Act), is $1.00.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12506, 12507 of this title. ------DocID 53487 Document 388 of 963------ -CITE- 46 USC Sec. 12506 -EXPCITE- TITLE 46 Part H CHAPTER 125 -HEAD- Sec. 12506. Delegation of authority -STATUTE- The Secretary of Transportation may delegate to an agency, a State, or a qualified person the authority to - (1) establish and maintain the vessel identification system; and (2) charge fees under section 12505 of this title to a person making information available to or requesting information from the vessel identification system. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 101(a), Nov. 23, 1988, 102 Stat. 4737.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 12506 This section allows the Secretary to delegate the authority to establish and maintain the vessel identification system to an agency, a State, or a qualified person. The Secretary may also delegate the authority to charge fees under section 12505 for requesting information from or making information available to the vessel identification system. ------DocID 53488 Document 389 of 963------ -CITE- 46 USC Sec. 12507 -EXPCITE- TITLE 46 Part H CHAPTER 125 -HEAD- Sec. 12507. Penalties -STATUTE- (a) A person shall be fined under title 18, imprisoned for not more than 2 years, or both, if the person with the intent to defraud - (1) provides false information to the Secretary of Transportation or a State issuing authority regarding the identification of a vessel under this chapter; or (2) tampers with, removes, or falsifies the unique vessel identification number assigned to a vessel under section 12502 of this title. (b) A person is liable to the United States Government for a civil penalty of not more than $10,000 if the person - (1) provides false information to the Secretary or a State issuing authority regarding the identification of a vessel under this chapter; (2) violates section 12502 of this title; or (3) fails to comply with requirements prescribed by the Secretary under section 12505 of this title. (c) A vessel involved in a violation of this chapter, or regulation under this chapter, and its equipment, may be seized by, and forfeited to, the Government. (d) If a person, not an individual, is involved in a violation of this chapter, the president or chief executive of the person also is subject to any penalty provided under this section. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 101(a), Nov. 23, 1988, 102 Stat. 4737.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 12507 This section establishes criminal and civil penalties for certain violations of chapter 125 of title 46 (as enacted by this Act). ------DocID 53489 Document 390 of 963------ -CITE- 46 USC Part I -EXPCITE- TITLE 46 Part I -HEAD- Part I - State Boating Safety Programs -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in section 2102 of this title. ------DocID 53490 Document 391 of 963------ -CITE- 46 USC CHAPTER 131 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- CHAPTER 131 - RECREATIONAL BOATING SAFETY -MISC1- Sec. 13101. State recreational boating safety programs. 13102. Program acceptance. 13103. Allocations. 13104. Availability of allocations. 13105. Computation decisions about State amounts expended. 13106. Authorization of contract spending. (13107. Repealed.) 13108. Computing amounts allocated to States and State records requirements. 13109. Consultation, cooperation, and regulation. 13110. National Boating Safety Advisory Council. HISTORICAL AND REVISION NOTES This Chapter establishes the recreational boating safety and facility program administered by the Coast Guard. The general purpose is to encourage State participation in boating safety education and enforcement activities. AMENDMENTS 1984 - Pub. L. 98-369, div. A, title X, Sec. 1016(c)(2), July 18, 1984, 98 Stat. 1020, struck out item 13107 'National Recreational Boating Safety and Facilities Improvement Fund'. ------DocID 53491 Document 392 of 963------ -CITE- 46 USC Sec. 13101 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13101. State recreational boating safety programs -STATUTE- (a) To encourage greater State participation and uniformity in boating safety efforts, and particularly to permit the States to assume the greater share of boating safety education, assistance, and enforcement activities, the Secretary shall carry out a national recreational boating safety program. Under this program, the Secretary shall make contracts with, and allocate and distribute amounts to, eligible States to assist them in developing, carrying out, and financing State recreational boating safety programs. (b) The Secretary shall establish guidelines and standards for the program. In doing so, the Secretary - (1) shall consider, among other things, factors affecting recreational boating safety by contributing to overcrowding and congestion of waterways, such as the increasing number of recreational vessels operating on those waterways and their geographic distribution, the availability and geographic distribution of recreational boating facilities in and among applying States, and State marine casualty and fatality statistics for recreational vessels; (2) shall consult with the Secretary of the Interior to minimize duplication with the purposes and expenditures of the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l-4 - 460l-11) the Federal Aid in Sport Fish Restoration Act of 1950 (16 U.S.C. 777-777k), and with the guidelines developed under those Acts; and (3) shall maintain environmental standards consistent with the Coastal Zone Management Act of 1972 (16 U.S.C. 1451-1464) and other laws and policies of the United States intended to safeguard the ecological and esthetic quality of the waters and wetlands of the United States. (c) A State whose recreational boating safety program has been approved by the Secretary is eligible for allocation and distribution of amounts under this chapter to assist that State in developing, carrying out, and financing its program. Matching amounts shall be allocated and distributed among eligible States by the Secretary as provided by section 13103 of this title. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 592; Pub. L. 98-369, div. A, title X, Sec. 1011(b), July 18, 1984, 98 Stat. 1013; Pub. L. 101-595, title III, Sec. 312(a), Nov. 16, 1990, 104 Stat. 2987.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13101 46:1474 ------------------------------- Section 13101(a) authorizes the Secretary to make contracts with, and allocate amounts to eligible States to assist them in carrying out their recreational boating safety and facilities improvement programs. Subsection (b) requires the Secretary to establish guidelines and standards for the program, and specifies specific conditions the Secretary must consider, requires consultation with the Secretary of the Interior, and to maintain environmental standards consistent with the Coastal Zone Management Act. Subsection (c) makes the States who meet the standards prescribed by the Secretary eligible for the amounts authorized under this chapter. -REFTEXT- REFERENCES IN TEXT The Land and Water Conservation Fund Act of 1965, referred to in subsec. (b)(2), is Pub. L. 88-578, Sept. 3, 1964, 78 Stat. 897, as amended, which is classified generally to part B (Sec. 460l-4 et seq.) of subchapter LXIX of chapter 1 of Title 16, Conservation. For complete classification of this Act to the Code, see Short Title note set out under section 460l-4 of Title 16 and Tables. The Federal Aid in Sport Fish Restoration Act of 1950, referred to in subsec. (b)(2), is act Aug. 9, 1950, ch. 658, 64 Stat. 430, as amended, also popularly known as the Federal Aid in Fish Restoration Act and as the Fish Restoration and Management Projects Act, which is classified generally to chapter 10B (Sec. 777 et seq.) of Title 16. For complete classification of this Act to the Code, see Short Title note set out under section 777 of Title 16 and Tables. The Coastal Zone Management Act of 1972, referred to in subsec. (b)(3), is title III of Pub. L. 89-454 as added by Pub. L. 92-583, Oct. 27, 1972, 86 Stat. 1280, as amended, which is classified generally to chapter 33 (Sec. 1451 et seq.) of Title 16. For complete classification of this Act to the Code, see Short Title note set out under section 1451 of Title 16 and Tables. -MISC2- AMENDMENTS 1990 - Subsec. (b)(2). Pub. L. 101-595 substituted 'the Federal Aid in Sport Fish Restoration Act of 1950 (16 U.S.C. 777-777k), and with the guidelines developed under those Acts; and' for 'and with the guidelines developed under that Act; and'. 1984 - Subsec. (a). Pub. L. 98-369, Sec. 1011(b), struck out 'and facility improvement' after 'in boating safety', struck out 'and facilities improvement' in two places after 'recreational boating safety', and substituted 'shall' for 'may' in second sentence. Subsec. (c). Pub. L. 98-369, Sec. 1011(b)(1)(B), struck out 'and facilities improvement' after 'recreational boating safety'. EFFECTIVE DATE OF 1984 AMENDMENT Section 1013 of subpart A (Sec. 1010-1013) of part I of subtitle B of title X of division A of Pub. L. 98-369 provided that: 'The amendments made by this subpart (amending sections 2102, 13101 to 13103, 13105, 13106, 13108, and 13109 of this title and enacting a provision set out as a note under this section) shall take effect on October 1, 1984, and shall apply with respect to fiscal years beginning after September 30, 1984.' SHORT TITLE OF 1986 AMENDMENT Pub. L. 99-626, Sec. 1, Nov. 7, 1986, 100 Stat. 3504, provided that: 'This act (amending sections 13102, 13106, and 13110 of this title and section 1464 of Title 16, Conservation, and enacting provisions set out as notes under section 13110 of this title and section 1456a of Title 16) may be cited as the 'Recreational Boating Safety Act of 1986'.' SURVEY OF FUEL USE BY RECREATIONAL VESSELS Pub. L. 100-448, Sec. 6(d), Sept. 28, 1988, 102 Stat. 1841, provided that: '(1) In general. - The Secretary of Transportation and the Secretary of the Interior shall jointly conduct a survey of - '(A) the number, size, and primary uses of recreational vessels operating on the waters of the United States; and '(B) the amount and types of fuel used by those vessels. '(2) Authorization of contracts. - The Secretary of Transportation and the Secretary of the Interior may enter into contracts for the performance of a survey pursuant to this subsection. '(3) Report. - The Secretary of the Interior and the Secretary of Transportation shall jointly submit a report to the Speaker of the House of Representatives and to the President pro tempore of the Senate which describes the results of the survey conducted pursuant to this section not later than November 15, 1992. '(4) Funding. - Activities under this subsection may be carried out - '(A) using amounts available to the Secretary of the Interior for administrative expenses under the Act entitled 'An Act to provide that the United States shall aid the States in fish restoration and management projects, and for other purposes' (64 Stat. 430; 16 U.S.C. 777 et seq.); and '(B) subject to appropriations, using amounts available to the Secretary of Transportation under section 13106(a)(1) of title 46, United States Code (as amended by this Act).' CONGRESSIONAL DECLARATION OF POLICY FOR 1984 AMENDMENT Section 1010 of part I (Sec. 1010-1017) of subtitle B of title X of division A of Pub. L. 98-369 provided that: 'It is declared to be the policy of Congress and the purpose of this part (enacting sections 4162 and 9504 of Title 26, Internal Revenue Code, amending sections 2102, 13101 to 13103, 13105, 13106, 13108, and 13109 of this title, sections 777, 777b to 777e, 777g, and 777k of Title 16, Conservation, and sections 4161 and 9503 of Title 26, repealing section 13107 of this title, and enacting provisions set out as notes under this section, section 777 of Title 16, and sections 4161, 4162, and 9504 of Title 26) to improve recreational boating safety and to foster greater development, use, and enjoyment of all waters of the United States by encouraging and assisting participation by the States, the boating industry, and the boating public in activities related to increasing boating safety; by authorizing the establishment of national construction and performance standards for boats and associated equipment; by creating more flexible authority governing the use of boats and equipment; and by facilitating the provision of services by the United States Coast Guard on behalf of boating safety. It is further declared to be the policy of Congress to encourage greater and continuing uniformity of boating laws and regulations among the States and the Federal Government, to encourage and assist the States in exercising their authorities in boating safety, to foster greater cooperation and assistance between the Federal Government and the States in administering and enforcing Federal and State laws and regulations pertaining to boating safety, and to equitably utilize taxes paid on fuel use in motor boats in a manner which enhances boating safety.' ------DocID 53492 Document 393 of 963------ -CITE- 46 USC Sec. 13102 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13102. Program acceptance -STATUTE- (a) The Secretary shall make a contract with, and allocate and distribute amounts from the Boat Safety Account established by section 9504 of the Internal Revenue Code of 1986 to, a State that has an approved State recreational boating safety program, if the State demonstrates to the Secretary's satisfaction that - (1) the program submitted by that State is consistent with this chapter and chapters 61 and 123 of this title; (2) amounts distributed will be used to develop and carry out a State recreational boating safety program containing the minimum requirements of subsection (c) of this section; (3) sufficient State matching amounts are available from general State revenue, undocumented vessel numbering and license fees, State marine fuels taxes, or from a fund constituted from the proceeds of those taxes and established to finance a State recreational boating safety program; and (4) the program submitted by that State designates a State lead authority or agency that will carry out or coordinate carrying out the State recreational boating safety program supported by financial assistance of the United States Government in that State, including the requirement that the designated State authority or agency submit required reports that are necessary and reasonable to carry out properly and efficiently the program and that are in the form prescribed by the Secretary. (b) Amounts of the Government (except amounts from sources referred to in subsection (a)(3) of this section) may not be used to provide a State's share of the costs of the program described under this section. State matching amounts committed to a program under this chapter may not be used to constitute the State's share of matching amounts required by another program of the Government. (c) The Secretary shall approve a State recreational boating safety program, and the program is eligible to receive amounts authorized to be expended under section 13106 of this title, if the program includes - (1) a vessel numbering system approved or carried out by the Secretary under chapter 123 of this title; (2) a cooperative boating safety assistance program with the Coast Guard in that State; (3) sufficient patrol and other activity to ensure adequate enforcement of applicable State boating safety laws and regulations; (4) an adequate State boating safety education program, that includes the dissemination of information concerning the hazards of operating a vessel when under the influence of alcohol or drugs; and (5) a system, approved by the Secretary, for reporting marine casualties required under section 6102 of this title. (d) The Secretary's approval under this section is a contractual obligation of the Government for the payment of a proportionate share of the cost of carrying out the program. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 593; Pub. L. 98-369, div. A, title X, Sec. 1011(c), July 18, 1984, 98 Stat. 1013; Pub. L. 98-557, Sec. 7(b)(3), Oct. 30, 1984, 98 Stat. 2862; Pub. L. 99-307, Sec. 1(17), May 19, 1986, 100 Stat. 446; Pub. L. 99-626, Sec. 4(a), (b), Nov. 7, 1986, 100 Stat. 3505; Pub. L. 100-448, Sec. 6(b)(3)-(5), Sept. 28, 1988, 102 Stat. 1840; Pub. L. 101-595, title III, Sec. 312(b), Nov. 16, 1990, 104 Stat. 2987.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13102 46:1475 ------------------------------- Section 13102(a) authorizes the Secretary to contract with the States and allocate the amounts of them if they demonstrate to the satisfaction of the Secretary that they have a program consistent with this chapter and chapters 61 and 123, that the amounts received will be used to develop and carry out their recreational boating safety and facilities improvement programs, that they have sufficient matching amounts available from specified revenue sources to meet the objectives of the program, that they will submit required reports to the Secretary to ensure continued compliance with the objectives of this chapter. Subsection (b) prohibits a State from using any other funds received from the Federal Government to meet their required State match. Subsections (c) and (d) require the Secretary to approve a State's recreational boating safety and facilities improvement program if the program meets the specified requirements of this subsection. Subsection (e) makes the approval of a State's program a contractual obligation of the Government to pay the Federal portion of the cost to carry out the program. Subsection (f) allows a State to submit a combined boating safety and facility improvement program if it meets the requirements of all of the objectives of both programs. -REFTEXT- REFERENCES IN TEXT Section 9504 of the Internal Revenue Code of 1986, referred to in subsec. (a), is classified to section 9504 of Title 26, Internal Revenue Code. -MISC2- AMENDMENTS 1990 - Subsec. (a)(3). Pub. L. 101-595, Sec. 312(b)(1), inserted 'State' after 'general'. Subsec. (c)(4). Pub. L. 101-595, Sec. 312(b)(2), inserted 'or drugs' after 'alcohol'. Subsec. (d). Pub. L. 101-595, Sec. 312(b)(3), substituted 'a proportionate share' for 'the proportional share'. 1988 - Subsec. (a). Pub. L. 100-448, Sec. 6(b)(4), substituted '1986' for '1954.' in introductory provisions. Subsec. (a)(4). Pub. L. 100-448, Sec. 6(b)(5), amended par. (4) generally. Prior to amendment, par. (4) read as follows: 'the program submitted by that State designates a State lead authority or agency that will carry out or coordinate carrying out out the State recreational boating safety program supported by financial assistance of the United States Government in that State, including the requirement that the designated State authority or agency submit required reports that are necessary and reasonable to carry out properly and efficiently the program and that are in the form prescribed by the Secretary.' Subsec. (b). Pub. L. 100-448, Sec. 6(b)(3), substituted '(except amounts from' for 'from sources (except'. 1986 - Subsec. (a). Pub. L. 99-626, Sec. 4(a), substituted 'Boat Safety Account established by section 9504 of the Internal Revenue Code of 1954.' for 'Fund established under section 13107 of this title' in introductory provisions. Subsec. (a)(4). Pub. L. 99-626, Sec. 4(b), inserted 'out' after 'carrying'. Pub. L. 99-307 substituted 'carrying out the State' for 'carrying the State'. 1984 - Subsec. (a). Pub. L. 98-369, Sec. 1011(c)(1), (2), in provisions preceding par. (1) substituted 'shall' for 'may' and struck out 'and facilities improvement' after 'boating safety'. Subsec. (a)(2). Pub. L. 98-369, Sec. 1011(c)(1), (3), struck out ', (d), or (f)' after 'requirements of subsection (c)' and struck out 'and facilities improvement' after 'boating safety'. Subsec. (a)(3), (4). Pub. L. 98-369, Sec. 1011(c)(1), struck out 'and facilities improvement' after 'boating safety'. Subsec. (c)(4). Pub. L. 98-557 inserted provisions relating to dissemination of information concerning the hazards of operating a vessel when under the influence of alcohol. Subsecs. (d), (e). Pub. L. 98-369, Sec. 1011(c)(4), redesignated subsec. (e) as (d). Former subsec. (d), which related to approval of a State recreational boating facilities improvement program by the Secretary, was struck out. Subsec. (f). Pub. L. 98-369, Sec. 1011(c)(4), struck out subsec. (f) which related to submission by a State to the Secretary of a combined program for the improvement of recreational boating safety and recreational boating facilities. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-448 effective Oct. 1, 1988, see section 6(e) of Pub. L. 100-448, set out as a note under section 777 of Title 16, Conservation. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 effective Oct. 1, 1984, to apply with respect to fiscal years beginning after Sept. 30, 1984, see section 1013 of Pub. L. 98-369, set out as a note under section 13101 of this title. ------DocID 53493 Document 394 of 963------ -CITE- 46 USC Sec. 13103 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13103. Allocations -STATUTE- (a) The Secretary shall allocate amounts available for allocation and distribution under this chapter for State recreational boating safety programs as follows: (1) One-third shall be allocated equally each fiscal year among eligible States. (2) One-third shall be allocated among eligible States that maintain a State vessel numbering system approved under chapter 123 of this title and a marine casualty reporting system approved under this chapter so that the amount allocated each fiscal year to each eligible State will be in the same ratio as the number of vessels numbered in that State bears to the number of vessels numbered in all eligible States. (3) One-third shall be allocated so that the amount allocated each fiscal year to each eligible State will be in the same ratio as the amount of State amounts expended by the State for the State recreational boating safety program during the prior fiscal year bears to the total State amounts expended during that fiscal year by all eligible States for State recreational boating safety programs. (b) The amount received by a State under this section in a fiscal year may be not more than one-half of the total cost incurred by that State in developing, carrying out, and financing that State's recreational boating safety program in that fiscal year. (c) The Secretary may allocate not more than 5 percent of the amounts available for allocation and distribution in a fiscal year for national boating safety activities of national nonprofit public service organizations. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 594; Pub. L. 98-369, div. A, title X, Sec. 1011(d), July 18, 1984, 98 Stat. 1013; Pub. L. 101-595, title III, Sec. 312(c), Nov. 16, 1990, 104 Stat. 2987.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13103 46:1476 ------------------------------- Section 13103 requires the Secretary to allocate the amounts available for recreational boating safety and facilities improvement programs according to a specific formula: (1) 1/3 shall be allocated equally to each eligible State: (2) 1/3 shall be allocated to those States maintaining an approved numbering system; and (3) 1/3 shall be allocated to the State in the proportion that the State obligated in the prior fiscal year to the total amount obligated by all of the States in the prior fiscal year. AMENDMENTS 1990 - Subsec. (a)(3). Pub. L. 101-595 struck out 'or obligated' after 'expended' in two places. 1984 - Subsec. (b). Pub. L. 98-369, Sec. 1011(d), redesignated subsec. (c) as (b), struck out 'and facilities improvement' after 'boating safety', and struck out former subsec. (b) which related to allocation of amounts for State recreational boating facilities improvement programs by the Secretary. Subsec. (c). Pub. L. 98-369, Sec. 1011(d)(1), redesignated subsec. (e) as (c). Former subsec. (c) redesignated (b). Subsec. (d). Pub. L. 98-369, Sec. 1011(d)(1), struck out subsec. (d) which provided that an allocation or distribution of amounts under this section may not be made to a State to maintain boating facilities under that State's approved recreational boating safety and facilities improvement program. Subsec. (e). Pub. L. 98-369, Sec. 1011(d)(1), redesignated subsec. (e) as (c). Subsec. (f). Pub. L. 98-369, Sec. 1011(d)(1), struck out subsec. (f) which provided that the Secretary could extend amounts necessary to carry out this chapter but that there was a limitation on the total amount allocable. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 effective Oct. 1, 1984, to apply with respect to fiscal years beginning after Sept. 30, 1984, see section 1013 of Pub. L. 98-369, set out as a note under section 13101 of this title. PAYMENT OF ADMINISTRATIVE COSTS; RETENTION OF AMOUNT PRIOR TO ALLOCATIONS Pub. L. 99-640, Sec. 7(d), Nov. 10, 1986, 100 Stat. 3548, which provided that before making any allocation under this section (46 U.S.C. 13103) for a fiscal year, the Secretary shall retain not less than one percent nor more than two percent of the amount appropriated for that year for State recreational boating safety programs for the payment of costs of administration of this chapter (46 U.S.C. 13101 et seq.), was repealed by Pub. L. 100-448, Sec. 6(b)(1)(B), Sept. 28, 1988, 102 Stat. 1840. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 13101, 13106, 13108 of this title. ------DocID 53494 Document 395 of 963------ -CITE- 46 USC Sec. 13104 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13104. Availability of allocations -STATUTE- (a) Amounts allocated to a State shall be available for obligation by that State for a period of 3 years after the date of allocation. Amounts unobligated by the State at the end of the 3 years shall be withdrawn by the Secretary and shall be available with other amounts to be allocated by the Secretary during that fiscal year. (b) Amounts available to the Secretary for State recreational boating safety programs that have not been allocated at the end of a fiscal year shall be carried forward as part of the total allocation of amounts for the next fiscal year that may be expended under this chapter. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 595; Pub. L. 99-307, Sec. 1(18), May 19, 1986, 100 Stat. 446.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13104 46:1477 ------------------------------- Section 13104 allows a State to use any of the amounts received from the Secretary over a 3 year period. If the State does not spend the money within that period, the amounts revert to the Secretary, who will make the amounts available along with the amounts available for that year. AMENDMENTS 1986 - Subsec. (b). Pub. L. 99-307 inserted 'for State recreational boating safety programs' after 'Secretary'. ------DocID 53495 Document 396 of 963------ -CITE- 46 USC Sec. 13105 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13105. Computation decisions about State amounts expended -STATUTE- (a) Consistent with regulations prescribed by the Secretary, the computation by a State of amounts expended for the State recreational boating safety program shall include - (1) the acquisition, maintenance, and operating costs of land, facilities, equipment, and supplies; (2) personnel salaries and reimbursable expenses; (3) the costs of training personnel; (4) public boat safety education; (5) the costs of carrying out the program; and (6) other expenses that the Secretary considers appropriate. (b) The Secretary shall decide an issue arising out of the computation made under subsection (a) of this section. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 596; Pub. L. 98-369, div. A, title X, Sec. 1011(e), July 18, 1984, 98 Stat. 1013; Pub. L. 101-595, title III, Sec. 312(c), Nov. 16, 1990, 104 Stat. 2987.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13105 46:1478 ------------------------------- Section 13105 prescribes what amounts expended or obligated by a State will be counted toward the State's share. This section also authorizes the Secretary to settle any dispute over the computations required by this section. AMENDMENTS 1990 - Subsec. (a). Pub. L. 101-595 struck out 'or obligated' after 'expended' in provisions preceding par. (1). 1984 - Subsec. (a). Pub. L. 98-369 struck out 'and facilities improvement' after 'boating safety' in provisions preceding par. (1). EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 effective Oct. 1, 1984, to apply with respect to fiscal years beginning after Sept. 30, 1984, see section 1013 of Pub. L. 98-369, set out as a note under section 13101 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 13108 of this title. ------DocID 53496 Document 397 of 963------ -CITE- 46 USC Sec. 13106 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13106. Authorization of contract spending -STATUTE- (a)(1) Subject to paragraph (2), the Secretary may expend in each fiscal year, subject to amounts as are provided in appropriations laws for liquidation of contract authority, an amount equal to 1/2 of the amount transferred for such fiscal year to the Boat Safety Account under section 9503(c)(4) of the Internal Revenue Code of 1986 (26 U.S.C. 9503(c)(4)). The amount shall be allocated as provided under section 13103 of this title and shall be available for State recreational boating safety programs as provided under the guidelines established under subsection (b) of this section. Amounts authorized to be expended for State recreational boating safety programs shall remain available until expended and are deemed to have been expended only if an amount equal to the total amounts authorized to be expended under this section for the fiscal year in question and all prior fiscal years have been obligated. Amounts previously obligated but released by payment of a final voucher or modification of a program acceptance shall be credited to the balance of unobligated amounts and are immediately available for expenditure. (2) The Secretary shall use not less than one percent and not more than two percent of the amount appropriated each fiscal year for State recreational boating safety programs under this chapter to pay the costs of investigations, personnel, and activities related to administering those programs. (b) The Secretary shall establish guidelines prescribing the purposes for which amounts available under this chapter for State recreational boating safety programs may be used. Those purposes shall include - (1) providing facilities, equipment, and supplies for boating safety education and law enforcement, including purchase, operation, maintenance, and repair; (2) training personnel in skills related to boating safety and to the enforcement of boating safety laws and regulations; (3) providing public boating safety education, including educational programs and lectures, to the boating community and the public school system; (4) acquiring, constructing, or repairing public access sites used primarily by recreational boaters; (5) conducting boating safety inspections and marine casualty investigations; (6) establishing and maintaining emergency or search and rescue facilities, and providing emergency or search and rescue assistance; (7) establishing and maintaining waterway markers and other appropriate aids to navigation; and (8) providing State recreational vessel numbering and titling programs. (c) An amount equal to one-half of the amount transferred for each fiscal year to the Boat Safety Account under section 9503(c)(4) of the Internal Revenue Code of 1986 (26 U.S.C. 9503(c)(4)) is available to the Secretary for expenditures out of the operating expenses account of the Coast Guard for services provided by the Coast Guard for recreational boating safety, including services provided by the Coast Guard Auxiliary. Expenditures for a fiscal year under this subsection shall not exceed expenditures for the fiscal year under subsection (a). Amounts made available by this subsection shall remain available until expended. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 596; Pub. L. 98-369, div. A, title X, Sec. 1012, July 18, 1984, 98 Stat. 1013; Pub. L. 99-626, Sec. 4(c), Nov. 7, 1986, 100 Stat. 3505; Pub. L. 99-640, Sec. 7(b), (c), Nov. 10, 1986, 100 Stat. 3548; Pub. L. 100-448, Sec. 6(b)(1)(A), (2), (6), Sept. 28, 1988, 102 Stat. 1839, 1840.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13106 46:1479 ------------------------------- Section 13106 provides the Secretary with liquidating contract authority in an amount equal to the revenues received from the motor boat fuel tax. One third shall be used for State boating safety programs, and 2/3 shall be used for State facilities improvement programs. And as provided in Section 13102(f), the approval of a State's program makes it a contractual obligation of the United States Government to provide the amounts available. AMENDMENTS 1988 - Subsec. (a). Pub. L. 100-448, Sec. 61(b)(1)(A), designated existing provisions as par. (1), added par. (2), and amended first sentence of par. (1) generally. Prior to amendment, first sentence read as follows: 'The Secretary may expend in each of the fiscal years 1985, 1986, 1987, and 1988, subject to amounts as are provided in appropriations laws for liquidation of contract authority, an amount equal to one-half for Fiscal Year 1987 and two-thirds for each Fiscal Year thereafter of the amount transferred for such fiscal year to the Boat Safety Account under section 9503(c)(4) of the Internal Revenue Code of 1986 (26 U.S.C. 9503(c)(4)).' Subsec. (c). Pub. L. 100-448, Sec. 6(b)(2)(A), struck out 'for Fiscal Year 1987 and one-third for each fiscal year thereafter.' after 'An amount equal to one-half' in first sentence. Pub. L. 100-448, Sec. 6(b)(6), substituted '1986' for '1954' in first sentence. Pub. L. 100-448, Sec. 6(b)(2)(B), inserted after first sentence 'Expenditures for a fiscal year under this subsection shall not exceed expenditures for the fiscal year under subsection (a).' 1986 - Subsec. (a). Pub. L. 99-640, Sec. 7(c), substituted 'one-half for Fiscal Year 1987 and two-thirds for each Fiscal Year thereafter' for 'two-thirds'. Subsec. (b). Pub. L. 99-626 substituted 'shall' for 'may' after 'Those purposes' in introductory provisions and substituted 'and' for 'or' in par. (8). Subsec. (c). Pub. L. 99-640, Sec. 7(b), substituted 'one-half for Fiscal Year 1987 and one-third for each Fiscal Year thereafter.' for 'one-third'. 1984 - Pub. L. 98-369 amended section generally and, among other changes, struck out all references to a facilities improvement program, inserted provisions directing the Secretary to establish guidelines prescribing the purposes for which amounts available under this chapter for State recreational safety boating programs may be used, and made available to the Secretary an amount equal to one-third of the amount transferred for each fiscal year to the Boat Safety Account under section 9503(c)(4) of title 26 to be used for expenditures out of the operating expenses account of the Coast Guard for services provided by the Coast Guard for recreational boating safety, including services provided by the Coast Guard Auxiliary. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-448 effective Oct. 1, 1988, see section 6(e) of Pub. L. 100-448, set out as a note under section 777 of Title 16, Conservation. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 effective Oct. 1, 1984, to apply with respect to fiscal years beginning after Sept. 30, 1984, see section 1013 of Pub. L. 98-369, set out as a note under section 13101 of this title. BOATING SAFETY FUND Pub. L. 99-272, title VI, Sec. 6001, Apr. 7, 1986, 100 Stat. 121, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'An amount equal to one-third of the amount transferred for fiscal year 1985 to the Boat Safety Account under section 9503(c)(4) of the Internal Revenue Code of 1986 (26 U.S.C. 9503(c)(4)) shall be deposited in the general fund of the Treasury as proprietary receipts of the department in which the Coast Guard is operating and ascribed to Coast Guard activities. Section 13106(a) of title 46, United States Code, shall be applied with respect to fiscal year 1985 by substituting 'one-third' for 'two-thirds' in the first sentence.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 13102, 31322 of this title. ------DocID 53497 Document 398 of 963------ -CITE- 46 USC Sec. 13107 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- (Sec. 13107. Repealed. Pub. L. 98-369, div. A, title X, Sec. 1016(c)(1), July 18, 1984, 98 Stat. 1020) -MISC1- Section, Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 596, established the National Recreational Boating Safety and Facilities Improvement Fund. See section 9504 of Title 26, Internal Revenue Code. EFFECTIVE DATE OF REPEAL Repeal effective Oct. 1, 1984, see section 1016(e) of Pub. L. 98-369, set out as an Effective Date note under section 9504 of Title 26, Internal Revenue Code. ------DocID 53498 Document 399 of 963------ -CITE- 46 USC Sec. 13108 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13108. Computing amounts allocated to States and State records requirements -STATUTE- (a) Amounts allocated and distributed under section 13103 of this title shall be computed and paid to the States as follows: (1) During the second quarter of a fiscal year and on the basis of computations made under section 13105 of this title and submitted by the States for the proceeding fiscal year, the Secertary (FOOTNOTE 1) shall determine the percentage of the amounts available to which each eligible State is entitled for the next fiscal year. (FOOTNOTE 1) So in original. Probably should be 'Secretary'. (2) Notice of the percentage and of the dollar amount, if it can be determined, for each State shall be provided to the States at the earliest practicable time. (3) If the Secretary determines that an amount made available to a State for a prior fiscal year is greater or less than the amount that should have been made available to the State for the prior fiscal year, because of later or more accurate State expenditure information, the amount for the current fiscal year may be increased or decreased by the appropriate amount. (b) The Secretary shall schedule the payment of amounts, consistent with the program purposes and applicable regulations prescribed by the Secretary of the Treasury, to minimize the time elapsing between the transfer of amounts from the Treasury and the subsequent disbursement of the amounts by a State. (c) The Secretary shall notify a State authority or agency that further payments will be made to the State only when the program complies with the prescribed standards or a failure to comply substantially with standards is corrected if the Secretary, after reasonable notice to the designated State authority or agency, finds that - (1) the State recreational boating safety program submitted by the State and accepted by the Secretary has been so changed that it no longer complies with this chapter or standards prescribed by regulations; or (2) in carrying out the State recreational boating safety program, there has been a failure to comply substantially with the standards prescribed by regulations. (d) The Secretary shall provide for the accounting, budgeting, and other fiscal procedures that are necessary and reasonable to carry out this section properly and efficiently. Records related to amounts allocated under this chapter shall be made available to the Secretary and the Comptroller General to conduct audits. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 596; Pub. L. 98-369, div. A, title X, Sec. 1011(f), July 18, 1984, 98 Stat. 1013; Pub. L. 101-595, title III, Sec. 312(d), Nov. 16, 1990, 104 Stat. 2987.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13108 46:1480 ------------------------------- Section 13108 sets forth the manner that the Secretary shall compute the amounts to be allocated to the States, State record requirements, and authority for the General Accounting Office to review the records when conducting audits. AMENDMENTS 1990 - Subsec. (a)(1). Pub. L. 101-595 amended par. (1) generally. Prior to amendment, par. (1) read as follows: 'During the last quarter of a fiscal year and on the basis of computations made under section 13105 of this title and submitted by the States, the Secretary shall determine the percentage of the amounts available for the next fiscal year to which each eligible State is entitled.' 1984 - Subsec. (c)(1), (2). Pub. L. 98-369 struck out 'and facilities improvement' after 'boating safety'. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 effective Oct. 1, 1984, to apply with respect to fiscal years beginning after Sept. 30, 1984, see section 1013 of Pub. L. 98-369, set out as a note under section 13101 of this title. ------DocID 53499 Document 400 of 963------ -CITE- 46 USC Sec. 13109 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13109. Consultation, cooperation, and regulation -STATUTE- (a) In carrying out responsibilities under this chapter, the Secretary may consult with State and local governments, public and private agencies, organizations and committees, private industry, and other persons having an interest in boating safety. (b) The Secretary may advise, assist, and cooperate with the States and other interested public and private agencies in planning, developing, and carrying out boating safety programs. Acting under section 141 of title 14, the Secretary shall ensure the fullest cooperation between the State and United States Government authorities in promoting boating safety by making agreements and other arrangements with States when possible. Subject to chapter 23 of title 14, the Secretary may make available, on request of a State, the services of members of the Coast Guard Auxiliary to assist the State in promoting boating safety on State waters. (c) The Secretary may prescribe regulations to carry out this chapter. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 597; Pub. L. 98-369, div. A, title X, Sec. 1011(g), July 18, 1984, 98 Stat. 1013.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13109 46:1481 ------------------------------- Section 13109 authorizes the Secretary to consult with State and local governments, public and private agencies, and any other persons that have an interest in boating safety. This section also authorizes the Secretary to advise and assist the States and other public and private agencies in the planning and carrying out of their boating safety and facilities improvement programs. AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-369 struck out 'and facilities improvement' after 'boating safety'. Subsec. (b). Pub. L. 98-369 struck out 'and facilities improvement' after 'and carrying out boating safety'. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 effective Oct. 1, 1984, to apply with respect to fiscal years beginning after Sept. 30, 1984, see section 1013 of Pub. L. 98-369, set out as a note under section 13101 of this title. ------DocID 53500 Document 401 of 963------ -CITE- 46 USC Sec. 13110 -EXPCITE- TITLE 46 Part I CHAPTER 131 -HEAD- Sec. 13110. National Boating Safety Advisory Council -STATUTE- (a) The Secretary shall establish a National Boating Safety Advisory Council. The Council shall consist of 21 members appointed by the Secretary, whom the Secretary considers to have a particular expertise, knowledge, and experience in recreational boating safety. (b)(1) The membership of the Council shall consist of - (A) 7 representatives of State officials responsible for State boating safety programs; (B) 7 representatives of recreational vessel manufacturers and associated equipment manufacturers; and (C) 7 representatives of national recreational boating organizations and from the general public, at least 5 of whom shall be representatives of national recreational boating organizations. (2) Additional individuals from the sources referred to in paragraph (1) of this subsection may be appointed to panels of the Council to assist the Council in performing its duties. (3) At least once a year, the Secretary shall publish a notice in the Federal Register soliciting nominations for membership on the Council. (c) In addition to the consultation required by section 4302 of this title, the Secretary shall consult with the Council on other major boating safety matters related to this chapter. The Council may make available to Congress information, advice, and recommendations that the Council is authorized to give to the Secretary. (d) When attending meetings of the Council, a member of the Council or a panel may be paid at a rate not more than the rate for GS-18. When serving away from home or regular place of business, the member may be allowed travel expenses, including per diem in lieu of subsistence as authorized by section 5703 of title 5 for individuals employed intermittently in the Government service. A payment under this section does not make a member of the Council an officer or employee of the United States Government for any purpose. (e) The Council shall terminate on September 30, 1991. -SOURCE- (Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 598; Pub. L. 99-626, Sec. 3(a)(1), (b)(1), (2), Nov. 7, 1986, 100 Stat. 3505; Pub. L. 100-448, Sec. 20(a), Sept. 28, 1988, 102 Stat. 1846.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 13110 46:1482 ------------------------------- Section 13110 establishes the National Boating Safety Advisory Council, the membership of the council, and compensation for individuals serving on the council. This council is to be established consistent with the Federal Advisory Committee Act (P.L. 92-463; 5 U.S.C. App.). AMENDMENTS 1988 - Subsec. (b)(1). Pub. L. 100-448 substituted 'representatives of' for 'members from' wherever appearing. 1986 - Subsec. (a). Pub. L. 99-626, Sec. 3(b)(1), struck out 'not more than' before '21 members' and inserted 'recreational' after 'experience in'. Subsec. (b)(1). Pub. L. 99-626, Sec. 3(b)(2), amended par. (1) generally. Prior to amendment, par. (1) read as follows: 'Insofar as practical and to ensure balanced representation, the Secretary shall appoint members equally from - '(A) State officials responsible for State boating safety programs; '(B) recreational vessel manufacturers; and '(C) boating organizations and members of the general public.' Subsec. (e). Pub. L. 99-626, Sec. 3(a)(1), added subsec. (e). REFERENCES IN OTHER LAWS TO GS-16, 17, OR 18 PAY RATES References in laws to the rates of pay for GS-16, 17, or 18, or to maximum rates of pay under the General Schedule, to be considered references to rates payable under specified sections of Title 5, Government Organization and Employees, see section 529 (title I, Sec. 101(c)(1)) of Pub. L. 101-509, set out in a note under section 5376 of Title 5. IMPLEMENTATION OF 1988 AMENDMENT Section 20(b) of Pub. L. 100-448 provided that: 'The Secretary of the department in which the Coast Guard is operating shall carry out the amendments made by subsection (a) (amending this section) as vacancies in the membership of the National Boating Safety Advisory Council occur.' IMPLEMENTATION OF 1986 AMENDMENT Section 3(b)(3) of Pub. L. 99-626 provided that: 'The Secretary of Transportation shall carry out the amendments made by paragraph (2) (amending this section) as vacancies in the membership of the National Boating Safety Advisory Council occur.' TERMINATION OF ADVISORY COUNCILS Advisory councils established after Jan. 5, 1973, to terminate not later than the expiration of the 2-year period beginning on the date of their establishment, unless, in the case of a council established by the President or an officer of the Federal Government, such council is renewed by appropriate action prior to the expiration of such 2-year period, or in the case of a council established by the Congress, its duration is otherwise provided for by law. See sections 3(2) and 14 of Pub. L. 92-463, Oct. 6, 1972, 86 Stat. 770, 776, set out in the Appendix to Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 4302 of this title. ------DocID 53501 Document 402 of 963------ -CITE- 46 USC Part J -EXPCITE- TITLE 46 Part J -HEAD- Part J - Measurement of Vessels -MISC1- HISTORICAL AND REVISION NOTES Part J contains provisions that apply to the measurement of a vessel to determine its tonnage. Tonnage is a measurement of a vessel's volume and is used for international, customs, and regulatory purposes. This part implements the 1969 International Convention on Tonnage Measurement of Ships and provides a framework for phasing in the international system as the method of measuring ships domestically, to establish uniformity in ship measurement. The availability of an alternate domestic regulatory system of measurement is continued so that the application of domestic laws will be preserved in order that vessels engaged in domestic commerce will not be adversely affected. -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in section 12102 of this title; title 33 section 2701. ------DocID 53502 Document 403 of 963------ -CITE- 46 USC CHAPTER 141 -EXPCITE- TITLE 46 Part J CHAPTER 141 -HEAD- CHAPTER 141 - GENERAL -MISC1- Sec. 14101. Definitions. (14102. Repealed.) 14103. Delegation of authority. 14104. Measurement to determine application of a law. AMENDMENTS 1990 - Pub. L. 101-595, title VI, Sec. 603(12)(B), Nov. 16, 1990, 104 Stat. 2993, struck out item 14102 'Regulations'. ------DocID 53503 Document 404 of 963------ -CITE- 46 USC Sec. 14101 -EXPCITE- TITLE 46 Part J CHAPTER 141 -HEAD- Sec. 14101. Definitions -STATUTE- In this part - (1) 'Convention' means the International Convention on Tonnage Measurement of Ships, 1969. (2) 'existing vessel' means a vessel the keel of which was laid or that was at a similar stage of construction before July 18, 1982. (3) 'Great Lakes' means - (A) the Great Lakes; and (B) the St. Lawrence River west of - (i) a rhumb line drawn from Cap des Rosiers to West Point, Anticosti Island; and (ii) on the north side of Anticosti Island, the meridian of longitude 63 degrees west. (4) 'vessel engaged on a foreign voyage' means a vessel - (A) arriving at a place under the jurisdiction of the United States from a place in a foreign country; (B) making a voyage between places outside the United States (except a foreign vessel engaged on that voyage); (C) departing from a place under the jurisdiction of the United States for a place in a foreign country; or (D) making a voyage between a place within a territory or possession of the United States and another place under the jurisdiction of the United States not within that territory or possession. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1919.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14101 Source: International Convention on Tonnage Measurement of Ships. Section 14101 contains definitions that are limited to Part J - Measurement of Vessels. The source of these definitions is the International Convention on Tonnage Measurement of Ships in articles 2 and 4. ------DocID 53504 Document 405 of 963------ -CITE- 46 USC Sec. 14102 -EXPCITE- TITLE 46 Part J CHAPTER 141 -HEAD- (Sec. 14102. Repealed. Pub. L. 101-595, title VI, Sec. 603(12)(A), Nov. 16, 1990, 104 Stat. 2993) -MISC1- Section, added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1919, authorized Secretary to prescribe regulations to carry out this part. ------DocID 53505 Document 406 of 963------ -CITE- 46 USC Sec. 14103 -EXPCITE- TITLE 46 Part J CHAPTER 141 -HEAD- Sec. 14103. Delegation of authority -STATUTE- (a) The Secretary may delegate to a qualified person the authority to measure a vessel and issue an International Tonnage Certificate (1969) or other appropriate certificate of measurement under this part. (b) Under regulations prescribed by the Secretary, a decision of the person delegated authority under subsection (a) of this section related to measuring a vessel or issuing a certificate may be appealed to the Secretary. (c) For a vessel intended to be engaged on a foreign voyage, the Secretary may delegate to another country that is a party to the Convention the authority to measure the vessel and issue an International Tonnage Certificate (1969) under chapter 143 of this title. (d) The Secretary may terminate a delegation made under this section after giving written notice to the person. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1919.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14103 Source: International Convention on Tonnage Measurement of Ships. Section 14103(a) authorizes the Secretary to delegate to a qualified person the authority to measure a vessel and issue an International Tonnage Certificate or other certificate of measurement. The term 'qualified person' means an organization that the Secretary believes has the necessary qualifications to measure a vessel competently, such as the American Bureau of Shipping. The conferees intend that in section 14103 the term 'qualified person' includes not only organizations that the Secretary finds to be qualified to perform measurement duties, but any person as that term is defined in section 1 of title 1, United States Code (including individuals), that the Secretary determines qualified to perform measurement duties. The House and Senate conferees also agree that, where authorized, in addition to information required by the Secretary, regulatory tonnage should be used on all certificates and documents related to a vessel unless the owner otherwise requests. Section 14103(b) provides for the appeal to the Secretary of a decision made by a person that has received delegated authority. This ensures that the Secretary has full oversight of delegated tonnage measurement functions. Section 14103(c) authorizes the Secretary to delegate to a country that is a party to the International Convention on Tonnage Measurement of Ships, 1969, the authority to measure a vessel and issue an International Tonnage Certificate. Section 14103(d) clarifies the Secretary's authority to revoke at any time and without cause a delegation of authority to measure a vessel or issue a certificate. This authority is given so that no delay occurs administratively in revoking a delegation wherever the Secretary decides a revocation is warranted. ------DocID 53506 Document 407 of 963------ -CITE- 46 USC Sec. 14104 -EXPCITE- TITLE 46 Part J CHAPTER 141 -HEAD- Sec. 14104. Measurement to determine application of a law -STATUTE- When the application of a law of the United States to a vessel depends on the vessel's tonnage, the vessel shall be measured under this part. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1920.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14104 Source: Section (U.S. Code) 46 App. U.S.C. 71. Section 14104 requires that a vessel be measured under Part J of this subtitle when the application of a U.S. law to the vessel depends on its tonnage. ------DocID 53507 Document 408 of 963------ -CITE- 46 USC CHAPTER 143 -EXPCITE- TITLE 46 Part J CHAPTER 143 -HEAD- CHAPTER 143 - CONVENTION MEASUREMENT -MISC1- Sec. 14301. Application. 14302. Measurement. 14303. International Tonnage Certificate (1969). 14304. Remeasurement. 14305. Optional regulatory measurement. 14306. Reciprocity for foreign vessels. 14307. Inspection of foreign vessels. HISTORICAL AND REVISION NOTES Chapter 143 provides implementing legislation for the International Convention on Tonnage Measurement of Ships (Convention) which came into effect in the United States on February 10, 1983. Chapter 143, therefore, is based primarily on the Convention, not on provisions in existing U.S. law. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 14103, 14501, 14504 of this title. ------DocID 53508 Document 409 of 963------ -CITE- 46 USC Sec. 14301 -EXPCITE- TITLE 46 Part J CHAPTER 143 -HEAD- Sec. 14301. Application -STATUTE- (a) Except as otherwise provided in this section, this chapter applies to the following: (1) a documented vessel. (2) a vessel that is to be documented under chapter 121 of this title. (3) a vessel engaged on a foreign voyage. (b) This chapter does not apply to the following: (1) a vessel of war. (2) a vessel of less than 24 meters (79 feet) overall in length. (3) a vessel operating only on the Great Lakes, unless the owner requests. (4) a vessel (except a vessel engaged on a foreign voyage) the keel of which was laid or that was at a similar stage of construction before January 1, 1986, unless - (A) the owner requests; or (B) the vessel undergoes a change that the Secretary finds substantially affects the vessel's gross tonnage. (5) before July 19, 1994, an existing vessel unless - (A) the owner requests; or (B) the vessel undergoes a change that the Secretary finds substantially affects the vessel's gross tonnage. (6) a barge (except a barge engaged on a foreign voyage) unless the owner requests. (c) A vessel made subject to this chapter at the request of the owner may be remeasured only as provided by this chapter. (d) After July 18, 1994, an existing vessel (except an existing vessel referred to in subsection (b)(5)(A) or (B) of this section) may retain its tonnages existing on July 18, 1994, for the application of relevant requirements under international agreements (except the Convention) and other laws of the United States. However, if the vessel undergoes a change substantially affecting its tonnage after July 18, 1994, the vessel shall be remeasured under this chapter. (e) This chapter does not affect an international agreement to which the United States Government is a party that is not in conflict with the Convention or the application of IMO Resolutions A.494 (XII) of November 19, 1981, A.540 (XIII) of November 17, 1983, and A.541 (XIII) of November 17, 1983. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1920, and amended Pub. L. 101-595, title III, Sec. 305, Nov. 16, 1990, 104 Stat. 2985.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14301 Source: International Convention on Tonnage Measurement of Ships. Section 14301 delineates which vessels must be measured in compliance with the standards of the Convention. Section 14301(a) provides that a vessel must be measured under the standards of the Convention if it is documented or required by law to be documented under chapter 121 of this subtitle or if it is engaged on a foreign voyage, unless the vessel is specifically exempted under section 14301(b). Section 14301(b) provides the following exemptions from the requirement in section 14301(a) to be measured under the Convention: 1. A vessel of war; 2. A vessel of less than 24 meters (79 feet) overall in length ('overall in length' is defined in section 2101); 3. A vessel that operates only on the Great Lakes (although the owner may request that it be measured under the Convention); 4. A vessel whose keel was laid or was at a similar stage of construction before Janurary 1, 1986, and is on a domestic voyage, unless the vessel undergoes a change that significantly changes its tonnage or the owner requests that the vessel be measured under the Convention; and 5. A vessel whose keel was laid or was at a similar stage of construction before July 18, 1982, unless the vessel undergoes a change that significantly changes the vessel's tonnage or the owner requests that the vessel be measured under the Convention. Together, subsections (b)(4) and (5) provide that, unless the owner requests measurement under the Convention, unaltered vessels built before 1986 engaging only on domestic voyages do not have to be measured under the Convention or use Convention measurement for the application of any domestic laws. Further, these subsections provide that unaltered vessels that are built before July 18, 1982, engaging on foreign voyages do not have to be measured under the Convention until 1994 and are not required to use Convention measurement as a basis for the application of any domestic laws. Section 14301(c) provides that if a vessel owner requests that the vessel be measured under the Convention, the vessel may only be remeasured under the Convention. Section 14301(d) provides that after July 18, 1994, a vessel whose keel was laid or was at a similar stage of construction before July 18, 1982 may retain its regulatory tonnage for the application of requirements under U.S. laws or international agreements, except the International Convention on Tonnage Measurement of Ships. However, if the vessel was not required to be measured under the Convention, but the vessel's owner requested that the vessel be measured under the Convention system before July 19, 1994, or if the vessel undergoes a change affecting its tonnage, the vessel may not use its regulatory tonnage for the application of U.S. laws or international agreements after July 19, 1994. Section 14301(e) provides that this chapter does not affect any international agreement to which the United States is a party that is not in conflict with the International Convention on Tonnage Measurement of Ships, 1969. It further provides that this chapter does not affect the application of the three interim schemes of the International Maritime Organization, which are discussed under section 14305 below. AMENDMENTS 1990 - Subsec. (b)(6). Pub. L. 101-595 added par. (6). REPORT TO CONGRESS Section 5103(g) of Pub. L. 99-509 provided that: 'The Secretary of Transportation shall - '(1) before July 19, 1990, submit to Congress - '(A) a study of - '(i) the impact of applying vessel tonnage determined under chapter 143 of title 46 (as enacted by section 5101 of this subtitle), United States Code, in laws of the United States that contain provisions based on tonnage, including an analysis of the number and types of vessels that would become subject to additional laws or more stringent requirements because of that application; and '(ii) the extent to which the tonnage thresholds in laws of the United States whose application is based on tonnage would have to be raised so that additional vessels would not become subject to those laws if their application is based on tonnage determined under chapter 143; and '(B) a recommendation of the levels to which the tonnage thresholds in laws of the United States whose application is based on tonnage should be raised if a complete conversion to the International Convention measurement system under chapter 143 is made; '(2) in conducting the study under clause (1) of this subsection, consult with representatives of the private sector having experience with the operation of vessels likely to be affected by laws of the United States whose application is based on tonnage; and '(3) before July 19, 1988, submit to Congress an interim progress report on the study conducted under clause (1) of this subsection.' ------DocID 53509 Document 410 of 963------ -CITE- 46 USC Sec. 14302 -EXPCITE- TITLE 46 Part J CHAPTER 143 -HEAD- Sec. 14302. Measurement -STATUTE- (a) The Secretary shall measure a vessel to which this chapter applies in the way provided by this chapter and the Convention. (b) Except as provided in section 1602(a) of the Panama Canal Act of 1979 (22 U.S.C. 3792(a)), a vessel measured under this chapter may not be required to be measured under another law. (c) Unless otherwise provided by law, the measurement of a vessel under this chapter applies to a law of the United States whose applicability depends on a vessel's tonnage, if that law - (1) becomes effective after July 18, 1994; or (2) is in effect before July 19, 1994, is not enumerated in section 14305 of this title, and is identified by the Secretary by regulation as a law to which this chapter applies. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1921.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14302 Source: International Convention on Tonnage Measurement of Ships. Section 14302(a) requires the Secretary to measure a vessel to which this chapter applies, in the way provided by this chapter and by the Convention. Section 14302(b) provides that a vessel that is required to be measured under this chapter can not also be required to be measured under another law. The exception allows the Panama Canal Commission to continue to use the Canal measurement system for calculation of tolls. Section 14302(c) provides that the applicability of tonnage-based laws that become effective after July 18, 1994, will be based on Convention tonnage measurements. The applicability of tonnage-based laws in effect before July 19, 1994, which are listed by the Secretary, will also be based on Convention tonnage. Therefore, the laws that will be based on regulatory tonnage are those not listed by the Secretary by regulation and those listed in section 14305 of this legislation. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 14305 of this title. ------DocID 53510 Document 411 of 963------ -CITE- 46 USC Sec. 14303 -EXPCITE- TITLE 46 Part J CHAPTER 143 -HEAD- Sec. 14303. International Tonnage Certificate (1969) -STATUTE- (a) After measuring a vessel under this chapter, the Secretary shall issue, on request of the owner, an International Tonnage Certificate (1969) and deliver it to the owner or master of the vessel. (b) The certificate shall be maintained as required by the Secretary. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1921.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14303 Source: International Convention on Tonnage Measurement of Ships. Section 14303(a) requires the Secretary to issue, on the request of the owner, an International Tonnage Certificate after measuring a vessel under this chapter. Section 14303(b) requires that the certificate be maintained as required by the Secretary. ------DocID 53511 Document 412 of 963------ -CITE- 46 USC Sec. 14304 -EXPCITE- TITLE 46 Part J CHAPTER 143 -HEAD- Sec. 14304. Remeasurement -STATUTE- (a) To the extent necessary, the Secretary shall remeasure a vessel to which this chapter applies if - (1) the Secretary or the owner alleges an error in its measurement; or (2) the vessel or the use of its space is changed in a way that substantially affects its tonnage. (b) Except as provided in this chapter or section 14504 of this title, a vessel that has been measured does not have to be remeasured to obtain another document or endorsement under chapter 121 of this title. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1921.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14304 Source: International Convention on Tonnage Measurement of Ships. Section 14304(a) requires the Secretary to remeasure a vessel, to the extent necessary, if there is an alleged error regarding its measurement or if the vessel or its use undergoes a change substantially affecting its tonnage. The phrase 'to the extent necessary' was included to indicate that a complete remeasurement of the vessel may not be necessary if, for example, an error was made in one portion of the vessel's measurement and only that portion needs to be remeasured. Section 14304(b) provides that except as provided in section 14504, a vessel that has been measured does not have to be remeasured to obtain another document or endorsement under chapter 121 of this title. ------DocID 53512 Document 413 of 963------ -CITE- 46 USC Sec. 14305 -EXPCITE- TITLE 46 Part J CHAPTER 143 -HEAD- Sec. 14305. Optional regulatory measurement -STATUTE- (a) On request of the owner of a documented vessel measured under this chapter, the Secretary also shall measure the vessel under chapter 145 of this title. The tonnages determined under that chapter shall be used in applying - (1) parts A, B, C, E, F, and G and sections 12106(c) and 12108(c) of this title; (2) section 3(d)(3) of the Longshore and Harbor Workers' Compensation Act (33 U.S.C. 903(d)(3)); (3) section 4 of the Bridge to Bridge Radiotelephone Act (33 U.S.C. 1203(a)); (4) section 4(a)(3) of the Ports and Waterways Safety Act (33 U.S.C. 1223(a)(3)); (5) section 4283 of the Revised Statutes of the United States (46 App. U.S.C. 183); (6) sections 27 and 27A of the Act of June 5, 1920 (46 App. U.S.C. 883 and 883-1); (7) Act of July 14, 1956 (46 App. U.S.C. 883a); (8) sections 351, 352, 355, and 356 of the Ship Radio Act (47 U.S.C. 351, 352, 354, and 354a); (9) section 403 of the Commercial Fishing Industry Vessel Act (46 U.S.C. 3302 note); (10) the Officers' Competency Certificates Convention, 1936, and sections 8303 and 8304 of this title; (11) the International Convention for the Safety of Life at Sea as provided by IMCO Resolution A.494 (XII) of November 19, 1981; (12) the International Convention on Standards of Training, Certification, and Watchkeeping for Seafarers, 1978, as provided by IMO Resolution A.540 (XIII) of November 17, 1983; (13) the International Convention for the Prevention of Pollution from Ships, 1973, as modified by the Protocol of 1978 Relating to the International Convention for the Prevention of Pollution from Ships, 1973, as provided by IMO Resolution A.541 (XIII) of November 17, 1983; (14) provisions of law establishing the threshold tonnage levels at which evidence of financial responsibility must be demonstrated; or (15) unless otherwise provided by law, any other law of the United States in effect before July 19, 1994, and not listed by the Secretary under section 14302(c) of this title. (b) As long as the owner of a vessel has a request in effect under subsection (a) of this section, the tonnages determined under that request shall be used in applying the other provisions of law described in subsection (a) to that vessel. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1921.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14305 Source: International Convention on Tonnage Measurement of Ships. Section 14305 requires that the Secretary measure a vessel under chapter 145 (Regulatory Measurement) of this title (in addition to measuring it under the Convention) at the request of the owner. For vessels that have obtained a regulatory tonnage measurement under this section, the Secretary is required to use the regulatory tonnage measurement to determine the application of those laws listed in section 14305(a) and those not listed by the Secretary by regulation, as provided in section 14302(c). It is the intent of the Committee to list in section 14305(a) certain U.S. tonnage-based laws that would impose increased regulatory burdens on industry if the Convention measurement were used for applicability determinations. Clause (1) of section 14305(a) includes the following parts of subtitle II of title 46, U.S.C.: Part A: General provisions (including definitions.) Part B: Inspection and Regulation of Vessels. Part C: Load Lines, which is enacted as part of this legislation. Although most load line requirements are based on vessel length, and not tonnage, a few requirements are based on tonnage. (It is only the tonnage based requirements to which this provision applies.) Part E: Licenses, Certificates, and Merchant Mariners' Documents. Part F: Manning of Vessels. Part G: Merchant Seamen Protection and Relief. Part H: Sections 12106(c) and 12108(c) only - Identification of Vessels. The other U.S. laws listed in clause (2) through (10) of this section are self-explanatory. Clause (10) refers to domestic law as well as the Officers' Competency Certificates Convention, 1936. In addition, three other international conventions are listed in clauses (11) through (13): (1) the Convention for the Safety of Life at Sea, (2) the Convention on the Standards of Training, Certification, and Watchkeeping for Seafarers, and (3) the Convention for the Prevention of Pollution from Ships. The International Maritime Organization has established interim schemes which address the use of the Convention tonnage measurement system as a basis for the applicability of these three conventions. The applicable sections of those schemes are the following: The International Convention for the Safety of Life at Sea: IMCO Resolution A.494 (XII) of November 19, 1981 provides 'that at the request of a shipowner, the Administration may allow a ship required to be measured under the provisions of the International Convention on Tonnage Measurement of Ships, 1969, to use the gross tonnage measured under the national tonnage rules which are in effect prior to the coming into force of the 1969 Tonnage Convention, for the purpose of application of the provisions of the International Convention for the Safety of Life at Sea, such tonnage, however, shall not be shown on the 1969 Tonnage Certificate.' The resolution further provides that 'the interim scheme shall not apply to ships the keels of which are laid after 31 December 1985 with the following exceptions: '(a) In respect of the requirements of Regulation 3 of Chapter IV of the 1974 SOLAS Convention for ships the keels of which are laid before 18 July 1994, the Administration may continue to apply the interim scheme, in which case the above-mentioned entry should be made in the Radio-telephony Certificate only; and '(b) In respect of the regulations for cargo ships of less than 1,600 tons gross tonnage (as measured under national systems), the keels of which are laid after 31 December 1985, the Administration may continue to apply the interim scheme until 18 July 1984.' The International Convention on Standards of Training, Certification, and Watchkeeping for Seafarers, 1978: IMO Resolution A.540 (XIII) of November 17, 1983, provides 'that the revised interim scheme for tonnage measurement for certain ships adopted by resolution A.494 (XII), (described above) should also be applicable in respect of the provision of the International Convention, and Watchkeeping for Seafarers, 1978.' The International Convention for the Prevention of Pollution from Ships, 1973, as modified by the Protocol of 1978 Relating to the International Convention for the Prevention of Pollution from Ships, 1973: IMO Resolution A.541 (XIII) of November 17, 1983, provides that: At the request of a shipowner, the Administration may allow a ship of less than 400 tons gross tonnage (measured under the previous national tonnage rules) the keel of which is laid on or before 31 December 1985 and which is required to be measured under the provisions of the International Convention on Tonnage Measurement of Ships, 1969, to use the gross tonnage measured under the national tonnage rules which were in effect prior to the coming into force of the 1969 Tonnage Convention, for the purpose of application of the provisions of MARPOL 73/78. Such tonnage, however, shall not be shown on the 1969 Tonnage Certificate. It further provides that 'the interim scheme shall not apply to ships the keels of which are laid after 31 December 1985, except that in respect of regulations for ships of less than 400 tons gross tonnage (as measured under previous national rules), the keels of which are laid after 31 December 1985, the Administration may continue to apply the interim scheme until 18 July 1994.' Clause (14) provides that the regulatory measurement system may be used to determine which vessels must demonstrate evidence of financial responsibility (when such a demonstration is required by law). If it is determined that a vessel must show evidence of financial responsibility, the limits of financial responsibility are determined using the vessel's Convention measurement. Clause (15) provides that the regulatory measurement system may be used for the application of laws not identified by the Secretary under section 14302(c). Section 14305(b) provides that if a vessel is measured under the regulatory tonnage measurement system for the application of one law listed in subsection (a), it must be measured under that system for the application of all laws listed in subsection (a). -REFTEXT- REFERENCES IN TEXT Section 4 of the Bridge to Bridge Radiotelephone Act (33 U.S.C. 1203(a)), referred to in subsec. (a)(3), probably means section 4(a) of the Vessel Bridge-to-Bridge Radiotelephone Act, which is classified to section 1203(a) of Title 33, Navigation and Navigable Waters. Act of July 14, 1956 (46 App. U.S.C. 883a), referred to in subsec. (a)(7), probably means section 2 of Act July 14, 1956, ch. 600, 70 Stat. 544, as amended, which is classified to section 883a of the Appendix to this title. For complete classification of this Act to the Code, see References in Text note set out under section 883a of the Appendix to this title and Tables. Sections 351, 352, 355, and 356 of the Ship Radio Act (47 U.S.C. 351, 352, 354, and 354a), referred to in subsec. (a)(8), probably means sections 351, 352, 355, and 356 of the Communications Act of 1934, June 19, 1934, ch. 652, 48 Stat. 1064, as amended, which are classified to sections 351, 352, 354, and 354a, respectively, of Title 47, Telegraphs, Telephones, and Radiotelegraphs. The Officers' Competency Certificates Convention, 1936, referred to in subsec. (a)(10), is set out in 54 Stat. Pt. 2, p. 1683. For provisions relating to International Conventions for the Safety of Life at Sea, referred to in subsec. (a)(11), to which the United States has been a party, see section 1602 of Title 33, Navigation and Navigable Waters, and notes thereunder. For provisions relating to the International Convention for the Prevention of Pollution from Ships, as modified, referred to in subsec. (a)(13), see chapter 33 (Sec. 1901 et seq.) of Title 33. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 14302, 14501 of this title. ------DocID 53513 Document 414 of 963------ -CITE- 46 USC Sec. 14306 -EXPCITE- TITLE 46 Part J CHAPTER 143 -HEAD- Sec. 14306. Reciprocity for foreign vessels -STATUTE- (a) When the Secretary finds that the laws and regulations of a foreign country related to measurement of vessels are similar to those of this chapter and the regulations prescribed under this chapter, or when a foreign country is a party to the Convention, the Secretary shall accept the measurement and certificate of a vessel of that foreign country as complying with this chapter and the regulations prescribed under this chapter. (b) Subsection (a) of this section does not apply to a vessel of a foreign country that does not recognize measurements under this chapter. The Secretary may apply measurement standards the Secretary considers appropriate to the vessel, subject to applicable international agreements to which the United States Government is a party. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1922.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14306 Source: International Convention on Tonnage Measurement of Ships. Section (U.S. Code) 46 App. U.S.C. 81. Section 14306(a) requires that the Secretary accept the measurement and certificate of a vessel of a foreign country as evidence of compliance with this chapter when the Secretary finds that the laws and regulations of that foreign country that are related to measurement are similar to those of this chapter, or that that country is a party to the Convention. Section 14306(b) provides that the Secretary does not have to accept the measurement and certificate of a vessel of a country that does not recognize United States measurements. It also authorizes the Secretary to apply appropriate measurement standards to such foreign vessels, subject to international agreements to which the United States is a party. ------DocID 53514 Document 415 of 963------ -CITE- 46 USC Sec. 14307 -EXPCITE- TITLE 46 Part J CHAPTER 143 -HEAD- Sec. 14307. Inspection of foreign vessels -STATUTE- (a) The Secretary may inspect a vessel of a foreign country to verify that - (1) the vessel has an International Tonnage Certificate (1969) and the main characteristics of the vessel correspond to the information in the certificate; or (2) if the vessel is from a country not a party to the Convention, the vessel has been measured under laws and regulations similar to those of this chapter and the regulations prescribed under this chapter. (b) For a vessel of a country that is a party to the Convention, if the inspection reveals that the vessel does not have an International Tonnage Certificate (1969) or that the main characteristics of the vessel differ from those stated on the certificate or other records in a way that increases the gross or net tonnage of the vessel, the Secretary promptly shall inform the country whose flag the vessel is flying. (c) For a vessel of a country not a party to the Convention - (1) if the vessel has been measured under laws and regulations that the Secretary finds are similar to those of this chapter and the regulations prescribed under this chapter, the vessel shall be deemed to have been issued an International Tonnage Certificate (1969); and (2) if the vessel has not been measured as described in clause (1) of this subsection, the Secretary may measure the vessel. (d) An inspection under this section shall be conducted in a way that does not delay a vessel of a country that is a party to the Convention. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1922.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14307 Source: International Convention on Tonnage Measurement of Ships. Section 14307(a) authorizes the Secretary to inspect a vessel of a foreign country to verify that the vessel has an International Tonnage Certificate and that the main characteristics of the vessel correspond to the information in the certificate. Section 14307(a) also authorizes the Secretary to inspect a vessel from a foreign country that is not a party to the Convention in order to verify that the vessel has been measured under laws and regulations similar to those of this chapter. Section 14307(b) requires that if the Secretary inspects a vessel of a country that is a party to the Convention and finds that the vessel does not have an International Tonnage Certificate or that the main characteristics of the vessel differ from those stated on the certificate or other records in a way that increases the gross or net tonnage of the vessel, the Secretary must inform the country whose flag the vessel is flying. Section 14307(c) provides that if the Secretary finds that a vessel of a country not a party to the Covnention has been measured under laws and regulations similar to those of this chapter, that the vessel shall be deemed to have been issued an International Tonnage Certificate. It also provides that the Secretary may measure the vessel if the Secretary finds that the vessel has not been measured under laws and regulations similar to those of this chapter. Section 14307(d) provides that an inspection under this section shall be conducted in a way that does not delay a vessel of a country that is a party to the Convention. ------DocID 53515 Document 416 of 963------ -CITE- 46 USC CHAPTER 145 -EXPCITE- TITLE 46 Part J CHAPTER 145 -HEAD- CHAPTER 145 - REGULATORY MEASUREMENT -MISC1- SUBCHAPTER I - GENERAL Sec. 14501. Application. 14502. Measurement. 14503. Certificate of measurement. 14504. Remeasurement. SUBCHAPTER II - FORMAL SYSTEMS 14511. Application. 14512. Standard tonnage measurement. 14513. Dual tonnage measurement. SUBCHAPTER III - SIMPLIFIED SYSTEM 14521. Application. 14522. Measurement. HISTORICAL AND REVISION NOTES This chapter provides for the measurement of vessels for the purpose of the application of domestic laws. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 14305 of this title. ------DocID 53516 Document 417 of 963------ -CITE- 46 USC SUBCHAPTER I -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER I -HEAD- SUBCHAPTER I - GENERAL -MISC1- HISTORICAL AND REVISION NOTES This subchapter contains the general provisions for implementing regulatory measurement systems. ------DocID 53517 Document 418 of 963------ -CITE- 46 USC Sec. 14501 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER I -HEAD- Sec. 14501. Application -STATUTE- This chapter applies to the following: (1) a vessel not measured under chapter 143 of this title if - (A) the vessel is to be documented under chapter 121 of this title; or (B) the application of a law of the United States to the vessel depends on the vessel's tonnage. (2) a vessel measured under chapter 143 of this title if the owner requests that the vessel also be measured under this chapter as provided in section 14305 of this title. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1923.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14501 Source: Section (U.S. Code) 46 App. U.S.C. 71. Section 14501 delineates the vessels that must be measured under this chapter, i.e. under the regulatory tonnage measurement system. Section 14501(1) states that a vessel must be measured under this chapter if the vessel has not been measured under the International Convention on Tonnage Measurement of Ships, and if the vessel is to be documented as a vessel of the United States under chapter 121 of this subtitle, or if the application of a United States law depends on the vessels tonnage. Section 14501(2) states that a vessel must be measured under the regulatory measurement system if the owner requests. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 14511, 14521 of this title. ------DocID 53518 Document 419 of 963------ -CITE- 46 USC Sec. 14502 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER I -HEAD- Sec. 14502. Measurement -STATUTE- The Secretary shall measure a vessel to which this chapter applies in the way provided by this chapter. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1923.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14502 Source: Section (U.S. Code) 46 App. U.S.C. 71, 77, 83. Section 14502 requires the Secretary to measure a vessel to which this chapter applies as provided by this chapter. ------DocID 53519 Document 420 of 963------ -CITE- 46 USC Sec. 14503 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER I -HEAD- Sec. 14503. Certificate of measurement -STATUTE- The Secretary shall prescribe the certificate to be issued as evidence of a vessel's measurement under this chapter. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1923.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14503 Source: Section (U.S. Code) 46 App. U.S.C. 72. Section 14503 requires the Secretary to issue a certificate, in a manner that is to be prescribed by the Secretary, as evidence of a vessel's regulatory measurement. ------DocID 53520 Document 421 of 963------ -CITE- 46 USC Sec. 14504 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER I -HEAD- Sec. 14504. Remeasurement -STATUTE- (a) To the extent necessary, the Secretary shall remeasure a vessel to which this chapter applies if - (1) the Secretary or the owner alleges an error in its measurement; (2) the vessel or the use of its space is changed in a way that substantially affects its tonnage; (3) after being measured under subchapter III of this chapter, the vessel becomes subject to subchapter II of this chapter because the vessel or its use is changed; or (4) although not required to be measured under subchapter II of this chapter, the vessel was measured under subchapter II and the owner requests that the vessel be measured under subchapter III of this chapter. (b) Except as provided in this section and chapter 143 of this title, a vessel that has been measured does not have to be remeasured to obtain another document or endorsement under chapter 121 of this title. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1923.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14504 Source: Section (U.S. Code) 46 App. U.S.C. 71. Section 14504(a) provides that the Secretary shall remeasure a vessel that has been measured under the regulatory measurement system if either the Secretary or the owner alleges an error in its measurement; if the vessel, or its use, undergoes a substantial change affecting its tonnage; if the vessel loses its eligibility for measurement under the simplified system because of a change in the vessel or its use; or if the vessel owner requests that the vessel be measured under the simplified system after having been measured under the standard regulatory measurement system. Section 14504(b) provides that a vessel that has been measured does not have to be remeasured to obtain another document or endorsement under chapter 121 - 'Documentation of Vessels' - except as provided above or in chapter 143 of this subtitle. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 14304 of this title. ------DocID 53521 Document 422 of 963------ -CITE- 46 USC SUBCHAPTER II -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER II -HEAD- SUBCHAPTER II - FORMAL SYSTEMS -MISC1- HISTORICAL AND REVISION NOTES This subchapter provides for the standard regulatory measurement of vessels for vessels that do not qualify for the simplified measurement systems. -SECREF- SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 14504, 14521, 14522 of this title. ------DocID 53522 Document 423 of 963------ -CITE- 46 USC Sec. 14511 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER II -HEAD- Sec. 14511. Application -STATUTE- This subchapter applies to a vessel described in section 14501 of this title if - (1) the owner requests; or (2) the vessel is - (A) self-propelled; (B) at least 24 meters (79 feet) overall in length; and (C) not operated only for pleasure. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1924.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14511 Source: Section (U.S. Code) 46 App. U.S.C. 71. Section 14511 lists the types of vessels that are to be measured under the standard regulatory measurement system. They are vessels for which the owner requests a standard measurement or vessels which are self-propelled, at least 79 feet in length, and not operated only for pleasure. ------DocID 53523 Document 424 of 963------ -CITE- 46 USC Sec. 14512 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER II -HEAD- Sec. 14512. Standard tonnage measurement -STATUTE- (a) The Secretary shall prescribe regulations for measuring the gross and net tonnages of a vessel under this subchapter. The regulations shall provide for tonnages comparable to the tonnages that could have been assigned under sections 4151 and 4153 of the Revised Statutes of the United States, as sections 4151 and 4153 existed immediately before the enactment of this section. (b) On application of the owner or master of a vessel of the United States used in foreign trade, the Secretary may attach an appendix to the vessel's register stating the measurement of spaces that may be deducted from gross tonnage under laws and regulations of other countries but not under those of the United States. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1924.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14512 Source: Section (U.S. Code) 46 App. U.S.C. 75, 77. Section 14512(a) requires the Secretary to prescribe regulations for regulatory measurement systems. It further provides that the regulations must allow for the determination of tonnages similar to those that could have been found under the existing law (46 App. U.S.C. 75 & 77). Section 14512(b) authorizes the Secretary to attach an appendix to a vessel's register stating the measurement of spaces that may be deducted from the gross tonnage under laws and regulations of other countries but not under the laws of the United States. -REFTEXT- REFERENCES IN TEXT Sections 4151 and 4153 of the Revised Statutes, referred to in subsec. (a), were classified to sections 75 and 77 of the Appendix to this title and were repealed by section 5104(b) of Pub. L. 99-509. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 14513 of this title. ------DocID 53524 Document 425 of 963------ -CITE- 46 USC Sec. 14513 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER II -HEAD- Sec. 14513. Dual tonnage measurement -STATUTE- (a) On application by the owner and approval by the Secretary, the tonnage of spaces prescribed by the Secretary may be excluded in measuring under this section the gross tonnage of a vessel measured under section 14512 of this title. The spaces prescribed by the Secretary shall be comparable to the spaces that could have been excluded under section 2 of the Act of September 29, 1965 (Public Law 89-219, 79 Stat. 891), as section 2 existed immediately before the enactment of this section. (b) The Secretary shall prescribe the design, location, and dimensions of the tonnage mark to be placed on a vessel measured under this section. (c)(1) If a vessel's tonnage mark is below the uppermost part of the load line marks, each certificate stating the vessel's tonnages shall state the gross and net tonnages when the mark is submerged and when it is not submerged. (2) Except as provided in paragraph (1) of this subsection, a certificate stating a vessel's tonnages may state only one set of gross and net tonnages. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1924.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14513 Source: Section (U.S. Code) 46 App. U.S.C. 83 to 83g. Section 14513 gives discretionary authority to the Secretary to exclude certain spaces in measuring the regulatory tonnage of a vessel, and requires the Secretary to prescribe the design, location and dimensions of the tonnage mark to be placed on the vessel. Section 14513 further provides that if spaces are excluded by the Secretary, they shall be comparable to those the Secretary could have excluded in existing law (46 App. U.S.C. 83a). Section 14513(c) provides that if a vessel's tonnage mark is below the uppermost part of the load line mark, each certificate that states the vessel's tonnages must state the gross and net tonnages when the mark is submerged and when it is not submerged. -REFTEXT- REFERENCES IN TEXT Section 2 of the Act of September 29, 1965, referred to in subsec. (a), was classified to section 83a of the Appendix to this title and was repealed by section 5104(b) of Pub. L. 99-509. ------DocID 53525 Document 426 of 963------ -CITE- 46 USC SUBCHAPTER III -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER III -HEAD- SUBCHAPTER III - SIMPLIFIED SYSTEM -MISC1- HISTORICAL AND REVISION NOTES This subchapter provides for a simplified regulatory measurement of vessels that are either non-self-propelled, under 79 in length, or operated only for pleasure. -SECREF- SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in section 14504 of this title. ------DocID 53526 Document 427 of 963------ -CITE- 46 USC Sec. 14521 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER III -HEAD- Sec. 14521. Application -STATUTE- This subchapter applies to a vessel described in section 14501 of this title that is not measured under subchapter II of this chapter. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1925.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14521 Source: Section (U.S. Code) 46 App. U.S.C. 71. Section 14521 provides that vessels that are to be measured under the regulatory measurement system in this chapter, but are not measured under the standard regulatory measurement system in subchapter II, shall be measured under the simplified measurement system. ------DocID 53527 Document 428 of 963------ -CITE- 46 USC Sec. 14522 -EXPCITE- TITLE 46 Part J CHAPTER 145 SUBCHAPTER III -HEAD- Sec. 14522. Measurement -STATUTE- (a) In this section, 'length' means the horizontal distance of the hull between the foremost part of the stem and the aftermost part of the stern, excluding fittings and attachments. (b)(1) The Secretary shall assign gross and net tonnages to a vessel based on its length, breadth, depth, other dimensions, and appropriate coefficients. (2) The Secretary shall prescribe the way dimensions (except length) are measured and which coefficients are appropriate. (c) The resulting gross tonnages, taken as a group, reasonably shall reflect the relative internal volumes of the vessels measured under this subchapter. The resulting net tonnages shall be in approximately the same ratios to corresponding gross tonnages as are the net and gross tonnages of comparable vessels measured under subchapter II of this chapter. (d) Under regulations prescribed by the Secretary, the Secretary may determine the gross and net tonnages of a vessel representative of a designated class, model, or type, and then assign those gross and net tonnages to other vessels of the same class, model, or type. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1925.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14522 Source: Section (U.S. Code) 46 App. U.S.C. 71. Section 14522(a) defines the term 'length' as it is used in the simplified measurement system. Section 14522(b) requires the Secretary to assign gross and net tonnages under the simplified system, based on a vessel's length, breadth, depth, other dimensions and appropriate coefficients, as the Secretary deems appropriate. Section 14522(c) provides that the gross tonnages as measured under this section shall reflect the relative internal volumes of vessels. It provides further that the net tonnages measured under this section shall be in approximately the same ratio to corresponding gross tonnages as are the net and gross tonnages of comparable vessels measured under the standard regulatory measurement system. ------DocID 53528 Document 429 of 963------ -CITE- 46 USC CHAPTER 147 -EXPCITE- TITLE 46 Part J CHAPTER 147 -HEAD- CHAPTER 147 - PENALTIES -MISC1- Sec. 14701. General violation. 14702. False statements. HISTORICAL AND REVISION NOTES This chapter provides for penalties for violations of Part J - Measurement of Vessels. ------DocID 53529 Document 430 of 963------ -CITE- 46 USC Sec. 14701 -EXPCITE- TITLE 46 Part J CHAPTER 147 -HEAD- Sec. 14701. General violation -STATUTE- The owner, charterer, managing operator, agent, master, and individual in charge of a vessel violating this part or a regulation prescribed under this part are each liable to the United States Government for a civil penalty of not more than $20,000. Each day of a continuing violation is a separate violation. The vessel also is liable in rem for the penalty. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1925.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14701 Source: Section (U.S. Code) 46 App. U.S.C. 83j. Section 14701 provides that the owner, charterer, managing operator, agent, master, and individual in charge of a vessel violating Part J - Measurement of Vessels - are each liable to the U.S. Government for a civil penalty of not more than $20,000. It also provides that the vessel is liable in rem for the penalty and that each day of a continuing violation is a separate violation. ------DocID 53530 Document 431 of 963------ -CITE- 46 USC Sec. 14702 -EXPCITE- TITLE 46 Part J CHAPTER 147 -HEAD- Sec. 14702. False statements -STATUTE- A person knowingly making a false statement or representation in a matter in which a statement or representation is required by this part or a regulation prescribed under this part is liable to the United States Government for a civil penalty of not more than $20,000 for each false statement or representation. The vessel also is liable in rem for the penalty. -SOURCE- (Added Pub. L. 99-509, title V, Sec. 5101(3), Oct. 21, 1986, 100 Stat. 1925.) -MISC1- HISTORICAL AND REVISION NOTES Revised section 14702 Source: Section (U.S. Code) 46 App. U.S.C. 83i. Section 14702 provides that a person knowingly making a false statement or representation in a matter in which a statement or representation is required by this part or a regulation prescribed under this part is liable to the United States Government for a civil penalty of not more than $20,000 for each false statement or representation. It further provides that the vessel is liable in rem for the penalty. This penalty is increased from $1,000 in existing law and conforms with the level of similar penalties throughout the subtitle. ------DocID 53531 Document 432 of 963------ -CITE- 46 USC Subtitle III -EXPCITE- TITLE 46 Subtitle III -HEAD- Subtitle III - Maritime Liability -MISC1- Chap. Sec. 301. General 30101 (Chapters 303-311 - Reserved) 313. Commercial Instruments and Maritime Liens 31301 (Chapter 315 - Reserved) HISTORICAL AND REVISION NOTES Section 101 (102) of H.R. 3105 revises, consolidates, and enacts certain general and permanent laws of the United States related to commercial instruments and liens and public vessels and goods. It amends subtitle III of title 46, United States Code by striking at the end 'Chapters 313, 315 - Reserved' and substituting 'Chapter 313 - Commercial Instruments and Maritime Liens'. Chapter 313 is essentially a codification of the Ship Mortgage Act, 1920 (46 App. U.S.C. 911-984). H.R. 3105 is the second step in the process of enacting laws compiled in title 46 of the Code into positive law. The first step in the codification process began in 1983 when certain general and permanent laws related to vessels and seamen were enacted as subtitle II of the title 46, United States Code. HOUSE FLOOR STATEMENT Section 102 of this bill adds a new subtitle III to title 46, which contains a codification of the Ship Mortgage Act, 1920 and other related provisions. A previous version of this codification and the remaining sections of the bill were recently reported by the Merchant Marine and Fisheries Committee in H.R. 3105 (H. Rept. 100-918). The significant additions or changes by this provision to the version of H.R. 3105 reported by the Merchant Marine and Fisheries Committee are explained as follows: (see sections 30101, 31305, 31321, 31322, 31325, 31329, 31330, 31343 of this title). -SECREF- SUBTITLE REFERRED TO IN OTHER SECTIONS This subtitle is referred to in title 28 section 1605. ------DocID 53532 Document 433 of 963------ -CITE- 46 USC CHAPTER 301 -EXPCITE- TITLE 46 Subtitle III CHAPTER 301 -HEAD- CHAPTER 301 - GENERAL -MISC1- Sec. 30101. Definitions. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in title 11 section 362; title 42 section 9118; title 49 section 11303. ------DocID 53533 Document 434 of 963------ -CITE- 46 USC Sec. 30101 -EXPCITE- TITLE 46 Subtitle III CHAPTER 301 -HEAD- Sec. 30101. Definitions -STATUTE- In this subtitle - (1) 'documented vessel' means a vessel documented under chapter 121 of this title; (2) 'foreign vessel' means a vessel of foreign registry or operated under the authority of a foreign country; (3) 'public vessel' means (except in chapter 315 of this title) a vessel that is owned, demise chartered, or operated by the United States Government or a government of a foreign country; (4) 'recreational vessel' means a vessel - (A) operated primarily for pleasure; or (B) leased, rented, or demise chartered to another for the latter's pleasure; (5) 'seaman' means a master or a crewmember of a vessel in operation; (6) 'State' means a State of the United States, Guam, Puerto Rico, the Virgin Islands, American Samoa, the District of Columbia, the Northern Mariana Islands, and any other territory or possession of the United States; (7) 'State vessel' means a vessel owned or demise chartered by the government of a State or an authority or a political subdivision of a State; (8) 'United States', when used in a geographic sense, means the States of the United States, Guam, Puerto Rico, the Virgin Islands, American Samoa, the District of Columbia, the Northern Mariana Islands, and any other territory or possession of the United States; and (9) 'vessel of the United States' means a vessel documented under chapter 121 of this title, numbered under chapter 123 of this title, or titled under the law of a State. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4738.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 30101(1) 46:911(1), (2), (4) 30101(2) 2101 30101(3) New 30101(4) 2101 30101(5) New 30101(6) 2101 30101(8), (9) 2101 ------------------------------- This section defines general terms to be used throughout subtitle III of title 46. Some of the terms will not be used in chapter 313, but will be used in other chapters in the subtitle when they are codified. Section 30101(1) defines a 'documented vessel' to be a vessel documented under chapter 121 of title 46. Section 30101(2) defines a 'foreign vessel' to be a vessel of a foreign registry or operated under the authority of a foreign country. This definition is from section 2101 of the already codified subtitle II of title 46. Section 30101(3) defines a 'public vessel' to be a vessel that is owned, demise chartered, or operated by the United States Government or a government of a foreign country. Section 30101(4) defines a 'recreational vessel' to be a vessel used primarily for pleasure; or leased, rented, or demise chartered to another for the latter's pleasure. This is the same definition as in section 2101. Section 30101(5) defines a 'seaman' to be a master or a crewmember of a vessel in operation. Section 30101(6) defines a 'State' to mean the States of the United States, Guam, Puerto Rico, the Virgin Islands, American Samoa, the District of Columbia, the Northern Mariana Islands, and any other territory or possession of the United States. This is the same definition as in section 2101. Section 30101(7) defines a 'State vessel' to be a vessel owned or demise chartered by the government of a State or an authority or political subdivision of a State. Section 30101(8) defines the 'United States' when it is used in a geographic sense. This means the States of the United States, Guam, Puerto Rico, the Virgin Islands, American Samoa, the District of Columbia, the Northern Mariana Islands, and any other territory or possession of the United States. This is the same definition as in section 2101. Section 30101(9) defines a 'vessel of the United States' to be a vessel that is documented under chapter 121 or numbered under chapter 123. This is the same definition as in section 2101. HOUSE FLOOR STATEMENT Paragraph (9) of this section amends the definition of 'vessel of United States' to include vessels titled under the law of a State. EFFECTIVE DATE Section 107 of title I of Pub. L. 100-710 provided that: '(a) This title and amendments made by this title (enacting sections 12501 to 12507, 30101, 31301 to 31309, 31321 to 31330, and 31341 to 31343 of this title, amending sections 2101, 2110, 12102, 12103, 12105, 12109 to 12112, 12117, 12119, and 12120 of this title and sections 808, 1242, and 1271 of the Appendix to this title, repealing sections 12113 to 12116, 12118, and 12121 of this title and sections 838, 840, 911, 921 to 927, 941, 951 to 954, 961, 971 to 975, 981 to 984, and 1011 to 1014 of the Appendix to this title, enacting provisions set out as notes under sections 12501, 12502, and 12505 of this title and preceding section 2101 of this title, and repealing provisons set out as a note under section 961 of the Appendix to this title and in Title 5, Appendix, Government Organization and Employees) take effect on January 1, 1989. However, sections 31321 and 31322 of title 46 (as enacted by section 102 of this Act), United States Code (as sections 31321 and 32322 (probably should be 31322) apply to vessels for which an application for documentation has been filed), take effect on January 1, 1990. '(b) An instrument filed before January 1, 1989, but not recorded before that date, is deemed to comply with section 31321 of title 46, United States Code, if it is in substantial compliance with the provisions in that section that had corresponding requirements under the law on December 31, 1988. However, the mortgage may not become a preferred mortgage until the vessel is documented. '(c) This title and the amendments made by this title do not affect the validity of any instrument filed or recorded before January 1, 1989, if there was a corresponding requirement under the law on December 31, 1988. '(d) An instrument filed or recorded before January 1, 1989, is deemed to comply with any new requirement under chapter 313 of title 46, United States Code (as enacted by section 102 of this Act), affecting the validity of that instrument. '(e) Section 102 of this Act and amendments made by that section (enacting sections 30101, 31301 to 31309, 31321 to 31330, and 31341 to 31343 of this title and provisions set out as a note preceding section 2101 of this title) do not affect any civil action filed before January 1, 1989. '(f) Section 104(b) of this Act and the amendments made by section 104(b) of this Act (amending section 808 of the Appendix to this title) do not apply to any change in control resulting from, or which may at any time result from, any proposed plan of reorganization filed under the United States bankruptcy laws prior to the date of enactment of this Act (Nov. 23, 1988), except that transactions undertaken as a result of such a plan shall continue to be governed by section 9 of the Shipping Act, 1916 (46 App. U.S.C. 808), as it existed prior to the date of enactment of this Act, to the extent that such section 9 would have governed such transactions.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 11 section 1110. ------DocID 53534 Document 435 of 963------ -CITE- 46 USC (CHAPTERS 303-311 -EXPCITE- TITLE 46 Subtitle III (CHAPTERS 303-311 -HEAD- (CHAPTERS 303-311 - RESERVED) ------DocID 53535 Document 436 of 963------ -CITE- 46 USC CHAPTER 313 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 -HEAD- CHAPTER 313 - COMMERCIAL INSTRUMENTS AND MARITIME LIENS -MISC1- SUBCHAPTER I - GENERAL Sec. 31301. Definitions. 31302. Availability of instruments, copies, and information. 31303. Certain civil actions not authorized. 31304. Liability for noncompliance. 31305. Waiver of lien rights. 31306. Declaration of citizenship. 31307. State statutes superseded. 31308. Secretary of Commerce or Transportation as mortgagee. 31309. General civil penalty. SUBCHAPTER II - COMMERCIAL INSTRUMENTS 31321. Filing, recording, and discharge. 31322. Preferred mortgages. 31323. Disclosing and incurring obligations before executing preferred mortgages. 31324. Retention and examination of mortgages of vessels covered by preferred mortgages. 31325. Preferred mortgage liens and enforcement. 31326. Court sales to enforce preferred mortgage liens and maritime liens and priority of claims. 31327. Forfeiture of mortgagee interest. 31328. Limitations on parties serving as trustees of mortgaged vessel interests. 31329. Court sales of documented vessels. 31330. Penalties. SUBCHAPTER III - MARITIME LIENS 31341. Persons presumed to have authority to procure necessaries. 31342. Establishing maritime liens. 31343. Recording and discharging liens on preferred mortgage vessels. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 12111 of this title; section 1271 of Appendix to this title; title 11 section 362; title 42 section 9118; title 49 section 11303. ------DocID 53536 Document 437 of 963------ -CITE- 46 USC SUBCHAPTER I -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- SUBCHAPTER I - GENERAL ------DocID 53537 Document 438 of 963------ -CITE- 46 USC Sec. 31301 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31301. Definitions -STATUTE- In this chapter - (1) 'acknowledge' means making - (A) an acknowledgment or notarization before a notary public or other official authorized by a law of the United States or a State to take acknowledgments of deeds; or (B) a certificate issued under the Hague Convention Abolishing the Requirement of Legalisation for Foreign Public Documents, 1961; (2) 'district court' means - (A) a district court of the United States (as defined in section 451 of title 28); (B) the District Court of Guam; (C) the District Court of the Virgin Islands; (D) the District Court for the Northern Mariana Islands; (E) the High Court of American Samoa; and (F) any other court of original jurisdiction of a territory or possession of the United States; (3) 'mortgagee' means - (A) a person to whom property is mortgaged; or (B) when a mortgage on a vessel involves a trust, the trustee that is designated in the trust agreement; (4) 'necessaries' includes repairs, supplies, towage, and the use of a dry dock or marine railway; (5) 'preferred maritime lien' means a maritime lien on a vessel - (A) arising before a preferred mortgage was filed under section 31321 of this title; (B) for damage arising out of maritime tort; (C) for wages of a stevedore when employed directly by a person listed in section 31341 of this title; (D) for wages of the crew of the vessel; (E) for general average; or (F) for salvage, including contract salvage; and (6) 'preferred mortgage' - (A) means a mortgage that is a preferred mortgage under section 31322 of this title; and (B) also means in sections 31325 and 31326 of this title, a mortgage, hypothecation, or similar charge that is established as a security on a foreign vessel if the mortgage, hypothecation, or similar charge was executed under the laws of the foreign country under whose laws the ownership of the vessel is documented and has been registered under those laws in a public register at the port of registry of the vessel or at a central office. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4739.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31301(1), (2) New 31301(3) 46:911(5) 31301(4) Derived from 46:971-974 31301(5) 46:953(a) 31301(6)(A) 46:922(b) 31301(6)(B) 46:951 (2d par. less proviso) ------------------------------- Section 31301(1) defines the term 'acknowledge'. This paragraph makes a substantive change to law to expand the current law by allowing a notarization under State law, a form prescribed by the Secretary, as well as a certificate issued under the Hague Convention Abolishing the Requirement of Legalisation for Foreign Public Documents, 1961. Section 31301(2) defines 'district court'. This paragraph makes a substantive change to law by including the District Court of Guam, the District Court of the Virgin Islands, the District Court of the Northern Mariana Islands, the High Court of American Samoa, and other Federal territorial courts as they are established. Under current law, only the district courts of the United States have jurisdiction under the Ship Mortgage Act, 1920. Section 31301(3) defines 'mortgagee' as a person to whom property is mortgaged and the trustee authorized under section 31328 that is designated in the trust agreement. Section 31301(4) defines 'necessaries' to include repairs, supplies, towage, and the use of a drydock and marine railway for a vessel. As in all codifications, the term 'includes' means 'includes but is not limited to' and, therefore, is not intended to be an exclusive listing of those items that a court has determined or may determine as falling within the meaning of the term 'other necessaries' as contained in current law. The definition is new, is based on 46 App. U.S.C. 971-974, and makes no substantive change to law. Section 31301(5) defines 'preferred maritime lien' to mean a lien on a vessel that arises before a preferred mortgage was filed under section 31321 of this title for damages arising out of maritime tort, stevedore wages, crew wages, general average, and salvage. The definition is new and is based on 46 App. U.S.C. 953(a). The only substantive change to law made by this paragraph is to change the effective date from the day the preferred mortgage is recorded and endorsed to when it is filed. This change is in keeping with other changes with regard to filing. The term 'duly and validly' that is in existing law is not used because it is unnecessary. An instrument that is not 'duly and validly' executed is not executed under the laws of the foreign country. This makes no substantive change to law. Section 31301(6)(A) defines 'preferred mortgage' to mean a mortgage that meets the requirements of section 31322. This clause makes no substantive change to law. Section 31301(6)(B) defines 'preferred mortgage' to also mean a mortgage on a documented foreign vessel that is preferred under sections 31325 and 31326 for purposes of enforcement of the outstanding mortgage indebtedness. Preference is only granted if the mortgage is executed under the laws of a foreign country, registered under those laws in a public register at the port of registry or at a central office. The use of the word 'established' in place of 'created' in the current law or 'effective' as used in the treaties is not intended to make any substantive change to law. The only substantive changes to law made by this clause are the elimination of the exemption of foreign vessels of less than 200 gross tons, and clarification of the rule of interpretation that if a vessel is registered in one country, but is permitted to fly temporarily the flag of another country (such as through a demise charter), it is the law of the country in which the ownership of the vessel is documented that is used to determine when a mortgage attains preferred status. EFFECTIVE DATE Chapter effective Jan. 1, 1989, with certain exceptions and qualifications, and not to affect any civil action filed before that date, see section 107 of Pub. L. 100-710, set out as a note under section 30101 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1271 of Appendix to this title. ------DocID 53538 Document 439 of 963------ -CITE- 46 USC Sec. 31302 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31302. Availability of instruments, copies, and information -STATUTE- The Secretary of Transportation shall - (1) make any instrument filed or recorded with the Secretary under this chapter available for public inspection; (2) on request, provide a copy, including a certified copy, of any instrument made available for public inspection under this chapter; and (3) on request, provide a certificate containing information included in an instrument filed or recorded under this chapter. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4740.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31302(1) 46:927 (1st sentence) 31302(2) 46:927 (2d sentence) 31302(3) New ------------------------------- Section 31302(1) makes all instruments filed for recording or recorded with the Secretary of Transportation available for public inspection. The only substantive change to law made by this subsection is the inclusion of instruments filed for recording, which is in keeping with the new requirements on filing of instruments made in section 31321. Section 31302(2) requires the Secretary to provide the public with a certified copy of the material made available to the public under subsection (a). This subsection makes no substantive change to law. Section 31302(3) requires the Secretary, on request, to issue a certificate containing the information included in instruments on file, such as certificates of ownership. ------DocID 53539 Document 440 of 963------ -CITE- 46 USC Sec. 31303 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31303. Certain civil actions not authorized -STATUTE- If a mortgage covers a vessel and additional property that is not a vessel, this chapter does not authorize a civil action in rem to enforce the rights of the mortgagee under the mortgage against the additional property. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4740.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31303 46:954(b) ------------------------------- Section 31303 makes it clear that, if a mortgage covers a vessel and additional property that is not a vessel, this chapter does not authorize a civil action in rem in admiralty to enforce rights against the additional property. This section makes no substantive change to law. ------DocID 53540 Document 441 of 963------ -CITE- 46 USC Sec. 31304 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31304. Liability for noncompliance -STATUTE- (a) If a person makes a contract secured by, or on the credit of, a vessel covered by a mortgage filed or recorded under this chapter and sustains a monetary loss because the mortgagor or the master or other individual in charge of the vessel does not comply with a requirement imposed on the mortgagor, master, or individual under this chapter, the mortgagor is liable for the loss. (b) A civil action may be brought to recover for losses referred to in subsection (a) of this section. The district courts have original jurisdiction of the action, regardless of the amount in controversy or the citizenship of the parties. If the plaintiff prevails, the court shall award costs and attorney fees to the plaintiff. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4740.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31304 46:941(c) ------------------------------- Section 31304 imposes liability on the mortgagor if the mortgagor, master, or other individual in charge of the vessel does not comply with the statutory requirements. A civil action may be brought in a district court of the United States for losses incurred. If the plaintiff prevails, the court shall award costs and attorneys fees to the plaintiff. This section makes two substantive changes to law. First, is the broadening of its coverage from documented vessels covered by a preferred mortgage to any vessel covered by a mortgage that is filed or recorded under the chapter. The second substantive change repeals the liability on the United States Government for losses caused because the Secretary did not comply with statutory requirements. This is covered by the Federal Tort Claims Act due to the nondiscretionary responsibility of the Secretary. ------DocID 53541 Document 442 of 963------ -CITE- 46 USC Sec. 31305 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31305. Waiver of lien rights -STATUTE- This chapter does not prevent a mortgagee or other lien holder from waiving or subordinating at any time by agreement or otherwise the lien holder's right to a lien, the priority or, if a preferred mortgage lien, the preferred status of the lien. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4741.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31305 46:974 ------------------------------- Section 31305 provides for the waiver of lien rights by the mortgagee or a person performing or supplying necessaries. This section makes no substantive change to law and is included only because of a like provision in current law. Without this provision the Committee believes these waivers would be permissible as a matter of law as they do not violate any public policy and on their face reflect an arms length transaction between the parties. The inclusion of this provision should not raise the implication that a similar provision is required for other matters that may be waivable as a matter of law. HOUSE FLOOR STATEMENT Section 31305 has been changed to clarify that the chapter does not prevent a mortgagee or other lien holder from waiving by contract the right to a lien, or the priority of that lien. ------DocID 53542 Document 443 of 963------ -CITE- 46 USC Sec. 31306 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31306. Declaration of citizenship -STATUTE- (a) Except as provided by the Secretary of Transportation, when an instrument transferring an interest in a vessel is presented to the Secretary for filing or recording, the transferee shall file with the instrument a declaration, in the form the Secretary may prescribe by regulation, stating information about citizenship and other information the Secretary may require to show the transaction involved does not violate section 9 or 37 of the Shipping Act, 1916 (46 App. U.S.C. 808, 835). (b) A declaration under this section filed by a corporation must be signed by its president, secretary, treasurer, or other official authorized by the corporation to execute the declaration. (c) Except as provided by the Secretary, an instrument transferring an interest in a vessel is not valid against any person until the declaration required by this section has been filed. (d) A person knowingly making a false statement of a material fact in a declaration filed under this section shall be fined under title 18, imprisoned for not more than 5 years, or both. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4741, and amended Pub. L. 101-225, title III, Sec. 303(1), Dec. 12, 1989, 103 Stat. 1923.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31306 46:838 ------------------------------- Section 31306(a) requires that a person submitting an instrument transferring interest in a vessel to the Secretary for recording is also to file a declaration stating information about citizenship and other information to show that the transfer is not in violation of section 9 of the Shipping Act, or section 37 of that Act in a national emergency. This section makes no substantive change to law. Section 31306(b) requires that a declaration filed by a corporation must be signed by the president, secretary, treasurer, or other official authorized by the corporation to execute the declaration. This section makes no substantive change to law. Section 31306(c) invalidates any instrument transferring an interest until the declaration is filed. This section makes no substantive change to law. Section 31306(d) provides for a criminal penalty for a violation of this section. The amount of the fine is prescribed under title 18, United States Code, and may include imprisonment for not more than 5 years, or both. This section makes no substantive change to law. AMENDMENTS 1989 - Subsec. (a). Pub. L. 101-225, Sec. 303(1)(A), substituted 'Except as provided by the Secretary of Transportation, when' for 'When' and 'Secretary for filing' for 'Secretary of Transportation for filing'. Subsec. (c). Pub. L. 101-225, Sec. 303(1)(B), substituted 'Except as provided by the Secretary, an' for 'An'. ------DocID 53543 Document 444 of 963------ -CITE- 46 USC Sec. 31307 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31307. State statutes superseded -STATUTE- This chapter supersedes any State statute conferring a lien on a vessel to the extent the statute establishes a claim to be enforced by a civil action in rem against the vessel for necessaries. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4741.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31307 46:975 ------------------------------- Section 31307 provides for preemption of State laws to the extent a claim for necessaries is enforced by a civil action in rem in admiralty against the vessel. ------DocID 53544 Document 445 of 963------ -CITE- 46 USC Sec. 31308 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31308. Secretary of Commerce or Transportation as mortgagee -STATUTE- When the Secretary of Commerce or Transportation is a mortgagee under this chapter, the Secretary may foreclose on a lien arising from a right established under a mortgage under title XI of the Merchant Marine Act, 1936 (46 App. U.S.C. 1271 et seq.), subject to section 362(b) of title 11. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4741, and amended Pub. L. 101-595, title VI, Sec. 603(13), Nov. 16, 1990, 104 Stat. 2993.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31308 46:952 (last sentence) ------------------------------- Section 31308 allows the Secretary of Commerce or Transportation to foreclose on a lien arising from a right established under a mortgage under title XI of the Merchant Marine Act, 1936. This section makes no substantive change to law. -REFTEXT- REFERENCES IN TEXT The Merchant Marine Act, 1936, referred to in text, is act June 29, 1936, ch. 858, 49 Stat. 1985, as amended. Title XI of the Act is classified generally to subchapter XI (Sec. 1271 et seq.) of chapter 27 of the Appendix to this title. For complete classification of this Act to the Code, see section 1245 of the Appendix to this title and Tables. -MISC2- AMENDMENTS 1990 - Pub. L. 101-595 substituted '(46 App. U.S.C. 1271 et seq.)' for '(46 App. U.S.C. 1241 et seq.)'. ------DocID 53545 Document 446 of 963------ -CITE- 46 USC Sec. 31309 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER I -HEAD- Sec. 31309. General civil penalty -STATUTE- Except as otherwise provided in this chapter, a person violating this chapter or a regulation prescribed under this chapter is liable to the United States Government for a civil penalty of not more than $10,000. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4741.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31309 New ------------------------------- Section 31309 provides for a civil penalty of not more than $10,000 for a violation of this chapter or a regulation prescribed under this chapter. ------DocID 53546 Document 447 of 963------ -CITE- 46 USC SUBCHAPTER II -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- SUBCHAPTER II - COMMERCIAL INSTRUMENTS ------DocID 53547 Document 448 of 963------ -CITE- 46 USC Sec. 31321 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31321. Filing, recording, and discharge -STATUTE- (a)(1) A bill of sale, conveyance, mortgage, assignment, or related instrument, whenever made, that includes any part of a documented vessel or a vessel for which an application for documentation is filed, must be filed with the Secretary of Transportation to be valid, to the extent the vessel is involved, against any person except - (A) the grantor, mortgagor, or assignor; (B) the heir or devisee of the grantor, mortgagor, or assignor; and (C) a person having actual notice of the sale, conveyance, mortgage, assignment, or related instrument. (2) Each bill of sale, conveyance, mortgage, assignment, or related instrument that is filed in substantial compliance with this section is valid against any person from the time it is filed with the Secretary. (3) The parties to an instrument or an application for documentation shall use diligence to ensure that the parts of the instrument or application for which they are responsible are in substantial compliance with the filing and documentation requirements. (b) To be filed, a bill of sale, conveyance, mortgage, assignment, or related instrument must - (1) identify the vessel; (2) state the name and address of each party to the instrument; (3) state, if a mortgage, the amount of the direct or contingent obligations (in one or more units of account as agreed to by the parties) that is or may become secured by the mortgage, excluding interest, expenses, and fees; (4) state the interest of the grantor, mortgagor, or assignor in the vessel; (5) state the interest sold, conveyed, mortgaged, or assigned; and (6) be signed and acknowledged. (c) If a bill of sale, conveyance, mortgage, assignment, or related document is filed that involves a vessel for which an application for documentation is filed, and the Secretary decides that the vessel cannot be documented by an applicant - (1) the Secretary shall send notice of the Secretary's decision, including reasons for the decision, to each interested party to the instrument filed for recording; and (2) 90 days after sending the notice as provided under clause (1) of this subsection, the Secretary - (A) may terminate the filing; and (B) may return the instrument filed without recording it under subsection (e) of this section. (d) A person may withdraw an application for documentation of a vessel for which a mortgage has been filed under this section only if the mortgagee consents. (e) The Secretary shall - (1) record the bills of sale, conveyances, mortgages, assignments, and related instruments of a documented vessel complying with subsection (b) of this section in the order they are filed; and (2) maintain appropriate indexes, for use by the public, of instruments filed or recorded, or both. (f) On full and final discharge of the indebtedness under a mortgage recorded under subsection (e)(1) of this section, a mortgagee, on request of the Secretary or mortgagor, shall provide the Secretary with an acknowledged certificate of discharge of the indebtedness in a form prescribed by the Secretary. The Secretary shall record the certificate. (g) The mortgage or related instrument of a vessel covered by a preferred mortgage under section 31322(d) of this title, that is later filed under this section at the time an application for documentation is filed, is valid under this section from the time the mortgage or instrument representing financing became a preferred mortgage under section 31322(d). (h) On full and final discharge of the indebtedness under a mortgage deemed to be a preferred mortgage under section 31322(d) of this title, a mortgagee, on request of the Secretary, a State, or mortgagor, shall provide the Secretary or the State, as appropriate, with an acknowledged certificate of discharge of the indebtedness in a form prescribed by the Secretary or the State, as applicable. If filed with the Secretary, the Secretary shall enter that information in the vessel identification system under chapter 125 of this title. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4741, and amended Pub. L. 101-225, title III, Sec. 303(2), Dec. 12, 1989, 103 Stat. 1923.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31321(a)(1) 46:921(a) 31321(a)(2) 46:1012 31321(a)(3) New 31321(b) 46:926(a), (b) 31321(c), (d) New 31321(e) 46:921(b) 31321(f) 46:925(b) 31321(g) New 31321(h) 46:925(b) ------------------------------- Section 31321(a)(1) provides for the filing of a bill of sale, conveyance, mortgage, assignment, or related instrument of a vessel. This subsection makes substantive changes to law. The bill would allow a bill of sale, conveyance, mortgage, assignment, or related instrument to be filed at the same time an application for documentation under chapter 121 is filed. The Committee intends that the types of related instruments required to be filed be defined by regulations prescribed by the Secretary of Transportation. A major change the bill makes is that the instrument needs only be filed with the Secretary of Transportation to be valid. It is not necessary that it be recorded. This change is being made to eliminate a problem under existing law that prevents a person from recording an instrument when the vessel has not been yet documented. When filed with the Secretary, it is valid (to the extent the vessel is involved) against any person except the grantor, mortgagor, or assignor, their heirs or devisees, and a person having actual notice of that instrument. Clauses (A)-(C) make no substantive change to law. Paragraph (2) provides that each bill of sale, conveyance, mortgage, assignment, or related instrument that is filed in substantial compliance with the requirements of this section is valid against any person from the time it is filed with the Secretary. Paragraph (3) provides that it is the responsibility of the parties to an instrument to use diligence to ensure that the particulars of a filed instrument for which they are responsible are in substantial compliance. It is not the responsibility of the Secretary to validate the information in the instrument. If an instrument is later found to be invalid because it is not in substantial compliance, and the parties lose the benefits of a preferred mortgage, it is their fault, not the Secretary's. Section 31321(b) sets out the requirements that an instrument must meet to be properly filed. To be filed the instruments must: (1) identify the vessel; (2) state the name and address of each party to the instrument; (3) state, if a mortgage, the amount of the direct or contingent obligations (in one or more units of account as agreed to by the parties) that is or may become secured by the mortgage, excluding interest, expenses, and fees; (4) state the interest of the grantor, mortgagor, or assignor; (5) state the interest sold, conveyed, mortgaged, or assigned; and (6) be signed and acknowledged. While most of these items are required under current law to be included in the index, and therefore required to be submitted to the Secretary to be recorded, this subsection makes a number of substantive changes to law. First, while vessel names are currently required to be submitted, this requirement has been broadened so that hull identification numbers and official numbers can be used to more specifically identify a vessel (since many vessels have the same name). Second, it requires the mortgage to state the maximum amount of the obligation, including principal, interest, fees, etc., that are secured by the mortgage. It also clarifies that the mortgage obligation may be payable in more than one unit of account, such as yen, franc, or special drawing right. Third, it recognizes that under some modern financing practices an instrument may not have a date of maturity. The requirement for supplying the date of maturity has been eliminated. Section 31321(c) provides that if an instrument filed involves a vessel that has not yet been documented, and the Secretary decides that the vessel cannot be documented by the applicant, then the Secretary shall send notice of that denial to the parties, including the reasons for the Secretary's decision. If the parties have not corrected the deficiencies within 90 days, the Secretary may terminate the filing and return the instruments. This invalidates the instruments. Section 31321(d) prohibits a person from withdrawing an application for documentation of a vessel for which a mortgage has been filed unless the mortgagee consents. Since the withdrawal will invalidate the mortgage, the mortgagee should be allowed to prohibit the withdrawal. Section 31321(e) makes a substantive change to law. It requires the Secretary to record instruments in the order they are received for filing, not in the order in which they were received for recording. It also makes a substantive change by eliminating the specific indexes required under the law and substituting a general requirement for the Secretary to maintain indexes of instruments filed or recorded, or both, for use by the public. These indexes, prescribed by regulations, must be in keeping with U.S. obligations under treaties to which the United States is a party. Since section 104 (105) of this Act makes the existing rules and regulations applicable under this subsection, the current indexing system will be maintained that includes the names of the vessels; names of the parties to the instruments; time and date each instrument was received; the interest in the vessel that was sold, conveyed, mortgaged, or assigned; and the date of the maturity of the mortgage, if any. However, it allows the Secretray by regulation to automate the system with computers, as long as the new system provides the public with an adequate method of finding and examining these public records. Section 31321(f) makes a substantive change to law by eliminating the requirement that a partial discharge of indebtedness be filed with the Secretary. The bill requires that on the full and final discharge of indebtedness the mortgagee, on request of the Secretary or mortgagor, shall provide the Secretary with a written, acknowledged certificate of discharge of the indebtedness. This subsection also makes a substantive change by requiring that the mortgagee, not the mortgagor, provide the certificate of discharge. The Secretary shall then record the certificate. However, this does not prohibit a person from submitting a certificate of discharge under subsection (a) since it is a related instrument. This subsection also makes a substantive change to law by eliminating the requirement that the discharge be endorsed on the vessel's certificate of documentation, and that the Customs Service only may clear a vessel after an endorsement has been made. This change is made because of the elimination of endorsements under section 31322. HOUSE FLOOR STATEMENT Section 31321 has been changed to clarify that a mortgage, whenever made, must be filed to be valid against third parties. This clarification allows mortgage closings to occur previous to filing of an instrument, and to eliminate the need for a fictional simultaneous closing and filing. Subsection (g) clarifies that if an application for documentation is filed for a vessel covered by a preferred mortgage under section 31322(d) (as enacted by this Act), the preferred mortgage must be filed with the Secretary at the same time the application for documentation is filed to be valid against third parties. If the preferred mortgage is filed with the Secretary at the time the documentation application is filed, it is valid from the time it became a preferred mortgage under section 31322(d). When a State preferred mortgage under section 31322(d) is finally discharged, subsection (h) of this section requires the mortgagee to provide upon request to the Secretary or a State, whichever is more appropriate, an acknowledged certificate of discharge of indebtedness. This is necessary when a vessel in the system moves from a participating titling State and is not retitled in another participating State. In this case, there is no way to update the status of the indebtedness through the original titling State. The Secretary is required to accept this information to be maintained in the vessel identification system under section 12503(c) of title 46 (as enacted by this Act). AMENDMENTS 1989 - Subsec. (c). Pub. L. 101-225 substituted 'for which an application for documentation is filed' for 'that has not yet been documented' in introductory provisions and 'interested party to' for 'party whose name and address is stated on' in par. (1). EFFECTIVE DATE Section effective Jan. 1, 1989, not to affect any civil action filed before that date, and, insofar as applicable to vessels for which an application for documentation has been filed, effective Jan. 1, 1990, with further provision for an instrument filed before Jan. 1, 1989, but not recorded before that date, and with other qualifications, see section 107 of Pub. L. 100-710, set out as a note under section 30101 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12111, 12503, 31301, 31322, 31325, 31330 of this title. ------DocID 53548 Document 449 of 963------ -CITE- 46 USC Sec. 31322 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31322. Preferred mortgages -STATUTE- (a)(1) A preferred mortgage is a mortgage, whenever made, that - (A) includes the whole of a vessel; (B) is filed in substantial compliance with section 31321 of this title; (C)(i) covers a documented vessel; or (ii) covers a vessel for which an application for documentation is filed that is in substantial compliance with the requirements of chapter 121 of this title and the regulations prescribed under that chapter; and (D) has as the mortgagee - (i) a State; (ii) the United States Government; (iii) a federally insured depository institution, unless disapproved by the Secretary; (iv) an individual who is a citizen of the United States; (v) a person qualifying as a citizen of the United States under section 2 of the Shipping Act, 1916 (46 App. U.S.C. 802); or (vi) a person approved by the Secretary of Transportation. (2) Paragraph (1)(D) of this subsection does not apply to - (A) a documented vessel that has a fisheries endorsement or a recreational endorsement, or both endorsements; or (B) a vessel for which an application for documentation with a fisheries endorsement or a recreational endorsement, or both endorsements, has been filed. (b) A preferred mortgage filed or recorded under this chapter may have any rate of interest that the parties to the mortgage agree to. (c)(1) If a preferred mortgage includes more than one vessel or property that is not a vessel, the mortgage may provide for the separate discharge of each vessel and all property not a vessel by the payment of a part of the mortgage indebtedness. (2) If a vessel covered by a preferred mortgage that includes more than one vessel or property that is not a vessel is to be sold on the order of a district court in a civil action in rem, and the mortgage does not provide for separate discharge as provided under paragraph (1) of this subsection - (A) the mortgage constitutes a lien on that vessel in the full amount of the outstanding mortgage indebtedness; and (B) an allocation of mortgage indebtedness for purposes of separate discharge may not be made among the vessel and other property covered by the mortgage. (d)(1) A mortgage or instrument granting a security interest perfected under State law covering the whole of a vessel titled in a State is deemed to be a preferred mortgage if - (A) the Secretary certifies that the State titling system complies with the Secretary's guidelines for a titling system under section 13106(b)(8) of this title; and (B) information on the vessel covered by the mortgage or instrument is made available to the Secretary under chapter 125 of this title. (2) This subsection applies to mortgages or instruments covering vessels titled in a State after - (A) the Secretary's certification under paragraph (1)(A) of this subsection; and (B) the State begins making information available to the Secretary under chapter 125 of this title. (3) A preferred mortgage under this subsection continues to be a preferred mortgage if the vessel is no longer titled in the State where the mortgage was made. (e) If a vessel is already covered by a preferred mortgage when an application for titling or documentation is filed - (1) the status of the preferred mortgage covering the vessel to be titled in the State is determined by the law of the jurisdiction where the vessel is currently titled or documented; and (2) the status of the preferred mortgage covering the vessel to be documented under chapter 121 is determined by subsection (a) of this section. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4743, and amended Pub. L. 101-225, title III, Sec. 303(3), Dec. 12, 1989, 103 Stat. 1923.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31322(a)(1) 46:922(a), (b) 31322(a)(2) New 31322(b) 46:926(d) 31322(c)(1) 46:922(e) 31322(c)(2) 46:922(f) 31322(d), (e) New ------------------------------- Section 31322 sets out the conditions that must be met for a mortgage to be considered a preferred mortgage, and the types of endorsements that the Secretary must make on any certificate of documentation of a vessel that is to be covered by a preferred mortgage. Subsection (a)(1) makes many substantive changes to law. While a preferred mortgage must still include the whole of a vessel, this subsection eliminates the exception of certain vessels under 25 gross tons. It allows a vessel for which an application for documentation has been filed to have a preferred mortgage. It allows a mortgage to be a preferred mortgage from the time all four conditions are met, rather than from when the vessel is finally documented. Therefore, a mortgage will usually attain its preferred status when the application for documentation and the instrument have been filed. This subsection changes the requirement that all documented vessels have as a mortgagee a person that is a citizen of the United States, as defined in section 2 of the Shipping Act, 1916, and allows a State, the United States Government, a federally insured depository institution, or any other person approved by the Secretary to be a mortgagee. Subsection (a)(2) makes a substantive change to law exempting fishing, fish processing, and fish tender vessels, and vessels operated only for pleasure from the mortgagee restrictions, since these vessels do not have significant national defense use. Subsection (b) permits a preferred mortgage to have any rate of interest that is agreeable to the parties to the mortgage. This subsection makes no substantive change to law. Subsection (c)(1) applies to a mortgage that covers more than one vessel or additional property that is not a vessel. This subsection allows a preferred mortgage to include a separate discharge of the additional vessels and property. Subsection (c)(2) applies when a preferred mortgage covers more than one vessel, does not provide for the separate discharge of a vessel, and is to be sold by court order. The amount of the mortgage indebtedness attributable to a vessel is that part of the indebtedness, increased by 20 percent, that the court determines approximates the value that the particular vessel bears to the value of all the vessels and property covered by the mortgage. In other words, the amount to be set by the court is the estimated value of the one vessel plus 20 percent of that value to assure sufficiency of collateral. This section also makes a substantive change by eliminating the requirement that a vessel's certificate of documentation be endorsed with information from the mortgage. This change is made since most of the information is out of date when examined, and since a mortgage must be carried on self-propelled vessels under section 31324(b). This section also eliminates the requirement for the inclusion of an affidavit of good faith. However, both criminal and civil penalties have been added (in section 31330) to help ensure that there is not fraud. This section also eliminates the requirement that a preferred mortgage include a separate discharge for additional property that is not a vessel, the requirement that the mortgage does not stipulate that the mortgagee waives the mortgage's preferred status; and the requirement for clearing vessels with endorsed documents through Customs. HOUSE FLOOR STATEMENT Under section 31322(a)(2) a 'vessel operated only for pleasure' is exempt from any restrictions on who can be a mortgagee. This standard is the same as used for the documentation of a recreational vessel under section 12109 of title 46. The Committee intends that vessels that have a recreational vessel license, or combined fisheries and recreational license, fall under this exemption. However, if the vessel has a Coastwise License, Great Lakes License, or Registry combined with a Recreational License, the vessel would not fall under this exemption. Under subsection (c)(2), if a vessel covered by a preferred mortgage that includes more than one vessel or property that is not a vessel is to be sold on the order of a district court in rem, and there is not a separate discharge, then the mortgage constitutes a lien on that vessel in the full amount of the outstanding mortgage indebtedness, and an allocation of mortgage indebtedness for purposes of a separate discharge may not be made. This change is made to eliminate the formula that did not work and to allow the vessel to be sold free and clear, regardless of the amount of the sale. Under subsection (d) of section 31322, a mortgage or other instrument representing financing of a vessel under State law that is made under applicable State law and covers the whole of a vessel titled in a State is deemed to be a preferred mortgage if two conditions are fulfilled. The first condition is that the Secretary must certify that the State in which the vessel is titled has a titling system that complies with the Secretary's vessel titling guidelines established under section 13106(b)(8) of title 46. Congress mandated the promulgation of these guidelines in the Recreational Boating Safety Act of 1986, Public Law 99-626. The second condition is that the State in which the vessel is titled must make information available to the Secretary for the vessel identification system established under chapter 125 of title 46 (as enacted by this Act) on the vessel covered by the mortgage or other instrument. This status only applies to vessels titled in the State after those two conditions are met. The phrase 'instrument representing financing of a vessel under State law' is used in addition to 'mortgage' because State laws do not always use the term mortgage when referring to financing. It is intended, however, that the financing covered by this phrase would be the same as that covered by the concept of a mortgage under other Federal law. Paragraph (2) of subsection (d) clarifies that mortgages or other financing instruments may obtain preferred status under subsection (d) if they cover vessels titled in a State after the Secretary certifies the compliance of the State's titling system, and the State begins making vessel identification information available to the Secretary. Preferred mortgage status can only be attained when these two conditions are in effect. Mortgages or financing instruments made prior to that are not preferred and, if these two conditions cease to exist, new mortgages or forecasting instruments made after that time cannot attain preferred status. The law of the titling State controls the making of the preferred mortgage or financing instrument under this subsection. No additional Federal recording requirements may be imposed for the mortgage or instrument to obtain preferred status under this subsection. Paragraph (3) of this subsection ensures that a preferred mortgage under this subsection retains that status if the vessel covered by the mortgage later relinquishes its title. If the vessel is subsequently documented, the continuing validity of the mortgage is determined by section 31321(g) (as enacted by this Act). Subsection (e) of section 31322 clarifies the validity of preferred mortgages made under subsection (d). In the case of a State titled vessel covered by a preferred mortgage for which a new titling application is filed, the validity of the mortgage is governed by the law of the titling State in which the mortgage became preferred. In the case of a documented vessel covered by a preferred mortgage for which an application for a State title is filed, or a State titled vessel covered by a preferred mortgage for which an application for documentation is filed, the validity of the preferred mortgage is governed by section 31322(a) of title 46 (as enacted by this Act). Information on vessels with preferred mortgages made under State law will be available to creditors from the vessel identification system under chapter 125 of title 46 (as enacted by this Act). AMENDMENTS 1989 - Subsec. (a)(2). Pub. L. 101-225, Sec. 303(3)(A), amended par. (2) generally. Prior to amendment, par. (2) read as follows: 'Paragraph (1)(D) of this subsection does not apply to a vessel operated only as a fishing vessel, fish processing vessel, or a fish tender vessel (as defined in section 2101 of this title) or to a vessel operated only for pleasure.' Subsec. (d)(1). Pub. L. 101-225, Sec. 303(3)(B), substituted 'granting a security interest perfected under State law' for 'representing financing of a vessel under State law that is made under applicable State law'. Subsec. (e). Pub. L. 101-225, Sec. 303(3)(C), substituted 'the status of the preferred mortgage' for 'the validity of the preferred mortgage' in pars. (1) and (2). EFFECTIVE DATE Section effective Jan. 1, 1989, not to affect any civil action filed before that date, and, insofar as applicable to vessels for which an application for documentation has been filed, effective Jan. 1, 1990, with other exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as a note under section 30101 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 12503, 31301, 31321, 31327, 31328, 31343 of this title; section 808 of Appendix to this title. ------DocID 53549 Document 450 of 963------ -CITE- 46 USC Sec. 31323 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31323. Disclosing and incurring obligations before executing preferred mortgages -STATUTE- (a) On request of the mortgagee and before executing a preferred mortgage, the mortgagor shall disclose in writing to the mortgagee the existence of any obligation known to the mortgagor on the vessel to be mortgaged. (b) After executing a preferred mortgage and before the mortgagee has had a reasonable time to file the mortgage, the mortgagor may not incur, without the consent of the mortgagee, any contractual obligation establishing a lien on the vessel except a lien for - (1) wages of a stevedore when employed directly by a person listed in section 31341 of this title; (2) wages for the crew of the vessel; (3) general average; or (4) salvage, including contract salvage. (c) On conviction of a mortgagor under section 31330(a)(1)(A) or (B) of this title for violating this section, the mortgage indebtedness, at the option of the mortgagee, is payable immediately. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4744.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31323(a) 46:924(1) 31323(b) 46:924(2) 31323(c) 46:941(b) (last sentence) ------------------------------- Section 31323(a) requires the mortgagor to disclose any obligations on the vessel before executing a preferred mortgage. This subsection makes no substantive change to law. Section 31323(b) provides that, after executing a preferred mortgage, the mortgagor may not incur, without consent of the mortgagee, any contractual obligations establishing a lien on the vessel - except a lien for stevedore wages, crew wages, general average, and salvage. The only substantive change to law made by this subsection is that the reasonable time to record a mortgage is changed to a reasonable time to file the mortgage, and the elimination of the reference to endorsements. These changes are in keeping with the changes made in section 31322. Section 31323(c) provides that if a mortgagor is convicted of a violation of this section, then the mortgage indebtedness, at the option of the mortgagee, is payable immediately. This subsection makes no substantive change to law. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 31330 of this title. ------DocID 53550 Document 451 of 963------ -CITE- 46 USC Sec. 31324 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31324. Retention and examination of mortgages of vessels covered by preferred mortgages -STATUTE- (a) On request, the owner, master, or individual in charge of a vessel covered by a preferred mortgage shall permit a person to examine the mortgage if the person has business with the vessel that may give rise to a maritime lien or the sale, conveyance, mortgage, or assignment of a mortgage of the vessel. (b) A mortgagor of a preferred mortgage covering a self-propelled vessel shall use diligence in keeping a certified copy of the mortgage on the vessel. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4744.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31324 46:923 ------------------------------- Section 31324(a) provides for examination of mortgages of a vessel that is covered by a preferred mortgage by persons that have business with the vessel that may give rise to a maritime lien or the sale, conveyance, mortgage, or assignment of the mortgage. This subsection makes no substantive change to law. Section 31324(b) requires that a certified copy of the mortgage must be on board a self-propelled vessel. This subsection makes no substantive change to law. ------DocID 53551 Document 452 of 963------ -CITE- 46 USC Sec. 31325 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31325. Preferred mortgage liens and enforcement -STATUTE- (a) A preferred mortgage is a lien on the mortgaged vessel in the amount of the outstanding mortgage indebtedness secured by the vessel. (b) On default of any term of the preferred mortgage, the mortgage may - (1) enforce the perferred mortgage lien in a civil action in rem for a documented vessel, a vessel to be documented under chapter 121 of this title, or a foreign vessel; and (2) enforce a claim for the outstanding indebtedness secured by the mortgaged vessel in - (A) a civil action in personam in admiralty against the mortgagor, maker, comaker, or guarantor for the amount of the outstanding indebtedness or any deficiency in full payment of that indebtedness; and (B) a civil action against the mortgagor, maker, comaker, or guarantor for the amount of the outstanding indebtedness or any deficiency in full payment of that indebtedness; and (FOOTNOTE 1) (FOOTNOTE 1) So in original. Probably should end with a period instead of '; and'. (c) The district courts have original jurisdiction of a civil action brought under subsection (b)(1) or (2) of this section. However, for a documented vessel, a vessel to be documented under chapter 121 of this title, or a foreign vessel, this jurisdiction is exclusive of the courts of the States for a civil action brought under subsection (b)(1) of this section. (d)(1) Actual notice of a civil action brought under subsection (b)(1) of this section, or to enforce a maritime lien, must be given in the manner directed by the court to - (A) the master or individual in charge of the vessel; (B) any person that recorded under section 31343(a) or (d) of this title a notice of a claim of an undischarged lien on the vessel; and (C) a mortgagee of a mortgage filed or recorded under section 31321 of this title that is an undischarged mortgage on the vessel. (2) Notice under paragraph (1) of this subsection is not required if, after search satisfactory to the court, the person entitled to the notice has not been found in the United States. (3) Failure to give notice required by this subsection does not affect the jurisdiction of the court in which the civil action is brought. However, unless notice is not required under paragraph (2) of this subsection, the party required to give notice is liable to the person not notified for damages in the amount of that person's interest in the vessel terminated by the action brought under subsection (b)(1) of this section. A civil action may be brought to recover the amount of the terminated interest. The district courts have original jurisdiction of the action, regardless of the amount in controversy or the citizenship of the parties. If the plaintiff prevails, the court may award costs and attorney fees to the plaintiff. (e) In a civil action brought under subsection (b)(1) of this section - (1) the court may appoint a receiver and authorize the receiver to operate the mortgaged vessel and shall retain in rem jurisdiction over the vessel even if the receiver operates the vessel outside the district in which the court is located; and (2) when directed by the court, a United States marshal may take possession of a mortgaged vessel even if the vessel is in the possession or under the control of a person claiming a possessory common law lien. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4745, and amended Pub. L. 101-225, title III, Sec. 303(4), Dec. 12, 1989, 103 Stat. 1923.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31325(a) 46:951 (1st sentence) 31325(b)(1) 46:951 (2d sentence) 31325(b)(2) 46:954(a) 31325(b)(3) New 31325(c) 46:951 (3d sentence) 31325(d) 46:951 (4th to 6th sentences) 31325(e) 46:952 (1st, 2d sentences) ------------------------------- Section 31325 provides for the enforcement of a preferred mortgage lien. Section 31325(a) makes a 'preferred mortgage' a lien on the vessel in the amount of the mortgage indebtedness secured by the vessel outstanding at foreclosure. This subsection makes no substantive change to law. Section 31325(b) provides that, on default of any term, the mortgagee may enforce the preferred mortgage lien in a civil action in rem, or in personam in admiralty against the mortgagor, comaker, or guarantor for the amount of the outstanding indebtedness secured by the vessel or any deficieny in paying off that indebtedness. This subsection makes a substantive change to law by allowing a nonadmiralty civil action to be brought against the mortgagor, comaker, or guarantor for the amount of the outstanding indebtedness secured by the vessel or any deficiency in paying off that indebtedness. This change allows an action to be brought even when the vessel is outside U.S. jurisdiction. This section will also allow the action to be brought against the comaker or guarantor of the mortgage. Section 31325(c) provides for original and exclusive jurisdiction by a district court, to the exclusion of the courts of a State for civil actions brought in rem. It also provides for original jurisdiction for civil actions brought in personam in admiralty and civil actions brought under subsection (b)(3). This subsection makes a substantive change to law by broadening the jurisdiction to courts in the territories, as defined in section 31301, as well as giving original jurisdiction to the district courts in nonadmiralty civil actions brought to enforce the preferred mortgage lien. Subsection (d) provides that actual notice of a civil action in rem to enforce a maritime lien must be given in a manner directed by the court to the master, individual in charge of the vessel, to any person that recorded a notice of a claim of an undischarged lien, and, for the first time, to the mortgagee of a mortgage filed with the Secretary. This notice is not required if, after a search is made that is satisfactory to the court, the person entitled to notice is not found in the United States. Failure to give notice does not affect the court's jurisdiction. However, the mortgagor is still liable to the person not notified for damages in the amount of that person's interest in the vessel that was terminated by the civil action in rem, and a civil action may still be brought to recover the amount of the terminated interest. The district courts have original jurisdiction of the action, regardless of the amount in controversy or the citizenship of the parties. If plaintiff prevails, the court shall award costs and attorneys fees to the plaintiff. Subsection (e) provides that, in a civil action in rem, the court may appoint a receiver and authorize operation of the vessel. When directed by the court, a United States marshal may take possession - even if the vessel is in the possession of or under the control of a person claiming a possessory common law lien. This subsection makes a substantive change to law by allowing the court to retain in rem jurisdiction over the vessel even if the receiver operates the vessel outside the district in which the court is located. HOUSE FLOOR STATEMENT Subsection (c) of this section clarifies that the district courts have original jurisdiction for a civil action under subsection (b) of this section, and exclusive jurisdiction in the case of vessels documented or to be documented under chapter 121 of title 46. AMENDMENTS 1989 - Subsecs. (b), (c). Pub. L. 101-225 amended subsecs. (b) and (c) generally. Prior to amendment, subsecs. (b) and (c) read as follows: '(b) On default of any term of the preferred mortgage, the mortgagee may enforce the preferred mortgage lien in - '(1) a civil action in rem for a documented vessel or a vessel to be documented under chapter 121 of this title; '(2) a civil action in personam in admiralty against the mortgagor, comaker, or guarantor for the amount of the outstanding indebtedness secured by the mortgaged vessel or any deficiency in full payment of that indebtedness; and '(3) a civil action against the mortgagor, comaker, or guarantor for the amount of the outstanding indebtedness secured by the mortgaged vessel or any deficiency in full payment of that indebtedness. '(c) The district courts have original jurisdiction of a civil action brought under subsection (b) of this section. However, for documented vessels or vessels to be documented under chapter 121 of this title, this jurisdiction is exclusive of the courts of the States for a civil action under subsection (b)(1) of this section.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 31301, 31326 of this title. ------DocID 53552 Document 453 of 963------ -CITE- 46 USC Sec. 31326 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31326. Court sales to enforce preferred mortgage liens and maritime liens and priority of claims -STATUTE- (a) When a vessel is sold by order of a district court in a civil action in rem brought to enforce a preferred mortgage lien or a maritime lien, any claim in the vessel existing on the date of sale is terminated, including a possessory common law lien of which a person is deprived under section 31325(e)(2) of this title, and the vessel is sold free of all those claims. (b) Each of the claims terminated under subsection (a) of this section attaches, in the same amount and in accordance with their priorities to the proceeds of the sale, except that - (1) the preferred mortgage lien has priority over all claims against the vessel (except for expenses and fees allowed by the court, costs imposed by the court, and preferred maritime liens); and (2) for a foreign vessel, the preferred mortgage lien is subordinate to a maritime lien for necessaries provided in the United States. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4746.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31326(a) 46:953(b), 961(c) 31326(b)(1) 46:953(b) 31326(b)(2) 46:951 (2d par. proviso) ------------------------------- Section 31326(a) provides for a court-ordered sale to enforce a preferred mortgage lien or a maritime lien and the priority of claims. When a mortgaged vessel is sold by court order in a civil action in rem, any prior claim in the vessel is terminated - including any possessory common law lien. This subsection makes a substantive change to law by making the process the same for maritime liens as was provided for preferred mortgage liens. This eliminates the requirement for making a new mortgagee for a court sale to enforce a maritime lien. This section also broadens the jurisdiction to courts in the territories, as defined in section 31301. Section 31326(b)(1) provides that each of these terminated claims attaches, in the same amount and priority, to the proceeds of sale - except that the preferred mortgage lien always has priority over these other claims. However, the preferred mortgage lien is still subordinated to expenses and fees allowed by the court, costs imposed by the court, and any preferred maritime liens. This may include statutory fees such as the fee of the United States Marshal under 28 U.S.C. 1921. Except for broadening its coverage under subsection (a), this makes no substantive change to law. Section 31326(b)(2) provides in the case of a foreign vessel, the preferred mortgage lien is also subordinated to a maritime lien for necessaries performed or supplied for the vessel in the United States. 'Provided' has been substituted for 'provided or supplied' for consistency in usage. Except for broadening its coverage under subsection (a), this paragraph makes no substantive change to law. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 31301 of this title. ------DocID 53553 Document 454 of 963------ -CITE- 46 USC Sec. 31327 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31327. Forfeiture of mortgagee interest -STATUTE- The interest of a mortgagee in a documented vessel or a vessel covered by a preferred mortgage under section 31322(d) of this title may be terminated by a forfeiture of the vessel for a violation of a law of the United States only if the mortgagee authorized, consented, or conspired to do the act, failure, or omission that is the basis of the violation. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4746.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31327 46:961(b) ------------------------------- Section 31327 provides for forfeiture of the mortgagee's interest if the mortgagee authorized, consented, or conspired to do the act, failure, or omission that is the basis of the violation that caused forfeiture of the vessel. This section makes no substantive change to law. ------DocID 53554 Document 455 of 963------ -CITE- 46 USC Sec. 31328 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31328. Limitations on parties serving as trustees of mortgaged vessel interests -STATUTE- (a) Without the approval of the Secretary of Transportation, an instrument or evidence of indebtedness secured by a mortgage of a documented vessel to a trustee may not be issued, assigned, or transferred to, or held in trust for, a person not qualifying as a citizen of the United States under section 2 of the Shipping Act, 1916 (46 App. U.S.C. 802), unless the trustee - (1) is a State; (2) is the United States Government; (3) is a person approved by the Secretary and qualifying as a citizen of the United States under that section 2; or (4) has been approved by the Secretary. (b) The Secretary shall approve a trustee under subsection (a)(3) or (4) of this section if the trustee - (1) is organized as a corporation, and is doing business, under the laws of the United States or of a State; (2) is authorized under those laws to exercise corporate trust powers; (3) is subject to supervision or examination by an official of the United States Government or a State; (4) has a combined capital and surplus (as stated in its most recent published report of condition) of at least $3,000,000; and (5) if the trustee is to be approved under subsection (a)(4) of this section, meets any other requirements prescribed by the Secretary. (c) If the trustee at any time does not satisfy the qualifications of subsection (b) of this section, the Secretary shall disapprove the trustee. (d) Except as provided in subsection (a) of this section, a right under a mortgage of a documented vessel may be issued, assigned, or transferred to a person not eligible to be a mortgagee of that vessel under section 31322 of this title only with the approval of the Secretary. (e) The vessel may be operated by the trustee only with the approval of the Secretary. (f) The issuance, assignment, or transfer of an instrument or evidence of indebtedness contrary to this section is void. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4746.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31328 46:808 (4th par.), 961(d), (e) ------------------------------- Section 31328(a) imposes limitations on issuing, assigning, or transferring instruments or evidence of indebtedness secured by a mortgage to a person not qualifying as a citizen of the United States under section 2 of the Shipping Act, 1916, without setting up a trust. However, the trustee must be a State, the United States Government, a person approved by the Secretary as qualifying as a citizen of the United States, or any other person approved by the Secretary. This makes substantive changes to the law including broadening the types of persons that may be a trustee. In this section, the words 'or a substitute trustee' have been deleted as unnecessary since the approval of a trustee inherently includes the approval of a substitute trustee. Section 31328(b) requires the Secretary to approve the trustee if the person meets certain specific requirements listed in this subsection and the regulations prescribed under it. Section 31328(c) allows the Secretary to disapprove a trustee if at any time the trustee does not meet the requirements of the Secretary and the prescribed regulations. Section 31328(d) prohibits a right under a mortgage of a documented vessel from being issued, assigned, or transferred to a person not eligible to be a mortgagee unless the Secretary approves of that issuance, assignment, or transfer. Section 31328(e) prohibits a vessel from being operated by a trustee acting on behalf of foreign holders of indebtedness unless the trustee has the Secretary's approval. Section 31328(f) voids any issuance, assignment, or transfer of an instrument of indebtedness that is contrary to this section. This subsection makes no substantive change to law. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 31330 of this title; section 808 of Appendix to this title. ------DocID 53555 Document 456 of 963------ -CITE- 46 USC Sec. 31329 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31329. Court sales of documented vessels -STATUTE- (a) A documented vessel may be sold by order of a district court only to - (1) a person eligible to own a documented vessel under section 12102 of this title; or (2) a mortgagee of that vessel. (b) When a vessel is sold to a mortgagee not eligible to own a documented vessel - (1) the vessel must be held by the mortgagee for resale; (2) the vessel held by the mortgagee is subject to section 902 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1242); and (3) the sale of the vessel to the mortgagee is not a sale foreign within the terms of the first proviso of section 27 of the Merchant Marine Act, 1920 (46 App. U.S.C. 883). (c) Unless waived by the Secretary of Transportation, a person purchasing a vessel by court order under subsection (a)(1) of this section or from a mortgagee under subsection (a)(2) of this section must document the vessel under chapter 121 of this title. (d) The vessel may be operated by the mortgagee not eligible to own a documented vessel only with the approval of the Secretary. (e) A sale of a vessel contrary to this section is void. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4747.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31329 46:961(f) ------------------------------- Section 31329 sets out certain restrictions on the court sale of a documented vessel. Section 31329(a) restricts the sale only to a person eligible to own a documented vessel under section 12102 of title 46 or to the mortgagee, which may be a trustee acting as a holder of a preferred mortgage on a documented vessel for the benefit of a person not eligible to be the holder of a preferred mortgage on that vessel. Section 31329(b) sets out conditions on the sale to a trustee acting as a holder of a preferred mortgage on a documented vessel for the benefit of a person not eligible to be the holder of a preferred mortgage on that vessel. First, the vessel must be held by the trustee for resale. Second, while being held for resale, the vessel is subject to requisition or purchase during a national emergency under section 902 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1242). And third, the sale of the vessel to the trustee is not a sale foreign within the terms of the First Proviso of section 27 of the Merchant Marine Act, 1920 (46 App. U.S.C. 883). Section 31329(c) requires a person that is eligible to document the vessel that purchases a vessel from the court to document the vessel. This subsection also requires the person purchasing the vessel from the trustee to document it, thereby restricting to whom the trustee can sell the vessel. Many documented vessels have no national defense utility, such as recreational vessels and fishing vessels. Therefore, both of these restrictions can be waived by the Secretary. As previously discussed, these waivers can be on a case-by-case basis or with a blanket waiver. Section 31329(d) prohibits a trustee from operating the vessel without the approval of the Secretary. Section 31329(e) voids any sale that is done contrary to this section. HOUSE FLOOR STATEMENT Under section 31329(d) a vessel may be operated by the trustee only with the approval of the Secretary. Under current law a vessel may be documented by a trust if all of the members of the trust are citizens of the United States. If the trust buying the vessel at the court sale includes foreign investors, the vessel cannot be documented. The Committee intends in this section that the vessel will only be 'operated' in a maintenance manner, but not in a commercial service. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 31330 of this title. ------DocID 53556 Document 457 of 963------ -CITE- 46 USC Sec. 31330 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER II -HEAD- Sec. 31330. Penalties -STATUTE- (a)(1) A mortgagor shall be fined under title 18, imprisoned for not more than 2 years, or both, if the mortgagor - (A) with intent to defraud, does not disclose an obligation on a vessel as required by section 31323(a) of this title; (B) with intent to defraud, incurs a contractual obligation in violation of section 31323(b) of this title; (C) with intent to hinder or defraud an existing or future creditor of the mortgagor or a lienor of the vessel, files a mortgage with the Secretary of Transportation; or (D) with intent to defraud, does not comply with section 31321(h) of this title. (2) A mortgagor is liable to the United States Government for a civil penalty of not more than $10,000 if the mortgagor - (A) does not disclose an obligation on a vessel as required by section 31323(a) of this title; (B) incurs a contractual obligation in violation of section 31323(b) of this title; (C) files with the Secretary a mortgage made not in good faith; or (D) does not comply with section 31321(h) of this title. (b)(1) A person that knowingly violates section 31328 or 31329 of this title shall be fined under title 18, imprisoned for not more than 3 years, or both. (2) A person violating section 31328 or 31329 of this title is liable to the Government for a civil penalty of not more than $25,000. (3) A vessel involved in a violation under section 31328 or 31329 of this title and its equipment may be seized by, and forfeited to, the Government. (c) If a person not an individual violates this section, the president or chief executive of the person also is subject to any penalty provided under this section. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4747.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31330(a) 46:941(b) (1st sentence) 31330(b) New 31330(c) 46:941(b) (1st sentence) ------------------------------- Section 31330(a) provides for criminal penalties for not disclosing obligations, incurring contractual obligations in violation of section 31323(b), and filing a mortgage made not in good faith. This subsection makes a substantive change to law by adding civil penalties and by making it a crime to record with the Secretary of Transportation a mortgage made not in good faith with the intent to hinder an existing or future creditor of the mortgagor or a lienor of the vessel. This is done since the affidavit of good faith has been eliminated from the elements of a preferred mortgage. Section 31330(b) adds criminal and civil penalties for violating the sale and trust requirements under sections 31328 and 31329. It also makes a vessel and its equipment involved in those violations subject to seizure by the Government. Section 31330(c) makes the president or chief executive officer of a corporation or association liable as a mortgagor for the penalties under this section. HOUSE FLOOR STATEMENT Subsection (a) of this section adds criminal and civil penalties for a preferred mortgagor's failure to carry out certain requirements under chapter 313 of title 46 (as enacted by this Act). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 31323 of this title. ------DocID 53557 Document 458 of 963------ -CITE- 46 USC SUBCHAPTER III -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER III -HEAD- SUBCHAPTER III - MARITIME LIENS ------DocID 53558 Document 459 of 963------ -CITE- 46 USC Sec. 31341 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER III -HEAD- Sec. 31341. Persons presumed to have authority to procure necessaries -STATUTE- (a) The following persons are presumed to have authority to procure necessaries for a vessel: (1) the owner; (2) the master; (3) a person entrusted with the management of the vessel at the port of supply; or (4) an officer or agent appointed by - (A) the owner; (B) a charterer; (C) an owner pro hac vice; or (D) an agreed buyer in possession of the vessel. (b) A person tortiously or unlawfully in possession or charge of a vessel has no authority to procure necessaries for the vessel. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4748, and amended Pub. L. 101-225, title III, Sec. 303(5), Dec. 12, 1989, 103 Stat. 1924.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31341(a) 46:972 (1st sentence), 973 31341(b) 46:972 (2d sentence) ------------------------------- Section 31341(a) lists those persons who are presumed to have authority to procure necessaries for a vessel. These include the owner, master, or a manager at the port of supply; and an officer or agent appointed by the owner, charterer, owner pro hac vice, or buyer in possession of the vessel. This subsection makes no substantive change to law. Section 31341(b) provides that any person that is tortiously or unlawfully in possession of or in charge of a vessel has no authority to procure necessaries. This subsection makes no substantive change to law. AMENDMENTS 1989 - Subsec. (a)(3). Pub. L. 101-225 substituted 'management' for 'mangement'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 31301, 31323 of this title. ------DocID 53559 Document 460 of 963------ -CITE- 46 USC Sec. 31342 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER III -HEAD- Sec. 31342. Establishing maritime liens -STATUTE- (a) Except as provided in subsection (b) of this section, a person providing necessaries to a vessel on the order of the owner or a person authorized by the owner - (1) has a maritime lien on the vessel; (2) may bring a civil action in rem to enforce the lien; and (3) is not required to allege or prove in the action that credit was given to the vessel. (b) This section does not apply to a public vessel. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4748, and amended Pub. L. 101-225, title III, Sec. 303(6), Dec. 12, 1989, 103 Stat. 1924.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31342 46:971 ------------------------------- Section 31342 provides that any authorized person providing necessaries for a vessel has a maritime lien on the vessel, may bring a civil action in rem in admiralty to enforce the lien, and is not required to allege or prove that credit was given to the vessel. 'Providing' has been substituted for 'furnishing' for consistency with other laws. This section makes no substantive change to law. This section does not supersede the prohibition under the Public Vessels Act, the Foreign Sovereign Immunities Act, or the Suits in Admiralty Act, on bringing an in rem action against a public vessel. AMENDMENTS 1989 - Pub. L. 101-225 designated existing provisions as subsec. (a), substituted 'Except as provided in subsection (b) of this section, a person providing necessaries to a vessel on the order of the owner' for 'A person providing necessaries to a vessel (except a public vessel) on the order of a person listed in section 31341 of this title', and added subsec. (b). ------DocID 53560 Document 461 of 963------ -CITE- 46 USC Sec. 31343 -EXPCITE- TITLE 46 Subtitle III CHAPTER 313 SUBCHAPTER III -HEAD- Sec. 31343. Recording and discharging liens on preferred mortgage vessels -STATUTE- (a) Except as provided under subsection (d) of this section, a person claiming a lien on a vessel covered by a preferred mortgage filed or recorded under this chapter may record with the Secretary of Transportation a notice of that person's lien claim on the vessel. To be recordable, the notice must - (1) state the nature of the lien; (2) state the date the lien was established; (3) state the amount of the lien; (4) state the name and address of the person; and (5) be signed and acknowledged. (b) The Secretary shall record a notice complying with subsection (a) of this section. (c) On full and final discharge of the indebtedness that is the basis for a claim recorded under subsection (b) of this section, on request of the Secretary or owner, the person having the claim shall provide the Secretary with an acknowledged certificate of discharge of the indebtedness. The Secretary shall record the certificate. (d) A person claiming a lien on a vessel covered by a preferred mortgage under section 31322(d) of this title must record and discharge the lien as provided by the law of the State in which the vessel is titled. -SOURCE- (Added Pub. L. 100-710, title I, Sec. 102(c), Nov. 23, 1988, 102 Stat. 4748.) -MISC1- Historical and Revision Notes --------------------------------------------------------------------- Revised section Source section (U.S. Code) --------------------------------------------------------------------- 31343 46:925 ------------------------------- Section 31343 provides that any person claiming a lien on a vessel covered by a preferred mortgage may record a notice of lien. This notice must state the nature of the lien, date it was established; the amount; and the name and address of the person claiming a lien, and it must be acknowledged. The Secretary must record a notice of lien if it complies with these requirements. When any part of the indebtedness is discharged, the claimant shall provide the Secretary with a written, acknowledged certificate of discharge of the indebtedness, and the Secretary shall record the certificate. This section makes no substantive change to law. Section 31343(c) provides that, on the full and final discharge of an indebtedness that is the basis for a claim, the person having the claim shall provide the Secretary with an acknowledged certificate of discharge on the request of the Secretary or owner of the vessel. This subsection makes a substantive change to law by not requiring partial discharges to be filed, as well as making the filing of discharge certificates only at the request of the Secretary or owner of the vessel. HOUSE FLOOR STATEMENT Subsection (d) of this section requires a person claiming a lien on a vessel covered by a preferred mortgage under section 31322(d) to record and discharge the lien as provided by the law of the State in which the vessel is titled. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 31325 of this title. ------DocID 53561 Document 462 of 963------ -CITE- 46 USC (CHAPTER 315 -EXPCITE- TITLE 46 Subtitle III (CHAPTER 315 -HEAD- (CHAPTER 315 - RESERVED) -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 30101 of this title. ------DocID 53562 Document 463 of 963------ -CITE- 46 USC APPENDIX -EXPCITE- TITLE 46 APPENDIX -HEAD- TITLE 46, APPENDIX - SHIPPING -MISC1- This Appendix consists of sections of former Title 46 that are not included in Title 46, Shipping, as enacted by Pub. L. 98-89, subtitle B of title V of Pub. L. 99-509, section 6 of Pub. L. 100-424, and Pub. L. 100-710, and certain laws related to shipping that were enacted after Pub. L. 98-89. Sections from former Title 46 retain the same section numbers in this Appendix. For disposition of all sections of former Title 46, see Table at beginning of Title 46, Shipping. Chap. Sec. 1. Administration of Shipping Laws 3 2. Documentation, Recording, and Measurement 13 3. Clearance and Entry 91 4. Tonnage Duties 121 5. Discriminating Duties and Reciprocal Privileges 141 6. Regulation as to Vessels Carrying Steerage Passengers 163 8. Limitation of Vessel Owner's Liability 181 12. Regulation of Vessels in Domestic Commerce 251 13. Passports and Papers of Vessels Engaged in Foreign Commerce 351 14. Inspection of Steam Vessels 382b-1 15. Transportation of Passengers and Merchandise by Steam Vessels 466c 18. Merchant Seamen 674 19. Wrecks and Salvage 721 19A. Admiralty and Maritime Jurisdiction 740 20. Suits in Admiralty By or Against Vessels or Cargoes of United States 741 21. Death on High Seas by Wrongful Act 761 22. Suits in Admiralty Against United States for Damages Caused by Public Vessels or for Towage or Salvage Services 781 23. Shipping Act 801 23A. Intercoastal Shipping 843 24. Merchant Marine Act, 1920 861 24A. Merchant Marine Act, 1928 891 27. Merchant Marine Act, 1936 1101 28. Carriage of Goods by Sea 1300 34. Safe Containers for International Cargo 1501 35. Maritime Administration 1601 36. International Ocean Commerce Transportation 1701 37. International Maritime and Port Security 1801 38. Maritime Drug Law Enforcement 1901 39. Merchant Marine Decorations and Medals 2001 -CROSS- CROSS REFERENCES See, also, Title 33, Navigation and Navigable Waters. Arbitration of controversies arising out of maritime transactions, see Title 9, Arbitration. -SECREF- APPENDIX REFERRED TO IN OTHER SECTIONS This appendix is referred to in title 42 section 9607. ------DocID 53563 Document 464 of 963------ -CITE- 46 USC CHAPTER 1 -EXPCITE- TITLE 46 APPENDIX CHAPTER 1 -HEAD- CHAPTER 1 - ADMINISTRATION OF SHIPPING LAWS -MISC1- Sec. 3. Measurement and numbering; tonnage tax. 9. Delegation of classification functions. (a), (b) Repealed. (c) Report on delegation of classification functions. (d) Repealed. WAIVER OF COMPLIANCE WITH NAVIGATION AND INSPECTION LAWS; TERMINATION DATE Act Dec. 27, 1950, ch. 1155, Sec. 1, 2, 64 Stat. 1120, provided that: 'The head of each department or agency responsible for the administration of the navigation and vessel-inspection laws is directed to waive compliance with such laws upon the request of the Secretary of Defense to the extent deemed necessary in the interest of national defense by the Secretary of Defense. The head of such department or agency is authorized to waive compliance with such laws to such extent and in such manner and upon such terms as he may prescribe, either upon his own initiative or upon the written recommendation of the head of any other Government agency, whenever he deems that such action is necessary in the interest of national defense. 'Sec. 2. The authority granted by this Act shall terminate at such time as the Congress by concurrent resolution or the President may designate.' Similar provisions were contained in acts Mar. 31, 1947, ch. 27, 61 Stat. 33; July 31, 1947, ch. 408, 61 Stat. 685; Feb. 27, 1948, ch. 78, Sec. 2, 62 Stat. 38; Feb. 28, 1949, ch. 12, 63 Stat. 9; June 29, 1949, ch. 281, Sec. 1, 63 Stat. 349; June 30, 1950, ch. 427, Sec. 4, 64 Stat. 309. -TRANS- TRANSFER OF FUNCTIONS RELATING TO SHIPPING AND NAVIGATION Bureau of Navigation created by act July 5, 1884. Act June 30, 1932, consolidated Bureau of Navigation with Steamboat Inspection Service to form a new bureau to be known as Bureau of Navigation and Steamboat Inspection, which name was changed to Bureau of Marine Inspection and Navigation by act May 27, 1936. Director of the Bureau of Marine Inspection and Navigation was designation given to chief of bureau by Secretary of Commerce under act June 30, 1932, Sec. 502(b). Bureau and office of its Director abolished by Reorg. Plan No. 3 of 1946, Sec. 104, set out below. Reorg. Plan No. 3 of 1946, Sec. 101 to 104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097, provided: 'Section 101. Functions Transferred to the United States Coast Guard. - (a) There are hereby transferred to the Commandant of the Coast Guard those functions of the bureau, offices, and boards specified in the first sentence of section 104 of this plan, and of the Secretary of Commerce, which pertain to approval of plans for the construction, repair, and alteration of vessels; approval of materials, equipment, and appliances; classification of vessels; inspection of vessels and their equipment and appliances; issuance of certificates of inspection, and of permits indicating the approval of vessels for operations which may be hazardous to life or property; administration of load line requirements; enforcement of other provisions for the safety of life and property on vessels; licensing and certificating of officers, pilots, and seamen; suspension and revocation of licenses and certificates; investigation of marine casualties; enforcement of manning requirements, citizenship requirements, and requirements for the mustering and drilling of crews, control of logbooks; shipment, discharge, protection, and welfare of merchant seamen; enforcement of duties of shipowners and officers after accidents; promulgation and enforcement of rules for lights, signals, speed, steering, sailing, passing, anchorage, movement, and towlines of vessels and lights and signals on bridges; numbering of undocumented vessels; prescription and enforcement of regulations for outfitting and operation of motorboats; licensing of motorboat operators; regulation of regattas and marine parades; all other functions of such bureau, offices, and boards which are not specified in section 102 of this plan; and all other functions of the Secretary of Commerce pertaining to those functions of the agencies abolished under section 104 of this plan which are not specified in section 102 of this plan, including the remission and mitigation of fines, penalties, and forfeitures incurred under the laws governing these functions and those incurred under the act of December 17, 1941 (55 Stat. 808), as amended. '(b) The functions relating to the award of numbers to undocumented vessels vested by law in the collectors of customs are hereby transferred to the Commandant of the Coast Guard. 'Sec. 102. Functions Transferred to Bureau of Customs. - There are hereby transferred to the Commissioner of Customs those functions of the bureau, offices, and boards specified in the first sentence of section 104 of this plan, and of the Secretary of Commerce, which pertain to registry, enrollment, and licensing of vessels, including the issuance of commissions to yachts, the assignment of signal letters, and the preparation of all reports and publications in connection therewith; measurement of vessels, administration of tonnage duties, and collection of tolls; entry and clearance of vessels and aircraft, regulation of vessels in the coasting and fishing trades, and limitation of the use of foreign vessels in waters under the jurisdiction of the United States; recording of sales, conveyances, and mortgages of vessels; protection of steerage passengers; all other functions of such bureau, offices, and boards which were performed by the Bureau of Customs on behalf thereof immediately prior to the effective date of Executive Order No. 9083 of February 28, 1942 (7 F.R. 1609); and the power to remit and mitigate fines, penalties, and forfeitures incurred under the laws governing these functions. 'Sec. 103. Powers of the Secretary of the Treasury. - The functions transferred by sections 101 and 102 of this plan may be performed through such officers and employees of the United States Coast Guard and the Bureau of Customs, respectively, as may be designated by the Commandant of the Coast Guard and the Commissioner of Customs, respectively, and shall be performed subject to the direction and control of the Secretary of the Treasury except as otherwise required by law with respect to the United States Coast Guard whenever it operates as a part of the Navy. 'Sec. 104. Abolition of Agencies. - The Bureau of Marine Inspection and Navigation, the office of the director thereof, the offices of supervising inspectors, principal traveling inspectors, local inspectors, assistant inspectors, shipping commissioners, deputy shipping commissioners, and the board of supervising inspectors, the boards of local inspectors, the marine casualty investigation board, and the marine boards are hereby abolished. The Secretary of the Treasury shall provide for winding up those affairs of the said abolished agencies which are not otherwise disposed of herein.' This Reorganization Plan continued on a permanent basis the temporary transfer of functions made during World War II by Ex. Ord. No. 9083, Sec. 1 to 4, eff. Feb. 28, 1942, 7 F.R. 1609, formerly set out under section 601 of Title 50, Appendix, War and National Defense. By Coast Guard General Order 2-46, July 16, 1946, 11 F.R. 7775, and Treas. Dept. Reg. 51491, July 16, 1946, 11 F.R. 7766, the Commandant of the Coast Guard and The Commissioner of Customs each provided that all orders, rules, regulations, permits or other privileges made, issued or granted in respect of all functions transferred to him by Reorg. Plan No. 3 of 1946, Sec. 101-104, and in effect at the time of such transfer should continue in effect to the same extent as if such transfer had not occurred. On the basis of 33 C.F.R. ch. I, and 46 C.F.R. ch. I, the Commandant of the Coast Guard appears to have assigned the functions transferred to him as follows: --------------------------------------------------------------------- Functions formerly performed by: Now assigned to: --------------------------------------------------------------------- Bureau of Marine Inspection and Commandant of the Coast Guard Navigation and its Director Board of Supervising Inspectors Commandant of the Coast Guard Supervising Inspector Coast Guard District Commander Board of Local Inspectors Officer in Charge, Marine Inspection Inspectors and Assistant Marine Inspectors (or Inspectors 'inspectors') ------------------------------- For investigation of Marine casualties and suspension and revocation of licenses and certificates, formerly performed by the Marine Casualty Investigation Board and Marine Boards, see note set out under section 239 of this title. Memoranda of the Chief Counsel of the Coast Guard, July 7, 1947, Chief Counsel of the Bureau of Customs, July 14, 1947, and Chief Counsel of the Treasury, July 21, 1947, concurred in the view that the duties of collectors of customs were not affected by Reorg. Plan No. 3 of 1946, with the exception of those duties specified in section 101(b) of the Plan. CERTAIN FUNCTIONS FORMERLY PERFORMED BY BUREAU OF CUSTOMS The following is a statement relating to the transfer of certain functions from the Commissioner of Customs to the Commandant of the Coast Guard, appearing in 32 F.R. 7408, 7409, May 18, 1967: On April 28, 1967, a memorandum of agreement was signed by the Commandant of the Coast Guard and the Commissioner of Customs which provided that - 1. Treasury Department Order No. 167-81 transferred from the Commissioner of Customs to the Commandant, U.S. Coast Guard, the functions pertaining to the admeasurement of vessels, the documentation of vessels, the publication of merchant vessel registers, the registration of stack insignia, and shoreside port security. Because of the transfer of the Coast Guard from the Treasury Department to the Department of Transportation and because of continuing efforts to reorganize and modernize the shipping laws of the United States now assembled in title 46, U.S. Code, with a view toward eventual codification, it is recognized that the laws and provisions of law that relate to the transferred functions should be identified. 2. It is therefore agreed that - a. The following sections of the U.S. Code, 1964 edition, relate entirely to the transferred functions: --------------------------------------------------------------------- Title Chapter Sections --------------------------------------------------------------------- 46 1 2 (nothing in this section is considered vital or necessary to the authority to perform the functions pertaining to entry and clearance of vessels, collection of tonnage tax, or enforcement of the coastwise laws generally). 2 12, 14-41, 43-56, 58, 61-63, 71, 72, 74, 75, 77, 81-83k. 3 103, 105, 109. 6 151-157, 159, 160. 11 227, 236-238. 12 252-255, 258-260, 263-265, 267-272, 275, 276, 279, 334. 13 351-353. 15 496. 25 921-927, 941, 981- 984. 26 1011-1014. ------------------------------- b. Parts of the following sections of the U.S. Code, 1964 edition, relate to the transferred functions as indicated: --------------------------------------------------------------------- Title Chapter Sections --------------------------------------------------------------------- 46 1 3 (except as it relates to tonnage tax). 4 (first two sentences). 6 158 (second sentence). 12 262 (second sentence). 12 320 (as it relates to sections 45 and 77). 321 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 322 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 323 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 324 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 326 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 328 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 331 (as it relates to measurement of tonnage, issuance or granting of certificates of registry, records or enrollments, recording of bills of sale, mortgages, hypothecations or conveyances, and the furnishing of certificates of title). 333 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 335 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 336 (as it relates to sections 252- 255, 258, 259, 262- 273, 275-277, 279 and 280). 24 881 (the second proviso). 25 911(1), (2), (3), and (5). ------------------------------- c. The following sections and parts of sections of the U.S. Code 1964 edition, relate to functions transferred and to functions retained by Customs: --------------------------------------------------------------------- Title Chapter Sections --------------------------------------------------------------------- 19 3 261, 267. 4 1451, 1524. 46 1 7, 4 (last sentence) 8. 2 11, 13, 59, 60. 6 158 (the second paragraph), 161, 162. 11 221. 12 251(a) (the first sentence), 266, 277, 278, 280, 292, 319, 325, 327, 332. 14 404a. 24 883 (the first and second provisos) 883a, 883b, 883-1. ------------------------------- d. The following sections of the U.S. Code, 1964 edition, relate to functions transferred and to functions administered under the Secretary of Commerce: --------------------------------------------------------------------- Title Chapter Sections --------------------------------------------------------------------- 46 23 838, 840. 911(4) (pending transfer to the Department of Transportation under the provisions of Reorganization Plan No. 1-67). 50 12 198(a). ------------------------------- e. The following sections of the U.S. Code, 1964 edition, relate to functions transferred, to functions retained by Customs, and to functions administered under the Secretary of Commerce. --------------------------------------------------------------------- Title Chapter Sections --------------------------------------------------------------------- 46 23 801, 802, 803, 808. ------------------------------- 3. The identification of statutes set forth above is for the information and guidance of the public. Nothing therein shall be deemed to have the effect of amending in any respect the provisions of Treasury Department Order No. 167-81 or the functions of any agency thereunder. TRANSFER OF FUNCTIONS TO SECRETARY OF THE TREASURY For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Functions of Coast Guard and Commandant of Coast Guard excepted from transfer when Coast Guard is operating as part of Navy under sections 1 and 3 of Title 14, Coast Guard. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY On July 31, 1950, Secretary of the Treasury issued Treasury Department Order No. 120 directing that officers, employees, and agencies of Department of the Treasury continue to perform functions they were authorized to perform prior to effective date of Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, and stipulating that authorized regulations and procedures in effect immediately prior to effective date of Plan continue in effect until changed by appropriate authority. ------DocID 53564 Document 465 of 963------ -CITE- 46 USC Sec. 3 -EXPCITE- TITLE 46 APPENDIX CHAPTER 1 -HEAD- Sec. 3. Measurement and numbering; tonnage tax -STATUTE- The Commissioner of Customs shall be charged with the supervision of the laws relating to the admeasurement of vessels, and the assigning of signal letters thereto, and of designating their official number; and on all questions of interpretation growing out of the execution of the laws relating to these subjects, and relating to the collection of tonnage tax, and to the refund of such tax when collected erroneously or illegally, his decision shall be final. -SOURCE- (July 5, 1884, ch. 221, Sec. 3, 23 Stat. 119; June 30, 1932, ch. 314, Sec. 501, 502(b), 47 Stat. 415; May 27, 1936, ch. 463, Sec. 1, 49 Stat. 1380; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Director of the Bureau of Marine Inspection and Navigation' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. Previously, 'Commissioner of Navigation' changed to 'Director, Bureau of Navigation and Steamboat Inspection', and then to 'Director of the Bureau of Marine Inspection and Navigation' by acts June 30, 1932, and May 27, 1936. See note set out preceding section 3 of this Appendix. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. -CROSS- CROSS REFERENCES Measurement of vessels, see section 14101 et seq. of Title 46, Shipping. ------DocID 53565 Document 466 of 963------ -CITE- 46 USC Sec. 9 -EXPCITE- TITLE 46 APPENDIX CHAPTER 1 -HEAD- Sec. 9. Delegation of classification functions -STATUTE- (a), (b) Repealed. Pub. L. 98-89, Sec. 4(b), Aug. 26, 1983, 97 Stat. 600 (c) Report on delegation of classification functions The Secretary of the department in which the Coast Guard is operating shall report to the Congress on the implementation of subsections (a) and (b) of this section within 6 months of December 29, 1981, and annually thereafter for 3 years. Such report shall include the views of the affected industry on the implementation of those subsections. (d) Repealed. Pub. L. 98-89, Sec. 4(b), Aug. 26, 1983, 97 Stat. 600 -SOURCE- (July 5, 1884, ch. 221, Sec. 8, as added Dec. 29, 1981, Pub. L. 97-136, Sec. 9, 95 Stat. 1706, and amended Oct. 15, 1982, Pub. L. 97-322, title I, Sec. 109, 96 Stat. 1584; Aug. 26, 1983, Pub. L. 98-89, Sec. 4(b), 97 Stat. 600.) -MISC1- AMENDMENTS 1983 - Subsecs. (a), (b), (d). Pub. L. 98-89 struck out subsecs. (a), (b), and (d). See section 3316 of Title 46, Shipping. 1982 - Subsec. (d). Pub. L. 97-322 added subsec. (d). ------DocID 53566 Document 467 of 963------ -CITE- 46 USC CHAPTER 2 -EXPCITE- TITLE 46 APPENDIX CHAPTER 2 -HEAD- CHAPTER 2 - DOCUMENTATION, RECORDING, AND MEASUREMENT -MISC1- SUBCHAPTER I - GENERAL PROVISIONS Sec. 14. Wrecked vessels. 42. Oath on entry as to ownership. 57. Production of certificate on entry. 59. Penalty for neglect by officers. -CROSS- CROSS REFERENCES Corporation meeting certain conditions deemed citizen for purposes of the laws relating to documentation of vessels, see section 883-1 of this Appendix. ------DocID 53567 Document 468 of 963------ -CITE- 46 USC APPENDIX - SHIPPING -EXPCITE- TITLE 46 APPENDIX CHAPTER 2 SUBCHAPTER I -HEAD- SUBCHAPTER I - GENERAL PROVISIONS ------DocID 53568 Document 469 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 14 -EXPCITE- TITLE 46 APPENDIX CHAPTER 2 SUBCHAPTER I -HEAD- Sec. 14. Wrecked vessels -STATUTE- The Commissioner of Customs may issue a register or enrollment for any vessel wrecked on the coasts of the United States or her possessions or adjacent waters, when purchased by a citizen or citizens of the United States and thereupon repaired in a shipyard in the United States or her possessions, if it shall be proved to the satisfaction of the Commissioner, if he deems it necessary, through a board of three appraisers appointed by him, that the said repairs put upon such vessels (FOOTNOTE 1) are equal to three times the appraised salved value of the vessel: Provided, That the expense of the appraisal provided for shall be borne by the owner of the vessel: Provided further, That if any of the material matters of fact sworn to or represented by the owner, or at his instance, to obtain the register of any vessel are not true, there shall be a forfeiture to the United States of the vessel in respect to which the oath shall have been made, together with tackle, apparel, and furniture thereof. (FOOTNOTE 1) So in original. Probably should be 'vessel'. -SOURCE- (R.S. Sec. 4136; Feb. 24, 1915, ch. 57, 38 Stat. 812; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -COD- CODIFICATION R.S. Sec. 4136 derived from acts Dec. 23, 1852, ch. 4, 10 Stat. 149; July 23, 1866, ch. 213, 14 Stat. 212. R.S. Sec. 4136 was repealed by act Feb. 22, 1906, ch. 500, 34 Stat. 17, and was reenacted and revised by act Feb. 24, 1915. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 46 sections 3703a, 12106, 12107, 12108. ------DocID 53569 Document 470 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 42 -EXPCITE- TITLE 46 APPENDIX CHAPTER 2 SUBCHAPTER I -HEAD- Sec. 42. Oath on entry as to ownership -STATUTE- Upon the entry of every vessel of the United States from any foreign port, if the same shall be at the port at which the owner or any of the part owners reside, such owner or part owner shall make oath that the register of such vessel contains the name or names of all the persons who are then owners of the vessel; or if any part of such vessel has been sold or transferred since the granting of such register, that such is the case, and that no foreign subject or citizen has, to the best of his knowledge and belief, any share, by way of trust, confidence, or otherwise, in such vessel. If the owner or any part owner does not reside at the port at which such vessel enters, the master shall make oath to the like effect. If the owner, or part owner, where there is one, or the master, where there is no owner, refuses so to swear, such vessel shall not be entitled to the privileges of a vessel of the United States. -SOURCE- (R.S. Sec. 4173.) -COD- CODIFICATION R.S. Sec. 4173 derived from act Dec. 31, 1792, ch. 1, Sec. 17, 1 Stat. 295. ------DocID 53570 Document 471 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 57 -EXPCITE- TITLE 46 APPENDIX CHAPTER 2 SUBCHAPTER I -HEAD- Sec. 57. Production of certificate on entry -STATUTE- The master or other person having the command or charge of any vessel, recorded in pursuance of title 48 of the Revised Statutes, shall, on entry of such vessel, produce the certificate of such record to the collector of the district where she is so entered; and in default thereof the vessel shall not be entitled to the privileges of a recorded vessel. -SOURCE- (R.S. Sec. 4184.) -REFTEXT- REFERENCES IN TEXT Title 48 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 48 of the Revised Statutes, consisting of R.S. Sec. 4131 to 4305. For complete classification of R.S. Sec. 4131 to 4305 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4184 derived from act Dec. 31, 1792, ch. 1, Sec. 24, 1 Stat. 297. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. ------DocID 53571 Document 472 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 59 -EXPCITE- TITLE 46 APPENDIX CHAPTER 2 SUBCHAPTER I -HEAD- Sec. 59. Penalty for neglect by officers -STATUTE- If any person authorized and required by title 48 of the Revised Statutes to perform, as an officer, any act or thing, willfully neglects to do or perform the same according to the true intent and meaning of title 48 of the Revised Statutes, he shall, if not subject to the penalty and disqualification prescribed in section 4187 of the Revised Statutes, be punishable by a fine of $500 for the first offense, and by a like fine for the second offense, and shall thenceforth be rendered incapable of holding any office of trust or profit under the United States. -SOURCE- (R.S. Sec. 4188.) -REFTEXT- REFERENCES IN TEXT Title 48 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 48 of the Revised Statutes, consisting of R.S. Sec. 4131 to 4305. For complete classification of R.S. Sec. 4131 to 4305 to the Code, see Tables. Section 4187 of the Revised Statutes, referred to in text, was classified to section 58 of former Title 46, Shipping, and was repealed by Pub. L. 96-594, title I, Sec. 127, Dec. 24, 1980, 94 Stat. 3459. -COD- CODIFICATION R.S. Sec. 4188 derived from act Dec. 31, 1792, ch. 1, Sec. 26, 1 Stat. 298. ------DocID 53572 Document 473 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 3 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- CHAPTER 3 - CLEARANCE AND ENTRY -MISC1- Sec. 91. Granting clearances. 91a. Performance of duties of master by licensed deck officer or purser. 93. Commercial documents relating to cargo. (a) Attachment to manifest; time of delivery to Customs Service. (b) Listed information. (c) Public disclosure of information. (d) Confidentiality of information. (e) Procedures for access to documents to disclose available information and to protect from disclosure information not available to public. 94. Oath of master. 96. Form of clearance. 97. State inspection laws. 98. Conveyance of bullion, coin, notes, or bonds for United States. 100. Payment of fees on vessels outward bound. 101. Statement of consular services performed without fee filed. 102. Steamboats on Lake Champlain. 104. Reciprocal exemption of foreign yachts from charges and tonnage taxes; licenses. 110. Entry of ferryboats. 111. Vessels in foreign and coasting trade on northern, northeastern, and northwestern frontiers. 112. Passenger vessels trading between ports of United States and foreign ports. 113. Vessels making daily trips on interior waters. -CROSS- CROSS REFERENCES Provisions concerning custody and storage of vessels, vehicles, merchandise and baggage seized under laws relating to entry or clearance of vessels, see section 1605 of Title 19, Customs Duties. ------DocID 53573 Document 474 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 91 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 91. Granting clearances -STATUTE- The master or person having the charge or command of any vessel bound to a foreign port shall deliver to the collector of the district from which such vessel is about to depart a manifest of all the cargo on board the same, and the value thereof, by him subscribed, and shall swear to the truth thereof; whereupon the collector shall grant a clearance for such vessel and her cargo, but without specifying the particulars thereof in the clearance, unless required by the master or other person having the charge or command of such vessel so to do. If any vessel bound to a foreign port (other than a licensed yacht or an undocumented American pleasure vessel not engaged in any trade nor in any way violating the customs or navigation laws of the United States) departs from any port or place in the United States without a clearance, or if the master delivers a false manifest, or does not answer truly the questions demanded of him, or, having received a clearance adds to the cargo of such vessel without having mentioned in the report outwards the intention to do so, or if the departure of the vessel is delayed beyond the second day after obtaining clearance without reporting the delay to the collector, the master or other person having the charge or command of such vessel shall be liable to a penalty of not more than $1,000 nor less than $500, or if the cargo consists in any part of narcotic drugs, or any spirits, wines, or other alcoholic liquors (sea stores excepted), a penalty of not more than $5,000 nor less than $1,000 for each offense, and the vessel shall be detained in any port of the United States until the said penalty is paid or secured: Provided, That in order that the commerce of the United States may move with expedition and without undue delay, the Commissioner of Customs is authorized to make regulations permitting the master of any vessel taking on cargo for a foreign port or for a port in noncontiguous territory belonging to the United States to file a manifest as hereinbefore provided, and if the manifest be not a complete manifest and it so appears upon such manifest, the collector of customs may grant clearance to the vessel in the case of an incomplete manifest, taking from the owner of the vessel, who may act in the premises by a duly authorized attorney in fact, a bond with security approved by the collector of customs in the penal sum of $1,000, conditioned that the master or someone for him will file a completed outward manifest not later than the fourth business day after the clearance of the vessel. In the event that the said complete outward manifest be not filed as required by the provisions of this section and the regulations made by the Commissioner of Customs in pursuance hereof, then a penalty of $50 for each day's delinquency beyond the allowed period of four days for filing the completed manifest shall be exacted, and if the completed manifest be not filed within the three days following the four-day period, then for each succeeding day of delinquency a penalty of $100 shall be exacted. Suit may be instituted in the name of the United States against the principal and surety on the bond for the recovery of any penalties that may accrue and be exacted in accordance with the terms of the bond. -SOURCE- (R.S. Sec. 4197; Aug. 5, 1935, ch. 438, title II, Sec. 209, 49 Stat. 526; June 16, 1938, ch. 476, Sec. 1, 52 Stat. 758; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097; Sept. 1, 1954, ch. 1213, title V, Sec. 501(a), 68 Stat. 1140.) -REFTEXT- REFERENCES IN TEXT The customs laws of the United States, referred to in text, are classified generally to Title 19, Customs Duties. The navigation laws of the United States, referred to in text, are classified generally to Title 33, Navigation and Navigable Waters. -COD- CODIFICATION R.S. Sec. 4197 derived from act Mar. 2, 1799, ch. 22, Sec. 93, 1 Stat. 698. -MISC3- AMENDMENTS 1954 - Act Sept. 1, 1954, exempted undocumented pleasure vessels of the United States from clearance requirements. 1938 - Act June 16, 1938, inserted proviso and all that follows. 1935 - Act Aug. 5, 1935, substituted second sentence for 'If any vessel bound to a foreign port departs on her voyage to such foreign port without delivering such manifest and obtaining a clearance, as required, the master or other person having the charge or command of such vessel shall be liable to a penalty of $500 for every such offense.' -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. -MISC5- CONSTRUCTION WITH OTHER LAWS Section 3 of act June 16, 1938, provided that the amendments to this section by section 1 of the act, should not affect any other existing law. -CROSS- CROSS REFERENCES Bond to deliver cargo at destination named in clearance and to prohibit its use in aiding or conforting persons in insurrection against United States, see section 225 of Title 50, War and National Defense. Refusing clearance to vessels with suspected cargoes intended for port in possession or under control of insurgents against United States, see section 224 of Title 50. Vessels arriving at ports of United States, manifest, requirement, form, and contents, see section 1431 et seq., of Title 19, Customs Duties. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 817d, 817e, 876, 1710a of this Appendix; title 16 section 4711; title 18 section 965; title 33 sections 1232, 1321, 1517, 1904, 1908, 2072, 2236, 2605, 2716; title 42 section 9608; title 46 sections 2110, 3718, 5113; title 50 App. section 13. ------DocID 53574 Document 475 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 91a -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 91a. Performance of duties of master by licensed deck officer or purser -STATUTE- Whenever, under any provision or provisions of any statute of the United States, it is made the duty of the masters of vessels to make entry and clearance of same, it shall be lawful for such duties to be performed by any licensed deck officer or purser of such vessel; and when such duties are performed by a licensed deck offices or purser of such vessel, such acts shall have the same force and effect as if performed by masters of such vessels: Provided, That nothing herein contained shall relieve the master of any penalty or liability provided by any statute relating to the entry or clearance of vessels. -SOURCE- (May 4, 1934, ch. 212, 48 Stat. 663.) -COD- CODIFICATION Section was formerly classified to section 1435a of Title 19, Customs Duties. ------DocID 53575 Document 476 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 93 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 93. Commercial documents relating to cargo -STATUTE- (a) Attachment to manifest; time of delivery to Customs Service Copies of bills of lading or equivalent commercial documents relating to all cargo encompassed by the manifest required under chapter 2 of title 48 of the Revised Statutes shall be attached to such manifest and delivered to the appropriate officer of the United States Customs Service at the time such manifest is delivered. (b) Listed information The following information shall be included on such manifest, or on attached copies of bills of lading or equivalent commercial documents: (1) Name and address of shipper. (2) Description of the cargo. (3) Number of packages and gross weight. (4) Name of vessel or carrier. (5) Port of exit. (6) Port of destination. (c) Public disclosure of information Except as provided in subsection (d) of this section, the following information contained on such manifest, or on attached copies of bills of lading or equivalent commercial documents, shall be available for public disclosure: (1) Name and address of shipper, unless the shipper has made a biennial certification claiming confidential treatment pursuant to procedures adopted by the Secretary of the Treasury. (2) General character of the cargo. (3) Number of packages and gross weight. (4) Name of vessel or carrier. (5) Port of exit. (6) Port of destination. (7) Country of destination. (d) Confidentiality of information The information listed in subsection (c) of this section shall not be available for public disclosure if - (1) the Secretary of the Treasury makes an affirmative finding on a shipment-by-shipment basis that disclosure is likely to pose a threat of personal injury or property damage; or (2) the information is exempt under the provisions of section 552(b)(1) of title 5. (e) Procedures for access to documents to disclose available information and to protect from disclosure information not available to public The Secretary of the Treasury, in order to allow for the timely dissemination and publication of the information listed in subsection (c) of this section, is authorized to establish procedures to provide access to manifests, or attached bills of lading or equivalent commercial documents which shall include provisions for adequate protection against the public disclosure of information not available for public disclosure from such manifests or attached bills of lading, or equivalent commercial documents. -SOURCE- (R.S. Sec. 4199; Pub. L. 96-275, Sec. 2, June 17, 1980, 94 Stat. 539.) -REFTEXT- REFERENCES IN TEXT Chapter 2 of title 48 of the Revised Statutes, referred to in subsec. (a), was in the original 'this chapter', meaning chapter 2 of title 48 of the Revised Statutes, consisting of R.S. Sec. 4197 to 4218. For complete classification of R.S. Sec. 4197 to 4218 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4199 derived from act Mar. 2, 1799, ch. 22, Sec. 93, 1 Stat. 698. -MISC3- AMENDMENTS 1980 - Pub. L. 96-275 substituted provisions respecting disclosure and confidentially of cargo information appended to the manifest when delivered to the Customs Service for provisions specifically describing the form of the report and manifest to be delivered to the collector. EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96-275 effective forty-five days after June 17, 1980, see section 4(b) of Pub. L. 96-275, set out as a note under section 301 of Title 13, Census. CONGRESSIONAL ACCESS TO INFORMATION Amendment by Pub. L. 96-275 as not authorizing the withholding of information from Congress, see section 3 of Pub. L. 96-275, set out as a note under section 301 of Title 13, Census. ------DocID 53576 Document 477 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 94 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 94. Oath of master -STATUTE- The oath to be taken by the master or commander of the vessel shall be as follows: District of I (insert the name), master or commander of the (insert the denomination and name of the vessel), bound from the port of (insert the name of the port or place sailing from) to (insert the name of the port or place bound to), do solemnly, sincerely, and truly swear (or affirm, as the case may be) that the manifest of the cargo on board the said (insert denomination and name of the vessel), now delivered by me to the collector of this district, and subscribed with my name, contains, according to the best of my knowledge and belief, a full, just, and true account of all the goods, wares, and merchandise now actually laden on board the said vessel, and of the value thereof; and if any other goods, wares, or merchandise shall be laden or put on board the said (insert denomination and name of vessel) previous to her sailing from this port, I will immediately report the same to the said collector. I do also swear (or affirm) that I verily believe the duties on all the foreign merchandise therein specified have been paid or secured, according to law, and that no part thereof is intended to be relanded within the United States, and that if by distress or other unavoidable accident it shall become necessary to reland the same, I will forthwith make a just and true report thereof to the collector of the customs of the district wherein such distress or accident may happen. So help me God. -SOURCE- (R.S. Sec. 4198.) -COD- CODIFICATION R.S. Sec. 4198 derived from act Mar. 2, 1799, ch. 22, Sec. 93, 1 Stat. 698. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 18 section 965; title 50 App. section 13. ------DocID 53577 Document 478 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 96 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 96. Form of clearance -STATUTE- The form of a clearance, to be granted to a ship or vessel on her departure to a foreign port or place, shall be as follows: District of , ss, Port of : These are to certify all whom it doth concern, that , master or commander of the , burden tons, or thereabouts, mounted with guns, navigated with men built, and bound for , having on board , hath here entered and cleared his said vessel according to law. Given under our hands and seals, at the customhouse of , this day of , one thousand , and in the year of the Independence of the United States of America. -SOURCE- (R.S. Sec. 4201.) -COD- CODIFICATION R.S. Sec. 4201 derived from act Mar. 2, 1799, ch. 22, Sec. 93, 1 Stat. 699. ------DocID 53578 Document 479 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 97 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 97. State inspection laws -STATUTE- The collectors and other officers of the customs shall pay due regard to the inspection laws of the States in which they may respectively act, in such manner that no vessel having on board goods liable to inspection shall be cleared until the master, or other proper person, shall have produced such certificate that all such goods have been duly inspected, as the laws of the respective States may require to be produced to collectors or other officers of the customs. -SOURCE- (R.S. Sec. 4202.) -COD- CODIFICATION R.S. Sec. 4202 derived from act Mar. 2, 1799, ch. 22, Sec. 93, 1 Stat. 699. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. ------DocID 53579 Document 480 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 98 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 98. Conveyance of bullion, coin, notes, or bonds for United States -STATUTE- All vessels belonging to citizens of the United States, and bound from any port in the United States to any other port therein, or to any foreign port, or from any foreign port to any port in the United States, shall, before clearance, receive on board all such bullion, coin, United States notes and bonds and other securities, as the Government of the United States or any department thereof, or any minister, consul, vice consul, or other agent of the United States abroad, shall offer, and shall securely convey and promptly deliver the same to the proper authorities or consignees, on arriving at the port of destination; and shall receive for such service such reasonable compensation as may be allowed to other carriers in the ordinary transactions of business. -SOURCE- (R.S. Sec. 4204; Apr. 5, 1906, ch. 1366, Sec. 3, 34 Stat. 100.) -COD- CODIFICATION R.S. Sec. 4204 derived from act July 4, 1864, ch. 249, Sec. 10, 13 Stat. 392. Reference to 'or commercial' before 'or other agent' was omitted in view of the abolition of the grade of commercial agent by act Apr. 5, 1906. ------DocID 53580 Document 481 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 100 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 100. Payment of fees on vessels outward bound -STATUTE- Previous to a clearance being granted to any vessel, outward bound, the legal fees which shall have accrued on such vessel shall be paid at the offices where such fees are respectively payable; and receipts for the same shall be produced to the collector or other officer whose duty it may be to grant clearances, before a clearance is granted. -SOURCE- (R.S. Sec. 4206.) -COD- CODIFICATION R.S. Sec. 4206 derived from acts Mar. 3, 1797, ch. 9, Sec. 5, 1 Stat. 503; Mar. 2, 1799, ch. 22, Sec. 93, 1 Stat. 699. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Establishment and collection of fees for certain services to vessels, see section 2110 of Title 46, Shipping. ------DocID 53581 Document 482 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 101 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 101. Statement of consular services performed without fee filed -STATUTE- It shall be the duty of all masters of vessels for whom any official services shall be performed by any consular officer, without the payment of a fee, to require a written statement of such services from such consular officer, and, after certifying as to whether such statement is correct, to furnish it to the collector of the district in which such vessels shall first arrive on their return to the United States; and if any such master of a vessel shall fail to furnish such statement, he shall be liable to a fine of not exceeding $50, unless such master shall state under oath that no such statement was furnished him by said consular officer. And it shall be the duty of every collector to forward to the Secretary of the Treasury all such statements as shall have been furnished to him, and also a statement of all certified invoices which shall have come to his office, giving the dates of the certificates, and the names of the persons for whom and of the consular officer by whom the same were certified. -SOURCE- (R.S. Sec. 4213; June 26, 1884, ch. 121, Sec. 13, 23 Stat. 56.) -COD- CODIFICATION R.S. Sec. 4213 derived from act Aug. 18, 1856, ch. 127, Sec. 18, 11 Stat. 59. Act June 26, 1884, amended R.S. Sec. 4213 by substituting 'Secretary of the Treasury' for 'Comptroller General'. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Fees for services to American vessels or seamen prohibited, see section 4206 of Title 22, Foreign Relations and Intercourse. ------DocID 53582 Document 483 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 102 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 102. Steamboats on Lake Champlain -STATUTE- The master or person having charge or command of any steamboat on Lake Champlain, when going from the United States into the Province of Quebec, may deliver a manifest of the cargo on board, and take a clearance from the collector of the district through which any such boat shall last pass, when leaving the United States, without regard to the place from which any such boat shall have commenced her voyage, or where her cargo shall have been taken on board. -SOURCE- (R.S. Sec. 4208.) -COD- CODIFICATION R.S. Sec. 4208 derived from acts Mar. 3, 1817, ch. 109, Sec. 3, 3 Stat. 396; May 6, 1822, ch. 56, Sec. 4, 3 Stat. 681. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. ------DocID 53583 Document 484 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 104 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 104. Reciprocal exemption of foreign yachts from charges and tonnage taxes; licenses -STATUTE- Whenever it shall be made to appear to the satisfaction of the President of the United States that yachts used and employed exclusively as pleasure vessels and belonging to any resident of the United States are allowed to arrive at and depart from any foreign port and to cruise in the waters of such port without entering or clearing at the customhouse thereof and without the payment of any charges for entering or clearing, dues, duty per ton, tonnage taxes or charges for cruising licenses, the Commissioner of Customs may authorize and direct the customs authorities at the various ports of entry of the United States to allow yachts from such foreign port used and employed exclusively as pleasure vessels to arrive at and depart from any port of the United States and to cruise in waters of the United States without the payment of any charges for entering or clearing, dues, duty per ton, or tonnage taxes, but the Commissioner of Customs may, in his discretion, direct that such foreign yachts shall be required to obtain licenses to cruise, in a form prescribed by him, before they shall be allowed under the provisions of this section to cruise in waters of the United States. Such licenses shall be issued without cost to such yachts and shall prescribe such limitations as to length of time, direction, and place of cruising and action, and such other particulars as the Commissioner of Customs may deem proper. -SOURCE- (May 28, 1908, ch. 212, Sec. 5, 35 Stat. 425; Aug. 5, 1909, ch. 6, Sec. 37, 36 Stat. 112; Mar. 4, 1913, ch. 141, Sec. 1, 37 Stat. 736; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097; June 26, 1948, ch. 673, 62 Stat. 1051.) -COD- CODIFICATION This section was not amended or repealed by section 36 of the Payne-Aldrich Tariff Act of Aug. 5, 1909, ch. 6, 36 Stat. 111, relating to tonnage duties, but so much of it as related to yachts built outside the United States and owned by citizens of the United States was repealed by section 37 of that act, which was itself repealed by the Underwood Tariff Act of Oct. 13, 1913, ch. 16, Sec. IV, S, 38 Stat. 201. In text, the words 'and subports' and 'or subport' following 'various ports' and 'arrive at and depart from any port' respectively, were omitted. By subdivision II of the President's plan of reorganization of the Custom Service under the grant of authority contained in act Aug. 24, 1912, ch. 355, Sec. 1, 37 Stat. 434, subports of entry not therein designated ports of entry were abolished and the use of the term 'subport of entry' was discontinued. -MISC3- AMENDMENTS 1948 - Act June 26, 1948, removed the discrimination against yachts which do not belong to 'regularly organized yacht clubs'. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. Upon incorporation into the Code, 'Secretary of Commerce' substituted for 'Secretary of Commerce and Labor' to conform to act Mar. 4, 1913. DELEGATION OF FUNCTIONS For delegation to Secretary of the Treasury of authority vested in President by this section, see Ex. Ord. No. 10289, eff. Sept. 17, 1951, 16 F.R. 9499, set out as a note under section 301 of Title 3, The President. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. -CROSS- CROSS REFERENCES Provisions relating to tonnage duties, see section 121 et seq. of this Appendix. ------DocID 53584 Document 485 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 110 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 110. Entry of ferryboats -STATUTE- Vessels used exclusively as ferryboats carrying passengers, baggage, and merchandise, shall not be required to enter and clear, nor shall the masters of such vessels be required to present manifests, or to pay entrance or clearance fees, or fees for receiving or certifying manifests, but they shall, upon arrival in the United States, be required to report such baggage and merchandise to the proper officer of the customs according to law. -SOURCE- (R.S. Sec. 2792.) -COD- CODIFICATION R.S. Sec. 2792 derived from act June 4, 1872, ch. 280, 17 Stat. 214. The provisions contained in this section are also classified, in part, to section 289 of Title 19, Customs Duties. Act May 28, 1908, ch. 212, Sec. 1, 35 Stat. 424 added a provision to R.S. Sec. 2792 which is classified to sections 112 and 124 of this Appendix, and section 289 of Title 19. -CROSS- CROSS REFERENCES Provisions similar to those of this section so far as it relates to entries, and provisions requiring a report of baggage and merchandise to the collector within 24 hours after arrival, see section 1441 of Title 19, Customs Duties. ------DocID 53585 Document 486 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 111 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 111. Vessels in foreign and coasting trade on northern, northeastern, and northwestern frontiers -STATUTE- Enrolled or licensed vessels engaged in the foreign and coasting trade on the northern, northeastern, and northwestern frontiers of the United States, departing from or arriving at a port in one district to or from a port in another district, and also touching at intermediate foreign ports, shall not thereby become liable to the payment of entry and clearance fees, as if from or to foreign ports; but such vessel shall, notwithstanding, be required to enter and clear; except that when such vessels are on such voyages on the Great Lakes and touch at foreign ports for the purpose of taking on bunker fuel only, they may be exempted from entering and clearing under such rules and regulations as the Commissioner of Customs may prescribe, notwithstanding any other provisions of law: Provided, That this exception shall not apply to such vessels if, while at such foreign port, they land or take on board any passengers, or any merchandise other than bunker fuel, receive orders, discharge any seamen by mutual consent, or engage any seamen to replace those discharged by mutual consent, or transact any other business save that of taking on bunker fuel. -SOURCE- (R.S. Sec. 2793; Sept. 25, 1941, ch. 423, 55 Stat. 733; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -COD- CODIFICATION R.S. Sec. 2793 derived from J. Res. Feb. 10, 1871, No. 27, Sec. 2, 16 Stat. 595. Provisions of this section are also classified to section 288 of Title 19, Customs Duties. Provision of R.S. Sec. 2793 respecting tonnage duties is classified to section 123 of this Appendix. -MISC3- AMENDMENTS 1941 - Act Sept. 25, 1941, inserted exception and proviso at end of section. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. -CROSS- CROSS REFERENCES Vessels not required to make entry, see section 1441 of Title 19, Customs Duties. ------DocID 53586 Document 487 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 112 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 112. Passenger vessels trading between ports of United States and foreign ports -STATUTE- Any passenger vessel engaged triweekly or oftener in trade between ports of the United States and foreign ports shall be exempt from entrance and clearance fees while such service triweekly or oftener is maintained. -SOURCE- (R.S. Sec. 2792; May 28, 1908, ch. 212, Sec. 1, 35 Stat. 424.) -COD- CODIFICATION R.S. Sec. 2792 derived from act June 4, 1872, ch. 280, 17 Stat. 214. Provisions of R.S. Sec. 2792 as originally enacted are classified to section 110 of this Appendix and, in part, to section 289 of Title 19, Customs Duties. The provision of this section which was added to R.S. Sec. 2792 by act May 28, 1908, is also classified, in part, to section 124 of this Appendix and section 289 of Title 19. -CROSS- CROSS REFERENCES Vessels not required to make entry, see section 1441 of Title 19, Customs Duties. ------DocID 53587 Document 488 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 113 -EXPCITE- TITLE 46 APPENDIX CHAPTER 3 -HEAD- Sec. 113. Vessels making daily trips on interior waters -STATUTE- In cases of vessels making regular daily trips between any port of the United States and any port in the Dominion of Canada, wholly upon interior waters not navigable to the ocean, no clearance fees shall be charged against such vessel by the officers of the United States, except upon the first clearing of such vessel in each year. -SOURCE- (R.S. Sec. 4221.) -COD- CODIFICATION R.S. Sec. 4221 derived from act Mar. 3, 1869, ch. 125, Sec. 3, 15 Stat. 322. Provision of R.S. Sec. 4221 respecting tonnage duties is classified to section 125 of this Appendix. ------DocID 53588 Document 489 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 4 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- CHAPTER 4 - TONNAGE DUTIES -MISC1- Sec. 121. Amount of tonnage duties. 122. Coasting and fishing vessels. 123. Vessels in foreign and coasting trade on northern, northeastern, and northwestern frontiers. 124. Passenger vessels trading between ports of United States and foreign ports. 125. Vessels making daily trips on interior waters. 126. Vessels touching at Canadian ports. 127. Omitted. 128. Light money. 129. Exemption of unregistered vessels owned by citizens. 130. Omitted. 131. Rights of Cuban vessels. 132. Vessels not entering by sea. 133. Hospital ships in time of war. 134. Designation by President of hospital ships exempted. 135. Rights under treaties preserved. ------DocID 53589 Document 490 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 121 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 121. Amount of tonnage duties -STATUTE- Upon vessels which shall be entered in the United States from any foreign port or place there shall be paid duties as follows: On vessels built within the United States but belonging wholly or in part to subjects of foreign powers, at the rate of thirty cents per ton; on other vessels not of the United States, at the rate of fifty cents per ton, and any vessel any officer of which shall not be a citizen of the United States shall pay a tax of fifty cents per ton. A tonnage duty of 9 cents per ton, not to exceed in the aggregate 45 cents per ton in any one year, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, for each fiscal year thereafter is imposed at each entry on all vessels which shall be entered in any port of the United States from any foreign port or place in North America, Central America, the West India Islands, the Bahama Islands, the Bermuda Islands, or the coast of South America bordering on the Caribbean Sea, or Newfoundland, and on all vessels (except vessels of the United States, recreational vessels, and barges, as those terms are defined in section 2101 of title 46) that depart a United States port or place and return to the same port or place without being entered in the United States from another port or place, and a duty of 27 cents per ton, not to exceed $1.35 per ton per annum, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 6 cents per ton, not to exceed 30 cents per ton per annum, for each fiscal year thereafter is imposed at each entry on all vessels which shall be entered in any port of the United States from any other foreign port, not, however, to include vessels in distress or not engaged in trade. Upon every vessel not of the United States, which shall be entered in one district from another district, having on board goods, wares, or merchandise taken in one district to be delivered in another district, duties shall be paid at the rate of 50 cents per ton: Provided, That no such duty shall be required where a vessel owned by citizens of the United States, but not a vessel of the United States, after entering an American port, shall, before leaving the same, be registered as a vessel of the United States. On all foreign vessels which shall be entered in the United States from any foreign port or place, to and with which vessels of the United States are not ordinarily permitted to enter and trade, there shall be paid a duty at the rate of $2 per ton; and none of the duties on tonnage above mentioned shall be levied on the vessels of any foreign nation if the President of the United States shall be satisfied that the discriminating or countervailing duties of such foreign nations, so far as they operate to the disadvantage of the United States, have been abolished. Any rights or privileges acquired by any foreign nation under the laws and treaties of the United States relative to the duty of tonnage on vessels shall not be impaired; and any vessel any officer of which shall not be a citizen of the United States shall pay a tax of 50 cents per ton. -SOURCE- (R.S. Sec. 4219; Feb. 27, 1877, ch. 69, Sec. 1, 19 Stat. 250; June 26, 1884, ch. 121, Sec. 14, 23 Stat. 57; Apr. 4, 1888, ch. 61, Sec. 1, 25 Stat. 80; Aug. 5, 1909, ch. 6, Sec. 36, 36 Stat. 111; Mar. 4, 1915, ch. 171, Sec. 1, 38 Stat. 1193; Nov. 5, 1990, Pub. L. 101-508, title X, Sec. 10402(a), 104 Stat. 1388-398.) -COD- CODIFICATION R.S. Sec. 4219 derived from acts July 20, 1790, ch. 30, Sec. 1, 1 Stat. 135; Apr. 27, 1816, ch. 107, Sec. 6, 3 Stat. 314; Jan. 14, 1817, ch. 3, Sec. 1, 3 Stat. 344; Mar. 1, 1817, ch. 31, Sec. 6, 3 Stat. 352; Mar. 3, 1817, ch. 50, 3 Stat. 369; May 31, 1830, ch. 219, Sec. 1, 4 Stat. 425; July 14, 1862, ch. 163, Sec. 15, 12 Stat. 558; June 28, 1864, ch. 170, 13 Stat. 201; Mar. 3, 1865, ch. 80, Sec. 4, 13 Stat. 493. The first and third paragraphs of this section, with the exception of the proviso in the third paragraph, are from R.S. Sec. 4219. A portion of that section omitted here provided that, in addition to the tonnage duty thereby imposed there should be paid a tax, at the rate of thirty cents per ton, on vessels entered at any custom house from any foreign port or place. It was probably omitted as superseded and repealed by act June 26, 1884, as amended by acts June 19, 1886, ch. 421, Sec. 11, 24 Stat. 81; Apr. 4, 1888, and Aug. 5, 1909. Another portion of the original text, concerning the impairment of rights and privileges of foreign nations under laws and treaties was probably omitted as sufficiently covered by the similar provision near the end of the section. The second paragraph of this section is from act Aug. 5, 1909, Sec. 36. Portions of that paragraph omitted here, fixed the time of its taking effect, repealed R.S. Sec. 4232, act June 19, 1886, ch. 421, Sec. 11 and 12, 24 Stat. 81, and so much of R.S. Sec. 4219 as conflicted therewith, and provided that it should not be construed to amend or repeal R.S. Sec. 2792, as amended, act May 28, 1908, ch. 212, Sec. 5, 35 Stat. 425, or R.S. Sec. 2793. That paragraph was expressly excepted from repeal by Underwood Tariff Act Oct. 13, 1913, ch. 16, Sec. IV, S, 38 Stat. 201. The proviso in the third paragraph of this section is based on act Mar. 4, 1915. Other provisions of that act are classified to section 128 of this Appendix, and sections 128 and 131 of Title 19, Customs Duties. So much of act June 19, 1886, ch. 421, Sec. 11, 24 Stat. 81, as exempted any yacht built outside the United States, and owned, chartered or used by a citizen of the United States, from the payment of tonnage taxes, was repealed by act Feb. 5, 1897, ch. 167, Sec. 2, 29 Stat. 511. Act June 19, 1886, having been repealed as above stated section 2 of act Feb. 5, 1897, ch. 167, is no longer operative. Section 12 of act June 19, 1886, which was repealed by the Payne-Aldrich Tariff Act of Aug. 5, 1909, Sec. 36, directed the President to cause the Governments of foreign countries, which, at any of their ports, imposed on American vessels a tonnage tax or light house dues, etc., to be informed of the provisions of section 11, and invited to co-operate with the Government of the United States in abolishing light house dues, etc. R.S. Sec. 4223, provided that the tonnage duty imposed on all vessels engaged in foreign commerce should be levied but once within a year, and that when paid no further tonnage tax should be collected within one year from the date of such payment, not being applicable, however, to foreign vessels entered in the United States from any foreign port, to and with which vessels of the United States were not ordinarily permitted to enter and trade. R.S. Sec. 4224, provided that vessels paying tonnage duties once a year should pay them at their first clearance from or entry at, according to priority, a custom house in the United States in each calendar year, but that it should not prevent customs officers from collecting such tonnage duty at the entry of vessels at their respective custom houses during the calendar year if the same had not previously been paid for such year. Both these sections were repealed by act June 26, 1884, as amended by act June 19, 1886, ch. 421, Sec. 11, 24 Stat. 81. Act June 19, 1878, ch. 318, 20 Stat. 171, amended R.S. Sec. 2931, by providing that it should not apply to cases of the payment of tonnage tax on vessels where the Secretary of the Treasury and the Attorney General were satisfied that the exaction of the tax was in contravention of treaty provisions. R.S. Sec. 2931, which provided for an appeal to the Secretary of the Treasury from the decision of the collector of customs as to the rate and amount of tonnage duties, etc., was repealed by act June 10, 1890, ch. 407, Sec. 29, 26 Stat. 141. Act June 19, 1878, further provided that the Secretary of the Treasury might draw his warrant for the refund of taxes so illegally exacted, as provided for by R.S. Sec. 3012 1/2. R.S. Sec. 3012 1/2, was also repealed by act June 10, 1890, Sec. 29. By the repeal of R.S. Sec. 2931, 3012 1/2, act June 19, 1878, ch. 318, became inoperative. Act Feb. 10, 1900, ch. 15, Sec. 2, 31 Stat. 27, authorized the Secretary of the Treasury to refund tonnage taxes and light dues imposed on vessels owned by citizens of Cuba entering ports of the United States since Apr. 11, 1899, which had been in excess of the taxes prescribed by act June 19, 1886, ch. 421, Sec. 11, 24 Stat. 81. It was doubtless omitted from the code as executed. R.S. Sec. 4232, repealed by the same section, provided that mail steamships employed in the mail-service between the United States and Brazil, should be exempt from all port charges and customs dues at the port of departure and arrival in the United States, if and so long as a similar immunity from port charges and custom-house charges was granted by the government of Brazil. Section 37 of act Aug. 5, 1909, which provided for a tonnage tax on foreign built yachts, pleasure boats or vessels, not used or intended to be used for trade, owned, or chartered for more than six months by citizens of the United States, or, in lieu thereof, an ad valorem duty, and entitled such yachts, etc., upon payment thereof to all the privileges, subjected them to all the requirements prescribed by R.S. Sec. 4214, 4215, 4217, 4218, and acts amendatory thereof, in the same manner as if they had been built in the United States, subjected such yachts, etc., to tonnage duty and light money only in the same manner as if they had been built in the United States, repealed so much of act May 28, 1908, ch. 212, Sec. 5, 35 Stat. 425, as related to yachts built outside the United States and owned by citizens of the United States, and provided that the section should not apply to foreign built vessels admitted to American registry, was repealed by the Underwood Tariff Act of Oct. 13, 1913, ch. 16, Sec. IV, S, 38 Stat. 201. Act June 5, 1920, ch. 250, Sec. 34, 41 Stat. 1007, directed the President to give notice to terminate provisions of treaties or conventions restricting the right of the United States to impose discriminating customs duties and tonnage dues. It was doubtless omitted as temporary and executed. -MISC3- AMENDMENTS 1990 - Second par. Pub. L. 101-508 substituted '9 cents per ton, not to exceed in the aggregate 45 cents per ton in any one year, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, for each fiscal year thereafter' for 'two cents per ton, not to exceed in the aggregate ten cents per ton in any one year,', inserted 'and on all vessels (except vessels of the United States, recreational vessels, and barges, as those terms are defined in section 2101 of title 46) that depart a United States port or place and return to the same port or place without being entered in the United States from another port or place,' after 'Newfoundland,', and substituted '27 cents per ton, not to exceed $1.35 per ton per annum, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 6 cents per ton, not to exceed 30 cents per ton per annum, for each fiscal year thereafter' for 'six cents per ton, not to exceed thirty cents per ton per annum,'. The amendments were executed to the second paragraph of this section which is the first paragraph of section 36 of the Act of Aug. 5, 1909, notwithstanding directory language that the amendments be made to the second paragraph of section 36 of the Act of Aug. 5, 1909, to reflect the probable intent of Congress. OFFSETTING RECEIPTS Section 10402(c) of Pub. L. 101-508 provided that: 'Increased tonnage charges collected as a result of the amendments made by subsection (a) (amending this section) shall be deposited in the general fund of the Treasury as offsetting receipts of the department in which the Coast Guard is operating and ascribed to Coast Guard activities.' NONLIABILITY OF CUSTOMS COLLECTORS AND VESSELS BEFORE OCTOBER 1, 1940 Act May 16, 1947, ch. 71, 61 Stat. 97, made collectors of customs and vessels themselves not liable for failure to collect special tonnage duties or light money under this section or section 128 of this Appendix in connection with the entry prior to Oct. 1, 1940, of any foreign vessel from a foreign port. -CROSS- CROSS REFERENCES Cuban vessels, rights of, see section 131 of this Appendix. Hospital ships in time of war, see section 133 of this Appendix. Suspension of operation of section by President, see section 141 of this Appendix. Vessels evading provisions relating to transportation between ports in the United States by foreign vessels, tonnage duties on, see section 1588 of Title 19, Customs Duties. Vessels not entering by sea to be exempt from tonnage duty of 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, see section 132 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 132, 141 of this Appendix. ------DocID 53590 Document 491 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 122 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 122. Coasting and fishing vessels -STATUTE- No vessel belonging to any citizen of the United States, trading from one port within the United States to another port within the United States, or employed in the bank, whale, or other fisheries, shall be subject to tonnage tax or duty, if such vessel be licensed, registered, or enrolled. -SOURCE- (R.S. Sec. 4220.) -COD- CODIFICATION R.S. Sec. 4220 derived from acts July 14, 1870, ch. 255, Sec. 25, 16 Stat. 269; Apr. 18, 1874, ch. 110, 18 Stat. 31. -CROSS- CROSS REFERENCES Documentation of vessels, see section 12101 et seq. of Title 46, Shipping. Regulation of vessels in domestic commerce, see section 251 et seq. of this Appendix. ------DocID 53591 Document 492 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 123 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 123. Vessels in foreign and coasting trade on northern, northeastern, and northwestern frontiers -STATUTE- Enrolled or licensed vessels engaged in the foreign and coasting trade on the northern, northeastern, and northwestern frontiers of the United States, departing from or arriving at a port in one district to or from a port in another district, and also touching at intermediate foreign ports, shall not thereby become liable to the payment of tonnage tax, as if from or to foreign ports; but such vessel shall, notwithstanding, be required to enter and clear; except that when such vessels are on such voyages on the Great Lakes and touch at foreign ports for the purpose of taking on bunker fuel only, they may be exempted from entering and clearing under such rules and regulations as the Commissioner of Customs may prescribe, notwithstanding any other provisions of law: Provided, That this exception shall not apply to such vessels if, while at such foreign port, they land or take on board any passengers, or any merchandise other than bunker fuel, receive orders, discharge any seamen by mutual consent, or engage any seamen to replace those discharged by mutual consent, or transact any other business save that of taking on bunker fuel. -SOURCE- (R.S. Sec. 2793; Sept. 25, 1941, ch. 423, 55 Stat. 733; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -COD- CODIFICATION R.S. Sec. 2793 derived from J. Res. Feb. 10, 1871, No. 27, Sec. 2, 16 Stat. 595. Provision of R.S. Sec. 2793 respecting payment of entry and clearance fee is classified to section 111 of this Appendix, and section 288 of Title 19, Customs Duties. -MISC3- AMENDMENTS 1941 - Act Sept. 25, 1941, inserted exception and proviso at end of section. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. -CROSS- CROSS REFERENCES Vessels not required to make entry, see section 1441 of Title 19, Customs Duties. ------DocID 53592 Document 493 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 124 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 124. Passenger vessels trading between ports of United States and foreign ports -STATUTE- Any passenger vessel engaged triweekly or oftener in trade between ports of the United States and foreign ports shall be exempt from tonnage taxes while such service triweekly or oftener is maintained. -SOURCE- (R.S. Sec. 2792; May 28, 1908, ch. 212, Sec. 1, 35 Stat. 424.) -COD- CODIFICATION R.S. Sec. 2792 derived from act June 4, 1872, ch. 280, 17 Stat. 214. Provisions of R.S. Sec. 2792 as originally enacted are classified to section 110 of this Appendix and, in part, to section 289 of Title 19, Customs Duties. The provision of this section which was added to R.S. Sec. 2792 by act May 28, 1908, is also classified, in part, to section 112 of this Appendix and section 289 of Title 19. ------DocID 53593 Document 494 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 125 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 125. Vessels making daily trips on interior waters -STATUTE- In cases of vessels making regular daily trips between any port of the United States and any port in the Dominion of Canada, wholly upon interior waters not navigable to the ocean, no tonnage fees shall be charged against such vessel by the officers of the United States, except upon the first clearing of such vessel in each year. -SOURCE- (R.S. Sec. 4221.) -COD- CODIFICATION R.S. Sec. 4221 derived from act Mar. 3, 1869, ch. 125, Sec. 3, 15 Stat. 322. Provision of R.S. Sec. 4221 respecting clearance fees is classified to section 113 of this Appendix. ------DocID 53594 Document 495 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 126 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 126. Vessels touching at Canadian ports -STATUTE- No consul or consular agent of the United States shall exact tonnage fees from any vessel of the United States, touching at or near ports in Canada, on her regular voyage from one port to another within the United States, unless such consul or consular agent shall perform some official services, required by law for such vessel when she shall thus touch at a Canadian port. -SOURCE- (R.S. Sec. 4222.) -COD- CODIFICATION R.S. Sec. 4222 derived from J. Res. July 20, 1868, No. 64, 15 Stat. 260. -CROSS- CROSS REFERENCES Consular fees for services to American vessels or seamen prohibited, see section 4206 of Title 22, Foreign Relations and Intercourse. Powers, duties, and liabilities of consular officers generally, see section 4191 et seq. of Title 22. ------DocID 53595 Document 496 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 127 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 127. Omitted -COD- CODIFICATION Section, act Apr. 29, 1908, ch. 152, Sec. 2, 35 Stat. 70, which provided for levy and collection of tonnage taxes upon all foreign vessels coming into the United States from the Philippine Islands, was omitted in view of the independence of the Philippine Islands. See Proc. No. 2695, eff. July 4, 1946, 11 F.R. 7517, 60 Stat. 1352, set out in note under section 1394 of Title 22, Foreign Relations and Intercourse. ------DocID 53596 Document 497 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 128 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 128. Light money -STATUTE- A duty of 50 cents per ton, to be denominated 'light money', shall be levied and collected on all vessels not of the United States which may enter the ports of the United States. Such light money shall be levied and collected in the same manner and under the same regulations as the tonnage duties: Provided, That no such duty shall be required where a vessel owned by citizens of the United States, but not a vessel of the United States, after entering an American port, shall, before leaving the same, be registered as a vessel of the United States. -SOURCE- (R.S. Sec. 4225; Mar. 4, 1915, ch. 171, Sec. 1, 38 Stat. 1193.) -COD- CODIFICATION R.S. Sec. 4225 derived from act Mar. 27, 1804, ch. 57, Sec. 6, 2 Stat. 300. The proviso of this section is from act Mar. 4, 1915. Other provisions of the act are classified to section 121 of this Appendix and sections 128 and 131 of Title 19, Customs Duties. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 129 of this Appendix. ------DocID 53597 Document 498 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 129 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 129. Exemption of unregistered vessels owned by citizens -STATUTE- Section 128 of this Appendix shall not be deemed to operate upon unregistered vessels, owned by citizens of the United States, and carrying regular documents, issued from a customhouse of the United States, proving the vessel to be American property. Upon the entry of every such vessel from any foreign port, if the same shall be at the port at which the owner or any of the part owners reside, such owner or part owners shall make oath that the document possessed by such vessel contains the name or names of all the persons who are then the owners of the vessel; or if any part of such vessel has been sold or transferred since the date of such document, that such is the case, and that no foreign subject or citizen has, to the best of his knowledge and belief, any share, by way of trust, confidence, or otherwise, in such vessel. If the owner or any part owner does not reside at the port or place at which such vessel shall enter, then the master shall make oath to the like effect. If the owner or part owner, where there is one, or the master, where there is no owner, shall refuse to so swear, such vessel shall not be entitled to the privileges granted by this section. -SOURCE- (R.S. Sec. 4226.) -COD- CODIFICATION R.S. Sec. 4226 derived from act Mar. 3, 1805, ch. 40, 2 Stat. 339. As originally enacted, this section contained a reference to vessels carrying sea letters. The use of such documents was discontinued by Presidential proclamation on Apr. 10, 1815. ------DocID 53598 Document 499 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 130 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 130. Omitted -COD- CODIFICATION Section, act July 1, 1916, ch. 209, Sec. 1, 39 Stat. 286, which related to exemption from tonnage taxes and light dues of vessels owned by citizens of the Philippine Islands, was omitted in view of the independence of the Philippine Islands, effective July 4, 1946. See Proc. No. 2695, eff. July 4, 1946, 11 F.R. 7517, 60 Stat. 1352, set out in note under section 1394 of Title 22, Foreign Relations and Intercourse. ------DocID 53599 Document 500 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 131 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 131. Rights of Cuban vessels -STATUTE- Vessels owned by citizens of Cuba and documented as such shall be entitled in ports of the United States to the rights and privileges of vessels of the most favored nation, and they and their cargoes shall be subject to no higher charges in ports of the United States than are imposed on the vessels and cargoes of the most favored nation in the same trade. -SOURCE- (Feb. 10, 1900, ch. 15, Sec. 1, 31 Stat. 27.) -COD- CODIFICATION Section 2 of act Feb. 10, 1900, authorized a refund of taxes and dues previously imposed in excess of those prescribed by act June 19, 1886, ch. 421, Sec. 11, 24 Stat. 81. See note set out under section 121 of this Appendix. -MISC3- RESTRICTION ON ASSISTANCE TO CUBA For restriction on the furnishing of assistance to Cuba, with certain exceptions, see section 2370 of Title 22, Foreign Relations and Intercourse. ------DocID 53600 Document 501 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 132 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 132. Vessels not entering by sea -STATUTE- Vessels entering otherwise than by sea from a foreign port at which tonnage or lighthouse dues or other equivalent tax or taxes are not imposed on vessels of the United States shall be exempt from the tonnage duty of 9 cents per ton, not to exceed in the aggregate 45 cents per ton in any one year, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, for each fiscal year thereafter, prescribed by section 121 of this Appendix. -SOURCE- (Mar. 8, 1910, ch. 86, 36 Stat. 234; Nov. 5, 1990, Pub. L. 101-508, title X, Sec. 10402(b), 104 Stat. 1388-399.) -MISC1- AMENDMENTS 1990 - Pub. L. 101-508 substituted '9 cents per ton, not to exceed in the aggregate 45 cents per ton in any one year, for fiscal years 1991, 1992, 1993, 1994, and 1995, and 2 cents per ton, not to exceed in the aggregate 10 cents per ton in any one year, for each fiscal year thereafter' for 'two cents per ton, not to exceed in the aggregate ten cents per ton in any one year'. ------DocID 53601 Document 502 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 133 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 133. Hospital ships in time of war -STATUTE- Hospital ships, concerning which the conditions set forth in articles 1, 2, and 3 of the convention concluded at The Hague on July 29, 1899, for the adaptation to maritime warfare of the principles of the Geneva convention of August 22, 1864, are fulfilled, shall, in the ports of the United States and the possessions thereof, be exempted, in time of war, from all dues and taxes imposed on vessels by the laws of the United States, and from all pilotage charges. -SOURCE- (Mar. 24, 1908, ch. 96, Sec. 1, 35 Stat. 46.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 134 of this Appendix. ------DocID 53602 Document 503 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 134 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 134. Designation by President of hospital ships exempted -STATUTE- The President of the United States shall by proclamation name the hospital ships to which section 133 of this Appendix shall apply, and shall indicate the time when the exemptions provided for shall begin and end. -SOURCE- (Mar. 24, 1908, ch. 96, Sec. 2, 35 Stat. 46.) -TRANS- DELEGATION OF FUNCTIONS For delegation to Secretary of the Treasury of authority vested in President by this section, see section 1(e) of Ex. Ord. No. 10289, eff. Sept. 17, 1951, 16 F.R. 9499, set out as a note under section 301 of Title 3, The President. ------DocID 53603 Document 504 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 135 -EXPCITE- TITLE 46 APPENDIX CHAPTER 4 -HEAD- Sec. 135. Rights under treaties preserved -STATUTE- Nothing contained in title 48 of the Revised Statutes shall be deemed in anywise to impair any rights and privileges which have been or may be acquired by any foreign nation under the laws and treaties of the United States relative to the duty on tonnage of vessels, or any other duty on vessels. -SOURCE- (R.S. Sec. 4227.) -REFTEXT- REFERENCES IN TEXT Title 48 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 48 of the Revised Statutes, consisting of R.S. Sec. 4131 to 4305. For complete classification of R.S. Sec. 4131 to 4305 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4227 derived from acts Apr. 27, 1816, ch. 107, Sec. 6, 3 Stat. 314; Jan. 14, 1817, ch. 3, Sec. 1, 3 Stat. 344; July 14, 1862, ch. 163, Sec. 15, 12 Stat. 558. ------DocID 53604 Document 505 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 5 -EXPCITE- TITLE 46 APPENDIX CHAPTER 5 -HEAD- CHAPTER 5 - DISCRIMINATING DUTIES AND RECIPROCAL PRIVILEGES -MISC1- Sec. 141. Suspension by President. 142. Retaliatory suspension of commercial privileges to foreign vessels. 143. Retaliation on denial of rights to United States vessels in British North America. 144. Suspension of free passage through Saint Marys Falls Canal; tolls. 145. Collection of tolls. 146. Discriminating duty on merchandise imported in foreign vessels; exception. ------DocID 53605 Document 506 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 141 -EXPCITE- TITLE 46 APPENDIX CHAPTER 5 -HEAD- Sec. 141. Suspension by President -STATUTE- Upon satisfactory proof being given to the President, by the government of any foreign nation, that no discriminating duties of tonnage or imposts are imposed or levied in the ports of such nation upon vessels wholly belonging to citizens of the United States, or upon the produce, manufactures, or merchandise imported in the same from the United States or from any foreign country, the President may issue his proclamation, declaring that the foreign discriminating duties of tonnage and impost within the United States are suspended and discontinued, so far as respects the vessels of such foreign nation, and the produce, manufactures, or merchandise imported into the United States from such foreign nation, or from any other foreign country; the suspension to take effect from the time of such notification being given to the President, and to continue so long as the reciprocal exemption of vessels, belonging to citizens of the United States, and their cargoes, shall be continued, and no longer: Provided, That the President is authorized to suspend in part the operation of section 121 of this Appendix and section 2502 of the Revised Statutes so that foreign vessels from a country imposing partial discriminating tonnage duties upon American vessels, or partial discriminating import duties upon American merchandise, may enjoy in our ports the identical privileges which the same class of American vessels and merchandise may enjoy in said foreign country. -SOURCE- (R.S. Sec. 4228; July 24, 1897, ch. 13, 30 Stat. 214.) -REFTEXT- REFERENCES IN TEXT Section 2502 of the Revised Statutes, referred to in text, which imposed a discriminating duty upon merchandise imported in foreign vessels, was not classified to the Code and was repealed by act Mar. 3, 1933, ch. 202, Sec. 1, 47 Stat. 1430. See section 146 of this Appendix. -COD- CODIFICATION R.S. Sec. 4228 derived from acts May 24, 1828, ch. 111, Sec. 1, 4 Stat. 308; May 31, 1830, ch. 219, Sec. 2, 4 Stat. 425; July 13, 1832, ch. 207, Sec. 3, 4 Stat. 579. Act July 24, 1897, added the proviso of this section. -TRANS- DELEGATION OF FUNCTIONS For delegation to Secretary of the Treasury of authority vested in President by this section, see section 1(f) of Ex. Ord. No. 10289, eff. Sept. 17, 1951, 16 F.R. 9499, set out as a note under section 301 of Title 3, The President. -MISC5- NATIONS WHOSE VESSELS ARE EXEMPTED Nations whose vessels are exempted by treaties or Presidential proclamations from the payment of any higher tonnage duties than are applicable to vessels of the United States, and are exempted from the payment of light money, see 19 C.F.R. Sec. 4.22. -EXEC- PROC. NO. 2992. KOREA Proc. No. 2992, Oct. 13, 1952, 17 F.R. 9150, 67 Stat. c15, provided: NOW, THEREFORE, I, HARRY S. TRUMAN, President of the United States of America, by virtue of the authority vested in me by the above-quoted statutory provisions (this section) do hereby declare and proclaim that the foreign discriminating duties of tonnage and imposts within the United States are suspended and discontinued so far as respects the vessels of Korea and the produce, manufactures, or merchandise imported in said vessels into the United States from Korea or from any other foreign country; the suspension to take effect from October 1, 1952, and to continue so long as the reciprocal exemption of vessels belonging to citizens of the United States and their cargoes shall be continued, and no longer. -CROSS- CROSS REFERENCES Discriminating duty on goods imported in foreign vessels, exception, see section 128 of Title 19, Customs Duties. ------DocID 53606 Document 507 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 142 -EXPCITE- TITLE 46 APPENDIX CHAPTER 5 -HEAD- Sec. 142. Retaliatory suspension of commercial privileges to foreign vessels -STATUTE- Whenever any foreign country whose vessels have been placed on the same footing in the ports of the United States as American vessels (the coastwise trade excepted) shall deny to any vessels of the United States any of the commercial privileges accorded to national vessels in the harbors, ports, or waters of such foreign country, the President, on receiving satisfactory information of the continuance of such discriminations against any vessels of the United States, is authorized to issue his proclamation excluding, on and after such time as he may indicate, from the exercise of such commercial privileges in the ports of the United States as are denied to American vessels in the ports of such foreign country, all vessels of such foreign country of a similar character to the vessels of the United States thus discriminated against, and suspending such concessions previously granted to the vessels of such country; and on and after the date named in such proclamation for it to take effect, if the master, officer, or agent of any vessel of such foreign country excluded by said proclamation from the exercise of any commercial privileges shall do any act prohibited by said proclamation in the ports, harbors, or waters of the United States for or on account of such vessel, such vessel, and its rigging, tackle, furniture, and boats, and all the goods on board, shall be liable to seizure and to forfeiture to the United States; and any person opposing any officer of the United States in the enforcement of this section, or aiding and abetting any other person in such opposition, shall forfeit $800, and shall be guilty of a misdemeanor, and, upon conviction, shall be liable to imprisonment for a term not exceeding two years. -SOURCE- (June 19, 1886, ch. 421, Sec. 17, 24 Stat. 82.) -CROSS- CROSS REFERENCES Principals, see section 2 of Title 18, Crimes and Criminal Procedure. ------DocID 53607 Document 508 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 143 -EXPCITE- TITLE 46 APPENDIX CHAPTER 5 -HEAD- Sec. 143. Retaliation on denial of rights to United States vessels in British North America -STATUTE- Whenever the President of the United States shall be satisfied that American fishing vessels or American fishermen, visiting or being in the waters or at any ports or places of the British dominions of North America, are or then lately have been denied or abridged in the enjoyment of any rights secured to them by treaty or law, or are or then lately have been unjustly vexed or harassed in the enjoyment of such rights, or subjected to unreasonable restrictions, regulations, or requirements in respect of such rights; or otherwise unjustly vexed or harassed in said waters, ports, or places; or whenever the President of the United States shall be satisfied that any such fishing vessels or fishermen, having a permit under the laws of the United States to touch and trade at any port or ports, place or places, in the British dominions of North America, are or then lately have been denied the privilege of entering such port or ports, place or places in the same manner and under the same regulations as may exist therein applicable to trading vessels of the most favored nation, or shall be unjustly vexed or harassed, in respect thereof, or otherwise be unjustly vexed or harassed therein, or shall be prevented from purchasing such supplies as may there be lawfully sold to trading vessels of the most favored nation; or whenever the President of the United States shall be satisfied that any other vessels of the United States, their masters, or crews, so arriving at or being in such British waters or ports or places of the British dominions of North America, are or then lately have been denied any of the privileges therein accorded to the vessels, their masters, or crews, of the most favored nation, or unjustly vexed or harassed in respect of the same, or unjustly vexed or harassed therein by the authorities thereof, then, and in either or all of such cases, it shall be lawful, and it shall be the duty of the President of the United States, in his discretion, by proclamation to that effect, to deny vessels, their masters and crews, of the British dominions of North America, any entrance into the waters, ports, or places of or within the United States (with such exceptions in regard to vessels in distress, stress of weather, or needing supplies as to the President shall seem proper), whether such vessel shall have come directly from said dominions on such destined voyage or by way of some port or place in such destined voyage elsewhere; and also to deny entry into any port or place of the United States of fresh fish or salt fish or any other product of said dominions, or other goods coming from said dominions to the United States. The President may, in his discretion, apply such proclamation to any part or to all of the foregoing named subjects, and may revoke, qualify, limit, and renew such proclamation from time to time as he may deem necessary to the full and just execution of the purposes of this section. Every violation of any such proclamation, or any part thereof, is declared illegal, and all vessels and goods so coming or being within the waters, ports, or places of the United States contrary to such proclamation shall be forfeited to the United States; and such forfeiture shall be enforced and proceeded upon in the same manner and with the same effect as in the case of vessels or goods whose importation or coming to or being in the waters or ports of the United States contrary to law may be enforced and proceeded upon. Every person who shall violate any of the provisions of this section, or such proclamation of the President made in pursuance hereof, shall be deemed guilty of a misdemeanor, and, on conviction thereof, shall be punished by a fine not exceeding $1,000, or by imprisonment for a term not exceeding two years, or by both said punishments, in the discretion of the court. -SOURCE- (Mar. 3, 1887, ch. 339, 24 Stat. 475.) ------DocID 53608 Document 509 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 144 -EXPCITE- TITLE 46 APPENDIX CHAPTER 5 -HEAD- Sec. 144. Suspension of free passage through Saint Marys Falls Canal; tolls -STATUTE- With a view of securing reciprocal advantages for the citizens, ports, and vessels of the United States, whenever and so often as the President shall be satisfied that the passage through any canal or lock connected with the navigation of the Saint Lawrence River, the Great Lakes, or the water ways connecting the same, of any vessels of the United States, or of cargoes or passengers in transit to any port of the United States, is prohibited or is made difficult or burdensome by the imposition of tolls or otherwise which, in view of the free passage through the Saint Marys Falls Canal, permitted to vessels of all nations, he shall deem to be reciprocally unjust and unreasonable, he shall have the power, and it shall be his duty, to suspend by proclamation to that effect, for such time and to such extent (including absolute prohibition) as he shall deem just, the right of free passage through the Saint Marys Falls Canal, so far as it relates to vessels owned by the subjects of the Government so discriminating against the citizens, ports, or vessels of the United States, or to any cargoes, portions of cargoes, or passengers in transit to the ports of the Government making such discrimination, whether carried in vessels of the United States or of other nations. In such case and during such suspension tolls shall be levied, collected, and paid as follows, to wit: Upon freight of whatever kind or description, not to exceed $2 per ton; upon passengers, not to exceed $5 each, as shall be from time to time determined by the President: Provided, That no tolls shall be charged or collected upon freight or passengers carried to and landed at Ogdensburg, or any port west of Ogdensburg, and south of a line drawn from the northern boundary of the State of New York through the Saint Lawrence River, the Great Lakes, and their connecting channels to the northern boundary of the State of Minnesota. -SOURCE- (July 26, 1892, ch. 248, Sec. 1, 27 Stat. 267.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 145 of this Appendix. ------DocID 53609 Document 510 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 145 -EXPCITE- TITLE 46 APPENDIX CHAPTER 5 -HEAD- Sec. 145. Collection of tolls -STATUTE- All tolls charged under the provisions of section 144 of this Appendix shall be collected under such regulations as shall be prescribed by the Commissioner of Customs, who may require the master of each vessel to furnish a sworn statement of the amount and kind of cargo and the number of passengers carried and the destination of the same, and such proof of the actual delivery of such cargo or passengers at some port or place within the limits above named as he shall deem satisfactory; and until such proof is furnished such freight and passengers may be considered to have been landed at some port or place outside of those limits, and the amount of tolls which would have accrued if they had been so delivered shall constitute a lien which may be enforced against the vessel in default wherever and whenever found in the waters of the United States. -SOURCE- (July 26, 1892, ch. 248, Sec. 2, 27 Stat. 268; Feb. 14, 1903, ch. 552, Sec. 10, 32 Stat. 829; Mar. 4, 1913, ch. 141, Sec. 1, 37 Stat. 736; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. Upon incorporation into the Code, 'Secretary of Commerce' substituted for 'Secretary of the Treasury' to conform to act Feb. 14, 1903, which transferred certain powers and duties of Secretary of the Treasury relating to merchant vessels and yachts to Secretary of Commerce and Labor and act Mar. 4, 1913, which changed designation of Secretary of Commerce and Labor to Secretary of Commerce. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. ------DocID 53610 Document 511 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 146 -EXPCITE- TITLE 46 APPENDIX CHAPTER 5 -HEAD- Sec. 146. Discriminating duty on merchandise imported in foreign vessels; exception -STATUTE- A discriminating duty of 10 per centum ad valorem, in addition to the duties imposed by law, shall be levied, collected, and paid on all goods, wares, or merchandise which shall be imported in vessels not of the United States; but this discriminating duty shall not apply to goods, wares, or merchandise which shall be imported in vessels not of the United States entitled at the time of such importation by treaty or any act of Congress to be entered in the ports of the United States on payment of the same duties as shall then be payable on goods, wares, and merchandise imported in vessels of the United States, nor to goods, wares, and merchandise imported in a vessel owned by citizens of the United States, but not a vessel of the United States, if such vessel, after entering an American port, shall before leaving the same be registered as a vessel of the United States. -SOURCE- (Oct. 3, 1913, ch. 16, Sec. IV, J, subsec. 1, 38 Stat. 195; Mar. 4, 1915, ch. 171, Sec. 1, 38 Stat. 1193; June 17, 1930, ch. 497, title IV, Sec. 651(d)(1), 46 Stat. 763.) -COD- CODIFICATION The provisions incorporated in this section, with portions of the original text omitted here, are classified to section 128 of Title 19, Customs Duties. Section is from subsec. 1 of the Underwood Tariff Act of Oct. 3, 1913, Sec. IV, par. J. It was expressly saved from repeal by section 321 of the Tariff Act of 1922 (section 573 of Title 19), but was repealed in part by act Mar. 4, 1915. Subsec. 1 of act Oct. 3, 1913, Sec. IV, par. J, provided also for a discriminating duty on goods, wares and merchandise produced or manufactured in a foreign country not contiguous to the United States but coming into the United States from such contiguous country. That provision is classified to section 128 of Title 19. R.S. Sec. 2502 imposed a discriminating duty upon merchandise imported in foreign vessels. It was superseded by subsequent similar provisions in successive tariff acts, the latest of which is classified to this section. Act June 5, 1920, ch. 250, Sec. 34, 41 Stat. 1007, declaring it to be the judgment of Congress that provisions of treaties restricting the right of the United States to impose discriminating customs duties on imports entering the United States in foreign vessels and vessels of the United States, and discriminatory tonnage dues on foreign vessels, and on vessels of the United States, should be terminated, and directing the President to give notice to terminate them, was omitted. -MISC3- AMENDMENT OR REPEAL; EXCEPTION Section is expressly excepted from repeal or amendment by the Tariff Act of 1930 (act June 17, 1930, ch. 497, title IV, 46 Stat. 763) by section 651(d) of that act which is classified to section 1651(d) of Title 19, Customs Duties. -CROSS- CROSS REFERENCES Authority to suspend operation of section, see section 141 of this Appendix. ------DocID 53611 Document 512 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 6 -EXPCITE- TITLE 46 APPENDIX CHAPTER 6 -HEAD- CHAPTER 6 - REGULATION AS TO VESSELS CARRYING STEERAGE PASSENGERS -MISC1- Sec. 163. Regulations as to boarding arriving vessels before inspection. ------DocID 53612 Document 513 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 163 -EXPCITE- TITLE 46 APPENDIX CHAPTER 6 -HEAD- Sec. 163. Regulations as to boarding arriving vessels before inspection -STATUTE- The Commissioner of Customs is authorized and directed to prescribe from time to time and enforce regulations governing the boarding of vessels arriving at the seaports of the United States, before such vessels have been properly inspected and placed in security, and for that purpose to employ any of the officers of the United States Customs Service. Each person violating such regulations shall be subject to a penalty of not more than $100 or imprisonment not to exceed six months, or both, in the discretion of the court. This section shall be construed as supplementary to section 9 of act August 2, 1882 (22 Stat. 189), and section 2279 of title 18. -SOURCE- (Mar. 31, 1900, ch. 120, Sec. 1-3, 31 Stat. 58; Feb. 14, 1903, ch. 552, Sec. 10, 32 Stat. 829; Mar. 4, 1913, ch. 141, Sec. 1, 37 Stat. 736; 1946 Reorg. Plan No. 3, Sec. 101, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -REFTEXT- REFERENCES IN TEXT Section 9 of act August 2, 1882, referred to in text, was classified to section 158 of former Title 46, Shipping, and was repealed by Pub. L. 98-89, Sec. 4(b), Aug. 26, 1983, 97 Stat. 600. -COD- CODIFICATION 'Section 2279 of title 18' substituted in text for 'section 4606 of the Revised Statutes' on authority of act June 25, 1948, ch. 645, 62 Stat. 683, which enacted Title 18, Crimes and Criminal Procedure. -MISC3- EFFECTIVE DATE Section 4 of act Mar. 31, 1900, provided: 'That this Act (enacting this section) shall take effect thirty days after its passage.' -TRANS- TRANSFER OF FUNCTIONS 'United States Customs Service' substituted in text for 'Bureau of Customs' pursuant to Treasury Department Order 165-23, Apr. 4, 1973, eff. Aug. 1, 1973, 38 F.R. 13037. See, also, section 308 of Title 31, Money and Finance. For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' and 'the Bureau of Customs' for 'that department' on authority of sections 101 to 104 of Reorg. Plan No. 3 of 1946, set out as a note preceding section 3 of this Appendix. Upon incorporation into the Code, 'Secretary of Commerce' substituted for 'Secretary of the Treasury,' to conform to act Feb. 14, 1903, which transferred certain powers and duties of Secretary of the Treasury relating to merchant vessels and yachts to Secretary of Commerce and Labor and act Mar. 4, 1913, which changed designation of Secretary of Commerce and Labor to Secretary of Commerce. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. ------DocID 53613 Document 514 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 8 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- CHAPTER 8 - LIMITATION OF VESSEL OWNER'S LIABILITY -MISC1- Sec. 181. Liability of masters as carriers. 182. Loss by fire. 183. Amount of liability. (a) Privity or knowledge of owner; limitation. (b) Seagoing vessels; losses not covered in full. (c) Tonnage of seagoing vessels. (d) Loss of life or bodily injury arising on distinct occasions. (e) Privity imputed to owner. (f) 'Seagoing vessel' defined. 183b. Stipulations limiting time for filing claims and commencing suit. (a) Time periods. (b) Claims not barred for failure to give notice. (c) Mental incompetents; minors; wrongful death actions. 183c. Stipulations limiting liability for negligence invalid. 184. Apportionment of compensation. 185. Petition for limitation of liability; deposit of value of interest in court; transfer of interest to trustee. 186. Charterer may be deemed owner. 187. Remedies reserved. 188. Limitation of liability of owners applied to all vessels. 189. Limitation of liability of owners of vessels for debts. 190. Stipulations relieving from liability for negligence. 191. Stipulations relieving from exercise of due diligence in equipping vessels. 192. Limitation of liability for errors of navigation, dangers of sea and acts of God. 193. Bills of lading to be issued; contents. 194. Penalties; liens; recovery. 195. Certain provisions inapplicable to transportation of live animals. 196. Certain laws unaffected. -CROSS- CROSS REFERENCES Liability with respect to carriage of goods by sea, see section 1300 et seq. of this Appendix. ------DocID 53614 Document 515 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 181 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 181. Liability of masters as carriers -STATUTE- If any shipper of platina, gold, gold dust, silver, bullion, or other precious metals, coins, jewelry, bills of any bank or public body, diamonds, or other precious stones, or any gold or silver in a manufactured or unmanufactured state, watches, clocks, or timepieces of any description, trinkets, orders, notes, or securities for payment of money, stamps, maps, writings, title deeds, printings, engravings, pictures, gold or silver plate or plated articles, glass, china, silks in a manufactured or unmanufactured state, and whether wrought up or not wrought up with any other material, furs, or lace, or any of them, contained in any parcel, or package, or trunk, shall lade the same as freight or baggage, on any vessel, without at the time of such lading giving to the master, clerk, agent, or owner of such vessel receiving the same a written notice of the true character and value thereof, and having the same entered on the bill of lading therefor, the master and owner of such vessel shall not be liable as carriers thereof in any form or manner; nor shall any such master or owner be liable for any such goods beyond the value and according to the character thereof so notified and entered. -SOURCE- (R.S. Sec. 4281.) -COD- CODIFICATION R.S. Sec. 4281 derived from act Feb. 28, 1871, ch. 100, Sec. 69, 16 Stat. 458. -MISC3- SHORT TITLE Sections 190 to 196 of this Appendix are popularly known as the 'Harter Act'. -CROSS- CROSS REFERENCES Amount of liability when nature and value of goods not declared, see section 1304 of this Appendix. Sections unaffected by sections 190 to 195 of this Appendix, see section 196 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 196, 1308 of this Appendix. ------DocID 53615 Document 516 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 182 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 182. Loss by fire -STATUTE- No owner of any vessel shall be liable to answer for or make good to any person any loss or damage, which may happen to any merchandise whatsoever, which shall be shipped, taken in, or put on board any such vessel, by reason or by means of any fire happening to or on board the vessel, unless such fire is caused by the design or neglect of such owner. -SOURCE- (R.S. Sec. 4282.) -COD- CODIFICATION R.S. Sec. 4282 derived from act Mar. 3, 1851, ch. 43, Sec. 1, 9 Stat. 635. -CROSS- CROSS REFERENCES Liability of carrier and ship for loss from fire, see section 1304 of this Appendix. Remedies reserved, see section 187 of this Appendix. Section unaffected by sections 190 to 195 of this Appendix, see section 196 of this Appendix. Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 187, 188, 196, 1308 of this Appendix; title 33 section 2718; title 42 section 9607. ------DocID 53616 Document 517 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 183 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 183. Amount of liability -STATUTE- (a) Privity or knowledge of owner; limitation The liability of the owner of any vessel, whether American or foreign, for any embezzlement, loss, or destruction by any person of any property, goods, or merchandise shipped or put on board of such vessel, or for any loss, damage, or injury by collision, or for any act, matter, or thing, loss, damage, or forfeiture, done, occasioned, or incurred, without the privity or knowledge of such owner or owners, shall not, except in the cases provided for in subsection (b) of this section, exceed the amount or value of the interest of such owner in such vessel, and her freight then pending. (b) Seagoing vessels; losses not covered in full In the case of any seagoing vessel, if the amount of the owner's liability as limited under subsection (a) of this section is insufficient to pay all losses in full, and the portion of such amount applicable to the payment of losses in respect of loss of life or bodily injury is less than $420 per ton of such vessel's tonnage, such portion shall be increased to an amount equal to $420 per ton, to be available only for the payment of losses in respect of loss of life or bodily injury. If such portion so increased is insufficient to pay such losses in full, they shall be paid therefrom in proportion to their respective amounts. (c) Tonnage of seagoing vessels For the purposes of this section the tonnage of a seagoing steam or motor vessel shall be her gross tonnage without deduction on account of engine room, and the tonnage of a seagoing sailing vessel shall be her registered tonnage: Provided, That there shall not be included in such tonnage any space occupied by seamen or apprentices and appropriated to their use. (d) Loss of life or bodily injury arising on distinct occasions The owner of any such seagoing vessel shall be liable in respect of loss of life or bodily injury arising on distinct occasions to the same extent as if no other loss of life or bodily injury had arisen. (e) Privity imputed to owner In respect of loss of life or bodily injury the privity or knowledge of the master of a seagoing vessel or of the superintendent or managing agent of the owner thereof, at or prior to the commencement of each voyage, shall be deemed conclusively the privity or knowledge of the owner of such vessel. (f) 'Seagoing vessel' defined As used in subsections (b), (c), (d), and (e) of this section and in section 183b of this Appendix, the term 'seagoing vessel' shall not include pleasure yachts, tugs, towboats, towing vessels, tank vessels, fishing vessels or their tenders, self-propelled lighters, nondescript self-propelled vessels, canal boats, scows, car floats, barges, lighters, or nondescript non-self-propelled vessels, even though the same may be seagoing vessels within the meaning of such term as used in section 188 of this Appendix, as amended. -SOURCE- (R.S. Sec. 4283; Aug. 29, 1935, ch. 804, Sec. 1, 49 Stat. 960; June 5, 1936, ch. 521, Sec. 1, 49 Stat. 1479; Oct. 19, 1984, Pub. L. 98-498, title II, Sec. 213(a), 98 Stat. 2306.) -COD- CODIFICATION R.S. Sec. 4283 derived from act Mar. 3, 1851, ch. 43, Sec. 3, 9 Stat. 635. -MISC3- AMENDMENTS 1984 - Subsec. (b). Pub. L. 98-498 substituted '$420' for '$60' in two places. 1936 - Act June 5, 1936, amended section generally, provided, that when owner's limited liability is insufficient to pay losses in full and the portion applicable to payment for loss of life or injury is less than $60 per ton, such portion be increased to $60 per ton, and if increased portion is insufficient, proportionate payments be made, inserted provision imputing privity or knowledge of master, superintendent, or managing agent to owner, construed 'seagoing vessel' for purposes of section 183b of this Appendix as well as this section, and designated the amended provisions of section as subsecs. (a) to (f). 1935 - Act Aug. 29, 1935, inserted provisions fixing total liability of owner of sea-going vessel, whether American or foreign, other than tugs, barges, or fishing vessels, for entire loss of life or injuries caused without his fault or privity at not less than $60 for each ton of such vessel or the amount of value of his interest in such vessel and her freight then pending, if the latter be a greater amount; fixed tonnage of steam or motor vessel as her gross tonnage, without deduction for engine room, and tonnage of a sailing vessel as her registered tonnage, not including space for seamen; and imposed on owners, liability for losses of life or injury on distinct occasions to the same extent as if no other loss or injury had arisen. EFFECTIVE DATE OF 1984 AMENDMENT Section 213(b) of Pub. L. 98-498 provided that: 'The amendment made by subsection (a) (amending this section) shall apply to incidents occurring after the date of enactment of this Act (Oct. 19, 1984).' -CROSS- CROSS REFERENCES Apportionment of compensation, see section 184 of this Appendix. Individual liability of shipowner, see section 189 of this Appendix. Liability of master and owners for damage to passengers, see section 491 of this Appendix. Longshore and harbor workers' compensation actions, amount of recovery not limited by this section, see section 948 of Title 33, Navigation and Navigable Waters. Petition for limitation of liability, see section 185 of this Appendix. Remedies reserved, see section 187 of this Appendix. Section unaffected by sections 190 to 195 of this Appendix, see section 196 of this Appendix. Surrender of vessel, see section 185 of this Appendix. Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 185, 187, 188, 196, 1308 of this Appendix; title 33 section 2718; title 42 section 9607; title 46 section 14305. ------DocID 53617 Document 518 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 183b -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 183b. Stipulations limiting time for filing claims and commencing suit -STATUTE- (a) Time periods It shall be unlawful for the manager, agent, master, or owner of any sea-going vessel (other than tugs, barges, fishing vessels and their tenders) transporting passengers or merchandise or property from or between ports of the United States and foreign ports to provide by rule, contract, regulation, or otherwise a shorter period for giving notice of, or filing claims for loss of life or bodily injury, than six months, and for the institution of suits on such claims, than one year, such period for institution of suits to be computed from the day when the death or injury occurred. (b) Claims not barred for failure to give notice Failure to give such notice, where lawfully prescribed in such contract, shall not bar any such claim - (1) If the owner or master of the vessel or his agent had knowledge of the injury, damage, or loss and the court determines that the owner has not been prejudiced by the failure to give such notice; nor (2) If the court excuses such failure on the ground that for some satisfactory reason such notice could not be given; nor (3) Unless objection to such failure is raised by the owner. (c) Mental incompetents; minors; wrongful death actions If a person who is entitled to recover on any such claim is mentally incompetent or a minor, or if the action is one for wrongful death, any lawful limitation of time prescribed in such contract shall not be applicable so long as no legal representative has been appointed for such incompetent, minor, or decedent's estate, but shall be applicable from the date of the appointment of such legal representative: Provided, however, That such appointment be made within three years after the date of such death or injury. -SOURCE- (R.S. Sec. 4283A, as added Aug. 29, 1935, ch. 804, Sec. 3, 49 Stat. 960.) -CROSS- CROSS REFERENCES Seagoing vessel defined for purposes of this section, see section 183 of this Appendix. Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 183, 188, 1308 of this Appendix. ------DocID 53618 Document 519 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 183c -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 183c. Stipulations limiting liability for negligence invalid -STATUTE- It shall be unlawful for the manager, agent, master, or owner of any vessel transporting passengers between ports of the United States or between any such port and a foreign port to insert in any rule, regulation, contract, or agreement any provision or limitation (1) purporting, in the event of loss of life or bodily injury arising from the negligence or fault of such owner or his servants, to relieve such owner, master, or agent from liability, or from liability beyond any stipulated amount, for such loss or injury, or (2) purporting in such event to lessen, weaken, or avoid the right of any claimant to a trial by court of competent jurisdiction on the question of liability for such loss or injury, or the measure of damages therefor. All such provisions or limitations contained in any such rule, regulation, contract, or agreement are declared to be against public policy and shall be null and void and of no effect. -SOURCE- (R.S. Sec. 4283B, as added June 5, 1936, ch. 521, Sec. 2, 49 Stat. 1480.) -CROSS- CROSS REFERENCES Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 188, 1308 of this Appendix. ------DocID 53619 Document 520 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 184 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 184. Apportionment of compensation -STATUTE- Whenever any such embezzlement, loss, or destruction is suffered by several freighters or owners of goods, wares, merchandise, or any property whatever, on the same voyage, and the whole value of the vessel, and her freight for the voyage, is not sufficient to make compensation to each of them, they shall receive compensation from the owner of the vessel in proportion to their respective losses; and for that purpose the freighters and owners of the property, and the owner of the vessel, or any of them, may take the appropriate proceedings in any court, for the purpose of apportioning the sum for which the owner of the vessel may be liable among the parties entitled thereto. -SOURCE- (R.S. Sec. 4284; Feb. 27, 1877, ch. 69, Sec. 1, 19 Stat. 251.) -COD- CODIFICATION R.S. Sec. 4284 derived from act Mar. 3, 1851, ch. 43, Sec. 4, 9 Stat. 635. Act Feb. 27, 1877, amended R.S. Sec. 4284 by substituting the word 'owners' for 'owner' in the expression 'freighters and owners of the property'. -CROSS- CROSS REFERENCES Remedies reserved, see section 187 of this Appendix. Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 187, 188, 1308 of this Appendix; title 33 section 2718; title 42 section 9607. ------DocID 53620 Document 521 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 185 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 185. Petition for limitation of liability; deposit of value of interest in court; transfer of interest to trustee -STATUTE- The vessel owner, within six months after a claimant shall have given to or filed with such owner written notice of claim, may petition a district court of the United States of competent jurisdiction for limitation of liability within the provisions of chapter 6 of title 48 of the Revised Statutes and the owner (a) shall deposit with the court, for the benefit of claimants, a sum equal to the amount or value of the interest of such owner in the vessel and freight, or approved security therefor, and in addition such sums, or approved security therefor, as the court may from time to time fix as necessary to carry out the provisions of section 183 of this Appendix, or (b) at his option shall transfer, for the benefit of claimants, to a trustee to be appointed by the court his interest in the vessel and freight, together with such sums, or approved security therefor, as the court may from time to time fix as necessary to carry out the provisions of section 183 of this Appendix. Upon compliance with the requirements of this section all claims and proceedings against the owner with respect to the matter in question shall cease. -SOURCE- (R.S. Sec. 4285; June 5, 1936, ch. 521, Sec. 3, 49 Stat. 1480.) -REFTEXT- REFERENCES IN TEXT Chapter 6 of title 48 of the Revised Statutes, referred to in text, was in the original 'this chapter, as amended', meaning chapter 6 of title 48 of the Revised Statutes, consisting of R.S. Sec. 4252 to 4289. For complete classification of R.S. Sec. 4252 to 4289 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4285 derived from act Mar. 3, 1851, ch. 43, Sec. 4, 9 Stat. 635. -MISC3- AMENDMENTS 1936 - Act June 5, 1936, substituted provisions of this section for former provisions which provided that it should be deemed a sufficient compliance on the part of an owner with the requirements of title 48 of the Revised Statutes relating to his liability for embezzlement, loss, or destruction of any property, goods, or merchandise, if he transferred his interest in such vessel and freight, for the benefit of claimants, to a trustee appointed by court, after which all claims against the owner should cease. -CROSS- CROSS REFERENCES Remedies reserved, see section 187 of this Appendix. Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 187, 188, 1308 of this Appendix; title 33 section 2718; title 42 section 9607. ------DocID 53621 Document 522 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 186 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 186. Charterer may be deemed owner -STATUTE- The charterer of any vessel, in case he shall man, victual, and navigate such vessel at his own expense, or by his own procurement, shall be deemed the owner of such vessel within the meaning of the provisions of title 48 of the Revised Statutes relating to the limitation of the liability of the owners of vessels; and such vessel, when so chartered, shall be liable in the same manner as if navigated by the owner thereof. -SOURCE- (R.S. Sec. 4286.) -REFTEXT- REFERENCES IN TEXT Title 48 of the Revised Statutes, referred to in text, was in the original 'this Title' meaning title 48 of the Revised Statutes, consisting of R.S. Sec. 4131 to 4305. For complete classification of R.S. Sec. 4131 to 4305 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4286 derived from act Mar. 3, 1851, ch. 43, Sec. 5, 9 Stat. 636. -CROSS- CROSS REFERENCES Remedies reserved, see section 187 of this Appendix. Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 187, 188, 1308 of this Appendix; title 33 section 2718; title 42 section 9607. ------DocID 53622 Document 523 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 187 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 187. Remedies reserved -STATUTE- Nothing in sections 182, 183, and 184 to 186 of this Appendix shall be construed to take away or affect the remedy to which any party may be entitled, against the master, officers, or seamen, for or on account of any embezzlement, injury, loss, or destruction of merchandise, or property, put on board any vessel, or on account of any negligence, fraud, or other malversation of such master, officers, or seamen, respectively, nor to lessen or take away any responsibility to which any master or seaman of any vessel may by law be liable, notwithstanding such master or seaman may be an owner or part owner of the vessel. -SOURCE- (R.S. Sec. 4287.) -COD- CODIFICATION R.S. Sec. 4287 derived from act Mar. 3, 1851, ch. 43, Sec. 6, 9 Stat. 636. -CROSS- CROSS REFERENCES Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 188, 1308 of this Appendix; title 33 section 2718; title 42 section 9607. ------DocID 53623 Document 524 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 188 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 188. Limitation of liability of owners applied to all vessels -STATUTE- Except as otherwise specifically provided therein, the provisions of sections 175, (FOOTNOTE 1) 182, 183, 183b to 187, and 189 of this Appendix shall apply to all seagoing vessels, and also to all vessels used on lakes or rivers or in inland navigation, including canal boats, barges, and lighters. (FOOTNOTE 1) See References in Text note below. -SOURCE- (R.S. Sec. 4289; Feb. 18, 1875, ch. 80, Sec. 1, 18 Stat. 320; June 19, 1886, ch. 421, Sec. 4, 24 Stat. 80; June 5, 1936, ch. 521, Sec. 4, 49 Stat. 1481.) -REFTEXT- REFERENCES IN TEXT Sections 175, 182, 183, 183b to 187, and 189, referred to in text, was in the original 'the nine preceding sections', meaning R.S. Sec. 4282-4283B and 4284-4288. Section 175 of this Appendix, referred to in text, was repealed by act Oct. 9, 1940, ch. 777, Sec. 7, 54 Stat. 1028. -COD- CODIFICATION R.S. Sec. 4289 derived from act Mar. 3, 1851, ch. 43, Sec. 7, 9 Stat. 636. Section, as enacted in the Revised Statutes, was as follows: 'The provisions of this Title relating to the limitation of the liability of the owners of vessels, shall not apply to the owners of any canal-boat, barge, or lighter, or to any vessel of any description whatsoever used in rivers or inland navigation.' It was amended, by striking out the words 'this Title,' and inserting the words 'the seven preceding sections,' by act Feb. 18, 1875. It was further amended, to read in substance as set forth here, after the enactment of act June 26, 1884, ch. 121, Sec. 18, 23 Stat. 57, classified to section 189 of this Appendix, by act June 19, 1886. -MISC3- AMENDMENTS 1936 - Act June 5, 1936, substituted 'Except as otherwise specifically provided therein, the provisions of the nine preceding sections' for 'The provisions of the seven preceding sections'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 183, 1308 of this Appendix; title 33 section 2718; title 42 section 9607. ------DocID 53624 Document 525 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 189 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 189. Limitation of liability of owners of vessels for debts -STATUTE- The individual liability of a shipowner shall be limited to the proportion of any or all debts and liabilities that his individual share of the vessel bears to the whole; and the aggregate liabilities of all the owners of a vessel on account of the same shall not exceed the value of such vessels and freight pending: Provided, That this provision shall not prevent any claimant from joining all the owners in one action; nor shall the same apply to wages due to persons employed by said shipowners. -SOURCE- (June 26, 1884, ch. 121, Sec. 18, 23 Stat. 57.) -COD- CODIFICATION This section was enacted as part of the Shipping Act of 1884. The original text of the proviso read as follows: 'Provided, That this provision shall not affect the liability of any owner incurred previous to the passage of this act, nor prevent any claimant from joining all the owners in one action; nor shall the same apply to wages due to persons employed by said shipowners.' The provision concerning liabilities previously incurred was omitted. -CROSS- CROSS REFERENCES Other provisions relating to the liability of vessels, their owners, agents, or charterers, see sections 190 to 195 of this Appendix. Section as applicable to all seagoing vessels and all vessels used on lakes or rivers or on inland navigation, see section 188 of this Appendix. Vessels within application of this section, see section 188 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 188 of this Appendix. ------DocID 53625 Document 526 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 190 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 190. Stipulations relieving from liability for negligence -STATUTE- It shall not be lawful for the manager, agent, master, or owner of any vessel transporting merchandise or property from or between ports of the United States and foreign ports to insert in any bill of lading or shipping document any clause, covenant, or agreement whereby it, he, or they shall be relieved from liability for loss or damage arising from negligence, fault, or failure in proper loading, stowage, custody, care, or proper delivery of any and all lawful merchandise or property committed to its or their charge. Any and all words or clauses of such import inserted in bills of lading or shipping receipts shall be null and void and of no effect. -SOURCE- (Feb. 13, 1893, ch. 105, Sec. 1, 27 Stat. 445.) -MISC1- SHORT TITLE Act Feb. 13, 1893, enacting this section and sections 191 to 196 of this Appendix, is popularly known as the 'Harter Act'. EFFECTIVE DATE Section 8 of act Feb. 13, 1893, provided: 'That this act (enacting this section and sections 191 to 196 of this Appendix) shall take effect from and after the first day of July, eighteen hundred and ninety-three.' -CROSS- CROSS REFERENCES Clause, covenant or agreement relieving carrier or ship from liability for loss or damage arising from negligence, fault or failure in duties and obligations provided, to be null and void, see section 1303 of this Appendix. Transportation of live animals, section inapplicable, see section 195 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 194, 195, 196, 1311 of this Appendix. ------DocID 53626 Document 527 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 191 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 191. Stipulations relieving from exercise of due diligence in equipping vessels -STATUTE- It shall not be lawful for any vessel transporting merchandise or property from or between ports of the United States of America and foreign ports, her owner, master, agent, or manager, to insert in any bill of lading or shipping document any covenant or agreement whereby the obligations of the owner or owners of said vessel to exercise due diligence (FOOTNOTE 1) properly equip, man, provision, and outfit said vessel, and to make said vessel seaworthy and capable of performing her intended voyage, or whereby the obligations of the master, officers, agents, or servants to carefully handle and stow her cargo and to care for and properly deliver same, shall in any wise be lessened, weakened, or avoided. (FOOTNOTE 1) So in original. Probably should be followed by 'to'. -SOURCE- (Feb. 13, 1893, ch. 105, Sec. 2, 27 Stat. 445.) -MISC1- EFFECTIVE DATE Section effective July 1, 1893, see section 8 of act Feb. 13, 1893, set out as a note under section 190 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 194, 196, 1311 of this Appendix. ------DocID 53627 Document 528 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 192 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 192. Limitation of liability for errors of navigation, dangers of sea and acts of God -STATUTE- If the owner of any vessel transporting merchandise or property to or from any port in the United States of America shall exercise due diligence to make the said vessel in all respects seaworthy and properly manned, equipped, and supplied, neither the vessel, her owner or owners, agent, or charterers, shall become or be held responsible for damage or loss resulting from faults or errors in navigation or in the management of said vessel nor shall the vessel, her owner or owners, charterers, agent, or master be held liable for losses arising from dangers of the sea or other navigable waters, acts of God, or public enemies, or the inherent defect, quality, or vice of the thing carried, or from insufficiency of package, or seizure under legal process, or for loss resulting from any act or omission of the shipper or owner of the goods, his agent or representative, or from saving or attempting to save life or property at sea, or from any deviation in rendering such service. -SOURCE- (Feb. 13, 1893, ch. 105, Sec. 3, 27 Stat. 445.) -MISC1- EFFECTIVE DATE Section effective July 1, 1893, see section 8 of act Feb. 13, 1893, set out as a note under section 190 of this Appendix. -CROSS- CROSS REFERENCES Liabilities and immunities of carrier and ship, see section 1304 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 194, 196, 1311 of this Appendix. ------DocID 53628 Document 529 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 193 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 193. Bills of lading to be issued; contents -STATUTE- It shall be the duty of the owner or owners, masters, or agents of any vessel transporting merchandise or property from or between ports of the United States and foreign ports to issue to shippers of any lawful merchandise a bill of lading, or shipping document, stating, among other things, the marks necessary for identification, number of packages, or quantity, stating whether it be carrier's or shipper's weight, and apparent order or condition of such merchandise or property delivered to and received by the owner, master, or agent of the vessel for transportation, and such document shall be prima facie evidence of the receipt of the merchandise therein described. -SOURCE- (Feb. 13, 1893, ch. 105, Sec. 4, 27 Stat. 445.) -MISC1- EFFECTIVE DATE Section effective July 1, 1893, see section 8 of act Feb. 13, 1893, set out as a note under section 190 of this Appendix. -CROSS- CROSS REFERENCES Bills of lading for carriage of goods by sea, see section 1303 of this Appendix. Section inapplicable to the transportation of live animals, see section 195 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 194, 195, 196, 1311 of this Appendix. ------DocID 53629 Document 530 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 194 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 194. Penalties; liens; recovery -STATUTE- For a violation of any of the provisions of sections 190 to 196 of this Appendix the agent, owner, or master of the vessel guilty of such violation, and who refuses to issue on demand the bill of lading herein provided for, shall be liable to a fine not exceeding $2,000. The amount of the fine and costs for such violation shall be a lien upon the vessel, whose agent, owner, or master is guilty of such violation, and such vessel may be libeled therefor in any district court of the United States, within whose jurisdiction the vessel may be found. One-half of such penalty shall go to the party injured by such violation and the remainder to the Government of the United States. -SOURCE- (Feb. 13, 1893, ch. 105, Sec. 5, 27 Stat. 446.) -MISC1- EFFECTIVE DATE Section effective July 1, 1893, see section 8 of act Feb. 13, 1893, set out as a note under section 190 of this Appendix. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 196, 1311 of this Appendix. ------DocID 53630 Document 531 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 195 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 195. Certain provisions inapplicable to transportation of live animals -STATUTE- Sections 190 and 193 of this Appendix shall not apply to the transportation of live animals. -SOURCE- (Feb. 13, 1893, ch. 105, Sec. 7, 27 Stat. 446.) -MISC1- EFFECTIVE DATE Section effective July 1, 1893, see section 8 of act Feb. 13, 1893, set out as a note under section 190 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 194, 196, 1311 of this Appendix. ------DocID 53631 Document 532 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 196 -EXPCITE- TITLE 46 APPENDIX CHAPTER 8 -HEAD- Sec. 196. Certain laws unaffected -STATUTE- Sections 190 to 196 of this Appendix shall not be held to modify or repeal sections 181 to 183 of this Appendix, or any other statute defining the liability of vessels, their owners, or representatives. -SOURCE- (Feb. 13, 1893, ch. 105, Sec. 6, 27 Stat. 446.) -MISC1- EFFECTIVE DATE Section effective July 1, 1893, see section 8 of act Feb. 13, 1893, set out as a note under section 190 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 194, 1311 of this Appendix. ------DocID 53632 Document 533 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 12 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- CHAPTER 12 - REGULATION OF VESSELS IN DOMESTIC COMMERCE -MISC1- Sec. 251. Vessels employed in coasting trade or fisheries. (a) Landing of catch of fish by foreign-flag vessels. (b) Sale or transfer for immediate consumption. (c) Forfeitures and penalties. 251a. Remission or mitigation of fines, penalties or forfeitures. 251b. Regulations. 262. Trade of documented vessel not to defraud revenue laws. 274. Surveyor's return of manifests and permits certified or received. 277. Inspection of documents. 289. Transportation of passengers in foreign vessels. 289a. Transportation of passengers in Canadian vessels between Rochester and Alexandria Bay. 289b. Transportation of passengers and merchandise in Canadian vessels between points in Alaska and United States. 289c. Transportation of passengers between Puerto Rico and other United States ports; foreign-flag vessels; unavailability of United States flag service. (a) Authorization of transportation. (b) Notification by Secretary; termination of services. (c) Extension of termination period. (d) Reinstatement of coastwise privileges. (e) 'Passenger vessel' defined. 290. Omitted. 291. Transshipment of imported merchandise intended for immediate exportation. 292. Dredging by foreign-built dredges. 293. Establishment of great districts. 293a. Additional great district. 293b. Omitted. 306. Trade between Alaska and other districts. 307. Regulations as to registered vessels in interdistrict trade. 308. Permit for inland transportation. 309. Penalty for failure to report arrival of merchandise transported inland. 310. Permit to touch at foreign port. 311. Penalty for touching at foreign port without permission. 312. Report of arrival at port other than that of destination. 313. Foreign vessels bound coastwise. 314. Delivery of manifest of foreign vessel. 315. Penalty against foreign vessels trading coastwise. 316. Use of foreign vessels in United States ports. (a) Towing vessels. (b) 'Person' defined. (c) Foreign railroad companies using ferries, tugboats, or towboats. (d) Salvaging operations by foreign vessels. (e) Operations permitted by treaty. 319. Civil penalties for trading without required certificate of documentation. 320. Remission or mitigation of fines. 321. Penalty for illegal enrollment or license. 322. Penalty for malfeasance. 323. Penalty for forgery and alteration. 324. Penalty for obstructing officers. 326. Exemption from forfeiture. 327. Notice of seizure. 328. Recovery of forfeitures and penalties. 336. Canal boats exempt from enrollment, license, and customs fees. -CROSS- CROSS REFERENCES Custody and storage of vessels, vehicles, merchandise and baggage seized under laws relating to registering, enrolling, or licensing of vessels, see section 1605 of Title 19, Customs Duties. ------DocID 53633 Document 534 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 251 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 251. Vessels employed in coasting trade or fisheries -STATUTE- (a) Landing of catch of fish by foreign-flag vessels Except as otherwise provided by treaty or convention to which the United States is a party, no foreign-flag vessel shall, whether documented as a cargo vessel or otherwise, land in a port of the United States its catch of fish taken on board such vessels on the high seas or fish products processed therefrom, or any fish or fish products taken on board such vessel on the high seas from a vessel engaged in fishing operations or in the processing of fish or fish products. The Secretary of Commerce may issue any regulations that the Secretary considers necessary to obtain information on the transportation of fish products by vessels of the United States for foreign fish processing vessels to points in the United States. (b) Sale or transfer for immediate consumption Subsection (a) of this section shall not be deemed to prohibit the landing by a foreign-flag vessel of not more than fifty feet overall length in a port of the Virgin Islands of the United States for immediate consumption in such islands of its catch of fresh fish, whole or with the heads, viscera, or fins removed, but not frozen, otherwise processed, or further advanced. No fish landed under this authorization shall be sold or transferred except for immediate consumption. Sale or transfer to an agent, representative, or employee of a freezer or cannery shall be deemed to be prohibited in the absence of satisfactory evidence that such sale or transfer is for immediate consumption. For the purposes of this subsection, the term 'immediate consumption' shall not preclude the freezing, smoking, or other processing of such fresh fish by the ultimate consumer thereof. (c) Forfeitures and penalties Any fish landed in the Virgin Islands of the United States which are retained, sold, or transferred other than as authorized in subsection (b) of this section shall be liable to forfeiture and any person or persons retaining, selling, transferring, purchasing, or receiving such fish shall severally be liable to a penalty of $1,000 for each offense, in addition to any other penalty provided in law. -SOURCE- (R.S. Sec. 4311; Sept. 2, 1950, ch. 842, 64 Stat. 577; Sept. 13, 1961, Pub. L. 87-220, Sec. 1, 75 Stat. 493; Aug. 15, 1979, Pub. L. 96-61, Sec. 2, 93 Stat. 407; Dec. 24, 1980, Pub. L. 96-594, title I, Sec. 126(b), 94 Stat. 3459; Jan. 11, 1988, Pub. L. 100-239, Sec. 8(a), 101 Stat. 1783.) -COD- CODIFICATION R.S. Sec. 4311 derived from acts Feb. 18, 1793, ch. 8, Sec. 1, 1 Stat. 305; Apr. 18, 1874, ch. 110, 18 Stat. 31. -MISC3- AMENDMENTS 1988 - Subsec. (a). Pub. L. 100-239 inserted at end 'The Secretary of Commerce may issue any regulations that the Secretary considers necessary to obtain information on the transportation of fish products by vessels of the United States for foreign fish processing vessels to points in the United States.' 1980 - Subsec. (a). Pub. L. 96-594 struck out provisions relating to vessels entitled to privileges of vessels employed in coasting trade or fisheries, and provisions defining 'fisheries'. 1979 - Subsec. (a). Pub. L. 96-61 inserted provision defining 'fisheries'. 1961 - Pub. L. 87-220 designated existing provisions as subsec. (a), and added subsecs. (b) and (c). 1950 - Act Sept. 2, 1950, inserted second sentence to increase protection to American fishermen. EFFECTIVE DATE OF 1980 AMENDMENT Section 128 of Pub. L. 96-594 provided in part that the amendment made by Pub. L. 96-594 is effective on first day of eighteenth month following December 1980. LANDING OF CATCH OF FISH BY FOREIGN VESSELS Provisions of this section prohibiting the landing of fish in United States ports by foreign-flag vessels direct from fishing grounds unaffected by Pub. L. 87-814, see section 6 of Pub. L. 87-814, set out as a note under section 951 of Title 16, Conservation. -CROSS- CROSS REFERENCES Exemption from requirements of this section - Canal boats or boats employed on internal waters or canals of any state, see section 336 of this Appendix. Entry and clearance fees and tonnage taxes, enrolled, licensed, or registered vessels, see sections 111, 122, and 123 of this Appendix. ------DocID 53634 Document 535 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 251a -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 251a. Remission or mitigation of fines, penalties or forfeitures -STATUTE- Any fine, penalty, or forfeiture incurred under the provisions of this Act shall be subject to remission or mitigation in accordance with section 2107(b) of title 46. -SOURCE- (Pub. L. 87-220, Sec. 2, Sept. 13, 1961, 75 Stat. 493.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 87-220, Sept. 13, 1961, 75 Stat. 493, which enacted sections 251a and 251b of this Appendix, and amended section 251 of this Appendix. For complete classification of this Act to the Code, see Tables. 'Section 2107(b) of title 46' substituted in text for 'section 5294 of the Revised Statutes, as amended (46 U.S.C. 7)' on authority of Pub. L. 98-89, Sec. 2(b), Aug. 26, 1983, 97 Stat. 598, section 1 of which enacted Title 46, Shipping. ------DocID 53635 Document 536 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 251b -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 251b. Regulations -STATUTE- The Secretary of the Treasury may issue such regulations as he deems necessary for the enforcement of the provisions of this Act. -SOURCE- (Pub. L. 87-220, Sec. 3, Sept. 13, 1961, 75 Stat. 493.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 87-220, Sept. 13, 1961, 75 Stat. 493, which enacted sections 251a and 251b of this Appendix, and amended section 251 of this Appendix. For complete classification of this Act to the Code, see Tables. ------DocID 53636 Document 537 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 262 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 262. Trade of documented vessel not to defraud revenue laws -STATUTE- No documented vessel shall be employed in any trade whereby the revenue laws of the United States shall be defrauded. -SOURCE- (R.S. Sec. 4320; Feb. 27, 1877, ch. 69, Sec. 1, 19 Stat. 251; Jan. 16, 1895, ch. 24, Sec. 3, 28 Stat. 625; Dec. 24, 1980, Pub. L. 96-594, title I, Sec. 126(c), 94 Stat. 3459.) -COD- CODIFICATION R.S. Sec. 4320 derived from act Feb. 18, 1793, ch. 8, Sec. 4, 1 Stat. 306. R.S. Sec. 4320, as originally enacted, was as follows: 'In order to the licensing of any vessel for carrying on the coasting-trade or fisheries, the husband, or managing owner, together with the master thereof, with one or more sureties to the satisfaction of the collector granting the same, shall become bound to pay to the United States, if such vessel be of the burden of five tons and less than twenty tons, the sum of one hundred dollars; and if twenty tons and not exceeding thirty tons, the sum of two hundred dollars; and if above thirty tons and not exceeding sixty tons, the sum of five hundred dollars; and if above sixty tons, the sum of one thousand dollars, in case it shall appear, within two years from the date of the bond, that such vessel has been employed in any trade whereby the revenue of the United States has been defrauded, during the time the license granted to such vessel remained in force. The master of such vessel shall also swear that he is a citizen of the United States, and that such license shall not be used for any other vessel or any other employment than that for which it is specially granted, or in any trade or business whereby the revenue of the United States may be defrauded; and if such vessel be less than twenty tons burden, the husband or managing owner shall swear that she is wholly the property of citizens of the United States; whereupon it shall be the duty of the collector of the district comprehending the port whereto such vessel may belong, the duty of six cents per ton being first paid, to grant a license.' It was amended by act Feb. 27, 1877, by striking out the words 'the duty of six cents per ton being first paid.' It was amended generally by act Jan. 16, 1895. -MISC3- AMENDMENTS 1980 - Pub. L. 96-594 substituted 'documented' for 'licensed', and struck out provisions respecting oaths required of master, etc. EFFECTIVE DATE OF 1980 AMENDMENT Section 128 of Pub. L. 96-594 provided in part that the amendment made by Pub. L. 96-594 is effective on first day of eighteenth month following December 1980. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. ------DocID 53637 Document 538 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 274 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 274. Surveyor's return of manifests and permits certified or received -STATUTE- Every surveyor who certifies a manifest, or grants any permit, or who receives any certified manifest, or any permit, as is provided for in title 50 of the Revised Statutes, shall make return thereof monthly, or sooner, if it can conveniently be made, to the collector of the district where such surveyor resides. -SOURCE- (R.S. Sec. 4332; June 17, 1930, ch. 497, title IV, Sec. 523, 46 Stat. 740.) -REFTEXT- REFERENCES IN TEXT Title 50 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 50 of the Revised Statutes, consisting of R.S. Sec. 4311 to 4390. For complete classification of R.S. Sec. 4311 to 4390 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4332 derived from act Feb. 18, 1793, ch. 8, Sec. 25, 1 Stat. 315. -MISC3- AMENDMENTS 1930 - Act June 17, 1930, repealed requirement of signing of documents by Comptroller of Customs (originally naval officers). -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. ------DocID 53638 Document 539 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 277 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 277. Inspection of documents -STATUTE- Any officer concerned in the collection of the revenue may at all times inspect the register or enrollment or license of any vessel or any document in lieu thereof; and if the master or other person in charge or command of any such vessel shall not exhibit the same, when required by such officer, unless the vessel is one which by regulation of the Secretary of the Treasury is not required to have its register or enrollment or license or document in lieu thereof on board, such master or person in charge or command shall be liable to a penalty of $100, unless the failure to do so is willful, in which case he shall be liable to a penalty of $1,000 and to a fine of not more than $1,000 or imprisonment for not more than one year, or both. -SOURCE- (R.S. Sec. 4336; Aug. 5, 1935, ch. 438, title III, Sec. 312, 49 Stat. 528; Aug. 30, 1957, Pub. L. 85-237, Sec. 2, 71 Stat. 518.) -COD- CODIFICATION R.S. Sec. 4336 derived from act Feb. 18, 1793, ch. 8, Sec. 13, 1 Stat. 309. -MISC3- AMENDMENTS 1957 - Pub. L. 85-237 provided for penalties against other officer in charge or command of vessel and by excepting vessels which are not required by regulation of the Secretary of Treasury to exhibit their documents on board. 1935 - Act Aug. 5, 1935, provided for inspection of register or any document and punishment for willful failure to exhibit document. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. Definition of enrollment, license, or register with respect to vessel documentation, see section 12101 of Title 46, Shipping. ------DocID 53639 Document 540 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 289 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 289. Transportation of passengers in foreign vessels -STATUTE- No foreign vessel shall transport passengers between ports or places in the United States, either directly or by way of a foreign port, under a penalty of $200 for each passenger so transported and landed. -SOURCE- (June 19, 1886, ch. 421, Sec. 8, 24 Stat. 81; Feb. 17, 1898, ch. 26, Sec. 2, 30 Stat. 248.) -MISC1- AMENDMENTS 1886 - Act Feb. 17, 1898, amended section generally, increasing from $2 to $200 the penalty for transporting passengers in foreign vessels. -CROSS- CROSS REFERENCES Remission or mitigation of fines, see section 320 of this Appendix. Transportation of merchandise between points in United States in other than domestic-built and documented vessels, see section 883 of this Appendix. Transportation of passengers and merchandise in Canadian vessels between points in Alaska and United States, see section 289b of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 289a, 320 of this Appendix. ------DocID 53640 Document 541 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 289a -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 289a. Transportation of passengers in Canadian vessels between Rochester and Alexandria Bay -STATUTE- Until such time as passenger service shall be established by vessels of the United States between the port of Rochester, New York, and the port of Alexandria Bay, New York, the Commissioner of Customs is authorized in his discretion to issue annually permits to Canadian passenger vessels to transport passengers between these ports; such Canadian vessels holding such permits not to be subject to the provisions of section 289 of this Appendix. -SOURCE- (Apr. 26, 1938, ch. 174, 52 Stat. 223; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. ------DocID 53641 Document 542 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 289b -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 289b. Transportation of passengers and merchandise in Canadian vessels between points in Alaska and United States -STATUTE- Notwithstanding the provisions of law of the United States restricting to vessels of the United States the transportation of passengers and merchandise directly or indirectly from any port in the United States to another port of the United States, passengers may be transported on Canadian vessels between ports in southeastern Alaska, and passengers and merchandise may be transported on Canadian vessels between Hyder, Alaska, and other points in southeastern Alaska, and between Hyder, Alaska, and other points in the United States outside Alaska, either directly or via a foreign port, or for any part of the transportation until the Secretary of Transportation determines that United States-flag service is available to provide such transportation. -SOURCE- (Pub. L. 87-77, June 30, 1961, 75 Stat. 196; Pub. L. 97-31, Sec. 12(22), Aug. 6, 1981, 95 Stat. 155.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. SIMILAR PROVISIONS Temporary provisions which authorized transportation of passengers and merchandise in Canadian vessels between points in Alaska and United States, were contained in the following acts: Apr. 5, 1960, Pub. L. 86-410, 74 Stat. 16. July 31, 1959, Pub. L. 86-126, 73 Stat. 272. June 30, 1958, Pub. L. 85-473, 72 Stat. 244. July 11, 1957, Pub. L. 85-103, 71 Stat. 294. Apr. 18, 1956, ch. 207, 70 Stat. 114. May 7, 1955, ch. 35, 69 Stat. 47. June 29, 1954, ch. 413, 68 Stat. 321. July 16, 1953, ch. 201, 67 Stat. 175. June 11, 1952, ch. 391, 66 Stat. 133. June 27, 1951, ch. 153, 65 Stat. 90. June 29, 1950, ch. 409, 64 Stat. 301. Aug. 22, 1949, ch. 493, 63 Stat. 622. ------DocID 53642 Document 543 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 289c -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 289c. Transportation of passengers between Puerto Rico and other United States ports; foreign-flag vessels; unavailability of United States flag service -STATUTE- (a) Authorization of transportation Notwithstanding any other provision of law, passengers may be transported on passenger vessels not qualified to engage in the coastwise trade between ports in Puerto Rico and other ports in the United States, directly or by way of a foreign port, except as otherwise provided in this section. (b) Notification by Secretary; termination of services (1) Upon a showing to the Secretary of Transportation, by the vessel owner or charterer, that service aboard a United States passenger vessel qualified to engage in the coastwise trade is being offered or advertised pursuant to a Certificate of Financial Responsibility for Indemnification of Passengers for Nonperformance of Transportation (46 App. U.S.C. 817e) from the Federal Maritime Commission for service in the coastwise trade between ports in Puerto Rico and other ports in the United States, the Secretary shall notify the owner or operator of each vessel transporting passengers under authority of this section that he shall, within 270 days after notification, terminate all such service. Coastwise privileges granted to every owner or operator under this section shall expire on the 270th day following the Secretary's notification. (2) Upon a showing to the Secretary, by the vessel owner or charterer, that service aboard a United States passenger vessel not qualified to engage in the coastwise trade is being offered or advertised pursuant to a Certificate of Financial Responsibility for Indemnification of Passengers for Nonperformance of Transportation (46 App. U.S.C. 817e) from the Federal Maritime Commission for service in the coastwise trade between ports in Puerto Rico and other ports in the United States, the Secretary shall notify the owner or operator of each foreign-flag vessel transporting passengers under authority of this section that he shall, within 270 days after notification, terminate all such service. Coastwise privileges granted to every owner or operator of a foreign-flag vessel transporting passengers under authority of this section shall expire on the 270th day following the Secretary's notification. (c) Extension of termination period If, at the expiration of the 270-day period specified in subsections (b)(1) and (b)(2) of this section, the vessel that has been offering or advertising service pursuant to a certificate described in either of those subsections has not entered the coastwise passenger trade between ports in Puerto Rico and other ports in the United States, then the termination of service required by either of those subsections shall not be required until 90 days following the entry into that trade by the United States vessel. (d) Reinstatement of coastwise privileges Any coastwise privileges granted in this section that expire under subsection (b)(1) or (b)(2) of this section shall be reinstated upon a determination by the Secretary that the service on which the expiration of the privileges was based is no longer available. (e) 'Passenger vessel' defined For the purposes of subsections (b)(1) and (b)(2) of this section, the term 'passenger vessel' means any vessel of similar size or offering service comparable to any other vessel transporting passengers under authority of this section. -SOURCE- (Pub. L. 98-563, Oct. 30, 1984, 98 Stat. 2916.) ------DocID 53643 Document 544 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 290 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 290. Omitted -COD- CODIFICATION Section, act Feb. 17, 1898, ch. 26, Sec. 1, 30 Stat. 248, related to transportation of merchandise in foreign vessels. See section 883 of this Appendix. ------DocID 53644 Document 545 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 291 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 291. Transshipment of imported merchandise intended for immediate exportation -STATUTE- Whenever merchandise is imported into the United States by sea for immediate exportation to a foreign port by sea, or by a river, the right to ascend or descend which for the purposes of commerce is secured by treaty to the citizens of the United States and the subjects of a foreign power, the Secretary of the Treasury is authorized to prescribe regulations for the transshipment and transportation of such merchandise. -SOURCE- (Feb. 17, 1898, ch. 26, Sec. 3, 30 Stat. 248.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 446b of this Appendix. ------DocID 53645 Document 546 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 292 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 292. Dredging by foreign-built dredges -STATUTE- A foreign-built dredge shall not, under penalty of forfeiture, engage in dredging in the United States unless documented as a vessel of the United States. -SOURCE- (May 28, 1906, ch. 2566, Sec. 1, 34 Stat. 204.) ------DocID 53646 Document 547 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 293 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 293. Establishment of great districts -STATUTE- The seacoasts and navigable rivers of the United States and Puerto Rico shall be divided into five great districts: The first to include all the collection districts on the seacoasts and navigable rivers between the northern boundary of the State of Maine and the southern boundary of the State of Texas; the second to consist of the island of Puerto Rico; the third to include the collection districts on the seacoasts and navigable rivers between the southern boundary of the State of California and the northern boundary of the State of Washington; the fourth to consist of the Territory of Alaska; the fifth to consist of the Territory of Hawaii. -SOURCE- (R.S. Sec. 4348; May 12, 1906, ch. 2453, Sec. 1, 34 Stat. 190; May 17, 1932, ch. 190, 47 Stat. 158.) -COD- CODIFICATION R.S. Sec. 4348 derived from acts Mar. 2, 1819, ch. 48, Sec. 1, 3 Stat. 492; May 7, 1822, ch. 62, Sec. 11, 3 Stat. 685. R.S. Sec. 4348, prior to its amendment by act May 12, 1906, was as follows: 'The seacoast and navigable rivers of the United States shall be divided into three great districts: The first to include all the collection-districts on the sea-coast and navigable rivers, between the eastern limits of the United States and the southern limits of Georgia; the second to include all the collection-districts on the sea-coast and navigable rivers between the river Perdido and the Rio Grande; and the third to include all the collection-districts on the sea-coast and navigable rivers between the southern limits of Georgia and the river Perdido.' -CHANGE- CHANGE OF NAME 'Puerto Rico' substituted in text for 'Porto Rico' pursuant to act May 17, 1932, which is classified to section 731a of Title 48, Territories and Insular Possessions. -MISC4- EFFECTIVE DATE OF 1906 AMENDMENT Amendment by act May 12, 1906, effective on and after Jan. 1, 1907, see section 2 of act May 12, 1906. ADMISSION OF ALASKA AND HAWAII TO STATEHOOD Alaska was admitted into the Union on Jan. 3, 1959, on issuance of Proc. No. 3269, Jan. 5, 1959, 24 F.R. 81, 73 Stat. c16, and Hawaii was admitted into the Union on Aug. 21, 1959, on issuance of Proc. No. 3309, Aug. 25, 1959, 24 F.R. 6868, 73 Stat. c74. For Alaska Statehood Law, see Pub. L. 85-508, July 7, 1958, 72 Stat. 339, set out as a note preceding section 21 of Title 48, Territories and Insular Possessions. For Hawaii Statehood Law, see Pub. L. 86-3, Mar. 18, 1959, 73 Stat. 4, set out as a note preceding section 491 of Title 48. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 293a of this Appendix. ------DocID 53647 Document 548 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 293a -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 293a. Additional great district -STATUTE- There is created, in addition to the five great districts provided by section 293 of this Appendix, a sixth great district to include all the collection districts on the Great Lakes, their connecting and tributary waters, as far east as the Raquette River, New York. -SOURCE- (July 3, 1926, ch. 757, Sec. 1, 44 Stat. 832.) -MISC1- SEAMEN'S RIGHTS AND PRIVILEGES UNAFFECTED Section 2 of act July 3, 1926, provided that nothing in this section should affect the rights or privileges reserved to seamen under law existing on July 3, 1926. ------DocID 53648 Document 549 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 293b -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 293b. Omitted -COD- CODIFICATION Section, act July 3, 1926, ch. 757, Sec. 2, 44 Stat. 832, provided that vessels operating in district created by section 293a of this Appendix should be subject to requirements of sections 294 to 297 of former Title 46, Shipping, which were repealed by act June 8, 1940, ch. 284, 54 Stat. 254. ------DocID 53649 Document 550 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 306 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 306. Trade between Alaska and other districts -STATUTE- The coasting trade between the Territory of Alaska and any other portion of the United States shall be regulated in accordance with the provisions of law applicable to such trade between any two great districts. -SOURCE- (R.S. Sec. 4358; Aug. 24, 1912, ch. 387, Sec. 1, 37 Stat. 512.) -COD- CODIFICATION R.S. Sec. 4358 derived from act July 27, 1868, ch. 273, Sec. 15, 5 Stat. 241. Upon incorporation into the Code, the words 'Territory of Alaska' were substituted for 'territory ceded to the United States by the Emperor of Russia' to conform to act Aug. 24, 1912. See section 21 of Title 48, Territories and Insular Possessions. -MISC3- ADMISSION OF ALASKA AS STATE Admission of Alaska into the Union was accomplished Jan. 3, 1959, on issuance of Proc. No. 3269, Jan. 3, 1959, 24 F.R. 81, 73 Stat. c16, as required by sections 1 and 8(c) of Pub. L. 85-508, July 7, 1958, 72 Stat. 339, set out as notes preceding section 21 of Title 48, Territories and Insular Possessions. -CROSS- CROSS REFERENCES Great districts, establishment, see sections 293 and 293a of this Appendix. ------DocID 53650 Document 551 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 307 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 307. Regulations as to registered vessels in interdistrict trade -STATUTE- Whenever any vessel of the United States, registered according to law, is employed in going from any one district in the United States to any other district, such vessel, and the master thereof, with the goods she may have on board previous to her departure from the district where she may be, and also upon her arrival in any other district, shall be subject, except as to the payment of fees, to the same regulations, provisions, penalties, and forfeitures, and the like duties are imposed on like officers, as are provided for vessels licensed for carrying on the coasting trade. Nothing herein contained shall be construed to extend to registered vessels of the United States having on board merchandise of foreign growth or manufacture, brought into the United States, in such vessel, from a foreign port, and on which the duties have not been paid according to law. -SOURCE- (R.S. Sec. 4361.) -COD- CODIFICATION R.S. Sec. 4361 derived from act Feb. 18, 1793, ch. 8, Sec. 20, 1 Stat. 313. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. ------DocID 53651 Document 552 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 308 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 308. Permit for inland transportation -STATUTE- The collector of the district of Philadelphia may grant permits for the transportation of merchandise of foreign growth or manufacture across the State of New Jersey to the district of New York, or across the State of Delaware to any district in the State of Maryland or Virginia; and the collector of the district of New York may grant like permits for transportation across the State of New Jersey; and the collector of any district of Maryland or Virginia may grant like permits for transportation across the State of Delaware to the district of Philadelphia. Every such permit shall express the name of the owner, or person sending the merchandise, and of the person to whom the merchandise is consigned, with the marks, numbers, and description of the packages, whether bale, box, chest, or otherwise, and the kind of goods contained therein, and the date when granted; and the owner, or person sending such goods, shall swear that they were legally imported, and the duties paid. Where the merchandise, to be so transported, shall be of less value than $800, the permit shall not be deemed necessary. -SOURCE- (R.S. Sec. 4362.) -COD- CODIFICATION R.S. Sec. 4362 derived from act Feb. 18, 1793, ch. 8, Sec. 19, 1 Stat. 313. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. Merchandise may be entered for transportation in bond without appraisement to any other port of entry, see section 1552 of Title 19, Customs Duties. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 309 of this Appendix. ------DocID 53652 Document 553 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 309 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 309. Penalty for failure to report arrival of merchandise transported inland -STATUTE- The owner or consignee of all merchandise transported under the provisions of section 308 of this Appendix and for the transportation whereof a permit is necessary, shall, within twenty-four hours after the arrival thereof at the place to which such merchandise was permitted to be transported, report the same to the collector of the district where it has arrived, and shall deliver up the permit accompanying the same; and if the owner or consignee shall neglect or refuse to make due entry of such merchandise within the time and in the manner directed, all such merchandise shall be subject to forfeiture; and if the permit granted shall not be given up within the time limited for making the report, the person to whom it was granted, neglecting or refusing to deliver it up, shall be liable to a penalty of $50 for every twenty-four hours it shall be withheld afterward. -SOURCE- (R.S. Sec. 4363.) -COD- CODIFICATION R.S. Sec. 4363 derived from act Feb. 18, 1793, ch. 8, Sec. 19, 1 Stat. 313. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Merchandise may be entered for transportation in bond without appraisement to any other port of entry, see section 1552 of Title 19, Customs Duties. ------DocID 53653 Document 554 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 310 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 310. Permit to touch at foreign port -STATUTE- Whenever any vessel, licensed for carrying on the fishery, is intended to touch and trade at any foreign port, it shall be the duty of the master or owner to obtain permission for that purpose from the collector of the district where such vessel may be, previous to her departure, and the master of every such vessel shall deliver like manifests, and make like entries, both of the vessel and of the merchandise on board, within the same time, and under the same penalty, as are by law provided for vessels of the United States arriving from a foreign port. -SOURCE- (R.S. Sec. 4364.) -COD- CODIFICATION R.S. Sec. 4364 derived from act Feb. 18, 1793, ch. 8, Sec. 21, 1 Stat. 313. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 311 of this Appendix. ------DocID 53654 Document 555 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 311 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 311. Penalty for touching at foreign port without permission -STATUTE- Whenever a vessel, licensed for carrying on the fisheries, is found within three leagues of the coast, with merchandise of foreign growth or manufacture, exceeding the value of $500, without having such permission as is directed by section 310 of this Appendix, such vessel, together with the merchandise of foreign growth or manufacture imported therein, shall be subject to seizure and forfeiture. -SOURCE- (R.S. Sec. 4365.) -COD- CODIFICATION R.S. Sec. 4365 derived from act Feb. 18, 1793, ch. 8, Sec. 21, 1 Stat. 313. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. ------DocID 53655 Document 556 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 312 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 312. Report of arrival at port other than that of destination -STATUTE- The master of every vessel employed in the transportation of merchandise from district to district, that shall put into a port other than the one to which she was bound, shall, within twenty-four hours of his arrival, if there be an officer residing at such port, and she continue there so long, make report of his arrival to such officer, with the name of the place he came from, and to which he is bound, with an account of his lading; and every master who neglects or refuses so to do shall be liable to a penalty of $20. -SOURCE- (R.S. Sec. 4366.) -COD- CODIFICATION R.S. Sec. 4366 derived from act Feb. 18, 1793, ch. 8, Sec. 22, 1 Stat. 314. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. ------DocID 53656 Document 557 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 313 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 313. Foreign vessels bound coastwise -STATUTE- The master of every foreign vessel bound from a district in the United States to any other district within the same, shall, in all cases, previous to her departure from such district, deliver to the collector of such district duplicate manifests of the lading on board such vessel, if there be any, or, if there be none, he shall declare that such is the case; and to the truth of such manifest or declaration he shall swear, and also obtain a permit from the collector, authorizing him to proceed to the place of his destination. -SOURCE- (R.S. Sec. 4367.) -COD- CODIFICATION R.S. Sec. 4367 derived from act Feb. 18, 1793, ch. 8, Sec. 24, 1 Stat. 314. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 315 of this Appendix; title 33 sections 1904, 1908. ------DocID 53657 Document 558 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 314 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 314. Delivery of manifest of foreign vessel -STATUTE- The master of every foreign vessel, on his arrival within any district from any other district, shall, in all cases, within forty-eight hours after his arrival, and previous to the unlading of any goods from on board such vessel, deliver to the collector of the district where he may have arrived, a manifest of the goods laden on board such vessel, if any there be; or if in ballast only, he shall so declare; he shall swear to the truth of such manifest or declaration, and shall also swear that such manifest contains an account of all the merchandise which was on board such vessel at the time, or has been since her departure from the place from whence she shall be reported last to have sailed; and he shall also deliver to such collector the permit which was given him from the collector of the district from whence he sailed. -SOURCE- (R.S. Sec. 4368.) -COD- CODIFICATION R.S. Sec. 4368 derived from act Feb. 18, 1793, ch. 8, Sec. 24, 1 Stat. 314. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 315 of this Appendix. ------DocID 53658 Document 559 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 315 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 315. Penalty against foreign vessels trading coastwise -STATUTE- Every master of any foreign vessel who neglects or refuses to comply with any of the requirements of sections 313 and 314 of this Appendix, shall be liable to a penalty of $100. Nothing therein contained shall, however, be construed as affecting the payment of tonnage, or any other requirements to which such vessels are subject by law. -SOURCE- (R.S. Sec. 4369.) -COD- CODIFICATION R.S. Sec. 4369 derived from act Feb. 18, 1793, ch. 8, Sec. 24, 1 Stat. 314. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. ------DocID 53659 Document 560 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 316 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 316. Use of foreign vessels in United States ports -STATUTE- (a) Towing vessels It shall be unlawful for any vessel not wholly owned by a person who is a citizen of the United States within the meaning of the laws respecting the documentation of vessels and not having in force a certificate of documentation issued under section 12106 or 12107 of title 46 to tow any vessel other than a vessel in distress, from any port or place in the United States, its Territories or possessions, embraced within the coastwise laws of the United States, to any other port or place within the same, either directly or by way of a foreign port or place, or to do any part of such towing, or to tow any such vessel, from point to point within the harbors of such places, or to tow any vessel transporting valueless material or any dredged material, regardless of whether it has commercial value, from a point or place in the United States or a point or place on the high seas within the Exclusive Economic Zone as defined in the Presidential Proclamation of March 10, 1983, to another point or place in the United States or a point or place on the high seas within that Exclusive Economic Zone. The owner and master of any vessel towing another vessel in violation of the provisions of this section shall each be liable to a fine of not less than $250 nor more than $1,000, which fines shall constitute liens upon the offending vessel enforceable through the district court of the United States for any district in which such vessel may be found, and clearance shall not be granted to such vessel until the fines have been paid. The towing vessel shall also be further liable to a penalty of $50 per ton on the measurement of every vessel towed in violation of this section, which sum may be recovered by way of libel or suit. (b) 'Person' defined The term 'person' as used in subsection (a) of this section, shall be held to include persons, firms, partnerships, associations, organizations, and corporations, doing business or existing under or by the authority of the laws of the United States, or of any State, Territory, district, or other subdivision thereof. (c) Foreign railroad companies using ferries, tugboats, or towboats Any foreign railroad company or corporation, whose road enters the United States by means of a ferry, tugboat, or towboat, may own such vessel and operate the same in connection with the water transportation of the passenger, freight, express, baggage, and mail cars used by such road, together with the passengers, freight, express matter, baggage, and mails transported in such cars, without being subject to any other or different restrictions than those imposed by law on any vessel of the United States entering ports of the United States from ports in the same foreign country: Provided, That except as authorized by section 883 of this Appendix, such ferry, tugboat, or towboat shall not, under penalty of forfeiture, be used in connection with the transportation of any merchandise shipped from any port or place in the United States, its Territories or possessions, embraced within the coastwise laws of the United States, to any other port or place within the same. (d) Salvaging operations by foreign vessels No foreign vessel shall, under penalty of forfeiture, engage in salvaging operations on the Atlantic or Pacific coast of the United States, in any portion of the Great Lakes or their connecting or tributary waters, including any portion of the Saint Lawrence River through which the international boundary line extends, or in territorial waters of the United States on the Gulf of Mexico, except when authorized by a treaty or in accordance with the provisions of section 725 of this Appendix: Provided, however, That if, on investigation, the Commissioner of Customs is satisfied that no suitable vessel wholly owned by a person who is a citizen of the United States and documented under the laws of the United States or numbered pursuant to the Act of June 7, 1918, as amended (46 U.S.C. 288), is available in any particular locality he may authorize the use of a foreign vessel or vessels in salvaging operations in that locality and no penalty shall be incurred for such authorized use. (e) Operations permitted by treaty Nothing in this section shall be held or construed to prohibit or restrict any assistance to vessels or salvage operations authorized by article II of the treaty between the United States and Great Britain 'concerning reciprocal rights for United States and Canada in the conveyance of prisoners and wrecking and salvage' signed at Washington, May 18, 1908 (35 Stat. 2036), or by the treaty between the United States and Mexico 'to facilitate assistance to and salvage of vessels in territorial waters', signed at Mexico City, June 13, 1935 (49 Stat. 3359). -SOURCE- (R.S. Sec. 4370; June 11, 1940, ch. 324, 54 Stat. 304; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097; May 19, 1986, Pub. L. 99-307, Sec. 10, 100 Stat. 447; June 7, 1988, Pub. L. 100-329, Sec. 2, 102 Stat. 589.) -REFTEXT- REFERENCES IN TEXT The Presidential Proclamation of March 10, 1983, referred to in subsec. (a), is Proc. No. 5030, Mar. 10, 1983, 48 F.R. 10605, which is set out as a note under section 1453 of Title 16, Conservation. Act of June 7, 1918, referred to in subsec. (d), was classified to section 288 of former Title 46, Shipping, and was repealed by Pub. L. 85-911, Sec. 12, Sept. 2, 1958, 72 Stat. 1758, eff. Apr. 1, 1960. Provisions relating to numbering of vessels are contained in section 12301 et seq. of Title 46, Shipping. -COD- CODIFICATION R.S. Sec. 4370 derived from acts July 18, 1866, ch. 201, Sec. 21, 14 Stat. 183; Feb. 25, 1867, ch. 78, 14 Stat. 410. -MISC3- AMENDMENTS 1988 - Subsec. (a). Pub. L. 100-329 inserted provision at end of first sentence relating to transportation of valueless material or any dredged material, regardless of commercial value. 1986 - Subsec. (a). Pub. L. 99-307 substituted 'a certificate of documentation issued under section 12106 or 12107 of title 46' for 'a certificate of registry, a certificate of enrollment, or a license, issued pursuant to title 48 or title 50 of the Revised Statutes or a certificate of award of number issued pursuant to the Act of June 7, 1918, as amended (46 U.S.C. 288),' and 'a vessel in distress' for 'a vessel of foreign registry, or a vessel in distress'. 1940 - Act June 11, 1940, designated existing provisions as subsec. (a), expanded coverage to include all vessels and increased the penalties for violations, and added subsecs. (b) to (e). -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. The Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted for 'Secretary of Commerce' in subsec. (d) on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. CROSS REFERENCES Canadian vessels aiding vessels wrecked or disabled in United States waters, see section 725 of this Appendix. Corporation meeting certain conditions deemed citizen for purposes of this section, see section 883-1 of this Appendix. Definition of enrollment, license, or register with respect to vessel documentation, see section 12101 of Title 46, Shipping. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 883-1 of this Appendix. ------DocID 53660 Document 561 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 319 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 319. Civil penalties for trading without required certificate of documentation -STATUTE- Whenever a vessel, entitled to be documented and not so documented, is employed in a trade for which certificates of documentation are issued under the vessel documentation laws, other than a trade covered by a registry, the vessel is liable to a civil penalty of $500 for each port at which it arrives without the proper certificate of documentation, and if it has on board any merchandise of foreign growth or manufacture (sea stores excepted), or any taxable domestic spirits, wines, or other alcoholic liquors, on which the duties or taxes have not been paid or secured to be paid, the vessel, together with its equipment and cargo, is liable to seizure and forfeiture. Marks, labels, brands, or stamps, indicative of foreign origin, upon or accompanying merchandise or containers of merchandise found on board such vessel, shall be prima facie evidence of the foreign origin of such merchandise. -SOURCE- (June 19, 1886, ch. 421, Sec. 7, 24 Stat. 81; Aug. 5, 1935, ch. 438, title III, Sec. 314, 49 Stat. 529; Dec. 24, 1980, Pub. L. 96-594, title I, Sec. 126(e), 94 Stat. 3459.) -MISC1- AMENDMENTS 1980 - Pub. L. 96-594 substituted provisions relating to violations and penalties for employment in a trade of a vessel entitled to be documented but not so documented for provisions relating to fines and penalties for trading without a license by a vessel twenty tons or upward, and struck out provisions respecting expiration of a license while a vessel is at sea. 1935 - Act Aug. 5, 1935, provided for forfeiture, to deem marks, etc., prima facie evidence of foreign origin of merchandise, and to substitute 'said fine or forfeiture' for 'said fine of $30' in last sentence. EFFECTIVE DATE OF 1980 AMENDMENT Section 128 of Pub. L. 96-594 provided in part that the amendment made by Pub. L. 96-594 is effective on first day of eighteenth month following December 1980. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 320 of this Appendix. ------DocID 53661 Document 562 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 320 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 320. Remission or mitigation of fines -STATUTE- The fines imposed by sections 5 (FOOTNOTE 1) and 6 (FOOTNOTE 1) of this act and sections 289 and 319 of this Appendix shall be subject to remission or mitigation by the Commissioner of Customs when the offense was not willfully committed, under such regulations and methods of ascertaining the facts as may seem to him advisable. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 19, 1886, ch. 421, Sec. 9, 24 Stat. 81; Feb. 14, 1903, ch. 552, Sec. 10, 32 Stat. 829; Mar. 4, 1913, ch. 141, Sec. 1, 37 Stat. 736; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -REFTEXT- REFERENCES IN TEXT Section 5 of this act, referred to in text, is section 5 of act June 19, 1886, which was classified to section 77 of former Title 46, Shipping, and was repealed by Pub. L. 99-509, title V, Sec. 5104(b), Oct. 21, 1986, 100 Stat. 1928, and reenacted by section 5101(3) thereof as sections 14502 and 14512 of Title 46, Shipping. Section 6 of this act, referred to in text, is section 6 of act June 19, 1886, which was classified to section 45 of former Title 46 and was repealed by Pub. L. 96-594, title I, Sec. 127, Dec. 24, 1980, 94 Stat. 3459. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Commissioner of Customs, referred to in text, is an officer of Department of the Treasury. 'Commissioner of Customs' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. Upon incorporation into the Code, 'Secretary of Commerce' substituted for 'Secretary of the Treasury' to conform to acts Feb. 14, 1903, and Mar. 4, 1913. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. -CROSS- CROSS REFERENCES Forfeitures, see sections 5601 et seq. and 7301 et seq. of Title 26, Internal Revenue Code. Jurisdiction, fine, penalty or forfeiture, see section 1355 of Title 28, Judiciary and Judicial Procedure. Mitigation, refunding and remission of penalties under laws relating to vessels, seamen, and customs, see sections 2107(b) and 2108 of Title 46, Shipping, and section 1618 of Title 19, Customs Duties. ------DocID 53662 Document 563 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 321 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 321. Penalty for illegal enrollment or license -STATUTE- Every collector, who knowingly makes any record of enrollment or license of any vessel, and every other officer, or person, appointed by or under them, who makes any record, or grants any certificate or other document whatever, contrary to the true intent and meaning of title 50 of the Revised Statutes, or takes any other or greater fees than are by title 50 of the Revised Statutes allowed, or receives for any service performed pursuant to title 50 of the Revised Statutes, any reward or gratuity, and every surveyor, or other person appointed to measure vessels, who willfully delivers to any collector or such officer or employee as the Secretary of the Treasury shall designate a false description of any vessel, to be enrolled or licensed, in pursuance of title 50 of the Revised Statutes, shall be liable to a penalty of $500, and be rendered incapable of serving in any office of trust or profit under the United States. -SOURCE- (R.S. Sec. 4373; June 17, 1930, ch. 497, title IV, Sec. 523, 46 Stat. 740; Aug. 8, 1953, ch. 397, Sec. 2(d), 67 Stat. 508.) -REFTEXT- REFERENCES IN TEXT Title 50 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 50 of the Revised Statutes, consisting of R.S. Sec. 4311 to 4390. For complete classification of R.S. Sec. 4311 to 4390 to the Code, see Tables. -COD- CODIFICATION R.S. 4373 derived from act Feb. 18, 1793, ch. 8, Sec. 29, 1 Stat. 315. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. Upon incorporation into the Code, 'comptroller of customs' substituted for 'naval officer' to conform to act Sept. 21, 1922, ch. 356, Sec. 523, 42 Stat. 974, which was repealed by section 651(a)(1) of act June 17, 1930. Section 523 of act June 17, 1930, classified to section 1523 of Title 19, Customs Duties, continued naval officers of customs as comptrollers of customs. Section 523 of act June 17, 1930, was amended by act Aug. 8, 1953, which omitted references to comptrollers of customs and substituted reference to Secretary of the Treasury or such officer or employee as he shall designate. The words 'such officer or employee as the Secretary of the Treasury shall designate' were substituted for 'comptrollers of customs' to reflect such change. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. Definition of enrollment or license with respect to vessel documentation, see section 12101 of Title 46, Shipping. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 322 of this Appendix. ------DocID 53663 Document 564 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 322 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 322. Penalty for malfeasance -STATUTE- Every person, authorized and required by title 50 of the Revised Statutes to perform any act or thing as an officer, who willfully neglects or refuses to do and perform the same, according to the true intent and meaning of title 50 of the Revised Statutes, shall, if not subject to the penalty and disqualifications prescribed in section 321 of this Appendix, be liable to a penalty of $500 for the first offense, and of like sum for the second offense, and shall, after conviction for the second offense, be rendered incapable of holding any office of trust or profit under the United States. -SOURCE- (R.S. Sec. 4374.) -REFTEXT- REFERENCES IN TEXT Title 50 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 50 of the Revised Statutes, consisting of R.S. Sec. 4311 to 4390. For complete classification of R.S. Sec. 4311 to 4390 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4374 derived from act Feb. 18, 1793, ch. 8, Sec. 29, 1 Stat. 315. ------DocID 53664 Document 565 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 323 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 323. Penalty for forgery and alteration -STATUTE- Every person who forges, counterfeits, erases, alters, or falsifies any enrollment, license, certificate, permit, or other document, mentioned or required in title 50 of the Revised Statutes, to be granted by any officer of the revenue, such person, so offending, shall be liable to a penalty of $500. -SOURCE- (R.S. Sec. 4375.) -REFTEXT- REFERENCES IN TEXT Title 50 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 50 of the Revised Statutes, consisting of R.S. Sec. 4311 to 4390. For complete classification of R.S. Sec. 4311 to 4390 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4375 derived from act Feb. 18, 1793, ch. 8, Sec. 30, 1 Stat. 316. -CROSS- CROSS REFERENCES Definition of enrollment or license with respect to vessel documentation, see section 12101 of Title 46, Shipping. Ship's papers, counterfeiting and forgery, see section 507 of Title 18, Crimes and Criminal Procedure. ------DocID 53665 Document 566 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 324 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 324. Penalty for obstructing officers -STATUTE- Every person who assaults, resists, obstructs, or hinders any officer in the execution of any Act or law relating to the enrollment, registry, or licensing of vessels, or of title 50 of the Revised Statutes, or of any of the powers or authorities vested in him by any such Act or law, shall, for every such offense, for which no other penalty is particularly provided, be liable to a penalty of $500. -SOURCE- (R.S. Sec. 4376.) -REFTEXT- REFERENCES IN TEXT Title 50 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 50 of the Revised Statutes, consisting of R.S. Sec. 4311 to 4390. For complete classification of R.S. Sec. 4311 to 4390 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4376 derived from act Feb. 18, 1793, ch. 8, Sec. 31, 1 Stat. 316. -CROSS- CROSS REFERENCES Assault, penalty, see section 111 et seq. of Title 18, Crimes and Criminal Procedure. ------DocID 53666 Document 567 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 326 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 326. Exemption from forfeiture -STATUTE- Any merchandise on board any vessel which belongs, in good faith, to any person other than the master, owner, or mariners of such vessel, and upon which the duties have been paid, or secured according to law, shall be exempted from any forfeiture under title 50 of the Revised Statutes. -SOURCE- (R.S. Sec. 4378.) -REFTEXT- REFERENCES IN TEXT Title 50 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 50 of the Revised Statutes, consisting of R.S. Sec. 4311 to 4390. For complete classification of R.S. Sec. 4311 to 4390 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4378 derived from act Feb. 18, 1793, ch. 8, Sec. 33, 1 Stat. 316. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. ------DocID 53667 Document 568 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 327 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 327. Notice of seizure -STATUTE- In every case where a forfeiture of any vessel or merchandise shall accrue, it shall be the duty of the collector or other proper officer, who shall give notice of the seizure of such vessel or of such merchandise, to insert in the same advertisement the name and the place of residence of the person to whom any such vessel and merchandise belonged or were consigned, at the time of such seizure, if the same be known to him. -SOURCE- (R.S. Sec. 4379.) -COD- CODIFICATION R.S. Sec. 4379 derived from act Feb. 18, 1793, ch. 8, Sec. 28, 1 Stat. 315. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -CROSS- CROSS REFERENCES Canal boats or boats employed on internal waters or canals of any state, exemption from requirements of this section, see section 336 of this Appendix. ------DocID 53668 Document 569 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 328 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 328. Recovery of forfeitures and penalties -STATUTE- All penalties and forfeitures which shall be incurred by virtue of title 50 of the Revised Statutes may be sued for, prosecuted, and recovered as penalties and forfeitures incurred by virtue of the laws relating to the collection of duties, and shall be appropriated in like manner; except when otherwise expressly prescribed. -SOURCE- (R.S. Sec. 4380.) -REFTEXT- REFERENCES IN TEXT Title 50 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 50 of the Revised Statutes, consisting of R.S. Sec. 4311 to 4390. For complete classification of R.S. Sec. 4311 to 4390 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 4380 derived from act Feb. 18, 1793, ch. 8, Sec. 35, 1 Stat. 317. -CROSS- CROSS REFERENCES Enforcement of penalties and forfeitures under the customs laws, see section 1581 et seq. of Title 19, Customs Duties. ------DocID 53669 Document 570 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 336 -EXPCITE- TITLE 46 APPENDIX CHAPTER 12 -HEAD- Sec. 336. Canal boats exempt from enrollment, license, and customs fees -STATUTE- The act to which this is a supplement shall not be so construed as to extend the provisions of the said act to canal boats or boats employed on the internal waters or canals of any State; and all such boats, excepting only such as are provided with sails or propelling machinery of their own adapted to lake or coastwise navigation, and excepting such as are employed in trade with the Canadas, shall be exempt from the provisions of the said act, and from the payment of all customs and other fees under any act of Congress. -SOURCE- (Apr. 18, 1874, ch. 110, 18 Stat. 31.) -REFTEXT- REFERENCES IN TEXT The act to which this is a supplement, and the said act, referred to in text, mean act Feb. 18, 1793, ch. 8, 1 Stat. 305, entitled 'An Act for enrolling and licensing ships or vessels to be employed in the coasting trade and fisheries, and for regulating the same', which was incorporated into the Revised Statutes of 1878 as R.S. Sec. 919, 923, 938, 941, 4311, 4312, 4319 to 4327, 4331 to 4338, 4349 to 4356, 4359 to 4369, 4371 to 4381, 4383, and 4385. For complete classification of such sections of the Revised Statutes to the Code, see Tables. ------DocID 53670 Document 571 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 13 -EXPCITE- TITLE 46 APPENDIX CHAPTER 13 -HEAD- CHAPTER 13 - PASSPORTS AND PAPERS OF VESSELS ENGAGED IN FOREIGN COMMERCE -MISC1- Sec. 351 to 353. Omitted. 354. Deposit of ship's papers with consul. 355. Penalty for failure. ------DocID 53671 Document 572 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 351 to 353 -EXPCITE- TITLE 46 APPENDIX CHAPTER 13 -HEAD- Sec. 351 to 353. Omitted -COD- CODIFICATION Sections 351 to 353 were omitted in view of the discontinuance of passports and sea-letters by Presidential proclamation on Apr. 10, 1815. Section 351, R.S. Sec. 4306, related to passports for United States vessels on departure to foreign countries. Section 352, R.S. Sec. 4307, related to the penalty for departing without a passport. Section 353, R.S. Sec. 4308, related to passports of unregistered vessels. ------DocID 53672 Document 573 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 354 -EXPCITE- TITLE 46 APPENDIX CHAPTER 13 -HEAD- Sec. 354. Deposit of ship's papers with consul -STATUTE- Every master of a vessel, belonging to citizens of the United States, who shall sail from any port of the United States, shall, on his arrival at a foreign port, deposit his register, with the consul or vice consul, if any there be at such port; and it shall be the duty of such consul or vice consul, on such master or commander producing to him a clearance from the proper officer of the port where his vessel may be, to deliver to the master all of his papers, if such master or commander has complied with the provisions of law relating to the discharge of seamen in a foreign country, and to the payment of the fees of consular officers. -SOURCE- (R.S. Sec. 4309; Apr. 5, 1906, ch. 1366, Sec. 3, 34 Stat. 100.) -COD- CODIFICATION R.S. Sec. 4309 derived from act Feb. 28, 1803, ch. 9, Sec. 2, 2 Stat. 203. Reference to 'commercial agent, or vice-commercial agent' was omitted in view of the abolition of the grade of commercial agent by act Apr. 5, 1906. As originally enacted, this section also required the deposit of sea-letters and Mediterranean passports. The use of such documents was discontinued by Presidential proclamation on Apr. 10, 1815. -CROSS- CROSS REFERENCES Consular fees for services to American vessels or seamen prohibited, see section 4206 of Title 22, Foreign Relations and Intercourse. Retention of papers of American vessels by consular officers until payment of demands and wages, see section 4205 of Title 22. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 355 of this Appendix. ------DocID 53673 Document 574 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 355 -EXPCITE- TITLE 46 APPENDIX CHAPTER 13 -HEAD- Sec. 355. Penalty for failure -STATUTE- Every master of any such vessel who refuses or neglects to deposit the papers as required by section 354 of this Appendix, shall be liable to a penalty of $500, to be recovered by such consul or vice consul, in his own name, for the benefit of the United States, in any court of competent jurisdiction. -SOURCE- (R.S. Sec. 4310; Apr. 5, 1906, ch. 1366, Sec. 3, 34 Stat. 100.) -COD- CODIFICATION R.S. Sec. 4310 derived from act Feb. 28, 1803, ch. 9, Sec. 2, 2 Stat. 203. Reference to 'commercial agent, or vice-commercial agent' was omitted in view of the abolition of the grade of commercial agent by act Apr. 5, 1906. ------DocID 53674 Document 575 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 14 -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 -HEAD- CHAPTER 14 - INSPECTION OF STEAM VESSELS -MISC1- SUBCHAPTER VII - OCEANOGRAPHIC RESEARCH VESSELS Sec. 441. Exemption of oceanographic research vessels from inspection laws; definitions. 443. Vessel not engaged in trade or commerce. 444. Scientific personnel not considered seamen. SUBCHAPTER VIII - SAILING SCHOOL VESSELS 446. Sailing school students and sailing school instructors without seamen status under steam-vessel and merchant seamen provisions or maritime law doctrines. 446a. Financial responsibility; minimum amount; evidence. 446b. Sailing school vessel without status of merchant vessel or vessel engaged in trade or commerce. 446c. Definitions. ------DocID 53675 Document 576 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER VII -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VII -HEAD- SUBCHAPTER VII - OCEANOGRAPHIC RESEARCH VESSELS ------DocID 53676 Document 577 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 441 -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VII -HEAD- Sec. 441. Exemption of oceanographic research vessels from inspection laws; definitions -STATUTE- As used in this subchapter - (1) the term 'oceanographic research vessel' means a vessel which the Secretary of the department in which the Coast Guard is operating finds is being employed exclusively in instruction in oceanography or limnology, or both, or exclusively in oceanographic research, including, but not limited to, such studies pertaining to the sea as seismic, gravity meter and magnetic exploration and other marine geophysical or geological surveys, atmospheric research, and biological research; (2) the term 'scientific personnel' means persons who are aboard a vessel solely for the purpose of engaging in scientific research, instructing, or receiving instruction, in oceanography or limnology. -SOURCE- (Pub. L. 89-99, Sec. 1, July 30, 1965, 79 Stat. 424.) -STATAMEND- RESTATEMENT Section was restated in part in section 2101(18), (31) of Title 46, Shipping, as enacted by Pub. L. 98-89. -TRANS- TRANSFER OF FUNCTIONS Coast Guard transferred to Department of Transportation, and functions, powers, and duties relating to Coast Guard of Secretary of the Treasury and of other officers and offices of Department of the Treasury transferred to Secretary of Transportation by Pub. L. 89-670, Sec. 6(b)(1), Oct. 15, 1966, 80 Stat. 938. Section 6(b)(2) of Pub. L. 89-670, however, provided that notwithstanding such transfer of functions, Coast Guard shall operate as part of Navy in time of war or when President directs as provided in section 3 of Title 14, Coast Guard. See section 108 of Title 49, Transportation. ------DocID 53677 Document 578 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 443 -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VII -HEAD- Sec. 443. Vessel not engaged in trade or commerce -STATUTE- An oceanographic research vessel shall not be deemed to be engaged in trade or commerce. -SOURCE- (Pub. L. 89-99, Sec. 3, July 30, 1965, 79 Stat. 424.) ------DocID 53678 Document 579 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 444 -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VII -HEAD- Sec. 444. Scientific personnel not considered seamen -STATUTE- Scientific personnel on an oceanographic research vessel shall not be considered seamen under the provisions of title 53 of the Revised Statutes and Act (FOOTNOTE 1) amendatory thereof or supplementary thereto. (FOOTNOTE 1) So in original. Probably should be 'Acts'. -SOURCE- (Pub. L. 89-99, Sec. 4, July 30, 1965, 79 Stat. 424.) -STATAMEND- RESTATEMENT Section was restated in part in section 8701(a)(5) of Title 46, Shipping, as enacted by Pub. L. 98-89. -REFTEXT- REFERENCES IN TEXT Title 53 of the Revised Statutes, referred to in text, consisted of R.S. Sec. 4501 to 4612, which were classified to sections 541 to 543, 545 to 549, 561, 562, 564 to 571, 574 to 578, 591 to 597, 600, 602 to 605, 621 to 628, 641 to 643, 644, 645, 651 to 660, 661 to 669, 674 to 679, 681 to 687, 701 to 710, and 711 to 713 of former Title 46, Shipping. For complete classification of R.S. Sec. 4501 to 4612 to the Code, see Tables. A majority of such sections of the Revised Statutes were repealed and various provisions thereof were reenacted in Title 46, Shipping, by Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 500. For disposition of sections of former Title 46 into revised Title 46, see Table at beginning of Title 46. ------DocID 53679 Document 580 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER VIII -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VIII -HEAD- SUBCHAPTER VIII - SAILING SCHOOL VESSELS ------DocID 53680 Document 581 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 446 -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VIII -HEAD- Sec. 446. Sailing school students and sailing school instructors without seamen status under steam-vessel and merchant seamen provisions or maritime law doctrines -STATUTE- Sailing school students and sailing school instructors shall not be considered to be seamen under the provisions of titles 52 and 53 of the Revised Statutes of the United States and any Act amendatory thereof or supplementary thereto, or for the purposes of the maritime law doctrines of maintenance and cure or warranty of seaworthiness. -SOURCE- (Pub. L. 97-322, title II, Sec. 204, Oct. 15, 1982, 96 Stat. 1589.) -REFTEXT- REFERENCES IN TEXT Title 52 of the Revised Statutes, referred to in text, consisted of R.S. Sec. 4399 to 4500, which were classified to sections 170, 214, 215, 222, 224, 224a, 226, 228, 229, 230 to 234, 239, 240, 361, 362, 364, 371 to 373, 375 to 382, 384, 385, 391, 391a, 392 to 394, 399 to 404, 405 to 416, 435 to 440, 451 to 453, 460, 461 to 463, 464, 466, 467 to 482, and 489 to 498 of former Title 46, Shipping. For complete classification of R.S. Sec. 4399 to 4500 to the Code, see Tables. A majority of such sections of the Revised Statutes were repealed and various provisions thereof were reenacted in Title 46, Shipping, by Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 500. For disposition of sections of former Title 46 into revised Title 46, see Table at beginning of Title 46. Title 53 of the Revised Statutes, referred to in text, consisted of R.S. Sec. 4501 to 4612, which were classified to sections 541 to 543, 545 to 549, 561, 562, 564 to 571, 574 to 578, 591 to 597, 600, 602 to 605, 621 to 628, 641 to 643, 644, 645, 651 to 660, 661 to 669, 674 to 679, 681 to 687, 701 to 710, and 711 to 713 of former Title 46, Shipping. For complete classification of R.S. Sec. 4501 to 4612 to the Code, see Tables. A majority of such sections of the Revised Statutes were repealed and various provisions thereof were reenacted in Title 46, Shipping, by Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 500. For disposition of sections of former Title 46 into revised Title 46, see Table at beginning of Title 46. -MISC2- EFFECTIVE DATE Section 208(b) of Pub. L. 97-322 provided that: 'Sections 202, 203, 204, 205, 206, and 207 of this title and the amendments made by such sections (enacting this subchapter and amending sections 390 to 390d and 672 of former Title 46, Shipping) shall take effect eighteen months after the date of enactment of this Act (Oct. 15, 1982) or on the date upon which the rules and regulations referred to in subsection (a) (section 446d of former Title 46) take effect, whichever is earlier.' SHORT TITLE Section 201 of title II of Pub. L. 97-322 provided that: 'This title (enacting this subchapter, amending sections 390 to 390d and 672 of former Title 46, Shipping, and enacting a provision set out as a note under this section) may be cited as the 'Sailing School Vessels Act of 1982'.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 446c of this Appendix. ------DocID 53681 Document 582 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 446a -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VIII -HEAD- Sec. 446a. Financial responsibility; minimum amount; evidence -STATUTE- Each owner or charterer of a sailing school vessel shall maintain evidence of his or her financial responsibility to meet any liability incurred for death or injury to sailing school students or sailing school instructors on voyages aboard the vessel, in an amount not less than $50,000 for each student or instructor. Such financial responsibility may be evidenced by policies of insurance or other adequate financial resources. -SOURCE- (Pub. L. 97-322, title II, Sec. 205, Oct. 15, 1982, 96 Stat. 1589.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 446c of this Appendix. ------DocID 53682 Document 583 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 446b -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VIII -HEAD- Sec. 446b. Sailing school vessel without status of merchant vessel or vessel engaged in trade or commerce -STATUTE- For the purposes of section 291 of this Appendix, section 11101(a)-(c) of title 46, and section 883 of this Appendix, a sailing school vessel shall not be deemed to be a merchant vessel or a vessel engaged in trade or commerce. -SOURCE- (Pub. L. 97-322, title II, Sec. 206, Oct. 15, 1982, 96 Stat. 1590; Pub. L. 98-557, Sec. 34(b), Oct. 30, 1984, 98 Stat. 2876.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-557 inserted reference to section 11101(a)-(c) of title 46. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 446c of this Appendix. ------DocID 53683 Document 584 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 446c -EXPCITE- TITLE 46 APPENDIX CHAPTER 14 SUBCHAPTER VIII -HEAD- Sec. 446c. Definitions -STATUTE- For purposes of this subchapter, the terms 'sailing school students', 'sailing school instructor', and 'sailing school vessel' have the meaning given such terms in section 2101 of title 46. -SOURCE- (Pub. L. 97-322, title II, Sec. 207, Oct. 15, 1982, 96 Stat. 1590.) -REFTEXT- REFERENCES IN TEXT This subchapter, referred to in text, was in the original 'sections 203, 204, 205, 206, and 208 of this title', meaning sections 203 to 206 and 208 of title II of Pub. L. 97-322, Oct. 15, 1982, 96 Stat. 1589, 1590. Sections 204 to 206 of Pub. L. 97-322 are classified to this subchapter. Sections 203 and 208 were classified to sections 672(b)(4) and 446d of former Title 46, Shipping, respectively, and were repealed by Pub. L. 98-89, Sec. 4(b), Aug. 23, 1983, 97 Stat. 599, and reenacted by section 1 thereof as sections 7311 and 8101(a) of Title 46, Shipping, respectively. -COD- CODIFICATION 'Section 2101 of title 46' substituted in text for 'the first section of the Act entitled 'An Act to require the inspection and certification of certain vessels carrying passengers', enacted May 10, 1956 (46 U.S.C. 390) as amended by this title' on authority of Pub. L. 98-89, Sec. 2(b), Aug. 26, 1983, 97 Stat. 598, section 1 of which enacted Title 46, Shipping. ------DocID 53684 Document 585 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 15 -EXPCITE- TITLE 46 APPENDIX CHAPTER 15 -HEAD- CHAPTER 15 - TRANSPORTATION OF PASSENGERS AND MERCHANDISE BY STEAM VESSELS -MISC1- Sec. 466c. Export of horses. (a) Restriction on export of horses. (b) Granting of waivers. (c) Penalties. 491. Liability of master and owners for damage to passengers. ------DocID 53685 Document 586 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 466c -EXPCITE- TITLE 46 APPENDIX CHAPTER 15 -HEAD- Sec. 466c. Export of horses -STATUTE- (a) Restriction on export of horses Notwithstanding any other provision of law, no horse may be exported by sea from the United States, or any of its territories or possessions, unless such horse is part of a consignment of horses with respect to which a waiver has been granted under subsection (b) of this section. (b) Granting of waivers The Secretary of Commerce, in consultation with the Secretary of Agriculture, may issue regulations providing for the granting of waivers permitting the export by sea of a specified consignment of horses, if the Secretary of Commerce, in consultation with the Secretary of Agriculture, determines that no horse in that consignment is being exported for purposes of slaughter. (c) Penalties (1) Criminal penalty Any person who knowingly violates this section or any regulation, order, or license issued under this section shall be fined not more than 5 times the value of the consignment of horses involved or $50,000, whichever is greater, or imprisoned not more than 5 years, or both. (2) Civil penalty The Secretary of Commerce, after providing notice and an opportunity for an agency hearing on the record, may impose a civil penalty of not to exceed $10,000 for each violation of this section or any regulation, order, or license issued under this section, either in addition to or in lieu of any other liability or penalty which may be imposed. -SOURCE- (Mar. 3, 1891, ch. 521, Sec. 3, as added July 12, 1985, Pub. L. 99-64, title I, Sec. 125, 99 Stat. 156.) -MISC1- PRIOR PROVISIONS Provisions relating to the export of horses were contained in section 7(j) of the Export Administration Act of 1979, section 2406(j) of Title 50, Appendix, War and National Defense, prior to the amendment of that Act by the Export Administration Amendments Act of 1985, Pub. L. 99-64, which enacted this section. ------DocID 53686 Document 587 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 491 -EXPCITE- TITLE 46 APPENDIX CHAPTER 15 -HEAD- Sec. 491. Liability of master and owners for damage to passengers -STATUTE- Whenever damage is sustained by any passenger or his baggage, from explosion, fire, collision, or other cause, the master and the owner of such vessel, or either of them, and the vessel shall be liable to each and every person so injured, to the full amount of damage if it happens through any neglect or failure to comply with the provisions of title 52 of the Revised Statutes, or through known defects or imperfections of the steaming apparatus or of the hull; and any person sustaining loss or injury through the carelessness, negligence, or willful misconduct of any master, mate, engineer, or pilot, or his neglect or refusal to obey the laws governing the navigation of such steamers, may sue such master, mate, engineer, or pilot, and recover damages for any such injury caused by any such master, mate, engineer, or pilot. -SOURCE- (R.S. Sec. 4493.) -REFTEXT- REFERENCES IN TEXT Title 52 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 52 of the Revised Statutes, consisting of R.S. Sec. 4399 to 4500, which were classified to sections 170, 214, 215, 222, 224, 224a, 226, 228, 229, 230 to 234, 239, 240, 361, 362, 364, 371 to 373, 375 to 382, 384, 385, 391, 391a, 392 to 394, 399 to 404, 405 to 416, 435 to 440, 451 to 453, 460, 461 to 463, 464, 466, 467 to 482, and 489 to 498 of former Title 46, Shipping. For complete classification of R.S. Sec. 4399 to 4500 to the Code, see Tables. A majority of such sections of the Revised Statutes were repealed and various provisions thereof were reenacted in Title 46, Shipping, by Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 500. For disposition of sections of former Title 46 into revised Title 46, see Table at beginning of Title 46. -COD- CODIFICATION R.S. Sec. 4493 derived from act Feb. 28, 1871, ch. 100, Sec. 43, 16 Stat. 453. -CROSS- CROSS REFERENCES Owner's liability limited to proportion of any or all debts and liabilities that his individual share of vessels bears to the whole, see section 189 of this Appendix. ------DocID 53687 Document 588 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 18 -EXPCITE- TITLE 46 APPENDIX CHAPTER 18 -HEAD- CHAPTER 18 - MERCHANT SEAMEN -MISC1- SUBCHAPTER VII - PROTECTION AND RELIEF Sec. 674. List of crew to be delivered to collector. 675. Certificate to list of crew; record. 676. Rules as to list of crew. 677. Production of copy of list on return of vessel; production of persons named. 688. Recovery for injury to or death of seaman. (a) Application of railway employee statutes; jurisdiction. (b) Limitation for certain aliens; applicability in lieu of other remedy. ------DocID 53688 Document 589 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER VII -EXPCITE- TITLE 46 APPENDIX CHAPTER 18 SUBCHAPTER VII -HEAD- SUBCHAPTER VII - PROTECTION AND RELIEF ------DocID 53689 Document 590 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 674 -EXPCITE- TITLE 46 APPENDIX CHAPTER 18 SUBCHAPTER VII -HEAD- Sec. 674. List of crew to be delivered to collector -STATUTE- Before a clearance is granted to any vessel bound on a foreign voyage or engaged in the whale fishery, the master thereof shall deliver to the collector of the customs a list containing the names, places of birth and residence, and description of the persons who compose his ship's company; to which list the oath of the captain shall be annexed, that the list contains the names of his crew, together with the places of their birth and residence, as far as he can ascertain them; and the collector shall deliver him a certified copy thereof. -SOURCE- (R.S. Sec. 4573.) -COD- CODIFICATION R.S. Sec. 4573 derived from acts Feb. 28, 1803, ch. 9, Sec. 1, 2 Stat. 203; Apr. 4, 1840, ch. 6, Sec. 2, 5 Stat. 370. The words 'for which the collector shall be entitled to receive the sum of twenty-five cents' in text as enacted originally were omitted as superseded by act June 19, 1886, ch. 421, Sec. 1, 24 Stat. 79 (see 46 U.S.C. 2110), and the reorganization of the customs service authorized by act Aug. 24, 1912, ch. 355, Sec. 1, 37 Stat. 434. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 676 of this Appendix. ------DocID 53690 Document 591 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 675 -EXPCITE- TITLE 46 APPENDIX CHAPTER 18 SUBCHAPTER VII -HEAD- Sec. 675. Certificate to list of crew; record -STATUTE- In all cases of private vessels of the United States sailing from a port in the United States to a foreign port, the list of the crew shall be examined by the collector for the district from which the vessel shall clear, and, if approved of by him, shall be certified accordingly. No person shall be admitted or employed on board of any such vessel unless his name shall have been entered in the list of the crew, approved and certified by the collector for the district from which the vessel shall clear. The collector, before he delivers the list of the crew, approved and certified, to the master or proper officer of the vessel to which the same belongs, shall cause the same to be recorded in a book by him for that purpose to be provided, and the record shall be open for the inspection of all persons, and a certified copy thereof shall be admitted in evidence in any court in which any question may arise under any of the provisions of title 53 of the Revised Statutes. -SOURCE- (R.S. Sec. 4574.) -REFTEXT- REFERENCES IN TEXT Title 53 of the Revised Statutes, referred to in text, was in the original 'this Title', meaning title 53 of the Revised Statutes, consisting of R.S. Sec. 4501 to 4612, which were classified to sections 541 to 543, 545 to 549, 561, 562, 564 to 571, 574 to 578, 591 to 597, 600, 602 to 605, 621 to 628, 641 to 643, 644, 645, 651 to 660, 661 to 669, 674 to 679, 681 to 687, 701 to 710, and 711 to 713 of former Title 46, Shipping. For complete classification of R.S. Sec. 4501 to 4612 to the Code, see Tables. A majority of such sections of the Revised Statutes were repealed and various provisions thereof were reenacted in Title 46, Shipping, by Pub. L. 98-89, Aug. 26, 1983, 97 Stat. 500. For disposition of sections of former Title 46 into revised Title 46, see Table at beginning of Title 46. -COD- CODIFICATION R.S. Sec. 4574 derived from act Mar. 3, 1813, ch. 42, Sec. 3, 2 Stat. 809. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. ------DocID 53691 Document 592 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 676 -EXPCITE- TITLE 46 APPENDIX CHAPTER 18 SUBCHAPTER VII -HEAD- Sec. 676. Rules as to list of crew -STATUTE- The following rules shall be observed with reference to vessels bound on any foreign voyage: First. The duplicate list of the ship's company required to be made out by the master and delivered to the collector of the customs, under section 674 of this Appendix, shall be a fair copy in one uniform handwriting without erasure or interlineation. Second. It shall be the duty of the owners of every such vessel to obtain from the collector of the customs of the district from which the clearance is made, a true and certified copy of the shipping articles containing the names of the crew, which shall be written in a uniform hand, without erasures or interlineations. Third. These documents, which shall be deemed to contain all the conditions of contract with the crew as to their service, pay, voyage, and all other things, shall be produced by the master, and laid before any consul of the United States, whenever he may deem their contents necessary to enable him to discharge the duties imposed upon him by law toward any mariner applying to him for his aid or assistance. Fourth. All interlineations, erasures, or writing in a hand different from that in which such duplicates were originally made, shall be deemed fraudulent alterations, working no change in such papers, unless satisfactorily explained in a manner consistent with innocent purposes and the provisions of law which guard the rights of mariners. Fifth. If any master of a vessel shall proceed on a foreign voyage without the documents required, or refuse to produce them when required, or to perform the duties imposed by this section, or shall violate the provisions thereof, he shall be liable to each and every individual injured thereby in damages, to be recovered in any court of the United States in the district where such delinquent may reside or be found, and in addition thereto be punishable by a fine of $100 for each offense. Sixth. It shall be the duty of the boarding officer to report all violations of this section to the collector of the port where any vessel may arrive, and the collector shall report the same to the Commandant of the Coast Guard and to the United States attorney in his district. -SOURCE- (R.S. Sec. 4575; Feb. 27, 1877, ch. 69, Sec. 1, 19 Stat. 252; Feb. 14, 1903, ch. 552, Sec. 10, 32 Stat. 829; Apr. 5, 1906, ch. 1366, Sec. 3, 34 Stat. 100; Mar. 4, 1913, ch. 141, Sec. 1, 37 Stat. 736; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097.) -COD- CODIFICATION R.S. Sec. 4575 derived from act July 20, 1840, ch. 48, 5 Stat. 394, 395, 397. Act Feb. 27, 1877, substituted 'collector of customs of' for 'shipping commissioner or officer acting as such in' in the Second Rule. Reference to 'or other commercial agent' in Third Rule was omitted in view of the abolition of the grade of commercial agent by act Apr. 5, 1906. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. Coast Guard transferred to Department of Transportation, and functions, powers, and duties relating to Coast Guard of Secretary of the Treasury and of all other officers and offices of Department of the Treasury transferred to Secretary of Transportation by Pub. L. 89-670, Sec. 6(b)(1), Oct. 15, 1966, 80 Stat. 938. Section 6(b)(2) of Pub. L. 89-670, however, provided that notwithstanding such transfer of functions, Coast Guard shall operate as part of Navy in time of war or when President directs as provided in section 3 of Title 14, Coast Guard. See section 108 of Title 49, Transportation. For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Functions of Coast Guard, and Commandant of Coast Guard, excepted from transfer when Coast Guard is operating as part of Navy under sections 1 and 3 of Title 14. 'Commandant of the Coast Guard' substituted in text for 'Secretary of Commerce' on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. Upon incorporation into the Code, 'Secretary of Commerce' substituted for 'Secretary of the Treasury' to conform to acts Feb. 14, 1903, and Mar. 4, 1913. ADMINISTRATIVE DELEGATION OF FUNCTIONS BY SECRETARY OF THE TREASURY Administrative delegation of functions by Secretary of the Treasury, see note set out preceding section 3 of this Appendix. ------DocID 53692 Document 593 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 677 -EXPCITE- TITLE 46 APPENDIX CHAPTER 18 SUBCHAPTER VII -HEAD- Sec. 677. Production of copy of list on return of vessel; production of persons named -STATUTE- The master of every vessel bound on a foreign voyage or engaged in the whale fishery shall exhibit the certified copy of the list of the crew to the first boarding officer at the first port in the United States at which he shall arrive on his return, and also produce the persons named therein to the boarding officer, whose duty it shall be to examine the men with such list and to report the same to the collector; and it shall be the duty of the collector at the port of arrival, where the same is different from the port from which the vessel originally sailed, to transmit a copy of the list so reported to him to the collector of the port from which such vessel originally sailed. For each failure to produce any person on the certified copy of the list of the crew the master and owner shall be severally liable to a penalty of $400, to be sued for, prosecuted, and disposed of in such manner as penalties and forfeitures which may be incurred for offenses against the laws relating to the collection of duties; but such penalties shall not be incurred on account of the master not producing to the first boarding officer any of the persons contained in the list who may have been discharged in a foreign country with the consent of the consul or vice consul there residing, certified in writing, under his hand and official seal, to be produced to the collector with the other persons composing the crew, nor on account of any such person dying or absconding or being forcibly impressed into other service of which satisfactory proof shall also be exhibited to the collector. -SOURCE- (R.S. Sec. 4576; Mar. 3, 1897, ch. 389, Sec. 3, 29 Stat. 688; Apr. 5, 1906, ch. 1366, Sec. 3, 34 Stat. 100.) -COD- CODIFICATION R.S. Sec. 4576 derived from act Feb. 28, 1803, ch. 9, Sec. 1, 2 Stat. 203. Act Mar. 3, 1897, amended section by material changes which consisted of omission of 'shall enter into bond, with sufficient security, in the sum of four hundred dollars, that he' before 'shall exhibit,' insertion of provisions of second sentence before the semi-colon; and substitution of 'but such penalties shall not be incurred' for 'but such bond shall not be forfeited.' Reference to 'commercial agent, or vice commercial agent' in last sentence was omitted in view of the abolition of the grade of commercial agent by act Apr. 5, 1906. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. ------DocID 53693 Document 594 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 688 -EXPCITE- TITLE 46 APPENDIX CHAPTER 18 SUBCHAPTER VII -HEAD- Sec. 688. Recovery for injury to or death of seaman -STATUTE- (a) Application of railway employee statutes; jurisdiction Any seaman who shall suffer personal injury in the course of his employment may, at his election, maintain an action for damages at law, with the right of trial by jury, and in such action all statutes of the United States modifying or extending the common-law right or remedy in cases of personal injury to railway employees shall apply; and in case of the death of any seaman as a result of any such personal injury the personal representative of such seaman may maintain an action for damages at law with the right of trial by jury, and in such action all statutes of the United States conferring or regulating the right of action for death in the case of railway employees shall be applicable. Jurisdiction in such actions shall be under the court of the district in which the defendant employer resides or in which his principal office is located. (b) Limitation for certain aliens; applicability in lieu of other remedy (1) No action may be maintained under subsection (a) of this section or under any other maritime law of the United States for maintenance and cure or for damages for the injury or death of a person who was not a citizen or permanent resident alien of the United States at the time of the incident giving rise to the action if the incident occurred - (A) while that person was in the employ of an enterprise engaged in the exploration, development, or production of offshore mineral or energy resources - including but not limited to drilling, mapping, surveying, diving, pipelaying, maintaining, repairing, constructing, or transporting supplies, equipment or personnel, but not including transporting those resources by (a) (FOOTNOTE 1) vessel constructed or adapted primarily to carry oil in bulk in the cargo spaces; and (FOOTNOTE 1) So in original. Probably should be 'a'. (B) in the territorial waters or waters overlaying the continental shelf of a nation other than the United States, its territories, or possessions. As used in this paragraph, the term 'continental shelf' has the meaning stated in article I of the 1958 Convention on the Continental Shelf. (2) The provisions of paragraph (1) of this subsection shall not be applicable if the person bringing the action establishes that no remedy was available to that person - (A) under the laws of the nation asserting jurisdiction over the area in which the incident occurred; or (B) under the laws of the nation in which, at the time of the incident, the person for whose injury or death a remedy is sought maintained citizenship or residency. -SOURCE- (Mar. 4, 1915, ch. 153, Sec. 20, 38 Stat. 1185; June 5, 1920, ch. 250, Sec. 33, 41 Stat. 1007; Dec. 29, 1982, Pub. L. 97-389, title V, Sec. 503(a), 96 Stat. 1955.) -REFTEXT- REFERENCES IN TEXT 'Statutes of the United States modifying or extending the common-law right or remedy in cases of personal injury, to railway employees' and 'statutes of the United States conferring or regulating the right of action for death in the case of railway employees', referred to in subsec. (a), probably mean acts June 11, 1906, ch. 3073, 34 Stat. 232; Apr. 22, 1908, ch. 149, 35 Stat. 65; Apr. 5, 1910, ch. 143, 36 Stat. 291; and Aug. 11, 1939, ch. 685, 53 Stat. 1404, popularly known as the Employers' Liability Acts. Act Apr. 22, 1908, ch. 149, 35 Stat. 65, is classified generally to chapter 2 (Sec. 51 et seq.) of Title 45, Railroads. For complete classification of acts Apr. 22, 1908, Apr. 5, 1910, and Aug. 11, 1939 to the Code, see Short Title note set out under section 51 of Title 45 and Tables. The 1958 Convention on the Continental Shelf, referred to in subsec. (b)(1)(B), was done at Geneva, April 29, 1958, and entered into force for the United States, June 10, 1964. See 15 UST 471; TIAS 5578. -MISC2- AMENDMENTS 1982 - Pub. L. 97-389 designated existing provisions as subsec. (a) and added subsec. (b). 1920 - Act June 5, 1920, amended section generally. Prior to amendment, section read as follows: 'In any suit to recover damages for any injury sustained on board vessel or in its service seamen having command shall not be held to be fellow-servants with those under their authority.' EFFECTIVE DATE OF 1982 AMENDMENT Section 503(b) of Pub. L. 97-389 provided that: 'The amendment made by this section (amending this section) does not apply to any action arising out of an incident that occurred before the date of enactment of this section (Dec. 29, 1982).' -CROSS- CROSS REFERENCES Judisdiction of district courts, see sections 1331 and 1332 of Title 28, Judiciary and Judicial Procedure. Suits for recovery of damages for personal injury or death, or both, arising out of maritime tort, not maintainable unless commenced within three years from date on which cause of action accrued, see section 763a of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 33 section 903. ------DocID 53694 Document 595 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 19 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 -HEAD- CHAPTER 19 - WRECKS AND SALVAGE -MISC1- SUBCHAPTER I - GENERALLY Sec. 721. Vessels stranded on foreign coasts. 722. Property wrecked on Florida coast. 723. Forfeitures for taking wrecked property to foreign ports. 724. License to wreckers on Florida coast. 725. Canadian vessels aiding vessels wrecked or disabled in United States waters. 726. International agreement as to derelicts. 727. Right to salvage not affected by ownership of vessel. 729. Salvors of life to share in remuneration. 730. Time limit for salvage suits. 731. Applicability to ships of war. SUBCHAPTER III - ICE AND DERELICTS 738. International agreements as to ice patrol and derelict destruction; allocation of expenses. 738a. Patrol services. (a) Maintenance of ice patrol; aid to ships in distress; destruction of derelicts. (b) Warning to vessels. (c) Report on ships in dangerous regions. (d) Administration by Coast Guard. (e) Annual report. 738b. Operator of vessel to give notice of routes; avoidance of ice regions; penalty. 738c. Speed of vessel in ice region; penalty. 738d. Publication of rules and regulations in Federal Register. -CROSS- CROSS REFERENCES Owners of vessels sunk in navigable channels to mark them until removed or abandoned, see section 409 of Title 33, Navigation and Navigable Waters. Removal by Secretary of Army of vessels sunk in navigable waters or harbors, etc., see sections 414 and 415 of Title 33. ------DocID 53695 Document 596 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER I -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- SUBCHAPTER I - GENERALLY ------DocID 53696 Document 597 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 721 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 721. Vessels stranded on foreign coasts -STATUTE- Consuls and vice consuls, in cases where vessels of the United States are stranded on the coasts of their consulates respectively, shall, as far as the laws of the country will permit, take proper measures, as well for the purpose of saving the vessels, their cargoes and appurtenances, as for storing and securing the effects and merchandise saved, and for taking inventories thereof; and the merchandise and effects saved, with the inventories thereof so taken, shall, after deducting therefrom the expenses, be delivered to the owners. No consul or vice consul shall have authority to take possession of any such merchandise, or other property, when the master, owner, or consignee thereof is present or capable of taking possession of the same. -SOURCE- (R.S. Sec. 4238.) -COD- CODIFICATION R.S. Sec. 4238 derived from act Apr. 14, 1792, ch. 24, Sec. 3, 1 Stat. 255. ------DocID 53697 Document 598 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 722 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 722. Property wrecked on Florida coast -STATUTE- All property, of any description whatsoever, which shall be taken from any wreck, from the sea, or from any of the keys and shoals, within the jurisdiction of the United States, on the coast of Florida, shall be brought to some port of entry within the jurisdiction of the United States. -SOURCE- (R.S. Sec. 4239.) -COD- CODIFICATION R.S. Sec. 4239 derived from act Mar. 3, 1825, ch. 107, Sec. 2, 4 Stat. 133. -CROSS- CROSS REFERENCES Free importation of merchandise recovered from sunken and abandoned vessels, see section 1310 of Title 19, Customs Duties. ------DocID 53698 Document 599 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 723 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 723. Forfeitures for taking wrecked property to foreign ports -STATUTE- Every vessel which shall be engaged or employed in carrying or transporting any property whatsoever, taken from any wreck, from the sea, or from any of the keys or shoals, within the jurisdiction of the United States, on the coast of Florida, to any foreign port, shall, together with her tackle, apparel, and furniture, be forfeited, and all forfeitures incurred by virtue of this section shall accrue, one moiety to the informer and the other to the United States. -SOURCE- (R.S. Sec. 4240.) -COD- CODIFICATION R.S. Sec. 4240 derived from act Mar. 3, 1825, ch. 107, Sec. 1, 4 Stat. 132. ------DocID 53699 Document 600 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 724 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 724. License to wreckers on Florida coast -STATUTE- No vessel, or master thereof, shall be regularly employed in the business of wrecking on the coast of Florida without the license of the judge of the district court for the district of Florida; and, before licensing any vessel or master, the judge shall be satisfied that the vessel is seaworthy, and properly and sufficiently fitted and equipped for the business or saving property shipwrecked and in distress; and that the master thereof is trustworthy, and innocent of any fraud or misconduct in relation to any property shipwrecked or saved on the coast. -SOURCE- (R.S. Sec. 4241.) -COD- CODIFICATION R.S. Sec. 4241 derived from act Feb. 23, 1847, ch. 20, Sec. 3, 9 Stat. 131. -MISC3- DIVISION OF FLORIDA INTO THREE JUDICIAL DISTRICTS Florida divided into three judicial districts, see section 89 of Title 28, Judiciary and Judicial Procedure. ------DocID 53700 Document 601 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 725 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 725. Canadian vessels aiding vessels wrecked or disabled in United States waters -STATUTE- Canadian vessels and wrecking appurtenance may render aid and assistance to Canadian or other vessels and property wrecked, disabled, or in distress in the waters of the United States contiguous to the Dominion of Canada. This section shall be construed to apply to the canal and improvement of the waters between Lake Erie and Lake Huron, and to the waters of the Saint Mary's River and canal: And provided further, That this section shall cease to be in force from and after the date of the proclamation of the President of the United States to the effect that said reciprocal privilege has been withdrawn, revoked, or rendered inoperative by the said Government of the Dominion of Canada. -SOURCE- (June 19, 1878, ch. 324, 20 Stat. 175; May 24, 1890, ch. 292, 26 Stat. 120; Mar. 3, 1893, ch. 211, Sec. 1, 27 Stat. 683.) -COD- CODIFICATION Act June 19, 1878, was entitled 'An act to aid vessels wrecked or disabled in the waters coterminous to the United States and the Dominion of Canada.' As originally enacted, it read: 'That Canadian vessels of all descriptions may render aid or assistance to Canadian or other vessels wrecked or disabled in the waters of the United States contiguous to the Dominion of Canada: Provided, That this act shall not take effect until proclamation by the President declaring that the privilege of aiding American or other vessels wrecked or disabled in Canadian waters contiguous to the United States has been extended by the Government of the Dominion of Canada and declaring this act to be in force: And provided further, That this act shall cease to be in force from and after the date of proclamation by the President to the effect that said reciprocal privilege has been withdrawn or revoked by said Government of the Dominion of Canada.' Act May 24, 1890, amended act June 19, 1878, to read as above set forth, except that, besides making the act applicable to the canal and improvement of the waters between Lake Erie and Lake Huron, etc., it was also made applicable to the Welland Canal, and the first paragraph contained a proviso concerning the taking effect of the act. Act Mar. 3, 1893, struck out the provision relating to the Welland Canal. -CROSS- CROSS REFERENCES Use of foreign tugboats in United States prohibited, see section 316 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 316 of this Appendix. ------DocID 53701 Document 602 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 726 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 726. International agreement as to derelicts -STATUTE- The President of the United States is authorized to make with the several Governments interested in the navigation of the North Atlantic Ocean, an international agreement providing for the reporting, marking, and removal of dangerous wrecks, derelicts, and other menaces to navigation in the North Atlantic Ocean outside the coast waters of the respective countries bordering thereon. -SOURCE- (Oct. 31, 1893, No. 13, 28 Stat. 13.) -CROSS- CROSS REFERENCES International agreements as to ice patrol and derelict destruction, see section 738 of this Appendix. ------DocID 53702 Document 603 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 727 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 727. Right to salvage not affected by ownership of vessel -STATUTE- The right to remuneration for assistance or salvage services shall not be affected by common ownership of the vessels rendering and receiving such assistance or salvage services. -SOURCE- (Aug. 1, 1912, ch. 268, Sec. 1, 37 Stat. 242.) -MISC1- EFFECTIVE DATE Section 6 of act Aug. 1, 1912, provided that the act (enacting sections 727 to 731 of this Appendix) shall take effect on and after July 1, 1912. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 731 of this Appendix. ------DocID 53703 Document 604 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 729 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 729. Salvors of life to share in remuneration -STATUTE- Salvors of human life, who have taken part in the services rendered on the occasion of the accident giving rise to salvage, are entitled to a fair share of the remuneration awarded to the salvors of the vessel, her cargo, and accessories. -SOURCE- (Aug. 1, 1912, ch. 268, Sec. 3, 37 Stat. 242.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 731 of this Appendix. ------DocID 53704 Document 605 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 730 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 730. Time limit for salvage suits -STATUTE- A suit for the recovery of remuneration for rendering assistance or salvage services shall not be maintainable if brought later than two years from the date when such assistance or salvage was rendered, unless the court in which the suit is brought shall be satisfied that during such period there had not been any reasonable opportunity of arresting the assisted or salved vessel within the jurisdiction of the court or within the territorial waters of the country in which the libelant resides or has his principal place of business. -SOURCE- (Aug. 1, 1912, ch. 268, Sec. 4, 37 Stat. 242.) -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 731 of this Appendix. ------DocID 53705 Document 606 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 731 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER I -HEAD- Sec. 731. Applicability to ships of war -STATUTE- Nothing in this Act shall be construed as applying to ships of war or to Government ships appropriated exclusively to a public service. -SOURCE- (Aug. 1, 1912, ch. 268, Sec. 5, 37 Stat. 242.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is act Aug. 1, 1912, ch. 268, 37 Stat. 242, as amended, sections 1 and 3 to 5 of which are classified to sections 727 and 729 to 731 of this Appendix, respectively. Section 2 of act Aug. 1, 1912, was classified to section 728 of former Title 46, Shipping, and was repealed by Pub. L. 98-89, Sec. 4(b), Aug. 23, 1983, 97 Stat. 599, and reenacted by section 1 thereof as section 2304 of Title 46, Shipping. ------DocID 53706 Document 607 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER III -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER III -HEAD- SUBCHAPTER III - ICE AND DERELICTS ------DocID 53707 Document 608 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 738 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER III -HEAD- Sec. 738. International agreements as to ice patrol and derelict destruction; allocation of expenses -STATUTE- The President is authorized to conclude agreements with interested maritime nations (a) to maintain in the north Atlantic Ocean a service of ice patrol, of study and observation of ice and current conditions, and of assistance to vessels and their crews requiring aid within the limits of the patrol; (b) to maintain a service of study and observation of ice and current conditions in such waters as may affect the set and drift of ice in the north Atlantic Ocean; and (c) to undertake all practicable steps to insure the destruction or removal of derelicts in the northern part of the Atlantic Ocean, east of the line drawn from Cape Sable to a point in latitude thirty-four degrees north, longitude seventy degrees west, if this destruction or removal is necessary. The President is further authorized to include in such agreements a provision for payment to the United States by the countries concerned, of their proportionate share of the expense for maintenance of the services named, or for the United States to contribute its proportionate share should it be agreed that another country was to maintain the patrol. -SOURCE- (June 25, 1936, ch. 807, Sec. 1, 49 Stat. 1922.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 738a, 738d of this Appendix. ------DocID 53708 Document 609 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 738a -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER III -HEAD- Sec. 738a. Patrol services -STATUTE- (a) Maintenance of ice patrol; aid to ships in distress; destruction of derelicts Unless the agreements made in accordance with section 738 of this Appendix provide otherwise, an ice patrol shall be maintained during the whole of the ice season in guarding the southeastern, southern, and southwestern limits of the region of icebergs in the vicinity of the Grand Banks of Newfoundland, and the patrol shall inform trans-Atlantic and other passing vessels by radio and such other means as are available of the ice conditions and the extent of the dangerous region. A service of study of ice and current conditions, a service of affording assistance to vessels and crews requiring aid, and a service of removing and destroying derelicts shall be maintained during the ice season and any or all such services may be maintained during the remainder of the year as may be advisable. (b) Warning to vessels The ice patrol vessels shall warn vessels known to be approaching a dangerous area and recommend safe routes. (c) Report on ships in dangerous regions The ice patrol vessels shall record the name, together with all the facts in the case, of any ship which is observed or known to be on other than a regular recognized or advertised ship route crossing the North Atlantic Ocean, or to have crossed the fishing banks of Newfoundland north of latitude forty-three degrees north during the fishing season, or, when proceeding to and from ports of North America to have passed through regions known or believed to be endangered by ice. The name of any such ship and all pertinent information relating to the incident shall be reported to the government of the country to which the ship belongs, if the government of that country so requests. (d) Administration by Coast Guard The Commandant of the Coast Guard, under the direction of the Secretary of Transportation, shall administer the services provided for in this section and shall assign thereto such vessels, material, and personnel of the Coast Guard as may be necessary. Any executive department or agency may upon the request of the Secretary of Transportation detail personnel, loan or contribute material or equipment, or otherwise assist in the carrying out of the services named. (e) Annual report The Commandant of the Coast Guard shall publish each year a report of the activities of the services provided for in this section, a copy of which shall be furnished to each interested foreign government and to each agency assisting in the work. -SOURCE- (June 25, 1936, ch. 807, Sec. 2, 49 Stat. 1922; Oct. 15, 1966, Pub. L. 89-670, Sec. 6(b)(1), 80 Stat. 938.) -TRANS- TRANSFER OF FUNCTIONS 'Secretary of Transportation' substituted in subsec. (d) for 'Secretary of the Treasury' on authority of Pub. L. 89-670, Sec. 6(b)(1), Oct. 15, 1966, 80 Stat. 938, which transferred functions, powers, and duties relating to Coast Guard of Secretary of the Treasury and of other officers and offices of Department of the Treasury to Secretary of Transportation. Section 6(b)(2) of Pub. L. 89-670, however, provided that notwithstanding such transfer of functions, Coast Guard shall operate as part of Navy in time of war or when President directs as provided in section 3 of Title 14, Coast Guard. See section 108 of Title 49, Transportation. For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Functions of Coast Guard, and Commandant of Coast Guard, excepted from transfer when Coast Guard is operating as part of Navy under sections 1 and 3 of Title 14, Coast Guard. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 738d of this Appendix. ------DocID 53709 Document 610 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 738b -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER III -HEAD- Sec. 738b. Operator of vessel to give notice of routes; avoidance of ice regions; penalty -STATUTE- (a) The owner, or operating agent, of any passenger vessel of the United States crossing the North Atlantic Ocean shall give public notice, in such manner as may be prescribed by the Secretary of Transportation, of the regular routes which he proposes such vessel will follow and of any changes made in a route, and shall require the vessel to follow the published route as far as circumstances will permit. Any passenger vessel of the United States crossing the North Atlantic Ocean shall follow, as far as circumstances will permit, the recognized ship routes; it shall avoid, as far as practicable, the fishing banks of Newfoundland, north of latitude forty-three degrees north during the fishing season; and shall, as far as circumstances will permit, pass outside of the regions reported or known to be endangered by ice. (b) If the owner, or operating agent, of any such passenger vessel fails to comply with this section, he shall for each offense be liable to a fine not exceeding $100. -SOURCE- (June 25, 1936, ch. 807, Sec. 3, 49 Stat. 1923; Oct. 15, 1966, Pub. L. 89-670, Sec. 6(b)(1), 80 Stat. 938.) -TRANS- TRANSFER OF FUNCTIONS 'Secretary of Transportation' substituted in text for 'Secretary of the Treasury' on authority of Pub. L. 89-670, Sec. 6(b)(1), Oct. 15, 1966, 80 Stat. 938, which transferred functions, powers, and duties relating to Coast Guard of Secretary of the Treasury and of other officers and offices of Department of the Treasury to Secretary of Transportation. Section 6(b)(2) of Pub. L. 89-670, however, provided that notwithstanding such transfer of functions, Coast Guard shall operate as part of Navy in time of war or when President directs as provided in section 3 of Title 14, Coast Guard. See section 108 of Title 49, Transportation. For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Functions of Coast Guard, and Commandant of Coast Guard, excepted from transfer when Coast Guard is operating as part of Navy under sections 1 and 3 of Title 14, Coast Guard. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 738d of this Appendix. ------DocID 53710 Document 611 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 738c -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER III -HEAD- Sec. 738c. Speed of vessel in ice region; penalty -STATUTE- (a) The master of every vessel of the United States when ice is reported on or near his course, shall proceed at a moderate speed or alter his course so as to go well clear of the danger zone. (b) If the master of any such ship fails to comply with this section, he shall for each offense be liable to a fine not exceeding $500. -SOURCE- (June 25, 1936, ch. 807, Sec. 4, 49 Stat. 1923.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 738d of this Appendix. ------DocID 53711 Document 612 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 738d -EXPCITE- TITLE 46 APPENDIX CHAPTER 19 SUBCHAPTER III -HEAD- Sec. 738d. Publication of rules and regulations in Federal Register -STATUTE- All rules and regulations, except such as have no general applicability and legal effect or are effective only against Federal agencies or persons in their capacity as officers, agents, or employees thereof, issued, prescribed, or promulgated pursuant to authority contained in sections 738 to 738d of this Appendix, shall be forwarded forthwith to the Division of the Federal Register in The National Archives for filing and publishing in the Federal Register. -SOURCE- (June 25, 1936, ch. 807, Sec. 5, 49 Stat. 1924.) ------DocID 53712 Document 613 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 19A -EXPCITE- TITLE 46 APPENDIX CHAPTER 19A -HEAD- CHAPTER 19A - ADMIRALTY AND MARITIME JURISDICTION -MISC1- Sec. 740. Extension of admiralty and maritime jurisdiction; libel in rem or in personam; exclusive remedy; waiting period. ------DocID 53713 Document 614 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 740 -EXPCITE- TITLE 46 APPENDIX CHAPTER 19A -HEAD- Sec. 740. Extension of admiralty and maritime jurisdiction; libel in rem or in personam; exclusive remedy; waiting period -STATUTE- The admiralty and maritime jurisdiction of the United States shall extend to and include all cases of damage or injury, to person or property, caused by a vessel on navigable water, notwithstanding that such damage or injury be done or consummated on land. In any such case suit may be brought in rem or in personam according to the principles of law and the rules of practice obtaining in cases where the injury or damage has been done and consummated on navigable water: Provided, That as to any suit against the United States for damage or injury done or consummated on land by a vessel on navigable waters, the Public Vessels Act (46 App. U.S.C. 781 et seq.) or Suits in Admiralty Act (46 App. U.S.C. 741 et seq.), as appropriate, shall constitute the exclusive remedy for all causes of action arising after June 19, 1948, and for all causes of action where suit has not been hitherto filed under the Federal Tort Claims Act: Provided further, That no suit shall be filed against the United States until there shall have expired a period of six months after the claim has been presented in writing to the Federal agency owning or operating the vessel causing the injury or damage. -SOURCE- (June 19, 1948, ch. 526, 62 Stat. 496.) -REFTEXT- REFERENCES IN TEXT The Public Vessels Act, referred to in text, is act Mar. 3, 1925, ch. 428, 43 Stat. 1112, as amended, which is classified generally to chapter 22 (Sec. 781 et seq.) of this Appendix. For complete classification of this Act to the Code, see Short Title note set out under section 781 of this Appendix and Tables. The Suits in Admiralty Act, referred to in text, is act Mar. 9, 1920, ch. 95, 41 Stat. 525, as amended, which is classified generally to chapter 20 (Sec. 741 et seq.) of this Appendix. For complete classification of this Act to the Code, see Short Title note set out under section 741 of this Appendix and Tables. The Federal Tort Claims Act, referred to in text, is classified generally to section 1346(b) and chapter 171 (Sec. 2671 et seq.) of Title 28, Judiciary and Judicial Procedure. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. ------DocID 53714 Document 615 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 20 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- CHAPTER 20 - SUITS IN ADMIRALTY BY OR AGAINST VESSELS OR CARGOES OF UNITED STATES -MISC1- Sec. 741. Exemption of United States vessels and cargoes from arrest or seizure. 742. Libel in personam. 743. Procedure in cases of libel in personam. 743a. Omitted. 744. Release of privately owned vessel after seizure. 745. Causes of action for which suits may be brought; limitations; exceptions; actions which may not be revived; interest on claims. 746. Exemptions and limitations of liability. 747. Seizures in foreign jurisdictions. 748. Payment of judgment, award, or settlement. 749. Arbitration, compromise, or settlement of claims. 750. Recovery for salvage services by vessel or crew. 751. Disposition of moneys recovered by United States. 752. Reports as to awards and settlements. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 740, 782, 1247, 1292 of this Appendix; title 28 section 2680; title 41 section 603; title 42 section 2212; title 50 App. section 1291. ------DocID 53715 Document 616 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 741 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 741. Exemption of United States vessels and cargoes from arrest or seizure -STATUTE- No vessel owned by the United States or by any corporation in which the United States or its representatives shall own the entire outstanding capital stock or in the possession of the United States or of such corporation or operated by or for the United States or such corporation, and no cargo owned or possessed by the United States or by such corporation, shall after March 9, 1920, in view of the provision herein made for a libel in personam, be subject to arrest or seizure by judicial process in the United States or its possessions: Provided, That this chapter shall not apply to the Panama Canal Commission. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 1, 41 Stat. 525; Sept. 26, 1950, ch. 1049, Sec. 2(a)(2), 64 Stat. 1038; Sept. 27, 1979, Pub. L. 96-70, Sec. 3(b)(5), 93 Stat. 455.) -CHANGE- CHANGE OF NAME 'Panama Canal Commission' substituted in text for 'Panama Canal Company' pursuant to act Sept. 27, 1979. 'Panama Canal Company' substituted for 'Panama Railroad Company' pursuant to act Sept. 26, 1950. -MISC4- SHORT TITLE Act Mar. 9, 1920, ch. 95, which enacted this chapter, is popularly known as the 'Suits in Admiralty Act'. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. CROSS REFERENCES Disposition of moneys recovered by United States, see section 751 of this Appendix. Exemptions and limitations of liability extended to corporations described in this section, see section 746 of this Appendix. Recovery for salvage services by vessel or crew, see section 750 of this Appendix. Release of privately owned vessel after seizure, see section 744 of this Appendix. Reports as to awards and settlements, see section 752 of this Appendix. Seizures in foreign jurisdictions, see section 747 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 747 of this Appendix. ------DocID 53716 Document 617 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 742 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 742. Libel in personam -STATUTE- In cases where if such vessel were privately owned or operated, or if such cargo were privately owned or possessed, or if a private person or property were involved, a proceeding in admiralty could be maintained, any appropriate nonjury proceeding in personam may be brought against the United States or against such corporation. Such suits shall be brought in the district court of the United States for the district in which the parties so suing, or any of them, reside or have their principal place of business in the United States, or in which the vessel or cargo charged with liability is found. The libelant shall forthwith serve a copy of his libel on the United States attorney for such district and mail a copy thereof by registered mail to the Attorney General of the United States, and shall file a sworn return of such service and mailing. Such service and mailing shall constitute valid service on the United States and such corporation. In case the United States or such corporation shall file a libel in rem or in personam in any district, a cross libel in personam may be filed or a set-off claimed against the United States or such corporation with the same force and effect as if the libel had been filed by a private party. Upon application of either party the cause may, in the discretion of the court, be transferred to any other district court of the United States. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 2, 41 Stat. 525; Sept. 13, 1960, Pub. L. 86-770, Sec. 3, 74 Stat. 912.) -REFTEXT- REFERENCES IN TEXT Such corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. -MISC2- AMENDMENTS 1960 - Pub. L. 86-770 amended first sentence by substituting 'owned or possessed' for 'owned and possessed' and ', any appropriate nonjury proceeding' for 'at the time of the commencement of the action herein provided for, a libel', inserting 'or if a private person or property were involved' and striking out 'as the case may be, provided that such vessel is employed as a merchant vessel or is a tugboat operated by such corporation' after 'such corporation'. EFFECTIVE DATE OF 1960 AMENDMENT Section 4 of Pub. L. 86-770 provided in part that: 'The amendment made by section 3 (amending this section) shall apply to any case or proceeding brought after the date of enactment of this Act (Sept. 13, 1960).' -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. CROSS REFERENCES Actions on war risk insurance claims, see section 1292 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 745, 749, 1242 of this Appendix. ------DocID 53717 Document 618 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 743 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 743. Procedure in cases of libel in personam -STATUTE- Such suits shall proceed and shall be heard and determined according to the principles of law and to the rules of practice obtaining in like cases between private parties. A decree against the United States or such corporation may include costs of suit, and when the decree is for a money judgment, interest at the rate of 4 per centum per annum until satisfied, or at any higher rate which shall be stipulated in any contract upon which such decree shall be based. Interest shall run as ordered by the court. Decrees shall be subject to appeal and revision as now provided in other cases of admiralty and maritime jurisdiction. If the libelant so elects in his libel, the suit may proceed in accordance with the principles of libels in rem wherever it shall appear that had the vessel or cargo been privately owned and possessed a libel in rem might have been maintained. Election so to proceed shall not preclude the libelant in any proper case from seeking relief in personam in the same suit. Neither the United States nor such corporation shall be required to give any bond or admiralty stipulation on any proceeding brought hereunder. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 3, 41 Stat. 526; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(25)(A), 95 Stat. 155.) -REFTEXT- REFERENCES IN TEXT Such corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 struck out provisions relating to bonds or stipulations given prior to Mar. 9, 1920, in admiralty causes. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. CROSS REFERENCES Interest not allowed on any claim prior to time when suit is brought, see section 745 of this Appendix. ------DocID 53718 Document 619 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 743a -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 743a. Omitted -COD- CODIFICATION Section, act June 30, 1932, ch. 315, 47 Stat. 420, related to interest on claims. See section 745 of this Appendix. ------DocID 53719 Document 620 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 744 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 744. Release of privately owned vessel after seizure -STATUTE- If a privately owned vessel not in the possession of the United States or of such corporation is arrested or attached upon any cause of action arising or alleged to have arisen from previous possession, ownership, or operation of such vessel by the United States or by such corporation, such vessel shall be released without bond or stipulation therefor upon the suggestion by the United States, through its Attorney General or other duly authorized law officer, that it is interested in such cause, desires such release, and assumes the liability for the satisfaction of any decree obtained by the libelant in such cause, and thereafter such cause shall proceed against the United States in accordance with the provisions of this chapter. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 4, 41 Stat. 526.) -REFTEXT- REFERENCES IN TEXT Such corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. CROSS REFERENCES Payment of judgment, award, or settlement, see section 748 of this Appendix. Seizures in foreign jurisdictions, see section 747 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 747, 748, 749 of this Appendix. ------DocID 53720 Document 621 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 745 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 745. Causes of action for which suits may be brought; limitations; exceptions; actions which may not be revived; interest on claims -STATUTE- Suits as authorized by this chapter may be brought only within two years after the cause of action arises: Provided, That where a remedy is provided by this chapter it shall hereafter be exclusive of any other action by reason of the same subject matter against the agent or employee of the United States or of any incorporated or unincorporated agency thereof whose act or omission gave rise to the claim: Provided further, That the limitations contained in this section for the commencement of suits shall not bar any suit against the United States brought hereunder within one year after December 13, 1950, if such suit is based upon a cause of action whereon a prior suit in admiralty or an action at law was timely commenced and was or may hereafter be dismissed solely because improperly brought against any person, partnership, association, or corporation engaged by the United States to manage and conduct the business of a vessel owned or bareboat chartered by the United States or against the master of any such vessel: And provided further, That after June 30, 1932, no interest shall be allowed on any claim prior to the time when suit on such claim is brought as authorized by section 742 of this Appendix unless upon a contract expressly stipulating for the payment of interest. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 5, 41 Stat. 526; June 30, 1932, ch. 315, 47 Stat. 420; Dec. 13, 1950, ch. 1136, 64 Stat. 1112.) -MISC1- AMENDMENTS 1950 - Act Dec. 13, 1950, extended time limit within which certain suits in admiralty may be brought against United States. 1932 - Act June 30, 1932, amended section generally. Prior to amendment, section read as follows: 'That suits as herein authorized may be brought only on causes of action arising since April 6, 1917, provided that suits based on causes of action arising prior to the taking effect of this Act shall be brought within one year after this Act goes into effect; and all other suits hereunder shall be brought within two years after the cause of action arises.' SAVINGS PROVISION Section 5 of act Mar. 9, 1920, as amended by act June 30, 1932, also contained a saving clause in connection with certain suits instituted prior to Dec. 31, 1932. -CROSS- CROSS REFERENCES Actions on war risk insurance claims, see section 1292 of this Appendix. ------DocID 53721 Document 622 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 746 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 746. Exemptions and limitations of liability -STATUTE- The United States or such corporation shall be entitled to the benefits of all exemptions and of all limitations of liability accorded by law to the owners, charterers, operators, or agents of vessels. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 6, 41 Stat. 527.) -REFTEXT- REFERENCES IN TEXT Such corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. ------DocID 53722 Document 623 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 747 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 747. Seizures in foreign jurisdictions -STATUTE- If any vessel or cargo within the purview of sections 741 and 744 of this Appendix is arrested, attached, or otherwise seized by process of any court in any country other than the United States, or if any suit is brought therein against the master of any such vessel for any cause of action arising from, or in connection with, the possession, operation, or ownership of any such vessel, or the possession, carriage, or ownership of any such cargo, the Secretary of State of the United States in his discretion, upon the request of the Attorney General of the United States, or any other officer duly authorized by him, may direct the United States consul residing at or nearest the place at which such action may have been commenced to claim such vessel or cargo as immune from such arrest, attachment, or other seizure, and to execute an agreement, undertaking, bond, or stipulation for and on behalf of the United States, or the Maritime Administration, or such corporation as by said court required, for the release of such vessel or cargo, and for the prosecution of any appeal; or may, in the event of such suits against the master of any such vessel, direct said United States consul to enter the appearance of the United States, or of the Maritime Administration, or of such corporation, and to pledge the credit thereof to the payment of any judgment and cost that may be entered in such suit. The Attorney General is vested with power and authority to arrange with any bank, surety company, person, firm, or corporation in the United States, its Territories and possessions, or in any foreign country, to execute any such aforesaid bond or stipulation as surety or stipulator thereon, and to pledge the credit of the United States to the indemnification of such surety or stipulator as may be required to secure the execution of such bond or stipulation. The presentation of a copy of the judgment roll in any such suit, certified by the clerk of the court and authenticated by the certificate and seal of the United States consul claiming such vessel or cargo, or his successor, and by the certificate of the Secretary of State as to the official capacity of such consul, shall be sufficient evidence to the proper accounting officers of the United States, or of the Maritime Administration, or of such corporation, for the allowance and payment of such judgments: Provided, however, That nothing in this section shall be held to prejudice or preclude a claim of the immunity of such vessel or cargo from foreign jurisdiction in a proper case. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 7, 41 Stat. 527; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(25)(B), 95 Stat. 155.) -REFTEXT- REFERENCES IN TEXT Such corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Maritime Administration' for 'United States Shipping Board', wherever appearing. For prior transfers of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Shipping Board, see Ex. Ord. No. 6166, set out under section 901 of Title 5, Government Organization and Employees, act June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016, and Reorg. Plan No. 6 of 1949 and Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix. -CROSS- CROSS REFERENCES Payment of judgment, award, or settlement, see section 748 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 748 of this Appendix. ------DocID 53723 Document 624 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 748 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 748. Payment of judgment, award, or settlement -STATUTE- Any final judgment rendered in any suit herein authorized, and any final judgment within the purview of sections 744 and 747 of this Appendix, and any arbitration award or settlement had and agreed to under the provisions of section 749 of this Appendix, shall, upon the presentation of a duly authenticated copy thereof, be paid by the proper accounting officers of the United States out of any appropriation or insurance fund or other fund especially available therefor; otherwise there is hereby appropriated, out of any money in the Treasury of the United States not otherwise appropriated, a sum sufficient to pay any such judgment or award or settlement. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 8, 41 Stat. 527.) -MISC1- APPROPRIATIONS Section 3 of act June 26, 1934, ch. 756, 48 Stat. 1226, which was classified to section 725b of former Title 31, Money and Finance, provided in part that, effective July 1, 1935, the permanent or continuing appropriation accounts 'Judgments in admiralty suits under Act of March 9, 1920 (46 App. U.S.C. 748), War Department (8x143)' and 'Judgments in admiralty suits under Act of March 9, 1920 (46 App. U.S.C. 748), United States Shipping Board (0x556)' are abolished, and any unobligated balances in such accounts are covered into the Treasury; and that any claims accruing on and after July 1, 1935, which, but for this section would have been charged to these appropriation titles, shall, upon proper audit, be certified to Congress for appropriation from the general fund of the Treasury, which is authorized. ------DocID 53724 Document 625 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 749 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 749. Arbitration, compromise, or settlement of claims -STATUTE- The Secretary of any department of the Government of the United States, or the board of trustees of such corporation, are, and each is, authorized to arbitrate, compromise, or settle any claim in which suit will lie under the provisions of sections 742, 744, and 750 of this Appendix. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 9, 41 Stat. 527; Aug. 29, 1972, Pub. L. 92-417, Sec. 3, 86 Stat. 656; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(25)(C), 95 Stat. 155.) -REFTEXT- REFERENCES IN TEXT Such corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 struck out reference to the United States Shipping Board. 1972 - Pub. L. 92-417 struck out 'having control of the possession or operation of any merchant vessel' before 'are, and each is'. -CROSS- CROSS REFERENCES Payment of judgment, award, or settlement, see section 748 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 748 of this Appendix. ------DocID 53725 Document 626 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 750 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 750. Recovery for salvage services by vessel or crew -STATUTE- The United States, and the crew of any merchant vessel owned or operated by the United States, or such corporation, shall have the right to collect and sue for salvage services rendered by such vessel and crew, and any moneys recovered therefrom by the United States for its own benefit, and not for the benefit of the crew, shall be covered into the United States Treasury to the credit of the department of the Government of the United States, or of such corporation, having control of the possession or operation of such vessel. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 10, 41 Stat. 528; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(25)(D), 95 Stat. 155.) -REFTEXT- REFERENCES IN TEXT Such corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 struck out reference to the United States Shipping Board. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 749 of this Appendix. ------DocID 53726 Document 627 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 751 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 751. Disposition of moneys recovered by United States -STATUTE- All moneys recovered in any suit brought by the United States on any cause of action arising from, or in connection with, the possession, operation, or ownership of any merchant vessel, or the possession, carriage, or ownership of any cargo, shall be covered into the United States Treasury to the credit of the department of the Government of the United States, or of such aforesaid corporation, having control of the vessel or cargo with respect to which such cause of action arises, for reimbursement of the appropriation, or insurance fund, or other funds, from which the loss, damage, or compensation for which said judgment was recovered has been or will be paid. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 11, 41 Stat. 528; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(25)(D), 95 Stat. 155.) -REFTEXT- REFERENCES IN TEXT Such aforesaid corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 struck out reference to the United States Shipping Board. ------DocID 53727 Document 628 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 752 -EXPCITE- TITLE 46 APPENDIX CHAPTER 20 -HEAD- Sec. 752. Reports as to awards and settlements -STATUTE- The Secretary of any department of the Government of the United States, and the board of trustees of any such aforesaid corporation, shall report to the Congress at each session thereof the arbitration awards or settlements of claims which shall have been agreed to under this chapter since the previous session, and in which the time to appeal shall have expired or have been waived. -SOURCE- (Mar. 9, 1920, ch. 95, Sec. 12, 41 Stat. 528; Aug. 30, 1954, ch. 1076, Sec. 1(26), 68 Stat. 968; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(25)(E), 95 Stat. 155.) -REFTEXT- REFERENCES IN TEXT Such aforesaid corporation, referred to in text, probably means a corporation mentioned in section 741 of this Appendix. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 struck out reference to the United States Shipping Board. 1954 - Act Aug. 30, 1954, repealed provisions requiring the Attorney General to make an annual report to Congress of all suits under this chapter in which final judgment was rendered for or against the United States and the corporations mentioned in section 741 of this Appendix. ------DocID 53728 Document 629 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 21 -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- CHAPTER 21 - DEATH ON HIGH SEAS BY WRONGFUL ACT -MISC1- Sec. 761. Right of action; where and by whom brought. 762. Amount and apportionment of recovery. 763a. Limitations. 764. Rights of action given by laws of foreign countries. 765. Death of plaintiff pending action. 766. Contributory negligence. 767. Exceptions from operation of chapter. 768. Omitted. ------DocID 53729 Document 630 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 761 -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- Sec. 761. Right of action; where and by whom brought -STATUTE- Whenever the death of a person shall be caused by wrongful act, neglect, or default occurring on the high seas beyond a marine league from the shore of any State, or the District of Columbia, or the Territories or dependencies of the United States, the personal representative of the decedent may maintain a suit for damages in the district courts of the United States, in admiralty, for the exclusive benefit of the decedent's wife, husband, parent, child, or dependent relative against the vessel, person, or corporation which would have been liable if death had not ensued. -SOURCE- (Mar. 30, 1920, ch. 111, Sec. 1, 41 Stat. 537.) -MISC1- SHORT TITLE Act Mar. 30, 1920, ch. 111, which enacted this chapter, is popularly know as the 'Death on the High Seas Act'. -CROSS- CROSS REFERENCES Death of plaintiff pending action, see section 765 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 765 of this Appendix. ------DocID 53730 Document 631 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 762 -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- Sec. 762. Amount and apportionment of recovery -STATUTE- The recovery in such suit shall be a fair and just compensation for the pecuniary loss sustained by the persons for whose benefit the suit is brought and shall be apportioned among them by the court in proportion to the loss they may severally have suffered by reason of the death of the person by whose representative the suit is brought. -SOURCE- (Mar. 30, 1920, ch. 111, Sec. 2, 41 Stat. 537.) -CROSS- CROSS REFERENCES Death of plaintiff pending action, see section 765 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 765 of this Appendix. ------DocID 53731 Document 632 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 763a -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- Sec. 763a. Limitations -STATUTE- Unless otherwise specified by law, a suit for recovery of damages for personal injury or death, or both, arising out of a maritime tort, shall not be maintained unless commenced within three years from the date the cause of action accrued. -SOURCE- (Pub. L. 96-382, Sec. 1, Oct. 6, 1980, 94 Stat. 1525.) -COD- CODIFICATION Section was not enacted as part of act Mar. 30, 1920, known as the Death on the High Seas Act, which comprises this chapter. ------DocID 53732 Document 633 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 764 -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- Sec. 764. Rights of action given by laws of foreign countries -STATUTE- Whenever a right of action is granted by the law of any foreign State on account of death by wrongful act, neglect, or default occurring upon the high seas, such right may be maintained in an appropriate action in admiralty in the courts of the United States without abatement in respect to the amount for which recovery is authorized, any statute of the United States to the contrary notwithstanding. -SOURCE- (Mar. 30, 1920, ch. 111, Sec. 4, 41 Stat. 537.) ------DocID 53733 Document 634 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 765 -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- Sec. 765. Death of plaintiff pending action -STATUTE- If a person die (FOOTNOTE 1) as the result of such wrongful act, neglect, or default as is mentioned in section 761 of this Appendix during the pendency in a court of admiralty of the United States of a suit to recover damages for personal injuries in respect of such act, neglect, or default, the personal representative of the decedent may be substituted as a party and the suit may proceed as a suit under this chapter for the recovery of the compensation provided in section 762 of this Appendix. (FOOTNOTE 1) So in original. Probably should be 'dies'. -SOURCE- (Mar. 30, 1920, ch. 111, Sec. 5, 41 Stat. 537.) ------DocID 53734 Document 635 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 766 -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- Sec. 766. Contributory negligence -STATUTE- In suits under this chapter the fact that the decedent has been guilty of contributory negligence shall not bar recovery, but the court shall take into consideration the degree of negligence attributable to the decedent and reduce the recovery accordingly. -SOURCE- (Mar. 30, 1920, ch. 111, Sec. 6, 41 Stat. 537.) ------DocID 53735 Document 636 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 767 -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- Sec. 767. Exceptions from operation of chapter -STATUTE- The provisions of any State statute giving or regulating rights of action or remedies for death shall not be affected by this chapter. Nor shall this chapter apply to the Great Lakes or to any waters within the territorial limits of any State, or to any navigable waters in the Panama Canal Zone. -SOURCE- (Mar. 30, 1920, ch. 111, Sec. 7, 41 Stat. 538.) -REFTEXT- REFERENCES IN TEXT For definition of Canal Zone, referred to in text, see section 3602(b) of Title 22, Foreign Relations and Intercourse. ------DocID 53736 Document 637 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 768 -EXPCITE- TITLE 46 APPENDIX CHAPTER 21 -HEAD- Sec. 768. Omitted -COD- CODIFICATION Section, act Mar. 30, 1920, ch. 111, Sec. 8, 41 Stat. 538, provided that this chapter should not affect suits pending on Mar. 30, 1920. ------DocID 53737 Document 638 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 22 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- CHAPTER 22 - SUITS IN ADMIRALTY AGAINST UNITED STATES FOR DAMAGES CAUSED BY PUBLIC VESSELS OR FOR TOWAGE OR SALVAGE SERVICES -MISC1- Sec. 781. Libel in admiralty against or impleader of United States. 782. Venue of suit; application of provisions of chapter 20. 783. Cross libel, set-off, or counterclaim. 784. Subpoenas to officers or members of crews. 785. Suits by nationals of foreign governments. 786. Arbitration, compromise, or settlement. 787. Payment of judgments or settlements. 788. Lien not created against public vessels. 789. Exemptions and limitations of liability. 790. Reports by Attorney General. -CROSS- CROSS REFERENCES Stay of judicial proceedings, see section 7721 et seq. of Title 10, Armed Forces. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 740 of this Appendix; title 10 section 7721; title 28 section 2680; title 41 section 603; title 42 section 2212. ------DocID 53738 Document 639 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 781 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 781. Libel in admiralty against or impleader of United States -STATUTE- A libel in personam in admiralty may be brought against the United States, or a petition impleading the United States, for damages caused by a public vessel of the United States, and for compensation for towage and salvage services, including contract salvage, rendered to a public vessel of the United States: Provided, That the cause of action arose after the 6th day of April, 1920. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 1, 43 Stat. 1112.) -MISC1- SHORT TITLE Act Mar. 3, 1925, ch. 428, which enacted this chapter, is popularly known as the 'Public Vessels Act'. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. ------DocID 53739 Document 640 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 782 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 782. Venue of suit; application of provisions of chapter 20 -STATUTE- Such suit shall be brought in the district court of the United States for the district in which the vessel or cargo charged with creating the liability is found within the United States, or if such vessel or cargo be outside the territorial waters of the United States, then in the district court of the United States for the district in which the parties so suing, or any of them, reside or have an office for the transaction of business in the United States; or in case none of such parties reside or have an office for the transaction of business in the United States, and such vessel or cargo be outside the territorial waters of the United States, then in any district court of the United States. Such suits shall be subject to and proceed in accordance with the provisions of chapter 20 of this Appendix or any amendment thereof, insofar as the same are not inconsistent herewith, except that no interest shall be allowed on any claim up to the time of the rendition of judgment unless upon a contract expressly stipulating for the payment of interest. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 2, 43 Stat. 1112.) ------DocID 53740 Document 641 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 783 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 783. Cross libel, set-off, or counterclaim -STATUTE- In the event of the United States filing a libel in rem or in personam in admiralty for damages caused by a privately owned vessel, the owner of such vessel, or his successors in interest, may file a cross libel in personam or claim a set-off or counterclaim against the United States in such suit for and on account of any damages arising out of the same subject matter or cause of action: Provided, That whenever a cross libel is filed for any cause of action for which the original libel is filed by authority of this chapter, the respondent in the cross libel shall give security in the usual amount and form to respond to the claim set forth in said cross libel unless the court, for cause shown, shall otherwise direct; and all proceedings on the original libel shall be stayed until such security shall be given. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 3, 43 Stat. 1112.) -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. ------DocID 53741 Document 642 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 784 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 784. Subpoenas to officers or members of crews -STATUTE- No officer or member of the crew of any public vessel of the United States may be subpoenaed in connection with any suit authorized under this chapter without the consent of the Secretary of the department or the head of any independent establishment of the Government having control of the vessel at the time the cause of action arose, or of the master or commanding officer of such vessel at the time of the issuance of such subpoena. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 4, 43 Stat. 1112.) ------DocID 53742 Document 643 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 785 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 785. Suits by nationals of foreign governments -STATUTE- No suit may be brought under this chapter by a national of any foreign government unless it shall appear to the satisfaction of the court in which suit is brought that said government, under similar circumstances, allows nationals of the United States to sue in its courts. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 5, 43 Stat. 1113.) ------DocID 53743 Document 644 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 786 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 786. Arbitration, compromise, or settlement -STATUTE- The Attorney General of the United States is authorized to arbitrate, compromise, or settle any claim on which a libel or cross libel would lie under the provisions of this chapter, and for which a libel or cross libel has actually been filed. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 6, 43 Stat. 1113.) -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 787 of this Appendix. ------DocID 53744 Document 645 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 787 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 787. Payment of judgments or settlements -STATUTE- Any final judgment rendered on any libel or cross libel herein authorized, and any settlement had and agreed to under the provisions of section 786 of this Appendix, shall, upon presentation of a duly authenticated copy thereof, be paid by the proper accounting officer of the United States out of any moneys in the Treasury of the United States appropriated therefor by Congress. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 7, 43 Stat. 1113.) -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. ------DocID 53745 Document 646 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 788 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 788. Lien not created against public vessels -STATUTE- Nothing contained in this chapter shall be construed to recognize the existence of or as creating a lien against any public vessel of the United States. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 8, 43 Stat. 1113.) ------DocID 53746 Document 647 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 789 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 789. Exemptions and limitations of liability -STATUTE- The United States shall be entitled to the benefits of all exemptions and of all limitations of liability accorded by law to the owners, charterers, operators or agents of vessels. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 9, 43 Stat. 1113.) ------DocID 53747 Document 648 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 790 -EXPCITE- TITLE 46 APPENDIX CHAPTER 22 -HEAD- Sec. 790. Reports by Attorney General -STATUTE- The Attorney General of the United States shall report to the Congress at each session thereof all claims which shall have been settled under this chapter. -SOURCE- (Mar. 3, 1925, ch. 428, Sec. 10, 43 Stat. 1113; Aug. 30, 1954, ch. 1076, Sec. 1(26), 68 Stat. 968.) -MISC1- AMENDMENTS 1954 - Act Aug. 30, 1954, repealed provisions requiring the Attorney General also to make annual reports to Congress of all suits in which final judgment was rendered under this chapter. ------DocID 53748 Document 649 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 23 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- CHAPTER 23 - SHIPPING ACT -MISC1- Sec. 801. Definitions. 802. Corporation, partnership, or association as citizen. (a) Ownership of controlling interest. (b) Determination of controlling interest. (c) Determination of seventy-five per centum of interest. 803. Applicability of chapter to receivers and trustees. 804. Federal Maritime Commission; rules and regulations for filing of rates and charges for barging and affreighting of containers or containerized cargo by barges within United States. 804a. Omitted. 808. Registration, enrollment, and licensing of vessels purchased, chartered, or leased; unlawful transactions; penalties. (a) Registration, enrollment, and licensing. (b) Necessity of registration, etc., for operation; laws, regulations, and liabilities applicable. (c) Sale, mortgage, lease, etc., to foreign persons; foreign registry or operation. (d) Validity of unlawful charter, sale, etc.; penalties. 808a. Sale, chartering, leasing, mortgaging or transfering of documented vessels without approval of Secretary. 811. Investigations as to cost of merchant vessels. 812. Rebates and discriminations by carriers by water prohibited; use of 'fighting ship'. 814. Contracts between carriers filed with Commission; definition of 'agreement'; approval, disapproval, etc., by Commission; unlawful execution of agreements; conference agreements; assessment agreements; antitrust laws exemption; civil action for penalties; terminal leases exemption. 815. Discriminatory acts prohibited. 816. Just and reasonable regulations and practices; supervision by Commission. 817. Carriers in interstate commerce to establish, observe, and enforce reasonable rates and regulations. 817d. Financial responsibility of owners and charterers for death or injury to passengers or other persons. (a) Amount; method of establishment. (b) Issuance of bond when filed with Commission. (c) Civil penalties for violations; remission or mitigation of penalties. (d) Rules and regulations. (e) Refusal of departure clearance. 817e. Financial responsibility for indemnification of passengers for nonperformance of transportation. (a) Filing of information or bond with Commission. (b) Issuance of bond when filed with Commission; amount of bond. (c) Civil penalties for violations; remission or mitigation of penalties. (d) Rules and regulations. (e) Refusal of departure clearance. 818. Rates reduced not to be increased without approval of Commission. 819. Disclosure of confidential information prohibited. 820. Reports by carriers required. 821. Complaints to Commission and investigations. 822. Orders of Commission made only after full hearing. 823. Records of Commission; copies; publication of reports; evidence 824. Reversal, suspension, or modification of orders. 826. Discovery; attendance of witnesses and production of books and papers. 828. Enforcement of orders of Commission. 829. Violation of orders of Commission for payment of money. 830. Venue and procedure in suits to enforce, suspend, or set aside orders. 831. Civil and criminal penalties. 832. Powers of Interstate Commerce Commission not affected; intrastate commerce. 833. Partial invalidity of chapter as not affecting remainder. 833a. Exemption of agreements where exemption will not substantially impair effective regulation, be unjustly discriminatory, or detrimental to commerce; conditions; hearings. 834. Refusal of clearance to vessel refusing to accept freight. 835. Restrictions on transfer of shipping facilities during war or national emergency. 836. Forfeitures. 837. Prima facie evidence. 839. Approvals by Secretary. 841a. Rules and regulations. 841c. Exemption for maritime labor agreements; exception; tariff requirements not exempt. 842. Short title. REPEALS Subtitle IV (Sec. 10101 et seq.) of Title 49, Transportation (containing the codification of part III of the Interstate Commerce Act, as added by Act Sept. 18, 1940, ch. 722, title II, Sec. 201, 54 Stat. 929, which was classified to sections 901 to 923 of former Title 49), provides for the regulation of rates and services of water carriers by the Interstate Commerce Commission, thereby substantially superseding certain sections of this and the following chapters. In this connection section 920(a)-(d) of former Title 49 provided: '(a) The Shipping Act of 1916, as amended (section 801 et seq. of this Appendix), and the Intercoastal Shipping Act, 1933, as amended (section 843 et seq. of this Appendix), are repealed insofar as they are inconsistent with any provision of this chapter (section 901 et seq. of former Title 49, Transportation) and insofar as they provide for the regulation of, or the making of agreements relating to, transportation of persons or property by water in commerce which is within the jurisdiction of the Commission under the provisions of this chapter; and any other provisions of law are hereby repealed insofar as they are inconsistent with any provision of this chapter. '(b) Nothing in subsection (a) of this section shall be construed to repeal - '(1) section 1115 of Title 46 (46 App. U.S.C. 1115), or any provision of law providing penalties for violations of said section; '(2) the third sentence of section 844 of Title 46 (46 App. U.S.C. 844), as extended by section 845b of Title 46 (46 App. U.S.C. 845b), or any provision of law providing penalties for violations of section 844 of Title 46; '(3) the provisions of the Shipping Act of 1916, as amended (section 801 et seq. of this Appendix), insofar as such Act provides for the regulation of persons included within the term 'other person subject to this Act', as defined in such Act; '(4) sections 883 and 884 of Title 46 (46 App. U.S.C. 883, 884). '(c) Nothing in subsection (a) of this section shall be construed to affect the provisions of section 814 of Title 46 (46 App. U.S.C. 814) so as to prevent any water carrier subject to the provisions of this chapter from entering into any agreement under the provisions of said section with respect to transportation not subject to the provisions of this chapter in which such carrier may be engaged. '(d) Nothing in this chapter shall be construed to affect any law of navigation, the admiralty jurisdiction of the courts of the United States, liabilities of vessels and their owners for loss or damage, or laws respecting seamen, or any other maritime law, regulation, or custom not in conflict with the provisions of this chapter.' -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 847, 1114, 1183, 1308, 1309, 1704 of this Appendix; title 49 sections 10544, 10703, 10766. ------DocID 53749 Document 650 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 801 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 801. Definitions -STATUTE- When used in this chapter: The term 'common carrier by water in interstate commerce' means a common carrier engaged in the transportation by water of passengers or property on the high seas or the Great Lakes on regular routes from port to port between one State, Territory, District, or possession of the United States and any other State, Territory, District, or possession of the United States, or between places in the same Territory, District, or possession. The term 'other person subject to this chapter' means any person not included in the term 'common carrier by water in interstate commerce,' carrying on the business of forwarding or furnishing wharfage, dock, warehouse, or other terminal facilities in connection with a common carrier by water in interstate commerce. The term 'person' includes corporations, partnerships, and associations, existing under or authorized by the laws of the United States, or any State, Territory, District, or possession thereof, or of any foreign country. The term 'vessel' includes all water craft and other artificial contrivances of whatever description and at whatever stage of construction, whether on the stocks or launched, which are used or are capable of being or are intended to be used as a means of transportation on water. The term 'documented under the laws of the United States,' means 'registered, enrolled, or licensed under the laws of the United States.' The term 'carrying on the business of forwarding' means the dispatching of shipments by any person on behalf of others, by ocean-going common carriers in commerce between the United States and its Territories or possessions, or between such Territories and possessions, and handling the formalities incident to such shipments. The term 'maritime labor agreement' means any collective bargaining agreement between an employer subject to this chapter, or group of such employers and a labor organization representing employees in the maritime or stevedoring industry, or any agreement preparatory to such a collective bargaining agreement among members of a multiemployer bargaining group, or any agreement specifically implementing provisions of such a collective bargaining agreement or providing for the formation, financing, or administration of a multiemployer bargaining group. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 1, 39 Stat. 728; July 15, 1918, ch. 152, Sec. 1, 40 Stat. 900; Sept. 19, 1961, Pub. L. 87-254, Sec. 1, 75 Stat. 522; Oct. 18, 1978, Pub. L. 95-483, Sec. 2, 92 Stat. 1607; Aug. 8, 1980, Pub. L. 96-325, Sec. 2, 94 Stat. 1021; Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1608(a), (c), 95 Stat. 752, as amended Dec. 6, 1983, Pub. L. 98-210, Sec. 6, 97 Stat. 1410; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(a), (b)(1), 98 Stat. 89; Oct. 30, 1984, Pub. L. 98-595, Sec. 3(a)(1), 98 Stat. 3132.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-595, Sec. 3(a)(1)(C), struck out 'from the United States, its Territories, or possessions to foreign countries, or' before 'between the United States and' in definition of 'carrying on the business or forwarding'. Pub. L. 98-595, Sec. 3(a)(1)(B), substituted 'common carrier by water in interstate commerce' for 'common carrier by water' in two places in definition of 'other person subject to this chapter'. Pub. L. 98-595, Sec. 3(a)(1)(A), struck out definitions of 'common carrier by water in foreign commerce' and 'common carrier by water'. Pub. L. 98-237 struck out definitions of 'controlled carrier' and 'independent ocean freight forwarder'. See sections 1702(8), 1702(19), 1708, and 1718 of this Appendix. 1981 - Pub. L. 97-35, Sec. 1608(a), amended generally definition of 'independent ocean freight forwarder' striking out provision that the person not have any beneficial interest therein nor directly or indirectly controls or is controlled by such shipper or consignee or by any person having such a beneficial interest. Pub. L. 97-35, Sec. 1608(c), which amended generally definition of 'independent ocean freight forwarder' restoring provisions relating to persons having beneficial interests, effective after Dec. 31, 1983, was repealed by Pub. L. 98-210. 1980 - Pub. L. 96-325 inserted definition of 'maritime labor agreement'. 1978 - Pub. L. 95-483 inserted definition of 'controlled carrier'. 1961 - Pub. L. 87-254 inserted definitions of 'carrying on the business of forwarding' and 'independent ocean freight forwarder'. 1918 - Act July 15, 1918, inserted definitions of 'vessel' and 'documented under the laws of the United States'. EFFECTIVE AND TERMINATION DATES OF 1981 AMENDMENT Section 1608(c) of Pub. L. 97-35 which provided in part that section 1608 (amending this section and section 841b of this Appendix and enacting provisions set out as a note under this section) shall remain in effect until Dec. 31, 1983, was repealed by Pub. L. 98-210, Sec. 6, Dec. 6, 1983, 97 Stat. 1410, and Pub. L. 98-237, Sec. 20(a), Mar. 20, 1984, 98 Stat. 89. EFFECTIVE DATE OF 1978 AMENDMENT Section 4 of Pub. L. 95-483 provided that: 'The provisions of this Act, including the amendments made by this Act (amending this section and section 817 of this Appendix and enacting a provision set out as a note under section 842 of this Appendix), shall become effective thirty days after its date of enactment (Oct. 18, 1978).' REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. Section 1608 of Pub. L. 97-35, cited as a credit to this section, was repealed by section 20(a) of Pub. L. 98-237. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. REPORT TO CONGRESS ON ENFORCEABILITY AND NEED Section 1608(c) of Pub. L. 97-35 which, in part, required the Federal Maritime Commission, by June 1, 1983, to submit a report to Congress evaluating the enforceability of this section (amending sections 801 and 841b of this Appendix) and describing any reasons why this section should not be made permanent law, was repealed by Pub. L. 98-210, Sec. 6, Dec. 6, 1983, 97 Stat. 1410, and Pub. L. 98-237, Sec. 20(a), Mar. 20, 1984, 98 Stat. 89. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 845b, 888 of this Appendix; title 49 section 10703. ------DocID 53750 Document 651 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 802 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 802. Corporation, partnership, or association as citizen -STATUTE- (a) Ownership of controlling interest Within the meaning of this chapter no corporation, partnership, or association shall be deemed a citizen of the United States unless the controlling interest therein is owned by citizens of the United States, and, in the case of a corporation, unless its president or other chief executive officer and the chairman of its board of directors are citizens of the United States and unless no more of its directors than a minority of the number necessary to constitute a quorum are noncitizens and the corporation itself is organized under the laws of the United States or of a State, Territory, District, or possession thereof, but in the case of a corporation, association, or partnership operating any vessel in the coastwise trade the amount of interest required to be owned by citizens of the United States shall be 75 per centum. (b) Determination of controlling interest The controlling interest in a corporation shall not be deemed to be owned by citizens of the United States (a) if the title to a majority of the stock thereof is not vested in such citizens free from any trust or fiduciary obligation in favor of any person not a citizen of the United States; or (b) if the majority of the voting power in such corporation is not vested in citizens of the United States; or (c) if through any contract or understanding it is so arranged that the majority of the voting power may be exercised, directly or indirectly, in behalf of any person who is not a citizen of the United States; or, (d) if by any other means whatsoever control of the corporation is conferred upon or permitted to be exercised by any person who is not a citizen of the United States. (c) Determination of seventy-five per centum of interest Seventy-five per centum of the interest in a corporation shall not be deemed to be owned by citizens of the United States (a) if the title to 75 per centum of its stock is not vested in such citizens free from any trust or fiduciary obligation in favor of any person not a citizen of the United States; or (b) if 75 per centum of the voting power in such corporation is not vested in citizens of the United States; or (c) if, through any contract or understanding, it is so arranged that more than 25 per centum of the voting power in such corporation may be exercised, directly or indirectly, in behalf of any person who is not a citizen of the United States; or (d) if by any other means whatsoever control of any interest in the corporation in excess of 25 per centum is conferred upon or permitted to be exercised by any person who is not a citizen of the United States. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 2(a)-(c), 39 Stat. 729; July 15, 1918, ch. 152, Sec. 2, 40 Stat. 900; June 5, 1920, ch. 250, Sec. 38, 41 Stat. 1008; Sept. 21, 1959, Pub. L. 86-327, Sec. 3, 73 Stat. 597.) -COD- CODIFICATION Section comprises subsecs. (a) to (c) of section 2 of act Sept. 7, 1916, as amended. Subsec. (d) of the act is classified to section 803 of this Appendix. -MISC3- AMENDMENTS 1959 - Subsec. (a). Pub. L. 86-327 redefined citizenship qualification for corporations by substituting requirement that the president or other chief executive officer and the chairman of the board of directors be United States citizens and that no more of the directors than a minority of the number necessary to constitute a quorum be noncitizens for requirement that the president and managing directors be United States citizens. 1920 - Act June 5, 1920, added par. relating to percentage of corporate interest required to be owned by United States citizens and provisions of first par. concerning vessels in coastwise trade, and designated existing paragraphs as subsecs. (a) to (d). 1918 - Act July 15, 1918, added par. relating to requirements for determining controlling interest. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 883, 883-1, 888, 891u, 1244, 1271 of this Appendix; title 15 sections 144, 713c-3, 2509; title 16 section 742c; title 28 section 2342; title 30 section 1522; title 42 section 5919; title 46 sections 12102, 12106, 31322, 31328; title 50 App. section 1736. ------DocID 53751 Document 652 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 803 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 803. Applicability of chapter to receivers and trustees -STATUTE- The provisions of this chapter shall apply to receivers and trustees of all persons to whom the chapter applies, and to the successors or assignees of such persons. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 2(d), 39 Stat. 729; July 15, 1918, ch. 152, Sec. 2, 40 Stat. 900; June 5, 1920, ch. 250, Sec. 38, 41 Stat. 1008.) -COD- CODIFICATION Section comprises subsec. (d) of section 2 of act Sept. 7, 1916, as amended. Subsecs. (a) to (c) of section 2 of the act are classified to section 802 of this Appendix. Acts July 15, 1918, and June 5, 1920, made no change in this provision of the act Sept. 7, 1916, except that it was designated subsec. (d) by section 38 of act June 5, 1920. See Codification note set out under section 802 of this Appendix. -MISC3- REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 888 of this Appendix; title 28 section 2342; title 46 section 12106. ------DocID 53752 Document 653 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 804 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 804. Federal Maritime Commission; rules and regulations for filing of rates and charges for barging and affreighting of containers or containerized cargo by barges within United States -STATUTE- Notwithstanding part III of the Interstate Commerce Act, as amended, or any other provision of law, rates and charges for the barging and affreighting of containers or containerized cargo by barge between points in the United States, shall be filed solely with the Federal Maritime Commission in accordance with rules and regulations promulgated by the Commission where (a) the cargo is moving between a point in a foreign country or a non-contiguous State, territory, or possession and a point in the United States, (b) the transportation by barge between points in the United States is furnished by a terminal operator as a service substitute in lieu of a direct vessel call by the common carrier by water transporting the containers or containerized cargo under a through bill of lading, (c) such terminal operator is a Pacific Slope State, municipality, or other public body or agency subject to the jurisdiction of the Federal Maritime Commission, and the only one furnishing the particular circumscribed barge service in question as of January 2, 1975, and (d) such terminal operator is in compliance with the rules and regulations of the Federal Maritime Commission for the operation of such barge service. The terminal operator providing such services shall be subject to the provisions of this chapter. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 3, as added Jan. 2, 1975, Pub. L. 93-605, Sec. 2(a), 88 Stat. 1966.) -REFTEXT- REFERENCES IN TEXT The Interstate Commerce Act, referred to in text, is act Feb. 4, 1887, ch. 104, 24 Stat. 379, as amended, part III of which was classified to chapter 12 (Sec. 901 et seq.) of former Title 49, Transportation. The Act was repealed by Pub. L. 95-473, Sec. 4(b), Oct. 17, 1978, 92 Stat. 1467, the first section of which enacted subtitle IV (Sec. 10101 et seq.) of Title 49. For distribution of sections of former Title 49 into the revised Title 49, see Table at the beginning of Title 49. -MISC2- PRIOR PROVISIONS A prior section 804, acts Sept. 7, 1916, ch. 451, Sec. 3, 39 Stat. 729; June 5, 1920, ch. 250, Sec. 3, 41 Stat. 989, which established the United States Shipping Board and enumerated its duties was repealed by act June 29, 1936, ch. 858, title IX, Sec. 903(a), 49 Stat. 2016. RULES AND REGULATIONS Section 2(b) of Pub. L. 93-605 provided that: 'Within one hundred and twenty days after enactment of this Act (Jan. 2, 1975), the Federal Maritime Commission shall promulgate rules and regulations for the barge operations described in the amendment made by the first section of this Act (probably refers to this section). Such rules shall provide that the rates charged shall be based upon factors normally considered by a regular commercial operator in the same service.' ------DocID 53753 Document 654 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 804a -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 804a. Omitted -COD- CODIFICATION Section, act June 30, 1932, ch. 314, Sec. 306, 47 Stat. 408, which reorganized the United States Shipping Board, was omitted in view of abolishment of Board by Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933, set out as a note under section 901 of Title 5, Government Organization and Employees. Section was not enacted as part of the Shipping Act, 1916 which comprises this chapter. ------DocID 53754 Document 655 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 808 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 808. Registration, enrollment, and licensing of vessels purchased, chartered, or leased; unlawful transactions; penalties -STATUTE- (a) Repealed. Pub. L. 101-225, title III, Sec. 307(3), Dec. 12, 1989, 103 Stat. 1925 (b) Necessity of registration, etc., for operation; laws, regulations, and liabilities applicable Every vessel purchased, chartered, or leased from the Secretary of Transportation shall, unless otherwise authorized by the Secretary of Transportation, be operated only under such registry or enrollment and license. Such vessels while employed solely as merchant vessels shall be subject to all laws, regulations, and liabilities governing merchant vessels, whether the United States be interested therein as owner, in whole or in part, or hold any mortgage, lien, or other interest therein. (c) Sale, mortgage, lease, etc., to foreign persons; foreign registry or operation Except as provided in section 1181 of this Appendix and sections 31322(a)(1)(D) and 31328 of title 46, a person may not, without the approval of the Secretary of Transportation - (1) sell, mortgage, lease, charter, deliver, or in any manner transfer, or agree to sell, mortgage, lease, charter, deliver, or in any manner transfer, to a person not a citizen of the United States, any interest in or control of a documented vessel (except in a vessel that has been operated only as a fishing vessel, fish processing vessel, or fish tender vessel (as defined in section 2101 of title 46) or in a vessel that has been operated only for pleasure) owned by a citizen of the United States or the last documentation of which was under the laws of the United States; or (2) place a documented vessel, or a vessel the last documentation of which was under the laws of the United States, under foreign registry or operate that vessel under the authority of a foreign country. (d) Validity of unlawful charter, sale, etc.; penalties (1) Any charter, sale, transfer, or mortgage of a vessel, or interest in or control of that vessel, contrary to this section is void. (2) A person that knowingly charters, sells, transfers, or mortgages a vessel, or interest in or control of that vessel, contrary to this section shall be fined under title 18, imprisoned for not more than 5 years, or both. (3) A documented vessel may be seized by, and forfeited to, the United States Government if - (A) the vessel is placed under foreign registry or operated under the authority of a foreign country contrary to this section; or (B) a person knowingly charters, sells, transfers, or mortgages a vessel, or interest or control in that vessel, contrary to this section. (4) A person that charters, sells, transfers, or mortgages a vessel, or an interest in or control of a vessel, in violation of this section is liable to the United States Government for a civil penalty of not more than $10,000 for each violation. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 9, 39 Stat. 730; July 15, 1918, ch. 152, Sec. 3, 40 Stat. 900; June 5, 1920, ch. 250, Sec. 18, 41 Stat. 994; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; June 23, 1938, ch. 600, Sec. 42, 52 Stat. 964; Nov. 8, 1965, Pub. L. 89-346, Sec. 1, 79 Stat. 1305; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(26), 95 Stat. 155; Nov. 23, 1988, Pub. L. 100-710, title I, Sec. 104(b), 102 Stat. 4750; Dec. 12, 1989, Pub. L. 101-225, title III, Sec. 304(a), 307(3), 103 Stat. 1924, 1925.) -MISC1- AMENDMENTS 1989 - Subsec. (a). Pub. L. 101-225, Sec. 307(3), struck out subsec. (a) which related to registration, enrollment, and licensing of vessels purchased, chartered, or leased as United States vessels and authorization of vessels to engage in the coastwise trade of the United States. Subsec. (c)(1). Pub. L. 101-225, Sec. 304(a), inserted 'or the last documentation of which was under the laws of the United States' before semicolon at end. Subsec. (c)(2). Pub. L. 101-225, Sec. 304(a)(2), inserted ', or a vessel the last documentation of which was under the laws of the United States,' after 'a documented vessel'. Subsec. (d)(1), (2). Pub. L. 101-225, Sec. 304(a)(3), substituted 'in or control of' for 'or control in'. Subsec. (d)(4). Pub. L. 101-225, Sec. 304(a)(4), added par. (4). 1988 - Subsecs. (a), (b). Pub. L. 100-710, Sec. 104(b)(1), (2), designated first and second undesignated pars. as subsecs. (a) and (b), respectively. Subsecs. (c), (d). Pub. L. 100-710, Sec. 104(b)(3), substituted subsecs. (c) and (d) for third, fourth, and fifth undesignated pars. which prohibited, without approval, sale, mortgage, lease, etc., to a person not a citizen of the United States, or transfer under foreign registry or flag, of vessel owned or documented under laws of United States and issuance, transfer, or assignment of bond or note secured by vessel without approval and which set forth qualifications for approval and penalties for violations of this section. Fourth undesignated par. restated in section 31328 of Title 46, Shipping. 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'United States Maritime Commission', 'Commission', and 'Secretary of Commerce' wherever appearing. For prior transfers of functions, see Transfer of Functions note below. 1965 - Pub. L. 89-346 made it unlawful to issue, transfer, or assign a bond, note, or other evidence of indebtedness which is secured by a mortgage of a vessel to a trustee or by an assignment to a trustee of the owner's right, title, or interest in a vessel under construction, to a person not a citizen of the United States, without the approval of the Secretary of Commerce, unless the trustee or a substitute trustee of such mortgage or assignment is approved by the Secretary of Commerce, required the Secretary to grant his approval if such trustee or substitute trustee is a bank or trust company which meets certain specified qualifications and to disapprove such trustee or substitute trustee if at any time he ceases to meet such qualifications, made it unlawful to transfer or assign such bond, note, or other evidence of indebtedness to a person not a citizen of the United States, without the approval of the Secretary, after such disapproval, prohibited the trustee or substitute trustee approved by the Secretary to operate the vessel under the mortgage or assignment without approval of the Secretary, and voided the issuance, transfer, or assignments of bonds, notes, or other evidences of indebtedness if issued, transferred, or assigned to a person not a citizen of United States in violation of this section. 1938 - Act June 23, 1938, amended last two pars. generally. 1920 - Act June 5, 1920, amended section generally. 1918 - Act July 15, 1918, amended section generally. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, and not applicable to any change in control resulting from, or which may at any time result from, any proposed plan of reorganization filed under United States bankruptcy laws prior to Nov. 23, 1988, except that transactions undertaken as a result of such plan shall continue to be governed by this section as it existed prior to Nov. 23, 1988, to the extent that this section would have governed such transactions, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of Title 46, Shipping. RETROACTIVE PROVISIONS Section 4 of Pub. L. 89-346 provided that: 'Bonds, notes, and other evidence of indebtedness which are secured by a mortgage of a vessel to a trustee or by an assignment to a trustee of the owner's right, title, or interest in a vessel under construction which have heretofore been issued, transferred, or assigned, or are issued, transferred, or assigned within one year after the enactment of this Act (Nov. 8, 1965), to a person not a citizen of the United States without the approval of the Secretary of Commerce are valid in the hands of such person and the validity and perferred status of such mortgage and the validity and lawfulness of such issuance, transfer, or assignment shall not be affected by such issuance, transfer, or assignment if the trustee or a substitute trustee is approved by the Secretary of Commerce within one year after enactment of this Act (Nov. 8, 1965), under the standards for trustees specified in the amendments made by this Act to sections 9 and 37 of the Shipping Act, 1916 (sections 808 and 835 of this Appendix), and to subsection O of the Ship Mortgage Act, 1920 (section 961 of this Appendix). 'Nothing in this section shall be construed to alter retroactively any rights which were the subject matter of litigation pending on the date of enactment of this Act (Nov. 8, 1965).' REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'United States Maritime Commission' substituted in text for 'United States Shipping Board'. For dissolution of Board and transfer of its functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949 and Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix. -CROSS- CROSS REFERENCES Corporation meeting certain conditions deemed citizens for purposes of this section, see section 883-1 of this Appendix. Definition of enrollment, license, or register with respect to vessel documentation, see section 12101 of Title 46, Shipping. Documentation of foreign merchant vessels acquired under emergency authority, see section 198 of Title 50, War and National Defense. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 808a, 839, 865a, 883, 883-1, 1160 of this Appendix; title 28 section 2342; title 46 sections 12111, 31306; title 50 section 198. ------DocID 53755 Document 656 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 808a -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 808a. Sale, chartering, leasing, mortgaging or transfering of documented vessels without approval of Secretary -STATUTE- A vessel that is or was last documented under chapter 121 of title 46 may be sold, chartered, leased, mortgaged, or transferred by any other means to a citizen of the United States (as defined in section 2101 of that title) without the approval of the Secretary of Transportation under section 808 of this Appendix. -SOURCE- (Pub. L. 98-454, title III, Sec. 302, Oct. 5, 1984, 98 Stat. 1734.) -COD- CODIFICATION Section was not enacted as part of the Shipping Act, 1916, which comprises this chapter. ------DocID 53756 Document 657 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 811 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 811. Investigations as to cost of merchant vessels -STATUTE- The Secretary of Transportation shall investigate the relative cost of building merchant vessels in the United States and in foreign maritime countries, and the relative cost, advantages, and disadvantages of operating in the foreign trade vessels under United States registry and under foreign registry. The Secretary shall examine the rules under which vessels are constructed abroad and in the United States, and the methods of classifying and rating same, and the Secretary shall examine into the subject of marine insurance, the number of companies in the United States, domestic and foreign, engaging in marine insurance, the extent of the insurance on hulls and cargoes placed or written in the United States, and the extent of reinsurance of American maritime risks in foreign companies, and ascertain what steps may be necessary to develop an ample marine insurance system as an aid in the development of an American merchant marine. The Secretary shall examine the navigation laws of the United States and the rules and regulations thereunder, and make such recommendations to the Congress as the Secretary deems proper for the amendment, improvement, and revision of such laws, and for the development of the American merchant marine. The Secretary shall investigate the legal status of mortgage loans on vessel property, with a view to means of improving the security of such loans and of encouraging investment in American shipping. The Secretary shall, on or before the 1st day of December in each year, make a report to the Congress, which shall include his recommendations and the results of his investigations, a summary of his transactions, and a statement of all expenditures and receipts under this chapter, and of the operations of any corporation in which the United States is a stockholder, and the names and compensation of all persons employed by the Secretary of Transportation. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 12, 39 Stat. 732; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(27), 95 Stat. 155.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission', 'The Secretary' for 'It', 'the Secretary' for 'it', and 'his' for 'its' wherever appearing. For prior transfers of functions, see Transfer of Functions note below. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166, and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53757 Document 658 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 812 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 812. Rebates and discriminations by carriers by water prohibited; use of 'fighting ship' -STATUTE- No common carrier by water in interstate commerce shall, directly or indirectly, in respect to the transportation by water of passengers or property between a port of a State, Territory, District, or possession of the United States and any other such port - First. Pay or allow, or enter into any combination, agreement, or understanding, express or implied, to pay or allow a deferred rebate to any shipper. The term 'deferred rebate' in this chapter means a return of any portion of the freight money by a carrier to any shipper as a consideration for the giving of all or any portion of his shipments to the same or any other carrier, or for any other purpose, the payment of which is deferred beyond the completion of the service for which it is paid, and is made only if, during both the period for which computed and the period of deferment, the shipper has complied with the terms of the rebate agreement or arrangement. Second. Use a fighting ship either separately or in conjunction with any other carrier, through agreement or otherwise. The term 'fighting ship' in this chapter means a vessel used in a particular trade by a carrier or group of carriers for the purpose of excluding, preventing, or reducing competition by driving another carrier out of said trade. Third. Retaliate against any shipper by refusing, or threatening to refuse, space accommodations when such are available, or resort to other discriminating or unfair methods, because such shipper has patronized any other carrier or has filed a complaint charging unfair treatment, or for any other reason. Fourth. Make any unfair or unjustly discriminatory contract with any shipper based on the volume of freight offered, or unfairly treat or unjustly discriminate against any shipper in the matter of (a) cargo space accommodations or other facilities, due regard being had for the proper loading of the vessel and the available tonnage; (b) the loading and landing of freight in proper condition; or (c) the adjustment and settlement of claims. Any carrier who violates any provision of this section shall be guilty of a misdemeanor punishable by a fine of not more than $25,000 for each offense. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 14, 39 Stat. 733; June 5, 1920, ch. 250, Sec. 20, 41 Stat. 996; Aug. 12, 1958, Pub. L. 85-626, Sec. 1, 72 Stat. 574; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(a), (b)(2)-(4), 98 Stat. 88, 89.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-237, Sec. 20(b)(2), (3), in first introductory par., substituted 'common carrier by water in interstate commerce' for 'common carrier by water' and struck out 'or a port of a foreign country' after 'any other such port'. Pub. L. 98-237, Sec. 20(b)(4), struck out provision, in last par., that nothing in this chapter be construed to forbid dual rate contract arrangements in use by members of conference on May 19, 1958, unless regulatory body disapproves arrangement, and defined 'dual rate contract arrangements', which had terminated pursuant to section 2 of Pub. L. 85-626, set out as an Effective and Termination Date of 1958 Amendment note below. 1958 - Pub. L. 85-626 provided, in last par., that nothing in this chapter be construed to forbid dual rate contract arrangements in use by members of conference on May 19, 1958, unless regulatory body disapproves arrangement, and defined 'dual rate contract arrangements'. 1920 - Act June 5, 1920, inserted 'directly or indirectly' at end of first introductory par. and the rest of that par. EFFECTIVE AND TERMINATION DATE OF 1958 AMENDMENT Section 2 of Pub. L. 85-626, as amended by Pub. L. 86-542, June 29, 1960, 74 Stat. 253; Pub. L. 87-75, June 30, 1961, 75 Stat. 195; Pub. L. 87-252, Sec. 2, Sept. 16, 1961, 75 Stat. 521, provided that: 'This Act (amending this section) shall be effective immediately upon enactment (Aug. 12, 1958) and shall cease to be effective on and after October 15, 1961: Provided, however, That contracts in effect midnight September 14, 1961, shall remain in effect until midnight October 15, 1961, unless such contracts terminate earlier by their own terms, or are rendered illegal under the terms of the first section of this Act (amending this section).' REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. Section 20 of act June 5, 1920, cited as a credit to this section, was repealed by Pub. L. 98-237, Sec. 20(a), Mar. 20, 1984, 98 Stat. 88. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS Functions under this section vested in Federal Maritime Board under provisions of Reorg. Plan No. 21 of 1950, set out as a note under section 1111 of this Appendix, transferred to Federal Maritime Commission by section 103(a) of Reorg. Plan No. 7 of 1961, eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840, set out as a note under section 1111 of this Appendix. Section 104 of Reorg. Plan No. 7 of 1961, transferred to Chairman of Federal Maritime Commission functions of Chairman of Federal Maritime Board, including his functions derived from provisions of Reorg. Plan No. 6 of 1949, set out as a note under section 1111 of this Appendix, to extent that they relate to functions transferred to Commission by provisions of section 103 of Reorg. Plan No. 7 of 1961, and functions of Secretary of Commerce to extent that they are necessary for, or incidental to, administration of functions transferred to Commission by provisions of section 103 of Reorg. Plan No. 7 of 1961. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 831 of this Appendix. ------DocID 53758 Document 659 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 814 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 814. Contracts between carriers filed with Commission; definition of 'agreement'; approval, disapproval, etc., by Commission; unlawful execution of agreements; conference agreements; assessment agreements; antitrust laws exemption; civil action for penalties; terminal leases exemption -STATUTE- Every common carrier by water in interstate commerce, or other person subject to this chapter, shall file immediately with the Commission a true copy, or, if oral, a true and complete memorandum, of every agreement with another such carrier or other person subject to this chapter, or modification or cancellation thereof, to which it may be a party or conform in whole or in part, fixing or regulating transportation rates or fares; giving or receiving special rates, accommodations, or other special privileges or advantages; controlling, regulating, preventing, or destroying competition; pooling or apportioning earnings, losses, or traffic; allotting ports or restricting or otherwise regulating the number and character of sailings between ports; limiting or regulating in any way the volume or character of freight or passenger traffic to be carried; or in any manner providing for an exclusive, preferential, or cooperative working arrangement. The term 'agreement' in this section includes understandings, conferences, and other arrangements, but does not include maritime labor agreements or any provisions of such agreements, unless such provisions provide for an assessment agreement described in the fifth paragraph of this section. The Commission shall by order, after notice and hearing, disapprove, cancel or modify any agreement, or any modification or cancellation thereof, whether or not previously approved by it, that it finds to be unjustly discriminatory or unfair as between carriers, shippers, exporters, importers, or ports, or between exporters from the United States and their foreign competitors, or to operate to the detriment of the commerce of the United States, or to be contrary to the public interest, or to be in violation of this chapter, and shall approve all other agreements, modifications, or cancellations. No such agreement shall be approved, nor shall continued approval be permitted for any agreement (1) between carriers not members of the same conference or conferences of carriers serving different trades that would otherwise be naturally competitive, unless in the case of agreements between carriers, each carrier, or in the case of agreement between conferences, each conference, retains the right of independent action, or (2) in respect to any conference agreement, which fails to provide reasonable and equal terms and conditions for admission and readmission to conference membership of other qualified carriers in the trade, or fails to provide that any member may withdraw from membership upon reasonable notice without penalty for such withdrawal. The Commission shall disapprove any such agreement, after notice and hearing, on a finding of inadequate policing of the obligations under it, or of failure or refusal to adopt and maintain reasonable procedures for promptly and fairly hearing and considering shippers' requests and complaints. Any agreement and any modification or cancellation of any agreement not approved, or disapproved, by the Commission shall be unlawful, and agreements, modifications, and cancellations shall be lawful only when and as long as approved by the Commission; before approval or after disapproval it shall be unlawful to carry out in whole or in part, directly or indirectly, any such agreement, modification, or cancellation; except that tariff rates, fares, and charges, and classifications, rules, and regulations explanatory thereof agreed upon by approved conferences, and changes and amendments thereto, if otherwise in accordance with law, shall be permitted to take effect without prior approval upon compliance with the provisions of any regulations the Commission may adopt. Assessment agreements, whether part of a collective bargaining agreement or negotiated separately, to the extent they provide for the funding of collectively bargained fringe benefit obligations on other than a uniform man-hour basis, regardless of the cargo handled or type of vessel or equipment utilized, shall be deemed approved upon filing with the Commission. The Commission shall thereafter, upon complaint filed within 2 years of the date of filing of the agreement, disapprove, cancel, or modify any such agreement, or charge or assessment pursuant thereto, that it finds, after notice and hearing, to be unjustly discriminatory or unfair as between carriers, shippers, or ports, or to operate to the detriment of the commerce of the United States. The Commission shall issue its final decision in any such complaint proceeding within 1 year of the date of filing of the complaint. To the extent that any assessment or charge is found, in such a complaint proceeding, to be unjustly discriminatory or unfair as between carriers, shippers, or ports, the Commission shall remedy the unjust discrimination or unfairness for the period of time between the filing of the complaint and the final decision by means of assessment adjustments. Such adjustments shall be implemented by prospective credits or debits to future assessments or charges, except in the case of a complainant who has ceased activities subject to the assessment or charge, in which case reparation may be awarded. To the extent that any provision of this paragraph conflicts with the language of section 821 of this Appendix or any other section of this chapter, or of the Intercoastal Shipping Act, 1933 (46 App. U.S.C. 843 et seq.), the provisions of this paragraph shall control in any matter involving assessment agreements described herein. Every agreement, modification, or cancellation lawful under this section shall be excepted from the provisions of the Act approved July 2, 1890, entitled 'An act to protect trade and commerce against unlawful restraints and monopolies,' and amendments and Acts supplementary thereto, and the provisions of sections 73 to 77, both inclusive, of the Act approved August 27, 1894, entitled 'An act to reduce taxation, to provide revenue for the Government, and for other purposes,' and amendments and Acts supplementary thereto. Whoever violates any provision of this section shall be subject to a civil penalty of not more than $1,000 for each day such violation continues: Provided, however, That the penalty provisions of this section shall not apply to leases, licenses, assignments, or other agreements of similar character for the use of terminal property or facilities which were entered into before the date of enactment of this Act, and, if continued in effect beyond said date, submitted to the Federal Maritime Commission for approval prior to or within ninety days after the enactment of this Act, unless such leases, licenses, assignments, or other agreements for the use of terminal facilities are disapproved, modified, or canceled by the Commission and are continued in operation without regard to the Commission's action thereon. The Commission shall promptly approve, disapprove, cancel, or modify each such agreement in accordance with the provisions of this section. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 15, 39 Stat. 733; Oct. 3, 1961, Pub. L. 87-346, Sec. 2, 75 Stat. 763; Feb. 29, 1964, Pub. L. 88-275, 78 Stat. 148; Aug. 29, 1972, Pub. L. 92-416, Sec. 1(a), 86 Stat. 653; Aug. 8, 1980, Pub. L. 96-325, Sec. 3, 4, 94 Stat. 1021; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(2), (5), (6), 98 Stat. 89.) -REFTEXT- REFERENCES IN TEXT The Intercoastal Shipping Act, 1933, referred to in text, is act Mar. 3, 1933, ch. 199, 47 Stat. 1425, as amended, which is classified generally to chapter 23A (Sec. 843 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 848 of this Appendix and Tables. Act of July 2, 1890, referred to in text, is act July 2, 1890, ch. 647, 26 Stat. 209, as amended, known as the Sherman Act, which enacted sections 1 to 7 of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see Short Title note set out under section 1 of Title 15 and Tables. Sections 73 to 77, both inclusive, of the Act of August 27, 1894, referred to in text, are sections 73 to 77 of act Aug. 27, 1894, ch. 349, 28 Stat. 570, as amended, known as the Wilson Tariff Act. Sections 73 to 76 enacted sections 8 to 11 of Title 15. Section 77 was not classified to the Code. For complete classification of this Act to the Code, see Short Title note set out under section 8 of Title 15 and Tables. Date of enactment of this Act and enactment of this Act, referred to in text, probably means the date of enactment of Pub. L. 88-275, which was approved Feb. 29, 1964. -MISC2- AMENDMENTS 1984 - Pub. L. 98-237, Sec. 20(b)(2), in first par., substituted 'common carrier by water in interstate commerce' for 'common carrier by water'. Pub. L. 98-237, Sec. 20(b)(5), in fourth par., struck out '(including changes in special rates and charges covered by section 813a of this Appendix which do not involve a change in the spread between such rates and charges and the rates and charges applicable to noncontract shippers)' after 'regulations explanatory thereof' and struck out 'with the publication and filing requirements of section 817(b) of this Appendix and' after 'approval upon compliance'. Pub. L. 98-237, Sec. 20(b)(6), in sixth par., struck out ', or permitted under section 813a of this Appendix,' after 'under this section'. Pub. L. 98-237, Sec. 20(b)(6), in seventh par., struck out 'or of section 813a of this Appendix' after 'Whoever violates any provision of this section'. 1980 - Pub. L. 96-325, Sec. 3, amended first par., excluding maritime labor agreements or any provisions of such agreements from being considered agreements under this section, unless such provisions provide for an assessment agreement as described in this section. Pub. L. 96-325, Sec. 4, inserted fifth par. concerning approval, disapproval, cancellation, or modification of assessment agreements, adjustments on assessment agreements, and the controlling nature of provisions of this section regarding assessment agreements. 1972 - Pub. L. 92-416 substituted a civil penalty of not more than $1,000 for each day of violation, for a penalty of not more than $1,000 for each day of violation, and struck out provisions relating to the recovery by the United States in a civil action, in last paragraph relating to penalties. 1964 - Pub. L. 88-275 provided for exemption of certain terminal leases from penalties. 1961 - Pub. L. 87-346 amended section generally and, among other changes, substituted 'Commission' for 'Board' and included provisions referring to sections 813a and 817(b) of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. COMPROMISE OR RECOVERY OF CIVIL PENALTY Section 3 of Pub. L. 92-416 provided that: 'Any civil penalty provided herein (amending sections 814, 815, 817, 831, and 844 of this Appendix) may be compromised by the Federal Maritime Commission, or may be recovered by the United States in a civil action.' AGREEMENTS AFFECTED BY 1961 SHIPPING ACT AMENDMENTS Section 3 of Pub. L. 87-346, as amended by Pub. L. 88-5, Apr. 3, 1963, 77 Stat. 5, provided that: 'Notwithstanding the provisions of sections 14, 14b, and 15, Shipping Act, 1916, as amended by this Act (sections 812, former 813a, and 814 of this Appendix), all existing agreements which are lawful under the Shipping Act, 1916, immediately prior to enactment of this Act (Oct. 3, 1961), shall remain lawful unless disapproved, canceled, or modified by the Commission pursuant to the provisions of the Shipping Act, 1916, as amended by this Act: Provided, however, That all such existing agreements which are rendered unlawful by the provisions of such Act as hereby amended must be amended to comply with the provisions of such Act as hereby amended, and if such amendments are filed for approval within six months after the enactment of this Act, such agreements so amended shall be lawful for a further period but not beyond April 3, 1964. Within such period the Commission shall approve, disapprove, cancel or modify all such agreements and amendments in accordance with the provisions of this Act.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 819, 831, 1706 of this Appendix. ------DocID 53759 Document 660 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 815 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 815. Discriminatory acts prohibited -STATUTE- It shall be unlawful for any shipper, consignor, consignee, forwarder, broker, or other person, or any officer, agent, or employee thereof, knowingly and willfully, directly or indirectly, by means of false billing, false classification, false weighing, false report of weight, or by any other unjust or unfair device or means to obtain or attempt to obtain transportation by water in interstate commerce for property at less than the rates or charges which would otherwise be applicable. It shall be unlawful for any common carrier by water in interstate commerce, or other person subject to this chapter, either alone or in conjunction with any other person, directly or indirectly - First. To make or give any undue or unreasonable preference or advantage to any particular person, locality, or description of traffic in any respect whatsoever, or to subject any particular person, locality, or description of traffic to any undue or unreasonable prejudice or disadvantage in any respect whatsoever. Second. To allow any person to obtain transportation for property at less than the regular rates or charges then established and enforced on the line of such carrier by means of false billing, false classification, false weighing, false report of weight, or by any other unjust or unfair device or means. Third. To induce, persuade, or otherwise influence any marine insurance company or underwriter, or agent thereof, not to give a competing carrier by water as favorable a rate of insurance on vessel or cargo, having due regard to the class of vessel or cargo, as is granted to such carrier or other person subject to this chapter. Whoever violates any provision of this section other than paragraphs First and Third hereof shall be subject to a civil penalty of not more than $25,000 for each such violation. Whoever violates paragraphs First and Third hereof shall be guilty of a misdemeanor punishable by a fine of not more than $5,000 for each offense. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 16, 39 Stat. 734; June 16, 1936, ch. 581, 49 Stat. 1518; Oct. 3, 1961, Pub. L. 87-346, Sec. 6, 75 Stat. 766; Aug. 29, 1972, Pub. L. 92-416, Sec. 1(b), 86 Stat. 653; June 19, 1979, Pub. L. 96-25, Sec. 2, 93 Stat. 71; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(2), (7), 98 Stat. 89; Oct. 30, 1984, Pub. L. 98-595, Sec. 3(a)(2), 98 Stat. 3132.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-595, in first par., substituted 'transportation by water in interstate commerce' for 'transportation by water'. Pub. L. 98-237, Sec. 20(b)(2), in second par., substituted 'common carrier by water in interstate commerce' for 'common carrier by water'. Pub. L. 98-237, Sec. 20(b)(7), in par. First, substituted a period for a colon after 'prejudice or disadvantage in any respect whatsoever' and struck out proviso which had directed that, within thirty days after the effective date or the filing with the Commission, whichever was later, of any conference freight rate, rule, or regulation in the foreign commerce of the United States, the Governor of any State, Commonwealth, or possession of the United States could file a protest with the Commission upon the ground that the rate, rule, or regulation unjustly discriminated against that State, Commonwealth, or possession of the United States, in which case the Commission would issue an order to the conference to show cause why the rate, rule, or regulation should not be set aside, and that, one hundred and eighty days from the date of the issuance of such order, the Commission would determine whether or not such rate, rule, or regulation was unjustly discriminatory and would issue a final order either dismissing the protest, or setting aside the rate, rule, or regulation. 1979 - Pub. L. 96-25 increased civil penalty for violating any provision of this section other than pars. First and Third from not more than $5,000 for each violation to not more than $25,000 for each violation. 1972 - Pub. L. 92-416 substituted a civil penalty of not more than $5,000 for each violation of provisions of this section other than pars. First and Third, and a criminal penalty of not more than $5,000 for violation of pars. First and Third, for provisions providing for a penalty of $5,000 for violation of this section. 1961 - Pub. L. 87-346 inserted provisions at end of par. First permitting filing of protests. 1936 - Act June 16, 1936, inserted opening par., added par. relating to punishment of violations, and inserted 'or charges' after 'regular rates' in par. designated 'Second'. EFFECTIVE DATE OF 1979 AMENDMENT Section 11 of Pub. L. 96-25 provided that: 'The provisions of this Act, including the amendments made by this Act (amending this section and sections 817, 820, 821, 822, 826, 828, 829, and 831 of this Appendix and enacting provisions set out as a note under section 842 of this Appendix), shall become effective immediately upon its date of enactment (June 19, 1979).' REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. COMPROMISE OR RECOVERY OF CIVIL PENALTY Civil penalty may be compromised by the Federal Maritime Commission or recovered by the United States in a civil action, see section 3 of Pub. L. 92-416, set out as a note under section 814 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 831 of this Appendix. ------DocID 53760 Document 661 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 816 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 816. Just and reasonable regulations and practices; supervision by Commission -STATUTE- Every other person subject to this chapter shall establish, observe, and enforce just and reasonable regulations and practices relating to or connected with the receiving, handling, storing, or delivering of property. Whenever the Commission finds that any such regulation or practice is unjust or unreasonable it may determine, prescribe, and order enforced a just and reasonable regulation or practice. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 17, 39 Stat. 734; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(8), 98 Stat. 89.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-237 substituted 'Every other person subject to this chapter' for 'Every such carrier and every other person subject to this chapter' and struck out first paragraph which had provided that no common carrier by water in foreign commerce could demand, charge, or collect any rate, fare, or charge which was unjustly discriminatory between shippers or ports, or unjustly prejudicial to exporters of the United States as compared with their foreign competitors, and that, whenever the Federal Maritime Commission found that any such rate, fare, or charge was demanded, charged, or collected it could alter the same to the extent necessary to correct such unjust discrimination or prejudice and make an order that the carrier discontinue demanding, charging, or collecting any such unjustly discriminatory or prejudicial rate, fare, or charge. See section 1709(b) of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning Federal Maritime Commission, substituted in text of former first par. for 'Board' pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Board', meaning Federal Maritime Board, substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. All executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 831 of this Appendix. ------DocID 53761 Document 662 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 817 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 817. Carriers in interstate commerce to establish, observe, and enforce reasonable rates and regulations -STATUTE- (a) Every common carrier by water in interstate commerce shall establish, observe, and enforce just and reasonable rates, fares, charges, classifications, and tariffs, and just and reasonable regulations and practices relating thereto and to the issuance, form, and substance of tickets, receipts, and bills of lading, the manner and method of presenting, marking, packing, and delivering property for transportation, the carrying of personal, sample, and excess baggage, the facilities for transportation, and all other matters relating to or connected with the receiving, handling, transporting, storing, or delivering of property. Every such carrier shall file with the Commission and keep open to public inspection, in the form and manner and within the time prescribed by the Commission, the maximum rates, fares, and charges for or in connection with transportation between points on its own route; and if a through route has been established, the maximum rates, fares, and charges for or in connection with transportation between points on its own route and points on the route of any other carrier by water. No such carrier shall demand, charge, or collect a greater compensation for such transportation than the rates, fares, and charges filed in compliance with this section, except with the approval of the Commission and after ten days' public notice in the form and manner prescribed by the Commission, stating the increase proposed to be made; but the Commission for good cause shown may waive such notice. Whenever the Commission finds that any rate, fare, charge, classification, tariff, regulation, or practice, demanded, charged, collected, or observed by such carrier is unjust or unreasonable, it may determine, prescribe, and order enforced a just and reasonable maximum rate, fare, or charge, or a just and reasonable classification, tariff, regulation, or practice. (b), (c) Repealed. Pub. L. 98-237, Sec. 20(a), Mar. 20, 1984, 98 Stat. 88. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 18, 39 Stat. 735; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a) eff. Aug. 12, 1961 26 F.R. 7315, 75 Stat. 840; Oct. 3, 1961, Pub. L. 87-346, Sec. 4, 75 Stat. 764; Aug. 22, 1963, Pub. L. 88-103, 77 Stat. 129; Oct. 30, 1965, Pub. L. 89-303, 79 Stat. 1124; Apr. 29, 1968, Pub. L. 90-298, 82 Stat. 111; Aug. 29, 1972, Pub. L. 92-416, Sec. 1(c), 86 Stat. 653; Oct. 18, 1978, Pub. L. 95-483, Sec. 3, 92 Stat. 1607; June 19, 1979, Pub. L. 96-25, Sec. 3, 93 Stat. 71; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(a), 98 Stat. 88.) -MISC1- AMENDMENTS 1984 - Subsec. (b). Pub. L. 98-237 struck out subsec. (b) which provided for filing and maintenance for public inspection by common carriers by water in foreign commerce of tariffs showing rates and charges for transportation in foreign commerce, maintenance and application of those tariffs, and penalties for violation of their terms. See section 1707 of this Appendix. Subsec. (c). Pub. L. 98-237 struck out subsec. (c) which provided that rates and charges in the tariffs filed by controlled carriers be at just and reasonable levels. See section 1707 of this Appendix. 1979 - Subsec. (b). Pub. L. 96-25 substituted 'any provision of this section, other than subsection (b)(3) hereof involving rebates or refunds shall be subject to a civil penalty of not more than $5,000' for 'any provision of this section shall be subject to a civil penalty of not more than $1,000' in par. (6) and added par. (7) and provisions following par. (7). 1978 - Subsec. (c). Pub. L. 95-483 added subsec. (c). 1972 - Subsec. (b)(6). Pub. L. 92-416 substituted civil penalty of not more than $1,000 for each day of violation, for a penalty of not more than $1,000 for each day of violation recoverable by the United States in a civil action. 1968 - Subsec. (b)(3). Pub. L. 90-298 inserted provisos that the Federal Maritime Commission may permit a common carrier by water in foreign commerce or a conference of such carriers to refund or waive collection of a portion of the freight charges, where the carrier or conference of carriers prior to applying for authority to make such refund or waiver, files a tariffs revision with the Commissions, which sets forth the refunding rate, agrees, upon approval by the Commission, to publish appropriate notice in the tariff or take such other steps as the Commission may require for the benefit of all other shippers charged or billed incorrectly, and such application for refund or waiver is filed with the Commission within 180 days from the date of shipment. 1965 - Subsec. (b)(1). Pub. L. 89-303 substituted 'softwood lumber' for 'lumber' wherever appearing. 1963 - Subsec. (b)(1). Pub. L. 88-103 inserted provisions excluding lumber from the requirements of this section. 1961 - Pub. L. 87-346 designated existing provisions as subsec. (a) and added subsec. (b). EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96-25 effective June 19, 1979, see section 11 of Pub. L. 96-25, set out as a note under section 815 of this Appendix. EFFECTIVE DATE OF 1978 AMENDMENT Amendment by Pub. L. 95-483 effective thirty days after Oct. 18, 1978, see section 4 of Pub. L. 95-483, set out as a note under section 801 of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS In subsec. (a), 'Commission', meaning the Federal Maritime Commission, substituted for 'Board', meaning the Federal Maritime Board, pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Board', meaning the Federal Maritime Board, substituted for 'Commission', meaning the United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -MISC5- COMPROMISE OR RECOVERY OF CIVIL PENALTY Civil penalty may be compromised by the Federal Maritime Commission or recovered by the United States in a civil action, see section 3 of Pub. L. 92-416, set out as a note under section 814 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 831 of this Appendix. ------DocID 53762 Document 663 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 817d -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 817d. Financial responsibility of owners and charterers for death or injury to passengers or other persons -STATUTE- (a) Amount; method of establishment Each owner or charterer of an American or foreign vessel having berth or stateroom accommodations for fifty or more passengers, and embarking passengers at United States ports, shall establish, under regulations prescribed by the Federal Maritime Commission, his financial responsibility to meet any liability he may incur for death or injury to passengers or other persons on voyages to or from United States ports, in an amount based upon the number of passenger accommodations aboard the vessel, calculated as follows: $20,000 for each passenger accommodation up to and including five hundred; plus $15,000 for each additional passenger accommodation between five hundred and one and one thousand; plus $10,000 for each additional passenger accommodation between one thousand and one and one thousand five hundred; plus $5,000 for each passenger accommodation in excess of one thousand five hundred: Provided, however, That if such owner or charterer is operating more than one vessel subject to this section, the foregoing amount shall be based upon the number of passenger accommodations on the vessel being so operated which has the largest number of passenger accommodations. This amount shall be available to pay any judgment for damages, whether in amount less than or more than $20,000 for death or injury occurring on such voyages to any passenger or other person. Such financial responsibility may be established by any one of, or a combination of, the following methods which is acceptable to the Commission: (1) policies of insurance, (2) surety bonds, (3) qualifications as a self-insurer, or (4) other evidence of financial responsibility. (b) Issuance of bond when filed with Commission If a bond is filed with the Commission, then such bond shall be issued by a bonding company authorized to do business in the United States or any State thereof or the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, or any territory or possession of the United States. (c) Civil penalties for violations; remission or mitigation of penalties Any person who shall violate this section shall be subject to a civil penalty of not more than $5,000 in addition to a civil penalty of $200 for each passage sold, such penalties to be assessed by the Federal Maritime Commission. These penalties may be remitted or mitigated by the Federal Maritime Commission upon such terms as they in their discretion shall deem proper. (d) Rules and regulations The Federal Maritime Commission is authorized to prescribe such regulations as may be necessary to carry out the provisions of this section. The provisions of this chapter shall apply with respect to proceedings conducted by the Commission under this section. (e) Refusal of departure clearance The collector of customs of the port or place of departure from the United States of any vessel described in subsection (a) of this section shall refuse the clearance required by section 91 of this Appendix to any such vessel which does not have evidence furnished by the Federal Maritime Commission that the provisions of this section have been complied with. -SOURCE- (Pub. L. 89-777, Sec. 2, Nov. 6, 1966, 80 Stat. 1356.) -COD- CODIFICATION Section was not enacted as part of the Shipping Act, 1916, which comprises this chapter. -MISC3- EFFECTIVE DATE Section 5 of Pub. L. 89-777 provided in part that this section is effective 9 months after Nov. 6, 1966. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53763 Document 664 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 817e -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 817e. Financial responsibility for indemnification of passengers for nonperformance of transportation -STATUTE- (a) Filing of information or bond with Commission No person in the United States shall arrange, offer, advertise, or provide passage on a vessel having berth or stateroom accommodations for fifty or more passengers and which is to embark passengers at United States ports without there first having been filed with the Federal Maritime Commission such information as the Commission may deem necessary to establish the financial responsibility of the person arranging, offering, advertising, or providing such transportation, or in lieu thereof a copy of a bond or other security, in such form as the Commission, by rule or regulation, may require and accept, for indemnification of passengers for nonperformance of the transportation. (b) Issuance of bond when filed with Commission; amount of bond If a bond is filed with the Commission, such bond shall be issued by a bonding company authorized to do business in the United States or any State thereof, or the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands or any territory or possession of the United States and such bond or other security shall be in an amount paid equal to the estimated total revenue for the particular transportation. (c) Civil penalties for violations; remission or mitigation of penalties Any person who shall violate this section shall be subject to a civil penalty of not more than $5,000 in addition to a civil penalty of $200 for each passage sold, such penalties to be assessed by the Federal Maritime Commission. These penalties may be remitted or mitigated by the Federal Maritime Commission upon such terms as they in their discretion shall deem proper. (d) Rules and regulations The Federal Maritime Commission is authorized to prescribe such regulations as may be necessary to carry out the provisions of this section. The provisions of this chapter shall apply with respect to proceedings conducted by the Commission under this section. (e) Refusal of departure clearance The collector of customs at the port or place of departure from the United States of any vessel described in subsection (a) of this section shall refuse the clearance required by section 91 of this Appendix to any such vessel which does not have evidence furnished by the Federal Maritime Commission that the provisions of this section have been complied with. -SOURCE- (Pub. L. 89-777, Sec. 3, Nov. 6, 1966, 80 Stat. 1357.) -COD- CODIFICATION Section was not enacted as part of the Shipping Act, 1916, which comprises this chapter. -MISC3- EFFECTIVE DATE Section 5 of Pub. L. 89-777 provided in part that this section is effective 180 days after Nov. 6, 1966. -TRANS- TRANSFER OF FUNCTIONS All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 289c of this Appendix; title 28 section 2342. ------DocID 53764 Document 665 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 818 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 818. Rates reduced not to be increased without approval of Commission -STATUTE- Whenever a common carrier by water in interstate commerce reduces its rates on the carriage of any species of freight to or from competitive points below a fair and remunerative basis with the intent of driving out or otherwise injuring a competitive carrier by water, it shall not increase such rates unless after hearing the Federal Maritime Commission finds that such proposed increase rests upon changed conditions other than the elimination of said competition. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 19, 39 Stat. 735; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a) eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840.) -MISC1- REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' substituted in text for 'Federal Maritime Board' pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Federal Maritime Board' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 831 of this Appendix. ------DocID 53765 Document 666 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 819 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 819. Disclosure of confidential information prohibited -STATUTE- It shall be unlawful for any common carrier by water in interstate commerce or other person subject to this chapter, or any officer, receiver, trustee, lessee, agent, or employee of such carrier or person, or for any other person authorized by such carrier or person to receive information, knowingly to disclose to or permit to be acquired by any person other than the shipper or consignee, without the consent of such shipper or consignee, any information concerning the nature, kind, quantity, destination, consignee, or routing of any property tendered or delivered to such common carrier or other person subject to this chapter for transportation in interstate or foreign commerce, which information may be used to the detriment or prejudice of such shipper or consignee, or which may improperly disclose his business transactions to a competitor, or which may be used to the detriment or prejudice of any carrier; and it shall also be unlawful for any person to solicit or knowingly receive any such information which may be so used. Nothing in this chapter shall be construed to prevent the giving of such information in response to any legal process issued under the authority of any court, or to any officer or agent of the Government of the United States, or of any State, Territory, District, or possession thereof, in the exercise of his powers, or to any officer or other duly authorized person seeking such information for the prosecution of persons charged with or suspected of crime, or to another carrier, or its duly authorized agent, for the purpose of adjusting mutual traffic accounts in the ordinary course of business of such carriers; or to prevent any common carrier by water in interstate commerce which is a party to a conference agreement approved pursuant to section 814 of this Appendix, or any other person subject to this chapter, or any receiver, trustee, lessee, agent, or employee of such carrier or person, or any other person authorized by such carrier to receive information, from giving information to the conference or any person, firm, corporation, or agency designated by the conference, or to prevent the conference or its designee from soliciting or receiving information for the purpose of determining whether a shipper or consignee has breached an agreement with the conference or its member lines or of determining whether a member of the conference has breached the conference agreement, or for the purpose of compiling statistics of cargo movement, but the use of such information for any other purpose prohibited by this chapter or any other Act shall be unlawful. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 20, 39 Stat. 735; Oct. 3, 1961, Pub. L. 87-346, Sec. 5, 75 Stat. 765; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(2), 98 Stat. 89.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-237 substituted 'common carrier by water in interstate commerce' for 'common carrier by water' in one place in each par. 1961 - Pub. L. 87-346 inserted provisions at end excluding from prohibition information given to the conference or its designee for the purpose of determining whether a shipper or consignee has breached his agreement with the conference or its members or whether a conference member has breached the agreement or for compiling cargo statistics. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 831 of this Appendix. ------DocID 53766 Document 667 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 820 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 820. Reports by carriers required -STATUTE- (a) The Federal Maritime Commission and Secretary of Transportation may require any common carrier by water in interstate commerce, or other person subject to this chapter, or any officer, receiver, trustee, lessee, agent, or employee thereof, to file with it or him any periodical or special report, or any account, record, rate, or charge, or any memorandum of any facts and transactions appertaining to the business of such carrier or other person subject to this chapter. Such report, account, record, rate, charge, or memorandum shall be under oath whenever the Commission or Secretary so requires, and shall be furnished in the form and within the time prescribed by the Commission or Secretary. Whoever fails to file any report, account, record, rate, charge, or memorandum as required by this section shall forfeit to the United States the sum of $100 for each day of such default. Whoever willfully falsifies, destroys, mutilates, or alters any such report, account, record, rate, charge, or memorandum, or willfully files a false report, account, record, rate, charge, or memorandum shall be guilty of a misdemeanor, and subject upon conviction to a fine of not more than $1,000, or imprisonment for not more than one year, or to both such fine and imprisonment. (b) The Commission may, to the extent it deems feasible, require any shipper, consignor, consignee, forwarder, broker, or other person subject to this chapter, to file a periodic, written certification under oath with the Commission attesting to - (1) a policy prohibiting the payment, solicitation, or receipt of any rebate which is unlawful under the provisions of this chapter; (2) the fact that such policy has been promulgated recently to each owner, officer, employee, and agent thereof; (3) the details of the efforts made, within the company or otherwise, to prevent or correct illegal rebating; and (4) full cooperation with the Commission in its investigation of illegal rebating or refunds in United States foreign trades, and in its efforts to end such illegal practices. The Commission may by regulation prescribe the form and content of any certification required under the authority of this subsection. Failure to file any such certification shall result in a civil penalty of not more than $5,000 for each day such violation continues. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 21, 39 Stat. 736; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; June 19, 1979, Pub. L. 96-25, Sec. 4, 93 Stat. 71; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(29), 95 Stat. 155; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(2), (9), 98 Stat. 89; Oct. 30, 1984, Pub. L. 98-595, Sec. 3(a)(3), 98 Stat. 3132.) -MISC1- AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-237, Sec. 20(b)(2), substituted 'common carrier by water in interstate commerce' for 'common carrier by water'. Subsec. (b). Pub. L. 98-595 substituted a comma for the period following 'subject to this chapter'. Pub. L. 98-237, Sec. 20(b)(9), substituted 'The Commission may, to the extent it deems feasible, require any shipper, consignor, consignee, forwarder, broker, or other person subject to this chapter.' for 'The Commission shall require the chief executive officer of every vessel operating common carrier by water in foreign commerce and to the extent it deems feasible, may require any shipper, consignor, consignee, forwarder, broker, other carrier or other person subject to this chapter,'. 1981 - Subsec. (a). Pub. L. 97-31 substituted in first sentence 'Federal Maritime Commission and Secretary of Transportation' for 'Commission', 'it or him' for 'it' and in second sentence substituted 'Commission or Secretary' for 'Commission' in two places. For prior transfers of functions, see Transfer of Functions note below. 1979 - Pub. L. 96-25 designated existing two pars. as subsec. (a) and added subsec. (b). EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96-25 effective June 19, 1979, see section 11 of Pub. L. 96-25, set out as a note under section 815 of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 831 of this Appendix. ------DocID 53767 Document 668 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 821 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 821. Complaints to Commission and investigations -STATUTE- (a) Any person may file with the Federal Maritime Commission a sworn complaint setting forth any violation of this chapter by a common carrier by water in interstate commerce, or other person subject to this chapter, and asking reparation for the injury, if any, caused thereby. The Commission shall furnish a copy of the complaint to such carrier or other person, who shall, within a reasonable time specified by the Commission, satisfy the complaint or answer it in writing. If the complaint is not satisfied the Commission shall, except as otherwise provided in this chapter, investigate it in such manner and by such means, and make such order as it deems proper. The Commission, if the complaint is filed within two years after the cause of action accrued, may direct the payment, on or before a day named, of full reparation to the complaint for the injury caused by such violation. (b) The Commission, upon its own motion, may in like manner and, with the same powers, investigate any violation of this chapter. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 22, 39 Stat. 736; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; June 19, 1979, Pub. L. 96-25, Sec. 5, 93 Stat. 72; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(2), (10), 98 Stat. 89.) -MISC1- AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-237, Sec. 20(b)(2), substituted 'common carrier by water in interstate commerce' for 'common carrier by water'. Subsec. (c). Pub. L. 98-237, Sec. 20(b)(10), struck out subsec. (c) which authorized Commission, on its own motion, to institute an adjudicatory investigation into possible violations of section 815 of this Appendix (other than paragraphs First and Third) involving rebates or refunds in foreign commerce or violations of section 817(b)(3) of this Appendix involving rebates or refunds. See section 1710 of this Appendix. 1979 - Subsec. (a). Pub. L. 96-25, Sec. 5(a), designated first par. as subsec. (a). Subsec. (b). Pub. L. 96-25, Sec. 5(a), (b), designated second par. as subsec. (b) and struck out 'except as to orders for the payment of money,' after 'The Commission, upon its own motion, may in like manner and,'. Subsec. (c). Pub. L. 96-25, Sec. 5(c), added subsec. (c). EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96-25 effective June 19, 1979, see section 11 of Pub. L. 96-25, set out as a note under section 815 of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' and 'Commission' substituted in text for 'Federal Maritime Board' and 'Board', respectively, pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Federal Maritime Board' and 'Board' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and sections 104(5) and 105(4) of which transferred its functions to Federal Maritime Board. All executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 814, 826, 831, 845, 845a of this Appendix. ------DocID 53768 Document 669 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 822 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 822. Orders of Commission made only after full hearing -STATUTE- Orders of the Commission relating to any violation of this chapter or to any violation of any rule or regulation issued pursuant to this chapter shall be made only after full hearing, and upon a sworn complaint or in proceedings instituted of its own motion. All orders of the Federal Maritime Commission made under this chapter, as amended or supplemented, shall continue in force until its further order, or for a specified period of time, as shall be prescribed in the order, unless the same shall be suspended, or modified, or set aside by the Commission, or be suspended or set aside by a court of competent jurisdiction. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 23, 39 Stat. 736; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 4, 1939, ch. 417, Sec. 1, 53 Stat. 1182; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; Aug. 29, 1972, Pub. L. 92-416, Sec. 1(d), 86 Stat. 653; June 19, 1979, Pub. L. 96-25, Sec. 6, 93 Stat. 73.) -MISC1- AMENDMENTS 1979 - Pub. L. 96-25 struck out ', other than for the payment of money,' after 'All orders of the Commission'. 1972 - Pub. L. 92-416 made the hearing provisions applicable to orders of the Commission relating to violations of rules and regulations issued under this chapter. 1939 - Act Aug. 4, 1939, removed the time limitation on orders, except for the payment of money. EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96-25 effective June 19, 1979, see section 11 of Pub. L. 96-25, set out as a note under section 815 of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' and 'Commission' substituted in text for 'Federal Maritime Board' and 'Board', respectively, pursuant to Reorg. Plan No. 7 of 1961, set out as a note under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Federal Maritime Board' and 'Board' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53769 Document 670 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 823 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 823. Records of Commission; copies; publication of reports; evidence -STATUTE- The Federal Maritime Commission shall enter of record a written report of every investigation made under this chapter in which a hearing has been held, stating its conclusions, decision, and order, and, if reparation is awarded, the findings of fact on which the award is made, and shall furnish a copy of such report to all parties to the investigation. The Federal Maritime Commission may publish such reports in the form best adapted for public information and use, and such authorized publications shall, without further proof or authentication, be competent evidence of such reports in all courts of the United States and of the States, Territories, Districts, and possessions thereof. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 24, 39 Stat. 736; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840.) -MISC1- REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' substituted in text for 'Federal Maritime Board' pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Federal Maritime Board' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out under section 901 of Title 5, Government Organization and Employees. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Effect of rule 44 on this section, see note by Advisory Committee under rule 44, Title 28, Appendix, Judiciary and Judicial Procedure. ------DocID 53770 Document 671 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 824 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 824. Reversal, suspension, or modification of orders -STATUTE- The Federal Maritime Commission may reverse, suspend, or modify, upon such notice and in such manner as it deems proper, any order made by it under this chapter. Upon application of any party to a decision or order it may grant a rehearing of the same or any matter determined therein, but no such application for or allowance of a rehearing shall, except by special order of the Commission, operate as a stay of such order. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 25, 39 Stat. 736; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(11), 98 Stat. 89.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-237 inserted 'under this chapter' in first sentence. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' and 'Commission' substituted in text for 'Federal Maritime Board' and 'Board', respectively, pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Federal Maritime Board' and 'Board' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53771 Document 672 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 826 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 826. Discovery; attendance of witnesses and production of books and papers -STATUTE- (a) In all proceedings under section 821 of this Appendix, depositions, written interrogatories, and discovery procedure shall be available under rules and regulations issued by the Federal Maritime Commission, which rules and regulations shall, to the extent practicable, be in conformity with the rules applicable in civil proceedings in the district courts of the United States. In such proceedings, the Commission may by subpena compel the attendance of witnesses and the production of books, papers, documents, and other evidence, in such manner and to such an extent as the Commission may by rule or regulation require. Attendance of witnesses and the production of books, papers, documents, and other evidence in response to subpena may be required from any place in the United States at any designated place of hearing, and persons so acting under the direction of the Commission and witnesses shall, unless employees of the Commission, be entitled to the same fees and mileage as in the courts of the United States. (b) Obedience to this section shall, on application by the Commission, be enforced as are orders of the Commission. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 27, 39 Stat. 737; Dec. 6, 1967, Pub. L. 90-177, 81 Stat. 544; June 19, 1979, Pub. L. 96-25, Sec. 7, 93 Stat. 73.) -MISC1- AMENDMENTS 1979 - Subsec. (b). Pub. L. 96-25 struck out 'other than for the payment of money' after 'enforced as are orders of the Commission'. 1967 - Pub. L. 90-177 amended section generally, dividing the existing provision into subsecs. (a) and (b), and empowering the Commission to adopt pre-trial discovery procedures along with its existing power to issue subpenas in adjudicatory proceedings under section 821 of this Appendix. EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96-25 effective June 19, 1979, see section 11 of Pub. L. 96-25, set out as a note under section 815 of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. ------DocID 53772 Document 673 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 828 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 828. Enforcement of orders of Commission -STATUTE- In case of violation of any order of the Federal Maritime Commission under this chapter, the Commission, or any party injured by such violation, or the Attorney General, may apply to a district court having jurisdiction of the parties; and if, after hearing, the court determines that the order was regularly made and duly issued, it shall enforce obedience thereto by a writ of injunction or other proper process, mandatory or otherwise. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 29, 39 Stat. 737; June 19, 1979, Pub. L. 96-25, Sec. 8, 93 Stat. 73; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(12), 98 Stat. 89.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-237 substituted 'the Federal Maritime Commission under this chapter, the Commission' for 'the board, the board'. 1979 - Pub. L. 96-25 struck out 'other than an order for the payment of money,' after 'In case of violation of any order of the Federal Maritime Commission,'. EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96-25 effective June 19, 1979, see section 11 of Pub. L. 96-25, set out as a note under section 815 of this Appendix. REPEALS For provisional repeal see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. ------DocID 53773 Document 674 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 829 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 829. Violation of orders of Commission for payment of money -STATUTE- In case of violation of any order of the Federal Maritime Commission under this chapter, for the payment of reparation the person to whom such award was made may file in the district court for the district in which such person resides, or in which is located any office of the carrier or other person to whom the order was directed, or in which is located any point of call on a regular route operated by the carrier, or in any court of general jurisdiction of a State, Territory, District, or possession of the United States having jurisdiction of the parties, a petition or suit setting forth briefly the causes for which he claims damages and the order of the Commission in the premises. In the district court the findings and order of the Federal Maritime Commission shall be prima facie evidence of the facts therein stated, and the petitioner shall not be liable for costs, nor shall he be liable for costs at any subsequent stage of the proceedings unless they accrue upon his appeal. If a petitioner in a district court finally prevails, he shall be allowed a reasonable attorney's fee, to be taxed and collected as part of the costs of the suit. All parties in whose favor the Federal Maritime Commission has made an award of reparation by a single order may be joined as plaintiffs, and all other parties to such order may be joined as defendants, in a single suit in any district in which any one such plaintiff could maintain a suit against any one such defendant. Service of process against any such defendant not found in that district may be made in any district in which is located any office of, or point of call on a regular route operated by, such defendant. Judgement may be entered in favor of any plaintiff against the defendant liable to that plaintiff. No petition or suit for the enforcement of an order for the payment of reparation shall be maintained unless filed within one year from the date of the order. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 30, 39 Stat. 737; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; June 19, 1979, Pub. L. 96-25, Sec. 9, 93 Stat. 73; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(13), 98 Stat. 89.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-237 inserted 'under this chapter,' in first par. 1979 - Pub. L. 96-25 substituted 'for the payment of reparation' for 'for the payment of money' in first and last pars. EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96-25 effective June 19, 1979, see section 11 of Pub. L. 96-25, set out as a note under section 815 of this Appendix. REPEALS For provisional repeal see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' and 'Commission' substituted in text for 'Federal Maritime Board' and 'Board', respectively, pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Federal Maritime Board' and 'Board' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', which meaning United States Maritime Commission, substituted for 'board,' meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Effect of rule 54 on this section, see note by Advisory Committee under rule 54, Title 28, Appendix, Judiciary and Judicial Procedure. Judgment and costs, see rule 54. ------DocID 53774 Document 675 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 830 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 830. Venue and procedure in suits to enforce, suspend, or set aside orders -STATUTE- The venue and procedure in the courts of the United States in suits brought to enforce, suspend, or set aside, in whole or in part, any order of the Federal Maritime Commission under this chapter, shall, except as otherwise provided, be the same as in similar suits in regard to orders of the Interstate Commerce Commission, but such suits may also be maintained in any district court having jurisdiction of the parties. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 31, 39 Stat. 738; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(13), 98 Stat. 89.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-237 inserted 'under this chapter,'. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' substituted in text for 'Federal Maritime Board' pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished the Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Federal Maritime Board' substituted for 'Maritime Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Maritime Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -CROSS- CROSS REFERENCES Injunction by courts of appeals restraining orders, see section 2348 of Title 28, Judiciary and Judicial Procedure. Review of orders by courts of appeals, see section 2341 et seq. of Title 28. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53775 Document 676 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 831 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 831. Civil and criminal penalties -STATUTE- (a) Whoever violates any provision of sections 812 through 817 and 818 through 820 of this Appendix, except where a different penalty is provided, shall be subject to a civil penalty not to exceed $5,000 for each such violation. (b) Whoever violates any provision of any other section of this chapter, except where a different penalty is provided, shall be guilty of a misdemeanor, punishable by a fine not to exceed $5,000. (c) Whoever violates any order, rule, or regulation of the Federal Maritime Commission made or issued in the exercise of its powers, duties, or functions, under this chapter, shall be subject to a civil penalty of not more than $1,000 for each day such violation continues. (d) No penalty shall be imposed on any person for conspiracy after August 29, 1972: (1) to rebate or refund in violation of the initial paragraph or paragraph Second of section 815 of this Appendix, or under section 817(b)(3) of this Appendix; or (2) to defraud the Commission by concealment of such rebates or refunds in any manner. (e) Notwithstanding any other provision of law, the Commission shall have authority to assess or compromise all civil penalties provided in this chapter: Provided, however, That, in order to assess such penalties a formal proceeding under section 821 of this Appendix shall be commenced within five years from the date when the violation occurred. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 32, 39 Stat. 738; Aug. 29, 1972, Pub. L. 92-416, Sec. 1(e), 86 Stat. 653; June 19, 1979, Pub. L. 96-25, Sec. 10, 93 Stat. 73; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(14), (15), 98 Stat. 89.) -REFTEXT- REFERENCES IN TEXT Sections 813 and 813a of this Appendix, included in reference to sections 812 through 817 of this Appendix in subsec. (a), were repealed by Pub. L. 98-237, Sec. 20(a), Mar. 20, 1984, 98 Stat. 88. Section 817(b)(3) of this Appendix, referred to in subsec. (d), was repealed by Pub. L. 98-237, Sec. 20(a), Mar. 20, 1984, 98 Stat. 88. -MISC2- AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-237, Sec. 20(b)(14), struck out reference to section 841b of this Appendix. Subsec. (c). Pub. L. 98-237, Sec. 20(b)(15), inserted 'under this chapter,'. 1979 - Subsecs. (d), (e). Pub. L. 96-25 added subsecs. (d) and (e). 1972 - Pub. L. 92-416 substituted subsecs. (a) to (c) for provisions making any violation of this chapter a misdemeanor punishable by a fine not exceeding $5,000. EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96-25 effective June 19, 1979, see section 11 of Pub. L. 96-25, set out as a note under section 815 of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. COMPROMISE OR RECOVERY OF CIVIL PENALTY Civil penalty may be compromised by the Federal Maritime Commission or recovered by the United States in a civil action, see section 3 of Pub. L. 92-416, set out as a note under section 814 of this Appendix. ------DocID 53776 Document 677 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 832 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 832. Powers of Interstate Commerce Commission not affected; intrastate commerce -STATUTE- This chapter shall not be construed to affect the power or jurisdiction of the Interstate Commerce Commission, nor to confer upon the Federal Maritime Commission concurrent power or jurisdiction over any matter within the power or jurisdiction of such Interstate Commerce Commission; nor shall this chapter be construed to apply to intrastate commerce. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 33, 39 Stat. 738; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(1), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(a), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840.) -MISC1- REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' substituted in text for 'Federal Maritime Board' pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section to Federal Maritime Commission by section 103(a) thereof. Previously, 'Federal Maritime Board' substituted for 'Maritime Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(1) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Maritime Commission' substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. ------DocID 53777 Document 678 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 833 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 833. Partial invalidity of chapter as not affecting remainder -STATUTE- If any provision of this chapter, or the application of such provision to certain circumstance, is held unconstitutional, the remainder of the chapter, and the application of such provision to circumstances other than those as to which it is held unconstitutional, shall not be affected thereby. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 34, 39 Stat. 738.) -MISC1- REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. ------DocID 53778 Document 679 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 833a -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 833a. Exemption of agreements where exemption will not substantially impair effective regulation, be unjustly discriminatory, or detrimental to commerce; conditions; hearings -STATUTE- The Federal Maritime Commission, upon application or on its own motion, may by order or rule exempt for the future any class of agreements between persons subject to this chapter or any specified activity of such persons from any requirement of this chapter, or Intercoastal Shipping Act, 1933 (46 App. U.S.C. 843 et seq.), where it finds that such exemption will not substantially impair effective regulation by the Federal Maritime Commission, be unjustly discriminatory, or be detrimental to commerce. The Commission may attach conditions to any such exemptions and may, by order, revoke any such exemption. No order or rule of exemption or revocation of exemption shall be issued unless opportunity for hearing has been afforded interested persons. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 35, as added Nov. 6, 1966, Pub. L. 89-778, 80 Stat. 1358.) -REFTEXT- REFERENCES IN TEXT The Intercoastal Shipping Act, 1933, referred to in text, is act Mar. 3, 1933, ch. 199, 47 Stat. 1425, as amended, which is classified generally to chapter 23A (Sec. 843 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 848 of this Appendix and Tables. ------DocID 53779 Document 680 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 834 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 834. Refusal of clearance to vessel refusing to accept freight -STATUTE- The Secretary of the Treasury is authorized to refuse a clearance to any vessel or other vehicle laden with merchandise destined for a foreign or domestic port whenever he shall have satisfactory reason to believe that the master, owner, or other officer of such vessel or other vehicle refuses or declines to accept or receive freight or cargo in good condition tendered for such port of destination or for some intermediate port of call, together with the proper freight or transportation charges therefor, by any citizen of the United States, unless the same is fully laden and has no space accommodations for the freight or cargo so tendered, due regard being had for the proper loading of such vessel or vehicle, or unless such freight or cargo consists of merchandise for which such vessel or vehicle is not adaptable. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 36, 39 Stat. 738.) -MISC1- REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. ------DocID 53780 Document 681 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 835 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 835. Restrictions on transfer of shipping facilities during war or national emergency -STATUTE- When the United States is at war or during any national emergency, the existence of which is declared by proclamation of the President, it shall be unlawful, without first obtaining the approval of the Secretary of Transportation: (a) To transfer to or place under any foreign registry or flag any vessel owned in whole or in part by any person a citizen of the United States or by a corporation organized under the laws of the United States, or of any State, Territory, District, or possession thereof; or (b) To sell, mortgage, lease, charter, deliver, or in any manner transfer, or agree to sell, mortgage, lease, charter, deliver, or in any manner transfer, to any person not a citizen of the United States, (1) any such vessel or any interest therein, or (2) any vessel documented under the laws of the United States, or any interest therein, or (3) any shipyard, dry dock, shipbuilding or ship-repairing plant or facilities, or any interest therein; or (c) To issue, transfer, or assign a bond, note, or other evidence of indebtedness which is secured by a mortgage of a vessel to a trustee or by an assignment to a trustee of the owner's right, title, or interest in a vessel under construction, or by a mortgage to a trustee on a shipyard, drydock, or shipbuilding or ship-repairing plant or facilities, to a person not a citizen of the United States, unless the trustee or a substitute trustee of such mortgage or assignment is approved by the Secretary of Transportation: Provided, however, That the Secretary of Transportation shall grant his approval if such trustee or a substitute trustee is a bank or trust company which (1) is organized as a corporation, and is doing business, under the laws of the United States or any State thereof, (2) is authorized under such laws to exercise corporate trust powers, (3) is a citizen of the United States, (4) is subject to supervision or examination by Federal or State authority, and (5) has a combined capital and surplus (as set forth in its most recent published report of condition) of at least $3,000,000; or for the trustee or substitute trustee approved by the Secretary of Transportation to operate said vessel under the mortgage or assignment: Provided further, That if such trustee or a substitute trustee at any time ceases to meet the foregoing qualifications, the Secretary of Transportation, shall disapprove such trustee or substitute trustee, and after such disapproval the transfer or assignment of such bond, note, or other evidence of indebtedness to a person not a citizen of the United States, without the approval of the Secretary of Transportation, shall be unlawful; or (d) To enter into any contract agreement, or understanding to construct a vessel within the United States for or to be delivered to any person not a citizen of the United States, without expressly stipulating that such construction shall not begin until after the war or emergency proclaimed by the President has ended; or (e) To make any agreement or effect any understanding whereby there is vested in or for the benefit of any person not a citizen of the United States, the controlling interest or a majority of the voting power in a corporation which is organized under the laws of the United States, or of any State, Territory, District, or possession thereof, and which owns any vessel, shipyard, drydock, or shipbuilding, or ship-repairing plant or facilities; or (f) To cause or procure any vessel constructed in whole or in part within the United States, which has never cleared for any foreign port, to depart from a port of the United States before it has been documented under the laws of the United States. Whoever violates, or attempts or conspires to violate, any of the provisions of this section shall be guilty of a misdemeanor, punishable by a fine of not more than $5,000 or by imprisonment for not more than five years, or both. If a bond, note, or other evidence of indebtedness which is secured by a mortgage of a vessel to a trustee or by an assignment to a trustee of the owner's right, title, or interest in a vessel under construction, or by a mortgage to a trustee on a shipyard, drydock or ship-building or ship-repairing plant or facilities, is issued, transferred, or assigned to a person not a citizen of the United States in violation of subsection (c) of this section, the issuance, transfer or assignment shall be void. Any vessel, shipyard, drydock, ship-building or ship-repairing plant or facilities, or interest therein, sold, mortgaged, leased, chartered, delivered, transferred, or documented, or agreed to be sold, mortgaged, leased, chartered, delivered, transferred, or documented, in violation of any of the provisions of this section, and any stocks, bonds, or other securities sold or transferred, or agreed to be sold or transferred, in violation of any of such provisions, or any vessel departing in violation of the provisions of subsection (e) (FOOTNOTE 1) of this section, shall be forfeited to the United States. (FOOTNOTE 1) See References in Text note below. Any such sale, mortgage, lease, charter, delivery, transfer, documentation, or agreement therefor shall be void, whether made within or without the United States, and any consideration paid therefor or deposited in connection therewith shall be recoverable at the suit of the person who has paid or deposited the same, or of his successors or assigns, after the tender of such vessel, shipyard, drydock, shipbuilding or ship-repairing plant or facilities, or interest therein, or of such stocks, bonds, or other securities, to the person entitled thereto, or after forfeiture thereof to the United States, unless the person to whom the consideration was paid, or in whose interest it was deposited, entered into the transaction in the honest belief that the person who paid or deposited such consideration was a citizen of the United States. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 37, as added July 15, 1918, ch. 152, Sec. 4, 40 Stat. 901, and amended Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Nov. 8, 1965, Pub. L. 89-346, Sec. 2, 79 Stat. 1306; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(30), 95 Stat. 156.) -REFTEXT- REFERENCES IN TEXT Subsection (e) of this section, referred to in penultimate par., was redesignated subsection (f) of this section by Pub. L. 89-346 without amendment to said paragraph to reflect such redesignation. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in introductory par., and for 'Secretary of Commerce' in five places in subsec. (c). For prior transfers of functions, see Transfer of Functions note below. 1965 - Subsecs. (c) to (f). Pub. L. 89-346, Sec. 2(a), added subsec. (c) and redesignated former subsecs. (c) to (e) as (d) to (f), respectively. Pub. L. 89-346, Sec. 2(b), inserted provisions voiding the issuance, transfer or assignment of bonds, notes, or other evidences of indebtedness which are secured by a mortgage of a vessel to a trustee or by an assignment to a trustee of the owner's right, title, or interest in a vessel under construction, or by a mortgage to a trustee on a shipyard, drydock or ship-building or ship-repairing plant or facilities, if such issuance, transfer or assignment is made in violation of subsec. (c) of this section. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS In introductory par., 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949 and Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix. -MISC5- NATIONAL EMERGENCY, 1950 For Presidential Proclamation of the existence of a national emergency, see Proc. No. 2914, eff. Dec. 16, 1950, 15 F.R. 9029, 64 Stat. 454, set out as a note preceding section 1 of Title 50, Appendix, War and National Defense. TERMINATION OF WAR AND EMERGENCIES Joint Res. July 25, 1947, ch. 327, Sec. 3, 61 Stat. 451, provided that in the interpretation of this section, the date July 25, 1947, shall be deemed to be the date of termination of any state of war theretofore declared by Congress and of the national emergencies proclaimed by the President on Sept. 8, 1939, and May 27, 1941. -CROSS- CROSS REFERENCES Corporation meeting certain conditions deemed citizen for purposes of this section, see section 883-1 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 839, 865a, 883-1, 1160 of this Appendix; title 28 section 2342; title 46 sections 12111, 31306. ------DocID 53781 Document 682 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 836 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 836. Forfeitures -STATUTE- All forfeitures incurred under the provisions of this chapter may be prosecuted in the same court, and may be disposed of in the same manner, as forfeitures incurred for offenses against the law relating to the collection of duties, except that forfeitures may be remitted without seizure of the vessel. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 38, as added July 15, 1918, ch. 152, Sec. 4, 40 Stat. 902, and amended Dec. 12, 1989, Pub. L. 101-225, title III, Sec. 304(b), 103 Stat. 1924.) -MISC1- AMENDMENTS 1989 - Pub. L. 101-225 substituted 'duties, except that forfeitures may be remitted without seizure of the vessel' for 'duties'. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. NATIONAL EMERGENCY, 1950 For Presidential Proclamation of the existence of a national emergency, see Proc. No. 2914, eff. Dec. 16, 1950, 15 F.R. 9029, 64 Stat. 454, set out as a note preceding section 1 of Title 50, Appendix, War and National Defense. TERMINATION OF WAR AND EMERGENCIES Joint Res. July 25, 1947, ch. 327, Sec. 3, 61 Stat. 451, provided that in the interpretation of this section, the date July 25, 1947, shall be deemed to be the date of termination of any state of war theretofore declared by Congress and of the national emergencies proclaimed by the President on Sept. 8, 1939, and May 27, 1941. -CROSS- CROSS REFERENCES Forfeitures for offenses against collection of duties, see section 1604 et seq. of Title 19, Customs Duties. ------DocID 53782 Document 683 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 837 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 837. Prima facie evidence -STATUTE- In any action or proceeding under the provisions of this chapter to enforce a forfeiture the conviction in a court of criminal jurisdiction of any person for a violation thereof with respect to the subject of the forfeiture shall constitute prima facie evidence of such violation against the person so convicted. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 39, as added July 15, 1918, ch. 152, Sec. 4, 40 Stat. 902.) -MISC1- REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. NATIONAL EMERGENCY, 1950 For Presidential Proclamation of the existence of a national emergency, see Proc. No. 2914, eff. Dec. 16, 1950, 15 F.R. 9029, 64 Stat. 454, set out as a note preceding section 1 of Title 50, Appendix, War and National Defense. TERMINATION OF WAR AND EMERGENCIES Joint Res. July 25, 1947, ch. 327, Sec. 3, 61 Stat. 451, provided that in the interpretation of this section, the date July 25, 1947, shall be deemed to be the date of termination of any state of war theretofore declared by Congress and of the national emergencies proclaimed by the President on Sept. 8, 1939, and May 27, 1941. ------DocID 53783 Document 684 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 839 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 839. Approvals by Secretary -STATUTE- Whenever by section 808 or 835 of this Appendix the approval of the Secretary of Transportation is required to render any act or transaction lawful, such approval may be accorded either absolutely or upon such conditions as the Secretary of Transportation prescribes. Whenever the approval of the Secretary of Transportation is accorded upon any condition a statement of such condition shall be entered upon his records and incorporated in the same document or paper which notifies the applicant of such approval. A violation of such condition so incorporated shall constitute a misdemeanor and shall be punishable by fine and imprisonment in the same manner, and shall subject the vessel, stocks, bonds, or other subject matter of the application conditionally approved to forfeiture in the same manner, as though the act conditionally approved had been done without the approval of the Secretary of Transportation, but the offense shall be deemed to have been committed at the time of the violation of the condition. Whenever by this chapter the approval of the Secretary of Transportation is required to render any act or transaction lawful, whoever knowingly makes any false statement of a material fact to the Secretary of Transportation, or to any officer, attorney, or agent of the Department of Transportation, for the purpose of securing such approval, shall be guilty of a misdemeanor and subject to a fine of not more than $5,000, or to imprisonment for not more than five years, or both. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 41, as added July 15, 1918, ch. 152, Sec. 4, 40 Stat. 902, and amended Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(32), 95 Stat. 156.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' and 'his' for 'its' and, in view of this amendment, 'or to any officer, attorney, or agent of the Department of Transportation' were editorially substituted in second paragraph for 'or to any member thereof, or to any officer, attorney, or agent thereof'. For prior transfers of functions, see Transfer of Functions note below. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- NATIONAL EMERGENCY, 1950 For Presidential Proclamation of the existence of a national emergency, see Proc. No. 2914, eff. Dec. 16, 1950, 15 F.R. 9029, 64 Stat. 454, set out as a note preceding section 1 of Title 50, Appendix, War and National Defense. TERMINATION OF WAR AND EMERGENCIES Joint Res. July 25, 1947, ch. 327, Sec. 3, 61 Stat. 451, provided that in the interpretation of this section, the date July 25, 1947, shall be deemed to be the date of termination of any state of war theretofore declared by Congress and of the national emergencies proclaimed by the President on Sept. 8, 1939, and May 27, 1941. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 865a of this Appendix; title 28 section 2342. ------DocID 53784 Document 685 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 841a -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 841a. Rules and regulations -STATUTE- The Commission shall make such rules and regulations as may be necessary to carry out the provisions of this chapter. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 43, as added Oct. 3, 1961, Pub. L. 87-346, Sec. 7, 75 Stat. 766.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53785 Document 686 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 841c -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 841c. Exemption for maritime labor agreements; exception; tariff requirements not exempt -STATUTE- The provisions of this chapter and of the Intercoastal Shipping Act, 1933 (46 App. U.S.C. 843 et seq.), shall not apply to maritime labor agreements and all provisions of such agreements except to the extent that such provisions provide for the funding of collectively bargained fringe benefit obligations on other than a uniform man-hour basis, regardless of the cargo handled or type of vessel or equipment utilized. Notwithstanding the preceding sentence, nothing in this section shall be construed as providing an exemption from the provisions of this chapter or of the Intercoastal Shipping Act, 1933, for any rates, charges, regulations, or practices of a common carrier by water in interstate commerce or other person subject to this chapter which are required to be set forth in a tariff, whether or not such rates, charges, regulations, or practices arise out of, or are otherwise related to a maritime labor agreement. -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 45, as added Aug. 8, 1980, Pub. L. 96-325, Sec. 5, 94 Stat. 1022, and amended Mar. 20, 1984, Pub. L. 98-237, Sec. 20(b)(2), 98 Stat. 89.) -REFTEXT- REFERENCES IN TEXT The Intercoastal Shipping Act, 1933, referred to in text, is act Mar. 3, 1933, ch. 199, 47 Stat. 1425, as amended, which is classified generally to chapter 23A (Sec. 843 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 848 of this Appendix and Tables. -MISC2- PRIOR PROVISIONS A prior section 45 of act Sept. 7, 1916, was renumbered 46, and is classified to section 842 of this Appendix. AMENDMENTS 1984 - Pub. L. 98-237 substituted 'common carrier by water in interstate commerce' for 'common carrier by water'. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. REPARATION CLAIMS; CONDUCT OCCURRING OR COMMISSION PROCEEDINGS COMMENCED PRIOR TO AUGUST 8, 1980 Section 6 of Pub. L. 96-325 provided that: 'The changes made to existing laws by the provisions of this Act (enacting this section, amending sections 801 and 814 of this Appendix, and enacting a provision set out as a note under section 842 of this Appendix) shall not affect any claims for reparation, if any, based upon conduct occurring prior to the date of enactment of this Act (Aug. 8, 1980) or formal Commission proceedings commenced prior to the date of enactment of this Act.' ------DocID 53786 Document 687 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 842 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23 -HEAD- Sec. 842. Short title -STATUTE- This chapter may be cited as 'Shipping Act, 1916.' -SOURCE- (Sept. 7, 1916, ch. 451, Sec. 46, formerly Sec. 44, as added July 15, 1918, ch. 152, Sec. 4, 40 Stat. 903, renumbered Sec. 45, Sept. 19, 1961, Pub. L. 87-254, Sec. 2, 75 Stat. 522, and renumbered Sec. 46, Aug. 8, 1980, Pub. L. 96-325, Sec. 5, 94 Stat. 1022.) -MISC1- SHORT TITLE OF 1980 AMENDMENT Section 1 of Pub. L. 96-325 provided: 'That this Act (enacting section 841c of this Appendix, amending sections 801 and 814 of this Appendix, and enacting a provision set out as a note under section 841c of this Appendix) may be cited as the 'Maritime Labor Agreements Act of 1980'.' SHORT TITLE OF 1979 AMENDMENT Pub. L. 96-25, Sec. 1, June 19, 1979, 93 Stat. 71, provided: 'That this Act (amending sections 815, 817, 820, 821, 822, 826, 828, 829, and 831 of this Appendix and enacting provisions set out as a note under section 815 of this Appendix) may be cited as the 'Shipping Act Amendments of 1979'.' SHORT TITLE OF 1978 AMENDMENT Pub. L. 95-483, Sec. 1, Oct. 18, 1978, 92 Stat. 1607, provided: 'That this Act (amending sections 801 and 817 of this Appendix and enacting provision set out as a note under section 801 of this Appendix) may be cited as the 'Ocean Shipping Act of 1978'.' REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. ------DocID 53787 Document 688 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 23A -EXPCITE- TITLE 46 APPENDIX CHAPTER 23A -HEAD- CHAPTER 23A - INTERCOASTAL SHIPPING -MISC1- Sec. 843. Definitions. 844. Schedule of rates; filing; posting; availability; incorporation by reference in short form documents; penalties for violations. 845. Changes in the schedule of rates. (a) Hearings on new schedules; publication; guidelines. (b) Suspension of rates pending hearings; burden of proof; time limits; issuance of final decision; conferences. (c) Prohibition of certain suspensions; refunds. 845a. Unjust or unreasonable rates; reasonable maximum and minimum rates ordered by Commission. 845b. Application to common carrier by water in interstate commerce and carriage, etc. of property for United States, States, municipalities, or for charitable purposes. 847. Application of chapter 23 to intercoastal shipping. 848. Short title. REPEALS For effect of subtitle IV (Sec. 10101 et seq.) of Title 49, Transportation, see note set out preceding section 801 of this Appendix. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 814, 833a, 841c, 1114, 1704 of this Appendix; title 26 section 7701; title 49 sections 10542, 10544, 10703, 10766. ------DocID 53788 Document 689 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 843 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23A -HEAD- Sec. 843. Definitions -STATUTE- When used in this chapter - (1) The term 'common carrier by water in intercoastal commerce' for the purposes of this chapter shall include every common and contract carrier by water engaged in the transportation for hire of passengers or property between one State of the United States and any other State of the United States by way of the Panama Canal. (2) The term 'general increase in rates' means any change in rates, fares, or charges which will (A) result in an increase in not less than 50 per centum of the total rate, fare, or charge items in the tariffs per trade of any common carrier by water in intercoastal commerce; and (B) directly result in an increase in gross revenues of such carrier for the particular trade of not less than 3 per centum. (3) The term 'general decrease in rates' means any change in rates, fares, or charges which will (A) result in a decrease in not less than 50 per centum of the total rate, fare, or charge items in the tariffs per trade of any common carrier by water in intercoastal commerce; and (B) directly result in a decrease in gross revenue of such carrier for the particular trade of not less than 3 per centum. -SOURCE- (Mar. 3, 1933, ch. 199, Sec. 1, 47 Stat. 1425; Oct. 18, 1978, Pub. L. 95-475, Sec. 1, 92 Stat. 1494.) -MISC1- AMENDMENTS 1978 - Pub. L. 95-475 designated existing provisions as par. (1) and added pars. (2) and (3). EFFECTIVE DATE OF 1978 AMENDMENT Section 5 of Pub. L. 95-475 provided that: 'This Act (amending sections 843 to 845a of this Appendix) shall take effect ninety days after enactment (Oct. 18, 1978).' REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. ------DocID 53789 Document 690 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 844 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23A -HEAD- Sec. 844. Schedule of rates; filing; posting; availability; incorporation by reference in short form documents; penalties for violations -STATUTE- Every common carrier by water in intercoastal commerce shall file with the Federal Maritime Commission and keep open to public inspection schedules showing all the rates, fares, and charges for on in connection with transportation between intercoastal points on its own route; and, if a through route has been established, all the rates, fares, and charges for or in connection with transportation between intercoastal points on its own route and points on the route of any other carrier by water. The schedules filed, and kept open to public inspection as aforesaid by any such carrier shall plainly show the places between which passengers and/or freight will be carried, and shall contain the classification of freight and of passenger accommodations in force, and shall also state separately each terminal or other charge, privilege, or facility, granted or allowed, and any rules or regulations which in anywise change, affect, or determine any part of the aggregate of such aforesaid rates, fares, or charges, or the value of the service rendered to the passenger consignor, or consignee, and shall include the terms and conditions of any passenger ticket, bill of lading, contract of affreightment, or other document evidencing the transportation agreement. The terms and conditions as filed with the Federal Maritime Commission shall be framed under glass and posted in a conspicuous place on board each vessel that carries passengers where they may be seen by passengers and others at all times. Such carriers in establishing and fixing rates, fares, or charges may make equal rates, fares, or charges for similar service between all ports of origin and all ports of destination, and it shall be unlawful for any such carrier, either directly or indirectly, through the medium of any agreement, conference, association, understanding, or otherwise, to prevent or attempt to prevent any such carrier from extending service to any publicly owned terminal located on any improvement project authorized by the Congress at the same rates which it charges at its nearest regular port of call. Such schedules shall be plainly printed, and copies shall be kept posted in a public and conspicuous place at every wharf, dock, and office of such carrier where passengers or freight are received for transportation, in such manner that they shall be readily accessible to the public and can be conveniently inspected. In the event that any such schedule includes the terms and conditions of any passenger ticket, bill of lading, contract of affreightment or other document evidencing the transportation agreement, as herein provided, copies of such terms and conditions shall be made available to any shipper, consignee, or passenger upon request. Such terms and conditions may be incorporated by reference in a short form of same actually issued for the transportation, or in a dock receipt or other document issued in connection therewith, by notice printed on the back of each document that all parties to the contract are bound by the terms and conditions as filed with the Federal Maritime Commission and posted, and when so incorporated by reference every carrier and any other person having any interest or duty in respect of such transportation shall be deemed to have such notice thereof as if all such terms and conditions had been set forth in the short form document. No change shall be made in the rates, fares, or charges, or classifications, rules, or regulations, which have been filed and posted as required by this section, except by the publication, filing, and posting as aforesaid of a new schedule or schedules which shall become effective not earlier than thirty days after date of posting and filing thereof with the Federal Maritime Commission and such schedule or schedules shall plainly show the changes proposed to be made in the schedule or schedules then in force and the time when the rates, fares, charges, classifications, rules, or regulations as changed are to become effective: Provided, That no general increase in rates or general decrease in rates shall take effect before the close of the sixtieth day after the day on which such general increase in rates or general decrease in rates is posted and filed with the Commission: Provided further, That the Commission may, in its discretion and for good cause, allow changes upon less than the period of thirty days or sixty days herein specified: And provided further, That schedules or changes which provide for extension of actual service to additional ports at rates of said carrier already in effect for similar service at the nearest port of call to said additional ports shall become effective immediately upon notice to the Commission. From and after ninety days following March 3, 1933, no person shall engage in transportation as a common carrier by water in intercoastal commerce unless and until its schedules as provided by this section have been duly and properly filed and posted; nor shall any common carrier by water in intercoastal commerce charge or demand or collect or receive a greater or less or different compensation for the transportation of passengers or property or for any service in connection therewith than the rates, fares, and/or charges which are specified in its schedules filed with the Federal Maritime Commission and duly posted and in effect at the time; nor shall any such carrier refund or remit in any manner or by any device any portion of the rates, fares, or charges so specified, nor extend or deny to any person any privilege or facility, except in accordance with such schedules. The Federal Maritime Commission shall by regulations prescribe the form and manner in which the schedules required by this section shall be published, filed, and posted; and the Commission is authorized to reject any schedule filed with it which is not in consonance with this section and with such regulations. Any schedule so rejected by the Commission shall be void and its use shall be unlawful. Whoever violates any provision of this section shall be subject to a civil penalty of not more than $1,000 for each day such violation continues. -SOURCE- (Mar. 3, 1933, ch. 199, Sec. 2, 47 Stat. 1425; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 104(2), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; Aug. 28, 1958, Pub. L. 85-810, 72 Stat. 977; 1961 Reorg. Plan No. 7, Sec. 103(b), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; July 9, 1965, Pub. L. 89-71, 79 Stat. 213; Aug. 29, 1972, Pub. L. 92-416, Sec. 2, 86 Stat. 653; Oct. 18, 1978, Pub. L. 95-475, Sec. 2, 92 Stat. 1494; Aug. 16, 1989, Pub. L. 101-92, Sec. 3, 103 Stat. 601.) -MISC1- AMENDMENTS 1989 - Pub. L. 101-92 inserted 'that carries passengers' after 'on board each vessel' in third sentence, and in seventh sentence struck out ', if filed as permitted by this section and framed under glass and posted in a conspicuous place on board each vessel where they may be seen by passengers and others at all times,' after 'Such terms and conditions' and struck out 'on board each vessel' after 'filed with the Federal Maritime Commission and posted'. 1978 - Pub. L. 95-475 inserted proviso that no general increase or decrease in rates will take effect before the close of the sixtieth day after the day on which such increase or decrease is posted and filed with the Commission and inserted 'or sixty days' after 'thirty days' in proviso authorizing the Commission to allow changes in certain cases upon less than a thirty or sixty day period. 1972 - Pub. L. 92-416 substituted a civil penalty of not more than $1,000 for each day of violation of this section, for a penalty of not more than $1,000 for each day of violation, recoverable by the United States in civil action, in last paragraph of this section. 1965 - Pub. L. 89-71 substituted provisions limiting penalties to not more than $1,000 for each day the violation continues, for former provisions prescribing a fine of not less than $1,000 nor more than $5,000 for each act of violation and/or for each day the violation continues. 1958 - Pub. L. 85-810 provided in first par. that the terms and conditions of any long-form document evidencing the transportation agreement of a common carrier by water in intercoastal commerce shall be included in the schedules filed with the Federal Maritime Board, shall be framed under glass and posted in a conspicuous place on board each vessel where they may be seen by passengers and others at all times, shall be made available to any shipper, consignee, or passenger upon request, shall be incorporated by reference in a short form document issued to the shipper, consignee, or passenger and containing a printed notice binding the parties to the terms and conditions of the long form filed with the Board and posted on board each vessel as if the term and conditions had been actually set forth in the short form document. EFFECTIVE DATE OF 1978 AMENDMENT Amendment by Pub. L. 95-475 effective ninety days after Oct. 18, 1978, see section 5 of Pub. L. 95-475, set out as a note under section 843 of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' and 'Commission' substituted in text for 'Federal Maritime Board' and 'Board', respectively, pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section with respect to regulation and control of rates, fares, charges, classifications, tariffs, regulations, and practices of common carriers by water to Federal Maritime Commission pursuant to section 103(b) thereof. Previously, 'Federal Maritime Board' and 'board' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(2) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -MISC5- COMPROMISE OR RECOVERY OF CIVIL PENALTY Civil penalty may be compromised by the Federal Maritime Commission or recovered by the United States in a civil action, see section 3 of Pub. L. 92-416, set out as a note under section 814 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53790 Document 691 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 845 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23A -HEAD- Sec. 845. Changes in the schedule of rates -STATUTE- (a) Hearings on new schedules; publication; guidelines Whenever there shall be filed with the Federal Maritime Commission any schedule stating a new individual or joint rate, fare, or charge, or any new individual or joint classification, or any new individual or joint regulation on practice affecting any rate, fare, or charge, the Commission shall have, and it is given, authority, either upon protest or upon its own initiative without protest, and if it so orders without answer or other formal pleadings by the interested carrier or carriers, but upon reasonable notice, to enter upon a hearing concerning the lawfulness of such rate, fare, charge, classification, regulation, or practice. The Commission shall not order a hearing pursuant to this subsection, on its own motion or upon protest, unless the Commission publishes in the Federal Register the reasons, in detail, why it considers such a hearing to be necessary and the specific issues to be resolved by such hearing. For purposes of facilitating the administration of this chapter, the Commission shall, within one year after October 18, 1978, by regulation prescribe guidelines for the determination of what constitutes a just and reasonable rate of return or profit for common carriers by water in intercoastal commerce. After the regulations referred to in the preceding sentence are initially prescribed, the Commission shall from time to time thereafter review such regulations and make such amendments thereto as may be appropriate. (b) Suspension of rates pending hearings; burden of proof; time limits; issuance of final decision; conferences Pending such hearing and the decision thereon the Federal Maritime Commission, upon filing with such schedule and delivering to the carrier or carriers affected thereby a statement in writing of its reasons for such suspension, may, except as provided in subsection (c) of this section, from time to time suspend the operation of such schedule and defer the use of such rate, fare, charge, classification, regulation, or practice, but not for a longer period than one hundred and eighty days beyond the time when it would otherwise go into effect; and after full hearing whether completed before or after the rate, fare, charge, classification, regulation, or practice goes into effect, the Commission may make such order with reference thereto as would be proper in a proceeding initiated after it had become effective. If the proceeding has not been concluded and an order made within the period of suspension, the proposed change of rate, fare, charge, classification, regulation, or practice shall go into effect at the end of such period. At any hearing under this paragraph the burden of proof to show that the rate, fare, charge, classification, regulation, or practice is just and reasonable shall be upon the carrier or carriers. The Commission shall give preference to the hearing and decision of such questions. Notwithstanding any other provision of law, the Commission shall complete such hearing under this section within sixty days; the initial decision resulting therefrom, if any, shall be submitted in writing to the Commission within one hundred and twenty days; and the Commission shall issue a final decision thereon within one hundred and eighty days. The sixty-day, one hundred and twenty-day, and one hundred and eighty-day periods referred to in the preceding sentence shall each begin on the day on which such rate, fare, charge, classification, regulation, or practice first takes effect or, in the case of suspended matter, shall begin on the day on which such matter would have otherwise gone into effect. However, the Commission may, in its discretion and for good cause, extend the time period or suspension period for a period of not more than sixty days, if three or more Commissioners agree to such an extension. If such extension is granted, the Commission shall report in writing to Congress within ten days from the granting of such extension together with - (A) a full explanation of the reasons for the extension, (B) the issues involved in the matter before the Commission, (C) the names of the personnel of the Commission working on such matter, and (D) a record of how each Commissioner voted on the extension. If a final decision is not issued by the Commission within the one hundred and eighty day period, or by the end of any extension period, such rate, fare, charge, classification, regulation, or practice shall, for purposes of this section, thereafter be deemed to be just and reasonable. However, if the Commission finds that it is unable to issue a final decision within such period or within such extension due to delays which are directly attributable to the proponent of such rate, charge, classification, regulation, or practice, the Commission may disapprove such rate, fare, charge, classification, regulation, or practice, upon the expiration of such period or extension. This provision shall not preclude any remedies available pursuant to section 821 of this Appendix. Notwithstanding any other provision of law, in providing a hearing for the purposes of this chapter, it shall be adequate to provide an opportunity for the submission of all evidence in written form, followed by an opportunity for briefs, written statements, or conferences of the parties. Any such conference may be chaired by an individual Commissioner, an administrative law judge, or any designated employee of the Commission. (c) Prohibition of certain suspensions; refunds (1) Notwithstanding any other provision of this section, the Commission may not suspend - (A) any tariff schedule or service which extends to any additional port, actual service at the rates of the carrier involved for similar service already in effect at the nearest port of call to such additional port; or (B) the operation of that portion of any changed rate, fare, or charge representing an increase or decrease of 5 per centum or less and filed as part of a general increase in rates or a general decrease in rates, except that the aggregate of such changes exempt from suspension shall not exceed 5 per centum during any period of twelve consecutive months; nothing in this subparagraph shall be construed as establishing a presumption that any increase or decrease in excess of 5 per centum is not just and reasonable, or that any increase or decrease less than 5 per centum is just and reasonable. (2) If the Commission finds, as a result of any proceeding under this section with respect to a general increase in rates, that any unsuspended portion of the increase is not just and reasonable, the Commission shall order the carrier involved to refund to any person who was charged on the basis of such general increase an amount equal to that portion thereof found to be not just and reasonable plus interest on such amount computed on the basis of the average of the prime rate charged by major banks, as published by the Board of Governors of the Federal Reserve System, during the period to which the refund applies. -SOURCE- (Mar. 3, 1933, ch. 199, Sec. 3, 47 Stat. 1426; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title IX, Sec. 903(d), 904, 49 Stat. 2016; Aug. 4, 1939, ch. 417, Sec. 2, 53 Stat. 1182; 1950 Reorg. Plan No. 21, Sec. 104(2), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(b), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; Oct. 18, 1978, Pub. L. 95-475, Sec. 3, 92 Stat. 1494.) -MISC1- AMENDMENTS 1978 - Subsec. (a). Pub. L. 95-475, Sec. 3(1), (2), designated first par. as subsec. (a), substituted 'protest' for 'complaint' in two places, struck out provision prohibiting suspension of a tariff schedule or service which extended to additional ports, and inserted provisions prohibiting the Commission from ordering hearings without publication in the Federal Register of the reasons for the hearing and the issues to be discussed, authorizing the prescription of guidelines for the determination of just and reasonable rates of return and profit for common carriers by water, and requiring the Commission to periodically review and revise said guidelines. Subsec. (b). Pub. L. 95-475, Sec. 3(3), (4), designated second par. as subsec. (b), inserted 'except as provided in subsection (c) of this section' before 'from time to time', substituted 'one hundred and eighty days' for 'four months' after 'longer period than', struck out 'and decide the same as speedily as possible' after 'decision of such questions', and inserted provisions prescribing time limits for the completion of Commission hearings and submission of the resulting initial and final Commission decisions, authorizing extensions of such time limits in the discretion of the Commission, discussing the consequences of the inability of the Commission to issue a final decision whether or not caused by undue delay attributable to actions of the proponents of the rates or practices at issue, and authorizing the submission of evidence in written form and conferences between the concerned parties. Subsec. (c). Pub. L. 95-475, Sec. 3(5), added subsec. (c). 1939 - Act Aug. 4, 1939, inserted next to last sentence in second par. 1936 - Act June 29, 1936, Sec. 903(d), struck out last sentence prohibiting the board from affirmatively fixing specific rates. EFFECTIVE DATE OF 1978 AMENDMENT Amendment by Pub. L. 95-475 effective ninety days after Oct. 18, 1978, see section 5 of Pub. L. 95-475, set out as a note under section 843 of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' and 'Commission' substituted in text for 'Federal Maritime Board' and 'Board', respectively, pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section with respect to regulation and control of rates, fares, charges, classifications, tariffs, regulations, and practices of common carriers by water to Federal Maritime Commission pursuant to section 103(b) thereof. Previously, 'Federal Maritime Board' and 'Board' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(2) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. -MISC5- ADMINISTRATIVE ORDERS REVIEW ACT Court of appeals exclusive jurisdiction respecting final orders of Maritime Administration under this chapter as are subject to judicial review under section 830 of this Appendix, see section 2342 of Title 28, Judiciary and Judicial Procedure. -CROSS- CROSS REFERENCES Injunction by courts of appeals restraining orders, see section 2348 of Title 28, Judiciary and Judicial Procedure. Review of orders by courts of appeals, see section 2341 et seq. of Title 28. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53791 Document 692 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 845a -EXPCITE- TITLE 46 APPENDIX CHAPTER 23A -HEAD- Sec. 845a. Unjust or unreasonable rates; reasonable maximum and minimum rates ordered by Commission -STATUTE- Whenever the Federal Maritime Commission finds that any rate, fare, charge, classification, tariff, regulation, or practice demanded, charged, collected, or observed by any carrier subject to the provisions of this chapter is unjust or unreasonable, it may determine, prescribe, and order enforced a just and reasonable maximum or minimum, or maximum and minimum rate, fare, or charge, or a just and reasonable classification, tariff, regulation, or practice: Provided, That the minimum-rate provision of this section shall not apply to common carriers on the Great Lakes: Provided further, That upon such finding of unjustness or unreasonableness in a proceeding instituted by a complainant pursuant to the provisions of section 821 of this Appendix, the Commission shall direct full reparation to the complainant of the difference between the charge collected and the just and reasonable rate, fare, or charge, plus interest on such amount computed on the basis of the average of the prime rate charged by major banks, as published by the Board of Governors of the Federal Reserve System, during the period to which the reparation applies. -SOURCE- (Mar. 3, 1933, ch. 199, Sec. 4, as added June 23, 1938, ch. 600, Sec. 43(a), 52 Stat. 964, and amended 1950 Reorg. Plan No. 21, Sec. 104(2), eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1274; 1961 Reorg. Plan No. 7, Sec. 103(b), eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840; Oct. 18, 1978, Pub. L. 95-475, Sec. 4, 92 Stat. 1496.) -MISC1- AMENDMENTS 1978 - Pub. L. 95-475 inserted proviso directing the Commission to make full reparation to a complainant where there was a proceeding finding of unjustness or unreasonableness and prescribing the method of computation of the amount of such reparation. EFFECTIVE DATE OF 1978 AMENDMENT Amendment by Pub. L. 95-475 effective ninety days after Oct. 18, 1978, see section 5 of Pub. L. 95-475, set out as a note under section 843 of this Appendix. EFFECTIVE DATE Section 43(e) of act June 23, 1938, provided that: 'The amendments made by subsections (a), (b), (c), and (d) of this section (enacting this section and section 845b of this Appendix and amending sections 847 and 848 of this Appendix) shall take effect ninety days after the date of the enactment of this Act (June 23, 1938).' REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Federal Maritime Commission' substituted in text for 'Federal Maritime Board' pursuant to Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix, which abolished Federal Maritime Board and transferred its functions under this section with respect to regulation and control of rates, fares, charges, classifications, tariffs, regulations, and practices of common carriers by water to Federal Maritime Commission pursuant to section 103(b) thereof. Previously, 'Federal Maritime Board' substituted for 'Commission' (meaning United States Maritime Commission) on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 104(2) of which transferred its functions to Federal Maritime Board. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. -MISC5- ADMINISTRATIVE ORDERS REVIEW ACT Court of appeals exclusive jurisdiction respecting final orders of Maritime Administration under this chapter as are subject to judicial review under section 830 of this Appendix, see section 2342 of Title 28, Judiciary and Judicial Procedure. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53792 Document 693 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 845b -EXPCITE- TITLE 46 APPENDIX CHAPTER 23A -HEAD- Sec. 845b. Application to common carrier by water in interstate commerce and carriage, etc. of property for United States, States, municipalities, or for charitable purposes -STATUTE- The provisions of this chapter are extended and shall apply to every common carrier by water in interstate commerce, as defined in section 801 of this Appendix, and shall apply to the carriage, storage or handling of property for the United States, State or municipal governments, or for charitable purposes. -SOURCE- (Mar. 3, 1933, ch. 199, Sec. 5, as added June 23, 1938, ch. 600, Sec. 43(a), 52 Stat. 964, and amended Oct. 26, 1974, Pub. L. 93-487, Sec. 1, 88 Stat. 1463.) -MISC1- AMENDMENTS 1974 - Pub. L. 93-487 inserted provision relating to the applicability to the carriage, storage or handling of property for the United States, State or municipal governments, or for charitable purposes. EFFECTIVE DATE Section effective ninety days after June 23, 1938, see section 43(e) of act June 23, 1938, set out as a note under section 845a of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 53793 Document 694 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 847 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23A -HEAD- Sec. 847. Application of chapter 23 to intercoastal shipping -STATUTE- The provisions of the Shipping Act, 1916, as amended (46 App. U.S.C. 801 et seq.), shall in all respects, except as amended by this chapter, continue to be applicable to every carrier subject to the provisions of this chapter. -SOURCE- (Mar. 3, 1933, ch. 199, Sec. 7, formerly Sec. 5, 47 Stat. 1427; renumbered Sec. 7 and amended June 23, 1938, ch. 600, Sec. 43(c), 52 Stat. 965.) -REFTEXT- REFERENCES IN TEXT The Shipping Act, 1916, as amended, referred to in text, is act Sept. 7, 1916, ch. 451, 39 Stat. 728, as amended, which is classified generally to chapter 23 (Sec. 801 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 842 of this Appendix and Tables. -MISC2- AMENDMENTS 1938 - Act June 23, 1938, amended section generally. EFFECTIVE DATE OF 1938 AMENDMENT Amendment effective ninety days after June 23, 1938, see section 43(e) of act June 23, 1938, set out as a note under section 845a of this Appendix. REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. ------DocID 53794 Document 695 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 848 -EXPCITE- TITLE 46 APPENDIX CHAPTER 23A -HEAD- Sec. 848. Short title -STATUTE- This chapter may be cited as the Intercoastal Shipping Act, 1933. -SOURCE- (Mar. 3, 1933, ch. 199, Sec. 8, formerly Sec. 6, 47 Stat. 1427; renumbered Sec. 8, June 23, 1938, ch. 600, Sec. 43(d), 52 Stat. 965.) -MISC1- REPEALS For provisional repeal, see note set out preceding section 801 of this Appendix. ------DocID 53795 Document 696 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 24 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- CHAPTER 24 - MERCHANT MARINE ACT, 1920 -MISC1- Sec. 861. Purpose and policy of United States. 864a. Purchase allowance in sale of vessels for cost of putting vessels in class. 864b. Elements considered in sale of vessels in determination of selling price. 865. Sale to aliens. 865a. Sale of inactive passenger vessels to foreigners; conditions; requisition in emergency; surety bond. 866. Establishment and operation of steamship lines between ports of United States. 867. Investigation of port, terminal, and warehouse facilities. 868. Vessels sold under deferred payment plan; insurance. 869. Creation of fund for insurance of interests of United States. 871. Repair and operation of vessels until sale. 872. Sale of property other than vessels. 875. Possession and control of terminal equipment and facilities. 876. Power of Secretary and Commission to make rules and regulations. 877. Coastwise laws extended to island Territories and possessions. 883. Transportation of merchandise between points in United States in other than domestic built or rebuilt and documented vessels; incineration of hazardous waste at sea. 883-1. Corporation as citizen; fisheries and transportation of merchandise or passengers between points in United States; parent and subsidiary corporations; domestic built vessels; certificate; surrender of documents on change in status. 883a. Reports required of United States vessels rebuilt abroad; penalty for failure to report; mitigation of penalty. 883b. Regulations. 884. Charges for transportation subject to Interstate Commerce provisions. 885. Association of marine insurance companies; application of antitrust laws. 887. Partial invalidity. 888. Definitions. 889. Short title. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 1114 of this Appendix; title 15 section 1014. ------DocID 53796 Document 697 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 861 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 861. Purpose and policy of United States -STATUTE- It is necessary for the national defense and for the proper growth of its foreign and domestic commerce that the United States shall have a merchant marine of the best equipped and most suitable types of vessels sufficient to carry the greater portion of its commerce and serve as a naval or military auxiliary in time of war or national emergency, ultimately to be owned and operated privately by citizens of the United States; and it is declared to be the policy of the United States to do whatever may be necessary to develop and encourage the maintenance of such a merchant marine, and, insofar as may not be inconsistent with the express provisions of this Act, the Secretary of Transportation shall, in the disposition of vessels and shipping property as hereinafter provided, in the making of rules and regulations, and in the administration of the shipping laws keep always in view this purpose and object as the primary end to be attained. -SOURCE- (June 5, 1920, ch. 250, Sec. 1, 41 Stat. 988; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(33), 95 Stat. 156.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to this chapter. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. The shipping laws, referred to in text, are classified generally to Title 46, Shipping, and this Appendix. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'United States Maritime Commission'. For prior transfer of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS 'United States Maritime Commission' substituted in text for 'United States Shipping Board'. For dissolution of Board and transfer of functions to Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 871, 891 of this Appendix. ------DocID 53797 Document 698 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 864a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 864a. Purchase allowance in sale of vessels for cost of putting vessels in class -STATUTE- On and after June 30, 1948, the Secretary of Transportation may make allowances to purchasers of vessels for cost of putting such vessels in class, such allowances to be determined on the basis of competitive bids, without regard to the provisions of the last paragraph of section 1736(d) (FOOTNOTE 1) of the Appendix to title 50. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 30, 1948, ch. 775, Sec. 101, 62 Stat. 1199; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(35), 95 Stat. 156.) -REFTEXT- REFERENCES IN TEXT Section 1736(d) of the Appendix to title 50, referred to in text, was repealed by Pub. L. 101-225, title III, Sec. 307(12), Dec. 12, 1989, 103 Stat. 1925. -COD- CODIFICATION Section was enacted as part of The Supplemental Independent Offices Appropriation Act, 1949, act June 30, 1948, and not as part of the Merchant Marine Act, 1920, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission', meaning the United States Maritime Commission. ------DocID 53798 Document 699 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 864b -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 864b. Elements considered in sale of vessels in determination of selling price -STATUTE- On and after June 29, 1949, no sale of a vessel by the Maritime Administration of the Department of Transportation shall be completed until its ballast and equipment shall have been inventoried and their value taken into consideration by the Maritime Administration in determining the selling price. -SOURCE- (June 29, 1949, ch. 281, Sec. 1, 63 Stat. 349; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(36), 95 Stat. 156.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1920, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Maritime Administration of the Department of Transportation' for 'Maritime Commission' and 'Maritime Administration' for 'Commission', meaning United States Maritime Commission. ------DocID 53799 Document 700 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 865 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 865. Sale to aliens -STATUTE- The Secretary of Transportation is authorized and empowered to sell to aliens, at such prices and on such terms and conditions as he may determine, not inconsistent with the provisions of section 5 (FOOTNOTE 1) (except that completion of the payment of the purchase price and interest shall not be deferred more than ten years after the making of the contract of sale), such vessels as he shall, after careful investigation, deem unnecessary to the promotion and maintenance of an efficient American merchant marine; but no such sale shall be made unless the Secretary of Transportation, after diligent effort, has been unable to sell, in accordance with the terms and conditions of section 5, (FOOTNOTE 1) such vessels to persons citizens of the United States, and has determined to make such sale; and he shall make as a part of his records a full statement of his reasons for making such sale. Deferred payments of purchase price of vessels under this section shall bear interest at the rate of not less than 5 1/2 per centum per annum, payable semiannually. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 5, 1920, ch. 250, Sec. 6, 41 Stat. 991; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(37), 95 Stat. 156.) -REFTEXT- REFERENCES IN TEXT Section 5, referred to in text, means section 5 of act June 5, 1920, which was classified to section 864 of former Title 46, Shipping, and was repealed by Pub. L. 100-710, title II, Sec. 202(4), Nov. 23, 1988, 102 Stat. 4753. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places, 'he' for 'it' in three places, and 'his' for 'its' in two places, and struck out 'upon an affirmative vote of not less than five of its members, spread upon the minutes of the board,' before 'determined to make such sale'. For prior transfers of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53800 Document 701 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 865a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 865a. Sale of inactive passenger vessels to foreigners; conditions; requisition in emergency; surety bond -STATUTE- Notwithstanding any other provision of law or of prior contract with the United States, any vessel heretofore operated as a passenger vessel, as defined in section 613(a) of the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 1183(a)), under an operating-differential subsidy contract with the United States and now in inactive or layup status, except the steamship Independence and the steamship United States, may be sold and transferred to foreign ownership, registry, and flag, with the prior approval of the Secretary of Transportation. Such approval shall require (1) approval of the purchaser; (2) payment of existing debt and private obligations related to the vessel; (3) approval of the price, including terms of payment, for the sale of the vessel; (4) the seller to enter into an agreement with the Secretary whereby an amount equal to the net proceeds received from such sale in excess of existing obligations and expenses incident to the sale shall within a reasonable period not to exceed twelve months of receipt be committed and thereafter be used as equity capital for the construction of new vessels which the Secretary determines are built to effectuate the purposes and policy of the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 1101 et seq.); and (5) the purchaser to enter into an agreement with the Secretary, binding upon such purchaser and any later owner of the vessel and running with title to the vessel, that (a) the vessel will not carry passengers or cargo in competition, as determined by the Secretary, with any United States-flag passenger vessel for a period of two years from the date the transferred vessel goes into operation; (b) the vessel will be made available to the United States in time of emergency and just compensation for title or use; as the case may be, shall be paid in accordance with section 902 of the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 1242); (c) the purchaser will comply with such further conditions as the Secretary may impose as authorized by sections 808, 835 and 839 of this Appendix; and (d) the purchaser will furnish a surety bond in an amount and with a surety satisfactory to the Secretary to secure performance of the foregoing agreements. In addition to any other provision such agreements may contain for enforcement of (4) and (5) above, the agreements therein required may be specifically enforced by decree for specific performance or injunction in any district court of the United States. In the agreement with the Secretary the purchaser shall irrevocably appoint a corporate agent within the United States for service of process upon such purchaser in any action to enforce the agreement. -SOURCE- (Pub. L. 92-296, Sec. 1, May 16, 1972, 86 Stat. 140; Pub. L. 97-31, Sec. 12(38), Aug. 6, 1981, 95 Stat. 156.) -REFTEXT- REFERENCES IN TEXT The Merchant Marine Act, 1936, referred to in text, is act June 29, 1936, ch. 858, 49 Stat. 1985, as amended, which is classified principally to chapter 27 (Sec. 1101 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 1245 of this Appendix and Tables. -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1920, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. ------DocID 53801 Document 702 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 866 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 866. Establishment and operation of steamship lines between ports of United States -STATUTE- Investigation and determination by Secretary - The Secretary of Transportation is authorized and directed to investigate and determine as promptly as possible after June 5, 1920, and from time to time thereafter what steamship lines should be established and put in operation from ports in the United States or any Territory, District, or possession thereof to such world and domestic markets as in his judgment are desirable for the promotion, development, expansion, and maintenance of the foreign and coastwise trade of the United States and an adequate postal service, and to determine the type, size, speed, and other requirements of the vessels to be employed upon such lines and the frequency and regularity of their sailings, with a view to furnishing adequate, regular, certain, and permanent service. Sale or charter of vessels - The Secretary of Transportation is authorized to sell, and if a satisfactory sale cannot be made, to charter such of the vessels referred to in section 863 of this Appendix or otherwise acquired by the Secretary of Transportation, as will meet these requirements to responsible persons who are citizens of the United States who agree to establish and maintain such lines upon such terms of payment and other conditions as the Secretary of Transportation may deem just and necessary to secure and maintain the service desired; and if any such steamship line is deemed desirable and necessary, and if no such citizen can be secured to supply such service by the purchase or charter of vessels on terms satisfactory to the Secretary of Transportation, the Secretary of Transportation shall operate vessels on such line until the business is developed so that such vessels may be sold on satisfactory terms and the service maintained, or unless it shall appear within a reasonable time that such line cannot be made self-sustaining. Preference in sales or charters - Preference in the sale or assignment of vessels for operation on such steamship lines shall be given to persons who are citizens of the United States who have the support, financial and otherwise, of the domestic communities primarily interested in such lines if the Secretary of Transportation is satisfied of the ability of such persons to maintain the service desired and proposed to be maintained, or to persons who are citizens of the United States who may then be maintaining a service from the port of the United States to or in the general direction of the world-market port to which the Secretary of Transportation has determined that such service should be established. Lines established by shipping board; continued operation - Where steamship lines and regular service had been established and were being maintained by ships of the United States Shipping Board on June 5, 1920, such lines and service shall be maintained by the Secretary of Commerce until, in the opinion of the Secretary, the maintenance thereof is unbusinesslike and against the public interests. Additional lines established by Secretary; rates and charges - Whenever the Secretary of Transportation shall determine, as provided in this Act, that trade conditions warrant the establishment of a service or additional service under Government administration where a service is already being given by persons, citizens of the United States, the rates and charges for such Government service shall not be less than the cost thereof, including a proper interest and depreciation charge on the value of Government vessels and equipment employed therein. -SOURCE- (June 5, 1920, ch. 250, Sec. 7, 41 Stat. 991; May 22, 1928, ch. 675, Sec. 414(b), 45 Stat. 696; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 204, eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1276; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(39), 95 Stat. 156.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to this chapter. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. Section 863 of this Appendix, referred to in text, was omitted from the Code. -COD- CODIFICATION United States Shipping Board, referred to in fourth undesignated par., dissolved and functions transferred to successive Federal agencies and departments. Secretary of Commerce, referred to in such par., exercised certain functions of Board pursuant to Reorg. Plan No. 21 of 1950, and was not changed to Secretary of Transportation in view of directory language of Pub. L. 97-31. See 1981 Amendment and Transfer of Functions notes below. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' wherever appearing except in fourth paragraph and 'his' for 'its'. For prior transfers of functions, see Transfer of Functions note below. 1928 - Act May 22, 1928, struck out paragraph which related to contracts for carrying mails. -TRANS- TRANSFER OF FUNCTIONS Functions conferred upon Secretary of Commerce by provisions of Reorg. Plan No. 21 of 1950 to remain vested in Secretary except to extent inconsistent with sections 101(b) and 104(b) of Reorg. Plan No. 7 of 1961. See section 202 of Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. In fourth undesignated par., 'Secretary of Commerce' and 'Secretary' substituted for 'Commission', meaning United States Maritime Commission, on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 204 of which transferred to Secretary of Commerce such Commission's functions not transferred to Federal Maritime Board. Previously, 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 891v, 1195 of this Appendix. ------DocID 53802 Document 703 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 867 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 867. Investigation of port, terminal, and warehouse facilities -STATUTE- It shall be the duty of the Secretary of Transportation, in cooperation with the Secretary of the Army, with the object of promoting, encouraging, and developing ports and transportation facilities in connection with water commerce over which he has jurisdiction, to investigate territorial regions and zones tributary to such ports, taking into consideration the economies of transportation by rail, water, and highway and the natural direction of the flow of commerce; to investigate the causes of the congestion of commerce at ports and the remedies applicable thereto; to investigate the subject of water terminals, including the necessary docks, warehouses, apparatus, equipment, and appliances in connection therewith, with a view to devising and suggesting the types most appropriate for different locations and for the most expeditious and economical transfer or interchange of passengers or property between carriers by water and carriers by rail; to advise with communities regarding the appropriate location and plan of construction of wharves, piers, and water terminals; to investigate the practicability and advantages of harbor, river, and port improvements in connection with foreign and coastwise trade; and to investigate any other matter that may tend to promote and encourage the use by vessels of ports adequate to care for the freight which would naturally pass through such ports: Provided, That if after such investigation the Secretary of Transportation shall be of the opinion that rates, charges, rules, or regulations of common carriers by rail subject to the jurisdiction of the Interstate Commerce Commission are detrimental to the declared object of this section, or that new rates, charges, rules, or regulations, new or additional port terminal facilities, or affirmative action on the part of such common carriers by rail is necessary to promote the objects of this section, the Secretary of Transportation may submit his findings to the Interstate Commerce Commission for such action as such commission may consider proper under existing law. -SOURCE- (June 5, 1920, ch. 250, Sec. 8, 41 Stat. 992; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; July 26, 1947, ch. 343, title II, Sec. 205(a), 61 Stat. 501; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(40), 95 Stat. 156.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in three places, 'his' for 'its', and 'he' for 'it'. For prior transfers of functions, see Transfer of Functions note below. -CHANGE- CHANGE OF NAME Department of War designated Department of the Army and title of Secretary of War changed to Secretary of the Army by section 205(a) of act July 26, 1947, ch. 343, title II, 61 Stat. 501. Section 205(a) of act July 26, 1947, was repealed by section 53 of act Aug. 10, 1956, ch. 1041, 70A Stat. 641. Section 1 of act Aug. 10, 1956, enacted 'Title 10, Armed Forces', which in sections 3010 to 3013 continued Department of the Army under administrative supervision of Secretary of the Army. -TRANS- TRANSFER OF FUNCTIONS 'Maritime Commission' and 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board). For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53803 Document 704 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 868 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 868. Vessels sold under deferred payment plan; insurance -STATUTE- If the terms and conditions of any sale of a vessel made under the provisions of this Act include deferred payments of the purchase price, the Secretary of Transportation shall require, as part of such terms and conditions, that the purchaser of the vessel shall keep the same insured (a) against loss or damage by fire, and against marine risks and disasters, and war and other risks if the Secretary of Transportation so specifies, with such insurance companies, associations or underwriters, and under such forms of policies, and to such an amount, as the Secretary of Transportation may prescribe or approve; and (b) by protection and indemnity insurance with such insurance companies, associations, or underwriters and under such forms of policies, and to such an amount as the Secretary of Transportation may prescribe or approve. The insurance required to be carried under this section shall be made payable to the Secretary of Transportation and/or to the parties as interest may appear. The Secretary of Transportation is authorized to enter into any agreement that he deems wise in respect to the payment and/or the guarantee of premiums of insurance. -SOURCE- (June 5, 1920, ch. 250, Sec. 9, 41 Stat. 992; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(41), 95 Stat. 156.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to this chapter. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in six places and 'he' for 'it'. For prior transfers of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1153 of this Appendix. ------DocID 53804 Document 705 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 869 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 869. Creation of fund for insurance of interests of United States -STATUTE- The Secretary of Transportation may create out of insurance premiums, and revenue from operations and sales, and maintain and administer separate insurance funds which he may use to insure in whole or in part against all hazards commonly covered by insurance policies in such cases, any legal or equitable interest of the United States (1) in any vessel constructed or in process of construction; and (2) in any plants or property in the possession or under the authority of the Secretary of Transportation. The United States shall be held to have such an interest in any vessel toward the construction, reconditioning, remodeling, improving, or equipping of which a loan has been made under the authority of this Act, in any vessel upon which he holds a mortgage or lien of any character, or in any vessel which is obligated by contract with the owner to perform any service in behalf of the United States, to the extent of the Government's interest therein. -SOURCE- (June 5, 1920, ch. 250, Sec. 10, 41 Stat. 992; May 22, 1928, ch. 675, Sec. 501, 45 Stat. 697; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(42), Aug. 6, 1981, 95 Stat. 156.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to this chapter. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places and 'he' for 'it' in two places. For prior transfers of functions, see Transfer of Functions note below. 1928 - Act May 22, 1928, inserted sentence relating to extent of interest of United States, among other changes. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -CROSS- CROSS REFERENCES War risk insurance, see section 1281 et seq. of this Appendix. ------DocID 53805 Document 706 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 871 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 871. Repair and operation of vessels until sale -STATUTE- All vessels may be reconditioned and kept in suitable repair and until sold shall be managed and operated by the Secretary of Transportation or chartered or leased by him on such terms and conditions as the Secretary of Transportation shall deem wise for the promotion and maintenance of an efficient merchant marine, pursuant to the policy and purposes declared in section 861 of this Appendix and section 5 of this Act. (FOOTNOTE 1) (FOOTNOTE 1) See References in Text note below. The term 'reconditioned' as used in this section includes the substitution of the most modern, most efficient, and most economical types of internal-combustion engines as the main propulsive power of vessels. Should the Secretary of Transportation have any such engines built in the United States and installed, in private shipyards or navy yards of the United States, in one or more merchant vessels owned by the United States, and the cost to the Secretary of Transportation of such installation exceeds the amount of funds otherwise available to him for that use, the Secretary of Transportation may transfer to his funds from which expenditures under this section may be paid, from his construction fund authorized by section 11 (FOOTNOTE 1) of the Merchant Marine Act, 1920, so much as in his judgment may be necessary to meet obligations under contracts for such installation; and the Treasurer of the United States shall, at the request of the Secretary of Transportation, make the transfer accordingly: Provided, That the total amount expended by the Secretary of Transportation for this purpose shall not in the aggregate exceed $25,000,000. Any such vessel after June 5, 1920, so equipped by the Secretary of Transportation under the provisions of this section shall not be sold for a period of five years from the date the installation thereof is completed, unless it is sold for a price not less than the cost of the installation thereof and of any other work of reconditioning done at the same time plus an amount not less than $10 for each dead-weight ton of the vessel as computed before such reconditioning thereof is commenced. The date of the completion of such installation and the amount of the dead-weight tonnage of the vessel shall be fixed by the Secretary of Transportation: Provided further, That in fixing the minimum price at which the vessel may thus be sold the Secretary of Transportation may deduct from the aggregate amount above prescribed 5 per centum thereof per annum from the date of the installation to the date of sale as depreciation: And provided further, That no part of such fund shall be expended upon the reconditioning of any vessel unless the Secretary of Transportation shall have first made a binding contract for a satisfactory sale of such vessel in accordance with the provisions of this Act, or for the charter or lease of such vessels for a period of not less than five years by a capable, solvent operator; or unless the Secretary of Transportation is prepared and intends to directly put such vessel in operation immediately upon completion. Such vessel, in any of the enumerated instances, shall be documented under the laws of the United States and shall remain documented under such laws for a period of not less than five years from the date of the completion of the installation, and during such period it shall be operated only on voyages which are not exclusively coastwise. -SOURCE- (June 5, 1920, ch. 250, Sec. 12, 41 Stat. 993; June 6, 1924, ch. 273, Sec. 2, 43 Stat. 468; Feb. 11, 1927, ch. 104, Sec. 1, 44 Stat. 1083; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(43), 95 Stat. 157.) -REFTEXT- REFERENCES IN TEXT Section 5 of this Act, referred to in text, is section 5 of act June 5, 1920, which was classified to section 864 of former Title 46, Shipping, and was repealed by Pub. L. 100-710, title II, Sec. 202(4), Nov. 23, 1988, 102 Stat. 4753. Section 11 of the Merchant Marine Act, 1920, referred to in text, was classified to section 870 of former Title 46, and was repealed by act June 29, 1936, ch. 858, Sec. 903(b), (c), 49 Stat. 2016. See section 1116 of this Appendix. This Act, referred to in text, means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46) is classified principally to this chapter. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. -COD- CODIFICATION The first paragraph of this section originally contained a further provision continuing the United States Shipping Board Merchant Fleet Corporation in existence with authority to operate vessels. The corporation was subsequently dissolved by section 203 of act June 29, 1936. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in twelve places, 'him' for 'it' in two places, and 'his' for 'its' in three places. For prior transfers of functions, see Transfer of Functions note below. 1927 - Act Feb. 11, 1927, substituted 'U.S. Shipping Board Merchant Fleet Corporation' for 'U.S. Shipping Board Emergency Fleet Corporation' in first par. 1924 - Act June 6, 1924, added second par. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 891b of this Appendix. ------DocID 53806 Document 707 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 872 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 872. Sale of property other than vessels -STATUTE- The Secretary of Transportation is further authorized to sell all property other than vessels transferred to him under section 4 (FOOTNOTE 1) upon such terms and conditions as the Secretary of Transportation may determine and prescribe. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 5, 1920, ch. 250, Sec. 13, 41 Stat. 993; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(44), 95 Stat. 157.) -REFTEXT- REFERENCES IN TEXT Section 4, referred to in text, means section 4 of act June 5, 1920, which was classified to section 863 of former Title 46, Shipping, and was repealed by Pub. L. 100-710, title II, Sec. 202(4), Nov. 23, 1988, 102 Stat. 4753. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places and 'him' for 'it'. For prior transfers of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53807 Document 708 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 875 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 875. Possession and control of terminal equipment and facilities -STATUTE- The possession and control of such other (FOOTNOTE 1) docks, piers, warehouses, wharves and terminal equipment and facilities or parts thereof, including all leasehold easements, rights of way, riparian rights and other rights, estates or interests therein or appurtenant thereto which were acquired by the War Department (FOOTNOTE 2) or the Navy Department for military or naval purposes during the war emergency may be transferred by the president to the Secretary of Transportation whenever the President deems such transfer to be for the best interests of the United States. (FOOTNOTE 1) See References in Text note below. (FOOTNOTE 2) See Change of Name note below. The President may at any time he deems it necessary, by order setting out the need therefor and fixing the period of such need, permit or transfer the possession and control of any part of the property taken over by or transferred to the Secretary of Transportation under this section to the Department of the Army, Department of the Air Force, or Department of the Navy for their needs, and when in the opinion of the President such need therefor ceases the possession and control of such property shall revert to the Secretary of Transportation. None of such property shall be sold except as may be provided by law. -SOURCE- (June 5, 1920, ch. 250, Sec. 17, 41 Stat. 994; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; July 26, 1947, ch. 343, title II, Sec. 205(a), 207(a), (f), 61 Stat. 501, 502; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(45), 95 Stat. 157.) -REFTEXT- REFERENCES IN TEXT Words 'such other', referred to in first par., mean other than docks, etc., acquired by President by or under act Mar. 28, 1918, ch. 28, 40 Stat. 459, which was referred to in original first par. prior to repeal by Pub. L. 97-31. See 1981 Amendment note below. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 struck out first par., directing Commission to take over, on Jan. 1, 1921, possession and control of docks, etc., acquired by President by or under act Mar. 28, 1918, ch. 28, 40 Stat. 459, and substituted 'Secretary of Transportation' for 'Commission' wherever appearing. For prior transfers of functions, see Transfer of Functions note below. -CHANGE- CHANGE OF NAME Department of War designated Department of the Army and title of Secretary of War changed to Secretary of the Army by section 205(a) of act July 26, 1947. Section 207(a), (f) of act July 26, 1947, established Department of the Air Force, headed by a Secretary, and transferred functions (relating to Army Air Forces) of Secretary of the Army and Department of the Army to Secretary of the Air Force and Department of the Air Force. Sections 205(a) and 207(a), (f) of act July 26, 1947, were repealed by section 53 of act Aug. 10, 1956, ch. 1041, 70A Stat. 641. Section 1 of act Aug. 10, 1956, enacted 'Title 10, Armed Forces', which in sections 3010 to 3013 and 8010 to 8013 continued Departments of the Army and Air Force under administrative supervision of Secretary of the Army and Secretary of the Air Force, respectively. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53808 Document 709 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 876 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 876. Power of Secretary and Commission to make rules and regulations -STATUTE- (1) The Secretary of Transportation is authorized and directed in aid of the accomplishment of the purposes of this Act - (a) To make all necessary rules and regulations to carry out the provisions of this Act; And the Federal Maritime Commission is authorized and directed in aid of the accomplishment of the purposes of this Act: (b) To make rules and regulations affecting shipping in the foreign trade not in conflict with law in order to adjust or meet general or special conditions unfavorable to shipping in the foreign trade, whether in any particular trade or upon any particular route or in commerce generally, including intermodal movements, terminal operations, cargo solicitation, forwarding and agency services, non-vessel-operating common carrier operations, and other activities and services integral to transportation sysetms, (FOOTNOTE 1) and which arise out of or result from foreign laws, rules, or regulations or from competitive methods or practices employed by owners, operators, agents, or masters of vessels of a foreign country; and (FOOTNOTE 1) So in original. Probably should be 'systems,'. (c) To request the head of any department, board, bureau, or agency of the Government to suspend, modify, or annul rules or regulations which have been established by such department, board, bureau, or agency, or to make new rules or regulations affecting shipping in the foreign trade other than such rules or regulations relating to the Public Health Service, the Consular Service, and the steamboat inspection service. (2) No rule or regulation shall be established by any department, board, bureau, or agency of the Government which affects shipping in the foreign trade, except rules or regulations affecting the Public Health Service, the Consular Service, and the steamboat inspection service, until such rule or regulation has been submitted to the Federal Maritime Commission for its approval and final action has been taken thereon by the Commission or the President. (3) Whenever the head of any department, board, bureau, or agency of the Government refuses to suspend, modify, or annul any rule or regulation, or make a new rule or regulation upon request of the Federal Maritime Commission, as provided in subdivision (c) of paragraph (1) of this section, or objects to the decision of the Commission in respect to the approval of any rule or regulation, as provided in paragraph (2) of this section, either the Commission or the head of the department, board, bureau, or agency which has established or is attempting to establish the rule or regulation in question may submit the facts to the President, who is authorized to establish or suspend, modify, or annul such rule or regulation. (4) No rule or regulation shall be established which in any manner gives vessels owned by the United States any preference or favor over those vessels documented under the laws of the United States and owned by persons who are citizens of the United States. (5) The Commission may initiate a rule or regulation under paragraph (1)(b) of this section either on its own motion or pursuant to a petition. Any person, including a common carrier, tramp operator, bulk operator, shipper, shippers' association, ocean freight forwarder, marine terminal operator, or any component of the Government of the United States, may file a petition for relief under paragraph (1)(b) of this section. (6) In furtherance of the purposes of paragraph (1)(b) of this section - (a) the Commission may, by order, require any person (including any common carrier, tramp operator, bulk operator, shipper, shippers' association, ocean freight forwarder, or marine terminal operator, or an officer, receiver, trustee, lessee, agent, or employee thereof) to file with the Commission a report, answers to questions, documentary material, or other information which the Commission considers necessary or appropriate; (b) the Commission may require a report or answers to questions to be made under oath; (c) the Commission may prescribe the form and the time for response to a report and answers to questions; and (d) a person who fails to file a report, answer, documentary material, or other information required under this paragraph shall be liable to the United States Government for a civil penalty of not more than $5,000 for each day that the information is not provided. (7) In proceedings under paragraph (1)(b) of this section - (a) the Commission may authorize a party to use depositions, written interrogatories, and discovery procedures that, to the extent practicable, are in conformity with the rules applicable in civil proceedings in the district courts of the United States; (b) the Commission may by subpoena compel the attendance of witnesses and the production of books, papers, documents, and other evidence; (c) subject to funds being provided by appropriations Acts, witnesses are, unless otherwise prohibited by law, entitled to the same fees and mileage as in the courts of the United States; (d) for failure to supply information ordered to be produced or compelled by subpoena in proceedings under paragraph (1)(b)(7) (FOOTNOTE 2) of this section, the Commission may - (FOOTNOTE 2) So in original. Probably should be paragraph '(1)(b)'. (i) after notice and an opportunity for hearing, suspend tariffs of a common carrier or that common carrier's right to use the tariffs of conferences of which it is a member, or (ii) assess a civil penalty of not more than $5,000 for each day that the information is not provided; and (e) when a person violates an order of the Commission or fails to comply with a subpoena, the Commission may seek enforcement by a United States district court having jurisdiction over the parties, and if, after hearing, the court determines that the order was regularly made and duly issued, it shall enforce the order by an appropriate injunction or other process, mandatory or otherwise. (8) Notwithstanding any other law, the Commission may refuse to disclose to the public a response or other information provided under the terms of this section. (9) If the Commission finds that conditions that are unfavorable to shipping under paragraph (1)(b) of this section exist, the Commission may - (a) limit sailings to and from United States ports or the amount or type of cargo carried; (b) suspend, in whole or in part, tariffs filed with the Commission for carriage to or from United States ports, including a common carrier's right to use tariffs of conferences in United States trades of which it is a member for any period the Commission specifies; (c) suspend, in whole or in part, an ocean common carrier's right to operate under an agreement filed with the Commission, including any agreement authorizing preferential treatment at terminals, preferential terminal leases, space chartering, or pooling of cargoes or revenue with other ocean common carriers; (d) impose a fee, not to exceed $1,000,000 per voyage; or (e) take any other action the Commission finds necessary and appropriate to adjust or meet any condition unfavorable to shipping in the foreign trade of the United States. (10) Upon request by the Commission - (a) the collector of customs at the port or place of destination in the United States shall refuse the clearance required by section 91 of this Appendix to a vessel of a country that is named in a rule or regulation issued by the Commission under paragraph (1)(b) of this section, and shall collect any fees imposed by the Commission under paragraph (9)(d) of this section; and (b) the Secretary of the department in which the Coast Guard is operating shall deny entry for purpose of oceanborne trade, of a vessel of a country that is named in a rule or regulation issued by the Commission under paragraph (1)(b) of this section, to any port or place in the United States or the navigable waters of the United States, or shall detain that vessel at the port or place in the United States from which it is about to depart for another port or place in the United States. (11) A common carrier that accepts or handles cargo for carriage under a tariff that has been suspended under paragraph (7)(d) or (9)(b) of this section, or after its right to use another tariff has been suspended under those paragraphs, is subject to a civil penalty of not more than $50,000 for each day that it is found to be operating under a suspended tariff. (12) The Commission may consult with, seek the cooperation of, or make recommendations to other appropriate Government agencies prior to taking any action under this section. -SOURCE- (June 5, 1920, ch. 250, Sec. 19, 41 Stat. 995; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(46), 95 Stat. 157; Nov. 16, 1990, Pub. L. 101-595, title I, Sec. 103, 104 Stat. 2979.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in par. (1), means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to this chapter. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. -MISC2- AMENDMENTS 1990 - Par. (1)(b). Pub. L. 101-595, Sec. 103(1), inserted 'including intermodal movements, terminal operations, cargo solicitation, forwarding and agency services, non-vessel-operating common carrier operations, and other activities and services integral to transportation sysetms,' after 'generally,'. Pars. (5) to (12). Pub. L. 101-595, Sec. 103(2), added pars. (5) to (12). 1981 - Par. (1). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission', and added after subsec. (a) an undesignated paragraph respecting authority of Federal Maritime Commission. For prior transfers of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. Functions of Public Health Service and of all other officers and employees of Public Health Service, and functions of all agencies of or in Public Health Service transferred to Secretary of Health, Education, and Welfare by Reorg. Plan No. 3 of 1966, eff. June 25, 1966, 31 F.R. 8855, 80 Stat. 1610, set out in the Appendix to Title 5. Secretary of Health, Education, and Welfare redesignated Secretary of Health and Human Services by section 509(b) of Pub. L. 96-88, which is classified to section 3508(b) of Title 20, Education. All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5. Steamboat Inspection Service consolidated in Bureau of Marine Inspection and Navigation which was later abolished. Functions relating to inspection of vessels now vested in Commandant of the Coast Guard. See note preceding section 3 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1710a of this Appendix; title 28 section 2342. ------DocID 53809 Document 710 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 877 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 877. Coastwise laws extended to island Territories and possessions -STATUTE- From and after February 1, 1922, the coastwise laws of the United States shall extend to the island Territories and possessions of the United States not covered thereby on June 5, 1920, and the Secretary of Transportation is directed prior to the expiration of such year to have established adequate steamship service at reasonable rates to accommodate the commerce and the passenger travel of said islands and to maintain and operate such service until it can be taken over and operated and maintained upon satisfactory terms by private capital and enterprise: Provided, That if adequate shipping service is not established by February 1, 1922, the President shall extend the period herein allowed for the establishment of such service in the case of any island Territory or possession for such time as may be necessary for the establishment of adequate shipping facilities therefor: And provided further, That the coastwise laws of the United States shall not extend to the Virgin Islands of the United States until the President of the United States shall, by proclamation, declare that such coastwise laws shall extend to the Virgin Islands and fix a date for the going into effect of same. -SOURCE- (June 5, 1920, ch. 250, Sec. 21, 41 Stat. 997; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; Apr. 16, 1936, ch. 228, 49 Stat. 1207; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Proc. No. 2695, eff. July 4, 1946, 11 F.R. 7517, 60 Stat. 1352; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(47), 95 Stat. 157.) -COD- CODIFICATION Provisos of this section authorizing the government of Philippine Islands to regulate transportation between ports or places in Philippine Archipelago until Congress authorized registry of vessels owned in those islands, and providing that this section should not go into effect in Philippine Islands until after investigation and proclamation by President, omitted on authority of Proc. No. 2695 of 1946, set out under section 1394 of Title 22, Foreign Relations and Intercourse, which proclaimed independence of Philippines. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission'. For prior transfers of functions, see Transfer of Functions note below. 1936 - Act Apr. 16, 1936, inserted last proviso. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -EXEC- CANTON ISLAND Proc. No. 3215, Dec. 12, 1957, 72 Stat. c19, extended period for establishment of adequate shipping service for, and deferred extension of coastwise laws to, Canton Island. ------DocID 53810 Document 711 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 883 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 883. Transportation of merchandise between points in United States in other than domestic built or rebuilt and documented vessels; incineration of hazardous waste at sea -STATUTE- (FOOTNOTE 1) See References in Text note below. (FOOTNOTE 2) So in original. Probably should be followed by a colon. -SOURCE- (June 5, 1920, ch. 250, Sec. 27, 41 Stat. 999; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; Apr. 11, 1935, ch. 58, 49 Stat. 154; July 2, 1935, ch. 355, 49 Stat. 442; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; 1950 Reorg. Plan No. 21, Sec. 204, eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1276; July 14, 1956, ch. 600, Sec. 1, 70 Stat. 544; July 7, 1958, Pub. L. 85-508, Sec. 27(a), 72 Stat. 351; July 5, 1960, Pub. L. 86-583, Sec. 1, 74 Stat. 321; Sept. 21, 1965, Pub. L. 89-194, 79 Stat. 823; Aug. 11, 1968, Pub. L. 90-474, 82 Stat. 700; Nov. 23, 1971, Pub. L. 92-163, Sec. 1, 85 Stat. 486; Oct. 3, 1978, Pub. L. 95-410, title II, Sec. 213, 92 Stat. 904; Nov. 16, 1979, Pub. L. 96-112, Sec. 4, 93 Stat. 848; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(49), 95 Stat. 157; Dec. 29, 1982, Pub. L. 97-389, title V, Sec. 502, 504, 96 Stat. 1954, 1956; Jan. 11, 1988, Pub. L. 100-239, Sec. 6(c)(1), 101 Stat. 1782; June 7, 1988, Pub. L. 101-329, Sec. 1(a), 102 Stat. 588.) -REFTEXT- REFERENCES IN TEXT Section 22 of this Act, referred to in text, is section 22 of act June 5, 1920, which was classified to section 13 of former Title 46, Shipping, and was repealed by Pub. L. 100-710, title II, Sec. 202(4), Nov. 23, 1988, 102 Stat. 4753. The Presidential Proclamation of March 10, 1983, referred to in text, is Proc. No. 5030, Mar. 10, 1983, 48 F.R. 10605, which is set out as a note under section 1453 of Title 16, Conservation. -MISC2- PRIOR PROVISIONS Provisions similar to those comprising this section were contained in act Feb. 17, 1898, ch. 26, Sec. 1, 30 Stat. 248, which was classified to section 290 of this Appendix. AMENDMENTS 1988 - Pub. L. 100-329 inserted provision relating to alternate determination of penalty as based on actual cost of the transportation, and provisos defining term 'merchandise' to include valueless material, making section applicable to valueless or dredged material, and relating to transportation of any platform jacket in or on a launch barge. Pub. L. 100-239 struck out 'of more than five hundred gross tons' after 'no vessel' in second proviso. 1982 - Pub. L. 97-389, Sec. 502, inserted provision relating to the transportation of hazardous waste, the proviso thereto for foreign-flag transport, and further provisions relating to standards for and the inspection of vessels engaged in such transport. Pub. L. 97-389, Sec. 504, inserted proviso defining supplies aboard United States fish processing vessels used for fishery products manufacture as ship's equipment. 1981 - Pub. L. 97-31 in fourth proviso substituted 'Secretary of Transportation' for 'Secretary of Commerce'. For prior transfers of functions, see Transfer of Functions note below. 1979 - Pub. L. 96-112 inserted proviso that, until April 1, 1984, and notwithstanding any other provisions of this section, any vessel documented under the laws of the United States and owned by citizens of the United States could, when operated upon a voyage in foreign trade, transport merchandise in cargo vans, lift vans, and shipping-tanks between points embraced within the coastwise laws for transfer to or when transferred from another vessel or vessels, so documented and owned, of the same operator when the merchandise movement had either a foreign origin or a foreign destination, but that the proviso would apply only to vessels which that same operator owned, chartered or contracted for the construction of prior to Nov. 16, 1979, and would not apply to movements between points in the contiguous United States and points in Hawaii, Alaska, the Commonwealth of Puerto Rico and United States territories and possessions. 1978 - Pub. L. 95-410, in first sentence, substituted 'forfeiture of merchandise' for 'forfeiture thereof' and inserted parenthetical text for forfeiture of a monetary amount up to the value of the merchandise as determined by the Secretary of the Treasury to be recovered from any consignor, seller, owner, importer, consignee, agent, or other person or persons transporting or causing the merchandise to be transported. 1971 - Pub. L. 92-163 inserted 'and equipment, excluding propulsion equipment, for use with such barges' after '(c) empty barges specifically designed for carriage aboard a vessel' and inserted reciprocity proviso reciprocally permitting foreign-flag specialty barges, specifically designed and regularly carried aboard a barge carrying ship in foreign trade to carry export or import cargo between United States points which has been transferred from one such barge to another. 1968 - Pub. L. 90-474 in final proviso designated existing provisions relating to empty cargo vans, empty lift vans, and empty shipping tanks as cl. (a), added cls. (b) to (d), saved modifying provisions relating to empty cargo vans, empty lift vans, and empty shipping tanks so as to render them applicable to cls. (a) to (d), and added cl. (e). 1965 - Pub. L. 89-194 inserted proviso that section should not apply to the transportation of empty cargo vans, lift vans, and shipping tanks by vessels of the United States not qualified to engage in the coastwise trade of by vessels of foreign registry so long as such vans or tanks are owned or leased by the owner or operator of the transporting vessels and are being transported for use in the carriage of goods in foreign trade. 1960 - Pub. L. 86-583 prohibits the operation in the coastwise trade of a rebuilt vessel unless the entire rebuilding, including the construction of any major components of the hull and superstructure of the vessel, is accomplished in the United States. 1958 - Pub. L. 85-508 substituted 'including Alaska' for 'excluding Alaska'. 1956 - Act July 14, 1956, inserted proviso to prohibit the operation in coastwise trade of vessels of more than 500 gross tons which have been rebuilt outside the United States. 1935 - Act July 2, 1935, amended section generally. Act Apr. 11, 1935, inserted fifth proviso. EFFECTIVE DATE OF 1988 AMENDMENT Section 6(c)(2) of Pub. L. 100-239 provided that: 'Paragraph (1) of this subsection (amending this section) does not apply to a vessel under contract to be purchased or rebuilt entered into before July 28, 1987, if that vessel is rebuilt before July 28, 1990.' EFFECTIVE DATE OF 1960 AMENDMENT Section 4 of Pub. L. 86-583 provided that: 'This Act (amending this section and section 883a of this Appendix) shall be effective from the time of enactment (July 5, 1960) hereof: Provided, however, That no vessel shall be deemed to have lost its coastwise privileges as a result of the amendments made by this Act if it is rebuilt within the United States, its Territories (not including trust territories), or its possessions under a contract executed before such date of enactment and if the work of rebuilding is commenced not later than twenty-four months after such date of enactment.' EFFECTIVE DATE OF 1956 AMENDMENT Section 4 of act July 14, 1956, provided that: 'This Act (amending this section and enacting sections 883a and 883b of this Appendix) shall be effective from the date of enactment (July 14, 1956) hereof: Provided, however, That no vessel shall be deemed to have lost its coastwise privileges hereunder if it is rebuilt under a contract entered into before such date of enactment and if the work of rebuilding is commenced not later than six months after such date of enactment.' REPEALS For effect of subtitle IV (Sec. 10101 et seq.) of Title 49, Transportation, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS Functions conferred upon Secretary of Commerce by provisions of Reorg. Plan No. 21 of 1950 to remain vested in Secretary except to extent inconsistent with sections 101(b) and 104(b) of Reorg. Plan No. 7 of 1961. See section 202 of Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. 'Secretary of Commerce' substituted in text for 'United States Maritime Commission' on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix, section 306 of which abolished United States Maritime Commission and section 204 of which transferred to Secretary of Commerce such Commission's functions not transferred to Federal Maritime Board. Previously, 'United States Maritime Commission' substituted for 'Shipping Board'. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069, set out under section 1111 of this Appendix. -MISC5- LAUNCH BARGE INVENTORY; PURPOSE; DEVELOPMENT, MAINTENANCE, AND UPDATING; CONTENTS; PUBLICATION OF INITIAL AND CURRENT INVENTORY Section 1(b) of Pub. L. 100-329 provided that: '(1) For purposes of interpreting the proviso pertaining to transportation of any platform jacket by launch barge, as added by subsection (a) of this section to section 27 of the Merchant Marine Act, 1920 (46 App. U.S.C. 883), the Secretary of Transportation shall develop, maintain, and periodically update an inventory of launch barges with less than a launch capacity of 12,000 long tons that are qualified to engage in the coastwise trade. Each launch barge listed on such inventory shall be identified by its name, launch capacity, length, beam, depth, and other distinguishing characteristics. For each such launch barge, the name and address of the person to whom inquiries may be made shall also be included on the inventory. A launch barge not listed on such inventory shall be deemed not to be 'a launch barge of lesser launch capacity identified by the Secretary of Transportation' within the meaning of such proviso to section 27 of the Merchant Marine Act, 1920. '(2) Not later than 15 days after the date of enactment of this Act (June 7, 1988), the Secretary of Transportation shall publish in the Federal Register an initial inventory of launch barges developed and maintained in accordance with paragraph (1) of this subsection. '(3) Not later than 60 days after the date of enactment of this Act (June 7, 1988), and periodically thereafter, the Secretary shall publish in the Federal Register a current inventory of launch barges developed, maintained, and updated in accordance with paragraph (1) of this subsection.' TRANSPORTATION OF MUNICIPAL SEWAGE SLUDGE Section 3 of Pub. L. 100-329 provided that: 'Notwithstanding the provisions of section 1 of this Act (amending this section and enacting provisions set out as a note above), a vessel may transport municipal sewage sludge if that vessel, regardless of where it was built, is documented under the laws of the United States and, on the date of enactment of this Act (June 7, 1988), that vessel - '(1) is in use by a municipality for the transportation of sewage sludge; or '(2) is under contract with a municipality for the transportation of sewage sludge.' VESSEL UNDER CONTRACT WITH MUNICIPALITY FOR TRANSPORTATION OF SEWAGE SLUDGE: APPLICABILITY OF PROVISIONS Section 4 of Pub. L. 100-329 provided that: 'For purposes of the first paragraph of section 805(a) of the Merchant Marine Act, 1936 (46 App. U.S.C. 1223(a)), a vessel described in section 3(2) of this Act (set out as a note above) is not a vessel engaged in domestic intercoastal or coastwise service, but the prohibitions in the second paragraph apply to that vessel.' CERTIFICATE OF DOCUMENTATION TO VESSEL TRANSPORTING VALUELESS MATERIAL IN COASTWISE TRADE, OR DREDGED MATERIAL, WHETHER OR NOT OF VALUE; ISSUANCE, ENDORSEMENT, ETC. Section 5 of Pub. L. 100-329 provided that: 'Notwithstanding the provisions of section 1 of this Act (amending this section and enacting provisions set out as a note above), the Secretary of the department in which the Coast Guard is operating may issue a certificate of documentation under section 12106 of title 46, United States Code, to a vessel that - '(1) is engaged in transporting only valueless material in the coastwise trade or transporting dredged material, whether or not of value, (A) from a point or place on the high seas within the Exclusive Economic Zone as defined in the Presidential Proclamation of March 10, 1983 (16 U.S.C. 1453 note), to a point or place in the United States or to another point or place on the high seas within such Exclusive Economic Zone or (B) from a point or place within the United States to a point or place on the high seas within such Exclusive Economic Zone; '(2) had a certificate of documentation issued under section 12105 of that title on October 1, 1987; '(3) had been sold foreign or placed under a foreign registry before that certificate was issued; and '(4) was built in the United States; except that such certificate of documentation shall be endorsed to restrict the use of such vessel to the transportation of valueless material in the coastwise trade, and to the transportation of dredged material, whether or not of value, (i) from a point or place on the high seas within such Exclusive Economic Zone to a point or place in the United States or to another point or place on the high seas within such Exclusive Economic Zone, or (ii) from a point or place within the United States to a point or place on the high seas within such Exclusive Economic Zone.' TRANSPORTATION OF MERCHANDISE OR PASSENGERS WITHIN ALASKA BY FOREIGN BUILT HOVERCRAFT Pub. L. 95-599, title I, Sec. 146, Nov. 6, 1978, 92 Stat. 2714, provided that: '(a) Effective during the five-year period beginning on the date of enactment of this Act (Nov. 6, 1978), nothing in section 27 of the Merchant Marine Act, 1920 (this section), or any other provision of law restricting the coastwise trade to vessels of the United States shall prohibit the transportation within the State of Alaska of merchandise or passengers by foreign built hovercraft. '(b) For the purpose of this section the term 'hovercraft' means a vehicle which travels over land or water in a cushion of air generated by such vehicle.' REPORT TO CONGRESS REGARDING EFFECT OF RECIPROCITY PROVISIONS Section 2 of Pub. L. 92-163 authorized the Secretary of the Treasury, for a period of five years following Nov. 23, 1971, to make a report at the beginning of each regular session to the Congress regarding activities under Pub. L. 92-163, including but not limited to the extent to which foreign governments are extending reciprocal privileges to the vessels of the United States. REGULATIONS Section 3 of Pub. L. 86-583 provided that: 'The Secretary of the Treasury shall prescribe such regulations as may be necessary to carry out the purposes of this Act (amending sections 883 and 883a of this Appendix).' ADMISSION OF ALASKA AS STATE Effectiveness of amendment of this section by Pub. L. 85-508 was dependent upon the admission of Alaska into the Union under section 8(b) of Pub. L. 85-508. Admission was accomplished Jan. 3, 1959, on issuance of Proc. No. 3269, Jan. 3, 1959, 24 F.R. 81, 73 Stat. c16, as required by sections 1 and 8(c) of Pub. L. 85-508. See notes preceding section 21 of Title 48, Territories and Insular Possessions. JURISDICTION OVER COMMON CARRIERS BETWEEN PORTS IN HAWAII AND OTHER PORTS Pub. L. 86-3, Sec. 18(a), Mar. 18, 1959, 73 Stat. 12, as amended Pub. L. 86-624, Sec. 46, July 12, 1960, 74 Stat. 423, provided that: 'Nothing contained in this Act shall be construed as depriving the Federal Maritime Board (now Secretary of Transportation) of the exclusive jurisdiction heretofore conferred on it over common carriers engaged in transportation by water between any port in the State of Hawaii and other ports in the United States, or possessions, or as conferring on the Interstate Commerce Commission jurisdiction over transportation by water between any such ports.' JURISDICTION OVER COMMON CARRIERS BETWEEN PORTS IN ALASKA AND OTHER PORTS Section 27(b) of Pub. L. 85-508 provided that: 'Nothing contained in this or any other Act shall be construed as depriving the Federal Maritime Board (now Secretary of Transportation) of the exclusive jurisdiction heretofore conferred on it over common carriers engaged in transportation by water between any port in the State of Alaska and other ports in the United States, its Territories or possessions, or as conferring upon the Interstate Commerce Commission jurisdiction over transportation by water between any such ports.' TRANSPORTATION OF LUMBER TO PUERTO RICO Pub. L. 87-877, Sec. 4, Oct. 24, 1962, 76 Stat. 1201, allowed for suspension of this section during a 1-year period beginning Oct. 24, 1962, with respect to transportation of lumber to Puerto Rico from ports or terminal areas in the United States if Secretary of Commerce determined that no domestic vessel was reasonably available. TRANSPORTATION OF COAL BETWEEN POINTS IN UNITED STATES IN CANADIAN VESSELS Act Aug. 7, 1956, ch. 1028, 70 Stat. 1090, permitted Canadian vessels to transport coal to Ogdensburg, N.Y., from other points in the United States, on the Great Lakes, or their connecting or tributary waters for a period ending June 30, 1957. TRANSPORTATION OF IRON ORE IN VESSELS OF CANADIAN REGISTRY Act June 24, 1952, ch. 458, 66 Stat. 156, provided for the transportation of iron ore and terminated on Dec. 31, 1952. Similar provisions were contained in the following acts: Mar. 29, 1951, ch. 25, 65 Stat. 28. June 30, 1950, ch. 427, Sec. 5, 64 Stat. 309. Mar. 28, 1949, ch. 36, 63 Stat. 16. Mar. 24, 1948, ch. 144, 62 Stat. 84. Jan. 27, 1942, ch. 21, 56 Stat. 19, as amended Aug. 1, 1942, ch. 544, 56 Stat. 735, and repealed July 25, 1947, ch. 327, Sec. 2b, 61 Stat. 451, eff. six months after July 25, 1947. May 31, 1941, ch. 158, 55 Stat. 236. TRANSPORTATION OF GRAIN BETWEEN UNITED STATES PORTS ON GREAT LAKES BY VESSELS OF CANADIAN REGISTRY DURING 1951 Act Oct. 10, 1951, ch. 459, 65 Stat. 371, provided for the transportation of grain and terminated on Dec. 31, 1951. TRANSPORTATION OF MERCHANDISE BETWEEN HYDER, ALASKA, AND UNITED STATES Act July 30, 1947, ch. 387, 61 Stat. 632, as amended June 28, 1948, ch. 693, 62 Stat. 1067, provided for the transportation of merchandise between Hyder, Alaska, and United States and terminated on June 30, 1949. -CROSS- CROSS REFERENCES Corporation meeting certain conditions deemed citizen for purposes of this section, see section 883-1 of this Appendix. Provisions restricting coastwise transportation to vessels of United States not applicable to American Samoa, see section 1664 of Title 48, Territories and Insular Possessions. Transportation of passengers and merchandise in Canadian vessels between points in Alaska and United States, see section 289b of this Appendix. Transportation of passengers in foreign vessels, see section 289 of this Appendix and notes thereunder. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 316, 446b, 883-1 of this Appendix; title 19 section 1554; title 46 sections 3704, 12101, 12106, 14305. ------DocID 53811 Document 712 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 883-1 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 883-1. Corporation as citizen; fisheries and transportation of merchandise or passengers between points in United States; parent and subsidiary corporations; domestic built vessels; certificate; surrender of documents on change in status -STATUTE- Notwithstanding any other provision of law, a corporation incorporated under the laws of the United States or any State, Territory, District, or possession thereof, shall be deemed to be a citizen of the United States for the purposes of and within the meaning of that term as used in sections 316, 808, 835, and 883 of this Appendix, and the laws relating to the documentation of vessels, if it is established by a certificate filed with the Secretary of the Treasury as hereinafter provided, that - (a) a majority of the officers and directors of such corporation are citizens of the United States; (b) not less than 90 per centum of the employees of such corportation are residents of the United States; (c) such corporation is engaged primarily in a manufacturing or mineral industry in the United States or any Territory, District, or possession thereof; (d) the aggregate book value of the vessels owned by such corporation does not exceed 10 per centum of the aggregate book value of the assets of such corporation; and (e) such corporation purchases or produces in the United States, its Territories, or possessions not less than 75 per centum of the raw materials used or sold in its operations but no vessel owned by any such corporation shall engage in the fisheries or in the transportation of merchandise or passengers for hire between points in the United States, including Territories, Districts, and possessions thereof, embraced within the coastwise laws, except as a service for a parent or subsidiary corporation and except when such vessel is under demise or bareboat charter at prevailing rates for use otherwise than in the domestic noncontiguous trades from any such corporation to a common or contract carrier subject to subchapter III of chapter 105 of title 49, which otherwise qualifies as a citizen under section 802 of this Appendix, and which is not connected, directly or indirectly, by way of ownership or control with such corporation. As used herein (1), the term 'parent' means a corporation which controls, directly or indirectly, at least 50 per centum of the voting stock of such corporation, and (2), the term 'subsidiary' means a corporation not less than 50 per centum of the voting stock of which is controlled, directly or indirectly, by such corporation or its parent, but no corporation shall be deemed to be a 'parent' or 'subsidiary' hereunder unless it is incorporated under the laws of the United States, or any State, Territory, District, or possession thereof, and there has been filed with the Secretary of the Treasury a certificate as hereinafter provided. Vessels built in the United States and owned by a corporation meeting the conditions hereof which are non-self-propelled or which, if self-propelled, are of less than five hundred gross tons shall be entitled to documentation under the laws of the United States, and except as restricted by this section, shall be entitled to engage in the coastwise trade and, together with their owners or masters, shall be entitled to all the other benefits and privileges and shall be subject to the same requirements, penalties, and forfeitures as may be applicable in the case of vessels built in the United States and otherwise documented or exempt from documentation under the laws of the United States. A corporation seeking hereunder to document a vessel under the laws of the United States or to operate a vessel exempt from documentation under the laws of the United States shall file with the Secretary of the Treasury of the United States a certificate under oath, in such form and at such times as may be prescribed by him, executed by its duly authorized officer or agent, establishing that such corporation complies with the conditions of this section above set forth. A 'parent' or 'subsidiary' of such corporation shall likewise file with the Secretary of the Treasury a certificate under oath, in such form and at such time as may be prescribed by him, executed by its duly authorized officer or agent, establishing that such 'parent' or 'subsidiary' complies with the conditions of this section above set forth, before such corporation may transport any merchandise or passengers for such parent or subsidiary. If any material matter of fact alleged in any such certificate which, within the knowledge of the party so swearing is not true, there shall be a forfeiture of the vessel (or the value thereof) documented or operated hereunder in respect to which the oath shall have been made. If any vessel shall transport merchandise for hire in violation of this section, such merchandise shall be forfeited to the United States. If any vessel shall transport passengers for hire in violation of this section, such vessel shall be subject to a penalty of $200 for each passenger so transported. Any penalty or forfeiture incurred under this section may be remitted or mitigated by the Secretary of the Treasury under the provisions of section 2107(b) of title 46. Any corporation which has filed a certificate with the Secretary of the Treasury as provided for herein shall cease to be qualified under this section if there is any change in its status whereby it no longer meets the conditions above set forth, and any documents theretofore issued to it, pursuant to the provisions of this section, shall be forthwith surrendered by it to the Secretary of the Treasury. -SOURCE- (June 5, 1920, ch. 250, Sec. 27A, as added Sept. 2, 1958, Pub. L. 85-902, 72 Stat. 1736.) -COD- CODIFICATION In first par., 'subchapter III of chapter 105 of title 49' substituted for 'part III of the Interstate Commerce Act (49 U.S.C. 901 et seq.)' on authority of Pub. L. 95-473, Sec. 3(b), Oct. 17, 1978, 92 Stat. 1466, the first section of which enacted subtitle IV of Title 49, Transportation. In fourth par., 'section 2107(b) of title 46' substituted for 'section 7 of title 46, United States Code' on authority of Pub. L. 98-89, Sec. 2(b), Aug. 26, 1983, 97 Stat. 598, section 1 of which enacted Title 46, Shipping. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 30 section 1522; title 46 section 14305. ------DocID 53812 Document 713 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 883a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 883a. Reports required of United States vessels rebuilt abroad; penalty for failure to report; mitigation of penalty -STATUTE- If any vessel of more than five hundred gross tons documented under the laws of the United States, or last documented under such laws, is rebuilt, and any part of the rebuilding, including the construction of major components of the hull and superstructure of the vessel, is not effected within the United States, its Territories (not including trust territories) or its possessions, a report of the circumstances of such rebuilding shall be made to the Secretary of the Treasury, upon the first arrival of the vessel thereafter at a port within the customs territory of the United States, if rebuilt outside the United States, its Territories (not including trust territories), or its possessions, or, in any other case, upon completion of the rebuilding, in accordance with such regulations as the Secretary may prescribe. If the required report is not made, the vessel, together with its tackle, apparel, equipment, and furniture, shall be forfeited, and the master and owner shall each be liable to a penalty of $200. Any penalty or forfeiture incurred under this Act may be remitted or mitigated by the Secretary under the provisions of section 2107(b) of title 46. -SOURCE- (July 14, 1956, ch. 600, Sec. 2, 70 Stat. 544; July 5, 1960, Pub. L. 86-583, Sec. 2, 74 Stat. 321.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act July 14, 1956, ch. 600, 70 Stat. 544, as amended, which enacted sections 883a, and 883b of this Appendix, amended section 883 of this Appendix, and enacted provisions set out as a note under section 883 of this Appendix. For complete classification of this Act to the Code, see Tables. -COD- CODIFICATION 'Section 2107(b) of title 46' substituted in text for 'section 5294 of the Revised Statutes of the United States, as amended (U.S.C., title 46, sec. 7)' on authority of Pub. L. 98-89, Sec. 2(b), Aug. 26, 1983, 97 Stat. 598, section 1 of which enacted Title 46, Shipping. Section was enacted as part of act July 14, 1956, and not as part of act June 5, 1920, ch. 250, 41 Stat. 988, known as the Merchant Marine Act, 1920, which comprises this chapter. -MISC3- AMENDMENTS 1960 - Pub. L. 86-583 provided for a report of the rebuilding of any part of the vessel, including the construction of major components of the hull and superstructure of the vessel, and for a report upon completion of the rebuilding in certain cases. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-583 effective July 5, 1960, and effect on rebuilding contracts executed before such date, see section 4 of Pub. L. 86-583, set out as a note under section 883 of this Appendix. EFFECTIVE DATE Section effective July 14, 1956, see section 4 of act July 14, 1956, set out as an Effective Date of 1956 Amendment note under section 883 of this Appendix. REGULATIONS Secretary of the Treasury to prescribe regulations to carry out the purposes of this section, see section 3 of Pub. L. 86-583, set out as a note under section 883 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 46 section 14305. ------DocID 53813 Document 714 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 883b -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 883b. Regulations -STATUTE- The Secretary of the Treasury shall prescribe such regulations as may be necessary to carry out the purposes of this Act. -SOURCE- (July 14, 1956, ch. 600, Sec. 3, 70 Stat. 544.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act July 14, 1956, ch. 600, 70 Stat. 544, as amended, which enacted sections 883a, and 883b of this Appendix, amended section 883 of this Appendix, and enacted provisions set out as a note under section 883 of this Appendix. For complete classification of this Act to the Code, see Tables. -COD- CODIFICATION Section was enacted as part of act July 14, 1956, and not as part of act June 5, 1920, ch. 250, 41 Stat. 988, known as the Merchant Marine Act, 1920, which comprises this chapter. -MISC3- EFFECTIVE DATE Section effective July 14, 1956, see section 4 of act July 14, 1956, set out as an Effective Date of 1956 Amendment note under section 883 of this Appendix. ------DocID 53814 Document 715 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 884 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 884. Charges for transportation subject to Interstate Commerce provisions -STATUTE- No common carrier shall charge, collect, or receive for transportation subject to subtitle IV of title 49 of persons or property, under any joint rate, fare, or charge, or under any export, import, or other proportional rate, fare, or charge, which is based in whole or in part on the fact that the persons or property affected thereby is to be transported to, or has been transported from, any port in a possession or dependency of the United States, or in a foreign country, by a carrier by water in foreign commerce, any lower rate, fare, or charge than that charged, collected, or received by it for the transportation of persons, or of a like kind of property, for the same distance, in the same direction, and over the same route, in connection with commerce wholly within the United States, unless the vessel so transporting such persons or property is, or unless it was at the time of such transportation by water, documented under the laws of the United States. Whenever the Secretary of Transportation is of the opinion, however, that adequate shipping facilities to or from any port in a possession or dependency of the United States or a foreign country are not afforded by vessels so documented he shall certify this fact to the Interstate Commerce Commission, and the Interstate Commerce Commission may, by order, suspend the operation of the provisions of this section with respect to the rates, fares, and charges for the transportation by rail of persons and property transported from, or to be transported to such ports, for such length of time and under such terms and conditions as he may prescribe in such order, or in any order supplemental thereto. Such suspension of operation of the provisions of this section may be terminated by order of the Interstate Commerce Commission whenever the Secretary of Transportation is of the opinion that adequate shipping facilities by such vessels to such ports are afforded and shall so certify to the Interstate Commerce Commission. -SOURCE- (June 5, 1920, ch. 250, Sec. 28, 41 Stat. 999; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, Sec. 204, 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(50), 95 Stat. 157.) -COD- CODIFICATION 'Subtitle IV of title 49' substituted in text for 'the Interstate Commerce Act (49 U.S.C. 1 et seq.)' on authority of Pub. L. 95-473, Sec. 3(b), Oct. 17, 1978, 92 Stat. 1466, the first section of which enacted subtitle IV of Title 49, Transportation. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places and 'he' for 'it'. For prior transfers of functions, see Transfer of Functions note below. REPEALS For effect of subtitle IV (Sec. 10101 et seq.) of Title 49, Transportation, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS 'Maritime Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53815 Document 716 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 885 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 885. Association of marine insurance companies; application of antitrust laws -STATUTE- (a) Whenever used in this section - (1) The term 'association' means any association, exchange, pool, combination, or other arrangement for concerted action; and (2) The term 'marine insurance companies' means any persons, companies, or associations, authorized to write marine insurance or reinsurance under the laws of the United States or of a State, Territory, District, or possession thereof. (b) Nothing contained in the 'antitrust laws' as designated in section 12 of title 15, shall be construed as declaring illegal an association entered into by marine insurance companies for the following purposes: To transact a marine insurance and reinsurance business in the United States and in foreign countries and to reinsure or otherwise apportion among its membership the risks undertaken by such association or any of the component members. -SOURCE- (June 5, 1920, ch. 250, Sec. 29, 41 Stat. 1000.) ------DocID 53816 Document 717 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 887 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 887. Partial invalidity -STATUTE- If any provision of this Act is declared unconstitutional or the application of any provision to certain circumstances be held invalid, the remainder of such Act and the application of such provisions to circumstances other than those as to which it is held invalid shall not be affected thereby. -SOURCE- (June 5, 1920, ch. 250, Sec. 36, 41 Stat. 1007.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to this chapter. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. ------DocID 53817 Document 718 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 888 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 888. Definitions -STATUTE- When used in this Act, unless the context otherwise requires, the terms 'person', 'vessel', 'documented under the laws of the United States', and 'citizen of the United States' shall have the meaning assigned to them by sections 801, 802, and 803 of this Appendix; and the term 'alien' means any person not a citizen of the United States. -SOURCE- (June 5, 1920, ch. 250, Sec. 37, 41 Stat. 1008; Sept. 21, 1959, Pub. L. 86-327, Sec. 2, 73 Stat. 597.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to this chapter. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. -COD- CODIFICATION The words 'the term 'commission' means the United States Maritime Commission;' were omitted preceding the definition of 'alien' in view of Reorg. Plan No. 21 of 1950, Sec. 204, 306, eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1276, 1277, set out under section 1111 of this Appendix, which abolished United States Maritime Commission and transferred its functions to Federal Maritime Board and to Secretary of Commerce. -MISC3- AMENDMENTS 1959 - Pub. L. 86-327 substituted 'sections 1 and 2 of the 'Shipping Act, 1916,' as amended' for 'sections 1 and 2 of the 'Shipping Act, 1916,' as amended by this Act', which sections are referred to in the text as 'sections 801, 802, and 803 of this Appendix' for purposes of codification. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, and 'United States Maritime Commission' substituted in text for 'board' and 'Shipping Board', meaning United States Shipping Board, respectively. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. Executive and administrative functions of United States Maritime Commission transferred to Chairman thereof by Reorg. Plan No. 6 of 1949, eff. Aug. 20, 1949, 14 F.R. 5228, 63 Stat. 1069 set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 46 section 31329. ------DocID 53818 Document 719 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 889 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24 -HEAD- Sec. 889. Short title -STATUTE- This Act may be cited as the Merchant Marine Act, 1920. -SOURCE- (June 5, 1920, ch. 250, Sec. 39, 41 Stat. 1008.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act June 5, 1920, ch. 250, 41 Stat. 988, as amended, known as the Merchant Marine Act, 1920, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to this chapter. For complete classification of this Act to the Code, see Tables. ------DocID 53819 Document 720 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 24A -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A -HEAD- CHAPTER 24A - MERCHANT MARINE ACT, 1928 -MISC1- Sec. 891. Declaration of policy. 891b. Vessels of Secretary; remodeling and improving. 891c. Replacement vessels. 891u. Definitions. 891v. Reaffirmation of steamship line policy. 891w. Ship operations; allocations. 891x. Short title. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 1114 of this Appendix. ------DocID 53820 Document 721 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 891 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A -HEAD- Sec. 891. Declaration of policy -STATUTE- The policy and the primary purpose declared in section 861 of this Appendix are confirmed. -SOURCE- (May 22, 1928, ch. 675, Sec. 1, 45 Stat. 689.) ------DocID 53821 Document 722 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 891b -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A -HEAD- Sec. 891b. Vessels of Secretary; remodeling and improving -STATUTE- In addition to his power to recondition and repair vessels under section 871 of this Appendix, the Secretary of Transportation may remodel and improve vessels owned by the United States and in his possession or under his control, so as to equip them adequately for competition in the foreign trade of the United States. Any vessel so remodeled or improved shall be documented under the laws of the United States and shall remain documented under such laws for not less than five years from the date of the completion of the remodeling or improving and so long as there remains due the United States any money or interest on account of such vessel, and during such period it shall be operated only on voyages which are not exclusively coastwise. -SOURCE- (May 22, 1928, ch. 675, Sec. 202, 45 Stat. 690; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(51), 95 Stat. 157.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' and 'his' for 'its' in three places. For prior transfers of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS 'United States Maritime Commission' substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53822 Document 723 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 891c -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A -HEAD- Sec. 891c. Replacement vessels -STATUTE- The necessity for the replacement of vessels owned by the United States and in the possession or under the control of the Secretary of Transportation and the construction for the Secretary of Transportation of additional up-to-date cargo, combination cargo and passenger, and passenger ships, to give the United States an adequate merchant marine, is recognized, and the Secretary of Transportation is authorized and directed to present to Congress from time to time, recommendations setting forth what new vessels are required for permanent operation under the United States flag in foreign trade, and the estimated cost thereof, to the end that Congress may, from time to time, make provision for replacements and additions. All vessels built for the Secretary of Transportation shall be built in the United States, and they shall be planned with reference to their possible usefulness as auxiliaries to the naval and military services of the United States. -SOURCE- (May 22, 1928, ch. 675, Sec. 203, 45 Stat. 690; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(52), 95 Stat. 157.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in four places. For prior transfers of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS 'Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53823 Document 724 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 891u -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A -HEAD- Sec. 891u. Definitions -STATUTE- (a) When used in this Act, and for the purposes of this Act only, the words 'foreign trade' mean trade between the United States, its Territories or possessions, or the District of Columbia and a foreign country: Provided, however, That the loading or the unloading of cargo, mail, or passengers at any port in any Territory or possession of the United States shall be construed to be foreign trade if the stop at such Territory or possession is an intermediate stop on what would otherwise be a voyage in foreign trade. (b) When used in this Act the term 'citizen of the United States' includes a corporation, partnership, or association only if it is a citizen of the United States within the meaning of section 802 of this Appendix. -SOURCE- (May 22, 1928, ch. 675, Sec. 703, 45 Stat. 698.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act May 22, 1928, ch. 675, 45 Stat. 689, as amended, known as the Merchant Marine Act, 1928, which is classified generally to this chapter. For complete classification of this Act to the Code, see References in Text note set out under section 891x of this Appendix and Tables. ------DocID 53824 Document 725 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 891v -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A -HEAD- Sec. 891v. Reaffirmation of steamship line policy -STATUTE- The policy and the primary purpose declared in section 866 of this Appendix are reaffirmed. -SOURCE- (May 22, 1928, ch. 675, Sec. 704, 45 Stat. 698.) ------DocID 53825 Document 726 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 891w -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A -HEAD- Sec. 891w. Ship operations; allocations -STATUTE- In the allocations of the operations of the ships, the Secretary of Transportation shall distribute them as far as possible and without detriment to the service among the various ports of the country. -SOURCE- (May 22, 1928, ch. 675, Sec. 705, 45 Stat. 698; Ex. Ord. No. 6166, Sec. 12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, Sec. 204, title IX, Sec. 904, 49 Stat. 1987, 2016; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(53), 95 Stat. 157.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Maritime Commission'. For prior transfers of functions, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS 'Maritime Commission', meaning United States Maritime Commission, substituted in text for 'board', meaning United States Shipping Board. For dissolution of Board and transfer of functions to United States Maritime Commission, see Ex. Ord. No. 6166 and act June 29, 1936. Ex. Ord. No. 6166 is set out as a note under section 901 of Title 5, Government Organization and Employees. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53826 Document 727 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 891x -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A -HEAD- Sec. 891x. Short title -STATUTE- This Act may be cited as the 'Merchant Marine Act, 1928'. -SOURCE- (May 22, 1928, ch. 675, Sec. 706, 45 Stat. 698.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, means act May 22, 1928, ch. 675, 45 Stat. 689, as amended, which enacted this chapter, and amended sections 866 and 869 of this Appendix, section 654 of former Title 39, The Postal Service, and sections 870 and 880 of former Title 46, Shipping. For complete classification of this Act to the Code, see Tables. ------DocID 53827 Document 728 of 963------ -CITE- 46 USC APPENDIX - SHIPPING -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A TITLE 46 APPENDIX CHAPTER 24A -STATUTE- CHAPTER 27 - MERCHANT MARINE ACT, 1936 SUBCHAPTER I - DECLARATION OF POLICY Sec. 1101. Fostering development and maintenance of merchant marine. SUBCHAPTER II - CREATION AND FUNCTIONS OF MARITIME AGENCIES 1111. Powers and duties of agencies. (a), (b) Repealed. (c) Records of meetings; seal; rules and regulations. (d) Expenditures. (e) Officers and employees. (f) Traveling and subsistence expenses; pay for military officer on assignment. (g) Effective date of section. 1111a. Administrative expenses; limitations. 1111c. Automated Tariff Filing and Information System. (a) Availability of electronic copies of data base; fees. (b) Limit on remote access usage. (c) Use, resale, or dissemination of information. 1112. Operation of property by Secretary. 1114. Transfer of powers; rules and orders. (a) Transfer of functions, powers and duties. (b) Rules and regulations. (c) Enforcement of orders; penalties for violations. 1115. Discrimination at ports by carriers by water against other carriers. 1116. Construction fund. 1116a. Application to obligations against emergency ship construction fund. 1117. Power to contract; audit of accounts; reports of Comptroller General. 1118. Reports to Congress. 1119. Authorization of appropriations. 1120. Survey of existing merchant marine for creation of adequate American-owned fleet. 1121. Investigations, studies, records, etc. (a) Suitable ocean routes and lines to foreign ports; vessels and costs of operation. (b) Bulk cargo carrying services. (c) Vessels required in proposed routes. (d) Cost of construction in United States and abroad. (e) Relative cost of operation under laws of United States and foreign countries. (f) Foreign subsidies. (g) Shipyards. (h) Laws applicable to aircraft. (i) Transportation to foreign ports of cotton, coal, lumber, and cement. (j) New designs of vessels; intercoastal and inland water transportation. 1121-1. Priority loading for vessels engaged in coastwise transportation of coal; exception, report to Congress. 1121-2. National Maritime Enhancement Institutes. (a) Designation by Secretary of Transportation. (b) Activities. (c) Submission of applications. (d) Designation criteria. (e) Awards. 1122. Maritime problems; cooperation with others; cargo carriage; recommendations. (a) Study of maritime problems. (b) Inducing preferences for American vessels; construction of super-liners. (c) Collaboration with owners and builders. (d) Liaison with other agencies and trade organizations. (e) Investigation of discriminatory charges, etc., against exports. (f) Development and implementation of new methods of cargo carriage; preferences for cargo containers. (g) Recommendations for further legislation. 1122a. Vessel utilization and performance reports; filing; civil penalty; lien upon vessel; remission or mitigation of penalty. 1122b. Mobile trade fairs. (a) Use of United States flag vessels and aircraft insofar as practicable. (b) Technical and financial assistance; exceptions. (c) Use of foreign currencies. (d) Report to Congress. 1123. Obsolete tonnage; tramp service; relative costs at yards. (a) Removal of obsolete tonnage. (b) Tramp shipping; participation in by Americans. (c) Relative cost of construction at different yards; equalization. 1124. Witnesses. (a) Summoning; oaths; production of books and papers; fees. (b) Refusal to obey subpena; court orders; contempt. 1125. Acquisition of vessels. 1125a. Construction, repair, etc., of vessels for Government agencies. 1126-1. Training of future naval officers under Naval Reserve Officer Training Corps programs at merchant marine academies for promotion of maximum integration of naval and merchant marine seapower of Nation. SUBCHAPTER III - AMERICAN SEAMEN 1131. Manning and wage scales; subsidy contracts. (a) Investigation of wages and working conditions; establishment of wage and manning scales; incorporation in subsidy contracts. (b) Subsidy contracts; provisions relative to officers and crew. SUBCHAPTER V - CONSTRUCTION-DIFFERENTIAL SUBSIDY 1151. Subsidy authorized for vessels to be operated in foreign trade. (a) Application for subsidy for construction; conditions precedent to granting. (b) Submission of plans to Navy Department; certification of approval. (c) Application for subsidy for reconstruction or reconditioning; conditions precedent to granting; contracts. 1152. Construction of vessels; bids; subsidies. (a) Approval of bids; contract with bidder; acceptance of negotiated price; shipyard records, availability; contract with applicant or qualified citizen for purchase of vessel. (b) Basis for fixing subsidy; cost of construction in foreign yards; annual recomputation and publication of foreign cost; limitation on construction differential; report on American shipbuilding industry. (c) Terms of sale of vessel to purchaser. (d) Repealed. (e) Construction in navy yards; sales to citizens; terms. (f) Survey of shipbuilding capability; correction of inadequacies; reimbursement of certain vessel construction and delivery expenses. (g) Sale of vessels acquired by Secretary. (h) Installation or removal of national defense features; title to such features. (i) Plans, specifications, and proposals for national defense features; certification of approval. 1153. Documentation of completed vessel under laws of United States; delivery to purchaser; first mortgage to secure deferred payments. 1154. Purchase of vessel constructed in accordance with application for subsidy; bid or negotiated price basis for subsidy and payments for cost of national defense features; documentation. 1155. Eligible shipyards; materials; conditions of contracts; limitation to American shipyards; American materials, waiver; ability of bidders; filing bids and data. 1156. Operation of subsidy constructed vessel limited to foreign trade; repayments to Secretary for deviations. 1157. Construction of new vessel to replace obsolete; purchase of old vessel by Secretary; bond of seller against liens. 1158. Disposition of vessels transferred to Maritime Administration of Department of Transportation. 1159. Vessels to be operated in domestic trade; terms and conditions of construction aid and sale to purchaser. 1160. Acquisition of obsolete vessels. (a) Definitions. (b) Promotion of construction of new vessels; allowance on obsolete vessels. (c) Utility value of new vessel; gross tonnage. (d) Amount of allowance on obsolete vessel; determination of amount. (e) Recognition of gain for income tax purposes; basis for gain or loss. (f) Report to Congress. (g) Use of vessels 25 years old or more. (h) Repealed. (i) Exchange of vessels; valuation; scrapping of traded out vessels. (j) Placement in national defense reserve fleet of acquired vessels. 1161. Reserve funds for construction or acquisition of vessels; taxation. (a) 'New vessel' defined. (b) Establishment of construction reserve funds. (c) Recognition of gain for taxation where proceeds of sale or indemnity for loss deposited in fund. (d) Basis for determining gain or loss and for depreciation of new vessels. (e) Order, proportions, etc., of deposits and withdrawals. (f) Amounts in fund as accumulation of earnings or profits. (g) Benefits of section conditioned upon manner and time of expenditure of deposits. (h) Authorizations of extensions of time. (i) Taxation of deposits upon failure of conditions. (j) Assessment and collection of deficiency tax. (k) Taxable years governed by section. (l) Vessels deemed constructed or acquired by taxpayers owning stock in corporations constructing or acquiring vessels. (m) Definitions. (n) 'Contract for the construction' and 'construction contract' defined. (o) 'Reconstruction and reconditioning' defined. SUBCHAPTER VI - OPERATING-DIFFERENTIAL SUBSIDY 1171. Subsidy authorized for operation of vessels in foreign trade or in off-season cruises. (a) Application for subsidy; conditions precedent to granting. (b) Statements as to financial interests to accompany application; penalty for false statements. 1172. Determination of necessity of subsidy to meet competition. 1173. Contracts for payment of subsidy. (a) Authorization of contracts. (b) Amount of subsidy. (c) 'Collective bargaining costs', 'base period costs', 'base period', and 'subsidizable wage costs of United States officers and crews' defined; determination of collective bargaining costs and establishment of new base periods; wage change index. (d) Foreign wage computation; foreign manning. (e) Monthly payment of wage subsidy; procedures for calculation and payment of subsidy on certain expenses. (f) Monthly percentage payment of other than wage subsidy; security for refund of overpayments; payment of remainder after audit of voyage accounts. 1174. Additional subsidy; when authorized. 1175. Vessels excluded from subsidy. (a) Vessels engaged in coastwise or intercoastal trade; vessels on inland waterways. (b) Vessels more than 25 years old. (c) Vessels to be operated in an essential service served by citizens of United States. 1176. Readjustments; change in service; withdrawal from service; payment of excess profits; wages, etc.; American materials. 1177. Capital construction fund. (a) Agreement rules; persons eligible; replacement, additional, or reconstructed vessels for prescribed trade and fishery operations; amount of deposits, annual limitation; conditions and requirements for deposits and withdrawals. (b) Ceiling on deposits; lessees; 'agreement vessel' defined. (c) Investment requirements; depositories; fiduciary requirements; interest-bearing securities; stock: percentage for domestic issues, listing and registration, prudent acquisitions, value and percentage equilibrium, and treatment of preferred issues. (d) Nontaxability of deposits; eligible deposits. (e) Accounts within fund: capital account, capital gain account, and ordinary income account; limitation on capital losses. (f) Purposes of qualified withdrawals; nonqualified withdrawal treatment for nonfulfillment of substantial obligations. (g) Tax treatment of qualified withdrawals; basis: reduction. (h) Tax treatment of nonqualified withdrawals; FIFO and LIFO bases; interest rate; amounts not withdrawn after 25 years; highest marginal rate of tax. (i) Corporate reorganizations and partnership changes. (j) Treatment of existing funds; relation of old to new fund. (k) Definitions. (l) Records; reports; rules and regulations; termination of agreement upon changes in regulations with substantial effect on rights or obligations. (m) Departmental reports and certification. 1177-1. Small fishing vessel construction reserves. 1177a. Deposits in special reserve fund; excusal; tax treatment. 1178. Sale or assignment of contract; consent of Secretary; purchaser subject to terms of contract; rescinding contract on transfer without consent. 1179. Withholding payment to defaulting contractor. 1180. Vessels eligible to subsidy. 1181. Transfer of vessels to foreign registry on default of United States. (a) Application; hearing; grant or denial. (b) Appeal from denial of application. (c) Effectiveness of transfer. 1183. Off-season cruises by passenger vessels. (a) 'Passenger vessel' defined. (b) Authorization for payment of subsidy. (c) Authorization for payment of subsidy to passenger vessels providing domestic service. (d) Conditions for cruises or domestic service while on voyages in an essential service in foreign commerce. (e) Application for approval of cruise; notice to other American flag operators. 1183a. Off-season cruises additional to right of operator to make voyages on regular service, route, or line, including approved deviations. 1184. Suspension of operating differential subsidy contracts by operator recipients. 1185. Construction, reconstruction, or acquisition of vessels over five thousand deadweight tons in foreign shipyards; preconditions. SUBCHAPTER VII - PRIVATE CHARTER OPERATION 1191. Additional powers of Secretary for completion of program. 1192. Construction or reconditioning of vessels by Secretary. 1193. Competitive bidding. (a) Construction, reconstruction, or reconditioning of vessels. (b) Requirements. (c) Opening of bids. 1194. Charter or sale of vessels acquired by Department of Transportation. 1195. Employment of vessels on foreign trade routes; selection of routes; encouraging private operation by sale or charter; selling price. 1196. Advertising for bids for charters; rejection of bids. 1197. Awarding charter on bids. (a) Highest bid. (b) Rejection of highest bid. (c) Next highest bid; rejection of all bids and readvertisement. 1198. Payment of subsidies to charterers. 1199. Excess profit; payment to Secretary; formula for determining profit. 1200. Undertaking required of charterer. 1201. Terms and conditions of charters. 1202. Insurance requirements; repairs; inspection by Secretary; termination of charter in national emergency. 1203. Financial resources and other factors considered in awarding charters. 1204. Construction and chartering of vessels for unsuccessful routes; purchase of vessel by charterer; purchase price; operation of vessel in foreign trade. 1205. Experimental operation and testing of United States vessels; number; bareboat charters; review of charters and agency agreements; provisions applicable to charters and agreements. SUBCHAPTER VIII - CONTRACT PROVISIONS 1211. Provision for books and records; filing balance sheets; inspection and auditing by Secretary; rescission of contract on failure to comply with provisions. 1212. Purchase or requisition of vessels by United States; amount of payment. 1213. Contracts designed equitably for all ports; minimum allocation of funds; report to Congress; preference to citizens of United States; regional offices for Maritime Administration. SUBCHAPTER VIII-A - OFFENSES AND PENALTIES 1222. Operating competing foreign-flag vessel forbidden. (a) Operating-differential subsidy; competition with essential American-flag service. (b) Waiver; special circumstances. (c) Exceptions. (d) Statement to be filed with Secretary. (e) Report to Congress. 1223. Forbidden practices relating to coastwise service, salaries, officers, and employees. (a) Foreign trade subsidy contractor engaging in coastwise or intercoastal trade. (b) Contractor in default paying more than specified salary. (c) Repealed. (d) Employing other persons or concerns as managing or operating agent. (e) Repealed. (f) Penalty. 1226. Discrimination in respect to cargo. 1227. Agreements with other carriers forbidden; withholding subsidies; actions by injured persons for damages. 1228. Fines and penalties; conviction as rendering persons ineligible to receive benefits of law. SUBCHAPTER IX - MISCELLANEOUS PROVISIONS 1241. Transportation in American vessels of Government personnel and certain cargoes. (a) Requirement that officers and employees travel on American ships. (b) Cargoes procured, furnished or financed by United States; waiver in emergencies; exceptions; definition. (c) Motor vehicle owned by Government personnel. 1241-1. Shipment of exports financed by Government in United States vessels. 1241a. Vessel operations revolving fund; establishment; uses; limitation. 1241b. Availability of vessel operations revolving fund; vessels involved in mortgage-foreclosure or forfeiture proceedings; redelivery and layup of chartered ships; custody and husbanding of Government-owned ships. 1241c. Expenses for activation, repair and deactivation of merchant ships; receipts. 1241d. Findings and declarations with respect to export transportation of agricultural commodities. 1241e. Exemption of certain agricultural exports from requirements of cargo preference laws. 1241f. Shipment requirements for certain exports sponsored by Department of Agriculture. (a) Minimum requirement respecting gross tonnage transported in United States-flag commercial vessels; implementation. (b) Covered export activity. (c) Terms and conditions. (d) 'Export activity' defined. (e) Prevailing world market price. 1241g. Minimum tonnage. 1241h. Financing of shipment of agricultural commodities in United States-flag vessels. (a) Financing by Secretary of Transportation of increased ocean freight charges. (b) Reimbursement of Secretary of Agriculture and Commodity Credit Corporation; computations. (c) Issuance, etc., of obligations for financing. (d) Authorization of appropriations. (e) Notification of Congress respecting failure to obtain funds necessary for financing. 1241i. Authorization of appropriations. 1241j. Termination of sections 1241e through 1241o of this Appendix. 1241k. National Advisory Commission on Agricultural Export Transportation Policy. (a) Establishment. (b) Membership; composition, appointment, etc. (c) Chairman; vacancy. 1241l. Duties of Commission. (a) Study and review of ocean transportation of agricultural exports subject to cargo preference laws; recommendations, scope, etc. (b) Reporting requirements; termination of Commission. (c) Contents of reports. 1241m. Information and assistance to be furnished to Commission. 1241n. Compensation and travel and subsistence expenses of Commission members. 1241o. Definition of United States-flag vessel eligible to carry cargoes under sections 1241f through 1241h of this Appendix. 1241p. Effect on other laws. 1241q. Exemption of American Great Lakes vessels from restriction on carriage of preference cargoes. (a) Exemption from restriction. (b) Restriction described. (c) Subsequent application of restriction. 1241r. Designation of American Great Lakes vessels. (a) In general. (b) Construction and purchase agreement. (c) Certain foreign registry and sale not prohibited. (d) Issuance of regulations. 1241s. Restrictions on operations of American Great Lakes vessels. (a) In general. (b) Off-season carriage exception. 1241t. Revocation and termination of designation. (a) Revocation. (b) Civil penalty. (c) Termination of designation. 1241u. Study and report. (a) Study. (b) Report. 1241v. Definitions. 1242. Requisition or purchase of vessels in time of emergency. (a) Compensation; restoration; consequential damages. (b) Determination of value of vessel. (c) Charter of vessels; compensation; reimbursement for loss or damage. (d) Determination of amount of compensation. (e) Use of vessels by Secretary; transfer to other departments or agencies; reimbursement of Secretary. 1242a. Maintenance of and adjustment of obligations with respect to essential vessels affected by Neutrality Act. (a) 'Essential vessel' defined. (b) Adjustment of obligations and arrangements for maintenance of essential vessels. (c) Provisions included within adjustments and arrangements. (d) Readjustment or modification of adjustments and arrangements. (e) Expenses incurred in adjustments and arrangements. 1244. Definitions. 1245. Separability; short title of chapter. 1247. Appointment of Secretary as trustee or receiver; operation of vessels under court orders; payment of operating costs; claims against corporation. 1248. Enrollment in a sealift readiness program. SUBCHAPTER XI - FEDERAL SHIP MORTGAGE INSURANCE 1271. Definitions. 1272. Federal Ship Financing Fund. 1273. Authorization of Secretary to guarantee obligations. (a) Principal and interest. (b) Security interest. (c) Amount of guarantee; percentage limitation; determination of actual cost of vessel. (d) Pledge of United States. (e) Proof of obligations. (f) Limitation on outstanding amount. 1274. Eligibility for guarantee. (a) Purpose of obligations. (b) Contents of obligations. (c) Security. (d) Restrictions. (e) Guarantee fees. (f) Investigation of applications. (g) Disposition of moneys. (h) Additional requirements. 1274a. Authorization of Secretary to guarantee obligations arising from statutorily mandated change in standards for operation of vessels. (a) Purpose of obligations; principal and interest. (b) Limitations on length and amount of guaranteed obligations; useful life of vessel. (c) Security against default; fees; Vessel Replacement Guarantee Fund. (d) Additional requirements. 1275. Defaults. (a) Rights of obligee. (b) Notice of default. (c) Secretary to complete, sell or operate property. (d) Cash payments; issuance of notes or obligations. (e) Actions against obligor. 1279a. Escrow fund. (a) Creation. (b) Disbursement prior to termination of escrow agreement. (c) Disbursement upon termination of escrow agreement. (d) Investment of fund. (e) Payment of income. (f) Terms of escrow agreement. 1279c. Ocean thermal energy conversion demonstration facilities and plantships. (a) Financing of construction, reconstruction, or reconditioning. (b) Certification of reasonableness of risk. (c) OTEC Demonstration Fund. (d) Notes and obligations. (e) Taxability of interest. 1280. Advances to fund. SUBCHAPTER XII - WAR RISK INSURANCE 1281. Definitions. 1282. Authority to provide insurance; consideration of risk. (a) Authorization, approval, and consultation; criteria. (b) Consideration of risk. (c) Condition of availability in time of war or national emergency. 1283. Persons, property, and interests insurable. 1284. Risks other than war risks. 1285. Insurance of property of Government departments and agencies. 1286. Liability insurance for persons performing services or providing facilities for vessels. 1287. Reinsurance; rates; allowances to insurance carriers. 1288. Insurance fund; investments; appropriations. 1288a. Transfer of funds from Vessel Operations Revolving Fund. 1289. Administrative provisions. (a) Issuance of policies, rules, and regulations; settlement of claims; valuation; rejection and review of valuation. (b) Forms and policies; rates; fees. (c) Commercial practice controlling; limitation on fees. (d) Underwriting agents. (e) Employment of marine insurance experts. (f) Utilization of services of other Government agencies. 1290. Seamen's rights unaffected. 1291. Reports to Congress. 1292. Actions on claims for losses; jurisdiction of courts; limitation of actions. 1293. Additional insurance with other underwriters. 1294. Expiration of authority to provide insurance. SUBCHAPTER XIII - MARITIME EDUCATION AND TRAINING 1295. Congressional declaration of policy. 1295a. Definitions. 1295b. Maintenance of Academy. (a) Duty of Secretary. (b) Nomination and appointment of cadets; designation and licensing of individuals from Trust Territory of Pacific Islands, Western Hemisphere nations and nations other than United States. (c) Appointment of cadet as midshipman in United States Naval Reserve. (d) Uniforms, textbooks, and transportation allowances. (e) Commitment agreements. (f) Places of training. (g) Bachelor of science degrees awarded. (h) Board of Visitors. (i) Advisory Board. 1295c. State maritime academies. (a) Cooperation and assistance. (b) Regional maritime academies. (c) Training vessels. (d) Annual payments. (e) Detailing of personnel. (f) Conditions to receiving payments or use of vessels. (g) Student incentive payment agreements. (h) Appointment of cadet as midshipman in United States Naval Reserve. 1295c-1. Plan for sharing training vessels. 1295d. Additional training. (a) In general. (b) Equipment or supplies required for training. (c) Oil pollution prevention, response, and clean-up program. 1295e. United States Maritime Service. (a) Establishment and maintenance. (b) Enrollment; compensation; course of study and periods of training; uniforms. (c) Ranks, grades, and ratings same as for United States Coast Guard. 1295f. Civilian nautical school. (a) 'Civilian nautical school' defined. (b) Examination and inspection of school; rating and certification. (c) Repealed. (d) Fines and penalties. 1295g. Powers and duties of Secretary. (a) Rules and regulations. (b) Excess vessels and equipment. (c) Securing of information, facilities, or equipment; detailing of personnel. (d) Employment of personnel. (e) Repealed. -CROSS- CROSS REFERENCES Emergency foreign vessel acquisition, see sections 196 to 198 of Title 50, War and National Defense. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 865a of this Appendix; title 40 sections 270f, 484; title 42 sections 9101, 9141; title 50 App. section 1744. ------DocID 53828 Document 729 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER I -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER I -HEAD- SUBCHAPTER I - DECLARATION OF POLICY -SECREF- SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in section 1122 of this Appendix. ------DocID 53829 Document 730 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1101 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER I -HEAD- Sec. 1101. Fostering development and maintenance of merchant marine -STATUTE- It is necessary for the national defense and development of its foreign and domestic commerce that the United States shall have a merchant marine (a) sufficient to carry its domestic water-borne commerce and a substantial portion of the water-borne export and import foreign commerce of the United States and to provide shipping service essential for maintaining the flow of such domestic and foreign waterborne commerce at all times, (b) capable of serving as a naval and military auxiliary in time of war or national emergency, (c) owned and operated under the United States flag by citizens of the United States, insofar as may be practicable, (d) composed of the best-equipped, safest, and most suitable types of vessels, constructed in the United States and manned with a trained and efficient citizen personnel, and (e) supplemented by efficient facilities for shipbuilding and ship repair. It is declared to be the policy of the United States to foster the development and encourage the maintenance of such a merchant marine. -SOURCE- (June 29, 1936, ch. 858, title I, Sec. 101, 49 Stat. 1985; Oct. 21, 1970, Pub. L. 91-469, Sec. 1, 84 Stat. 1018.) -MISC1- AMENDMENTS 1970 - Pub. L. 91-469 struck out 'on all routes' after 'shipping service' in cl. (a) and inserted cl. (e). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1119, 1120, 1161, 1191, 1222 of this Appendix. ------DocID 53830 Document 731 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER II -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- SUBCHAPTER II - CREATION AND FUNCTIONS OF MARITIME AGENCIES ------DocID 53831 Document 732 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1111 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1111. Powers and duties of agencies -STATUTE- (a) Repealed. Pub. L. 97-31, Sec. 12(58)(A), Aug. 6, 1981, 95 Stat. 158 (b) Repealed. Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925 (c) Records of meetings; seal; rules and regulations The Commission shall, through its secretary, keep a true record of all its meetings and the yea-and-nay votes taken therein, on every action, order, contract, or financial transaction approved or disapproved by the Commission. It shall have an official seal which shall be judicially noticed, and shall adopt rules and regulations in regard to its procedure and the conduct of its business. (d) Expenditures The Commission and the Secretary of Transportation may make such expenditures as are necessary in the performance of their functions from funds made available to them by this chapter or appropriated after June 29, 1936, which further appropriations are authorized. (e) Officers and employees The Commission and the Secretary of Transportation may appoint and prescribe the duties and fix the salaries of a secretary, a director for each of not to exceed five divisions, a general counsel, a clerk to each member of the Commission and not more than three assistants, a clerk to the general counsel, not more than a total of twenty naval architects or marine engineers, twenty special experts, twenty-two examiners, twelve attorneys, and two inspectors for each vessel at each shipyard at which vessels are being constructed by it or under its supervision. The Commission and the Secretary of Transportation may, subject to the provisions of the civil-service laws and chapter 51 and subchapter III of chapter 53 of title 5, appoint such other officers, engineers, inspectors, attorneys, examiners, and other employees as are necessary in the execution of their functions. (f) Traveling and subsistence expenses; pay for military officer on assignment Each member, any employee of the Commission or the Secretary of Transportation, and any person detailed to it or the Secretary of Transportation from any other agency of the Government shall receive necessary traveling and subsistence expenses, or per diem allowance in lieu thereof, within the limitations prescribed by law, while away from his official station upon official business of the Commission or the Secretary of Transportation. Whenever any officer (not exceeding five in number at any time) of the Army, Navy, Marine Corps, or Coast Guard is detailed to the Commission or the Secretary of Transportation, he shall receive from the Commission or the Secretary of Transportation, for the period during which he is so detailed, such compensation as added to his pay and allowances as an officer in such service will make his aggregate compensation equal to the pay and allowances he would receive if he were the incumbent of an office or position in such service (or in the corresponding executive department), which, in the opinion of the Commission or the Secretary of Transportation, involves the performance of work similar in importance, difficulty, and responsibility to that performed by him while detailed to the Commission or the Secretary of Transportation. Expenditures by the Commission or the Secretary of Transportation shall be allowed and paid on the presentation of itemized vouchers therefor approved by the Commission or the Secretary of Transporation or a designated employee thereof. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 201, 49 Stat. 1985; Aug. 4, 1939, ch. 417, Sec. 3, 4, 53 Stat. 1182; Oct. 28, 1949, ch. 782, title XI, Sec. 1106(a), 63 Stat. 972; July 7, 1958, Pub. L. 85-507, Sec. 21(b)(4), 72 Stat. 337; Oct. 21, 1970, Pub. L. 91-469, Sec. 36, 84 Stat. 1036; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(58), 95 Stat. 158; Dec. 12, 1989, Pub. L. 101-225, title III, Sec. 307(7), 103 Stat. 1925.) -REFTEXT- REFERENCES IN TEXT The civil service laws, referred to in subsec. (e), are set out in Title 5, Government Organization and Employees. See, particularly, section 3301 et seq. of Title 5. -COD- CODIFICATION Provisions of the first sentence of subsec. (e) that authorized the appointment and fixing of the salaries of a secretary, etc., 'without regard to the civil-service laws or the Classification Act of 1923, as amended', and provisions that prohibited such employees from receiving an annual salary at a rate in excess of that provided under the Classification Act of 1923, as amended, were omitted as obsolete and superseded. Such appointments are now subject to the civil service laws unless specifically excepted by such laws or by laws enacted subsequent to Executive Order 8743, Apr. 23, 1941, issued by the President pursuant to the act of Nov. 26, 1940, ch. 919, title I, Sec. 1, 54 Stat. 1211, which covered most excepted positions into the classified (competitive) civil service. The Order is set out as a note under section 3301 of Title 5, Government Organization and Employees. As to the salaries of such personnel, sections 1202 and 1204 of the Classification Act of 1949, 63 Stat. 972, 973, repealed the Classification Act of 1923 and all other laws or parts of laws inconsistent with the 1949 Act. The Classification Act of 1949 was repealed by Pub. L. 89-554, Sept. 6, 1966, Sec. 8(a), 80 Stat. 632, and reenacted as chapter 51 and subchapter III of chapter 53 of Title 5. Section 5102 of Title 5 contains the applicability provisions of the 1949 Act, and section 5103 of Title 5 authorizes the Office of Personnel Management to determine the applicability to specific positions and employees. In the last sentence of subsec. (e), 'chapter 51 and subchapter III of chapter 53 of title 5' substituted for 'the Classification Act of 1949, as amended' on authority of Pub. L. 89-554, Sec. 7(b), Sept. 6, 1966, 80 Stat. 631, the first section of which enacted Title 5. -MISC3- AMENDMENTS 1989 - Subsec. (b). Pub. L. 101-225 struck out subsec. (b) which read as follows: 'No person shall hold office as a member of the Commission who, within three years prior to his appointment, shall have been employed by, or have had any pecuniary interest, in any carrier by water or substantial pecuniary interest in any other person who derives a substantial portion of his revenues from any business associated with ships or shipping. Each member shall devote his full time to the duties of his office. It shall be unlawful for any member, officer, or employee of the Federal Maritime Commission to be in the employ of any other person, firm, or corporation, or to have any pecuniary interest in, or hold any official relationship with, any carrier by water, shipbuilder, contractor, or other person, firm, association, or corporation with whom the Federal Maritime Commission may have business relations.' Subsec. (g). Pub. L. 101-225 struck out subsec. (g) which provided that this section take effect June 29, 1936. 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(58)(A), struck out subsec. (a) which related to establishment, etc., of the United States Maritime Commission. For prior transfers of functions, see Transfer of Functions note below. Subsec. (d). Pub. L. 97-31, Sec. 12(58)(B), substituted 'their' for 'its' and 'them' for 'it' and inserted reference to Secretary of Transportation. Subsec. (e). Pub. L. 97-31, Sec. 12(58)(C), substituted 'their' for 'it', inserted reference to Secretary of Transportation, and struck out proviso which related to the transfer of employees from the United States Shipping Board Bureau or United States Shipping Board Merchant Fleet Corporation to the United States Maritime Commission and to the Acquisition of United States Civil Service status. Subsec. (f). Pub. L. 97-31, Sec. 12(58)(D), inserted references to Secretary of Transportation. 1970 - Subsec. (b). Pub. L. 91-469 substituted in last sentence 'Federal Maritime Commission' for 'Commission' in two places. 1958 - Subsec. (e). Pub. L. 85-507 struck out provisions which authorized detail of certain personnel for training at institutions for scientific education and research. 1949 - Subsec. (e). Act Oct. 28, 1949, substituted 'Classification Act of 1949' for 'Classification Act of 1923, as amended,'. 1939 - Subsec. (e). Act Aug. 4, 1939, Sec. 3, authorized the appointment of a clerk to the general counsel, increased the number of naval architects and special experts from 12 to 20 each, and the number of examiners from 12 to 22, and permitted not more than 5 members to be detailed annually for engineering, technical, or other scientific education and training. Subsec. (f). Act Aug. 4, 1939, Sec. 4, provided for the payment of compensation to officers of the Army, Navy, Marine Corps, or Coast Guard. EFFECTIVE DATE OF 1958 AMENDMENT For effective date of amendment by Pub. L. 85-507, see section 21(a) of Pub. L. 85-507. REPEALS Act Oct. 28, 1949, ch. 782, cited as a credit to this section, was repealed (subject to a savings clause) by Pub. L. 89-554, Sept. 6, 1966, Sec. 8, 80 Stat. 632, 655. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out below. Coast Guard transferred to Department of Transportation, and functions, powers, and duties relating to Coast Guard of Secretary of the Treasury and of other officers and offices of Department of the Treasury transferred to Secretary of Transportation by Pub. L. 89-670, Sec. 6(b)(1), Oct. 15, 1966, 80 Stat. 938. Section 6(b)(2) of Pub. L. 89-670, however, provided that notwithstanding such transfer of functions, Coast Guard shall operate as part of Navy in time of war or when President directs as provided in section 3 of Title 14, Coast Guard. See section 108 of Title 49, Transportation. For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Functions of Coast Guard, and Commandant of Coast Guard, excepted from transfer when Coast Guard is operating as part of Navy under sections 1 and 3 of Title 14. -MISC5- FEDERAL MARITIME COMMISSION; TERM OF OFFICE; VACANCIES; CONTINUITY OF SERVICE Pub. L. 89-56, June 30, 1965, 79 Stat. 195, provided; 'That Commissioners of the Federal Maritime Commission, provided for by section 102 of Reorganization Plan Numbered 7 of 1961 (75 Stat. 849), shall herafter be appointed for a term of five years except that one of the two terms which commence July 1, 1965, shall initially be for four years and thereafter shall be for five years: Provided, however, That a person chosen to fill a vacancy shall be appointed only for the unexpired term of the Commissioner whom he succeeds: Provided, further, That upon the expiration of his term of office a Commissioner shall continue to serve until his successor shall have been appointed and shall have qualified.' COMPENSATION OF FEDERAL MARITIME COMMISSIONERS AND MARITIME ADMINISTRATOR Annual basic compensation of Chairman of Commission, members of Commission, and Administrator, Maritime Administration, see sections 5314 and 5315 of Title 5, Government Organization and Employees. -EXEC- EX. ORD. NO. 11156. MARITIME ADVISORY COMMITTEE Ex. Ord. No. 11156, eff. June 17, 1964, 29 F.R. 7855, which established the Maritime Advisory Committee, was revoked by Ex. Ord. No. 11427, eff. Sept. 4, 1968, 33 F.R. 12617. -MISC6- REORGANIZATION PLAN NO. 7 OF 1961 Eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840, as amended Pub. L. 88-426, title III, Sec. 305(19), Aug. 14, 1964, 78 Stat. 425; Pub. L. 91-469, Sec. 38, Oct. 21, 1970, 84 Stat. 1036 Prepared by the President and transmitted to the Senate and the House of Representatives in Congress assembled, June 12, 1961, pursuant to the provisions of the Reorganization Act of 1949, 63 Stat. 203, as amended (see 5 U.S.C. 901 et seq.). MARITIME FUNCTIONS PART I. FEDERAL MARITIME COMMISSION SECTION 101. CREATION OF FEDERAL MARITIME COMMISSION (a) There is hereby established a Federal Maritime Commission, hereinafter referred to as the Commission. (b) The Commission shall not be a part of any executive department or under the authority of the head of any executive department. SEC. 102. COMPOSITION OF THE COMMISSION (a) The Commission shall be composed of five Commissioners, who shall be appointed by the President by and with the advice and consent of the Senate. Each Commissioner shall be removable by the President for inefficiency, neglect of duty, or malfeasance in office. (b) The President shall from time to time designate one of the Commissioners to be the Chairman of the Commission. (c) Of the first five Commissioners appointed hereunder, one shall be appointed for a term expiring on June 30, 1962, one for a term expiring on June 30, 1963, one for a term expiring on June 30, 1964, and two for terms expiring on June 30, 1965. Their successors shall be appointed for terms of four years, except that any person chosen to fill a vacancy shall be appointed only for the unexpired term of the Commissioner whom he succeeds. Not more than three of the Commissioners shall be appointed from the same political party. A vacancy in the office of any such Commissioner shall be filled in the same manner as the original appointment. (d) A vacancy in the Commission, so long as there shall be three Commissioners in office, shall not impair the power of the Commission to execute its functions. Any three of the Commissioners in office shall constitute a quorum for the transaction of the business of the Commission and the affirmative votes of any three Commissioners shall be sufficient for the disposition of any matter which may come before the Commission. (As amended Pub. L. 88-426, title III, Sec. 305(19)(A), Aug. 14, 1964, 78 Stat. 425.) (Commissioners of the Federal Maritime Commission appointed to five year terms, appointed to vacancies only for unexpired term, and to serve until appointment and qualification of successor, see Pub. L. 89-56, set out as a Federal Maritime Commission; Term of Office; Vacancies; Continuity of Service note above.) SEC. 103. TRANSFER OF FUNCTIONS TO COMMISSION The following functions, which are now vested in the Federal Maritime Board under the provisions of Reorganization Plan No. 21 of 1950 (64 Stat. 1273), are hereby transferred from that Board to the Commission: (a) All functions under the provisions of sections 14-20, inclusive, and sections 22-33, inclusive, of the Shipping Act, 1916, as amended (46 U.S.C. 812-819 and 821-832), including such functions with respect to the regulation and control of rates, services, practices, and agreements of common carriers by water and of other persons. (b) All functions with respect to the regulation and control of rates, fares, charges, classifications, tariffs, regulations, and practices of common carriers by water under the provisions of the Intercoastal Shipping Act, 1933, as amended (46 U.S.C. 843-848). (c) The functions with respect to the making of rules and regulations affecting shipping in the foreign trade to adjust or meet conditions unfavorable to such shipping, and with respect to the approval, suspension, modification, or annulment of rules or regulations of other Federal agencies affecting shipping in the foreign trade, under the provisions of section 19 of the Merchant Marine Act, 1920, as amended (46 U.S.C. 876), exclusive of subsection (1)(a) thereof. (d) The functions with respect to investigating discriminatory rates, charges, classifications, and practices in the foreign trade, and with respect to recommending legislation to correct such discrimination, under the provisions of section 212(e) of the Merchant Marine Act, 1936, as amended (46 U.S.C. 1122(f)). (e) To the extent that they relate to functions transferred to the Commission by the foregoing provisions of this section: (1) The functions with respect to requiring the filing of reports, accounts, records, rates, charges, and memoranda, under the provisions of section 21 of the Shipping Act, 1916, as amended (46 U.S.C. 820). (2) The functions with respect to adopting rules and regulations, making reports and recommendations to Congress, subpoenaing witnesses, administering oaths, taking evidence, and requiring the production of books, papers, and documents, under the provisions of sections 204, 208, and 214 of the Merchant Marine Act, 1936, as amended (46 U.S.C. 1114, 1118, and 1124). SEC. 104. TRANSFER OF FUNCTIONS TO CHAIRMAN There are hereby transferred to the Chairman of the Commission: (a) The functions of the Chairman of the Federal Maritime Board, including his functions derived from the provisions of Reorganization Plan No. 6 of 1949, to the extent that they relate to the functions transferred to the Commission by the provisions of section 103 of this reorganization plan. (b) The functions of the Secretary of Commerce to the extent that they are necessary for, or incidental to, the administration of the functions transferred to the Commission by the provisions of section 103 of this reorganization plan. SEC. 105. AUTHORITY TO DELEGATE (a) The Commission shall have the authority to delegate, by published order or rule, any of its functions to a division of the Commission, an individual Commissioner, a hearing examiner, or an employee or employee board, including functions with respect to hearing, determining, ordering, certifying, reporting or otherwise acting as to any work, business, or matter: Provided, however, That nothing herein contained shall be deemed to supersede the provisions of section 7(a) of the Administrative Procedure Act (60 Stat. 241), as amended (see 5 U.S.C. 556). (b) With respect to the delegation of any of its functions, as provided in subsection (a) of this section, the Commission shall retain a discretionary right to review the action of any such division of the Commission, individual Commissioner, hearing examiner, employee or employee board, upon its own initiative or upon petition of a party to or an intervenor in such action, within such time and in such manner as the Commission shall by rule prescribe: Provided, however, That the vote of a majority of the Commission less one member thereof shall be sufficient to bring any such action before the Commission for review. (c) Should the right to exercise such discretionary review be declined, or should no such review be sought within the time stated in the rules promulgated by the Commission, then the action of any such division of the Commission, individual Commissioner, hearing examiner, employee or employee board, shall, for all purposes, including appeal or review thereof, be deemed to be the action of the Commission. (d) There are hereby transferred to the Chairman of the Commission the functions with respect to the assignment of Commission personnel, including Commissioners, to perform such functions as may have been delegated by the Commission to Commission personnel, including Commissioners, pursuant to the foregoing subsections of this section. PART II. DEPARTMENT OF COMMERCE SECTION 201. MARITIME ADMINISTRATOR There shall be at the head of the Maritime Administration (established by the provisions of Part II of Reorganization Plan No. 21 of 1950) a Maritime Administrator, hereinafter referred to as the Administrator. The Assistant Secretary of Commerce for Maritime Affairs shall, ex officio, be the Administrator. The Administrator shall perform such duties as the Secretary of Commerce shall prescribe. (As amended Pub. L. 88-426, title III, Sec. 305(19)(B), Aug. 14, 1964, 78 Stat. 425; Pub. L. 91-469, Sec. 38(a), Oct. 21, 1970, 84 Stat. 1036.) SEC. 202. FUNCTIONS OF SECRETARY OF COMMERCE (a) Except to the extent inconsistent with the provisions of sections 101(b) or 104(b) of this reorganization plan, there shall remain vested in the Secretary of Commerce all the functions conferred upon the Secretary by the provisions of Reorganization Plan No. 21 of 1950. (b) There are hereby transferred to the Secretary of Commerce: (1) All functions of the Federal Maritime Board under the provisions of section 105(1) to 105(3), inclusive, of Reorganization Plan No. 21 of 1950. (2) Except to the extent transferred to the Commission by the provisions of section 103(e) of this reorganization plan, the functions described in the said section 103(e). (3) Any other functions of the Federal Maritime Board not otherwise transferred by the provisions of part I of this reorganization plan. (4) Except to the extent transferred to the Chairman of the Commission by the provisions of Part I of this reorganization plan, the functions of the Chairman of the Federal Maritime Board. SEC. 203. DELEGATION OF FUNCTIONS The provisions of sections 2 and 4 of Reorganization Plan No. 5 of 1950 (64 Stat. 1263) shall be applicable to all functions transferred to the Secretary of Commerce by, or remaining vested in him under, the provisions of this reorganization plan. PART III. GENERAL PROVISIONS SECTION 301. CONFLICT OF INTEREST The provisions of the last sentence of section 201(b) of the Merchant Marine Act, 1936, as affected by the provisions of Reorganization Plan No. 21 of 1950 (46 U.S.C. Sec. 1111(b)) (prohibiting the members of the Federal Maritime Board and all officers and employees of that Board or of the Maritime Administration from being in the employ of any other person, firm, or corporation, or from having any pecuniary interest in or holding any official relationship with any carrier by water, shipbuilder, contractor, or other person, firm, association, or corporation with whom the Federal Maritime Board or the Maritime Administration may have business relations) shall hereafter be applicable to the Commissioners composing the Commission and all officers and employees of the Commission. (As amended Pub. L. 91-469, Sec. 38(b), Oct. 21, 1970, 84 Stat. 1036.) SEC. 302. INTERIM APPOINTMENTS Pending the initial appointment hereunder of the Commissioners composing the Commission and of the Maritime Administrator, but not for a period exceeding 90 days, such officers of the executive branch of the Government (including any person who is a member of the Federal Maritime Board or Deputy Maritime Administrator immediately prior to the taking effect of the provisions of this reorganization plan) as the President shall designate under the provisions of this section shall be Acting Commissioners of the Federal Maritime Commission or Acting Maritime Administrator. The President may designate one of such Acting Commissioners as Acting Chairman of the Commission. Any person who is not while serving under an interim appointment pursuant to the foregoing provisions of this section receiving compensation attached to another Federal office shall receive the compensation herein provided for the office wherein he serves in an interim capacity. SEC. 303. INCIDENTAL TRANSFERS (a) So much of the personnel, property, records, and unexpended balances of appropriations, allocations, and other funds employed, used, held, available, or to be made available in connection with the functions transferred to the Commission or to the Chairman of the Commission by the provisions of Part I of this reorganization plan as the Director of the Bureau of the Budget shall determine shall be transferred to the Commission at such time or times as the Director shall direct. (b) Such further measures and dispositions as the Director of the Bureau of the Budget shall deem to be necessary in order to effectuate the transfers provided for in subsection (a) of this section shall be carried out in such manner as he shall direct and by such agencies as he shall designate. (c) Subject to the foregoing provisions of this section, the Secretary of Commerce may transfer within the Department of Commerce personnel, property, records, and unexpended balances of appropriations, allocations, and other funds employed, used, held, available, or to be made available in connection with functions which were transferred to the Department of Commerce (including the Federal Maritime Board and the Chairman thereof) by the provisions of Reorganization Plan No. 21 of 1950. SEC. 304. ABOLITION OF FEDERAL MARITIME BOARD The Federal Maritime Board, including the offices of the members of the Board, is hereby abolished, and the Secretary of Commerce shall provide for the termination of any outstanding affairs of the said Board not otherwise provided for in this reorganization plan. SEC. 305. STATUS OF PRIOR PLAN The following provisions of Reorganization Plan No. 21 of 1950 are hereby superseded: (1) Part I. (2) Section 202. (3) Sections 302 to 307, inclusive. MESSAGE OF THE PRESIDENT To the Congress of the United States: I transmit herewith Reorganization Plan No. 7 of 1961, prepared in accordance with the Reorganization Act of 1949, as amended, and providing for the reorganization of maritime functions. The basic objective of the plan is to strengthen and revitalize the administration of our Federal programs concerned with the promotion and development of the U.S. merchant marine by concentrating responsibility in separate agencies for the performance of regulatory and promotional functions. The plan provides, therefore, for the creation of a separate Federal Maritime Commission, composed of five Commissioners, which would be charged with the regulatory functions of the present Federal Maritime Board. There would be transferred from the Federal Maritime Board to the Secretary of Commerce the award of subsidies and related promotional functions. The Secretary of Commerce would retain the functions transferred to him by Reorganization Plan No. 21 of 1950 which reorganized the U.S. Maritime Commission into a Federal Maritime Board and a Maritime Administration in the Department of Commerce. The plan retains the present Maritime Administration, provides for an Administrator as head thereof, retains a Deputy Maritime Administrator, and effects no change in the Office of the Under Secretary of Commerce for Transportation. The Federal Maritime Board is abolished. Existing organizational arrangements have not proved to be satisfactory. The development and maintenance of a sound maritime industry require that the Federal Government carry out its dual responsibilities for regulation and promotion with equal vigor and effectiveness. Intermingling of regulatory and promotional functions has tended in this instance to dilute responsibility and has led to serious inadequacies, particularly in the administration of regulatory functions. Recent findings by committees of the Congress disclose serious violations of maritime laws and point to the urgent need for a reorganization to vest in completely separate agencies a responsibility for (1) regulatory functions and (2) promotional and operating functions. The plan would provide the most appropriate organizational framework for each of the functions concerned. Regulation would be made the exclusive responsibility of a separate commission organized along the general lines of other regulatory agencies. On the other hand, nonregulatory functions, including the determination and award of subsidies and other promotional and operating activities, would be concentrated in the head of the Department of Commerce. The Secretary of Commerce is best qualified to coordinate these activities with other transportation and related economic programs. The vesting of all subsidy functions in the Secretary of Commerce will make it possible for the Congress and the President to hold a single official responsible and accountable for the effective conduct of all aspects of this program, including the size and character of the fleet under the U.S. flag, the need for Government assistance, and requirements for appropriations to support subsidy programs. Furthermore, the placing of these functions in the Secretary of Commerce will assure essential supervision and review of subsidy awards. The taking effect of the reorganizations included in the accompanying reorganization plan will result in a modest increase in expenditures. The improved organizational alinements provided by the plan will, however, make possible a more effective and expeditious administration of the statutory objectives to foster and promote a U.S. merchant marine capable of meeting the Nation's needs in peace and war. Failure to meet these objectives would be far more costly than the anticipated increase in expenditures under the plan. After investigation, I have found and hereby declare that each reorganization included in Reorganization Plan No. 7 of 1961 is necessary to accomplish one or more of the purposes set forth in section 2(a) of the Reorganization Act of 1949, as amended. I have also found and hereby declare that it is necessary to include in the accompanying reorganization plan, by reason of reorganizations made thereby, provisions for the appointment and compensation of new officers specified in sections 102 and 201 of the plan. The rates of compensation fixed for these officers are, respectively, those which I have found to prevail in respect of comparable officers in the executive branch of the Government. I recommend that the Congress allow the reorganization plan to become effective. John F. Kennedy. The White House, June 12, 1961. REORGANIZATION PLAN NO. 21 OF 1950 EFF. MAY 24, 1950, 15 F.R. 3178, 64 STAT. 1273, AS AMENDED REORG. PLAN NO. 7 OF 1961, SEC. 305, EFF. AUG. 12, 1961, 26 F.R. 7315, 75 STAT. 840; OCT. 21, 1970, PUB. L. 91-469, SEC. 37, 84 STAT. 1036 Prepared by the President and transmitted to the Senate and the House of Representatives in Congress assembled, March 13, 1950, pursuant to the provisions of the Reorganization Act of 1949, approved June 20, 1949 (see 5 U.S.C. 901 et seq.). PART I. FEDERAL MARITIME BOARD Sections 1001-106. (Superseded. Reorg. Plan No. 7 of 1961, Sec. 305, eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840. Section 101 established the Federal Maritime Board. Section 102 provided for the composition of the Federal Maritime Board. Section 103 transferred certain functions from the Chairman of the United States Maritime Commission to the Chairman of the Federal Maritime Board. Section 104 transferred regulatory functions of the United States Maritime Commission to the Federal Maritime Board. Section 105 transferred subsidy award and other functions of the United States Maritime Commission to the Federal Maritime Board. Section 106 provided that the Board was to be an agency within the Department of Commerce, but would be independent of the Secretary of Commerce with respect to functions transferred to it under section 104.) PART II. MARITIME ADMINISTRATION SEC. 201. CREATION OF MARITIME ADMINISTRATION There is hereby established in the Department of Commerce a Maritime Administration. Sec. 202 (Superseded. Reorg. Plan No. 7 of 1961, Sec. 305, eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840. Section provided for a Maritime Administrator to be at the head of the Maritime Administration, and that the Chairman of the Federal Maritime Board would be such Administrator and would perform duties prescribed by the Secretary of Commerce.) SEC. 203. DEPUTY MARITIME ADMINISTRATOR There shall be in the Maritime Administration a Deputy Maritime Administrator, who shall be appointed by the Secretary of Commerce, after consultation with the Administrator, under the classified civil service, and who shall perform such duties as the Administrator shall prescribe. The Deputy Maritime Administrator shall be Acting Maritime Administrator during the absence or disability of the Administrator and, unless the Secretary of Commerce shall designate another person, during a vacancy in the office of Administrator: Provided, That such Deputy Administrator shall at no time sit as a member or acting member of the Federal Maritime Board. SEC. 204. TRANSFER OF FUNCTIONS Except as otherwise provided in part I of this reorganization plan, all functions of the United States Maritime Commission and of the Chairman of said Commission are hereby transferred to the Secretary of Commerce. The Secretary of Commerce may from time to time make such provisions as he shall deem appropriate authorizing the performance by the Maritime Administrator of any function transferred to such Secretary by the provisions of this reorganization plan. PART III. GENERAL PROVISIONS SEC. 301. UNDER SECRETARY OF COMMERCE FOR TRANSPORTATION There shall be in the Department of Commerce an additional office of Under Secretary with the title 'Under Secretary of Commerce for Transportation.' The Under Secretary of Commerce for Transportation shall be appointed by the President, by and with the advice and consent of the Senate, shall receive compensation at the rate prescribed by law for Under Secretaries of Executive departments, and shall perform such duties as the Secretary of Commerce shall prescribe. Secs. 302-307. (Superseded. Reorg. Plan No. 7 of 1961, Sec. 305, eff. Aug. 12, 1961, 26 F.R. 7315, 75 Stat. 840. Section 302 provided that person who was both Administrator and Chairman was to make joint use of the personnel under his supervision. Section 303 made conflict of interest provisions of the Merchant Marine Act, 1936, applicable to members of the Federal Maritime Board and officers and employees of the Board or of the Maritime Administration. Section 304 allowed the President to make interim appointments to the Federal Maritime Board from officers of the Executive Branch. Section 305 transferred to the Department of Commerce all property, personnel, records, and funds of the United States Maritime Commission. Section 306 abolished the United States Maritime Commission. Section 307 provided that the functions transferred by this reorganization plan would not be subject to Reorg. Plan No. 5 of 1950.) MESSAGE OF THE PRESIDENT To the Congress of the United States: I transmit herewith Reorganization Plan No. 21 of 1950, prepared in accordance with the provisions of the Reorganization Act of 1949. This plan effects a basic reorganization of the functions of the United States Maritime Commission along the lines recommended by the Commission on Organization of the Executive Branch of the Government. Within the last 3 years three different bodies have studied the administration of the Maritime Commission. All have concluded that the operating deficiencies of the agency arise from inappropriate and unsound organization and that a fundamental reorganization is essential. The first of these bodies, the President's Advisory Committee on the Merchant Marine, in 1947, stated: It appears to the Committee that the organization structure of the Maritime Commission as set up in the Merchant Marine Act of 1936 is wholly inadequate for the efficient conduct of the multitude of diverse activities for which the Maritime Commission is now responsible. The deficiencies of the statutory organization for administrative action are regarded by the Committee to be the most serious obstacle standing in the way of the development of the Merchant Marine of this country. Similarly, the survey of the Maritime Commission in 1948 for the Senate Committee on Expenditures in the Executive Departments concluded that - The fundamental weakness of the Maritime Commission, as it is now constituted, lies in its proscribed organization. On the basis of investigations of the Maritime Commission by two of its task forces, the Commission on Organization of the Executive Branch stated: It is an anomaly that a regulatory commission should also conduct the executive function of managing a huge business; that executive functions should be carried on by an agency that is not subject to Presidential directions; that executive functions should be carried on by a full-time board * * *. While the recommendations of the various studies differ in some details, they agree on principles and on the main features of reorganization. Basically, the administrative difficulties of the Maritime Commission have arisen, as all these studies agree, from the fact that the Commission is responsible for performing two fundamentally different types of functions which call for different types of organization. These two classes of functions are (a) regulatory and (b) operating and promotional. Under various acts the Commission regulates rates and services of water carriers; passes on agreements among carriers; and protects shippers against unfair and discriminatory practices. This type of activity requires the deliberation and independence of judgment which a board or commission is especially well designed to provide. But at the same time the Commission is charged with the conduct of a variety of large and costly promotional and business-type programs demanding the prompt and vigorous administration for which experience both in Government and in private enterprise has demonstrated that a single executive is essential. The Maritime Commission has charge of the construction of merchant vessels for subsidized operators and for Government account. It owns and maintains the largest merchant fleet in the world, consisting of 2,200 vessels aggregating more than 22,000,000 dead-weight tons. It charters and sells ships and, in time of war or national emergency, requisitions and operates vessels for the Government. It grants construction and operating differential subsidies to private shipping companies to maintain an active privately operated American merchant marine. It makes loans and insures mortgages to assist carriers in acquiring new vessels, and it conducts programs for training officers and seamen for the merchant marine. For the present fiscal year the performance of these functions will involve the expenditure of approximately $162,000,000 and the direction of an organization of 5,500 employees. In short, the administration of the Maritime Commission is a vast business undertaking. Moreover, the work of the Commission affects significantly the interests of both business and labor in the maintenance of a sound maritime industry. Further than this, many of the activities of the Maritime Commission are closely related to other programs of the Government and have to be coordinated with them. In the construction of a subsidized ship the Commission must cooperate with the Coast Guard on those features of design, materials, and equipment which affect the safety of the vessel and with the Navy on those which especially affect the use of the ship for national defense. Furthermore, the whole program of subsidized ship construction needs to be adjusted to the plans and requirements for national defense. At the same time the Commission's programs for the development of the merchant marine must be coordinated with our foreign policy and with Federal programs with respect to other branches of transportation. While an independent commission is an appropriate instrument for the performance of the regulatory functions of the Maritime Commission, such an agency obviously is not the type required to provide strong and efficient administration of the large operating programs now entrusted to the Commission or to obtain the needed coordination with other activities of the executive branch. This fact is amply demonstrated by the administrative difficulties and the complicated problems of coordination encountered in the operation of the Commission since the war and by the necessity of transferring a large part of its functions to the War Shipping Administration, headed by a single executive, during the war. Briefly, this reorganization plan provides for a small Federal Maritime Board and a Maritime Administration in the Department of Commerce to perform the functions of the Maritime Commission, and abolishes the existing Commission. It transfers to the Board the regulatory functions of the Commission and definitely guarantees the independence of the Board in the performance of these functions. In addition, it vests directly in the Board the determination and award of construction and operating differential subsidies. In the performance of its subsidy functions the Board will be subject to general policy guidance by the Secretary of Commerce. The Board, however, and it alone, will determine to whom subsidies shall be granted and will make and award the subsidy contracts. Its actions therein will be conclusive and will not be subject to modification by any other agency or officer of the Department of Commerce. The other functions of the Maritime Commission, including carrying out the subsidy agreements made by the Board and administering the various operating programs, are transferred to the Secretary of Commerce for administration through the Maritime Administration. Thus, the plan provides for each of the two types of functions now vested in the Maritime Commission the type of organization best suited to its performance. At the same time, the plan will facilitate coordination of maritime policies and programs with other related policies and programs. The division of functions under this plan conforms directly to the recommendations of the Commission on Organization of the Executive Branch of the Government. While the award of subsidies is a promotional rather than a regulatory function and might logically be assigned to the Maritime Administration instead of the Board, its impact on the shipping industry and on individual carriers is such as to make desirable the deliberation and combined judgment of a board. Accordingly, I have adhered to the recommendation of the Commission on Organization that this function be vested in a multiple body rather than a single official. Likewise, in line with the recommendations of the Commission, the plan assigns the determination of the over-all route pattern to the Secretary of Commerce. The Maritime Board will consist of three members appointed by the President with the consent of the Senate for overlapping terms of 4 years. Not more than two of the members can be of the same political party. The Board, therefore, will be a smaller and more wieldy body which can function with greater expedition and efficiency than the existing five-member Commission. The Chairman will be designated by the President from the members of the Board and will be, ex officio, the Maritime Administrator and as such the head of the Maritime Administration. The plan also provides for a Deputy Maritime Administrator appointed by the Secretary of Commerce under the classified civil service. After investigation I have found, and hereby declare, that by reason of the reorganizations made by this plan, it is necessary to include in the plan provisions for the appointment and compensation of the members of the Federal Maritime Board and for the appointment of the Deputy Maritime Administrator. In making the Chairman of the Federal Maritime Board the Maritime Administrator, the plan adopts an arrangement substantially similar to that which prevailed during the war, when the same individual served as Chairman of the Maritime Commission and head of the War Shipping Administration. This arrangement will have important advantages. It will facilitate cooperation between the Board and the Administration on matters of concern to both. Also, it will avoid dividing the personnel of the Maritime Commission, since the Chairman of the Board will supervise the personnel assisting it in the performance of its functions, as is now the case in the Maritime Commission, and in his capacity as Administrator he will have charge of the personnel carrying on the work of the Maritime Administration. The plan provides for the joint operation of the officers and employees under the Administrator and Chairman as a single body of personnel. The maintenance of a unified staff is essential for efficient and economical administration because many of the technical and professional personnel, such as ship designers and attorneys, now assist the Maritime Commission on problems of subsidy determination and also participate in the subsequent administration of subsidy agreements and in performing nonsubsidy functions. The inclusion of the new Board in the Department of Commerce will permit the use of the administrative services of the Department. More important, it will eliminate the necessity of splitting the personnel of the Maritime Commission between the Department and an outside agency. In addition, it will relieve the President of having to handle relations with a separate maritime agency. In establishing the Department of Commerce the Congress provided in the organic act of the Department that - It shall be the province and duty of said Department to foster, promote, and develop the foreign and domestic commerce, * * * shipping, * * * and the transportation facilities of the United States. Over the years, however, transportation functions have become widely scattered throughout the executive branch. As a result, intelligent planning and budgeting of Federal transportation activities and the necessary coordination of transportation programs have become extremely difficult or impossible. The transfer of the functions of the Maritime Commission to the Department of Commerce will constitute a major step in correcting this condition. Without question the Department of Commerce is now the appropriate center for transportation programs. It contains the Civil Aeronautics Administration - the major operating and promotional agency of the Government in the field of air transportation - and the Weather Bureau, and the Coast and Geodetic Survey, which provide vital services to transportation. As a result of Reorganization Plan No. 7 of 1949, it now also includes the Bureau of Public Roads, the leading promotional agency dealing with land transportation. Also, it has the Inland Waterways Corporation in the field of water transportation. The transfer of the functions of the Maritime Commission will bring into the Department the principal water-transportation agency of the Government. These actions will go a long way toward the establishment of a sound and effective organization for the operating and promotional programs of the Government relating to transportation. It is my purpose to look to the Secretary of Commerce for leadership with respect to transportation problems and for the development of over-all transportation policy within the executive branch. Because of the magnitude and importance of the transportation functions transferred to the Department of Commerce by this reorganization plan, I have found and hereby declare that it is necessary to strengthen the top administrative structure of the Department by providing for the appointment and compensation of a new Under Secretary of Commerce for Transportation. This will make available an officer of the highest rank to assist the Secretary in supervising the varied and complex transportation programs of the Department and providing central leadership in transportation matters. With the many responsibilities of the Secretary of Commerce in other areas, the creation of this office is essential to enable him properly to fulfill his obligations with respect to transportation. After careful investigation I have found and I hereby declare that each of the reorganizations contained in this reorganization plan is necessary to accomplish one or more of the purposes set forth in section 2(a) of the Reorganization Act of 1949. The rates of compensation fixed by the provisions of the reorganization plan for the Under Secretary of Commerce for Transportation, the Chairman, and the other two members of the Federal Maritime Board are, respectively, those which I have found to prevail in respect of comparable officers in the executive branch of the Government. In summary, the reorganizations provided by this plan will have the following principal advantages: They will provide an efficient organization headed by a single responsible official to administer the large operating and business-type programs of the Maritime Commission. At the same time, they will preserve the benefits of a bipartisan board for the performance of the regulatory functions of the Commission and the determination of subsidies. They will reduce the number of agencies reporting directly to the President and simplify the over-all management of the executive branch. In doing so, they will provide more adequate machinery for supervising the administration of the maritime programs and will facilitate their coordination with related policies and programs of the executive branch. Finally, they will accomplish a major advance in the development of an effective organization of Federal transportation programs in accord with the recommendations of the Commission on Organization of the Executive Branch of the Government. While it is impossible to estimate in advance the savings which will be brought about by this plan, the improvements in administrative efficiency resulting from it should produce substantial reductions in expenditures for the programs transferred by the plan. Harry S Truman. The White House, March 13, 1950. REORGANIZATION PLAN NO. 6 OF 1949 EFF. AUG. 20, 1949, 14 F.R. 5228, 63 STAT. 1069 Prepared by the President and transmitted to the Senate and the House of Representatives in Congress assembled, June 20, 1949, pursuant to the provisions of the Reorganization Act of 1949, approved June 20, 1949 (see 5 U.S.C. 901 et seq.). UNITED STATES MARITIME COMMISSION SECTION 1. ADMINISTRATION OF FUNCTIONS OF COMMISSION The Chairman of the United States Maritime Commission shall be the chief executive and administrative officer of the United States Maritime Commission. In executing and administering on behalf of the Commission its functions (exclusive of functions transferred by the provisions of section 2 of this reorganization plan) the Chairman shall be governed by the policies, regulatory decisions, findings, and determinations of the Commission. SEC. 2. TRANSFER OF FUNCTIONS There are hereby transferred from the United States Maritime Commission to the Chairman of the Commission the functions of the Commission with respect to (1) the appointment and supervision of all personnel employed under the Commission, (2) the distribution of business among such personnel and among organizational units of the Commission, and (3) the use and expenditure of funds for administrative purposes: Provided, That the provisions of this section do not extend to personnel employed regularly and full time in the offices of members of the Commission other than the Chairman: Provided further, That the heads of the major administrative units shall be appointed by the Chairman only after consultation with the other members of the Commission. SEC. 3. PERFORMANCE OF TRANSFERRED FUNCTIONS The functions of the Chairman under the provisions of this reorganization plan shall be performed by him or, subject to his supervision and direction, by such officers and employees under his jurisdiction as he shall designate. MESSAGE OF THE PRESIDENT To the Congress of the United States: I transmit herewith Reorganization Plan No. 6 of 1949, prepared in accordance with the Reorganization Act of 1949. This plan is designed to strengthen the administration of the United States Maritime Commission by making the Chairman and the chief executive and administrative officer of the Commission and vesting in him responsibility for the appointment of its personnel and the supervision and direction of their activities. After investigation, I have found and hereby declare that each reorganization included in this plan is necessary to accomplish one or more of the purposes set forth in section 2(a) of the Reorganization Act of 1949. Unlike other major regulatory commissions, the Maritime Commission is responsible not only for the performance of important regulatory functions but also for the administration of large and complex operating and promotional programs. Whereas the budgets of most regulatory agencies amount to only a few million dollars annually, the expenditures of the Maritime Commission exceed $130,000,000 a year. As a result of the war the Commission is the owner of a fleet of over 2,300 ships, aggregating more than 23,000,000 dead-weight tons. While it is the policy of the Government, as set forth by the Merchant Marine Act of 1936 and the Merchant Ship Sales Act of 1946, to develop and maintain an adequate and effective merchant marine under private ownership, the Commission is still confronted with the necessity of carrying on substantial programs for the charter and sale of Government-owned vessels and with the continuing task of maintaining the reserve merchant fleet. Apart from its functions with respect to the war-built fleet, the accomplishment of the Government's permanent objective with respect to the development of the American merchant marine inevitably involves the Commission to a wide variety of activities. Among these are the regulation of rates and competitive practices of water carriers, the determination of essential trade routes and services, the award of subsidies to offset differences between American and foreign costs, the design and construction of ships, the inspection of subsidized vessels, and the training of seamen. In the last 2 years the operation of the Maritime Commission has been subjected to independent examination by three bodies - the President's Advisory Committee on the Merchant Marine, the Senate Committee on Expenditures in the Executive Departments, and the Commission on Organization of the Executive Branch of the Government. All of these studies have pointed to difficulties in the conduct of the Commission's business and the necessity of improved organization to strengthen the administration of the agencies. The remedies proposed have differed in some respects, but all the studies have emphasized the need of concentrating in a single official the management of a large part of the agency's work. During the war such a concentration was temporarily accomplished by Executive order under the authority of the First War Powers Act. In effect, the Chairman of the Commission, as War Shipping Administrator, was made directly responsible for the administration of several major operating programs of the Commission. This arrangement proved its value under the stress of war. About a year after the end of the fighting, however, it was terminated and the organization reverted to the prewar pattern. As a result of postwar experience, the Commission appointed a general manager in 1948. While this has brought considerable improvement, it has not extricated the Commission from administration to the degree which is desirable. After careful consideration of the problems involved in improving the operation of the Maritime Commission, I have concluded that the proper action at this time is to concentrate in the Chairman the responsibility for the internal administration of the agency. This is achieved by the proposed reorganization plan by transferring to the Chairman the appointment of the personnel of the agency, except for the immediate assistants of the Commissioners, and the supervision and direction of their work. This is substantially the arrangement recommended for regulatory commissions by the Commission on Organization of the Executive Branch of the Government. Such a plan of organization has many advantages. It leaves in the Commission as a body the performance of regulatory functions, the determination of subsidies, and the determination of major policies. Thus, it utilizes the Commission for the type of work for which such a body is best adapted. At the same time the plan places under a single official the day-to-day direction of the work of the staff within the policies and determinations adopted by the Commission in the exercise of its functions. This will provide more businesslike administration and help to overcome the delays, backlogs, and operating difficulties which have hampered the agency. At the same time by freeing the members of the Commission of much detail, the plan will enable them to concentrate on major questions of policy and program and thereby will obtain earlier and better considered resolution of the basic problems of the agency. Though the taking effect of this plan in itself may not result in substantial immediate economies, it is probable that the improved organizational arrangements will bring about, over a period of time, improved operations and substantially reduced expenditures. An itemization of these reductions, however, in advance if actual experience under the plan is not practicable. I am convinced that this reorganization plan will contribute importantly to the more businesslike and efficient administration of the programs of the Maritime Commission. Harry S Truman. The White House, June 20, 1949. FEDERAL MARITIME BOARD AND MARITIME ADMINISTRATION The following is a statement, in part, of the Department of Commerce, relating to the organization and functions of the Federal Maritime Board, and the Maritime Administration, created by Reorg. Plan No. 21 of 1950, set out above, as such statement appeared in 16 F.R. 44 to 46, Jan. 3, 1951: The statement of organization and functions of the Maritime Administration issued in 15 F.R. 4454-4457 is hereby revoked and the following substituted therefor: 1. Establishment. The Federal Maritime Board and the Maritime Administration were established in the Department of Commerce by Reorganization Plan No. 21 of 1950, effective May 24, 1950 (set out above). In performance of their functions the Federal Maritime Board and the Maritime Administration are guided by the broad declaration of policy stated in Title I of the Merchant Marine Act, 1936 (49 Stat. 1985) (46 U.S.C. 1101), reaffirmed in section 2 of the Merchant Ship Sales Act, 1946 (60 Stat. 41) (50 App. U.S.C. 1735) * * *. 2. Organization of the Federal Maritime Board. The Federal Maritime Board is composed of three members appointed by the President by and with the advice and consent of the Senate. The President designates one of the members to serve as Chairman of the Federal Maritime Board. The Chairman serves as chief executive and administrative officer of the Federal Maritime Board. Any two members in office constitute a quorum for the transaction of the business of the Federal Maritime Board, and the affirmative votes of any two members are sufficient for the disposition of any matter which may come before the Federal Maritime Board. The Federal Maritime Board has the following organizational components: (a) Office of the Chairman of the Federal Maritime Board; (b) Offices of the Members of the Federal Maritime Board; (c) Secretary's Office; (d) Regulation Office; and (e) Hearing Examiners' Office. Insofar as he deems desirable, the Chairman of the Federal Maritime Board makes use of the officers and employees of the Maritime Administration to perform activities for the Federal Maritime Board. 3. Functions of the Federal Maritime Board - (a) Regulatory functions. Under Reorganization Plan No. 21 of 1950 the Federal Maritime Board is independent of the Secretary of Commerce in the performance of the following functions: (1) All functions under the provisions of sections 14 to 20, inclusive, and sections 22 to 33, inclusive, of the Shipping Act, 1916, as amended (46 U.S.C. 812-819, 821-832), including such functions with respect to the regulation and control of rates, services, practices, and agreements of common carriers by water and of other persons; (2) All functions with respect to the regulation and control of rates, fares, charges, classifications, tariffs, regulations, and practices of common carriers by water under the provisions of the Intercoastal Shipping Act, 1933, as amended (46 U.S.C. 843-848); (3) The functions with respect to the making of rules and regulations affecting shipping in the foreign trade to adjust or meet conditions unfavorable to such shipping, and with respect to the approval, suspension, modification, or annulment of rules or regulations of other Federal agencies affecting shipping in the foreign trade, under the provisions of section 19 of the Merchant Marine Act, 1920, as amended (46 U.S.C. 876), exclusive of subsection (1)(a) thereof; (4) The functions with respect to investigating discriminatory rates, charges, classifications, and practices in the foreign trade, and with respect to recommending legislation to correct such discrimination, under the provisions of section 212(e) of the Merchant Marine Act, 1936 (46 U.S.C. 1122(e)); and (5) So much of the functions with respect to requiring the filing of reports, accounts, records, rates, charges, and memoranda, under the provisions of section 21 of the Shipping Act, 1916, as amended (46 U.S.C. 820), as relates to its functions under items (1) through (4), above. (b) Subsidy contracts. Under Reorganization Plan No. 21 of 1950 the Federal Maritime Board is guided by the general policies of the Secretary of Commerce in performing the following functions: (1) The functions with respect to making, amending, and terminating construction (reconstruction or reconditioning) differential subsidy contracts, including contracts for the construction, reconstruction, or reconditioning of vessels and contracts for the sale of vessels to subsidy applicants or contracts to pay a differential subsidy and the cost of national defense features. In the exercise of this function the Federal Maritime Board investigates and determines the relative cost of construction of comparable vessels in the United States and foreign countries and the extent and character of aids and subsidies granted by foreign governments to their merchant marines; (2) The functions with respect to making, amending, and terminating operating differential subsidy contracts and, subsequent to entering into an operating differential subsidy contract, making determinations with respect to employment and wage conditions, and taking action on readjustment of operating cost differentials and the sale, assignment, or transfer of the contract. In the exercise of this function the Federal Maritime Board investigates and determines the relative cost of operating vessels under the registry of the United States and under foreign registry, and the extent and character of aids and subsidies granted by foreign governments to their merchant marines; (3) The functions with respect to investigating and reporting on relative construction and operating costs in the United States and foreign maritime countries, and the relative advantages of operating under United States or foreign registry, and on marine insurance, navigation laws, and vessel mortgages as authorized under section 12 of the Shipping Act, 1916 (46 U.S.C. 811); and (4) The functions with respect to requiring the filing of reports, accounts, records, rates, charges, and memoranda as relates to its functions as set forth in items (1), (2), and (3), above. (c) Charters under the Merchant Ship Sales Act, 1946. The Federal Maritime Board makes determinations, after public hearings, as to whether the bareboat charter of warbuilt dry cargo vessels owned by the United States is required in the public interest in any service then not adequately served and for which privately owned American-flag vessels are not available for charter by private operators on reasonable conditions and rates, and certifies its findings to the Secretary of Commerce together with any restrictions and conditions which it determines to be necessary or appropriate to protect the public interest in respect to such charters and to protect privately owned vessels against competition from Government vessels chartered by the Secretary of Commerce. All such charters are reviewed annually by the Federal Maritime Board for the purpose of making recommendations to the Secretary of Commerce as to whether conditions exist justifying the continuance of the charters. The functions of the Secretary of Commerce with respect to the chartering of vessels has been delegated to the Maritime Administrator. (d) War risk insurance. Pursuant to Public Law 763, 81st Congress (46 U.S.C. 1281-1294), the Federal Maritime Board makes determinations of the fair and reasonable value of vessels insured under the provisions of Title XII of the Merchant Marine Act, 1936, as amended (46 U.S.C. 1281-1294). The Secretary of Commerce may not settle an insurance claim with respect to a vessel in an amount in excess of the vessel's fair and reasonable value as determined by the Federal Maritime Board. (e) In carrying out its functions under paragraphs (a), (b), (c) and (d), above, the Federal Maritime Board adopts rules and regulations; makes reports and recommendations to Congress; subpoenas witnesses; administers oaths; takes evidence; requires the production of books, papers and documents as necessary; issues opinions; promulgates orders; engages in enforcement and other legal proceedings; and performs all functions formerly performable by the Maritime Commission, which have been transferred to the Federal Maritime Board pursuant to Reorganization Plan No. 21 of 1950. 4. Organization of the Maritime Administration - (a) Maritime Administrator. The Chairman of the Federal Maritime Board is ex officio the Maritime Administrator. When serving as Maritime Administrator, he reports and is responsible to the Secretary of Commerce. (b) Deputy Maritime Administrator. The Maritime Administrator is assisted in his duties by a Deputy Maritime Administrator, who is the Acting Maritime Administrator during the absence or disability of the Maritime Administrator and, unless the Secretary of Commerce designates another person, during a vacancy in the Office of Maritime Administrator. The Deputy Maritime Administrator is appointed by the Secretary of Commerce, after consultation with the Maritime Administrator. The Deputy Maritime Administrator at no time sits as a member of the Federal Maritime Board. (c) Organizational components. The Maritime Administration has the following organizational components: (1) Office of the Maritime Administrator; (2) Staff Offices including the Office of the General Counsel, the Program Planning Office, the Budget Office, and the Personnel Office; (3) Division of Claims; (4) Office of Subsidy and Government Aid; (5) Office of Maritime Operations; (6) Office of Ship Construction; (7) Office of the Comptroller; and (8) Offices of the Coast Directors. (d) Use of officers and employees of the Federal Maritime Board. Insofar as he deems desirable, the Maritime Administrator makes use of officers and employees of the Federal Maritime Board under his supervision as Chairman to perform activities for the Maritime Administration. (5) Functions of the Maritime Administrator. The Maritime Administrator is responsible for the performance of all functions transferred to the Secretary of Commerce under Reorganization Plan No. 21 of 1950, subject to the limitations set forth in Department Order No. 116, as amended, with power of redelegation, and for the performance of activities for the Federal Maritime Board as determined desirable by the Chairman of the Federal Maritime Board. (a) The Office of the Maritime Administrator directs the activities of the Maritime Administration and includes personnel who render staff services to the Maritime Administrator. (b) The Office of the General Counsel serves as the law office of the Maritime Administration and Federal Maritime Board, renders legal advice and opinions to them, and represents them in any litigation in which either is interested. The Office of the General Counsel has the following divisions: Division of Contracts, Division of Legislation, and Division of Litigation. (c) The Program Planning Office develops and recommends long-range merchant marine policy and programs, reviews existing policies and programs in the light of adopted long-range policy, and conducts economic studies connected with policy formulation for the Maritime Administrator and the Federal Maritime Board. (d) The Budget Office develops and presents budgetary requests and justifications and allots and maintains budgetary control of appropriated funds for the Maritime Administration and the Federal Maritime Board. (e) The Personnel Office administers the personnel functions of the Maritime Administration and the Federal Maritime Board related to employment and position classification, including recruitment, placement, separations, disciplinary actions, counseling and grievance appeal services, training and safety programs, and wage rate studies. (f) The Division of Claims is responsible for analyzing and recommending the basis of settlement of claims in favor of or against the Maritime Administration arising out of the war-time operations of the former Maritime Commission and War Shipping Administration and other claims referred to it for processing prior to August 22, 1949. (g) The Office of Subsidy and Government Aid is responsible for the processing of applications to the Federal Maritime Board and the Maritime Administration for subsidy or other government aid and the administration of government aid contracts after their execution, for the coordination of the work of other organizational components in connection therewith, and for the making of recommendations with respect to the policy relating to vessel chartering. The Office of Subsidy and Government Aid has the following divisions: Division of Construction Cost Comparison, Division of Contract Evaluation and Administration, Division of Operating Cost Comparison, and Division of Shipping Data. (h) The Office of Maritime Operations is responsible for the conduct of activities relating to the charter, operation, repair, reconversion, betterment, reconditioning, and disposal of government-owned merchant vessels; the maintenance of reserve fleets; the training of seagoing personnel; the procurement and disposal of real and personal property; the maintenance or operation of warehouses, marine terminals and reserve shipyards port development; and the rendering of office services. The Office of Maritime Operations has the following divisions: Division of General Services, Division of Maintenance and Repair, Division of Maritime Training, Division of Vessel Custody, and Division of Vessel Operations. (i) The Office of Ship Construction is responsible for the conduct of activities of the Maritime Administration and the Federal Maritime Board relating to ship design and construction, and the rendering of technical direction to the Office of Maritime Operations with respect to the reconversion, betterment and reconditioning of Maritime Administration-owned vessels. The Office of Ship Construction has the following divisions: Division of Estimates, Division of Preliminary Design, Division of Production, and Division of Technical Development; and contains the Vessel Trial and Guarantee Survey Boards. (j) The Office of the Comptroller is responsible for the accounting, auditing, and insurance activities of the Maritime Administration and the Federal Maritime Board. The Office of the Comptroller has the following divisions: Division of Accounts, Division of Audits, Division of Credits and Collections, and Division of Insurance. (k) The Offices of the Atlantic, Gulf, and Pacific Coast Directors are responsible for maintaining general surveillance over the management of field offices of the various organizational components located on their respective coasts. 6. Filing of applications and other formal documents. All applications and other formal documents required to be filed with either the Federal Maritime Board or the Maritime Administration shall be filed with the Secretary's Office, Federal Maritime Board. NATIONAL SHIPPING AUTHORITY AND ADDITIONAL FUNCTIONS OF MARITIME ADMINISTRATOR The following is a statement of the Department of Commerce, 16 F.R. 2642, 2643, Mar. 23, 1951, amending the statement of such Department set out in 16 F.R. 44 to 46, Jan. 3, 1951 (set out as a note above): The statement of organization and functions of the Federal Maritime Board and the Maritime Administration issued in 16 F.R. 44 (set out as a note above) is amended by the addition of the following: Establishment of the National Shipping Authority. There is established in the Maritime Administration a National Shipping Authority, headed by a Director responsible to the Maritime Administrator. The National Shipping Authority shall perform such functions in connection with the formulation and execution of plans and programs for the operation, acquisition, and allocation of merchant vessels and such other duties as the Maritime Administrator, within the scope of his authority, may from time to time direct. Functions of the Maritime Administrator. In addition to the functions contained in paragraph 5 of 16 F.R. 44, the Maritime Administrator shall perform the following functions: (a) The functions conferred upon the Secretary of Commerce by Public Law 591, 81st Congress, 2d Session (46 U.S.C. note prec. 1, 883 note; 50 App. U.S.C. 1735 note, 1738, 1744); (b) The functions conferred upon the Secretary of Commerce by Public Law 763, 81st Congress, 2d Session (46 U.S.C. 1281-1294), except that the authority 'to find that insurance adequate to the needs of the waterborne commerce of the United States cannot be obtained on reasonable terms and conditions in companies authorized to do an insurance business in a State of the United States' is reserved to the Secretary; (c) The functions conferred upon the Secretary by Public Law 911, 81st Congress, 2d Session (act Jan. 6, 1951, ch. 1213, 64 Stat. 1224); (d) The functions conferred upon the Secretary by Reorganization Plan No. 21 of 1950 (set out above) to take action with respect to the determination of essential trade routes and services or subsequent modifications; (e) The functions conferred upon the Secretary by Reorganization Plan No. 21 of 1950 to establish policies of general application for the purchase, acquisition, construction, charter, and sale of vessels and for the administration of programs concerning operating subsidies, reserve funds and transfers to foreign ownership or registry, and charters to foreigners. The Maritime Administrator may redelegate to officers and employees of the Maritime Administration the performance of particular functions herein assigned to the Maritime Administrator. Effect on other notices. All orders, regulations, rulings, certificates, directives, and other actions heretofore issued or taken under the notices appearing at 15 F.R. 8739 and 16 F.R. 1130 and in effect immediately prior to the effective date of this notice shall remain in full force and effect until hereafter suspended, amended, or revoked under appropriate authority. This notice amends the notice issued in 15 F.R. 3195, 'Temporary Delegations of Authority under Reorganization Plan No. 21 of 1950.' Effective date. This notice is effective March 13, 1951. APPOINTMENT OF PERSONNEL The following is a legal opinion, in part, dated August 29, 1950, and prepared by the General Counsel of the Maritime Administration, with respect to the authority of the chairman of the Federal Maritime Board to make appointments of personnel under the Board and the extent of the authority of the Secretary of Commerce under Reorg. Plan No. 21 of 1950, set out above, as to such personnel: Sec. 103 of Reorganization Plan 21 of 1950 (set out above) transferred to the Chairman of the Federal Maritime Board 'all functions of the Chairman of the United States Maritime Commission (including his functions under the provisions of Reorganization Plan No. 6 of 1949 (set out above)) with respect to the functions transferred to the Board by the provisions of Sections 104 and 105' of Plan 21. Section 104 transferred to the Board the regulatory functions of the Maritime Commission and Section 105 transferred certain of the subsidy functions of the Commission, not including, however, the function of administering subsidy contracts. Sec. 106 of Plan 21 provides for the status of the Board and of the Chairman and their relationship to the Secretary of Commerce. * * *. In order to fully understand the intent of Plan 21, it is necessary to examine the status of the appointing authority of the Chairman of the Maritime Commission immediately prior to the transfer of functions under Plan 21. As set forth above, Section 103 of Plan 21 makes specific reference to the authority of the Chairman of the Commission under Plan 6 of 1949 as being transferred to the Chairman of the Board. Reorganization Plan 6 was transmitted by the President to Congress on June 20, 1949. Its purpose as stated in the message of transmittal (set out in Appendix to Title 5, Government Organization and Employees) was 'to strengthen the administration of the United States Maritime Commission by making the Chairman the chief executive and administrative officer of the Commission and vesting in him responsibility for the appointment of its personnel and the supervision and direction of their activities.' (Emphasis supplied.) Section 2 of Plan 6 transferred from the Commission to the Chairman certain functions including the appointment of personnel (exclusive of 'personnel employed regularly and full time' in the offices of other members) with the proviso that the Chairman would consult with other members before appointing the heads of major administration units. Section 1 of Plan 6 provided that in exercising certain functions the Chairman should be guided by policies of the Commission. This section significantly excepted from such requirement the authority transferred to the Chairman under Section 2 including the appointive authority. Thus the appointive authority (excluding only personnel in offices of Commission members) was exclusively and, except for the proviso relating to heads of major units, unconditionally vested in the Chairman of the Commission until Plan 21 took effect. Plan 21 transferred all the functions of the Commission and of the Chairman of the Commission. As stated above, some of these functions went to the Federal Maritime Board (Secs. 104, 105). Others were transferred to the Chairman of the Board (Sec. 103). Functions not otherwise transferred went to the Secretary of Commerce (Sec. 204). The functions transferred to the Board and to the Chairman relate to regulatory authority (to be exercised independently) and subsidy functions (to be exercised subject to the guidance of general policies established by the Secretary of Commerce). As Section 103 transferring functions to the Chairman relating to these subjects makes specific reference to the authority of the Chairman of the Commission under Plan 6, which included the appointment of personnel, it appears evident that so much of the appointive power as relates to personnel performing these functions passed to the Chairman of the Board to be exercised by him independently as to personnel performing regulatory functions and subject to the injunction of Sec. 106 (to be guided by the policies of the Secretary of Commerce) as to personnel performing services in connection with the subsidy functions performed by the Board. This conclusion is reinforced by reference to a decision of the Attorney General to the Secretary of Commerce, dated May 13, 1940, construing somewhat similar provisions in a reorganization plan transferring to the Department certain functions of the Civil Aeronautics Authority (Reorg. Plan No. IV of 1940, Sec. 7, eff. June 30, 1940, 5 F.R. 2421, 54 Stat. 1234, set out in the Appendix to Title 5, Government Organization and Employees) * * *. Despite the specific mention of the personnel functions the Attorney General held that the appointive authority was in the Board. This decision was based upon reasoning recognizing the practical fact that independence in the exercise of the functions of the Board could not be achieved if the control of personnel and finances of the Board were in the Secretary of Commerce. I have reached the conclusion that the appointive authority as to personnel engaged in regulatory and certain of the subsidy functions is vested in the Chairman, notwithstanding certain facts which might tend to indicate a different result. Chief among these is the statement contained in the President's message transmitting Plan 21, as follows: 'In making the Chairman of the Federal Maritime Board the Maritime Administrator, the plan adopts an arrangement substantially similar to that which prevailed during the war, when the same individual served as Chairman of the Maritime Commission and head of the War Shipping Administration. This arrangement will have important advantages. It will facilitate cooperation between the Board and the Administration on matters of concern to both. Also, it will avoid dividing the personnel of the Maritime Commission, since the Chairman of the Board will supervise the personnel assisting it in the performance of its functions, as is now the case in the Maritime Commission, and in his capacity as Administrator he will have charge of the personnel carrying on the work of the Maritime Administration. The plan provides for the joint operation of the officers and employees under the Administrator and Chairman as a single body of personnel. The maintenance of a unified staff is essential for efficient and economical administration because many of the technical and professional personnel, such as ship designers and attorneys, now assist the Maritime Commission on problems of subsidy determination and also participate in the subsequent administration of subsidy agreements and in performing nonsubsidy functions. 'The inclusion of the new Board in the Department of Commerce will permit the use of the administrative services of the Department. More important, it will eliminate the necessity of splitting the personnel of the Maritime Commission between the Department and an outside agency. * * *'. A literal reading of portions of this statement might be used as a basis for argument that a single appointive authority was intended. This meaning cannot be given the statement, however, in view of the specific language of the Plan as previously discussed. It is more likely that the President had in mind the fact that the Plan seems to contemplate a delegation of authority from the Secretary to the Chairman-Administrator by providing in Sec. 204 that 'The Secretary of Commerce may from time to time make such provisions as he shall deem appropriate authorizing the performance by the Maritime Administrator of any function transferred to such Secretary by the provisions of this reorganization plan.' Sec. 302 provides that the Chairman-Administrator shall make joint use of personnel. Another argument against the conclusion stated could be based upon the fact that Plan 21 makes specific reference in transferring functions to the Board of certain titles and portions of the Merchant Marine Act, 1936, as amended (this chapter), without making any reference to Sec. 201(e) of that Act (subsec. (e) of this section) which is the source of the appointive authority formerly vested in the Commission. This argument fails, however, when consideration is given to the fact that immediately prior to Plan 21 this authority was vested not in the Commission but in the Chairman of the Commission under Plan 6 and is included in the specific reference to Plan 6. It is clear that both Plan 21 and the President's transmittal message contemplate the use of personnel to perform dual functions for the Board and for the Administrator. It is equally clear that the Plan itself does not contain provisions vesting in a single appointive authority the power to establish such a group of personnel. It is evident, therefore, that the President contemplated that this objective be achieved by the Chairman's voluntarily utilizing the services of employees appointed under the authority of the Secretary to perform services in connection with Board functions and, in his capacity as Administrator, utilizing the services of employees employed by him under the direct grant of authority in the Plan to perform duties assigned to him by the Secretary. Thus the Plan, although directing the joint use of personnel, intends that result to be accomplished through the use of the administrative discretion granted the Chairman-Administrator by Section 302 of the Plan to be exercised in the interest of economy and efficiency, and does not vest exclusive appointing authority either in the Secretary or the Chairman-Administrator. -CROSS- CROSS REFERENCES Advertisements for proposals for purchases and contracts for supplies or services, see section 5 of Title 41, Public Contracts. ------DocID 53832 Document 733 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1111a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1111a. Administrative expenses; limitations -STATUTE- After June 30, 1939, the Federal Maritime Commission and the Secretary of Transportation shall not incur any obligations for administrative expenses except pursuant to an annual appropriation specifically therefor or to authority to use appropriations or other funds otherwise available therefor. -SOURCE- (June 25, 1938, ch. 681, title I, 52 Stat. 1119; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(59), 95 Stat. 158.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted reference to the Federal Maritime Commission and the Secretary of Transportation for reference to the United States Maritime Commission. For prior transfers of functions of United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53833 Document 734 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1111c -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1111c. Automated Tariff Filing and Information System -STATUTE- (a) Availability of electronic copies of data base; fees The Federal Maritime Commission shall require that complete and updated electronic copies of the Automated Tariff Filing and Information data base are made available (in bulk) in a timely and nondiscriminatory fashion, and the Commission shall assess reasonable fees for this service consistent with section 552 of title 5. (b) Limit on remote access usage The Commission shall impose reasonable controls on the system to limit remote access usage by any one person. (c) Use, resale, or dissemination of information The Commission shall provide that any information from the Automated Tariff Filing and Information System that is made available to the public may be used, resold, or disseminated by any person without restriction and without payment of additional fees or royalties. -SOURCE- (Pub. L. 101-92, Sec. 2, Aug. 16, 1989, 103 Stat. 601.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. ------DocID 53834 Document 735 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1112 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1112. Operation of property by Secretary -STATUTE- Notwithstanding any other provision of law, the Secretary of Transportation may, in accordance with good business methods and on such terms and conditions as he determines to effectuate the policy of this chapter, operate or lease any lands, docks, wharves, piers, or real property under his control, and all money received from such operation or lease shall be available for expenditure by the Secretary of Transportation as provided in this chapter. The Secretary of Transportation may, upon such terms and conditions as he may prescribe in accordance with sound business practice, make such extensions and accept such renewals of the notes and other evidences of indebtedness hereby transferred, and of the mortgages and other contracts securing the same, as he may deem necessary to carry out the objects of this chapter. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 202, 49 Stat. 1986; Aug. 26, 1937, ch. 822, Sec. 1, 50 Stat. 839; June 23, 1938, ch. 600, Sec. 1, 52 Stat. 953; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(60), 95 Stat. 158.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission', wherever appearing, 'he' for 'it', and 'his' for 'its', and struck out provision relating to transfer of money, etc., to the United States Maritime Commission. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1938 - Act June 23, 1938, permitted extensions and renewals of notes, other evidences of indebtedness, and mortgages. 1937 - Act Aug. 26, 1937, permitted the operation or leasing of lands, docks, wharves, piers or real property. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1158 of this Appendix. ------DocID 53835 Document 736 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1114 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1114. Transfer of powers; rules and orders -STATUTE- (a) Transfer of functions, powers and duties All the functions, powers, and duties vested in the former United States Shipping Board by the Shipping Act, 1916 (46 App. U.S.C. 801 et seq.), the Merchant Marine Act, 1920 (46 App. U.S.C. 861 et seq.), the Merchant Marine Act, 1928 (46 App. U.S.C. 891 et seq.), the Intercoastal Shipping Act, 1933 (46 App. U.S.C. 843 et seq.), and amendments to those Acts, and now vested in the Department of Commerce pursuant to section 12 of the President's Executive Order (No. 6166) of June 10, 1933, are hereby transferred to the Federal Maritime Commission and the Secretary of Transportation: Provided, however, That after June 29, 1936, no further construction loans shall be made under the provisions of section 11 of the Merchant Marine Act, 1920, as amended. (b) Rules and regulations The Commission and the Secretary of Transportation are authorized to adopt all necessary rules and regulations to carry out the powers, duties, and functions vested in them by this chapter. (c) Enforcement of orders; penalties for violations The orders issued by the Federal Maritime Commission and the Secretary of Transportation in the exercise of the powers transferred to them by this subchapter shall be enforced in the same manner as heretofore provided by law for enforcement of the orders issued by the former United States Shipping Board, and violation of such orders shall subject the person or corporation guilty of such violation to the same penalties or punishment as heretofore provided for violation of the orders of said Board. -SOURCE- (June 29, 1936, ch. 858, Sec. 204, 49 Stat. 1987; June 23, 1938, ch. 600, Sec. 41, 52 Stat. 964; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(61), 95 Stat. 158.) -REFTEXT- REFERENCES IN TEXT The Shipping Act, 1916, referred to in subsec. (a), is act Sept. 7, 1916, ch. 451, 39 Stat. 728, as amended, which is classified generally to chapter 23 (Sec. 801 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 842 of this Appendix and Tables. The Merchant Marine Act, 1920, referred to in subsec. (a), is act June 5, 1920, ch. 250, 41 Stat. 988, as amended, which (except for sections repealed or reenacted in Title 46, Shipping) is classified principally to chapter 24 (Sec. 861 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 889 of this Appendix and Tables. The Merchant Marine Act, 1928, referred to in subsec. (a), is act May 22, 1928, ch. 675, 45 Stat. 689, as amended, which is classified principally to chapter 24A (Sec. 891 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 891x of this Appendix and Tables. The Intercoastal Shipping Act, 1933, referred to in subsec. (a), is act Mar. 3, 1933, ch. 199, 47 Stat. 1425, as amended, which is classified generally to chapter 23A (Sec. 843 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 848 of this Appendix and Tables. Executive Order No. 6166 of June 10, 1933, referred to in subsec. (a), is set out under section 901 of Title 5, Government Organization and Employees. -MISC2- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(61)(A), substituted 'Federal Maritime Commission and the Secretary of Transportation' for 'United States Maritime Commission'. For prior transfers of functions of United States Maritime Commission, see Transfer of Functions note below. Subsec. (b). Pub. L. 97-31, Sec. 12(61)(B)-(D), inserted 'and the Secretary of Transportation' after 'Commission' and substituted 'are authorized' for 'is authorized' and 'vested in them' for 'vested in it'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (c). Pub. L. 97-31, Sec. 12(61)(A), (D), substituted 'Federal Maritime Commission and the Secretary of Transportation' for 'United States Maritime Commission' and 'transferred to them' for 'transferred to it'. For prior transfers of functions of United States Maritime Commission, see Transfer of Functions note below. 1938 - Subsec. (b). Act June 23, 1938, struck out provisions which authorized the President to transfer to the Interstate Commerce Commission any or all regulatory powers, duties and functions of the United States Maritime Commission. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 21 of 1950 and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1151, 1244 of this Appendix. ------DocID 53836 Document 737 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1115 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1115. Discrimination at ports by carriers by water against other carriers -STATUTE- Without limiting the power and authority otherwise vested in the Federal Maritime Commission and the Secretary of Transportation, it shall be unlawful for any common carrier by water, either directly or indirectly, through the medium of an agreement, conference, association, understanding, or otherwise, to prevent or attempt to prevent any other such carrier from serving any port designed for the accommodation of ocean-going vessels located on any improvement project authorized by the Congress or through it by any other agency of the Federal Government, lying within the continental limits of the United States, at the same rates which it charges at the nearest port already regularly served by it. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 205, 49 Stat. 1987; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(62), 95 Stat. 159.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Federal Maritime Commission and the Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. REPEALS For effect of subtitle IV (Sec. 10101 et seq.) of Title 49, Transportation, see note set out preceding section 801 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53837 Document 738 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1116 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1116. Construction fund -STATUTE- All sums of money now in the construction loan fund created by section 11 (FOOTNOTE 1) of the Merchant Marine Act, 1920, as amended, together with the proceeds of all debts, accounts, choses in action, and the proceeds of all notes, mortgages, and other evidences of indebtedness, hereby transferred to the Department of Transportation, and all of the proceeds of sales of ships and surplus property heretofore or hereafter made, including proceeds of notes or other evidences of debt taken therefor and the interest thereon, and, notwithstanding any other provision of law, all money representing amounts of unclaimed wages, salvage awards and miscellaneous unclaimed items carried as liabilities on the books of the former United States Shipping Board Merchant Fleet Corporation and all money heretofore or hereafter received from the operation or leasing of lands, docks, wharves, piers, or real property shall be deposited in the Treasury of the United States and there maintained as a revolving fund, herein designated as the construction fund, and shall be available for expenditure by the Secretary of Transportation in carrying out the provisions of this chapter. All moneys received by the Department of Transportation under the provisions of this chapter shall be deposited in its construction fund, and all disbursements made by the Secretary of Transportation under authority of this chapter shall be paid out of said fund, and, notwithstanding any other provision of law, all disbursements applicable to the money referred to in this section may be made by the Secretary of Transportation out of said fund. Further appropriations by Congress to replenish said fund are authorized. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 206, 49 Stat. 1987; Aug. 26, 1937, ch. 822, Sec. 2, 50 Stat. 839; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(63), 95 Stat. 159.) -REFTEXT- REFERENCES IN TEXT Section 11 of the Merchant Marine Act, 1920, as amended, referred to in text, was classified to section 870 of former Title 46, Shipping, and was repealed by act June 29, 1936, ch. 858, title IX, Sec. 903(b), 49 Stat. 2016. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Department of Transportation' for 'Commission' in two places and 'Secretary of Transportation' for 'Commission' in three places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1937 - Act Aug. 26, 1937, amended section generally. EFFECTIVE DATE OF 1937 AMENDMENT Amendment effective as of June 29, 1936, see section 4 of act Aug. 26, 1937. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- LIMITATIONS ON CONSTRUCTION FUND Acts July 30, 1947, ch. 359, title I, Sec. 101, 61 Stat. 603, and June 30, 1948, ch. 775, Sec. 101, 62 Stat. 1199, which were the Independent Offices Appropriation Act, 1948, and The Supplemental Independent Offices Appropriation Act, 1949, respectively, placed limitations on obligations from the construction fund established by this section. REDUCTION OF CONTRACT AUTHORIZATIONS Act May 29, 1945, ch. 136, 59 Stat. 226, authorized the transfer out of the unexpended balance of appropriations made to the Maritime Commission under the head 'Construction fund, United States Maritime Commission Act, June 24, 1936, revolving fund' up until May 29, 1945, of the sum of $3,100,000,000 to be carried to the surplus fund and be covered into the Treasury and reduced the contract authorization for ship construction and facilities incident by $4,265,000,000. ADDITIONAL APPROPRIATIONS Act Aug. 25, 1941, ch. 409, title III, 55 Stat. 682, appropriated an amount not to exceed $1,296,650,000 to enable the Commission to enter into further contracts for the construction of vessels, production and procurement of parts, equipment, plants, etc. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1116a, 1242 of this Appendix. ------DocID 53838 Document 739 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1116a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1116a. Application to obligations against emergency ship construction fund -STATUTE- On and after March 22, 1947, the construction fund established by section 1116 of this Appendix shall be available for the payment of obligations previously incurred against the emergency ship construction fund. -SOURCE- (Mar. 22, 1947, ch. 20, title II, 61 Stat. 18; 1950 Reorg. Plan No. 21, Sec. 306, eff. May 24, 1950, 15 F.R. 3178, 64 Stat. 1277.) -COD- CODIFICATION Words 'United States Maritime Commission' preceding 'construction fund' omitted and words 'established by section 1116 of this Appendix' inserted following 'construction fund' on authority of Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix. Section was enacted as part of act Mar. 22, 1947, popularly known as the Urgent Deficiency Appropriation Act, 1947, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. ------DocID 53839 Document 740 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1117 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1117. Power to contract; audit of accounts; reports of Comptroller General -STATUTE- The Federal Maritime Commission and the Secretary of Transportation may enter into such contracts, upon behalf of the United States, and may make such disbursements as may, in its or his discretion, be necessary to carry on the activities authorized by this chapter, or to protect, preserve, or improve the collateral held by the Commission or Secretary to secure indebtedness, in the same manner that a private corporation may contract within the scope of the authority conferred by its charter. All the Commission's and Secretary's financial transactions shall be audited in the General Accounting Office according to approved commercial practice as provided in the Act of March 20, 1922 (42 Stat. 444): Provided, That it shall be recognized that, because of the business activities authorized by this chapter, the accounting officers shall allow credit for all expenditures shown to be necessary because of the nature of such authorized activities, notwithstanding any existing statutory provision to the contrary. The Comptroller General shall report annually or oftener to Congress any departure by the Commission or Secretary from the provisions of this chapter. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 207, 49 Stat. 1988; June 23, 1938, ch. 600, Sec. 2, 52 Stat. 954; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(64), 95 Stat. 159.) -REFTEXT- REFERENCES IN TEXT Act of March 20, 1922, ch. 104, 42 Stat. 444, referred to in text, is not classified to the Code. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Federal Maritime Commission and the Secretary of Transportation' for 'Commission' first time it appeared, and inserted 'or his' after 'its', 'or Secretary' after 'Commission' and 'and Secretary's' after 'Commission's'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1938 - Act June 23, 1938, authorized disbursements, and provided for the protection, preservation, or improvement of collateral held to secure indebtedness. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -CROSS- CROSS REFERENCES Advertisements for proposals for purchases and contracts for supplies or services, see section 5 of Title 41, Public Contracts. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 11 section 362. ------DocID 53840 Document 741 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1118 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1118. Reports to Congress -STATUTE- The Federal Maritime Commission and the Secretary of Transportation shall, by April 1 each year, make a report to Congress, which shall include the results of its or his investigations, a summary of its or his transactions, its or his recommendations for legislation, a statement of all receipts under this chapter, and the purposes for which all expenditures were made. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 208, 49 Stat. 1988; Apr. 21, 1976, Pub. L. 94-273, Sec. 36, 90 Stat. 380; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(65), 95 Stat. 159.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Federal Maritime Commission and the Secretary of Transportation' for 'Commission' and inserted 'or his' after 'its' in three places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1976 - Pub. L. 94-273 substituted 'by April 1 each year' for 'at the beginning of each regular session'. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1213, 1222 of this Appendix. ------DocID 53841 Document 742 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1119 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1119. Authorization of appropriations -STATUTE- (a) Except as provided in subsection (b) of this section, there are authorized to be appropriated such sums as may be necessary to carry out the provisions of this chapter. (b) Notwithstanding any other provision of this chapter or any other law, there are authorized to be appropriated after December 31, 1967, for the use of the Maritime Administration for - (1) acquisition, construction, or reconstruction of vessels; (2) construction-differential subsidy incident to the construction, reconstruction, or reconditioning of ships; (3) cost of national defense features; (4) payment of obligations incurred for operating-differential subsidy; (5) expenses necessary for research and development activities (including reimbursement of the Vessel Operations Revolving Fund for losses resulting from expenses of experimental ship operations); (6) reserve fleet expenses; (7) maritime training at the Merchant Marine Academy at Kings Point, New York; (8) financial assistance to State maritime academies under section 1295c of this Appendix; (9) the Vessel Operations Revolving Fund; (10) (FOOTNOTE 1) expenses necessary for additional training provided under section 1295d of this Appendix; (FOOTNOTE 1) See 1980 Amendment note below. (10) (FOOTNOTE 1) expenses necessary to carry out subchapter XIII of this chapter; and (11) other operations and training expenses related to the development of waterborne transportation systems, the use of waterborne transportation systems, or general administration; only such sums as the Congress may specifically authorize by law: Provided, however, That the Congress finds and declares that the national policy set forth in section 1101 of this Appendix requires that there should be authorized and appropriated for fiscal years 1971 through 1980 such sums as may be necessary to construct 300 ships of such sizes, types and designs as the Secretary of Transportation may consider best suited to carry out the purposes and policy of this chapter. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 209, 49 Stat. 1988; Aug. 26, 1937, ch. 822, Sec. 3, 50 Stat. 839; Sept. 5, 1967, Pub. L. 90-81, 81 Stat. 193; Oct. 21, 1970, Pub. L. 91-469, Sec. 2, 84 Stat. 1018; Nov. 12, 1977, Pub. L. 95-173, Sec. 6(a), 91 Stat. 1360; Oct. 7, 1980, Pub. L. 96-387, Sec. 4, 94 Stat. 1546; Oct. 15, 1980, Pub. L. 96-453, Sec. 3(a), 94 Stat. 2008; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(66), 95 Stat. 159.) -COD- CODIFICATION Subsec. (c) of this section, which related to availability, for all objects of expenditure under this chapter, of all appropriations and unexpended balances of appropriations in connection with then existing ocean-mail contracts entered into under sections 891e to 891r of former Title 46, Shipping, in connection with which the powers and duties with respect thereto had been transferred from the Postmaster General to the United States Maritime Commission by section 1144 of this Appendix, was omitted. Subsec. (d) of this section, which made funds available under former subsection (b) available for expenditures authorized by former United States Maritime Commission under former provisions in section 1111 of this Appendix, as soon as a majority of the members of the United States Maritime Commission had taken the oath of office, notwithstanding section 1246 of this Appendix, was omitted. -MISC3- AMENDMENTS 1981 - Subsec. (b). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. 1980 - Subsec. (b). Pub. L. 96-453, which directed that pars. (7) and (9) be amended, that par. (10), relating to other operations and training expenses, be redesignated as (11), and that a par. (10), relating to expenses necessary to carry out subchapter XIII of this chapter, be added, was executed by amending pars. (8) and (10), set out first, and adding a par. (10), set out second, as the probable intent of Congress, in view of the prior redesignation of par. (7) as (8), par. (9) as (10), set out first and (10) as (11) by Pub. L. 96-387. The amendment substituted in par. (8) 'State maritime academies under section 1295c of this Appendix' for 'State Marine Schools' and in par. (10) 'for additional training provided under section 1295d' for 'for extension and correspondence courses authorized under section 1126(c)' and added a par. (10), relating to expenses necessary to carry out subchapter XIII of this chapter. Pub. L. 96-387 struck out in par. (2) 'and cost of national defense features' after 'subsidy', added par. (3), and redesignated former pars. (3) to (10) as (4) to (11), respectively. 1977 - Subsec. (b). Pub. L. 95-173 added pars. (9) and (10). 1970 - Subsec. (b). Pub. L. 91-469 authorized appropriations for construction of 300 ships for fiscal years 1971 through 1980. 1967 - Subsec. (a). Pub. L. 90-81 inserted 'Except as provided in subsection (b) of this section' at beginning of subsec. Subsec. (b). Pub. L. 90-81 added subsec. (b). A prior subsec. (b), making available to the United States Maritime Commission all appropriations and unexpended balances of the United States Shipping Board Bureau and the United States Shipping Board Merchant Fleet Corporation, had been eliminated as executed and obsolete. EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96-453 effective Oct. 1, 1981, see section 4 of Pub. L. 96-453, set out as an Effective Date note under section 1295 of this Appendix. EFFECTIVE DATE OF 1977 AMENDMENT Section 6(b) of Pub. L. 95-173 provided that: 'The amendment made by subsection (a) of this section (amending this section) shall be effective for fiscal years beginning after September 30, 1978.' -CROSS- CROSS REFERENCES Application of construction fund to obligations against the emergency ship construction fund, see section 1116a of this Appendix. ------DocID 53842 Document 743 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1120 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1120. Survey of existing merchant marine for creation of adequate American-owned fleet -STATUTE- It shall be the duty of the Secretary of Transportation to make a survey of the American merchant marine, as it now exists, to determine what additions and replacements are required to carry forward the national policy declared in section 1101 of this Appendix, and the Secretary of Transportation is directed to study, perfect, and adopt a long-range program for replacements and additions to the American merchant marine so that as soon as practicable the following objectives may be accomplished: First, the creation of an adequate and well-balanced merchant fleet, including vessels of all types, to provide shipping service essential for maintaining the flow of the foreign commerce of the United States, the vessels in such fleet to be so designed as to be readily and quickly convertible into transport and supply vessels in a time of national emergency. In planning the development of such a fleet the Secretary of Transportation is directed to cooperate closely with the Navy Department as to national-defense needs and the possible speedy adaptation of the merchant fleet to national-defense requirements. Second, the ownership and the operation of such a merchant fleet by citizens of the United States insofar as may be practicable. Third, the planning of vessels designed to afford the best and most complete protection for passengers and crew against fire and all marine perils. Fourth, the creation and maintenance of efficient shipbuilding and repair capacity in the United States with adequate numbers of skilled personnel to provide an adequate mobilization base. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 210, 49 Stat. 1989; Oct. 21, 1970, Pub. L. 91-469, Sec. 3, 35(a), 84 Stat. 1018, 1035; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(67), 95 Stat. 159.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Pub. L. 91-469, Sec. 35(a), substituted 'Secretary of Commerce' for 'Commission', twice in introductory par. and once in par. 'First'. Par. First. Pub. L. 91-469, Sec. 3(1), struck out 'on all routes' after 'shipping service'. Par. Fourth. Pub. L. 91-469, Sec. 3(2), added par. 'Fourth'. COMMISSION ON MERCHANT MARINE AND DEFENSE Pub. L. 98-525, title XV, Sec. 1536, Oct. 19, 1984, 98 Stat. 2633, as amended by Pub. L. 99-145, title XIV, Sec. 1431, Nov. 8, 1985, 99 Stat. 754; Pub. L. 99-426, Sec. 1, Sept. 30, 1986, 100 Stat. 979, provided that: '(a) There is hereby established a commission to be known as the Commission on Merchant Marine and Defense (hereinafter in this section referred to as the 'Commission'). '(b) The Commission shall study problems relating to transportation of cargo and personnel for national defense purposes in time of war or national emergency, the capability of the United States merchant marine to meet the need for such transportation, and the adequacy of the shipbuilding mobilization base of the United States to meet the needs of naval and merchant ship construction in time of war or national emergency. Based on the results of the study, the Commission shall make such specific recommendations, including recommendations for legislative action, action by the executive branch, and action by the private sector, as the Commission considers appropriate to foster and maintain a United States merchant marine capable of meeting national security requirements. The recommendations of the Commission shall be provided in the reports of the Commission due 12 months after the date on which sufficient members of the Commission to constitute a quorum have been appointed and 24 months after such date, under subsection (g). '(c)(1) The Commission shall be composed of seven members, as follows: '(A) The Secretary of the Navy (or his delegate), who shall be the chairman of the Commission. '(B) The Administrator of the Maritime Administration (or his delegate). '(C) Five members appointed by the President, by and with the advice and consent of the Senate, from among individuals of recognized stature and distinction who by reason of their background, experience, and knowledge in the fields of merchant ship operations, shipbuilding and its supporting industrial base, maritime labor, and defense matters are particularly suited to serve on the Commission. '(2) A vacancy in the Commission shall be filled in the manner in which the original appointment was made. Appointments may be made under paragraph (1)(C) without regard to section 5311(b) of title 5, United States Code. Members appointed under such paragraph shall be appointed for the life of the Commission. '(3) Four members of the Commission shall constitute a quorum, but a lesser number may hold hearings. The Commission shall meet at the call of the chairman. '(d)(1) Members of the Commission appointed under subsection (c)(1)(C) may each be paid at a rate equal to the daily equivalent of the rate of basic pay payable for level IV of the Executive Schedule for each day (including travel time) during which they are engaged in the actual performance of the business of the Commission. Other members of the Commission shall receive no additional pay, allowances, or benefits by reason of their service on the Commission. '(2) A member of the Commission appointed under subsection (c)(1)(C) (who is not otherwise employed by the Federal Government) shall not be considered to be a Federal employee, except for the purposes of - '(A) chapter 81 of title 5, United States Code, relating to compensation for work-related injuries; and '(B) chapter 171 of title 28, United States Code, relating to tort claims. '(e)(1) The Commission may (without regard to section 5311(b) of title 5, United States Code) appoint an executive director, who shall be paid at a rate not to exceed the rate of basic pay payable for level IV of the Executive Schedule. '(2) The Commission may appoint such additional staff as it considers appropriate. Such personnel shall be paid at a rate not to exceed the rate of basic pay payable for grade GS-18 of the General Schedule under section 5332 of title 5, United States Code. '(3) The executive director and staff of the Commission may be appointed without regard to the provisions of title 5, United States Code, governing appointments in the executive branch and may be paid without regard to the provisions of chapter 51 and subchapter III of chapter 53 of such title relating to classification and General Schedule pay rates. '(4) The Commission may procure temporary and intermittent services under section 3109(b) of title 5, United States Code. '(f)(1) The Secretary of the Navy and the Administrator of the Maritime Administration may detail personnel under their jurisdiction to the Commission to assist the Commission in carrying out its duties under this section. '(2) The Secretary of the Navy and the Administrator of the Maritime Administration may provide to the Commission such administrative support services as the Commission may require. '(g) Not later than nine months after the date on which sufficient members of the Commission to constitute a quorum have been appointed and not later than 21 months after such date, the Commission shall submit to the President and to Congress a report containing its findings of fact and its conclusions. Not later than 12 months after such date and not later than 24 months after such date, the Commission, based upon those findings and conclusions, shall prepare a report containing the recommendations of the Commission as specified in subsection (b) and shall submit the report to the President and Congress. Each such report shall be prepared without any prior review or approval by any official of the executive branch (other than the members and staff of the Commission). '(h) The Commission shall cease to exist 90 days after the date on which the final report of the Commission under subsection (g) is submitted to the President and the Congress. '(i) There is authorized to be appropriated for fiscal years 1985, 1986, and 1987, a total of $1,500,000 to carry out this section. Any amount appropriated under this subsection shall remain available until 36 months after the date on which sufficient members of the Commission to constitute a quorum have been appointed.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1191 of this Appendix. ------DocID 53843 Document 744 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1121 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1121. Investigations, studies, records, etc. -STATUTE- The Secretary of Transportation is authorized and directed to investigate, determine, and keep current records of - (a) Suitable ocean routes and lines to foreign ports; vessels and costs of operation The ocean services, routes, and lines from ports in the United States, or in a Territory, district, or possession thereof, to foreign markets, which are, or may be, determined by the Secretary of Transportation to be essential for the promotion, development, expansion, and maintenance of the foreign commerce of the United States, and in reaching his determination the Secretary of Transportation shall consider and give due weight to the cost of maintaining each of such steamship lines, the probability that any such line cannot be maintained except at a heavy loss disproportionate to the benefit accruing to foreign trade, the number of sailings and types of vessels that should be employed in such lines, and any other facts and conditions that a prudent business man would consider when dealing with his own business, with the added consideration, however, of the intangible benefit the maintenance of any such line may afford to the foreign commerce of the United States, to the national defense, and to other national requirements; (b) Bulk cargo carrying services The bulk cargo carrying services that should, for the promotion, development, expansion, and maintenance of the foreign commerce of the United States and for the national defense or other national requirements be provided by United States-flag vessels whether or not operating on particular services, routes, or lines; (c) Vessels required in proposed routes The type, size, speed, method of propulsion, and other requirements of the vessels, including express-liner or super-liner vessels, which should be employed in such services or on such routes or lines, and the frequency and regularity of the sailings of such vessels, with a view to furnishing adequate, regular, certain, and permanent service, or which should be employed to provide the bulk cargo carrying services necessary to the promotion, maintenance, and expansion of the foreign commerce of the United States and its national defense or other national requirements whether or not such vessels operate on a particular service, route, or line; (d) Cost of construction in United States and abroad The relative cost of construction of comparable vessels in the United States and in foreign countries; (e) Relative cost of operation under laws of United States and foreign countries The relative cost of marine insurance, maintenance, repairs, wages and subsistence of officers and crews, and all other items of expense, in the operation of comparable vessels under the laws, rules, and regulations of the United States and under those of the foreign countries whose vessels are substantial competitors of any such American vessel; (f) Foreign subsidies The extent and character of the governmental aid and subsidies granted by foreign governments to their merchant marine; (g) Shipyards The number, location, and efficiency of the shipyards existing on June 29, 1936, or thereafter built in the United States; (h) Laws applicable to aircraft To investigate and determine what provisions of this chapter and other Acts relating to shipping should be made applicable to aircraft engaged in foreign commerce in order to further the policy expressed in this chapter, and to recommend appropriate legislation to this end; (i) Transportation to foreign ports of cotton, coal, lumber, and cement The advisability of enactment of suitable legislation authorizing the Secretary of Transportation in an economic or commercial emergency, to aid the farmers and cotton, coal, lumber, and cement producers in any section of the United States in the transportation and landing of their products in any foreign port, which products can be carried in dry-cargo vessels by reducing rates, by supplying additional tonnage to any American operator, or by operation of vessels directly by the Secretary of Transportation, until such time as the Secretary of Transportation shall deem such special rate reduction and operation unnecessary for the benefit of the American farmers and such producers; and (j) New designs of vessels; intercoastal and inland water transportation New designs, new methods of construction, and new types of equipment for vessels; the possibilities of promoting the carrying of American foreign trade in American vessels; and intercoastal and inland water transportation, including their relation to transportation by land and air. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 211, 49 Stat. 1989; Oct. 21, 1970, Pub. L. 91-469, Sec. 4, 5, 35(a), (b), 84 Stat. 1018, 1035; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(67), 95 Stat. 159.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 in introductory text and subsecs. (a) and (i) substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Pub. L. 91-469, Sec. 35(a), substituted 'Secretary of Commerce' for 'Commission', once in introductory par., twice in subsec. (a), and thrice in subsec. (i). Subsec. (a). Pub. L. 91-469, Sec. 4(1), 35(b), required consideration of the benefit the maintenance of any steamship line may afford to other national requirements and substituted 'his' for 'its' before 'determination', respectively. Subsec. (b). Pub. L. 91-469, Sec. 4(3), added subsec. (b). Former subsec. (b) redesignated (c). Subsec. (c). Pub. L. 91-649, Sec. 4(2), (4), (5), redesignated former subsec. (b) as (c), inserted 'method of propulsion' after 'speed', and required that the various requirements of the vessels should be employed to provide bulk cargo carrying services, necessary to the promotion, maintenance, and expansion of the foreign commerce of the United States and its national defense or other national requirements whether or not such vessels operate on a particular service, route, or line, respectively. Former subsec. (c) redesignated (d). Subsec. (d). Pub. L. 91-469, Sec. 4(2), redesignated former subsec. (c) as (d). Former subsec. (d) redesignated (e). Subsec. (e). Pub. L. 91-469, Sec. 4(2), 5, redesignated former subsec. (d) as (e) and struck out 'in particular services, routes, and lines' after 'comparable vessels' and substituted 'American vessel' for 'American service route, or line', respectively. Former subsec. (e) redesignated (f). Subsecs. (f) to (j). Pub. L. 91-469, Sec. 4(2), redesignated former subsecs. (e) to (i) as (f) to (j), respectively. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1125, 1171, 1173, 1204, 1213, 1222 of this Appendix. ------DocID 53844 Document 745 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1121-1 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1121-1. Priority loading for vessels engaged in coastwise transportation of coal; exception, report to Congress -STATUTE- Notwithstanding any other provisions of law, any vessel engaged in the coastwise transportation of coal produced in the United States, from a port in the United States to another port in the United States, shall have the priority to load at any such ports ahead of any waiting vessels engaged in the export trade of coal produced in the United States: Provided, That, the Secretary of Transportation may, if he determines that it is in the national interest, eliminate priority loading, as provided herein, at any such port or ports, and to report such action to the Congress within 30 days. -SOURCE- (Pub. L. 96-387, Sec. 5, Oct. 7, 1980, 94 Stat. 1546; Pub. L. 97-31, Sec. 12(68), Aug. 6, 1981, 95 Stat. 159; Pub. L. 99-662, title IX, Sec. 947, Nov. 17, 1986, 100 Stat. 4200.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1986 - Pub. L. 99-662 struck out 'until June 30, 1987,' after 'shall'. 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. ------DocID 53845 Document 746 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1121-2 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1121-2. National Maritime Enhancement Institutes -STATUTE- (a) Designation by Secretary of Transportation The Secretary of Transportation may designate National Maritime Enhancement Institutes. (b) Activities Activities undertaken by such an Institute may include - (1) conducting research concerning methods for improving the performance of maritime industries; (2) enhancing the competitiveness of domestic maritime industries in international trade; (3) forecasting trends in maritime trade; (4) assessing technological advancements; (5) developing management initiatives and training; (6) analyzing economic and operational impacts of regulatory policies and international negotiations or agreements pending before international bodies; (7) assessing the compatibility of domestic maritime infrastructure systems with overseas transport systems; (8) fostering innovations in maritime transportation pricing; and (9) improving maritime economics and finance. (c) Submission of applications An institution seeking designation as a National Maritime Enhancement Institute shall submit an application under regulations prescribed by the Secretary. (d) Designation criteria The Secretary shall designate an Institute under this section on the basis of the following criteria: (1) the demonstrated research and extension resources available to the designee for carrying out the activities specified in subsection (b) of this section; (2) the capability of the designee to provide leadership in making national and regional contributions to the solution of both long-range and immediate problems of the domestic maritime industry; (3) the existence of an established program of the designee encompassing research and training directed to enhancing maritime industries; (4) the demonstrated ability of the designee to assemble and evaluate pertinent information from national and international sources and to disseminate results of maritime industry research and educational programs through a continuing education program; and (5) the qualification of the designee as a nonprofit institution of higher learning. (e) Awards The Secretary may make awards on an equal matching basis to an institute designated under subsection (a) of this section from amounts appropriated. The aggregate annual amount of the Federal share of the awards shall not exceed $100,000. -SOURCE- (Pub. L. 101-115, Sec. 8, Oct. 13, 1989, 103 Stat. 694; Pub. L. 101-595, title VII, Sec. 702, Nov. 16, 1990, 104 Stat. 2994.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1990 - Subsec. (e). Pub. L. 101-595 amended subsec. (e) generally. Prior to amendment, subsec. (e) read as follows: 'The Secretary may make research grants, on an equal matching basis, to an institute from amounts appropriated pursuant to section 1(2)(B). The aggregate amount of such grants shall not exceed $100,000.' ------DocID 53846 Document 747 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1122 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1122. Maritime problems; cooperation with others; cargo carriage; recommendations -STATUTE- The Secretary of Transportation is authorized and directed - (a) Study of maritime problems To study all maritime problems arising in the carrying out of the policy set forth in subchapter I of this chapter; (b) Inducing preferences for American vessels; construction of super-liners To study, and to cooperate with vessel owners in devising means by which - (1) the importers and exporters of the United States can be induced to give preference to vessels under United States registry; and (2) there may be constructed by or with the aid of the United States express-liner or super-liner vessels comparable with those of other nations, especially with a view to their use in national emergency, and the use in connection with or in lieu of such vessels of transoceanic aircraft service; (c) Collaboration with owners and builders To collaborate with vessel owners and shipbuilders in developing plans for the economical construction of vessels and their propelling machinery, of most modern economical types, giving thorough consideration to all well-recognized means of propulsion and taking into account the benefits accruing from standardized production where practicable and desirable; and (d) Liaison with other agencies and trade organizations To establish and maintain liaison with such other boards, commissions, independent establishments, and departments of the United States Government, and with such representative trade organizations throughout the United States as may be concerned, directly or indirectly, with any movement of commodities in the water-borne export and import foreign commerce of the United States, for the purpose of securing preference to vessels of United States registry in the shipment of such commodities. (e) Repealed. Pub. L. 98-237, Sec. 20(a), Mar. 20, 1984, 98 Stat. 88 (f) Development and implementation of new methods of cargo carriage; preferences for cargo containers To study means and methods of encouraging the development and implementation of new concepts for the carriage of cargo in the domestic and foreign commerce of the United States, and to study the economic and technological aspects of the use of cargo containers as a method of carrying out the declaration of policy set forth in subchapter I of this chapter, and in carrying out the provisions of this subsection and such policy the United States shall not give preference as between carriers upon the basis of length, height, or width of cargo containers or length, height, or width of cargo container cells and this requirement shall be applicable to all existing container vessels and any container vessel to be constructed or rebuilt; and (g) Recommendations for further legislation To make recommendations to Congress, from time to time, for such further legislation as he deems necessary better to effectuate the purpose and policy of this chapter. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 212, 49 Stat. 1990; Mar. 16, 1968, Pub. L. 90-268, Sec. 1, 82 Stat. 49; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(69), 95 Stat. 159; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(a), (c), 98 Stat. 88, 90.) -MISC1- AMENDMENTS 1984 - Subsec. (e). Pub. L. 98-237, Sec. 20(a), struck out subsec. (e) which related to investigation of any and all discriminatory rates, charges, classifications, and practices whereby exporters and shippers of cargo originating in the United States are required by any common carrier by water in foreign trade of United States to pay a higher rate from any United States port to a foreign port than rate charged by such carrier on similar cargo from such foreign port to such United States port, and making of recommendations to Congress of measures by which such discrimination could be corrected. See section 1710 of this Appendix. Pub. L. 98-237, Sec. 20(c), struck out undesignated pars. following subsec. (d), 'The Federal Maritime Commission is authorized and directed - ' and following subsec. (e), 'The Secretary of Transportation, is authorized and directed - '. 1981 - Pub. L. 97-31 substituted in provision preceding subsec. (a) 'Secretary of Transportation' for 'Commission'; inserted, following subsec. (d), 'The Federal Maritime Commission is authorized and directed - '; inserted, following subsec. (e), 'The Secretary of Transportation, is authorized and directed - '; and substituted, in subsec. (g), 'he' for 'it'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1968 - Subsecs. (f), (g). Pub. L. 90-268 added subsec. (f) and redesignated former subsec. (f) as (g). SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53847 Document 748 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1122a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1122a. Vessel utilization and performance reports; filing; civil penalty; lien upon vessel; remission or mitigation of penalty -STATUTE- The operator of a vessel in waterborne foreign commerce of the United States shall file at such times and in such manner as the Secretary of Transportation may prescribe by regulations, such report, account, record, or memorandum relating to the utilization and performance of such vessel in commerce of the United States, as the Secretary may determine to be necessary or desirable in order to carry out the purposes and provisions of this chapter. Such report, account, record, or memorandum shall be signed and verified in accordance with regulations prescribed by the Secretary. An operator who does not file the report, account, record, or memorandum as required by this section and the regulations issued hereunder, shall be liable to the United States in a penalty of $50 for each day of such violation. The amount of any penalty imposed for any violation of this section upon the operator of any vessel shall constitute a lien upon the vessel involved in the violation, and such vessel may be libeled therefor in the district court of the United States for the district in which it may be found. The Secretary of Transportation may, in his discretion, remit or mitigate any penalty imposed under this section on such terms as he may deem proper. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 212(A), as added June 25, 1956, ch. 437, 70 Stat. 332; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(70), 95 Stat. 159.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 46 section 2306. ------DocID 53848 Document 749 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1122b -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1122b. Mobile trade fairs -STATUTE- (a) Use of United States flag vessels and aircraft insofar as practicable The Secretary of Commerce shall encourage and promote the development and use of mobile trade fairs which are designed to show and sell the products of United States business and agriculture at foreign ports and at other commercial centers throughout the world where the operator or operators of the mobile trade fairs use insofar as practicable United States flag vessels and aircraft in the transportation of their exhibits. (b) Technical and financial assistance; exceptions The Secretary of Commerce is authorized to provide to the operator or operators of such mobile trade fairs technical assistance and support as well as financial assistance for the purpose of defraying certain expenses incurred abroad (other than the cost of transportation on foreign-flag vessels and aircraft), when the Secretary determines that such operations provide an economical and effective means of promoting export sales. (c) Use of foreign currencies In addition to any amounts appropriated to carry out trade promotion activities, the President may use foreign currencies owned by or owed to the United States to carry out this section. (d) Report to Congress The Secretary of Commerce shall submit annually to the Congress a report on his activities under this chapter. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 212(B), as added Oct. 18, 1962, Pub. L. 87-839, Sec. 1, 76 Stat. 1074, and amended July 7, 1965, Pub. L. 89-66, 79 Stat. 211; July 27, 1968, Pub. L. 90-434, 82 Stat. 449; Aug. 23, 1988, Pub. L. 100-418, title X, Sec. 10003(a), 102 Stat. 1572.) -MISC1- AMENDMENTS 1988 - Subsec. (c). Pub. L. 100-418 amended subsec. (c) generally. Prior to amendment, subsec. (c) read as follows: 'There is authorized to be appropriated not to exceed $500,000 per fiscal year for each of the six fiscal years during the period beginning July 1, 1962, and ending June 30, 1968, and not to exceed $166,000 for the fiscal year ending June 30, 1969. In addition to such appropriated sums, the President shall make maximum use of foreign currencies owned by or owed to the United States to carry out the purposes of this section.' 1968 - Subsec. (a). Pub. L. 90-434 substituted 'use insofar as practicable' for 'exclusively use'. Subsec. (b). Pub. L. 90-434 inserted '(other than the cost of transportation on foreign-flag vessels and aircraft),' after 'expenses incurred abroad'. Subsec. (c). Pub. L. 90-434 authorized appropriation of not to exceed $166,000 for the fiscal year ending June 30, 1969. 1965 - Subsec. (c). Pub. L. 89-66 substituted 'six' and 'June 30, 1968' for 'three' and 'June 30, 1965', respectively. ------DocID 53849 Document 750 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1123 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1123. Obsolete tonnage; tramp service; relative costs at yards -STATUTE- The Secretary of Transportation shall make studies of and make reports to Congress on - (a) Removal of obsolete tonnage The scrapping or removal from service of old or obsolete merchant tonnage owned by the United States or in use in the merchant marine; (b) Tramp shipping; participation in by Americans Tramp shipping service and the advisability of citizens of the United States participating in such service with vessels under United States registry. (c) Relative cost of construction at different yards; equalization The relative cost of construction or reconditioning of comparable ocean vessels in shipyards in the various coastal districts of the United States, together with recommendations as to how such shipyards may compete for work on an equalized basis; reports under this paragraph shall be made annually on the first day of October of each year. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 213, 49 Stat. 1991; Oct. 24, 1962, Pub. L. 87-877, Sec. 2(c), (d), 76 Stat. 1201; Apr. 21, 1976, Pub. L. 94-273, Sec. 27, 90 Stat. 380; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(71), 95 Stat. 159.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted in provision preceding subsec. (a) 'Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1976 - Subsec. (c). Pub. L. 94-273 substituted 'October' for 'July'. 1962 - Pub. L. 87-877 substituted 'reports to Congress' for 'a report to Congress as soon as practicable on', in text preceding subsec. (a), and inserted '; reports under this paragraph shall be made annually on the first day of July of each year' in subsec. (c). -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949 and Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix. ------DocID 53850 Document 751 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1124 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1124. Witnesses -STATUTE- (a) Summoning; oaths; production of books and papers; fees For the purpose of any investigation which, in the opinion of the Secretary of Transportation, is necessary and proper in carrying out this chapter, the Secretary may subpoena witnesses, administer oaths and affirmations, take evidence, and require the production of books, papers, or other documents that are relevant to the matter under investigation. The attendance of witnesses and the production of books, papers, or other documents may be required from any place in the United States or any territory, district, or possession thereof at any designated place of hearing. Witnesses summoned before the Secretary shall be paid the same fees and mileage that are paid witnesses in the courts of the United States. (b) Refusal to obey subpena; court orders; contempt Upon failure of any person to obey a subpoena issued by the Secretary, the Secretary may invoke the aid of any district court of the United States within the jurisdiction in which the person resides or carries on business in requiring the attendance and testimony of witnesses and the production of books, papers, or other documents. Any such court may issue an order requiring the person to appear before the Secretary, or an employee designated by the Secretary, there to produce books, papers, or other documents, if so ordered, or to give testimony relevant to the matter under investigation. A failure to obey an order of the court may be punished by the court as a contempt thereof. Process in such a case may be served in the judicial district in which the person resides or may be found. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 214, 49 Stat., 1991; June 23, 1938, ch. 600, Sec. 3, 52 Stat. 954; Oct. 15, 1970, Pub. L. 91-452, title II, Sec. 241, 84 Stat. 930; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(72), 95 Stat. 159; Mar. 20, 1984, Pub. L. 98-237, Sec. 20(a), 98 Stat. 89; Oct. 30, 1984, Pub. L. 98-595, Sec. 2, 98 Stat. 3132.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-595 amended section generally, striking out in subsec. (a) 'the Federal Maritime Commission or' before 'the Secretary of Transportation', 'any member of the Commission, or any officer or employee thereof designated by it or' before 'the Secretary', and 'the Commission or' before 'the Secretary shall be paid', and in subsec. (b), striking out 'the Commission or' before 'the Secretary,' substituting 'the Secretary' for 'it or he', and striking out 'the Commission or' before 'the Secretary' in two places. Pub. L. 98-237 provided that this section is repealed wherever it applies to the Federal Maritime Commission, any member of the Commission, or any member, officer, or employee designated by the Commission. See Amendment note above for Pub. L. 98-595. 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(72)(A)-(C), substituted 'Federal Maritime Commission or the Secretary of Transportation' for 'Commission'; inserted 'or the Secretary,' after 'designated by it,' and 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (b). Pub. L. 97-31, Sec. 12(72)(C), (D), inserted 'or the Secretary,' after 'Commission' in three places and substituted 'it or he' for 'it'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1970 - Subsec. (c). Pub. L. 91-452 struck out subsec. (c) which related to the immunity from prosecution of any person compelled to testify or produce evidence, document or otherwise, after claiming his privilege against self-incrimination. 1938 - Subsec. (a). Act June 23, 1938, struck out 'within the Federal judicial district in which the witness resides' after 'place of hearing'. EFFECTIVE DATE OF 1970 AMENDMENT Amendment by Pub. L. 91-452 effective on sixtieth day following Oct. 15, 1970, and not to affect any immunity to which any individual is entitled under this section by reason of any testimony given before sixtieth day following Oct. 15, 1970, see section 260 of Pub. L. 91-452, set out as an Effective Date; Savings Provision note under section 6001 of Title 18, Crimes and Criminal Procedure. SAVINGS PROVISION Amendment by Pub. L. 98-237 not to affect suits filed before Mar. 20, 1984, or claims arising out of conduct engaged in before Mar. 20, 1984, and filed within 1 year after that date; and agreements, contracts, modifications, and exemptions approved or licenses issued by the Federal Maritime Commission prior to Mar. 20, 1984, to continue as if approved or issued under chapter 36 (Sec. 1701 et seq.) of this Appendix, but new agreements, contracts, and modifications to existing, pending, or new contracts or agreements to be considered under chapter 36 of this Appendix, see section 1719 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Subpoena, see rule 45, Title 28, Appendix, Judiciary and Judicial Procedure. CROSS REFERENCES Immunity of witnesses, see section 6001 et seq. of Title 18, Crimes and Criminal Procedure. ------DocID 53851 Document 752 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1125 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1125. Acquisition of vessels -STATUTE- The Secretary of Transportation is authorized to acquire by purchase or otherwise such vessels constructed in the United States as he may deem necessary to establish, maintain, improve, or effect replacements upon any service, route, or line in the foreign commerce of the United States determined to be essential under section 1121 of this Appendix, and to pay for the same out of his construction fund: Provided, That the price paid therefor shall be based upon a fair and reasonable valuation, but it shall not exceed by more than 5 per centum the cost of such vessel to the owner (excluding any construction-differential subsidy and the cost of national defense features paid by the Secretary of Transportation) plus the actual cost previously expended thereon for reconditioning less depreciation based upon a twenty-five year life expectancy of the vessel. No such vessel shall be acquired by the Secretary of Transportation unless the Secretary of the Navy has certified to the Secretary of Transportation that such vessel is suitable for economical and speedy conversion into a naval or military auxiliary, or otherwise suitable for the use of the United States in time of war or national emergency. Every vessel acquired under authority of this section that is not documented under the laws of the United States at the time of its acquisition shall be so documented as soon as practicable. -SOURCE- (June 29, 1936, ch. 858, title II, Sec. 215, as added June 23, 1938, ch. 600, Sec. 4, 52 Stat. 954, and amended June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(73), 95 Stat. 160.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' wherever appearing, 'his' for 'it', and 'his' for 'its' in first sentence. In first sentence after 'United States as', 'he' (rather than 'his') was substituted for 'it' as the probable intent of Congress. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1960 - Pub. L. 86-518 substituted 'twenty-five year life expectancy' for 'twenty-year life expectancy'. EFFECTIVE DATE OF 1960 AMENDMENT Section 8(a) of Pub. L. 86-518 provided that: 'The amendments made by this Act (amending this section, sections 1152, 1153, 1156, 1157, 1159, 1160, 1175, 1177, 1181, 1195, 1204, 1274, and 1276 of this Appendix, section 1276a of former Title 46, Shipping, and section 1737 of Title 50, Appendix, War and National Defense) shall apply only to vessels delivered by the shipbuilder on or after January 1, 1946, and with respect to such vessels shall become effective on January 1, 1960. With respect to vessels delivered by the shipbuilder before January 1, 1946, the provisions of the Merchant Marine Act, 1936 (this chapter), existing immediately before the date of enactment of this Act (June 12, 1960) shall continue in effect.' -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949 and Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix. -MISC5- RATE OF DEPRECIATION FOR VESSELS DELIVERED BY SHIPBUILDER ON OR AFTER JANUARY 1, 1946, AND BEFORE JANUARY 1, 1960 Section 8(b) of Pub. L. 86-518 provided that with regard to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and before Jan. 1, 1960, depreciation under this section and sections 1152(g), 1157, 1160(d), 1177(b), 1181(c), 1195, and 1204 of this Appendix and section 1276a(4) of former Title 46, Shipping, was generally to be taken for the period prior to Jan. 1, 1960, at the rate provided by this chapter, as it existed immediately prior to the amendments made by Pub. L. 86-518, and for the period after Jan. 1, 1960, such depreciation was generally to be taken on the basis of the remaining years of a useful life of twenty-five years unless the vessel was reconstructed or reconditioned in which event such depreciation, from the time of such reconstruction or reconditioning, was generally to be taken on the basis of the remaining years of a useful life of the vessel determined jointly by the Secretary of Commerce and the Secretary of the Treasury. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960; AMENDMENT OF CONTRACT DEALING WITH VESSELS HAVING EXTENDED LIFE Section 8(c) of Pub. L. 86-518, as amended by Pub. L. 88-225, Dec. 23, 1963, 77 Stat. 469, provided that any contract, commitment to insure a mortgage under subchapter XI of this chapter, or mortgage, between any person and the United States or any agency thereof, or any mortgage insurance contract under subchapter XI of this chapter, which was entered into prior to June 12, 1960 and which would have been affected if the provisions of the amendments made by Pub. L. 86-518 (see Effective Date of 1960 Amendment note above) were applicable thereto, could, at the request of such person agreed to by any third parties in interest, or at the request of the mortgagor agreed to by the mortgagee in the case of such a mortgage insurance contract, made within one hundred and eighty days after June 12, 1960 to the agency of the United States holding such contract, be revised to be in accordance with the law as amended by Pub. L. 86-518, with respect to such of the vessels covered thereby as were designated by the applicant, that any such revision was to provide with respect to the amendments to this section and sections 1152(g), 1157, 1160(d), 1177(b), 1181(c), 1195, and 1204 of this Appendix and section 1276a(4) of former Title 46, Shipping, that depreciation for the period prior to Jan. 1, 1960, was to be taken at the rate provided by the Merchant Marine Act, 1936, act June 29, 1936, ch. 858, 49 Stat. 1985, prior to the amendments made by Pub. L. 86-518, and that the remaining depreciation was to be taken for the period beginning Jan. 1, 1960, on the basis of the remaining years of a useful life of twenty-five years, unless the vessel was reconstructed or reconditioned, in which event such depreciation from the time of such reconstruction or reconditioning was to be taken on the basis of the remaining years of a useful life of the vessel determined jointly by the Secretary of Commerce and the Secretary of the Treasury, that any such revision was to provide with respect to any remaining unpaid debts that such unpaid debts were to be paid in equal annual installments over the remaining years of a useful life of twenty-five years, and that provisions in such contracts affecting vessels covered by Pub. L. 86-518 providing for refund of construction-differential subsidy for domestic operations under section 1156 of this Appendix and costs of national defense features for commercial use were to be amended so that for such refund payments made for the period after Dec. 31, 1959, the base upon which such refund payments were computed annually thereafter were to be the undepreciated amount of subsidy or the national defense feature, as the case may be, as at Dec. 31, 1959, divided by the years of life of the vessels as provided under Pub. L. 86-518, remaining after Dec. 31, 1959. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Section 9 of Pub. L. 86-518 provided that: 'Nothing in any amendment made by this Act (see Effective Date of 1960 Amendment note above) shall operate or be interpreted to change from twenty to twenty-five years the provisions of the Merchant Marine Act, 1936, as amended (this chapter), relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1152 of this Appendix. ------DocID 53852 Document 753 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1125a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1125a. Construction, repair, etc., of vessels for Government agencies -STATUTE- The Secretary of Transportation is authorized to construct, reconstruct, repair, equip, and outfit, by contract or otherwise, vessels or parts thereof, for any other department or agency of the Government, to the extent that such other department or agency is authorized by law to do so for its own account, and any obligations heretofore or hereafter incurred by the Secretary for any of the aforesaid purposes shall not diminish or otherwise affect any contract authorization granted to the Secretary: Provided, The obligations incurred or the expenditures made are charged against and, to the amount of such obligation or expenditure, diminish the existing appropriation or contract authorization of such department or agency. -SOURCE- (Feb. 6, 1941, ch. 5, Sec. 4, 55 Stat. 6; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(74), 95 Stat. 160.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' the first time it appeared and 'Secretary' for 'Commission' the next two times it appeared. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949 and Reorg. Plan No. 21 of 1950, set out under section 1111 of this Appendix. ------DocID 53853 Document 754 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1126-1 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER II -HEAD- Sec. 1126-1. Training of future naval officers under Naval Reserve Officer Training Corps programs at merchant marine academies for promotion of maximum integration of naval and merchant marine seapower of Nation -STATUTE- (a) It is the policy of the United States that the United States Navy and the Merchant Marine of the United States work closely together to promote the maximum integration of the total seapower forces of the Nation. In furtherance of this policy, it is necessary and desirable that special steps be taken to assure that Naval Reserve Officer Training Corps programs (for training future naval officers) be maintained at Federal and State merchant marine academies. (b) It is the sense of the Congress that the Secretary of the Navy should work with the Maritime Administrator and the administrators of the several merchant marine academies to assure that the training available at these academies is consistent with Navy standards and needs. -SOURCE- (Pub. L. 94-361, title VI, Sec. 603, July 14, 1976, 90 Stat. 929; Pub. L. 97-31, Sec. 12(76), Aug. 6, 1981, 95 Stat. 160.) -COD- CODIFICATION Section was enacted as part of Pub. L. 94-361, popularly known as the Department of Defense Appropriation Authorization Act, 1977, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Subsec. (b). Pub. L. 97-31 substituted 'Maritime Administrator' for 'Assistant Secretary of Commerce for Maritime Affairs'. ------DocID 53854 Document 755 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER III -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER III -HEAD- SUBCHAPTER III - AMERICAN SEAMEN ------DocID 53855 Document 756 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1131 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER III -HEAD- Sec. 1131. Manning and wage scales; subsidy contracts -STATUTE- (a) Investigation of wages and working conditions; establishment of wage and manning scales; incorporation in subsidy contracts The Secretary of Transportation is authorized and directed to investigate the employment and wage conditions in ocean-going shipping and, after making such investigation and after appropriate hearings, to incorporate in the contracts authorized under subchapters VI and VII of this chapter minimum manning scales and minimum wage scales, and minimum working conditions for all officers and crews employed on all types of vessels receiving an operating-differential subsidy. After such minimum manning and wage scales, and working conditions shall have been adopted by the Secretary of Transportation, no change shall be made therein by the Secretary of Transportation except upon public notice of the hearing to be had, and a hearing by the Secretary of Transportation of all interested parties, under such rules as the Secretary of Transportation shall prescribe. The duly elected representatives of the organizations certified as the proper collective bargaining agencies shall have the right to represent the employees who are members of their organizations at any such hearings. Every contractor receiving an operating-differential subsidy shall post and keep posted in a conspicuous place on each such vessel operated by such contractor a printed copy of the minimum manning and wage scales, and working conditions prescribed by his contract and applicable to such vessel: Provided, however, That any increase in the operating expenses of the subsidized vessel occasioned by any change in the wage or manning scales or working conditions as provided in this section shall be added to the operating-differential subsidy previously authorized for the vessel. (b) Subsidy contracts; provisions relative to officers and crew Every contract executed under authority of subchapters VI and VII or this chapter shall require - (1) Insofar as is practicable, officers' living quarters shall be kept separate and apart from those furnished for members of the crew; (2) Licensed officers and unlicensed members of the crew shall be entitled to make complaints or recommendations to the Secretary of Transportation providing they file such complaint or recommendation directly with the Secretary of Transportation, or with their immediate superior officer who shall be required to forward such complaint or recommendation with his remarks to the Secretary of Transportation, or with the authorized representatives of the respective collective bargaining agencies; (3) Licensed officers who are members of the United States Naval Reserve shall wear on their uniforms such special distinguishing insignia as may be approved by the Secretary of the Navy; officers being those men serving under licenses issued by the Bureau of Marine Inspection and Navigation or the Coast Guard; (4) The uniform stripes, decoration, or other insignia shall be of gold braid or woven gold or silver material, to be worn by officers, and no member of the ship's crew other than licensed officers shall be allowed to wear any uniform with such officer's identifying insignia; (5) No discrimination shall be practiced against licensed officers, who are otherwise qualified, because of their failure to qualify as members of the United States Naval Reserve. -SOURCE- (June 29, 1936, ch. 858, title III, Sec. 301, 49 Stat. 1992; June 23, 1938, ch. 600, Sec. 5, 6, 52 Stat. 954, 955; 1946 Reorg. Plan No. 3, Sec. 101-104, eff. July 16, 1946, 11 F.R. 7875, 60 Stat. 1097; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(82), 95 Stat. 160.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in five places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (b)(2). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in three places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note set out below. 1938 - Subsec. (a). Act June 23, 1938, Sec. 5, substituted 'minimum working conditions' for 'reasonable working conditions,' struck out provisions which required a formal complaint before any change in scales or working conditions, and permitted representatives of organizations certified as the proper collective bargaining agencies to represent employees at hearings. Subsec. (b). Act June 23, 1938, Sec. 6, struck out provisions which permitted complaints and recommendations to be made to the Coast Guard or the Department of Labor, and which required licensed officers to take their meals in the main dining salon of the vessel. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. Coast Guard transferred to Department of Transportation, and functions, powers, and duties relating to Coast Guard of Secretary of the Treasury and of other officers and offices of Department of the Treasury transferred to Secretary of Transportation by Pub. L. 89-670, Sec. 6(b)(1), Oct. 15, 1966, 80 Stat. 938. Section 6(b)(2) of Pub. L. 89-670, however, provided that notwithstanding such transfer of functions, Coast Guard shall operate as part of Navy in time of war or when President directs as provided in section 3 of Title 14, Coast Guard. See section 108 of Title 49, Transportation. For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Functions of Coast Guard, and Commandant of Coast Guard, excepted from transfer when Coast Guard is operating as part of Navy under sections 1 and 3 of Title 14. Phrase 'or the Coast Guard' inserted in subsec. (b)(3) on authority of Reorg. Plan No. 3 of 1946, Sec. 101-104, set out as a note preceding section 3 of this Appendix. ------DocID 53856 Document 757 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER V -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- SUBCHAPTER V - CONSTRUCTION-DIFFERENTIAL SUBSIDY -SECREF- SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 1161, 1191, 1193, 1204, 1212, 1228, 1244, 1274 of this Appendix. ------DocID 53857 Document 758 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1151 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1151. Subsidy authorized for vessels to be operated in foreign trade -STATUTE- (a) Application for subsidy for construction; conditions precedent to granting Any proposed ship purchaser who is a citizen of the United States or any shipyard of the United States may make application to the Secretary of Transportation for a construction-differential subsidy to aid in the construction of a new vessel to be used in the foreign commerce of the United States. No such application shall be approved by the Secretary of Transportation unless he determines that (1) the plans and specifications call for a new vessel which will meet the requirements of the foreign commerce of the United States, will aid in the promotion and development of such commerce, and be suitable for use by the United States for national defense or military purposes in time of war or national emergency; (2) if the applicant is the proposed ship purchaser, the applicant possesses the ability, experience, financial resources, and other qualifications necessary for the operation and maintenance of the proposed new vessel, and (3) the granting of the aid applied for is reasonably calculated to carry out effectively the purposes and policy of this chapter. The contract of sale, and the mortgage given to secure the payment of the unpaid balance of the purchase price shall not restrict the lawful or proper use or operation of the vessel except to the extent expressly required by law. The Secretary of Transportation may give preferred consideration to applications that will tend to reduce construction-differential subsidies and that propose the construction of ships of higher transport capability and productivity. (b) Submission of plans to Navy Department; certification of approval The Secretary of Transportation shall submit the plans and specifications for the proposed vessel to the Navy Department for examination thereof and suggestions for such changes therein as may be deemed necessary or proper in order that such vessel shall be suitable for economical and speedy conversion into a naval or military auxiliary, or otherwise suitable for the use of the United States Government in time of war or national emergency. If the Secretary of the Navy approves such plans and specifications as submitted, or as modified, in accordance with the provisions of this subsection, he shall certify such approval to the Secretary of Transportation. (c) Application for subsidy for reconstruction or reconditioning; conditions precedent to granting; contracts Any citizen of the United States or any shipyard of the United States may make application to the Secretary of Transportation for a construction-differential subsidy to aid in reconstructing or reconditioning any vessel that is to be used in the foreign commerce of the United States. If the Secretary of Transportation, in the exercise of his discretion, shall determine that the granting of the financial aid applied for is reasonably calculated to carry out effectively the purposes and policy of this chapter, the Secretary of Transportation may approve such application and enter into a contract or contracts with the applicant therefor providing for the payment by the United States of a construction-differential subsidy that is to be ascertained, determined, controlled, granted, and paid, subject to all the applicable conditions and limitations of this subchapter and under such further conditions and limitations as may be prescribed in the rules and regulations of the Secretary of Transportation has adopted as provided in section 1114(b) of this Appendix; but the financial aid authorized by this subsection shall be extended to reconstruction or reconditioning only in exceptional cases and after a thorough study and a formal determination by the Secretary of Transportation that the proposed reconstruction or reconditioning is consistent with the purposes and policy of this chapter. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 501, 49 Stat. 1995; June 23, 1938, ch. 600, Sec. 8, 52 Stat. 955; July 17, 1952, ch. 939, Sec. 1, 2, 66 Stat. 760, 761; Oct. 21, 1970, Pub. L. 91-469, Sec. 6, 35(a), (c), (d), 84 Stat. 1019, 1035; Dec. 31, 1970, Pub. L. 91-603, Sec. 4(a), 84 Stat. 1675; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(84), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Pub. L. 91-469, Sec. 35(a), substituted 'Secretary of Commerce' for 'Commission', twice in subsecs. (a) and (b) and five times in subsec. (c). Subsec. (a). Pub. L. 91-603 substituted 'for the operation and maintenance of' for 'to enable it to operate and maintain' in cl. (2). Pub. L. 91-469, Sec. 6(1), 35(c), substituted 'Any proposed ship purchaser who is a citizen of the United States or any shipyard of the United States' for 'Any citizen of the United States', inserted in subd. (2) 'if the applicant is the proposed ship purchaser,' struck out of cl. (3) 'to replace wornout or obsolete tonnage with new and modern ships, or otherwise' after 'reasonably calculated', and authorized the Secretary of Commerce to give preferred consideration to applications that will tend to reduce construction-differential subsidies and that propose the construction of ships of high transport capability and productivity; and substituted 'he' for 'it' before 'determines', respectively. Subsec. (c). Pub. L. 91-469, Sec. 6(2), 35(d), inserted 'or any shipyard of the United States' after 'Any citizen of the United States' and substituted 'his' for 'its' before 'discretion', respectively. 1952 - Subsecs. (a), (c). Act July 17, 1952, Sec. 1, 2, struck out requirements as to essentiality of the service, route, or line to be served by the vessel and provided that the lawful or proper use of the vessel may not be restricted. 1938 - Subsec. (c). Act June 23, 1938, inserted reference to section 1114(b). COMMISSION ON AMERICAN SHIPBUILDING Section 41 of Pub. L. 91-469 established a Commission on American Shipbuilding, provided for the appointment and compensation of an Executive Director of the commission and other personnel, empowered the commission to study American shipbuilding with a view toward increased productivity and reduced costs, and to make a report to the President and Congress no later than three years after Oct. 21, 1970 of the commission's findings and recommendations, and provided that the commission was to terminate sixty days after filing its report. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1152, 1173 of this Appendix. ------DocID 53858 Document 759 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1152 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1152. Construction of vessels; bids; subsidies -STATUTE- (a) Approval of bids; contract with bidder; acceptance of negotiated price; shipyard records, availability; contract with applicant or qualified citizen for purchase of vessel If the Secretary of the Navy certifies his approval under section 1151(b) of this Appendix, and the Secretary of Transportation approves the application, he may secure bids for the construction of the proposed vessel according to the approved plans and specifications. If the bid of the shipbuilder who is the lowest responsible bidder is determined by the Secretary of Transportation to be fair and reasonable, the Secretary of Transportation may approve such bid, and if such approved bid is accepted by the proposed ship purchaser, the Secretary of Transportation is authorized to enter into a contract with the successful bidder for the construction, outfitting, and equipment of the proposed vessel, and for the payment by the Secretary of Transportation to the shipbuilder, on terms to be agreed upon in the contract, of the contract price of the vessel, out of the construction fund hereinbefore referred to, or out of other available funds. Notwithstanding the provisions of the first sentence of section 1155 of this Appendix with respect to competitive bidding, the Secretary of Transportation is authorized to accept a price for the construction of the ship which has been negotiated between a shipyard and proposed ship purchaser if (1) the proposed ship purchaser and the shipyard submit backup cost details and evidence that the negotiated price is fair and reasonable; (2) the Secretary of Transportation finds that the negotiated price is fair and reasonable; and (3) the shipyard agrees that the Comptroller General of the United States or any of his duly authorized representatives shall, until the expiration of three years after final payment have access to and the right to examine any pertinent books, documents, papers, and records of the shipyard or any of its subcontractors related to the negotiation or performance of any contract or subcontract negotiated under this subsection and will include in its subcontracts a provision to that effect. Concurrently with entering into such contract with the shipbuilder, the Secretary of Transportation is authorized to enter into a contract for the sale of such vessel upon its completion, to the applicant if he is the proposed ship purchaser and if not to another citizen of the United States, if the Secretary of Transportation determines that such citizen possesses the ability, experience, financial resources, and other qualifications necessary for the operation and maintenance of the vessel at a price corresponding to the estimated cost, as determined by the Secretary of Transportation pursuant to the provisions of this chapter, of building such vessel in a foreign shipyard. (b) Basis for fixing subsidy; cost of construction in foreign yards; annual recomputation and publication of foreign cost; limitation on construction differential; report on American shipbuilding industry The amount of reduction in selling price which is herein termed 'construction differential subsidy' shall equal, but not exceed, the excess of the bid of the shipbuilder constructing the proposed vessel (excluding the cost of any features incorporated in the vessel for national defense uses, which shall be paid by the Secretary in addition to the subsidy), over the fair and reasonable estimate of cost, as determined by the Secretary, of the construction of that type vessel if it were constructed under similar plans and specifications (excluding national defense features as above provided) in a foreign shipbuilding center which is deemed by the Secretary to furnish a fair and representative example for the determination of the estimated foreign cost of construction of vessels of the type proposed to be constructed. The Secretary of Transportation shall recompute such estimated foreign cost annually unless, in the opinion of the Secretary, there has been a significant change in shipbuilding market conditions. The Secretary shall publish notice of his intention to compute or recompute such estimated foreign cost and shall give interested persons, including but not limited to shipyards and shipowners and associations thereof, an opportunity to file written statements. The Secretary's consideration shall include, but not be limited to, all relevant matter so filed, and his determination shall include or be accompanied by a concise explanation of the basis of his determination. The construction differential approved and paid by the Secretary shall not exceed 50 per centum of the cost of constructing, reconstructing, or reconditioning the vessel (excluding the cost of national defense features). If the Secretary finds that the construction differential exceeds, in any case, the foregoing percentage of such cost, the Secretary may negotiate with any bidder (whether or not such person is the lowest bidder) and may contract with such bidder (notwithstanding the first sentence of section 1155 of this Appendix) for the construction, reconstruction, or reconditioning of the vessel involved in a domestic shipyard at a cost which will reduce the construction differential to such percentage or less. In the event that the Secretary has reason to believe that the bidding in any instance is collusive, he shall report all of the evidence on which he acted (1) to the Attorney General of the United States, and (2) to the President of the Senate and to the Speaker of the House of Representatives if the Congress shall be in session or if the Congress shall not be in session, then to the Secretary of the Senate and Clerk of the House, respectively. (c) Terms of sale of vessel to purchaser In such contract of sale between the purchaser and the Secretary of Transportation, the purchaser shall be required to make cash payments to the Secretary of Transportation of not less than 25 per centum of the price at which the vessel is sold to the purchaser. The cash payments shall be made at the time and in the same proportion as provided for the payments on account of the construction cost in the contract between the shipbuilder and the Secretary of Transportation. The purchaser shall pay, not less frequently than annually, interest on those portions of the Secretary of Transportation's payments as made to the shipbuilder which are chargeable to the purchaser's portion of the price of the vessel (after deduction of the purchaser's cash payments) at a rate not less than (i) a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the average maturities of such loans, adjusted to the nearest one-eighth of 1 per centum, plus (ii) an allowance adequate in the judgment of the Secretary of Transportation to cover administrative costs. The balance of such purchase price shall be paid by the purchaser, within twenty-five years after delivery of the vessel and in not to exceed twenty-five equal annual installments, the first of which shall be payable one year after the delivery of the vessel by the Secretary of Transportation to the purchaser. Interest at the rate per annum applicable to payments that are chargeable to the purchaser's portion of the price of the vessel shall be paid on all such installments of the purchase price remaining unpaid. (d) Repealed. Pub. L. 87-877, Sec. 2(a), Oct. 24, 1962, 76 Stat. 1200 (e) Construction in navy yards; sales to citizens; terms If no bids are received for the construction, outfitting, or equipping of such vessel, or if it appears to the Secretary of Transportation that the bids received from privately owned shipyards of the United States are collusive, excessive, or unreasonable, and if a citizen of the United States agrees to purchase said vessel as provided in this section, then, to provide employment for citizens of the United States, the Secretary of Transportation may have such vessel constructed, outfitted, or equipped at not in excess of the actual cost thereof in a navy yard of the United States under such regulations as may be promulgated by the Secretary of the Navy and the Secretary of Transportation. In such event the Secretary of Transportation is authorized to pay for any such vessel so constructed from his construction fund. The Secretary of Transportation is authorized to sell any vessel so constructed, outfitted, or equipped in a navy yard to a citizen of the United States for the fair and reasonable value thereof, but at not less than the cost thereof less the equivalent to the construction differential subsidy determined as provided by subsection (b) of this section, such sale to be in accordance with all the provisions of this subchapter. (f) Survey of shipbuilding capability; correction of inadequacies; reimbursement of certain vessel construction and delivery expenses The Secretary of Transportation, with the advice of and in coordination with the Secretary of the Navy, shall at least once each year, as required for purposes of this chapter, survey the existing privately owned shipyards capable of merchant ship construction, or review available data on such shipyards if deemed adequate, to determine whether their capabilities for merchant ship construction, including facilities and skilled personnel, provide an adequate mobilization base at strategic points for purposes of national defense and national emergency. The Secretary of Transportation, in connection with ship construction, reconstruction, reconditioning, or remodeling under this subchapter and subchapter VII of this chapter, upon a basis of a finding that the award of the proposed construction, reconstruction, reconditioning, or remodeling work will remedy an existing or impending inadequacy in such mobilization base as to the capabilities and capacities of a shipyard or shipyards at a strategic point, and after taking into consideration the benefits accruing from standardized construction, the conditions of unemployment, and the needs and reasonable requirements of all shipyards, may allocate such construction, reconstruction, reconditioning, or remodeling to such yard or yards in such manner as he may determine to be fair, just, and reasonable to all sections of the country, subject to the provisions of this subsection. In the allocation of construction work to such yards as herein provided, the Secretary of Transportation may, after first obtaining competitive bids for such work in compliance with the provisions of this chapter, negotiate with the bidders and with other shipbuilders concerning the terms and conditions of any contract for such work, and is authorized to enter into such contract at a price deemed by the Secretary of Transportation to be fair and reasonable. Any contract entered into by the Secretary of Transportation under the provisions of this subsection shall be subject to all of the terms and conditions of this chapter, excepting those pertaining to the awarding of contracts to the lowest bidder which are inconsistent with the provisions of this subsection. In the event that a contract is made providing for a price in excess of the lowest responsible bid which otherwise would be accepted, such excess shall be paid by the Secretary of Transportation as a part of the cost of national defense, and shall not be considered as a part of the construction-differential subsidy. In the event that a contract is made providing for a price lower than the lowest responsible bid which otherwise would be accepted, the construction-differential subsidy shall be computed on the contract price in lieu of such bid. If, as a result of allocation under this subsection, the purchaser incurs expenses for inspection and supervision of the vessel during construction and for the delivery voyage of the vessel in excess of the estimated expenses for the same services that he would have incurred if the vessel had been constructed by the lowest responsible bidder the Secretary of Transportation (with respect to construction under this subchapter, except section 1159 of this Appendix) shall reimburse the purchaser for such excess, less one-half of any gross income the purchaser receives that is allocable to the delivery voyage minus one-half of the extra expenses incurred to produce such gross income, and such reimbursement shall not be considered part of the construction-differential subsidy: Provided, That no interest shall be paid on any refund authorized under this chapter. If the vessel is constructed under section 1159 of this Appendix the Secretary of Transportation shall reduce the price of the vessel by such excess, less one-half of any gross income (minus one-half of the extra expenses incurred to produce such gross income) the purchaser receives that is allocable to the delivery voyage. In the case of a vessel that is not to receive operating-differential subsidy, the delivery voyage shall be deemed terminated at the port where the vessel begins loading. In the case of a vessel that is to receive operating-differential subsidy, the delivery voyage shall be deemed terminated when the vessel begins loading at a United States port in an essential service. In either case, however, the vessel owner shall not be compensated for excess vessel delivery costs in an amount greater than the expenses that would have been incurred in delivering the vessel from the shipyard at which it was built to the shipyard of the lowest responsible bidder. If as a result of such allocation, the expenses the purchaser incurs with respect to such services are less than the expenses he would have incurred for such services if the vessel had been constructed by the lowest responsible bidder, the purchaser shall pay to the Secretary of Transportation an amount equal to such reduction and, if the vessel was built with the aid of construction-differential subsidy, such payment shall not be considered a reduction of the construction-differential subsidy. (g) Sale of vessels acquired by Secretary Upon the application of any citizen of the United States to purchase any vessel acquired by the Secretary of Transportation under the provisions of section 1125 of this Appendix, the Secretary of Transportation is authorized to sell such vessel to the applicant for the fair and reasonable value thereof, but at not less than the cost thereof to the Secretary of Transportation less depreciation at the rate of 4 per centum per annum from the date of completion, excluding the cost of national-defense features added by the Secretary of Transportation, less the equivalent of any applicable construction-differential subsidy as provided by subsection (b) of this section, such sale to be in accordance with all the provisions of this subchapter. Such vessel shall thereupon be eligible for an operating-differential subsidy under subchapter VI of this chapter, notwithstanding the provisions of section 1171(a)(1), and section 1180(1) of this Appendix, or any other provision of law. (h) Installation or removal of national defense features; title to such features The Secretary of Transportation is authorized to construct, purchase, lease, acquire, store, maintain, sell, or otherwise dispose of national defense features intended for installation on vessels. The Secretary of Transportation is authorized to install or remove such national defense features on any vessel (1) which is in the National Defense Reserve Fleet as defined by section 1744(a) of the Appendix to title 50, (2) which is requisitioned, purchased, or chartered under section 1242 of this Appendix, (3) which serves as security for the guarantee of an obligation by the Secretary of Transportation under subchapter XI of this chapter, or (4) which is the subject of an agreement between the owner of such vessel and the Secretary of Transportation to install or remove such national defense features. Title to such national defense features which the Secretary of Transportation determines are not to be permanently incorporated in a vessel shall not be affected by such installation or removal unless otherwise transferred in accordance with the provisions of this subchapter. (i) Plans, specifications, and proposals for national defense features; certification of approval The Secretary of Transportation shall submit the plans and specifications for such national defense features and the proposals for their acquisition, storage, utilization, or disposition to the Navy Department for examination thereof and suggestion for such changes therein as may be deemed necessary or proper in order that such features shall be suitable for the use of the United States Government in time of war or national emergency. If the Secretary of the Navy approves such plans, specifications, or proposals as submitted, or as modified in accordance with the provisions of this subsection, he shall certify such approval to the Secretary of Transportation. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 502, 49 Stat. 1996; June 23, 1938, ch. 600, Sec. 9-14, 52 Stat. 955-957; Aug. 4, 1939, ch. 417, Sec. 6, 53 Stat. 1183; July 26, 1956, ch. 737, 70 Stat. 657; June 12, 1960, Pub. L. 86-518, Sec. 1, 2, 74 Stat. 216; July 7, 1960, Pub. L. 86-607, Sec. 1, 74 Stat. 362; Oct. 24, 1962, Pub. L. 87-877, Sec. 1, 2(a), (e), (f), 76 Stat. 1200, 1201; July 11, 1964, Pub. L. 88-370, 78 Stat. 313; Aug. 10, 1964, Pub. L. 88-410, Sec. 1, 78 Stat. 385; Aug. 14, 1965, Pub. L. 89-127, 79 Stat. 519; Sept. 19, 1966, Pub. L. 89-589, 80 Stat. 811; Oct. 12, 1968, Pub. L. 90-572, 82 Stat. 1004; July 8, 1969, Pub. L. 91-40, 83 Stat. 44; Oct. 21, 1970, Pub. L. 91-469, Sec. 7, 35(a), (e)-(g), 84 Stat. 1019, 1035, 1036; Dec. 31, 1970, Pub. L. 91-603, Sec. 4(b), 84 Stat. 1675; July 10, 1973, Pub. L. 93-71, 87 Stat. 169; July 31, 1976, Pub. L. 94-372, Sec. 2, 3, 90 Stat. 1042; Mar. 17, 1980, Pub. L. 96-210, 94 Stat. 100; Oct. 7, 1980, Pub. L. 96-387, Sec. 3, 94 Stat. 1545; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(84), (85), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Subsecs. (a), (b). Pub. L. 97-31, Sec. 12(84), substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. Subsec. (c). Pub. L. 97-31, Sec. 12(84), (85), substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing, and 'Secretary of Transportation's' for 'Secretary of Commerce's'. Subsecs. (e) to (i). Pub. L. 97-31, Sec. 12(84), substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1980 - Subsec. (a). Pub. L. 96-210 struck out ', at any time prior to June 30, 1979,' before 'to accept a price for'. Subsecs. (h), (i). Pub. L. 96-387 added subsecs. (h) and (i). 1976 - Subsec. (a). Pub. L. 94-372, Sec. 2, in third sentence, substituted 'at any time prior to June 30, 1979' for 'at any time prior to June 30, 1976', struck out former par. (i) relating to a negotiated price resulting in a construction-differential subsidy equal to or less than 45%, 43%, 41%, 39%, 37% and 35% for fiscal years 1971, 1972, 1973, 1974, 1975 and 1976, respectively, and redesignated former pars. (ii), (iii), and (iv) as (1), (2), and (3), respectively. Subsec. (b). Pub. L. 94-372, Sec. 3, substituted provisions limiting the construction differential to 50% (excluding costs for national defense features), and allowing the Secretary, where such differential is exceeded, to contract with any bidder (notwithstanding section 1155) to reduce the differential to within such percentage for provisions limiting the differential to 55% except for passenger vessels having characteristics set forth in section 1153, which shall be 60%, limiting the differential after June 30, 1970 to 50%, permitting the Secretary to negotiate and contract with any bidder, regardless of section 1155 if in the years 1972, 1973, 1974, 1975 and 1976 a specified percentage is exceeded, prohibiting contracts commencing in 1972, where such differential exceeds such limits unless consideration has been given to the possibility that the commitment to ship construction programs may not be continued under existing limits, and requiring notification to the Commission on American Shipbuilding if the Secretary finds it necessary to enter into such contracts. 1973 - Subsec. (a). Pub. L. 93-71 in third sentence, substituted 'June 30, 1976' for 'June 30, 1973' and limited vessel construction subsidy to 39 per centum in fiscal 1974, 37 per centum in fiscal 1975, and 35 per centum in fiscal 1976. 1970 - Pub. L. 91-469, Sec. 35(a), substituted 'Secretary of Commerce' for 'Commission', six times in subsec. (a), four times in subsec. (c), five times in subsec. (e), four times in subsec. (f), and four times in subsec. (g). Subsec. (a). Pub. L. 91-603 substituted 'for the operation and maintenance of' for 'to enable it to operate and maintain'. Pub. L. 91-469, Sec. 7(1), 35(e), struck out in first sentence ', on behalf of the applicant,' after 'may secure', substituted in second sentence 'proposed ship purchaser, the Secretary of Commerce' for 'applicant, the Commission', inserted conditions precedent to acceptance of negotiated price for ship construction in fiscal years 1971, 1972, and 1973, including availability of shipyard records in connection therewith, substituted in last sentence 'for the sale' for 'with the applicant for the purchase by him' before 'of such vessel', and authorized sale of vessel upon its completion to the applicant if he is the proposed ship purchaser and if not to another citizen, if the Secretary determines that such citizen possesses the necessary qualifications to enable it to operate and maintain the vessel; and substituted 'he' for 'it' before 'may secure', respectively. Subsec. (b). Pub. L. 91-469, Sec. 7(2), provided for recomputation of estimated foreign cost annually, publication of notice to compute or recompute such estimated foreign cost, offer of opportunity to interested persons to file written statements, consideration of relevant matter so filed, explanation of basis of determination, prohibition commencing with fiscal year 1972 of construction contracts requiring construction-differential in excess of prescribed percentages unless there is no likelihood of attaining the percentages and the commitment to the ship construction program may not be continued, notice to Commission on American Shipbuilding of execution of such a contract, and submission of a Commission report on the American shipbuilding industry within six months of the notice, substituted 'may equal' for 'shall equal', 'construction of that type vessel' for 'construction of the proposed vessel', 'exceeds the following percentages: in fiscal year 1971, 45 per centum; in fiscal year 1972, 43 per centum; in fiscal year 1973, 41 per centum; in fiscal year 1974, 39 per centum; in fiscal year 1975, 37 per centum; in fiscal year 1976 and thereafter, 35 per centum' for 'in any case exceeds the foregoing applicable percentage of such cost', and 'with such bidder, notwithstanding the provisions of the first sentence of section 1155 of this Appendix with respect to competitive bidding,' for 'on behalf of the applicant', and inserted 'with any bidder, whether or not such bidder is the lowest bidder,' after 'the Secretary may negotiate' and ', or as close thereto as possible' before 'or less'. Subsec. (c). Pub. L. 91-469, Sec. 7(3), 35(f), inserted 'of sale' after introductory phrase 'In such contract', in revising interest rate substituted provision for a rate not less than a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the average maturities of such loans, adjusted to the nearest one-eighth of 1 per centum plus an administrative cost allowance for prior rate of 3 1/2 per centum per annum, substituted in last sentence 'rate per annum applicable to payments that are chargeable to the purchaser's portion of the price of the vessel' for 'rate of 3 1/2 per centum per annum', 'purchaser' for 'applicant' in six places, 'purchaser's portion of the price' for 'applicant's purchase price', and 'purchaser's' for 'applicant's'; and substituted 'Secretary of Commerce's' for 'Commission's', respectively. Subsec. (e). Pub. L. 91-469, Sec. 7(4), 35(g), substituted 'a citizen of the United States' for 'the applicant' in first sentence and for 'an applicant' in third sentence and 'his' for 'its' in second sentence, respectively. Subsec. (f). Pub. L. 91-469, Sec. 7(5), in first par., substituted 'this subchapter and subchapter VII of this chapter' for 'subchapter VII of this chapter and section 1159 of this Appendix, and the Federal Maritime Board, in connection with ship construction, reconstruction, or reconditioning under this subchapter (except section 1159 of this Appendix),' and 'in such manner as he may determine' for 'in such manner as it may be determined' in second sentence; and in second par., substituted 'purchaser' for 'applicant' in six places and 'United States port in an essential service' for 'United States port on any essential service of the operator' in fourth sentence. Subsec. (g). Pub. L. 91-469, Sec. 7(6), substituted 'application' and 'any citizen of the United States' for 'agreement' and 'an applicant under this subchapter' in first sentence. 1969 - Subsec. (b). Pub. L. 91-40 substituted 'June 30, 1970' for 'June 30, 1969'. 1968 - Subsec. (b). Pub. L. 90-572 substituted 'June 30, 1969' for 'June 30, 1968'. 1966 - Subsec. (b). Pub. L. 89-589 substituted 'June 30, 1968' for 'June 30, 1966'. 1965 - Subsec. (b). Pub. L. 89-127 substituted 'June 30, 1966' for 'June 30, 1965'. 1964 - Subsec. (b). Pub. L. 88-370 substituted 'June 30, 1965' for 'June 30, 1964'. Subsec. (f). Pub. L. 88-410 provided for reimbursement of expenses incurred during construction and the delivery voyage of a vessel, if as a result of allocation under this subsection, they are in excess of the estimated expenses that would have been incurred if the vessel had been constructed by the lowest responsible bidder, less one-half of any gross income allocable to the delivery voyage, minus one-half the extra expenses incurred to produce such income, and that such reimbursement shall not be part of the construction-differential subsidy, that no interest be paid on any refund authorized, that if the vessel is constructed under section 1159 the price of the vessel is to be reduced by such excess expenses less such gross income, calculated as above, obtained on the delivery voyage, that if the vessel is not to receive the operating-differential subsidy the delivery voyage shall be deemed terminated at the port where the vessel begins loading, and if it does receive the subsidy, when the vessel begins loading at a United States port on any essential service of the operator, but in either case there is to be no compensation greater than the expenses that would have been incurred in delivering the vessel from the shipyard at which it was built to the one of the lowest bidder, that if the allocation results in a saving of expenses for the applicant, the applicant shall pay an equal amount to the Secretary, and if the vessel was built with the subsidy, such payment shall not be considered a reduction of the subsidy. 1962 - Subsec. (b). Pub. L. 87-877, Sec. 1, among other changes, substituted references to the Secretary, for references to the Federal Maritime Board, wherever appearing, and provided that in the reconstruction or reconditioning of a passenger vessel having the characteristics set forth in section 1153 of this Appendix, the construction differential shall not exceed 60 per centum of the cost, excluding national defense features, however, after June 30, 1964, the construction differential approved by the Secretary for any vessel shall not exceed 50 per centum of such cost. Subsec. (d). Pub. L. 87-877, Sec. 2(a), repealed subsec. (d) which provided for giving a preference to Pacific coast bidders in obtaining a subsidy and specified the conditions to be met therefor. Subsec. (f). Pub. L. 87-877, Sec. 2(e), (f), substituted 'at least once each year' for 'periodically', 'existing or impending inadequacy' for 'existing inadequacy', and struck out ', with the approval of the President,' before 'allocate such construction'. 1960 - Subsec. (b). Pub. L. 86-607, Sec. 1(1), increased the limitation on construction differential from 50 to 55 per centum of the construction cost of a vessel and provided for such percentage limitation in lieu of former 33 1/3 per centum of construction cost, increased to 50 per centum on affirmative vote of two Board members. Subsec. (c). Pub. L. 86-518, Sec. 1, substituted 'twenty-five' for 'twenty' in two places. Subsec. (d). Pub. L. 86-607, Sec. 1(2), increased the limitation on construction-differential from 50 to 55 per centum of the construction cost of a vessel. Subsec. (g). Pub. L. 86-518, Sec. 2, substituted 'at the rate of 4 per centum per annum' for 'based on a twenty-year life expectancy'. 1956 - Subsec. (f). Act July 26, 1956, substituted provisions that required Secretary of Commerce, with advice of Secretary of the Navy, to make periodic survey of privately owned shipyards to determine adequacy for providing mobilization base, and that any inadequacies would be corrected by Secretary of Commerce or Federal Maritime Board with the approval of the President by allocating work to such yards, for former provisions allowing periodic survey by the Federal Maritime Board of both Navy and privately owned shipyards. 1939 - Subsec. (b). Act Aug. 4, 1939, substituted 'a foreign shipbuilding center which is deemed by the Commission to furnish a fair and representative example for the determination of the estimated foreign cost of construction of vessels of the type proposed to be constructed' for 'a principal foreign shipbuilding center which may reasonably be availed of by the principal foreign competitors in the service in which the vessel is to be operated, and which is deemed by the Commission to furnish a fair and representative example for the determination of the estimated cost of construction in foreign countries of vessels of the type proposed to be constructed'. 1938 - Subsec. (a). Act June 23, 1938, Sec. 9, substituted 'of the contract price of the vessel' for 'the cost of the vessel'. Subsec. (b). Act June 23, 1938, Sec. 10, permitted negotiations and contracts to build vessels in domestic shipyards in cases where the construction differential exceeds 33 1/3 per centum or 50 per centum of the cost, and to require a report where there is reason to believe that the bidding is collusive. Subsec. (c). Act June 23, 1938, Sec. 11, among other changes, substituted 'of not less than 25 per centum of the price at which the vessel is sold to the applicant' for 'a sum equal to 25 per centum of the construction cost of the vessel paid by the Commission (excluding cost of national-defense features as above provided)', and required the applicant to pay, not less frequently than annually, interest at the rate of 3 1/2 per centum per annum on those portions of payments made to the shipbuilder which are chargeable to the applicant's purchase price of the vessel (after deduction of the applicant's cash payments). Subsec. (d). Act June 23, 1938, Sec. 12, substituted 'construction-differential subsidy' for 'construction subsidy', and inserted provisions relating to limitation on approval of construction-differential in excess of 50 per centum of the construction cost of the vessel paid by the Commission. Subsec. (f). Act June 23, 1938, Sec. 13, added subsec. (f). Subsec. (g). Act June 23, 1938, Sec. 14, added subsec. (g). EFFECTIVE DATE OF 1962 AMENDMENT Section 5 of Pub. L. 87-877 provided that: 'The amendment made by the first section of this Act (amending this section) shall be effective only with respect to contracts entered into with respect to (a) the construction of a vessel the keel of which was laid after June 30, 1959, or (b) the reconstruction or reconditioning of a vessel the shipyard contract for which was entered into after June 30, 1959, and the Secretary may, with the consent of the parties thereto, modify any such contract entered into prior to the date of the enactment of this Act (Oct. 24, 1962) to the extent authorized by the amendment made by this Act.' EFFECTIVE DATE OF 1960 AMENDMENTS Section 2 of Pub. L. 86-607, as amended by Pub. L. 87-222, Sept. 13, 1961, 75 Stat. 494, provided that: 'The amendment made by this Act (amending this section) shall be effective only with respect to any contract entered into not later than two years after the date of enactment of this Act (July 7, 1960) under the provisions of section 502 of the Merchant Marine Act, 1936 (this section), with respect to (a) the construction of a vessel the keel of which was laid, or (b) the reconstruction or reconditioning of a vessel the shipyard contract for which was entered into after June 30, 1959, and the Federal Maritime Board may, with the consent of the parties thereto, modify any such contract entered into prior to the date of enactment of the first amendment to Public Law 86-607 (74 Stat. 362) (Sept. 13, 1961), to the extent authorized by the amendment made by this Act, as amended.' Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. MODIFICATION OF CONTRACTS; CONDITIONS Section 2 of Pub. L. 88-410 provided that: 'The amendment made by this Act (amending this section) shall be effective with respect to any contract entered into under the provisions of section 502 of the Merchant Marine Act, 1936, as amended (this section), and the Secretary of Commerce shall, with the consent of the other parties thereto, modify any such contract entered into prior to the date of the enactment of this Act (Aug. 10, 1964) to the extent authorized by the amendment made by this Act, except that the Secretary shall not agree to any such modification which would result in a payment by the United States unless, within one year after enactment of this Act, application is made for such modification. No payment shall be made by the Secretary under the provisions of the amendment made by this Act with respect to any contract entered into after the date of enactment of this Act unless the recipient of such payment has agreed to the modification of any contract which was entered into prior to the date of enactment of this Act and to which such recipient was a party, and which, if modified under the authority of this section, would result in a payment to the United States.' CONTRACTS FOR NEW SHIP CONSTRUCTION AWARDED ON BIDS OPENED PRIOR TO OCTOBER 24, 1962 Section 2(a) of Pub. L. 87-877 provided in part: 'That the repeal of subsection (d) of section 502 of the Merchant Marine Act, 1936 (subsec. (d) of this section), shall not be effective with respect to contracts for new ship construction under title V of said Act (this subchapter) awarded on the basis of bids opened prior to the date of the enactment of this Act. (Oct. 24, 1962).' RATE OF DEPRECIATION FOR VESSELS DELIVERED BY SHIPBUILDER ON OR AFTER JANUARY 1, 1946, AND BEFORE JANUARY 1, 1960 For provisions relating to computation of depreciation with respect to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and before Jan. 1, 1960, see section 8(b) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. CONSTRUCTION AND SALE OF SUPERLINER PASSENGER VESSELS Pub. L. 85-521, July 15, 1958, 72 Stat. 359, provided: 'That it is necessary, in order to carry out the merchant marine policy declared in the Merchant Marine Act, 1936, as amended (this chapter), to have (a) a superliner passenger vessel equivalent to the steamship United States, to replace the steamship America for operation on an essential trade route in the North Atlantic, and (b) a superliner passenger vessel with capacity of approximately one thousand four hundred passengers for operation on an essential trade route in the Pacific Ocean. Nothing herein shall preclude the operation of either of these vessels in other areas, subject to the approval of the Federal Maritime Board. There is hereby authorized to be appropriated to the Department of Commerce such sums as may be necessary, to remain available until expended, for the construction, outfitting, and equipping of such vessels. 'Sec. 2. Concurrently with entering into contracts with shipbuilders for the construction of said vessels, the Board is authorized to enter into contracts for the sale of the vessels, fully outfitted and equipped, upon their completion, (a) with respect to the superliner passenger vessel equivalent to the steamship United States, to the United States Lines Company, for the fixed price of $47,000,000, and (b) with respect to the superliner passenger vessel for operation in the Pacific Ocean, to the American President Lines, Limited, for the fixed price of $34,000,000, or 45 per centum of the domestic construction cost of the vessel fully outfitted and equipped (excluding national defense features and escalation) whichever is the greater. The sales prices stated herein shall include the cost of stabilizers, all outfit and equipment not covered by the shipbuilders' bids, customary architects' and interior decorators' fees for design, inspection during construction, and all escalation provided for in the shipbuilders' bids: Provided, however, That such prices shall be increased in an amount equal to 45 per centum of any net change in the cost of the vessels (other than national defense features) arising out of any changes in the bid specifications approved by the Federal Maritime Board or any changes in the usual outfitting and equipping of the vessels if such changes are requested by the purchasers and approved by the Federal Maritime Board after the enactment hereof. Terms and conditions of payment of the purchase price shall be as provided for in sections 502(c) and 503 of the Merchant Marine Act, 1936, as amended (sections 1152(c) and 1153 of this Appendix). In order that such construction of the superliner passenger vessel equivalent to the steamship United States may be accomplished promptly, the Federal Maritime Board, in its discretion, may have such a vessel constructed, without further bidding, under outstanding bids which have hitherto been made by United States shipbuilders on a similar vessel. 'Sec. 3. Except as otherwise provided in this Act, the construction and sale of the superliner passenger vessels authorized by this Act shall be in accordance with the provisions of the Merchant Marine Act, 1936, as amended (this chapter). 'Sec. 4. For the purposes of this Act the words 'construction differential subsidy' used in the Merchant Marine Act, 1936, as amended (this chapter), shall mean the difference between the sales price paid by the purchaser hereunder and the cost of the vessel (less national defense features) including the cost of stabilizers, all outfit and equipment not covered by the shipbuilders' bids, customary architects' and interior decorators' fees for design, inspection during construction, and all escalation provided for in the shipbuilders' bids. 'Sec. 5. Any contract for an operating differential subsidy on the operation of a vessel constructed and sold under this Act shall be subject to the provisions of title VI of the Merchant Marine Act, 1936, as amended (subchapter VI of this chapter): Provided, however, That such contract shall provide that, if at the end of any recapture period, the net profits on the operation of such vessel for such recapture period, computed without regard to profits or losses on other vessels operated by the contractor, exceed 10 per centum per annum on a cumulative basis upon the contractor's capital necessarily employed in the operation of such vessel, as determined by the Federal Maritime Board, the contractor shall account to the United States for an amount equal to 75 per centum of such excess profits.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1154 of this Appendix. ------DocID 53859 Document 760 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1153 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1153. Documentation of completed vessel under laws of United States; delivery to purchaser; first mortgage to secure deferred payments -STATUTE- Upon completion of the construction of any vessel in respect to which a construction-differential subsidy is to be allowed under this subchapter and its delivery by the shipbuilder to the Secretary of Transportation, the vessel shall be documented under the laws of the United States, and concurrently therewith, or as soon thereafter as practicable, the vessel shall be delivered with a bill of sale to the purchaser with warranty against liens, pursuant to the contract of sale between the purchaser and the Secretary of Transportation. The vessel shall remain documented under the laws of the United States for not less than twenty-five years, or so long as there remains due the United States any principal or interest on account of the purchaser price, whichever is the longer period. At the time of delivery of the vessel the purchaser shall execute and deliver a first-preferred mortgage to the United States to secure payment of any sums due from the purchaser in respect to said vessel: Provided, That notwithstanding any other provisions of law, the payment of any sums due in respect to a passenger vessel purchased under section 1737(b) (FOOTNOTE 1) of the Appendix to title 50, reconverted or restored for normal operation in commercial services, or in respect to a passenger vessel purchased under subchapter V of this chapter, which is delivered subsequent to March 8, 1946, and which (i) is of not less than ten thousand gross tons, (ii) has a designed speed approved by the Secretary of Transportation but not less than eighteen knots, (iii) has accommodations for not less than two hundred passengers, and, (iv) is approved by the Secretary of Defense as being desirable for national defense purposes, may, with the approval of the Secretary of Transportation be secured only by a first-preferred mortgage on said vessel. With the approval of the Secretary of Transportation, such preferred mortgage may provide that the sole recourse against the purchaser of such a passenger vessel under such mortgage, and any of the notes secured thereby, shall be limited to repossession of the vessel by the United States and the assignment of insurance claims, if the purchaser shall have complied with all provisions of the mortgage other than those relating to the payment of principal and interest when due, and the obligation of the purchaser shall be satisfied and discharged by the surrender of the vessel, and all right, title, and interest therein to the United States. Such vessel upon surrender shall be (i) free and clear of all liens and encumbrances whatsoever, except the lien of the preferred mortgage, (ii) in class, and (iii) in as good order and condition, ordinary wear and tear excepted, as when acquired by the purchaser, except that any deficiencies with respect to freedom from encumbrances, condition, and class, may, to the extent covered by valid policies of insurance, be satisfied by the assignment to the United States of claims of the purchaser under such policies of insurance. The purchaser shall also comply with all the provisions of section 868 of this Appendix. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 503, 49 Stat. 1997; June 23, 1938, ch. 600, Sec. 15, 52 Stat. 957; July 17, 1952, ch. 939, Sec. 3, 66 Stat. 761; June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216 Oct. 21, 1970, Pub. L. 91-469, Sec. 8, 35(a), 84 Stat. 1021, 1035; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(84), 95 Stat. 161.) -REFTEXT- REFERENCES IN TEXT Section 1737 of the Appendix to title 50, referred to in text, was repealed by Pub. L. 101-225, title III, Sec. 307(12), Dec. 12, 1989, 103 Stat. 1925. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Pub. L. 91-469 substituted 'purchaser' for 'applicant' in three places, 'sale between the purchaser and the Secretary of Commerce' for 'purchase between the applicant and the Commission' in first sentence; and 'Secretary of Commerce' for 'Commission', in four places, respectively. 1960 - Pub. L. 86-518 substituted 'twenty-five years' for 'twenty years'. 1952 - Act July 17, 1952, amended section to provide that as to passenger vessels delivered after Mar. 8, 1946, the balance of the payments shall be secured by a first preferred mortgage, that the purchasers' obligation to pay will be discharged by surrender of the vessel and all rights to the Government, and to set up conditions governing type of vessel. 1938 - Act June 23, 1938, amended section generally, substituting 'construction-differential subsidy' for 'construction subsidy', and 'or so long as there remains due' for 'and so long as there remains due'. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1154, 1159 of this Appendix. ------DocID 53860 Document 761 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1154 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1154. Purchase of vessel constructed in accordance with application for subsidy; bid or negotiated price basis for subsidy and payments for cost of national defense features; documentation -STATUTE- If a qualified purchaser under the terms of this subchapter desires to purchase a vessel to be constructed in accordance with an application for construction-differential subsidy under this subchapter, the Secretary of Transportation may, in lieu of contracting to pay the entire cost of the vessel under section 1152 of this Appendix, contract to pay only construction-differential subsidy and the cost of national defense features to the shipyard constructing such vessel. The construction-differential subsidy and payments for the cost of national defense features shall be based upon the lowest responsible domestic bid unless the vessel is constructed at a negotiated price as provided by section 1152(a) of this Appendix or under a contract negotiated by the Secretary of Transportation as provided in section 1152(b) of this Appendix in which event the construction-differential subsidy and payments for the cost of national defense features shall be based upon such negotiated price. No construction-differential subsidy, as provided in this section, shall be paid unless the said contract or contracts or other arrangements contain such provisions as are provided in this subchapter to protect the interests of the United States as the Secretary of Transportation deems necessary. Such vessel shall be documented under the laws of the United States as provided in section 1153 of this Appendix. The contract of sale, and the mortgage given to secure the payment of the unpaid balance of the purchase price, shall not restrict the lawful or proper use or operation of the vessel, except to the extent expressly required by law. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 504, 49 Stat. 1998; June 23, 1938, ch. 600, Sec. 16, 52 Stat. 958; July 17, 1952, ch. 939, Sec. 4, 66 Stat. 761; Oct. 21, 1970, Pub. L. 91-469, Sec. 9, 35(a), 84 Stat. 1021, 1035; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(84), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Pub. L. 91-469, provided a negotiated price as an alternative basis for payment of subsidy and cost of national defense features, and substituted 'Secretary of Commerce' for 'Commission', respectively. 1952 - Act July 17, 1952, inserted provision that the lawful or proper use of the vessel may not be restricted. 1938 - Act June 23, 1938, substituted 'domestic shipyards' for 'American shipyards', struck out 'and if it is the lowest bid' after 'fair and reasonable', and changed 'construction subsidy' to 'construction-differential subsidy'. ------DocID 53861 Document 762 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1155 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1155. Eligible shipyards; materials; conditions of contracts; limitation to American shipyards; American materials, waiver; ability of bidders; filing bids and data -STATUTE- All construction in respect of which a construction-differential subsidy is allowed under this subchapter shall be performed in a shipyard of the United States as the result of competitive bidding, after due advertisement, with the right reserved in the Secretary of Transportation to disapprove, any or all bids. In all such construction the shipbuilder, subcontractors, materialmen, or suppliers shall use, so far as practicable, only articles, materials, and supplies of the growth, production, or manufacture of the United States as defined in paragraph K (FOOTNOTE 1) of section 1401 of title 19; Provided, however, That with respect to other than major components of the hull, superstructure, and any material used in the construction thereof, (1) if the Secretary of Transportation determines that the requirements of this sentence will unreasonably delay completion of any vessel beyond its contract delivery date, and (2) if such determination includes or is accompanied by a concise explanation of the basis therefor, then the Secretary of Transportation may waive such requirements to the extent necessary to prevent such delay. No shipbuilder shall be deemed a responsible bidder unless he possesses the ability, experience, financial resources, equipment, and other qualifications necessary properly to perform the proposed contract. Each bid submitted to the Secretary of Transportation shall be accompanied by all detailed estimates upon which it is based. The Secretary of Transportation may require that the bids of any subcontractors, or other pertinent data, accompany such bid. All such bids and data relating thereto shall be kept on file until disposed of as provided by law. For the purposes of this subchapter V, the term 'shipyard of the United States' means shipyards within any of the United States and the Commonwealth of Puerto Rico. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 505, 49 Stat. 1998; June 23, 1938, ch. 600, Sec. 17, 40(a), 52 Stat. 958, 964; Oct. 25, 1951, ch. 562, Sec. 3(4), 65 Stat. 639; July 12, 1960, Pub. L. 86-624, Sec. 35(a), 74 Stat. 421; Oct. 21, 1970, Pub. L. 91-469, Sec. 10, 35(a), 84 Stat. 1022, 1035; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(84), 95 Stat. 161.) -REFTEXT- REFERENCES IN TEXT Paragraph K of section 1401 of title 19, referred to in text, which was classified to par. (k) of section 1401 of Title 19, Customs Duties, was redesignated par. (h) of section 1401 of Title 19 by Pub. L. 91-271, title III, Sec. 301(c)(1), June 2, 1970, 84 Stat. 288. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Pub. L. 91-469 struck out subsec. (a) designation, struck out of first sentence 'within the continental limits' and 'the applicant to reject, and in' after 'shipyard' and 'right reserved in', provided for waiver of use of American mateirals, substituted definition of 'shipyard of the United States' for definition of 'continental limits of the United States', and struck out: subsec. (b) provisions for conditions of contracts, reports as to costs and net profits, limitation on profit, payment to Secretary of excess profit, subdivision of contracts, inspection of records and premises, and contracts for scientific equipment; subsec. (c) provisions as to method of determining profit and limitation on salaries; subsec. (d) provisions for utilization of Treasury Department employees; and subsec. (e) provisions for rescinding approval of bid on refusal of bidder to comply with conditions, new bids, and construction in navy yards; and substituted 'Secretary of Commerce' for 'Commission' in three places, respectively. 1960 - Subsec. (a). Pub. L. 86-624 inserted definition of 'continental limits of the United States.' 1951 - Subsec. (a). Act Oct. 25, 1951, substituted 'on file until disposed of as provided by law' for 'permanently on file' in last sentence. 1938 - Subsec. (a). Act June 23, 1938, Sec. 40(a), substituted 'construction-differential subsidy is allowed' for 'subsidy is allowed'. Subsec. (b). Act June 23, 1938, Sec. 17, made section inapplicable to contracts or other arrangements entered into under this subchapter by the terms of which the United States undertakes to pay only for national-defense features. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1152, 1176 of this Appendix. ------DocID 53862 Document 763 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1156 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1156. Operation of subsidy constructed vessel limited to foreign trade; repayments to Secretary for deviations -STATUTE- Every owner of a vessel for which a construction-differential subsidy has been paid shall agree that the vessel shall be operated exclusively in foreign trade, or on a round-the-world voyage, or on a round voyage from the west coast of the United States to a European port or ports which includes intercoastal ports of the United States, or a round voyage from the Atlantic coast of the United States to the Orient which includes intercoastal ports of the United States, or on a voyage in foreign trade on which the vessel may stop at the State of Hawaii, or an island possession or island territory of the United States, and that if the vessel is operated in the domestic trade on any of the above-enumerated services, he will pay annually to the Secretary of Transportation that proportion of one-twenty-fifth of the construction-differential subsidy paid for such vessel as the gross revenue derived from the domestic trade bears to the gross revenue derived from the entire voyages completed during the preceding year. The Secretary may consent in writing to the temporary transfer of such vessel to service other than the service covered by such agreement for periods not exceeding six months in any year, whenever the Secretary may determine that such transfer is necessary or appropriate to carry out the purposes of this chapter. Such consent shall be conditioned upon the agreement by the owner to pay to the Secretary, upon such terms and conditions as he may prescribe, an amount which bears the same proportion to the construction-differential subsidy paid by the Secretary as such temporary period bears to the entire economic life of the vessel. No operating-differential subsidy shall be paid for the operation of such vessel for such temporary period. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 506, 49 Stat. 1999; June 23, 1938, ch. 600, Sec. 18, 52 Stat. 958; Mar. 18, 1959, Pub. L. 86-3, Sec. 18(b)(1), 73 Stat. 12; June 12, 1960, Pub. L. 86-518, Sec. 3, 74 Stat. 216; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(87), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' the first time it appeared and 'Secretary' for 'Commission' the next four times it appeared. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1960 - Pub. L. 86-518 substituted 'one-twenty-fifth' for 'one-twentieth'. 1959 - Pub. L. 86-3 included stops at the State of Hawaii for vessels operated on voyages in foreign trade. 1938 - Act June 23, 1938, made changes in phraseology and substituted 'construction-differential subsidy' for 'construction subsidy'. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960, AMENDMENT OF CONTRACTS DEALING WITH VESSELS HAVING EXTENDED LIFE For provisions authorizing revision and amendment of certain contracts, see section 8(c) of Pub. L. 86-518, as amended, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1177, 1183 of this Appendix. ------DocID 53863 Document 764 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1157 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1157. Construction of new vessel to replace obsolete; purchase of old vessel by Secretary; bond of seller against liens -STATUTE- If a contract is made by the Secretary of Transportation under authority of this subchapter for the construction and sale of a new vessel to replace a vessel then operated in foreign trade or domestic trade, which in the judgment of the Secretary of Transportation should be replaced because it is obsolete or inadequate for successful operation in such trade, the Secretary of Transportation is authorized, in his discretion, to buy such replaced vessel from the owner at a fair and reasonable valuation, which valuation shall not exceed the cost to the owner or any former owner plus the actual cost previously expended thereon for reconditioning, and less a reasonable and proper depreciation, based upon not more than twenty-five-year life of the vessel, and apply the purchase price agreed upon to that portion of the construction cost of such new vessel which is to be borne by the purchaser thereof: Provided, That the owner of such replaced vessel shall execute a bond, with one or more approved sureties, conditioned upon indemnifying the United States from all loss resulting from any existing lien against such vessel: And provided further, That such vessel has been documented under the laws of the United States for a period of at least ten years prior to the date of its purchase by the United States. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 507, 49 Stat. 2000; June 23, 1938, ch. 600, Sec. 19, 52 Stat. 959; July 17, 1952, ch. 939, Sec. 5, 66 Stat. 761; June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(88), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in three places and 'his' for 'its'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1960 - Pub. L. 86-518 substituted 'twenty-five-year life' for 'twenty-year life'. 1952 - Act July 17, 1952, made section applicable to vessels in domestic trade. 1938 - Act June 23, 1938, struck out provisions which authorized a deduction for obsolescence. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- RATE OF DEPRECIATION FOR VESSELS DELIVERED BY SHIPBUILDER ON OR AFTER JANUARY 1, 1946, AND BEFORE JANUARY 1, 1960 For provisions relating to computation of depreciation with respect to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and before Jan. 1, 1960, see section 8(b) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. ------DocID 53864 Document 765 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1158 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1158. Disposition of vessels transferred to Maritime Administration of Department of Transportation -STATUTE- If the Secretary of Transportation shall determine that any vessel transferred to the Maritime Administration of the Department of Transportation by section 1112 of this Appendix, or hereafter acquired, is of insufficient value for commercial or military operation to warrant its further preservation, the Secretary of Transportation is authorized (1) to scrap said vessel, or (2) to sell such vessel for cash, after appraisement and due advertisement, and upon competitive sealed bids, either to citizens of the United States or to aliens: Provided, That the purchaser thereof shall enter into an undertaking with sureties approved by the Secretary of Transportation that such vessel shall not be operated in the foreign commerce of the United States at any time within the period of ten years after the date of the sale, in competition with any other vessel owned by a citizen or citizens of the United States and registered under the laws thereof. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 508, 49 Stat. 2000; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(89), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in three places and 'the Maritime Administration of the Department of Transportation' for 'it'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53865 Document 766 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1159 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1159. Vessels to be operated in domestic trade; terms and conditions of construction aid and sale to purchaser -STATUTE- Any citizen of the United States may make application to the Secretary of Transportation for aid in the construction of a new vessel to be operated in the foreign or domestic trade (excepting vessels engaged solely in the transportation of property on inland rivers and canals exclusively). If such application is approved by the Secretary of Transportation, the vessel may be constructed under the terms and conditions of this subchapter, but no construction-differential subsidy shall be allowed. The Secretary of Transportation shall pay for the cost of national-defense features incorporated in such vessel. In case the vessel is designed to be of not less than three thousand five hundred gross tons and to be capable of sustained speed of not less than ten knots, or in the case of a passenger vessel operating solely on the inland rivers and waterways which is designed to be of not less than one thousand gross tons and to be capable of sustained speed of not less than eight knots, or in the case of a ferry operating solely in point-to-point transportation which is designed to be of not less than seventy-five gross tons and to be capable of a sustained speed of not less than eight knots, in the case of an oceangoing tug of more than two thousand five hundred horsepower or oceangoing barge of more than two thousand five hundred gross tons, or in the case of a vessel of more than two thousand five hundred horsepower designed to be capable of sustained speed of not less than forty knots, the purchaser shall be required to pay the Secretary of Transportation not less than 12 1/2 per centum of the cost of such vessel, and in the case of any other vessel the purchaser shall be required to pay the Secretary of Transportation not less than 25 per centum of the cost of such vessel (excluding from such cost, in either case, the cost of national defense features); and the balance of such purchase price shall be paid by the purchaser within twenty-five years in not to exceed twenty-five equal annual installments, with interest at a rate not less than (i) a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the average maturities of such loans, adjusted to the nearest one-eighth of 1 per centum, plus (ii) an allowance adequate in the judgment of the Secretary of Transportation to cover administrative costs, the balance of such purchase price being secured by a preferred mortgage on the vessel sold and otherwise secured as the Secretary of Transportation may determine: Provided, That, notwithstanding any other provisions of law, the balance of the purchase price of a passenger vessel constructed under this section which is delivered subsequent to March 8, 1946, and which has the tonnage, speed, passenger accommodations, and other characteristics set forth in section 1153 of this Appendix, may, with the approval of the Secretary of Transportation, be secured as provided in such section, and the obligation of the purchaser of such a vessel shall be satisfied and discharged as provided in such section. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 509, 49 Stat. 2000; June 23, 1938, ch. 600, Sec. 20, 52 Stat. 959; June 6, 1939, ch. 186, 53 Stat. 810; July 17, 1952, ch. 939, Sec. 6, 66 Stat. 761; June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216; Oct. 24, 1962, Pub. L. 87-877, Sec. 2(b), 76 Stat. 1200; Dec. 10, 1967, Pub. L. 90-183, 81 Stat. 559; Dec. 18, 1967, Pub. L. 90-214, 81 Stat. 660; Oct. 21, 1970, Pub. L. 91-469, Sec. 11, 84 Stat. 1022; Aug. 10, 1972, Pub. L. 92-374, 86 Stat. 528; Nov. 12, 1977, Pub. L. 95-173, Sec. 8, 91 Stat. 1360; Oct. 24, 1978, Pub. L. 95-505, 92 Stat. 1755; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(90), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1978 - Pub. L. 95-505 substituted 'ten knots' for 'fourteen knots'. 1977 - Pub. L. 95-173 inserted ', or in the case of a ferry operating solely in point-to-point transportation which is designed to be of not less than seventy-five gross tons and to be capable of a sustained speed of not less than eight knots' after 'less than eight knots'. 1972 - Pub. L. 92-374 inserted 'or in the case of a vessel of more than two thousand five hundred horsepower designed to be capable of sustained speed of not less than forty knots' in sentence dealing with percentage of cost payable by purchaser, after 'barge of more than two thousand five hundred gross tons'. 1970 - Pub. L. 91-469 substituted 'Secretary of Commerce' for 'Commission' in seven places, 'purchaser' for 'applicant' in first three places, and provision for a rate of interest not less than a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the average maturities of such loans, adjusted to the nearest one-eighth of 1 per centum plus an administrative cost allowance for prior rate of 3 1/2 per centum per annum. 1967 - Pub. L. 90-214 included provision for oceangoing tugs of more than two thousand five hundred horsepower or oceangoing barges of more than two thousand five hundred gross tons. Pub. L. 90-183 inserted 'or in the case of a passenger vessel operating solely on the inland rivers and waterways which is designed to be of not less than one thousand gross tons and to be capable of sustained speed of not less than eight knots' after 'fourteen knots,'. 1962 - Pub. L. 87-877 struck out second proviso which, in the case of a vessel to be constructed under this section, gave a preference to an applicant who had his principal place of business on the Pacific coast of the United States, but not including one in business on or before Aug. 1, 1935, who subsequently changed his principal place of business to the Pacific coast, if such vessel was to be operated from such coast, the amount of the lowest responsible shipyard bid did not exceed by more than six per centum, a bid by such a shipyard on the Atlantic coast, and a port on the Pacific coast was designated and continued as the home port of the vessel, which set a lower rate of interest on deferred payments that would otherwise be applicable with respect to periods of construction of such vessel and its operation exclusively in coastwise, intercoastal, and other domestic trade, and which enumerated four conditions under which such lower interest rate would not apply. 1960 - Pub. L. 86-518 substituted 'twenty-five' for 'twenty' in two places. 1952 - Act July 17, 1952, provided that as to vessels delivered after Mar. 8, 1946, the balance of the payments shall be secured by a first preferred mortgage and that the purchaser's obligation to pay will be discharged by surrender of the vessel and all rights to the Government. 1939 - Act June 6, 1939, struck out 'except as otherwise provided in this title' after 'no construction-differential subsidy shall be allowed', and inserted provisions requiring the applicant to pay not less than 12 1/2 per centum of the cost in case the vessel is designed to be of not less than 3,500 gross tons and to be capable of a sustained speed of not less than 14 knots. 1938 - Act June 23, 1938, substituted 'foreign or domestic trade' for 'domestic trade', and inserted provisions requiring the Commission to pay for the cost of national-defense features. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1152, 1274 of this Appendix. ------DocID 53866 Document 767 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1160 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1160. Acquisition of obsolete vessels -STATUTE- (a) Definitions When used in this section - (1) The term 'obsolete vessel' means a vessel or vessels, each of which (A) is of not less than one thousand three hundred and fifty gross tons, (B) in the judgment of the Secretary of Transportation, should, by reason of age, obsolescence, or otherwise, be replaced in the public interest and (C) has been owned by a citizen or citizens of the United States for at least three years immediately prior to the date of acquisition hereunder. (2) The term 'new vessel' means a vessel or vessels, each of which (A) is constructed under the provisions of this chapter, and is acquired within two years from the date of completion of such vessel, or is purchased under section 1204 of this Appendix, as amended, by the person turning in an obsolete vessel under this section, or (B) is hereafter constructed in a domestic shipyard on private account and not under the provisions of this chapter, and documented under the laws of the United States. (b) Promotion of construction of new vessels; allowance on obsolete vessels In order to promote the construction of new, safe, and efficient vessels to carry the domestic and foreign waterborne commerce of the United States, the Secretary of Transportation is authorized, subject to the provisions of this section, to acquire any obsolete vessel in exchange for an allowance of credit. The obsolete vessel shall be acquired by the Secretary of Transportation, if the owner so requests, either at the time the owner contracts for the construction or purchase of a new vessel or within five days of the actual date of delivery of the new vessel to the owner. The amount of the allowance shall be determined at the time of the acquisition of the obsolete vessel by the Secretary of Transportation. In the event the obsolete vessel is acquired by the Secretary of Transportation at the time the owner contracts for the construction or purchase of the new vessel, the allowance shall not be paid to the owner of the obsolete vessel, but shall be applied upon the purchase price of a new vessel. In the case of a new vessel constructed under the provisions of this chapter, such allowance may, under such terms and conditions as the Secretary of Transportation may prescribe, be applied upon the cash payments required under this chapter. In case the new vessel is not constructed under the provisions of this chapter, the allowance shall, upon acquisition of the obsolete vessel by the Secretary of Transportation, be paid, for the account of the owner, to the shipbuilder constructing such new vessel. In the event that title to the obsolete vessel is acquired by the Secretary of Transportation at the time of delivery of the new vessel, the allowance shall be deposited in the owner's capital construction fund. This subsection shall apply to obsolete vessels exchanged for new vessels hereafter contracted to be built, or eligible for such exchange but not exchanged in connection with a contract for new vessels executed prior to October 1, 1960. (c) Utility value of new vessel; gross tonnage The utility value of the new vessel for operation in the domestic or foreign commerce of the United States shall not be substantially less than that of the obsolete vessel. The gross tonnage of the obsolete vessel may exceed the gross tonnage of the new vessel in a ratio not in excess of three to one, if the Secretary of Transportation finds that the new vessel, although of lesser tonnage, will provide utility value equivalent to or greater than that of the obsolete vessel. (d) Amount of allowance on obsolete vessel; determination of amount The allowance for an obsolete vessel shall be the fair and reasonable value of such vessel as determined by the Secretary of Transportation. In making such determination the Secretary of Transportation shall consider: (1) the scrap value of the obsolete vessel both in American and foreign markets, (2) the depreciated value based on a twenty or twenty-five year life, whichever is applicable to the obsolete vessel, and (3) the market value thereof for operation in the world trade or in the foreign or domestic trade of the United States. In the event the obsolete vessel is acquired by the Secretary of Transportation at the time the owner contracts for the construction of the new vessel, and the owner uses such vessel during the period of construction of the new vessel, the allowance shall be reduced by an amount representing the fair value of such use. The rate for the use of the obsolete vessel shall be fixed by the Secretary of Transportation for the entire period of such use at the time of execution of the contract for the construction of the new vessel. (e) Recognition of gain for income tax purposes; basis for gain or loss No gain shall be recognized to the owner for the purpose of Federal income taxes in the case of a transfer of an obsolete vessel to the Secretary of Transportation under the provisions of this section. The basis for gain or loss upon a sale or exchange and for depreciation under the applicable Federal income-tax laws of a new vessel acquired as contemplated in this section shall be the same as the basis of the obsolete vessel or vessels exchanged for credit upon the acquisition of such new vessel, increased in the amount of the cost of such vessel (other than the cost represented by such obsolete vessel or vessels) and decreased in the amount of loss recognized upon such transfer. (f) Report to Congress The Secretary of Transportation shall include in his annual report to Congress a detailed statement of all transactions consummated under the provisions of the preceding subsections during the period covered by such report. (g) Use of vessels 25 years old or more An obsolete vessel acquired by the Secretary of Transportation under this section which is or becomes twenty-five years old or more, and vessels presently in the Secretary's laid-up fleet which are or become twenty-five years old or more, shall in no case be used for commercial operation, except that any such obsolete vessel, or any such vessel in the laid-up fleet may be used during any period in which vessels may be requisitioned under section 1242 of this Appendix, as amended, and except as otherwise provided in this chapter for the employment of the Secretary's vessels in steamship lines on trade routes exclusively serving the foreign trade of the United States. (h) Repealed. Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925 (i) Exchange of vessels; valuation; scrapping of traded out vessels The Secretary of Transportation is authorized to acquire suitable documented vessels, as defined in section 2101 of title 46, with funds in the Vessel Operations Revolving Fund derived from the sale of obsolete vessels in the National Defense Reserve Fleet. For purposes of this subsection, the acquired and obsolete vessels shall be valued at their scrap value in domestic or foreign markets as of the date of the acquisition for or sale from the National Defense Reserve Fleet; except that, in a transaction subject to this section, the value assigned to those vessels will be determined on the same basis, with consideration given to the fair value of the cost of positioning the traded-out vessel to the place of scrapping. All costs incident to the lay-up of the vessel acquired under this subsection may be paid from balances in the Fund. Notwithstanding the provisions of sections 808 and 835 of this Appendix, vessels sold from the National Defense Reserve Fleet under this subsection may be scrapped in approved foreign markets. (j) Placement in national defense reserve fleet of acquired vessels Any vessel heretofore or hereafter acquired under this section, or otherwise acquired by the Maritime Administration of the Department of Transportation under any other authority shall be placed in the national defense reserve fleet established under authority of section 11 of the Merchant Ship Sales Act of 1946 (50 App. U.S.C. 1744) and shall not be traded out or sold from such reserve fleet, except as provided for in subsections (g) and (i) of this section. This limitation shall not affect the rights of the Secretary of Transportation to dispose of a vessel as provided in other sections of this subchapter or in subchapters VII or XI of this chapter. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 510, as added Aug. 4, 1939, ch. 417, Sec. 7, 53 Stat. 1183, and amended July 17, 1952, ch. 939, Sec. 7, 8, 66 Stat. 762; Aug. 10, 1954, ch. 664, 68 Stat. 680; Feb. 20, 1958, Pub. L. 85-332, 72 Stat. 17; June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216; July 5, 1960, Pub. L. 86-575, 74 Stat. 312; Oct. 5, 1961, Pub. L. 87-401, 75 Stat. 833; Oct. 5, 1962, Pub. L. 87-755, 76 Stat. 751; Oct. 10, 1965, Pub. L. 89-254, Sec. 1, 2, 79 Stat. 980; Oct. 21, 1970, Pub. L. 91-469, Sec. 12, 13, 35(a), 84 Stat. 1022, 1035; Jan. 2, 1975, Pub. L. 93-605, Sec. 1, 88 Stat. 1965; Nov. 15, 1977, Pub. L. 95-177, 91 Stat. 1368; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(91), 95 Stat. 161; Dec. 12, 1989, Pub. L. 101-225, title III, Sec. 307(7), 103 Stat. 1925; Nov. 16, 1990, Pub. L. 101-595, title VII, Sec. 704, 104 Stat. 2994.) -REFTEXT- REFERENCES IN TEXT The Federal income-tax laws, referred to in subsec. (e), are classified generally to Title 26, Internal Revenue Code. -MISC2- AMENDMENTS 1990 - Subsec. (i). Pub. L. 101-595 amended subsec. (i) generally. Prior to amendment, subsec. (i) read as follows: 'The Secretary of Transportation is authorized to acquire mariner class vessels constructed under subchapter VII of this chapter and Public Law 911, Eighty-first Congress, and other suitable vessels, constructed in the United States, which have never been under foreign documentation, in exchange for obsolete vessels in the National Defense Reserve Fleet. For purposes of this subsection, the trade-in and trade-out vessels shall be valued at the higher of their scrap value in domestic or foreign markets as of the date of the exchange: Provided, That in any exchange transactions, the value assigned to the traded-in and traded-out vessels will be determined on the same basis. The value of the traded-out vessels shall be as nearly as possible equal to the value of the traded-in vessel plus the fair value of the cost of towing the traded-out vessel to the place of scrapping. To the extent the value of the traded-out vessel exceeds the value of the traded-in vessel plus the fair value of the cost of towing, the owner of the traded-in vessel shall pay the excess to the Secretary of Transportation in cash at the time of exchange. This excess shall be deposited into the Vessel Operations Revolving Fund and all costs incident to the lay-up of the vessels acquired under this chapter may be paid from balances in the Fund. No payments shall be made by the Secretary of Transportation to the owner of any traded-in vessel in connection with any exchange under this subsection. Notwithstanding the provisions of sections 808 and 835 of this Appendix, vessels traded out under this subsection may be scrapped in approved foreign markets. The provision of this subsection (i) as it read prior to the 1975 amendment shall govern all transactions made thereunder prior to that amendment.' 1989 - Subsec. (h). Pub. L. 101-225 struck out subsec. (h) which related to acquisition of tankers for national defense reserve. 1981 - Subsecs. (a)(1), (b). Pub. L. 97-31, Sec. 12(91)(A), substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. Subsecs. (c) to (e). Pub. L. 97-31, Sec. 12(91)(B), substituted 'Secretary of Transportation' for 'Commission' wherever appearing. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (f). Pub. L. 97-31, Sec. 12(91)(B), (C), substituted 'Secretary of Transportation' for 'Commission' and 'his' for 'its'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (g). Pub. L. 97-31, Sec. 12(91)(B), (D), substituted 'Secretary of Transportation' for 'Commission' and 'Secretary's' for 'Commission's' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsecs. (h), (i). Pub. L. 97-31, Sec. 12(91)(A), substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. Subsec. (j). Pub. L. 97-31, Sec. 12(91)(A), (E), substituted 'Maritime Administration of the Department of Transportation' for 'Secretary of Commerce' and 'Secretary of Transportation' for 'Secretary of Commerce'. 1977 - Subsec. (i). Pub. L. 95-177 struck out ', within two years after the enactment of this subsection,' after 'is authorized' and 'that are scheduled for scrapping' after 'National Defense Reserve Fleet', inserted 'and other suitable vessels, constructed in the United States, which have never been under foreign documentation,' after 'Eighty-first Congress,', and substituted 'the trade-in and trade-out vessels' for 'the traded-in and traded-out vessels' and 'the 1975 Amendment' for 'this amendment'. 1975 - Subsec. (i). Pub. L. 93-605 added subsec. (i). A prior subsec. (i) providing authority for the Secretary of Commerce to acquire vessels of one thousand five hundred gross tons or over which were constructed in the United States in exchange for more modern or efficient ocean-going vessels of one thousand five hundred gross tons or over owned by the United States under specified conditions expired on July 5, 1972. 1970 - Subsec. (a)(1). Pub. L. 91-469, Sec. 12(a), in redefining 'obsolete vessel', substituted in subd. (B) 'in the judgment of the Secretary of Commerce, should, by reason of age, obsolescence, or otherwise, be replaced in the public interest' for 'is not less than seventeen years old and, in the judgment of the Commission, is obsolete or inadequate for successful operation in the domestic or foreign trade of the United States', substituted in subd. (C) 'has been owned' for 'is owned' and deleted therefrom 'and has been owned by such citizen or citizens' preceding 'for at least three years', and deleted concluding proviso defining 'obsolete vessel' as meaning a vessel, until June 30, 1964, which is not less than 1,350 gross tons, is not less than 12 years old, and is citizen owned for three year period prior to acquisition hereunder. Subsec. (b). Pub. L. 91-469, Sec. 12(b), 35(a), substituted 'capital construction fund' for 'capital reserve fund' and 'Secretary of Commerce' for 'Commission' in seven places, respectively. Subsec. (i). Pub. L. 91-469, Sec. 13, in amending first sentence, substituted '1972' and 'which were constructed in the United States' for '1970' and 'which were constructed or contracted for by the United States shipyards before September 3, 1945' and struck out 'war-built vessels (which are defined for purposes of this subsection as' and 'which were constructed or contracted for by the United States shipyards during the period beginning September 3, 1939, and ending September 2, 1945)' before and after 'oceangoing vessels of one thousand five hundred gross tons or over'. 1965 - Subsec. (i). Pub. L. 89-254, Sec. 1(a), substituted 'before July 5, 1970, vessels of one thousand five hundred gross tons or over which were constructed or contracted for by the United States shipyards before September 3, 1945' for 'within five years from the date of enactment of this Act war-built vessels (which are defined for purposes of this subsection as oceangoing vessels of one thousand five hundred gross tons or over which were constructed or contracted for by the United States shipyards during the period beginning September 3, 1939, and ending September 2, 1945)', and inserted '(which are defined for purposes of this subsection as oceangoing vessels of one thousand five hundred gross tons or over which were constructed or contracted for by the United States shipyards during the period beginning September 3, 1939, and ending September 2, 1945)'. Subsec. (i)(1). Pub. L. 89-254, Sec. 1(b), amended par. (1) to apply the 3 year prohibition against any vessel being operated under an operating-differential subsidy to the applicant or any affiliate of the applicant rather than to the vessel itself. Subsec. (i)(2). Pub. L. 89-254, Sec. 1(c), required the value of a traded out vessel to be calculated in the same manner as its value was determined when it was traded in, except that vessels traded in prior to Oct. 1, 1960, shall be valued on the basis yielding the highest fair return to the government commensurate with the purpose of this subsection, and required in each exchange of vessels under this subsection, the value of the traded-in vessel, unless based on scrap value, and the value of the traded-out vessel to be calculated in the same manner. Subsec. (i)(9). Pub. L. 89-254, Sec. 1(d), substituted provisions permitting tanker vessels to be traded out under the provisions of this subsection only for major conversions into dry cargo carriers or liquid bulk carriers, including natural gas carriers but excluding bulk petroleum carriers, except where traded out for use exclusively in trade and commerce on the Great Lakes, including the St. Lawrence River and Gulf, for provisions which prohibited tanker-vessels to be traded out under the provisions of this subsection. Subsec. (j). Pub. L. 89-254, Sec. 2, added subsec. (j). 1962 - Subsec. (a)(1). Pub. L. 87-755 substituted 'June 30, 1964' for 'June 30, 1962'. 1961 - Subsec. (b). Pub. L. 87-401, Sec. 1(1), provided that if the owner requests, the vessel shall be acquired by the Federal Maritime Board or Secretary of Commerce either when the owner contracts for construction or purchase of a new ship or within 5 days of actual delivery of the new vessel to the owner, that the amount of allowance be determined at the time of acquisition of the vessel by the Board or Secretary, and if at such time, the owner contracts for construction or purchase of a new vessel, the allowance shall be applied upon the price of the new vessel, that if the Board or Secretary acquired title to the vessel at time of delivery of the new vessel, the allowance shall be deposited in the owner's capital reserve fund, and that this subsection shall apply to exchanges for vessels hereafter contracted to be built, or eligible for exchange but not so exchanged in connection with contracts for new vessels executed prior to Oct. 1, 1960. Subsec. (d). Pub. L. 87-401, Sec. 1(2), provided for a depreciation value based upon a twenty-year life, if applicable, and substituted 'In the event the obsolete vessel is acquired by the Board or Secretary at the time the owner contracts for the construction of a new vessel, and the owner' for 'If the owner of the obsolete vessel'. 1960 - Subsec. (d). Pub. L. 86-518 substituted 'twenty-five-year life' for 'twenty-year life'. Subsec. (g). Pub. L. 86-518 substituted 'twenty-five years' for 'twenty years' in two places. Subsec. (i). Pub. L. 86-575 added subsec. (i). 1958 - Subsec. (a)(1). Pub. L. 85-332 substituted 'June 30, 1962' for 'June 30, 1958'. 1954 - Subsec. (h). Act Aug. 10, 1954, added subsec. (h). 1952 - Subsec. (a)(1). Act July 17, 1952, Sec. 7, provided that until June 30, 1958, the minimum age in determining the eligibility of 'obsolete vessels' for turn in for credit allowance on a new vessel is reduced from 17 to 12 years. Subsec. (d). Act July 17, 1952, Sec. 8, provided that the rate for the use of the obsolete vessel should be fixed at the time that the contract for the new vessel is entered into. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- SECRETARY OF COMMERCE AUTHORIZED TO PURCHASE STEAMSHIP UNITED STATES; REQUISITION OR PURCHASE BY UNITED STATES Pub. L. 92-296, Sec. 2, May 16, 1972, 86 Stat. 140, as amended by Pub. L. 94-536, Oct. 17, 1976, 90 Stat. 2497; Pub. L. 96-111, Sec. 2, Nov. 15, 1979, 93 Stat. 846, provided that: 'The Secretary of Commerce is authorized and directed to purchase the steamship United States, as is, where is, at the depreciated cost of the vessel to the owner, as determined by the Secretary of Commerce, less the unpaid principal and interest on the mortgage on the vessel, for layup in the National Defense Reserve Fleet and operation for the account of any agency or department of the United States during any period in which vessels may be requisitioned under section 902 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1242), and/or for sale or charter to a qualified operator for operation under the American flag in the coastwise and/or foreign commerce of the United States and/or between foreign ports notwithstanding the provision of section 506 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1156): Provided, That for hire carriage in coastwise commerce of the United States is limited to passengers, their accompanying baggage, and one thousand measurement tons of cargo, of forty cubic feet each, per annum in any single coastwise trade: Provided further, That for hire carriage of cargo in excess of the aforesaid one thousand tons shall be unlawful, or for use as a floating hotel in or on the navigable waters of the United States. Whenever the conditions set forth in section 902, the Merchant Marine Act of 1936 (46 App. U.S.C. 1242), exist, the vessel may be requisitioned or purchased by the United States and just compensation for title or use, as the case may be, shall be paid in accordance with section 902 of the Merchant Marine Act, as amended (46 U.S.C. 1242) (46 App. U.S.C. 1242). The depreciated cost of the vessel to the owner shall be computed on the schedule adopted by the Internal Revenue Service for income tax purposes. Such determination shall be final. The Secretary of Commerce shall require the owner of the vessel to agree that it will pay all existing private obligations related to the vessel, and that it will commit an amount equal to the net proceeds received from such sale in excess of existing obligations and expenses incident to the sale, within a reasonable period not to exceed twelve months of receipt, as equity capital for the construction of new vessels which the Secretary determines are built to effectuate the purposes and policy of the Merchant Marine Act, 1936, as amended (this chapter).' RATE OF DEPRECIATION FOR VESSELS DELIVERED BY SHIPBUILDER ON OR AFTER JANUARY 1, 1946, AND BEFORE JANUARY 1, 1960 For provisions relating to computation of depreciation with respect to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and before Jan. 1, 1960, see section 8(b) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. SUSPENSION OF SUBSECTION (G) REPEALED Act May 14, 1940, ch. 201, Sec. 1, 54 Stat. 216, as extended by act June 16, 1942, ch. 416, 56 Stat. 370, which suspended subsec. (g) of this section until six months after the end of World War II should have been proclaimed or such earlier time as the Congress by concurrent resolution or the President might designate, was repealed by act July 25, 1947, ch. 327, Sec. 1, 61 Stat. 449. -CROSS- CROSS REFERENCES Basis for depreciation, generally, see section 167 of Title 26, Internal Revenue Code. Basis for determining gain or loss, generally, see section 1001 et seq. of Title 26. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 26 section 1061. ------DocID 53867 Document 768 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1161 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER V -HEAD- Sec. 1161. Reserve funds for construction or acquisition of vessels; taxation -STATUTE- (a) 'New vessel' defined When used in this section the term 'new vessel' means any vessel (1) documented or agreed with the Secretary of Transportation to be documented under the laws of the United States; (2) construction in the United States after December 31, 1939, or the construction of which has been financed under subchapters V or VII of this chapter, or the construction of which has been aided by a mortgage insured under subchapter XI of this chapter; and (3) either (A) of such type, size, and speed as the Secretary of Transportation shall determine to be suitable for use on the high seas or Great Lakes in carrying out the purposes of this chapter, but not of less than two thousand gross tons or of less speed than twelve knots, unless the Secretary of Transportation shall determine and certify in each case that a vessel of a specified lesser tonnage or speed is desirable for use by the United States in case of war or national emergency, or (B) constructed to replace a vessel or vessels requisitioned or purchased by the United States. (b) Establishment of construction reserve funds For the purposes of promoting the construction, reconstruction, reconditioning, or acquisition of vessels, or for other purposes authorized in this section, necessary to carrying out the policy set forth in section 1101 of this Appendix, any citizen of the United States who is operating a vessel or vessels in the foreign or domestic commerce of the United States or in the fisheries or owns in whole or in part a vessel or vessels being so operated, or who, at the time of purchase or requisition of the vessel by the Government, was operating a vessel or vessels so engaged or owned in whole or in part a vessel or vessels being so operated or had acquired or was having constructed a vessel or vessels for the purpose of operation in such commerce or in the fisheries, may establish a construction reserve fund, for the construction, reconstruction, reconditioning, or acquisition of new vessels, or for other purposes authorized in this section, to be composed of deposits of proceeds from sales of vessels, indemnities on account of losses of vessels, earnings from the operation of vessels documented under the laws of the United States and from services incident thereto, and receipts, in the form of interest or otherwise, with respect to amounts previously deposited. Such construction reserve fund shall be established, maintained, expended, and used in accordance with the provisions of this section and rules or regulations to be prescribed jointly by the Secretary of Transportation and the Secretary of the Treasury. (c) Recognition of gain for taxation where proceeds of sale or indemnity for loss deposited in fund In the case of the sale or actual or constructive total loss of a vessel, if the taxpayer deposits an amount equal to the net proceeds of the sale or to the net indemnity with respect to the loss in a construction reserve fund established under subsection (b) of this section, then - (1) if the taxpayer so elects in his income-tax return for the taxable year in which the gain was realized, or (2) in case a vessel is purchased or requisitioned by the United States, or is lost, in any taxable year beginning after December 31, 1939, and the taxpayer receives payment for the vessel so purchased or requisitioned, or receives from the United States indemnity on account of such loss, subsequent to the end of such taxable year, if the taxpayer so elects prior to the expiration of sixty days after the receipt of the payment or indemnity, and in accordance with a form of election to be prescribed by the Commissioner of Internal Revenue with the approval of the Secretary of the Treasury, no gain shall be recognized to the taxpayer in respect of such sale or indemnification in the computation of net income for the purposes of Federal income or excess-profits taxes. If an election is made under subdivision (2) of this subsection and if computation or recomputation in accordance with this subsection is otherwise allowable but is prevented, on the date of making such election or within six months thereafter, by any statute of limitation, such computation or recomputation nevertheless shall be made notwithstanding such statute if a claim therefor is filed within six months after the date of making such election. For the purposes of this subsection no amount shall be considered as deposited in a construction reserve fund unless it is deposited within sixty days after it is received by the taxpayer. As used in this subsection the term 'net proceeds' and the term 'net indemnity' mean the sum of (1) the adjusted basis of the vessel and (2) the amount of gain which would be recognized to the taxpayer without regard to this subsection. (d) Basis for determining gain or loss and for depreciation of new vessels The basis for determining gain or loss and for depreciation, for the purposes of Federal income or excess profits taxes, of any new vessel constructed, reconstructed, reconditioned, or acquired by the taxpayer, or with respect to which purchase-money indebtedness is liquidated as provided in subsection (g) of this section, in whole or in part out of the construction reserve fund shall be reduced by that portion of the deposits in the fund expended in the construction, reconstruction, reconditioning, acquisition, or liquidation of purchase-money indebtedness of the new vessel which represents gain not recognized for tax purposes under subsection (c) of this section. (e) Order, proportions, etc., of deposits and withdrawals For the purposes of this section, (1) if the net proceeds of a sale or the net indemnity in respect of a loss are deposited in more than one deposit, the amount consisting of the gain shall be considered as first deposited; (2) amounts expended, obligated, or otherwise withdrawn shall be applied against the amounts deposited in the fund in the order of deposit; and (3) if any deposit consists in part of gain not recognized under subsection (c) of this section, any expenditure, obligation, or withdrawal applied against such deposit shall be considered to consist of gain in the proportion that the part of the deposit consisting of gain bears to the total amount of the deposit. (f) Amounts in fund as accumulation of earnings or profits With respect to any taxable year, amounts on deposit on the last day of such year in a construction reserve fund in accordance with this section and with respect to which all the requirements of subsection (g) of this section have been satisfied, to the extent that such requirements are applicable as of the last day of said taxable year, shall not constitute an accumulation of earnings or profits within the meaning of section 102 of the Internal Revenue Code. (g) Benefits of section conditioned upon manner and time of expenditure of deposits The provisions of subsections (c) and (f) of this section shall apply to any deposit in the construction reserve fund only to the extent that such deposit is expended or obligated for expenditure, in accordance with rules and regulations to be prescribed jointly by the Secretary of Transportation and the Secretary of the Treasury - (1) under a contract for the construction or acquisition of a new vessel or vessels (or in the discretion of the Secretary of Transportation, for a part interest therein), or, with the approval of the Secretary of Transportation, for the reconstruction or reconditioning of a new vessel or vessels, entered into within (i) two years from the date of deposit or the date of any extension thereof which may be granted by the Secretary of Transportation pursuant to the provisions of subsection (h) of this section, in the case of deposits made prior to the date on which these amendatory provisions become effective, or (ii) three years from the date of such deposit in the case of a deposit made after such effective date, only if under such rules and regulations - (A) within such period not less than 12 1/2 per centum of the construction or contract price of the vessel or vessels is paid or irrevocably committed on account thereof and the plans and specifications therefor are approved by the Secretary of Transportation to the extent by him deemed necessary; and (B) in case of a vessel or vessels not constructed under the provisions of this subchapter or not purchased from the Secretary of Transportation, (i) said construction is completed, within six months from the date of the construction contract, to the extent of not less than 5 per centum thereof (or in case the contract covers more than one vessel, the construction of the first vessel so contracted for is so completed to the extent of not less than 5 per centum) as estimated by the Secretary of Transportation and certified by him to the Secretary of the Treasury, and (ii) all construction under such contract is completed with reasonable dispatch thereafter; (2) for the liquidation of existing or subsequently incurred purchase-money indebtedness to persons other than a parent company of, or a company affiliated or associated with, the mortgagor on a new vessel or vessels within (i) two years from the date of deposit or the date of any extension thereof which may be granted by the Secretary of Transportation pursuant to the provisions of subsection (h) of this section, in the case of deposits made prior to the date on which these amendatory provisions become effective, or (ii) three years from the date of such deposit in the case of a deposit made after such effective date. (h) Authorizations of extensions of time The Secretary of Transportation is authorized under rules and regulations to be prescribed jointly by the Secretary of the Treasury and the Secretary of Transportation to grant extensions of the period within which the deposits shall be expended or obligated or within which construction shall have progressed to the extent of 5 per centum of completion as provided herein, but such extension shall not be for an aggregate additional period in excess of two years with respect to the expenditure or obligation of such deposits or more than one year with respect to the progress of such construction: Provided, That until January 1, 1965, in addition to the extensions hereinbefore permitted, further extensions may be granted ending not later than December 31, 1965. (i) Taxation of deposits upon failure of conditions Any such deposited gain or portion thereof which is not so expended or obligated within the period provided, or which is otherwise withdrawn before the expiration of such period, or with respect to which the construction has not progressed to the extent of 5 per centum of completion within the period provided, or with respect to which the Secretary of Transportation finds and certifies to the Secretary of the Treasury that, for causes within the control of the taxpayer, the entire construction is not completed with reasonable dispatch, if otherwise taxable income under the law applicable to the taxable year in which such gain was realized, shall be included in the gross income for such taxable year, except for the purpose of the declared value excess-profits tax and the capital stock tax. If any such deposited gain or portion thereof with respect to a deposit made in any taxable year ending on or before June 30, 1945 is so included in gross income for such taxable year, there shall (in addition to any other deficiency) be assessed, collected, and paid in the same manner as if it were a deficiency, an amount equal to 1.1 per centum of the amount of gain so included, such amount being in lieu of any adjustment with respect to the declared value excess-profits tax for such taxable year. (j) Assessment and collection of deficiency tax Notwithstanding any other provision of law, any deficiency in tax for any taxable year resulting from the inclusion of any amount in gross income as provided by subsection (i) of this section, and the amount to be treated as a deficiency under such subsection in lieu of any adjustment with respect to the declared value excess-profits tax, may be assessed or a proceeding in court for the collection thereof may be begun without assessment, at any time: Provided, however, That interest on any such deficiency or amount to be treated as a deficiency shall not begin until the date the deposited gain or portion thereof in question is required under subsection (i) of this section to be included in gross income. (k) Taxable years governed by section This section shall be applicable to a taxpayer only in respect of sales or indemnifications for losses occurring within a taxable year beginning after December 31, 1939, and only in respect of earnings derived during a taxable year beginning after December 31, 1939. (l) Vessels deemed constructed or acquired by taxpayers owning stock in corporations constructing or acquiring vessels For the purposes of this section a vessel shall be considered as constructed or acquired by the taxpayer if constructed or acquired by a corporation at a time when the taxpayer owns at least 95 per centum of the total number of shares of each class of stock of the corporation. (m) Definitions The terms used in this section shall have the same meaning as in chapter 1 of the Internal Revenue Code. (n) 'Contract for the construction' and 'construction contract' defined The terms 'contract for the construction' and 'construction contract', as used in this section, shall include, in the case of a taxpayer who constructs a new vessel in a shipyard owned by such taxpayer, an agreement between such taxpayer and the Secretary of Transportation with respect to such construction and containing provisions deemed necessary or advisable by the Secretary of Transportation to carry out the purposes and policy of this section. (o) 'Reconstruction and reconditioning' defined The terms 'reconstruction and reconditioning', as used in this section, shall include the reconstruction, reconditioning, or modernization of a vessel for exclusive use on the Great Lakes, including the Saint Lawrence River and Gulf, if the Secretary of Transportation determines that the objectives of this chapter will be promoted by such reconstruction, reconditioning, or modernization, and, notwithstanding any other provisions of law, such vessel shall be deemed to be a 'new vessel' within the meaning of this section for such reconstruction, reconditioning, or modernization. -SOURCE- (June 29, 1936, ch. 858, title V, Sec. 511, as added Oct. 10, 1940, ch. 849, 54 Stat. 1106, and amended June 17, 1943, ch. 130, 57 Stat. 157; Dec. 23, 1944, ch. 714, 58 Stat. 920; July 17, 1952, ch. 939, Sec. 9-14, 66 Stat. 762-764; Sept. 8, 1959, Pub. L. 86-237, Sec. 1, 73 Stat. 471; Sept. 26, 1961, Pub. L. 87-303, Sec. 3, 75 Stat. 661; Oct. 10, 1962, Pub. L. 87-782, Sec. 1, 76 Stat. 796; Dec. 23, 1963, Pub. L. 88-227, Sec. 1, 77 Stat. 470; Sept. 12, 1964, Pub. L. 88-595, Sec. 1, 78 Stat. 943; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(92), 95 Stat. 161.) -REFTEXT- REFERENCES IN TEXT Section 102 of the Internal Revenue Code, referred to in subsec. (f), means section 102 of the Internal Revenue Code of 1939, which was classified to section 102 of former Title 26, Internal Revenue Code. Section 102 was repealed by section 7851(a)(1) of Title 26, Internal Revenue Code. For table of comparisons of the 1939 Code to the 1986 Code, see Table I preceding section 1 of Title 26. See also section 7851(e) of Title 26 for provision that references in the 1986 Code to a provision of the 1939 Code, not then applicable, shall be deemed a reference to the corresponding provision of the 1986 Code, which is then applicable. Chapter 1 of the Internal Revenue Code, referred to in subsec. (m), means chapter 1 of the Internal Revenue Code of 1939, which was classified to chapter 1 of former Title 26, Internal Revenue Code. Chapter 1 was comprised of sections 1 to 482 of former Title 26. Sections 1 to 142 and 145 to 482 were repealed by section 7851(a)(1) of Title 26, Internal Revenue Code. Sections 143 and 144 were repealed by section 7851(a)(2) of Title 26. For table of comparisons of the 1939 Code to the 1986 Code, see Table I preceding section 1 of Title 26. See also section 7851(e) of Title 26 for provision that references in the 1986 Code to a provision of the 1939 Code, not then applicable, shall be deemed a reference to the corresponding provision of the 1986 Code, which is then applicable. -MISC2- AMENDMENTS 1981 - Subsecs. (a), (b). Pub. L. 97-31, Sec. 12(92)(A), substituted 'Secretary of Transportation' for 'Commission' wherever appearing. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (g). Pub. L. 97-31, Sec. 12(92), substituted 'Secretary of Transportation' for 'Commission' wherever appearing and in subpars. (A) and (B), substituted 'him' for 'it'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsecs. (h), (i), (n), (o). Pub. L. 97-31, Sec. 12(92)(A), substituted 'Secretary of Transportation' for 'Commission' wherever appearing. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1964 - Subsec. (h). Pub. L. 88-595 substituted 'January 1, 1965' for 'January 1, 1964' and 'December 31, 1965' for 'December 31, 1964'. 1963 - Subsec. (h). Pub. L. 88-227 substituted 'January 1, 1964' for 'January 1, 1963' and 'December 31, 1964' for 'December 31, 1963'. 1962 - Subsec. (h). Pub. L. 87-782 substituted 'January 1, 1963' for 'January 1, 1962' and 'December 31, 1963' for 'December 31, 1962'. 1961 - Subsec. (h). Pub. L. 87-303 substituted 'January 1, 1962' for 'January 1, 1961' and 'December 31, 1962' for 'December 31, 1961'. 1959 - Subsec. (h). Pub. L. 86-237 substituted 'January 1, 1961' and 'December 31, 1961' for 'March 31, 1953' and 'September 30, 1953,' respectively. 1952 - Subsec. (b). Act July 17, 1952, Sec. 9, extended its provisions to the reconstruction and reconditioning of vessels. Subsec. (c). Act July 17, 1952, Sec. 10, struck out obsolete language. Subsec. (d). Act July 17, 1952, Sec. 11, provided for the adjustment in the tax basis of a vessel if the reserve funds are used for reconstruction, reconditioning, or liquidation of a purchase-money indebtedness on vessels. Subsec. (g). Act July 17, 1952, Sec. 12, provided that the reserve funds may be used for reconstruction, reconditioning, and liquidation of purchase money indebtedness, and extended the time of required commitment of deposits in order to avoid the imposition of taxes at the established rate. Subsec. (h). Act July 17, 1952, Sec. 13(a), extended extension period. Subsec. (i). Act July 17, 1952, Sec. 13(b), limited the additional 1.1% tax imposed on deposits in lieu of the capital-stock tax or declared excess profit tax to deposits made in taxable years ending on or before June 30, 1945. Subsec. (o). Act July 17, 1952, Sec. 14, added subsec. (o). 1944 - Subsec. (c). Act Dec. 23, 1944, amended first sentence generally. Subsec. (n). Act Dec. 23, 1944, added subsec. (n). 1943 - Subsec. (b). Act June 17, 1943, extended provisions of first sentence to ownership in whole or in part and to persons who had acquired or were having constructed a vessel or vessels. Subsec. (c). Act June 17, 1943, changed the dates of deposit in second sentence. Subsec. (g). Act June 17, 1943, inserted '(or in the discretion of the Commission, for a part interest therein)'. Subsec. (h). Act June 17, 1943, substituted 'Commission' for 'Commissioner of Internal Revenue' at beginning of subsec. and inserted proviso. EFFECTIVE DATE OF 1964 AMENDMENT Section 2 of Pub. L. 88-595 provided that: 'The amendment made by the first section of this Act (amending this section) shall take effect December 31, 1964, or on the date of enactment of this Act (Sept. 12, 1964), whichever date first occurs.' EFFECTIVE DATE OF 1963 AMENDMENT Section 2 of Pub. L. 88-227 provided that: 'The amendment made by the first section of this Act (amending this section) shall take effect December 31, 1963, or on the date of enactment of this Act (Dec. 23, 1963), whichever date first occurs.' EFFECTIVE DATE OF 1962 AMENDMENT Section 2 of Pub. L. 87-782 provided that: 'The amendment made by the first section of this Act (amending this section) shall take effect December 31, 1962, or on the date of enactment of this Act (Oct. 10, 1962), whichever date first occurs.' EFFECTIVE DATE OF 1959 AMENDMENT Section 2 of Pub. L. 86-237 provided that: 'The amendment made by the first section of this Act (amending this section) shall take effect June 30, 1959, or on the date of enactment of this Act (Sept. 8, 1959), whichever date first occurs.' -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- TERMINATION OF WAR Section 5 of act Aug. 8, 1947, ch. 515, 61 Stat. 917, as amended Apr. 20, 1949, ch. 82, 63 Stat. 56; Oct. 1, 1951, ch. 443, 65 Stat. 366; July 16, 1952, ch. 913, 66 Stat. 737, provided: 'For the purposes of the proviso of subsection (h) of section 511 of the Merchant Marine Act, 1936, as amended, added to such subsection by the Act of June 17, 1943 (57 Stat. 158) (subsec. (h) of this section), the present war shall be considered as having terminated on March 31, 1953.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 26 sections 543, 1023, 1061. ------DocID 53868 Document 769 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER VI -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- SUBCHAPTER VI - OPERATING-DIFFERENTIAL SUBSIDY -SECREF- SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 1131, 1152, 1191, 1204, 1211, 1222, 1223, 1226, 1227, 1228, 1244 of this Appendix. ------DocID 53869 Document 770 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1171 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1171. Subsidy authorized for operation of vessels in foreign trade or in off-season cruises -STATUTE- (a) Application for subsidy; conditions precedent to granting The Secretary of Transportation is authorized and directed to consider the application of any citizen of the United States for financial aid in the operation of a vessel or vessels, which are to be used in an essential service in the foreign commerce of the United States or in such service and in cruises authorized under section 1183 of this Appendix. In this subchapter VI the term 'essential service' means the operation of a vessel on a service, route, or line described in section 1121(a) of this Appendix or in bulk cargo carrying service described in section 1121(b) of this Appendix. No such application shall be approved by the Secretary of Transportation unless he determines that (1) the operation of such vessel or vessels in an essential service is required to meet foreign-flag competition and to promote the foreign commerce of the United States except to the extent such vessels are to be operated on cruises authorized under section 1183 of this Appendix, and that such vessel or vessels were built in the United States, or have been documented under the laws of the United States not later than February 1, 1928, or actually ordered and under construction for the account of citizens of the United States prior to such date; (2) the applicant owns, or leases or can and will build or purchase, or lease, a vessel or vessels of the size, type, speed, and number, and with the proper equipment required to enable him to operate in an essential service, in such manner as may be necessary to meet competitive conditions, and to promote foreign commerce; (3) the applicant possesses the ability, experience, financial resources, and other qualifications necessary to enable him to conduct the proposed operations of the vessel or vessels as to meet competitive conditions and promote foreign commerce; (4) the granting of the aid applied for is necessary to place the proposed operations of the vessel or vessels on a parity with those of foreign competitors, and is reasonably calculated to carry out effectively the purposes and policy of this chapter. To the extent the application covers cruises, as authorized under section 1183 of this Appendix, the Secretary of Transportation may make the portion of this last determination relating to parity on the basis that any foreign flag cruise from the United States competes with any American flag cruise from the United States. (b) Statements as to financial interests to accompany application; penalty for false statements Every application for an operating-differential subsidy under the provisions of this subchapter shall be accompanied by statements disclosing the names of all persons having any pecuniary interest, direct or indirect, in such application, or in the ownership or use of the vessel or vessels, routes, or lines covered thereby, and the nature and extent of any such interest, together with such financial and other statements as may be required by the Secretary of Transportation. All such statements shall be under oath or affirmation and in such form as the Secretary of Transportation shall prescribe. Any person who, in an application for financial aid under this subchapter or in any statement required to be filed therewith, willfully makes any untrue statement of a material fact, shall be guilty of a misdemeanor. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 601, 49 Stat. 2001; May 27, 1961, Pub. L. 87-45, Sec. 2, 75 Stat. 90; Oct. 21, 1970, Pub. L. 91-469, Sec. 14, 35(a), (h), 84 Stat. 1023, 1035, 1036; Dec. 31, 1970, Pub. L. 91-603, Sec. 4(c), (d), 84 Stat. 1675; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(93), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' in two places and for 'Commission' in one place. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (b). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1970 - Subsec. (a). Pub. L. 91-603 included the leasing of vessels in cl. (2). Pub. L. 91-469 inserted definition of 'essential service', and substituted 'an essential service' for 'such service, route, or line' in cl. (1) and 'in an essential service' for 'and maintain the service, route, or line' in cl. (2); substituted 'Secretary of Commerce' for 'Commission' in two places; and substituted 'he' for 'it' in third sentence preceding 'determines that', respectively. 1961 - Subsec. (a). Pub. L. 87-45 required the Federal Maritime Board to consider applications for financial aid in the operation of vessels in cruises under section 1183 of this Appendix, and permitted the Board, to the extent the application covers such cruises, to make the portion of the determination relating to parity on the basis that any foreign flag cruise from the United States competes with any American flag cruise from the United States. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1152 of this Appendix. ------DocID 53870 Document 771 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1172 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1172. Determination of necessity of subsidy to meet competition -STATUTE- Except with respect to cruises authorized under section 1183 of this Appendix, no contract for an operating-differential subsidy shall be made by the Secretary of Transportation for the operation of a vessel or vessels to meet foreign competition, except direct foreign-flag competition, until and unless the Secretary of Transportation, after a full and complete investigation and hearing, shall determine that an operating-differential subsidy is necessary to meet competition of foreign-flag ships. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 602, 49 Stat. 2002; June 23, 1938, ch. 600, Sec. 40(b), 52 Stat. 964; May 27, 1961, Pub. L. 87-45, Sec. 3, 75 Stat. 91; Oct. 21, 1970, Pub. L. 91-469, Sec. 35(a), 84 Stat. 1035; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(94), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Pub. L. 91-469 substituted 'Secretary of Commerce' for 'Commission' in two places. 1961 - Pub. L. 87-45 excepted cruises authorized under section 1183 of this Appendix. 1938 - Act June 23, 1938, substituted 'operating-differential subsidy' for 'operating subsidy'. ------DocID 53871 Document 772 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1173 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1173. Contracts for payment of subsidy -STATUTE- (a) Authorization of contracts If the Secretary of Transportation approves the application, he may enter into a contract with the applicant for the payment of an operating-differential subsidy determined in accordance with the provisions of subsection (b) of this section, for the operation of such vessel or vessels in an essential service and in cruises authorized under section 1183 of this Appendix for a period not exceeding twenty years, and subject to such reasonable terms and conditions, consistent with this chapter, as the Secretary of Transportation shall require to effectuate the purposes and policy of this chapter, including a performance bond with approved sureties, if such bond is required by the Secretary of Transportation. (b) Amount of subsidy Such contract shall provide, except as the parties should agree upon a lesser amount, that the amount of the operating-differential subsidy for the operation of vessels in an essential service shall equal the excess of the subsidizable wage costs of the United States officers and crews, the fair and reasonable cost of insurance, subsistence of officers and crews on passenger vessels, as defined in section 1183 of this Appendix, maintenance, and repairs not compensated by insurance, incurred in the operation under United States registry of the vessel or vessels covered by the contract, over the estimated fair and reasonable cost of the same items of expense (after deducting therefrom any estimated increase in such items necessitated by features incorporated pursuant to the provisions of section 1151(b) of this Appendix) if such vessel or vessels were operated under the registry of a foreign country whose vessels are substantial competitors of the vessel or vessels covered by the contract: Provided, however, That the Secretary of Transportation may, with respect to any vessel in an essential bulk cargo carrying service as described in section 1121(b) of this Appendix, pay, in lieu of the operating-differential subsidy provided by this subsection (b), such sums as he shall determine to be necessary to make the cost of operating such vessel competitive with the cost of operating similar vessels under the registry of a foreign country. For any period during which a vessel cruises as authorized by section 1183 of this Appendix, operating-differential subsidy shall be computed as though the vessel were operating on the essential service to which the vessel is assigned: Provided, however, That if the cruise vessel calls at a port or ports outside of its assigned service, but which is served with passenger vessels (as defined in section 1183 of this Appendix) by another subsidized operator at an operating-differential subsidy rate for wages lower than the cruise vessel has on its assigned essential service, the operating-differential subsidy rates for each of the subsidizable items for each day (a fraction of a day to count as a day) that the vessel stops at such port shall be at the respective rates applicable to the subsidized operator regularly serving the area. (c) 'Collective bargaining costs', 'base period costs', 'base period', and 'subsidizable wage costs of United States officers and crews' defined; determination of collective bargaining costs and establishment of new base periods; wage change index (1) When used in this section - (A) The term 'collective bargaining costs' means the annual cost, calculated on the basis of the per diem rate of expense as of any date, of all items of expense required of the applicant through collective bargaining or other agreement, covering the employ of United States officers and crew of a vessel, including payments required by law to assure old-age pensions, unemployment benefits, or similar benefits and taxes or other governmental assessments on crew payrolls, but excluding subsistence of officers and crews on vessels other than passenger vessels as defined in section 1183 of this Appendix and costs relating to: (i) the officers or members of the crew that the Secretary of Transportation has found, prior to the award of a contract for the construction or reconstruction of a vessel, to be unnecessary for the efficient and economical operation of such vessel: Provided, That the Secretary of Transportation shall afford representatives of the collective-bargaining unit or units responsible for the manning of the vessel an opportunity to comment on such finding prior to the effective date of such finding: And provided further, That in determining whether officers or members of the crew are necessary for the efficient and economical operation of such vessel, the Secretary of Transportation shall give due consideration to, but shall not be bound by, wage and manning scales and working conditions required by a bona fide collective-bargaining agreement, or (ii) those officers or members of the crew that the Secretary of Transportation has found, prior to ninety days following October 21, 1970, to be unnecessary for the efficient and economical operation of the vessel. (B) The term 'base period costs' means for the base period beginning July 1, 1970, and ending June 30, 1971, the collective-bargaining costs as of January 1, 1971, less all other items of cost that have been disallowed by the Secretary of Transportation prior to ninety days following October 21, 1970, and not already excluded from collective-bargaining costs under subparagraph (A)(i) or (A)(ii) of this subsection. In any subsequent base period the term 'base period costs' means the average of the subsidizable wage cost of United States officers and crews for the preceding annual period ending June 30 (calculated without regard to the limitation of the last sentence of paragraph (D) of this subdivision but increased or decreased by the increase or decrease in the index described in subdivision (3) of this subsection from January 1 of such annual period to January 1 of the base period), and the collective-bargaining costs as of January 1 of the base period: Provided, That in no event shall the base period cost be such that the difference between the base period cost and the collective-bargaining costs as of January 1 of any base period subsequent to the first base period exceeds five-fourths of 1 per centum of the collective-bargaining costs as of such January 1 multiplied by the number of years that have elapsed since the most recent base period. (C) The term 'base period' means any annual period beginning July 1, and ending June 30 with respect to which a base period cost is established. (D) The term 'subsidizable wage costs of United States officers and crews' in any period other than a base period means the most recent base period costs increased or decreased by the increase or decrease from January 1 of such base period to January 1 of such period in the index described in subdivision (3) hereof, and with respect to a base period means the base period cost. The subsidizable wage costs of United States officers and crews in any period other than a base period shall not be less than 90 per centum of the collective-bargaining costs as of January 1 of such period nor greater than 110 per centum of such collective-bargaining costs. (2) The Secretary of Transportation shall determine the collective-bargaining costs on ships in subsidized operation as of January 1, 1971, and as of each January 1 thereafter, and shall as of intervals of not less than two years nor more than four years, establish a new base period cost, except that the Secretary shall not establish a new base period unless he announces his intention to do so prior to the December 31 that would be included in the new base period. (3) The Bureau of Labor Statistics shall compile the index referred to in subdivision (1). Such index shall consist of the average annual change in wages and benefits placed into effect for employees covered by collective-bargaining agreements with equal weight to be given to changes affecting employees in the transportation industry (excluding the offshore maritime industry) and to changes affecting employees in private nonagricultural industries other than transportation. Such index shall be based on the materials regularly used by the Bureau of Labor Statistics in compiling its regularly published statistical series on wage and benefit changes arrived at through collective bargaining. Such materials shall remain confidential and not be subject to disclosure. (d) Foreign wage computation; foreign manning Each foreign wage cost computation shall be made after an opportunity is given to the contractor to submit in writing and in timely fashion all relevant data within his possession. In making the computation, the Secretary shall consider all relevant matter so presented and all foreign wage cost data collected at his request or on his behalf. Such foreign cost data shall be made available to an interested contractor, unless the Secretary shall find that disclosure of the data will prevent him from obtaining such data in the future. In determining foreign manning for purposes of this section, the foreign manning determined for any ship type with respect to any base period shall not be redetermined until the beginning of a new base period. (e) Monthly payment of wage subsidy; procedures for calculation and payment of subsidy on certain expenses The wage subsidy shall be payable monthly for the voyages completed during the month, upon the contractor's certification that the subsidized vessels were in authorized service during the month. The Secretary of Transportation shall prescribe procedures for the calculation and payment of subsidy on items of expense which are included in 'collective-bargaining costs' but are not included in the daily rate because they are unpredictably timed. (f) Monthly percentage payment of other than wage subsidy; security for refund of overpayments; payment of remainder after audit of voyage accounts Ninety percent of the amount of the insurance and maintenance and repair and subsistence of officers and crews subsidy shall be payable monthly for the voyages completed during the month on the basis of the subsidy estimated to have accrued with respect to such voyages. Any such payment shall be made only after there has been furnished to the Secretary of Transportation such security as he deems to be reasonable and necessary to assure refund of any overpayment. The contractor and the Secretary of Transportation shall audit the voyage accounts as soon as practicable after such payment. The remaining 10 percent of such subsidy shall be payable after such audit. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 603, 49 Stat. 2002; Aug. 4, 1939, ch. 417, Sec. 8, 53 Stat. 1185; May 27, 1961, Pub. L. 87-45, Sec. 4, 75 Stat. 91; Sept. 14, 1961, Pub. L. 87-243, 75 Stat. 513; Oct. 21, 1970, Pub. L. 91-469, Sec. 15-17, 35(a), (i), 84 Stat. 1023, 1024, 1035, 1036; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(94), 95 Stat. 161.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Subsec. (a). Pub. L. 91-469, Sec. 15, 35(a), (i), substituted 'an essential service' for 'such service, route, or line,' 'Secretary of Commerce' for 'Commission' in three places, and 'he' for 'it' before 'may enter', respectively. Subsec. (b). Pub. L. 91-469, Sec. 16, in amending first sentence, inserted ', except as the parties should agree upon a lesser amount,' after 'shall provide', 'subsistence of officers and crews on passenger vessels, as defined in section 1183 of this Appendix,' after 'cost of insurance,' and proviso for payment of necessary sums to make operating costs of American-flag vessels providing bulk cargo carrying services competitive with operating costs of similar vessels under foreign registry, and substituted 'vessels in an essential service shall equal the excess of the subsidizable wage costs of the United States officers and crews,' for 'vessels on a service, route, or line shall not exceed the excess of', 'maintenance, and repairs not compensated by insurance' for 'maintenance, repairs not compensated by insurance,' and 'incurred' for 'wages and subsistence of officers and crews, and any other items of expense in which the Commission shall find and determine that the applicant is at a substantial disadvantage in competition with vessels of the foreign country hereinafter referred to,'. Subsecs. (c) to (e). Pub. L. 91-469, Sec. 17(1), added subsecs. (c) to (e). Former subsec. (c) redesignated (f). Subsec. (f). Pub. L. 91-469, Sec. 17, redesignated former subsec. (c) as (f), substituted provision for monthly payment of ninety percent of subsidy (insurance and maintenance and repair and subsistence of officers and crews) on basis of estimated accrual of subsidy and payment of remaining ten percent after audit of voyage accounts for prior provisions for determination and payment of subsidy on basis of final accounting made annually or after some agreed fixed period and for payments on account limited to 75 per centum of estimated accrued amount and an additional 15 per centum for any particular voyage after an audit, substituted provision to 'assure' rather than 'insure' refund, and repealed second par. prohibition against payment of subsidy until contractor provided evidence that minimum wages prescribed by Secretary of Commerce under section 1131(a) of this Appendix had been paid to ships personnel. 1961 - Subsec. (a). Pub. L. 87-45, Sec. 4(a), inserted 'and in cruises authorized under section 1183 of this Appendix' after 'in such service, route, or line'. Subsec. (b). Pub. L. 87-45, Sec. 4(b), inserted provisions for the computation of the subsidy for periods during which a vessel cruises as authorized by section 1183 of this Appendix. Subsec. (c). Pub. L. 87-243 increased, effective on and after July 1, 1962, the amount payable on account from not more than 75 per centum to not more than 90 per centum of the amount estimated to have accrued on account of such subsidy, and reduced the amount payable to the contractor after the audit of the voyage from 15 to 5 per centum. 1939 - Subsec. (c). Act Aug. 4, 1939, permitted payment to the contractor of an additional 15 per centum. OPERATING-DIFFERENTIAL SUBSIDY CONTRACTS; AMENDMENT AND RECAPTURE PROVISIONS Section 40 of Pub. L. 91-469 provided that: '(a) The amendments made by this Act (see Short Title of 1970 Amendment note set out under section 1245 of this Appendix) shall not affect any contract with the Secretary of Commerce or his delegates that is in effect on the date of enactment of this Act (Oct. 21, 1970). At the request of the other party to such operating-differential subsidy contract, the Secretary of Commerce shall amend such contract so as to be in accordance with all of the amendments made by this Act. No amendment made by this Act shall be incorporated in such contract unless all such amendments are incorporated in such contract, except that if the other party elects to continue under the 'old fund' as provided in section 607 as amended by section 21 of this Act (section 1177 of this Appendix), such amendment need not be incorporated in such contract. Until such contract is amended or if such contract is not amended, it shall be administered in accordance with the provisions of the Merchant Marine Act, 1936 (this chapter) as they existed immediately prior to enactment of this Act. Nothing in section 16 of this Act amending section 603 of the Merchant Marine Act, 1936 (subsec. (b) of this section) or in the contracts made thereunder, shall be deemed to affect or to change existing law or contracts with respect to the proceedings now pending before the Secretary of Commerce relating to the payment of subsidy in respect of cargoes covered by section 901(b)(1) of the Merchant Marine Act, 1936 (section 1241(b)(1) of this Appendix), section 616(a) of Title 15, United States Code, or section 2631 of Title 10, United States Code. '(b) If any operating-differential subsidy contract in existence on the date of enactment of this Act (Oct. 21, 1970) is amended by including all of the amendments made by this Act or all of the amendments made by this Act other than those made by section 21 (amending section 1177 of this Appendix), the operator may elect to terminate his recapture period as of the date of such contract amendment and have his recapture computed on the basis of the shortened period, or he may elect to continue his recapture period until the end of its ten-year term and continue his recapture obligations as provided by the Merchant Marine Act, 1936, prior to the enactment of this Act (see Short Title of 1970 Amendment note set out under section 1245 of this Appendix) until the end of such ten-year period. The amendments in either event shall provide that, with respect to seafaring personnel, in determining the rights and obligations of the contractor under such contract, the limitation of section 805(c) of the Merchant Marine Act, 1936 (section 1223(c) of this Appendix), as it existed immediately before the enactment of this Act (Oct. 21, 1970) shall not apply.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1183 of this Appendix. ------DocID 53872 Document 773 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1174 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1174. Additional subsidy; when authorized -STATUTE- If in the case of any particular foreign-trade route the Secretary of Transportation shall find after consultation with the Secretary of State, that the subsidy provided for in this subchapter is in any respect inadequate to offset the effect of governmental aid paid to foreign competitors, he may grant such additional subsidy as he determines to be necessary for that purpose. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 604, 49 Stat. 2003; June 23, 1938, ch. 600, Sec. 21, 52 Stat. 959; Aug. 4, 1939, ch. 417, Sec. 9, 53 Stat. 1185; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(95), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' and 'he' for 'it', and struck out provision relating to subsidy voting requirements. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note set out below. 1939 - Act Aug. 4, 1939, reduced requirement in proviso from unanimous vote to vote of four commissioners. 1938 - Act June 23, 1938, authorized additional subsidies only where the Commission (which had reference to United States Maritime Commission) by unanimous vote finds after consultation with the Secretary of State that the subsidy is inadequate. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53873 Document 774 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1175 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1175. Vessels excluded from subsidy -STATUTE- (a) Vessels engaged in coastwise or intercoastal trade; vessels on inland waterways No operating-differential subsidy shall be paid for the operation of any vessel on a voyage on which it engages in coastwise or intercoastal trade: Provided, however, That such subsidy may be paid on a round-the-world voyage or a round voyage from the west coast of the United States to a European port or ports or a round voyage from the Atlantic coast to the Orient which includes intercoastal ports of the United States or a voyage in foreign trade on which the vessel may stop at the State of Hawaii, or an island possession or island territory of the United States, and if the subsidized vessel earns any gross revenue on the carriage of mail, passengers, or cargo by reason of such coastal or intercoastal trade the subsidy payment for the entire voyage shall be reduced by an amount which bears the same ratio to the subsidy otherwise payable as such gross revenue bears to the gross revenue derived from the entire voyage. No vessel operating on the inland waterways of the United States shall be considered for the purposes of this chapter to be operating in foreign trade. (b) Vessels more than 25 years old No operating-differential subsidy shall be paid for the operation of a vessel that is more than twenty-five years of age unless the Secretary of Transportation finds that it is to the public interest to grant such financial aid for the operation of such vessel and enters a formal order thereon. (c) Vessels to be operated in an essential service served by citizens of United States No contract shall be made under this subchapter with respect to a vessel to be operated in an essential service served by citizens of the United States which would be in addition to the existing service, or services, unless the Secretary of Transportation shall determine after proper hearing of all parties that the service already provided by vessels of United States registry is inadequate, and that in the accomplishment of the purposes and policy of this chapter additional vessels should be operated thereon; and no contract shall be made with respect to a vessel operated or to be operated in an essential service served by two or more citizens of the United States with vessels of United States registry, if the Secretary of Transportation shall determine the effect of such a contract would be to give undue advantage or be unduly prejudicial, as between citizens of the United States, in the operation of vessels in such essential service unless following public hearing, due notice of which shall be given to each operator serving such essential service, the Secretary of Transportation shall find that it is necessary to enter into such contract in order to provide adequate service by vessels of United States registry. The Secretary of Transportation in determining for the purposes of this section whether services are competitive, shall take into consideration the type, size, and speed of the vessels employed, whether passenger or cargo, or combination passenger and cargo, vessels, the ports or ranges between which they run, the character of cargo carried, and such other facts as he may deem proper. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 605, 49 Stat. 2003; July 17, 1952, ch. 939, Sec. 15, 66 Stat. 764; Mar. 18, 1959, Pub. L. 86-3, Sec. 18(b)(2), 73 Stat. 12; June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216; Nov. 8, 1965, Pub. L. 89-348, Sec. 1(9), 79 Stat. 1310; Oct. 21, 1970, Pub. L. 91-469, Sec. 18, 19, 26(b), 35(a), (j), 84 Stat. 1025, 1026, 1034-1036; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(96), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Subsecs. (b), (c). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Subsec. (a). Pub. L. 91-469, Sec. 26(b), struck out 'on the Great Lakes or' after 'No vessel operating' in last sentence. Subsec. (b). Pub. L. 91-469, Sec. 18, substituted 'unless the Secretary of Commerce' for 'unless the Commission' and deleted preceding such words 'except one whose life expectancy has been determined as provided in section 1177(b) of this Appendix for a period in no case to exceed the life expectancy determined thereunder,'. Subsec. (c). Pub. L. 91-469, Sec. 19, 35(a), (j), substituted 'in an essential service' for 'on a service, route, or line', 'an essential service' for 'a service, route, or line', and 'such essential service' for 'competitive services, routes, or lines,' and struck out 'in such service, route, or line' before 'is inadequate' in first sentence; substituted 'Secretary of Commerce' for 'Commission' in four places; and substituted 'he' for 'it' before 'may deem' in last sentence, respectively. 1965 - Subsec. (b). Pub. L. 89-348 struck out provisions which required an annual report covering each case and the reasons therefor in which an exception is made to the prohibition against payment of an operating-differential subsidy for the operation of a vessel beyond its economic life. 1960 - Subsec. (b). Pub. L. 86-518 substituted 'twenty-five years' for 'twenty years'. 1959 - Subsec. (a). Pub. L. 86-3 included stops at the State of Hawaii. 1952 - Subsec. (b). Act July 17, 1952, permitted the recomputation of the life-expectancy of a reconstructed or reconditioned vessel in use under an operating differential-subsidy contract, and provided for recomputation of depreciation changes. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACT, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1183, 1213 of this Appendix. ------DocID 53874 Document 775 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1176 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1176. Readjustments; change in service; withdrawal from service; payment of excess profits; wages, etc.; American materials -STATUTE- Every contract for an operating-differential subsidy under this subchapter shall provide (1) that the amount of the future payments to the contractor shall be subject to review and readjustment from time to time, but not more frequently than once a year, at the instance of the Secretary of Transportation or of the contractor. If any such readjustment cannot be reached by mutual agreement, the Secretary of Transportation, on his own motion or on the application of the contractor, shall, after a proper hearing, determine the facts and make such readjustment in the amount of such future payments as he may determine to be fair and reasonable and in the public interest. The testimony in every such proceeding shall be reduced to writing and filed in the office of the Secretary of Transportation. His decision shall be based upon and governed by the changes which may have occurred since the date of the said contract, with respect to the items theretofore considered and on which such contract was based, and other conditions affecting shipping, and shall be promulgated in a formal order, which shall be accompanied by a report in writing in which the Secretary of Transportation shall state his findings of fact; (2) that the compensation to be paid under it shall be reduced, under such terms and in such amounts as the Secretary of Transportation shall determine, for any periods in which the vessel or vessels are laid up; (3) that if the Secretary of Transportation shall determine that a change in an essential service, which is receiving an operating-differential subsidy under this subchapter, is necessary in the accomplishment of the purposes of this chapter, it may make such change upon such readjustment of payments to the contractor as shall be arrived at by the method prescribed in clause (1) of these conditions; (4) that if at any time the contractor receiving an operating-differential subsidy claims that he cannot maintain and operate his vessels in such an essential service, with a reasonable profit upon his investment, and applies to the Secretary of Transportation for a modification or rescission of his contract to maintain such essential service, and the Secretary of Transportation determines that such claim is proved the Secretary of Transportation shall modify or rescind such contract and permit the contractor to withdraw such vessels from such essential service upon a date fixed by the Secretary of Transportation, and upon the date of such withdrawal the further payment of the operating differential subsidy shall cease and the contractor be discharged from any further obligation under such contract; (5) that the contractor shall conduct his operations with respect to essential services and any services authorized under section 1183 of this Appendix, covered by his contract in an economical and efficient manner, and (6) that whenever practicable, an operator who receives subsidy with respect to subsistence of officers and crews shall use as such subsistence items only articles, materials, and supplies of the growth, production, and manufacture of the United States, as defined in section 1155 of this Appendix, except when it is necessary to purchase supplies outside the United States to enable such vessel to continue and complete her voyage, and an operator who receives subsidy with respect to repairs shall perform such repairs within any of the United States or the Commonwealth of Puerto Rico, except in an emergency. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 606, 49 Stat. 2004; June 23, 1938, ch. 600, Sec. 22, 52 Stat. 960; July 17, 1952, ch. 939, Sec. 16, 66 Stat. 764; May 10, 1956, ch. 247, Sec. 1, 70 Stat. 148; July 12, 1960, Pub. L. 86-624, Sec. 35(b), 74 Stat. 421; May 27, 1961, Pub. L. 87-45, Sec. 5, 75 Stat. 91; Oct. 21, 1970, Pub. L. 91-469, Sec. 20, 35(a), (k), 84 Stat. 1026, 1035, 1036; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(96), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1970 - Pub. L. 91-469, Sec. 35(a), substituted 'Secretary of Commerce' for 'Commission' wherever appearing. Cl. (1). Pub. L. 91-469, Sec. 35(k)(1)-(3), substituted 'his' for 'its' in two places, 'he' for 'it', and 'His' for 'Its', respectively. Cl. (3). Pub. L. 91-469, Sec. 20(1), 35(k)(2), substituted 'and essential service' for 'the service, route, or line' and 'he' for 'it', respectively. Cl. (4). Pub. L. 91-469, Sec. 20(2), (3), substituted 'in such an essential service' for 'on such service, route, or line' and 'essential service' for 'service, route, or line' in two places, respectively. Cl. (5). Pub. L. 91-469, Sec. 20(4), (5), (6)-(9), struck out cl. (5) providing that when at the end of any ten-year period the contractor's net profit on his subsidized vessels has averaged more than 10 percent of his capital necessarily employed, he shall pay one-half of such net profit to the United States, but not exceeding the operating-differential subsidy paid to him during the period, as partial or complete reimbursement of the operating subsidy; redesignated cl. (6) as (5); and substituted therein 'essential services', 'services', and 'an economical' for 'the vessel's services, routes, and lines', 'cruises', and 'the most economical' and struck out therefrom 'but with due regard to the wage and manning scales and working conditions prescribed by the Commission as provided in subchapter III of this chapter' after 'efficient manner,', respectively. Cls. (6), (7). Pub. L. 91-469, Sec. 20(10), (11), redesignated cl. (7) as (6) and substituted 'an operator who received subsidy with respect to subsistence of officers and crews shall use as such subsistence items' for 'the operator shall use', '1155' for '1155(a)', and 'and an operator who receives subsidy with respect to repairs shall perform such repairs within any of the United States or the Commonwealth of Puerto Rico,' and struck out 'and equipment' before 'outside the United States' and definition of 'continental limits of the United States' as including States of Alaska and Hawaii, respectively. Former cl. (6) redesignated (5). 1961 - Cl. (6). Pub. L. 87-45 inserted ', and any cruises authorized under section 1183 of this Appendix,' after 'services, routes, and lines'. 1960 - Pub. L. 86-624 inserted definition of 'continental limits of the United States.' 1956 - Cl. (5). Act May 10, 1956, provided that termination of subsidy contract shall not end the 10-year recapture period if subsidized operations continue under a new, or consecutive, contract. 1952 - Cl. (5). Act July 17, 1952, substituted 'life expectancy of the subsidized vessel determined as provided in section 1177(b) of this Appendix' for 'twenty-year life expectancy of the subsidized vessels'. 1938 - Cl. (5). Act June 23, 1938, substituted 'ten-year period' for 'five-year period' in three places, and inserted provisions to permit computation of net profits without regard to capital gains and losses. AMENDMENT OF CONTRACT Section 2 of act May 10, 1956, provided that: 'Each operating-differential subsidy contract in force on the date of enactment of this act (May 10, 1956) shall, if the subsidized contractor consents, be amended to conform to the provisions of section 606 of the Merchant Marine Act, 1936 (this section), as amended by section 1 of this act.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1177 of this Appendix; title 26 section 7518. ------DocID 53875 Document 776 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1177 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1177. Capital construction fund -STATUTE- (a) Agreement rules; persons eligible; replacement, additional, or reconstructed vessels for prescribed trade and fishery operations; amount of deposits, annual limitation; conditions and requirements for deposits and withdrawals Any citizen of the United States owning or leasing one or more eligible vessels (as defined in subsection (k)(1) of this section) may enter into an agreement with the Secretary under, and as provided in, this section to establish a capital construction fund (hereinafter in this section referred to as the 'fund') with respect to any or all of such vessels. Any agreement entered into under this section shall be for the purpose of providing replacement vessels, additional vessels, or reconstructed vessels, built in the United States and documented under the laws of the United States for operation in the United States foreign, Great Lakes, or noncontiguous domestic trade or in the fisheries of the United States and shall provide for the deposit in the fund of the amounts agreed upon as necessary or appropriate to provide for qualified withdrawals under subsection (f) of this section. The deposits in the fund, and all withdrawals from the fund, whether qualified or nonqualified, shall be subject to such conditions and requirements as the Secretary may by regulations prescribe or are set forth in such agreement; except that the Secretary may not require any person to deposit in the fund for any taxable year more than 50 percent of that portion of such person's taxable income for such year (computed in the manner provided in subsection (b)(1)(A) of this section) which is attributable to the operation of the agreement vessels. (b) Ceiling on deposits; lessees; 'agreement vessel' defined (1) The amount deposited under subsection (a) of this section in the fund for any taxable year shall not exceed the sum of: (A) that portion of the taxable income of the owner or lessee for such year (computed as provided in chapter 1 of the Internal Revenue Code of 1986 (26 U.S.C. 1 et seq.) but without regard to the carryback of any net operating loss or net capital loss and without regard to this section) which is attributable to the operation of the agreement vessels in the foreign or domestic commerce of the United States or in the fisheries of the United States, (B) the amount allowable as a deduction under section 167 of the Internal Revenue Code of 1986 (26 U.S.C. 167) for such year with respect to the agreement vessels, (C) if the transaction is not taken into account for purposes of subparagraph (A), the net proceeds (as defined in joint regulations) from (i) the sale or other disposition of any agreement vessel, or (ii) insurance or indemnity attributable to any agreement vessel, and (D) the receipts from the investment or reinvestment of amounts held in such fund. (2) In the case of a lessee, the maximum amount which may be deposited with respect to an agreement vessel by reason of paragraph (1)(B) for any period shall be reduced by any amount which, under an agreement entered into under this section, the owner is required or permitted to deposit for such period with respect to such vessel by reason of paragraph (1)(B). (3) For purposes of paragraph (1), the term 'agreement vessel' includes barges and containers which are part of the complement of such vessel and which are provided for in the agreement. (c) Investment requirements; depositories; fiduciary requirements; interest-bearing securities; stock: percentage for domestic issues, listing and registration, prudent acquisitions, value and percentage equilibrium, and treatment of preferred issues Amounts in any fund established under this section shall be kept in the depository or depositories specified in the agreement and shall be subject to such trustee and other fiduciary requirements as may be specified by the Secretary. They may be invested only in interest-bearing securities approved by the Secretary; except that, if the Secretary consents thereto, an agreed percentage (not in excess of 60 percent) of the assets of the fund may be invested in the stock of domestic corporations. Such stock must be currently fully listed and registered on an exchange registered with the Securities and Exchange Commission as a national securities exchange, and must be stock which would be acquired by prudent men of discretion and intelligence in such matters who are seeking a reasonable income and the preservation of their capital. If at any time the fair market value of the stock in the fund is more than the agreed percentage of the assets in the fund, any subsequent investment of amounts deposited in the fund, and any subsequent withdrawal from the fund, shall be made in such a way as to tend to restore the fund to a situation in which the fair market value of the stock does not exceed such agreed percentage. For purposes of this subsection, if the common stock of a corporation meets the requirements of this subsection and if the preferred stock of such corporation would meet such requirements but for the fact that it cannot be listed and registered as required because it is nonvoting stock, such preferred stock shall be treated as meeting the requirements of this subsection. (d) Nontaxability of deposits; eligible deposits (1) For purposes of the Internal Revenue Code of 1986 - (A) taxable income (determined without regard to this section and section 7518 of such Code (26 U.S.C. 7518)) for the taxable year shall be reduced by an amount equal to the amount deposited for the taxable year out of amounts referred to in subsection (b)(1)(A) of this section, (B) gain from a transaction referred to in subsection (b)(1)(C) of this section, shall not be taken into account if an amount equal to the net proceeds (as defined in joint regulations) from such transaction is deposited in the fund, (C) the earnings (including gains and losses) from the investment and reinvestment of amounts held in the fund shall not be taken into account, (D) the earnings and profits of any corporation (within the meaning of section 316 of such Code (26 U.S.C. 316)) shall be determined without regard to this section and section 7518 of such Code (26 U.S.C. 7518), and (E) in applying the tax imposed by section 531 of such Code (26 U.S.C. 531) (relating to the accumulated earnings tax), amounts while held in the fund shall not be taken into account. (2) Paragraph (1) shall apply with respect to any amount only if such amount is deposited in the fund pursuant to the agreement and not later than the time provided in joint regulations. (e) Accounts within fund: capital account, capital gain account, and ordinary income account; limitation on capital losses For purposes of this section - (1) Within the fund established pursuant to this section three accounts shall be maintained: (A) the capital account, (B) the capital gain account, and (C) the ordinary income account. (2) The capital account shall consist of - (A) amounts referred to in subsection (b)(1)(B) of this section, (B) amounts referred to in subsection (b)(1)(C) of this section other than that portion thereof which represents gain not taken into account by reason of subsection (d)(1)(B) of this section, (C) the percentage applicable under section 243(a)(1) of the Internal Revenue Code of 1986 (26 U.S.C. 243(a)(1)) of any dividend received by the fund with respect to which the person maintaining the fund would (but for subsection (d)(1)(C) of this section) be allowed a deduction under section 243 of the Internal Revenue Code of 1986 (26 U.S.C. 243), and (D) interest income exempt from taxation under section 103 of such Code (26 U.S.C. 103). (3) The capital gain account shall consist of - (A) amounts representing capital gains on assets held for more than 6 months and referred to in subsection (b)(1)(C) or (b)(1)(D) of this section reduced by (B) amounts representing capital losses on assets held in the fund for more than 6 months. (4) The ordinary income account shall consist of - (A) amounts referred to in subsection (b)(1)(A) of this section, (B)(i) amounts representing capital gains on assets held for 6 months or less and referred to in subsection (b)(1)(C) or (b)(1)(D) of this section, reduced by - (ii) amounts representing capital losses on assets held in the fund for 6 months or less, (C) interest (not including any tax-exempt interest referred to in paragraph (2)(D)) and other ordinary income (not including any dividend referred to in subparagraph (E)) received on assets held in the fund, (D) ordinary income from a transaction described in subsection (b)(1)(C) of this section, and (E) the portion of any dividend referred to in paragraph (2)(C) not taken into account under such paragraph. (5) Except on termination of a fund, capital losses referred to in paragraph (3)(B) or in paragraph (4)(B)(ii) shall be allowed only as an offset to gains referred to in paragraph (3)(A) or (4)(B)(i), respectively. (f) Purposes of qualified withdrawals; nonqualified withdrawal treatment for nonfulfillment of substantial obligations (1) A qualified withdrawal from the fund is one made in accordance with the terms of the agreement but only if it is for: (A) the acquisition, construction, or reconstruction of a qualified vessel, (B) the acquisition, construction, or reconstruction of barges and containers which are part of the complement of a qualified vessel, or (C) the payment of the principal on indebtedness incurred in connection with the acquisition, construction or reconstruction of a qualified vessel or a barge or container which is part of the complement of a qualified vessel. Except to the extent provided in regulations prescribed by the Secretary, subparagraph (B), and so much of subparagraph (C) as relates only to barges and containers, shall apply only with respect to barges and containers constructed in the United States. (2) Under joint regulations, if the Secretary determines that any substantial obligation under any agreement is not being fulfilled, he may, after notice and opportunity for hearing to the person maintaining the fund, treat the entire fund or any portion thereof as an amount withdrawn from the fund in a nonqualified withdrawal. (g) Tax treatment of qualified withdrawals; basis: reduction (1) Any qualified withdrawal from a fund shall be treated - (A) first as made out of the capital account, (B) second as made out of the capital gain account, and (C) third as made out of the ordinary income account. (2) If any portion of a qualified withdrawal for a vessel, barge, or container is made out of the ordinary income account, the basis of such vessel, barge, or container shall be reduced by an amount equal to such portion. (3) If any portion of a qualified withdrawal for a vessel, barge, or container is made out of the capital gain account, the basis of such vessel, barge, or container shall be reduced by an amount equal to such portion. (4) If any portion of a qualified withdrawal to pay the principal on any indebtedness is made out of the ordinary income account or the capital gain account, then an amount equal to the aggregate reduction which would be required by paragraphs (2) and (3) if this were a qualified withdrawal for a purpose described in such paragraphs shall be applied,in the order provided in joint regulations, to reduce the basis of vessels, barges, and containers owned by the person maintaining the fund. Any amount of a withdrawal remaining after the application of the preceding sentence shall be treated as a nonqualified withdrawal. (5) If any property the basis of which was reduced under paragraph (2), (3), or (4) is disposed of, any gain realized on such disposition, to the extent it does not exceed the aggregate reduction in the basis of such property under such paragraphs, shall be treated as an amount referred to in subsection (h)(3)(A) of this section which was withdrawn on the date of such disposition. Subject to such conditions and requirements as may be provided in joint regulations, the preceding sentence shall not apply to a disposition where there is a redeposit in an amount determined under joint regulations which will, insofar as practicable, restore the fund to the position it was in before the withdrawal. (h) Tax treatment of nonqualified withdrawals; FIFO and LIFO bases; interest rate; amounts not withdrawn after 25 years; highest marginal rate of tax (1) Except as provided in subsection (i) of this section, any withdrawal from a fund which is not a qualified withdrawal shall be treated as a nonqualified withdrawal. (2) Any nonqualified withdrawal from a fund shall be treated - (A) first as made out of the ordinary income account, (B) second as made out of the capital gain account, and (C) third as made out of the capital account. For purposes of this section, items withdrawn from any account shall be treated as withdrawn on a first-in-first-out basis; except that (i) any nonqualified withdrawal for research, development, and design expenses incident to new and advanced ship design, machinery and equipment, and (ii) any amount treated as a nonqualified withdrawal under the second sentence of subsection (g)(4) of this section, shall be treated as withdrawn on a last-in-first-out basis. (3) For purposes of the Internal Revenue Code of 1986 - (A) any amount referred to in paragraph (2)(A) shall be included in income as an item of ordinary income for the taxable year in which the withdrawal is made, (B) any amount referred to in paragraph (2)(B) shall be included in income for the taxable year in which the withdrawal is made as an item of gain realized during such year from the disposition of an asset held for more than 6 months, and (C) for the period on or before the last date prescribed for payment of tax for the taxable year in which this withdrawal is made - (i) no interest shall be payable under section 6601 of such Code (26 U.S.C. 6601) and no addition to the tax shall be payable under section 6651 of such Code (26 U.S.C. 6651), (ii) interest on the amount of the additional tax attributable to any item referred to in subparagraph (A) or (B) shall be paid at the applicable rate (as defined in paragraph (4)) from the last date prescribed for payment of the tax for the taxable year for which such item was deposited in the fund, and (iii) no interest shall be payable on amounts referred to in clauses (i) and (ii) of paragraph (2) or in the case of any nonqualified withdrawal arising from the application of the recapture provision of section 1176(5) of this Appendix as in effect on December 31, 1969. (4) For purposes of paragraph (3)(C)(ii), the applicable rate of interest for any nonqualified withdrawal - (A) made in a taxable year beginning in 1970 or 1971 is 8 percent, or (B) made in a taxable year beginning after 1971, shall be determined and published jointly by the Secretary of the Treasury and the Secretary and shall bear a relationship to 8 percent which the Secretaries determine under joint regulations to be comparable to the relationship which the money rates and investment yields for the calendar year immediately preceding the beginning of the taxable year bear to the money rates and investment yields for the calendar year 1970. (5) Amount not withdrawn from fund after 25 years from deposit taxed as nonqualified withdrawal. - (A) In general. - The applicable percentage of any amount which remains in a capital construction fund at the close of the 26th, 27th, 28th, 29th, or 30th taxable year following the taxable year for which such amount was deposited shall be treated as a nonqualified withdrawal in accordance with the following table: If the amount remains in the fund at the The applicable close of the - percentage is - 26th taxable year 20 percent 27th taxable year 40 percent 28th taxable year 60 percent 29th taxable year 80 percent 30th taxable year 100 percent. (B) Earnings treated as deposits. - The earnings of any capital construction fund for any taxable year (other than net gains) shall be treated for purposes of this paragraph as an amount deposited for such taxable year. (C) Amounts committed treated as withdrawn. - For purposes of subparagraph (A), an amount shall not be treated as remaining in a capital construction fund at the close of any taxable year to the extent there is a binding contract at the close of such year for a qualified withdrawal of such amount with respect to an identified item for which such withdrawal may be made. (D) Authority to treat excess funds as withdrawn. - If the Secretary determines that the balance in any capital construction fund exceeds the amount which is appropriate to meet the vessel construction program objectives of the person who established such fund, the amount of such excess shall be treated as a nonqualified withdrawal under subparagraph (A) unless such person develops appropriate program objectives within 3 years to dissipate such excess. (E) Amounts in fund on january 1, 1987. - For purposes of this paragraph, all amounts in a capital construction fund on January 1, 1987, shall be treated as deposited in such fund on such date. (6) Nonqualified withdrawals taxed at highest marginal rate. - (A) In general. - In the case of any taxable year for which there is a nonqualified withdrawal (including any amount so treated under paragraph (5)), the tax imposed by chapter 1 of the Internal Revenue Code of 1986 (26 U.S.C. 1 et seq.) shall be determined - (i) by excluding such withdrawal from gross income, and (ii) by increasing the tax imposed by chapter 1 of such Code by the product of the amount of such withdrawal and the highest rate of tax specified in section 1 (section 11 in the case of a corporation) of such Code (26 U.S.C. 1, 11). With respect to the portion of any nonqualified withdrawal made out of the capital gain account during a taxable year to which section 1(h) or 1201(a) of such Code (26 U.S.C. 1(h), 1201(a)) applies, the rate of tax taken into account under the preceding sentence shall not exceed 28 percent (34 percent in the case of a corporation). (B) Tax benefit rule. - If any portion of a nonqualified withdrawal is properly attributable to deposits (other than earnings on deposits) made by the taxpayer in any taxable year which did not reduce the taxpayer's liability for tax under chapter 1 (26 U.S.C. 1 et seq.) for any taxable year preceding the taxable year in which such withdrawal occurs - (i) such portion shall not be taken into account under subparagraph (A), and (ii) an amount equal to such portion shall be treated as allowed as a deduction under section 172 of such Code (26 U.S.C. 172) for the taxable year in which such withdrawal occurs. (C) Coordination with deduction for net operating losses. - Any nonqualified withdrawal excluded from gross income under subparagraph (A) shall be excluded in determining taxable income under section 172(b)(2) of the Internal Revenue Code of 1986 (26 U.S.C. 172(b)(2)). (i) Corporate reorganizations and partnership changes Under joint regulations - (1) a transfer of a fund from one person to another person in a transaction to which section 381 of the Internal Revenue Code of 1986 (26 U.S.C. 381) applies may be treated as if such transaction did not constitute a nonqualified withdrawal, and (2) a similar rule shall be applied in the case of a continuation of a partnership (within the meaning of subchapter K (FOOTNOTE 1) of such Code (26 U.S.C. 701 et seq.)). (FOOTNOTE 1) So in original. Probably should be followed by 'of chapter 1'. (j) Treatment of existing funds; relation of old to new fund (1) Any person who was maintaining a fund or funds (hereinafter in this subsection referred to as 'old fund') under this section (as in effect before the enactment of this subsection) may elect to continue such old fund but - (A) may not hold moneys in the old fund beyond the expiration date provided in the agreement under which such old fund is maintained (determined without regard to any extension or renewal entered into after April 14, 1970), (B) may not simultaneously maintain such old fund and a new fund established under this section, and (C) if he enters into an agreement under this section to establish a new fund, may agree to the extension of such agreement to some or all of the amounts in the old fund. (2) In the case of any extension of an agreement pursuant to paragraph (1)(C), each item in the old fund to be transferred shall be transferred in a nontaxable transaction to the appropriate account in the new fund established under this section. For purposes of subsection (h)(3)(C) of this section, the date of the deposit of any item so transferred shall be July 1, 1971, or the date of the deposit in the old fund, whichever is the later. (k) Definitions For purposes of this section - (1) The term 'eligible vessel' means any vessel - (A) constructed in the United States and, if reconstructed, reconstructed in the United States, (B) documented under the laws of the United States, and (C) operated in the foreign or domestic commerce of the United States or in the fisheries of the United States. Any vessel which (i) was constructed outside of the United States but documented under the laws of the United States on April 15, 1970, or (ii) constructed outside the United States for use in the United States foreign trade pursuant to a contract entered into before April 15, 1970, shall be treated as satisfying the requirements of subparagraph (A) of this paragraph and the requirements of subparagraph (A) of paragraph (2). (2) The term 'qualified vessel' means any vessel - (A) constructed in the United States and, if reconstructed, reconstructed in the United States, (B) documented under the laws of the United States, and (C) which the person maintaining the fund agrees with the Secretary will be operated in the United States foreign, Great Lakes, or noncontiguous domestic trade or in the fisheries of the United States. (3) The term 'agreement vessel' means any eligible vessel or qualified vessel which is subject to an agreement entered into under this section. (4) The term 'United States', when used in a geographical sense, means the continental United States including Alaska, Hawaii, and Puerto Rico. (5) The term 'United States foreign trade' includes (but is not limited to) those areas in domestic trade in which a vessel built with construction-differential subsidy is permitted to operate under the first sentence of section 1156 of this Appendix. (6) The term 'joint regulations' means regulations prescribed under subsection (l) of this section. (7) The term 'vessel' includes cargo handling equipment which the Secretary determines is intended for use primarily on the vessel. The term 'vessel' also includes an ocean-going towing vessel or an ocean-going barge or comparable towing vessel or barge operated on the Great Lakes. (8) The term 'noncontiguous trade' means (i) trade between the contiguous forty-eight States on the one hand and Alaska, Hawaii, Puerto Rico and the insular territories and possessions of the United States on the other hand, and (ii) trade from any point in Alaska, Hawaii, Puerto Rico, and such territories and possessions to any other point in Alaska, Hawaii, Puerto Rico, and such territories and possessions. (9) The term 'Secretary' means the Secretary of Commerce with respect to eligible or qualified vessels operated or to be operated in the fisheries of the United States, and the Secretary of Transportation with respect to all other vessels. (l) Records; reports; rules and regulations; termination of agreement upon changes in regulations with substantial effect on rights or obligations Each person maintaining a fund under this section shall keep such records and shall make such reports as the Secretary or the Secretary of the Treasury shall require. The Secretary of the Treasury and the Secretary shall jointly prescribe all rules and regulations, not inconsistent with the foregoing provisions of this section, as may be necessary or appropriate to the determination of tax liability under this section. If, after an agreement has been entered into under this section, a change is made either in the joint regulations or in the regulations prescribed by the Secretary under this section which could have a substantial effect on the rights or obligations of any person maintaining a fund under this section, such person may terminate such agreement. (m) Departmental reports and certification (1) In general For each calendar year, the Secretaries shall each provide the Secretary of the Treasury, within 120 days after the close of such calendar year, a written report with respect to those capital construction funds that are under their jurisdiction. (2) Contents of reports Each report shall set forth the name and taxpayer identification number of each person - (A) establishing a capital construction fund during such calendar year; (B) maintaining a capital construction fund as of the last day of such calendar year; (C) terminating a capital construction fund during such calendar year; (D) making any withdrawal from or deposit into (and the amounts thereof) a capital construction fund during such calendar year; or (E) with respect to which a determination has been made during such calendar year that such person has failed to fulfill a substantial obligation under any capital construction fund agreement to which such person is a party. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 607, 49 Stat. 2005; June 23, 1938, ch. 600, Sec. 23-28, 52 Stat. 960, 961; Aug. 4, 1939, ch. 417, Sec. 10, 53 Stat. 1185; July 17, 1952, ch. 939, Sec. 17-19, 66 Stat. 764, 765; Aug. 14, 1958, Pub. L. 85-637, 72 Stat. 592; June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216; May 27, 1961, Pub. L. 87-45, Sec. 6, 75 Stat. 91; Sept. 21, 1961, Pub. L. 87-271, 75 Stat. 570; Oct. 21, 1970, Pub. L. 91-469, Sec. 21(a), 84 Stat. 1026; Oct. 1, 1973, Pub. L. 93-116, 87 Stat. 421; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(97), 95 Stat. 162; Oct. 22, 1986, Pub. L. 99-514, Sec. 2, title II, Sec. 261(d), (e), 100 Stat. 2095, 2214; Nov. 10, 1988, Pub. L. 100-647, title I, Sec. 1002(m)(2), 102 Stat. 3382; Nov. 5, 1990, Pub. L. 101-508, title XI, Sec. 11101(d)(7)(B), 104 Stat. 1388-405.) -REFTEXT- REFERENCES IN TEXT The Internal Revenue Code of 1986, referred to in subsecs. (d)(1) and (h)(3), is classified generally to Title 26, Internal Revenue Code. Section 103, referred to in subsec. (e)(2)(D), which related to interest on certain governmental obligations was amended generally by Pub. L. 99-514, title XIII, Sec. 1301(a), Oct. 22, 1986, 100 Stat. 2602, and as so amended relates to interest on State and local bonds. -MISC2- AMENDMENTS 1990 - Subsec. (h)(6)(A). Pub. L. 101-508 substituted 'section 1(h)' for 'section 1(j)'. 1988 - Subsec. (h)(6)(A). Pub. L. 100-647 substituted 'section 1(j)' for 'section 1(i)'. 1986 - Subsec. (b)(1)(A), (B). Pub. L. 99-514, Sec. 2, substituted 'Internal Revenue Code of 1986' for 'Internal Revenue Code of 1954'. Subsec. (d)(1). Pub. L. 99-514, Sec. 2, substituted 'Internal Revenue Code of 1986' for 'Internal Revenue Code of 1954'. Subsec. (d)(1)(A), (D). Pub. L. 99-514, Sec. 261(e)(1), (2), inserted 'and section 7518 of such Code'. Subsec. (e)(2)(C). Pub. L. 99-514, Sec. 261(e)(3), substituted 'the percentage applicable under section 243(a)(1) of the Internal Revenue Code of 1986' for '85 percent'. Pub. L. 99-514, Sec. 2, substituted 'section 243 of the Internal Revenue Code of 1986' for 'section 243 of the Internal Revenue Code of 1954'. Subsec. (e)(4)(E). Pub. L. 99-514, Sec. 261(e)(4), amended subpar. (E) generally. Prior to amendment, subpar. (E) read as follows: '15 percent of any dividend referred to in paragraph (2)(C).' Subsec. (g)(3). Pub. L. 99-514, Sec. 261(e)(5), amended par. (3) generally. Prior to amendment, par. (3) read as follows: 'If any portion of a qualified withdrawal for a vessel, barge, or container is made out of the capital gain account, the basis of such vessel, barge, or container shall be reduced by an amount equal to - '(A) Five-eighths of such portion, in the case of a corporation (other than an electing small business corporation, as defined in section 1371 of the Internal Revenue Code of 1954, or '(B) One-half of such portion, in the case of any other person.' Subsec. (h)(3). Pub. L. 99-514, Sec. 2, substituted 'Internal Revenue Code of 1986' for 'Internal Revenue Code of 1954'. Subsec. (h)(5), (6). Pub. L. 99-514, Sec. 261(e)(6), added pars. (5) and (6). Subsec. (i)(1). Pub. L. 99-514, Sec. 2, substituted 'Internal Revenue Code of 1986' for 'Internal Revenue Code of 1954'. Subsec. (m). Pub. L. 99-514, Sec. 261(d), added subsec. (m). 1981 - Subsecs. (a), (c), (f), (h)(4). Pub. L. 97-31, Sec. 12(97)(A), substituted 'Secretary' for 'Secretary of Commerce' wherever appearing. Subsec. (k). Pub. L. 97-31, Sec. 12(97), substituted in pars. (2)(C) and (7) 'Secretary' for 'Secretary of Commerce' and added par. (9). Subsec. (l). Pub. L. 97-31, Sec. 12(97)(A), substituted 'Secretary' for 'Secretary of Commerce' wherever appearing. 1973 - Subsec. (k)(8). Pub. L. 93-116 substituted '(ii) trade from any point in Alaska, Hawaii, Puerto Rico, and such territories and possessions to any other point in Alaska, Hawaii, Puerto Rico, and such territories and possessions.' for '(ii) trade between Alaska, Hawaii, and Puerto Rico and such territories and possessions and (iii) trade between the islands of Hawaii.' 1970 - Pub. L. 91-469 revised tax deferred reserve fund provisions generally, extended tax deferral privilege to vessels operated in nonsubsidized foreign trade, noncontiguous domestic trade, Great Lakes trade, and in fisheries, built in the United States, and documented under her laws, and substituted a new statutory framework consisting of subsecs. (a) to (l) for determination of tax status of deposits into and withdrawals from the fund for former subsecs. (a) to (h) and providing as follows: Subsec. (a), a capital construction fund, agreement rules, persons eligible, replacement, additional, or reconstructed vessels for prescribed trade and fishery operations, amount of deposits, annual limitation, and conditions and requirements for deposits and withdrawals, subsec. (a) formerly permitting a 10 percent distribution of net profits; Subsec. (b), ceiling on deposits, deposits of lessees, and definition of 'agreement vessel', subsec. (b) formerly providing for a capital reserve fund, deposits, and allowable disbursements; Subsec. (c), investment requirements, depositories, fiduciary requirements, investment in interest-bearing certificates (formerly provided in former subsec. (d)(2) of this section), stock investments, including common stock treatment of preferred issues, percentage for domestic issues, listing and registration, prudent man acquisitions (provisions formerly covered in former subsec. (d)(3)(A) of this section), and value and percentage equilibrium, subsec. (c) formerly providing for creation of a special reserve fund, deposits, and allowable disbursements; Subsec. (d), nontaxability of deposits and eligible deposits, subsec. (d) formerly providing rules and regulations for administration of reserve funds and investment of funds, now covered in subsec. (c) of this section; Subsec. (e), capital account, capital gain account, and ordinary income account within the capital construction fund and limitation on losses, subsec. (e) formerly providing for withdrawals from capital reserve fund to meet needs due to operating losses; Subsec. (f), purposes of qualified withdrawals and nonqualified withdrawal treatment for nonfulfillment of substantial obligations, subsec. (f) formerly providing for title to reserve funds on termination of contract; Subsec. (g), tax treatment of qualified withdrawals and reduction of basis, subsec. (g) formerly providing for increase and transfer of reserve funds and interest on overpayment of taxes; Subsec. (h), tax treatment of nonqualified withdrawals, FIFO and LIFO bases, and interest rate, subsec. (h) formerly providing for exemption of reserve funds from taxation, in effect a tax deferral; Subsec. (i), corporate reorganizations and partnership changes; Subsec. (j), treatment of existing funds and relation of old to new funds; Subsec. (k), definitions; and Subsec. (l), records, reports, rules, and regulations, and termination of agreement upon changes in regulations with substantial effect on rights or obligations. 1961 - Subsec. (b). Pub. L. 87-271 authorized the contractor, upon consent of the Secretary of Commerce, to pay amounts from the capital reserve fund for research, development, and design expenses for new and advanced ship design machinery and equipment, purchase of cargo containers delivered after June 30, 1959, payment of principal on indebtedness incurred for containers, and for reimbursing the contractor's general funds for expenditures for such purchases or payments, and required such cargo containers, to the extent paid for out of the capital reserve fund, to be treated as vessels for purpose of deposits and withdrawals from the fund, except that depreciation thereon shall be based on life expectancy used for such containers in determination of 'net earnings' in subsec. (d)(1) of this section. Pub. L. 87-45 inserted 'and on cruises, if any, authorized under section 1183 of this Appendix' after 'route or service approved by the Secretary' in second par. 1960 - Subsec. (b). Pub. L. 86-518 substituted 'twenty-five-year life expectancy' for 'twenty-year life expectancy'. 1958 - Subsec. (d). Pub. L. 85-637 designated first and second paragraphs as subdivisions (1) and (2), and added subdivision (3). 1952 - Subsec. (b). Act July 17, 1952, Sec. 17, permitted recomputation of life-expectancy of a reconstructed or reconditioned vessel in use under an operating-differential subsidy contract, and provided for recomputation of depreciation changes. Subsec. (d). Act July 17, 1952, Sec. 18, substituted 'as provided for in section 1177(b) of this Appendix' after 'life of the vessel' for 'being twenty years'. Subsec. (g). Act July 17, 1952, Sec. 19, barred payment of interest by Government on overpayment of taxes resulting from voluntary deposits of earnings. 1939 - Subsec. (c)(3). Act Aug. 4, 1939, permitted payment from the capital reserve fund, and authorized payment from other assets of the contractor if assets have not been repaid to the reserve funds, or if prepayments of amounts not due before one year after the date of termination of the contract have been made from the capital reserve funds. 1938 - Subsec. (b). Act June 23, 1938, Sec. 23, 24, substituted 'insurance and indemnities' for 'insurance indemnities' in first par., and inserted provisions requiring deposit of proceeds of any sale or other disposition of a vessel in the capital reserve funds, and to permit the contractor to pay from the fund any sums owing but not yet due on notes secured by mortgages on subsidized vessels. Subsec. (c). Act June 23, 1938, Sec. 25, substituted 'If the profits, without regard to capital gains and capital losses, earned by the business of the subsidized vessels and services incident thereto exceed 10 per centum per annum and exceed the percentage of profits deposited in the capital reserve fund, as provided in subsection (b) of this section, the contractor shall deposit annually such excess profits in this reserve fund' for 'In this reserve fund, the contractor shall deposit annually the profits earned by the business of the subsidized vessels and services incident thereto in excess of 10 per centum per annum and in excess of the percentage of profits deposited in the capital reserve fund, as provided in subsection (b) of this section', in second par. Subsec. (c)(2). Act June 23, 1938, Sec. 26, substituted 'will be made up' for 'will not be made up'. Subsecs. (f), (g). Act June 23, 1938, Sec. 27, added subsecs. (f) and (g). Former subsec. (f) redesignated (h). Subsec. (h). Act June 23, 1938, Sec. 28, redesignated former subsec. (f) as subsec. (h) and made earnings withdrawn from the special reserve fund taxable as if earned during the year of withdrawal from the fund. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-508 applicable to taxable years beginning after Dec. 31, 1990, see section 11101(e) of Pub. L. 101-508, set out as a note under section 1 of Title 26, Internal Revenue Code. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of Title 26, Internal Revenue Code. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 261(d), (e) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, see section 261(g) of Pub. L. 99-514, set out as an Effective Date note under section 7518 of Title 26, Internal Revenue Code. EFFECTIVE DATE OF 1970 AMENDMENT Section 21(b) of Pub. L. 91-469 provided that: 'The amendment made by subsection (a) (amending this section) shall apply to taxable years beginning after December 31, 1969.' EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. MERCHANT MARINE CAPITAL CONSTRUCTION FUNDS For coordination of application of Internal Revenue Code of 1986 with capital construction program under this chapter, see section 261(a) of Pub. L. 99-514, set out as a note under section 7518 of Title 26, Internal Revenue Code. DEPOSITS INTO CAPITAL RESERVE FUND Pub. L. 92-507, Sec. 6, Oct. 19, 1972, 86 Stat. 917, provided that: 'Nothing in this Act (enacting this note and amending subchapter XI of this chapter) shall limit or affect the right of an obligor who maintains a capital reserve fund under section 607 of the Merchant Marine Act, 1936 (this section) to make deposits of the proceeds of guaranteed obligations into such capital reserve fund as provided in subparagraph (c) of condition (6) of section 1107 of the Merchant Marine Act, 1936 (subparagraph (c) of condition (6) of section 1276a of former Title 46, Shipping), as in effect prior to the effective date of this Act (Oct. 9, 1972).' RATE OF DEPRECIATION FOR VESSELS DELIVERED BY SHIPBUILDER ON OR AFTER JANUARY 1, 1946, AND BEFORE JANUARY 1, 1960 For provisions relating to computation of depreciation with respect to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and before Jan. 1, 1960, see section 8(b) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1177-1, 1185, 1244 of this Appendix; title 26 sections 56, 136, 543, 7518; title 42 section 9141. ------DocID 53876 Document 777 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1177-1 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1177-1. Small fishing vessel construction reserves -STATUTE- In addition to any other vessel which may be deemed an 'eligible vessel' and a 'qualified vessel' under section 1177 of this Appendix, a commercial fishing vessel under five net tons but not under two net tons - (1) which is constructed in the United States and, if reconstructed, is reconstructed in the United States; (2) which is owned by a citizen of the United States; (3) which has a home port in the United States; and (4) which is operated in the commercial fisheries of the United States, shall be considered to be an 'eligible vessel' and a 'qualified vessel' for the purposes of such section 1177 of this Appendix. -SOURCE- (Pub. L. 94-455, title VIII, Sec. 807, Oct. 4, 1976, 90 Stat. 1606.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. ------DocID 53877 Document 778 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1177a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1177a. Deposits in special reserve fund; excusal; tax treatment -STATUTE- On and after June 13, 1957, to the extent that the operating-differential subsidy accrual (computed on the basis of parity) is represented on the operator's books by a contingent accounts receivable item against the United States as a partial or complete offset to the recapture accrual, the operator (1) shall be excused from making deposits in the special reserve fund, and (2) as to the amount of such earnings the deposit of which is so excused shall be entitled to the same tax treatment as though it had been deposited in said special reserve fund. To the extent that any amount paid to the operator by the United States reduces the balance in the operator's contingent receivable account against the United States, such amount shall forthwith be deposited in the special reserve fund of the operator. -SOURCE- (Pub. L. 85-52, title I, Sec. 101, June 13, 1957, 71 Stat. 73.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. ------DocID 53878 Document 779 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1178 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1178. Sale or assignment of contract; consent of Secretary; purchaser subject to terms of contract; rescinding contract on transfer without consent -STATUTE- No contract executed under this subchapter or any interest therein shall be sold, assigned, or transferred, either directly or indirectly, or through any reorganization, merger, or consolidation, nor shall any agreement or arrangement be made by the holder whereby the maintenance, management, or operation of the service, route, line, vessel, or vessels is to be performed by any other person, without the written consent of the Secretary of Transportation. If he consents to such agreement or arrangement, the agreement or arrangement shall make provision whereby the person undertaking such maintenance, management, or operation agrees to be bound by all of the provisions of the contract and of this chapter applicable thereto, and the rules and regulations prescribed pursuant to this chapter. If the holder of any such contract shall voluntarily sell such contract or any interest therein, or make such assignment, transfer, agreement, or arrangement whereby the maintenance, management, or operation of the service, route, line, vessel, or vessels is to be performed by any other person, without the consent of the Secretary of Transportation, or if the operation of the service, route, line, or vessel, shall pass out of the direct control of the holder of such contract by reason of any voluntary or involuntary receivership or bankruptcy proceedings, the Secretary of Transportation shall have the right to modify or rescind such contract, without further liability thereon by the United States, and is vested with exclusive jurisdiction to determine the purposes for which any payments made by him under such contract shall be expended. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 608, 49 Stat. 2007; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(98), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in three places and 'he' and 'him' for 'it'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53879 Document 780 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1179 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1179. Withholding payment to defaulting contractor -STATUTE- The Secretary of Transportation shall withhold the payment of operating-differential subsidy while any contractor therefor is in default in any payments due on account of construction-loan, ship-sales mortgage notes, or any other obligation due the United States, and shall apply the amount so withheld to the satisfaction of such debt. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 609, 49 Stat. 2007; June 23, 1938, ch. 600, Sec. 29, 52 Stat. 961; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(99), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1938 - Act June 23, 1938, repealed subsec. (b) which related to cancellation or modification of a contract where a contractor filed bankruptcy or was in default of payments. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53880 Document 781 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1180 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1180. Vessels eligible to subsidy -STATUTE- An operating-differential subsidy shall not be paid under authority of this subchapter on account of the operation of any vessel which does not meet the following requirements: (1) The vessel shall be of steel or other acceptable metal, shall be propelled by steam or motor, shall be as nearly fireproof as practicable, shall be built in a domestic yard or shall have been documented under the laws of the United States not later than February 1, 1928, or actually ordered and under construction for the account of citizens of the United States prior to such date, and shall be documented under the laws of the United States, during the entire life of the subsidy contract; and (2) if the vessel shall be constructed after June 29, 1936 it shall be either a vessel constructed according to plans and specifications approved by the Secretary of Transportation and the Secretary of the Navy, with particular reference to economical conversion into an auxiliary naval vessel, or a vessel approved by the Secretary of Transportation and the Navy Department as otherwise useful to the United States in time of national emergency. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 610, 49 Stat. 2007; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(99), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1152 of this Appendix. ------DocID 53881 Document 782 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1181 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1181. Transfer of vessels to foreign registry on default of United States -STATUTE- (a) Application; hearing; grant or denial The contractor, upon compliance with the provisions of this section, may transfer to foreign registry the vessels covered by any operating-differential subsidy contract held by him, in the event that the United States defaults upon such contract or cancels it without just cause. Any contractor desiring to transfer any such vessel to foreign registry upon such default or cancelation shall file an application in writing with the Secretary of Transportation setting forth its contentions with respect to the lack of just cause or lawful grounds for such default or cancelation. The Secretary of Transportation shall afford the contractor an opportunity for a hearing within twenty days after such contractor files written application therefor, and after the testimony, if any, in such hearing has been reduced to writing and filed with the Secretary of Transportation, he shall, within a reasonable time, grant or deny the application by order. (b) Appeal from denial of application If any such application is denied, the contractor may obtain a review of the order of denial in the United States Court of Appeals for the District of Columbia, by filing in such court, within twenty days after the entry of such order, a written petition praying that the order of the Secretary of Transportation be set aside. A copy of such petition shall be forthwith transmitted by the clerk of the court to the Secretary of Transportation or any officer designated by him for that purpose, and thereupon the Secretary of Transportation shall file in the court the record upon which the order complained of was entered, as provided in section 2112 of title 28. Upon the filing of such petition such court shall have exclusive jurisdiction to determine whether such cancelation or default was without just cause, and to affirm or set aside such order. The judgment and decree of the court affirming or setting aside any such order of the Secretary of Transportation shall be final. (c) Effectiveness of transfer No transfer of vessels to foreign registry under this section shall become effective until any indebtedness to the Government or to any citizen of the United States, secured by such vessels, has been paid or discharged, and until after the expiration of ninety days from the date of final determination of the application or the appeal, if any. Within such ninety-day period the Secretary of Transportation may (1) with the consent of the contractor purchase the vessels at cost to the contractor plus cost of capital improvements thereon, less 4 per centum annual depreciation upon such vessel, and the actual depreciated costs of capital improvements thereon, or (2) reinstate the contract and adjust or settle the default found by the Secretary of Transportation or the court to exist. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 611, as added June 23, 1938, ch. 600, Sec. 30, 52 Stat. 961, and amended Aug. 28, 1958, Pub. L. 85-791, Sec. 17, 72 Stat. 947; June 12, 1960, Pub. L. 86-518, Sec. 4, 74 Stat. 216; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(100), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(100)(A), (B), substituted 'Secretary of Transportation' for 'Commission' in three places and 'he' for 'it'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (b). Pub. L. 97-31, Sec. 12(100)(A), (C), substituted 'Secretary of Transportation' for 'Commission' in three places and 'the Secretary of Transportation or any other officer designated by him for that purpose' for 'any member of the Commission, or any officer thereof designated by the Commission for that purpose'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (c). Pub. L. 97-31, Sec. 12(100)(A), substituted 'Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1960 - Subsec. (c). Pub. L. 86-518 substituted '4 per centum' for '5 per centum'. 1958 - Subsec. (b). Pub. L. 85-791, in second sentence, substituted 'transmitted by the clerk of the court to' for 'served upon', struck out 'upon' before 'any officer', substituted 'file in the court' for 'certify and file in the court a transcript of', and inserted 'as provided in section 2112 of title 28', and which, in third sentence, substituted 'petition' for 'transcript'. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- RATE OF DEPRECIATION FOR VESSELS DELIVERED BY SHIPBUILDER ON OR AFTER JANUARY 1, 1946, AND BEFORE JANUARY 1, 1960 For provisions relating to computation of depreciation with respect to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and before Jan. 1, 1960, see section 8(b) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 808 of this Appendix. ------DocID 53882 Document 783 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1183 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1183. Off-season cruises by passenger vessels -STATUTE- (a) 'Passenger vessel' defined In this section, 'passenger vessel' means a vessel which (1) is of not less than ten thousand gross tons, and (2) has accommodations for not less than one hundred passengers. (b) Authorization for payment of subsidy If the Secretary of Transportation finds that the operation of any passenger vessel with respect to which a contract for the payment of an operating-differential subsidy has been entered into under section 1173 of this Appendix effective before January 2, 1960, is not required for all of each year, in order to furnish adequate service on the service, route, or line covered by such contract, he may amend such contract to agree to pay an operating-differential subsidy for operation of the vessel (1) on such service, route, or line for some part or no part of each year, and (2) on cruises for all or part of each year if such specific cruise is approved by the Secretary of Transportation under subsection (e) of this section: Provided, however, That no such vessel may cruise for more than seven months of each year to ports which are regularly served by another United States-flag passenger vessel pursuant to an operating-differential subsidy contract. (c) Authorization for payment of subsidy to passenger vessels providing domestic service The Secretary of Transportation may authorize passenger vessels under operating-differential subsidy contracts to provide domestic service between specified ports while the vessels are on voyages in an essential service in the foreign commerce of the United States without reduction of operating-differential subsidy and the partial payback of construction-differential subsidy for operating in the domestic trades, if he finds that such domestic service will not result in a substantial deviation from the service, route, or line for which operating-differential subsidy is paid and will not adversely affect service on such service, route, or line. (d) Conditions for cruises or domestic service while on voyages in an essential service in foreign commerce When a vessel is being operated on cruises or has been authorized under this section to provide domestic passenger services while on voyages in an essential service in foreign commerce of the United States - (1) except as provided in subdivision (4) of this subsection, it shall carry no mail unless required by law, or cargo except passengers' luggage, except between those ports between which it may carry mail and cargo on its regular service assigned by contract; (2) it may not carry one-way passengers between those ports served by another United States carrier on its regular service assigned by contract, without the consent of such carrier, except between those ports between which it may carry one-way passengers on its own regular service assigned by contract; (3) it shall stop at other domestic ports only for the same time and the same purpose as is permitted with respect to a foreign-flag vessel which is carrying passengers who embarked at a domestic port, except that a cruise may end at a different port or coast from that where it began and may embark or disembark passengers at other domestic ports, either when not involving transportation in the domestic offshore trade in competition with a United States-flag passenger vessel offering berth service therein, or, if involving such transportation, with the consent of such carrier: Provided, however, That nothing herein shall be construed to repeal or modify section 1223(a) of this Appendix. (4) Any other provisions of this chapter or of the Shipping Act, 1916 (46 App. U.S.C. 801 et seq.), to the contrary notwithstanding, with the approval of the Secretary of Transportation, it may carry cargo and mail between ports to the extent such carriage is not in direct competition with a carrier offering United States-flag berth service between those ports, or, if such carriage is in direct competition with one or more carriers offering United States-flag berth service between such ports, with the consent of the next scheduled United States-flag carrier, which consent shall not be unreasonably withheld in the judgment of the Maritime Administrator. Section 1175(c) of this Appendix shall not apply to cruises authorized under this section. Notwithstanding the applicable provisions of sections 1175(a) and 1156 of this Appendix requiring the reduction of operating differential subsidy and the partial payback of construction differential subsidy for operating in the domestic trades, such reduction of operating subsidy and partial payback of construction subsidy under sections 1175(a) and 1156, respectively, of this Appendix, shall not apply to cruises or domestic services authorized under this section. (e) Application for approval of cruise; notice to other American flag operators Upon the application of any operator for approval of a specific cruise, the Secretary of Transportation, after notice to all other American flag operators who may be affected and after affording all such operators an opportunity to submit written data, views or arguments, with or without opportunity to present the same orally in any manner, and after consideration of all relevant matter presented, shall approve the proposed cruise, if he determines that the proposed cruise will not substantially adversely affect an existing operator's service performed with passenger vessels of United States registry. Such approval shall not be given more than two years in advance of the beginning of the cruise. -SOURCE- (June 29, 1936, ch. 858, title VI, Sec. 613, as added May 27, 1961, Pub. L. 87-45, Sec. 1, 75 Stat. 89, and amended June 22, 1968, Pub. L. 90-358, Sec. 1, 2, 82 Stat. 248; May 14, 1970, Pub. L. 91-250, 84 Stat. 215; June 30, 1972, Pub. L. 92-323, 86 Stat. 389; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(102), 95 Stat. 162.) -REFTEXT- REFERENCES IN TEXT The Shipping Act, 1916, referred to in subsec. (d)(4), is act Sept. 7, 1916, ch. 451, 39 Stat. 728, as amended, which is classified generally to chapter 23 (Sec. 801 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 842 of this Appendix and Tables. -MISC2- AMENDMENTS 1981 - Subsec. (b). Pub. L. 97-31, Sec. 12(102)(A), substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. Subsec. (c). Pub. L. 97-31, Sec. 12(102)(A), (B), substituted 'Secretary of Transportation' for 'Secretary of Commerce' and 'he' for 'it'. Subsec. (d)(4). Pub. L. 97-31, Sec. 12(102)(A), substituted 'Secretary of Transportation' for 'Secretary of Commerce'. Subsec. (e). Pub. L. 97-31, Sec. 12(102)(B), (C), substituted 'Secretary of Transportation' for 'Board' and 'he' for 'it'. For prior transfers of functions of the Board, meaning the Federal Maritime Board, see Transfer of Functions note set out below. 1972 - Subsec. (b). Pub. L. 92-323, Sec. 1(a), substituted provisions authorizing the Secretary of Commerce to permit passenger vehicles with respect to which an operating differential subsidy contract was entered into prior to January 2, 1960, to cruise for the whole year, for provisions permitting such passenger vessels to cruise off their essential trade routes for two-thirds of each year. Subsec. (d). Pub. L. 92-323, Sec. 1(b), added subd. (4) and qualified subd. (1) by making it subject to the provisions in subd. (4). Subsec. (e). Pub. L. 92-323, Sec. 1(c), changed phraseology. 1970 - Subsec. (b). Pub. L. 91-250, Sec. 1(a), substituted '(e)' for '(d)' after 'under subsection'. Subsec. (c). Pub. L. 91-250, Sec. 1(b), substituted provision that Secretary of Commerce may authorize passenger vessels under operating-differential subsidy contracts to provide domestic service between specified ports under stated conditions, for provision stating conditions for operating passenger vessels on cruises. Subsec. (d). Pub. L. 91-250, Sec. 1(c), added subsec. (d). Former subsec. (d) redesignated (e). Subsec. (e). Pub. L. 91-250, Sec. 1(c), (d), redesignated former subsec. (d) as (e). Former subsec. (e), which defined seacoasts of the United States, was struck out. 1968 - Subsec. (b). Pub. L. 90-358, Sec. 1, substituted reference to passenger vessels with respect to which a contract for the payment of an operating-differential subsidy has been entered into under section 1173 of this Appendix effective before January 2, 1960, for reference to passenger vessels with respect to which an application for operating-differential subsidy has been filed under section 1171 of this Appendix, increased from four to eight months of each year the length of the period during which vessels may engage in cruises, and limited the cruising period each year to seven months in the case of ports regularly served by another United States-flag passenger vessel pursuant to an operating-differential subsidy contract. Subsecs. (d) to (f). Pub. L. 90-358, Sec. 2(a), (b), redesignated subsecs. (e) and (f) as (d) and (e), respectively. Former subsec. (d), making provision for periodic review of operating differential subsidy contracts entered into under this subchapter and for amendment of such contracts, was repealed. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of Federal Maritime Board, see Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 865a, 1171, 1172, 1173, 1176, 1183a of this Appendix. ------DocID 53883 Document 784 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1183a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1183a. Off-season cruises additional to right of operator to make voyages on regular service, route, or line, including approved deviations -STATUTE- The cruises authorized by section 1183 of this Appendix shall be in addition to and not in derogation of the right of an operator to make voyages on his regular service, route or line, including approved deviations within the general area of his essential service. There shall be no adjustment of subsidy in the event of such deviations if they are without prejudice to the adequacy of service. -SOURCE- (Pub. L. 87-45, Sec. 7, May 27, 1961, 75 Stat. 91.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. ------DocID 53884 Document 785 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1184 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1184. Suspension of operating differential subsidy contracts by operator recipients -STATUTE- (a) Any operator receiving operating differential subsidy funds may elect, for all or a portion of its ships, to suspend its operating differential subsidy contract with all attendant statutory and contractual restrictions, except as to those pertaining to the domestic intercoastal or coastwise service, including any agreement providing for the replacement of vessels, if - (1) the vessel is less than ten years of age; (2) the suspension period is not less than twelve months; (3) the operator's financial condition is maintained at a level acceptable to the Secretary of Commerce; and (4) the owner agrees to pay to the Secretary, upon such terms and conditions as he may prescribe, an amount which bears the same proportion to the construction differential subsidy paid by the Secretary as the portion of the suspension period during which the vessel is operated in any preference trade from which a subsidized vessel would otherwise be excluded by law or contract bears to the entire economic life of the vessel. (b) Any operator making an election under this section is entitled to full reinstatement of the suspended contract on request. The Secretary of Commerce may prescribe rules and regulations consistent with the purpose of this section. -SOURCE- (June 29, 1936, ch. 858, Sec. 614, as added Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1603, 95 Stat. 751.) ------DocID 53885 Document 786 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1185 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VI -HEAD- Sec. 1185. Construction, reconstruction, or acquisition of vessels over five thousand deadweight tons in foreign shipyards; preconditions -STATUTE- (a) The Secretary of Commerce may, until September 30, 1983, authorize an operator receiving or applying for operating differential subsidy under this subchapter to construct, reconstruct, or acquire its vessels of over five thousand deadweight tons in a foreign shipyard if the Secretary finds and certifies in writing that such operator's application for construction differential subsidy cannot be approved due to the unavailability of funds in the construction differential subsidy account. Vessels constructed, reconstructed, or modified pursuant to this section shall be deemed to have been United States built for the purposes of this subchapter, section 1241(b) of this Appendix, and sections 3704 to 3709 of title 46: Provided, That the provisions of section 1177 of this Appendix shall not apply to vessels constructed, reconstructed, modified, or acquired pursuant to this section. (b) The provisions of this section shall be effective for fiscal year 1983 only if the President in his annual budget message for that year requests at least $100,000,000 in construction differential subsidy or proposes an alternate program that would create equivalent merchant shipbuilding activity in privately owned United States shipyards and the Secretary reports to Congress on the effect such action will have on the shipyard mobilization base at least thirty days prior to making the certification referred to in subsection (a) of this section. -SOURCE- (June 29, 1936, ch. 858, Sec. 615, as added Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1610, 95 Stat. 753.) -COD- CODIFICATION In subsec. (a), 'sections 3704 to 3709 of title 46' substituted for 'section 5(7) of the Port and Tanker Safety Act of 1978 (46 U.S.C. 391a(7))' on authority of Pub. L. 98-89, Sec. 2(b), Aug. 26, 1983, 97 Stat. 598, section 1 of which enacted Title 46, Shipping. ------DocID 53886 Document 787 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER VII -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- SUBCHAPTER VII - PRIVATE CHARTER OPERATION -SECREF- SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 1131, 1152, 1160, 1161, 1211, 1222, 1223, 1226, 1227, 1228 of this Appendix; title 50 section 198; title 50 App. section 1738. ------DocID 53887 Document 788 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1191 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1191. Additional powers of Secretary for completion of program -STATUTE- Whenever the Secretary of Transportation shall find and determine, and such finding and determination shall be approved by the President of the United States, that the national policy declared in section 1101 of this Appendix, and the objectives set forth in section 1120 of this Appendix, cannot be fully realized within a reasonable time, in whole or in part, under the provisions of subchapters V and VI of this chapter, the Secretary of Transportation is authorized and directed to complete his long-range program previously adopted as provided in this subchapter. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 701, 49 Stat. 2008; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(103), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- FINDING OF COMMISSION Former United States Maritime Commission made findings and determinations on Apr. 28, 1938, which were approved by the President on Apr. 29, 1938, that the national policy declared in section 1101 of this Appendix and the objectives set forth in section 1120 of this Appendix could not with respect to construction of new vessels be fully realized within a reasonable time under the provisions of subchapters V and VI of this chapter. -CROSS- CROSS REFERENCES Operational and charter authority for vessels acquired under emergency powers, see section 198 of Title 50, War and National Defense. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix. ------DocID 53888 Document 789 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1192 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1192. Construction or reconditioning of vessels by Secretary -STATUTE- The Secretary of Transportation is authorized to have constructed in shipyards in the continental United States such new vessels as he shall determine may be required to carry out the objects of this chapter, and to have old vessels reconditioned or remodeled in such yards: Provided, That if satisfactory contracts for such new construction or reconstruction, in accordance with the provisions of this chapter, cannot be obtained from private shipbuilders, the Secretary of Transportation is authorized to have such vessels constructed, reconditioned, or remodeled in United States navy yards. For the purposes of this section, the term 'continental United States' includes the States of Alaska and Hawaii. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 702, 49 Stat. 2008; Aug. 28, 1957, Pub. L. 85-191, 71 Stat. 471; July 12, 1960, Pub. L. 86-624, Sec. 35(c), 74 Stat. 421; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(104), 95 Stat. 162.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places and 'he' for 'it'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1960 - Pub. L. 86-624 inserted definition of 'continental United States'. 1957 - Pub. L. 85-191 substituted 'in shipyards in the continental United States' for 'in domestic yards, on the Atlantic and Gulf and Pacific coasts,'. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix. ------DocID 53889 Document 790 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1193 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1193. Competitive bidding -STATUTE- (a) Construction, reconstruction, or reconditioning of vessels No contract for the building of a new vessel, or for the reconditioning or reconstruction of any other vessel, shall be made by the Secretary of Transportation with any private shipbuilder, except after due advertisement and upon sealed competitive bids. (b) Requirements All contracts for the construction, reconditioning, or reconstruction of a vessel or vessels by a private shipbuilder under authority of this subchapter shall be subject to all the provisions and requirements prescribed in subchapter V of this chapter with respect to contracts with a private shipbuilder for the construction of vessels under authority of said subchapter. (c) Opening of bids All bids required by the Secretary of Transportation for the construction, reconstruction, or reconditioning of vessels, and for the chartering of the Secretary's vessels hereinafter provided for, shall be opened at the time, hour, and place stated in the advertisement for bids, and all interested persons, including representatives of the press, shall be permitted to attend, and the results of such bidding shall be publicly announced. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 703, 49 Stat. 2008; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(105), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(105)(A), substituted 'Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (c). Pub. L. 97-31, Sec. 12(105), substituted 'Secretary of Transportation' for 'Commission' and 'Secretary's' for 'Commission's'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix. ------DocID 53890 Document 791 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1194 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1194. Charter or sale of vessels acquired by Department of Transportation -STATUTE- All vessels transferred to or otherwise acquired by the Department of Transportation in any manner may be chartered or sold by the Secretary of Transportation pursuant to the further provisions of this chapter. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 704, 49 Stat. 2008; Apr. 1, 1937, ch. 64, 50 Stat. 57; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(106), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Department of Transportation' for 'Commission' the first place it appeared and 'Secretary of Transportation' for 'Commission' the second place it appeared, and struck out provisions relating to discontinuance of operation of Commission's vessels on lines in foreign commerce under operating agreements within one year after June 27, 1936. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1937 - Act Apr. 1, 1937, substituted 'may be temporarily operated' for 'shall be temporarily operated', required preference to be given to present operators, permitted private operators to commence voyages prior to the expiration date and to complete them thereafter, and inserted provisions providing that nothing contained in this section should be construed as limiting the power of sale under section 1195 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- AUTHORITY FOR WARTIME SALE OR CHARTER REPEALED Act May 14, 1940, ch. 201, Sec. 2, 54 Stat. 216, as extended June 16, 1942, ch. 416, 56 Stat. 370, which related to sale or charter of vessels by United States Maritime Commission until six months after the end of World War II should have been proclaimed or such earlier time as the Congress by concurrent resolution or the President might designate, was repealed by act July 25, 1947, ch. 327, Sec. 1, 61 Stat. 449. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix. ------DocID 53891 Document 792 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1195 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1195. Employment of vessels on foreign trade routes; selection of routes; encouraging private operation by sale or charter; selling price -STATUTE- As soon as practicable after June 29, 1936, and continuing thereafter, the Secretary of Transportation shall arrange for the employment of the Department of Transportation's vessels in steamship lines on such trade routes, exclusively serving the foreign trade of the United States, as the Secretary of Transportation shall determine are necessary and essential for the development and maintenance of the commerce of the United States and the national defense: Provided, That such needs are not being adequately served by existing steamship lines privately owned and operated by citizens of the United States and documented under the laws of the United States. It shall be the policy of the Secretary of Transportation to encourage private operation of each essential steamship line now owned by the United States by selling such lines to citizens of the United States in the manner provided in section 7 of the Merchant Marine Act, 1920 (46 App. U.S.C. 866), and in strict accordance with the provisions of section 5 of said Act, (FOOTNOTE 1) or by demising his vessels on bare-boat charter to citizens of the United States who shall agree to maintain such line or lines in the manner hereinafter provided. No vessel constructed under the provisions of this chapter, as amended, shall be sold by the Secretary of Transportation for operation in the foreign trade for a sum less than the estimated foreign construction cost exclusive of national defense features (determined as of the date the construction contract therefor is executed) less depreciation based on a twenty-five year life, nor shall any such vessel be sold by the Secretary of Transportation for operation in the domestic trade for a sum less than the cost of construction in the United States exclusive of national defense features less depreciation based on a twenty-five year life. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 705, 49 Stat. 2009; Aug. 4, 1939, ch. 417, Sec. 11(a), 53 Stat. 1185; June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(107), 95 Stat. 163.) -REFTEXT- REFERENCES IN TEXT Section 5 of said Act, referred to in text, was classified to section 864 of former Title 46, Shipping, and was repealed by Pub. L. 100-710, title II, Sec. 202(4), Nov. 23, 1988, 102 Stat. 4753. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in four places, 'the Department of Transportation's vessels' for 'its vessels', and 'his vessels' for 'its vessels'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1960 - Pub. L. 86-518 substituted 'twenty-five-year life' for 'twenty-year life' in two places. 1939 - Act Aug. 4, 1939, prohibited sale of any vessel constructed under this chapter for operation in the foreign trade for a sum less than the estimated foreign construction cost exclusive of national defense features less depreciation based on a 20 year life, nor for operation in the domestic trade for a sum less than the cost of construction in the United States exclusive of national defense features less depreciation based on a 20 year life. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- RATE OF DEPRECIATION FOR VESSELS DELIVERED BY SHIPBUILDER ON OR AFTER JANUARY 1, 1946, AND BEFORE JANUARY 1, 1960 For provisions relating to computation of depreciation with respect to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and before Jan. 1, 1960, see section 8(b) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix. ------DocID 53892 Document 793 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1196 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1196. Advertising for bids for charters; rejection of bids -STATUTE- (a) The Secretary of Transportation shall not charter the Department of Transportation's vessels to private operators except upon competitive sealed bids submitted in strict compliance with all the terms and conditions of a public advertisement soliciting such bids. Each and every advertisement for bids to charter the Department of Transportation's vessels shall state the number, type, and tonnage of the vessels the Secretary of Transportation is offering for bare-boat charter for operation as a steamship line on a designated trade route, the minimum number of sailings that will be required, the length of time for which the charter will be given, and all other information the Secretary of Transportation shall deem necessary for the information of prospective bidders. (b) The Secretary of Transportation shall have authority to, and shall announce in his advertisements for bids that the Secretary of Transportation reserves the right to, reject any and all bids submitted. The Secretary of Transportation shall reject any bid for the charter (under sections 1191 to 1203 of this Appendix) of any vessel constructed under the provisions of this chapter, as amended, if the charter hire offered by the bidder is lower than the minimum charter hire for such vessel would be if chartered under the provisions of section 1204 of this Appendix. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 706, 49 Stat. 2009; Aug. 4, 1939, ch. 417, Sec. 11(b), 53 Stat. 1186; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(108), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(108)(A)-(C), substituted 'Secretary of Transportation' for 'Commission' in three places, 'the Department of Transportation's vessels' for 'its vessels', and 'the Department of Transportation's vessels' for 'Commission's vessels'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (b). Pub. L. 97-31, Sec. 12(108)(A), (D), substituted 'Secretary of Transportation' for 'Commission' in three places and 'his' for 'its'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1939 - Subsec. (b). Act Aug. 4, 1939, required rejection of any bids for charter if the charter hire offered by the bidder is lower than the minimum charter hire for such vessel would be if chartered under the provisions of section 1204 of this Appendix. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53893 Document 794 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1197 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1197. Awarding charter on bids -STATUTE- (a) Highest bid The Secretary of Transportation shall award the charter to the bidder proposing to pay the highest monthly charter hire unless the Secretary of Transportation shall reject such bid for the reasons set forth in subsection (b) of this section. (b) Rejection of highest bid The Secretary of Transportation may reject the highest or most advantageous or any other bid, if, in the Secretary's discretion, the charter hire offered is deemed too low, or the Secretary of Transportation determines that the bidder lacks sufficient capital, credit, or experience to operate successfully the line; but the reason or reasons for rejection of any bid, upon request of the bidder, shall be stated to such bidder in writing. (c) Next highest bid; rejection of all bids and readvertisement If the highest bid is rejected, the Secretary of Transportation may award the charter to the next highest bidder, or may reject all bids and readvertise the line: Provided, however, That the Secretary of Transportation may operate the line until conditions appear to be more favorable for a reoffering of the line for private charter. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 707, 49 Stat. 2009; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(109), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(109)(A), substituted 'Secretary of Transportation' for 'Commission' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (b). Pub. L. 97-31, Sec. 12(109), substituted 'Secretary of Transportation' for 'Commission' in two places and 'Secretary's discretion' for 'Commission's discretion'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (c). Pub. L. 97-31, Sec. 12(109)(A), substituted 'Secretary of Transportation' for 'Commission' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix. ------DocID 53894 Document 795 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1198 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1198. Payment of subsidies to charterers -STATUTE- The Secretary of Transportation may, if in his discretion financial aid is deemed necessary, enter into a contract with any charterer of his vessels for payment to such charterer of an operating-differential subsidy upon the same terms and conditions and subject to the same limitations and restrictions, where applicable, as are elsewhere provided in this chapter with respect to payments of such subsidies to operators of privately owned vessels. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 708, 49 Stat. 2009; June 23, 1938, ch. 600, Sec. 31, 52 Stat. 962; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(110), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' and 'his' for 'its' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1938 - Act June 23, 1938, inserted ', where applicable,' before 'as are elsewhere provided'. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix; title 50 App. section 1738. ------DocID 53895 Document 796 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1199 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1199. Excess profit; payment to Secretary; formula for determining profit -STATUTE- (a) Every charter made by the Secretary of Transportation pursuant to the provisions of this subchapter shall provide that whenever, at the end of any calendar year subsequent to the execution of such charter, the cumulative net voyage profits (after payment of the charter hire reserved in the charter and payment of the charterer's fair and reasonable overhead expenses applicable to operation of the chartered vessels) shall exceed 10 per centum per annum on the charterer's capital necessarily employed in the business of such chartered vessels, the charterer shall pay over to the Secretary of Transportation, as additional charter hire, one-half of such cumulative net voyage profit in excess of 10 per centum per annum: Provided, That the cumulative net profit so accounted for shall not be included in any calculation of cumulative net profit in subsequent years. (b) Every charter shall contain a definition of the terms 'net voyage profit' and 'fair and reasonable overhead expenses', and 'capital necessarily employed', as said terms are used in subsection (a) of this section, setting forth the formula for determining such profit and overhead expense and capital necessarily employed, which definitions shall have been previously approved by the Secretary of Transportation and published in the advertisement for bids for such charter. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 709, 49 Stat. 2010; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(111), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places in subsec. (a) and once in subsec. (b). For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1196, 1205 of this Appendix; title 50 App. section 1738. ------DocID 53896 Document 797 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1200 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1200. Undertaking required of charterer -STATUTE- Every charterer of the Secretary of Transportation's vessels shall be required to deposit with the Secretary of Transportation an undertaking with approved sureties as security for the faithful performance of all of the conditions of the charter, including indemnity against liens on the chartered vessels, in such amount as the Secretary of Transportation shall require. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 710, 49 Stat. 2010; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(112), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation's vessels' for 'Commission's vessels' and 'Secretary of Transportation' for 'Commission' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix; title 50 App. section 1738. ------DocID 53897 Document 798 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1201 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1201. Terms and conditions of charters -STATUTE- The charters to be made by the Secretary of Transportation pursuant to the provisions of this subchapter shall demise the vessels to the charterer subject to all usual conditions contained in bareboat charters, and until January 1, 1940, shall be for terms of three years or less as the Secretary of Transportation may decide: Provided, That after January 1, 1940, charters may be executed by the Secretary of Transportation for such terms as the experience gained by the Secretary of Transportation shall indicate are to the best interests of the United States and the merchant marine. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 711, 49 Stat. 2010; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(113), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in four places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix. ------DocID 53898 Document 799 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1202 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1202. Insurance requirements; repairs; inspection by Secretary; termination of charter in national emergency -STATUTE- Every charter shall provide - (a) That the charterer shall carry on the chartered vessels, at his own expense, policies of insurance covering all marine and port risks, protection and indemnity risks, and all other hazards and liabilities, in such amounts, in such form, and in such insurance companies as the Secretary of Transportation shall require and approve, adequate to cover all damages claimed against and losses sustained by the chartered vessels arising during the life of the charter: Provided, That in accordance with existing law, some or all of such insurance risks may be underwritten by the Secretary of Transportation himself as in his discretion he may determine. (b) That the charterer shall at its own expense keep the chartered vessel in good taste of repair and in efficient operating condition and shall at its own expense make any and all repairs as may be required by the Secretary of Transportation. (c) That the Secretary of Transportation shall have the right to inspect the vessel at any and all times to ascertain its condition. (d) That whenever the President shall proclaim that the security of the national defense makes it advisable, or during any national emergency declared by proclamation of the President, the Secretary of Transportation may terminate the charter without cost to the United States, upon such notice to the charterers as the President shall determine. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 712, 49 Stat. 2010; Aug. 7, 1939, ch. 555, Sec. 1, 53 Stat. 1254; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(114), 95 Stat. 163.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places, and 'himself', 'his', and 'he' for 'itself', 'its', and 'it', respectively. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsecs. (b) to (d). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1939 - Subsec. (d). Act Aug. 7, 1939, permitted termination of a charter whenever the President proclaims that the security of the national defense makes it advisable. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- TERMINATION OF WAR AND EMERGENCIES Act July 25, 1947, ch. 327, Sec. 3, 61 Stat. 451, provided that in the interpretation of subsec. (d) of this section, the date July 25, 1947, shall be deemed to be the date of termination of any state of war theretofore declared by Congress and of the national emergencies proclaimed by the President on Sept. 8, 1939, and May 27, 1941. -CROSS- CROSS REFERENCES War risk insurance, see section 1281 et seq. of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix; title 50 App. section 1738. ------DocID 53899 Document 800 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1203 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1203. Financial resources and other factors considered in awarding charters -STATUTE- In the awarding of charters, the Secretary of Transportation shall take in consideration the charterer's financial resources and credit standing, practical experience in the operation of vessels, and any other factors that would be considered by a prudent businessman in entering into a transaction involving a large investment of his capital; and the Secretary of Transportation is directed to refrain from chartering the Department of Transportation's vessels to any person appearing to lack sufficient capital, credit, and experience to operate successfully the vessel over the period covered by the charter. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 713, 49 Stat. 2010; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(115), 95 Stat. 164.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places and 'the Department of Transportation's vessels' for 'its vessels'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1196 of this Appendix; title 50 App. section 1738. ------DocID 53900 Document 801 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1204 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1204. Construction and chartering of vessels for unsuccessful routes; purchase of vessel by charterer; purchase price; operation of vessel in foreign trade -STATUTE- If the Secretary of Transportation shall find that any trade route (determined by the Secretary of Transportation to be an essential trade route as provided in section 1121 of this Appendix) cannot be successfully developed and maintained and the Secretary of Transportation's replacement program cannot be achieved under private operation of such trade route by a citizen of the United States with vessels registered under the laws thereof, without further Government aid in addition to the financial aids authorized under subchapters V and VI of this chapter, the Secretary of Transportation is authorized to have constructed, in private shipyards or in navy yards, the vessel or vessels of the types deemed necessary for such trade route, and to demise such new vessel or vessels, or bare-boat charter to the American-flag operator established on such trade route, without advertisement or competition, upon an annual charter hire of not less than 4 per centum of the price (herein referred to as the 'foreign cost') at which such vessel or vessels would be sold if constructed under subchapter V of this chapter plus an amount equal to (i) the sum of a percentage of the depreciated foreign cost computed annually upon the basis of a twenty-five year life of the vessel determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the term of the charter, adjusted to the nearest one-eighth of 1 per centum, plus (ii) an allowance adequate in the judgment of the Secretary of Transportation to cover administrative costs. Such charter may contain an option to the charterer to purchase such vessel or vessels from the Secretary of Transportation within five years after delivery thereof under the charter, upon the same terms and conditions as are provided in subchapter V of this chapter for the purchase of new vessels from the Secretary of Transportation, except that (a) the purchase price shall be the foreign cost less depreciation to the date of purchase based upon a twenty-five year life; (b) the required cash payment payable at the time of such purchase shall be 25 per centum of the purchase price as so determined; (c) the charter may provide that all or any part of the charter hire paid in excess of the minimum charter hire provided for in this section may be credited against the cash payment payable at the time of such purchase; (d) the balance of the purchase price shall be paid within the years remaining of the twenty-five years after the date of delivery of the vessel under the charter and in approximately equal annual installments, except that the first of said installments, which shall be payable upon the next ensuing anniversary date of such delivery under the charter, shall be a proportionate part of the annual installment, interest to be payable upon the unpaid balances from the date of purchase, at a rate not less than (i) a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the average maturities of such loans, adjusted to the nearest one-eighth of 1 per centum, plus (ii) an allowance adequate in the judgment of the Secretary of Transportation to cover administrative costs. Such charter shall provide for operation of the vessel exclusively in foreign trade, or on a round-the-world voyage, or on a round voyage from the west coast of the United States to a European port or ports which includes intercoastal ports of the United States, or a round voyage from the Atlantic coast of the United States to the Orient which includes intercoastal ports of the United States, or on a voyage in foreign trade on which the vessel may stop at the State of Hawaii, or an island possession or island Territory of the United States, and if the vessel is operated in the domestic trade on any of the above-enumerated services the charterer will pay annually to the Secretary of Transportation that proportion of one-twenty-fifth of the difference between the domestic and foreign cost of such vessel as the gross revenue derived from the domestic trade bears to the gross revenue derived from the entire voyages completed during the preceding year. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 714, 49 Stat. 2011; June 23, 1938, ch. 600, Sec. 32, 52 Stat. 962; Aug. 4, 1939, ch. 417, Sec. 12, 53 Stat. 1186; Mar. 18, 1959, Pub. L. 86-3, Sec. 18(b)(3), 73 Stat. 12; June 12, 1960, Pub. L. 86-518, Sec. 5, 74 Stat. 216; Oct. 21, 1970, Pub. L. 91-469, Sec. 22, 84 Stat. 1032; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(116), 95 Stat. 164.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' and 'Secretary of Transportation's' for 'Secretary of Commerce's'. 1970 - Pub. L. 91-469 substituted: 'Secretary of Commerce' and 'Secretary of Commerce's' for 'Commission' and 'Commission's' wherever appearing; provision for an additional amount for charter hire equal to sum of depreciated foreign cost computed annually upon basis of a twenty-five year life of vessel determined by the Secretary of the Treasury, taking into consideration the current average market yield or outstanding marketable obligations of the United States with remaining periods to maturity comparable to the term of the charter, adjusted to the nearest one-eighth of 1 per centum plus an administrative cost allowance for prior provision for 3 1/2 per centum of depreciated foreign cost computed annually upon the basis of a twenty-five year life of vessel; and provision for interest upon unpaid balances of purchase price payable in annual installments from date of purchase, at a rate not less than a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the average maturities of such loans, adjusted to the nearest one-eighth of 1 per centum plus an administrative cost allowance for prior interest upon unpaid balances of 3 1/2 per centum per annum from date of purchase. 1960 - Pub. L. 86-518 substituted '4 per centum' for '5 per centum', 'twenty-five-year life' for 'twenty-year life' in two places, 'twenty-five years' for 'twenty years', and 'one-twenty-fifth' for 'one-twentieth'. 1959 - Pub. L. 86-3 included stops at the State of Hawaii for vessels operated on voyages in foreign trade. 1939 - Act Aug. 4, 1939, amended section generally, and among other changes, substituted 'price (herein referred to as the 'foreign cost') at which such vessel or vessels would be sold if constructed under sections 1151-1161 of this Appendix plus 3 1/2 per centum of the depreciated foreign cost computed annually upon the basis of a twenty-year life of the vessel' for 'construction cost of such new vessel or vessels', and added second paragraph relating to mixed foreign and domestic trade. 1938 - Act June 23, 1938, required the charter to contain an agreement of the purchaser to pay interest at the rate of 3 1/2 per centum per annum upon all unpaid portions of the purchase price from the date of the delivery of the vessel to the purchaser under the charter agreement, and provided that if the option to purchase is exercised, the deferred payments shall not be extended beyond the life of the vessel computed on a 20 year expectancy. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. RATE OF DEPRECIATION FOR VESSELS DELIVERED BY SHIPBUILDER ON OR AFTER JANUARY 1, 1946, AND BEFORE JANUARY 1, 1960 For provisions relating to computation of depreciation with respect to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and before Jan. 1, 1960, see section 8(b) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1160, 1196 of this Appendix. ------DocID 53901 Document 802 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1205 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VII -HEAD- Sec. 1205. Experimental operation and testing of United States vessels; number; bareboat charters; review of charters and agency agreements; provisions applicable to charters and agreements -STATUTE- The Secretary of Transportation, for the purpose of practical development, trial, and testing, is authorized without regard to other provisions of this subchapter or other laws relating to chartering and general agency operations, to operate, under general agency agreements, or bareboat charter, vessels owned by the United States (including any national defense reserve vessel) which have been constructed, reconditioned, or remodeled for experimental or testing purposes, in the foreign or domestic trade of the United States or for use for the account of any agency or department of the United States, under such reasonable terms or conditions as the Secretary of Transportation determines to be necessary to carry out the objects of this chapter: Provided, however, That not in excess of ten such vessels shall be operated and tested under the authority of this section in any one year. Bareboat charters entered into under this section shall be made at reasonable rates of charter and shall include such restrictions and conditions as the Secretary of Transportation determines to be necessary or appropriate to protect the public interest, including provisions for recapture of profits as provided for in section 1199 of this Appendix. Charters and general agency agreements entered into under this section shall be reviewed annually for the purpose of determining whether conditions exist which would justify continuance of the charter or agreement. Those provisions of law prescribed or incorporated under section 1241a of this Appendix, which relate to vessel operating activities of the Secretary of Transportation and to employment of seamen through general agents, shall be applicable in connection with charters and agreements entered into under this section. -SOURCE- (June 29, 1936, ch. 858, title VII, Sec. 715, as added July 11, 1956, ch. 574, 70 Stat. 531, and amended Aug. 6, 1981, Pub. L. 97-31, Sec. 12(117), 95 Stat. 164.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. ------DocID 53902 Document 803 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER VIII -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII -HEAD- SUBCHAPTER VIII - CONTRACT PROVISIONS ------DocID 53903 Document 804 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1211 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII -HEAD- Sec. 1211. Provision for books and records; filing balance sheets; inspection and auditing by Secretary; rescission of contract on failure to comply with provisions -STATUTE- Every contract executed by the Secretary of Transportation under the provisions of subchapters VI or VII of this chapter shall contain provisions requiring (1) that, the contractor and every affiliate, domestic agent, subsidiary, or holding company connected with, or directly or indirectly controlling or controlled by, the contractor, to keep its books, records, and accounts, relating to the maintenance, operation, and servicing of the vessels, services, routes, and lines covered by the contract, in such form and under such regulations as may be prescribed by the Secretary of Transportation: Provided, That the provisions of this paragraph shall not require the duplication of books, records, and accounts required to be kept in some other form by the Interstate Commerce Commission; (2) that the contractor and every affiliate, domestic agent, subsidiary, or holding company connected with, or directly or indirectly controlling or controlled by, the contractor, to file, upon notice from the Secretary of Transportation, balance sheets, profit and loss statements, and such other statements of financial operations, special report, memoranda of any facts and transactions, which in the opinion of the Secretary of Transportation affect the financial results in, the performance of, or transactions or operations under, such contract; (3) that the Secretary of Transportation shall be authorized to examine and audit the books, records, and accounts of all persons referred to in this section whenever he may deem it necessary or desirable; and (4) that upon the willful failure or refusal of any person described in this section to comply with the contract provisions required by this section, the Secretary of Transportation shall have the right to rescind the contract, and upon such rescission, the United States shall be relieved of all further liability on such contract. -SOURCE- (June 29, 1936, ch. 858, title VIII, Sec. 801, 49 Stat. 2011; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(119), 95 Stat. 164.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in six places and in cl. (3) 'he may deem' for 'it may deem'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53904 Document 805 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1212 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII -HEAD- Sec. 1212. Purchase or requisition of vessels by United States; amount of payment -STATUTE- Every contract executed by the Secretary of Transportation under authority of subchapter V of this chapter shall provide that - In the event the United States shall, through purchase or requisition, acquire ownership of the vessel or vessels on which a construction-differential subsidy was paid, the owner shall be paid therefor the value thereof, but in no event shall such payment exceed the actual depreciated construction cost thereof (together with the actual depreciated cost of capital improvements thereon, but excluding the cost of national-defense features) less the depreciated amount of construction-differential subsidy theretofore paid incident to the construction or reconditioning of such vessel or vessels, or the fair and reasonable scrap value of such vessel as determined by the Secretary of Transportation, whichever is the greater. Such determination shall be final. In computing the depreciated value of such vessel, depreciation shall be computed on each vessel on the schedule adopted by the Internal Revenue Service for income-tax purposes. The foregoing provision respecting the requisition or the acquisition of ownership by the United States shall run with the title to such vessel or vessels and be binding on all owners thereof. -SOURCE- (June 29, 1936, ch. 858, title VIII, Sec. 802, 49 Stat. 2011; June 23, 1938, ch. 600, Sec. 33, 52 Stat. 962; Aug. 7, 1939, ch. 555, Sec. 2, 53 Stat. 1254; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(120), 95 Stat. 164.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1939 - Act Aug. 7, 1939, struck out 'fair actual' after 'owner shall be paid therefor the' in first sentence. 1938 - Act June 23, 1938, inserted ', or the fair and reasonable scrap value of such vessel as determined by the Commission, whichever is the greater. Such determination shall be final.' at end of first sentence, and 'depreciated' after 'In computing the' in second sentence. -CHANGE- CHANGE OF NAME The official title of the Bureau of Internal Revenue was changed to the Internal Revenue Service by Treas. Dept. Order 150-29, eff. July 9, 1953. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241a, 1242 of this Appendix. ------DocID 53905 Document 806 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1213 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII -HEAD- Sec. 1213. Contracts designed equitably for all ports; minimum allocation of funds; report to Congress; preference to citizens of United States; regional offices for Maritime Administration -STATUTE- (a) Contracts under this chapter shall be entered into so as to equitably serve, insofar as possible, the foreign-trade requirements of the Atlantic, Gulf, Great Lakes, and Pacific ports of the United States. In order to assure equitable treatment for each range of ports referred to in the preceding sentence, not less than 10 percent of the funds appropriated for construction-differential subsidy and operating-differential subsidy pursuant to this chapter or any law authorizing funds for the purposes of this chapter shall be allocated to each such port range: Provided, however, That such allocation shall apply to the extent that subsidy contracts are approved by the Secretary of Transportation. For the purposes of this section and section 1121(a) of this Appendix, the Secretary shall establish trade routes, services, or lines that take into account the seasonal closure of the Saint Lawrence Seaway and provide for alternate routing of ships via a different range of ports during that closure so as to maintain continuity of service on a year-round basis. For the purposes of section 1175(c) of this Appendix, such an alternate routing via a different range of ports shall be deemed to be service from Great Lakes ports, provided such alternative routing is based upon receipt or delivery of cargo at Great Lakes-Saint Lawrence Seaway ports under through intermodal bills of lading. The Secretary shall include in the annual report pursuant to section 1118 of this Appendix a detailed report (1) describing the actions that have been taken pursuant to this chapter to assure insofar as possible that direct and adequate service is provided by United States-flag commercial vessels to each range of ports referred to in this section; and (2) including any recommendations for additional legislation that may be necessary to achieve the purpose of this section. In awarding contracts under this chapter, preference shall be given to persons who are citizens of the United States and who have the support, financial and otherwise, of the domestic communities primarily interested. (b) There shall be established and maintained within the Maritime Administration such regional offices as may be necessary, including, but not limited to, one such office for each of the four port ranges specified in subsection (a) of this section. The Secretary of Transportation shall appoint a qualified individual to be the Director of each such regional office and shall carry out appropriate functions, activities, and programs of the Maritime Administration through such regional offices. -SOURCE- (June 29, 1936, ch. 858, title VIII, Sec. 809, 49 Stat. 2015; Oct. 21, 1970, Pub. L. 91-469, Sec. 26(a), 84 Stat. 1034; Mar. 23, 1975, Pub. L. 94-10, Sec. 3, 89 Stat. 16; Nov. 13, 1975, Pub. L. 94-127, Sec. 4, 89 Stat. 680; Oct. 19, 1980, Pub. L. 96-470, title II, Sec. 201(a), 94 Stat. 2241; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(121), 95 Stat. 164; Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1604, 95 Stat. 751.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-35 inserted provisions respecting the establishment of trade routes, services or lines taking into consideration the seasonal closure of the Saint Lawrence Seaway, and alternate routing of ships. Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. Subsec. (b). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. 1980 - Subsec. (a). Pub. L. 96-470 substituted 'The Secretary shall include in the annual report pursuant to section 1118 of this Appendix' for 'Not later than March 1, 1976, and annually thereafter, the Secretary shall submit to Congress'. 1975 - Subsec. (a). Pub. L. 94-127 required minimum allocation of funds for each range of ports and submission of an annual report to Congress. Pub. L. 94-10 designated existing provisions as subsec. (a) and added subsec. (b). 1970 - Pub. L. 91-469 included ports on the Great Lakes. ------DocID 53906 Document 807 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER VIII-A -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII-A -HEAD- SUBCHAPTER VIII-A - OFFENSES AND PENALTIES ------DocID 53907 Document 808 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1222 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII-A -HEAD- Sec. 1222. Operating competing foreign-flag vessel forbidden -STATUTE- (a) Operating-differential subsidy; competition with essential American-flag service Except as provided in subsections (b) and (c) of this section, it shall be unlawful for any contractor receiving an operating-differential subsidy under subchapter VI of this chapter or for any charterer of vessels under subchapter VII of this chapter, or any holding company, subsidiary, affiliate, or associate of such contractor or such charterer, or any officer, director, agent, or executive thereof, directly or indirectly to own, charter, act as agent or broker for, or operate any foreign-flag vessel which competes with any American-flag service determined by the Secretary of Transportation to be essential as provided in section 1121 of this Appendix. (b) Waiver; special circumstances Under special circumstances and for good cause shown, the Secretary of Transportation may, in his discretion, waive the provisions of subsection (a) of this section as to any contractor, for a specific period of time. (c) Exceptions Upon application to the Secretary of Transportation the provisions of subsection (a) of this section shall not apply to the following specified activities of any contractor under subchapter VI of this chapter, or those in the foregoing specified relationship to him, who was not such a contractor on April 15, 1970, and who shall have complied with the requirement set forth in subsection (d) of this section: (1) Until April 15, 1990 - (A) the continued ownership, charter, or operation of a foreign-flag vessel engaged in the carriage of dry or liquid cargoes in bulk which was owned, chartered, or operated by such contractor, or those in the foregoing specified relationship to him, on April 15, 1970; (B) the continued acting as agent or broker for a vessel described in subsection (c)(1)(A) of this section which is owned, chartered, or operated by such contractor, or those in the foregoing specified relationship to him, and for which such contractor, or those in the foregoing specified relationship to him, were acting as agent or broker on April 15, 1970; (2) Repealed. Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925. (d) Statement to be filed with Secretary No contractor under subchapter VI of this chapter, whether he shall have become such a contractor before or after October 21, 1970, shall avail himself of the provisions of subsection (c) of this section unless not later than ninety days after October 21, 1970, there shall have been filed with the Secretary of Transportation a full and complete statement, satisfactory in form and substance to the Secretary, of all foreign-flag vessels which he, or those in the foregoing specified relationship to him, directly or indirectly owned, chartered, acted as agent or broker for, or operated on April 15, 1970. (e) Report to Congress During the period of time provided for in subsection (c) of this section, the Secretary of Transportation shall include in the annual report pursuant to section 1118 of this Appendix, a report on the activities of contractors under such subsection, including but not limited to, the nature and extent of such activities; its effect, if any, upon carrying forward the national policy declared in section 1101 of this Appendix; and the Secretary's recommendations for legislation, if such is deemed to be necessary. -SOURCE- (June 29, 1936, ch. 858, title VIII, Sec. 804, 49 Stat. 2012; June 23, 1938, ch. 600, Sec. 35, 52 Stat. 963; Oct. 21, 1970, Pub. L. 91-469, Sec. 24, 84 Stat. 1033; Oct. 19, 1980, Pub. L. 96-470, title II, Sec. 201(b), 94 Stat. 2241; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(121), 95 Stat. 164; Dec. 12, 1989, Pub. L. 101-225, title III, Sec. 307(7), 103 Stat. 1925.) -MISC1- AMENDMENTS 1989 - Subsec. (c)(2). Pub. L. 101-225 struck out par. (2) which specified as exempt activities, until Apr. 15, 1972, the continued acting as agent or broker for foreign-flag vessel engaged in carriage of dry or liquid cargoes in bulk, other than one described in subsec. (c)(1)(A) of this section, for which contractor, or those in foregoing specified relationship to him, were acting as agent or broker on Apr. 15, 1970. 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' wherever appearing. 1980 - Subsec. (e). Pub. L. 96-470 substituted 'shall include in the annual report pursuant to section 1118 of this Appendix, a report' for 'shall, at the beginning of each regular session, make a report to the Congress'. 1970 - Subsecs. (a) to (d). Pub. L. 91-469 designated existing provisions as subsecs. (a) and (b) and added subsecs. (c) to (e). 1938 - Act June 23, 1938, inserted 'for a specific period of time' after 'contractor,'. ------DocID 53908 Document 809 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1223 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII-A -HEAD- Sec. 1223. Forbidden practices relating to coastwise service, salaries, officers, and employees -STATUTE- (a) Foreign trade subsidy contractor engaging in coastwise or intercoastal trade It shall be unlawful to award or pay any subsidy to any contractor under authority of subchapter VI of this chapter, or to charter any vessel to any person under subchapter VII of this chapter if said contractor or charterer, or any holding company, subsidiary, affiliate, or associate of such contractor or charterer, or any officer, director, agent, or executive thereof, directly or indirectly, shall own, operate, or charter any vessel or vessels engaged in the domestic intercoastal or coastwise service, or own any pecuniary interest, directly or indirectly, in any person or concern that owns, charters, or operates any vessel or vessels in the domestic intercoastal or coastwise service, without the written permission of the Secretary of Transportation. Every person, firm, or corporation having any interest in such application shall be permitted to intervene and the Secretary of Transportation shall give a hearing to the applicant and the intervenors. The Secretary of Transportation shall not grant any such application if the Secretary of Transportation finds it will result in unfair competition to any person, firm, or corporation operating exclusively in the coastwise or intercoastal service or that it would be prejudicial to the objects and policy of this chapter: Provided, That if such contractor or other person above-described or a predecessor in interest was in bona-fide operation as a common carrier by water in the domestic, intercoastal, or coastwise trade in 1935 over the route or routes or in the trade or trades for which application is made and has so operated since that time or if engaged in furnishing seasonal service only, was in bona-fide operation in 1935 during the season ordinarily covered by its operation, except in either event, as to interruptions of service over which the applicant or its predecessor in interest had no control, the Secretary of Transportation shall grant such permission without requiring further proof that public interest and convenience will be served by such operation, and without further proceedings as to the competition in such route or trade. If such application be allowed, it shall be unlawful for any of the persons mentioned in this section to divert, directly or indirectly, any moneys, property, or other thing of value, used in foreign-trade operations, for which a subsidy is paid by the United States, into any such coastwise or intercoastal operations; and whosoever shall violate this provision shall be guilty of a misdemeanor. (b) Contractor in default paying more than specified salary Whenever any contractor under subchapters VI or VII of this chapter receiving an operating-differential subsidy is in default with respect to any mortgage, note, purchase contract, or other obligation to the Secretary of Transportation, or has not maintained, in a manner satisfactory to the Secretary of Transportation, all of the reserves provided for in this chapter, the Secretary of Transportation shall have the right to supervise the number and compensation of all officers and employees of the contractor. (c) Repealed. Pub. L. 91-469, Sec. 25, Oct. 21, 1970, 84 Stat. 1034 (d) Employing other persons or concerns as managing or operating agent It shall be unlawful, without express written consent of the Secretary of Transportation, for any contractor holding a contract authorized under subchapters VI or VII of this chapter to employ any other person or concern as the managing or operating agent of such operator, or to charter any vessel, on which an operating-differential subsidy is to be paid, for operation by another person or concern, and if such charter is made, the person or concern operating the chartered vessel or vessels shall be subject to all the terms and provisions of this chapter, including limitations of profits and salaries. (e) Repealed. Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925 (f) Penalty Any willful violation of any provision of this section shall constitute a breach of the contract or charter in force under this chapter, and upon determining that such a violation has occurred the Secretary of Transportation may forthwith declare such contract or charter rescinded and any person willfully violating the provisions of this section shall be guilty of a misdemeanor. -SOURCE- (June 29, 1936, ch. 858, title VIII, Sec. 805, 49 Stat. 2012; June 23, 1938, ch. 600, Sec. 36, 37, 52 Stat. 963; July 17, 1952, ch. 939, Sec. 20, 66 Stat. 765; Oct. 21, 1970, Pub. L. 91-469, Sec. 25, 84 Stat. 1034; Dec. 31, 1970, Pub. L. 91-603, Sec. 4(e), 84 Stat. 1675; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(122), 95 Stat. 164; Dec. 12, 1989, Pub. L. 101-225, title III, Sec. 307(7), 103 Stat. 1925.) -MISC1- AMENDMENTS 1989 - Subsec. (e). Pub. L. 101-225 struck out subsec. (e) which provided that it was unlawful for any contractor or charterer who holds any contract made under authority of this chapter to employ any Member of Congress, either with or without compensation, as an attorney, agent, officer, or director of such person. 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' wherever appearing. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1970 - Subsec. (c). Pub. L. 91-469 struck out restriction against taking into account for subsidy accounting purposes any salary for personal services in excess of $25,000 paid by the contractor and definition of terms 'director', 'officer', 'employee', and 'salary'. Subsec. (d). Pub. L. 91-603 struck out provisions which prohibited a contractor from receiving an operating-differential subsidy for the operation of any chartered vessel save and except during a period of actual emergency determined by the Secretary, or except as provided in section 1198 of this Appendix. 1952 - Subsec. (c). Act July 17, 1952, removed limitation of amount of salaries paid to employers, and defined director, officer, or employee. 1938 - Subsec. (d). Act June 23, 1938, substituted 'contractor. (c) No director' for 'contractor (c) no director', and inserted 'or except as provided in section 1198 of this Appendix'. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1183 of this Appendix. ------DocID 53909 Document 810 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1226 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII-A -HEAD- Sec. 1226. Discrimination in respect to cargo -STATUTE- It shall be unlawful for any contractor receiving an operating-differential subsidy under subchapter VI of this chapter or for any charterer under subchapter VII of this chapter unjustly to discriminate in any manner so as to give preference directly or indirectly in respect to cargo in which such contractor or charterer has a direct or indirect ownership, or purchase or vending interest; and whosoever shall violate this provision shall be guilty of a misdemeanor. -SOURCE- (June 29, 1936, ch. 858, title VIII, Sec. 808, 49 Stat. 2015.) ------DocID 53910 Document 811 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1227 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII-A -HEAD- Sec. 1227. Agreements with other carriers forbidden; withholding subsidies; actions by injured persons for damages -STATUTE- It shall be unlawful for any contractor receiving an operating-differential subsidy under subchapter VI of this chapter or for any charterer of vessels under subchapter VII of this chapter to continue as a party to or to conform to any agreement with another carrier or carriers by water, or to engage in any practice in concert with another carrier or carriers by water, which is unjustly discriminatory or unfair to any other citizen of the United States who operates a common carrier by water exclusively employing vessels registered under the laws of the United States on any established trade route from and to a United States port or ports. No payment or subsidy of any kind shall be paid directly or indirectly out of funds of the United States or any agency of the United States to any contractor or charterer who shall violate this section. Any person who shall be injured in his business or property by reason of anything forbidden by this section may sue therefor in any district court of the United States in which the defendant resides or is found or has an agent, without respect to the amount in controversy, and shall recover threefold the damages by him sustained, and the cost of suit, including a reasonable attorney's fee. -SOURCE- (June 29, 1936, ch. 858, title VIII, Sec. 810, 49 Stat. 2015.) -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Effect of rule 54 on this section, see note by Advisory Committee under rule 54, Title 28, Appendix, Judiciary and Judicial Procedure. Judgment and costs, see rule 54. ------DocID 53911 Document 812 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1228 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER VIII-A -HEAD- Sec. 1228. Fines and penalties; conviction as rendering persons ineligible to receive benefits of law -STATUTE- Whenever any natural person is found guilty in any district court of the United States of any act or acts declared in this chapter to constitute a misdemeanor, he shall be punished by a fine of not more than $10,000, or by imprisonment for not less than one year or more than five years, or by both fine and imprisonment. Whenever any corporation is found guilty of any act or acts declared in this chapter to be unlawful, such corporation shall be punished by a fine of not more than $25,000. In addition to the punishment prescribed in section 1224 (FOOTNOTE 1) of this Appendix, any person or corporation convicted of a misdemeanor under the provisions of this chapter shall be ineligible, at the discretion of the Commission or the Secretary of Transportation, to receive any benefits under subchapters V and VI of this chapter, or to receive a charter under subchapter VII of this chapter for a period of five years after conviction. (FOOTNOTE 1) See References in Text note below. Whoever knowingly and willfully violates any order, rule, or regulation of the Federal Maritime Commission or the Secretary of Transportation made or issued in the exercise of the powers, duties, or functions transferred to it or him or vested in it or him by this chapter, as amended, for which no penalty is otherwise expressly provided, shall upon conviction thereof be subject to a fine of not more than $500. If such violation is a continuing one, each day of such violation shall constitute a separate offense. -SOURCE- (June 29, 1936, ch. 858, title VIII, Sec. 806(b)-(d), 49 Stat. 2014; Aug. 4, 1939, ch. 417, Sec. 13, 53 Stat. 1187; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(125), 95 Stat. 164.) -REFTEXT- REFERENCES IN TEXT Section 1224 of this Appendix, referred to in text, was repealed by Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925. -COD- CODIFICATION Section is comprised of subsecs. (b) to (d) of section 806 of act June 29, 1936. Subsec. (a) of section 806 is classified to section 1224 of this Appendix. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Commission or the Secretary of Transportation' for 'Commission', 'Federal Maritime Commission or the Secretary of Transportation' for 'United States Maritime Commission', and 'it or him' for 'it' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1939 - Act Aug. 4, 1939, added third par. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53912 Document 813 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER IX -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- SUBCHAPTER IX - MISCELLANEOUS PROVISIONS ------DocID 53913 Document 814 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241. Transportation in American vessels of Government personnel and certain cargoes -STATUTE- (a) Requirement that officers and employees travel on American ships Any officer or employee of the United States traveling on official business overseas or to or from any of the possessions of the United States shall travel and transport his personal effects on ships registered under the laws of the United States where such ships are available unless the necessity of his mission requires the use of a ship under a foreign flag: Provided, That the Comptroller General of the United States shall not credit any allowance for travel or shipping expenses incurred on a foreign ship in the absence of satisfactory proof of the necessity therefor. (b) Cargoes procured, furnished or financed by United States; waiver in emergencies; exceptions; definition (1) Whenever the United States shall procure, contract for, or otherwise obtain for its own account, or shall furnish to or for the account of any foreign nation without provision for reimbursement, any equipment, materials, or commodities, within or without the United States, or shall advance funds or credits or guarantee the convertibility of foreign currencies in connection with the furnishing of such equipment, materials, or commodities, the appropriate agency or agencies shall take such steps as may be necessary and practicable to assure that at least 50 per centum of the gross tonnage of such equipment, materials or commodities (computed separately for dry bulk carriers, dry cargo liners, and tankers), which may be transported on ocean vessels shall be transported on privately owned United States-flag commercial vessels, to the extent such vessels are available at fair and reasonable rates for United States-flag commercial vessels, in such manner as will insure a fair and reasonable participation of United States-flag commercial vessels in such cargoes by geographic areas: Provided, That the provisions of this subsection may be waived whenever the Congress by concurrent resolution or otherwise, or the President of the United States or the Secretary of Defense declares that an emergency exists justifying a temporary waiver of the provisions of this paragraph and so notifies the appropriate agency or agencies: And provided further, That the provisions of this subsection shall not apply to cargoes carried in the vessels of the Panama Canal Company. Nothing herein shall repeal or otherwise modify the provisions of section 1241-1 of this Appendix. For purposes of this section, the term 'privately owned United States-flag commercial vessels' shall not be deemed to include any vessel which, subsequent to September 21, 1961, shall have been either (a) built outside the United States, (b) rebuilt outside the United States, or (c) documented under any foreign registry, until such vessel shall have been documented under the laws of the United States for a period of three years: Provided, however, That the provisions of this amendment shall not apply where, (1) prior to September 21, 1961, the owner of a vessel, or contractor for the purchase of a vessel, originally constructed in the United States and rebuilt abroad or contracted to be rebuilt abroad, has notified the Maritime Administration in writing of its intent to document such vessel under United States registry, and such vessel is so documented on its first arrival at a United States port not later than one year subsequent to September 21, 1961, or (2) where prior to September 21, 1961, the owner of a vessel under United States registry has made a contract for the rebuilding abroad of such vessel and has notified the Maritime Administration of such contract, and such rebuilding is completed and such vessel is thereafter documented under United States registry on its first arrival at a United States port not later than one year subsequent to September 21, 1961. (2) Every department or agency having responsibility under this subsection shall administer its programs with respect to this subsection under regulations issued by the Secretary of Transportation. The Secretary of Transportation shall review such administration and shall annually report to the Congress with respect thereto. (c) Motor vehicle owned by Government personnel Notwithstanding any other provision of law, privately owned American shipping services may be utilized for the transportation of motor vehicles owned by Government personnel whenever transportation of such vehicles at Government expense is otherwise authorized by law. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901, 49 Stat. 2015; Aug. 26, 1954, ch. 936, 68 Stat. 832; May 28, 1956, ch. 325, 70 Stat. 187; Sept. 21, 1961, Pub. L. 87-266, 75 Stat. 565; Oct. 21, 1970, Pub. L. 91-469, Sec. 27, 84 Stat. 1034; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(126), 95 Stat. 165.) -REFTEXT- REFERENCES IN TEXT Panama Canal Company, referred to in subsec. (b)(1), deemed to refer to Panama Canal Commission, see section 3602(b)(5) of Title 22, Foreign Relations and Intercourse. This amendment, referred to in subsec. (b)(1), means the amendment to this section by Pub. L. 87-266. See 1961 Amendment note below. -MISC2- AMENDMENTS 1981 - Subsec. (b)(2). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' in two places. 1970 - Subsec. (b). Pub. L. 91-469 redesignated subsec. (b) as (b)(1), substituted 'this paragraph' for 'this subsection' after 'temporary waiver of the provisions of' therein, and added subsec. (b)(2). 1961 - Subsec. (b). Pub. L. 87-266 excluded from term 'privately owned United States-flag commercial vehicles' those vessels which, subsequent to Sept. 21, 1961, have been either built outside the United States, rebuilt outside the United States, or documented under foreign registry, until such vessels have been documented under the laws of the United States for 3 years. 1956 - Subsec. (c). Act May 28, 1956, added subsec. (c). 1954 - Act Aug. 26, 1954, designated existing provisions as subsec. (a) and added subsec. (b). EXEMPTIONS Export sales of certain agricultural commodities, see section 1707a of Title 7, Agriculture. Functions authorized by Foreign Assistance Act of 1961, as amended, as exempt, see Ex. Ord. No. 11223, eff. May 12, 1965, 30 F.R. 6635, set out under section 2393 of Title 22, Foreign Relations and Intercourse. Act Aug. 3, 1956, ch. 933, Sec. 3, 70 Stat. 988, provided that sales of fresh fruit and the products thereof under sections 1701 to 1709 of Title 7, Agriculture, should be exempt from the requirements of this section. -CROSS- CROSS REFERENCES Motor vehicles belonging to members of armed forces, transportation on Government-owned vessels, see section 2634 of Title 10, Armed Forces. Transportation at Government expense of automobiles owned by civilian officers and employees prohibited, see section 5727 of Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1185, 1241e, 1241f, 1241j, 1241l, 1241q, 1241s of this Appendix; title 10 section 2350b; title 22 sections 2223, 2353, 2399d. ------DocID 53914 Document 815 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241-1 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241-1. Shipment of exports financed by Government in United States vessels -STATUTE- It is the sense of Congress that in any loans made by any instrumentality of the Government to foster the exporting of agricultural or other products, provision shall be made that such products shall be carried exclusively in vessels of the United States, unless, as to any or all of such products, the Secretary of Transportation, after investigation, shall certify to the instrumentality of the Government that vessels of the United States are not available in sufficient numbers, or in sufficient tonnage capacity, or on necessary sailing schedule, or at reasonable rates. -SOURCE- (Mar. 26, 1934, ch. 90, 48 Stat. 500; June 29, 1936, ch. 858, Sec. 204, 49 Stat. 1987; 1957 Reorg. Plan No. 1, eff. June 30, 1957, 22 F.R. 4633, 71 Stat. 647; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(127), 95 Stat. 165.) -COD- CODIFICATION Provisions of this section reading 'any loans made by any instrumentality of the Government' and 'shall certify to the instrumentality of the Government' were substituted for 'any loans made by the Reconstruction Finance Corporation or any other instrumentality of the Government' and 'shall certify to the Reconstruction Finance Corporation or any other instrumentality of the Government' in view of the abolition of the Reconstruction Finance Corporation and transfer of its remaining functions to Housing and Home Finance Agency, Administrator of General Services, Administrator of Small Business Administration, and Secretary of Treasury pursuant to Reorg. Plan No. 1 of 1957, set out in Appendix of Title 5, Government Organization and Employees. Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. Section was formerly classified to section 616a of Title 15, Commerce and Trade. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS Functions of Shipping Board Bureau assumed by United States Maritime Commission on Oct. 26, 1936, under provisions of act June 29, 1936, set out as section 1114 of this Appendix. For subsequent transfers of functions, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. -MISC5- EXEMPTIONS Export sales of certain agricultural commodities, see section 1707a of Title 7, Agriculture. Functions authorized by Foreign Assistance Act of 1961, as amended, as exempt, see Ex. Ord. No. 11223, eff. May 12, 1965, 30 F.R. 6635, set out under section 2393 of Title 22, Foreign Relations and Intercourse. Act Aug. 3, 1956, ch. 933, Sec. 3, 70 Stat. 988, provided that sales of fresh fruit and the products thereof under sections 1701 to 1709 of Title 7, Agriculture, should be exempt from the requirements of this section. Section not affected by other requirements regarding transportation of certain cargoes in American vessels, see section 1241 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241, 1241e, 1241j, 1241l of this Appendix. ------DocID 53915 Document 816 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241a. Vessel operations revolving fund; establishment; uses; limitation -STATUTE- There is established a working capital of $20,000,000 to remain available until expended, for the 'Vessel Operations Revolving Fund', which is created for the purpose of carrying out vessel operating functions of the Secretary of Transportation, including charter, operation, maintenance, repair, reconditioning, and betterment of merchant vessels under the jurisdiction of the Secretary of Transportation. Notwithstanding any other provision of law, rates for shipping services rendered under said Fund shall be prescribed by the Secretary of Transportation and the Fund shall be credited with all receipts from vessel operating activities conducted thereunder: Provided, That the provisions of sections 1291(a), (c), 1293(c), and 1294 of Appendix to title 50 shall be applicable in connection with such operations and to seamen employed through general agents as employees of the United States, who may be employed in accordance with customary commercial practices in the maritime industry, notwithstanding the provisions of any law applicable in terms to the employment of persons by the United States: Provided further, That such sums as may be determined to be necessary by the Secretary of Transportation, with the approval of the Office of Management and Budget, but not exceeding 2 per centum of vessel operating expenses, may be advanced from this Fund to the appropriation 'Salaries and expenses' for the purposes of that appropriation in connection with vessel operating functions, but without regard to the limitations on amounts as stated therein: Provided further, That notwithstanding any other provisions of law, the unexpended balances of any working funds or of allocation accounts established, subsequent to January 1, 1951, for the activities provided for under this appropriation, together with receipts heretofore and hereafter received from such activities, may be transferred to and consolidated with this Fund, which shall be available for the purposes of such working funds or allocation accounts. No money made available to the Department of Transportation, for Maritime Activities, by this section or any other Act shall be used in payment for a vessel the title to which is acquired by the Government either by requisition or purchase, or the use of which is taken either by requisition or agreement, or which is insured by the Government and lost while so insured, unless the price or hire to be paid therefor, (except in cases where section 1212 of this Appendix is applicable) is computed in accordance with subsection (a) of section 1242 of this Appendix, as that subsection is interpreted by the General Accounting Office. -SOURCE- (June 2, 1951, ch. 121, Ch. VIII, 65 Stat. 59; 1970 Reorg. Plan No. 2, Sec. 102, eff. July 1, 1970, 35 F.R. 7959, 84 Stat. 2085; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(128), 95 Stat. 165.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' in four places and 'Department of Transportation' for 'Department of Commerce'. -TRANS- TRANSFER OF FUNCTIONS Functions vested by law (including reorganization plan) in Bureau of Budget or Director of Bureau of the Budget transferred to President of United States by section 101 of Reorg. Plan No. 2 of 1970, eff. July 1, 1970, 35 F.R. 7959, 84 Stat. 2085, set out in the Appendix to Title 5, Government Organization and Employees. Section 102 of Reorg. Plan No. 2 of 1970, redesignated Bureau of the Budget as Office of Management and Budget. -MISC5- AUTHORIZATION FOR PAYMENTS OUT OF FUND Pub. L. 85-721, Aug. 21, 1958, 72 Stat. 710, as authorizing Secretary of Commerce to make certain payments out of Vessels Operations Revolving Fund to persons to whom he chartered vessel, see note set out under section 1738 of Appendix to Title 50, War and National Defense. -CROSS- CROSS REFERENCES Emergency foreign vessel acquisition, see sections 196 to 198 of Title 50, War and National Defense. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1205, 1241c, 1280 of this Appendix. ------DocID 53916 Document 817 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241b -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241b. Availability of vessel operations revolving fund; vessels involved in mortgage-foreclosure or forfeiture proceedings; redelivery and layup of chartered ships; custody and husbanding of Government-owned ships -STATUTE- On and after June 20, 1956, the vessel operations revolving fund shall be available for necessary expenses incurred, in connection with protection, preservation, maintenance, acquisition, or use of vessels involved in mortgage-foreclosure or forfeiture proceedings instituted by the United States, including payment of prior claims and liens, expenses of sale, or other charges incident thereto; for necessary expenses incident to the redelivery and lay-up, in the United States, of ships now chartered under agreements which do not call for their return to the United States; for activation, repair and deactivation of merchant ships chartered for limited emergency purposes during the fiscal year 1957 under the jurisdiction of the Secretary of Transportation; and for payment of expenses of custody and husbanding of Government-owned ships other than those within reserve fleets. -SOURCE- (June 20, 1956, ch. 415, title I, Sec. 101, 70 Stat. 319; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(129), 95 Stat. 165.) -COD- CODIFICATION Section was not enacted as part of the Merchant Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. SIMILAR PROVISIONS Similar provisions were contained in the following prior appropriation act: June 30, 1955, ch. 253, title I, Sec. 101, 69 Stat. 231, as amended by act May 19, 1956, ch. 313, Ch. II, Sec. 201, 70 Stat. 162. LIMITATION ON FUNDS FOR FISCAL YEAR 1957 Act June 20, 1956, ch. 415, title I, Sec. 101, 70 Stat. 319, provided in part that not to exceed $5,000,000 of the funds of the vessel operations revolving fund were to be used in fiscal year 1957 for the purposes set forth in this section. Similar provisions on limitation on funds were contained in act June 30, 1955, ch. 253, title I, Sec. 101, 69 Stat. 231. ------DocID 53917 Document 818 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241c -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241c. Expenses for activation, repair and deactivation of merchant ships; receipts -STATUTE- The vessel operations revolving fund created by section 1241a of this Appendix, shall, beginning July 1, 1956, be available for expenses incurred in connection with the activation, repair, and deactivation of merchant ships chartered under the jurisdiction of the Secretary of Transportation. There shall be credited to such fund all receipts on account of operations after July 1, 1956, under charters of Government-owned ships under the jurisdiction of the Secretary of Transportation. -SOURCE- (Aug. 1, 1956, ch. 846, 70 Stat. 897; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(130), 95 Stat. 165.) -COD- CODIFICATION Section was not enacted as part of the Merchant Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' in two places. ------DocID 53918 Document 819 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241d -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241d. Findings and declarations with respect to export transportation of agricultural commodities -STATUTE- (a) The Congress finds and declares - (1) that a productive and healthy agricultural industry and a strong and active United States maritime industry are vitally important to the economic well-being and national security objectives of our Nation; (2) that both industries must compete in international markets increasingly dominated by foreign trade barriers and the subsidization practices of foreign governments; and (3) that increased agricultural exports and the utilization of United States merchant vessels contribute positively to the United States balance of trade and generate employment opportunities in the United States. (b) It is therefore declared to be the purpose and policy of the Congress in sections 1241d to 1241p of this Appendix - (1) to enable the Department of Agriculture to plan its export programs effectively, by clarifying the ocean transportation requirements applicable to such programs; (2) to take immediate and positive steps to promote the growth of the cargo carrying capacity of the United States merchant marine; (3) to expand international trade in United States agricultural commodities and products and to develop, maintain, and expand markets for United States agricultural exports; (4) to improve the efficiency of administration of both the commodity purchasing and selling and the ocean transportation activities associated with export programs sponsored by the Department of Agriculture; (5) to stimulate and promote both the agricultural and maritime industries of the United States and encourage cooperative efforts by both industries to address their common problems; and (6) to provide in this chapter for the appropriate disposition of these findings and purposes. -SOURCE- (Pub. L. 99-198, title XI, Sec. 1141, Dec. 23, 1985, 99 Stat. 1490.) -REFTEXT- REFERENCES IN TEXT Sections 1241d to 1241p of this Appendix, referred to in subsec. (b), was in the original 'this subtitle', meaning subtitle C (Sec. 1141-1143) of title XI of Pub. L. 99-198, Dec. 23, 1985, 99 Stat. 1490, which enacted sections 1241d to 1241p of this Appendix. -COD- CODIFICATION Section was enacted as part of the Food Security Act of 1985, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1241p of this Appendix. ------DocID 53919 Document 820 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241e -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241e. Exemption of certain agricultural exports from requirements of cargo preference laws -STATUTE- The requirements of sections 1241(b)(1) and 1241-1 of this Appendix, shall not apply to any export activities of the Secretary of Agriculture or the Commodity Credit Corporation - (1) under which agricultural commodities or the products thereof acquired by the Commodity Credit Corporation are made available to United States exporters, users, processors, or foreign purchasers for the purpose of developing, maintaining, or expanding export markets for United States agricultural commodities or the products thereof at prevailing world market prices; (2) under which payments are made available to United States exporters, users, or processors or, except as provided in section 1241f of this Appendix, cash grants are made available to foreign purchasers, for the purpose described in paragraph (1); (3) under which commercial credit guarantees are blended with direct credits from the Commodity Credit Corporation to reduce the effective rate of interest on export sales of United States agricultural commodities or the products thereof; (4) under which credit or credit guarantees for not to exceed 3 years are extended by the Commodity Credit Corporation to finance or guarantee export sales of United States agricultural commodities or the products thereof; or (5) under which agricultural commodities or the products thereof owned or controlled by or under loan from the Commodity Credit Corporation are exchanged or bartered for materials, goods, equipment, or services, but only if such materials, goods, equipment, or services are of a value at least equivalent to the value of the agricultural commodities or products exchanged or bartered therefor (determined on the basis of prevailing world market prices at the time of the exchange or barter), but nothing in this subsection shall be construed to exempt from the cargo preference provisions referred to in section 1241f of this Appendix any requirement otherwise applicable to the materials, goods, equipment, or services imported under any such transaction. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901a, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1490.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241f, 1241i, 1241j, 1241p of this Appendix. ------DocID 53920 Document 821 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241f -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241f. Shipment requirements for certain exports sponsored by Department of Agriculture -STATUTE- (a) Minimum requirement respecting gross tonnage transported in United States-flag commercial vessels; implementation (1) In addition to the requirement for United States-flag carriage of a percentage of gross tonnage imposed by section 1241(b)(1) of this Appendix, 25 percent of the gross tonnage of agricultural commodities or the products thereof specified in subsection (b) of this section shall be transported on United States-flag commercial vessels. (2) In order to achieve an orderly and efficient implementation of the requirement of paragraph (1) - (A) an additional quantity equal to 10 percent of the gross tonnage referred to in paragraph (1) shall be transported in United States-flag vessels in calendar year 1986; (B) an additional quantity equal to 20 percent of the gross tonnage shall be transported in such vessels in calendar year 1987; and (C) an additional quantity equal to 25 percent of the gross tonnage shall be transported in such vessels in calendar year 1988 and in each calendar year thereafter. (b) Covered export activity This section shall apply to any export activity of the Commodity Credit Corporation or the Secretary of Agriculture - (1) carried out under the Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C. 1691 et seq.); (2) carried out under section 416 of the Agricultural Act of 1949 (7 U.S.C. 1431); (3) carried out under the Food Security Wheat Reserve Act of 1980 (7 U.S.C. 1736f-1); (4) under which agricultural commodities or the products thereof are - (A) donated through foreign governments or agencies, private or public, including intergovernmental organizations; or (B) sold for foreign currencies or for dollars on credit terms of more than ten years; (5) under which agricultural commodities or the products thereof are made available for emergency food relief at less than prevailing world market prices; (6) under which a cash grant is made directly or through an intermediary to a foreign purchaser for the purpose of enabling the purchaser to obtain United States agricultural commodities or the products thereof in an amount greater than the difference between the prevailing world market price and the United States market price, free along side vessel at United States port; or (7) under which agricultural commodities owned or controlled by or under loan from the Commodity Credit Corporation are exchanged or bartered for materials, goods, equipment, or services produced in foreign countries, other than export activities described in section 1241e(5) of this Appendix. (c) Terms and conditions (1) The requirement for United States-flag transportation imposed by subsection (a) of this section shall be subject to the same terms and conditions as provided in section 1241(b) of this Appendix. (2) In order to provide for effective and equitable administration of the cargo preference laws the calendar year for the purpose of compliance with minimum percentage requirements shall be for 12 month periods commencing April 1, 1986. (3)(A) Subject to subparagraph (B), in administering sections 1241(b) and 1241f of this Appendix, and consistent with those sections, the Commodity Credit Corporation shall take such steps as may be necessary and practicable without detriment to any port range to allocate, on the principle of lowest landed cost without regard to the country of documentation of the vessel, 50 percent of the bagged, processed, or fortified commodities furnished pursuant to title II of the Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C. 1721 et seq.). (B) In carrying out this paragraph, the Commodity Credit Corporation shall not allocate to the Great Lakes port range in any year a percentage share of commodities referred to in subparagraph (A) that is greater than the share experienced by that port range in 1984, as determined by the Secretary of Agriculture. (4) Amounts of cargo allocated to ports in the Great Lakes port range pursuant to paragraph (3) shall not be exported from a different port range except as necessary to meet United States-flag transportation requirements of sections 1241(b) and 1241f of this Appendix, in which case within the same year the Commodity Credit Corporation shall take such steps as are necessary and practicable without detriment to any port range to ensure the export from the Great Lakes port range of an amount of tonnage of commodities referred to in paragraph (3)(A) that is not required to be transported on United States-flag vessels, that is equal to the amount of tonnage diverted for export from other port ranges. (5) Any determination of nonavailability of United States-flag vessels resulting from the application of this subsection shall not reduce the gross tonnage of commodities required by sections 1241(b) and 1241f of this Appendix to be transported on United States-flag vessels. (d) 'Export activity' defined As used in subsection (b) of this section, the term 'export activity' does not include inspection or weighing activities, other activities carried out for health or safety purposes, or technical assistance provided in the handling of commercial transactions. (e) Prevailing world market price (1) The prevailing world market price as to agricultural commodities or the products thereof shall be determined under sections 1241e through 1241h of this Appendix in accordance with procedures established by the Secretary of Agriculture. The Secretary shall prescribe such procedures by regulation, with notice and opportunity for public comment, pursuant to section 553 of title 5. (2) In the event that a determination of the prevailing world market price of any other type of materials, goods, equipment, or service is required in order to determine whether a barter or exchange transaction is subject to subsection (b)(6) or (b)(7) of this section, such determination shall be made by the Secretary of Agriculture in consultation with the heads of other appropriate Federal agencies. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901b, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1491, and amended Nov. 28, 1990, Pub. L. 101-624, title XV, Sec. 1525, 104 Stat. 3667.) -REFTEXT- REFERENCES IN TEXT The Agricultural Trade Development and Assistance Act of 1954, referred to in subsecs. (b)(1) and (c)(3)(A), is act July 10, 1954, ch. 469, 68 Stat. 454, as amended, which is classified generally to chapter 41 (Sec. 1691 et seq.) of Title 7, Agriculture. Title II of the Act is classified generally to subchapter III (Sec. 1721 et seq.) of chapter 41 of Title 7. For complete classification of this Act to the Code, see Short Title note set out under section 1691 of Title 7 and Tables. The cargo preference laws, referred to in subsec. (c)(2), include act Mar. 26, 1934, ch. 90, 48 Stat. 500, and act Aug. 26, 1954, ch. 936, 68 Stat. 832, which are classified to sections 1241-1 and 1241, respectively, of this Appendix. -MISC2- AMENDMENTS 1990 - Subsec. (c)(2). Pub. L. 101-624, Sec. 1525(1), (2), struck out '(A)' before 'In order to provide' and struck out subpar. (B) which read as follows: 'In addition, the Secretary of Transportation, in administering this subsection and section 1241(b) of this Appendix, and consistent with these sections, shall take such steps as may be necessary and practicable without detriment to any port range to preserve during calendar years 1986, 1987, 1988, and 1989 the percentage share, or metric tonnage of bagged, processed, or fortified commodities, whichever is lower, experienced in calendar year 1984 as determined by the Secretary of Agriculture, of waterborne cargoes exported from Great Lake ports pursuant to title II of the Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C. 1721 et seq.).' Subsec. (c)(3) to (5). Pub. L. 101-624, Sec. 1525(3), added pars. (3) to (5). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241e, 1241g, 1241h, 1241i, 1241j, 1241l, 1241o, 1241p, 1241s of this Appendix. ------DocID 53921 Document 822 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241g -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241g. Minimum tonnage -STATUTE- (a)(1) For fiscal year 1986 and each fiscal year thereafter, the minimum quantity of agricultural commodities to be exported under programs subject to section 1241f of this Appendix shall be the average of the tonnage exported under such programs during the base period defined in subsection (b) of this section, discarding the high and low years. (2) The President may waive the minimum quantity for any fiscal year required under paragraph (1) if he determines and reports to the Congress, together with his reasons, that such quantity cannot be effectively used for the purposes of such programs or, based on a certification by the Secretary of Agriculture, that the commodities are not available for reasons which include the unavailability of funds. (b) The base period utilized for computing the minimum tonnage quantity referred to in subsection (a) of this section for any fiscal year shall be the five fiscal years beginning with the sixth fiscal year preceding such fiscal year and ending with the second fiscal year preceding such fiscal year. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901c, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1493.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241f, 1241i, 1241j, 1241o, 1241p of this Appendix. ------DocID 53922 Document 823 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241h -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241h. Financing of shipment of agricultural commodities in United States-flag vessels -STATUTE- (a) Financing by Secretary of Transportation of increased ocean freight charges The Secretary of Transportation shall finance any increased ocean freight charges incurred in any fiscal year which result from the application of section 1241f of this Appendix. (b) Reimbursement of Secretary of Agriculture and Commodity Credit Corporation; computations If in any fiscal year the total cost of ocean freight and ocean freight differential for which obligations are incurred by the Department of Agriculture and the Commodity Credit Corporation on exports of agricultural commodities and products thereof under the agricultural export programs specified in section 1241f(b) of this Appendix exceeds 20 percent of the value of such commodities and products and the cost of such ocean freight and ocean freight differential on which obligations are incurred by such Department and Corporation during such year, the Secretary of Transportation shall reimburse the Department of Agriculture and the Commodity Credit Corporation for the amount of such excess. For the purpose of this subsection, commodities shipped from the inventory of the Commodity Credit Corporation shall be valued as provided in section 1733(b) (FOOTNOTE 1) of title 7. (FOOTNOTE 1) See References in Text note below. (c) Issuance, etc., of obligations for financing For the purpose of meeting those expenses required to be assumed under subsections (a) and (b) of this section, the Secretary of Transportation shall issue to the Secretary of the Treasury such obligations in such forms and denominations, bearing such maturities and subject to such terms and conditions, as may be prescribed by the Secretary of Transportation with the approval of the Secretary of the Treasury. Such obligations shall be at a rate of interest as determined by the Secretary of the Treasury, taking into consideration the average market yield on outstanding marketable obligations of the United States with remaining periods of maturity comparable to the average maturities of such obligations during the month preceding the issuance of such obligations of the Secretary of Transportation. The Secretary of the Treasury shall purchase any obligations of the Secretary of Transportation issued under this subsection and, for the purpose of purchasing such obligations, the Secretary of the Treasury may use as a public debt transaction the proceeds from the sale of any securities issued under chapter 31 of title 31 after December 23, 1985, and the purposes for which securities may be issued under such chapter are extended to include any purchases of the obligations of the Secretary of Transportation under this subsection. All redemptions and purchases by the Secretary of the Treasury of the obligations of the Secretary of Transportation shall be treated as public-debt transactions of the United States. (d) Authorization of appropriations There is authorized to be appropriated annually for each fiscal year, commencing with the fiscal year beginning October 1, 1986, an amount sufficient to reimburse the Secretary of Transportation for the costs, including administrative expenses and the principal and interest due on the obligations to the Secretary of the Treasury incurred under this section. Reimbursement of any such costs shall be made with appropriated funds, as provided in this section, rather than through cancellation of notes. (e) Notification of Congress respecting failure to obtain funds necessary for financing Notwithstanding the provisions of this section, in the event that the Secretary of Transportation is unable to obtain the funds necessary to finance the increased ocean freight charges resulting from the requirements of subsections (a) and (b) of this section and section 1241f(a) of this Appendix, the Secretary of Transportation shall so notify the Congress within 10 working days of the discovery of such insufficiency. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901d, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1493.) -REFTEXT- REFERENCES IN TEXT Section 1733 of title 7, referred to in subsec. (b), was amended generally by Pub. L. 101-624, title XV, Sec. 1512, Nov. 28, 1990, 104 Stat. 3646, and, as so amended, no longer contains provisions relating to valuation of commodities shipped from the inventory of the Commodity Credit Corporation. See section 1736f(e) of Title 7, Agriculture. -COD- CODIFICATION 'December 23, 1985,' substituted in subsec. (c) for 'the date of the enactment of this Act', meaning the date of the enactment of Pub. L. 99-198 which enacted this section, as the probable intent of Congress. -MISC3- APPROPRIATION FOR PAYMENTS OF OCEAN FREIGHT DIFFERENTIALS Pub. L. 100-202, Sec. 101(a) (title V, Sec. 501), Dec. 22, 1987, 101 Stat. 1329, 1329-27, provided that: 'Such sums as may be necessary for fiscal year 1988 and thereafter are hereby appropriated to liquidate debt and pay interest due to the Secretary of the Treasury, as required by section 901d, Merchant Marine Act, 1936 (46 App. U.S.C. 1241h).' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241f, 1241i, 1241j, 1241o, 1241p of this Appendix. ------DocID 53923 Document 824 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241i -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241i. Authorization of appropriations -STATUTE- There are authorized to be appropriated such sums as may be necessary to carry out the provisions of sections 1241e through 1241o of this Appendix. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901e, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1494.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241j, 1241p of this Appendix. ------DocID 53924 Document 825 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241j -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241j. Termination of sections 1241e through 1241o of this Appendix -STATUTE- The operation of sections 1241e through 1241o of this Appendix shall terminate 90 days after the date on which a notification is made pursuant to section 1241h(e) of this Appendix, except with respect to shipments of agricultural commodities and products subject to contracts entered into before the expiration of such 90-day period, unless within such 90-day period the Secretary of Transportation proclaims that funds are available to finance increased freight charges resulting from the requirements of sections 1241f(a) and 1241h(a) and (b) of this Appendix. In the event of termination under this section, nothing in sections 1241e through 1241h of this Appendix shall be construed as exempting export activities from or subjecting export activities to the cargo preference laws except to the extent those activities are exempt under section 1707a(b) (FOOTNOTE 1) of title 7. In the event of termination under this section, the 50 percent requirement in section 1241(b) of this Appendix shall be in full effect. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901f, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1494.) -REFTEXT- REFERENCES IN TEXT The cargo preference laws, referred to in text, include act Mar. 26, 1934, ch. 90, 48 Stat. 500, and act Aug. 26, 1954, ch. 936, 68 Stat. 832, which are classified to sections 1241-1 and 1241, respectively, of this Appendix. Section 1707a of title 7, referred to in text, was repealed by Pub. L. 101-624, title XV, Sec. 1574, Nov. 28, 1990, 104 Stat. 3702. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241i, 1241p of this Appendix. ------DocID 53925 Document 826 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241k -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241k. National Advisory Commission on Agricultural Export Transportation Policy -STATUTE- (a) Establishment There is hereby established an advisory commission to be known as the National Advisory Commission on Agricultural Export Transportation Policy (hereafter in this section through section 1241n of this Appendix referred to as the 'Commission'). (b) Membership; composition, appointment, etc. (1) The Commission shall be composed of 16 members. (2) Eight members of the Commission shall be appointed by the President. (3) The chairman and ranking minority members of the Senate Committee on Agriculture, Nutrition, and Forestry, of the Subcommittee on Merchant Marine of the Senate Committee on Commerce, Science, and Transportation, of the House Committee on Agriculture, and of the House Committee on Merchant Marine and Fisheries shall serve as members of the Commission. (4)(A) Four of the members appointed by the President shall be representatives of agricultural producers, cooperatives, merchandisers, and processors of agricultural commodities. (B) The remaining four members appointed by the President shall be representatives of the United States-flag maritime industry, two of whom shall represent labor and two of whom shall represent management. (c) Chairman; vacancy (1) The members of the Commission shall elect a Chairman from among its members. (2) Any vacancy in the Commission does not affect its powers but shall be filled in the same manner in which the original appointment was made. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901g, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1494.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241i, 1241j, 1241p of this Appendix. ------DocID 53926 Document 827 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241l -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241l. Duties of Commission -STATUTE- (a) Study and review of ocean transportation of agricultural exports subject to cargo preference laws; recommendations, scope, etc. It shall be the duty of the Commission to conduct a comprehensive study and review of the ocean transportation of agricultural exports subject to the cargo preference laws referred to in section 1241f of this Appendix and to make recommendations to the President and the Congress for improving the efficiency of such transportation on United States-flag vessels in order to reduce the costs incurred by the United States in connection with such transportation. In carrying out such study and review, the Commission shall consider the extent to which any unfair or discriminatory practices of foreign governments increase the cost to the United States of transporting agricultural commodities subject to such cargo preference laws. (b) Reporting requirements; termination of Commission (1) The Commission shall submit an interim report to the President and the Congress not later than one year after December 23, 1985, and such other interim reports as the Commission considers advisable. (2) The Commission shall submit a final report containing its findings and recommendations to the President and the Congress not later than two years after December 23, 1985. The report shall include recommendations for any changes in the provisions of paragraph (1) that would help assure that the cost of ocean freight and ocean freight differential incurred by the Department of Agriculture and the Commodity Credit Corporation on the agricultural export programs specified in section 1241f of this Appendix, is not increased above historical levels as a result of the extra demand for United States-flag vessels caused by section 1241f of this Appendix. (3) Sixty days after the submission of the final report, the Commission shall cease to exist. (c) Contents of reports The Commission shall include in its reports submitted pursuant to subsection (b) of this section recommendations concerning the feasibility and desirability of achieving the following goals with respect to the ocean transportation of agricultural commodities subject to the cargo preference laws referred to in section 1241f of this Appendix: (1) Ensuring that the timing of commodity purchase agreements entered into by the United States in connection with the export of such commodities, and the methods of implementing such agreements, will minimize cost to the United States. (2) Ensuring that shipments of such commodities are made on the most modern and efficient United States-flag vessels available. (3) Ensuring that shipments of such commodities are made under the most advantageous terms available, including - (A) charters for full shiploads; (B) charters for intermediate or long term; (C) charters for consecutive voyages and contracts of affreightment; and (D) adjustment of rates in the event that vessels used for shipments of such commodities also carry cargoes on return voyages. (4) Reduction and elimination of impediments, including delays in port, to the efficient loading and operation of the vessels employed for shipment of such commodities. (5) Utilization of open and competitive bidding for the ocean transportation of such commodities. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901h, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1495.) -REFTEXT- REFERENCES IN TEXT The cargo preference laws, referred to in subsecs. (a) and (c), include act Mar. 26, 1934, ch. 90, 48 Stat. 500, and act Aug. 26, 1954, ch. 936, 68 Stat. 832, which are classified to sections 1241-1 and 1241, respectively, of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241i, 1241j, 1241k, 1241p of this Appendix. ------DocID 53927 Document 828 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241m -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241m. Information and assistance to be furnished to Commission -STATUTE- (a) Each department, agency, and instrumentality of the United States, including independent agencies, shall furnish to the Commission, upon request made by the Chairman, such statistical data, reports, and other information as the Commission considers necessary to carry out its functions. (b) The Secretary of Agriculture and the Secretary of Transportation shall make available to the Commission such staff, personnel, and administrative services as may reasonably be required to carry out the Commission's duties. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901i, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1496.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241i, 1241j, 1241k, 1241p of this Appendix. ------DocID 53928 Document 829 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241n -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241n. Compensation and travel and subsistence expenses of Commission members -STATUTE- Members of the Commission shall serve without compensation in addition to compensation they may otherwise be entitled to receive as employees of the United States or as Members of Congress, but shall be reimbursed for travel, subsistence, and other necessary expenses incurred in the performance of duties vested in the Commission. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901j, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1496.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241i, 1241j, 1241k, 1241p of this Appendix. ------DocID 53929 Document 830 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241o -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241o. Definition of United States-flag vessel eligible to carry cargoes under sections 1241f through 1241h of this Appendix -STATUTE- A United States flag (FOOTNOTE 1) vessel eligible to carry cargoes under sections 1241f through 1241h of this Appendix means a vessel, as defined in section 3 of title 1, that is necessary for national security purposes and, if more than 25 years old, is within five years of having been substantially rebuilt and certified by the Secretary of Transportation as having a useful life of at least five years after that rebuilding. (FOOTNOTE 1) So in original. Probably should be 'United States-flag'. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 901k, as added Dec. 23, 1985, Pub. L. 99-198, title XI, Sec. 1142, 99 Stat. 1496.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241d, 1241i, 1241j, 1241p of this Appendix. ------DocID 53930 Document 831 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241p -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241p. Effect on other laws -STATUTE- Sections 1241d to 1241p of this Appendix shall not be construed as modifying in any manner the provisions of section 1707a(b)(8) (FOOTNOTE 1) of title 7 or chapter 5 of title 5. (FOOTNOTE 1) See References in Text note below. -SOURCE- (Pub. L. 99-198, title XI, Sec. 1143, Dec. 23, 1985, 99 Stat. 1496.) -REFTEXT- REFERENCES IN TEXT Sections 1241d to 1241p of this Appendix, referred to in text, was in the original 'this subtitle', meaning subtitle C (Sec. 1141-1143) of title XI of Pub. L. 99-198, Dec. 23, 1985, 99 Stat. 1490, which enacted sections 1241d to 1241p of this Appendix. Section 1707a of title 7, referred to in text, was repealed by Pub. L. 101-624, title XV, Sec. 1574, Nov. 28, 1990, 104 Stat. 3702. -COD- CODIFICATION Section was enacted as part of the Food Security Act of 1985, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1241d of this Appendix. ------DocID 53931 Document 832 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241q -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241q. Exemption of American Great Lakes vessels from restriction on carriage of preference cargoes -STATUTE- (a) Exemption from restriction The restriction described in subsection (b) of this section shall not apply to an American Great Lakes vessel while it is so designated. (b) Restriction described The restriction referred to in subsection (a) of this section is the restriction in section 1241(b)(1) of this Appendix, that a vessel that is - (1) built outside the United States; (2) rebuilt outside the United States; or (3) documented under any foreign registry; shall not be a privately owned United States-flag commercial vessel under that section until the vessel is documented under the laws of the United States for a period of 3 years. (c) Subsequent application of restriction Upon the revocation or termination of a designation of a vessel as an American Great Lakes vessel, the restriction described in subsection (b) of this section shall apply as if the vessel had never been a vessel documented under the laws of the United States. -SOURCE- (Pub. L. 101-624, title XV, Sec. 1521, Nov. 28, 1990, 104 Stat. 3665.) -COD- CODIFICATION Section was enacted as part of the Agricultural Development and Trade Act of 1990 and also as part of the Food, Agriculture, Conservation, and Trade Act of 1990, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241r, 1241t, 1241u, 1241v of this Appendix. ------DocID 53932 Document 833 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241r -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241r. Designation of American Great Lakes vessels -STATUTE- (a) In general The Secretary shall designate a vessel as an American Great Lakes vessel for purposes of sections 1241q to 1241v of this Appendix if - (1) the vessel is documented under the laws of the United States; (2) the Secretary receives an application for such designation submitted in accordance with regulations issued by the Secretary under subsection (d) of this section; (3) the owner of the vessel enters into an agreement in accordance with subsection (b) of this section; (4)(A) the vessel is not more than 6 years old, and not less than 1 year old, on the effective date of the designation; or (B) the vessel is not more than 11 years old, and not less than 1 year old on the effective date of the designation, and the Secretary determines that suitable vessels are not available for providing the type of service for which the vessel will be used after designation; and (5) the vessel has not been previously designated as an American Great Lakes vessel. (b) Construction and purchase agreement As a condition of designating a vessel as an American Great Lakes vessel under this section, the Secretary shall require the person who will be the owner of the vessel at the time of that designation to enter into an agreement with the Secretary which provides that if the Secretary determines that the vessel is necessary to the defense of the United States, the United States Government shall have, during the 120-day period following the date of any revocation of such designation under section 1241t of this Appendix, an exclusive right to purchase the vessel for a price equal to - (1) the approximate world market value of the vessel; or (2) the cost of the vessel to the owner less an amount representing reasonable depreciation of the vessel; whichever is greater. (c) Certain foreign registry and sale not prohibited Notwithstanding any other provision of law, if the United States does not purchase a vessel in accordance with its right of purchase under a construction and purchase agreement under subsection (b) of this section, the owner of the vessel shall not be prohibited from - (1) transferring the vessel to a foreign registry; or (2) selling the vessel to a person who is not a citizen of the United States. (d) Issuance of regulations Not later than 60 days after November 28, 1990, the Secretary shall issue regulations establishing requirements for submission of applications for designation of vessels as American Great Lakes vessels under this section. -SOURCE- (Pub. L. 101-624, title XV, Sec. 1522, Nov. 28, 1990, 104 Stat. 3665.) -REFTEXT- REFERENCES IN TEXT Sections 1241q to 1241v of this Appendix, referred to in subsec. (a), was in the original 'this subtitle', meaning subtitle B (Sec. 1521-1527) of title XV of Pub. L. 101-624, Nov. 28, 1990, 104 Stat. 3665, which enacted sections 1241q to 1241v of this Appendix and amended section 1241f of this Appendix. -COD- CODIFICATION Section was enacted as part of the Agricultural Development and Trade Act of 1990 and also as part of the Food, Agriculture, Conservation, and Trade Act of 1990, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241t, 1241u, 1241v of this Appendix. ------DocID 53933 Document 834 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241s -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241s. Restrictions on operations of American Great Lakes vessels -STATUTE- (a) In general Subject to subsection (b) of this section, an American Great Lakes vessel shall not be used - (1) to engage in trade - (A) from a port in the United States that is not located on the Great Lakes; or (B) between ports in the United States; (2) to carry bulk cargo (as that term is defined in section 1702 of this Appendix (FOOTNOTE 1) which is subject to section 1241(b) or 1241f of this Appendix, or section 2631 of title 10; or (FOOTNOTE 1) So in original. Probably should be followed by a closing parenthesis. (3) to provide any service other than ocean freight service - (A) as a contract carrier; or (B) as a common carrier on a fixed advertised schedule offering frequent sailings at regular intervals in the foreign commerce of the United States. (b) Off-season carriage exception (1) In general Subject to paragraph (2), an American Great Lakes vessel may be used to engage in trade otherwise prohibited by subsection (a)(1)(A) of this section for not more than 90 days during any 12-month period. (2) Limitation An American Great Lakes vessel shall not be used during the Great Lakes shipping season to engage in trade referred to in paragraph (1). -SOURCE- (Pub. L. 101-624, title XV, Sec. 1523, Nov. 28, 1990, 104 Stat. 3666.) -COD- CODIFICATION Section was enacted as part of the Agricultural Development and Trade Act of 1990 and also as part of the Food, Agriculture, Conservation, and Trade Act of 1990, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241r, 1241t, 1241u, 1241v of this Appendix. ------DocID 53934 Document 835 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241t -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241t. Revocation and termination of designation -STATUTE- (a) Revocation The Secretary, after notice and an opportunity for a hearing, may revoke the designation of a vessel under section 1241r of this Appendix as an American Great Lakes vessel if the Secretary determines that - (1) the vessel does not meet a requirement for such designation; (2) the vessel has been operated in violation of sections 1241q to 1241v of this Appendix; or (3) the owner or operator of the vessel has violated a construction and purchase agreement under section 1241r(b) of this Appendix. (b) Civil penalty The Secretary, after notice and an opportunity for a hearing, may assess a civil penalty of not more than $1,000,000 against the owner of an American Great Lakes vessel, for any act for which the designation of that vessel as an American Great Lakes vessel may be revoked under subsection (a) of this section. (c) Termination of designation The Secretary may terminate the designation of a vessel as an American Great Lakes vessel under sections 1241q to 1241v of this Appendix upon petition and a showing of good cause for that termination by the owner of the vessel. The Secretary may impose conditions or restrictions in a termination order to prevent significant adverse effects on other United States-flag vessel operators. -SOURCE- (Pub. L. 101-624, title XV, Sec. 1524, Nov. 28, 1990, 104 Stat. 3667.) -REFTEXT- REFERENCES IN TEXT Sections 1241q to 1241v of this Appendix, referred to in subsecs. (a)(2) and (c), was in the original 'this subtitle', meaning subtitle B (Sec. 1521-1527) of title XV of Pub. L. 101-624, Nov. 28, 1990, 104 Stat. 3665, which enacted sections 1241q to 1241v of this Appendix and amended section 1241f of this Appendix. -COD- CODIFICATION Section was enacted as part of the Agricultural Development and Trade Act of 1990 and also as part of the Food, Agriculture, Conservation, and Trade Act of 1990, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241r, 1241u, 1241v of this Appendix. ------DocID 53935 Document 836 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241u -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241u. Study and report -STATUTE- (a) Study The Secretary, in consultation with the Secretary of Agriculture, shall conduct a study on the implementation of sections 1241q to 1241v of this Appendix. The study shall include analysis of - (1) the effects of that implementation on diversions of cargo to and from the Great Lakes port range and any resulting effects on the cost of transporting commodities furnished pursuant to title II of the Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C. 1721 et seq.); and (2) whether the authority to designate vessels as American Great Lakes vessels has increased United States-flag vessel service to Great Lakes ports. (b) Report Not later than December 31, 1994, the Secretary shall submit a report to the Congress on the findings of the study under subsection (a) of this section. -SOURCE- (Pub. L. 101-624, title XV, Sec. 1526, Nov. 28, 1990, 104 Stat. 3668.) -REFTEXT- REFERENCES IN TEXT Sections 1241q to 1241v of this Appendix, referred to in subsec. (a), was in the original 'this subtitle', meaning subtitle B (Sec. 1521-1527) of title XV of Pub. L. 101-624, Nov. 28, 1990, 104 Stat. 3665, which enacted sections 1241q to 1241v of this Appendix and amended section 1241f of this Appendix. The Agricultural Trade Development and Assistance Act of 1954, referred to in subsec. (a)(1), is act July 10, 1954, ch. 469, 68 Stat. 454, as amended. Title II of the Act is classified generally to subchapter III (Sec. 1721 et seq.) of chapter 41 of Title 7, Agriculture. For complete classification of this Act to the Code, see Short Title note set out under section 1691 of Title 7 and Tables. -COD- CODIFICATION Section was enacted as part of the Agricultural Development and Trade Act of 1990 and also as part of the Food, Agriculture, Conservation, and Trade Act of 1990, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241r, 1241t, 1241v of this Appendix. ------DocID 53936 Document 837 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1241v -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1241v. Definitions -STATUTE- As used in sections 1241q to 1241v of this Appendix - (1) American Great Lakes vessel The term 'American Great Lakes vessel' means a vessel which is so designated by the Secretary in accordance with section 1241r of this Appendix. (2) Great Lakes The term 'Great Lakes' means Lake Superior; Lake Michigan; Lake Huron; Lake Erie; Lake Ontario; the Saint Lawrence River west of Saint Regis, New York; and their connecting and tributary waters. (3) Great Lakes shipping season The term 'Great Lakes shipping season' means the period of each year during which the Saint Lawrence Seaway is open for navigation by vessels, as declared by the Saint Lawrence Seaway Development Corporation created by the Act of May 13, 1954 (33 U.S.C. 981 et seq.). (4) Secretary The term 'Secretary' means the Secretary of Transportation. -SOURCE- (Pub. L. 101-624, title XV, Sec. 1527, Nov. 28, 1990, 104 Stat. 3668.) -REFTEXT- REFERENCES IN TEXT Sections 1241q to 1241v of this Appendix, referred to in text, was in the original 'this subtitle', meaning subtitle B (Sec. 1521-1527) of title XV of Pub. L. 101-624, Nov. 28, 1990, 104 Stat. 3665, which enacted sections 1241q to 1241v of this Appendix and amended section 1241f of this Appendix. Act of May 13, 1954, referred to in par. (3), is act May 13, 1954, ch. 201, 68 Stat. 93, as amended, which is classified generally to chapter 19 (Sec. 981 et seq.) of Title 33, Navigation and Navigable Waters. For complete classification of this Act to the Code, see Tables. -COD- CODIFICATION Section was enacted as part of the Agricultural Development and Trade Act of 1990 and also as part of the Food, Agriculture, Conservation, and Trade Act of 1990, and not as part of the Merchant Marine Act, 1936, which comprises this chapter. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241r, 1241t, 1241u of this Appendix. ------DocID 53937 Document 838 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1242 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1242. Requisition or purchase of vessels in time of emergency -STATUTE- (a) Compensation; restoration; consequential damages Whenever the President shall proclaim that the security of the national defense makes it advisable or during any national emergency declared by proclamation of the President, it shall be lawful for the Secretary of Transportation to requisition or purchase any vessel or other watercraft owned by citizens of the United States, a documented vessel, or a vessel under construction within the United States, or for any period during such emergency, to requisition or charter the use of any such property. The termination of any emergency so declared shall be announced by a further proclamation by the President. When any such property or the use thereof is so requisitioned, the owner thereof shall be paid just compensation for the property taken or for the use of such property, but in no case shall the value of the property taken or used be deemed enhanced by the causes necessitating the taking or use. If any property is taken and used under authority of this section, but the ownership thereof is not required by the United States, such property shall be restored to the owner in a condition at least as good as when taken, less ordinary wear and tear, or the owner shall be paid an amount for reconditioning sufficient to place the property in such condition. The owner shall not be paid for any consequential damages arising from a taking or use of property under authority of this section. (b) Determination of value of vessel When any vessel is taken or used under authority of this section, upon which vessel a construction-differential subsidy has been allowed and paid, the value of the vessel at the time of its taking shall be determined as provided in section 1212 of this Appendix, and in determining the value of any vessel taken or used, on which a construction-differential subsidy has not been paid, the value of any national defense features previously paid for by the United States shall be excluded. (c) Charter of vessels; compensation; reimbursement for loss or damage If any property is taken and used under authority of this section, but the ownership thereof is not required by the United States, the Secretary of Transportation, at the time of the taking or as soon thereafter as the exigencies of the situation may permit, shall transmit to the person entitled to the possession of such property a charter setting forth the terms which, in the Secretary's judgment, should govern the relationships between the United States and such person and a statement of the rate of hire which, in the Secretary's judgment, will be just compensation for the use of such property and for the services required under the terms of such charter. If such person does not execute and deliver such charter and accept such rate of hire, the Secretary of Transportation shall pay to such person as a tentative advance only, on account of such just compensation a sum equal to 75 per centum of such rate of hire as the same may from time to time be due under the terms of the charter so tendered, and such person shall be entitled to sue the United States in a court having jurisdiction of such claims to recover such amounts as would be equal to just compensation for the use of the property and for the services required in connection with such use: Provided, however, That in the event of an election by such person to reject the rate of hire fixed by the Secretary of Transportation and to sue in the courts, the excess of any amounts advanced on account of just compensation over the amount of the court judgment will be required to be refunded. In the event of loss or damage to such property, due to operation of a risk assumed by the United States under the terms of a charter prescribed in this subsection, but no valuation of such vessel or other property or mode of compensation has been agreed to, the United States shall pay just compensation for such loss or damage, to the extent the person entitled thereto is not reimbursed therefor through policies of insurance against such loss or damage. (d) Determination of amount of compensation In all cases, the just compensation authorized by this section shall be determined and paid by the Secretary of Transportation as soon as practicable, but if the amount of just compensation determined by the Secretary is unsatisfactory to the person entitled thereto; such person shall be paid, as a tentative advance only, 75 per centum of the amount so determined and shall be entitled to sue the United States to recover such amount as would equal just compensation therefor, in the manner provided for by sections 1346 and 1491 of title 28: Provided, however, That in that event of an election to reject the amount determined by the Secretary of Transportation and to sue in the courts, the excess of any amounts advanced on account of just compensation over the amount of the court judgment will be required to be refunded. The existence of any valid claim by way of mortgage or maritime claim or attachment lien upon such vessel shall not prevent the taking thereof pursuant to this section: Provided, however, That in the event any such claim exists the Secretary of Transportation may in his discretion deposit such portion of the compensation hereunder, or advances on account thereof, as may equal but not exceed the amount of such claims in respect of the vessel, with the Treasurer of the United States, and the fund so deposited shall be available for the payment of such compensation, and shall be subject to be applied to the payment of the amount of any valid claim by way of mortgage or maritime lien or attachment lien upon such vessel, or of any stipulation therefor in a court of the United States, or of any State, subsisting at the time of such requisition or taking of title or possession; the holder of any such claim may commence prior to June 30, 1943, or within six months after the first such deposit with the Treasurer and publication of notice thereof in the Federal Register, whichever date is later, and maintain in the United States district court from whose custody such vessel has been or may be taken or in whose territorial jurisdiction the vessel was lying at the time of requisitioning or taking of title or possession, a suit in admiralty according to the principles of libels in rem against the fund, which shall proceed and be heard and determined according to the principles of law and to the rules of practice obtaining in like cases between private parties, and any decree in said suit shall be paid out of the first and all subsequent deposits of compensation; and such suit shall be commenced in the manner provided by section 742 of this Appendix and service of process shall be made in the manner therein provided by service upon the United States attorney and by mailing by registered mail to the Attorney General and the Secretary of Transportation and due notice shall under order of the court be given to all interested persons, and any decree shall be subject to appeal and revision as now provided in other cases of admiralty and maritime jurisdiction. (e) Use of vessels by Secretary; transfer to other departments or agencies; reimbursement of Secretary The Secretary of Transportation is authorized to repair, recondition, reconstruct, and operate, or charter for operation, any property acquired under authority of this section. The Secretary of Transportation is further authorized to transfer the possession or control of any such property to any department or agency of the Government of the United States upon such terms and conditions as may be approved by the President. In case of any such transfer the department or agency to which the transfer is made shall promptly reimburse the Secretary of Transportation for the Department of Transportation's expenditures on account of just compensation, purchase price, repairs, reconditioning, reconstruction, or charter hire for the property transferred. Such reimbursements shall be deposited in the construction fund established by section 1116 of this Appendix. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 902, 49 Stat. 2015; Aug. 7, 1939, ch. 555, Sec. 3, 53 Stat. 1255; Mar. 24, 1943, ch. 26, Sec. 3(d), 57 Stat. 49; Aug. 3, 1956, ch. 929, Sec. 2, 3, 70 Stat. 985; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(131), 95 Stat. 165; Nov. 23, 1988, Pub. L. 100-710, title I, Sec. 104(c), 102 Stat. 4750.) -COD- CODIFICATION In subsec. (d), 'sections 1346 and 1491 of title 28' substituted for 'section 24, paragraph 20, and section 145 of the Judicial Code (U.S.C., 1946 edition, title 28, secs. 41(20) and 250)' on authority of act June 25, 1948, ch. 646, 62 Stat. 869, the first section of which enacted Title 28, Judiciary and Judicial Procedure. Section 1346 of Title 28 sets forth the basic jurisdiction of the district courts in cases in which the United States is defendant. Section 1491 of Title 28 sets forth the basic jurisdiction of the United States Court of Claims. Sections 24(20) and 145 of the Judicial Code were also restated in sections 1496, 1501, 1503, 2401, 2402, and 2501 of Title 28. -MISC3- AMENDMENTS 1988 - Subsec. (a). Pub. L. 100-710 substituted 'a documented vessel, or a vessel under construction' for 'or under construction'. 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(131)(A), substituted 'Secretary of Transportation' for 'Commission'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (c). Pub. L. 97-31, Sec. 12(131)(A), (B), substituted 'Secretary of Transportation' for 'Commission' in three places and 'Secretary's' for 'Commission's' in two places. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. Subsec. (d). Pub. L. 97-31, Sec. 12(131)(A), (C), (D), substituted 'Secretary of Transportation' for 'Commission' and 'United States Maritime Commission' and 'his discretion' for 'its discretion'. For prior transfers of functions of United States Maritime Commission, see Transfer of Functions note below. Subsec. (e). Pub. L. 97-31, Sec. 12(131)(A), (E), substituted 'Secretary of Transportation' for 'Commission' and 'the Department of Transportation's expenditures' for 'its expenditures'. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. 1956 - Subsec. (c). Act Aug. 3, 1956, Sec. 2, inserted 'as a tentative advance only,' in second sentence, and substituted 'in a court having jurisdiction of such claims to recover such amounts as would be equal to just compensation for the use of the property and for the services required in connection with such use: Provided, however, That in the event of an election by such person to reject the rate of hire fixed by the Commission and to sue in the courts, the excess of any amounts advanced on account of just compensation over the amount of the court judgment will be required to be refunded.' for 'to recover such further sum as added to such 75 per centum will make up such amount as will be just compensation for the use of the property and for the services required in connection with such use.'. Subsec. (d). Act Aug. 3, 1956, Sec. 3, inserted 'as a tentative advance only', substituted 'such amount as would equal' for 'such further sum as, added to said 75 per centum will make up such amount as will be', and inserted proviso. 1943 - Subsec. (d). Act Mar. 24, 1943, added second par. 1939 - Subsecs. (c) to (e). Act Aug. 7, 1939, added subsecs. (c) to (e). EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of Title 46, Shipping. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. For transfer of functions of other officers, employees, and agencies of Department of the Treasury, with certain exceptions, to Secretary of the Treasury with power to delegate, see Reorg. Plan No. 26 of 1950, Sec. 1, 2, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, 1281, set out in the Appendix to Title 5, Government Organization and Employees. Treasurer of the United States, referred to in this section, is an officer of Department of the Treasury. -MISC5- TERMINATION OF WAR AND EMERGENCIES Act July 25, 1947, ch. 327, Sec. 3, 61 Stat. 451, provided that in the interpretation of subsec. (a) of this section, the date July 25, 1947, shall be deemed to be the date of termination of any state of war theretofore declared by Congress and of the national emergencies proclaimed by the President on Sept. 8, 1939, and May 27, 1941. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Admiralty and maritime rules of practice (which included libel procedures) were superseded, and civil and admiralty procedures in United States district courts were unified, effective July 1, 1966, see rule 1 and Supplemental Rules for Certain Admiralty and Maritime Claims, Title 28, Appendix, Judiciary and Judicial Procedure. CROSS REFERENCES Emergency foreign vessel acquisition, see sections 196 to 198 of Title 50, War and National Defense. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 865a, 1152, 1160, 1241a, 1289 of this Appendix; title 46 sections 12111, 31329; title 50 sections 196, 197; title 50 App. section 1744. ------DocID 53938 Document 839 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1242a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1242a. Maintenance of and adjustment of obligations with respect to essential vessels affected by Neutrality Act -STATUTE- (a) 'Essential vessel' defined When used in this section the term 'essential vessel' means any vessel (1) which is (A) security for any mortgage indebtedness to the United States or (B) constructed under this chapter, or required by the terms of a contract under this chapter to be operated on a certain essential foreign trade route, and (2) which it is necessary in the interests of commerce and national defense to maintain in condition for prompt use. (b) Adjustment of obligations and arrangements for maintenance of essential vessels For the purposes of preserving in the national interest the full availability and usefulness of essential vessels, which, under the provisions of the Neutrality Act of 1939 (22 U.S.C. 441 et seq.) (or any proclamation issued thereunder), or compatibly with the national interest, cannot be operated in the service, route, or line to which such vessels are assigned pursuant to this chapter, or in which they would otherwise be operated, the Secretary of Transportation is authorized to make adjustments of obligations in respect to such vessels and to make arrangements for the maintenance of such vessels, subject to the provisions of this section and to such rules and regulations as the Secretary of Transportation shall prescribe as necessary or appropriate for carrying out the purposes and provisions of this section. If the Secretary of Transportation, upon written application in respect of any essential vessel, determines after such examination, investigation, and proceedings as he deems desirable, that (1) the operation of such vessel in the service, route, or line to which such vessel is assigned pursuant to this chapter, or in which it would otherwise be operated, is either (A) not lawful under the Neutrality Act of 1939 (or any proclamation issued thereunder), or (B) not compatible with the maintenance of availability of such vessel for purposes of national defense and commerce, (2) it is not feasible under existing law to employ such vessel in any other service or operation in either the foreign or domestic trades (except temporary or emergency operation under subsection (c)(5) hereof), and (3) the applicant, by reason of the restrictions of the Neutrality Act of 1939, or the withdrawal of vessels for national-defense purposes under clause (1) hereof, is not earning or will not earn a fair and reasonable return on the capital necessarily employed in its business, the Secretary of Transportation may make adjustments and arrangements with the applicant as provided in subsection (c) of this section, which shall continue in effect only during the circumstances above described. (c) Provisions included within adjustments and arrangements Such adjustments and arrangements shall include suspension of the requirement to operate such vessel in foreign trade under the applicable operating-differential or construction-differential subsidy contract or mortgage or other agreement, and of the right to operating-differential subsidy in respect of such vessel, and may include any one or more of the following provisions, in whole or in part, as, and to the extent that, the Secretary of Transportation may deem to be necessary or appropriate to carry out the purposes of this chapter, or the purposes and provisions of this section: (1) Lay-up of the vessel by the owner or, at the option of the Secretary of Transportation, in the custody of the Secretary of Transportation, with payment or reimbursement by the Secretary of Transportation of necessary and proper expenses thereof (including reasonable overhead and insurance), or in lieu of such payment or reimbursement, a fixed periodic allowance therefor; (2) Postponement, for a period not in excess of the period or periods of lay-up, of the maturity date of each installment on account of the principal of obligations to the United States in respect of the vessel (whether or not such maturity date shall fall within such period or periods), or rearrangement of such maturities; (3) Postponement or cancellation of interest accruing on such obligations during such period or periods of lay-up; (4) Extension for a period not in excess of the period or periods of lay-up, of the twenty-year life limitation in respect of the vessel, and of the period or periods of other limitations and provisions of this chapter, insofar as they are based upon a twenty-year life; (5) Provisions for such temporary or emergency employment of the vessel in lieu of lay-up as may be practicable, with such arrangements for management of the vessel, payment of expenses, and application of the proceeds of such employment, as the Secretary of Transportation may approve, the period or periods of such operation being included as part of the period or periods of lay-up; (6) The payment to the Secretary of Transportation, upon termination of the arrangements with the applicant hereunder, out of the applicant's net profits, earned while such arrangements were in effect, in excess of 10 per centum per annum on the capital necessarily employed in the applicant's business, in reimbursement, to the extent that the Secretary of Transportation shall deem it necessary to carry out the purposes of this section, on account of obligations postponed or canceled and expenses incurred or paid by the Secretary of Transportation under this subsection. For the purposes of this paragraph capital of the applicant represented by vessels of the applicant laid up or operated under this section shall not be excluded from capital necessarily employed in the applicant's business. The Secretary of Transportation may require that the vessels so laid up or operated be security for reimbursement hereunder. (d) Readjustment or modification of adjustments and arrangements The adjustments and arrangements made under subsection (c) of this section in respect of any vessel shall be subject to such readjustment or modification from time to time as may be deemed necessary by the Secretary of Transportation to carry out the purposes and provisions of this section. (e) Expenses incurred in adjustments and arrangements Moneys in the construction fund of the Secretary of Transportation shall be available for expenses of the Secretary of Transportation incurred in adjustments or arrangements made under this section. -SOURCE- (June 29, 1940, ch. 442, 54 Stat. 684; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(132), 95 Stat. 165.) -REFTEXT- REFERENCES IN TEXT The Neutrality Act of 1939, referred to in subsec. (b), is act Nov. 4, 1939, ch. 2, 54 Stat. 4, as amended, which is classified generally to subchapter II (Sec. 441 et seq.) of chapter 9 of Title 22, Foreign Relations and Intercourse. For complete classification of this Act to the Code, see Short Title note set out under section 441 of Title 22 and Tables. -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Subsec. (b). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'United States Maritime Commission' and 'Commission' wherever appearing and 'he deems' for 'it deems'. For prior transfers of functions of United States Maritime Commission, see Transfer of Functions note below. Subsecs. (c) to (e). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Commission' wherever appearing. For prior transfers of functions of the Commission, meaning the United States Maritime Commission, see Transfer of Functions note below. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of United States Maritime Commission, see Reorg. Plan No. 6 of 1949, Reorg. Plan No. 21 of 1950, and Reorg. Plan No. 7 of 1961, set out under section 1111 of this Appendix. ------DocID 53939 Document 840 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1244 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1244. Definitions -STATUTE- When used in this chapter - (a) The words 'foreign commerce' or 'foreign trade' mean commerce or trade between the United States, its Territories or possessions, or the District of Columbia, and a foreign country, except that in the context of section 1177 of this Appendix concerning capital construction funds and in the context of subchapter V of this chapter concerning construction-differential subsidy, the said words 'foreign commerce' or 'foreign trade' shall also include, in the case of liquid and dry bulk cargo carrying services, trading between foreign ports in accordance with normal commercial bulk shipping practices in such manner as will permit U.S.-flag bulk vessels freely to compete with foreign-flag bulk carrying vessels in their operation or in competing for charters, subject to rules and regulations promulgated by the Secretary of Transportation pursuant to section 1114(b) of this Appendix. (b) The term 'person' includes corporations, partnerships, and associations existing under or authorized by the laws of the United States, or any State, Territory, District, or possession thereof, or of any foreign country. (c) The words 'citizen of the United States' include a corporation, partnership, or association only if it is a citizen of the United States within the meaning of section 802 of this Appendix, and with respect to a corporation under subchapter VI of this chapter, all directors of the corporation are citizens of the United States and, in the case of a corporation, partnership, or association operating a vessel on the Great Lakes, or on bays, sounds, rivers, harbors, or inland lakes of the United States the amount of interest required to be owned by a citizen of the United States shall be not less than 75 per centum. (d) The word 'construction' includes outfitting and equipping. (e) Repealed. Pub. L. 97-31, Sec. 12(133)(B), Aug. 6, 1981, 95 Stat. 165. (f) The terms 'Representative' and 'Member of the Congress' include Delegates to the House of Representatives from the District of Columbia, Guam, and the Virgin Islands, and the Resident Commissioner to the House of Representatives from the Commonwealth of Puerto Rico. (g) The term 'United States' includes the District of Columbia, the Commonwealth of Puerto Rico, the Northern Mariana Islands, Guam, American Samoa, the Virgin Islands, and the areas and installations in the Republic of Panama made available to the United States pursuant to the Panama Canal Treaty of 1977, the agreements relating to and implementing that Treaty, signed September 7, 1977, and the Agreement Between the United States of America and the Republic of Panama Concerning Air Traffic Control and Related Services, concluded January 8, 1979. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 905, 49 Stat. 2016; June 23, 1938, ch. 600, Sec. 39, 52 Stat. 964; July 17, 1952, ch. 939, Sec. 21, 66 Stat. 765; Sept. 21, 1959, Pub. L. 86-327, Sec. 4, 73 Stat. 597; Oct. 21, 1970, Pub. L. 91-469, Sec. 28, 84 Stat. 1034; Aug. 22, 1972, Pub. L. 92-402, Sec. 2, 86 Stat. 617; Oct. 15, 1980, Pub. L. 96-453, Sec. 3(b), 94 Stat. 2008; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(133), 95 Stat. 165.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31, Sec. 12(133)(A), substituted 'Secretary of Transportation' for 'Secretary of Commerce'. Subsec. (e). Pub. L. 97-31, Sec. 12(133)(B), struck out subsec. (e) which defined 'United States Maritime Commission' and 'Commission' to mean the Secretary of Commerce, the Maritime Administrator, or the Federal Maritime Commission as the context required. 1980 - Subsecs. (f), (g). Pub. L. 96-453 added subsecs. (f) and (g). 1972 - Subsec. (a). Pub. L. 92-402 made definition of 'foreign commerce' or 'foreign trade' in context of subchapter V of this chapter concerning construction-differential subsidy applicable in context of section 1177 of this Appendix concerning capital construction funds, made such definition subject to rules and regulations promulgated by the Secretary of Commerce pursuant to section 1114(b) of this Appendix rather than only to uniform regulations promulgated by the Secretary and also applicable, in the case of bulk cargo carrying services, to trading between foreign ports in such manner as will permit U.S.-flag bulk carrying vessels freely to compete with foreign-flag bulk carrying vessels in their operation or in competing for charters. 1970 - Subsec. (a). Pub. L. 91-469 expanded definition of 'foreign commerce' or 'foreign trade' to permit United States operators of dry and liquid bulk ships built with construction subsidy to engage in foreign-to-foreign carriage to the extent permitted by regulations issued by the Secretary of Commerce. 1959 - Subsec. (c). Pub. L. 86-327 inserted requirement that all the directors of a corporation under subchapter VI of this chapter be United States citizens. 1952 - Subsec. (e). Act July 17, 1952, added subsec. (e) which defined 'United States Maritme Commission' and 'Commission'. 1938 - Subsec. (a). Act June 23, 1938, inserted reference to 'foreign commerce'. Subsec. (c). Act June 23, 1938, inserted provisions relating to interest of citizens of the United States in vessels operated on the Great Lakes, or on bays, sounds, rivers, harbors, or inland lakes of the United States. EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96-453 effective Oct. 1, 1981, see section 4 of Pub. L. 96-453, set out as an Effective Date note under section 1295 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1274, 1274a of this Appendix; title 30 section 1412; title 42 section 9141. ------DocID 53940 Document 841 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1245 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1245. Separability; short title of chapter -STATUTE- If any provisions of this chapter, or the application thereof to any person or circumstance, is held invalid, the remainder of the chapter, and the application of such provisions to other persons or circumstances, shall not be affected thereby. This chapter may be cited as the Merchant Marine Act, 1936. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 906, 49 Stat. 2016.) -MISC1- SHORT TITLE OF 1980 AMENDMENT For short title of Pub. L. 96-453, Oct. 15, 1980, 94 Stat. 1997, which enacted subchapter XIII of this chapter as the Maritime Education and Training Act of 1980, see Short Title note set out under section 1295 of this Appendix. SHORT TITLE OF 1976 AMENDMENT Pub. L. 94-372, Sec. 1, July 31, 1976, 90 Stat. 1042, provided: 'That this Act (amending section 1152 of this Appendix) may be cited as the 'Negotiated Shipbuilding Contracting Act of 1976'.' SHORT TITLE OF 1972 AMENDMENT Pub. L. 92-507, Sec. 8, Oct. 19, 1972, 86 Stat. 917, provided that: 'This Act (amending sections 1271 to 1276, 1279a, and 1279b of this Appendix, repealing sections 1276a, 1277, and 1278 of former Title 46, Shipping, and enacting provisions set out as notes under sections 1177 and 1273 of this Appendix) may be cited as the 'Federal Ship Financing Act of 1972'.' SHORT TITLE OF 1970 AMENDMENT Pub. L. 91-469, Sec. 44, Oct. 21, 1970, 84 Stat. 1018, provided that: 'This Act (enacting section 1507a of Title 15, Commerce and Trade, and section 270f of Title 40, Public Buildings, Property, and Works, amending section 5315 of Title 5, Government Organization and Employees, sections 985 and 988 of Title 33, Navigation and Navigable Waters, sections 1101, 1111, 1119 to 1121, 1151 to 1155, 1159, 1160, 1171 to 1173, 1175 to 1177, 1204, 1213, 1222, 1223, 1241, 1244, 1271, 1273 to 1275, and 1294 of this Appendix, repealing section 1221 of former Title 46, Shipping, and enacting provisions set out as notes under sections 1151, 1173, and 1177 of this Appendix) may be cited as the 'Merchant Marine Act of 1970'.' ------DocID 53941 Document 842 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1247 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1247. Appointment of Secretary as trustee or receiver; operation of vessels under court orders; payment of operating costs; claims against corporation -STATUTE- (a) Notwithstanding any other provision of law, in any proceeding in a bankruptcy, equity, or admiralty court of the United States in which a receiver or trustee may be appointed for any corporation engaged in the operation of one or more vessels of United States registry between the United States and any foreign country, upon which the United States holds mortgages, the court, upon finding that it will inure to the advantage of the estate and the parties in interest and that it will tend to further the purposes of this chapter, may constitute and appoint the Secretary of Transportation as sole trustee or receiver, subject to the directions and orders of the court, and in any such proceeding the appointment of any person other than the Secretary as trustee or receiver shall become effective upon the ratification thereof by the Secretary without a hearing, unless the Secretary shall deem a hearing necessary. In no such proceeding shall the Secretary be constituted as trustee or receiver without the Secretary's express consent. (b) If the court, in any such proceeding, is unwilling to permit the trustee or receiver to operate such vessels in such service pending the termination of such proceeding, without financial aid from the Government, and the Secretary certifies to the court that the continued operation of such vessel is, in the opinion of the Secretary, essential to the foreign commerce of the United States and is reasonably calculated to carry out the purposes and policy of this chapter, the court may permit the Secretary to operate the vessels subject to the orders of the court and upon terms decreed by the court sufficient to protect all the parties in interest, for the account of the trustee or receiver, directly or through a managing agent or operator employed by the Secretary, if the Secretary undertakes to pay all operating losses resulting from such operation, and comply with the terms imposed by the court, and such vessel shall be considered to be a vessel of the United States within the meaning of the Suits in Admiralty Act (46 App. U.S.C. 741 et seq.). The Secretary shall have no claim against the corporation, its estate, or its assets for the amount of such payments, but the Secretary may pay such sums for depreciation as it deems reasonable and such other sums as the court may deem just. The payment of such sums, and compliance with other terms duly imposed by the court, together with the payment of the operating losses, shall be in satisfaction of all claims against the Secretary on account of the operation of such vessels. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 908, as added Nov. 6, 1978, Pub. L. 95-598, title III, Sec. 334, 92 Stat. 2680, and amended Aug. 6, 1981, Pub. L. 97-31, Sec. 12(134), 95 Stat. 165.) -REFTEXT- REFERENCES IN TEXT The Suits in Admiralty Act, referred to in subsec. (b), is act Mar. 9, 1920, ch. 95, 41 Stat. 525, as amended, which is classified generally to chapter 20 (Sec. 741 et seq.) of this Appendix. For complete classification of this Act to the Code, see Short Title note set out under section 741 of this Appendix and Tables. -MISC2- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. EFFECTIVE DATE Section effective Oct. 1, 1979, see section 402(a) of Pub. L. 95-598, set out as a note preceding section 101 of Title 11, Bankruptcy. ------DocID 53942 Document 843 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1248 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER IX -HEAD- Sec. 1248. Enrollment in a sealift readiness program -STATUTE- No vessel may receive construction differential subsidy or operating differential subsidy if it is not offered for enrollment in a sealift readiness program approved by the Secretary of Defense. -SOURCE- (June 29, 1936, ch. 858, title IX, Sec. 909, as added Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1605, 95 Stat. 752.) ------DocID 53943 Document 844 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER XI -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- SUBCHAPTER XI - FEDERAL SHIP MORTGAGE INSURANCE -SECREF- SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 1152, 1160, 1161, 1295d of this Appendix; title 11 section 362; title 16 section 742c-1; title 46 section 31308. ------DocID 53944 Document 845 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1271 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1271. Definitions -STATUTE- As used in this subchapter - (a) The term 'mortgage' includes - (1) a preferred mortgage as defined in section 31301 of title 46; and (2) a mortgage on a vessel that will become a preferred mortgage when filed or recorded under chapter 313 of title 46. (FOOTNOTE 1) (FOOTNOTE 1) So in original. The period probably should be a semicolon. (b) The term 'vessel' includes all types, whether in existence or under construction, of passenger cargo and combination passenger-cargo carrying vessels, tankers, tugs, towboats, barges, dredges and ocean thermal energy conversion facilities or plantships which are or will be documented under the laws of the United States, fishing vessels whose ownership will meet the citizenship requirements for documenting vessels in the coastwise trade within the meaning of section 802 of this Appendix, floating drydocks which have a capacity of thirty-five thousand or more lifting tons and a beam of one hundred and twenty-five feet or more between the wing walls and oceanographic research or instruction or pollution treatment, abatement or control vessels owned by citizens of the United States; (c) The term 'obligation' shall mean any note, bond, debenture, or other evidence of indebtedness (exclusive of notes or other obligations issued by the Secretary pursuant to section 1275(d) of this Appendix and obligations eligible for investment of funds under sections 1272 and 1279a(d) of this Appendix), issued for one of the purposes specified in section 1274(a) (FOOTNOTE 2) of this Appendix; (FOOTNOTE 2) See References in Text note below. (d) The term 'obligor' shall mean any party primarily liable for payment of the principal of or interest on any obligation; (e) The term 'obligee' shall mean the holder of an obligation; (f) The term 'actual cost' of a vessel as of any specified date means the aggregate, as determined by the Secretary, of (i) all amounts paid by or for the account of the obligor on or before that date, and (ii) all amounts which the obligor is then obligated to pay from time to time thereafter, for the construction, reconstruction, or reconditioning of such vessel; (g) The term 'depreciated actual cost' of a vessel means the actual cost of the vessel depreciated on a straightline basis over the useful life of the vessel as determined by the Secretary, not to exceed twenty-five years from the date the vessel was delivered by the shipbuilder, or, if the vessel has been reconstructed or reconditioned, the actual cost of the vessel depreciated on a straightline basis from the date the vessel was delivered by the shipbuilder to the date of such reconstruction or reconditioning on the basis of the original useful life of the vessel and from the date of such reconstruction or reconditioning on a straightline basis and on the basis of a useful life of the vessel determined by the Secretary, plus all amounts paid or obligated to be paid for the reconstruction or reconditioning depreciated on a straightline basis and on the basis of a useful life of the vessel determined by the Secretary. (h) The terms 'construction,' 'reconstruction,' or 'reconditioning' shall include, but shall not be limited to, designing, inspecting, outfitting, and equipping; (i) The term 'ocean thermal energy conversion facility or plantship' means any at-sea facility or vessel, whether mobile, floating unmoored, moored, or standing on the seabed, which uses temperature differences in ocean water to produce electricity or another form of energy capable of being used directly to perform work, and includes any equipment installed on such facility or vessel to use such electricity or other form of energy to produce, process, refine, or manufacture a product, and any cable or pipeline used to deliver such electricity, freshwater, or product to shore, and all other associated equipment and appurtenances of such facility or vessel, to the extent they are located seaward of the highwater mark; (j) The term 'citizen of the Northern Mariana Islands' means - (1) an individual who qualifies as such under section 8 of the Schedule on Transitional Matters attached to the Constitution of the Northern Mariana Islands; or (2) a corporation, partnership, association, or other entity formed under the laws of the Northern Mariana Islands, not less than 75 percent of the interest in which is owned by individuals referred to in paragraph (1) or citizens or nationals of the United States, in cases in which 'owned' is used in the same sense as in section 802 of this Appendix; (k) The term 'fishery facility' means - (1) for operations on land - (A) any structure or appurtenance thereto designed for the unloading and receiving from vessels, the processing, the holding pending processing, the distribution after processing, or the holding pending distribution, of fish from one or more fisheries, (B) the land necessary for any such structure or appurtenance described in subparagraph (A), and (C) equipment which is for use in connection with any such structure or appurtenance and which is necessary for the performance of any function referred to in subparagraph (A); or (2) for operations other than on land, any vessel built in the United States used for, equipped to be used for, or of a type which is normally used for, the processing of fish; but only if such structure, appurtenance, land, equipment, or vessel is owned by an individual who is a citizen or national of the United States or a citizen of the Northern Mariana Islands or by a corporation, partnership, association, or other entity that is a citizen of the United States within the meaning of section 802 of this Appendix, and for purposes of applying such section 802 of this Appendix with respect to this section - (i) the term 'State' as used therein includes any State, the District of Columbia, the Commonwealth of Puerto Rico, American Samoa, the Virgin Islands of the United States, Guam, the Northern Mariana Islands, or any other Commonwealth, territory, or possession of the United States; and (ii) citizens of the United States must own not less than 75 percent of the interest in the entity and nationals of the United States or citizens of the Northern Mariana Islands shall be treated as citizens of the United States in meeting such ownership requirement; (l) The term 'fishing vessel' has the meaning given such term by section 1802(11) of title 16; and any reference in this subchapter to a vessel designed principally for commercial use in the fishing trade or industry shall be treated as a reference to a fishing vessel; (m) The term 'United States' when used in a geographical context with respect to fishing vessels or fishery facilities includes all States referred to in subsection (k)(i) of this section. (n) The term 'Secretary' means the Secretary of Commerce with respect to fishing vessels and fishing facilities as provided by this subchapter, and the Secretary of Transportation with respect to all other vessels. -SOURCE- (June 29, 1936, ch. 858, title XI, Sec. 1101, as added June 23, 1938, ch. 600, Sec. 46, 52 Stat. 969, and amended Sept. 3, 1954, ch. 1265, Sec. 1, 68 Stat. 1267; Aug. 7, 1956, ch. 1026, Sec. 1(a), (b), 70 Stat. 1087; July 31, 1959, Pub. L. 86-127, Sec. 1(1), 73 Stat. 272; Sept. 2, 1960, Pub. L. 86-685, Sec. 1, 74 Stat. 733; Sept. 26, 1961, Pub. L. 87-303, Sec. 2, 75 Stat. 661; Oct. 21, 1970, Pub. L. 91-469, Sec. 29, 84 Stat. 1035; Oct. 19, 1972, Pub. L. 92-507, Sec. 1, 86 Stat. 909; Aug. 3, 1980, Pub. L. 96-320, title II, Sec. 202(a), 94 Stat. 992; Dec. 22, 1980, Pub. L. 96-561, title II, Sec. 220(1), 94 Stat. 3291; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(135), 95 Stat. 165; Nov. 23, 1988, Pub. L. 100-710, title I, Sec. 104(d), 102 Stat. 4750.) -REFTEXT- REFERENCES IN TEXT Section 1274(a) of this Appendix, referred to in subsec. (c), was in the original a reference to subsection (a) of section 1104 of this title, meaning section 1104 of title XI of the Merchant Marine Act, 1936, act June 29, 1936, ch. 858. Section 1104 of that Act was renumbered as section 1104A of that Act by Pub. L. 101-380, title IV, Sec. 4115(f)(1), Aug. 18, 1990, 104 Stat. 521. -MISC2- AMENDMENTS 1988 - Subsec. (a). Pub. L. 100-710 amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: 'The term 'mortgage' includes a preferred mortgage as defined in the Ship Mortgage Act, 1920, as amended, on any vessel of the United States (other than a towboat, barge, scow, lighter, car float, canal boat, or tank vessel of less than twenty-five gross tons), and a mortgage on such a vessel which will become a preferred mortgage when recorded and endorsed as required by the Ship Mortgage Act, 1920, as amended;'. 1981 - Subsecs. (c), (f), (g). Pub. L. 97-31, Sec. 12(135)(A), struck out 'of Commerce' after 'Secretary' wherever appearing. Subsec. (n). Pub. L. 97-31, Sec. 12(135)(B), added subsec. (n). 1980 - Subsec. (b). Pub. L. 96-320, Sec. 202(a)(1), inserted reference to ocean thermal energy conversion facilities or plantships. Subsec. (i). Pub. L. 96-320, Sec. 202(a)(2)-(4), added subsec. (i). Subsecs. (j) to (m). Pub. L. 96-561 added subsecs. (j) to (m). 1972 - Subsec. (a). Pub. L. 92-507 reduced the minimum size requirement for certain vessels from 200 gross tons to 25 gross tons. Subsec. (b). Pub. L. 92-507 substituted definition of 'vessel' for definition of 'loan'. Subsec. (c). Pub. L. 92-507 substituted definition of 'obligation' for definition of 'vessel'. Subsec. (d). Pub. L. 92-507 substituted definition of 'obligor' for definition of 'mortgagee'. Subsec. (e). Pub. L. 92-507 substituted definition of 'obligee' for definition of 'mortgagor'. Subsec. (f). Pub. L. 92-507 struck out proviso and substituted obligor for mortgagor or borrower. Subsecs. (g), (h). Pub. L. 92-507 added subsecs. (g) and (h). 1970 - Subsec. (c). Pub. L. 91-469 included oceanographic research or instruction vessels in definition of term 'vessel'. 1961 - Subsec. (a). Pub. L. 87-303 excluded towboats, barges, scows, lighters, car floats, canal boats or tank vessels of less than two hundred gross tons. 1960 - Subsec. (c). Pub. L. 86-685 included floating drydocks which have a capacity of 35,000 or more lifting tons and a beam of 125 feet or more between the wing walls. 1959 - Subsec. (f). Pub. L. 86-127 inserted in proviso 'in respect of the unpaid balance of the principal of a mortgage or loan' and exception clause. 1956 - Subsec. (f). Act Aug. 7, 1956, struck out ', except for certain special purpose vessels as provided for in subsections (a) and (b) of section 1273 of this Appendix,' in proviso following 'That in no event', and struck out '90 per centum of' both before and after '75 per centum, or'. 1954 - Act Sept. 3, 1954, defined 'loan' and 'actual cost' and redefined 'mortgagee'. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-710 effective Jan. 1, 1989, with certain exceptions and qualifications, see section 107 of Pub. L. 100-710, set out as an Effective Date note under section 30101 of Title 46, Shipping. SECRETARY OF COMMERCE: FISHING VESSEL INSURANCE Secretary of Commerce authorized to exercise authority in relation to issuance of insurance on fishing vessels comparable to authority of Secretary of Commerce under this subchapter, see note set out under section 1275 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1274, 1274a, 1279c of this Appendix; title 30 section 1412. ------DocID 53945 Document 846 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1272 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1272. Federal Ship Financing Fund -STATUTE- There is created a Federal Ship Financing Fund (hereinafter referred to as the Fund) which shall be used by the Secretary as a revolving fund for the purpose of carrying out the provisions of this subchapter, and there shall be allocated to such fund the sum of $1,000,000 out of funds made available to the Secretary under the appropriation authorized by section 1279 (FOOTNOTE 1) of this Appendix. Moneys in the Fund shall be deposited in the Treasury of the United States to the credit of the Fund or invested in bonds or other obligations of, or guaranteed as to principal and interest by, the United States. (FOOTNOTE 1) See References in Text note below. -SOURCE- (June 29, 1936, ch. 858, title XI, Sec. 1102, as added June 23, 1938, ch. 600, Sec. 46, 52 Stat. 969, and amended Sept. 3, 1954, ch. 1265, Sec. 2, 68 Stat. 1268; July 31, 1959, Pub. L. 86-123, Sec. 1(2), 73 Stat. 269; Oct. 19, 1972, Pub. L. 92-507, Sec. 2, 86 Stat. 910; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(136), 95 Stat. 166.) -REFTEXT- REFERENCES IN TEXT Section 1279 of this Appendix, referred to in text, was repealed by Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925. -MISC2- AMENDMENTS 1981 - Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' in two places. 1972 - Pub. L. 92-507 substituted 'Federal Ship Financing Fund' for 'Federal Ship Mortgage Insurance Fund', and 'Fund' for 'fund' in four places. 1959 - Pub. L. 86-123 substituted 'section 1110' for 'section 1109' of act June 29, 1936, which for purposes of codification has been changed to 'section 1279 of this Appendix'. 1954 - Act Sept. 3, 1954, omitted provisions relating to the purchase of debentures and substituted 'Secretary of Commerce' for 'Commission'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1271, 1274, 1274a, 1275, 1279c of this Appendix; title 16 section 742c-1. ------DocID 53946 Document 847 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1273 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1273. Authorization of Secretary to guarantee obligations -STATUTE- (a) Principal and interest The Secretary, upon application by a citizen of the United States, is authorized to guarantee, and to enter into commitments to guarantee, the payment of the interest on, and the unpaid balance of the principal of, any obligation which is eligible to be guaranteed under this subchapter. A guarantee, or commitment to guarantee, made by the Secretary under this subchapter shall cover 100 percent of the amount of the principal and interest of the obligation. (b) Security interest No obligation shall be guaranteed under this subchapter unless the obligor conveys or agrees to convey to the Secretary such security interest, which may include a mortgage or mortgages on a vessel or vessels, as the Secretary may reasonably require to protect the interest of the United States. (c) Amount of guarantee; percentage limitation; determination of actual cost of vessel The Secretary shall not guarantee the principal of obligations in an amount in excess of 75 per centum, or 87 1/2 per centum, whichever is applicable under section 1274 (FOOTNOTE 1) of this Appendix, of the amount, as determined by the Secretary which determination shall be conclusive, paid by or for the account of the obligor for the construction, reconstruction, or reconditioning of a vessel or vessels with respect to which a security interest has been conveyed to the Secretary, unless the obligor creates an escrow fund as authorized by section 1279a of this Appendix, in which case the Secretary may guarantee 75 per centum or 87 1/2 per centum, whichever is applicable under section 1274 of this Appendix, of the actual cost of such vessel or vessels. (FOOTNOTE 1) See References in Text note below. (d) Pledge of United States The full faith and credit of the United States is pledged to the payment of all guarantees made under this subchapter with respect to both principal and interest, including interest, as may be provided for in the guarantee, accruing between the date of default under a guaranteed obligation and the payment in full of the guarantee. (e) Proof of obligations Any guarantee, or commitment to guarantee, made by the Secretary under this subchapter shall be conclusive evidence of the eligibility of the obligations for such guarantee, and the validity of any guarantee, or commitment to guarantee, so made shall be incontestable. Notwithstanding an assumption of an obligation by the Secretary under section 1275(a) or (b) of this Appendix, the validity of the guarantee of an obligation made by the Secretary under this subchapter is unaffected and the guarantee remains in full force and effect. (f) Limitation on outstanding amount The aggregate unpaid principal amount of the obligations guaranteed under this section and outstanding at any one time shall not exceed $12,000,000,000, of which $1,650,000,000 shall be limited to obligations pertaining to commerical demonstration ocean thermal energy conversion facilities or plantships guaranteed under section 1279c of this Appendix, and of which $850,000,000 shall be limited to obligations pertaining to guarantees of obligations for fishing vessels and fishery facilities made under this subchapter. No additional limitations may be imposed on new commitments to guarantee loans for any fiscal year, except in such amounts as established in advance in annual authorization Acts. No vessel eligible for guarantees under this subchapter shall be denied eligibility because of its type. -SOURCE- (June 29, 1936, ch. 858, title XI, Sec. 1103, as added June 23, 1938, ch. 600, Sec. 46, 52 Stat. 969, and amended Aug. 15, 1953, ch. 513, Sec. 1, 67 Stat. 626; Sept. 3, 1954, ch. 1265, Sec. 3, 68 Stat. 1268; June 25, 1956, ch. 438, 70 Stat. 332; Aug. 7, 1956, ch. 1026, Sec. 1(a), (c), (d), 70 Stat. 1087; Oct. 21, 1970, Pub. L. 91-469, Sec. 30, 84 Stat. 1035; Oct. 19, 1972, Pub. L. 92-507, Sec. 3, 86 Stat. 910; July 10, 1973, Pub. L. 93-70, Sec. 3, 87 Stat. 168; Nov. 13, 1975, Pub. L. 94-127, Sec. 5, 89 Stat. 681; June 26, 1978, Pub. L. 95-298, Sec. 5, 92 Stat. 340; Aug. 3, 1980, Pub. L. 96-320, title II, Sec. 203(b)(1), 94 Stat. 994; Dec. 22, 1980, Pub. L. 96-561, title II, Sec. 220(2), 94 Stat. 3292; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(136), 95 Stat. 166; Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1606(a), (b), 95 Stat. 752; Jan. 6, 1983, Pub. L. 97-424, title IV, Sec. 425, 96 Stat. 2167; Oct. 30, 1984, Pub. L. 98-595, Sec. 1(1), 98 Stat. 3130; Oct. 21, 1986, Pub. L. 99-509, title V, Sec. 5002, 100 Stat. 1912.) -REFTEXT- REFERENCES IN TEXT Section 1274 of this Appendix, referred to in subsec. (c), was in the original a reference to title XI of section 1104 of this title, meaning section 1104 of title XI of the Merchant Marine Act, 1936, act June 29, 1936, ch. 858. Section 1104 of that Act was renumbered as section 1104A of that Act by Pub. L. 101-380, title IV, Sec. 4115(f)(1), Aug. 18, 1990, 104 Stat. 521. -MISC2- AMENDMENTS 1986 - Subsec. (a). Pub. L. 99-509 inserted at end 'A guarantee, or commitment to guarantee, made by the Secretary under this subchapter shall cover 100 percent of the amount of the principal and interest of the obligation.' 1984 - Subsec. (e). Pub. L. 98-595 inserted 'Notwithstanding an assumption of an obligation by the Secretary under section 1275(a) or (b) of this Appendix, the validity of the guarantee of an obligation made by the Secretary under this subchapter is unaffected and the guarantee remains in full force and effect.' 1983 - Subsec. (f). Pub. L. 97-424 inserted provision that no additional limitations may be imposed on new commitments to guarantee loans for any fiscal year, except in such amounts as established in advance in annual authorization Acts, and that no vessel eligible for guarantees under this subchapter shall be denied eligibility because of its type. 1981 - Subsecs. (a) to (c), (e). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' wherever appearing. Subsec. (f). Pub. L. 97-35, Sec. 1606(b), increased maximum amount from $10,000,000,000 to $12,000,000,000, and substituted provisions relating to monetary limitations and criteria for obligations, for former pars. (1) and (2) relating to percentage limitations and criteria for obligations, and required aggregate amount. 1980 - Subsec. (f). Pub. L. 96-561 added pars. (1) and (2) and provision that the aggregate amount reserved for the purposes set forth in pars. (1) and (2) equal 10 percent of such sum. Pub. L. 96-320, Sec. 203(b), which, effective Oct. 1, 1981, substituted '$12,000,000,000, of which $2,000,000,000 shall be limited to obligations pertaining to commercial demonstration ocean thermal energy conversion facilities or plantships guaranteed pursuant to section 1279c of this Appendix' for '$10,000,000,000' was later repealed by Pub. L. 97-35. See Repeals note set out below. 1978 - Subsec. (f). Pub. L. 95-298 increased limitation on amount of outstanding obligations from $7,000,000,000 to $10,000,000,000. 1975 - Subsec. (f). Pub. L. 94-127 increased limitation on amount of outstanding obligations from $5,000,000,000 to $7,000,000,000. 1973 - Subsec. (f). Pub. L. 93-70 increased limitation on amount of outstanding obligations from $3,000,000,000 to $5,000,000,000. 1972 - Subsec. (a). Pub. L. 92-507 incorporated provisions of former subsecs. (a) and (b) into subsec. (a) and substituted provisions authorizing the Secretary to guarantee the payment of principal and interest on the obligation for provisions authorizing the Secretary to insure a mortgage or a loan. Subsec. (b). Pub. L. 92-507 added subsec. (b). Provisions of former subsec. (b) were incorporated into subsec. (a). Subsec. (c). Pub. L. 92-507 substituted provisions making the Secretary's determination of actual cost of the vessel conclusive for the purposes of determining the maximum amount which may be guaranteed, for provisions making the mortgagee or lender the beneficiary of insurance contracts. Subsec. (d). Pub. L. 92-507 substituted provisions pledging the full faith and credit of the United States for payment of all guarantees with interest, for provisions pledging the faith of the United States to the payment of principal and interest of each mortgage and loan. Subsec. (e). Pub. L. 92-507 added subsec. (e). Former subsec. (e) redesignated (f). Subsec. (f). Pub. L. 92-507 redesignated former subsec. (e) as subsec. (f), and in subsec. (f) as so redesignated, substituted 'obligations guaranteed' for 'mortgages and loans insured'. 1970 - Subsec. (e). Pub. L. 91-469 increased limitation on outstanding amount of mortgages and loans insured under this section from one to three billion dollars. 1956 - Subsec. (a). Act Aug. 7, 1956, Sec. 1(a), (c), struck out '90 per centum of' before 'the unpaid balance' and proviso that as to special purpose vessels certified essential to national defense, Secretary of Commerce may insure 100 per centum of principal and interest on eligible mortgages. Subsec. (b). Act Aug. 7, 1956, Sec. 1(a), (c), struck out '90 per centum of' before 'the unpaid balance' and proviso that as to special purpose vessels certified essential to national defense, Secretary of Commerce may insure 100 per centum of principal and interest on eligible loans. Subsec. (d). Act Aug. 7, 1956, Sec. 1(d), struck out 'the' before 'interest on and' and '90 per centum of' after such words. Act June 25, 1956, pledged the faith of the United States, in the case of special-purpose vessels, to the payment of the interest on and 100 per centum of the unpaid balance of the principal amount of each mortgage and loan insured under this subchapter. 1954 - Act Sept. 3, 1954, provided for the insurance of mortgages by Secretary up to 90 per centum of unpaid balance except that vessels essential to national defense may be insured up to 100 per centum, to provide for insurance contracts, pledged the United States as security, and limited aggregate unpaid principal to $1,000,000,000. 1953 - Act Aug. 15, 1953, designated existing provisions as subsec. (a), inserted '90 per centum of the unpaid balance' after 'provided' and struck out last sentence relating to aggregate amount of mortgage obligations, and added subsecs. (b) and (c). EFFECTIVE DATE OF 1956 AMENDMENT Act June 25, 1956, provided that the amendment made by that act is effective Sept. 3, 1954. REPEALS Pub. L. 96-320, title II, Sec. 203(b), Aug. 3, 1980, 94 Stat. 994, cited as a credit to this section, which amended subsec. (f) of this section, effective Oct. 1, 1981, by increasing the aggregate unpaid principal amount of obligations guaranteed under this section to $12,000,000,000 of which $2,000,000,000 was to be limited to obligations pertaining to commercial demonstration ocean thermal energy conversion facilities or plantships guaranteed pursuant to section 1279c of this Appendix, was repealed by Pub. L. 97-35, title XVI, Sec. 1606(a), Aug. 13, 1981, 95 Stat. 752. ELECTION OF COVERAGE Section 7 of Pub. L. 92-507 provided that: 'Any citizen of the United States to whom the Secretary of Commerce issued an approval in principle of an application for loan or mortgage insurance or a commitment with respect to such insurance under the provisions of title XI of the Merchant Marine Act, 1936 (this subchapter), prior to the effective date of this Act (Oct. 19, 1972) may elect, with respect to the vessels covered by such approval or commitment, to be bound either by the provisions of title XI of the Merchant Marine Act, 1936 (this subchapter), as in effect prior to the effective date of this Act (Oct. 19, 1972) or by the provisions of this Act (see Short Title of 1972 Amendment note under section 1245 of this Appendix).' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1274, 1274a, 1279c of this Appendix. ------DocID 53947 Document 848 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1274 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1274. Eligibility for guarantee -STATUTE- (a) Purpose of obligations Pursuant to the authority granted under section 1273(a) of this Appendix, the Secretary, upon such terms as he shall prescribe, may guarantee or make a commitment to guarantee, payment of the principal of and interest on an obligation which aids in - (1) financing, including reimbursement of an obligor for expenditures previously made for, construction, reconstruction, or reconditioning of a vessel or vessels owned by citizens of the United States which are designed principally for research, or for commercial use (A) in the coastwise or intercoastal trade; (B) on the Great Lakes, or on bays, sounds, rivers, harbors, or inland lakes of the United States; (C) in foreign trade as defined in section 1244 of this Appendix for purposes of subchapter V of this chapter;; or (D) (FOOTNOTE 1) as an ocean thermal energy conversion facility or plantship; or (E) with respect to floating drydocks, in the construction, reconstruction, reconditioning, or repair of vessels: Provided, however, That no guarantee shall be entered into pursuant to this paragraph (a)(1) later than one year after delivery, or redelivery in the case of reconstruction or reconditioning of any such vessel unless the proceeds of the obligation are used to finance the construction, reconstruction, or reconditioning of a vessel or vessels, or facilities or equipment pertaining to marine operations; (FOOTNOTE 1) So in original. Probably should be 'chapter; (D)'. (2) financing, including reimbursement of an obligor for expenditures previously made for, construction, reconstruction, reconditioning, or purchase of a vessel or vessels owned by citizens or nationals of the United States or citizens of the Northern Mariana Islands which are designed principally for research, or for commercial use in the fishing trade or industry; (3) financing the purchase, reconstruction, or reconditioning of vessels or fishery facilities for which obligations were guaranteed under this subchapter that, under the provisions of section 1275 of this Appendix: (A) are vessels or fishery facilities for which obligations were accelerated and paid; (B) were acquired by the Fund; or (C) were sold at foreclosure instituted by the Secretary; (4) financing, in whole or in part, the repayment to the United States of any amount of construction-differential subsidy paid with respect to a vessel pursuant to subchapter V of this chapter; (5) refinancing existing obligations issued for one of the purposes specified in (1), (2), (3), or (4) whether or not guaranteed under this subchapter, including, but not limited to, short-term obligations incurred for the purpose of obtaining temporary funds with the view to refinancing from time to time; or (6) financing or refinancing, including, but not limited to, the reimbursement of obligors for expenditures previously made for, the construction, reconstruction, reconditioning, or purchase of fishery facilities. Any obligation guaranteed under paragraph (6) shall be treated, for purposes of this subchapter in the same manner and to the same extent as an obligation guaranteed under this subchapter which aids in the construction, reconstruction, reconditioning, or purchase of a vessel; except with respect to provisions of this subchapter that by their nature can only be applied to vessels. (b) Contents of obligations Obligations guaranteed under this subchapter - (1) shall have an obligor approved by the Secretary as responsible and possessing the ability, experience, financial resources, and other qualifications necessary to the adequate operation and maintenance of the vessel or vessels which serve as security for the guarantee of the Secretary; (2) subject to the provisions of paragraph (1) of subsection (c) of this section, shall be in an aggregate principal amount which does not exceed 75 per centum of the actual cost or depreciated actual cost, as determined by the Secretary, of the vessel which is used as security for the guarantee of the Secretary: Provided, however, That in the case of a vessel, the size and speed of which are approved by the Secretary; and which is or would have been eligible for mortgage aid for construction under section 1159 of this Appendix (or would have been eligible for mortgage aid under section 1159 of this Appendix except that the vessel was built with the aid of construction-differential subsidy and said subsidy has been repaid) and in respect of which the minimum downpayment by the mortgagor required by that section would be or would have been 12 1/2 per centum of the cost of such vessel, such obligations may be in an amount which does not exceed 87 1/2 per centum of such actual cost or depreciated actual cost: Provided, further, That the obligations which relate to a barge which is constructed without the aid of construction-differential subsidy, or, if so subsidized, on which said subsidy has been repaid, may be in an aggregate principal amount which does not exceed 87 1/2 per centum of the actual cost or depreciated actual cost thereof: Provided further, That in the case of a fishing vessel or fishery facility, the obligation shall be in an aggregate principal amount equal to 80 percent of the actual cost or depreciated actual cost of the fishing vessel or fishery facility, except that no debt may be placed under this proviso through the Federal Financing Bank: Provided further, That in the case of an ocean thermal energy conversion facility or plantship which is constructed without the aid of construction-differential subsidy, such obligations may be in an aggregate principal amount which does not exceed 87 1/2 percent of the actual cost or depreciated actual cost of the facility or plantship; (3) shall have maturity dates satisfactory to the Secretary but, subject to the provisions of paragraph (2) of subsection (c) of this section, not to exceed twenty-five years from the date of the delivery of the vessel which serves as security for the guarantee of the Secretary or, if the vessel has been reconstructed or reconditioned, not to exceed the later of (i) twenty-five years from the date of delivery of the vessel and (ii) the remaining years of the useful life of the vessel as determined by the Secretary; (4) shall provide for payments by the obligor satisfactory to the Secretary; (5) shall bear interest (exclusive of charges for the guarantee and service charges, if any) at rates not to exceed such per centum per annum on the unpaid principal as the Secretary determines to be reasonable, taking into account the range of interest rates prevailing in the private market for similar loans and the risks assumed by the Secretary; (6) shall provide, or a related agreement shall provide, that if the vessel used as security for the guarantee of the Secretary is a delivered vessel, the vessel shall be in class A-1, American Bureau of Shipping, or shall meet such other standards as may be acceptable to the Secretary, with all required certificates, including but not limited to, marine inspection certificates of the United States Coast Guard, with all outstanding requirements and recommendations necessary for retention of class accomplished, unless the Secretary permits a deferment of such repairs, and shall be tight, stanch, strong, and well and sufficiently tackled, appareled, furnished, and equipped, and in every respect seaworthy and in good running condition and repair, and in all respects fit for service; and (7) may provide, or a related agreement may provide, if the vessel used as security for the guarantee of the Secretary is a passenger vessel having the tonnage, speed, passenger accommodations and other characteristics set forth in subchapter V of this chapter, and if the Secretary approves, that the sole recourse against the obligor by the United States for any payments under the guarantee shall be limited to repossession of the vessel and the assignment of insurance claims and that the liability of the obligor for any payments of principal and interest under the guarantee shall be satisfied and discharged by the surrender of the vessel and all right, title, and interest therein to the United States: Provided, That the vessel upon surrender shall be (i) free and clear of all liens and encumbrances whatsoever except the security interest conveyed to the Secretary under this subchapter, (ii) in class, and (iii) in as good order and condition, ordinary wear and tear excepted, as when acquired by the obligor, except that any deficiencies with respect to freedom from encumbrances, condition and class may, to the extent covered by valid policies of insurance, be satisfied by the assignment to the Secretary of claims of the obligor under such policies. The Secretary may not establish, as a condition of eligibility for guarantee under this subchapter, a minimum principal amount for an obligation covering the reconstruction or reconditioning of a fishing vessel or fishery facility. For purposes of this subchapter, the reconstruction or reconditioning of a fishing vessel or fishery facility does not include the routine minor repair of maintenance of the vessel or facility. (c) Security (1) The security for the guarantee of an obligation by the Secretary under this subchapter may relate to more than one vessel and may consist of any combination of types of security. The aggregate principal amount of obligations which have more than one vessel as security for the guarantee of the Secretary under this subchapter may equal, but not exceed, the sum of the principal amount of obligations permissible with respect to each vessel. (2) If the security for the guarantee of an obligation by the Secretary under this subchapter relates to more than one vessel, such obligation may have the latest maturity date permissible under subsection (b) of this section with respect to any of such vessels: Provided, That the Secretary may require such payments of principal, prior to maturity, with respect to all related obligations as he deems necessary in order to maintain adequate security for his guarantee. (d) Restrictions (1)(A) No commitment to guarantee, or guarantee of, an obligation shall be made by the Secretary of Transportation unless the Secretary finds that the property or project with respect to which the obligation will be executed will be economically sound. In making that determination, the Secretary shall consider - (i) the need in the particular segment of the maritime industry for new or additional capacity, including any impact on existing equipment for which a guarantee under this subchapter is in effect; (ii) the market potential for the employment of the vessel over the life of the guarantee; (iii) projected revenues and expenses associated with employment of the vessel; (iv) any charters, contracts of affreightment, transportation agreements, or similar agreements or undertakings relevant to the employment of the vessel; (v) other relevant criteria; and (vi) for inland waterways, the need for technical improvements, including but not limited to increased fuel efficiency, or improved safety. (B) No commitment to guarantee, or guarantee of, an obligation shall be made by the Secretary of Commerce unless the Secretary finds, at or prior to the time such commitment is made or guarantee becomes effective, that the property or project with respect to which the obligation will be executed will be, in the Secretary's opinion, economically sound and in the case of fishing vessels, that the purpose of the financing or refinancing is consistent with the wise use of the fisheries resources and with the development, advancement, management, conservation, and protection of the fisheries resources, or with the need for technical improvements including but not limited to increased fuel efficiency or improved safety. (2) No commitment to guarantee, or guarantee of an obligation may be made by the Secretary under this subchapter for the purchase of a used fishing vessel or used fishery facility unless - (A) the vessel or facility will be reconstructed or reconditioned in the United States and will contribute to the development of the United States fishing industry; or (B) the vessel or facility will be used in the harvesting of fish from, or for a purpose described in section 1271(k) of this Appendix with respect to, an underutilized fishery. (e) Guarantee fees The Secretary is authorized to fix a fee for the guarantee of an obligation under this subchapter. If the security for the guarantee of an obligation under this subchapter relates to a delivered vessel, such fee shall not be less than one-half of 1 per centum per annum nor more than 1 per centum per annum of the average principal amount of such obligation outstanding, excluding the average amount (except interest) on deposit in an escrow fund created under section 1279a of this Appendix. If the security for the guarantee of an obligation under this subchapter relates to a vessel to be constructed, reconstructed, or reconditioned, such fee shall not be less than one-quarter of 1 per centum per annum nor more than one-half of 1 per centum per annum of the average principal amount of such obligation outstanding, excluding the average amount (except interest) on deposit in an escrow fund created under section 1279a of this Appendix. For purposes of this subsection (e), if the security for the guarantee of an obligation under this subchapter relates both to a delivered vessel or vessels and to a vessel or vessels to be constructed, reconstructed, or reconditioned, the principal amount of such obligation shall be prorated in accordance with regulations prescribed by the Secretary. Fee payments shall be made by the obligor to the Secretary when moneys are first advanced under a guaranteed obligation and at least sixty days prior to each anniversary date thereafter. All fees shall be computed and shall be payable to the Secretary under such regulations as the Secretary may prescribe. Such regulations shall provide a formula for determining the creditworthiness of obligors under which the most creditworthy obligors pay a fee computed on the lowest allowable percentage and the least creditworthy obligors pay a fee which may be computed on the highest allowable percentage (the range of creditworthiness to be based on obligors which have actually issued guaranteed obligations). (f) Investigation of applications The Secretary shall charge and collect from the obligor such amounts as he may deem reasonable for the investigation of applications for a guarantee, for the appraisal of properties offered as security for a guarantee, for the issuance of commitments, for services in connection with the escrow fund authorized by section 1279a of this Appendix and for the inspection of such properties during construction, reconstruction, or reconditioning: Provided, That such charges shall not aggregate more than one-half of 1 per centum of the original principal amount of the obligations to be guaranteed. (g) Disposition of moneys All moneys received by the Secretary under the provisions of sections 1271 to 1276 and 1279 (FOOTNOTE 2) of this Appendix shall be deposited in the Fund. (FOOTNOTE 2) See References in Text note below. (h) Additional requirements Obligations guaranteed under this subchapter and agreements relating thereto shall contain such other provisions with respect to the protection of the security interests of the United States (including acceleration, assumption, and subrogation provisions and the issuance of notes by the obligor to the Secretary), liens and releases of liens, payments of taxes, and such other matters as the Secretary may, in his discretion, prescribe. -SOURCE- (June 29, 1936, ch. 858, title XI, Sec. 1104A, formerly Sec. 1104, as added June 23, 1938, ch. 600, Sec. 46, 52 Stat. 970, and amended Aug. 4, 1939, ch. 417, Sec. 14, 53 Stat. 1187; Sept. 28, 1950, ch. 1093, Sec. 4, 64 Stat. 1078; Aug. 15, 1953, ch. 513, Sec. 2, 67 Stat. 626; Sept. 3, 1954, ch. 1265, Sec. 4, 68 Stat. 1269; July 31, 1959, Pub. L. 86-123, Sec. 1(3), 2, 73 Stat. 269, 271; July 31, 1959, Pub. L. 86-127, Sec. 1(3), (4), 73 Stat. 273; June 12, 1960, Pub. L. 86-518, Sec. 1, 74 Stat. 216; Sept. 2, 1960, Pub. L. 86-685, Sec. 2, 3, 74 Stat. 733; June 15, 1968, Pub. L. 90-341, 82 Stat. 180; Oct. 21, 1970, Pub. L. 91-469, Sec. 31, 32, 84 Stat. 1035; Oct. 19, 1972, Pub. L. 92-507, Sec. 3, 86 Stat. 910; Apr. 7, 1978, Pub. L. 95-257, 92 Stat. 194; Aug. 3, 1980, Pub. L. 96-320, title II, Sec. 202(b), (c), 94 Stat. 992; Dec. 22, 1980, Pub. L. 96-561, title II, Sec. 220(3), 94 Stat. 3292; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(136), 95 Stat. 166; Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1606(c), (d), 95 Stat. 752; Oct. 30, 1984, Pub. L. 98-595, Sec. 1(2)-(7), (12), 98 Stat. 3130, 3131; Oct. 21, 1986, Pub. L. 99-509, title V, Sec. 5003, 100 Stat. 1912; renumbered Sec. 1104A, Aug. 18, 1990, Pub. L. 101-380, title IV, Sec. 4115(f)(1), 104 Stat. 521.) -REFTEXT- REFERENCES IN TEXT Sections 1276 and 1279 of this Appendix, referred to in subsec. (g), were repealed by Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925. -MISC2- AMENDMENTS 1986 - Subsec. (b)(2). Pub. L. 99-509 substituted 'That in the case of a fishing vessel or fishery facility, the obligation shall be in an aggregate principal amount equal to 80 percent of the actual cost or depreciated actual cost of the fishing vessel or fishery facility, except that no debt may be placed under this proviso through the Federal Financing Bank' for 'That in the case of any vessel to be used in the fishing trade or industry, such obligations may be in an aggregate principal amount which does not exceed 87 1/2 per centum of the actual cost or depreciated actual cost of the vessel'. 1984 - Subsec. (a)(3). Pub. L. 98-595, Sec. 1(2), substituted provisions relating to financing of purchase, reconstruction or reconditioning of designated vessels or fishery facilities for former provisions relating to financing of vessels acquired by the Federal Ship Financing Fund pursuant to section 1275 of this Appendix. Subsec. (a)(5). Pub. L. 98-595, Sec. 1(3), inserted 'or' after 'time'. Subsec. (a)(6). Pub. L. 98-595, Sec. 1(4), substituted a period for '; or' after 'facilities'. Subsec. (a)(7). Pub. L. 98-595, Sec. 1(5), struck out par. (7) which related to the financing of the purchase of fishing vessels or fishery facilities sold at foreclosure instituted by the Secretary. Subsec. (d)(1). Pub. L. 98-595, Sec. 1(6), substituted provisions establishing economical soundness as a requirement for a commitment by the Secretary and detailing factors for evaluation for former provisions which established the general criteria of economical soundness and wise use of fishery resources. Subsec. (e). Pub. L. 98-595, Sec. 1(12), inserted 'Such regulations shall provide a formula for determining the creditworthiness of obligors under which the most creditworthy obligors pay a fee computed on the lowest allowable percentage and the least creditworthy obligors pay a fee which may be computed on the highest allowable percentage (the range of creditworthiness to be based on obligors which have actually issued guaranteed obligations).' Subsec. (h). Pub. L. 98-595, Sec. 1(7), inserted ', assumption,' after 'acceleration'. 1981 - Subsecs. (a) to (c). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' wherever appearing. Subsec. (d). Pub. L. 97-35, Sec. 1606(c), in par. (1) substituted 'No' for 'Except as provided in paragraph (2), no', struck out par. (2) which related to application of par. (1), and redesignated par. (3) as (2). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' wherever appearing. Subsecs. (e), (f). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' wherever appearing. Subsec. (g). Pub. L. 97-35, Sec. 1606(d), designated par. (1) as entire provision, and struck out par. (2) which required the Secretary to establish subfunds within the Fund. Pub. L. 97-31 struck out 'of Commerce' after 'Secretary'. Subsec. (h). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' in two places. 1980 - Subsec. (a). Pub. L. 96-561, Sec. 220(3)(A)(vi), inserted provision after par. (7) that any obligation guaranteed under par. (6) be treated, for purposes of this subchapter, in the same manner and to the same extent as an obligation guaranteed under this subchapter which aids in the construction, reconstruction, reconditioning, or purchase of a vessel, except with respect to provisions of this subchapter that by their nature can only be applied to vessels. Subsec. (a)(1). Pub. L. 96-561, Sec. 220(3)(A)(i), (ii), substituted '; or (D)' for '(D) in the fishing trade or industry; (E)' and redesignated cl. (F) as (E). Pub. L. 96-320, Sec. 202(b), redesignated cl. (E), relating to floating drydocks, as cl. (F) and added cl. (E) relating to ocean thermal energy conversion facilities or plantships. Subsec. (a)(2). Pub. L. 96-561, Sec. 220(3)(A)(iii), added par. (2) and redesignated former par. (2) as (3). Subsec. (a)(3). Pub. L. 96-561, Sec. 220(3)(A)(iii), redesignated former par. (2) as (3). Former par. (3) redesignated (4). Subsec. (a)(4). Pub. L. 96-561, Sec. 220(3)(A)(iii), (iv), redesignated former par. (3) as (4) and substituted 'this chapter;' for 'this chapter; or'. Former par. (4) redesignated (5). Subsec. (a)(5). Pub. L. 96-561, Sec. 220(3)(A)(iii), (v), redesignated former par. (4) as (5) and substituted '(3), or (4)' for 'or (3)' and a semicolon for the period at end. Subsec. (a)(6), (7). Pub. L. 96-561, Sec. 220(3)(A)(vi), added pars. (6) and (7). Subsec. (b). Pub. L. 96-561, Sec. 220(3)(B), inserted provision after par. (7) prohibiting the Secretary from establishing, as a condition of eligibility for guarantee, a minimum principal amount for an obligation covering the reconstruction or reconditioning of a fishing vessel or fishery facility, which reconstruction or reconditioning does not include the routine minor repair or maintenance of the vessel or facility. Subsec. (b)(2). Pub. L. 96-320, Sec. 202(c), inserted proviso that in the case of an ocean thermal energy conversion facility or plantship which is constructed without the aid of construction-differential subsidy, the obligations may be in an aggregate principal amount which does not exceed 87 1/2 percent of the actual cost or depreciated actual cost of the facility or plantship. Subsec. (d). Pub. L. 96-561, Sec. 220(3)(C), designated existing provision as par. (1), substituted 'Except as provided in paragraph (2), no' for 'No', and added pars. (2) and (3). Subsec. (g). Pub. L. 96-561, Sec. 220(3)(D), designated existing provision as par. (1) and added par. (2). 1978 - Subsec. (b)(2). Pub. L. 95-257 inserted proviso relating to vessels to be used in the fishing trade or industry. 1972 - Subsec. (a). Pub. L. 92-507 substituted provisions relating to the purposes for which guarantees may be made, for provisions relating to the eligibility of mortgages for insurance. Subsec. (b). Pub. L. 92-507 substituted provisions relating to the eligibility requirements of obligations for guarantee, for provisions relating to the eligibility of loans for insurance. Subsec. (c). Pub. L. 92-507 substituted provisions that security for guarantee may relate to more than one vessel, that security may consist of any combination of types of security, and that an obligation may have the latest maturity date permissible for any vessel which serves as security for the government guarantee of the related obligations, for provisions relating to the prior determination of the soundness of the property or project for mortgage or loan. Subsec. (d). Pub. L. 92-507 incorporated provisions of former subsec. (c) into subsec. (d) and extended provisions of this subchapter to commercial fishing vessels. Provisions of former subsec. (d) were incorporated into subsec. (e). Subsec. (e). Pub. L. 92-507 incorporated provisions of former subsec. (d) into subsec. (e) and substituted therein provisions authorizing thd Secretary to fix a fee for the guarantee of obligations and providing separate formulae for delivered vessels and vessels under construction, for provisions authorizing the Secretary to fix a premium charge for the insurance of mortgages and loans and providing separate formulae for mortgages and loans by reference to section 1273 of this Appendix. Provisions of former subsec. (e) were incorporated into subsec. (f). Subsec. (f). Pub. L. 92-507 incorporated provisions of former subsec. (e), relating to the collection of investigation fees from applicants for insurance into subsec. (f), and substituted therefor provisions relating to the collection of investigation fees from applicants for guarantee. Provisions of former subsec. (f) incorporated into subsec. (g). Subsec. (g). Pub. L. 92-507 incorporated provisions of former subsec. (f) into subsec. (g). Subsec. (h). Pub. L. 92-507 added subsec. (h). 1970 - Subsec. (a)(8). Pub. L. 91-469, Sec. 31, inserted 'research, or for' before 'commercial use'. Subsec. (b). Pub. L. 91-469, Sec. 32, inserted in par. (2) 'research, or for' before 'commercial use', substituted in par. (4) 'not exceed' for 'be less than', and inserted in par. (4) restriction that advance and principal amount of other advances under insured loans outstanding at time of advance shall not exceed 87 1/2 per centum of actual cost of vessel where in the case of the approved vessel the minimum downpayment by the mortgagor required by section 1159 of this Appendix would be 12 1/2 per centum of cost of vessel. 1968 - Subsec. (a)(5). Pub. L. 90-341 substituted provision that the maximum interest rates allowed on ship mortgages eligible for insurance coverage be at such rates on the outstanding principle obligation as determined by the Secretary of Commerce to be reasonable, taking into account the prevailing rates and the risks assumed by the Department of Commerce, for provision setting a maximum of 5 per centum per annum, or 6 per centum per annum when the Secretary determined that in certain areas or under special circumstances the mortgage or lending market demanded it. 1960 - Subsec. (a)(3). Pub. L. 86-518 substituted 'twenty-five years' for 'twenty years'. Subsec. (a)(8). Pub. L. 86-685, Sec. 2, inserted cl. (e). Subsec. (b)(2). Pub. L. 86-685, Sec. 3, inserted cl. (e). 1959 - Subsec. (a)(2). Pub. L. 86-123, Sec. 2, substituted 'and which is, or in the case of a vessel to be reconstructed or reconditioned would have been, eligible for mortgage aid for construction' for 'which is eligible for mortgage aid' in proviso. Subsec. (d). Pub. L. 86-127, Sec. 1(3), inserted 'excluding the average amount (except interest) on deposit in an escrow fund created under section 1279a of this Appendix' in two places. Subsec. (e). Pub. L. 86-127, Sec. 1(4), inserted 'for services in connection with the escrow fund authorized by section 1279a of this Appendix' after 'commitments' . Subsec. (f). Pub. L. 86-123, Sec. 1(3), substituted 'sections 1101 to 1110' for 'sections 1101 to 1109' of Act June 29, 1936, which, for purposes of codification, has been changed to 'sections 1271 to 1279 of this Appendix'. 1954 - Act Sept. 3, 1954, provided standards of eligibility for both mortgages and loans, set up restrictions, and provided for premium charges. 1953 - Subsec. (a)(2). Act Aug. 15, 1953, Sec. 2(1), inserted 'or, in the case of vessels, constructed under subchapter V of this title, involved in an obligation in a principal amount which does not exceed 75 per centum of the cost of the vessel (exclusive of construction-differential subsidy and cost of national-defense features)'. Subsec. (a)(8). Act Aug. 15, 1953, Sec. 2(2), inserted 'construction of vessels under subchapter V of this chapter'. Subsecs. (a)(8), (c). Act Aug. 15, 1953, Sec. 2(3), extended coverage to vessels engaged in foreign trade. 1950 - Subsec. (a)(2), (7), (8). Act Sept. 28, 1950, inserted provisions concerning purchase of vessels for use on the Great Lakes pursuant to the Merchant Ship Sales Act of 1946. 1939 - Subsec. (a)(8). Act Aug. 4, 1939, included mortgages to secure new loans or advances made to aid financing of vessels designed for use in the fishing trade or industry. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-518 applicable only to vessels delivered by the shipbuilder on or after Jan. 1, 1946, and with respect to such vessels shall become effective on Jan. 1, 1960, and with respect to vessels delivered by the shipbuilder before Jan. 1, 1946, the provisions of this chapter existing immediately before June 12, 1960, shall continue in effect, see section 8(a) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. REVISION OF CONTRACTS, COMMITMENTS TO INSURE MORTGAGES, MORTGAGES, AND MORTGAGE INSURANCE CONTRACTS ENTERED INTO PRIOR TO JUNE 12, 1960 For provisions authorizing revision, see section 8(c) of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. COMMERCIAL EXPECTANCY OR PERIOD OF DEPRECIATION OF TANKERS AND OTHER LIQUID BULK CARRIERS Nothing in any amendment made by Pub. L. 86-518 to operate or be interpreted to change from 20 to 25 years the provisions of this chapter relating to the commercial expectancy or period of depreciation of any tanker or other liquid bulk carrier, see section 9 of Pub. L. 86-518, set out as a note under section 1125 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1271, 1273, 1274a, 1279a, 1279c of this Appendix. ------DocID 53948 Document 849 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1274a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1274a. Authorization of Secretary to guarantee obligations arising from statutorily mandated change in standards for operation of vessels -STATUTE- (a) Purpose of obligations; principal and interest Notwithstanding the provisions of this subchapter, except as provided in subsection (d) of this section, the Secretary, upon the terms the Secretary may prescribe, may guarantee or make a commitment to guarantee, payment of the principal of and interest on an obligation which aids in financing and refinancing, including reimbursement to an obligor for expenditures previously made, of a contract for construction or reconstruction of a vessel or vessels owned by citizens of the United States which are designed and to be employed for commercial use in the coastwise or intercoastal trade or in foreign trade as defined in section 1244 of this Appendix if - (1) the construction or reconstruction by an applicant is made necessary to replace vessels the continued operation of which is denied by virtue of the imposition of a statutorily mandated change in standards for the operation of vessels, and where, as a matter of law, the applicant would otherwise be denied the right to continue operating vessels in the trades in which the applicant operated prior to the taking effect of the statutory or regulatory change; (2) the applicant is presently engaged in transporting cargoes in vessels of the type and class that will be constructed or reconstructed under this section, and agrees to employ vessels constructed or reconstructed under this section as replacements only for vessels made obsolete by changes in operating standards imposed by statute; (3) the capacity of the vessels to be constructed or reconstructed under this subchapter will not increase the cargo carrying capacity of the vessels being replaced; (4) the Secretary has not made a determination that the market demand for the vessel over its useful life will diminish so as to make the granting of the guarantee fiduciarily imprudent; and (5) the Secretary has considered the provisions of section 1274(d)(1)(A)(iii), (iv), and (v) of this Appendix. (b) Limitations on length and amount of guaranteed obligations; useful life of vessel For the purposes of this section - (1) the maximum term for obligations guaranteed under this program may not exceed 25 years; (2) obligations guaranteed may not exceed 75 percent of the actual cost or depreciated actual cost to the applicant for the construction or reconstruction of the vessel; and (3) reconstruction cost obligations may not be guaranteed unless the vessel after reconstruction will have a useful life of at least 15 years. (c) Security against default; fees; Vessel Replacement Guarantee Fund (1) The Secretary shall by rule require that the applicant provide adequate security against default. The Secretary may, in addition to any fees assessed under section 1274(e) of this Appendix, establish a Vessel Replacement Guarantee Fund into which shall be paid by obligors under this section - (A) annual fees which may be an additional amount on the loan guarantee fee in section 1274(e) of this Appendix not to exceed an additional 1 percent; or (B) fees based on the amount of the obligation versus the percentage of the obligor's fleet being replaced by vessels constructed or reconstructed under this section. (2) The Vessel Replacement Guarantee Fund shall be a subaccount in the Federal Ship Financing Fund, and shall - (A) be the depository for all moneys received by the Secretary under sections 1271 through 1276 and 1279 (FOOTNOTE 1) of this Appendix with respect to guarantee or commitments to guarantee made under this section; (FOOTNOTE 1) See References in Text note below. (B) not include investigation fees payable under section 1274(f) of this Appendix which shall be paid to the Federal Ship Financing Fund; and (C) be the depository, whenever there shall be outstanding any notes or obligations issued by the Secretary under section 1275(d) of this Appendix with respect to the Vessel Replacement Guarantee Fund, for all moneys received by the Secretary under sections 1271 through 1276 and 1279 (FOOTNOTE 1) of this Appendix from applicants under this section. (d) Additional requirements The program created by this section shall, in addition to the requirements of this section, be subject to the provisions of sections 1271 through 1273; 1274(b)(1), (4), (5), (6); 1274(e); 1274(f); 1274(h); and 1275, 1276, and 1279 (FOOTNOTE 1) of this Appendix; except that the Federal Ship Financing Fund is not liable for any guarantees or commitments to guarantee issued under this section. -SOURCE- (June 29, 1936, ch. 858, title XI, Sec. 1104B, as added Pub. L. 101-380, title IV, Sec. 4115(f)(2), Aug. 18, 1990, 104 Stat. 521.) -REFTEXT- REFERENCES IN TEXT Sections 1276 and 1279 of this Appendix, referred to in subsecs. (c)(2) and (d), were repealed by Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925. -MISC2- EFFECTIVE DATE Section applicable to incidents occurring after Aug. 18, 1990, see section 1020 of Pub. L. 101-380, set out as a note under section 2701 of Title 33, Navigation and Navigable Waters. ------DocID 53949 Document 850 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1275 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1275. Defaults -STATUTE- (a) Rights of obligee In the event of a default, which has continued for thirty days, in any payment by the obligor of principal or interest due under an obligation guaranteed under this subchapter, the obligee or his agent shall have the right to demand (unless the Secretary shall, upon such terms as may be provided in the obligation or related agreements, prior to that demand, have assumed the obligor's rights and duties under the obligation and agreements and shall have made any payments in default), at or before the expiration of such period as may be specified in the guarantee or related agreements, but not later than ninety days from the date of such default, payment by the Secretary of the unpaid principal amount of said obligation and of the unpaid interest thereon to the date of payment. Within such period as may be specified in the guarantee or related agreements, but not later than thirty days from the date of such demand, the Secretary shall promptly pay to the obligee or his agent the unpaid principal amount of said obligation and unpaid interest thereon to the date of payment: Provided, That the Secretary shall not be required to make such payment if prior to the expiration of said period he shall find that there was no default by the obligor in the payment of principal or interest or that such default has been remedied prior to any such demand. (b) Notice of default In the event of a default under a mortgage, loan agreement, or other security agreement between the obligor and the Secretary, the Secretary may upon such terms as may be provided in the obligation or related agreement, either: (1) assume the obligor's rights and duties under the agreement, make any payment in default, and notify the obligee or the obligee's agent of the default and the assumption by the Secretary; or (2) notify the obligee or the obligee's agent of the default, and the obligee or the obligee's agent shall have the right to demand at or before the expiration of such period as may be specified in the guarantee or related agreements, but not later than 60 days from the date of such notice, payment by the Secretary of the unpaid principal amount of said obligation and of the unpaid interest thereon. Within such period as may be specified in the guarantee or related agreements, but not later than 30 days from the date of such demand, the Secretary shall promptly pay to the obligee or the obligee's agent the unpaid principal amount of said obligation and unpaid interest thereon to the date of payment. (c) Secretary to complete, sell or operate property In the event of any payment or assumption by the Secretary under subsection (a) or (b) of this section, the Secretary shall have all rights in any security held by him relating to his guarantee of such obligations as are conferred upon him under any security agreement with the obligor. Notwithstanding any other provision of law relating to the acquisition, handling, or disposal of property by the United States, the Secretary shall have the right, in his discretion, to complete, recondition, reconstruct, renovate, repair, maintain, operate, charter, or sell any property acquired by him pursuant to a security agreement with the obligor or may place a vessel in the national defense reserve. The terms of the sale shall be as approved by the Secretary. (d) Cash payments; issuance of notes or obligations Any amount required to be paid by the Secretary pursuant to subsection (a) or (b) of this section, shall be paid in cash. If at any time the moneys in the Fund authorized by section 1272 of this Appendix are not sufficient to pay any amount the Secretary is required to pay by subsection (a) or (b) of this section, the Secretary is authorized to issue to the Secretary of the Treasury notes or other obligations in such forms and denominations, bearing such maturities, and subject to such terms and conditions as may be prescribed by the Secretary, with the approval of the Secretary of the Treasury. Such notes or other obligations shall bear interest at a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketable obligations of the United States of comparable maturities during the month preceding the issuance of such notes or other obligations. The Secretary of the Treasury is authorized and directed to purchase any notes and other obligations to be issued hereunder and for such purpose he is authorized to use as a public debt transaction the proceeds from the sale of any securities issued under chapter 31 of title 31, and the purposes for which securities may be issued under such chapter, are extended to include any purchases of such notes and obligations. The Secretary of the Treasury may at any time sell any of the notes or other obligations acquired by him under this section. All redemptions, purchases, and sales by the Secretary of the Treasury of such notes or other obligations shall be treated as public debt transactions of the United States. Funds borrowed under this section shall be deposited in the Fund and redemptions of such notes and obligations shall be made by the Secretary from such Fund. (e) Actions against obligor In the event of a default under any guaranteed obligation or any related agreement, the Secretary shall take such action against the obligor or any other parties liable thereunder that, in his discretion, may be required to protect the interests of the United States. Any suit may be brought in the name of the United States or in the name of the obligee and the obligee shall make available to the United States all records and evidence necessary to prosecute any such suit. The Secretary shall have the right, in his discretion, to accept a conveyance of title to and possession of property from the obligor or other parties liable to the Secretary, and may purchase the property for an amount not greater than the unpaid principal amount of such obligation and interest thereon. In the event that the Secretary shall receive through the sale of property an amount of cash in excess of the unpaid principal amount of the obligation and unpaid interest on the obligation and the expenses of collection of those amounts, the Secretary shall pay the excess to the obligor. -SOURCE- (June 29, 1936, ch. 858, title XI, Sec. 1105, as added June 23, 1938, ch. 600, Sec. 46, 52 Stat. 971, and amended Aug. 15, 1953, ch. 513, Sec. 3, 67 Stat. 626; Sept. 3, 1954, ch. 1265, Sec. 5, 68 Stat. 1272; Aug. 7, 1956, ch. 1026, Sec. 1(e)-(g), 70 Stat. 1087; July 15, 1958, Pub. L. 85-520, 72 Stat. 358; Oct. 21, 1970, Pub. L. 91-469, Sec. 33, 84 Stat. 1035; Oct. 19, 1972, Pub. L. 92-507, Sec. 3, 86 Stat. 914; Dec. 22, 1980, Pub. L. 96-561, title II, Sec. 220(4), 94 Stat. 3294; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(136), 95 Stat. 166; Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1606(e), 95 Stat. 752; Oct. 30, 1984, Pub. L. 98-595, Sec. 1(8)-(11), 98 Stat. 3131.) -COD- CODIFICATION In subsec. (d), 'chapter 31 of title 31' and 'such chapter' substituted for 'the Second Liberty Bond Act, as amended' and 'such Act, as amended,', respectively, on authority of Pub. L. 97-258, Sec. 4(b), Sept. 13, 1982, 96 Stat. 1067, the first section of which enacted Title 31, Money and Finance. -MISC3- AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-595, Sec. 1(8), inserted '(unless the Secretary shall, upon such terms as may be provided in the obligation or related agreements, prior to that demand, have assumed the obligor's rights and duties under the obligation and agreements and shall have made any payments in default)'. Subsec. (b). Pub. L. 98-595, Sec. 1(9), expanded provisions relating to the Secretary's rights in the case of default under a security agreement between the obligor and the Secretary to include the option of assuming the obligor's rights and duties under the agreement. Subsec. (c). Pub. L. 98-595, Sec. 1(10), inserted 'or assumption'. Subsec. (e). Pub. L. 98-595, Sec. 1(11), substituted 'the unpaid principal amount of the obligation and unpaid interest on the obligation and the expenses of collection of those amounts, the Secretary' for 'any payment made to an obligee under subsection (a) or (b) of this section and the expenses of collection of such amounts, he'. 1981 - Subsecs. (a) to (c). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' wherever appearing. Subsec. (d). Pub. L. 97-35 struck out of first sentence the requirement of payment from the appropriate subfund established under section 1274(g)(2) of this Appendix. Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' in five places. Subsec. (e). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' in four places. 1980 - Subsec. (d). Pub. L. 96-561 inserted in first sentence ', and shall be paid from the appropriate subfund required to be established under section 1274(g)(2) of this Appendix' after 'paid in cash'. 1972 - Subsec. (a). Pub. L. 92-507 substituted provisions relating to the rights of obligee to demand and receive payment from the Secretary under certain circumstances, for provisions relating to the rights of mortgagee and lender to demand and receive payment under certain circumstances and the authority of the Secretary to terminate the insurance contract by notification to the mortgagee or the lender as the case may be. Subsec. (b). Pub. L. 92-507 inserted provisions relating to notification of default to the obligee, and payment of unpaid principal and interest amount, by the Secretary within certain time. Former subsec. (b) redesignated (d). Subsec. (c). Pub. L. 92-507 incorporated substantially the provisions of subsec. (d) into subsec. (c). Former subsec. (c) is now covered by subsec. (e). Subsec. (d). Pub. L. 92-507 incorporated provisions of former subsec. (b) into subsec. (d). Former subsec. (d) is now covered by subsec. (c). Subsec. (e). Pub. L. 92-507 incorporated provisions of former subsec. (c) relating to actions by the Secretary in the event of defaults by mortgagors and borrowers, into subsec. (e), and substituted therefor provisions relating to actions by the Secretary in the event of defaults by obligors of guaranteed obligations and related agreements. Provisions of former subsec. (e) relating to termination and cancellation of insurance contracts and the incontestability of such contracts except for fraud, duress or mutual mistake of fact are omitted. 1970 - Subsec. (d). Pub. L. 91-469 substituted provision for inclusion of interest in the installments on the purchase price remaining unpaid at a rate not less than a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding maketable obligations of the United States with remaining periods to maturity comparable to the average maturities of such installments, adjusted to the nearest one-eighth of 1 per centum plus an administrative cost allowance, for prior rate of 3 1/2 per centum per annum on installments of purchase price remaining unpaid. 1958 - Subsec. (b). Pub. L. 85-520 authorized the Secretary of Commerce to issue notes or obligations whenever the moneys in the Federal Ship Mortgage Insurance Fund are insufficient to pay amounts required to be paid under subsec. (a) of this section. 1956 - Subsec. (a)(1), (2). Act Aug. 7, 1956, Sec. 1(e), struck out 'the insured portion of' before 'the unpaid principal amount', wherever appearing. Subsec. (c)(1). Act Aug. 7, 1956, Sec. 1(f), substituted 'such excess to the borrower' for 'to the mortgagee such cash amounts to the extent that the mortgagee has not been made whole through other sources for amounts advanced to the mortgagor but in no event shall such payments to the mortgagee exceed 10 per centum of the unpaid principal amount of mortgage and the interest thereon, and any excess of the amounts thus due the Government and the mortgagee shall be paid to the mortgagor'. Subsec. (c)(2). Act Aug. 7, 1956, Sec. 1(g), substituted 'such excess to the borrower' for 'to the lender such cash amount to the extent that the lender has not been made whole through other sources for amounts advanced to the borrower but in no event shall such payment to the lender exceed 10 per centum of the unpaid principal amount of loan and the interest thereon, and any excess of the amounts thus due the Government and the lender shall be paid to the borrower'. 1954 - Act Sept. 3, 1954, gave new rights to both borrowers and lenders and set up new foreclosure procedures. 1953 - Act Aug. 15, 1953, provided that in the event of a default in payment of either principal or interest, the lender may tender an assignment of the mortgage and all collateral to the Secretary who shall promptly pay the unpaid balance in cash, provided for the foreclosure and repossession of mortgaged vessels; allowed the Secretary to take any necessary steps to minimize the loss, and made all insurance commitments conclusive. SECRETARY OF COMMERCE; FISHING VESSEL INSURANCE Pub. L. 86-577, July 5, 1960, 74 Stat. 314, provided: 'That in order to permit the efficient execution of functions relating to the issuance of Federal ship mortgage insurance on fishing vessels, pursuant to the Merchant Marine Act of June 29, 1936, as amended (this chapter) (49 Stat. 1985; 46 U.S.C., 1952 edition, sec. 1271 and the following), which functions relating to fishing vessels have been transferred to the Secretary of the Interior pursuant to the Fish and Wildlife Act of 1956 (section 742a et seq. of Title 16, Conservation), the Secretary of the Interior hereafter may exercise authority comparable to the authority of the Secretary of Commerce under the said Merchant Marine Act of 1936 (this chapter), including, but not limited to the authority contained in the amendment to such Act of July 15, 1958 (72 Stat. 358) (amending this section).' Functions relating to the issuance of Federal ship mortgage insurance on fishing vessels, which functions were transferred to the Secretary of the Interior, were retransferred to the Secretary of Commerce by Reorg. Plan No. 4 of 1970, Sec. 1, eff. Oct. 3, 1970, 35 F.R. 15627, 84 Stat. 2090, set out in the Appendix to Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1271, 1273, 1274, 1274a, 1279c, 1280 of this Appendix; title 16 section 742c-1. ------DocID 53950 Document 851 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1279a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1279a. Escrow fund -STATUTE- (a) Creation If the proceeds of an obligation guaranteed under this subchapter are to be used to finance the construction, reconstruction, or reconditioning of a vessel or vessels which will serve as security for the guarantee of the Secretary, the Secretary is authorized to accept and hold, in escrow under an escrow agreement with the obligor, a portion of the proceeds of all obligations guaranteed under this subchapter whose proceeds are to be so used which is equal to: (i) the excess of the principal amount of all obligations whose proceeds are to be so used over 75 per centum, or 87 1/2 per centum, whichever is applicable under section 1274 (FOOTNOTE 1) of this Appendix, of the amount paid by or for the account of the obligor for the construction, reconstruction, or reconditioning of the vessel or vessels; (ii) with such interest thereon, if any, as the Secretary may require: Provided, That in the event the security for the guarantee of an obligation by the Secretary relates both to a vessel or vessels to be constructed, reconstructed or reconditioned and to a delivered vessel or vessels, the principal amount of such obligation shall be prorated for purposes of this subsection (a) under regulations prescribed by the Secretary. (FOOTNOTE 1) See References in Text note below. (b) Disbursement prior to termination of escrow agreement The Secretary shall, as specified in the escrow agreement, disburse the escrow fund to pay amounts the obligor is obligated to pay as interest on such obligations or for the construction, reconstruction, or reconditioning of the vessel or vessels used as security for the guarantee of the Secretary under this subchapter, to redeem such obligations in connection with a refinancing under paragraph (4) (FOOTNOTE 1) of section 1274(a) of this Appendix or to pay to the obligor at such times as may be provided for in the escrow agreement any excess interest deposits, except that if payments become due under the guarantee prior to the termination of the escrow agreement, all amounts in the escrow fund at the time such payments become due (including realized income which has not yet been paid to the obligor) shall be paid into the Fund and (i), be credited against any amounts due or to become due to the Secretary from the obligor with respect to the guaranteed obligations and (ii) to the extent not so required, be paid to the obligor. (c) Disbursement upon termination of escrow agreement If payments under the guarantee have not become due prior to the termination of the escrow agreement, any balance of the escrow fund at the time of such termination shall be disbursed to prepay the excess of the principal of all obligations whose proceeds are to be used to finance the construction, reconstruction, or reconditioning of the vessel or vessels which serve or will serve as security for such guarantee over 75 per centum or 87 1/2 per centum, whichever is applicable under section 1274 (FOOTNOTE 1) of this Appendix, of the actual cost of such vessel or vessels to the extent paid, and to pay interest on such prepaid amount of principal, and the remainder of such balance of the escrow fund shall be paid to the obligor. (d) Investment of fund The Secretary may invest and reinvest all or any part of the escrow fund in obligations of the United States with such maturities that the escrow fund will be available as required for purposes of the escrow agreement. (e) Payment of income Any income realized on the escrow fund shall, upon receipt, be paid to the obligor. (f) Terms of escrow agreement The escrow agreement shall contain such other terms as the Secretary may consider necessary to protect fully the interests of the United States. -SOURCE- (June 29, 1936, ch. 858, title XI, Sec. 1108, formerly Sec. 1111, as added July 31, 1959, Pub. L. 86-127, Sec. 1(2), 73 Stat. 272, and renumbered and amended Oct. 19, 1972, Pub. L. 92-507, Sec. 5, 86 Stat. 916; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(136), 95 Stat. 166.) -REFTEXT- REFERENCES IN TEXT References in subsecs. (a) to (c) to section 1274 of this Appendix, were in the original references to section 1104 of this title, meaning section 1104 of title XI of the Merchant Marine Act, 1936, act June 29, 1936, ch. 858. Section 1104 of that Act was renumbered as section 1104A of that Act by Pub. L. 101-380, title IV, Sec. 4115(f)(1), Aug. 18, 1990, 104 Stat. 521. Paragraph (4) of section 1274(a) of this Appendix, referred to in subsec. (b), was redesignated paragraph (5) of section 1274(a) of this Appendix by Pub. L. 96-561, title II, Sec. 220(3)(A)(iii), Dec. 22, 1980, 94 Stat. 3292. -MISC2- AMENDMENTS 1981 - Subsecs. (a), (b), (d), (f). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' wherever appearing. 1972 - Subsec. (a). Pub. L. 92-507 substantially reenacted subsec. (a) and substituted requirement that an escrow fund be created out of proceeds of obligations, for requirement that such fund be created out of sale of bonds. Subsec. (b). Pub. L. 92-507 substituted provisions for the disbursement of escrow fund to pay certain payments the obligor is obligated to pay, for provisions for the disbursement of such fund to pay certain payments the mortgagor or borrower is obligated to pay. Subsec. (c). Pub. L. 92-507 substituted provisions for the disbursement of the remainder of funds in the escrow fund to the obligor on the termination of the escrow agreement, for provisions for the disbursement of such funds to the mortgagor or borrower as the case may be. Subsec. (d). Pub. L. 92-507 substituted 'the escrow fund' for 'such fund'. Subsec. (e). Pub. L. 92-507 substituted provisions for payment of income to obligor, for provisions for payment of such income to mortgagor or borrower. Subsec. (f). Pub. L. 92-507 substituted 'to protect fully' for 'to fully protect'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1271, 1273, 1274 of this Appendix. ------DocID 53951 Document 852 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1279c -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1279c. Ocean thermal energy conversion demonstration facilities and plantships -STATUTE- (a) Financing of construction, reconstruction, or reconditioning Pursuant to the authority granted under section 1273(a) of this Appendix, the Secretary, upon such terms as he shall prescribe, may guarantee or make a commitment to guarantee, payment of the principal of and interest on an obligation which aids in financing, including reimbursement of an obligor for expenditures previously made for, construction, reconstruction, or reconditioning of a commercial demonstration ocean thermal energy conversion facility or plantship owned by citizens of the United States. Guarantees or commitments to guarantee under this subsection shall be subject to all the provisos, requirements, regulations, and procedures which apply to guarantees or commitments to guarantee made pursuant to section 1274(a)(1) (FOOTNOTE 1) of this Appendix, except that - (FOOTNOTE 1) See References in Text note below. (1) no guarantees or commitments to guarantee may be made by the Secretary under this subsection before October 1, 1981; (2) the provisions of subsection (d) of section 1274 (FOOTNOTE 1) of this Appendix shall apply to guarantees or commitments to guarantee for that portion of a commercial demonstration ocean thermal energy conversion facility or plantship not to be supported with appropriated Federal funds; (3) guarantees or commitments to guarantee made pursuant to this section may be in an aggregate principal amount which does not exceed 87 1/2 percent of the actual cost or depreciated actual cost of the commercial demonstration ocean thermal energy conversion facility or plantship: Provided, That, if the commercial demonstration ocean thermal energy conversion facility or plantship is supported with appropriated Federal funds, such guarantees or commitments to guarantee may not exceed 87 1/2 percent of the aggregate principal amount of that portion of the actual cost or depreciated actual cost for which the obligor has an obligation to secure financing in accordance with the terms of the agreement between the obligor and the Department of Energy or other Federal agency; and (4) the provisions of this section may be used to guarantee obligations for a total of not more than 5 separate commercial demonstration ocean thermal energy conversion facilities and plantships or a demonstrated 400 megawatt capacity, whichever comes first. (b) Certification of reasonableness of risk A guarantee or commitment to guarantee shall not be made under this section unless the Secretary of Energy, in consultation with the Secretary, certifies to the Secretary that, for the ocean thermal energy conversion facility or plantship for which the guarantee or commitment to guarantee is sought, there is sufficient guarantee of performance and payment to lower the risk to the Federal Government to a level which is reasonable. The Secretary of Energy must base his considerations on the following: (1) the successful demonstration of the technology to be used in such facility at a scale sufficient to establish the likelihood of technical and economic viability in the proposed market; and (2) the need of the United States to develop new and renewable sources of energy and the benefits to be realized from the construction and successful operation of such facility or plantship. (c) OTEC Demonstration Fund A special subaccount in the Federal Ship Financing Fund, to be known as the OTEC Demonstration Fund, shall be established on October 1, 1981. The OTEC Demonstration Fund shall be used for obligation guarantees authorized under this section which do not qualify under other sections of this subchapter. Except as specified otherwise in this section, the operation of the OTEC Demonstration Fund shall be identical with that of the parent Federal Ship Financing Fund: except that, notwithstanding the provisions of section 1274(g) (FOOTNOTE 1) of this Appendix, (1) all moneys received by the Secretary pursuant to sections 1271 through 1276 and 1279 (FOOTNOTE 1) of this Appendix with respect to guarantees or commitments to guarantee made pursuant to this section shall be deposited only in the OTEC Demonstration Fund, and (2) whenever there shall be outstanding any notes or other obligations issued by the Secretary pursuant to section 1275(d) of this Appendix with respect to the OTEC Demonstration Fund, all moneys received by the Secretary pursuant to sections 1271 through 1276 and 1279 (FOOTNOTE 1) of this Appendix with respect to ocean thermal energy conversional facilities or plantships shall be deposited in the OTEC Demonstration Fund. Assets in the OTEC Demonstration Fund may at any time be transferred to the parent fund whenever and to the extent that the balance thereof exceeds the total guarantees or commitments to guarantee made pursuant to this section then outstanding, plus any notes or other obligations issued by the Secretary pursuant to section 1275(d) of this Appendix with respect to the OTEC Demonstration Fund. The Federal Ship Financing Fund shall not be liable for any guarantees or commitments to guarantee issued pursuant to this section. The aggregate unpaid principal amount of the obligations guaranteed with the backing of the OTEC Demonstration Fund and outstanding at any one time shall not exceed $1,650,000,000. (d) Notes and obligations The provisions of section 1275(d) of this Appendix shall apply specifically to the OTEC Demonstration Fund as well as to the Fund: Provided, however, That any notes or obligations issued by the Secretary pursuant to section 1275(d) of this Appendix with respect to the OTEC Demonstration Fund shall be payable solely from proceeds realized by the OTEC Demonstration Fund. (e) Taxability of interest The interest on any obligation guaranteed under this section shall be included in gross income for purposes of chapter 1 of the Internal Revenue Code of 1986 (26 U.S.C. 1 et seq.). -SOURCE- (June 29, 1936, ch. 858, Sec. 1110, as added Aug. 3, 1980, Pub. L. 96-320, title II, Sec. 203(a), 94 Stat. 992, and amended Aug. 6, 1981, Pub. L. 97-31, Sec. 12(136), 95 Stat. 166; Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1606(f), 95 Stat. 752; Oct. 22, 1986, Pub. L. 99-514, Sec. 2, 100 Stat. 2095.) -REFTEXT- REFERENCES IN TEXT References in subsecs. (a) to (c) to section 1274 of this Appendix, were in the original references to section 1104 of this title, meaning section 1104 of title XI of the Merchant Marine Act, 1936, act June 29, 1936, ch. 858. Section 1104 of that Act was renumbered as section 1104A of that Act by Pub. L. 101-380, title IV, Sec. 4115(f)(1), Aug. 18, 1990, 104 Stat. 521. Sections 1276 and 1279 of this Appendix, referred to in subsec. (c), were repealed by Pub. L. 101-225, title III, Sec. 307(7), Dec. 12, 1989, 103 Stat. 1925. -MISC2- AMENDMENTS 1986 - Subsec. (e). Pub. L. 99-514 substituted 'Internal Revenue Code of 1986' for 'Internal Revenue Code of 1954'. 1981 - Subsecs. (a), (b). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' wherever appearing. Subsec. (c). Pub. L. 97-35 substituted '$1,650,000,000' for '$2,000,000,000'. Pub. L. 97-31 struck out 'of Commerce' after 'Secretary' wherever appearing. Subsec. (d). Pub. L. 97-31 struck out 'of Commerce' after 'Secretary'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1273 of this Appendix. ------DocID 53952 Document 853 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1280 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XI -HEAD- Sec. 1280. Advances to fund -STATUTE- The Secretary is authorized to advance to the Federal Ship Financing Fund from the 'Vessel operations revolving fund' (46 U.S.C. 1241a), (FOOTNOTE 1) such amounts as may be required for the payment, pursuant to section 1275 of this Appendix, of unpaid principal amounts of defaulted mortgages and loans and of unpaid interest thereon: Provided, That such advances shall be repaid to the 'Vessel operations revolving fund' as soon as practicable consistent with the status of the Federal Ship Financing Fund: Provided further, That the total advances outstanding at any one time shall not exceed $10,000,000. (FOOTNOTE 1) Now 46 App. U.S.C. 1241a. -SOURCE- (Pub. L. 85-469, title I, Sec. 101, June 25, 1958, 72 Stat. 231; Pub. L. 92-507, Sec. 2, Oct. 19, 1972, 86 Stat. 910; Pub. L. 97-31, Sec. 12(137), Aug. 6, 1981, 95 Stat. 166.) -COD- CODIFICATION 'Federal Ship Financing Fund' substituted for 'Federal Ship Mortgage Insurance Fund' to conform to change of name in the amendment of section 1272 of this Appendix by Pub. L. 92-507, Sec. 2, Oct. 19, 1972, 86 Stat. 910. Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 struck out 'of Commerce' after 'Secretary'. ------DocID 53953 Document 854 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER XII -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- SUBCHAPTER XII - WAR RISK INSURANCE ------DocID 53954 Document 855 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1281 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1281. Definitions -STATUTE- As used in this subchapter - (a) The term 'American vessels' includes any vessel registered, enrolled, or licensed under the laws of the United States and any undocumented vessel owned or chartered by or made available to the United States or any department or agency thereof and any tug or barge or other watercraft (documented or undocumented) owned by a citizen of the United States used in essential water transportation or in the fishing trade or industry, except watercraft used exclusively in or for sport fishing. (b) The term 'transportation in the water-borne commerce of the United States' includes the operation of vessels in the fishing trade or industry, except watercraft used exclusively in or for sport fishing. (c) The term 'war risks' includes to such extent as the Secretary may determine all or any part of those losses which are excluded from marine insurance coverage under a 'free of capture and seizure' clause, or analogous clauses. (d) The term 'citizen of the United States' includes corporations, partnerships, and associations existing, authorized, or organized under the laws of the United States or any State, district, Territory, or possession thereof. (e) The term 'Secretary' shall mean the Secretary of Transportation. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1201, as added Sept. 7, 1950, ch. 906, 64 Stat. 773; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(138), 95 Stat. 166.) -MISC1- AMENDMENTS 1981 - Subsec. (e). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. ------DocID 53955 Document 856 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1282 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1282. Authority to provide insurance; consideration of risk -STATUTE- (a) Authorization, approval, and consultation; criteria The Secretary, with the approval of the President, and after such consultation with interested agencies of the Government as the President may require, may provide insurance and reinsurance against loss or damage by war risks in the manner and to the extent provided in this subchapter, whenever it appears to the Secretary that such insurance adequate for the needs of the water-borne commerce of the United States cannot be obtained on reasonable terms and conditions from companies authorized to do an insurance business in a State of the United States. (b) Consideration of risk Any insurance or reinsurance issued under any of the provisions of this subchapter shall be based, insofar as practicable, upon consideration of the risk involved. (c) Condition of availability in time of war or national emergency Insurance and reinsurance for vessels may be provided by the Secretary under this subchapter only on the condition that such vessels be available for the United States in time of war or national emergency. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1202, as added Sept. 7, 1950, ch. 906, 64 Stat. 773, and amended Oct. 13, 1989, Pub. L. 101-115, Sec. 7(a), 103 Stat. 694.) -MISC1- AMENDMENTS 1989 - Subsec. (c). Pub. L. 101-115 added subsec. (c). -EXEC- PROVISION OF MARINE WAR RISK INSURANCE COVERAGE Memorandum of the President of the United States, Aug. 29, 1990, 55 F.R. 36257, provided: Memorandum for the Secretary of State and the Secretary of Transportation By virtue of the authority vested in me by the Constitution and laws of the United States, including 3 U.S.C. 301 and section 1202 of the Merchant Marine Act, 1936, as amended (Act), 46 U.S.C. App. 1282, I hereby: approve the provision by the Secretary of Transportation of insurance or reinsurance of vessels (including cargoes and crew) entering the Middle East region against loss or damage by war risks in the manner and to the extent provided in Title XII of the Act, 46 U.S.C. App. 1281, et seq., for purposes of responding to the current crisis in the Middle East, whenever, after consultation with the Department of State, it appears to the Secretary of Transportation that such insurance adequate for the needs of the waterborne commerce of the United States cannot be obtained on reasonable terms and conditions from companies authorized to do an insurance business in a State of the United States. This approval is effective for sixty days. I hereby delegate to the Secretary of Transportation, in consultation with the Secretary of State and the Director of Office of Management and Budget, the authority vested in me by section 1202 of the Act, to approve the provision of insurance or reinsurance for these purposes after the expiration of the sixty days. The Secretary of Transportation is directed to bring this approval to the immediate attention of all operators and to arrange for its publication in the Federal Register. George Bush. -CROSS- CROSS REFERENCES Expiration of authority to provide insurance, see section 1294 of this Appendix. Insurance of interests of United States, see sections 869 and 1202 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1283 of this Appendix. ------DocID 53956 Document 857 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1283 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1283. Persons, property, and interests insurable -STATUTE- The Secretary may provide the insurance and reinsurance authorized by section 1282 of this Appendix with respect to the following persons, property, or interest: (a) American vessels, including vessels under construction, foreign-flag vessels owned by citizens of the United States or engaged in transportation in the water-borne commerce of the United States or in such other transportation by water or such other services as may be deemed by the Secretary to be in the interest of the national defense or the national economy of the United States, when so engaged. In determining whether to grant such insurance or reinsurance to foreign-flag vessels, the Secretary shall further consider the characteristics, the employment, and the general management of the vessel by the owner or charterer. American- and foreign-flag vessels so insured or reinsured shall be subject to such vessel location reporting requirements as the Secretary may establish by regulation. (b) Cargoes shipped or to be shipped on any such vessels, including shipments by express or registered mail; cargoes owned by citizens or residents of the United States, its Territories or possessions; cargoes imported to, or exported from, the United States, its Territories or possessions, and cargoes sold or purchased by citizens or residents of the United States, its Territories or possessions, under contracts of sale or purchase by the terms of which the risk of loss by war risks or the obligation to provide insurance against such risks is assumed by or falls upon a citizen or resident of the United States, its Territories or possessions; cargoes shipped between ports in the United States, or between ports in the United States and its Territories and possessions, or between ports in such Territories or possessions. For the purposes of this subchapter, the term 'cargo' shall include loaded or empty containers located aboard such vessels. (c) The disbursements, including advances to masters and general average disbursements, and freight and passage moneys of such vessels. (d) The personal effects of the masters, officers, and crews of such vessels, and of other persons transported on such vessels. (e) Masters, officers, members of the crews of such vessels and other persons employed or transported thereon against loss of life, injury, detention by an enemy of the United States following capture. (f) Statutory or contractual obligations or other liabilities of such vessels or of the owner or charterer of such vessels of the nature customarily covered by insurance. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1203, as added Sept. 7, 1950, ch. 906, 64 Stat. 773, and amended Oct. 17, 1976, Pub. L. 94-523, Sec. 1-3, 90 Stat. 2474.) -MISC1- AMENDMENTS 1976 - Subsec. (a). Pub. L. 94-523, Sec. 1, prescribed criteria to be considered in granting insurance or reinsurance to foreign-flag vessels and made insured or reinsured vessels subject to vessel location reporting requirements established by regulation. Subsec. (b). Pub. L. 94-523, Sec. 2, defined term 'cargo' to include loaded or empty containers located aboard the vessels. Subsec. (f). Pub. L. 94-523, Sec. 3, substituted 'Statutory or' for 'Statutory on'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1284 of this Appendix. ------DocID 53957 Document 858 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1284 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1284. Risks other than war risks -STATUTE- Whenever the Secretary shall insure any risk included under subsections (d), (e), or (f) of section 1283 of this Appendix, insofar as it concerns liabilities relating to the masters, officers, and crews of such vessels or to other persons transported thereon, the insurance on such risks may include risks other than war risks to the extent that the Secretary determines to be necessary or advisable. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1204, as added Sept. 7, 1950, ch. 906, 64 Stat. 774.) ------DocID 53958 Document 859 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1285 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1285. Insurance of property of Government departments and agencies -STATUTE- (a) Any department or agency of the United States may, with the approval of the President, procure from the Secretary any of the insurance as provided for in this subchapter, except as provided in sections 721 and 722 of title 40. (b) The Secretary is authorized with such approval to provide such insurance at the request of the Secretary of Defense, and such other agencies as the President may prescribe, without premium in consideration of the agreement of the Secretary of Defense or such agency to indemnify the Secretary against all losses covered by such insurance, and the Secretary of Defense and such other agencies are authorized to execute such indemnity agreement with the Secretary. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1205, as added Sept. 7, 1950, ch. 906, 64 Stat. 774.) ------DocID 53959 Document 860 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1286 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1286. Liability insurance for persons performing services or providing facilities for vessels -STATUTE- The Secretary is authorized to provide insurance for any person who performs services or provides facilities for or with respect to any American- or foreign-flag vessel, public or private, against legal liabilities that may be incurred by such person in connection with the performance of such services or the providing of such facilities. Such insurance shall not be issued against liability to employees in respect of employers' liability or workmen's compensation. No such insurance shall be provided unless, in the opinion of the Secretary, such insurance is required in the prosecution of the war effort or in connection with national defense and cannot be obtained at reasonable rates or upon reasonable conditions from approved companies authorized to do insurance business in any State of the United States. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1206, as added Sept. 7, 1950, ch. 906, 64 Stat. 774, and amended Aug. 3, 1956, ch. 929, Sec. 5, 70 Stat. 986.) -MISC1- AMENDMENTS 1956 - Act Aug. 3, 1956, struck out 'during any time the United States is at war or during any period of emergency declared to exist by the President of the United States' after 'authorized' in first sentence. ------DocID 53960 Document 861 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1287 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1287. Reinsurance; rates; allowances to insurance carriers -STATUTE- (a) To the extent that he is authorized by this subchapter to provide marine, war risk, and liability insurance, the Secretary may reinsure, in whole or in part, any company authorized to do an insurance business in any State of the United States. The Secretary may reinsure with, or cede or retrocede to, any such company any insurance or reinsurance provided by the Secretary in accordance with the provisions of this subchapter. (b) Reinsurance shall not be provided by the Secretary at rates less than nor obtained by the Secretary at rates more than the rates established by the Secretary on the same or similar risks or the rates charged by the insurance carrier for the insurance so reinsured whichever is most advantageous to the Secretary, except that the Secretary may make to the insurance carrier such allowances for expenses on account of the cost of services rendered or facilities furnished as he deems reasonably to accord with good business practice, but such allowance to the carrier shall not provide for any payment by the carrier on account of solicitation for or stimulation of insurance business. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1207, as added Sept. 7, 1950, ch. 906, 64 Stat. 775.) ------DocID 53961 Document 862 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1288 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1288. Insurance fund; investments; appropriations -STATUTE- (a) The Secretary shall create an insurance fund in the Treasury to enable him to carry out the provisions of this subchapter. Moneys appropriated by Congress to carry out the provisions of this subchapter and all moneys received from premiums, salvage, or other recoveries and all receipts in connection with this subchapter shall be deposited in the Treasury to the credit of such fund. Payments of return premiums, losses, settlements, judgments, and all liabilities incurred by the United States under this subchapter shall be made from such fund through the Fiscal Service, Treasury Department. Upon the request of the Secretary of Transportation, the Secretary of the Treasury may invest or reinvest all or any part of the fund in securities of the United States or in securities guaranteed as to principal and interest by the United States. The interest and benefits accruing from such securities shall be deposited to the credit of the fund. (b) Such sums as shall be necessary to carry out the provisions of this subchapter are authorized to be appropriated to such fund. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1208, as added Sept. 7, 1950, ch. 906, 64 Stat. 775, and amended Oct. 3, 1962, Pub. L. 87-743, 76 Stat. 740; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(139), 95 Stat. 166.) -MISC1- AMENDMENTS 1981 - Subsec. (a). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. 1962 - Subsec. (a). Pub. L. 87-743 authorized the investment or reinvestment of all or part of the fund in securities of the United States or in securities guaranteed as to principal and interest by the United States, and required the interest and benefits accruing from such securities to be deposited to the credit of the fund. -TRANS- TRANSFER OF FUNCTIONS 'Fiscal Service' substituted for 'Division of Disbursement' in subsec. (a) on authority of section 1(a)(1) of 1940 Reorg. Plan No. III, eff. June 30, 1940, 5 F.R. 2107, 54 Stat. 1231, set out in the Appendix to Title 5, Government Organization and Employees, which consolidated such division into Fiscal Service of Department of the Treasury. See section 306 of Title 31, Money and Finance. ------DocID 53962 Document 863 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1288a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1288a. Transfer of funds from Vessel Operations Revolving Fund -STATUTE- For the war-risk insurance revolving fund, authorized by this subchapter, the Secretary of Transportation is authorized to transfer to said fund, at such times as it may become necessary in order to place into effect the insurance coverage authorized by this subchapter, and in such amounts as he may determine, not to exceed a total of $10,000,000 from the 'Vessel Operations Revolving Fund'. -SOURCE- (Nov. 1, 1951, ch. 664, ch. VI, Sec. 601, 65 Stat. 746; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(140), 95 Stat. 166.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. -MISC3- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. ------DocID 53963 Document 864 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1289 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1289. Administrative provisions -STATUTE- (a) Issuance of policies, rules, and regulations; settlement of claims; valuation; rejection and review of valuation (1) The Secretary, in the administration of this subchapter, may issue such policies, rules, and regulations as he deems proper and may adjust and pay losses, compromise and settle claims, whether in favor of or against the United States and pay the amount of any judgment rendered against the United States in any suit, or the amount of any settlement agreed upon, in respect of any claim under insurance authorized by this subchapter. (2) In respect of hull insurance, the valuation in the policy for actual or constructive total loss of the vessel insured shall be a stated valuation (exclusive of National Defense features paid for by the Government) determined by the Secretary which shall not exceed the amount that would be payable if the vessel had been requisitioned for title under section 1242(a) of this Appendix at the time of the attachment of the insurance under said policy: Provided, That the insured shall have the right within sixty days after the attachment of the insurance under said policy, or within sixty days after determination of such valuation by the Secretary, whichever is later, to reject such valuation, and shall pay, at the rate provided for in said policy, premiums upon such asserted valuation as the insured shall specify at the time of rejection, but such asserted valuation shall not operate to the prejudice of the Government in any subsequent action on the policy. In the event of the actual or constructive total loss of the vessel, if the insured has not rejected such valuation the amount of any claim therefor which is adjusted, compromised, settled, adjudged, or paid shall not exceed such stated amount, but if the insured has so rejected such valuation, the insured shall be paid as a tentative advance only, 75 per centum of such valuation so determined by the Secretary and shall be entitled to sue the United States in a court having jurisdiction of such claims to recover such valuation as would be equal to the just compensation which such court determines would have been payable if the vessel had been requisitioned for title under section 1242(a) of this Appendix at the time of the attachment of the insurance under said policy: Provided, That in the event of an election by the insured to reject the stated valuation fixed by the Secretary and to sue in the courts, the amount of the judgment will be payable without regard to the limitations contained in section 1242-1 (FOOTNOTE 1) of this Appendix, although the excess of any amounts advanced on account of just compensation over the amount of the court judgment will be required to be refunded. In the event of such court determination, premiums under the policy shall be adjusted on the basis of the valuation as finally determined and of the rate provided for in said policy. (FOOTNOTE 1) See References in Text note below. (b) Forms and policies; rates; fees The Secretary may prescribe and change forms and policies, and fix, adjust, and change the amounts insured and rates of premium provided for in this subchapter. The Secretary may charge and collect an annual fee in an amount calculated to cover the expenses of processing applications for insurance, the employment of underwriting agents, and the appointment of experts. (c) Commercial practice controlling; limitation on fees The Secretary, in administering this subchapter, may exercise his powers, perform his duties and functions, and make his expenditures, in accordance with commercial practice in the marine insurance business. Except as authorized in subsection (d) of this section, no insurance broker or other person acting in a similar intermediary capacity shall be paid any fee or other consideration by the Secretary by virtue of his participation in arranging any insurance wherein the Secretary directly insures any of the risk thereof. (d) Underwriting agents The Secretary may, and whenever he finds it practical to do so shall, employ domestic companies or groups of domestic companies authorized to do a marine insurance business in any State of the United States, to act as his underwriting agent. The Secretary may allow such companies or groups of companies fair and reasonable compensation for servicing insurance written by such companies or groups of companies as underwriting agent for the Secretary. The services of such underwriting agents may be utilized in the adjustment of claims under insurance provided by this subchapter, but no claim shall be paid unless and until it has been approved by the Secretary. Such compensation may include an allowance for expenses reasonably incurred by such agent, but such allowance shall not include any payment by such agent on account of solicitation for or stimulation of insurance business. (e) Employment of marine insurance experts The Secretary without regard to the laws, rules, or regulations relating to the employment of employees of the United States may appoint and prescribe the duties of such number of experts in marine insurance as he deems necessary under this subchapter. (f) Utilization of services of other Government agencies The Secretary with the consent of any executive department, independent establishment, or other agency of the Government, including any field service thereof, may avail himself of the use of information, services, facilities, officers, and employees thereof in carrying out the provisions of this subchapter. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1209, as added Sept. 7, 1950, ch. 906, 64 Stat. 775, and amended Aug. 3, 1956, ch. 929, Sec. 1, 70 Stat. 984; Aug. 22, 1964, Pub. L. 88-478, Sec. 1, 78 Stat. 587; Oct. 17, 1976, Pub. L. 94-523, Sec. 4, 90 Stat. 2474.) -REFTEXT- REFERENCES IN TEXT Section 1242-1 of this Appendix, referred to in subsec. (a)(2), was in the original 'the twelfth paragraph under the heading Maritime Activities in title I of the Department of Commerce and Related Agencies Appropriation Act, 1956, in the tenth paragraph under the heading Maritime Activities in title III of the Department of State, Justice, and Commerce, and the United States Information Agency Appropriation Act, 1955, in the eleventh paragraph under the heading 'Maritime Activities' in title III of the Department of Justice, State, and Commerce Appropriation Act, 1954, the tenth paragraph under the heading 'Operating Differential Subsidies' in title II of the Independent Offices Appropriation Act, 1953, the corresponding paragraphs of the Independent Offices Appropriation Act, 1952, and the Third Supplemental Appropriation Act, 1951'. Section 1242-1 was not repeated in appropriation acts subsequent to Pub. L. 85-469 and was omitted from the Code. -MISC2- AMENDMENTS 1976 - Subsec. (b). Pub. L. 94-523 authorized imposition and collection of an annual fee to cover expenses of processing applications for insurance, employment of underwriting agents, and appointment of experts. 1964 - Subsec. (a)(2). Pub. L. 88-478 struck out provisions which required for purposes of hull insurance, in the case of a construction-subsidized vessel, that the valuation determined for actual or constructive loss for the period of insurance prior to requisition for title or use, be reduced by such proportion as the amount of construction subsidy paid with respect to the vessel bears to the entire construction cost and capital improvements thereof (excluding the cost of national defense features), and for the period of insurance after requisition for use limited the valuation to the amount which would be payable under section 1212 of this Appendix. 1956 - Subsec. (a). Act Aug. 3, 1956, struck out provisions limiting settlement of claims of vessels insured under this subchapter to vessel's fair and reasonable value, designating the remaining provisions, as so amended, as par. (1), and added par. (2). EFFECTIVE DATE OF 1964 AMENDMENT Section 2 of Pub. L. 88-478 provided that: 'The amendments made by this Act (amending this section) shall be applicable to war risk insurance coverage attaching after the date of enactment (Aug. 22, 1964).' AMENDMENT OF INSURANCE IN FORCE ON AUGUST 3, 1956 Section 4 of act Aug. 3, 1956, provided that: 'All war-risk insurance issued under title XII of the Merchant Marine Act, 1936 (this subchapter), which is in force on the date of the enactment of this Act (Aug. 3, 1956) shall, as of the beginning of such date, be deemed to have been amended to conform to the requirements of section 1209 of the Merchant Marine Act, 1936 (this section), as amended by this Act unless the insured, within ten days after such date, objects to such amendment.' ------DocID 53964 Document 865 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1290 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1290. Seamen's rights unaffected -STATUTE- This subchapter shall not affect rights of seamen under existing law. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1210, as added Sept. 7, 1950, ch. 906, 64 Stat. 776.) ------DocID 53965 Document 866 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1291 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1291. Reports to Congress -STATUTE- The Secretary shall include in his annual report to Congress a detailed statement of all activities and of all expenditures and receipts under this subchapter for the period covered by such report. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1211, as added Sept. 7, 1950, ch. 906, 64 Stat. 776, and amended Nov. 8, 1965, Pub. L. 89-348, Sec. 1(7), 79 Stat. 1310.) -MISC1- AMENDMENTS 1965 - Pub. L. 89-348 repealed provisions which required quarterly reports of contracts entered into, proposed contracts, and general progress with respect to war risk insurance activities under this chapter. ------DocID 53966 Document 867 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1292 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1292. Actions on claims for losses; jurisdiction of courts; limitation of actions -STATUTE- Upon disagreement as to a loss insured under this subchapter, suit may be maintained against the United States in admiralty in the district in which the claimant or his agent resides, and this remedy shall be exclusive of any other action by reason of the same subject matter against any agent or employee of the United States employed or retained under this subchapter. If the claimant has no residence in the United States, suit may be brought in the district court of the District of Columbia or in such other district court in which the Attorney General of the United States agrees to accept service. Such suits shall be heard and determined under the provisions of the Act of March 9, 1920, as amended (known as the Suits in Admiralty Act) (46 App. U.S.C. 741 et seq.). All persons having or claiming or who might have an interest in such insurance, may be made parties either initially or upon the motion of either party. In any case where the Secretary acknowledges the indebtedness of the United States on account of such insurance, and there is a dispute as to the persons entitled to receive payment, the United States may bring an action in the nature of a bill of interpleader against such parties, in the District Court for the District of Columbia, or in the district court of the district in which any such person resides. In such actions any party, if not a resident of or found within the district, may be brought in by order of court served in such reasonable manner as the court directs. If the court is satisfied that persons unknown might assert a claim on account of such insurance, it may direct service upon such persons unknown by publication in the Federal Register. Judgment in any such suit shall discharge the United States from further liability to any parties to such action, and to all persons when service by publication upon persons unknown is directed by the court. The period within which suits may be commenced contained in said Suits in Admiralty Act shall, if claim be filed therefor within such period, be suspended from such time of filing until the claim shall have been administratively denied by the Secretary and for sixty days thereafter: Provided, however, That such claim shall be deemed to have been administratively denied if not acted upon within six months after the time of filing, unless the Secretary for good cause shown shall have otherwise agreed with the claimant. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1212, as added Sept. 7, 1950, ch. 906, 64 Stat. 776.) -REFTEXT- REFERENCES IN TEXT The Suits in Admiralty Act, referred to in text, is act Mar. 9, 1920, ch. 95, 41 Stat. 525, as amended, which is classified generally to chapter 20 (Sec. 741 et seq.) of this Appendix. For complete classification of this Act to the Code, see Short Title note set out under section 741 of this Appendix and Tables. ------DocID 53967 Document 868 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1293 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1293. Additional insurance with other underwriters -STATUTE- A person having an insurable interest in a vessel may, with the approval of the Secretary, insure with other underwriters in an amount in excess of the amount insured with the Secretary of Transportation, and in that event the Secretary of Transportation shall not be entitled to the benefit of such insurance. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1213, as added Sept. 7, 1950, ch. 906, 64 Stat. 777, and amended Aug. 6, 1981, Pub. L. 97-31, Sec. 12(141), 95 Stat. 166.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce' in two places. ------DocID 53968 Document 869 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1294 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XII -HEAD- Sec. 1294. Expiration of authority to provide insurance -STATUTE- The authority of the Secretary to provide insurance and reinsurance under this subchapter shall expire June 30, 1995. -SOURCE- (June 29, 1936, ch. 858, title XII, Sec. 1214, as added Sept. 7, 1950, ch. 906, 64 Stat. 777, and amended Aug. 3, 1955, ch. 492, 69 Stat. 440; July 31, 1959, Pub. L. 86-120, 73 Stat. 266; July 27, 1965, Pub. L. 89-89, 79 Stat. 264; Oct. 21, 1970, Pub. L. 91-469, Sec. 34, 84 Stat. 1035; Oct. 17, 1976, Pub. L. 94-523, Sec. 5, 90 Stat. 2474; Feb. 25, 1980, Pub. L. 96-195, 94 Stat. 63; July 3, 1985, Pub. L. 99-59, 99 Stat. 110; Oct. 13, 1989, Pub. L. 101-115, Sec. 7(b), 103 Stat. 694.) -MISC1- AMENDMENTS 1989 - Pub. L. 101-115 substituted 'June 30, 1995' for 'June 30, 1990'. 1985 - Pub. L. 99-59 substituted 'June 30, 1990' for 'September 30, 1984'. 1980 - Pub. L. 96-195 substituted 'September 30, 1984' for 'September 30, 1979'. 1976 - Pub. L. 94-523 substituted 'September 30, 1979' for 'September 7, 1975'. 1970 - Pub. L. 91-469 substituted 'September 7, 1975' for 'twenty years from September 7, 1950'. 1965 - Pub. L. 89-89 extended authority of Secretary to provide insurance and reinsurance for an additional five years. 1959 - Pub. L. 86-120 extended authority of Secretary to provide insurance and reinsurance for an additional five years. 1955 - Act Aug. 3, 1955, extended authority of Secretary to provide insurance and reinsurance for an additional five years. ------DocID 53969 Document 870 of 963------ -CITE- 46 USC APPENDIX - SHIPPING SUBCHAPTER XIII -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- SUBCHAPTER XIII - MARITIME EDUCATION AND TRAINING -SECREF- SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in section 1119 of this Appendix. ------DocID 53970 Document 871 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295. Congressional declaration of policy -STATUTE- It is the policy of the United States that merchant marine vessels of the United States should be operated by highly trained and efficient citizens of the United States and that the United States Navy and the merchant marine of the United States should work closely together to promote the maximum integration of thd total seapower forces of the United States. In furtherance of this policy - (1) the Secretary of Transportation is authorized to take the steps necessary to provide for the education and training of citizens of the United States who are capable of providing for the safe and efficient operation of the merchant marine of the United States at all times and as a naval and military auxiliary in time of war or national emergency; and (2) the Secretary of Navy, in cooperation with the Maritime Administrator and the head of each State maritime academy, shall assure that the training of future merchant marine officers at the United States Merchant Marine Academy and at the State maritime academies includes programs for naval science training in the operation of merchant marine vessels as a naval and military auxiliary and that naval officer training programs for the training of future officers, insofar as possible, be maintained at designated maritime academies consistent with United States Navy standards and needs. -SOURCE- (June 29, 1936, ch. 858, Sec. 1301, as added Oct. 15, 1980, Pub. L. 96-453, Sec. 2, 94 Stat. 1997, and amended Aug. 6, 1981, Pub. L. 97-31, Sec. 12(142), 95 Stat. 166.) -MISC1- AMENDMENTS 1981 - Par. (1). Pub. L. 97-31, Sec. 12(142)(A), substituted 'Secretary of Transportation' for 'Secretary of Commerce'. Par. (2). Pub. L. 97-31, Sec. 12(142)(B), substituted 'Maritime Administrator' for 'Assistant Secretary of Commerce for Maritime Affairs'. EFFECTIVE DATE Section 4 of Pub. L. 96-453 provided that: 'This Act (enacting this subchapter, amending sections 1119 and 1244 of this Appendix, and repealing sections 1126, 1126a-1 to 1126d, 1331 to 1334, and 1381 to 1388 of former Title 46, Shipping) shall take effect on October 1, 1981.' SHORT TITLE Section 1 of Pub. L. 96-453 provided that: 'This Act (enacting this subchapter, amending sections 1119 and 1244 of this Appendix, and repealing sections 1126, 1126a-1 to 1126d, 1331 to 1334, and 1381 to 1388 of former Title 46, Shipping) may be cited as the 'Maritime Education and Training Act of 1980'.' MARITIME POLLUTION PREVENTION TRAINING PROGRAM STUDY Pub. L. 101-380, title IV, Sec. 4117, Aug. 18, 1990, 104 Stat. 523, provided that: 'The Secretary shall conduct a study to determine the feasibility of a Maritime Oil Pollution Prevention Training program to be carried out in cooperation with approved maritime training institutions. The study shall assess the costs and benefits of transferring suitable vessels to selected maritime training institutions, equipping the vessels for oil spill response, and training students in oil pollution response skills. The study shall be completed and transmitted to the Congress no later than one year after the date of the enactment of this Act (Aug. 18, 1990).' ------DocID 53971 Document 872 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295a -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295a. Definitions -STATUTE- For purposes of this subchapter - (1) the term 'Secretary' means the Secretary of Transportation; (2) the term 'Academy' means the United States Merchant Marine Academy located at Kings Point, New York which is maintained under section 1295b of this Appendix; (3) the term 'State maritime academy' means any maritime academy or college which is assisted under section 1295c of this Appendix and which is sponsored by any State or territory of the United States or, in the case of a regional maritime academy or college, sponsored by any group of States or territories of the United States, or both; and (4) the term 'merchant marine officer' means any person who holds a license issued by the United States Coast Guard which authorizes service - (A) as a master, mate, or pilot on board any vessel of 1,000 gross tons or more which is documented under the laws of the United States and which operates on the oceans or on the Great Lakes; or (B) as an engineer officer on board any vessel propelled by machinery of 4,000 horsepower or more which is documented under the laws of the United States. -SOURCE- (June 29, 1936, ch. 858, Sec. 1302, as added Oct. 15, 1980, Pub. L. 96-453, Sec. 2, 94 Stat. 1997, and amended Aug. 6, 1981, Pub. L. 97-31, Sec. 12(143), 95 Stat. 166.) -MISC1- AMENDMENTS 1981 - Par. (1). Pub. L. 97-31 substituted 'Secretary of Transportation' for 'Secretary of Commerce'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 46 section 3306. ------DocID 53972 Document 873 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295b -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295b. Maintenance of Academy -STATUTE- (a) Duty of Secretary The Secretary shall maintain the Academy for providing instruction to individuals to prepare them for service in the merchant marine of the United States. (b) Nomination and appointment of cadets; designation and licensing of individuals from Trust Territory of Pacific Islands, Western Hemisphere nations and nations other than United States (1) Each Senator and Member of the House of Representatives, the Panama Canal Commission, the Governor of the Northern Mariana Islands, and the Delegate from American Samoa may nominate for appointment as a cadet at the Academy any individual who is - (A) a citizen of the United States or a national of the United States; and (B) a resident of the State represented by such Senator if the individual is nominated by a Senator, a resident of the State in which the congressional district represented by such Member of the House of Representatives is located if the individual is nominated by a Member of the House of Representatives (or a resident of Guam, the Virgin Islands, the District of Columbia, the Commonwealth of Puerto Rico, or American Samoa if the individual is nominated by a Member of the House of Representatives representing such area), a resident of the area or installation described in paragraph (3)(A)(ii), or a son or daughter of the personnel described in such paragraph, if the individual is nominated by the Panama Canal Commission, or a resident of the Northern Mariana Islands if the individual is nominated by the Governor of the Northern Mariana Islands. (2)(A) The Secretary shall establish minimum requirements for the individuals nominated pursuant to paragraph (1) and shall establish a system of competition for the selection of individuals qualified for appointment as cadets at the Academy. (B) Such system of competition shall determine the relative merit of appointing each such individual to the Academy through the use of competitive examinations, an assessment of the academic background of the individual, and such other factors as are considered effective indicators of motivation and the probability of successful completion of training at the Academy. (3)(A) Qualified individuals nominated pursuant to paragraph (1) shall be selected each year for appointment as cadets at the Academy to fill positions allocated as follows: (i) Positions shall be allocated each year for individuals who are residents of each State and are nominated by the Members of the Congress from such State in proportion to the representation in Congress from that State. (ii) Two positions shall be allocated each year for individuals nominated by the Panama Canal Commission who are sons or daughters of residents of any area or installation located in the Republic of Panama which is made available to the United States pursuant to the Panama Canal Treaty of 1977, the agreements relating to and implementing that Treaty, signed September 7, 1977, and the Agreement Between the United States of America and the Republic of Panama Concerning Air Traffic Control and Related Services, concluded January 8, 1979, and sons or daughters of personnel of the United States Government and the Panama Canal Commission residing in the Republic of Panama, nominated by the Panama Canal Commission. (iii) One position shall be allocated each year for an individual who is a resident of Guam and is nominated by the Delegate to the House of Representatives from Guam. (iv) One position shall be allocated each year for an individual who is a resident of the Virgin Islands and is nominated by the Delegate to the House of Representatives from the Virgin Islands. (v) One position shall be allocated each year for an individual who is a resident of the Northern Mariana Islands and is nominated by the Governor of the Northern Mariana Islands. (vi) One position shall be allocated each year for an individual who is a resident of American Samoa and is nominated by the Delegate to the House of Representatives from American Samoa. (vii) Four positions shall be allocated each year for individuals who are residents of the District of Columbia and are nominated by the Delegate to the House of Representatives from the District of Columbia. (viii) One position shall be allocated each year for an individual who is a resident of the Commonwealth of Puerto Rico and is nominated by the Resident Commissioner to the United States from Puerto Rico. (B) The Secretary shall make appointments of qualified individuals to fill the positions allocated pursuant to subparagraph (A) (from among the individuals nominated pursuant to paragraph (1)) in the order of merit determined pursuant to paragraph (2)(B) among residents of each State, Guam, the Virgin Islands, the Northern Mariana Islands, American Samoa, the District of Columbia, and the Commonwealth of Puerto Rico and among individuals nominated by the Panama Canal Commission. (C) If positions are not filled after the appointments are made pursuant to subparagraph (B), the Secretary shall make appointments of qualified individuals to fill such positions from among all individuals nominated pursuant to paragraph (1) in the order of merit determined pursuant to paragraph (2)(B) among all such individuals. (D) In addition, the Secretary may each year appoint without competition as cadets at the Academy not more than 40 qualified individuals possessing qualities deemed to be of special value to the Academy. In making such appointments the Secretary shall attempt to achieve a national demographic balance at the Academy. (E) No preference shall be granted in selecting individuals for appointment as cadets at the Academy because one or more members of the immediate family of any such individual are alumni of the Academy. (F) Any citizen of the United States selected for appointment pursuant to this paragraph must agree to apply for midshipman status in the United States Naval Reserve (including the Merchant Marine Reserve, United States Naval Reserve) before being appointed as a cadet at the Academy. (G) For purposes of this paragraph, the term 'State' means the several States. (4)(A) In addition to paragraph (3), the Secretary may permit, upon designation by the Secretary of the Interior, individuals from the Trust Territory of the Pacific Islands to receive instruction at the Academy. (B) Not more than 4 individuals may receive instruction under this paragraph at any one time. (C) Any individual receiving instruction under the authority of this paragraph shall receive the same allowances and shall be subject to the same rules and regulations governing admission, attendance, discipline, resignation, discharge, dismissal, and graduation as cadets at the Academy appointed from the United States, subject to such exceptions as shall be jointly agreed upon by the Secretary and the Secretary of the Interior. (5)(A) In addition to paragraphs (3) and (4), the President may designate individuals from nations located in the Western Hemisphere other than the United States to receive instruction at the Academy. (B) Not more than 12 individuals may receive instruction under this paragraph at any one time, and not more than 2 individuals receiving instruction under this paragraph at any one time may be from the same nation. (C) Any individual receiving instruction under this subparagraph is entitled to the same allowances and shall be subject to the same rules and regulations governing admission, attendance, discipline, resignation, discharge, dismissal, and graduation as cadets at the Academy appointed from the United States. (6)(A) In addition to paragraphs (3), (4), and (5), the Secretary may permit, upon approval of the Secretary of State, individuals from nations other than the United States to receive instruction at the Academy. (B) Not more than 30 individuals may receive instruction under this paragraph at any one time. (C) The Secretary shall insure that each nation from which an individual comes to receive instruction under this paragraph shall reimburse the Secretary for the cost of such instructions (including the same allowances as received by cadets at the Academy appointed from the United States), as determined by the Secretary. (D) Any individual receiving instruction at the Academy under this paragraph shall be subject to the same rules and regulations governing admission, attendance, discipline, resignation, discharge, dismissal, and graduation as cadets at the Academy appointed from the United States. (7)(A) The Secretary may permit, upon approval of the Secretary of State, additional individuals from the Republic of Panama to receive instruction at the Academy, in addition to those individuals appointed under paragraphs (3), (4), (5), and (6) of this subsection. (B) The Secretary shall be reimbursed for the cost of that instruction (including the same allowances as received by cadets at the Academy appointed from the United States) as determined by the Secretary. (C) An individual receiving instructions at the Academy under this paragraph shall be subject to the same rules and regulations governing admission, attendance, discipline, resignation, discharge, dismissal, and graduation as cadets at the Academy appointed from the United States. (8) An individual appointed as a cadet under paragraph (3), or receiving instruction under paragraph (4), (5), (6), or (7) of this subsection is not entitled to hold a license authorizing service on a merchant marine vessel of the United States solely by reason of graduation from the Academy. (c) Appointment of cadet as midshipman in United States Naval Reserve Any citizen of the United States who is appointed as a cadet at the Academy may be appointed by the Secretary of the Navy as a midshipman in the United States Naval Reserve (including the Merchant Marine Reserve, United States Naval Reserve). (d) Uniforms, textbooks, and transportation allowances The Secretary shall provide to any cadet at the Academy all required uniforms and textbooks and allowances for transportation (including reimbursement of traveling expenses) while traveling under orders as a cadet of the Academy. (e) Commitment agreements (1) Each individual appointed as a cadet at the Academy after the date occurring 6 months after October 1, 1981, who is a citizen of the United States, shall as a condition of appointment to the Academy sign an agreement committing such individual - (A) to complete the course of instruction at the Academy, unless the individual is separated by the Academy; (B) to fulfill the requirements for a license as an officer in the merchant marine of the United States on or before the date of graduation from the Academy of such individual; (C) to maintain a license as an officer in the merchant marine of the United States for at least 6 years following the date of graduation from the Academy of such individual; (D) to apply for an appointment as, to accept if tendered an appointment as, and to serve as a commissioned officer in the United States Naval Reserve (including the Merchant Marine Reserve, United States Naval Reserve), the United States Coast Guard Reserve, or any other Reserve unit of an armed force of the United States, for at least 6 years following the date of graduation from the Academy of such individual; (E) to serve the foreign and domestic commerce and the national defense of the United States for at least 5 years following the date of graduation from the Academy - (i) as a merchant marine officer serving on vessels documented under the laws of the United States or on vessels owned and operated by the United States or by any State or territory of the United States; (ii) as an employee in a United States maritime-related industry, profession, or marine science (as determined by the Secretary), if the Secretary determines that service under clause (i) is not available to such individual; (iii) as a commissioned officer on active duty in an armed force of the United States or in the National Oceanic and Atmospheric Administration; or (iv) by combining the services specified in clauses (i), (ii), and (iii); and (F) to report to the Secretary on the compliance by the individual to this paragraph. (2) If the Secretary determines that any individual who has attended the Academy for not less than 2 years has failed to fulfill the part of the agreement (required by paragraph (1)) described in paragraph (1)(A), such individual may be ordered by the Secretary of the Navy to active duty in the United States Navy to serve for a period of time not to exceed 2 years. In cases of hardship as determined by the Secretary, the Secretary may waive this paragraph. (3)(A) If the Secretary determines that any individual has failed to fulfill any part of the agreement (required by paragraph (1)) described in subparagraphs (B), (C), (D), (E), or (F) of paragraph (1), such individual may be ordered to active duty to serve a period of time not less than 3 years and not more than the unexpired portion (as determined by the Secretary) of the service required by subparagraph (E) of such paragraph. The Secretary, in consultation with the Secretary of Defense, shall determine in which service the individual shall be ordered to active duty to serve such period of time. In cases of hardship as determined by the Secretary, the Secretary may waive this paragraph. (B) If the Secretary of Defense is unable or unwilling to order an individual to active duty under subparagraph (A), the Secretary of Transportation - (i) may recover from the individual the cost of education provided by the Federal Government; and (ii) shall request the Attorney General to begin court proceedings to recover the costs of education if the Secretary decides to seek recovery under clause (i). (4) The Secretary may defer the service commitment of any individual pursuant to subparagraph (E) of paragraph (1) (as specified in the agreement required by such paragraph) for a period of not more than 2 years if such individual is engaged in a graduate course of study approved by the Secretary, except that any deferment of service as a commissioned officer pursuant to paragraph (1)(E) must be approved by the Secretary of the military department (including the Secretary of Commerce with respect to the National Oceanic and Atmospheric Administration) which has jurisdiction over such service. (f) Places of training The Secretary may provide for the training of cadets at the Academy - (1) on vessels owned or subsidized by the United States; (2) on other vessels documented under the laws of the United States if the owner of any such vessel cooperates in such use; and (3) in shipyards or plants and with any industrial or educational organizations. (g) Bachelor of science degrees awarded The Superintendent of the Academy may confer the degree of bachelor of science upon any individual who has met the conditions prescribed by the Secretary and who, if a citizen of the United States, has passed the examination for a merchant marine officer's license. No individual may be denied a degree under this subsection because the individual is not permitted to take such examination solely because of physical disqualification. (h) Board of Visitors (1) A Board of Visitors to the Academy shall be established, for a term of two years commencing at the beginning of each Congress, to visit the Academy annually on a date determined by the Secretary and to make recommendations on the operation of the Academy. (2) The Board shall be composed of - (A) 2 Senators appointed by the chairman of the Commerce, Science, and Transportation Committee of the Senate; (B) 3 Members of the House of Representatives appointed by the chairman of the Merchant Marine and Fisheries Committee of the House of Representatives; (C) 1 Senator appointed by the Vice President; (D) 2 Members of the House of Representatives appointed by the Speaker of the House of Representatives; and (E) the chairman of the Commerce, Science, and Transportation Committee of the Senate and the chairman of the Merchant Marine and Fisheries Committee of the House of Representatives, as ex officio members. (3) Whenever a member of the Board is unable to attend the annual meeting provided in paragraph (1), another individual may be appointed in the manner provided by paragraph (2) as a substitute for such member. (4) The chairmen of the Commerce, Science, and Transportation Committee of the Senate and the Merchant Marine and Fisheries Committee of the House of Representatives may designate staff members of such committees to serve without reimbursement as staff for the Board. (5) While away from their homes or regular places of business in the performance of services for the Board, members of the Board and any staff members designated under paragraph (4) shall be allowed travel expenses, including per diem in lieu of subsistence, in the same manner as persons employed intermittently in the Government service are allowed expenses under section 5703 of title 5. (i) Advisory Board (1) An Advisory Board to the Academy shall be established to visit the Academy at least once during each academic year, for the purpose of examining the course of instruction and management of the Academy and advising the Maritime Administrator and the Superintendent of the Academy. (2) The Advisory Board shall be composed of not more than 7 persons of distinction in education and other fields relating to the Academy who shall be appointed by the Secretary for terms not to exceed 3 years and may be reappointed. (3) The Secretary shall appoint a chairman from among the members of the Advisory Board. (4) While away from their homes or regular places of business in the performance of service for the Advisory Board, members of the Advisory Board shall be allowed travel expenses, including per diem in lieu of subsistence, in the same manner as persons employed intermittently in the Government service are allowed expenses under section 5703 of title 5. (5) The Federal Advisory Committee Act (5 U.S.C. App. 1 et seq.) shall not apply to the Advisory Board established pursuant to this subsection. -SOURCE- (June 29, 1936, ch. 858, Sec. 1303, as added Oct. 15, 1980, Pub. L. 96-453, Sec. 2, 94 Stat. 1998, and amended Aug. 6, 1981, Pub. L. 97-31, Sec. 12(144), 95 Stat. 166; Aug. 13, 1981, Pub. L. 97-35, title XVI, Sec. 1607, 95 Stat. 752; Aug. 1, 1986, Pub. L. 99-368, Sec. 5, 100 Stat. 776; Nov. 16, 1990, Pub. L. 101-595, title VII, Sec. 703, 707(a), 708, 104 Stat. 2994, 2995.) -REFTEXT- REFERENCES IN TEXT The Federal Advisory Committee Act (5 U.S.C. App. 1 et seq.), referred to in subsec. (i)(5), is Pub. L. 92-463, Oct. 6, 1972, 86 Stat. 770, as amended, which is set out in the Appendix to Title 5, Government Organization and Employees. -MISC2- AMENDMENTS 1990 - Subsec. (b)(1). Pub. L. 101-595, Sec. 708(1), in introductory provisions, substituted 'Delegate from American Samoa' for 'Governor of American Samoa (until a delegate to the House of Representatives from American Samoa takes office)' and 'any individual who is - ' for 'any individual who is' and, in subpar. (B), inserted 'or' after 'Canal Commission,' and struck out before period at end ', or a resident of American Samoa if the individual is nominated by the Governor of American Samoa'. Subsec. (b)(3)(A)(vi). Pub. L. 101-595, Sec. 708(2), substituted 'Delegate to the House of Representatives from American Samoa' for 'Governor of American Samoa (until a delegate to the House of Representatives from American Samoa takes office)'. Subsec. (b)(7)(A). Pub. L. 101-595, Sec. 708(3)(A), struck out 'annually' after 'Secretary may', 'until September 30, 1995,' before 'upon approval', and 'up to six' before 'additional'. Subsec. (b)(7)(B). Pub. L. 101-595, Sec. 708(3)(B), which directed the substitution of 'The Secretary shall be reimbursed' for 'the Secretary shall insure that the Republic of Panama reimburse the Secretary', was executed by making the substitution for 'The Secretary shall insure that the Republic of Panama reimburse the Secretary' to reflect the probable intent of Congress. Subsec. (e)(3). Pub. L. 101-595, Sec. 707(a), designated existing provisions as subpar. (A) and added subpar. (B). Subsec. (h)(1). Pub. L. 101-595, Sec. 703, amended par. (1) generally. Prior to amendment, par. (1) read as follows: 'A Board of Visitors to the Academy shall be established to visit the Academy annually on a date determined by the Secretary and to make recommendations on the operation of the Academy.' 1986 - Subsec. (b)(7), (8). Pub. L. 99-368 added pars. (7) and (8) and struck out former par. (7) which provided that any individual appointed as a cadet to the Academy under par. (3), or receiving instruction at the Academy under par. (4), (5), or (6), was not entitled to hold any license authorizing service on any merchant marine vessel of the United States solely by reason of graduation from the Academy. 1981 - Subsec. (e)(3). Pub. L. 97-31, Sec. 12(144)(A), struck out 'and the Secretary of Transportation' after 'Secretary of Defense'. Subsec. (e)(4). Pub. L. 97-31, Sec. 12(144)(B), struck out 'the Secretary of the department in which the United States Coast Guard is operating with respect to the United States Coast Guard and' before 'the Secretary of Commerce'. Subsec. (h)(2)(D). Pub. L. 97-35 increased the membership on the Board from 1 to 2 Members of the House of Representatives. Subsec. (i)(1). Pub. L. 97-31, Sec. 12(144)(C), substituted 'Maritime Administrator' for 'Assistant Secretary of Commerce for Maritime Affairs'. EFFECTIVE DATE OF 1990 AMENDMENT Section 707(b) of Pub. L. 101-595 provided that: 'The amendments made by subsection (a) (amending this section) shall apply to individuals who sign agreements after the date of enactment of this Act (Nov. 16, 1990) under section 1303(e) of the Merchant Marine Act, 1936 (46 App. U.S.C. 1295b(e)).' DEGREES FOR PERSONS WHO GRADUATED BEFORE ACCREDITING OF MERCHANT MARINE ACADEMY Act Aug. 10, 1956, ch. 1041, Sec. 35, 70A Stat. 634, provided in part that, under conditions prescribed by the Secretary of Commerce, the Superintendent of the United States Merchant Marine Academy may confer the degree of bachelor of science upon living graduates of the Academy who were graduated before the date of accrediting of the Academy and who have met the requirements of the Academy for that degree. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1295a, 1295f of this Appendix. ------DocID 53973 Document 874 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295c -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295c. State maritime academies -STATUTE- (a) Cooperation and assistance The Secretary shall cooperate with and assist any State maritime academy in providing instruction to individuals to prepare them for service in the merchant marine of the United States. (b) Regional maritime academies The Governors of all States or territories of the United States, or both, cooperating to sponsor a regional maritime academy shall designate in writing one State or territory of the United States, from among the sponsoring States or territories, or both, to conduct the affairs of such regional maritime academy. Any regional maritime academy shall be eligible for assistance from the Federal Government on the same basis as any State maritime academy sponsored by a single State or territory of the United States. (c) Training vessels (1)(A) The Secretary may furnish for training purposes any suitable vessel under the control of the Secretary or provided under subparagraph (B), or construct and furnish a suitable vessel if such a vessel is not available, to any State maritime academy meeting the requirements of subsection (f)(1) of this section. Any such vessel - (i) shall be repaired, reconditioned, and equipped (including supplying all apparel, charts, books, and instruments of navigation) as necessary for use as a training ship; (ii) shall be furnished to such State maritime academy only after application for such vessel is made in writing by the Governor of the State or territory sponsoring such State maritime academy or, with respect to a regional maritime academy the Governor of the State or territory designated pursuant to subsection (b) of this section; (iii) shall be furnished to such State maritime academy only if a suitable port for the safe mooring of such vessel is available while it is being used by such academy; (iv) shall be maintained in good repair by the Secretary; and (v) shall remain the property of the United States. (B) Any department or agency of the United States may provide to the Secretary to be furnished to any State maritime academy any vessel (including equipment) which is suitable for the purposes of this paragraph and which can be provided without detriment to the service to which such vessel is assigned. (2) The Secretary may pay to any State maritime academy the amount of the costs of all fuel consumed by any vessel furnished under paragraph (1) while such vessel is being used for training purposes by such academy. (3)(A) The Secretary may provide for the training of individuals attending a State maritime academy - (i) on vessels owned or subsidized by the United States; (ii) on other vessels documented under the laws of the United States if the owner of any such vessel cooperates in such use; and (iii) in shipyards or plants and with any industrial or educational organizations. (B) While traveling under orders for purposes of receiving training under this paragraph, any individual who is attending a State maritime academy shall receive from the Secretary allowances for transportation (including reimbursement of traveling expenses) in accordance with any regulations promulgated by the Secretary. (d) Annual payments (1)(A) The Secretary may enter into an agreement, which shall be effective for not more than 4 years, with one State maritime academy (not including regional maritime academies) located in each State or territory of the United States which meets the requirements of subsection (f)(1) of this section, and with each regional maritime academy which meets the requirements of subsection (f)(1) of this section, to make annual payments to each such academy for the maintenance and support of such academy. (B) Subject to subparagraph (C), the annual payment to such State maritime academy shall be at least equal to the amount given to the academy for its maintenance and support by the State in which it is located, and to such regional maritime academy shall be at least equal to the amount given the academy by all States and territories cooperating to sponsor the academy. (C) The amount under subparagraph (B) may not be more than $25,000, except that the amount shall be - (i) $100,000 to such State maritime academy if the academy meets the condition set forth in subsection (f)(2) of this section; or (ii) $200,000 to such regional maritime academy if the academy meets the condition set forth in subsection (f)(2) of this section. (2) The Secretary shall provide to each State maritime academy guidance and assistance in developing courses on the operation and maintenance of new vessels, on equipment, and on innovations being introduced to the merchant marine of the United States. (e) Detailing of personnel Upon the request of the Governor of any State or territory, the President may detail, without reimbursement, any of the personnel of the United States Navy, the United States Coast Guard, or the United States Maritime Service to any State maritime academy to serve as superintendents, professors, lecturers, or instructors at such academy. (f) Conditions to receiving payments or use of vessels (1) As a condition to receiving any payment or the use of any vessel under this section, any State maritime academy shall - (A) provide courses of instruction on navigation, marine engineering (including steam and diesel propulsion), the operation and maintenance of new vessels and equipment, and innovations being introduced to the merchant marine of the United States; (B) agree in writing to conform to such standards for courses, training facilities, admissions, and instruction as are established by the Secretary after consultation with the superintendents of the State maritime academies; and (C) agree in writing to require, as a condition for graduation, that each individual who is a citizen of the United States and who is attending the academy in a merchant marine officer preparation program shall pass the examination administered by the Coast Guard required for issuance of a license under section 7101 of title 46. (2) As a condition to receiving an annual payment of any amount in excess of $25,000 under subsection (d) of this section, a State maritime academy shall agree to admit to such academy each year a number of individuals who meet the admission requirements of such academy and who are citizens of the United States residing in States and territories of the United States other than the States or territories, or both, supporting such academy. The Secretary shall determine the number of individuals under this paragraph for each State maritime academy so that such number does not exceed one-third of the total number of individuals attending such academy at any time. (g) Student incentive payment agreements (1) The Secretary may enter into an agreement, which shall be effective for not more than 4 academic years, with any individual, who is a citizen of the United States and is attending a State maritime academy which entered into an agreement with the Secretary under subsection (d)(1) of this section, to make student incentive payments to such individual, which payments shall be in amounts equaling $1,200 for each academic year and which payments shall be - (A) allocated among the various State maritime academies in a fair and equitable manner; (B) used to assist the individual in paying the cost of uniforms, books, and subsistence; (C) paid by the Secretary to the individual for the first complete or partial academic year of attendance in a lump sum of $1,200 or in amounts prorated on the basis of actual attendance, and at a time during the second academic year when the individual enters into an agreement accepting midshipman and enlisted reserve status as required under paragraph (2); and (D) paid by the Secretary, for the academic years after those years specified in subparagraph (C), as the Secretary shall prescribe while the individual is attending the academy. (2) Each agreement entered into under paragraph (1) shall require the individual to accept midshipman and enlisted reserve status in the United States Naval Reserve (including the Merchant Marine Reserve, United States Naval Reserve) before receiving any student incentive payments under this subsection. (3) Each agreement entered into under paragraph (1) shall obligate the individual receiving student incentive payments under the agreement - (A) to complete the course of instruction at the State maritime academy which the individual is attending, unless the individual is separated by such academy; (B) to take the examination for a license as an officer in the merchant marine of the United States on or before the date of graduation from such State maritime academy of such individual and to fulfill the requirements for such license not later than 3 months after such graduation date; (C) to maintain a license as an officer in the merchant marine of the United States for at least 6 years following the date of graduation from such State maritime academy of such individual; (D) to accept if tendered an appointment as, and to serve as a commissioned officer in the United States Naval Reserve (including the Merchant Marine Reserve, United States Naval Reserve), the United States Coast Guard Reserve, or any other reserve unit of an armed force of the United States, for at least 6 years following the date of graduation from such State maritime academy of such individual; (E) to serve the foreign and domestic commerce and the national defense of the United States for at least 3 years following the date of graduation from the Academy - (i) as a merchant marine officer serving on vessels documented under the laws of the United States or on vessels owned and operated by the United States or by any State or territory of the United States; (ii) as an employee in a United States maritime-related industry, profession, or marine science (as determined by the Secretary), if the Secretary determines that service under clause (i) is not available to such individual; (iii) as a commissioned officer on active duty in an armed force of the United States or in the National Oceanic and Atmospheric Administration; or (iv) by combining the services specified in clauses (i), (ii), and (iii); and (F) to report to the Secretary on the compliance by the individual to this paragraph. (4) If the Secretary determines that any individual who has accepted the payment described in paragraph (1)(C) of this subsection has failed to fulfill the part of the acreement (required by paragraph (1)) described in paragraph (3)(A), such individual may be ordered by the Secretary of the Navy to active duty in the United States Navy to serve for a period of time not to exceed 2 years. In cases of hardship as determined by the Secretary, the Secretary may waive this paragraph. (5) If the Secretary determines that any individual has failed to fulfill any part of the agreement (required by paragraph (1)) described in subparagraphs (B), (C), (D), (E), or (F) of paragraph (3), such individual may be ordered to active duty to serve a period of time not less than 2 years and not more than the unexpired portion (as determined by the Secretary) of the service required by subparagraph (E) of such paragraph. The Secretary, in consultation with the Secretary of Defense, shall determine in which service the individual shall be ordered to active duty to serve such period of time. In cases of hardship as determined by the Secretary, the Secretary may waive this paragraph. (6) The Secretary may defer the service commitment of any individual pursuant to subparagraph (E) of paragraph (3) (as specified in the agreement required by such paragraph) for a period of not more than 2 years if such individual is engaged in a graduate course of study approved by the Secretary, except that any deferment of service as a commissioned officer pursuant to subparagraph (E) of such paragraph must be approved by the Secretary of the military department (including the Secretary of Commerce with respect to the National Oceanic and Atmospheric Administration) which has jurisdiction over such service. (7) This subsection shall apply only to individuals first entering a State maritime academy after the date occurring 6 months after October 1, 1981. (h) Appointment of cadet as midshipman in United States Naval Reserve Any citizen of the United States attending a State maritime academy may be appointed by the Secretary of the Navy as a midshipman in the United States Naval Reserve (including the Merchant Marine Reserve, United States Naval Reserve). -SOURCE- (June 29, 1936, ch. 858, Sec. 1304, as added Oct. 15, 1980, Pub. L. 96-453, Sec. 2, 94 Stat. 2003, and amended Aug. 6, 1981, Pub. L. 97-31, Sec. 12(145), 95 Stat. 166; Oct. 13, 1989, Pub. L. 101-115, Sec. 2(a)-(d), 3(a), 5, 103 Stat. 691-693.) -STATAMEND- ADDITION OF SUBSECTION (F)(1)(C) Subsection (f)(1)(C) of this section not effective prior to Oct. 1, 1994, see Effective Date of 1989 Amendment note below. -MISC1- AMENDMENTS 1989 - Subsec. (d)(1). Pub. L. 101-115, Sec. 5, designated existing provisions as subpar. (A), struck out second sentence which read as follows: 'The amount of each such annual payment shall be not less than the amount furnished to such academy for its maintenance and support by the State or territory in which such academy is located or, in the case of a regional maritime academy an amount equal to the amount furnished to such academy for its maintenance and support by all States or territories, or both, cooperating to support such academy, but shall not exceed $25,000, or $100,000 if such academy meets the requirements of subsection (f)(2) of this section.', and added subpars. (B) and (C). Subsec. (f)(1)(C). Pub. L. 101-115, Sec. 3(a), added subpar. (C). Subsec. (g)(1)(C), (D). Pub. L. 101-115, Sec. 2(a), added subpars. (C) and (D) and struck out former subpar. (C) which read as follows: 'paid by the Secretary to the individual in such payments as the Secretary shall prescribe while such individual is attending such academy.' Subsec. (g)(2). Pub. L. 101-115, Sec. 2(b), substituted 'accept midshipman and enlisted reserve status' for 'apply for midshipman status'. Subsec. (g)(3)(D). Pub. L. 101-115, Sec. 2(c), struck out 'to apply for an appointment as,' before 'to accept if tendered'. Subsec. (g)(4). Pub. L. 101-115, Sec. 2(d), substituted 'has accepted the payment described in paragraph (1)(C) of this subsection' for 'has attended a State maritime academy for not less than 2 years'. 1981 - Subsec. (g). Pub. L. 97-31 in par. (5) struck out 'and the Secretary of Transportation' after 'Secretary of Defense', and in par. (6) struck out 'the Secretary of the department in which the United States Coast Guard is operating with respect to the United States Coast Guard and' before 'the Secretary of Commerce'. EFFECTIVE DATE OF 1989 AMENDMENT Pub. L. 101-595, title VII, Sec. 706, Nov. 16, 1990, 104 Stat. 2995, provided that: 'Section 3 of the Act of October 13, 1989 (Public Law 101-115; 103 Stat. 692) (adding subsec. (f)(1)(C) of this section and enacting provisions set out below), shall not be effective prior to October 1, 1994.' Section 2(e) of Pub. L. 101-115 provided that: 'The amendments made by this section (amending this section) apply to individuals who commence attendance after December 31, 1989, at a State maritime academy in accordance with section 1304 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1295c).' Section 3(b) of Pub. L. 101-115 provided that: 'The requirement set forth in subsection (f)(1)(C) of section 1304 of the Merchant Marine Act, 1936 (46 App. U.S.C. 1295c(f)(1)(C)), as added by subsection (a) of this section, shall be a condition to any payment or use of any vessel received by a State maritime academy under such section 1304 after December 31, 1989.' STUDY TO DETERMINE POSSIBLE USE OF SHIP SHARING PROGRAM TO PROVIDE TRAINING OPPORTUNITIES FOR MARITIME ACADEMY STUDENTS Section 4 of Pub. L. 101-115, as amended by Pub. L. 101-595, title VII, Sec. 705, Nov. 16, 1990, 104 Stat. 2994, provided that: 'With the funds authorized under this Act (Pub. L. 101-115, Sec. 1, Oct. 13, 1989, 103 Stat. 691), the Secretary of Transportation, after consultation with other agencies in the executive branch and the State, regional, and Federal maritime academies, shall submit to the Congress a study within one year to determine how currently employed training vessels, United States-flag commercial vessels, vessels in the Ready Reserve Force, and other vessels under the control of the United States Government may be used to provide training opportunities for State, regional, and Federal maritime academy students that will produce licensed graduate officers. The study shall include data on the cost effectiveness to the United States Government; the cost impact on the affected State governments; the safety of any vessels involved; the safety of the students; the operational and scheduling impact upon the several entities involved; liability exposure; and the impact on national security sealift. The Secretary shall not implement any ship sharing program until not less than sixty legislative days after the submission of the study to the Congress. The Secretary shall not take any vessel, currently in service as a State academy training vessel, out of service for the purpose of implementing any alternative program, including ship sharing, until or unless the vessel is incapable of being maintained in good repair as required under section 1304(c)(1)(A) of the Merchant Marine Act, 1936 (46 App. U.S.C. 1295c(c)(1)(A)). The Secretary shall not implement any program requiring that any State academy share its training vessel with another State academy without having first received the express consent of Congress to do so.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1119, 1295a, 1295f of this Appendix; title 10 section 5985; title 46 section 3302. ------DocID 53974 Document 875 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295c-1 -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295c-1. Plan for sharing training vessels -STATUTE- On and after December 22, 1987, no funds shall be appropriated for the purchase or construction of training vessels for State maritime academies unless a plan for sharing training vessels between State maritime academies has been approved by the Maritime Administration. -SOURCE- (Pub. L. 100-202, Sec. 101(a) (title V, Sec. 501), Dec. 22, 1987, 101 Stat. 1329, 1329-28.) -COD- CODIFICATION Section was not enacted as part of the Merchant Marine Act, 1936, which comprises this chapter. ------DocID 53975 Document 876 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295d -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295d. Additional training -STATUTE- (a) In general The Secretary may provide additional training on maritime subjects, as the Secretary deems necessary, to supplement other training opportunities and may make any such training available to the personnel of the merchant marine of the United States and to individuals preparing for a career in the merchant marine of the United States. (b) Equipment or supplies required for training The Secretary may prepare or purchase any equipment or supplies required for any training provided under subsection (a) of this section and may contract with any person, partnership, firm, association, or corporation (without regard to section 5 of title 41) for the performance of any services deemed necessary by the Secretary in the preparation of any such equipment or supplies and in the supervision and administration of any such training. (c) Oil pollution prevention, response, and clean-up program (1) The Secretary shall assist maritime training institutions approved by the Secretary in establishing a maritime oil pollution prevention, response, and clean-up training program. (2) Under the program established under paragraph (1) - (A) the Secretary may provide, to maritime training institutions approved by the Secretary, vessels described in paragraph (4), with title free of all liens, subject to the requirements specified under paragraph (3); and (B) in return for receipt of such vessels, such institutions shall - (i) employ the vessels for the training of students and appropriate maritime industry personnel in oil spill prevention, response, clean-up, and related skills; and (ii) make the vessels and qualified students available to appropriate Federal, State, and local oil spill response authorities in the event of a maritime oil spill. (3) The requirements referred to in paragraph (2)(A) are as follows: (i) any vessel provided under paragraph (2)(A) shall be tendered to the approved maritime training institution at a location determined by the Secretary; (ii) no such vessel may be sold, traded, chartered, donated, scrapped, or in any way altered or disposed of without the prior approval of the Secretary; (iii) no such vessel may be used in competition with any privately-owned vessel documented under the laws of the United States or any State, unless necessary to carry out the purposes of this subsection; (iv) any approved maritime training institution in possession of such a vessel which can no longer utilize the vessel for training purposes shall return the vessel to the Secretary, who shall take possession of the vessel at the training institution and thereafter may dispose of the vessel, or provide the vessel to another approved maritime training institution, as the Secretary determines appropriate; and (v) such other requirements or conditions as the Secretary determines appropriate. (4) The vessels referred to in paragraph (2)(A) are United States-built offshore supply vessels and United States-built tug/supply vessels in the possession of the Maritime Administration as a result of defaults on loans guaranteed under subchapter XI of this chapter. -SOURCE- (June 29, 1936, ch. 858, Sec. 1305, as added Oct. 15, 1980, Pub. L. 96-453, Sec. 2, 94 Stat. 2006, and amended Nov. 16, 1990, Pub. L. 101-595, title VII, Sec. 712, 104 Stat. 2998.) -MISC1- AMENDMENTS 1990 - Subsec. (c). Pub. L. 101-595 added subsec. (c). -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1119 of this Appendix. ------DocID 53976 Document 877 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295e -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295e. United States Maritime Service -STATUTE- (a) Establishment and maintenance The Secretary may establish and maintain a voluntary organization for the training of citizens of the United States to serve on merchant marine vessels of the United States to be known as the United States Maritime Service. (b) Enrollment; compensation; course of study and periods of training; uniforms The Secretary may determine the number of individuals to be enrolled for training and reserve purposes in such service, to fix the rates of pay and allowances of such individuals without regard to the provisions of chapter 51 and subchapter III of chapter 53 of title 5 (relating to classification and General Schedule pay rates), to prescribe the course of study and the periods of training in such service, and to prescribe the uniform of such service and the rules governing the wearing and furnishing of such uniform. (c) Ranks, grades, and ratings same as for United States Coast Guard The ranks, grades, and ratings for personnel of the United States Maritime Service shall be the same as are then prescribed for the personnel of the United States Coast Guard. -SOURCE- (June 29, 1936, ch. 858, Sec. 1306, as added Oct. 15, 1980, Pub. L. 96-453, Sec. 2, 94 Stat. 2006.) ------DocID 53977 Document 878 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295f -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295f. Civilian nautical school -STATUTE- (a) 'Civilian nautical school' defined As used in this section, the term 'civilian nautical school' means any school operated and conducted in the United States (except the Academy maintained under section 1295b of this Appendix, any State maritime academy assisted under section 1295c of this Appendix, and any other school operated by the United States or any agency of the United States) which offers instruction to individuals quartered on board any vessel for the primary purpose of training them for service in the merchant marine. (b) Examination and inspection of school; rating and certification Each civilian nautical school shall be subject to examination and inspection by the Secretary, and the Secretary may (under such rules and regulations as the Secretary may prescribe) provide for the rating and certification of such schools as to the adequacy of the course of instruction, the competency of the instructors, and the suitability of the equipment used by, or in connection with, such school. (c) Repealed. Pub. L. 98-89, Sec. 4(b), Aug. 26, 1983, 97 Stat. 603 (d) Fines and penalties Whoever - (1) violates this section or any regulations promulgated to implement this section; (2), (3) Repealed. Pub. L. 98-89, Sec. 4(b), Aug. 26, 1983, 97 Stat. 603. shall be fined not more than $10,000 or imprisoned for not more than one year, or both, for each offense. -SOURCE- (June 29, 1936, ch. 858, Sec. 1307, as added Oct. 15, 1980, Pub. L. 96-453, Sec. 2, 94 Stat. 2007, and amended Pub. L. 98-89, Sec. 4(b), Aug. 26, 1983, 97 Stat. 603.) -MISC1- AMENDMENTS 1983 - Subsec. (c). Pub. L. 98-89 struck out subsec. (c). See sections 2101(17), 3301(2), 3306, and 3307(1) of Title 46, Shipping. Subsec. (d)(2), (3). Pub. L. 98-89 struck out pars. (2) and (3). See section 3318(g) of Title 46. ------DocID 53978 Document 879 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1295g -EXPCITE- TITLE 46 APPENDIX CHAPTER 24A SUBCHAPTER XIII -HEAD- Sec. 1295g. Powers and duties of Secretary -STATUTE- (a) Rules and regulations The Secretary shall establish such rules and regulations as may be necessary to carry out this subchapter. (b) Excess vessels and equipment The Secretary may cooperate with and assist the Academy, any State maritime academy, and any nonprofit training institution which has been jointly approved by the Secretary and the Secretary of the department in which the United States Coast Guard is operating as offering training courses which meet Federal regulations for maritime training, by making vessels, shipboard equipment, and other marine equipment, owned by the United States which have been determined to be excess or surplus, available by gift, loan, sale, lease, or charter to such institution for instructional purposes on such terms as the Secretary deems appropriate. (c) Securing of information, facilities, or equipment; detailing of personnel (1) The Secretary may secure directly from any department or agency of the United States any information, facilities, or equipment, on a reimbursable basis, necessary to carry out this subchapter. (2) Upon the request of the Secretary, the head of any department or agency of the United States (including any military department of the United States) may detail, on a reimbursable basis, any of the personnel of such department or agency to the Secretary to assist in carrying out this subchapter. (d) Employment of personnel To carry out this subchapter, the Secretary may employ at the Academy any individual as a professor, lecturer, or instructor, without regard to the provisions of title 5 (governing appointments in the competitive service), and may pay such individual without regard to the provisions of chapter 51 and subchapter III of chapter 53 of such title (relating to classification and General Schedule pay rates). -SOURCE- (June 29, 1936, ch. 858, Sec. 1308, as added Oct. 15, 1980, Pub. L. 96-453, Sec. 2, 94 Stat. 2007, and amended Pub. L. 98-89, Sec. 4(b), Aug. 26, 1983, 97 Stat. 603.) -REFTEXT- REFERENCES IN TEXT The provisions of title 5 (governing appointments in the competitive service), referred to in subsec. (d), are classified generally to section 3301 et seq. of Title 5, Government Organization and Employees. -MISC2- AMENDMENTS 1983 - Subsec. (e). Pub. L. 98-89 struck out subsec. (e). See section 2101(17) of Title 46, Shipping. ------DocID 53979 Document 880 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 28 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- CHAPTER 28 - CARRIAGE OF GOODS BY SEA -MISC1- Sec. 1300. Bills of lading subject to chapter. 1301. Definitions. 1302. Duties and rights of carrier. 1303. Responsibilities and liabilities of carrier and ship. (1) Seaworthiness. (2) Cargo. (3) Contents of bill. (4) Bill as prima facie evidence. (5) Guaranty of statements. (6) Notice of loss or damage; limitation of actions. (7) 'Shipped' bill of lading. (8) Limitation of liability for negligence. 1304. Rights and immunities of carrier and ship. (1) Unseaworthiness. (2) Uncontrollable causes of loss. (3) Freedom from negligence. (4) Deviations. (5) Amount of liability; valuation of cargo. (6) Inflammable, explosive, or dangerous cargo. 1305. Surrender of rights; increase of liabilities; charter parties; general average. 1306. Special agreement as to particular goods. 1307. Agreement as to liability prior to loading or after discharge. 1308. Rights and liabilities under other provisions. 1309. Discrimination between competing shippers. 1310. Weight of bulk cargo. 1311. Liabilities before loading and after discharge; effect on other laws. 1312. Scope of chapter; 'United States'; 'foreign trade'. 1313. Suspension of provisions by President. 1314. Effective date; retroactive effect. 1315. Short title. ------DocID 53980 Document 881 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1300 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1300. Bills of lading subject to chapter -STATUTE- Every bill of lading or similar document of title which is evidence of a contract for the carriage of goods by sea to or from ports of the United States, in foreign trade, shall have effect subject to the provisions of this chapter. -SOURCE- (Apr. 16, 1936, ch. 229, Sec. 1, 49 Stat. 1207.) ------DocID 53981 Document 882 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1301 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1301. Definitions -STATUTE- When used in this chapter - (a) The term 'carrier' includes the owner or the charterer who enters into a contract of carriage with a shipper. (b) The term 'contract of carriage' applies only to contracts of carriage covered by a bill of lading or any similar document of title, insofar as such document relates to the carriage of goods by sea, including any bill of lading or any similar document as aforesaid issued under or pursuant to a charter party from the moment at which such bill of lading or similar document of title regulates the relations between a carrier and a holder of the same. (c) The term 'goods' includes goods, wares, merchandise, and articles of every kind whatsoever, except live animals and cargo which by the contract of carriage is stated as being carried on deck and is so carried. (d) The term 'ship' means any vessel used for the carriage of goods by sea. (e) The term 'carriage of goods' covers the period from the time when the goods are loaded on to the time when they are discharged from the ship. -SOURCE- (Apr. 16, 1936, ch. 229, title I, Sec. 1, 49 Stat. 1208.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1313 of this Appendix. ------DocID 53982 Document 883 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1302 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1302. Duties and rights of carrier -STATUTE- Subject to the provisions of section 1306 of this Appendix, under every contract of carriage of goods by sea, the carrier in relation to the loading, handling, stowage, carriage, custody, care, and discharge of such goods, shall be subject to the responsibilities and liabilities and entitled to the rights and immunities set forth in sections 1303 and 1304 of this Appendix. -SOURCE- (Apr. 16, 1936, ch. 229, title I, Sec. 2, 49 Stat. 1208.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1313 of this Appendix. ------DocID 53983 Document 884 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1303 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1303. Responsibilities and liabilities of carrier and ship -STATUTE- (1) Seaworthiness The carrier shall be bound, before and at the beginning of the voyage, to exercise due diligence to - (a) Make the ship seaworthy; (b) Properly man, equip, and supply the ship; (c) Make the holds, refrigerating and cooling chambers, and all other parts of the ship in which goods are carried, fit and safe for their reception, carriage, and preservation. (2) Cargo The carrier shall properly and carefully load, handle, stow, carry, keep, care for, and discharge the goods carried. (3) Contents of bill After receiving the goods into his charge the carrier, or the master or agent of the carrier, shall, on demand of the shipper, issue to the shipper a bill of lading showing among other things - (a) The leading marks necessary for identification of the goods as the same are furnished in writing by the shipper before the loading of such goods starts, provided such marks are stamped or otherwise shown clearly upon the goods if uncovered, or on the cases or coverings in which such goods are contained, in such a manner as should ordinarily remain legible until the end of the voyage. (b) Either the number of packages or pieces, or the quantity or weight, as the case may be, as furnished in writing by the shipper. (c) The apparent order and condition of the goods: Provided, That no carrier, master, or agent of the carrier, shall be bound to state or show in the bill of lading any marks, number, quantity, or weight which he has reasonable ground for suspecting not accurately to represent the goods actually received, or which he has had no reasonable means of checking. (4) Bill as prima facie evidence Such a bill of lading shall be prima facie evidence of the receipt by the carrier of the goods as therein described in accordance with paragraphs (3)(a), (b), and (c), of this section: Provided, That nothing in this chapter shall be construed as repealing or limiting the application of any part of the Act of August 29, 1916, commonly known as the 'Pomerene Bills of Lading Act' (49 App. U.S.C. 81 et seq.). (5) Guaranty of statements The shipper shall be deemed to have guaranteed to the carrier the accuracy at the time of shipment of the marks, number, quantity, and weight, as furnished by him; and the shipper shall indemnify the carrier against all loss, damages, and expenses arising or resulting from inaccuracies in such particulars. The right of the carrier to such indemnity shall in no way limit his responsibility and liability under the contract of carriage to any person other than the shipper. (6) Notice of loss or damage; limitation of actions Unless notice of loss or damage and the general nature of such loss or damage be given in writing to the carrier or his agent at the port of discharge before or at the time of the removal of the goods into the custody of the person entitled to delivery thereof under the contract of carriage, such removal shall be prima facie evidence of the delivery by the carrier of the goods as described in the bill of lading. If the loss or damage is not apparent, the notice must be given within three days of the delivery. Said notice of loss or damage may be endorsed upon the receipt for the goods given by the person taking delivery thereof. The notice in writing need not be given if the state of the goods has at the time of their receipt been the subject of joint survey or inspection. In any event the carrier and the ship shall be discharged from all liability in respect of loss or damage unless suit is brought within one year after delivery of the goods or the date when the goods should have been delivered: Provided, That if a notice of loss or damage, either apparent or concealed, is not given as provided for in this section, that fact shall not affect or prejudice the right of the shipper to bring suit within one year after the delivery of the goods or the date when the goods should have been delivered. In the case of any actual or apprehended loss or damage the carrier and the receiver shall give all reasonable facilities to each other for inspecting and tallying the goods. (7) 'Shipped' bill of lading After the goods are loaded the bill of lading to be issued by the carrier, master, or agent of the carrier to the shipper shall, if the shipper so demands, be a 'shipped' bill of lading: Provided, That if the shipper shall have previously taken up any document of title to such goods, he shall surrender the same as against the issue of the 'shipped' bill of lading, but at the option of the carrier such document of title may be noted at the port of shipment by the carrier, master, or agent with the name or names of the ship or ships upon which the goods have been shipped and the date or dates of shipment, and when so noted the same shall for the purpose of this section be deemed to constitute a 'shipped' bill of lading. (8) Limitation of liability for negligence Any clause, covenant, or agreement in a contract of carriage relieving the carrier or the ship from liability for loss or damage to or in connection with the goods, arising from negligence, fault, or failure in the duties and obligations provided in this section, or lessening such liability otherwise than as provided in this chapter, shall be null and void and of no effect. A benefit of insurance in favor of the carrier, or similar clause, shall be deemed to be a clause relieving the carrier from liability. -SOURCE- (Apr. 16, 1936, ch. 229, title I, Sec. 3, 49 Stat. 1208.) -REFTEXT- REFERENCES IN TEXT The Pomerene Bills of Lading Act, referred to in par. (4), is act Aug. 29, 1916, ch. 415, 39 Stat. 538, as amended, which is classified generally to chapter 4 (Sec. 81 et seq.) of Title 49, Appendix, Transportation. For complete classification of this Act to the Code, see Short Title note set out under section 81 of Title 49, Appendix, and Tables. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1302, 1304, 1306, 1313 of this Appendix. ------DocID 53984 Document 885 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1304 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1304. Rights and immunities of carrier and ship -STATUTE- (1) Unseaworthiness Neither the carrier nor the ship shall be liable for loss or damage arising or resulting from unseaworthiness unless caused by want of due diligence on the part of the carrier to make the ship seaworthy, and to secure that the ship is properly manned, equipped, and supplied, and to make the holds, refrigerating and cool chambers, and all other parts of the ship in which goods are carried fit and safe for their reception, carriage, and preservation in accordance with the provisions of paragraph (1) of section 1303 of this Appendix. Whenever loss or damage has resulted from unseaworthiness, the burden of proving the exercise of due diligence shall be on the carrier or other persons claiming exemption under this section. (2) Uncontrollable causes of loss Neither the carrier nor the ship shall be responsible for loss or damage arising or resulting from - (a) Act, neglect, or default of the master, mariner, pilot, or the servants of the carrier in the navigation or in the management of the ship; (b) Fire, unless caused by the actual fault or privity of the carrier; (c) Perils, dangers, and accidents of the sea or other navigable waters; (d) Act of God; (e) Act of war; (f) Act of public enemies; (g) Arrest or restraint of princes, rulers, or people, or seizure under legal process; (h) Quarantine restrictions; (i) Act or omission of the shipper or owner of the goods, his agent or representative; (j) Strikes or lockouts or stoppage or restraint of labor from whatever cause, whether partial or general: Provided, That nothing herein contained shall be construed to relieve a carrier from responsibility for the carrier's own acts; (k) Riots and civil commotions; (l) Saving or attempting to save life or property at sea; (m) Wastage in bulk or weight or any other loss or damage arising from inherent defect, quality, or vice of the goods; (n) Insufficiency of packing; (o) Insufficiency or inadequacy of marks; (p) Latent defects not discoverable by due diligence; and (q) Any other cause arising without the actual fault and privity of the carrier and without the fault or neglect of the agents or servants of the carrier, but the burden of proof shall be on the person claiming the benefit of this exception to show that neither the actual fault or privity of the carrier nor the fault or neglect of the agents or servants of the carrier contributed to the loss or damage. (3) Freedom from negligence The shipper shall not be responsible for loss or damage sustained by the carrier or the ship arising or resulting from any cause without the act, fault, or neglect of the shipper, his agents, or his servants. (4) Deviations Any deviation in saving or attempting to save life or property at sea, or any reasonable deviation shall not be deemed to be an infringement or breach of this chapter or of the contract of carriage, and the carrier shall not be liable for any loss or damage resulting therefrom: Provided, however, That if the deviation is for the purpose of loading or unloading cargo or passengers it shall, prima facie, be regarded as unreasonable. (5) Amount of liability; valuation of cargo Neither the carrier nor the ship shall in any event be or become liable for any loss or damage to or in connection with the transportation of goods in an amount exceeding $500 per package lawful money of the United States, or in case of goods not shipped in packages, per customary freight unit, or the equivalent of that sum in other currency, unless the nature and value of such goods have been declared by the shipper before shipment and inserted in the bill of lading. This declaration, if embodied in the bill of lading, shall be prima facie evidence, but shall not be conclusive on the carrier. By agreement between the carrier, master, or agent of the carrier, and the shipper another maximum amount than that mentioned in this paragraph may be fixed: Provided, That such maximum shall not be less than the figure above named. In no event shall the carrier be liable for more than the amount of damage actually sustained. Neither the carrier nor the ship shall be responsible in any event for loss or damage to or in connection with the transportation of the goods if the nature or value thereof has been knowingly and fraudulently misstated by the shipper in the bill of lading. (6) Inflammable, explosive, or dangerous cargo Goods of an inflammable, explosive, or dangerous nature to the shipment whereof the carrier, master or agent of the carrier, has not consented with knowledge of their nature and character, may at any time before discharge be landed at any place or destroyed or rendered innocuous by the carrier without compensation, and the shipper of such goods shall be liable for all damages and expenses directly or indirectly arising out of or resulting from such shipment. If any such goods shipped with such knowledge and consent shall become a danger to the ship or cargo, they may in like manner be landed at any place, or destroyed or rendered innocuous by the carrier without liability on the part of the carrier except to general average, if any. -SOURCE- (Apr. 16, 1936, ch. 229, title I, Sec. 4, 49 Stat. 1210.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1302, 1306, 1313 of this Appendix. ------DocID 53985 Document 886 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1305 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1305. Surrender of rights; increase of liabilities; charter parties; general average -STATUTE- A carrier shall be at liberty to surrender in whole or in part all or any of his rights and immunities or to increase any of his responsibilities and liabilities under this chapter, provided such surrender or increase shall be embodied in the bill of lading issued to the shipper. The provisions of this chapter shall not be applicable to charter parties; but if bills of lading are issued in the case of a ship under a charter party, they shall comply with the terms of this chapter. Nothing in this chapter shall be held to prevent the insertion in a bill of lading of any lawful provision regarding general average. -SOURCE- (Apr. 16, 1936, ch. 229, title I, Sec. 5, 49 Stat. 1211.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1306, 1309, 1313 of this Appendix. ------DocID 53986 Document 887 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1306 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1306. Special agreement as to particular goods -STATUTE- Notwithstanding the provisions of sections 1303 to 1305 of this Appendix, a carrier, master or agent of the carrier, and a shipper shall, in regard to any particular goods be at liberty to enter into any agreement in any terms as to the responsibility and liability of the carrier for such goods, and as to the rights and immunities of the carrier in respect of such goods, or his obligation as to seaworthiness (so far as the stipulation regarding seaworthiness is not contrary to public policy), or the care or diligence of his servants or agents in regard to the loading, handling, stowage, carriage, custody, care, and discharge of the goods carried by sea: Provided, That in this case no bill of lading has been or shall be issued and that the terms agreed shall be embodied in a receipt which shall be a nonnegotiable document and shall be marked as such. Any agreement so entered into shall have full legal effect: Provided, That this section shall not apply to ordinary commercial shipments made in the ordinary course of trade but only to other shipments where the character or condition of the property to be carried or the circumstances, terms, and conditions under which the carriage is to be performed are such as reasonably to justify a special agreement. -SOURCE- (Apr. 16, 1936, ch. 229, title I, Sec. 6, 49 Stat. 1211.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1302, 1313 of this Appendix. ------DocID 53987 Document 888 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1307 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1307. Agreement as to liability prior to loading or after discharge -STATUTE- Nothing contained in this chapter shall prevent a carrier or a shipper from entering into any agreement, stipulation, condition, reservation, or exemption as to the responsibility and liability of the carrier or the ship for the loss or damage to or in connection with the custody and care and handling of goods prior to the loading on and subsequent to the discharge from the ship on which the goods are carried by sea. -SOURCE- (Apr. 16, 1936, ch. 229, title I, Sec. 7, 49 Stat. 1212.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1313 of this Appendix. ------DocID 53988 Document 889 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1308 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1308. Rights and liabilities under other provisions -STATUTE- The provisions of this chapter shall not affect the rights and obligations of the carrier under the provisions of the Shipping Act, 1916 (46 App. U.S.C. 801 et seq.), or under the provisions of sections 4281 to 4289, inclusive, of the Revised Statutes of the United States (46 App. 181-188) or of any amendments thereto; or under the provisions of any other enactment for the time being in force relating to the limitation of the liability of the owners of seagoing vessels. -SOURCE- (Apr. 16, 1936, ch. 229, title I, Sec. 8, 49 Stat. 1212.) -REFTEXT- REFERENCES IN TEXT The Shipping Act, 1916, referred to in text, is act Sept. 7, 1916, ch. 451, 39 Stat. 728, as amended, which is classified generally to chapter 23 (Sec. 801 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 842 of this Appendix and Tables. Section 4288 of the Revised Statutes, referred to in text, was classified to section 175 of former Title 46, Shipping, and was repealed by act Oct. 9, 1940, ch. 777, Sec. 7, 54 Stat. 1028. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1313 of this Appendix. ------DocID 53989 Document 890 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1309 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1309. Discrimination between competing shippers -STATUTE- Nothing contained in this chapter shall be construed as permitting a common carrier by water to discriminate between competing shippers similarly placed in time and circumstances, either (a) with respect to their right to demand and receive bills of lading subject to the provisions of this chapter; or (b) when issuing such bills of lading, either in the surrender of any of the carrier's rights and immunities or in the increase of any of the carrier's responsibilities and liabilities pursuant to section 1305 of this Appendix; or (c) in any other way prohibited by the Shipping Act, 1916, as amended (46 App. U.S.C. 801 et seq.). -SOURCE- (Apr. 16, 1936, ch. 229, title II, Sec. 9, 49 Stat. 1212.) -REFTEXT- REFERENCES IN TEXT The Shipping Act, 1916, as amended, referred to in text, is act Sept. 7, 1916, ch. 451, 39 Stat. 728, as amended, which is classified generally to chapter 23 (Sec. 801 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 842 of this Appendix and Tables. ------DocID 53990 Document 891 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1310 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1310. Weight of bulk cargo -STATUTE- Where under the customs of any trade the weight of any bulk cargo inserted in the bill of lading is a weight ascertained or accepted by a third party other than the carrier or the shipper, and the fact that the weight is so ascertained or accepted is stated in the bill of lading, then, notwithstanding anything in this chapter, the bill of lading shall not be deemed to be prima facie evidence against the carrier of the receipt of goods of the weight so inserted in the bill of lading, and the accuracy thereof at the time of shipment shall not be deemed to have been guaranteed by the shipper. -SOURCE- (Apr. 16, 1936, ch. 229, title II, Sec. 11, 49 Stat. 1212.) ------DocID 53991 Document 892 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1311 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1311. Liabilities before loading and after discharge; effect on other laws -STATUTE- Nothing in this chapter shall be construed as superseding any part of sections 190 to 196 of this Appendix, or of any other law which would be applicable in the absence of this chapter, insofar as they relate to the duties, responsibilities, and liabilities of the ship or carrier prior to the time when the goods are loaded on or after the time they are discharged from the ship. -SOURCE- (Apr. 16, 1936, ch. 229, title II, Sec. 12, 49 Stat. 1212.) ------DocID 53992 Document 893 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1312 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1312. Scope of chapter; 'United States'; 'foreign trade' -STATUTE- This chapter shall apply to all contracts for carriage of goods by sea to or from ports of the United States in foreign trade. As used in this chapter the term 'United States' includes its districts, territories, and possessions. The term 'foreign trade' means the transportation of goods between the ports of the United States and ports of foreign countries. Nothing in this chapter shall be held to apply to contracts for carriage of goods by sea between any port of the United States or its possessions, and any other port of the United States or its possessions: Provided, however, That any bill of lading or similar document of title which is evidence of a contract for the carriage of goods by sea between such ports, containing an express statement that it shall be subject to the provisions of this chapter, shall be subjected hereto as fully as if subject hereto by the express provisions of this chapter: Provided further, That every bill of lading or similar document of title which is evidence of a contract for the carriage of goods by sea from ports of the United States, in foreign trade, shall contain a statement that it shall have effect subject to the provisions of this chapter. -SOURCE- (Apr. 16, 1936, ch. 229, title II, Sec. 13, 49 Stat. 1212; Proc. No. 2695, eff. July 4, 1946, 11 F.R. 7517, 60 Stat. 1352.) -COD- CODIFICATION A proviso in second sentence that the Philippine Legislature might by law exclude its application to transportation to or from ports of the Philippine Islands was omitted in view of Proc. No. 2695, set out under section 1394 of Title 22, Foreign Relations and Intercourse, which proclaimed the independence of the Philippines. ------DocID 53993 Document 894 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1313 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1313. Suspension of provisions by President -STATUTE- Upon the certification of the Secretary of Transportation that the foreign commerce of the United States in its competition with that of foreign nations is prejudiced by the provisions, or any of them, of sections 1301 to 1308 of this Appendix, or by the laws of any foreign country or countries relating to the carriage of goods by sea, the President of the United States may, from time to time, by proclamation, suspend any or all provisions of said sections for such periods of time or indefinitely as may be designated in the proclamation. The President may at any time rescind such suspension of said sections, and any provisions thereof which may have been suspended shall thereby be reinstated and again apply to contracts thereafter made for the carriage of goods by sea. Any proclamation of suspension or rescission of any such suspension shall take effect on a date named therein, which date shall be not less than ten days from the issue of the proclamation. Any contract for the carriage of goods by sea, subject to the provisions of this chapter, effective during any period when sections 1301 to 1308 of this Appendix, or any part thereof, are suspended, shall be subject to all provisions of law now or hereafter applicable to that part of said sections which may have thus been suspended. -SOURCE- (Apr. 16, 1936, ch. 229, title II, Sec. 14, 49 Stat. 1213; Aug. 6, 1981, Pub. L. 97-31, Sec. 12(146), 95 Stat. 166.) -MISC1- AMENDMENTS 1981 - Pub. L. 97-31 substituted in first par. 'Secretary of Transportation' for 'Secretary of Commerce'. ------DocID 53994 Document 895 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1314 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1314. Effective date; retroactive effect -STATUTE- This chapter shall take effect ninety days after April 16, 1936; but nothing in this chapter shall apply during a period not to exceed one year following April 16, 1936, to any contract for the carriage of goods by sea, made before April 16, 1936, nor to any bill of lading or similar document of title issued, whether before or after such date in pursuance of any such contract as aforesaid. -SOURCE- (Apr. 16, 1936, ch. 229, title II, Sec. 15, 49 Stat. 1213.) ------DocID 53995 Document 896 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1315 -EXPCITE- TITLE 46 APPENDIX CHAPTER 28 -HEAD- Sec. 1315. Short title -STATUTE- This chapter may be cited as the 'Carriage of Goods by Sea Act.' -SOURCE- (Apr. 16, 1936, ch. 229, title II, Sec. 16, 49 Stat. 1213.) -REFTEXT- REFERENCES IN TEXT This chapter, referred to in text, was in the original 'This Act', meaning act Apr. 16, 1936, ch. 229, 49 Stat. 1207, as amended, which enacted this chapter and amended section 25 of former Title 49, Transportation. For complete classification of this Act to the Code, see Tables. ------DocID 53996 Document 897 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 34 -EXPCITE- TITLE 46 APPENDIX CHAPTER 34 -HEAD- CHAPTER 34 - SAFE CONTAINERS FOR INTERNATIONAL CARGO -MISC1- Sec. 1501. Definitions. 1502. Duties of owners of containers. (a) Initial approval of containers; periodic examination. (b) Repealed. 1503. Duties of Secretary of Transportation. (a) Enforcement. (b) Regulations. (c) Affixation of approval plate; delegation of authority; fees. (d) Method of delegating authority. (e) Intermodal transport. 1504. Areas of enforcement. (a) Examination of containers; detention orders; restriction or removal of containers from service. (b) Costs of examinations. (c) Presumption of safe condition. (d) Notification of detention or other order; duration of order. (e) Notification to foreign country of defect at time of approval. 1505. Penalties. (a) Civil penalty. (b) Assessment, collection, remission, mitigation, and compromise of penalties. 1506. Employee protection. (a) Discrimination against a reporting employee prohibited. (b) Complaint alleging discrimination. (c) Investigation by Secretary of Labor; judicial relief. (d) Notification to complainant of intended action. 1507. Amendments to Convention. (a) Proposed amendments; advice and consent of Senate; declaration of non-acceptance. (b) Amendment of Convention annexes. (c) Appointment of arbitrator. ------DocID 53997 Document 898 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1501 -EXPCITE- TITLE 46 APPENDIX CHAPTER 34 -HEAD- Sec. 1501. Definitions -STATUTE- As used in this chapter - (a) The term 'Secretary' means the Secretary of Transportation. (b) The term 'Convention' means the International Convention for Safe Containers, and the annexes thereto, done at Geneva, Switzerland, December 2, 1972. (c) The term 'container' shall have the same meaning as that term is defined in the Convention. (d) The term 'international transport' means the transportation of a container - (1) to any place within the jurisdiction of the United States from a place within a foreign country; (2) by United States carriers between two points both of which are outside of the United States; or (3) from any place within the jurisdiction of the United States to any place within a foreign country. (e) The term 'United States' includes the several States, the District of Columbia, the Commonwealth of Puerto Rico, the Canal Zone, Guam, American Samoa, the United States Virgin Islands, the Trust Territory of the Pacific Islands, and any other territory or possession of the United States. (f) The term 'new container' means a container (other than a container specially designed for air transport) which is used or is designed for use in international transport, the construction of which began on or after September 6, 1977. (g) The term 'existing container' means a container (other than a container specially designed for air transport) which is used or is designed for use in international transport and which is not a new container. (h) The term 'owner' means a person who owns a container, or, if a written lease or bailment provides for the lessee or bailee to exercise the owner's responsibility for maintaining and examining the container, the lessee or bailee of a container, to the extent such agreement so provides. (i) The term 'safety approval plate' shall have the same meaning as that term is defined in annex I of the Convention. -SOURCE- (Pub. L. 95-208, Sec. 2, Dec. 13, 1977, 91 Stat. 1475.) -REFTEXT- REFERENCES IN TEXT For definition of Canal Zone, referred to in subsec. (e), see section 3602(b) of Title 22, Foreign Relations and Intercourse. -MISC2- SHORT TITLE Section 1 of Pub. L. 95-208 provided: 'That this Act (enacting this chapter) may be cited as the 'International Safe Container Act'.' ------DocID 53998 Document 899 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1502 -EXPCITE- TITLE 46 APPENDIX CHAPTER 34 -HEAD- Sec. 1502. Duties of owners of containers -STATUTE- (a) Initial approval of containers; periodic examination Beginning on the date the instrument of ratification is deposited by the United States in accordance with the provisions of article VII of the Convention, for new containers, and beginning on September 6, 1982, for existing containers, the owner of each such container - (1) who is domiciled and has his principal office in the United States, shall have each such container initially approved in accordance with the procedure established by the Secretary or by the administration of another contracting party to the Convention; and shall, thereafter, have each such container periodically examined, as provided in the Convention, in accordance with the procedure established by the Secretary; and (2) who is either domiciled or has his principal office in the United States, shall have each such container initially approved in accordance with the procedure established by the Secretary or by the administration of another contracting party to the Convention; and shall, thereafter, have each such container periodically examined, as provided in the Convention, in accordance with the procedure established by the administration of either the country where he is domiciled or has his principal office (so long as such country is a party to the Convention). Any owner of either a new or existing container who is neither domiciled nor maintains a principal office in the United States, or in any other country which is a party to the Convention, may submit their containers for approval and periodic examination according to the procedure established by the Secretary. (b) Repealed. Pub. L. 101-225, title III, Sec. 307(10), Dec. 12, 1989, 103 Stat. 1925 -SOURCE- (Pub. L. 95-208, Sec. 3, Dec. 13, 1977, 91 Stat. 1476; Pub. L. 97-249, Sec. 1(1), Sept. 8, 1982, 96 Stat. 708; Pub. L. 101-225, title III, Sec. 307(10), Dec. 12, 1989, 103 Stat. 1925.) -MISC1- AMENDMENTS 1989 - Subsec. (b). Pub. L. 101-225 struck out subsec. (b) which related to approval of existing containers. 1982 - Subsec. (b). Pub. L. 97-249 substituted 'before January 1, 1985, an owner of an approved existing container may have a safety approval plate affixed to it, if that container' for 'before September 6, 1982, an owner of an existing container may have such container approved according to the procedure established by the Secretary, and have a safety approval plate affixed to it, if such container'. EFFECTIVE DATE OF 1982 AMENDMENT Section 2 of Pub. L. 97-249 provided that: 'This Act (amending this section and section 1504 of this Appendix) shall take effect on the later of the date of its enactment (Sept. 8, 1982) or September 6, 1982.' ------DocID 53999 Document 900 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1503 -EXPCITE- TITLE 46 APPENDIX CHAPTER 34 -HEAD- Sec. 1503. Duties of Secretary of Transportation -STATUTE- (a) Enforcement On and after the date the instrument of ratification is deposited by the United States in accordance with the provisions of article VII of the Convention, the Secretary shall enforce and carry out the provisions of the Convention, and, unless an earlier date is specifically provided, the provisions of this chapter, in the United States. (b) Regulations The Secretary shall, as soon as practicable after December 13, 1977, promulgate, and from time to time, amend, those regulations he deems necessary for such enforcement. Such regulations, among other things, shall - (1) establish procedures for the testing, inspection, and initial approval of existing and new containers and of designs for new containers, including procedures relating to the affixing, invalidating, and removal of safety approval plates for containers; (2) establish procedures to be followed by owners of containers relating to the periodic examination of containers, as provided in the Convention; and (3) provide a method for developing, collecting, and disseminating data concerning container safety and the international transport of containers. (c) Affixation of approval plate; delegation of authority; fees At any time after December 13, 1977, the Secretary may - (1) authorize the affixation of a safety approval plate to any container which, after examination, is found not to have a safety approval plate attached to it and which the owner has established meets the standards of the Convention; (2) delegate and withdraw the delegation of authority to initially approve existing and new containers and designs for new containers, and to authorize the affixing of safety approval plates; and (3) establish a schedule of fees to be charged and collected for services performed by the Secretary, or under authority delegated by the Secretary, relating to the testing, inspection, and initial approval of containers and container designs. (d) Method of delegating authority Those delegations made under subsection (c)(2) of this section may be made to any person, including any public or private agency or nonprofit organization. The Secretary (FOOTNOTE 1) before making any delegation under such subsection, shall promulgate regulations relating to - (FOOTNOTE 1) So in original. Probably should be followed by a comma. (1) the criteria to be followed in selecting a person, public or private agency, or nonprofit organization as a recipient of delegated functions under such subsection; (2) the manner in which such recipient shall carry out such delegated functions, including the records such recipient must keep, and a detailed description of the exact functions such recipient may exercise; and (3) the review that will be carried out by the Secretary to determine that any recipient of delegated functions is performing properly the functions so delegated. No recipient of authority delegated under such subsection may assess or collect, or attempt to assess or collect, any penalty for violation of any provision of this chapter, the Convention, or any order of the Secretary issued under this chapter, or issue or attempt to issue any detention or other order. Any records required to be kept by regulations promulgated by the Secretary under this subsection shall be available to the Secretary, for inspection, upon request. The name and address of the recipient, if other than the owner, together with the functions so delegated and the period of designation, shall be published in the Federal Register and otherwise publicized as appropriate. (e) Intermodal transport The Secretary shall, to the maximum possible extent, encourage the development and use of intermodal transport, using containers constructed to facilitate economical, safe, and expeditious handling of containerized cargo without intermediate reloading while such cargo is in transport over land, air, and sea areas. -SOURCE- (Pub. L. 95-208, Sec. 4, Dec. 13, 1977, 91 Stat. 1476.) ------DocID 54000 Document 901 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1504 -EXPCITE- TITLE 46 APPENDIX CHAPTER 34 -HEAD- Sec. 1504. Areas of enforcement -STATUTE- (a) Examination of containers; detention orders; restriction or removal of containers from service (1) On and after the date the instrument of ratification is deposited by the United States in accordance with the provisions of article VII of the Convention, to ensure compliance with this chapter, and with the Convention, the Secretary may - (A) examine, or require to be examined, new containers, and existing containers which are subject to this chapter, in international transport, and test, inspect, and approve designs for new containers and new containers being manufactured; (B) issue a detention order removing or excluding a container from service until the owner of the container establishes to the Secretary's satisfaction that the container meets the standards of the Convention, if the container is subject to this chapter and does not have a valid safety approval plate attached to it, or if there is significant evidence that such a container bearing a safety approval plate is in a condition which creates an obvious risk to safety; and (C) take whatever other appropriate action he deems necessary, including issuance of any necessary orders, to remove the container involved from service, or restrict its use, in those instances where he finds that a container is not in compliance with the provisions of this chapter or the Convention but does not present an obvious risk to safety. The Secretary may permit the movement to another location of a container which he finds to be unsafe or which does not have a valid safety approval plate affixed to it, under whatever restriction he considers necessary and consistent with the intent of the Convention, for repair or other appropriate disposition. (2) Beginning on January 1, 1985, the Secretary may examine or require to be examined any existing container in international transport. (b) Costs of examinations The owner of the container involved in any action taken by the Secretary under this section with respect to an examination of a container, shall pay for or reimburse the Secretary for expenses arising from such actions, except for the costs of routine examinations of containers or safety approval plates. In addition, the owner of containers submitted to the procedure established by the Secretary for testing, inspection, and initial approval, and the manufacturers who submit designs of containers to the procedures established by the Secretary for testing, inspection, and initial approval shall pay for or reimburse the Secretary for the expenses arising from such testing, inspection or approval. Funds received by the Secretary in reimbursement shall be credited to the appropriations bearing the cost thereof. (c) Presumption of safe condition A container bearing a safety approval plate authorized by a country which is a party to the Convention shall be presumed to be in a safe condition unless there is significant evidence that the container creates an obvious risk to safety. (d) Notification of detention or other order; duration of order Whenever the Secretary issues a detention or other order under this section, he shall promptly notify, in writing, either the owner of the container subject to such order, his agent, or, when the identity of such owner is not apparent from the container of shipping documents, the custodian. The notification shall reasonably identify the container involved, give the location of the container, and reasonably describe the condition or situation which gave rise to the order. An order issued by the Secretary under this section shall remain in effect until the container is declared by the Secretary, or under regulations promulgated by the Secretary, to be in compliance with the standards of the Convention, or until it is permanently removed from service, whichever first occurs. (e) Notification to foreign country of defect at time of approval If there is reason to believe that a container to which there is affixed a safety approval plate issued by a foreign country was defective at the time of approval, the Secretary shall notify the country which issued the approval of such defect. -SOURCE- (Pub. L. 95-208, Sec. 5, Dec. 13, 1977, 91 Stat. 1477; Pub. L. 97-249, Sec. 1(2), Sept. 8, 1982, 96 Stat. 708.) -MISC1- AMENDMENTS 1982 - Subsec. (a)(2). Pub. L. 97-249 substituted 'January 1, 1985' for 'September 6, 1982'. EFFECTIVE DATE OF 1982 AMENDMENT Amendment by Pub. L. 97-249 effective Sept. 8, 1982, see section 2 of Pub. L. 97-249, set out as a note under section 1502 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1505 of this Appendix. ------DocID 54001 Document 902 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1505 -EXPCITE- TITLE 46 APPENDIX CHAPTER 34 -HEAD- Sec. 1505. Penalties -STATUTE- (a) Civil penalty On and after the date the instrument of ratification is deposited by the United States in accordance with the provisions of article VII of the Convention, any owner, agent, or custodian who - (1) has been notified of an order issued by the Secretary under section 1504 of this Appendix; and (2) fails to take reasonable and prompt action to prevent or stop a container subject to that order from being moved in violation of that order; shall be subject to a civil penalty of not more than $5,000 for each container so moved. Each day the container remains in service while the order is in effect shall be treated as a separate violation. (b) Assessment, collection, remission, mitigation, and compromise of penalties The Secretary shall assess and collect any penalty incurred under this section, and, in his discretion may remit, mitigate, or compromise any such penalty. No penalty shall be assessed until after the person charged has been given notice and an opportunity for a hearing. In assessing, remitting, mitigating, or compromising a penalty the Secretary shall consider the gravity of the violation, the hazards involved, and the record of the person charged with respect to violations of this chapter or of the Convention. Upon failure of any person to pay any penalty assessed against him by the Secretary, the Secretary shall request the Attorney General to begin an action in any district court of the United States to recover the amount of the penalty unpaid. -SOURCE- (Pub. L. 95-208, Sec. 6, Dec. 13, 1977, 91 Stat. 1478.) ------DocID 54002 Document 903 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1506 -EXPCITE- TITLE 46 APPENDIX CHAPTER 34 -HEAD- Sec. 1506. Employee protection -STATUTE- (a) Discrimination against a reporting employee prohibited No person shall discharge or in any manner discriminate against an employee because the employee has reported the existence of an unsafe container or reported a violation of this chapter to the Secretary or his agents. (b) Complaint alleging discrimination An employee who believes that he has been discharged or discriminated against in violation of this section may, within 60 days after the violation occurs, file a complaint alleging discrimination with the Secretary of Labor. (c) Investigation by Secretary of Labor; judicial relief The Secretary of Labor may investigate the complaint and, if he determines that this section has been violated, bring an action in an appropriate United States district court. The district court shall have jurisdiction to restrain violations of subsection (a) of this section and to order appropriate relief, including rehiring and reinstatement of the employee to his former position with back pay. (d) Notification to complainant of intended action Within 30 days after the receipt of a complaint filed under this section the Secretary of Labor shall notify the complainant of his intended action regarding the complaint. -SOURCE- (Pub. L. 95-208, Sec. 7, Dec. 13, 1977, 91 Stat. 1479.) ------DocID 54003 Document 904 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1507 -EXPCITE- TITLE 46 APPENDIX CHAPTER 34 -HEAD- Sec. 1507. Amendments to Convention -STATUTE- (a) Proposed amendments; advice and consent of Senate; declaration of non-acceptance The Secretary of State, with the concurrence of the Secretary, may propose amendments to the Convention or may request a conference for amending the Convention in accordance with article IX of the Convention. An amendment communicated to the United States in accordance with article IX(2) of the Convention may be accepted for the United States by the President, with the advice and consent of the Senate. The President may make a declaration that the United States does not accept an amendment. (b) Amendment of Convention annexes The Secretary of State, with the concurrence of the Secretary, may propose amendments to the annexes of the Convention, may propose a conference for amending annexes to the Convention and shall consider and act on amendments to the annexes of the Convention adopted by the Maritime Safety Committee and communicated to the United States in accordance with article X(2) of the Convention. If a proposed amendment is approved by the United States, the amendment shall enter into force in accordance with article X of the Convention. If any proposed amendment is objected to, the Secretary of State shall promptly communicate the objection as provided in article X(3) of the Convention. (c) Appointment of arbitrator The Secretary of State, with the concurrence of the Secretary, shall appoint an arbitrator when one is required to resolve a dispute within the meaning of article XIII of the Convention. -SOURCE- (Pub. L. 95-208, Sec. 8, Dec. 13, 1977, 91 Stat. 1479.) ------DocID 54004 Document 905 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 35 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- CHAPTER 35 - MARITIME ADMINISTRATION -MISC1- Sec. 1601. Transfer of Administration. 1602. Transfer of functions, powers, and duties. 1603. Administrator; appointment, compensation, etc. 1604. Exercise of authorities. 1605. Transfer of personnel and funds. 1607. Use of personnel for implementation of transfer provisions. 1608. Administrative determinations and proceedings. (a) Continuation in effect of orders, determinations, etc., issued, made, granted, or effective in performance of functions transferred. (b) Continuation of pending proceedings and applications during transfer period; Maritime Subsidy Board actions pending on review; promulgation of regulations for orderly transfer of continued proceedings. (c) Actions and proceedings commenced prior to transfer of functions. (d) Abatement of actions, proceedings, etc. (e) Substitution of parties. (f) Administrative and judicial review procedures applicable. 1609. References in other Federal laws to functions or offices transferred. 1610. Severability. ------DocID 54005 Document 906 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1601 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1601. Transfer of Administration -STATUTE- The Maritime Administration of the Department of Commerce is transferred to the Department of Transportation. -SOURCE- (Pub. L. 97-31, Sec. 2, Aug. 6, 1981, 95 Stat. 151.) -MISC1- SHORT TITLE Section 1 of Pub. L. 97-31 provided: 'That this Act (see Tables for classification) may be cited as the 'Maritime Act of 1981'.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 49 section 109. ------DocID 54006 Document 907 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1602 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1602. Transfer of functions, powers, and duties -STATUTE- There are transferred to the Department of Transportation and vested in the Secretary of Transportation all functions, powers, and duties relating to the Maritime Administration of the Secretary of Commerce and of officers and offices of the Department of Commerce. -SOURCE- (Pub. L. 97-31, Sec. 3, Aug. 6, 1981, 95 Stat. 151.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 10 section 2664. ------DocID 54007 Document 908 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1603 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1603. Administrator; appointment, compensation, etc. -STATUTE- There shall be at the head of the Maritime Administration an Administrator, who shall be appointed by the President, by and with the advice and consent of the Senate, and who shall be compensated at the rate provided for level III of the Executive Schedule. The Maritime Administrator shall report directly to the Secretary of Transportation and shall perform such duties as the Secretary of Transportation shall prescribe. -SOURCE- (Pub. L. 97-31, Sec. 4, Aug. 6, 1981, 95 Stat. 151.) -REFTEXT- REFERENCES IN TEXT Level III of the Executive Schedule, referred to in text, is set out in section 5314 of Title 5, Government Organization and Employees. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 49 section 109. ------DocID 54008 Document 909 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1604 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1604. Exercise of authorities -STATUTE- In carrying out any function transferred by this Act, the Secretary of Transportation may exercise any authority available by law to the Secretary of Commerce with respect to such function and the actions of the Secretary of Transportation in exercising such authority shall have the same force and effect as if exercised by the Secretary of Commerce on the day preceding August 6, 1981. -SOURCE- (Pub. L. 97-31, Sec. 5, Aug. 6, 1981, 95 Stat. 151.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 97-31, Aug. 6, 1981, 95 Stat. 151, known as the Maritime Act of 1981. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of this Appendix and Tables. ------DocID 54009 Document 910 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1605 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1605. Transfer of personnel and funds -STATUTE- The personnel employed in connection with, and the assets, liabilities, contracts, property, facilities, records, and unexpended balance of appropriations, and other funds employed, held, used, arising from, available to, or to be made available in connection with the functions and offices, or portions thereof, transferred by this Act, including all Senior Executive Service positions, subject to section 1531 of title 31, shall be transferred to the Secretary of Transportation for appropriate allocation. Personnel employed in connection with functions transferred by this Act shall be transferred in accordance with any applicable laws and regulations relating to transfer of functions. Unexpended funds transferred pursuant to this section shall be used only for the purposes for which the funds were originally authorized and appropriated, except that such funds may be used for the expenses associated with the transfer pursuant to this Act. -SOURCE- (Pub. L. 97-31, Sec. 6, Aug. 6, 1981, 95 Stat. 151.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 97-31, Aug. 6, 1981, 95 Stat. 151, known as the Maritime Act of 1981. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of this Appendix and Tables. -COD- CODIFICATION 'Section 1531 of title 31' substituted in text for 'section 202 of the Budget and Accounting Procedures Act of 1950 (31 U.S.C. 581c)' on authority of Pub. L. 97-258, Sec. 4(b), Sept. 13, 1982, 96 Stat. 1067, the first section of which enacted Title 31, Money and Finance. ------DocID 54010 Document 911 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1607 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1607. Use of personnel for implementation of transfer provisions -STATUTE- With the consent of the Secretary of Commerce, the Secretary of Transportation may use the services of such officers, employees, and other personnel of the Department of Commerce as needed to implement this Act. -SOURCE- (Pub. L. 97-31, Sec. 8, Aug. 6, 1981, 95 Stat. 152.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 97-31, Aug. 6, 1981, 95 Stat. 151, known as the Maritime Act of 1981. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of this Appendix and Tables. ------DocID 54011 Document 912 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1608 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1608. Administrative determinations and proceedings -STATUTE- (a) Continuation in effect of orders, determinations, etc., issued, made, granted, or effective in performance of functions transferred All orders, determinations, rules, regulations, permits, grants, contracts, agreements, certificates, licenses, and privileges - (1) which have been issued, made, granted, or allowed to become effective by the President, any Federal department or agency or official thereof, or by a court of competent jurisdiction, in the performance of functions which are transferred under this Act to the Secretary of Transportation or the Department of Transportation, and (2) which are in effect on August 6, 1981, shall continue in effect according to their terms until modified, terminated, superseded, set aside, or revoked in accordance with law by the President, the Secretary of Transportation, or other authorized official, a court of competent jurisdiction, or by operation of law. (b) Continuation of pending proceedings and applications during transfer period; Maritime Subsidy Board actions pending on review; promulgation of regulations for orderly transfer of continued proceedings (1) This Act does not affect any proceedings, including notices of proposed rulemaking, or any application for any license, permit, certificate, or financial assistance, pending on August 6, 1981, but such proceedings and applications, to the extent that they relate to functions so transferred and except as provided in paragraph (2), shall be continued at the Department of Transportation. Orders shall be issued in such proceedings, appeals shall be taken therefrom, and payments shall be made pursuant to such orders, as if this Act had not been enacted; and orders issued in any such proceedings shall continue in effect until modified, terminated, superseded, or revoked by the Secretary of Transportation, by a court of competent jurisdiction, or by operation of law. This subsection does not prohibit the discontinuance or modification of any such proceeding under the same terms and conditions and to the same extent that the proceeding could have been discontinued or modified if this Act had not been enacted. (2) Actions of the Maritime Subsidy Board pending on review before the Secretary of Commerce on the day preceding August 6, 1981, shall remain with the Secretary of Commerce, unless otherwise agreed between the Secretary of Commerce and the Secretary of Transportation, for final administrative disposition as though this Act had not been enacted. (3) The Secretary of Transportation may promulgate regulations providing for the orderly transfer of proceedings continued under paragraph (1). (c) Actions and proceedings commenced prior to transfer of functions Except as provided in subsection (e) of this section - (1) the provisions of this Act shall not affect actions commenced prior to August 6, 1981, and (2) in all such actions, proceedings shall be had, appeals taken, and judgments rendered in the same manner and effect as if this Act had not been enacted. (d) Abatement of actions, proceedings, etc. No action or other proceeding commenced by or against any officer of the Maritime Administration in his official capacity shall abate by reason of the enactment of this Act. No cause of action by or against the Maritime Administration or by or against any officer of the Maritime Administration in his official capacity shall abate by reason of the enactment of this Act. (e) Substitution of parties If, before August 6, 1981, the Secretary of Commerce is a party to an action, and under this Act any function of the Secretary of Commerce which is the subject of the action is transferred to the Secretary of Transportation, then such action shall be continued with the Secretary of Transportation substituted as a party. (f) Administrative and judicial review procedures applicable Orders and actions of the Secretary of Transportation in the exercise of functions transferred under this Act shall be subject to judicial review as if such orders and actions had been by the Secretary of Commerce exercising such functions immediately preceding their transfer. Any statutory requirements relating to notice, hearings, action upon the record, or administrative review that apply to any function transferred by this Act shall apply to the exercise of such function by the Secretary of Transportation. -SOURCE- (Pub. L. 97-31, Sec. 9, Aug. 6, 1981, 95 Stat. 152.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 97-31, Aug. 6, 1981, 95 Stat. 151, known as the Maritime Act of 1981. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of this Appendix and Tables. ------DocID 54012 Document 913 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1609 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1609. References in other Federal laws to functions or offices transferred -STATUTE- With respect to any function or office transferred by this Act and exercised on or after August 6, 1981, reference in any other Federal law to the Maritime Administration or any of its predecessor agencies or any officer or office the functions of which are so transferred shall be deemed to refer to the Secretary of Transportation, other official, or component of the Department of Transportation to which this Act transfers such functions. -SOURCE- (Pub. L. 97-31, Sec. 10, Aug. 6, 1981, 95 Stat. 153.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 97-31, Aug. 6, 1981, 95 Stat. 151, known as the Maritime Act of 1981. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of this Appendix and Tables. ------DocID 54013 Document 914 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1610 -EXPCITE- TITLE 46 APPENDIX CHAPTER 35 -HEAD- Sec. 1610. Severability -STATUTE- If any provisions of this Act or the application thereof to any person or circumstance is held invalid, neither the remainder of this Act nor the application of such provision to other persons or circumstances shall be affected thereby. -SOURCE- (Pub. L. 97-31, Sec. 11, Aug. 6, 1981, 95 Stat. 153.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 97-31, Aug. 6, 1981, 95 Stat. 151, known as the Maritime Act of 1981. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of this Appendix and Tables. ------DocID 54014 Document 915 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 36 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- CHAPTER 36 - INTERNATIONAL OCEAN COMMERCE TRANSPORTATION -MISC1- Sec. 1701. Declaration of policy. 1702. Definitions. 1703. Agreements within scope of chapter. (a) Ocean common carriers. (b) Marine terminal operators. (c) Acquisitions. 1704. Agreements. (a) Filing requirements. (b) Conference agreements. (c) Interconference agreements. (d) Assessment agreements. (e) Maritime labor agreements. 1705. Action on agreements. (a) Notice. (b) Review standard. (c) Review and effective date. (d) Additional information. (e) Request for expedited approval. (f) Term of agreements. (g) Substantially anticompetitive agreements. (h) Injunctive relief. (i) Compliance with informational needs. (j) Nondisclosure of submitted material. (k) Representation. 1706. Exemption from antitrust laws. (a) In general. (b) Exceptions. (c) Limitations. 1707. Tariffs. (a) In general. (b) Time-volume rates. (c) Service contracts. (d) Rates. (e) Refunds. (f) Form. 1708. Controlled carriers. (a) Controlled carrier rates. (b) Rate standards. (c) Effective date of rates. (d) Disapproval of rates. (e) Presidential review. (f) Exceptions. 1709. Prohibited acts. (a) In general. (b) Common carriers. (c) Concerted action. (d) Common carriers, ocean freight forwarders, and marine terminal operators. (e) Joint ventures. 1710. Complaints, investigations, reports, and reparations. (a) Filing of complaints. (b) Satisfaction or investigation of complaints. (c) Commission investigations. (d) Conduct of investigation. (e) Undue delays. (f) Reports. (g) Reparations. (h) Injunction. 1710a. Foreign laws and practices. (a) Definitions. (b) Authority to conduct investigations. (c) Investigations. (d) Information requests. (e) Action against foreign carriers. (f) Actions upon request of Commission. (g) Report. (h) Administration and enforcement of other laws. (i) Review of rules, regulations, and final orders of Commission; exclusive procedure. 1711. Subpenas and discovery. (a) In general. (b) Witness fees. 1712. Penalties. (a) Assessment of penalty. (b) Additional penalties. (c) Assessment procedures. (d) Review of civil penalty. (e) Failure to pay assessment. (f) Limitations. 1713. Commission orders. (a) In general. (b) Reversal or suspension of orders. (c) Enforcement of nonreparation orders. (d) Enforcement of reparation orders. (e) Statute of limitations. 1714. Reports and certificates. (a) Reports. (b) Certification. 1715. Exemptions. 1716. Regulations. 1717. Agency reports and Advisory Commission. (a) Collection of data. (b) Consultation with other departments and agencies. (c) Agency reports. (d) Establishment and composition of Advisory Commission. (e) Compensation of members of Advisory Commission. (f) Advisory Commission functions. (g) Powers of Advisory Commission. (h) Final report. (i) Expiration of Commission. (j) Authorization of appropriation. 1718. Ocean freight forwarders. (a) License. (b) Suspension or revocation. (c) Exception. (d) Compensation of forwarders by carriers. 1719. Contracts, agreements, and licenses under prior shipping legislation. (a) to (c) Omitted. (d) Effects on certain agreements and contracts. (e) Savings provisions. 1721. Bonding of non-vessel-operating common carriers. (a) Bond. (b) Surety. (c) Claims against bond. (d) Resident agent. (e) Tariffs. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in title 19 section 1641. ------DocID 54015 Document 916 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1701 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1701. Declaration of policy -STATUTE- The purposes of this chapter are - (1) to establish a nondiscriminatory regulatory process for the common carriage of goods by water in the foreign commerce of the United States with a minimum of government intervention and regulatory costs; (2) to provide an efficient and economic transportation system in the ocean commerce of the United States that is, insofar as possible, in harmony with, and responsive to, international shipping practices; and (3) to encourage the development of an economically sound and efficient United States-flag liner fleet capable of meeting national security needs. -SOURCE- (Pub. L. 98-237, Sec. 2, Mar. 20, 1984, 98 Stat. 67.) -REFTEXT- REFERENCES IN TEXT This chapter, referred to in text, was in the original 'this Act' meaning Pub. L. 98-237, Mar. 20, 1984, 98 Stat. 67, as amended, known as the Shipping Act of 1984. For complete classification of this Act to the Code, see Short Title note below and Tables. -MISC2- EFFECTIVE DATE Section 21 of Pub. L. 98-237, which provided that Pub. L. 98-237 (see Short Title note below) shall become effective 90 days after Mar. 20, 1984, except that sections 1716 and 1717 of this Appendix shall become effective Mar. 20, 1984, was repealed by Pub. L. 101-225, title III, Sec. 307(11), Dec. 12, 1989, 103 Stat. 1925. SHORT TITLE OF 1990 AMENDMENT Pub. L. 101-595, title VII, Sec. 710(a), Nov. 16, 1990, 104 Stat. 2996, provided that: 'This section (enacting section 1721 of this Appendix, amending section 1709 of this Appendix, and enacting provisions set out as notes under sections 1709 and 1721 of this Appendix) may be cited as the 'Non-Vessel-Operating Common Carrier Amendments of 1990'.' SHORT TITLE OF 1988 AMENDMENT Pub. L. 100-418, title X, Sec. 10001, Aug. 23, 1988, 102 Stat. 1570, provided that: 'This subtitle (subtitle A (Sec. 10001-10003) of title X of Pub. L. 100-418, enacting section 1710a of this Appendix, amending section 1122b of this Appendix, and enacting provisions set out as a note under section 3302 of Title 46, Shipping) may be cited as the 'Foreign Shipping Practices Act of 1988'.' SHORT TITLE Section 1 of Pub. L. 98-237 provided: 'That this Act (enacting this chapter, amending sections 801, 812, 814, 815, 816, 817, 819, 820, 821, 824, 828, 829, 830, 831, 841c, 1122, and 1124 of this Appendix, repealing sections 813, 813a, 825, and 841b of this Appendix, enacting provisions set out as notes under this section, and repealing provisions set out as a note under section 801 of this Appendix) may be cited as the 'Shipping Act of 1984'.' ------DocID 54016 Document 917 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1702 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1702. Definitions -STATUTE- As used in this chapter - (1) 'agreement' means an understanding, arrangement, or association (written or oral) and any modification or cancellation thereof; but the term does not include a maritime labor agreement. (2) 'antitrust laws' means the Act of July 2, 1890 (ch. 647, 26 Stat. 209), as amended (15 U.S.C. 1 et seq.); the Act of October 15, 1914 (ch. 323, 38 Stat. 730), as amended (15 U.S.C. 12 et seq.); the Federal Trade Commission Act (38 Stat. 717), as amended (15 U.S.C. 41 et seq.); sections 73 and 74 of the Act of August 27, 1894 (28 Stat. 570), as amended (15 U.S.C. 8 and 9); the Act of June 19, 1936 (ch. 592, 49 Stat. 1526), as amended (15 U.S.C. 13, 13a, 13b, 21a); the Antitrust Civil Process Act (76 Stat. 548), as amended (15 U.S.C. 1311 et seq.); and amendments and Acts supplementary thereto. (3) 'assessment agreement' means an agreement, whether part of a collective-bargaining agreement or negotiated separately, to the extent that it provides for the funding of collectively bargained fringe benefit obligations on other than a uniform man-hour basis, regardless of the cargo handled or type of vessel or equipment utilized. (4) 'bulk cargo' means cargo that is loaded and carried in bulk without mark or count. (5) 'Commission' means the Federal Maritime Commission. (6) 'common carrier' means a person holding itself out to the general public to provide transportation by water of passengers or cargo between the United States and a foreign country for compensation that - (A) assumes responsibility for the transportation from the port or point of receipt to the port or point of destination, and (B) utilizes, for all or part of that transportation, a vessel operating on the high seas or the Great Lakes between a port in the United States and a port in a foreign country, except that the term does not include a common carrier engaged in ocean transportation by ferry boat, ocean tramp, or chemical parcel-tanker. As used in this paragraph, 'chemical parcel-tanker' means a vessel whose cargo-carrying capability consists of individual cargo tanks for bulk chemicals that are a permanent part of the vessel, that have segregation capability with piping systems to permit simultaneous carriage of several bulk chemical cargoes with minimum risk of cross-contamination, and that has a valid certificate of fitness under the International Maritime Organization Code for the Construction and Equipment of Ships Carrying Dangerous Chemicals in Bulk. (7) 'conference' means an association of ocean common carriers permitted, pursuant to an approved or effective agreement, to engage in concerted activity and to utilize a common tariff; but the term does not include a joint service, consortium, pooling, sailing, or transshipment arrangement. (8) 'controlled carrier' means an ocean common carrier that is, or whose operating assets are, directly or indirectly, owned or controlled by the government under whose registry the vessels of the carrier operate; ownership or control by a government shall be deemed to exist with respect to any carrier if - (A) a majority portion of the interest in the carrier is owned or controlled in any manner by that government, by any agency thereof, or by any public or private person controlled by that government; or (B) that government has the right to appoint or disapprove the appointment of a majority of the directors, the chief operating officer, or the chief executive officer of the carrier. (9) 'deferred rebate' means a return by a common carrier of any portion of the freight money to a shipper as a consideration for that shipper giving all, or any portion, of its shipments to that or any other common carrier, or for any other purpose, the payment of which is deferred beyond the completion of the service for which it is paid, and is made only if, during both the period for which computed and the period of deferment, the shipper has complied with the terms of the rebate agreement or arrangement. (10) 'fighting ship' means a vessel used in a particular trade by an ocean common carrier or group of such carriers for the purpose of excluding, preventing, or reducing competition by driving another ocean common carrier out of that trade. (11) 'forest products' means forest products in an unfinished or semifinished state that require special handling moving in lot sizes too large for a container, including, but not limited to lumber in bundles, rough timber, ties, poles, piling, laminated beams, bundled siding, bundled plywood, bundled core stock or veneers, bundled particle or fiber boards, bundled hardwood, wood pulp in rolls, wood pulp in unitized bales, paper board in rolls, and paper in rolls. (12) 'inland division' means the amount paid by a common carrier to an inland carrier for the inland portion of through transportation offered to the public by the common carrier. (13) 'inland portion' means the charge to the public by a common carrier for the nonocean portion of through transportation. (14) 'loyalty contract' means a contract with an ocean common carrier or conference, other than a service contract or contract based upon time-volume rates, by which a shipper obtains lower rates by committing all or a fixed portion of its cargo to that carrier or conference. (15) 'marine terminal operator' means a person engaged in the United States in the business of furnishing wharfage, dock, warehouse, or other terminal facilities in connection with a common carrier. (16) 'maritime labor agreement' means a collective-bargaining agreement between an employer subject to this chapter, or group of such employers, and a labor organization representing employees in the maritime or stevedoring industry, or an agreement preparatory to such a collective-bargaining agreement among members of a multiemployer bargaining group, or an agreement specifically implementing provisions of such a collective-bargaining agreement or providing for the formation, financing, or administration of a multiemployer bargaining group; but the term does not include an assessment agreement. (17) 'non-vessel-operating common carrier' means a common carrier that does not operate the vessels by which the ocean transportation is provided, and is a shipper in its relationship with an ocean common carrier. (18) 'ocean common carrier' means a vessel-operating common carrier. (19) 'ocean freight forwarder' means a person in the United States that - (A) dispatches shipments from the United States via common carriers and books or otherwise arranges space for those shipments on behalf of shippers; and (B) processes the documentation or performs related activities incident to those shipments. (20) 'person' includes individuals, corporations, partnerships, and associations existing under or authorized by the laws of the United States or of a foreign country. (21) 'service contract' means a contract between a shipper and an ocean common carrier or conference in which the shipper makes a commitment to provide a certain minimum quantity of cargo over a fixed time period, and the ocean common carrier or conference commits to a certain rate or rate schedule as well as a defined service level - such as, assured space, transit time, port rotation, or similar service features; the contract may also specify provisions in the event of nonperformance on the part of either party. (22) 'shipment' means all of the cargo carried under the terms of a single bill of lading. (23) 'shipper' means an owner or person for whose account the ocean transportation of cargo is provided or the person to whom delivery is to be made. (24) 'shippers' association' means a group of shippers that consolidates or distributes freight on a nonprofit basis for the members of the group in order to secure carload, truckload, or other volume rates or service contracts. (25) 'through rate' means the single amount charged by a common carrier in connection with through transportation. (26) 'through transportation' means continuous transportation between origin and destination for which a through rate is assessed and which is offered or performed by one or more carriers, at least one of which is a common carrier, between a United States point or port and a foreign point or port. (27) 'United States' includes the several States, the District of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of the Northern Marianas, and all other United States territories and possessions. -SOURCE- (Pub. L. 98-237, Sec. 3, Mar. 20, 1984, 98 Stat. 67; Pub. L. 99-307, Sec. 11, May 19, 1986, 100 Stat. 447.) -REFTEXT- REFERENCES IN TEXT Act of July 2, 1890 (ch. 647, 26 Stat. 209), as amended, referred to in par. (2), is known as the Sherman Act, which is classified to sections 1 to 7 of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see Short Title note set out under section 1 of Title 15 and Tables. Act of October 15, 1914 (ch. 323, 38 Stat. 730), as amended, referred to in par. (2), is known as the Clayton Act, which is classified generally to sections 12, 13, 14 to 19, 20, 21, and 22 to 27 of Title 15 and sections 52 and 53 of Title 29, Labor. For further details and complete classification of this Act to the Code, see References in Text note set out under section 12 of Title 15 and Tables. The Federal Trade Commission Act, referred to in par. (2), is act Sept. 26, 1914, ch. 311, 38 Stat. 717, as amended, which is classified generally to subchapter I (Sec. 41 et seq.) of chapter 2 of Title 15. For complete classification of this Act to the Code, see section 58 of Title 15 and Tables. Sections 73 and 74 of the Act of August 27, 1894, referred to in par. (2), are sections 73 and 74 of act Aug. 27, 1894, ch. 349, 28 Stat. 570. Sections 73 to 77 of such Act are known as the Wilson Tariff Act. Sections 73 to 76 enacted sections 8 to 11 of Title 15. Section 77 was not classified to the Code. For complete classification of this Act to the Code, see Short Title note under section 8 of Title 15 and Tables. Act of June 19, 1936 (ch. 592, 49 Stat. 1526), as amended, referred to in par. (2), is popularly known as the Robinson-Patman Antidiscrimination Act and also as the Robinson-Patman Price Discrimination Act, which enacted sections 13a, 13b, and 21a of Title 15 and amended section 13 of Title 15. For complete classification of this Act to the Code, see Short Title note set out under section 13 of Title 15 and Tables. The Antitrust Civil Process Act, referred to in par. (2), is Pub. L. 87-664, Sept. 19, 1962, 76 Stat. 548, as amended, which is classified generally to chapter 34 (Sec. 1311 et seq.) of Title 15. For complete classification of this Act to the Code, see Short Title note set out under section 1311 of Title 15 and Tables. -MISC2- AMENDMENTS 1986 - Par. (6)(B). Pub. L. 99-307, Sec. 11(1), inserted provision that 'common carrier' not include common carrier engaged in ocean transportation by ferry boat, ocean tramp, or chemical parcel-tanker, and defined 'chemical parcel-tanker'. Par. (18). Pub. L. 99-307, Sec. 11(2), struck out '; but the term does not include one engaged in ocean transportation by ferry boat or ocean tramp' after 'common carrier'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1241s, 1710a, 1807 of this Appendix; title 19 section 1641. ------DocID 54017 Document 918 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1703 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1703. Agreements within scope of chapter -STATUTE- (a) Ocean common carriers This chapter applies to agreements by or among ocean common carriers to - (1) discuss, fix, or regulate transportation rates, including through rates, cargo space accommodations, and other conditions of service; (2) pool or apportion traffic, revenues, earnings, or losses; (3) allot ports or restrict or otherwise regulate the number and character of sailings between ports; (4) limit or regulate the volume or character of cargo or passenger traffic to be carried; (5) engage in exclusive, preferential, or cooperative working arrangements among themselves or with one or more marine terminal operators or non-vessel-operating common carriers; (6) control, regulate, or prevent competition in international ocean transportation; and (7) regulate or prohibit their use of service contracts. (b) Marine terminal operators This chapter applies to agreements (to the extent the agreements involve ocean transportation in the foreign commerce of the United States) among marine terminal operators and among one or more marine terminal operators and one or more ocean common carriers to - (1) discuss, fix, or regulate rates or other conditions of service; and (2) engage in exclusive, preferential, or cooperative working arrangements. (c) Acquisitions This chapter does not apply to an acquisition by any person, directly or indirectly, of any voting security or assets of any other person. -SOURCE- (Pub. L. 98-237, Sec. 4, Mar. 20, 1984, 98 Stat. 70.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1704 of this Appendix. ------DocID 54018 Document 919 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1704 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1704. Agreements -STATUTE- (a) Filing requirements A true copy of every agreement entered into with respect to an activity described in section 1703(a) or (b) of this Appendix shall be filed with the Commission, except agreements related to transportation to be performed within or between foreign countries and agreements among common carriers to establish, operate, or maintain a marine terminal in the United States. In the case of an oral agreement, a complete memorandum specifying in detail the substance of the agreement shall be filed. The Commission may by regulation prescribe the form and manner in which an agreement shall be filed and the additional information and documents necessary to evaluate the agreement. (b) Conference agreements Each conference agreement must - (1) state its purpose; (2) provide reasonable and equal terms and conditions for admission and readmission to conference membership for any ocean common carrier willing to serve the particular trade or route; (3) permit any member to withdraw from conference membership upon reasonable notice without penalty; (4) at the request of any member, require an independent neutral body to police fully the obligations of the conference and its members; (5) prohibit the conference from engaging in conduct prohibited by section 1709(c)(1) or (3) of this Appendix; (6) provide for a consultation process designed to promote - (A) commercial resolution of disputes, and (B) cooperation with shippers in preventing and eliminating malpractices; (7) establish procedures for promptly and fairly considering shippers' requests and complaints; and (8) provide that any member of the conference may take independent action on any rate or service item required to be filed in a tariff under section 1707(a) of this Appendix upon not more than 10 calendar days' notice to the conference and that the conference will include the new rate or service item in its tariff for use by that member, effective no later than 10 calendar days after receipt of the notice, and by any other member that notifies the conference that it elects to adopt the independent rate or service item on or after its effective date, in lieu of the existing conference tariff provision for that rate or service item. (c) Interconference agreements Each agreement between carriers not members of the same conference must provide the right of independent action for each carrier. Each agreement between conferences must provide the right of independent action for each conference. (d) Assessment agreements Assessment agreements shall be filed with the Commission and become effective on filing. The Commission shall thereafter, upon complaint filed within 2 years of the date of the agreement, disapprove, cancel, or modify any such agreement, or charge or assessment pursuant thereto, that it finds, after notice and hearing, to be unjustly discriminatory or unfair as between carriers, shippers, or ports. The Commission shall issue its final decision in any such proceeding within 1 year of the date of filing of the complaint. To the extent that an assessment or charge is found in the proceeding to be unjustly discriminatory or unfair as between carriers, shippers, or ports, the Commission shall remedy the unjust discrimination or unfairness for the period of time between the filing of the complaint and the final decision by means of assessment adjustments. These adjustments shall be implemented by prospective credits or debits to future assessments or charges, except in the case of a complainant who has ceased activities subject to the assessment or charge, in which case reparation may be awarded. Except for this subsection and section 1706(a) of this Appendix, this chapter, the Shipping Act, 1916 (46 App. U.S.C. 801 et seq.), and the Intercoastal Shipping Act, 1933 (46 App. U.S.C. 843 et seq.), do not apply to assessment agreements. (e) Maritime labor agreements This chapter, the Shipping Act, 1916 (46 App. U.S.C. 801 et seq.), and the Intercoastal Shipping Act, 1933 (46 App. U.S.C. 843 et seq.), do not apply to maritime labor agreements. This subsection does not exempt from this chapter, the Shipping Act, 1916, or the Intercoastal Shipping Act, 1933, any rates, charges, regulations, or practices of a common carrier that are required to be set forth in a tariff, whether or not those rates, charges, regulations, or practices arise out of, or are otherwise related to, a maritime labor agreement. -SOURCE- (Pub. L. 98-237, Sec. 5, Mar. 20, 1984, 98 Stat. 70; Pub. L. 98-595, Sec. 3(b)(1), Oct. 30, 1984, 98 Stat. 3132.) -REFTEXT- REFERENCES IN TEXT The Shipping Act, 1916, referred to in subsecs. (d) and (e), is act Sept. 7, 1916, ch. 451, 39 Stat. 728, as amended, which is classified generally to chapter 23 (Sec. 801 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 842 of this Appendix and Tables. The Intercoastal Shipping Act, 1933, referred to in subsecs. (d) and (e), is act Mar. 3, 1933, ch. 199, 47 Stat. 1425, as amended, which is classified generally to chapter 23A (Sec. 843 et seq.) of this Appendix. For complete classification of this Act to the Code, see section 848 of this Appendix and Tables. -MISC2- AMENDMENTS 1984 - Subsec. (a). Pub. L. 98-595 substituted 'section 1703(a) or (b) of this Appendix' for 'section 1703 of this Appendix'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1705, 1706, 1709, 1710 of this Appendix. ------DocID 54019 Document 920 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1705 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1705. Action on agreements -STATUTE- (a) Notice Within 7 days after an agreement is filed, the Commission shall transmit a notice of its filing to the Federal Register for publication. (b) Review standard The Commission shall reject any agreement filed under section 1704(a) of this Appendix that, after preliminary review, it finds does not meet the requirements of section 1704 of this Appendix. The Commission shall notify in writing the person filing the agreement of the reason for rejection of the agreement. (c) Review and effective date Unless rejected by the Commission under subsection (b) of this section, agreements, other than assessment agreements, shall become effective - (1) on the 45th day after filing, or on the 30th day after notice of the filing is published in the Federal Register, whichever day is later; or (2) if additional information or documentary material is requested under subsection (d) of this section, on the 45th day after the Commission receives - (A) all the additional information and documentary material requested; or (B) if the request is not fully complied with, the information and documentary material submitted and a statement of the reasons for noncompliance with the request. The period specified in paragraph (2) may be extended only by the United States District Court for the District of Columbia upon an application of the Commission under subsection (i) of this section. (d) Additional information Before the expiration of the period specified in subsection (c)(1) of this section, the Commission may request from the person filing the agreement any additional information and documentary material it deems necessary to make the determinations required by this section. (e) Request for expedited approval The Commission may, upon request of the filing party, shorten the review period specified in subsection (c) of this section, but in no event to a date less than 14 days after notice of the filing of the agreement is published in the Federal Register. (f) Term of agreements The Commission may not limit the effectiveness of an agreement to a fixed term. (g) Substantially anticompetitive agreements If, at any time after the filing or effective date of an agreement, the Commission determines that the agreement is likely, by a reduction in competition, to produce an unreasonable reduction in transportation service or an unreasonable increase in transportation cost, it may, after notice to the person filing the agreement, seek appropriate injunctive relief under subsection (h) of this section. (h) Injunctive relief The Commission may, upon making the determination specified in subsection (g) of this section, bring suit in the United States District Court for the District of Columbia to enjoin operation of the agreement. The court may issue a temporary restraining order or preliminary injunction and, upon a showing that the agreement is likely, by a reduction in competition, to produce an unreasonable reduction in transportation service or an unreasonable increase in transportation cost, may enter a permanent injunction. In a suit under this subsection, the burden of proof is on the Commission. The court may not allow a third party to intervene with respect to a claim under this subsection. (i) Compliance with informational needs If a person filing an agreement, or an officer, director, partner, agent, or employee thereof, fails substantially to comply with a request for the submission of additional information or documentary material within the period specified in subsection (c) of this section, the United States District Court for the District of Columbia, at the request of the Commission - (1) may order compliance; (2) shall extend the period specified in subsection (c)(2) of this section until there has been substantial compliance; and (3) may grant such other equitable relief as the court in its discretion determines necessary or appropriate. (j) Nondisclosure of submitted material Except for an agreement filed under section 1704 of this Appendix, information and documentary material filed with the Commission under section 1704 of this Appendix or this section is exempt from disclosure under section 552 of title 5 and may not be made public except as may be relevant to an administrative or judicial action or proceeding. This section does not prevent disclosure to either body of Congress or to a duly authorized committee or subcommittee of Congress. (k) Representation Upon notice to the Attorney General, the Commission may represent itself in district court proceedings under subsections (h) and (i) of this section and section 1710(h) of this Appendix. With the approval of the Attorney General, the Commission may represent itself in proceedings in the United States Courts of Appeal under subsections (h) and (i) of this section and section 1710(h) of this Appendix. -SOURCE- (Pub. L. 98-237, Sec. 6, Mar. 20, 1984, 98 Stat. 72.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1706, 1708, 1709, 1710 of this Appendix. ------DocID 54020 Document 921 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1706 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1706. Exemption from antitrust laws -STATUTE- (a) In general The antitrust laws do not apply to - (1) any agreement that has been filed under section 1704 of this Appendix and is effective under section 1704(d) or section 1705 of this Appendix or is exempt under section 1715 of this Appendix from any requirement of this chapter; (2) any activity or agreement within the scope of this chapter, whether permitted under or prohibited by this chapter, undertaken or entered into with a reasonable basis to conclude that (A) it is pursuant to an agreement on file with the Commission and in effect when the activity took place, or (B) it is exempt under section 1715 of this Appendix from any filing requirement of this chapter; (3) any agreement or activity that relates to transportation services within or between foreign countries, whether or not via the United States, unless that agreement or activity has a direct, substantial, and reasonably foreseeable effect on the commerce of the United States; (4) any agreement or activity concerning the foreign inland segment of through transportation that is part of transportation provided in a United States import or export trade; (5) any agreement or activity to provide or furnish wharfage, dock, warehouse, or other terminal facilities outside the United States; or (6) subject to section 1719(e)(2) of this Appendix, any agreement, modification, or cancellation approved by the Commission before the effective date of this chapter under section 15 of the Shipping Act, 1916 (46 App. U.S.C. 814), or permitted under section 14b (FOOTNOTE 1) thereof, and any properly published tariff, rate, fare, or charge, classification, rule, or regulation explanatory thereof implementing that argeement, modification, or cancellation. (FOOTNOTE 1) See References in Text note below. (b) Exceptions This chapter does not extend antitrust immunity - (1) to any agreement with or among air carriers, rail carriers, motor carriers, or common carriers by water not subject to this chapter with respect to transportation within the United States; (2) to any discussion or agreement among common carriers that are subject to this chapter regarding the inland divisions (as opposed to the inland portions) of through rates within the United States; or (3) to any agreement among common carriers subject to this chapter to establish, operate, or maintain a marine terminal in the United States. (c) Limitations (1) Any determination by an agency or court that results in the denial or removal of the immunity to the antitrust laws set forth in subsection (a) of this section shall not remove or alter the antitrust immunity for the period before the determination. (2) No person may recover damages under section 4 of the Clayton Act (15 U.S.C. 15), or obtain injunctive relief under section 16 of that Act (15 U.S.C. 26), for conduct prohibited by this chapter. -SOURCE- (Pub. L. 98-237, Sec. 7, Mar. 20, 1984, 98 Stat. 73.) -REFTEXT- REFERENCES IN TEXT For the effective date of this chapter, referred to in subsec. (a)(6), as 90 days after Mar. 20, 1984, see section 21 of Pub. L. 98-237, formerly set out as an Effective Date note under section 1701 of this Appendix. Section 14b of the Shipping Act, 1916, referred to in subsec. (a)(6), which was classified to section 813a of former Title 46, Shipping, was repealed by Pub. L. 98-237, Sec. 20(a), Mar. 20, 1984, 98 Stat. 88. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1704 of this Appendix. ------DocID 54021 Document 922 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1707 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1707. Tariffs -STATUTE- (a) In general (1) Except with regard to bulk cargo, forest products, recycled metal scrap, waste paper, and paper waste, each common carrier and conference shall file with the Commission, and keep open to public inspection, tariffs showing all its rates, charges, classifications, rules, and practices between all points or ports on its own route and on any through transportation route that has been established. However, common carriers shall not be required to state separately or otherwise reveal in tariff filings the inland divisions of a through rate. Tariffs shall - (A) state the places between which cargo will be carried; (B) list each classification of cargo in use; (C) state the level of ocean freight forwarder compensation, if any, by a carrier or conference; (D) state separately each terminal or other charge, privilege, or facility under the control of the carrier or conference and any rules or regulations that in any way change, affect, or determine any part or the aggregate of the rates or charges; and (E) include sample copies of any loyalty contract, bill of lading, contract of affreightment, or other document evidencing the transportation agreement. (2) Copies of tariffs shall be made available to any person, and a reasonable charge may be assessed for them. (b) Time-volume rates Rates shown in tariffs filed under subsection (a) of this section may vary with the volume of cargo offered over a specified period of time. (c) Service contracts An ocean common carrier or conference may enter into a service contract with a shipper or shippers' association subject to the requirements of this chapter. Except for service contracts dealing with bulk cargo, forest products, recycled metal scrap, waste paper, or paper waste, each contract entered into under this subsection shall be filed confidentially with the Commission, and at the same time, a concise statement of its essential terms shall be filed with the Commission and made available to the general public in tariff format, and those essential terms shall be available to all shippers similarly situated. The essential terms shall include - (1) the origin and destination port ranges in the case of port-to-port movements, and the origin and destination geographic areas in the case of through intermodal movements; (2) the commodity or commodities involved; (3) the minimum volume; (4) the line-haul rate; (5) the duration; (6) service commitments; and (7) the liquidated damages for nonperformance, if any. The exclusive remedy for a breach of a contract entered into under this subsection shall be an action in an appropriate court, unless the parties otherwise agree. (d) Rates No new or initial rate or change in an existing rate that results in an increased cost to the shipper may become effective earlier than 30 days after filing with the Commission. The Commission, for good cause, may allow such a new or initial rate or change to become effective in less than 30 days. A change in an existing rate that results in a decreased cost to the shipper may become effective upon publication and filing with the Commission. (e) Refunds The Commission may, upon application of a carrier or shipper, permit a common carrier or conference to refund a portion of freight charges collected from a shipper or to waive the collection of a portion of the charges from a shipper if - (1) there is an error in a tariff of a clerical or administrative nature or an error due to inadvertence in failing to file a new tariff and the refund will not result in discrimination among shippers, ports, or carriers; (2) the common carrier or conference has, prior to filing an application for authority to make a refund, filed a new tariff with the Commission that sets forth the rate on which the refund or waiver would be based; (3) the common carrier or conference agrees that if permission is granted by the Commission, an appropriate notice will be published in the tariff, or such other steps taken as the Commission may require that give notice of the rate on which the refund or waiver would be based, and additional refunds or waivers as appropriate shall be made with respect to other shipments in the manner prescribed by the Commission in its order approving the application; and (4) the application for refund or waiver is filed with the Commission within 180 days from the date of shipment. (f) Form The Commission may by regulation prescribe the form and manner in which the tariffs required by this section shall be published and filed. The Commission may reject a tariff that is not filed in conformity with this section and its regulations. Upon rejection by the Commission, the tariff is void and its use is unlawful. -SOURCE- (Pub. L. 98-237, Sec. 8, Mar. 20, 1984, 98 Stat. 74.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1704, 1708, 1709, 1719 of this Appendix. ------DocID 54022 Document 923 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1708 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1708. Controlled carriers -STATUTE- (a) Controlled carrier rates No controlled carrier subject to this section may maintain rates or charges in its tariffs filed with the Commission that are below a level that is just and reasonable, nor may any such carrier establish or maintain unjust or unreasonable classifications, rules, or regulations in those tariffs. An unjust or unreasonable classification, rule, or regulation means one that results or is likely to result in the carriage or handling of cargo at rates or charges that are below a just and reasonable level. The Commission may, at any time after notice and hearing, disapprove any rates, charges, classifications, rules, or regulations that the controlled carrier has failed to demonstrate to be just and reasonable. In a proceeding under this subsection, the burden of proof is on the controlled carrier to demonstrate that its rates, charges, classifications, rules, or regulations are just and reasonable. Rates, charges, classifications, rules, or regulations filed by a controlled carrier that have been rejected, suspended, or disapproved by the Commission are void and their use is unlawful. (b) Rate standards For the purpose of this section, in determining whether rates, charges, classifications, rules, or regulations by a controlled carrier are just and reasonable, the Commission may take into account appropriate factors including, but not limited to, whether - (1) the rates or charges which have been filed or which would result from the pertinent classifications, rules, or regulations are below a level which is fully compensatory to the controlled carrier based upon that carrier's actual costs or upon its constructive costs, which are hereby defined as the costs of another carrier, other than a controlled carrier, operating similar vessels and equipment in the same or a similar trade; (2) the rates, charges, classifications, rules, or regulations are the same as or similar to those filed or assessed by other carriers in the same trade; (3) the rates, charges, classifications, rules, or regulations are required to assure movement of particular cargo in the trade; or (4) the rates, charges, classifications, rules, or regulations are required to maintain acceptable continuity, level, or quality of common carrier service to or from affected ports. (c) Effective date of rates Notwithstanding section 1707(d) of this Appendix, the rates, charges, classifications, rules, or regulations of controlled carriers may not, without special permission of the Commission, become effective sooner than the 30th day after the date of filing with the Commission. Each controlled carrier shall, upon the request of the Commission, file, within 20 days of request (with respect to its existing or proposed rates, charges, classifications, rules, or regulations), a statement of justification that sufficiently details the controlled carrier's need and purpose for such rates, charges, classifications, rules, or regulations upon which the Commission may reasonably base its determination of the lawfulness thereof. (d) Disapproval of rates Whenever the Commission is of the opinion that the rates, charges, classifications, rules, or regulations filed by a controlled carrier may be unjust and unreasonable, the Commission may issue an order to the controlled carrier to show cause why those rates, charges, classifications, rules, or regulations should not be disapproved. Pending a determination as to their lawfulness in such a proceeding, the Commission may suspend the rates, charges, classifications, rules, or regulations at any time before their effective date. In the case of rates, charges, classifications, rules, or regulations that have already become effective, the Commission may, upon the issuance of an order to show cause, suspend those rates, charges, classifications, rules, or regulations on not less than 60 days' notice to the controlled carrier. No period of suspension under this subsection may be greater than 180 days. Whenever the Commission has suspended any rates, charges, classifications, rules, or regulations under this subsection, the affected carrier may file new rates, charges, classifications, rules, or regulations to take effect immediately during the suspension period in lieu of the suspended rates, charges, classifications, rules, or regulations - except that the Commission may reject the new rates, charges, classifications, rules, or regulations if it is of the opinion that they are unjust and unreasonable. (e) Presidential review Concurrently with the publication thereof, the Commission shall transmit to the President each order of suspension or final order of disapproval of rates, charges, classifications, rules, or regulations of a controlled carrier subject to this section. Within 10 days after the receipt or the effective date of the Commission order, the President may request the Commission in writing to stay the effect of the Commission's order if the President finds that the stay is required for reasons of national defense or foreign policy, which reasons shall be specified in the report. Notwithstanding any other law, the Commission shall immediately grant the request by the issuance of an order in which the President's request shall be described. During any such stay, the President shall, whenever practicable, attempt to resolve the matter in controversy by negotiation with representatives of the applicable foreign governments. (f) Exceptions This section does not apply to - (1) a controlled carrier of a state whose vessels are entitled by a treaty of the United States to receive national or most-favored-nation treatment; (2) a controlled carrier of a state which, on the effective date of this section, has subscribed to the statement of shipping policy contained in note 1 to annex A of the Code of Liberalization of Current Invisible Operations, adopted by the Council of the Organization for Economic Cooperation and Development; (3) rates, charges, classifications, rules, or regulations of a controlled carrier in any particular trade that are covered by an agreement effective under section 1705 of this Appendix, other than an agreement in which all of the members are controlled carriers not otherwise excluded from the provisions of this subsection; (4) rates, charges, classifications, rules, or regulations governing the transportation of cargo by a controlled carrier between the country by whose government it is owned or controlled, as defined herein and the United States; or (5) a trade served exclusively by controlled carriers. -SOURCE- (Pub. L. 98-237, Sec. 9, Mar. 20, 1984, 98 Stat. 76.) -REFTEXT- REFERENCES IN TEXT For the effective date of this section, referred to in subsec. (f)(2), as 90 days after Mar. 20, 1984, see section 21 of Pub. L. 98-237, formerly set out as an Effective Date note under section 1701 of this Appendix. ------DocID 54023 Document 924 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1709 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1709. Prohibited acts -STATUTE- (a) In general No person may - (1) knowingly and willfully, directly or indirectly, by means of false billing, false classification, false weighing, false report of weight, false measurement, or by any other unjust or unfair device or means obtain or attempt to obtain ocean transportation for property at less than the rates or charges that would otherwise be applicable; (2) operate under an agreement required to be filed under section 1704 of this Appendix that has not become effective under section 1705 of this Appendix, or that has been rejected, disapproved, or canceled; or (3) operate under an agreement required to be filed under section 1704 of this Appendix except in accordance with the terms of the agreement or any modifications made by the Commission to the agreement. (b) Common carriers No common carrier, either alone or in conjunction with any other person, directly or indirectly, may - (1) charge, demand, collect, or receive greater, less, or different compensation for the transportation of property or for any service in connection therewith than the rates and charges that are shown in its tariffs or service contracts; (2) rebate, refund, or remit in any manner, or by any device, any portion of its rates except in accordance with its tariffs or service contracts; (3) extend or deny to any person any privilege, concession, equipment, or facility except in accordance with its tariffs or service contracts; (4) allow any person to obtain transportation for property at less than the rates or charges established by the carrier in its tariff or service contract by means of false billing, false classification, false weighing, false measurement, or by any other unjust or unfair device or means; (5) retaliate against any shipper by refusing, or threatening to refuse, cargo space accommodations when available, or resort to other unfair or unjustly discriminatory methods because the shipper has patronized another carrier, or has filed a complaint, or for any other reason; (6) except for service contracts, engage in any unfair or unjustly discriminatory practice in the matter of - (A) rates; (B) cargo classifications; (C) cargo space accommodations or other facilities, due regard being had for the proper loading of the vessel and the available tonnage; (D) the loading and landing of freight; or (E) the adjustment and settlement of claims; (7) employ any fighting ship; (8) offer or pay any deferred rebates; (9) use a loyalty contract, except in conformity with the antitrust laws; (10) demand, charge, or collect any rate or charge that is unjustly discriminatory between shippers or ports; (11) except for service contracts, make or give any undue or unreasonable preference or advantage to any particular person, locality, or description of traffic in any respect whatsoever; (12) subject any particular person, locality, or description of traffic to an unreasonable refusal to deal or any undue or unreasonable prejudice or disadvantage in any respect whatsoever; (13) refuse to negotiate with a shippers' association; (14) knowingly and willfully accept cargo from or transport cargo for the account of a non-vessel-operating common carrier that does not have a tariff and a bond as required by sections 1707 and 1721 of this Appendix; (15) knowingly and willfully enter into a service contract with a non-vessel-operating common carrier or in which a non-vessel-operating common carrier is listed as an affiliate that does not have a tariff and a bond as required by sections 1707 and 1721 of this Appendix; or (16) knowingly disclose, offer, solicit, or receive any information concerning the nature, kind, quantity, destination, consignee, or routing of any property tendered or delivered to a common carrier without the consent of the shipper or consignee if that information - (A) may be used to the detriment or prejudice of the shipper or consignee; (B) may improperly disclose its business transaction to a competitor; or (C) may be used to the detriment or prejudice of any common carrier. Nothing in paragraph (16) shall be construed to prevent providing such information, in response to legal process, to the United States, or to an independent neutral body operating within the scope of its authority to fulfill the policing obligations of the parties to an agreement effective under this chapter. Nor shall it be prohibited for any ocean common carrier that is a party to a conference agreement approved under this chapter, or any receiver, trustee, lessee, agent, or employee of that carrier, or any other person authorized by that carrier to receive information, to give information to the conference or any person, firm, corporation, or agency designated by the conference, or to prevent the conference or its designee from soliciting or receiving information for the purpose of determining whether a shipper or consignee has breached an agreement with the conference or its member lines or for the purpose of determining whether a member of the conference has breached the conference agreement, or for the purpose of compiling statistics of cargo movement, but the use of such information for any other purpose prohibited by this chapter or any other Act is prohibited. (c) Concerted action No conference or group of two or more common carriers may - (1) boycott or take any other concerted action resulting in an unreasonable refusal to deal; (2) engage in conduct that unreasonably restricts the use of intermodal services or technological innovations; (3) engage in any predatory practice designed to eliminate the participation, or deny the entry, in a particular trade of a common carrier not a member of the conference, a group of common carriers, an ocean tramp, or a bulk carrier; (4) negotiate with a nonocean carrier or group of nonocean carriers (for example, truck, rail, or air operators) on any matter relating to rates or services provided to ocean common carriers within the United States by those nonocean carriers: Provided, That this paragraph does not prohibit the setting and publishing of a joint through rate by a conference, joint venture, or an association of ocean common carriers; (5) deny in the export foreign commerce of the United States compensation to an ocean freight forwarder or limit that compensation to less than a reasonable amount; or (6) allocate shippers among specific carriers that are parties to the agreement or prohibit a carrier that is a party to the agreement from soliciting cargo from a particular shipper, except as otherwise required by the law of the United States or the importing or exporting country, or as agreed to by a shipper in a service contract. (d) Common carriers, ocean freight forwarders, and marine terminal operators (1) No common carrier, ocean freight forwarder, or marine terminal operator may fail to establish, observe, and enforce just and reasonable regulations and practices relating to or connected with receiving, handling, storing, or delivering property. (2) No marine terminal operator may agree with another marine terminal operator or with a common carrier to boycott, or unreasonably discriminate in the provision of terminal services to, any common carrier or ocean tramp. (3) The prohibitions in subsection (b)(11), (12), and (14) of this section apply to marine terminal operators. (e) Joint ventures For purposes of this section, a joint venture or consortium of two or more common carriers but operated as a single entity shall be treated as a single common carrier. -SOURCE- (Pub. L. 98-237, Sec. 10, Mar. 20, 1984, 98 Stat. 77; Pub. L. 101-595, title VII, Sec. 710(c), Nov. 16, 1990, 104 Stat. 2997.) -MISC1- AMENDMENTS 1990 - Subsec. (b). Pub. L. 101-595 added pars. (14) and (15), redesignated former par. (14) as (16), and substituted 'paragraph (16)' for 'paragraph (14)' in penultimate sentence. EFFECTIVE DATE OF 1990 AMENDMENT Section 710(e) of Pub. L. 101-595 provided that: 'This section (enacting section 1721 of this Appendix, amending this section, and enacting provisions set out as notes under sections 1701 and 1721 of this Appendix) shall become effective 90 days after the date of its enactment (Nov. 16, 1990).' INTERIM RULES AND REGULATIONS Federal Maritime Commission may prescribe interim rules and regulations necessary to carry out amendments made by section 710 of Pub. L. 101-595, see section 710(d) of Pub. L. 101-595, set out as a note under section 1721 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1704, 1710, 1712, 1721 of this Appendix. ------DocID 54024 Document 925 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1710 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1710. Complaints, investigations, reports, and reparations -STATUTE- (a) Filing of complaints Any person may file with the Commission a sworn complaint alleging a violation of this chapter, other than section 1705(g) of this Appendix, and may seek reparation for any injury caused to the complainant by that violation. (b) Satisfaction or investigation of complaints The Commission shall furnish a copy of a complaint filed pursuant to subsection (a) of this section to the person named therein who shall, within a reasonable time specified by the Commission, satisfy the complaint or answer it in writing. If the complaint is not satisfied, the Commission shall investigate it in an appropriate manner and make an appropriate order. (c) Commission investigations The Commission, upon complaint or upon its own motion, may investigate any conduct or agreement that it believes may be in violation of this chapter. Except in the case of an injunction granted under subsection (h) of this section, each agreement under investigation under this section remains in effect until the Commission issues an order under this subsection. The Commission may by order disapprove, cancel, or modify any agreement filed under section 1704(a) of this Appendix that operates in violation of this chapter. With respect to agreements inconsistent with section 1705(g) of this Appendix, the Commission's sole remedy is under section 1705(h) of this Appendix. (d) Conduct of investigation Within 10 days after the initiation of a proceeding under this section, the Commission shall set a date on or before which its final decision will be issued. This date may be extended for good cause by order of the Commission. (e) Undue delays If, within the time period specified in subsection (d) of this section, the Commission determines that it is unable to issue a final decision because of undue delays caused by a party to the proceedings, the Commission may impose sanctions, including entering a decision adverse to the delaying party. (f) Reports The Commission shall make a written report of every investigation made under this chapter in which a hearing was held stating its conclusions, decisions, findings of fact, and order. A copy of this report shall be furnished to all parties. The Commission shall publish each report for public information, and the published report shall be competent evidence in all courts of the United States. (g) Reparations For any complaint filed within 3 years after the cause of action accrued, the Commission shall, upon petition of the complainant and after notice and hearing, direct payment of reparations to the complainant for actual injury (which, for purposes of this subsection, also includes the loss of interest at commercial rates compounded from the date of injury) caused by a violation of this chapter plus reasonable attorney's fees. Upon a showing that the injury was caused by activity that is prohibited by section 1709(b)(5) or (7) of this Appendix or section 1709(c)(1) or (3) of this Appendix, or that violates section 1709(a)(2) or (3) of this Appendix, the Commission may direct the payment of additional amounts; but the total recovery of a complainant may not exceed twice the amount of the actual injury. In the case of injury caused by an activity that is prohibited by section 1709(b)(6)(A) or (B) of this Appendix, the amount of the injury shall be the difference between the rate paid by the injured shipper and the most favorable rate paid by another shipper. (h) Injunction (1) In connection with any investigation conducted under this section, the Commission may bring suit in a district court of the United States to enjoin conduct in violation of this chapter. Upon a showing that standards for granting injunctive relief by courts of equity are met and after notice to the defendant, the court may grant a temporary restraining order or preliminary injunction for a period not to exceed 10 days after the Commission has issued an order disposing of the issues under investigation. Any such suit shall be brought in a district in which the defendant resides or transacts business. (2) After filing a complaint with the Commission under subsection (a) of this section, the complainant may file suit in a district court of the United States to enjoin conduct in violation of this chapter. Upon a showing that standards for granting injunctive relief by courts of equity are met and after notice to the defendant, the court may grant a temporary restraining order or preliminary injunction for a period not to exceed 10 days after the Commission has issued an order disposing of the complaint. Any such suit shall be brought in the district in which the defendant has been sued by the Commission under paragraph (1); or, if no suit has been filed, in a district in which the defendant resides or transacts business. A defendant that prevails in a suit under this paragraph shall be allowed reasonable attorney's fees to be assessed and collected as part of the costs of the suit. -SOURCE- (Pub. L. 98-237, Sec. 11, Mar. 20, 1984, 98 Stat. 80; Pub. L. 98-595, Sec. 3(b)(2), Oct. 30, 1984, 98 Stat. 3132.) -MISC1- AMENDMENTS 1984 - Subsec. (g). Pub. L. 98-595 substituted 'section 1709(c)(1) or (3) of this Appendix' for 'section 1709(c)(1) or (4) of this Appendix'. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1705, 1721 of this Appendix; title 19 section 1641. ------DocID 54025 Document 926 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1710a -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1710a. Foreign laws and practices -STATUTE- (a) Definitions For purposes of this section - (1) 'common carrier', 'marine terminal operator', 'non-vessel-operating common carrier', 'ocean common carrier', 'person', 'shipper', 'shippers' association', and 'United States' have the meanings given each such term, respectively, in section 1702 of this Appendix; (2) 'foreign carrier' means an ocean common carrier a majority of whose vessels are documented under the laws of a country other than the United States; (3) 'maritime services' means port-to-port carriage of cargo by the vessels operated by ocean common carriers; (4) 'maritime-related services' means intermodal operations, terminal operations, cargo solicitation, forwarding and agency services, non-vessel-operating common carrier operations, and all other activities and services integral to total transportation systems of ocean common carriers and their foreign domiciled affiliates on their own and others' behalf; (5) 'United States carrier' means an ocean common carrier which operates vessels documented under the laws of the United States; and (6) 'United States oceanborne trade' means the carriage of cargo between the United States and a foreign country, whether direct or indirect, by an ocean common carrier. (b) Authority to conduct investigations The Federal Maritime Commission shall investigate whether any laws, rules, regulations, policies, or practices of foreign governments, or any practices of foreign carriers or other persons providing maritime or maritime-related services in a foreign country result in the existence of conditions that - (1) adversely affect the operations of United States carriers in United States oceanborne trade; and (2) do not exist for foreign carriers of that country in the United States under the laws of the United States or as a result of acts of United States carriers or other persons providing maritime or maritime-related services in the United States. (c) Investigations (1) Investigations under subsection (b) of this section may be initiated by the Commission on its own motion or on the petition of any person, including any common carrier, shipper, shippers' association, ocean freight forwarder, or marine terminal operator, or any branch, department, agency, or other component of the Government of the United States. (2) The Commission shall complete any such investigation and render a decision within 120 days after it is initiated, except that the Commission may extend such 120-day period for an additional 90 days if the Commission is unable to obtain sufficient information to determine whether a condition specified in subsection (b) of this section exists. Any notice providing such an extension shall clearly state the reasons for such extension. (d) Information requests (1) In order to further the purposes of subsection (b) of this section, the Commission may, by order, require any person (including any common carrier, shipper, shippers' association, ocean freight forwarder, or marine terminal operator, or any officer, receiver, trustee, lessee, agent or employee thereof) to file with the Commission any periodic or special report, answers to questions, documentary material, or other information which the Commission considers necessary or appropriate. The Commission may require that the response to any such order shall be made under oath. Such response shall be furnished in the form and within the time prescribed by the Commission. (2) In an investigation under subsection (b) of this section, the Commission may issue subpoenas to compel the attendance and testimony of witnesses and the production of records or other evidence. (3) Notwithstanding any other provision of law, the Commission may, in its discretion, determine that any information submitted to it in response to a request under this subsection, or otherwise, shall not be disclosed to the public. (e) Action against foreign carriers (1) Whenever, after notice and opportunity for comment or hearing, the Commission determines that the conditions specified in subsection (b) of this section exist, the Commission shall take such action as it considers necessary and appropriate against any foreign carrier that is a contributing cause to, or whose government is a contributing cause to, such conditions, in order to offset such conditions. Such action may include - (A) limitations on sailings to and from United States ports or on the amount or type of cargo carried; (B) suspension, in whole or in part, of any or all tariffs filed with the Commission, including the right of an ocean common carrier to use any or all tariffs of conferences in United States trades of which it is a member for such period as the Commission specifies; (C) suspension, in whole or in part, of the right of an ocean common carrier to operate under any agreement filed with the Commission, including agreements authorizing preferential treatment at terminals, preferential terminal leases, space chartering, or pooling of cargo or revenues with other ocean common carriers; and (D) a fee, not to exceed $1,000,000 per voyage. (2) The Commission may consult with, seek the cooperation of, or make recommendations to other appropriate Government agencies prior to taking any action under this subsection. (3) Before a determination under this subsection becomes effective or a request is made under subsection (f) of this section, the determination shall be submitted immediately to the President who may, within 10 days after receiving such determination, disapprove the determination in writing, setting forth the reasons for the disapproval, if the President finds that disapproval is required for reasons of the national defense or the foreign policy of the United States. (f) Actions upon request of Commission Whenever the conditions specified in subsection (b) of this section are found by the Commission to exist, upon the request of the Commission - (1) the collector of customs at any port or place of destination in the United States shall refuse the clearance required by section 91 of this Appendix to any vessel of a foreign carrier that is identified by the Commission under subsection (e) of this section; and (2) the Secretary of the department in which the Coast Guard is operating shall deny entry, for purposes of oceanborne trade, of any vessel of a foreign carrier that is identified by the Commission under subsection (e) of this section to any port or place in the United States or the navigable waters of the United States, or shall detain any such vessel at the port or place in the United States from which it is about to depart for any other port or place in the United States. (g) Report The Commission shall include in its annual report to Congress - (1) a list of the twenty foreign countries which generated the largest volume of oceanborne liner cargo for the most recent calendar year in bilateral trade with the United States; (2) an analysis of conditions described in subsection (b) of this section being investigated or found to exist in foreign countries; (3) any actions being taken by the Commission to offset such conditions; (4) any recommendations for additional legislation to offset such conditions; and (5) a list of petitions filed under subsection (c) of this section that the Commission rejected, and the reasons for each such rejection. (h) Administration and enforcement of other laws The actions against foreign carriers authorized in subsections (e) and (f) of this section may be used in the administration and enforcement of section 1712(b)(5) of this Appendix or section 876(1)(b) of this Appendix. (i) Review of rules, regulations, and final orders of Commission; exclusive procedure Any rule, regulation or final order of the Commission issued under this section shall be reviewable exclusively in the same forum and in the same manner as provided in section 2342(3)(B) of title 28. -SOURCE- (Pub. L. 100-418, title X, Sec. 10002, Aug. 23, 1988, 102 Stat. 1570.) -COD- CODIFICATION This section was enacted as part of the Foreign Shipping Practices Act of 1988 and also as part of the Omnibus Trade and Competitiveness Act of 1988, and not as part of the Shipping Act of 1984 which comprises this chapter. ------DocID 54026 Document 927 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1711 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1711. Subpenas and discovery -STATUTE- (a) In general In investigations and adjudicatory proceedings under this chapter - (1) depositions, written interrogatories, and discovery procedures may be utilized by any party under rules and regulations issued by the Commission that, to the extent practicable, shall be in conformity with the rules applicable in civil proceedings in the district courts of the United States; and (2) the Commission may by subpena compel the attendance of witnesses and the production of books, papers, documents, and other evidence. (b) Witness fees Witnesses shall, unless otherwise prohibited by law, be entitled to the same fees and mileage as in the courts of the United States. -SOURCE- (Pub. L. 98-237, Sec. 12, Mar. 20, 1984, 98 Stat. 81.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1712 of this Appendix. ------DocID 54027 Document 928 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1712 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1712. Penalties -STATUTE- (a) Assessment of penalty Whoever violates a provision of this chapter, a regulation issued thereunder, or a Commission order is liable to the United States for a civil penalty. The amount of the civil penalty, unless otherwise provided in this chapter, may not exceed $5,000 for each violation unless the violation was willfully and knowingly committed, in which case the amount of the civil penalty may not exceed $25,000 for each violation. Each day of a continuing violation constitutes a separate offense. (b) Additional penalties (1) For a violation of section 1709(b)(1), (2), (3), (4), or (8) of this Appendix, the Commission may suspend any or all tariffs of the common carrier, or that common carrier's right to use any or all tariffs of conferences of which it is a member, for a period not to exceed 12 months. (2) For failure to supply information ordered to be produced or compelled by subpena under section 1711 of this Appendix, the Commission may, after notice and an opportunity for hearing, suspend any or all tariffs of a common carrier, or that common carrier's right to use any or all tariffs of conferences of which it is a member. (3) A common carrier that accepts or handles cargo for carriage under a tariff that has been suspended or after its right to utilize that tariff has been suspended is subject to a civil penalty of not more than $50,000 for each shipment. (4) If, in defense of its failure to comply with a subpena or discovery order, a common carrier alleges that documents or information located in a foreign country cannot be produced because of the laws of that country, the Commission shall immediately notify the Secretary of State of the failure to comply and of the allegation relating to foreign laws. Upon receiving the notification, the Secretary of State shall promptly consult with the government of the nation within which the documents or information are alleged to be located for the purpose of assisting the Commission in obtaining the documents or information sought. (5) If, after notice and hearing, the Commission finds that the action of a common carrier, acting alone or in concert with any person, or a foreign government has unduly impaired access of a vessel documented under the laws of the United States to ocean trade between foreign ports, the Commission shall take action that it finds appropriate, including the imposition of any of the penalties authorized under paragraphs (1), (2), and (3) of this subsection. (6) Before an order under this subsection becomes effective, it shall be immediately submitted to the President who may, within 10 days after receiving it, disapprove the order if the President finds that disapproval is required for reasons of the national defense or the foreign policy of the United States. (c) Assessment procedures Until a matter is referred to the Attorney General, the Commission may, after notice and an opportunity for hearing, assess each civil penalty provided for in this chapter. In determining the amount of the penalty, the Commission shall take into account the nature, circumstances, extent, and gravity of the violation committed and, with respect to the violator, the degree of culpability, history of prior offenses, ability to pay, and such other matters as justice may require. The Commission may compromise, modify, or remit, with or without conditions, any civil penalty. (d) Review of civil penalty A person against whom a civil penalty is assessed under this section may obtain review thereof under chapter 158 of title 28. (e) Failure to pay assessment If a person fails to pay an assessment of a civil penalty after it has become final or after the appropriate court has entered final judgment in favor of the Commission, the Attorney General at the request of the Commission may seek to recover the amount assessed in an appropriate district court of the United States. In such an action, the court shall enforce the Commission's order unless it finds that the order was not regularly made or duly issued. (f) Limitations (1) No penalty may be imposed on any person for conspiracy to violate section 1709(a)(1), (b)(1), or (b)(4) of this Appendix, or to defraud the Commission by concealment of such a violation. (2) Each proceeding to assess a civil penalty under this section shall be commenced within 5 years from the date the violation occurred. -SOURCE- (Pub. L. 98-237, Sec. 13, Mar. 20, 1984, 98 Stat. 82.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1710a, 1721 of this Appendix. ------DocID 54028 Document 929 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1713 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1713. Commission orders -STATUTE- (a) In general Orders of the Commission relating to a violation of this chapter or a regulation issued thereunder shall be made, upon sworn complaint or on its own motion, only after opportunity for hearing. Each order of the Commission shall continue in force for the period of time specified in the order or until suspended, modified, or set aside by the Commission or a court of competent jurisdiction. (b) Reversal or suspension of orders The Commission may reverse, suspend, or modify any order made by it, and upon application of any party to a proceeding may grant a rehearing of the same or any matter determined therein. No rehearing may, except by special order of the Commission, operate as a stay of that order. (c) Enforcement of nonreparation orders In case of violation of an order of the Commission, or for failure to comply with a Commission subpena, the Attorney General, at the request of the Commission, or any party injured by the violation, may seek enforcement by a United States district court having jurisdiction over the parties. If, after hearing, the court determines that the order was properly made and duly issued, it shall enforce the order by an appropriate injunction or other process, mandatory or otherwise. (d) Enforcement of reparation orders (1) In case of violation of an order of the Commission for the payment of reparation, the person to whom the award was made may seek enforcement of the order in a United States district court having jurisdiction of the parties. (2) In a United States district court the findings and order of the Commission shall be prima facie evidence of the facts therein stated, and the petitioner shall not be liable for costs, nor for the costs of any subsequent stage of the proceedings, unless they accrue upon his appeal. A petitioner in a United States district court who prevails shall be allowed reasonable attorney's fees to be assessed and collected as part of the costs of the suit. (3) All parties in whose favor the Commission has made an award of reparation by a single order may be joined as plaintiffs, and all other parties in the order may be joined as defendants, in a single suit in a district in which any one plaintiff could maintain a suit against any one defendant. Service of process against a defendant not found in that district may be made in a district in which is located any office of, or point of call on a regular route operated by, that defendant. Judgment may be entered in favor of any plaintiff against the defendant liable to that plaintiff. (e) Statute of limitations An action seeking enforcement of a Commission order must be filed within 3 years after the date of the violation of the order. -SOURCE- (Pub. L. 98-237, Sec. 14, Mar. 20, 1984, 98 Stat. 83.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 19 section 1641; title 28 section 2342. ------DocID 54029 Document 930 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1714 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1714. Reports and certificates -STATUTE- (a) Reports The Commission may require any common carrier, or any officer, receiver, trustee, lessee, agent, or employee thereof, to file with it any periodical or special report or any account, record, rate, or charge, or memorandum of any facts and transactions appertaining to the business of that common carrier. The report, account, record, rate, charge, or memorandum shall be made under oath whenever the Commission so requires, and shall be furnished in the form and within the time prescribed by the Commission. Conference minutes required to be filed with the Commission under this section shall not be released to third parties or published by the Commission. (b) Certification The Commission shall require the chief executive officer of each common carrier and, to the extent it deems feasible, may require any shipper, shippers' association, marine terminal operator, ocean freight forwarder, or broker to file a periodic written certification made under oath with the Commission attesting to - (1) a policy prohibiting the payment, solicitation, or receipt of any rebate that is unlawful under the provisions of this chapter; (2) the fact that this policy has been promulgated recently to each owner, officer, employee, and agent thereof; (3) the details of the efforts made within the company or otherwise to prevent or correct illegal rebating; and (4) a policy of full cooperation with the Commission in its efforts to end those illegal practices. Whoever fails to file a certificate required by the Commission under this subsection is liable to the United States for a civil penalty of not more than $5,000 for each day the violation continues. -SOURCE- (Pub. L. 98-237, Sec. 15, Mar. 20, 1984, 98 Stat. 84; Pub. L. 98-595, Sec. 3(b)(3), Oct. 30, 1984, 98 Stat. 3133.) -MISC1- AMENDMENTS 1984 - Subsec. (b). Pub. L. 98-595 substituted 'Whoever fails to file a certificate required by the Commission under this subsection is liable to the United States for' for 'Failure to file a certificate shall result in' before 'a civil penalty'. ------DocID 54030 Document 931 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1715 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1715. Exemptions -STATUTE- The Commission, upon application or on its own motion, may by order or rule exempt for the future any class of agreements between persons subject to this chapter or any specified activity of those persons from any requirement of this chapter if it finds that the exemption will not substantially impair effective regulation by the Commission, be unjustly discriminatory, result in a substantial reduction in competition, or be detrimental to commerce. The Commission may attach conditions to any exemption and may, by order, revoke any exemption. No order or rule of exemption or revocation of exemption may be issued unless opportunity for hearing has been afforded interested persons and departments and agencies of the United States. -SOURCE- (Pub. L. 98-237, Sec. 16, Mar. 20, 1984, 98 Stat. 84.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1706 of this Appendix. ------DocID 54031 Document 932 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1716 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1716. Regulations -STATUTE- (a) The Commission may prescribe rules and regulations as necessary to carry out this chapter. (b) The Commission may prescribe interim rules and regulations necessary to carry out this chapter. For this purpose, the Commission is excepted from compliance with the notice and comment requirements of section 553 of title 5. All rules and regulations prescribed under the authority of this subsection that are not earlier superseded by final rules shall expire no later than 270 days after March 20, 1984. -SOURCE- (Pub. L. 98-237, Sec. 17, Mar. 20, 1984, 98 Stat. 84.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 28 section 2342. ------DocID 54032 Document 933 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1717 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1717. Agency reports and Advisory Commission -STATUTE- (a) Collection of data For a period of 5 years following March 20, 1984, the Commission shall collect and analyze information concerning the impact of this chapter upon the international ocean shipping industry, including data on: (1) increases or decreases in the level of tariffs; (2) changes in the frequency or type of common carrier services available to specific ports or geographic regions; (3) the number and strength of independent carriers in various trades; and (4) the length of time, frequency, and cost of major types of regulatory proceedings before the Commission. (b) Consultation with other departments and agencies The Commission shall consult with the Department of Transportation, the Department of Justice, and the Federal Trade Commission annually concerning data collection. The Department of Transportation, the Department of Justice, and the Federal Trade Commission shall at all times have access to the data collected under this section to enable them to provide comments concerning data collection. (c) Agency reports (1) Within 6 months after expiration of the 5-year period specified in subsection (a) of this section, the Commission shall report the information, with an analysis of the impact of this chapter, to Congress, to the Advisory Commission on Conferences in Ocean Shipping established in subsection (d) of this section, and to the Department of Transportation, the Department of Justice, and the Federal Trade Commission. (2) Within 60 days after the Commission submits its report, the Department of Transportation, the Department of Justice, and the Federal Trade Commission shall furnish an analysis of the impact of this chapter to Congress and to the Advisory Commission on Conferences in Ocean Shipping. (3) The reports required by this subsection shall specifically address the following topics: (A) the advisability of adopting a system of tariffs based on volume and mass of shipment; (B) the need for antitrust immunity for ports and marine terminals; and (C) the continuing need for the statutory requirement that tariffs be filed with and enforced by the Commission. (d) Establishment and composition of Advisory Commission (1) Effective 5 1/2 years after March 20, 1984, there is established the Advisory Commission on Conferences in Ocean Shipping (hereinafter referred to as the 'Advisory Commission'). (2) The Advisory Commission shall be composed of 17 members as follows: (A) a cabinet level official appointed by the President; (B) 4 members from the United States Senate appointed by the President pro tempore of the Senate, 2 from the membership of the Committee on Commerce, Science, and Transportation and 2 from the membership of the Committee on the Judiciary; (C) 4 members from the United States House of Representatives appointed by the Speaker of the House, 2 from the membership of the Committee on Merchant Marine and Fisheries, and 2 from the membership of the Committee on the Judiciary; and (D) 8 members from the private sector appointed by the President. (3) The President shall designate the chairman of the Advisory Commission. (4) The term of office for members shall be for the term of the Advisory Commission. (5) A vacancy in the Advisory Commission shall not affect its powers, and shall be filled in the same manner in which the original appointment was made. (6) Nine members of the Advisory Commission shall constitute a quorum, but the Advisory Commission may permit as few as 2 members to hold hearings. (e) Compensation of members of Advisory Commission (1) Officials of the United States Government and Members of Congress who are members of the Advisory Commission shall serve without compensation in addition to that received for their services as officials and Members, but they shall be reimbursed for reasonable travel, subsistence, and other necessary expenses incurred by them in the performance of the duties vested in the Advisory Commission. (2) Members of the Advisory Commission appointed from the private sector shall each receive compensation not exceeding the maximum per diem rate of pay for grade 18 of the General Schedule under section 5332 of title 5, when engaged in the performance of the duties vested in the Advisory Commission, plus reimbursement for reasonable travel, subsistence, and other necessary expenses incurred by them in the performance of those duties, notwithstanding the limitations in sections 5701 through 5733 of title 5. (3) Members of the Advisory Commission appointed from the private sector are not subject to section 208 of title 18. Before commencing service, these members shall file with the Advisory Commission a statement disclosing their financial interests and business and former relationships involving or relating to ocean transportation. These statements shall be available for public inspection at the Advisory Commission's offices. (f) Advisory Commission functions The Advisory Commission shall conduct a comprehensive study of, and make recommendations concerning, conferences in ocean shipping. The study shall specifically address whether the Nation would be best served by prohibiting conferences, or by closed or open conferences. (g) Powers of Advisory Commission (1) The Advisory Commission may, for the purpose of carrying out its functions, hold such hearings and sit and act at such times and places, administer such oaths, and require, by subpena or otherwise, the attendance and testimony of such witnesses, and the production of such books, records, correspondence, memorandums, papers, and documents as the Advisory Commission may deem advisable. Subpenas may be issued to any person within the jurisdiction of the United States courts, under the signature of the chairman, or any duly designated member, and may be served by any person designated by the chairman, or that member. In case of contumacy by, or refusal to obey a subpena to, any person, the Advisory Commission may advise the Attorney General who shall invoke the aid of any court of the United States within the jurisdiction of which the Advisory Commission's proceedings are carried on, or where that person resides or carries on business, in requiring the attendance and testimony of witnesses and the production of books, papers, and documents; and the court may issue an order requiring that person to appear before the Advisory Commission, there to produce records, if so ordered, or to give testimony. A failure to obey such an order of the court may be punished by the court as a contempt thereof. All process in any such case may be served in the judicial district whereof the person is an inhabitant or may be found. (2) Each department, agency, and instrumentality of the executive branch of the Government, including independent agencies, shall furnish to the Advisory Commission, upon request made by the chairman, such information as the Advisory Commission deems necessary to carry out its functions. (3) Upon request of the chairman, the Department of Justice, the Department of Transportation, the Federal Maritime Commission, and the Federal Trade Commission shall detail staff personnel as necessary to assist the Advisory Commission. (4) The chairman may rent office space for the Advisory Commission, may utilize the services and facilities of other Federal agencies with or without reimbursement, may accept voluntary services notwithstanding section 1342 of title 31, may accept, hold, and administer gifts from other Federal agencies, and may enter into contracts with any public or private person or entity for reports, research, or surveys in furtherance of the work of the Advisory Commission. (h) Final report The Advisory Commission shall, within 1 year after all of its members have been duly appointed, submit to the President and to the Congress a final report containing a statement of the findings and conclusions of the Advisory Commission resulting from the study undertaken under subsection (f) of this section, including recommendations for such administrative, judicial, and legislative action as it deems advisable. Each recommendation made by the Advisory Commission to the President and to the Congress must have the majority vote of the Advisory Commission present and voting. (i) Expiration of Commission The Advisory Commission shall cease to exist 30 days after the submission of its final report. (j) Authorization of appropriation There is authorized to be appropriated $500,000 to carry out the activities of the Advisory Commission. -SOURCE- (Pub. L. 98-237, Sec. 18, Mar. 20, 1984, 98 Stat. 85; Pub. L. 101-595, title I, Sec. 102, Nov. 16, 1990, 104 Stat. 2979.) -MISC1- AMENDMENTS 1990 - Subsec. (h). Pub. L. 101-595 inserted 'Advisory' before 'Commission shall' and substituted 'all of its members have been duly appointed' for 'its establishment'. REFERENCES IN OTHER LAWS TO GS-16, 17, OR 18 PAY RATES References in laws to the rates of pay for GS-16, 17, or 18, or to maximum rates of pay under the General Schedule, to be considered references to rates payable under specified sections of Title 5, Government Organization and Employees, see section 529 (title I, Sec. 101(c)(1)) of Pub. L. 101-509, set out in a note under section 5376 of Title 5. ------DocID 54033 Document 934 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1718 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1718. Ocean freight forwarders -STATUTE- (a) License No person may act as an ocean freight forwarder unless that person holds a license issued by the Commission. The Commission shall issue a forwarder's license to any person that - (1) the Commission determines to be qualified by experience and character to render forwarding services; and (2) furnishes a bond in a form and amount determined by the Commission to insure financial responsibility that is issued by a surety company found acceptable by the Secretary of the Treasury. (b) Suspension or revocation The Commission shall, after notice and hearing, suspend of (FOOTNOTE 1) revoke a license if it finds that the ocean freight forwarder is not qualified to render forwarding services or that it willfully failed to comply with a provision of this chapter or with a lawful order, rule, or regulation of the Commission. The Commission may also revoke a forwarder's license for failure to maintain a bond in accordance with subsection (a)(2) of this section. (FOOTNOTE 1) So in original. Probably should be 'or'. (c) Exception A person whose primary business is the sale of merchandise may forward shipments of the merchandise for its own account without a license. (d) Compensation of forwarders by carriers (1) A common carrier may compensate an ocean freight forwarder in connection with a shipment dispatched on behalf of others only when the ocean freight forwarder has certified in writing that it holds a valid license and has performed the following services: (A) Engaged, booked, secured, reserved, or contracted directly with the carrier or its agent for space aboard a vessel or confirmed the availability of that space. (B) Prepared and processed the ocean bill of lading, dock receipt, or other similar document with respect to the shipment. (2) No common carrier may pay compensation for services described in paragraph (1) more than once on the same shipment. (3) No compensation may be paid to an ocean freight forwarder except in accordance with the tariff requirements of this chapter. (4) No ocean freight forwarder may receive compensation from a common carrier with respect to a shipment in which the forwarder has a direct or indirect beneficial interest nor shall a common carrier knowingly pay compensation on that shipment. -SOURCE- (Pub. L. 98-237, Sec. 19, Mar. 20, 1984, 98 Stat. 87.) ------DocID 54034 Document 935 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1719 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1719. Contracts, agreements, and licenses under prior shipping legislation -STATUTE- (a) to (c) Omitted (d) Effects on certain agreements and contracts All agreements, contracts, modifications, and exemptions previously approved or licenses previously issued by the Commission shall continue in force and effect as if approved or issued under this chapter; and all new agreements, contracts, and modifications to existing, pending, or new contracts or agreements shall be considered under this chapter. (e) Savings provisions (1) Each service contract entered into by a shipper and an ocean common carrier or conference before March 20, 1984, may remain in full force and effect and need not comply with the requirements of section 1707(c) of this Appendix until 15 months after March 20, 1984. (2) This Act and the amendments made by it shall not affect any suit - (A) filed before March 20, 1984; or (B) with respect to claims arising out of conduct engaged in before March 20, 1984, filed within 1 year after March 20, 1984. -SOURCE- (Pub. L. 98-237, Sec. 20, Mar. 20, 1984, 98 Stat. 90.) -REFTEXT- REFERENCES IN TEXT This Act and the amendments made by it, referred to in subsec. (e)(2), is Pub. L. 98-237, Mar. 20, 1984, 98 Stat. 67, as amended, known as the Shipping Act of 1984, which is classified generally to this chapter (Sec. 1701 et seq.). For complete classification of this Act to the Code, see Short Title note set out under section 1701 of this Appendix and Tables. -COD- CODIFICATION Section is comprised of subsecs. (d) and (e) of section 20 of Pub. L. 98-237. Subsecs. (a) to (c) of section 20 amended sections 801, 812, 814, 815, 816, 817, 819, 820, 821, 824, 828, 829, 830, 831, 841c, 1122, and 1124 of this Appendix and repealed sections 813, 813a, 825, and 841b of this Appendix and provisions set out as a note under section 801 of this Appendix. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1706 of this Appendix. ------DocID 54035 Document 936 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1721 -EXPCITE- TITLE 46 APPENDIX CHAPTER 36 -HEAD- Sec. 1721. Bonding of non-vessel-operating common carriers -STATUTE- (a) Bond Each non-vessel-operating common carrier shall furnish to the Commission a bond in a form and an amount determined by the Commission to be satisfactory to insure the financial responsibility of that carrier, but in any event not less than $50,000. (b) Surety A bond submitted pursuant to this section shall be issued by a surety company found acceptable by the Secretary of the Treasury. (c) Claims against bond A bond obtained pursuant to this section shall be available to pay any judgment for damages against a non-vessel-operating common carrier arising from its transportation-related activities or order for reparations issued pursuant to section 1710 of this Appendix or any penalty assessed against a non-vessel-operating carrier pursuant to section 1712 of this Appendix. (d) Resident agent A non-vessel-operating common carrier not domiciled in the United States shall designate a resident agent in the United States for receipt of service of judicial and administrative process, including subpoenas. (e) Tariffs The Commission may suspend or cancel any or all tariffs of a non-vessel-operating common carrier for failure to maintain the bond required by subsection (a) of this section or to designate an agent as required by subsection (d) of this section or for a violation of section 1709(a)(1) of this Appendix. -SOURCE- (Pub. L. 98-237, Sec. 23, as added Pub. L. 101-595, title VII, Sec. 710(b), Nov. 16, 1990, 104 Stat. 2997.) -MISC1- EFFECTIVE DATE Section effective 90 days after Nov. 16, 1990, see section 710(e) of Pub. L. 101-595, set out as an Effective Date of 1990 Amendment note under section 1709 of this Appendix. INTERIM RULES AND REGULATIONS Section 710(d) of Pub. L. 101-595 provided that: 'The (Federal Maritime) Commission may prescribe interim rules and regulations necessary to carry out the amendments made by this section (enacting this section and amending section 1709 of this Appendix).' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1709 of this Appendix. ------DocID 54036 Document 937 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 37 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- CHAPTER 37 - INTERNATIONAL MARITIME AND PORT SECURITY -MISC1- Sec. 1801. International measures for seaport and shipboard security. 1802. Threat of terrorism to United States ports and vessels. 1803. Security standards at foreign ports. (a) Assessment of security measures. (b) Consultation with Secretary of State. (c) Report of assessments. (d) Determination and notification to foreign country. (e) Antiterrorism assistance related to maritime security. 1804. Travel advisories concerning security at foreign ports. (a) Travel advisory. (b) Lifting of travel advisory. (c) Notification to Congress. 1805. Suspension of passenger service. (a) President's determination. (b) Prohibition. (c) Penalty. 1806. Sanctions for seizure of vessels by terrorists. 1807. Definitions. 1808. Authorization of appropriations. 1809. Reports. (a) Consoldiation. (b) Submission to committees. ------DocID 54037 Document 938 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1801 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1801. International measures for seaport and shipboard security -STATUTE- The Congress encourages the President to continue to seek agreement through the International Maritime Organization on matters of international seaport and shipboard security, and commends him on his efforts to date. In developing such agreement, each member country of the International Maritime Organization should consult with appropriate private sector interests in that country. Such agreement would establish seaport and vessel security measures and could include - (1) seaport screening of cargo and baggage similar to that done at airports; (2) security measures to restrict access to cargo, vessels, and dockside property to authorized personnel only; (3) additional security on board vessels; (4) licensing or certification of compliance with appropriate security standards; and (5) other appropriate measures to prevent unlawful acts against passengers and crews on board vessels. -SOURCE- (Pub. L. 99-399, title IX, Sec. 902, Aug. 27, 1986, 100 Stat. 889.) -MISC1- SHORT TITLE Section 901 of title IX of Pub. L. 99-399 provided that: 'This title (enacting this chapter and section 1226 of Title 33, Navigation and Navigable Waters, and enacting provisions set out as notes below) may be cited as the 'International Maritime and Port Security Act'.' MEASURES TO PREVENT UNLAWFUL ACTS AGAINST PASSENGERS AND CREWS ON BOARD SHIPS Section 903 of Pub. L. 99-399 provided that: '(a) Report on Progress of IMO. - The Secretary of Transportation and the Secretary of State, jointly, shall report to the Congress by February 28, 1987, on the progress of the International Maritime Organization in developing recommendations on Measures to Prevent Unlawful Acts Against Passengers and Crews On Board Ships. '(b) Content of Report. - The report required by subsection (a) shall include the following information - '(1) the specific areas of agreement and disagreement on the recommendations among the member nations of the International Maritime Organization; '(2) the activities of the Maritime Safety Committee, the Facilitation Committee, and the Legal Committee of the International Maritime Organization in regard to the proposed recommendations; and '(3) the security measures specified in the recommendations. '(c) Security Measures at United States Ports. - If the member nations of the International Maritime Organization have not finalized and accepted the proposed recommendations by February 28, 1987, the Secretary of Transportation shall include in the report required by this section a proposed plan of action (including proposed legislation if necessary) for the implementation of security measures at United States ports and on vessels operating from those ports based on the assessment of threat from acts of terrorism reported by the Secretary of Transportation under section 905 (46 App. U.S.C. 1802).' PANAMA CANAL SECURITY Section 904 of Pub. L. 99-399 provided that: 'Not later than 6 months after the date of enactment of this Act (Aug. 27, 1986), the President shall report to the Congress on the status of physical security at the Panama Canal with respect to the threat of terrorism.' ------DocID 54038 Document 939 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1802 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1802. Threat of terrorism to United States ports and vessels -STATUTE- Not later than February 28, 1987, and annually thereafter, the Secretary of Transportation shall report to the Congress on the threat from acts of terrorism to United States ports and vessels operating from those ports. -SOURCE- (Pub. L. 99-399, title IX, Sec. 905, Aug. 27, 1986, 100 Stat. 890.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1809 of this Appendix. ------DocID 54039 Document 940 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1803 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1803. Security standards at foreign ports -STATUTE- (a) Assessment of security measures The Secretary of Transportation shall develop and implement a plan to assess the effectiveness of the security measures maintained at those foreign ports which the Secretary, in consultation with the Secretary of State, determines pose a high risk of acts of terrorism directed against passenger vessels. (b) Consultation with Secretary of State In carrying out subsection (a) of this section, the Secretary of Transportation shall consult the Secretary of State with respect to the terrorist threat which exists in each country and poses a high risk of acts of terrorism directed against passenger vessels. (c) Report of assessments Not later than 6 months after August 27, 1986, the Secretary of Transportation shall report to the Congress on the plan developed pursuant to subsection (a) of this section and how the Secretary will implement the plan. (d) Determination and notification to foreign country If, after implementing the plan in accordance with subsection (a) of this section, the Secretary of Transportation determines that a port does not maintain and administer effective security measures, the Secretary of State (after being informed by the Secretary of Transportation) shall notify the appropriate government authorities of the country in which the port is located of such determination, and shall recommend the steps necessary to bring the security measures in use at that port up to the standard used by the Secretary of Transportation in making such assessment. (e) Antiterrorism assistance related to maritime security The President is encouraged to provide antiterrorism assistance related to maritime security under chapter 8 of part II of the Foreign Assistance Act of 1961 (22 U.S.C. 2349aa et seq.) to foreign countries, especially with respect to a port which the Secretary of Transportation determines under subsection (d) of this section does not maintain and administer effective security measures. -SOURCE- (Pub. L. 99-399, title IX, Sec. 907, Aug. 27, 1986, 100 Stat. 891.) -REFTEXT- REFERENCES IN TEXT The Foreign Assistance Act of 1961, referred to in subsec. (e), is Pub. L. 97-195, Sept. 4, 1961, 75 Stat. 424, as amended. Chapter 8 of part II of that Act is classified generally to part VIII (Sec. 2349aa et seq.) of subchapter II of chapter 32 of Title 22, Foreign Relations and Intercourse. For complete classification of this Act to the Code, see Short Title note set out under section 2151 of Title 22 and Tables. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1804, 1809 of this Appendix. ------DocID 54040 Document 941 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1804 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1804. Travel advisories concerning security at foreign ports -STATUTE- (a) Travel advisory Upon being notified by the Secretary of Transportation that the Secretary has determined that a condition exists that threatens the safety or security of passengers, passenger vessels, or crew traveling to or from a foreign port which the Secretary of Transportation has determined pursuant to section 1803(d) of this Appendix to be a port which does not maintain and administer effective security measures, the Secretary of State shall immediately issue a travel advisory with respect to that port. Any travel advisory issued pursuant to this subsection shall be published in the Federal Register. The Secretary of State shall take the necessary steps to widely publicize that travel advisory. (b) Lifting of travel advisory The travel advisory required to be issued under subsection (a) of this section may be lifted only if the Secretary of Transportation, in consultation with the Secretary of State, has determined that effective security measures are maintained and administered at the port with respect to which the Secretary of Transportation had made the determination described in section 1803(d) of this Appendix. (c) Notification to Congress The Secretary of State shall immediately notify the Congress of any change in the status of a travel advisory imposed pursuant to this section. -SOURCE- (Pub. L. 99-399, title IX, Sec. 908, Aug. 27, 1986, 100 Stat. 891.) ------DocID 54041 Document 942 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1805 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1805. Suspension of passenger service -STATUTE- (a) President's determination Whenever the President determines that a foreign nation permits the use of territory under its jurisdiction as a base of operations or training for, or as a sanctuary for, or in any way arms, aids, or abets, any terrorist or terrorist group which knowingly uses the illegal seizure of passenger vessels or the threat thereof as an instrument of policy, the President may, without notice or hearing and for as long as the President determines necessary to assure the security of passenger vessels against unlawful seizure, suspend the right of any passenger vessel common carrier to operate to and from, and the right of any passenger vessel of the United States to utilize, any port in that foreign nation for passenger service. (b) Prohibition It shall be unlawful for any passenger vessel common carrier, or any passenger vessel of the United States, to operate in violation of the suspension of rights by the President under this section. (c) Penalty (1) If a person operates a vessel in violation of this section, the Secretary of the department in which the Coast Guard is operating may deny the vessels of that person entry to United States ports. (2) A person violating this section is liable to the United States Government for a civil penalty of not more than $50,000. Each day a vessel utilizes a prohibited port shall be a separate violation of this section. -SOURCE- (Pub. L. 99-399, title IX, Sec. 909, Aug. 27, 1986, 100 Stat. 892.) ------DocID 54042 Document 943 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1806 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1806. Sanctions for seizure of vessels by terrorists -STATUTE- The Congress encourages the President - (1) to review the adequacy of domestic and international sanctions against terrorists who seize or attempt to seize vessels; and (2) to strengthen where necessary, through bilateral and multilateral efforts, the effectiveness of such sanctions. Not later than one year after August 27, 1986, the President shall submit a report to the Congress which includes the review of such sanctions and the efforts to improve such sanctions. -SOURCE- (Pub. L. 99-399, title IX, Sec. 910, Aug. 27, 1986, 100 Stat. 892.) ------DocID 54043 Document 944 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1807 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1807. Definitions -STATUTE- For purposes of this chapter - (1) the term 'common carrier' has the same meaning given such term in section 1702(6) of this Appendix; and (2) the terms 'passenger vessel' and 'vessel of the United States' have the same meaning given such terms in section 2101 of title 46. -SOURCE- (Pub. L. 99-399, title IX, Sec. 911, Aug. 27, 1986, 100 Stat. 892.) -REFTEXT- REFERENCES IN TEXT This chapter, referred to in text, was in the original 'this title', meaning title IX of Pub. L. 99-399, Aug. 27, 1986, 100 Stat. 889, known as the International Maritime and Port Security Act, which enacted this chapter and section 1226 of Title 33, Navigation and Navigable Waters, and enacted provisions set out as notes under section 1801 of this Appendix. For complete classification of title IX to the Code, see Short Title note set out under section 1801 of this Appendix and Tables. ------DocID 54044 Document 945 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1808 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1808. Authorization of Appropriations -STATUTE- There are authorized to be appropriated $12,500,000 for each of the fiscal years 1987 through 1991, to be available to the Secretary of Transportation to carry out this chapter. -SOURCE- (Pub. L. 99-399, title IX, Sec. 912, Aug. 27, 1986, 100 Stat. 892.) -REFTEXT- REFERENCES IN TEXT This chapter, referred to in text, was in the original 'this title', meaning title IX of Pub. L. 99-399, Aug. 27, 1986, 100 Stat. 889, known as the International Maritime and Port Security Act, which enacted this chapter and section 1226 of Title 33, Navigation and Navigable Waters, and enacted provisions set out as notes under section 1801 of this Appendix. For complete classification of title IX to the Code, see Short Title note set out under section 1801 of this Appendix and Tables. ------DocID 54045 Document 946 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1809 -EXPCITE- TITLE 46 APPENDIX CHAPTER 37 -HEAD- Sec. 1809. Reports -STATUTE- (a) Consolidation To the extent practicable, the reports required under sections 903, 905, and 907 (46 App. U.S.C. 1801 note, 1802, 1803) shall be consolidated into a single document before being submitted to the Congress. Any classified material in those reports shall be submitted separately as an addendum to the consolidated report. (b) Submission to committees The reports required to be submitted to the Congress under this chapter shall be submitted to the Committee on Foreign Affairs and the Committee on Merchant Marine and Fisheries of the House of Representatives and the Committee on Foreign Relations and the Committee on Commerce, Science and Transportation of the Senate. -SOURCE- (Pub. L. 99-399, title IX, Sec. 913, Aug. 27, 1986, 100 Stat. 892.) -REFTEXT- REFERENCES IN TEXT Sections 903, 905, and 907, referred to in subsec. (a), are sections 903, 905, and 907 of Pub. L. 99-399, which enacted a provision set out as a note under section 1801 of this Appendix and sections 1802 and 1803 of this Appendix, respectively. This chapter, referred to in subsec. (b), was in the original 'this title', meaning title IX of Pub. L. 99-399, Aug. 27, 1986, 100 Stat. 889, known as the International Maritime and Port Security Act, which enacted this chapter and section 1226 of Title 33, Navigation and Navigable Waters, and enacted provisions set out as notes under section 1801 of this Appendix. For complete classification of title IX to the Code, see Short Title note set out under section 1801 of this Appendix and Tables. ------DocID 54046 Document 947 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 38 -EXPCITE- TITLE 46 APPENDIX CHAPTER 38 -HEAD- CHAPTER 38 - MARITIME DRUG LAW ENFORCEMENT -MISC1- Sec. 1901. Short title. 1902. Congressional declaration of findings. 1903. Manufacture, distribution, or possession with intent to manufacture or distribute controlled substances on board vessels. (a) Vessels of United States or vessels subject to jurisdiction of United States. (b) 'Vessel of the United States' defined. (c) 'Vessel subject to the jurisdiction of the United States' and 'vessel without nationality' defined; claim of nationality or registry. (d) Claim of failure to comply with international law; jurisdiction of court. (e) Exception; burden of proof. (f) Jurisdiction and venue. (g) Penalties. (h) Extension beyond territorial jurisdiction of United States. (i) Definitions of drug abuse terms. (j) Attempt or conspiracy to commit offense. 1904. Seizure or forfeiture of property. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in title 10 section 374; title 18 sections 924, 929, 3142. ------DocID 54047 Document 948 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1901 -EXPCITE- TITLE 46 APPENDIX CHAPTER 38 -HEAD- Sec. 1901. Short title -STATUTE- This chapter may be cited as the 'Maritime Drug Law Enforcement Act'. -SOURCE- (Pub. L. 96-350, Sec. 1, Sept. 15, 1980, 94 Stat. 1159; Pub. L. 99-570, title III, Sec. 3202, Oct. 27, 1986, 100 Stat. 3207-95; Pub. L. 99-640, Sec. 17, Nov. 10, 1986, 100 Stat. 3552.) -COD- CODIFICATION Section was formerly classified to section 955a of Title 21, Food and Drugs. -MISC3- AMENDMENTS 1986 - Pub. L. 99-570 and Pub. L. 99-640 generally amended section identically, substituting provisions relating to short title for provisions relating to manufacture, distribution, or possession with intent to manufacture or distribute controlled substances on board vessels. SHORT TITLE OF 1986 AMENDMENT Section 3201 of title III of Pub. L. 99-570 provided that: 'This subtitle (subtitle C (Sec. 3201, 3202) of title III of Pub. L. 99-570, amending this chapter) may be cited as the 'Maritime Drug Law Enforcement Prosecution Improvements Act of 1986'.' ------DocID 54048 Document 949 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1902 -EXPCITE- TITLE 46 APPENDIX CHAPTER 38 -HEAD- Sec. 1902. Congressional declaration of findings -STATUTE- The Congress finds and declares that trafficking in controlled substances aboard vessels is a serious international problem and is universally condemned. Moreover, such trafficking presents a specific threat to the security and societal well-being of the United States. -SOURCE- (Pub. L. 96-350, Sec. 2, Sept. 15, 1980, 94 Stat. 1160; Pub. L. 99-307, Sec. 7, May 19, 1986, 100 Stat. 447; Pub. L. 99-570, title III, Sec. 3202, Oct. 27, 1986, 100 Stat. 3207-95; Pub. L. 99-640, Sec. 17, Nov. 10, 1986, 100 Stat. 3552.) -COD- CODIFICATION Section was formerly classified to section 955b of Title 21, Food and Drugs. -MISC3- AMENDMENTS 1986 - Pub. L. 99-570 and Pub. L. 99-640 generally amended section identically, substituting provisions relating to Congressional declaration of findings for provisions relating to definitions. Subsec. (a). Pub. L. 99-307 inserted provision that an event otherwise qualifying as an arrangement not lose that qualification by the fact that consent to, or the terms of, such arrangement are communicated by radio, telephone, or other similar means, or by how specific such arrangement is as to the vessel to which such arrangement applies. INTERDICTION PROCEDURES FOR VESSELS OF FOREIGN REGISTRY Section 2015 of Pub. L. 99-570, as amended by Pub. L. 100-690, title IV, Sec. 4802(a)(1), Nov. 18, 1988, 102 Stat. 4294, provided that: '(a) Findings. - The Congress finds that - '(1) the interdiction by the United States Coast Guard of vessels suspected for carrying illicit narcotics can be a difficult procedure when the vessel is of foreign registry and is located beyond the customs waters of the United States; '(2) before boarding and inspecting such a vessel, the Coast Guard must obtain consent from either the master of the vessel or the country of registry; and '(3) this process, and obtaining the consent of the country of registry to further law enforcement action, may delay the interdiction of the vessel by 3 or 4 days. '(b) Negotiations Concerning Interdiction Procedures. - '(1) The Congress urges the Secretary of State, in consultation with the Secretary of the department in which the Coast Guard is operating, to increase efforts to negotiate with relevant countries procedures which will facilitate interdiction of vessels suspected of carrying illicit narcotics. '(2) If a country refuses to negotiate with respect to interdiction procedures, the President shall take appropriate actions directed against that country, which may include the denial of access to United States ports to vessels registered in that country. '(3) The Secretary of State shall submit reports to the Congress semiannually identifying those countries which have failed to negotiate with respect to interdiction procedures.' ------DocID 54049 Document 950 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1903 -EXPCITE- TITLE 46 APPENDIX CHAPTER 38 -HEAD- Sec. 1903. Manufacture, distribution, or possession with intent to manufacture or distribute controlled substances on board vessels -STATUTE- (a) Vessels of United States or vessels subject to jurisdiction of United States It is unlawful for any person on board a vessel of the United States, or on board a vessel subject to the jurisdiction of the United States, or who is a citizen of the United States or a resident alien of the United States on board any vessel, to knowingly or intentionally manufacture or distribute, or to possess with intent to manufacture or distribute, a controlled substance. (b) 'Vessel of the United States' defined For purposes of this section, a 'vessel of the United States' means - (1) a vessel documented under chapter 121 of title 46 or a vessel numbered as provided in chapter 123 of that title; (2) a vessel owned in whole or part by - (A) the United States or a territory, commonwealth, or possession of the United States; (B) a State or political subdivision thereof; (C) a citizen or national of the United States; or (D) a corporation created under the laws of the United States or any State, the District of Columbia, or any territory, commonwealth, or possession of the United States; unless the vessel has been granted the nationality of a foreign nation in accordance with article 5 of the 1958 Convention of the High Seas and a claim of nationality or registry for the vessel is made by the master or individual in charge at the time of the enforcement action by an officer or employee of the United States authorized to enforce applicable provisions of United States law; and (3) a vessel that was once documented under the laws of the United States and, in violation of the laws of the United States, was either sold to a person not a citizen of the United States or placed under foreign registry or a foreign flag, whether or not the vessel has been granted the nationality of a foreign nation. (c) 'Vessel subject to the jurisdiction of the United States' and 'vessel without nationality' defined; claim of nationality or registry (1) For purposes of this section, a 'vessel subject to the jurisdiction of the United States' includes - (A) a vessel without nationality; (B) a vessel assimilated to a vessel without nationality, in accordance with paragraph (2) of article 6 of the 1958 Convention on the High Seas; (C) a vessel registered in a foreign nation where the flag nation has consented or waived objection to the enforcement of United States law by the United States; (D) a vessel located within the customs waters of the United States; and (E) a vessel located in the territorial waters of another nation, where the nation consents to the enforcement of United States law by the United States. Consent or waiver of objection by a foreign nation to the enforcement of United States law by the United States under subparagraph (C) or (E) of this paragraph may be obtained by radio, telephone, or similar oral or electronic means, and may be proved by certification of the Secretary of State or the Secretary's designee. (2) For purposes of this section, a 'vessel without nationality' includes - (A) a vessel aboard which the master or person in charge makes a claim of registry, which claim is denied by the flag nation whose registry is claimed; and (B) any vessel aboard which the master or person in charge fails, upon request of an officer of the United States empowered to enforce applicable provisions of United States law, to make a claim of nationality or registry for that vessel. A claim of registry under subparagraph (A) may be verified or denied by radio, telephone, or similar oral or electronic means. The denial of such claim of registry by the claimed flag nation may be proved by certification of the Secretary of State or the Secretary's designee. (3) For purposes of this section, a claim of nationality or registry only includes: (A) possession on board the vessel and production of documents evidencing the vessel's nationality in accordance with article 5 of the 1958 Convention on the High Seas; (B) flying its flag nation's ensign or flag; or (C) a verbal claim of nationality or registry by the master or person in charge of the vessel. (d) Claim of failure to comply with international law; jurisdiction of court A claim of failure to comply with international law in the enforcement of this chapter may be invoked solely by a foreign nation, and a failure to comply with international law shall not divest a court of jurisdiction or otherwise constitute a defense to any proceeding under this chapter. (e) Exception; burden of proof This section does not apply to a common or contract carrier or an employee thereof, who possesses or distributes a controlled substance in the lawful and usual course of the carrier's business or to a public vessel of the United States, or any person on board such a vessel who possesses or distributes a controlled substance in the lawful course of such person's duties, if the controlled substance is a part of the cargo entered in the vessel's manifest and is intended to be lawfully imported into the country of destination for scientific, medical, or other legitimate purposes. It shall not be necessary for the United States to negative the exception set forth in this subsection in any complaint, information, indictment, or other pleading or in any trial or other proceeding. The burden of going forward with the evidence with respect to this exception is upon the person claiming its benefit. (f) Jurisdiction and venue Any person who violates this section shall be tried in the United States district court at the point of entry where that person enters the United States, or in the United States District Court of the District of Columbia. (g) Penalties (1) Any person who commits an offense defined in this section shall be punished in accordance with the penalties set forth in section 1010 of the Comprehensive Drug Abuse Prevention and Control Act of 1970 (21 U.S.C. 960). (2) Notwithstanding paragraph (1) of this subsection, any person convicted of an offense under this chapter shall be punished in accordance with the penalties set forth in section 1012 of the Comprehensive Drug Abuse Prevention and Control Act of 1970 (21 U.S.C. 962) if such offense is a second or subsequent offense as defined in section 1012(b) of that Act. (h) Extension beyond territorial jurisdiction of United States This section is intended to reach acts of possession, manufacture, or distribution committed outside the territorial jurisdiction of the United States. (i) Definitions of drug abuse terms The definitions in the Comprehensive Drug Abuse Prevention and Control Act of 1970 (21 U.S.C. 802) apply to terms used in this chapter. (j) Attempt or conspiracy to commit offense Any person who attempts or conspires to commit any offense defined in this chapter shall be subject to the same penalties as those prescribed for the offense, the commission of which was the object of the attempt or conspiracy. -SOURCE- (Pub. L. 96-350, Sec. 3, Sept. 15, 1980, 94 Stat. 1160; Pub. L. 99-570, title III, Sec. 3202, Oct. 27, 1986, 100 Stat. 3207-95; Pub. L. 99-640, Sec. 17, Nov. 10, 1986, 100 Stat. 3552; Pub. L. 100-690, title VII, Sec. 7402, Nov. 18, 1988, 102 Stat. 4483; Pub. L. 101-647, title XII, Sec. 1203, Nov. 29, 1990, 104 Stat. 4830.) -REFTEXT- REFERENCES IN TEXT The Comprehensive Drug Abuse Prevention and Control Act of 1970, referred to in subsec. (i), is Pub. L. 91-513, Oct. 27, 1970, 84 Stat. 1236, as amended, which is classified principally to chapter 13 (Sec. 801 et seq.) of Title 21, Food and Drugs. Section 802 of Title 21 contains provisions relating to definitions used in title II (21 U.S.C. 801 et seq.) of the Comprehensive Drug Abuse Prevention and Control Act of 1970. For complete classification of this Act to the Code, see Short Title note set out under section 801 of Title 21 and Tables. -COD- CODIFICATION Section was formerly classified to section 955c of Title 21, Food and Drugs. -MISC3- AMENDMENTS 1990 - Subsec. (j). Pub. L. 101-647 substituted 'shall be subject to the same penalties as those' for 'is punishable by imprisonment or fine, or both, which may not exceed the maximum punishment'. 1988 - Subsec. (a). Pub. L. 100-690, Sec. 7402(a), inserted 'or who is a citizen of the United States or a resident alien of the United States on board any vessel,' after 'jurisdiction of the United States,'. Subsec. (b)(2). Pub. L. 100-690, Sec. 7402(b), inserted 'and a claim of nationality or registry for the vessel is made by the master or individual in charge at the time of the enforcement action by an officer or employee of the United States authorized to enforce applicable provisions of United States law' after 'High Seas'. 1986 - Pub. L. 99-570 and Pub. L. 99-640 generally amended section in substantially identical manner, substituting provisions relating to manufacture, distribution, or possession with intent to manufacture or distribute controlled substances on board vessels for provisions relating to attempt or conspiracy. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 18 section 924; title 28 section 994. ------DocID 54050 Document 951 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 1904 -EXPCITE- TITLE 46 APPENDIX CHAPTER 38 -HEAD- Sec. 1904. Seizure or forfeiture of property -STATUTE- Any property described in section 881(a) of title 21 that is used or intended for use to commit, or to facilitate the commission of, an offense under this chapter shall be subject to seizure and forfeiture in the same manner as similar property seized or forfeited under section 881 of title 21. -SOURCE- (Pub. L. 96-350, Sec. 4, Sept. 15, 1980, 94 Stat. 1160; Pub. L. 99-570, title III, Sec. 3202, Oct. 27, 1986, 100 Stat. 3207-97; Pub. L. 99-640, Sec. 17, Nov. 10, 1986, 100 Stat. 3554.) -COD- CODIFICATION Section was formerly classified to section 955d of Title 21, Food and Drugs. Pub. L. 96-350, as amended generally by Pub. L. 99-570, contained two sections designated 3, the first of which is classified to section 1903 of this Appendix, and the second of which is classified to this section, section 4 of Pub. L. 96-350, to reflect the probable intent of Congress. -MISC3- AMENDMENTS 1986 - Pub. L. 99-570 and Pub. L. 99-640 generally amended section identically, substituting provisions relating to seizure or forfeiture of property for provisions of the same general subject matter. ------DocID 54051 Document 952 of 963------ -CITE- 46 USC APPENDIX - SHIPPING CHAPTER 39 -EXPCITE- TITLE 46 APPENDIX CHAPTER 39 -HEAD- CHAPTER 39 - MERCHANT MARINE DECORATIONS AND MEDALS -MISC1- Sec. 2001. Award of decorations and medals by Secretary of Transportation. 2002. Merchant Marine Distinguished Service Medal and Meritorious Service Medal; other decorations or medals. 2003. Gallant Ship Award; citation; plaque; citation ribbon bar; consultation with Secretary of State. 2004. Administrative provisions. (a) Restriction on award of more than one of any type. (b) Receipt by personal representative. (c) Manufacture and sale; replacements. (d) Design. 2005. Flag and grave marker for deceased individual who served in periods of war or national emergency. 2006. Issuance of special certificate in recognition of service; effect. 2007. Unauthorized manufacture, sale, possession, or display of decoration or medal; penalty. ------DocID 54052 Document 953 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 2001 -EXPCITE- TITLE 46 APPENDIX CHAPTER 39 -HEAD- Sec. 2001. Award of decorations and medals by Secretary of Transportation -STATUTE- The Secretary of Transportation may award decorations and medals of appropriate design (including ribbons, ribbon bars, emblems, rosettes, miniature facsimiles, plaques, citations, or other suitable devices or insignia) for individual acts or service in the United States merchant marine. -SOURCE- (Pub. L. 100-324, Sec. 2, May 30, 1988, 102 Stat. 576.) -MISC1- SHORT TITLE Section 1 of Pub. L. 100-324 provided that: 'This Act (enacting this chapter and repealing sections 249 to 249c of this Appendix and provisions set out as a note under section 753 of Title 50, Appendix, War and National Defense) may be cited as the 'Merchant Marine Decorations and Medals Act'.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 2004 of this Appendix. ------DocID 54053 Document 954 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 2002 -EXPCITE- TITLE 46 APPENDIX CHAPTER 39 -HEAD- Sec. 2002. Merchant Marine Distinguished Service Medal and Meritorious Service Medal; other decorations or medals -STATUTE- The Secretary of Transportation may award - (1) a Merchant Marine Distinguished Service Medal to an individual for outstanding acts, conduct, or valor beyond the line of duty; (2) a Merchant Marine Meritorious Service Medal to an individual for meritorious acts, conduct, or valor in the line of duty, but not of the outstanding character as would warrant the award of the Merchant Marine Distinguished Service Medal; (3) a decoration or medal to an individual for service in time of war or national emergency proclaimed by the President or Congress, or during operations by the Armed Forces of the United States outside the continental United States under conditions of danger to life and property; and (4) a decoration or medal to an individual for other acts or service of conspicuous gallantry, intrepidity, and extraordinary heroism under conditions of danger to life and property that would warrant a similar decoration or medal for a member of the Armed Forces of the United States. -SOURCE- (Pub. L. 100-324, Sec. 3, May 30, 1988, 102 Stat. 576.) ------DocID 54054 Document 955 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 2003 -EXPCITE- TITLE 46 APPENDIX CHAPTER 39 -HEAD- Sec. 2003. Gallant Ship Award; citation; plaque; citation ribbon bar; consultation with Secretary of State -STATUTE- The Secretary of Transportation may issue a Gallant Ship Award and a citation to a United States vessel or to a foreign-flag vessel participating in outstanding or gallant action in marine disasters or other emergencies for the purpose of saving life or property at sea. The Secretary may award a plaque to a vessel so cited, and a replica of the plaque may be preserved as a permanent historical record. The Secretary may also award an appropriate citation ribbon bar to the master and each individual serving on board the vessel at the time of the action for which the citation is made. The Secretary shall consult with the Secretary of State before giving an award or citation to a foreign-flag vessel or its crew under this section. -SOURCE- (Pub. L. 100-324, Sec. 4, May 30, 1988, 102 Stat. 576.) ------DocID 54055 Document 956 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 2004 -EXPCITE- TITLE 46 APPENDIX CHAPTER 39 -HEAD- Sec. 2004. Administrative provisions -STATUTE- (a) Restriction on award of more than one of any type The Secretary of Transportation may not award more than one of any type of decoration or medal to an individual. For each succeeding act or service justifying the same decoration or medal, a suitable device may be awarded to be worn with the decoration or medal. (b) Receipt by personal representative When an individual scheduled to receive a decoration or medal under this chapter is unable to accept it, the Secretary may make the award to an appropriate personal representative. (c) Manufacture and sale; replacements The Secretary may provide at cost, or authorize for the manufacture and sale at reasonable prices by private persons - (1) the decorations and medals authorized under section 2001 of this Appendix and replacements for those decorations and medals; and (2) replacements for decorations and medals issued under a prior law. (d) Design Decorations and medals authorized under section 2001 of this Appendix may be of similar design as are authorized for members of the Armed Forces of the United States for similar acts or service. -SOURCE- (Pub. L. 100-324, Sec. 5, May 30, 1988, 102 Stat. 576.) -REFTEXT- REFERENCES IN TEXT This chapter, referred to in subsec. (b), was in the original 'this Act', meaning Pub. L. 100-324, May 30, 1988, 102 Stat. 576, known as the Merchant Marine Decorations and Medals Act, which enacted this chapter and repealed sections 249 to 249c of this Appendix and provisions set out as a note under section 753 of Title 50, Appendix, War and National Defense. For complete classification of this Act to the Code, see Short Title note set out under section 2001 of this Appendix and Tables. ------DocID 54056 Document 957 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 2005 -EXPCITE- TITLE 46 APPENDIX CHAPTER 39 -HEAD- Sec. 2005. Flag and grave marker for deceased individual who served in periods of war or national emergency -STATUTE- Except as authorized under another law, the Secretary of Transportation may issue at no cost a flag of the United States and a grave marker to the family or personal representative of a deceased individual, who served in the United States merchant marine in support of the Armed Forces of the United States or its allies in periods of war or national emergency. -SOURCE- (Pub. L. 100-324, Sec. 6, May 30, 1988, 102 Stat. 577.) ------DocID 54057 Document 958 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 2006 -EXPCITE- TITLE 46 APPENDIX CHAPTER 39 -HEAD- Sec. 2006. Issuance of special certificate in recognition of service; effect -STATUTE- (a) The Maritime Administrator may issue a special certificate in recognition of service to an individual, or the personal representative of an individual, whose service in the United States merchant marine has been determined to be active duty under section 401 of Public Law 95-202 (38 U.S.C. 106, Note). (b) Issuance of a certificate to any individual under subsection (a) of this section does not entitle that individual to any rights, privileges, or benefits under any law of the United States. -SOURCE- (Pub. L. 100-324, Sec. 7, May 30, 1988, 102 Stat. 577.) -REFTEXT- REFERENCES IN TEXT Section 401 of Public Law 95-202, referred to in subsec. (a), is section 401 of Pub. L. 95-202, title IV, Nov. 23, 1977, 91 Stat. 1449, as amended, which is set out as a note under section 106 of Title 38, Veterans' Benefits. ------DocID 54058 Document 959 of 963------ -CITE- 46 USC APPENDIX - SHIPPING Sec. 2007 -EXPCITE- TITLE 46 APPENDIX CHAPTER 39 -HEAD- Sec. 2007. Unauthorized manufacture, sale, possession, or display of decoration or medal; penalty -STATUTE- Except as authorized by this chapter, a person may not manufacture, sell, possess, or display a decoration or medal provided for in this chapter. A person violating this section is liable to the United States Government for a civil penalty of $2,000. -SOURCE- (Pub. L. 100-324, Sec. 8, May 30, 1988, 102 Stat. 577.) ------DocID 54331 Document 960 of 963------ -CITE- 48 USC Sec. 46 -EXPCITE- TITLE 48 CHAPTER 2 -HEAD- Sec. 46. Repealed. July 28, 1956, ch. 772, title III, Sec. 301(a)(2), 70 Stat. 712 -MISC1- Section, acts Feb. 6, 1909, ch. 80, Sec. 7, 35 Stat. 601; Oct. 14, 1942, ch. 601, Sec. 2, 56 Stat. 782; July 28, 1956, ch. 722, title III, Sec. 301(b)(1), 70 Stat. 712, authorized Governor of Alaska or his designe to contract for care and custody of insane persons. ------DocID 10430 Document 961 of 963------ -CITE- 7 USC CHAPTER 46 -EXPCITE- TITLE 7 CHAPTER 46 -HEAD- CHAPTER 46 - SURPLUS DISPOSAL OF AGRICULTURAL COMMODITIES -MISC1- Sec. 1851. Disposal of stocks; annual report. 1852. Extra-long staple cotton; quota; sale for export. 1852a. Repealed. 1853. Export sales program for cotton. 1854. Agreements limiting imports. 1855. Supplemental appropriations to encourage exportation and domestic consumption of agricultural products. 1856. Transfer of bartered materials to supplemental stockpile; limitation of acquisition to certain programs; authorization of appropriations. 1857. Surplus Disposal Administrator; appointment; duties. 1858. Repealed. 1859. Donation to penal and correctional institutions. 1860. Federal irrigation, drainage, and flood-control projects. (a) Restriction on crop loans or farm payments or benefits. (b) Contract provisions; ineligibility for benefits. (c) Determination and proclamation of surplus agricultural commodities. (d) 'Federal irrigation or drainage project' defined. ------DocID 55255 Document 962 of 963------ -CITE- 49 USC APPENDIX - TRANSPORTATION Sec. 46 -EXPCITE- TITLE 49, APPENDIX CHAPTER 2 -HEAD- Sec. 46. Repealed. Pub. L. 95-473, Sec. 4(b), (c), Oct. 17, 1978, 92 Stat. 1466, 1470 -MISC1- Section repealed subject to an exception related to transportation of oil by pipeline. For disposition of this section in revised Title 49, Transportation, see Table at beginning of Title 49. See, also, notes following Table. Prior to repeal, section read as follows: Sec. 46. Neglect or refusal to attend and testify, or to answer lawful inquiries, or to produce books, etc.; offense; punishment Any person who shall neglect or refuse to attend and testify, or to answer any lawful inquiry, or to produce books, papers, tariffs, contracts, agreements, and documents, if in his power to do so, in obedience to the subpoena or lawful requirement of the Commission shall be guilty of an offense and upon conviction thereof by a court of competent jurisdiction shall be punished by fine not less than $100 nor more than $5,000, or by imprisonment for not more than one year or by both such fine and imprisonment. (Feb. 11, 1893, ch. 83, 27 Stat. 443; Oct. 15, 1970, Pub. L. 91-452, title II, Sec. 245, 84 Stat. 931.) ------DocID 55962 Document 963 of 963------ -CITE- 50 USC Sec. 46 to 46b -EXPCITE- TITLE 50 CHAPTER 4B -HEAD- Sec. 46 to 46b. Repealed. Oct. 31, 1951, ch. 655, Sec. 56(c), 65 Stat. 729 -MISC1- Section 46, act May 13, 1950, ch. 185, Sec. 2, 64 Stat. 159, related to unlawful disclosure of classified information. See section 798 of Title 18, Crimes and Criminal Procedure. Section 46a, act May 13, 1950, ch. 185, Sec. 1, 64 Stat. 159, defined terms for use in this chapter. Section 46b, act May 13, 1950, ch. 185, Sec. 3, 64 Stat. 160, related to penalties for improper disclosure. SAVINGS PROVISION Section 56(l) of act Oct. 31, 1951, provided that the repeal of sections 46 to 46b shall not affect any rights or liabilities existing hereunder on Oct. 31, 1951. ------End Document Listing------ Thank You For Using I-SEARCH.