Source: https://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title46-subtitle5-partA&saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGU0Ni1zZWN0aW9uNTAzMDQ%3D%7C%7C%7C0%7Cfalse%7Cprelim&edition=prelim
Timestamp: 2020-02-20 05:27:13
Document Index: 101175394

Matched Legal Cases: ['§1074', '§8', '§3511', '§1', '§12', '§204', '§904', '§12', '§1', '§101', '§1', '§50102', '§8', '§210', '§3', '§12', '§210', '§50103', '§211', '§4', '§12', '§809', '§1604', '§50104', '§8', '§212', '§12', '§50105', '§12', '§12', '§204', '§904', '§12', '§211', '§4', '§12', '§212', '§12', '§50106', '§8', '§12', '§12', '§204', '§904', '§12', '§211', '§4', '§12', '§50107', '§12', '§12', '§204', '§904', '§12', '§50108', '§212', '§1', '§12', '§20', '§50109', '§211', '§4', '§12', '§213', '§2', '§27', '§12', '§3602', '§12', '§12', '§204', '§904', '§12', '§50110', '§8', '§211', '§4', '§12', '§212', '§12', '§20', '§50111', '§8', '§1074', '§12', '§12', '§204', '§904', '§12', '§208', '§36', '§12', '§510', '§7', '§12', '§1211', '§1', '§1', '§3506', '§212', '§1', '§12', '§20', '§50112', '§8', '§8', '§702', '§47', '§1', '§3504', '§2', '§50113', '§8', '§212', '§12', '§403', '§50301', '§12', '§8', '§101', '§12', '§12', '§50302', '§8', '§3512', '§3505', '§8', '§12', '§204', '§904', '§12', '§321', '§4321', '§3505', '§50303', '§8', '§3512', '§202', '§1', '§1', '§12', '§8', '§3515', '§13', '§12', '§204', '§904', '§12', '§202', '§8', '§50305', '§8', '§908', '§334', '§12', '§50306', '§8', '§214', '§3', '§241', '§12', '§20', '§2', '§50307', '§403', '§50501', '§2', '§2', '§38', '§3', '§421', '§905', '§39', '§4', '§50502', '§8', '§2', '§38', '§50503', '§1', '§50504', '§204', '§206', '§34']

[USC02] 46 USC Subtitle V, Part A: General
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46 USC Subtitle V, Part A: General
CHAPTER 501—POLICY, STUDIES, AND REPORTS
Objectives and policy.
Survey of merchant marine.
Determinations of essential services.
Studies of general maritime problems.
Studies and cooperation relating to the construction of vessels.
Studies on the operation of vessels.
Studies on marine insurance.
Studies on cargo carriage and cargo containers.
Miscellaneous studies.
Securing preference to vessels of the United States.
Submission of annual MARAD authorization request.
Use and performance reports by operators of vessels.
2015—Pub. L. 114–92, div. A, title X, §1074(c)(2), Nov. 25, 2015, 129 Stat. 997, substituted "Submission of annual MARAD authorization request" for "Reports to Congress" in item 50111.
(a) Objectives.—It is necessary for the national defense and the development of the domestic and foreign commerce of the United States that the United States have a merchant marine—
(b) Policy.—It is the policy of the United States to encourage and aid the development and maintenance of a merchant marine satisfying the objectives described in subsection (a).
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1556; Pub. L. 111–84, div. C, title XXXV, §3511, Oct. 28, 2009, 123 Stat. 2722.)
50101 46 App.:861. June 5, 1920, ch. 250, §1, 41 Stat. 988; Exec. Order No. 6166, June 10, 1933, §12; June 29, 1936, ch. 858, title II, §204, title IX, §904, 49 Stat. 1987, 2016; Pub. L. 97–31, §12(33), Aug. 6, 1981, 95 Stat. 156.
46 App.:891. May 22, 1928, ch. 675, §1, 45 Stat. 689.
46 App.:1101. June 29, 1936, ch. 858, title I, §101, 49 Stat. 1985; Pub. L. 91–469, §1, Oct. 21, 1970, 84 Stat. 1018.
2009—Subsec. (a)(4). Pub. L. 111–84 inserted "constructed in the United States" after "vessels".
§50102. Survey of merchant marine
(a) In General.—The Secretary of Transportation shall survey the merchant marine of the United States to determine whether replacements and additions are required to carry out the objectives and policy of section 50101 of this title. The Secretary shall study, perfect, and adopt a long-range program for replacements and additions that will result, as soon as practicable, in—
(1) an adequate and well-balanced merchant fleet, including vessels of all types, that will provide shipping service essential for maintaining the flow of foreign commerce by vessels designed to be readily and quickly convertible into transport and supply vessels in a time of national emergency;
(2) ownership and operation of the fleet by citizens of the United States insofar as practicable;
(3) vessels designed to afford the best and most complete protection for passengers and crew against fire and all marine perils; and
(4) an efficient capacity for building and repairing vessels in the United States with an adequate number of skilled personnel to provide an adequate mobilization base.
(b) Cooperation With Secretary of Navy.—In carrying out subsection (a)(1), the Secretary of Transportation shall cooperate closely with the Secretary of the Navy as to national defense requirements.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1557.)
50102 46 App.:1120. June 29, 1936, ch. 858, title II, §210, 49 Stat. 1989; Pub. L. 91–469, §§3, 35(a), Oct. 21, 1970, 84 Stat. 1018, 1035; Pub.L. 97–31, §12(67) (related to §210), Aug. 6, 1981, 95 Stat. 159.
§50103. Determinations of essential services
(a) Essential Services, Routes, and Lines.—
(1) In general.—The Secretary of Transportation shall investigate, determine, and keep current records of the ocean services, routes, and lines from ports in the United States, or in the territories and possessions of the United States, to foreign markets, which the Secretary determines to be essential for the promotion, development, expansion, and maintenance of the foreign commerce of the United States. In making such a determination, the Secretary shall consider and give due weight to—
(E) any other facts and conditions a prudent business person would consider when dealing with the person's own business.
(2) Saint lawrence seaway.—For purposes of paragraph (1), the Secretary shall establish services, routes, and lines that reflect the seasonal closing of the Saint Lawrence Seaway and provide for alternate routing of vessels through a different range of ports during that closing to maintain continuity of service on a year-round basis.
(b) Bulk Cargo Carrying Services.—The Secretary shall investigate, determine, and keep current records of the bulk cargo carrying services that should be provided by vessels of the United States (whether or not operating on particular services, routes, or lines) for the promotion, development, expansion, and maintenance of the foreign commerce of the United States and the national defense or other national requirements.
(c) Types of Vessels.—The Secretary shall investigate, determine, and keep current records of the type, size, speed, method of propulsion, and other requirements of the vessels, including express-liner or super-liner vessels, that should be employed in—
50103(a)(1) 46 App.:1121(a). June 29, 1936, ch. 858, title II, §211(a)–(c), 49 Stat. 1989; Pub. L. 91–469, §§4, 35(a), (b), Oct. 21, 1970, 84 Stat. 1018, 1035; Pub. L. 97–31, §12(67), Aug. 6, 1981, 95 Stat. 159.
50103(a)(2) 46 App.:1213(a) (3d sentence related to 1121(a)). June 29, 1936, ch. 858, title VIII, §809(a) (3d sentence related to 211(a)), as added Pub. L. 97–35, title XVI, §1604, Aug. 13, 1981, 95 Stat. 751.
50103(b) 46 App.:1121(b).
50103(c) 46 App.:1121(c).
§50104. Studies of general maritime problems
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1558.)
50104 46 App.:1122(a). June 29, 1936, ch. 858, title II, §212(a), 49 Stat. 1990; Aug. 6, 1981, Pub. L. 97–31, §12(69), 95 Stat. 159.
§50105. Studies and cooperation relating to the construction of vessels
(a) Relative Costs and New Designs.—The Secretary of Transportation shall investigate, determine, and keep current records of—
(1) the relative cost of construction of comparable vessels in the United States and in foreign countries; and
(2) new designs, new methods of construction, and new types of equipment for vessels.
(b) Rules, Classifications, and Ratings.—The Secretary shall examine the rules under which vessels are constructed abroad and in the United States and the methods of classifying and rating the vessels.
(c) Collaboration With Owners and Builders.—The Secretary shall collaborate with vessel owners and shipbuilders in developing plans for the economical construction of vessels and their propelling machinery, of most modern economical types, giving thorough consideration to all well-recognized means of propulsion and taking into account the benefits from standardized production where practicable and desirable.
(d) Express-Liner and Super-Liner Vessels.—The Secretary shall study and cooperate with vessel owners in devising means by which there may be constructed, by or with the aid of the United States Government, express-liner or super-liner vessels comparable to those of other nations, especially with a view to their use in a national emergency, and the use of transoceanic aircraft service in connection with or in lieu of those vessels.
50105(a)(1) 46 App.:811 (1st sentence words before 1st comma). Sept. 7, 1916, ch. 451, §12 (1st sentence words before 1st comma, 2d sentence words before 2d comma), 39 Stat. 732; Ex. Ord. No. 6166, §12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, §204, title IX, §904, 49 Stat. 1987, 2016; Pub. L. 97–31, §12(27), Aug. 6, 1981, 95 Stat. 155.
46 App.:1121(d). June 29, 1936, ch. 858, title II, §211(d), (j) (words before 1st semicolon), 49 Stat. 1989; Pub. L. 91–469, §§4(2), 35(a), Oct. 21, 1970, 84 Stat. 1018, 1035; Pub. L. 97–31, §12(67), Aug. 6, 1981, 95 Stat. 159.
50105(a)(2) 46 App.:1121(j) (words before 1st semicolon).
50105(b) 46 App.:811 (2d sentence words before 2d comma).
50105(c) 46 App.:1122(c). June 29, 1936, ch. 858, title II, §212(b)(2), (c), 49 Stat. 1990; Pub. L. 97–31, §12(69), Aug. 6, 1981, 95 Stat. 159.
50105(d) 46 App.:1122(b)(2).
§50106. Studies on the operation of vessels
(a) Relative Costs.—The Secretary of Transportation shall investigate, determine, and keep current records of the relative cost of marine insurance, maintenance, repairs, wages and subsistence of officers and crews, and all other items of expense, in the operation of comparable vessels under the laws and regulations of the United States and those of the foreign countries whose vessels are substantial competitors of American vessels.
(b) Shipyards.—The Secretary shall investigate, determine, and keep current records of the number, location, and efficiency of shipyards in the United States.
(c) Navigation Laws.—The Secretary shall examine the navigation laws and regulations of the United States and make such recommendations to Congress as the Secretary considers proper for the amendment, improvement, and revision of those laws and for the development of the merchant marine of the United States.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1559.)
50106(a) 46 App.:811 (1st sentence words after 1st comma). Sept. 7, 1916, ch. 451, §12 (1st sentence words after 1st comma, 3d sentence), 39 Stat. 732; Ex. Ord. No. 6166, §12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, §204, title IX, §904, 49 Stat. 1987, 2016; Pub. L. 97–31, §12(27), Aug. 6, 1981, 95 Stat. 155.
46 App.:1121(e). June 29, 1936, ch. 858, title II, §211(e), (g), 49 Stat. 1989; Pub. L. 91–469, §§4(2), 5, 35(a), Oct. 21, 1970, 84 Stat. 1018, 1035; Pub. L. 97–31, §12(67), Aug. 6, 1981, 95 Stat. 159.
50106(b) 46 App.:1121(g).
50106(c) 46 App.:811 (3d sentence).
In subsection (b), the words "existing on June 29, 1936, or thereafter built" are omitted as obsolete.
§50107. Studies on marine insurance
(1) examine into the subject of marine insurance, the number of companies in the United States, domestic and foreign, engaging in marine insurance, the extent of the insurance on hulls and cargoes placed or written in the United States, and the extent of reinsurance of American maritime risks in foreign companies; and
(2) ascertain what steps may be necessary to develop an ample marine insurance system as an aid in the development of the merchant marine of the United States.
50107 46 App.:811 (2d sentence words after 2d comma). Sept. 7, 1916, ch. 451, §12 (2d sentence words after 2d comma), 39 Stat. 732; Ex. Ord. No. 6166, §12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, §204, title IX, §904, 49 Stat. 1987, 2016; Pub. L. 97–31, §12(27), Aug. 6, 1981, 95 Stat. 155.
§50108. Studies on cargo carriage and cargo containers
(a) Studies.—The Secretary of Transportation shall study—
(1) the methods of encouraging the development and implementation of new concepts for the carriage of cargo in the domestic and foreign commerce of the United States; and
(2) the economic and technological aspects of the use of cargo containers as a method of carrying out the policy in section 50101 of this title.
(b) Restriction.—In carrying out subsection (a) and the policy in section 50101 of this title, the United States Government may not give preference as between carriers based on the length, height, or width of cargo containers or the length, height, or width of cargo container cells. This restriction applies to all existing container vessels and any container vessel to be constructed or rebuilt.
50108 46 App.:1122(f). June 29, 1936, ch. 858, title II, §212(f); as added Pub. L. 90–268, §1, Mar. 16, 1968, 82 Stat. 49; Pub. L. 97–31, §12(69), Aug. 6, 1981, 95 Stat. 159; Pub. L. 98–237, §20(c), Mar. 20, 1984, 98 Stat. 90.
§50109. Miscellaneous studies
(a) Foreign Subsidies.—The Secretary of Transportation shall investigate, determine, and keep current records of the extent and character of the governmental aid and subsidies granted by foreign governments to their merchant marine.
(b) Laws Applicable to Aircraft.—The Secretary shall investigate, determine, and keep current records of the provisions of law relating to shipping that should be made applicable to aircraft engaged in foreign commerce to further the policy in section 50101 of this title, and any appropriate legislation in this regard.
(c) Aid for Cotton, Coal, Lumber, and Cement.—The Secretary shall investigate, determine, and keep current records of the advisability of enactment of suitable legislation authorizing the Secretary, in an economic or commercial emergency, to aid farmers and producers of cotton, coal, lumber, and cement in any section of the United States in the transportation and landing of their products in any foreign port, which products can be carried in dry-cargo vessels by reducing rates, by supplying additional tonnage to any American operator, or by operation of vessels directly by the Secretary, until the Secretary considers the special rate reduction and operation unnecessary for the benefit of those farmers and producers.
(d) Intercoastal and Inland Water Transportation.—The Secretary shall investigate, determine, and keep current records of intercoastal and inland water transportation, including their relation to transportation by land and air.
(e) Obsolete Tonnage and Tramp Service.—The Secretary shall make studies and reports to Congress on—
(1) the scrapping or removal from service of old or obsolete merchant tonnage owned by the United States Government or in use in the merchant marine; and
(2) tramp shipping service and the advisability of citizens of the United States participating in that service with vessels under United States registry.
(f) Mortgage Loans.—The Secretary shall investigate the legal status of mortgage loans on vessel property, with a view to the means of improving the security of those loans and of encouraging investment in American shipping.
50109(a) 46 App.:1121(f). June 29, 1936, ch. 858, title II, §211(f), (h), (i), (j) (words after 2d semicolon), 49 Stat. 1989; Pub. L. 91–469, §§4(2), 35(a), Oct. 21, 1970, 84 Stat. 1018, 1035; Pub. L. 97–31, §12(67), Aug. 6, 1981, 95 Stat. 159.
50109(b) 46 App.:1121(h).
50109(c) 46 App.:1121(i).
50109(d) 46 App.:1121(j) (words after 2d semicolon).
50109(e) 46 App.:1123. June 29, 1936, ch. 858, title II, §213, 49 Stat. 1991; Pub. L. 87–877, §2(c), (d), Oct. 24, 1962, 76 Stat. 1201; Pub. L. 94–273, §27, Apr. 21, 1976, 90 Stat. 380; Pub. L. 97–31, §12(71), Aug. 6, 1981, 95 Stat. 159; Pub. L. 105–85, div. C, title XXXVI, §3602, Nov. 18, 1997, 111 Stat. 2075.
50109(f) 46 App.:811 (4th sentence). Sept. 7, 1916, ch. 451, §12 (4th sentence), 39 Stat. 732; Ex. Ord. No. 6166, §12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, §204, title IX, §904, 49 Stat. 1987, 2016; Pub. L. 97–31, §12(27), Aug. 6, 1981, 95 Stat. 155.
§50110. Securing preference to vessels of the United States
(a) Possibilities of Promoting Carriage.—The Secretary of Transportation shall investigate, determine, and keep current records of the possibilities of promoting the carriage of United States foreign trade in vessels of the United States.
(b) Inducements to Importers and Exporters.—The Secretary shall study and cooperate with vessel owners in devising means by which the importers and exporters of the United States can be induced to give preference to vessels of the United States.
(c) Liaison With Agencies and Organizations.—The Secretary shall establish and maintain liaison with such other agencies of the United States Government, and with such representative trade organizations throughout the United States, as may be concerned, directly or indirectly, with any movement of commodities in the waterborne export and import foreign commerce of the United States, for the purpose of securing preference to vessels of the United States in the shipment of those commodities.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1560.)
50110(a) 46 App.:1121(j) (words between 1st and 2d semicolons). June 29, 1936, ch. 858, title II, §211(j) (words between 1st and 2d semicolons), 49 Stat. 1989; Pub. L. 91–469, §§4(2), 35(a), Oct. 21, 1970, 84 Stat. 1018, 1035; Pub. L. 97–31, §12(67), Aug. 6, 1981, 95 Stat. 159.
50110(b) 46 App.:1122(b)(1). June 29, 1936, ch. 858, title II, §212(b)(1), (d), 49 Stat. 1990; Pub. L. 97–31, §12(69), Aug. 6, 1981, 95 Stat. 159; Pub. L. 98–237, §20(c), Mar. 20, 1984, 98 Stat. 90.
50110(c) 46 App.:1122(d).
§50111. Submission of annual MARAD authorization request
(a) Submission of Legislative Proposal.—Not later than 30 days after the date on which the President submits to Congress a budget for a fiscal year pursuant to section 1105 of title 31, the Secretary of Transportation shall submit to the Committee on Armed Services and the Committee on Transportation and Infrastructure of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate the Maritime Administration authorization request for that fiscal year.
(b) Maritime Administration Request Defined.—In this section, the term "Maritime Administration authorization request" means a proposal for legislation that, for a fiscal year—
(1) recommends authorizations of appropriations for the Maritime Administration for that fiscal year, including with respect to matters described in subsection 1 109(j) of title 49 or authorized in subtitle V of this title; and
(2) addresses any other matter with respect to the Maritime Administration that the Secretary determines is appropriate.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1560; Pub. L. 114–92, div. A, title X, §1074(c)(1), Nov. 25, 2015, 129 Stat. 996.)
50111(a) 46 App.:811 (last sentence). Sept. 7, 1916, ch. 451, §12 (last sentence), 39 Stat. 732; Ex. Ord. No. 6166, §12, eff. June 10, 1933; June 29, 1936, ch. 858, title II, §204, title IX, §904, 49 Stat. 1987, 2016; Pub. L. 97–31, §12(27), Aug. 6, 1981, 95 Stat. 155.
46 App.:1118 (related to Secretary). June 29, 1936, ch. 858, title II, §208 (related to Secretary), 49 Stat. 1988; Pub. L. 94–273, §36, Apr. 21, 1976, 90 Stat. 380; Pub. L. 97–31, §12(65), Aug. 6, 1981, 95 Stat. 159.
46 App.:1160(f). June 29, 1936, ch. 858, title V, §510(f), as added Aug. 4, 1939, ch. 417, §7, 53 Stat. 1184; Pub. L. 97–31, §12(91)(A)–(C), Aug. 6, 1981, 95 Stat. 161.
46 App.:1291. June 29, 1936, ch. 858, title XII, §1211, as added Sept. 7, 1950, ch. 906, 64 Stat. 776; Pub. L. 89–348, §1(7), Nov. 8, 1965, 79 Stat. 1310.
50111(b) 46 App.:1118 note. Pub. L. 106–398, §1 [div. C, title XXXV, §3506], Oct. 30, 2000, 114 Stat. 1654, 1654A-494.
50111(c) 46 App.:1122(g). June 29, 1936, ch. 858, title II, §212(g), 49 Stat. 1990; Pub. L. 90–268, §1, Mar. 16, 1968, 82 Stat. 49; Pub. L. 97–31, §12(69), Aug. 6, 1981, 95 Stat. 159; Pub. L. 98–237, §20(c), Mar. 20, 1984, 98 Stat. 90.
In subsection (a), the words "on or before the 1st day of December in each year" in 46 App. U.S.C. 811 (last sentence) are omitted for consistency with the April 1 date in 46 App.:1118. The words "and of the operations of any corporation in which the United States is a stockholder, and the names and compensation of all persons employed by the Secretary of Transportation" in 46 App. U.S.C. 811 (last sentence) are omitted because the provision originally applied to the United States Shipping Board (which was abolished in 1933) and presumably is not intended to apply to the Secretary.
§50112. National Maritime Enhancement Institutes
(a) Designation.—The Secretary of Transportation may designate National Maritime Enhancement Institutes.
(b) Activities.—Activities undertaken by an institute may include—
(1) conducting research about methods to improve the performance of maritime industries;
(c) Application for Designation.—An institution seeking designation as a National Maritime Enhancement Institute shall submit an application under regulations prescribed by the Secretary.
(d) Criteria for Designation.—The Secretary shall designate an institute under this section on the basis of the following criteria:
(1) The demonstrated research and extension resources available to the applicant for carrying out the activities specified in subsection (b).
(2) The ability of the applicant to provide leadership in making national and regional contributions to the solution of both long-range and immediate problems of the domestic maritime industry.
(3) The existence of an established program of the applicant encompassing research and training directed to enhancing maritime industries.
(4) The demonstrated ability of the applicant to assemble and evaluate pertinent information from national and international sources and to disseminate results of maritime industry research and educational programs through a continuing education program.
(5) The qualification of the applicant as a nonprofit institution of higher learning.
(e) Financial Awards.—The Secretary may make awards on an equal matching basis to an institute designated under subsection (a) from amounts appropriated. The aggregate annual amount of the Federal share of the awards by the Secretary may not exceed $500,000.
(f) University Transportation Research Funds.—The Secretary may make a grant under section 5505 of title 49 to an institute designated under subsection (a) for maritime and maritime intermodal research under that section as if the institute were a university transportation center. In making a grant, the Secretary, through the Office of the Assistant Secretary for Research and Technology of the Department of Transportation, shall advise the Maritime Administration on the availability of funds for the grants and consult with the Administration on making the grants.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1561; Pub. L. 113–76, div. L, title I, Jan. 17, 2014, 128 Stat. 574.)
50112 46 App.:1121–2. Pub. L. 101–115, §8, Oct. 13, 1989, 103 Stat. 694; Pub. L. 101–595, title VII, §702, Nov. 16, 1990, 104 Stat. 2994; Pub. L. 102–241, §47, Dec. 19, 1991, 105 Stat. 2227; Pub. L. 106–398, §1 [div. C, title XXXV, §3504], Oct. 30, 2000, 114 Stat. 1654, 1654A-493; Pub. L. 108–426, Nov. 30, 2004, §2(c)(4), 118 Stat. 2424.
"Office of the Assistant Secretary for Research and Technology of the Department of Transportation" substituted for "Research and Innovative Technology Administration" in subsec. (f) on authority of title I of div. L of Pub. L. 113–76, set out in part as a note under former section 112 of Title 49, Transportation.
§50113. Use and performance reports by operators of vessels
(a) Filing Requirement.—The Secretary of Transportation by regulation may require the operator of a vessel in the waterborne foreign commerce of the United States to file such report, account, record, or memorandum on the use and performance of the vessel as the Secretary considers desirable to assist in carrying out this subtitle. The report, account, record, or memorandum shall be signed and verified, and be filed at the times and in the manner, as provided by regulation.
(b) Civil Penalty.—An operator not filing a report, account, record, or memorandum required by the Secretary under this section is liable to the United States Government for a civil penalty of $50 for each day of the violation. A penalty imposed under this section on the operator of a vessel constitutes a lien on the vessel involved in the violation. A civil action in rem to enforce the lien may be brought in the district court of the United States for any district in which the vessel is found. The Secretary may remit or mitigate any penalty imposed under this section.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1562.)
50113 46 App.:1122a. June 29, 1936, ch. 858, title II, §212(A), as added June 25, 1956, ch. 437, 70 Stat. 332; Aug. 6, 1981, Pub. L. 97–31, §12(70), 95 Stat. 159.
CHAPTER 503—ADMINISTRATIVE
Vessel Operations Revolving Fund.
Operating property and extending term of notes.
Sale and transfer of property.
Appointment of trustee or receiver and operation of vessels.
Requiring testimony and records in investigations.
Maritime environmental and technical assistance program.
2012—Pub. L. 112–213, title IV, §403(b), Dec. 20, 2012, 126 Stat. 1570, added item 50307.
§50301. Vessel Operations Revolving Fund
(a) In General.—There is a "Vessel Operations Revolving Fund" for use by the Secretary of Transportation in carrying out duties and powers related to vessel operations, including charter, operation, maintenance, repair, reconditioning, and improvement of merchant vessels under the jurisdiction of the Secretary. The Fund has a working capital of $20,000,000, to remain available until expended.
(b) Relationship to Other Laws.—Notwithstanding any other law, rates for shipping services provided under the Fund shall be prescribed by the Secretary and the Fund shall be credited with receipts from vessel operations conducted under the Fund. Sections 1(a) and (c), 3(c), and 4 of the Act of March 24, 1943 (50 App. U.S.C. 1291(a), (c), 1293(c), 1294),1 apply to those operations and to seamen employed through general agents as employees of the United States Government. Notwithstanding any other law on the employment of persons by the Government, the seamen may be employed in accordance with customary commercial practices in the maritime industry.
(c) Advancements.—With the approval of the Director of the Office of Management and Budget, the Secretary may advance amounts the Secretary considers necessary, but not more than 2 percent of vessel operating expenses, from the Fund to the appropriation "Salaries and Expenses" in carrying out duties and powers related to vessel operations, without regard to the limitations on amounts stated in that appropriation.
(d) Transfers.—The unexpended balances of working funds or of allocation accounts established after January 1, 1951, for the activities provided for in subsection (a), and receipts received from those activities, may be transferred to the Fund, which shall be available for the purposes of those working funds or allocation accounts.
(1) In general.—Amounts made available to the Secretary for maritime activities by this section or any other law may not be used to pay for a vessel described in paragraph (2) unless the compensation to be paid is computed under section 56303 of this title as that section is interpreted by the Comptroller General.
(2) Applicable vessels.—Paragraph (1) applies to a vessel—
(3) Nonapplicable vessels.—Paragraph (1) does not apply to a vessel under a construction-differential subsidy contract.
(f) Availability for Additional Purposes.—The Fund is available for—
(g) Expenses and Receipts Related to Charter Operations.—The Fund is available for expenses incurred in activating, repairing, and deactivating merchant vessels chartered under the jurisdiction of the Secretary. Receipts from charter operations of Government-owned vessels under the jurisdiction of the Secretary shall be credited to the Fund.
50301(a) 46 App.:1241a (1st sentence). June 2, 1951, ch. 121 (pars. under heading "Vessel Operations Revolving Fund"), 65 Stat. 59; Pub. L. 97–31, §12(128), Aug. 6, 1981, 95 Stat. 165; Pub. L. 108–271, §8(b), July 7, 2004, 118 Stat. 814.
50301(b) 46 App.:1241a (2d sentence words before 2d proviso).
50301(c) 46 App.:1241a (2d sentence 2d proviso).
50301(d) 46 App.:1241a (2d sentence last proviso).
50301(e) 46 App.:1241a (last sentence).
50301(f) 46 App.:1241b. June 20, 1956, ch. 415, title I, §101 (4th complete par. on p. 319), 70 Stat. 319; Pub. L. 97–31, §12(129), Aug. 6, 1981, 95 Stat. 165.
50301(g) 46 App.:1241c. Aug. 1, 1956, ch. 846, 70 Stat. 897; Pub. L. 97–31, §12(130), Aug. 6, 1981, 95 Stat. 165.
In subsection (c), the words "Director of the Office of Management and Budget" are substituted for "Bureau of the Budget" in the Act of June 2, 1951 (ch. 121, 65 Stat. 59), because of sections 101 and 102 of Reorganization Plan No. 2 of 1970 (5 App. U.S.C.) and 31 U.S.C. ch. 5. The words "for the purposes of that appropriation" are omitted for clarity and for consistency in the subsection.
In subsection (d), the words "notwithstanding any other provisions of law" and "and consolidated with" are omitted as unnecessary.
In subsection (e), in paragraph (1), the words "Comptroller General" are substituted for "Government Accountability Office" for consistency in the revised title. Paragraph (3) is substituted for "(except in cases where section 1212 of this Appendix is applicable)" because section 1212 applies to all vessels under a construction-differential subsidy contract.
In subsection (f), the words "On and after June 20, 1956", and the last proviso in the 4th complete par. at 70 Stat. 319 (46 App. U.S.C. 1241b note), are omitted as obsolete.
In subsection (g), the words "beginning July 1, 1956" and "after July 1, 1956" are omitted as obsolete.
Sections 1(a) and (c), 3(c), and 4 of the Act of March 24, 1943 (50 App. U.S.C. 1291(a), (c), 1293(c), 1294), referred to in subsec. (b), are sections 1(a) and (c), 3(c), and 4 of act Mar. 24, 1943, ch. 26, 57 Stat. 45, 47, 49, 51, which were formerly classified to sections 1291(a), (c), 1293(c), and 1294 of the former Appendix to Title 50, War and National Defense, prior to editorial reclassification as sections 4701(a), (c), 4703(c), and 4704, respectively, of Title 50.
§50302. Port development
(a) General Requirements.—With the objective of promoting, encouraging, and developing ports and transportation facilities in connection with water commerce over which the Secretary of Transportation has jurisdiction, the Secretary, in cooperation with the Secretary of the Army, shall—
(1) investigate territorial regions and zones tributary to ports, taking into consideration the economies of transportation by rail, water, and highway and the natural direction of the flow of commerce;
(2) investigate the causes of congestion of commerce at ports and applicable remedies;
(3) investigate the subject of water terminals, including the necessary docks, warehouses, and equipment, to devise and suggest the types most appropriate for different locations and for the most expeditious and economical transfer or interchange of passengers or property between water carriers and rail carriers;
(4) consult with communities on the appropriate location and plan of construction of wharves, piers, and water terminals;
(5) investigate the practicability and advantages of harbor, river, and port improvements in connection with foreign and coastwise trade; and
(6) investigate any other matter that may tend to promote and encourage the use by vessels of ports adequate to care for the freight that naturally would pass through those ports.
(b) Submission of Findings to Surface Transportation Board.—After an investigation under subsection (a), if the Secretary of Transportation believes that the rates or practices of a rail carrier subject to the jurisdiction of the Surface Transportation Board are detrimental to the objective specified in subsection (a), or that new rates or practices, new or additional port terminal facilities, or affirmative action by a rail carrier is necessary to promote that objective, the Secretary may submit findings to the Board for action the Board considers appropriate under existing law.
(1) Establishment of program.—The Secretary of Transportation, through the Maritime Administrator, shall establish a port infrastructure development program for the improvement of port facilities as provided in this subsection.
(2) Authority of the administrator.—In order to carry out any project under the program established under paragraph (1), the Administrator may—
(A) receive funds provided for the project from Federal, non-Federal, and private entities that have a specific agreement or contract with the Administrator to further the purposes of this subsection;
(B) coordinate with other Federal agencies to expedite the process established under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) for the improvement of port facilities to improve the efficiency of the transportation system, to increase port security, or to provide greater access to port facilities;
(C) seek to coordinate all reviews or requirements with appropriate local, State, and Federal agencies; and
(D) provide such technical assistance and financial assistance, including grants, to port authorities or commissions or their subdivisions and agents as needed for project planning, design, and construction.
(A) Establishment.—There is a Port Infrastructure Development Fund for use by the Administrator in carrying out projects under the port infrastructure development program. The Fund shall be available to the Administrator—
(i) to administer and carry out projects under the program;
(ii) to receive Federal, non-Federal, and private funds from entities which have specific agreements or contracts with the Administrator; and
(iii) to make refunds for projects that will not be completed.
(B) Credits.—There may be deposited into the Fund—
(i) funds from Federal, non-Federal, and private entities which have agreements or contracts with the Administrator and which shall remain in the Fund until expended or refunded; and
(ii) such amounts as may be appropriated or transferred, subject to subparagraph (C), to the Fund under this subsection.
(i) In general.—Subject to clauses (ii) and (iii), amounts appropriated or otherwise made available for any fiscal year for a marine facility or intermodal facility that includes maritime transportation may be transferred, at the option of the recipient of such amounts, to the Fund and administered by the Administrator as a component of a project under the program.
(ii) Prohibition on transfers.—Except as provided in clause (iii), no funds appropriated or made available under title 23 or chapter 53 of title 49, United States Code, including funds from the Highway Trust Fund (section 9503(c) of the Internal Revenue Code of 1986), funds from the Mass Transit Account of the Highway Trust Fund (section 9503(e) of Internal Revenue Code of 1986), and funds provided for public transportation programs within the mass transit category (as defined in section 250(c)(4)(C) of the Balanced Budget and Emergency Deficit Control Act of 1985), shall be transferred into the Fund.
(I) In general.—Amounts described in subclause (II) are eligible for transfer into the Fund if—
(aa) the recipient of the amounts has a specific agreement or contract with the Administrator;
(bb) the Department of Transportation agency that administers the amounts to be transferred has granted project approval for each component of the project that is to be funded using such amounts;
(cc) the Department of Transportation agency that administers the amounts to be transferred and the Maritime Administration agree to the transfer through a signed Memorandum of Understanding; and
(dd) the amounts will be used only to carry out the project for which funds were approved, and in accordance with any conditions governing the amounts under title 23 or chapter 53 of title 49, United States Code.
(II) Amounts described.—The amounts referred to in subclause (I) are amounts appropriated or made available—
(aa) for loans, loan guarantees, or lines of credit under chapter 6 of title 23, United States Code, for a project eligible under such chapter to facilitate direct intermodal exchange, transfer, and access into and out of a port as defined under section 601(a)(8)(D)(iii) of such title, as in effect on the date of enactment of this subsection; or
(bb) for projects under title XII of division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5).
(D) Limitation on statutory construction.—Nothing in this section shall be construed to alter or otherwise affect existing authorities to conduct port infrastructure programs in Hawaii (as authorized by section 9008 of Public Law 109–59), Alaska (as authorized by section 10205 of Public Law 109–59), or Guam (as authorized by section 3512 of Public Law 110–417).
(4) Authorization of appropriations.—There are authorized to be appropriated to the Fund such sums as may be necessary to carry out the program, taking into account amounts received under paragraph (3)(A)(ii).
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1564; Pub. L. 111–84, div. C, title XXXV, §3512, Oct. 28, 2009, 123 Stat. 2722; Pub. L. 113–66, div. C, title XXXV, §3505(b), Dec. 26, 2013, 127 Stat. 1086.)
50302(a) 46 App.:867 (words before proviso). June 5, 1920, ch. 250, §8, 41 Stat. 992; Exec. Order No. 6166, June 10, 1933, §12; June 29, 1936, ch. 858, title II, §204, title IX, §904, 49 Stat. 1987, 2016; Pub. L. 97–31, §12(40), Aug. 6, 1981, 95 Stat. 156; Pub. L. 104–88, §321(1), Dec. 29, 1995, 109 Stat. 949.
50302(b) 46 App.:867 (proviso).
In subsection (a), before paragraph (1), the words "Secretary of the Army" are substituted for "Secretary of War" in section 8 of the Merchant Marine Act, 1920 (ch. 250, 41 Stat. 992) because of section 205(a) of the National Security Act of 1947 (ch. 343, 61 Stat. 501). See 10 U.S.C. 3011 et seq. In paragraph (3), the words "apparatus" and "appliances" are omitted as unnecessary. In paragraph (4), the words "consult with" are substituted for "advise with" as being more grammatical.
In subsection (b), the words "rates or practices" are substituted for "rates, charges, rules, or regulations" for consistency in the revised title and with other titles of the United States Code.
The National Environmental Policy Act of 1969, referred to in subsec. (c)(2)(B), is Pub. L. 91–190, Jan. 1, 1970, 83 Stat. 852, which is classified generally to chapter 55 (§4321 et seq.) of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note set out under section 4321 of Title 42 and Tables.
2013—Subsec. (c)(2)(D). Pub. L. 113–66 inserted "and financial assistance, including grants," after "technical assistance".
Pub. L. 113–66, div. C, title XXXV, §3505(a), Dec. 26, 2013, 127 Stat. 1086, provided that:
"(1) In general.—Under the port infrastructure development program established under section 50302(c) of title 46, United States Code, the Maritime Administrator, in consultation with the Secretary of Defense, may give priority to providing funding to strategic seaports in support of national security requirements.
"(2) Strategic seaport defined.—In this subsection the term 'strategic seaport' means a military port or and [sic] commercial port that is subject to a port planning order or Basic Ordering Agreement (or both) that is projected to be used for the deployment of forces and shipment of ammunition or sustainment supplies in support of military operations."
§50303. Operating property and extending term of notes
(a) General Authority.—The Secretary of Transportation may—
(1) operate or lease docks, wharves, piers, vessels, or real property under the Secretary's control, except that the prior consent of the Secretary of Defense for such use shall be required with respect to any vessel in the Ready Reserve Force or in the National Defense Reserve Fleet which is maintained in a retention status for the Department of Defense; and
(2) make extensions and accept renewals of—
(A) promissory notes and other evidences of indebtedness on property; and
(B) mortgages and other contracts securing the property.
(b) Terms of Transactions.—A transaction under subsection (a) shall be on terms the Secretary considers necessary to carry out the purposes of this subtitle, but consistent with sound business practice.
(c) Availability of Amounts.—Amounts received by the Secretary from a transaction under this section are available for expenditure by the Secretary as provided in this subtitle.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1564; Pub. L. 110–181, div. C, title XXXV, §3512, Jan. 28, 2008, 122 Stat. 594.)
50303 46 App.:1112. June 29, 1936, ch. 858, title II, §202, 49 Stat. 1986; Aug. 26, 1937, ch. 822, §1, 50 Stat. 839; June 23, 1938, ch. 600, §1, 52 Stat. 953; Pub. L. 97–31, §12(60), Aug. 6, 1981, 95 Stat. 158.
In subsection (a), the words "Notwithstanding any other provision of law" are omitted as unnecessary. In paragraph (1), the word "lands" is omitted as included in "real property". In paragraph (2)(A), the word "promissory" is added for clarity. The words "hereby transferred", referring to the transfer under the first sentence of section 202 of the Merchant Marine Act, 1936 (repealed by section 12(60)(A) of Public Law 97–31), are omitted as obsolete.
Subsection (b) is substituted for "in accordance with good business methods and on such terms and conditions as he determines to effectuate the policy of this chapter" and "upon such terms and conditions as he may prescribe in accordance with sound business practice" for consistency and to eliminate unnecessary words.
2008—Subsec. (a)(1). Pub. L. 110–181 inserted "vessels," after "piers," and substituted "control, except that the prior consent of the Secretary of Defense for such use shall be required with respect to any vessel in the Ready Reserve Force or in the National Defense Reserve Fleet which is maintained in a retention status for the Department of Defense;" for "control;".
(a) Authority To Sell.—The Secretary of Transportation may sell property (other than vessels transferred under section 4 of the Merchant Marine Act, 1920 (ch. 250, 41 Stat. 990)) on terms the Secretary considers appropriate.
(b) Transfers From Military to Civilian Control.—When the President considers it in the interest of the United States, the President may transfer to the Secretary of Transportation possession and control of property described in the second paragraph of section 17 of the Merchant Marine Act, 1920 (ch. 250, 41 Stat. 994), as originally enacted, that is possessed and controlled by the Secretary of a military department.
(c) Transfers From Civilian to Military Control.—When the President considers it necessary, the President by executive order may transfer to the Secretary of a military department possession and control of property described in section 17 of the Merchant Marine Act, 1920 (ch. 250, 41 Stat. 994), as originally enacted, that is possessed and controlled by the Secretary of Transportation. The President's order shall state the need for the transfer and the period of the need. When the President decides that the need has ended, the possession and control shall revert to the Secretary of Transportation. The property may not be sold except as provided by law.
(d) Vessel Charters to Other Departments.—On a reimbursable or nonreimbursable basis, as determined by the Secretary of Transportation, the Secretary may charter or otherwise make available a vessel under the jurisdiction of the Secretary to any other department, upon the request by the Secretary of the Department that receives the vessel. The prior consent of the Secretary of Defense for such use shall be required with respect to any vessel in the Ready Reserve Force or in the National Defense Reserve Fleet which is maintained in a retention status for the Department of Defense.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1565; Pub. L. 110–181, div. C, title XXXV, §3515, Jan. 28, 2008, 122 Stat. 595.)
50304(a) 46 App.:872. June 5, 1920, ch. 250, §§13, 17, 41 Stat. 993, 994; Exec. Order No. 6166, June 10, 1933, §12; June 29, 1936, ch. 858, title II, §204, title IX, §904, 49 Stat. 1987, 2016; Pub. L. 97–31, §12(44), (45), Aug. 6, 1981, 95 Stat. 157.
Section 4 of the Merchant Marine Act, 1920, referred to in subsec. (a), is section 4 of act June 5, 1920, ch. 250, 41 Stat. 990, which was classified to section 863 of former Title 46, Shipping, and was repealed by Pub. L. 100–710, title II, §202(4), Nov. 23, 1988, 102 Stat. 4753.
Section 17 of the Merchant Marine Act, 1920 (ch. 250, 41 Stat. 994), as originally enacted, referred to in subsecs. (b) and (c), is section 17 of act June 5, 1920, ch. 250, 41 Stat. 994, which was classified to section 875 of the former Appendix to this title, was subsequently amended, and as amended, was repealed and restated in subsecs. (b) and (c) of this section by Pub. L. 109–304, §§8(b), 19, Oct. 6, 2006, 120 Stat. 1556, 1710.
§50305. Appointment of trustee or receiver and operation of vessels
(a) Appointment of Trustees and Receivers.—
(1) Appointment of secretary.—In a proceeding in a court of the United States in which a trustee or receiver may be appointed for a corporation operating a vessel of United States registry between the United States and a foreign country, on which the United States Government holds a mortgage, the court may appoint the Secretary of Transportation as the sole trustee or receiver (subject to the direction of the court) if—
(A) the court finds that the appointment will—
(i) inure to the advantage of the estate and the parties in interest; and
(ii) tend to carry out the purposes of this subtitle; and
(B) the Secretary expressly consents to the appointment.
(2) Appointment of other person.—The appointment of another person as trustee or receiver without a hearing becomes effective when ratified by the Secretary, but the Secretary may demand a hearing.
(b) Operation of Vessels.—
(1) In general.—If the court is unwilling to allow the trustee or receiver to operate the vessel in foreign commerce without financial aid from the Government pending termination of the proceeding, and the Secretary certifies to the court that the continued operation of the vessel is essential to the foreign commerce of the United States and is reasonably calculated to carry out the purposes of this subtitle, the court may allow the Secretary to operate the vessel, either directly or through a managing agent or operator employed by the Secretary. The Secretary must agree to comply with terms imposed by the court sufficient to protect the parties in interest. The Secretary also must agree to pay all operating losses resulting from the operation. The operation shall be for the account of the trustee or receiver.
(2) Payment of operating losses and other amounts.—The Secretary has no claim against the corporation, its estate, or its assets for operating losses paid by the Secretary, but the Secretary may pay amounts for depreciation the Secretary considers reasonable and other amounts the court considers just. The payment of operating losses and the other amounts and compliance with terms imposed by the court shall be in satisfaction of any claim against the Secretary resulting from the operation of the vessel.
(3) Deemed operation by government.—A vessel operated by the Secretary under this subsection is deemed to be a vessel operated by the United States under chapter 309 of this title.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1565.)
50305 46 App.:1247. June 29, 1936, ch. 858, title IX, §908, as added Pub. L. 95–598, title III, §334, Nov. 6, 1978, 92 Stat. 2680; Pub. L. 97–31, §12(134), Aug. 6, 1981, 95 Stat. 165.
In subsection (a)(1), before subparagraph (A), the words "Notwithstanding any other provision of law" and "bankruptcy, equity, or admiralty" are omitted as unnecessary.
In subsection (a)(2), the words "but the Secretary may demand a hearing" are substituted for "unless the Secretary shall deem a hearing necessary" for clarity.
In subsection (b)(1), the words "subject to the orders of the court" and "comply with the terms imposed by the court" are omitted as unnecessary.
In subsection (b)(2), the words "operating losses paid by the Secretary" are substituted for "the amount of such payments" for clarity.
In subsection (b)(3), the words "vessel operated by the United States" are substituted for "vessel of the United States" for clarity and consistency with chapter 309.
§50306. Requiring testimony and records in investigations
(a) In General.—In conducting an investigation that the Secretary of Transportation considers necessary and proper to carry out this subtitle, the Secretary may administer oaths, take evidence, and subpoena persons to testify and produce documents relevant to the matter under investigation. Persons may be required to attend or produce documents from any place in the United States at any designated place of hearing.
(b) Fees and Mileage.—Persons subpoenaed by the Secretary under subsection (a) shall be paid the same fees and mileage paid to witnesses in the courts of the United States.
(c) Enforcement of Subpoenas.—If a person disobeys a subpoena issued under subsection (a), the Secretary may seek an order enforcing the subpoena from the district court of the United States for the district in which the person resides or does business. Process may be served in the judicial district in which the person resides or is found. The court may issue an order to obey the subpoena and punish a refusal to obey as a contempt of court.
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1566.)
50306 46 App.:1124. June 29, 1936, ch. 858, title II, §214, 49 Stat. 1991; June 23, 1938, ch. 600, §3, 52 Stat. 954; Pub. L. 91–452, title II, §241, Oct. 15, 1970, 84 Stat. 930; Pub. L. 97–31, §12(72), Aug. 6, 1981, 95 Stat. 159; Pub. L. 98–237, §20(a), Mar. 20, 1984, 98 Stat. 89; Pub. L. 98–595, §2, Oct. 30, 1984, 98 Stat. 3132.
In subsection (a), the word "affirmations" is omitted as unnecessary because of the definition of "oath" in 1 U.S.C. 1. The words "or any territory, district, or possession thereof" are omitted as unnecessary because of the definition of "United States" in chapter 1 of the revised title.
§50307. Maritime environmental and technical assistance program
(a) In General.—The Secretary of Transportation may engage in the environmental study, research, development, assessment, and deployment of emerging marine technologies and practices related to the marine transportation system through the use of public vessels under the control of the Maritime Administration or private vessels under United States registry, and through partnerships and cooperative efforts with academic, public, private, and nongovernmental entities and facilities.
(b) Components.—Under this section, the Secretary of Transportation may—
(1) identify, study, evaluate, test, demonstrate, or improve emerging marine technologies and practices that are likely to achieve environmental improvements by—
(A) reducing air emissions, water emissions, or other ship discharges;
(B) increasing fuel economy or the use of alternative fuels and alternative energy (including the use of shore power); or
(C) controlling aquatic invasive species; and
(2) coordinate with the Environmental Protection Agency, the Coast Guard, and other Federal, State, local, or tribal agencies, as appropriate.
(c) Coordination.—Coordination under subsection (b)(2) may include—
(1) activities that are associated with the development or approval of validation and testing regimes; and
(2) certification or validation of emerging technologies or practices that demonstrate significant environmental benefits.
(d) Assistance.—The Secretary of Transportation may accept gifts, or enter into cooperative agreements, contracts, or other agreements with academic, public, private, and nongovernmental entities and facilities to carry out the activities authorized under subsection (a).
(Added Pub. L. 112–213, title IV, §403(a), Dec. 20, 2012, 126 Stat. 1569.)
CHAPTER 505—OTHER GENERAL PROVISIONS
Entities deemed citizens of the United States.
Applicability to receivers, trustees, successors, and assigns.
§50501. Entities deemed citizens of the United States
(a) In General.—In this subtitle, a corporation, partnership, or association is deemed to be a citizen of the United States only if the controlling interest is owned by citizens of the United States. However, if the corporation, partnership, or association is operating a vessel in the coastwise trade, at least 75 percent of the interest must be owned by citizens of the United States.
(b) Additional Requirements for Corporations.—In this subtitle, a corporation is deemed to be a citizen of the United States only if, in addition to satisfying the requirements in subsection (a)—
(1) it is incorporated under the laws of the United States or a State;
(2) its chief executive officer, by whatever title, and the chairman of its board of directors are citizens of the United States; and
(3) no more of its directors are noncitizens than a minority of the number necessary to constitute a quorum.
(c) Determination of Controlling Corporate Interest.—The controlling interest in a corporation is owned by citizens of the United States under subsection (a) only if—
(1) title to the majority of the stock in the corporation is vested in citizens of the United States free from any trust or fiduciary obligation in favor of a person not a citizen of the United States;
(2) the majority of the voting power in the corporation is vested in citizens of the United States;
(3) there is no contract or understanding by which the majority of the voting power in the corporation may be exercised, directly or indirectly, in behalf of a person not a citizen of the United States; and
(4) there is no other means by which control of the corporation is given to or permitted to be exercised by a person not a citizen of the United States.
(d) Determination of 75 Percent Corporate Interest.—At least 75 percent of the interest in a corporation is owned by citizens of the United States under subsection (a) only if—
(1) title to at least 75 percent of the stock in the corporation is vested in citizens of the United States free from any trust or fiduciary obligation in favor of a person not a citizen of the United States;
(2) at least 75 percent of the voting power in the corporation is vested in citizens of the United States;
(3) there is no contract or understanding by which more than 25 percent of the voting power in the corporation may be exercised, directly or indirectly, in behalf of a person not a citizen of the United States; and
(4) there is no other means by which control of more than 25 percent of any interest in the corporation is given to or permitted to be exercised by a person not a citizen of the United States.
50501(a) 46 App.:802(a) (words before 3d comma and after 11th comma). Sept. 7, 1916, ch. 451, §2(a)–(c), 39 Stat. 729; July 15, 1918, ch. 152, §2, 40 Stat. 900; June 5, 1920, ch. 250, §38, 41 Stat. 1008; Pub. L. 86–327, §3, Sept. 21, 1959, 73 Stat. 597; Pub. L. 105–383, title IV, §421, Nov. 13, 1998, 112 Stat. 3439.
46 App.:1244(c). June 29, 1936, ch. 858, title IX, §905(c), 49 Stat. 2016; June 23, 1938, ch. 600, §39(b), 52 Stat. 964; Pub. L. 86–327, §4, Sept. 21, 1959, 73 Stat. 597.
50501(b) 46 App.:802(a) (words between 3d and 11th commas).
50501(c) 46 App.:802(b).
50501(d) 46 App.:802(c).
In subsection (a), the words "and with respect to a corporation under subchapter VI of this chapter, all directors of the corporation are citizens of the United States" in 46 App. U.S.C. 1244(c) are omitted because part A of subchapter VI contains the operating-differential subsidy program which, under 46 App. U.S.C. 1185a, is being phased out, and part B of subchapter VI contains the Maritime Security Fleet program which is being repealed (effective October 1, 2005) and replaced by chapter 531 of title 46 as enacted by the Maritime Security Act of 2003. Thus, subchapter VI is being omitted from the revised title and will instead appear as a note under section 53101. The words "and, in the case of a corporation, partnership, or association operating a vessel on the Great Lakes, or on bays, sounds, rivers, harbors, or inland lakes of the United States the amount of interest required to be owned by a citizen of the United States shall be not less than 75 per centum" in 46 App. U.S.C. 1244(c) are omitted as covered by the 75 percent ownership requirement for operation in the coastwise trade.
In subsection (b)(1), the words "Territory, District, or possession thereof" are omitted because of the definition of "State" in chapter 1 of the revised title.
§50502. Applicability to receivers, trustees, successors, and assigns
(Pub. L. 109–304, §8(b), Oct. 6, 2006, 120 Stat. 1567.)
50502 46 App.:803. Sept. 7, 1916, ch. 451, §2(d), 39 Stat. 729; June 5, 1920, ch. 250, §38, 41 Stat. 1008.
§50503. Oceanographic research vessels
An oceanographic research vessel (as defined in section 2101 of this title) is deemed not to be engaged in trade or commerce.
50503 46 App.:441. Pub. L. 89–99, §§1, 3, 4, July 30, 1965, 79 Stat. 424.
46 App.:443.
46 App.:444.
The definitions of "oceanographic research vessel" and "scientific personnel" in 46 App. U.S.C. 441 are omitted because substantially the same definitions are already in 46 U.S.C. 2101.
The text of 46 App. U.S.C. 444 is omitted because section 10101(3) of title 46, which defines "seaman" for purposes of part G of subtitle II of title 46, already contains an exception for scientific personnel. Title 53 of the Revised Statutes, referred to [in] 46 App. U.S.C. 444, was previously codified principally in part G of subtitle II of title 46.
§50504. Sailing school vessels
(a) Definitions.—In this section, the terms "sailing school instructor", "sailing school student", and "sailing school vessel" have the meaning given those terms in section 2101 of this title.
(b) Not Seamen.—A sailing school student or sailing school instructor is deemed not to be a seaman under—
(1) parts B, F, and G of subtitle II of this title; or
(2) the maritime law doctrines of maintenance and cure or warranty of seaworthiness.
(c) Not Merchant Vessel or Engaged in Trade or Commerce.—A sailing school vessel is deemed not to be—
(1) a merchant vessel under section 11101(a)–(c) of this title; or
(2) a vessel engaged in trade or commerce.
(d) Evidence of Financial Responsibility.—The owner or charterer of a sailing school vessel shall maintain evidence of financial responsibility to meet liability for death or injury to sailing school students and sailing school instructors on a voyage on the vessel. The amount of financial responsibility shall be at least $50,000 for each student and instructor. Financial responsibility under this subsection may be evidenced by insurance or other adequate financial resources.
50504(a) 46 App.:446c. Pub. L. 97–322, title II, §§204, 205, 207, Oct. 15, 1982, 96 Stat. 1589.
50504(b) 46 App.:446.
50504(c) 46 App.:446b. Pub. L. 97–322, title II, §206, Oct. 15, 1982, 96 Stat. 1590; Pub. L. 98–557, §34(b), Oct. 30, 1984, 98 Stat. 2876.
50504(d) 46 App.:446a.
In subsection (b)(1), the words "parts B, F, and G of subtitle II of this title" are substituted for "the provisions of titles 52 and 53 of the Revised Statutes of the United States and any Act amendatory thereof or supplementary thereto" because the relevant provisions of titles 52 and 53 of the Revised Statutes were previously codified in parts B, F, and G of subtitle II of title 46.
In subsection (c), references to 46 App. U.S.C. 291 and 883 are omitted for consistency with section 50503 of the revised title.