Ship Agent Licensure Act of 2022
Bill: S.4040 | Sponsor: Sen. Reed, Jack (D-RI)
Policy area: Transportation and Public Works

Summary:
Ship Agent Licensure Act of 2022
This bill revises provisions related to ocean shipping policies.
Specifically, the bill

To amend subtitle IV of title 46, United States Code, with respect to 
                  ship agents, 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 ``Ship Agent Licensure Act of 2022''.

SEC. 2. DEFINITIONS.

    Section 40102 of title 46, United States Code, is amended--
            (1) by redesignating paragraphs (22) through (26) as 
        paragraphs (23) through (27), respectively; and
            (2) by inserting after paragraph (21) the following:
            ``(22) Ship agent.--The term `ship agent' means a person--
                    ``(A) engaged in the business of representing a 
                ship's owner, operator, or charterer (referred to in 
                this paragraph as the `principal') in performing 
                carriage while in a port of the United States; and
                    ``(B) who is responsible to the principal for--
                            ``(i) port entry, berthing, and departure;
                            ``(ii) port husbandry services;
                            ``(iii) crew changes and repatriations;
                            ``(iv) receiving or releasing cargo on 
                        behalf of the principal; or
                            ``(v) interfacing with various Federal 
                        agencies with respect to port safety, supply 
                        chain efficiency, maritime security, and the 
                        environment; and
                    ``(C) who is not owned or controlled by a common 
                carrier or cruise line.''.

SEC. 3. SHIP AGENTS.

    (a) In General.--Title 46, United States Code, is amended by 
inserting after chapter 409 the following:

                       ``CHAPTER 410--SHIP AGENTS

``Sec.
``41001. Definition of Commission.
``41002. License requirement.
``41003. Financial responsibility.
``41004. Suspension or revocation of license.
``Sec. 41001. Definition of Commission
    ``In this chapter, the term `Commission' means the Federal Maritime 
Commission.
``Sec. 41002. License requirement
    ``(a) In General.--Subject to subsection (b), a person in the 
United States shall not advertise, hold oneself out, or act as a ship 
agent or provide ship agent services in the United States unless the 
person is domiciled in the United States and holds a license issued by 
the Commission. The Commission shall issue a license to a person that 
the Commission determines to be qualified by experience and character 
to act as a ship agent.
    ``(b) Exception.--A person whose primary business is the provision 
of ocean transportation by water may provide ship agent services for 
its own account without a ship agent license under this section.
    ``(c) Qualifications.--The Commission shall establish such other 
ship agent qualifications as are necessary. In establishing 
qualifications, the Commission shall consider recognized national and 
international standards for ship agency.
``Sec. 41003. Financial responsibility
    ``(a) In General.--A person may not advertise, hold oneself out, or 
act as a ship agent unless the person furnishes a bond, proof of 
insurance, or other surety in a form and amount determined by the 
Commission to insure financial responsibility.
    ``(b) Scope of Financial Responsibility.--A bond, insurance, or 
other surety obtained under this section--
            ``(1) shall be available to pay any penalty assessed under 
        section 41109 of this title or any order for reparation issued 
        under section 41305 of this title;
            ``(2) may be available to pay any claim against a ship 
        agent arising from its ship agency services--
                    ``(A) with the consent of the insured ship agent 
                and subject to review by the surety company; or
                    ``(B) when the claim is determined valid by the 
                surety company after the ship agent has failed to 
                respond to adequate notice to address the validity of 
                the claim; and
            ``(3) shall be available to pay any judgment for damages 
        against a ship agent arising from its ship agency services, if 
        the claimant has first attempted to resolve the claim under 
        paragraph (2) and the claim has not been resolved within a 
        reasonable period of time.
    ``(c) Regulations on Court Judgments.--The Commission shall 
prescribe regulations for the purpose of protecting the interests of 
claimants, ship agents, and surety companies with respect to the 
process of pursuing claims against ship agent bonds, insurance, or 
sureties through court judgments. The regulations shall provide that a 
judgment for monetary damages may not be enforced except to the extent 
that the damages claimed arise from the ship agency services of the 
insured ship agent, as defined by the Commission.
``Sec. 41004. Suspension or revocation of license
    ``(a) Failure To Maintain Qualifications or To Comply.--The 
Commission, after notice and opportunity for a hearing, shall suspend 
or revoke a ship agent license if the Commission finds that the ship 
agent--
            ``(1) is not qualified to provide ship agency services; or
            ``(2) willfully failed to comply with a provision of this 
        part or with an order or regulation of the Commission.
    ``(b) Failure To Maintain Bond, Proof of Insurance, or Other 
Surety.--The Commission may revoke a ship agent license for failure to 
maintain a bond, proof of insurance, or other surety as required by 
section 41002(a) of this title.''.
    (b) Conforming Amendments for Tables of Chapters.--The table of 
chapters at the beginning of title 46, United States Code, and at the 
beginning of subtitle IV of such title are each amended by inserting 
after the item relating to chapter 409 the following:

``410. Ship Agents..........................................  41001.''.
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