448 
‘‘(b) PROGRAM ELEMENTS.—The program shall en-
courage the use of short sea transportation through the 
development and expansion of— 
‘‘(1) documented vessels; 
‘‘(2) shipper utilization; 
‘‘(3) port and landside infrastructure; and 
‘‘(4) marine transportation strategies by State 
and local governments. 
‘‘(c) SHORT SEA TRANSPORTATION ROUTES.—The 
Secretary shall designate short sea transportation routes 
as extensions of the surface transportation system to focus 
public and private efforts to use the waterways to relieve 
landside congestion along coastal corridors. The Secretary 
may collect and disseminate data for the designation and 
delineation of short sea transportation routes. 
‘‘(d) PROJECT DESIGNATION.—The Secretary may 
designate a project to be a short sea transportation project 
if the Secretary determines that the project may— 
‘‘(1) offer a waterborne alternative to available 
landside transportation services using documented 
vessels; and 
‘‘(2) provide transportation services for pas-
sengers or freight (or both) that may reduce conges-
tion on landside infrastructure using documented 
vessels. 
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449 
‘‘(e) ELEMENTS
OF PROGRAM.—For a short sea 
transportation project designated under this section, the 
Secretary of Transportation may— 
‘‘(1) promote the development of short sea 
transportation services; 
‘‘(2) coordinate, with ports, State departments 
of transportation, localities, other public agencies, 
and the private sector and on the development of 
landside facilities and infrastructure to support 
short sea transportation services; and 
‘‘(3) develop performance measures for the 
short sea transportation program. 
‘‘(f) MULTISTATE, STATE AND REGIONAL TRANS-
PORTATION PLANNING.—The Secretary, in consultation 
with Federal entities and State and local governments, 
shall develop strategies to encourage the use of short sea 
transportation for transportation of passengers and cargo. 
The Secretary shall— 
‘‘(1) assess the extent to which States and local 
governments include short sea transportation and 
other marine transportation solutions in their trans-
portation planning; 
‘‘(2) encourage State departments of transpor-
tation to develop strategies, where appropriate, to 
incorporate short sea transportation, ferries, and 
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450 
other marine transportation solutions for regional 
and interstate transport of freight and passengers in 
their transportation planning; and 
‘‘(3) encourage groups of States and multi- 
State transportation entities to determine how short 
sea transportation can address congestion, bottle-
necks, and other interstate transportation chal-
lenges. 
‘‘§ 55602. Cargo and shippers 
‘‘(a) MEMORANDUMS
OF AGREEMENT.—The Sec-
retary of Transportation shall enter into memorandums 
of understanding with the heads of other Federal entities 
to transport federally owned or generated cargo using a 
short sea transportation project designated under section 
55601 when practical or available. 
‘‘(b) SHORT-TERM
INCENTIVES.—The Secretary 
shall consult shippers and other participants in transpor-
tation logistics and develop proposals for short-term incen-
tives to encourage the use of short sea transportation. 
‘‘§ 55603. Financing of short sea transportation 
projects 
‘‘(a) AUTHORITY TO MAKE LOAN GUARANTEE.—The 
Secretary of Transportation, subject to the availability of 
appropriations, may make a loan guarantee for the financ-
ing of the construction, reconstruction, or reconditioning 
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