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[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 1096 Reported in Senate (RS)]

<DOC>

                                                       Calendar No. 182
115th CONGRESS
  1st Session
                                S. 1096

                          [Report No. 115-136]

  To amend and enhance certain maritime programs of the Department of 
                Transportation, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                              May 11, 2017

  Mrs. Fischer (for herself and Mr. Booker) introduced the following 
 bill; which was read twice and referred to the Committee on Commerce, 
                      Science, and Transportation

                             July 24, 2017

                Reported by Mr. Thune, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL

 
  To amend and enhance certain maritime programs of the Department of 
                Transportation, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE; TABLE OF CONTENTS.</DELETED>

<DELETED>    (a) Short Title.--This Act may be cited as the ``Maritime 
Administration Authorization and Enhancement Act for Fiscal Year 
2018''.</DELETED>
<DELETED>    (b) Table of Contents.--The table of contents for this Act 
is as follows:</DELETED>

<DELETED>Sec. 1. Short title; table of contents.
<DELETED>Sec. 2. Authorization of the Maritime Administration.
<DELETED>Sec. 3. Removal adjunct professor limit at United States 
                            Merchant Marine Academy.
<DELETED>Sec. 4. Acceptance of guarantees in conjunction with partial 
                            donations for major projects of the United 
                            States Merchant Marine Academy.
<DELETED>Sec. 5. Authority to pay conveyance or transfer expenses in 
                            connection with acceptance of a gift to the 
                            United States Merchant Marine Academy.
<DELETED>Sec. 6. Authority to participate in Federal, State or other 
                            research grants.
<DELETED>Sec. 7. Continuing funding for the United States Merchant 
                            Marine Academy.
<DELETED>Sec. 8. Access to satellite phone during Sea Year program.
<DELETED>Sec. 9. Assistance for small shipyards and maritime 
                            communities.

<DELETED>SEC. 2. AUTHORIZATION OF THE MARITIME 
              ADMINISTRATION.</DELETED>

<DELETED>    (a) In General.--There are authorized to be appropriated 
to the Department of Transportation for fiscal year 2018, to be 
available without fiscal year limitation if so provided in 
appropriations Acts, for programs associated with maintaining the 
United States merchant marine, the following amounts:</DELETED>
        <DELETED>    (1) For expenses necessary for operations of the 
        United States Merchant Marine Academy, $99,902,000, of which--
        </DELETED>
                <DELETED>    (A) $74,851,000 shall be for Academy 
                operations, including--</DELETED>
                        <DELETED>    (i) the implementation of section 
                        3514(b) of the National Defense Authorization 
                        Act for Fiscal Year 2017, as added by section 
                        8; and</DELETED>
                        <DELETED>    (ii) staffing, training, and other 
                        actions necessary to prevent and respond to 
                        sexual harassment and sexual assault; 
                        and</DELETED>
                <DELETED>    (B) $25,051,000 shall remain available 
                until expended for capital asset management at the 
                Academy.</DELETED>
        <DELETED>    (2) For expenses necessary to support the State 
        maritime academies, $29,550,000, of which--</DELETED>
                <DELETED>    (A) $2,400,000 shall remain available 
                until September 30, 2018, for the Student Incentive 
                Program;</DELETED>
                <DELETED>    (B) $3,000,000 shall remain available 
                until expended for direct payments to such 
                academies;</DELETED>
                <DELETED>    (C) $22,000,000 shall remain available 
                until expended for maintenance and repair of State 
                maritime academy training vessels;</DELETED>
                <DELETED>    (D) $1,800,000 shall remain available 
                until expended for training ship fuel assistance; 
                and</DELETED>
                <DELETED>    (E) $350,000 shall remain available until 
                expended for expenses to improve the monitoring of the 
                service obligations of graduates.</DELETED>
        <DELETED>    (3) For expenses necessary to support the National 
        Security Multi-Mission Vessel Program, $36,000,000, which shall 
        remain available until expended.</DELETED>
        <DELETED>    (4) For expenses necessary to support Maritime 
        Administration operations and programs, $58,694,000.</DELETED>
        <DELETED>    (5) For expenses necessary to dispose of vessels 
        in the National Defense Reserve Fleet, $20,000,000, which shall 
        remain available until expended.</DELETED>
        <DELETED>    (6) For administrative expenses associated with 
        the program authorized under chapter 537 of title 46, United 
        States Code, $3,000,000, which shall remain available until 
        expended.</DELETED>
<DELETED>    (b) Assistance for Small Shipyards and Maritime 
Communities.--Section 54101(i) of title 46, United States Code, is 
amended--</DELETED>
        <DELETED>    (1) in the matter preceding paragraph (1), by 
        striking ``2015 through 2017'' and inserting ``2018 through 
        2020'';</DELETED>
        <DELETED>    (2) in paragraph (1), by striking ``$5,000,000'' 
        and inserting ``$7,500,00''; and</DELETED>
        <DELETED>    (3) in paragraph (2), by striking ``$25,000,000'' 
        and inserting ``$27,500,000''.</DELETED>

<DELETED>SEC. 3. REMOVAL ADJUNCT PROFESSOR LIMIT AT UNITED STATES 
              MERCHANT MARINE ACADEMY.</DELETED>

<DELETED>    Section 51317 of title 46, United States Code, is 
amended--</DELETED>
        <DELETED>    (1) in subsection (b)--</DELETED>
                <DELETED>    (A) in paragraph (1), by striking ``and'' 
                at the end; and</DELETED>
                <DELETED>    (B) in paragraph (2), by striking the 
                period at the end and inserting ``; and''; 
                and</DELETED>
        <DELETED>    (2) by striking subsections (c) and (d).</DELETED>

<DELETED>SEC. 4. ACCEPTANCE OF GUARANTEES IN CONJUNCTION WITH PARTIAL 
              DONATIONS FOR MAJOR PROJECTS OF THE UNITED STATES 
              MERCHANT MARINE ACADEMY.</DELETED>

<DELETED>    (a) Guarantees.--Chapter 513 of title 46, United States 
Code, is amended by adding at the end the following:</DELETED>
<DELETED>``Sec. 51320. Acceptance of guarantees with gifts for major 
              projects</DELETED>
<DELETED>    ``(a) Definitions.--In this section:</DELETED>
        <DELETED>    ``(1) Major project.--The term `major project' 
        means a project estimated to cost at least $1,000,000 for--
        </DELETED>
                <DELETED>    ``(A) the purchase or other procurement of 
                real or personal property; or</DELETED>
                <DELETED>    ``(B) the construction, renovation, or 
                repair of real or personal property.</DELETED>
        <DELETED>    ``(2) Major united states commercial bank.--The 
        term `major United States commercial bank' means a commercial 
        bank that--</DELETED>
                <DELETED>    ``(A) is an insured bank (as defined in 
                section 3(h) of the Federal Deposit Insurance Act (12 
                U.S.C. 1813(h)));</DELETED>
                <DELETED>    ``(B) is headquartered in the United 
                States; and</DELETED>
                <DELETED>    ``(C) has total net assets of an amount 
                considered by the Maritime Administrator to qualify the 
                bank as a major bank.</DELETED>
        <DELETED>    ``(3) Major united states investment management 
        firm.--The term `major United States investment management 
        firm' means--</DELETED>
                <DELETED>    ``(A) any broker or dealer (as such terms 
                are defined in section 3 of the Securities Exchange Act 
                of 1934 (15 U.S.C. 78c));</DELETED>
                <DELETED>    ``(B) any investment adviser or provider 
                of investment supervisory services (as such terms are 
                defined in section 202 of the Investment Advisers Act 
                of 1940 (15 U.S.C. 80b-2)); or</DELETED>
                <DELETED>    ``(C) a major United States commercial 
                bank that--</DELETED>
                        <DELETED>    ``(i) is headquartered in the 
                        United States; and</DELETED>
                        <DELETED>    ``(ii) holds for the account of 
                        others investment assets in a total amount 
                        considered by the Maritime Administrator to 
                        qualify the bank as a major investment 
                        management firm.</DELETED>
        <DELETED>    ``(4) Qualified guarantee.--The term `qualified 
        guarantee', with respect to a major project, means a guarantee 
        that--</DELETED>
                <DELETED>    ``(A) is made by one or more persons in 
                connection with a donation for the project of a total 
                amount in cash or securities that the Maritime 
                Administrator determines is sufficient to defray a 
                substantial portion of the total cost of the 
                project;</DELETED>
                <DELETED>    ``(B) is made to facilitate or expedite 
                the completion of the project in reasonable 
                anticipation that other donors will contribute 
                sufficient funds or other resources in amounts 
                sufficient to pay for completion of the 
                project;</DELETED>
                <DELETED>    ``(C) is set forth as a written agreement 
                providing that the donor will furnish in cash or 
                securities, in addition to the donor's other gift or 
                gifts for the project, any additional amount that may 
                become necessary for paying the cost of completing the 
                project by reason of a failure to obtain from other 
                donors or sources funds or other resources in amounts 
                sufficient to pay the cost of completing the project; 
                and</DELETED>
                <DELETED>    ``(D) is accompanied by--</DELETED>
                        <DELETED>    ``(i) an irrevocable and 
                        unconditional standby letter of credit for the 
                        benefit of the United States Merchant Marine 
                        Academy that is in the amount of the guarantee 
                        and is issued by a major United States 
                        commercial bank; or</DELETED>
                        <DELETED>    ``(ii) a qualified account control 
                        agreement.</DELETED>
        <DELETED>    ``(5) Qualified account control agreement.--The 
        term `qualified account control agreement', with respect to a 
        guarantee of a donor, means an agreement among the donor, the 
        Maritime Administrator, and a major United States investment 
        management firm that--</DELETED>
                <DELETED>    ``(A) ensures the availability of 
                sufficient funds or other financial resources to pay 
                the amount guaranteed during the period of the 
                guarantee;</DELETED>
                <DELETED>    ``(B) provides for the perfection of a 
                security interest in the assets of the account for the 
                United States for the benefit of the United States 
                Merchant Marine Academy with the highest priority 
                available for liens and security interests under 
                applicable law;</DELETED>
                <DELETED>    ``(C) requires the donor to maintain in an 
                account with the investment management firm assets 
                having a total value that is not less than 130 percent 
                of the amount guaranteed; and</DELETED>
                <DELETED>    ``(D) requires the investment management 
                firm, whenever the value of the account is less than 
                the value required to be maintained under subparagraph 
                (C), to liquidate any noncash assets in the account and 
                reinvest the proceeds in Treasury bills issued under 
                section 3104 of title 31.</DELETED>
<DELETED>    ``(b) Acceptance Authority.--Subject to subsection (d), 
the Maritime Administrator may accept a qualified guarantee from a 
donor or donors for the completion of a major project for the benefit 
of the United States Merchant Marine Academy.</DELETED>
<DELETED>    ``(c) Obligation Authority.--The amount of a qualified 
guarantee accepted under this section shall be considered as contract 
authority to provide obligation authority for purposes of Federal 
fiscal and contractual requirements. Funds available for a project for 
which such a guarantee has been accepted may be obligated and expended 
for the project without regard to whether the total amount of funds and 
other resources available for the project (not taking into account the 
amount of the guarantee) is sufficient to pay for completion of the 
project.</DELETED>
<DELETED>    ``(d) Notice.--The Maritime Administrator may not accept a 
qualified guarantee under this section for the completion of a major 
project until 30 days after the date on which a report of the facts 
concerning the proposed guarantee is submitted to Congress.</DELETED>
<DELETED>    ``(e) Prohibition on Commingling Funds.--The Maritime 
Administrator may not enter into any contract or other transaction 
involving the use of a qualified guarantee and appropriated funds in 
the same contract or transaction.''.</DELETED>
<DELETED>    (b) Clerical Amendment.--The table of sections for chapter 
513 of title 46, United States Code, is amended by adding at the end 
the following:</DELETED>

<DELETED>``51320. Acceptance of guarantees with gifts for major 
                            projects.''.

<DELETED>SEC. 5. AUTHORITY TO PAY CONVEYANCE OR TRANSFER EXPENSES IN 
              CONNECTION WITH ACCEPTANCE OF A GIFT TO THE UNITED STATES 
              MERCHANT MARINE ACADEMY.</DELETED>

<DELETED>    Section 51315 of title 46, United States Code, is amended 
by inserting at the end the following:</DELETED>
<DELETED>    ``(f) Payment of Expenses.--The Maritime Administrator may 
pay all necessary expenses in connection with the conveyance or 
transfer of a gift, devise, or bequest accepted under this 
section.''.</DELETED>

<DELETED>SEC. 6. AUTHORITY TO PARTICIPATE IN FEDERAL, STATE OR OTHER 
              RESEARCH GRANTS.</DELETED>

<DELETED>    (a) Research Grants.--Chapter 513 of title 46, United 
States Code, as amended by section 3 through 5, is further amended by 
adding at the end the following:</DELETED>
<DELETED>``Sec. 51321. Grants for scientific and educational 
              research</DELETED>
<DELETED>    ``(a) Defined Term.--In this section, the term `qualifying 
research grant' is a grant that--</DELETED>
        <DELETED>    ``(1) is awarded on a competitive basis by the 
        Federal Government (except for the Department of 
        Transportation), a State, a corporation, a fund, a foundation, 
        an educational institution, or a similar entity that is 
        organized and operated primarily for scientific or educational 
        purposes; and</DELETED>
        <DELETED>    ``(2) is to be used to carry out a research 
        project with a scientific or educational purpose.</DELETED>
<DELETED>    ``(b) Acceptance of Qualifying Research Grants.--
Notwithstanding any other provision of law, the United States Merchant 
Marine Academy may compete for and accept qualifying research grants if 
the work under the grant is to be carried out by a professor or 
instructor of the United States Merchant Marine Academy.</DELETED>
<DELETED>    ``(c) Administration of Grant Funds.--</DELETED>
        <DELETED>    ``(1) Establishment of account.--The Maritime 
        Administrator shall establish a separate account for 
        administering funds received from research grants under this 
        section.</DELETED>
        <DELETED>    ``(2) Use of grant funds.--The Superintendent 
        shall use grant funds deposited into the account established 
        pursuant to paragraph (1) in accordance with applicable 
        regulations and the terms and conditions of the respective 
        grants.</DELETED>
<DELETED>    ``(d) Related Expenses.--Subject to such limitations as 
may be provided in appropriations Acts, appropriations available for 
the United States Merchant Marine Academy may be used to pay expenses 
incurred by the Academy in applying for, and otherwise pursuing, a 
qualifying research grant.''.</DELETED>
<DELETED>    (b) Clerical Amendment.--The table of sections for chapter 
513 of title 46, United States Code, as amended by section 4(b), is 
further amended by adding at the end the following:</DELETED>

<DELETED>``51321. Grants for scientific and educational research.''.

<DELETED>SEC. 7. CONTINUING FUNDING FOR THE UNITED STATES MERCHANT 
              MARINE ACADEMY.</DELETED>

<DELETED>    Section 51301 of title 46, United States Code, is amended 
by adding at the end the following:</DELETED>
<DELETED>    ``(d) Continuing Funding.--</DELETED>
        <DELETED>    ``(1) In general.--Out of any funds in the general 
        fund of the Treasury not otherwise appropriated, there are 
        hereby appropriated such sums as may be necessary for 
        operations of the United States Merchant Marine Academy for any 
        period during which interim or full-year appropriations are not 
        in effect for the United States Merchant Marine Academy, for 
        fiscal year 2018, and for each fiscal year 
        thereafter.</DELETED>
        <DELETED>    ``(2) Termination.--Amounts made available for a 
        fiscal year under this subsection shall remain available until 
        the earlier of--</DELETED>
                <DELETED>    ``(A) the enactment into law of an 
                appropriation for such fiscal year (including a 
                continuing appropriation) for such operations); 
                or</DELETED>
                <DELETED>    ``(B) the enactment into law for the 
                Maritime Administration of the applicable regular 
                appropriation for such fiscal year, or continuing 
                appropriations resolution for such fiscal year, without 
                any appropriation for such operations.''.</DELETED>

<DELETED>SEC. 8. ACCESS TO SATELLITE PHONE DURING SEA YEAR 
              PROGRAM.</DELETED>

<DELETED>    Section 3514 of the National Defense Authorization Act for 
Fiscal Year 2017 (Public Law 114-328) is amended--</DELETED>
        <DELETED>    (1) by striking ``Not later than'' and inserting 
        the following:</DELETED>
<DELETED>    ``(a) Vessel Operator Requirements.--Not later than''; 
and</DELETED>
        <DELETED>    (2) by adding at the end the following:</DELETED>
<DELETED>    ``(b) Satellite Phone Access.--The Maritime Administrator 
shall ensure that each student participating in the Sea Year program is 
provided or has access to a functional satellite communication device. 
A student may not be denied from using such device whenever the student 
determines that such use is necessary to prevent or report sexual 
harassment or assault.''.</DELETED>

<DELETED>SEC. 9. ASSISTANCE FOR SMALL SHIPYARDS AND MARITIME 
              COMMUNITIES.</DELETED>

<DELETED>    Section 54101 of title 46, United States Code, is 
amended--</DELETED>
        <DELETED>    (1) by striking subsection (b) and inserting the 
        following:</DELETED>
<DELETED>    ``(b) Awards.--</DELETED>
        <DELETED>    ``(1) In general.--In providing assistance under 
        the program, the Administrator shall take into account--
        </DELETED>
                <DELETED>    ``(A) the economic circumstances and 
                conditions of maritime communities;</DELETED>
                <DELETED>    ``(B) projects that would be effective in 
                fostering efficiency, competitive operations, and 
                quality ship construction, repair, and reconfiguration; 
                and</DELETED>
                <DELETED>    ``(C) projects that would be effective in 
                fostering employee skills and enhancing 
                productivity.</DELETED>
        <DELETED>    ``(2) Timing of award.--</DELETED>
                <DELETED>    ``(A) In general.--Except as provided in 
                subparagraph (B), the Administrator shall award grants 
                under this section not later than 120 days after the 
                date of the enactment of the appropriations Act for the 
                fiscal year concerned.</DELETED>
                <DELETED>    ``(B) Reallocation of unused funds.--If a 
                grant is awarded under this section and, for any 
                reason, the grant funds are not used by the grantee, 
                the Administrator may reallocate such unused funds to 
                award another grant under this section.''; 
                and</DELETED>
        <DELETED>    (2) in subsection (c), by adding at the end the 
        following:</DELETED>
        <DELETED>    ``(3) Buy american.--</DELETED>
                <DELETED>    ``(A) Requirement.--A grant provided under 
                this section may be used for a project only if the 
                steel, iron, and manufactured goods used in the project 
                are produced in the United States.</DELETED>
                <DELETED>    ``(B) Waiver.--The Administrator may waive 
                subparagraph (A) if the Administrator determines that 
                the waiver would be permitted under section 5323(j)(2) 
                of title 49.''.</DELETED>

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Maritime 
Administration Authorization and Enhancement Act for Fiscal Year 
2018''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Authorization of the Maritime Administration.
Sec. 3. Removal adjunct professor limit at United States Merchant 
                            Marine Academy.
Sec. 4. Acceptance of guarantees in conjunction with partial donations 
                            for major projects of the United States 
                            Merchant Marine Academy.
Sec. 5. Authority to pay conveyance or transfer expenses in connection 
                            with acceptance of a gift to the United 
                            States Merchant Marine Academy.
Sec. 6. Authority to participate in Federal, State or other research 
                            grants.
Sec. 7. Continuing funding for the United States Merchant Marine 
                            Academy.
Sec. 8. Access to satellite communication devices during Sea Year 
                            program.
Sec. 9. Assistance for small shipyards and maritime communities.
Sec. 10. Domestic maritime centers of excellence.
Sec. 11. Determinations on the viability of vessels.

SEC. 2. AUTHORIZATION OF THE MARITIME ADMINISTRATION.

    (a) In General.--There are authorized to be appropriated to the 
Department of Transportation for fiscal year 2018, to be available 
without fiscal year limitation if so provided in appropriations Acts, 
for programs associated with maintaining the United States merchant 
marine, the following amounts:
            (1) For expenses necessary for operations of the United 
        States Merchant Marine Academy, $100,802,000, of which--
                    (A) $75,751,000 shall be for Academy operations, 
                including--
                            (i) the implementation of section 3514(b) 
                        of the National Defense Authorization Act for 
                        Fiscal Year 2017, as added by section 8; and
                            (ii) staffing, training, and other actions 
                        necessary to prevent and respond to sexual 
                        harassment and sexual assault; and
                    (B) $25,051,000 shall remain available until 
                expended for capital asset management at the Academy.
            (2) For expenses necessary to support the State maritime 
        academies, $29,550,000, of which--
                    (A) $2,400,000 shall remain available until 
                September 30, 2018, for the Student Incentive Program;
                    (B) $3,000,000 shall remain available until 
                expended for direct payments to such academies;
                    (C) $22,000,000 shall remain available until 
                expended for maintenance and repair of State maritime 
                academy training vessels;
                    (D) $1,800,000 shall remain available until 
                expended for training ship fuel assistance; and
                    (E) $350,000 shall remain available until expended 
                for expenses to improve the monitoring of the service 
                obligations of graduates.
            (3) For expenses necessary to support the National Security 
        Multi-Mission Vessel Program, $36,000,000, which shall remain 
        available until expended.
            (4) For expenses necessary to support Maritime 
        Administration operations and programs, $58,694,000.
            (5) For expenses necessary to dispose of vessels in the 
        National Defense Reserve Fleet, $20,000,000, which shall remain 
        available until expended.
            (6) For expenses necessary for the loan guarantee program 
        authorized under chapter 537 of title 46, United States Code, 
        $33,000,000, of which--
                    (A) $30,000,000 may be used for the cost (as 
                defined in section 502(5) of the Federal Credit Reform 
                Act of 1990 (2 U.S.C. 661a(5))) of loan guarantees 
                under the program; and
                    (B) $3,000,000 may be used for administrative 
                expenses relating to loan guarantee commitments under 
                the program.
    (b) Assistance for Small Shipyards and Maritime Communities.--
Section 54101(i) of title 46, United States Code, is amended--
            (1) in the matter preceding paragraph (1), by striking 
        ``2015 through 2017'' and inserting ``2018 through 2020'';
            (2) in paragraph (1), by striking ``$5,000,000'' and 
        inserting ``$7,500,000''; and
            (3) in paragraph (2), by striking ``$25,000,000'' and 
        inserting ``$27,500,000''.

SEC. 3. REMOVAL ADJUNCT PROFESSOR LIMIT AT UNITED STATES MERCHANT 
              MARINE ACADEMY.

    Section 51317 of title 46, United States Code, is amended--
            (1) in subsection (b)--
                    (A) in paragraph (1), by striking ``and'' at the 
                end; and
                    (B) in paragraph (2), by striking the period at the 
                end and inserting ``; and''; and
            (2) by striking subsections (c) and (d).

SEC. 4. ACCEPTANCE OF GUARANTEES IN CONJUNCTION WITH PARTIAL DONATIONS 
              FOR MAJOR PROJECTS OF THE UNITED STATES MERCHANT MARINE 
              ACADEMY.

    (a) Guarantees.--Chapter 513 of title 46, United States Code, is 
amended by adding at the end the following:
``Sec. 51320. Acceptance of guarantees with gifts for major projects
    ``(a) Definitions.--In this section:
            ``(1) Major project.--The term `major project' means a 
        project estimated to cost at least $1,000,000 for--
                    ``(A) the purchase or other procurement of real or 
                personal property; or
                    ``(B) the construction, renovation, or repair of 
                real or personal property.
            ``(2) Major united states commercial bank.--The term `major 
        United States commercial bank' means a commercial bank that--
                    ``(A) is an insured bank (as defined in section 
                3(h) of the Federal Deposit Insurance Act (12 U.S.C. 
                1813(h)));
                    ``(B) is headquartered in the United States; and
                    ``(C) has total net assets of an amount considered 
                by the Maritime Administrator to qualify the bank as a 
                major bank.
            ``(3) Major united states investment management firm.--The 
        term `major United States investment management firm' means--
                    ``(A) any broker or dealer (as such terms are 
                defined in section 3 of the Securities Exchange Act of 
                1934 (15 U.S.C. 78c));
                    ``(B) any investment adviser or provider of 
                investment supervisory services (as such terms are 
                defined in section 202 of the Investment Advisers Act 
                of 1940 (15 U.S.C. 80b-2)); or
                    ``(C) a major United States commercial bank that--
                            ``(i) is headquartered in the United 
                        States; and
                            ``(ii) holds for the account of others 
                        investment assets in a total amount considered 
                        by the Maritime Administrator to qualify the 
                        bank as a major investment management firm.
            ``(4) Qualified guarantee.--The term `qualified guarantee', 
        with respect to a major project, means a guarantee that--
                    ``(A) is made by 1 or more persons in connection 
                with a donation for the project of a total amount in 
                cash or securities that the Maritime Administrator 
                determines is sufficient to defray a substantial 
                portion of the total cost of the project;
                    ``(B) is made to facilitate or expedite the 
                completion of the project in reasonable anticipation 
                that other donors will contribute sufficient funds or 
                other resources in amounts sufficient to pay for 
                completion of the project;
                    ``(C) is set forth as a written agreement providing 
                that the donor will furnish in cash or securities, in 
                addition to the donor's other gift or gifts for the 
                project, any additional amount that may become 
                necessary for paying the cost of completing the project 
                by reason of a failure to obtain from other donors or 
                sources funds or other resources in amounts sufficient 
                to pay the cost of completing the project; and
                    ``(D) is accompanied by--
                            ``(i) an irrevocable and unconditional 
                        standby letter of credit for the benefit of the 
                        United States Merchant Marine Academy that is 
                        in the amount of the guarantee and is issued by 
                        a major United States commercial bank; or
                            ``(ii) a qualified account control 
                        agreement.
            ``(5) Qualified account control agreement.--The term 
        `qualified account control agreement', with respect to a 
        guarantee of a donor, means an agreement among the donor, the 
        Maritime Administrator, and a major United States investment 
        management firm that--
                    ``(A) ensures the availability of sufficient funds 
                or other financial resources to pay the amount 
                guaranteed during the period of the guarantee;
                    ``(B) provides for the perfection of a security 
                interest in the assets of the account for the United 
                States for the benefit of the United States Merchant 
                Marine Academy with the highest priority available for 
                liens and security interests under applicable law;
                    ``(C) requires the donor to maintain in an account 
                with the investment management firm assets having a 
                total value that is not less than 130 percent of the 
                amount guaranteed; and
                    ``(D) requires the investment management firm, 
                whenever the value of the account is less than the 
                value required to be maintained under subparagraph (C), 
                to liquidate any noncash assets in the account and 
                reinvest the proceeds in Treasury bills issued under 
                section 3104 of title 31.
    ``(b) Acceptance Authority.--Subject to subsection (d), the 
Maritime Administrator may accept a qualified guarantee from a donor or 
donors for the completion of a major project for the benefit of the 
United States Merchant Marine Academy.
    ``(c) Obligation Authority.--The amount of a qualified guarantee 
accepted under this section shall be considered as contract authority 
to provide obligation authority for purposes of Federal fiscal and 
contractual requirements. Funds available for a project for which such 
a guarantee has been accepted may be obligated and expended for the 
project without regard to whether the total amount of funds and other 
resources available for the project (not taking into account the amount 
of the guarantee) is sufficient to pay for completion of the project.
    ``(d) Notice.--The Maritime Administrator may not accept a 
qualified guarantee under this section for the completion of a major 
project until 30 days after the date on which a report of the facts 
concerning the proposed guarantee is submitted to Congress.
    ``(e) Prohibition on Commingling Funds.--The Maritime Administrator 
may not enter into any contract or other transaction involving the use 
of a qualified guarantee and appropriated funds in the same contract or 
transaction.''.
    (b) Clerical Amendment.--The table of sections for chapter 513 of 
title 46, United States Code, is amended by adding at the end the 
following:

``51320. Acceptance of guarantees with gifts for major projects.''.

SEC. 5. AUTHORITY TO PAY CONVEYANCE OR TRANSFER EXPENSES IN CONNECTION 
              WITH ACCEPTANCE OF A GIFT TO THE UNITED STATES MERCHANT 
              MARINE ACADEMY.

    Section 51315 of title 46, United States Code, is amended by 
inserting at the end the following:
    ``(f) Payment of Expenses.--The Maritime Administrator may pay all 
necessary expenses in connection with the conveyance or transfer of a 
gift, devise, or bequest accepted under this section.''.

SEC. 6. AUTHORITY TO PARTICIPATE IN FEDERAL, STATE OR OTHER RESEARCH 
              GRANTS.

    (a) Research Grants.--Chapter 513 of title 46, United States Code, 
as amended by section 3 through 5, is further amended by adding at the 
end the following:
``Sec. 51321. Grants for scientific and educational research
    ``(a) Defined Term.--In this section, the term `qualifying research 
grant' is a grant that--
            ``(1) is awarded on a competitive basis by the Federal 
        Government (except for the Department of Transportation), a 
        State, a corporation, a fund, a foundation, an educational 
        institution, or a similar entity that is organized and operated 
        primarily for scientific or educational purposes; and
            ``(2) is to be used to carry out a research project with a 
        scientific or educational purpose.
    ``(b) Acceptance of Qualifying Research Grants.--Notwithstanding 
any other provision of law, the United States Merchant Marine Academy 
may compete for and accept qualifying research grants if the work under 
the grant is to be carried out by a professor or instructor of the 
United States Merchant Marine Academy.
    ``(c) Administration of Grant Funds.--
            ``(1) Establishment of account.--The Maritime Administrator 
        shall establish a separate account for administering funds 
        received from research grants under this section.
            ``(2) Use of grant funds.--The Superintendent shall use 
        grant funds deposited into the account established pursuant to 
        paragraph (1) in accordance with applicable regulations and the 
        terms and conditions of the respective grants.
    ``(d) Related Expenses.--Subject to such limitations as may be 
provided in appropriations Acts, appropriations available for the 
United States Merchant Marine Academy may be used to pay expenses 
incurred by the Academy in applying for, and otherwise pursuing, a 
qualifying research grant.''.
    (b) Clerical Amendment.--The table of sections for chapter 513 of 
title 46, United States Code, as amended by section 4(b), is further 
amended by adding at the end the following:

``51321. Grants for scientific and educational research.''.

SEC. 7. CONTINUING FUNDING FOR THE UNITED STATES MERCHANT MARINE 
              ACADEMY.

    Section 51301 of title 46, United States Code, is amended by adding 
at the end the following:
    ``(d) Continuing Funding.--
            ``(1) In general.--Out of any funds in the general fund of 
        the Treasury not otherwise appropriated, there are hereby 
        appropriated such sums as may be necessary for operations of 
        the United States Merchant Marine Academy for any period during 
        which interim or full-year appropriations are not in effect for 
        the United States Merchant Marine Academy, for fiscal year 
        2018, and for each fiscal year thereafter.
            ``(2) Termination.--Amounts made available for a fiscal 
        year under this subsection shall remain available until the 
        earlier of--
                    ``(A) the enactment into law of an appropriation 
                for such fiscal year (including a continuing 
                appropriation) for such operations); or
                    ``(B) the enactment into law for the Maritime 
                Administration of the applicable regular appropriation 
                for such fiscal year, or continuing appropriations 
                resolution for such fiscal year, without any 
                appropriation for such operations.''.

SEC. 8. ACCESS TO SATELLITE COMMUNICATION DEVICES DURING SEA YEAR 
              PROGRAM.

    Section 3514 of the National Defense Authorization Act for Fiscal 
Year 2017 (Public Law 114-328) is amended--
            (1) by striking ``Not later than'' and inserting the 
        following:
    ``(a) Vessel Operator Requirements.--Not later than''; and
            (2) by adding at the end the following:
    ``(b) Satellite Phone Access.--The Maritime Administrator shall 
ensure that each student participating in the Sea Year program is 
provided or has access to a functional satellite communication device. 
A student may not be denied from using such device whenever the student 
determines that such use is necessary to prevent or report sexual 
harassment or assault.''.

SEC. 9. ASSISTANCE FOR SMALL SHIPYARDS AND MARITIME COMMUNITIES.

    Section 54101 of title 46, United States Code, is amended--
            (1) by striking subsection (b) and inserting the following:
    ``(b) Awards.--
            ``(1) In general.--In providing assistance under the 
        program, the Administrator shall take into account--
                    ``(A) the economic circumstances and conditions of 
                maritime communities;
                    ``(B) projects that would be effective in fostering 
                efficiency, competitive operations, and quality ship 
                construction, repair, and reconfiguration; and
                    ``(C) projects that would be effective in fostering 
                employee skills and enhancing productivity.
            ``(2) Timing of award.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the Administrator shall award grants 
                under this section not later than 120 days after the 
                date of the enactment of the appropriations Act for the 
                fiscal year concerned.
                    ``(B) Reallocation of unused funds.--If a grant is 
                awarded under this section and, for any reason, the 
                grant funds are not used by the grantee--
                            ``(i) such funds shall remain available 
                        until expended; and
                            ``(ii) the Administrator may--
                                    ``(I) use such unused funds to 
                                award another grant under this section 
                                in the fiscal year concerned; or
                                    ``(II) reallocate such unused funds 
                                for grants in a subsequent fiscal 
                                year.''; and
            (2) in subsection (c), by adding at the end the following:
            ``(3) Buy america.--
                    ``(A) In general.--Notwithstanding any other 
                provision of law, the Secretary of Transportation shall 
                not obligate any funds authorized to be appropriated to 
                carry out this chapter unless the steel, iron, and 
                manufactured products used in such project are produced 
                in the United States.
                    ``(B) Exceptions.--The provisions of subparagraph 
                (A) shall not apply if the Secretary finds that--
                            ``(i) their application would be 
                        inconsistent with the public interest;
                            ``(ii) such materials and products are not 
                        produced in the United States in sufficient and 
                        reasonably available quantities and of a 
                        satisfactory quality; or
                            ``(iii) inclusion of domestic material will 
                        increase the cost of the overall project by 
                        more than 25 percent.''.

SEC. 10. DOMESTIC MARITIME CENTERS OF EXCELLENCE.

    (a) Designation Authority.--The Secretary of Transportation is 
authorized to designate community and technical colleges with a 
maritime training program and maritime training centers operated by or 
under the supervision of a State, if located in the United States along 
the Gulf of Mexico, Atlantic Ocean, Pacific Ocean, Arctic Ocean, Bering 
Sea, Gulf of Alaska, or Great Lakes, as centers of excellence for 
domestic maritime workforce training and education.
    (b) Assistance.--
            (1) Types.--The Secretary may provide to an entity 
        designated as a center of excellence under subsection (a)--
                    (A) technical assistance; and
                    (B) surplus Federal equipment and assets.
            (2) Technical assistance.--The Secretary may provide 
        technical assistance under paragraph (1) to assist an entity 
        designated as a center of excellence under subsection (a) to 
        expand the capacity of the entity to train the domestic 
        maritime workforce of the United States, including by--
                    (A) admitting additional students;
                    (B) recruiting and training faculty;
                    (C) expanding facilities;
                    (D) creating new maritime career pathways; and
                    (E) awarding students credit for prior experience, 
                including military service.

SEC. 11. DETERMINATIONS ON THE VIABILITY OF VESSELS.

    (a) In General.--Not later than 60 days after the date of enactment 
of this Act, the Inspector General for the Department of Transportation 
shall audit the criteria used by the Secretary of Transportation for 
determinations of the commercial viability of any Maritime Security 
Program vessel that operates in competition with a domestic trade 
vessel documented under the laws of the United States.
    (b) Contents.--The audit referred to in subsection (a) shall 
include a review of the criteria used to make a finding of commercial 
viability for compliance with section 53102(b)(4)(B) of title 46, 
United States Code, for all vessels with operating agreements beginning 
after September 30, 2016.
                                                       Calendar No. 182

115th CONGRESS

  1st Session

                                S. 1096

                          [Report No. 115-136]

_______________________________________________________________________

                                 A BILL

  To amend and enhance certain maritime programs of the Department of 
                Transportation, and for other purposes.

_______________________________________________________________________

                             July 24, 2017

                       Reported with an amendment
```