Ocean Shipping Reform Act of 2021
Bill: H.R.4996 | Sponsor: Rep. Garamendi, John (D-CA)
Policy area: Transportation and Public Works

Summary:
Ocean Shipping Reform Act of 2021
This bill revises provisions related to ocean shipping policies and is designed to support the growth and development of U.S. exports and promote reciprocal trade in the common carriage of goods by water in the foreign commerce of the United States.
Among other provisions, the bill

To amend title 46, United States Code, with respect to prohibited acts 
 by ocean common carriers or marine terminal operators, and for other 
                               purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Ocean Shipping Reform Act of 2021''.

SEC. 2. PURPOSES.

    Section 40101 of title 46, United States Code, is amended by 
striking paragraphs (2) through (4) and inserting the following:
            ``(2) ensure an efficient and competitive transportation 
        system for the common carriage of goods by water in the foreign 
        commerce of the United States that is, as far as possible, in 
        harmony with fair and equitable international shipping 
        practices;
            ``(3) encourage the development of a competitive and 
        efficient liner fleet of vessels of the United States capable 
        of meeting national security and commerce needs of the United 
        States;
            ``(4) support the growth and development of United States 
        exports through a competitive and efficient system for the 
        common carriage of goods by water in the foreign commerce of 
        the United States and by placing a greater reliance on the 
        marketplace; and
            ``(5) promote reciprocal trade in the common carriage of 
        goods by water in the foreign commerce of the United States.''.

SEC. 3. SERVICE CONTRACTS.

    Section 40502 of title 46, United States Code, is amended--
            (1) in subsection (c)--
                    (A) in paragraph (7) by striking ``; and'' and 
                inserting a semicolon;
                    (B) in paragraph (8) by striking the period and 
                inserting ``; and''; and
                    (C) by adding at the end the following:
            ``(9) any other essential terms or minimum contract 
        requirements that the Federal Maritime Commission determines 
        necessary or appropriate.''; and
            (2) by adding at the end the following:
    ``(g) Service Contract Requirement.--With respect to service 
contracts entered into under this section, a common carrier shall 
establish, observe, and enforce just and reasonable regulations and 
practices relating to essential terms and minimum contract requirements 
the Commission determines are necessary or appropriate under subsection 
(c)(9).''.

SEC. 4. SHIPPING EXCHANGE REGISTRY.

    (a) In General.--Chapter 405 of title 46, United States Code, is 
amended by adding at the end the following:
``Sec. 40504. Shipping exchange registry
    ``(a) In General.--No person may operate a shipping exchange 
involving ocean transportation in the foreign commerce of the United 
States unless the shipping exchange is registered as a national 
shipping exchange under the terms and conditions provided in this 
section and the regulations issued pursuant to this section.
    ``(b) Registration.--A person shall register a shipping exchange by 
filing with the Federal Maritime Commission an application for 
registration in such form as the Commission, by rule, may prescribe 
containing the rules of the exchange and such other information and 
documents as the Commission, by rule, may prescribe as necessary or 
appropriate in the public interest.
    ``(c) Exemption.--The Commission may exempt, conditionally or 
unconditionally, a shipping exchange from registration and licensing 
under this section if the Commission finds that the shipping exchange 
is subject to comparable, comprehensive supervision and regulation by 
the appropriate governmental authorities in the home country of the 
shipping exchange.
    ``(d) Regulations.--In issuing regulations pursuant to subsection 
(a), the Commission shall set standards necessary to carry out subtitle 
IV for registered national shipping exchanges, including the minimum 
requirements for service contracts established under section 40502, and 
issue licenses for registered national shipping exchanges.
    ``(e) Definition.--In this subsection, the term `shipping exchange' 
means a platform, digital, over-the-counter or otherwise, which 
connects shippers with common carriers (both vessel-operating and non-
vessel-operating) for the purpose of entering into underlying 
agreements or contracts for the transport of cargo, by vessel or other 
modes of transportation.''.
    (b) Applicability.--The registration requirement under section 
40504 of title 46, United States Code (as added by this section), shall 
take effect on the date on which the Federal Maritime Commission issues 
regulations required under subsection (d) of such section.
    (c) Clerical Amendment.--The analysis for chapter 405 of title 46, 
United States Code, is amended by adding at the end the following:

``40504. Shipping exchange registry.''.

SEC. 5. DATA COLLECTION.

    (a) In General.--Chapter 411 of title 46, United States Code, is 
amended by adding at the end the following:
``Sec. 41110. Data collection
    ``(a) In General.--Common carriers covered under this chapter shall 
submit to the Federal Maritime Commission a calendar quarterly report 
that describes the total import and export tonnage and the total loaded 
and empty 20-foot equivalent units per vessel (making port in the 
United States, including any territory or possession of the United 
States) operated by such common carrier.
    ``(b) Prohibition on Duplication.--Data required to be reported 
under subsection (a) may not duplicate information--
            ``(1) submitted to the Corps of Engineers pursuant to 
        section 11 of the Act entitled `An Act authorizing the 
        construction, repair, and preservation of certain public works 
        on rivers and harbors, and for other purposes', approved 
        September 22, 1922 (33 U.S.C. 555), by an ocean common carrier 
        acting as a vessel operator; or
            ``(2) submitted pursuant to section 481 of the Tariff Act 
        of 1930 (19 U.S.C. 1481) to U.S. Customs and Border Protection 
        by merchandise importers.''.
    (b) Clerical Amendment.--The analysis for chapter 411 of title 46, 
United States Code, is amended by adding at the end the following:

``41110. Data collection.''.

SEC. 6. NATIONAL SHIPPER ADVISORY COMMITTEE.

    (a) National Shipper Advisory Committee.--Section 42502(c)(3) of 
title 46, United States Code, is amended by inserting ``, including 
customs brokers or freight forwarders'' after ``ocean common carriers'' 
each place such term occurs.
    (b) Analysis.--The analysis for chapter 425 of title 46, United 
States Code, is amended by inserting before the item relating to 
section 42501 the following:

``Sec.''.

SEC. 7. ANNUAL REPORT AND PUBLIC DISCLOSURES.

    (a)  Report on Foreign Laws and Practices.--Section 46106(b) of 
title 46, United States Code, is amended--
            (1) in paragraph (5) by striking ``and'' at the end;
            (2) in paragraph (6)--
                    (A) by striking ``under this part'' and inserting 
                ``under chapter 403''; and
                    (B) by striking the period and inserting a 
                semicolon; and
            (3) by adding at the end the following:
            ``(7) an identification of any anticompetitive or 
        nonreciprocal trade practices by ocean common carriers;
            ``(8) an analysis of any trade imbalance resulting from the 
        business practices of ocean common carriers, including an 
        analysis of the data collected under section 41110; and
            ``(9) an identification of any otherwise concerning 
        practices by ocean common carriers, particularly such carriers 
        that are--
                    ``(A) State-owned or State-controlled enterprises; 
                or
                    ``(B) owned or controlled by, is a subsidiary of, 
                or is otherwise related legally or financially (other 
                than a minority relationship or investment) to a 
                corporation based in a country--
                            ``(i) identified as a nonmarket economy 
                        country (as defined in section 771(18) of the 
                        Tariff Act of ( U.S.C. 1677(18))) as of the 
                        date of enactment of this paragraph;
                            ``(ii) identified by the United States 
                        Trade Representative in the most recent report 
                        required by section 182 of the Trade Act of 
                        1974 (19 U.S.C. 2242) as a priority foreign 
                        country under subsection (a)(2) of that 
                        section; or
                            ``(iii) subject to monitoring by the Trade 
                        Representative under section 306 of the Trade 
                        Act of 1974 (19 U.S.C. 2416).''.
    (b) Public Disclosure.--
            (1) In general.--Section 46106 of title 46, United States 
        Code, is amended by adding at the end the following:
    ``(d) Public Disclosures.--The Federal Maritime Commission shall 
publish, and annually update, on the website of the Commission--
            ``(1) all findings by the Commission of false 
        certifications by common carriers or marine terminal operators 
        under section 41104(a)(15) of this title; and
            ``(2) all penalties imposed or assessed against common 
        carriers or marine terminal operators, as applicable, under 
        sections 41107, 41108, and 41109, listed by each common carrier 
        or marine terminal operator.''.
            (2) Conforming and clerical amendments.--
                    (A) Conforming amendment.--The heading for section 
                46106 of title 46, United States Code, is amended by 
                inserting ``and public disclosure'' after ``report''.
                    (B) Clerical amendment.--The analysis for chapter 
                461 of title 46, United States Code, is amended by 
                striking the item related to section 46106 and 
                inserting the following:

``46106. Annual report and public disclosure.''.

SEC. 8. GENERAL PROHIBITIONS.

    Section 41102 of title 46, United States Code, is amended by adding 
by adding at the end the following:
    ``(d) Prohibition on Retaliation.--A common carrier, marine 
terminal operator, or ocean transportation intermediary, either alone 
or in conjunction with any other person, directly or indirectly, may 
not retaliate against a shipper, a shipper's agent, or a motor carrier 
by refusing, or threatening to refuse, cargo space accommodations when 
available, or resort to other unfair or unjustly discriminatory methods 
because the shipper has patronized another carrier, has filed a 
complaint, or for any other reason.
    ``(e) Certification.--A common carrier or marine terminal operator 
shall not charge any other person demurrage or detention charges under 
a tariff, marine terminal schedule, service contract, or any other 
contractual obligation unless accompanied by an accurate certification 
that such charges comply with all rules and regulations concerning 
demurrage or detention issued by the Commission. The certification 
requirement only applies to the entity that establishes the charge, and 
a common carrier or marine terminal operator that collects a charge on 
behalf of another common carrier or marine terminal operator is not 
responsible for providing the certification, except that an invoice 
from a common carrier or marine terminal operator collecting a charge 
on behalf of another must include a certification from the party that 
established the charge.''.

SEC. 9. PROHIBITION ON UNREASONABLY DECLINING CARGO.

    (a) Unreasonably Declining Cargo.--Section 41104 of title 46, 
United States Code, is amended in subsection (a)--
            (1) by striking paragraph (3) and inserting the following:
            ``(3) engage in practices that unreasonably reduce shipper 
        accessibility to equipment necessary for the loading or 
        unloading of cargo;'';
            (2) in paragraph (12) by striking ``; or'' and inserting a 
        semicolon;
            (3) in paragraph (13) by striking the period and inserting 
        a semicolon; and
            (4) by adding at the end the following:
            ``(14) fail to furnish or cause a contractor to fail to 
        furnish containers or other facilities and instrumentalities 
        needed to perform transportation services, including allocation 
        of vessel space accommodations, in consideration of reasonably 
        foreseeable import and export demands; or
            ``(15) unreasonably decline export cargo bookings if such 
        cargo can be loaded safely and timely, as determined by the 
        Commandant of the Coast Guard, and carried on a vessel 
        scheduled for the immediate destination of such cargo.''.
    (b) Rulemaking on Unreasonably Declining Cargo.--
            (1) In general.--Not later than 90 days after the date of 
        enactment of this Act, the Commission shall initiate a 
        rulemaking proceeding to define the term ``unreasonably 
        decline'' for the purposes of subsection (a)(15) of section 
        41104 of title 46, United States Code (as added by subsection 
        (a)).
            (2) Contents.--The rulemaking under paragraph (1) shall 
        address the unreasonableness of ocean common carriers 
        prioritizing the shipment of empty containers while excluding, 
        limiting, or otherwise reducing the shipment of full, loaded 
        containers when such containers are readily available to be 
        shipped and the appurtenant vessel has the weight and space 
        capacity available to carry such containers if loaded in a safe 
        and timely manner.

SEC. 10. DETENTION AND DEMURRAGE.

    (a) In General.--Section 41104 of title 46, United States Code, is 
further amended by adding at the end the following:
    ``(d) Certification.--Failure of a common carrier to include a 
certification under section 41102(e) alongside any demurrage or 
detention charge shall eliminate any obligation of the charged party to 
pay the applicable charge.
    ``(e) Demurrage and Detention Practices and Charges.--
Notwithstanding any other provision of law and not later than 30 days 
of the date of enactment of this subsection, a common carrier or marine 
terminal operator, shall--
            ``(1) act in a manner consistent with any rules or 
        regulations concerning demurrage or detention issued by the 
        Commission;
            ``(2) maintain all records supporting the assessment of any 
        demurrage or detention charges for a period of 5 years and 
        provide such records to the invoiced party or to the Commission 
        on request; and
            ``(3) bear the burden of establishing the reasonableness of 
        any demurrage or detention charges which are the subject of any 
        complaint proceeding challenging a common carrier or marine 
        terminal operator demurrage or detention charges as unjust and 
        unreasonable.
    ``(f) Penalties for False or Inaccurate Certified Demurrage or 
Detention Charges.--In the event of a finding that the certification 
under section 41102(e) was inaccurate, or false after submission under 
section 41301, penalties under section 41107 shall be applied if the 
Commission determines, in a separate enforcement proceeding, such 
certification was inaccurate or false.''.
    (b) Rulemaking on Detention and Demurrage.--
            (1) In general.--Not later than 120 days after the date of 
        enactment of this Act, the Federal Maritime Commission shall 
        initiate a rulemaking proceeding to establish rules prohibiting 
        common carriers and marine terminal operators from adopting and 
        applying unjust and unreasonable demurrage and detention rules 
        and practices.
            (2) Contents.--The rulemaking under paragraph (1) shall 
        address the issues identified in the final rule published on 
        May 18, 2020, titled ``Interpretive Rule on Demurrage and 
        Detention Under the Shipping Act'' (85 Fed. Reg. 29638), 
        including the following:
                    (A) Establishing clear and uniform definitions for 
                demurrage, detention, cargo availability for retrieval 
                and associated free time, and other terminology used in 
                the rule. The definition for cargo availability for 
                retrieval shall account for government inspections.
                    (B) Establishing that demurrage and detention rules 
                are not independent revenue sources but incentivize 
                efficiencies in the ocean transportation network, 
                including the retrieval of cargo and return of 
                equipment.
                    (C) Prohibiting the consumption of free time or 
                collection of demurrage and detention charges when 
                obstacles to the cargo retrieval or return of equipment 
                are within the scope of responsibility of the carrier 
                or their agent and beyond the control of the invoiced 
                or contracting party.
                    (D) Prohibiting the commencement or continuation of 
                free time unless cargo is available for retrieval and 
                timely notice of cargo availability has been provided.
                    (E) Prohibiting the consumption of free time or 
                collection of demurrage charges when marine terminal 
                appointments are not available during the free time 
                period.
                    (F) Prohibiting the consumption of free time or 
                collection of detention charges on containers when the 
                marine terminal required for return is not open or 
                available.
                    (G) Requiring common carriers to provide timely 
                notice of--
                            (i) cargo availability after vessel 
                        discharge;
                            (ii) container return locations; and
                            (iii) advance notice for container early 
                        return dates.
                    (H) Establishing minimum billing requirements, 
                including timeliness and supporting information that 
                shall be included in or with invoices for demurrage and 
                detention charges that will allow the invoiced party to 
                validate the charges.
                    (I) Requiring common carriers and marine terminal 
                operators to establish reasonable dispute resolution 
                policies and practices.
                    (J) Establishing the responsibilities of shippers, 
                receivers, and draymen with respect to cargo retrieval 
                and equipment return.
                    (K) Clarifying rules for the invoicing of parties 
                other than the shipper for any demurrage, detention, or 
                other similar per container charges, including 
                determining whether such parties should be billed at 
                all.
    (c) Rulemaking on Minimum Service Standards.--Not later than 90 
days after the date of enactment of this Act, the Commission shall 
initiate a rulemaking proceeding to incorporate subsections (d) through 
(f) of 41104 of title 46, United States Code, which shall include the 
following:
            (1) The obligation to adopt reasonable rules and practices 
        related to or connected with the furnishing and allocation of 
        adequate and suitable equipment, vessel space accommodations, 
        containers, and other instrumentalities necessary for the 
        receiving, loading, carriage, unloading and delivery of cargo.
            (2) The duty to perform the contract of carriage with 
        reasonable dispatch.
            (3) The requirement to carry United States export cargo if 
        such cargo can be loaded safely and timely, as determined by 
        the Commandant of the Coast Guard, and carried on a vessel 
        scheduled for such cargo's immediate destination.
            (4) The requirement of ocean common carriers to establish 
        contingency service plans to address and mitigate service 
        disruptions and inefficiencies during periods of port 
        congestion and other market disruptions.

SEC. 11. ASSESSMENT OF PENALTIES.

    (a) Assessment of Penalties.--Section 41109 of title 46, United 
States Code, is amended--
            (1) in subsection (a)--
                    (A) by inserting ``or, in addition to or in lieu of 
                a civil penalty, order the refund of money'' after 
                ``this part''; and
                    (B) by inserting ``or refund of money'' after 
                ``conditions, a civil penalty'';
            (2) in subsection (c) by inserting ``or refund of money'' 
        after ``civil penalty'';
            (3) in subsection (e) by inserting ``or order a refund of 
        money'' after ``civil penalty''; and
            (4) in subsection (f) by inserting ``or who is ordered to 
        refund money'' after ``civil penalty is assessed''.
    (b) Additional Penalties.--Section 41108(a) of title 46, United 
States Code, is amended by striking ``section 41104(1), (2), or (7)'' 
and inserting ``subsections (d) or (e) of section 41102 or paragraph 
(1), (2), (7), (14), or (15) of section 41104(a)''.
    (c) Conforming Amendment.--Section 41309 of title 46, United States 
Code, is amended--
            (1) in subsection (a)--
                    (A) by inserting ``or refund of money'' after 
                ``payment of reparation''; and
                    (B) by inserting ``or to whom the refund of money 
                was ordered'' after ``award was made''; and
            (2) in subsection (b) by inserting ``or refund of money'' 
        after ``award of reparation''.
    (d) Award of Reparations.--Section 41305(c) of title 46, United 
States Code, is amended--
            (1) by inserting ``or (c)'' after ``41102(b)''; and
            (2) by inserting ``, or if the Commission determines that a 
        violation of section 41102(e) was made willfully or knowingly'' 
        after ``of this title''.

SEC. 12. INVESTIGATIONS.

    Section 41302 of title 46, United States Code, is amended by 
striking ``or agreement'' and inserting ``, agreement, fee, or 
charge''.

SEC. 13. INJUNCTIVE RELIEF.

    Section 41307(b) to title 46, United States Code, is amended--
            (1) in paragraph (3)--
                    (A) in the heading by striking ``and third 
                parties''; and
                    (B) by striking the second sentence; and
            (2) by adding at the end the following:
            ``(5) Third party intervention.--The court may allow a 
        third party to intervene in a civil action brought under this 
        section.''.

SEC. 14. TECHNICAL AMENDMENTS.

    (a) Federal Maritime Commission.--The analysis for chapter 461 of 
title 46, United States Code, is amended by striking the first item 
relating to chapter 461.
    (b) Assessment of Penalties.--Section 41109(c) of title 46, United 
States Code, is amended by striking ``section 41104(1) or (2)'' and 
inserting ``paragraph (1) or (2) of section 41104(a)''.
    (c) National Shipper Advisory Committee.--Section 42502(c)(3) of 
title 46, United States Code is amended by striking ``Representation'' 
and all that follows through ``Members'' and inserting 
``Representation.--Members''.

SEC. 15. AUTHORIZATION OF APPROPRIATIONS.

    Section 46108 of title 46, United States Code, is amended by 
striking ``$29,086,888 for fiscal year 2020 and $29,639,538 for fiscal 
year 2021'' and inserting ``$32,603,492 for fiscal year 2022 and 
$35,863,842 for fiscal year 2023''.

SEC. 16. NAS STUDY ON SUPPLY CHAIN INDUSTRY.

    (a) In General.--Not later than 60 days after the date of enactment 
of this Act, the Secretary of Transportation shall seek to enter into 
an agreement with the National Academy of Sciences under which the 
National Academy shall conduct a study on the United States supply 
chain that examines data constraints that impede the flow of maritime 
cargo and add to supply chain inefficiencies and that identifies data 
sharing systems that can be employed to improve the functioning of the 
United States supply chain.
    (b) Contents.--The study required under subsection (a) shall 
include--
            (1) the identification of where bottlenecks or chokepoints 
        are most prominent within the United States supply chain;
            (2) the identification of what common shipping data is 
        created with each hand-off of a container through the United 
        States supply chain and how such data is stored and shared;
            (3) the identification of critical data elements used by 
        any entity covered by subsection (c), including the key 
        elements used for various supply chain business processes;
            (4) a review of the methodology used to store, access, and 
        disseminate shipping data across the United States supply chain 
        and evaluation of the inefficiencies in such methodology;
            (5) an analysis of existing and potential impediments to 
        the free flow of information among entities covered by 
        subsection (c), including--
                    (A) identification of barriers that prevent 
                carriers, terminals, and shippers from having access to 
                commercial data; and
                    (B) any inconsistencies in--
                            (i) terminology used across data elements 
                        connected to the shipment, arrival, and 
                        unloading of a shipping container; and
                            (ii) the classification systems used across 
                        the United States supply chain, including 
                        inconsistencies in the names of entities 
                        covered by subsection (c), geographical names, 
                        and terminology;
            (6) the identification of information to be included in an 
        improved data sharing system designed to plan, execute, and 
        monitor the optimal loading and unloading of maritime cargo; 
        and
            (7) the identification of existing software and data 
        sharing platforms available to facilitate propagation of 
        information to all agents involved in the loading and unloading 
        of maritime cargo and evaluate the effectiveness of such 
        software and platforms if implemented.
    (c) Collection of Information.--In conducting the study required 
under subsection (a), the National Academy of Sciences shall collect 
information from--
            (1) vessel operating common carriers and non-vessel 
        operating common carriers;
            (2) marine terminal operators;
            (3) commercial motor vehicle operators;
            (4) railroad carriers;
            (5) chassis providers;
            (6) ocean transportation intermediaries;
            (7) custom brokers;
            (8) freight forwarders;
            (9) shippers and cargo owners;
            (10) the National Shipper Advisory Committee;
            (11) relevant government agencies, such as the Federal 
        Maritime Commission, the Surface Transportation Board, and the 
        United States Customs and Border Protection;
            (12) to the extent practicable, representatives of foreign 
        countries and maritime jurisdictions outside of the United 
        States; and
            (13) any other entity involved in the transportation of 
        ocean cargo and the unloading of cargo upon arrival at a port.
    (d) Facilitation of Data Sharing.--In carrying out the study under 
subsection (a), the National Academy of Sciences may solicit 
information from any relevant agency relating to the United States 
supply chain.
    (e) Report.--Not later than 18 months after entering into an 
arrangement with the Secretary under subsection (a), the National 
Academy of Sciences shall submit to the Committee on Transportation and 
Infrastructure of the House of Representatives and the Committee on 
Commerce, Science, and Transportation of the Senate, and make available 
on a publicly accessible website, a report containing--
            (1) the study required under subsection (a);
            (2) the information collected under subsections (b) and 
        (c), excluding any personally identifiable information or 
        sensitive business information; and
            (3) any recommendations for--
                    (A) common data standards to be used in the United 
                States supply chain; and
                    (B) policies and protocols that would streamline 
                information sharing across the United States supply 
                chain.

SEC. 17. TEMPORARY EMERGENCY AUTHORITY.

    (a) Public Input on Information Sharing.--
            (1) In general.--Not later than 30 days after the date of 
        enactment of this Act, the Federal Maritime Commission shall 
        issue a request for information seeking public comment 
        regarding--
                    (A) whether congestion of the common carriage of 
                goods has created an emergency situation of a magnitude 
                such that there exists a substantial adverse effect on 
                the competitiveness and reliability of the 
                international ocean transportation supply system;
                    (B) whether an emergency order described in 
                subsection (b) would alleviate such an emergency 
                situation; and
                    (C) the appropriate scope of such an emergency 
                order, if applicable.
            (2) Consultation.--During the public comment period under 
        paragraph (1), the Commission may consult, as the Commission 
        determines to be appropriate, with--
                    (A) other Federal departments and agencies; and
                    (B) persons with expertise relating to maritime and 
                freight operations.
    (b) Authority to Issue Emergency Order Requiring Information 
Sharing.--On making a unanimous determination described in subsection 
(c), the Commission may issue an emergency order requiring any common 
carrier or marine terminal operator to share directly with relevant 
shippers, rail carriers, or motor carriers information relating to 
cargo throughput and availability, in order to ensure the efficient 
transportation, loading, and unloading of cargo to or from--
            (1) any inland destination or point of origin;
            (2) any vessel; or
            (3) any point on a wharf or terminal.
    (c) Description of Determination.--
            (1) In general.--A determination referred to in subsection 
        (b) is a unanimous determination by the Commission that 
        congestion of common carriage of goods has created an emergency 
        situation of a magnitude such that there exists a substantial 
        adverse effect on the competitiveness and reliability of the 
        international ocean transportation supply system.
            (2) Factors for consideration.--In issuing an emergency 
        order under subsection (b), the Commission shall ensure that 
        such order includes parameters relating to temporal and 
        geographic scope, taking into consideration the likely burdens 
        on ocean carriers and marine terminal operators and the likely 
        benefits on congestion relating to the purposes described in 
        section 40101 of title 46, United States Code.
    (d) Petitions for Exception.--
            (1) In general.--A common carrier or marine terminal 
        operator subject to an emergency order issued under this 
        section may submit to the Commission a petition for exception 
        from 1 or more requirements of the emergency order, based on a 
        showing of undue hardship or other condition rendering 
        compliance with such a requirement impractical.
            (2) Determination.--Not later than 21 days after the date 
        on which a petition for exception under paragraph (1) is 
        submitted, the Commission shall determine whether to approve or 
        deny such petition by majority vote.
            (3) Inapplicability pending review.--The requirements of an 
        emergency order that is the subject of a petition for exception 
        under this subsection shall not apply to a petitioner during 
        the period for which the petition is pending.
    (e) Limitations.--
            (1) Term.--An emergency order issued under this section 
        shall remain in effect for a period of not longer than 60 days.
            (2) Renewal.--The Commission may renew an emergency order 
        issued under this section for an additional term by a unanimous 
        determination by the Commission.
    (f) Sunset.--The authority provided by this section shall terminate 
on the date that is 2 years after the date of enactment of this Act.
    (g) Definitions.--In this section:
            (1) Common carrier.--The term ``common carrier'' has the 
        meaning given such term in section 40102 of title 46, United 
        States Code.
            (2) Motor carrier.--The term ``motor carrier'' has the 
        meaning given such term in section 13102 of title 49, United 
        States Code.
            (3) Rail carrier.--The term ``rail carrier'' has the 
        meaning given such term in section 10102 of title 49, United 
        States Code.
            (4) Shipper.--The term ``shipper'' has the meaning given 
        such term in section 40102 of title 46, United States Code.

SEC. 18. DETERMINATION OF BUDGETARY EFFECTS.

    The budgetary effects of this Act, for the purpose of complying 
with the Statutory Pay-As-You-Go Act of 2010, shall be determined by 
reference to the latest statement titled ``Budgetary Effects of PAYGO 
Legislation'' for this Act, submitted for printing in the Congressional 
Record by the Chairman of the House Budget Committee, provided that 
such statement has been submitted prior to the vote on passage.

            Passed the House of Representatives December 8, 2021.

            Attest:

                                             CHERYL L. JOHNSON,

                                                                 Clerk.