77896 Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Rules and Regulations 

Effect of This Action on New and 

Revised Declaration of Compliance 

Submittals 

Effective upon issuance of this NOA, 

the FAA will no longer accept new or 

revised DOC submissions using the 

original MOC identified in NOA Docket 

No. FAA–2022–0859. Applicants must 

submit new and revised DOC submittals 

using the MOC in this document and 

must use the tracking number identified 

in ‘‘Tracking Number’’ below. 

Tracking Number 

Producers submitting a new or revised 

DOC to the FAA declaring the standard 

remote identification unmanned aircraft 

or remote identification broadcast 

module meets the requirements of this 

FAA-accepted MOC (including all 

provisions of ASTM F3586–22, the 

additions identified in NOA Docket 

No.FAA–2022–0859, and the 

corrections to ASTM F3586–22 

identified in this document) must 

include the following tracking number: 

RID–ASTM–F3586–22–NOA–23–01. 

Availability 

ASTM F3586–22, ‘‘Standard Practice 

for Remote ID Means of Compliance to 

Federal Aviation Administration 

Regulation 14 CFR part 89,’’ is available 

online at https://www.astm.org/f3586- 

22.html. ASTM International copyrights

these consensus standards and charges

the public a fee for service. Individual

downloads or reprints of a standard

(single or multiple copies, or special

compilations and other related technical

information) may be obtained through

www.astm.org. The FAA maintains a list

of accepted means of compliance on the

FAA website at www.https://

uasdoc.faa.gov/listMOC.

This NOA serves as acceptance by the 

Federal Aviation Administration of the 

ASTM Remote Identification Standard 

F3586–22, with additions specified in 

NOA Docket No.FAA–2022–0859 and 

corrections to ASTM F3586–22 

specified in this NOA, as a means of 

compliance for meeting the 

requirements of part 89, subpart D. 

Issued in Kansas City, Missouri, on 

October 13, 2023. 

Patrick R. Mullen, 

Manager, Technical Policy Branch, Policy and 

Standards Division, Aircraft Certification 

Service. 

[FR Doc. 2023–23058 Filed 11–13–23; 8:45 am] 

BILLING CODE 4910–13–P 

DEPARTMENT OF HOMELAND 

SECURITY 

Coast Guard 

46 CFR Part 67 

[Docket No. USCG–2023–0305] 

RIN 1625–AC87 

Multi-Year Certificate of 

Documentation for Recreational Vessel 

Owners 

AGENCY: Coast Guard, DHS. 

ACTION: Final rule. 

SUMMARY: The Coast Guard is issuing a 

final rule for recreational vessel owners 

to select a recreational vessel 

endorsement on a Certificate of 

Documentation (COD) with a validity of 

1, 2, 3, 4, or 5 years. Currently, our 

regulations require that a COD will be 

effective for a 5-year period. Congress 

passed, and the President signed, the 

self-executing National Defense 

Authorization Act of 2022 (2022 Act), 

which directs the Coast Guard to issue 

recreational vessel CODs for 1, 2, 3, 4, 

or 5 years. By updating the Code of 

Federal Regulations (CFR) to reflect this 

change, this final rule harmonizes the 

requirements of the 2022 Act, aligns 

CFR text with current Coast Guard 

policy, and provides vessel owners’ 

statutorily directed option to select the 

validity period of their COD that best 

suits their individual needs. 

DATES: This final rule is effective 

December 14, 2023. 

ADDRESSES: To view documents 

mentioned in this preamble as being 

available in the docket, go to 

www.regulations.gov, type USCG–2023– 

0305 in the search box, and click 

‘‘Search.’’ Next, in the Document Type 

column, select ‘‘Supporting & Related 

Material.’’ 

FOR FURTHER INFORMATION CONTACT: For 

information about this document, call or 

email Mr. Ronald Teague, Department of 

Homeland Security, U.S. Coast Guard, 

National Vessel Documentation Center, 

792 T J Jackson Drive, Falling Waters, 

WV 25419; telephone 304–271–2506, 

email Ronald.S.Teague@uscg.mil. 

SUPPLEMENTARY INFORMATION: 

Table of Contents for Preamble 

I. Abbreviations

II. Basis and Purpose, and Regulatory History

III. Background

IV. Discussion of the Rule

V. Regulatory Analyses

A. Regulatory Planning and Review

B. Small Entities

C. Assistance for Small Entities

D. Collection of Information

E. Federalism

F. Unfunded Mandates

G. Taking of Private Property

H. Civil Justice Reform

I. Protection of Children

J. Indian Tribal Governments

K. Energy Effects

L. Technical Standards

M. Environment

I. Abbreviations

2018 Act Frank LoBiondo Coast Guard

Authorization Act of 2018 

2021 final rule Certificate of 

Documentation—5 Year Renewal Fees final 

rule 

2022 Act National Defense Authorization 

Act for Fiscal Year 2022 

CFR Code of Federal Regulations 

COD Certificate of Documentation 

DHS Department of Homeland Security 

FR Federal Register 

NPRM Notice of proposed rulemaking 

NVDC National Vessel Documentation 

Center 

OMB Office of Management and Budget 

§ Section

SME Subject matter expert

U.S.C. United States Code

II. Basis and Purpose, and Regulatory

History

The legal basis for this final rule is 

found in Section 3511 of the National 

Defense Authorization Act for Fiscal 

Year 2022 (Pub. L. 117–81, 135 Stat. 

2238) (2022 Act), which the President 

signed on December 27, 2021. The 2022 

Act directed the Coast Guard to allow an 

owner of a vessel with only a 

recreational endorsement to choose a 

Certificate of Documentation (COD) 

validity period of 1, 2, 3, 4, or 5 years. 

The Coast Guard finds that good cause 

exists under the Administrative 

Procedure Act, Title 5 of the United 

States Code (U.S.C.), Section 553, to 

issue a final rule and dispense with 

notice and comment procedures. Prior 

notice and opportunity to comment on 

this rule are unnecessary under 5 U.S.C. 

553(b)(B) because Section 3511 of the 

2022 Act provides the Coast Guard no 

discretion in adopting the specific 

timeframes for issuance or renewal of 

recreational vessel CODs. Section 3511 

of the 2022 Act does not allow for 

alternatives. It does not permit the Coast 

Guard to decide upon a different 

timeframe for renewal, choose to adopt 

a different renewal period, or respond to 

public comments by modifying the 

substance of the rule. Therefore, 

soliciting public comment on the correct 

time period for COD renewal for a 

recreational vessel, or on the decision to 

update the regulations to comport with 

the statutory mandate, is unnecessary. It 

should be noted that the Coast Guard 

has already implemented the 

requirements of Section 3511 of the 


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Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Rules and Regulations 77897 

1https://www.congress.gov/115/plaws/publ282/ 

PLAW-115publ282.pdf (last visited 04/26/2023). 

2https://www.federalregister.gov/documents/ 

2021/01/19/2021-00526/certificate-ofdocumentation-5-year-renewal-fees (last visited 04/ 

26/2023). 

3https://www.dco.uscg.mil/Our-Organization/ 

Deputy-for-Operations-Policy-and-CapabilitiesDCO-D/National-Vessel-Documentation-Center/ 

(last visited 04/26/2023). 

4https://www.dco.uscg.mil/Portals/9/DCO%20

Documents/NVDC/COD%20RENEWAL.pdf (last 

visited 04/23/2023). 

5https://www.dco.uscg.mil/Portals/9/ 

DCO%20Documents/NVDC/CG1258.pdf?ver=MPJjdit5LaS5B0_IFJv_1A%3d%3d 

(last visited 04/26/2023). 

6https://www.dco.uscg.mil/Portals/9/ 

DCO%20Documents/NVDC/CG-1280_Renewal_of_

Certificate_Of_Documentation.pdf?

ver=WPHaCWFat5gjwLZ4nFiplA%3d%3d (last 

visited 04/23/2023). 

2022 Act and is presently issuing multiyear CODs to recreational vessels of at 

least 5 net tons. In addition, this good 

cause applies to formatting changes, for 

clarity, to the fee table in title 46 of the 

Code of Federal Regulations (CFR) 

section 67.550. These changes have no 

substantive effect on the public. 

III. Background 

Before 2019, the Coast Guard issued 

CODs for a validity period of 1 year 

only. Section 512 of the Frank LoBiondo 

Coast Guard Authorization Act of 2018 

(2018 Act) (Pub. L. 115–282, 132 Stat. 

4275), codified at 46 U.S.C. 12105, 

specified that, in 2022, recreational 

vessels would be issued CODs with a 

validity period of 5 years. The 2018 Act 

provided a phase-in period, January 

2019 through December 2021, during 

which recreational vessel owners could 

select an effective period for CODs for 

recreational vessels between 1 and 5 

years.1 In January 2021, the Coast Guard 

published a final rule titled ‘‘Certificate 

of Documentation—5 Year Renewal 

Fees’’ (hereafter the ‘‘2021 final rule’’) 

implementing those changes (86 FR 

5022).2

The purpose of this final rule is to 

meet the Congressional mandate 

contained in Section 3511 of the 2022 

Act, wherein Congress determined that 

the Coast Guard shall allow the issuance 

of a recreational endorsement on CODs 

with a validity period of 1, 2, 3, 4, or 

5 years, instead of the previously 

mandated period of 5 years. 

IV. Discussion of the Rule 

The 2022 Act authorizes the owner or 

operator of a recreational vessel to 

choose a period of effectiveness between 

1 and 5 years for a certificate of 

documentation for a recreational vessel 

or the renewal thereof. This rule will 

bring current Coast Guard regulations in 

line with this self-executing provision of 

the 2022 Act. As discussed in section 

III., Background, the 2018 Act created a 

multi-year COD phase-in period in 

anticipation of moving to a 5-year-only 

validity period for recreational vessel 

CODs. This 5-year-only COD validity 

period was anticipated to go into effect 

on January 1, 2022. However, Congress 

determined that preserving a multi-year 

choice of the validity period was in the 

best interest of recreational vessel 

owners. As such, the 2022 Act was 

signed by the President in December 

2021, and the 5-year-only COD that was 

to go into effect on January 1, 2022, was 

never implemented by the Coast Guard. 

Instead, the Coast Guard carried out 

Congress’ desire to continue to allow 

recreational vessel owners and operators 

the ability to choose a 1-, 2-, 3-, 4-, or 

5-year COD. 

The Coast Guard made the public 

aware of this fact on the home page of 

the website for the National Vessel 

Documentation Center (NVDC), which 

processes vessel COD applications and 

renewals.3 Additionally, the ability to 

select from multiple validity periods for 

recreational vessel CODs is still present 

in NVDC instruction documentation,4

the initial application form CG–1258,5

and the renewal form CG–1280.6

Currently, 46 CFR 67.163(a) states that 

recreational endorsements on a COD are 

valid for 5 years. In line with the 2022 

Act, the Coast Guard amends this 

section to reflect that recreational 

endorsements on CODs can be valid for 

1, 2, 3, 4, or 5 years. Additionally, the 

Coast Guard is editing paragraph (c) of 

§ 67.163 to reflect that recreational 

endorsements on CODs can be valid for 

1, 2, 3, 4, or 5 years. This is necessary 

for continuity, given the references to 

this section. The Coast Guard is also 

amending 46 CFR 67.163(b) to remove 

the word ‘‘original’’, as ‘‘original’’ is not 

relevant when referring to the CG–1280 

Vessel Renewal Notification 

Application for Renewal. 

Furthermore, the Coast Guard amends 

§ 67.317 to reflect that recreational 

endorsements can be renewed for 1, 2, 

3, 4, or 5 years. This amendment is 

necessary to ensure consistency with 

regulatory text in this section. 

Lastly, the Coast Guard revises Table 

1 to § 67.550. As recreational vessel 

CODs will continue to have a multi-year 

validity period, this change is necessary 

to reflect both the 2022 Act and the 

supporting regulatory text for this 

section. We deleted occurrences of 

‘‘through December 31, 2021’’ as it 

references a phase-in period that has 

passed. Other formatting updates 

include separating commercial and 

recreational applications into two 

categories, moving notes to the end of 

the table, adding dollar signs in the 

‘‘Fee’’ column, and deleting the 

‘‘Reference’’ column as it is not used to 

calculate the fee amounts. The revised 

table layout will make it easier to 

distinguish application fees for 

commercial vessels from those for 

recreational vessels. It will also match 

the table of fees available to the public 

on NVDC’s website. These changes are 

merely editorial in nature and will not 

change fee amounts or make any other 

substantive changes. 

V. Regulatory Analyses 

We developed this rule after 

considering numerous statutes and 

Executive orders related to the 

rulemaking. Below we summarize our 

analyses based on these statutes or 

Executive orders. 

A. Regulatory Planning and Review 

Executive Orders 12866 (Regulatory 

Planning and Review), as amended by 

Executive Order 14094 (Modernizing 

Regulatory Review) and 13563 

(Improving Regulation and Regulatory 

Review), direct agencies to assess the 

costs and benefits of available regulatory 

alternatives and, if regulation is 

necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts, and 

equity). Executive Order 13563 

emphasizes the importance of 

quantifying both costs and benefits, of 

reducing costs, of harmonizing rules, 

and of promoting flexibility. 

The Office of Management and Budget 

(OMB) has not designated this rule a 

significant regulatory action under 

section 3(f) of Executive Order 12866, as 

amended by Executive Order 14094. 

Accordingly, OMB has not reviewed 

this regulatory action. A regulatory 

analysis follows. 

Background 

As discussed in section III., 

Background, the 2018 Act allowed for a 

phase-in period of 1, 2, 3, 4, or 5 years 

for CODs, but would have required 

strictly 5-year CODs as of January 1, 

2022. However, in December of 2021, 

Congress passed the 2022 Act, which 

instructed the Coast Guard to amend the 

2021 final rule to reflect a continuation 

of multi-year issuance for recreational 

vessel CODs; this effectively removed 

the strict 5-year COD requirement that 

was established under the 2018 Act and 

was codified under the 2021 final rule. 


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77898 Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Rules and Regulations 

The Coast Guard Authorization Act of 

2018 and the 2021 Final Rule 

As previously discussed, the 2018 Act 

and the 2021 final rule would have 

provided COD holders with recreational 

endorsements the ability to request or 

renew documentation on a multi-year 

basis between 2019 and 2021. Beginning 

in January of 2022, according to the 

2021 final rule, COD holders with 

recreational endorsements could have 

only requested or renew documentation 

for a period of 5 years. To provide 

clarity and assist in the discussion of 

the impacts of this final rule, a summary 

of the economic impacts for the 2021 

final rule follows: 

TABLE 1—APPLICABILITY, IMPACT AND COSTS OR COST-SAVINGS OF THE 2021 FINAL RULE

Category Summary 

Applicability ......................................................... To reflect regulatory changes brought by the 2018 Act (Pub. L. 115–282), which directed the 

Coast Guard to change the validity period of CODs for recreational vessels to a 5-year option only, after a 3-year phase-in period, during which vessel owners could choose 1, 2, 3, 

4, or 5 years. 

Affected Population ............................................. 162,647 vessels. 

Benefits ............................................................... The restructuring of CODs from an annual renewal to a 5-year renewal period would have reduced industry’s annual time burden for submitting CODs applications. In addition, the Government would have benefited due to a reduction in the number of applications processed 

annually. 

Cost savings (in 2022 dollars, 7% discount 

rate) *.

Estimated annualized cost-savings of about $5.9 million to Industry at 7-percent discount rate. 

Federal Government annualized cost-savings of about $8.4 million at 7-percent discount rate. 

Total annualized cost-savings of about $14.3 million. 

* Totals may not add due to rounding. 

2022 Act 

The primary purpose of this final rule 

is to harmonize 46 CFR part 67 with 

current statutory requirements under 

the 2022 Act, as it pertains to 

recreational vessel owners who seek 

CODs on a multi-year basis. In effect, 

this final rule continues the phase-in 

period provision specified under the 

2018 Act and the 2021 final rule, while 

removing the 5-year-only COD 

requirement from the CFR. As such, the 

impacts provided below are the result of 

the 2022 Act. We provide two tables 

that capture the changes in the CFR and 

economic impacts from the 2022 Act. 

Table 2 below presents the baseline 

matrix, which lists the changes between 

this final rule and the current language 

under the CFR, while table 5 

summarizes the applicability, impact, 

costs or cost-savings, and benefits 

associated to the 2022 Act. 

TABLE 2—BASELINE MATRIX—CHANGES BETWEEN THIS MULTIYEAR FINAL RULE AND THE 2021 FINAL RULE

Subpart Description of change Type of change Economic impact 

67.163(a) ...... Adds ‘‘1, 2, 3, 4, or’’ to the first paragraph (a) ................................................................. Editorial ....................... No economic impact. 

67.163(b) ...... Removes ‘‘an original’’ from the second paragraph (b) ................................................... Editorial ....................... No economic impact. 

67.163(c) ...... Replaces ‘‘A certificate of documentation for a recreational vessel and the renewal of 

such a certificate shall be effective for a 5-year period. During the period beginning 

January 1, 2019, and ending December 31, 2021, the owner of a recreational vessel 

may choose a period of effectiveness of 1, 2, 3, 4, or 5 years for such a certificate 

of documentation for such vessel or the renewal thereof’’ with ‘‘A Certificate of Documentation for a recreational vessel and the renewal of such a certificate will be effective for 1, 2, 3, 4, or 5 years for such a Certificate of Documentation for such 

vessel or the renewal thereof’’.

Editorial/Economic ...... An estimated cost-savings to the 

public of $8.3 million annually in 

2022 U.S. dollars, discounted at 

7-percent. 

67.317(a) ...... Replaces ‘‘must’’ with ‘‘can’’ from the first paragraph (a) ................................................. Editorial ....................... No economic impact. 

67.317(a) ...... Adds ‘‘for a period of ’’ within the first paragraph (a) ....................................................... Editorial ....................... No economic impact. 

67.317(a) ...... Removes ‘‘every’’ from the first paragraph (a) ................................................................. Editorial ....................... No economic impact. 

67.317(a) ...... Adds ‘‘for a period of 1, 2, 3, 4, or’’ to the first paragraph (a) ......................................... Editorial ....................... No economic impact. 

67.550 ........... Table 1 to 67.550 replaced with revised version, editorial changes only to harmonize 

with Fee Table from NVDC website.

Editorial ....................... No economic impact. 

Final Rule Costs 

The fundamental purpose of this final 

rule is to codify the 2022 Act; therefore, 

this final rule does not add any new 

costs to the Government or the public, 

nor does it impose any new burden to 

either entity. 

Final Rule Benefits 

By amending current language in the 

CFR to reflect the provisions and 

requirements specified under the 2022 

Act, the Coast Guard harmonizes 46 

CFR part 67 with the 2022 Act. 

Confusion regarding the validity period 

for a recreational vessel COD will be 

eliminated, as the CFR will accurately 

reflect the law and NVDC policy. See 

table 3 below for a summary of impacts 

of this final rule. 


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Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Rules and Regulations 77899 

7Estimate is based in review of complaints 

submitted by vessel owners to the Better Business 

Bureau (BBB), https://www.bbb.org/us/ca/chinohills/profile/ship-register/us-vessel-documentationinc-1066-850028757/complaints, and information 

provided by SME and the NVDC. 

TABLE 3—APPLICABILITY, IMPACT AND COSTS OR COST-SAVINGS OF THE 2022 ACT

Description Affected population Costs Cost-savings Benefits 

The Coast Guard chooses to 

adopt this final rule and continue to allow COD documentation for 1, 2, 3, 4, or 5 

years at vessel owners’ discretion.

The CFR is amended to reflect 

current statutory language 

and practice.

38,927 recreational vessels 

owners and operators of at 

least 5 net tons who were 

issued or renewed CODs for 

5 years in 2022.

This final rule will not impose 

any new costs to Government or the public.

This final rule will yield an estimated cost-savings to the 

public of $8.3 million annually in 2022 U.S. dollars, discounted at 7%, by removing 

the 5-year only COD restriction.

The harmonization in language 

between the CFR and the 

2022 Act eliminates confusion among the public or any 

potentially affected entity. 

Affected Population 

To determine the affected population 

for the 2022 Act and this final rule, it 

is helpful to first understand the 

distribution of multi-year CODs that 

vessel owners have been selecting. As 

noted in section III., Background, the 

NVDC has continued to offer multi-year 

COD expiration dates, which is in line 

with the 2022 Act. We obtained data 

from the NVDC, which processes vessel 

COD applications and renewals. As seen 

in table 4 below, this data consists of the 

number of CODs issued each year from 

2019 to 2022. Table 6 also displays the 

validity period of CODs issued during 

this timeframe, ranging from 1, 2, 3, 4, 

or 5 years. For example, in 2019, the 

Coast Guard issued 165,599 recreational 

vessel CODs, of which the vast majority, 

153,195, were 1-year CODs, 6,447 were 

2-year CODs, 1,398 were 3-year CODs, 

and so on. We can use this information 

to track the pattern of consumer choices 

regarding the multi-year COD options. 

TABLE 4—CROSS-TABULATION OF RECREATIONAL VESSEL CODS ISSUED BY YEAR AND VALIDITY PERIOD

Year 

Total 

CODs 

issued 

1 Year 

validity 

2 Years 

validity 

3 Years 

validity 

4 Years 

validity 

5 Years 

validity 

2019 ................................................................................. 165,599 153,195 6,447 1,398 665 3,894 

2020 ................................................................................. 163,771 148,491 7,497 1,617 632 5,534 

2021 ................................................................................. 158,610 127,851 13,184 3,927 1,768 11,880 

2022 ................................................................................. 143,944 81,776 6,942 2,398 2,021 50,807 

We note from table 4 that, as we 

progress from 2019 to 2022, the number 

of 2,- 3,- and 4-year CODs remains 

relatively stable and only accounts for a 

small percentage of total recreational 

vessel CODs issued each year. We 

assume that vessel owners selected 

these duration terms for their CODs 

because they determined that this was 

their best and preferred choice. 

However, this trend does not hold for 1- 

year and 5-year CODs. We note that, 

from 2019 to 2022, the trend shifts 

significantly away from 1-year CODs 

and increases significantly to 5-year 

CODs. According to subject matter 

experts (SMEs), the nearly 5-fold 

increase in CODs issued with a validity 

period of 5 years in 2022 can be 

attributed to 46 CFR 67.163, Renewal of 

endorsement, paragraph (a), which 

states the COD validity period for 

recreational vessels to be 5 years: 

‘‘Endorsements on Certificates of 

Documentation are valid for 1 year, 

except for Recreational Endorsements 

on Certificates of Documentation, which 

are valid for 5 years.’’ 

The Coast Guard was mandated by the 

2018 Act to implement a 5-year COD for 

recreational vessel owners, followed by 

a 3-year, multi-year COD phase-in 

period. The 2022 Act mandated that the 

Coast Guard continue to offer the multiyear COD. Therefore, our estimated 

affected population is calculated as the 

difference in CODs issued to 

recreational vessel owners and operators 

in 2022 with a validity period of 5 years, 

and the number of CODs issued in 2021 

with the same validity period, which 

totals 38,927 (50,807¥11,880 = 38,927). 

This is the estimate of recreational 

vessel owners who could transition off 

a 5-year validity period for recreational 

vessel CODs once this final rule is 

implemented. 

2022 Act Costs 

The 2022 Act does not add any new 

cost to Government or the public. None 

of the requirements of the 2022 Act 

imposes any additional burdens. From a 

renewal standpoint, recreational vessel 

owners continue to have the choice to 

renew on a multi-year basis at their 

discretion, consistent with the 2018 Act. 

The Coast Guard is not amending user 

fees associated with CODs and is 

continuing with the $26 fee per validityyear for the COD as previously 

established. 

2022 Act Cost-Savings 

Although the NVDC has continued to 

process multi-year CODs, the NVDC has 

been receiving complaints from vessel 

owners that private companies have 

been sending out 5-year-only marketing 

notices, and that those companies could 

process this documentation for an 

additional fee. The NVDC has noted that 

these individuals assumed that this was 

their only choice, as 46 CFR part 67 has 

not been updated to reflect current 

NVDC practices. Customer have 

complained to the NVDC that outside 

companies were charging them an 

additional fee to process the 

documentation. The NVDC has noted 

that the average additional fee that these 

companies charged has been 

approximately $212.7 These same 

customer complaints to the NVDC stated 

that they only used the outside 

companies because they were under the 

impression that they had no other 

choice. We use this estimate, multiplied 

by the affected population estimate 

above, to estimate the annual cost 

savings that recreational vessel owners 

will incur as we expect these customers 

to now process their documentation 

directly with NVDC. 

Although the NVDC does not keep 

track of the number of COD renewals 

requested by third-party companies on 


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behalf of individual vessel owners, 

based on extensive discussions with 

SMEs, the Coast Guard believes that the 

vast majority of the estimated affected 

population who renewed CODs with a 

5-year validity period in 2022 did so 

primarily through the use of third-party 

firms, who, in turn, directed customers 

to the CFR. 

As shown in table 5, the economic 

impact of the 2022 Act is an estimated 

annual cost-savings of approximately 

$8.3 million annually in 2022 U.S. 

dollars, discounted at 7-percent. This 

estimate is derived from an estimated 

affected population of 38,927 

recreational vessels (of at least 5 net 

tons) owners, multiplied by the $212 

fee. 

TABLE 5—10-YEARS UNDISCOUNTED AND DISCOUNTED COST-SAVINGS TO THE PUBLIC

Year Undiscounted 

cost-savings 7% Discount 3% Discount 

2022 ............................................................................................................................................. $8,252,524 $7,712,639 $8,012,159 

2023 ............................................................................................................................................. 8,252,524 7,208,074 7,778,795 

2024 ............................................................................................................................................. 8,252,524 6,736,518 7,552,229 

2025 ............................................................................................................................................. 8,252,524 6,295,811 7,332,261 

2026 ............................................................................................................................................. 8,252,524 5,883,936 7,118,700 

2027 ............................................................................................................................................. 8,252,524 5,499,005 6,911,359 

2028 ............................................................................................................................................. 8,252,524 5,139,257 6,710,057 

2029 ............................................................................................................................................. 8,252,524 4,803,044 6,514,619 

2030 ............................................................................................................................................. 8,252,524 4,488,826 6,324,872 

2031 ............................................................................................................................................. 8,252,524 4,195,165 6,140,653 

Total ...................................................................................................................................... 82,525,240 57,962,275 70,395,704 

Annualized ............................................................................................................................ ........................ 8,252,524 8,252,524 

* Totals may not sum due to rounding. 

2022 Act Benefits 

The 2022 Act preserves consumer 

choice in selecting a COD-validity 

timeframe, allowing vessel owners to 

maximize their welfare based on their 

own individualized choice matrix. 

Finally, confusion regarding the validity 

period for a recreational vessel COD will 

be eliminated, as the CFR will 

accurately reflect the law and NVDC 

policy. 

Alternatives 

As stated in the Summary and 

regulatory text, the 2022 Act is a 

legislatively mandated and selfexecuting law promulgated by Congress. 

Hence, the Coast Guard does not have 

any discretionary action upon its 

enactment. The Coast Guard is 

promulgating this final rule to ensure 

that CFR regulations concur and comply 

with the 2022 Act. Therefore, no 

alternatives were considered for this 

rulemaking. 

B. Small Entities 

The Regulatory Flexibility Act of 1980 

(RFA), 5 U.S.C. 601–612, requires 

federal agencies to consider the 

potential impact on small entities when 

they issue a rule after being required to 

first publish a general notice of 

proposed rulemaking. Under 5 U.S.C. 

604(a), a regulatory flexibility analysis is 

not required for this final rule under 

provision in 5 U.S.C. 553(b)(B), because 

Section 3511 of the 2022 Act provides 

the Coast Guard no discretion in 

adopting the specific timeframes for 

renewal of recreational vessel CODs. We 

are not required to publish a general 

notice of a proposed rulemaking; 

therefore, we did not conduct a 

regulatory flexibility analysis for this 

rule. 

C. Assistance for Small Entities 

Under section 213(a) of the Small 

Business Regulatory Enforcement 

Fairness Act of 1996, Public Law 104– 

121, we offer to assist small entities in 

understanding this rule so that they can 

better evaluate its effects on them and 

participate in the rulemaking. If this 

rule would affect your small business, 

organization, or governmental 

jurisdiction and you have questions 

concerning its provisions or options for 

compliance, please call or email the 

person in the FOR FURTHER INFORMATION

CONTACT section of this rule. The Coast 

Guard will not retaliate against small 

entities that question or complain about 

this rule or any policy or action of the 

Coast Guard. 

Small businesses may send comments 

on the actions of Federal employees 

who enforce, or otherwise determine 

compliance with, Federal regulations to 

the Small Business and Agriculture 

Regulatory Enforcement Ombudsman 

and the Regional Small Business 

Regulatory Fairness Boards. The 

Ombudsman evaluates these actions 

annually and rates each agency’s 

responsiveness to small business. If you 

wish to comment on actions by 

employees of the Coast Guard, call 1– 

888–REG–FAIR (1–888–734–3247). 

D. Collection of Information 

This rule calls for no new or revised 

collection of information under the 

Paperwork Reduction Act of 1995, 44 

U.S.C. 3501–3520. The OMB Control 

Number for the Coast Guard’s Vessel 

Documentation collection is 1625–0027. 

As this final rule codifies current COD 

options for recreational vessel owners, 

and we expect no change in the average 

number of annual submissions, there is 

no change to the OMB-approved 

collection. 

E. Federalism 

A rule has implications for federalism 

under Executive Order 13132 

(Federalism) if it has a substantial direct 

effect on States, on the relationship 

between the National Government and 

the States, or on the distribution of 

power and responsibilities among the 

various levels of government. We have 

analyzed this rule under Executive 

Order 13132 and have determined that 

it is consistent with the fundamental 

federalism principles and preemption 

requirements described in Executive 

Order 13132. Our analysis follows. 

It is well settled that States may not 

regulate in categories reserved for 

regulation by the Coast Guard. It is also 

well settled that all of the categories 

covered in 46 U.S.C. 3306, 3703, 7101, 

and 8101 (design, construction, 

alteration, repair, maintenance, 

operation, equipping, personnel 

qualification, and manning of vessels), 

and any other category in which 

Congress intended the Coast Guard to be 


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Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Rules and Regulations 77901 

the sole source of a vessel’s obligations, 

are within the field foreclosed from 

regulation by the States. See United 

States v. Locke, 529 U.S. 89 (2000) 

(finding that the states are foreclosed 

from regulating tank vessels); see also 

Ray v. Atlantic Richfield Co., 435 U.S. 

151, 157 (1978) (State regulation is 

preempted where ‘‘the scheme of federal 

regulation may be so pervasive as to 

make reasonable the inference that 

Congress left no room for the States to 

supplement it [or where] the Act of 

Congress may touch a field in which the 

federal interest is so dominant that the 

federal system will be assumed to 

preclude enforcement of state laws on 

the same subject’’ (citations omitted)). 

This rule implements changes made by 

Congress to the comprehensive federal 

vessel documentation requirements of 

46 U.S.C. Ch. 121, over which Congress 

clearly has granted the Coast Guard, via 

delegation from the Secretary, exclusive 

authority. Therefore, because the States 

may not regulate within these 

categories, this rule is consistent with 

the fundamental federalism principles 

and preemption requirements described 

in Executive Order 13132. 

While it is well settled that States may 

not regulate in categories in which 

Congress intended the Coast Guard to be 

the sole source of a vessel’s obligations, 

the Coast Guard recognizes the key role 

that State and local governments may 

have in making regulatory 

determinations. 

F. Unfunded Mandates 

The Unfunded Mandates Reform Act 

of 1995, 2 U.S.C. 1531–1538, requires 

Federal agencies to assess the effects of 

their discretionary regulatory actions. In 

particular, the Act addresses actions 

that may result in the expenditure by a 

State, local, or tribal government, in the 

aggregate, or by the private sector of 

$100,000,000 (adjusted for inflation) or 

more in any one year. Although this rule 

will not result in such expenditure, we 

do discuss the effects of this rule 

elsewhere in this preamble. 

G. Taking of Private Property 

This rule will not cause a taking of 

private property or otherwise have 

taking implications under Executive 

Order 12630 (Governmental Actions and 

Interference with Constitutionally 

Protected Property Rights). 

H. Civil Justice Reform 

This rule meets applicable standards 

in sections 3(a) and 3(b)(2) of Executive 

Order 12988 (Civil Justice Reform) to 

minimize litigation, eliminate 

ambiguity, and reduce burden. 

I. Protection of Children 

We have analyzed this rule under 

Executive Order 13045 (Protection of 

Children from Environmental Health 

Risks and Safety Risks). This rule is not 

an economically significant rule and 

will not create an environmental risk to 

health or risk to safety that might 

disproportionately affect children. 

J. Indian Tribal Governments 

This rule does not have tribal 

implications under Executive Order 

13175 (Consultation and Coordination 

with Indian Tribal Governments), 

because it will not have a substantial 

direct effect on one or more Indian 

tribes, on the relationship between the 

Federal Government and Indian tribes, 

or on the distribution of power and 

responsibilities between the Federal 

Government and Indian tribes. 

K. Energy Effects 

We have analyzed this rule under 

Executive Order 13211 (Actions 

Concerning Regulations That 

Significantly Affect Energy Supply, 

Distribution, or Use). We have 

determined that it is not a ‘‘significant 

energy action’’ under that order because 

it is not a ‘‘significant regulatory action’’ 

under Executive Order 12866 and is not 

likely to have a significant adverse effect 

on the supply, distribution, or use of 

energy. 

L. Technical Standards and 

Incorporation by Reference 

The National Technology Transfer 

and Advancement Act, codified as a 

note to 15 U.S.C. 272, directs agencies 

to use voluntary consensus standards in 

their regulatory activities unless the 

agency provides Congress, through 

OMB, with an explanation of why using 

these standards would be inconsistent 

with applicable law or otherwise 

impractical. Voluntary consensus 

standards are technical standards (e.g., 

specifications of materials, performance, 

design, or operation; test methods; 

sampling procedures; and related 

management systems practices) that are 

developed or adopted by voluntary 

consensus standards bodies. 

This rule does not use technical 

standards. Therefore, we did not 

consider the use of voluntary consensus 

standards. 

M. Environment 

We have analyzed this rule under 

Department of Homeland Security 

Management Directive 023–01, Rev. 1, 

associated implementing instructions, 

and Environmental Planning 

COMDTINST 5090.1 (series), which 

guide the Coast Guard in complying 

with the National Environmental Policy 

Act of 1969 (42 U.S.C. 4321–4370f), and 

have decided that this action is one of 

a category of actions that do not 

individually or cumulatively have a 

significant effect on the human 

environment. A Record of 

Environmental Consideration 

supporting this determination is 

available in the docket. For instructions 

on locating the docket, see the 

ADDRESSES section of this preamble. 

This rule meets the criteria for 

categorical exclusion L54 and L57 in 

Appendix A, Table 1 of DHS Instruction 

Manual 023–01–001–01, Rev. 1. 

Categorical exclusion L54 pertains to 

regulations that are editorial or 

procedural. Categorical exclusion L57 

pertains to regulations concerning 

documentation of vessels. This rule 

involves allowing recreational vessel 

owners to select a recreational vessel 

endorsement on a Certificate of 

Documentation (COD) with a validity of 

1, 2, 3, 4, or 5 years. This rule is not part 

of a larger action, and it will not result 

in significant impacts to the human 

environment. The purpose of this final 

rule is to meet the Congressional 

mandate contained in Section 3511 of 

the National Defense Authorization Act 

of 2022. 

List of Subjects in 46 CFR Part 67 

Reporting and recordkeeping 

requirements, Vessels. 

For the reasons discussed in the 

preamble, the Coast Guard amends 46 

CFR part 67 as follows: 

PART 67—DOCUMENTATION OF 

VESSELS 

■ 1. The authority citation for part 67 is 

revised to read as follows: 

Authority: 14 U.S.C. 664; 31 U.S.C. 9701; 

42 U.S.C. 9118; 46 U.S.C. 2103, 2104, 2107, 

12102, 12103, 12104, 12105, 12106, 12113, 

12133, 12139; DHS Delegation 00170.1, 

Revision No. 01.3. 

■ 2. Amend § 67.163 by: 

■ a. In paragraph (a) introductory text, 

revising the first sentence. 

■ b. In paragraph (b), removing the text 

‘‘an original’’ and adding, in its place, 

the text ‘‘a’’; and 

■ c. Revising paragraph (c). 

The revisions reads as follows: 

§ 67.163 Renewal of endorsement. 

(a) * * * Endorsements on 

Certificates of Documentation are valid 

for 1 year, except for Recreational 

Endorsements on Certificates of 

Documentation, which are valid for 1, 2, 

3, 4, or 5 years. * * * 

* * * * * 


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(c) Requirement for renewal of 

recreational endorsements. A Certificate 

of Documentation for a recreational 

vessel and the renewal of such a 

certificate will be effective for 1, 2, 3, 4, 

or 5 years for such a Certificate of 

Documentation for such vessel or the 

renewal thereof. 

§ 67.317 [Amended] 

■ 3. In § 67.317, amend paragraph (a) by 

removing the text ‘‘must be renewed 

every’’ and add, in its place, the text 

‘‘can be renewed for a period of 1, 2, 3, 

4, or’’. 

■ 4. Amend § 67.550 by revising Revise 

Table 1 to read as follows: 

§ 67.550 Fee table. 

* * * * * 

TABLE 1 TO § 67.550—FEES

Activity Fee 

Commercial Applications: 

COM Initial Certificate of Documentation (COD) (1 Year Only) .................................................................................................................................... $133.00 

COM Exchange of Certificate of Documentation (COD) (1 Year Only) ........................................................................................................................ 84.00 

COM Return of Vessel to Documentation (1 Year Only) .............................................................................................................................................. 84.00 

COM Replacement of Lost or Mutilated COD ............................................................................................................................................................... 50.00 

COM Approval of Exchange of COD requiring Mortgagee consent ............................................................................................................................. 24.00 

COM Trade Endorsements: (1) 

COM Coastwise Endorsement ............................................................................................................................................................................... 29.00 

COM Coastwise Bowaters Endorsement ............................................................................................................................................................... 29.00 

COM Fishery Endorsement .................................................................................................................................................................................... 12.00 

COM Registry Endorsement ................................................................................................................................................................................... None 

COM Recreational Endorsement ............................................................................................................................................................................ None 

COM Evidence of Deletion from Documentation .......................................................................................................................................................... 15.00 

COM Renewal of Certificate of Documentation (COD) (1-Year Only) .......................................................................................................................... 26.00 

COM Late Renewal ....................................................................................................................................................................................................... 2 5.00 

Recreational Applications: 

REC Initial Certificate of Documentation (COD) (1-Year) ............................................................................................................................................. 3 133.00 

REC Exchange of Certificate of Documentation (COD) (1-Year) ................................................................................................................................. 3 84.00 

REC Return of Vessel to Documentation (COD) (1-Year) ............................................................................................................................................ 3 84.00 

REC Replacement of Lost or Mutilated COD ................................................................................................................................................................ 50.00 

REC Approval of Exchange of COD requiring Mortgagee consent .............................................................................................................................. 24.00 

REC Evidence of Deletion from Documentation ........................................................................................................................................................... 15.00 

REC Renewal of Certificate of Documentation (1-Year) ............................................................................................................................................... 26.00 

2-Year Expiration .................................................................................................................................................................................................... 52.00 

3-Year Expiration .................................................................................................................................................................................................... 78.00 

4-Year Expiration .................................................................................................................................................................................................... 104.00 

5-Year Expiration .................................................................................................................................................................................................... 130.00 

REC Late Renewal ........................................................................................................................................................................................................ 2 5.00 

Waivers: 

Original Build Evidence .................................................................................................................................................................................................. 15.00 

Bill of Sale Eligible for Filing and Recording ................................................................................................................................................................. 15.00 

Miscellaneous Applications: 

Wrecked Vessel Determination ..................................................................................................................................................................................... 555.00 

New Vessel Determination ............................................................................................................................................................................................ 166.00 

Rebuild Determination—Preliminary or Final ................................................................................................................................................................ 450.00 

Filing and Recording: 

Bill of Sale and Instruments in Nature of Bill of Sale .................................................................................................................................................... 4 8.00 

Mortgages and Related Instruments ............................................................................................................................................................................. 4 4.00 

Notice of Claim of Lien and Related Instruments ......................................................................................................................................................... 4 8.00 

Certificate of Compliance: 

Certificate of Compliance (46 CFR Part 68) ................................................................................................................................................................. 55.00 

Miscellaneous: 

Abstract of Title (CG–1332) ........................................................................................................................................................................................... 25.00 

Certificate of Ownership (CG–1330) ............................................................................................................................................................................. 125.00 

Attachment for each vessel with same data .......................................................................................................................................................... 10.00 

Certified Copy of Recorded Instrument ......................................................................................................................................................................... 4.00 

Certified Copy of Certificate of Documentation ............................................................................................................................................................. 4.00 

Copy of instrument or document ................................................................................................................................................................................... (5) 

1When multiple trade endorsements are requested on the same application, only the single highest applicable fee will be charged, resulting in a maximum endorsement fee of $29.00. This does not apply to recreational endorsements. 2 Late renewal fee is in addition to the cost of the endorsement sought. 

3 2–5 Year Expiration (Additional Fee Required—$26.00/year). 

4Per page. 

5Fees will be calculated in accordance with 6 CFR part 5, subpart A. 

Dated: November 6, 2023. 

W.R. Arguin, 

Rear Admiral, U.S. Coast Guard, Assistant 

Commandant for Prevention Policy. 

[FR Doc. 2023–25024 Filed 11–13–23; 8:45 am] 

BILLING CODE 9110–04–P 


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