I

103D CONGRESS

1ST SESSION H. R. 3059

To establish a National Maritime Heritage Program to make grants available

for educational programs and the restoration of America’s cultural resources for the purpose of preserving America’s endangered maritime

heritage.

IN THE HOUSE OF REPRESENTATIVES

SEPTEMBER 14, 1993

Mr. ANDREWS of Maine (for himself, Mr. OBERSTAR, and Ms. SNOWE) introduced the following bill; which was referred to the Committee on Merchant Marine and Fisheries

A BILL

To establish a National Maritime Heritage Program to make

grants available for educational programs and the restoration of America’s cultural resources for the purpose

of preserving America’s endangered maritime heritage.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘National Maritime

5 Heritage Act of 1993’’.

6 SEC. 2. FINDINGS.

7 Congress finds and declares that—
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1 (1) the United States is a maritime nation with

2 a rich maritime history, and it is desirable to foster

3 in the American public a greater awareness and ap4 preciation of the role of maritime endeavors in our

5 Nation’s history and culture;

6 (2) the maritime historical and cultural founda7 tions of the Nation should be preserved as a part of

8 our community life and development;

9 (3) national, State, and local groups have been

10 working independently to preserve the maritime her11 itage of the United States;

12 (4) historic resources significant to the Nation’s

13 maritime heritage are being lost or substantially al14 tered, often inadvertently, with increasing frequency;

15 (5) the preservation of this irreplaceable mari16 time heritage is in the public interest so that its

17 vital legacy of cultural, educational, aesthetic, inspi18 rational, and economic benefits will be maintained

19 and enriched for future generations of Americans;

20 (6) in the face of ever-increasing development,

21 the present governmental and nongovernmental his22 toric preservation programs and activities are inad23 equate to ensure future generations a genuine oppor24 tunity to appreciate and enjoy the rich maritime her25 itage of our Nation;
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1 (7) a coordinated national program is needed to

2 immediately redress the adverse consequences of a

3 period of indifference during which the maritime

4 heritage of the United States has become endan5 gered and to ensure the future preservation of the

6 Nation’s maritime heritage;

7 (8) a national maritime heritage policy would

8 greatly increase public awareness of the educational,

9 recreational, and preservation values of maritime

10 heritage; and

11 (9) the creation of a National Maritime Trust

12 for Historic Preservation in the United States would

13 greatly enhance maritime preservation.

14 SEC. 3. NATIONAL MARITIME HERITAGE POLICY.

15 It shall be the policy of the Federal Government in

16 partnership with the States and local governments and

17 private organization and individuals to—

18 (1) use measures, including financial and tech19 nical assistance, to foster conditions under which our

20 modern society and our historic maritime resources

21 can exist in productive harmony and fulfill the so22 cial, economic, and other requirements of present

23 and future generations;

24 (2) provide leadership in the preservation of the

25 historic maritime resources of the United States;
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1 (3) contribute to the preservation historic mari2 time resources and give maximum encouragement to

3 organizations and individuals undertaking preserva4 tion by private means; and

5 (4) assist State and local governments to ex6 pand and accelerate their maritime historic preserva7 tion programs and activities.

8 SEC. 4. NATIONAL MARITIME TRUST.

9 (a) CREATION.—To further the policy enunciated in

10 this Act to facilitiate public participation in the preserva11 tion of maritime sites, buildings, and objects of signifi12 cance or interest, and to further the education of the

13 American public about the importance of our maritime

14 heritage, there is hereby created a charitable, educational,

15 and nonprofit corporation, to be known as the National

16 Maritime Trust.

17 (b) PURPOSE.—The purposes of the National Mari18 time Trust shall be to—

19 (1) receive donations of real property and ob20 jects significant in American maritime history and

21 culture;

22 (2) to preserve and administer them for public

23 benefits;

24 (3) to accept, hold, and administer gifts of

25 money, securities, or other property of whatsoever
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1 character for the purpose of carrying out a maritime

2 preservation and education program; and

3 (4) to execute other functions as are vested in

4 it by this Act.

5 (c) PRINCIPAL OFFICE.—The National Maritime

6 Trust shall have its principal office in the District of Co7 lumbia and shall be deemed, for purposes of venue in civil

8 actions, to be an inhabitant and resident thereof. The Na9 tional Maritime Trust may establish offices in other places

10 as it may deem necessary or appropriate in the conduct

11 of its business.

12 (d) ADMINISTRATION OF NATIONAL TRUST.—

13 (1) COMPOSITION OF BOARD OF TRUSTEES.—

14 (A) The affairs of the National Maritime

15 Trust shall be under the general direction of a

16 board of trustees composed as follows: the Sec17 retary of the Interior; the Secretary of Trans18 portation and the Secretary of the Navy, ex

19 officio; and not less than six general trustees

20 who shall be citizens of the United States, to be

21 chosen as hereinafter provided.

22 (B) The Secretary of the Interior, the Sec23 retary of Transportation, and the Secretary of

24 the Navy, when it appears desirable in the in25 terest of the conduct of the business of the
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1 board and to the extent as they deem it advis2 able, may, by written notice to the National

3 Maritime Trust, designate any officer of their

4 respective departments to act for them in the

5 discharge of their duties as a member of the

6 board of trustees.

7 (C) The number of general trustees shall

8 be—

9 (i) fixed by the Board of Trustees of

10 the National Maritime Trust;

11 (ii) chosen by the members of the Na12 tional Maritime Trust from its members at

13 any regular meeting of the National Mari14 time Trust; and

15 (iii) appointed by the Secretary of the

16 Interior.

17 (2) TERMS OF OFFICE.—the respective terms of

18 office of the general trustees shall be as prescribed

19 by the said board of trustees but in no case shall ex20 ceed a period of five years from the date of election.

21 A successor to a general trustee shall be chosen in

22 the same manner and shall have a term expiring five

23 years from the date of the expiration of the term for

24 which the trustees predecessor was chosen, except

25 that a successor chosen to fill a vacancy occurring
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1 prior to the expiration of such term shall be chosen

2 only for the remainder of that term. The chairman

3 of the board of trustees shall be elected by a major4 ity vote of the member of the board.

5 (3) COMPENSATION AND EXPENSES.—No com6 pensation shall be paid to the members of the board

7 of trustees for their services as such members, but

8 they shall be reimbursed for travel and actual ex9 penses necessary incurred by them in attending

10 board meetings and performing other official duties

11 on behalf of the National Maritime Trust at the di12 rection of the board.

13 (e) POWERS AND DUTIES OF NATIONAL MARITIME

14 TRUST.—To the extent necessary to enable it to carry out

15 the functions vested in it by this Act, the National Mari16 time Trust shall have the following general powers:

17 (1) To have succession until dissolved by Act of

18 Congress, in which event title to the properties of

19 the National Maritime Trust, both real and per20 sonal, shall, insofar as consistent with existing con21 tractual obligations and subject to all other legally

22 enforceable claims or demands by or against the Na23 tional Maritime Trust, at the discretion of the Sec24 retary of the Interior, pass to and become vested in

25 the United States of America;
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1 (2) To sue and be sued in its corporate name;

2 (3) To adopt, alter, and use a corporate seal

3 which shall be judicially noticed;

4 (4) To adopt a constitution and to make such

5 bylaws, rules, and regulations, not inconsistent with

6 the laws of the United States or of any State, as it

7 deems necessary for the administration of its func8 tions under this Act, including among other matter,

9 bylaws, rules, and regulations governing visitation to

10 maritime historic properties, administration of cor11 porate funds, and the organization and procedure of

12 the board of trustees;

13 (5) To accept, hold, and administer gifts and

14 bequests of money, securities, or other personal

15 property of whatsoever character, absolutely or in

16 trust, for the purposes for which the National Mari17 time Trust is created. Unless otherwise restricted by

18 the terms of the gift or bequest, the National Mari19 time Trust is authorized to sell, exchange, or other20 wise dispose of and to invest or reinvest in such in21 vestments as it may determine from time to time the

22 moneys, securities, or other property given or be23 queathed to it. The principal of such corporate

24 funds, together with the income therefrom and all

25 other revenues received by it from any source what-
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1 soever, shall be placed in such depositories as the

2 National Maritime Trust shall determine and shall

3 be subject to expenditure by the National Maritime

4 Trust for its corporate purposes;

5 (6) To acquire by gift, devise, purchase, or oth6 erwise, absolutely or on trust, and to hold and, un7 less otherwise restricted by the terms of the gift or

8 devise, to encumber, convey, or otherwise dispose of,

9 any real property, or any estate or interest therein

10 (except property within the exterior boundaries of

11 national parks and national monuments), as may be

12 necessary and proper in carrying into effect the pur13 poses of the National Maritime Trust;

14 (7) To contract and make cooperative agree15 ments with Federal, State, or municipal departments

16 or agencies, corporations, associations, or individ17 uals, under such terms and conditions as it deems

18 advisable, respecting the protection, preservation,

19 maintenance, or operation of any maritime historic

20 site, building, object, or other property used in con21 nection therewith for public use, regardless of wheth22 er the National Maritime Trust has acquired title to

23 the properties, or any interest therein;

24 (8) To enter into contracts generally and to

25 execute all instruments necessary or appropriate to
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1 carry out its corporate purposes, which instruments

2 shall include such concession contracts, leases, or

3 permits for the use of lands, buildings, or other

4 property deemed desirable either to accommodate

5 the public or to facilitate administration;

6 (9) To appoint and prescribe the duties of such

7 officers, agents, and employees as may be necessary

8 to carry out its functions, and to fix and pay such

9 compensation to them for their services as the Na10 tional Maritime Trust may determine; and

11 (10) Generally to do any and all lawful acts

12 necessary or appropriate to carry out the purposes

13 for which the National Maritime Trust is created.

14 SEC. 5. NATIONAL MARITIME HERITAGE GRANTS PRO15 GRAM.

16 (a) ESTABLISHMENT.—

17 (1) There is established within the Department

18 of the Interior a National Maritime Heritage Grants

19 Program to foster in the American public a greater

20 awareness and appreciation of the role of maritime

21 endeavors in our Nation’s history and culture.

22 (2) Within ninety days after the date of enact23 ment of this Act, the Secretary, acting through the

24 Director of the National Park Service, may enter

25 into a cooperative agreement with the National Mar-
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1 itime Trust for assistance in the administration of

2 the grants program.

3 (3) The Secretary shall administer a program

4 of matching grants-in-aid to carry out the purposes

5 of this Act.

6 (4)(A) In addition to the programs under para7 graph (3) of this subsection, the Secretary may,

8 through the National Maritime Initiative, administer

9 a program of direct grants for the preservation of

10 maritime resources. Funds to support this direct

11 grants program annually shall not exceed 10 percent

12 of the amount derived under section 6 of this Act.

13 (B) These grants may be made by the Sec14 retary—

15 (i) for the preservation of national mari16 time historic resources which are threatened

17 with demolition or impairment and for the pres18 ervation of maritime historic resources of sig19 nificance;

20 (ii) for maritime demonstration projects

21 which will provide information concerning pro22 fessional methods and techniques having appli23 cation to maritime historic resources;

24 (iii) for the training and development of

25 skilled labor in trades and crafts, and in analy-
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1 sis, marine survey, and curation, relating to

2 maritime historic preservation; and

3 (iv) for educational programs to increase

4 the awareness by the American public of our

5 maritime heritage.

6 (b) GRANTS PROCESS.—

7 (1) The Secretary shall publish annually a

8 grants solicitation, together with grant priorities and

9 other relevant information, in the Federal Register

10 and otherwise as the Secretary deems appropriate.

11 (2) Each fiscal year, the Secretary, acting

12 through the National Maritime Trust, shall receive

13 and process applications for grants under the regula14 tions promulgated pursuant to section 11 of this

15 Act.

16 (c) NATIONAL MARITIME TRUST RESPONSIBIL17 ITIES.—Under the cooperative agreement executed under

18 subsection (a) of this section, the National Maritime Trust

19 shall be responsible for administration of the grants pro20 gram, including—

21 (1) publicizing the program to prospective

22 grantees in accordance with the regulations promul23 gated by the Secretary;
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1 (2) answering inquiries from the public, includ2 ing providing information on the program as re3 quested;

4 (3) distributing grant applications;

5 (4) collecting proposals and ensuring their com6 pleteness;

7 (5) forwarding the proposals to the Committee

8 for review;

9 (6) transmitting the recommendations of the

10 Committee to the Secretary;

11 (7) keeping records of all grant awards and ex12 penditures of funds;

13 (8) monitoring progress of grants;

14 (9) providing progress reports to the Secretary

15 as requested; and

16 (10) any other responsibilities that the Sec17 retary deems appropriate.

18 (d) REPORT TO CONGRESS.—The National Maritime

19 Trust shall submit an annual report on the program to

20 the Secretary for transmittal to Congress. The report shall

21 include—

22 (1) a description of each project funded;

23 (2) the results or accomplishments of each

24 project;
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1 (3) a detailed review of the National Maritime

2 Trust’s operations, activities and financial condition;

3 (4) recommended priorities for achieving the

4 purposes of the Act under section 5(c)(4); and

5 (5) the audit report required under section 8.

6 (e) CRITERIA FOR GRANT ELIGIBILITY.—To qualify

7 for a grant under this section, a grantee must—

8 (1) demonstrate that the project for which

9 funding is being sought—

10 (A) has the potential for reaching a broad

11 audience with an effective educational program

12 based on American maritime history, tech13 nology, or the role of maritime endeavors in

14 American culture; and

15 (B) has the ability to garner support from

16 non-Federal sources;

17 (2) match the grant award with non-Federal as18 sets, including cash, as appropriate;

19 (3) demonstrate organizational viability;

20 (4) exhibit the existence of approved business

21 and operation plans;

22 (5) maintain records as may be reasonably nec23 essary to fully disclose—

24 (A) the amount and the disposition of the

25 proceeds of the grant;
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1 (B) the total cost of the project for which

2 the grant is given or used;

3 (C) the amount and nature of that portion

4 of the cost of the project supplied by other

5 sources; and

6 (D) other records as will facilitate an effec7 tive audit required in regulation by the Sec8 retary;

9 (6) provide access for the purposes of any re10 quired audit and examination of any books, docu11 ments, papers, and records of the recipient under

12 this Act; and

13 (7) be a unit of Federal, State, or local govern14 ment, or a nonprofit organization that has applied

15 for, or has been granted, 501(c)(3) status.

16 (f) GRANTS.—Grants will be available for projects

17 of—

18 (1) national, regional, and local maritime his19 toric significance, including restoration of vessels,

20 small craft, lighthouses, and other sites, structures,

21 or objects listed on the National Register of Historic

22 Places; and

23 (2) significant educational or cultural value, in24 cluding museums, fishing villages, maritime edu25 cational waterborne-experience programs, construc-
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1 tion or purchase of educational facilities, structures

2 or vessels, and other projects that the Secretary

3 deems appropriate.

4 (g) TERMS AND CONDITIONS.—

5 (1) No part of any grant made under this sec6 tion may be used to compensate any person inter7 vening in any proceeding under this Act.

8 (2) An application must be submitted in accord9 ance with regulations and procedures prescribed by

10 the Secretary;

11 (3) No grant may be awarded—

12 (A) unless the grantee has agreed to as13 sume, after completion of the project for which

14 the grant is awarded, the total cost of the con15 tinued maintenance, repair, and administration

16 of the property in a manner satisfactory to the

17 Secretary; and

18 (B) until the grantee has complied with

19 such further terms and conditions as the Sec20 retary may deem necessary or advisable.

21 (4) Except as permitted by other law, the State

22 share of the costs referred to in paragraph (3) of

23 this subsection shall be contributed by non-Federal

24 sources.
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1 (5) Notwithstanding any other law, no grant

2 made pursuant to this Act shall be treated as tax3 able income for purposes of the Internal Revenue

4 Code of 1986.

5 (6) The Secretary shall make funding available

6 as soon as practicable after execution of a grant

7 agreement.

8 (7) The total administrative costs, direct and

9 indirect, charged for carrying out projects and pro10 grams may not exceed 25 percent of the aggregate

11 costs.

12 (8) The amount of funds expended on Federal

13 projects shall not exceed 20 percent of the amount

14 appropriated annually under this Act for the fund.

15 (h) REVIEW OF PROPOSALS.—

16 (1) COMMITTEE RECOMMENDATIONS.—The

17 committee established under section 7 of this Act

18 shall review the grant proposals and make rec19 ommendations to the Secretary as to which projects

20 should receive funding.

21 (2) SECRETARIAL APPROVAL.—Within one hun22 dred and twenty days of the deadline for submission,

23 the Secretary shall approve applications for grants

24 under this subsection recommended by the commit25 tee if the Secretary is satisfied that—
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1 (A) the applicant has the requisite tech2 nical and financial capability to carry out the

3 project; and

4 (B) the project adequately implements the

5 objectives of the Act and will comply with sub6 section (g) of this section.

7 (i) WAIVER.—The Secretary may waive the require8 ments of this section for any grant under this Act.

9 SEC. 6. CONVEYANCE OF NDRF VESSEL FOR SCRAPPING BY

10 NATIONAL MARITIME TRUST

11 (a) VESSEL CONVEYANCE AUTHORITY.—

12 (1) IN GENERAL.—Notwithstanding any other

13 law, the Secretary of Transportation may convey to

14 the National Maritime Trust, without consideration,

15 all right, title, and interest of the United States

16 Government in each vessel which—

17 (A) is in the National Defense Reserve

18 Fleet on the date of the enactment of this sec19 tion;

20 (B) has no usefulness to the Government;

21 and

22 (C) is scheduled to be scrapped.

23 (2) CONDITION.—As a condition of conveying a

24 vessel to the National Maritime Trust pursuant to

25 this section, the Secretary shall require that the Na-
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1 tional Maritime Trust enter into an agreement with

2 the Secretary which requires that the National Mari3 time Trust—

4 (A) sell the vessel for scrap purposes;

5 (B) use the proceeds of that scrapping for

6 expenses directly related to the purposes of this

7 Act; and

8 (C) comply with any other conditions the

9 Secretary considers appropriate.

10 (b) DELIVERY.—The Secretary shall deliver a vessel

11 conveyed under this section to the National Maritime

12 Trust—

13 (1) at the place where the vessel is located on

14 the date of the approval of the conveyance;

15 (2) in its condition on that date; and

16 (3) without cost to the Government.

17 (c) MINIMUM VESSEL SALE.—The National Mari18 time Trust shall sell a sufficient quantity of vessels annu19 ally to ensure that the amount derived is not less than

20 $5,000,000 for each fiscal year beginning in fiscal year

21 1994 and ending in fiscal year 2000, and amounts as may

22 be required thereafter.

23 (d) TREATMENT OF AMOUNTS AVAILABLE TO THE

24 TRUST.—Amounts available to, or used by, the National

25 Maritime Trust pursuant to this subsection shall not be
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1 considered in any determination of the amounts available

2 to the Department of the Interior.

3 (e) ADMINISTRATIVE EXPENDITURES.—

4 (1) MINIMUM AMOUNT.—Not more than 15

5 percent or $250,000, whichever is greater, of the

6 amount derived under this section in any fiscal year

7 may be used for administering the program under

8 the cooperative agreement executed under section 5

9 of this Act.

10 (2) ALLOCATION.—Of the amount used for ad11 ministering the program in any fiscal year, two12 thirds shall be allocated to the National Maritime

13 Trust and one-third allocated to the National Park

14 Service.

15 (f) DISBURSEMENT CRITERIA.—In expending the

16 funds derived under this section, the Secretary shall give

17 due consideration to the following factors:

18 (1) the national significance of a project;

19 (2) its maritime historical and educational value

20 to the community;

21 (3) the imminence of its destruction or loss;

22 and

23 (4) the expressed intentions of the donor.
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1 SEC. 7. MARITIME HERITAGE PROGRAM GRANTS COMMIT2 TEE.

3 (a) ESTABLISHMENT.—There is established a Mari4 time Heritage Grants Committee.

5 (b) MEMBERSHIP.—Within one hundred and twenty

6 days of enactment of this Act, and biennially thereafter,

7 the Secretary shall appoint the members of the Commit8 tee. The Committee shall consist of eleven members rep9 resenting various sectors of the maritime community who

10 are knowledgeable and experienced in maritime heritage

11 and preservation, and showing regional geographic bal12 ance, as follows:

13 (1) one representative from the field of small

14 craft preservation;

15 (2) one representative from the field of large

16 vessel preservation;

17 (3) one representative from the field of sail

18 training;

19 (4) one representative from the field of preser20 vation architecture;

21 (5) one representative from the field of under22 water archeology;

23 (6) one representative from the field of light24 house preservation;

25 (7) one representative from the field of mari26 time education;
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1 (8) one representative having a military naval

2 history background;

3 (9) one representative from a maritime museum

4 or maritime historical society; and

5 (10) two representatives from the general pub6 lic.

7 (c) DUTIES OF THE COMMITTEE.—The duties of the

8 Committee include—

9 (1) providing oversight of the grants program

10 on a continuing basis;

11 (2) reviewing grant proposals;

12 (3) making funding recommendations to the

13 Secretary;

14 (4) identifying and advising the Secretary re15 garding priorities for achieving the purposes of the

16 Act;

17 (5) reviewing the National Maritime Trust’s an18 nual grants report to the Secretary; and

19 (6) performing any other duties as the Sec20 retary deems appropriate.

21 (d) REPORT.—The Committee shall submit annually

22 a comprehensive report of its activities and the results of

23 its studies to the Secretary and Congress and shall from

24 time to time submit additional and special reports as it

25 deems advisable. Each report shall propose legislative en-
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1 actments and other actions as, in the judgment of the

2 Committee, are necessary and appropriate to carry out its

3 recommendations and shall provide the Committee’s as4 sessment of current and emerging problems in the field

5 of maritime historic preservation and an evaluation of the

6 effectiveness of the programs of Federal agencies, State

7 and local governments, and the private sector in carrying

8 out the purposes of this Act.

9 (e) QUORUM.—Seven members of the Committee

10 shall constitute a quorum.

11 (f) APPOINTMENTS PROCESS.—

12 (1) DUTIES OF THE SECRETARY.—The Sec13 retary shall—

14 (A) publicize annually in the Federal Reg15 ister a call for nominations with a statement

16 that the applications for nomination shall be

17 submitted to the National Maritime Trust;

18 (B) make the appointments to the Com19 mittee giving due consideration to the rec20 ommendations of the National Maritime Trust;

21 and

22 (C) designate a Chairman and a Vice

23 Chairman, from the members appointed under

24 this section. The Vice Chairman may act in

25 place of the Chairman during the absence or
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1 disability of the Chairman or when the office is

2 vacant.

3 (2) DUTIES OF THE NATIONAL MARITIME

4 TRUST.—The National Maritime Trust shall—

5 (A) widely publicize the call for nomina6 tions in its newsletter and by any other appro7 priate means;

8 (B) collect nominations and categorize the

9 nominations as set forth in subsection (b); and

10 (C) submit the nominations to the Sec11 retary with recommendations as to appoint12 ments by category as set forth in subsection

13 (b).

14 (3) TERMS OF APPOINTMENTS.—The members

15 of the Committee shall be appointed for staggered

16 terms of not more than three years. If a vacancy oc17 curs, the Secretary shall appoint a replacement for

18 the balance of the vacated term within sixty days.

19 (g) GOVERNMENT REPRESENTATIVES.—There shall

20 be nonvoting government representatives appointed to

21 serve as advisors to the Committee as follows—

22 (1) at least one representative from the Na23 tional Maritime Initiative of the National Park Serv24 ice;
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1 (2) one representative each from the Depart2 ment of Transportation, Department of Navy, and

3 the National Oceanographic and Atmospheric Ad4 ministration; and

5 (3) other representatives from interested gov6 ernment agencies as the Secretary deems appro7 priate.

8 (h) COMMITTEE INDEPENDENCE.—No officer or

9 agency of the United States shall have any authority to

10 require the Committee to submit its legislative rec11 ommendations, or testimony, or comments on legislation

12 to any officer or agency of the United States for approval,

13 comments, or review, prior to the submission of rec14 ommendations, testimony, or comments to Congress. In

15 instances in which the Committee voluntarily seeks to ob16 tain the comments or review of any officer or agency of

17 the United States, the Committee shall include a descrip18 tion of those actions in its legislative recommendations,

19 testimony, or comments on legislation that it transmits to

20 Congress.

21 (i) SECRETARIAL ASSISTANCE.—To assist the Com22 mittee in discharging its responsibilities under this Act,

23 the Secretary at the request of the Chairman, shall provide

24 a report to the Committee detailing the significance of any

25 maritime historic resource, describing the effects of any
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1 proposed undertaking on the affected resource, and rec2 ommending measures to avoid, minimize, or mitigate ad3 verse effects.

4 (j) COMPENSATION.—A member of the Committee

5 who is not an officer or employee of the United States

6 shall serve without pay, and a member of the Committee

7 who is an officer or employee of the United States shall

8 receive no additional pay, on account of the member’s

9 service on the Committee. While away from home or regu10 lar place of business in the performance of service for the

11 Committee, a member of the Committee shall be allowed

12 travel expenses, including per diem in lieu of subsistence,

13 in the same manner as a person employed intermittently

14 in the Government service is allowed expenses under sec15 tion 5703 of title 5, United States Code.

16 (k) FACA EXEMPTION.—The Committee is exempt

17 from the provisions of the Federal Advisory Committee

18 Act (86 Stat. 770).

19 SEC. 8. INTERIM PROJECTS.

20 (a) DETERMINATION BY COMMITTEE.—Within six

21 months of the date of enactment of this Act, the Commit22 tee, in consultation with the Secretary, shall determine if

23 any projects exist that meet the criteria under subsection

24 (d) of this section.
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1 (b) DESIGNATION BY SECRETARY.—The Secretary

2 shall designate those projects determined qualified under

3 subsection (a) of this section to receive a grant prior to

4 issuance of the implementing regulations.

5 (c) ISSUANCE OF GRANTS.—Upon scrapping of a ves6 sel under section 6 of this Act, the Secretary shall disburse

7 funds derived under that section to those projects des8 ignated in subsection (b) of this section in the amounts

9 approved in the grant for each project.

10 (d) INTERIM CRITERIA.—To qualify for an interim

11 grant, a grantee must meet the criteria under section 5(e)

12 of this Act and—

13 (1) be a 501(c)(3) organization;

14 (2) demonstrate that the project needs acceler15 ated consideration to contribute to a significant na16 tional event relating to the maritime heritage of the

17 United States;

18 (3) establish that one-half of the matching

19 funds are in cash;

20 (4) demonstrate that the project for which

21 funding is sought is national in scope and edu22 cational in nature; and

23 (5) show that the proposed project is supported

24 by a broad-based membership program or group of

25 donors.
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1 SEC. 9. AUDITS OF ACCOUNTS.

2 (a) INDEPENDENT AUDIT.—The accounts of the Na3 tional Maritime Trust shall be audited annually in accord4 ance with generally accepted auditing standards by inde5 pendent certified public accountants or independent li6 censed public accountants certified or licensed by a regu7 latory authority of a State or other political subdivision

8 of the United States. The audits shall be conducted at a

9 place or places where the accounts of the organization are

10 normally kept. All books, accounts, financial records, re11 ports, files, and all other papers, things, or property be12 longing to or in use by the Alliance and necessary to facili13 tate the audits, and full facilities for verifying transactions

14 with any assets held by depositories, fiscal agents, and

15 custodians, shall be afforded to that person or persons.

16 The report of this independent audit shall be included in

17 the report to Congress required by section 3 of this Act.

18 (b) GENERAL ACCOUNTING OFFICE AUDIT.—The fi19 nancial transactions of the National Maritime Trust for

20 each fiscal year may be audited by the General Accounting

21 Office in accordance with the principles and procedures

22 and under rules and regulations as may be prescribed by

23 the Comptroller General of the United States. Any audit

24 shall be conducted at the place or places where accounts

25 of the organization are normally kept. The representatives

26 of the General Accounting Office shall have access to all
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1 books, accounts, records, reports, and files, and all other

2 papers, things, or property belonging to or in use by the

3 Alliance, pertaining to its financial transactions and nec4 essary to facilitate the audit, and shall be afforded full

5 facilities for verifying transactions with any assets held by

6 depositories, fiscal agents, and custodians. All books, ac7 counts, records, reports, files, papers, and property of the

8 organization shall remain in the possession and custody

9 of the organization.

10 SEC. 10. DEFINITIONS.

11 (a) ‘‘Committee’’ means the Maritime Heritage

12 Grants Committee established under section 5.

13 (b) ‘‘Secretary’’ means the Secretary of the Interior.

14 SEC. 11. REGULATIONS.

15 The Secretary, after consultation with the maritime

16 community, shall promulgate regulations within one year

17 of the date of enactment of this Act to establish terms

18 of office for committee membership, granting priorities,

19 the method of solicitation and review of grant proposals,

20 criteria for review of grant proposals, administrative re21 quirements, reporting and record keeping requirements,

22 and any other requirements as the Secretary deems appro23 priate.

Æ

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