| 1 | 1 | | I |
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| 2 | 2 | | 119THCONGRESS |
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| 3 | 3 | | 1 |
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| 4 | 4 | | STSESSION H. R. 667 |
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| 5 | 5 | | To amend title 46, United States Code, to allow transportation of merchandise |
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| 6 | 6 | | in noncontiguous trade on foreign-flag vessels, and for other purposes. |
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| 7 | 7 | | IN THE HOUSE OF REPRESENTATIVES |
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| 8 | 8 | | JANUARY23, 2025 |
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| 9 | 9 | | Mr. C |
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| 10 | 10 | | ASE(for himself and Mr. MOYLAN) introduced the following bill; which |
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| 11 | 11 | | was referred to the Committee on Transportation and Infrastructure, and |
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| 12 | 12 | | in addition to the Committee on Education and Workforce, for a period |
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| 13 | 13 | | to be subsequently determined by the Speaker, in each case for consider- |
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| 14 | 14 | | ation of such provisions as fall within the jurisdiction of the committee |
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| 15 | 15 | | concerned |
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| 16 | 16 | | A BILL |
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| 17 | 17 | | To amend title 46, United States Code, to allow transpor- |
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| 18 | 18 | | tation of merchandise in noncontiguous trade on foreign- |
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| 19 | 19 | | flag vessels, and for other purposes. |
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| 20 | 20 | | Be it enacted by the Senate and House of Representa-1 |
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| 21 | 21 | | tives of the United States of America in Congress assembled, 2 |
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| 22 | 22 | | SECTION 1. SHORT TITLE. 3 |
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| 23 | 23 | | This Act may be cited as the ‘‘Noncontiguous Ship-4 |
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| 24 | 24 | | ping Relief Act of 2024’’. 5 |
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| 25 | 25 | | SEC. 2. TRANSPORTATION OF CERTAIN MERCHANDISE. 6 |
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| 26 | 26 | | (a) I |
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| 27 | 27 | | NGENERAL.—Section 55102 of title 46, United 7 |
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| 28 | 28 | | States Code, is amended by redesignating subsection (c) 8 |
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| 29 | 29 | | VerDate Sep 11 2014 21:15 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H667.IH H667 |
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| 30 | 30 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 2 |
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| 31 | 31 | | •HR 667 IH |
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| 32 | 32 | | as subsection (d) and by inserting after subsection (b) the 1 |
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| 33 | 33 | | following: 2 |
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| 34 | 34 | | ‘‘(c) N |
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| 35 | 35 | | ONCONTIGUOUSTRADEEXEMPTION.— 3 |
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| 36 | 36 | | ‘‘(1) I |
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| 37 | 37 | | N GENERAL.—Subsection (b) shall not 4 |
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| 38 | 38 | | apply with respect to transportation in noncontig-5 |
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| 39 | 39 | | uous trade of merchandise on a foreign qualified 6 |
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| 40 | 40 | | freight vessel for which the Secretary of Transpor-7 |
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| 41 | 41 | | tation has issued a certificate of documentation 8 |
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| 42 | 42 | | under chapter 121. 9 |
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| 43 | 43 | | ‘‘(2) D |
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| 44 | 44 | | EFINITIONS.—In this subsection: 10 |
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| 45 | 45 | | ‘‘(A) F |
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| 46 | 46 | | OREIGN QUALIFIED FREIGHT VES -11 |
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| 47 | 47 | | SEL.—The term ‘foreign qualified freight vessel’ 12 |
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| 48 | 48 | | means a freight vessel (as that term is defined 13 |
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| 49 | 49 | | in section 2101) of not less than 1,000 gross 14 |
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| 50 | 50 | | tons that— 15 |
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| 51 | 51 | | ‘‘(i) was not built in the United States 16 |
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| 52 | 52 | | (or if rebuilt, not rebuilt in the United 17 |
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| 53 | 53 | | States); 18 |
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| 54 | 54 | | ‘‘(ii) is registered in a foreign country; 19 |
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| 55 | 55 | | and 20 |
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| 56 | 56 | | ‘‘(iii) employs United States citizens 21 |
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| 57 | 57 | | to the extent required of vessels registered 22 |
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| 58 | 58 | | under section 12102. 23 |
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| 59 | 59 | | VerDate Sep 11 2014 21:15 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H667.IH H667 |
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| 60 | 60 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 3 |
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| 61 | 61 | | •HR 667 IH |
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| 62 | 62 | | ‘‘(B) NONCONTIGUOUS TRADE .—The term 1 |
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| 63 | 63 | | ‘noncontiguous trade’ has the meaning given 2 |
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| 64 | 64 | | such term in section 53501.’’. 3 |
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| 65 | 65 | | (b) C |
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| 66 | 66 | | OASTWISE ENDORSEMENTS.—Section 4 |
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| 67 | 67 | | 12112(a)(2)(B) of title 46, United States Code, is amend-5 |
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| 68 | 68 | | ed— 6 |
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| 69 | 69 | | (1) in clause (ii), by striking ‘‘or’’; 7 |
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| 70 | 70 | | (2) in clause (iii), by striking ‘‘and’’ and insert-8 |
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| 71 | 71 | | ing ‘‘or’’; and 9 |
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| 72 | 72 | | (3) by adding at the end the following: 10 |
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| 73 | 73 | | ‘‘(iv) is a foreign qualified freight vessel 11 |
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| 74 | 74 | | (as defined in section 55102(c)) used for trans-12 |
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| 75 | 75 | | portation referred to in section 55102(c) for 13 |
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| 76 | 76 | | which the Secretary of Transportation has 14 |
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| 77 | 77 | | issued a certificate of documentation; and’’. 15 |
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| 78 | 78 | | (c) F |
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| 79 | 79 | | OREIGNTRANSFER.—Section 56101(a)(2) of 16 |
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| 80 | 80 | | title 46, United States Code, is amended— 17 |
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| 81 | 81 | | (1) by striking ‘‘Paragraph (1)(A)’’ and insert-18 |
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| 82 | 82 | | ing: 19 |
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| 83 | 83 | | ‘‘(A) F |
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| 84 | 84 | | ISHING VESSEL .—Paragraph 20 |
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| 85 | 85 | | (1)(A)’’; and 21 |
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| 86 | 86 | | (2) by adding at the end the following: 22 |
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| 87 | 87 | | ‘‘(B) F |
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| 88 | 88 | | OREIGN QUALIFIED FREIGHT VES -23 |
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| 89 | 89 | | SEL.—Paragraph (1) does not apply with re-24 |
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| 90 | 90 | | spect to a foreign qualified freight vessel for 25 |
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| 91 | 91 | | VerDate Sep 11 2014 21:15 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H667.IH H667 |
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| 92 | 92 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 4 |
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| 93 | 93 | | •HR 667 IH |
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| 94 | 94 | | which the Secretary has issued a certificate of 1 |
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| 95 | 95 | | documentation after the date of enactment of 2 |
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| 96 | 96 | | the Noncontiguous Shipping Relief Act of 2024 3 |
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| 97 | 97 | | and that is used solely for transportation re-4 |
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| 98 | 98 | | ferred to in section 55102(c). 5 |
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| 99 | 99 | | ‘‘(C) F |
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| 100 | 100 | | OREIGN REGISTRY .—A foreign 6 |
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| 101 | 101 | | qualified freight vessel may be placed under for-7 |
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| 102 | 102 | | eign registry without the approval of the Sec-8 |
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| 103 | 103 | | retary at any time after such vessel is issued a 9 |
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| 104 | 104 | | certificate of documentation. At such time as 10 |
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| 105 | 105 | | such vessel is placed under foreign registry, the 11 |
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| 106 | 106 | | Secretary shall revoke the certificate of docu-12 |
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| 107 | 107 | | mentation issued by the Secretary.’’. 13 |
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| 108 | 108 | | SEC. 3. CITIZENSHIP AND TRANSFER PROVISIONS. 14 |
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| 109 | 109 | | (a) C |
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| 110 | 110 | | ITIZENSHIP OFCORPORATIONS, PARTNERSHIPS, 15 |
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| 111 | 111 | | ANDASSOCIATIONS.—Section 50501 of title 46, United 16 |
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| 112 | 112 | | States Code, is amended by adding at the end the fol-17 |
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| 113 | 113 | | lowing: 18 |
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| 114 | 114 | | ‘‘(e) E |
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| 115 | 115 | | XCEPTIONS.—Subsection (c) and paragraphs 19 |
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| 116 | 116 | | (2) and (3) of subsection (b) shall not apply to a foreign 20 |
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| 117 | 117 | | qualified freight vessel (as such term is defined in section 21 |
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| 118 | 118 | | 55102(c)) used for transportation referred to in section 22 |
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| 119 | 119 | | 55102(c)(2)(B).’’. 23 |
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| 120 | 120 | | (b) A |
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| 121 | 121 | | PPROVAL OFTRANSFER OFREGISTRY OROP-24 |
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| 122 | 122 | | ERATIONUNDERAUTHORITY OF AFOREIGNCOUNTRY OR 25 |
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| 123 | 123 | | VerDate Sep 11 2014 21:15 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H667.IH H667 |
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| 124 | 124 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 5 |
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| 125 | 125 | | •HR 667 IH |
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| 126 | 126 | | FORSCRAPPING IN AFOREIGNCOUNTRY; PENALTIES.— 1 |
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| 127 | 127 | | Section 56101 of title 46, United States Code, is amended 2 |
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| 128 | 128 | | by adding at the end the following: 3 |
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| 129 | 129 | | ‘‘(f) T |
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| 130 | 130 | | RANSFER OFFOREIGNQUALIFIEDFREIGHT 4 |
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| 131 | 131 | | V |
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| 132 | 132 | | ESSELS.—To promote the transfer of foreign qualified 5 |
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| 133 | 133 | | freight vessels to be documented under chapter 121 of this 6 |
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| 134 | 134 | | title for use for transportation referred to in section 7 |
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| 135 | 135 | | 55102(c)(2)(B) of this title, the Secretary may grant ap-8 |
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| 136 | 136 | | proval under subsection (a) with respect to such a vessel 9 |
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| 137 | 137 | | before the date the vessel is documented. 10 |
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| 138 | 138 | | ‘‘(g) F |
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| 139 | 139 | | OREIGNQUALIFIEDFREIGHTVESSELDE-11 |
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| 140 | 140 | | FINED.—In this section, the term ‘foreign qualified freight 12 |
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| 141 | 141 | | vessel’ has the meaning given such term in section 13 |
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| 142 | 142 | | 55102(c) of this title.’’. 14 |
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| 143 | 143 | | SEC. 4. LABOR PROVISIONS. 15 |
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| 144 | 144 | | (a) L |
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| 145 | 145 | | IABILITY FORINJURY ORDEATH OFMASTER 16 |
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| 146 | 146 | | ORCREWMEMBER.—Section 30104(a) of title 46, United 17 |
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| 147 | 147 | | States Code, is amended by adding at the end the fol-18 |
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| 148 | 148 | | lowing: ‘‘In an action brought under this section against 19 |
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| 149 | 149 | | a defendant employer that does not reside or maintain an 20 |
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| 150 | 150 | | office in the United States (including any territory or pos-21 |
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| 151 | 151 | | session of the United States) and that engages in any en-22 |
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| 152 | 152 | | terprise that makes use of one or more ports in the United 23 |
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| 153 | 153 | | States (as defined in section 2101 of this title) jurisdiction 24 |
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| 154 | 154 | | shall be under the district court most proximate to the 25 |
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| 155 | 155 | | VerDate Sep 11 2014 21:15 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H667.IH H667 |
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| 156 | 156 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 6 |
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| 157 | 157 | | •HR 667 IH |
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| 158 | 158 | | place of the occurrence of the personal injury or death that 1 |
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| 159 | 159 | | is the subject of the action.’’. 2 |
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| 160 | 160 | | (b) E |
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| 161 | 161 | | LECTIONTOUNDERPARTICIPATELONGSHORE 3 |
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| 162 | 162 | | ANDHARBORWORKERS’ COMPENSATIONACT.—Section 4 |
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| 163 | 163 | | 30104 of title 46, United States Code, is amended by add-5 |
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| 164 | 164 | | ing at the end the following: 6 |
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| 165 | 165 | | ‘‘(c) P |
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| 166 | 166 | | ARTICIPATION IN ANAUTHORIZEDCOMPENSA-7 |
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| 167 | 167 | | TIONPLAN.—The employer of a master or member of the 8 |
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| 168 | 168 | | crew of a vessel may participate in an authorized com-9 |
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| 169 | 169 | | pensation plan under the Longshore and Harbor Workers’ 10 |
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| 170 | 170 | | Compensation Act (33 U.S.C. 901 et seq.). An employer 11 |
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| 171 | 171 | | that participates in such a plan is subject to such Act. 12 |
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| 172 | 172 | | If an employer participates in an authorized compensation 13 |
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| 173 | 173 | | plan under such Act— 14 |
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| 174 | 174 | | ‘‘(1) a master or crew member employed by 15 |
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| 175 | 175 | | such employer shall be considered to be an employee 16 |
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| 176 | 176 | | for the purposes of such Act; and 17 |
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| 177 | 177 | | ‘‘(2) the liability of that employer under such 18 |
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| 178 | 178 | | Act to the master or crew member, or to any person 19 |
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| 179 | 179 | | otherwise entitled to recover damages from the em-20 |
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| 180 | 180 | | ployer based on the injury, disability, or death of the 21 |
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| 181 | 181 | | master or crew member, shall be exclusive and in 22 |
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| 182 | 182 | | lieu of all other liability.’’. 23 |
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| 183 | 183 | | (c) M |
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| 184 | 184 | | INIMUMREQUIREMENTS.—All vessels, whether 24 |
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| 185 | 185 | | documented in the United States or not, operating in the 25 |
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| 187 | 187 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 7 |
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| 188 | 188 | | •HR 667 IH |
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| 189 | 189 | | coastwise trade of the United States shall be subject to 1 |
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| 190 | 190 | | minimum international labor standards for seafarers 2 |
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| 191 | 191 | | under international agreements in force for the United 3 |
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| 192 | 192 | | States, as determined by the Secretary of Transportation 4 |
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| 193 | 193 | | on the advice of the Secretaries of Labor and Defense. 5 |
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| 194 | 194 | | SEC. 5. REGULATIONS REGARDING VESSELS. 6 |
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| 195 | 195 | | (a) A |
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| 196 | 196 | | PPLICABLEMINIMUMREQUIREMENTS.—Except 7 |
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| 197 | 197 | | as provided in subsection (b), the minimum requirements 8 |
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| 198 | 198 | | for vessels engaging in the transportation of cargo or mer-9 |
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| 199 | 199 | | chandise in the United States coastwise trade shall be the 10 |
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| 200 | 200 | | recognized international standards in force for the United 11 |
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| 201 | 201 | | States (as determined by the Secretary of the department 12 |
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| 202 | 202 | | in which the Coast Guard is operating, in consultation 13 |
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| 203 | 203 | | with any other official of the Federal Government that the 14 |
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| 204 | 204 | | Secretary determines to be appropriate). 15 |
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| 205 | 205 | | (b) C |
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| 206 | 206 | | ONSISTENCY IN APPLICATION OF STAND-16 |
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| 207 | 207 | | ARDS.—In any case in which any minimum requirement 17 |
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| 208 | 208 | | for vessels referred to in subsection (a) establishes a lower 18 |
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| 209 | 209 | | standard than a minimum that is applicable to vessels that 19 |
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| 210 | 210 | | are documented in a foreign country and that are admit-20 |
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| 211 | 211 | | ted to engage in the transportation of cargo and merchan-21 |
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| 212 | 212 | | dise in the United States coastwise trade, the standard 22 |
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| 213 | 213 | | applicable to such vessels that are documented in a foreign 23 |
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| 214 | 214 | | country shall be the standard to be applied to United 24 |
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| 215 | 215 | | States documented vessels. 25 |
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| 217 | 217 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 8 |
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| 218 | 218 | | •HR 667 IH |
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| 219 | 219 | | SEC. 6. ENVIRONMENTAL STANDARDS. 1 |
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| 220 | 220 | | All vessels, whether documented under the laws of the 2 |
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| 221 | 221 | | United States or not, engaging in the United States coast-3 |
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| 222 | 222 | | wise trade shall comply with all applicable United States 4 |
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| 223 | 223 | | and international environmental standards in force for the 5 |
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| 224 | 224 | | United States. 6 |
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| 225 | 225 | | SEC. 7. REQUIREMENTS FOR CERTAIN NONCITIZENS IR-7 |
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| 226 | 226 | | REGULARLY ENGAGING IN DOMESTIC COAST-8 |
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| 227 | 227 | | WISE TRADE. 9 |
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| 228 | 228 | | (a) I |
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| 229 | 229 | | NGENERAL.—Each person or entity that is not 10 |
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| 230 | 230 | | a citizen of the United States, as defined in section 104 11 |
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| 231 | 231 | | of title 46, United States Code, that owns or operates ves-12 |
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| 232 | 232 | | sels that irregularly engage in the United States domestic 13 |
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| 233 | 233 | | coastwise trade shall— 14 |
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| 234 | 234 | | (1) name an agent upon whom process may be 15 |
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| 235 | 235 | | served; 16 |
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| 236 | 236 | | (2) abide by all applicable laws of the United 17 |
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| 237 | 237 | | States, including applicable environmental and tax 18 |
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| 238 | 238 | | laws; and 19 |
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| 239 | 239 | | (3) post evidence of documentation and en-20 |
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| 240 | 240 | | dorsements aboard such vessel indicating the owner 21 |
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| 241 | 241 | | or owners of such vessel, including any person con-22 |
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| 242 | 242 | | trolling vessels and the number of port calls and 23 |
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| 243 | 243 | | coastwise trips made during that calendar year. 24 |
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| 244 | 244 | | (b) P |
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| 245 | 245 | | ERSONSTREATED ASSINGLEEMPLOYER.—For 25 |
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| 246 | 246 | | purposes of paragraph (3) of subsection (a), all persons 26 |
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| 248 | 248 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 9 |
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| 249 | 249 | | •HR 667 IH |
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| 250 | 250 | | treated as a single employer under subsection (a) or (b) 1 |
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| 251 | 251 | | of section 52 of the Internal Revenue Code of 1986 shall 2 |
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| 252 | 252 | | be treated as 1 person. 3 |
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| 253 | 253 | | Æ |
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| 254 | 254 | | VerDate Sep 11 2014 21:15 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6301 E:\BILLS\H667.IH H667 |
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| 255 | 255 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB |
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