118 S1541 IS: Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025
U.S. Senate
2025-04-30
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EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
1.Short title; table of contents(a)This Act may be cited as the Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025
or the SHIPS for America Act of 2025
.(b)The table of contents of this Act is as follows:Sec. 1. Short title; table of contents.Sec. 2. Findings.Sec. 3. Sense of Congress.Sec. 4. Definitions.TITLE I—Oversight and accountabilitySec. 101. Maritime Security Advisor; Maritime Security Board.Sec. 102. Maritime Transportation System National Advisory Committee.Sec. 103. Direct hire authority; authorization for administrative expenses.Sec. 104. Implementation plan.Sec. 105. Federal Maritime Commission report on vessels of the United States.TITLE II—Maritime Security Trust FundSec. 201. Maritime Security Trust Fund established.Sec. 202. Regular tonnage taxes.Sec. 203. Presidential suspension of tonnage taxes and light money.TITLE III—Sealift capabilitySec. 301. Sealift capability.Sec. 302. National Freight Strategic Plan.Sec. 303. Foreign shipping practices; controlled carriers.TITLE IV—Vessels of the United States in international commerceSubtitle A—Strategic sealift programsSec. 401. Strategic Commercial Fleet.Sec. 402. Fleet testing and briefing requirement.Sec. 403. Assessment of undersea cable repair contingencies.Sec. 404. Modification to duties relating to equipment and repair of vessels.Subtitle B—Cargo preferenceSec. 411. United States Government cargo.Sec. 412. Cargo preference implementation regulations.Sec. 413. Cargo preference oversight and audit.Sec. 414. Financing the transportation of agricultural products and other cargo.Sec. 415. Importation from China on American ships.Sec. 416. Priority for vessels of the United States.Sec. 417. Moving cargo on vessels of the United States.Sec. 418. Transportation requirements for certain exports sponsored by the Secretary of Agriculture.Sec. 419. Clarifying amendments.Sec. 420. Energizing American shipbuilding.Sec. 421. Goods imported on vessels of the United States.Sec. 422. Ship America Office.Subtitle C—Regulatory reformSec. 431. Alternate standards.Sec. 432. Rulemaking committee on commercial maritime regulations and standards.Sec. 433. Amendments to Shipowners' Limitation of Liability Act of 1851.TITLE V—ShipbuildingSubtitle A—Shipbuilding financial incentivesSec. 501. Shipbuilding financial incentives.Sec. 502. Assistance for small shipyards.Sec. 503. Federal Ship Financing (title XI) Program.Sec. 504. Construction Reserve Fund.Sec. 505. Capital Construction Fund.Sec. 506. Anticipated commercial vessel construction survey.Sec. 507. Streamlined environmental review.Sec. 508. Eligibility for loan guarantees.Sec. 509. Reports.Sec. 510. Export control report.Subtitle B—Department of Defense ProgramsSec. 511. Assessment of the use of commercial best practices for Navy shipbuilding.Sec. 512. Plan of action for use of Defense Production Act of 1950 authorities.Sec. 513. Military Sealift Command.Subtitle C—Shipbuilding innovation and infrastructureSec. 521. United States Center for Maritime Innovation.Sec. 522. National Shipbuilding Research Program.Sec. 523. Assessment on maritime infrastructure readiness.TITLE VI—Workforce DevelopmentSubtitle A—Workforce IncentivesSec. 601. Public service loan forgiveness for Merchant Marines.Sec. 602. Eligibility for educational assistance.Sec. 603. Eligibility of mariners to attend Naval Postgraduate School.Sec. 604. Reimbursement of qualifying spouse relicensing costs and business costs.Sec. 605. Noncompetitive eligibility for Federal employment.Sec. 606. United States Merchant Marine Career Retention Program.Subtitle B—Workforce pipelineSec. 611. Maritime workforce promotion and recruitment.Sec. 612. Centers of Excellence for Domestic Maritime Workforce Training and Education.Sec. 613. Maritime Career and Technical Education Advisory Committee.Sec. 614. Military candidates to Mariner Careers Recruitment Exchange.Sec. 615. Maritime worker data collection.Sec. 616. Military to maritime transition.Sec. 617. Early maritime education and youth involvement.Sec. 618. International scholarship for mariner and naval architecture exchanges.Subtitle C—United States Merchant Marine Academy and State maritime academiesSec. 621. Authorization of appropriations for United States Merchant Marine Academy infrastructure and facilities modernization.Sec. 622. United States Merchant Marine Academy.Sec. 623. Retirement service credit for service as a midshipman at the United States Merchant Marine Academy.Sec. 624. State maritime academies.Sec. 625. Enforcement of service obligation requirements.Sec. 626. Fuel funding for training ships operated by State maritime academies.Sec. 627. State Maritime Academy Sea Term Scholarship Programs.Sec. 628. Naval joint exercise involvement for training ships operated by State maritime academies.Subtitle D—Maritime Credentialing ModernizationSec. 631. Merchant mariner credentialing modernization.Sec. 632. Revising merchant mariner deck training requirements.Sec. 633. Inspections for transportation security.Sec. 634. Renewal of merchant mariner licenses and documents.Sec. 635. Merchant seamen licenses, certificates, and documents; manning of vessels.Sec. 636. Reactivation of expired license.2.Congress finds the following:(1)Strategic sealift, made up of Government and commercial vessels and mariners, is a critical capability for executing the maritime defense strategy and the wartime and peacetime economy of the United States.(2)Ensuring a modern and ready capability will require significant investment, policy prioritization, and the innovation of the people of the United States.(3)The worldwide ocean economy is worth between $3,000,000,000,000 and $6,000,000,000,000, according to the United Nations Conference on Trade and Development. Yet, vessels of the United States carry less than 2 percent of United States international commercial cargoes by weight.(4)The United States has fewer than 200 oceangoing vessels of the United States, of which only approximately 80 vessels participate in international commerce, compared with more than 5,500 Chinese documented vessels.(5)Bracketed by the Atlantic, Pacific, and Arctic oceans, the prosperity and security of the United States has always been tied to its position as a maritime Nation. Throughout human history, the strength of maritime nations has been directly tied to the strength of their maritime industry. The United States won two world wars on the back of a strong maritime industry.(6)Decades of apathy by the United States Government has harmed our strategically important maritime industry. Our weakened shipbuilding capacity, undersized maritime workforce, and shrinking fleet of shipping vessels means the United States relies on other nations to conduct international commerce and lacks the strategic sealift to support the United States military during wartime.(7)Today, there are just 20 shipbuilders in the United States capable of building oceangoing vessels—down from more than 80 at the end of the Second World War.(8)During World War II, the United States Merchant Marine powered the Allies to victory with more than 10,000 oceangoing vessels of the United States. Today there are just 80 vessels of the United States engaged in international trade.(9)The People’s Republic of China has made investments in the maritime industry a strategic priority over the past 20 years.(10)As of 2023, shipyards in the United States had fewer than 5 shipbuilding orders for oceangoing vessels, while shipyards in the People’s Republic of China had more than 1,700 orders, according to BRS Group. According to the Office of Naval Intelligence, the People’s Republic of China became the world’s top shipbuilding and shipping nation, boasting 230 times more shipbuilding capacity than the United States.(11)With just 12,000 United States merchant mariners operating oceangoing vessels, the United States may not have a sufficient number of mariners to fully power the strategic sealift vessels necessary in a future prolonged conflict.(12)The American Civil Society of Engineers assesses that the United States has a national maintenance backlog amounting to $125,000,000,000 for bridges, $163,000,000,000 for ports, and $6,800,000,000 for inland waterways.(13)The maritime industry is inherently international. Eighty percent of United States goods are imported by sea, of which 98 percent come into the United States on foreign documented vessels. Only 2 percent of such goods come into the United States on vessels of the United States, leaving the United States economy disproportionately dependent on oceangoing trade controlled by often adversarial foreign nations. The Nation’s ability to provide services in both international and interstate commerce is critical to national and economic defense.(14)Since November 2023, vessels engaged in international commerce have been threatened by the Houthis, which has threatened global supply chains, increased costs, and required naval force protection operations in the Red Sea through the United States-led Operation Prosperity Guardian that formed in December 2023.(15)A fleet of commercial shipping vessels of the United States, crewed with citizen mariners, that is competitive in domestic and international trade enhances the United States military’s readiness, allows the United States to more strategically compete with China, and underwrites the security and survival of the United States in times of crisis and war.3.It is the sense of Congress that the United States must—(1)create a more favorable domestic and global maritime environment for vessels of the United States engaged in international commerce, shipbuilding, ship repair, maritime logistics, the maritime workforce, and naval power, contributing to assured access to the world’s oceans free from coercion from strategic competitors and asymmetric adversaries;(2)increase domestic shipbuilding and ship repair capacity, with programs and policies that enable the growth of United States shipyards and the maritime industrial base, enhance military sealift capacity, expand the United States maritime workforce, and enhance national security;(3)revitalize the international fleet of vessels of the United States and foster a comparative advantage for the United States through targeted incentives and regulatory reforms to make the fleet competitive with international carriers and to gain a sustainable share of the global maritime market in order to bolster supply chains, strengthen economic security, and lower prices, while protecting the United States economy from economic coercion;(4)take all measures necessary to ensure that sufficient military, civil, and commercial resources will be available with assured access to meet defense deployment needs and essential economic activities for our Nation in times of crisis, war, or peace;(5)recognize that a vibrant commercial shipbuilding industry provides supply chain resiliencies and creates economies of scale that improve military, Coast Guard, and Government shipbuilding and support military operations through strategic sealift to defend the freedom of the seas;(6)nurture the comparative advantages of the United States to innovate to better compete in the global maritime marketplace, grow the maritime workforce, and create a favorable environment for investments to build modern maritime facilities and world-class academic institutions;(7)ensure better coordination between Federal agencies, including the Maritime Administration, the United States Coast Guard, the Department of Defense, the Federal Maritime Commission, and all other Federal agencies with a maritime nexus, to protect, regulate, and support the United States maritime industry, resolve disputes, and implement a whole-of-Government national maritime strategy;(8)recognize that, while a strong Navy is the surest guarantee of peace, building the Navy, sustaining the Navy, and supplying the Navy is founded on a robust commercial industrial base;(9)establish reliable long-term demand signals for, and investments in, oceangoing commercial vessels that are built in the United States, documented under the laws of the United States, and crewed by United States mariners;(10)evaluate past and present maritime efforts to take actions to revitalize the United States maritime industry;(11)strengthen the United States intercoastal and domestic trade fleet, which is the foundation upon which a revitalized United States-documented shipping and domestic shipbuilding industry will be built;(12)recognize the important role that the support craft, passenger, and fishing vessel fleet play in the United States maritime industry;(13)encourage the shipping of commercial cargo on vessels of the United States, with the aim of growing the size and carrying capacity of the international fleet of vessels of the United States;(14)grow the shipping capacity of vessels of the United States and guarantee United States Government cargo during peacetime;(15)develop a whole-of-Government effort to expand, develop, and protect the maritime workforce;(16)recognize the need for more workers in the maritime sector and stimulate growth in the United States maritime and shipbuilding industries, including by increasing access to early maritime education, commissioning national marketing campaigns to demonstrate how United States shipbuilding, United States-documented shipping, and maritime workers are critical to national security, and implementing workforce accelerator programs;(17)remove barriers to training mariners, including reevaluating Coast Guard training requirements regarding faculty credentials, instructional facility designs, sea time requirements, and other identified barriers, consistent with international treaty obligations;(18)expand and nurture a robust mariner workforce that enhances the national security and strategic sealift readiness of the United States by increasing the number of United States mariners and improving existing pathways and establishing new pathways for new, current, and former merchant mariners to go to sea;(19)recognize that the United States Merchant Marine Academy and our State maritime academies are critical to training the next generation of licensed officers and engineers on vessels of the United States;(20)invest and innovate in domestic shipbuilding, ship repair, and the shipping capabilities and capacity of vessels of the United States to advance the power and influence of the maritime industry of the United States;(21)drive multi-stakeholder research, development, assessment, and deployment of emerging marine technologies and best practices related to the maritime transportation system to ensure United States leadership in next-generation shipbuilding, ship repair, and maritime logistics;(22)drive modern business and manufacturing approaches, such as innovative maritime logistics, clean fuels, and advanced nuclear energy, human-machine teaming, additive manufacturing, and other advanced technologies;(23)review and update regulations governing vessel design and engineering, vessel and facility operation, and merchant mariner credentialing, in order to revitalize the United States maritime industry;(24)seek mutually beneficial relationships with treaty allies and strategic partners to grow the domestic shipping and shipbuilding industries of the United States and to share the burden of providing freedom of navigation on the high seas, while de-risking the United States maritime domain from the People’s Republic of China, foreign countries of concern, and asymmetric or emerging maritime threats;(25)harden critical maritime infrastructure and networks, and incrementally replace infrastructure built by foreign adversaries with domestic-built and allied-built infrastructure; and(26)promote the values of the United States for freedom of the seas, worker safety and quality of life, environmental stewardship, and the resilience of our oceans, seas, and inland waterways.4.In this Act:(1)Appropriate committees of CongressThe term appropriate committees of Congress means—(A)the Committee on Armed Services, the Committee on Commerce, Science, and Transportation, and the Committee on Appropriations of the Senate; and(B)the Committee on Armed Services, the Committee on Transportation and Infrastructure, and the Committee on Appropriations of the House of Representatives.(2)The term domestic commerce means the transportation of goods or passengers between places in the United States.(3)The term foreign commerce means—(A)commerce or trade between the United States, its territories or possessions, or the District of Columbia, and a foreign country; and(B)commerce or trade between foreign countries.(4)Foreign country of concernThe term foreign country of concern means—(A)a country that is a covered nation (as defined in section 4872(d) of title 10, United States Code); and(B)any country that the Maritime Administrator, in consultation with the Secretary of Defense, the Secretary of State, the Director of National Intelligence, and the Chair of the Federal Maritime Commission, determines to be engaged in conduct that is detrimental to the national security or foreign policy of the United States.(5)The term foreign entity—(A)means—(i)a government of a foreign country or a foreign political party, as those terms are defined in section 1 of the Foreign Agents Registration Act of 1938, as amended (22 U.S.C. 611);(ii)a natural person who is not a lawful permanent resident of the United States, a citizen of the United States, or any other protected individual (as such term is defined in section 274B(a)(3) of the Immigration and Nationality Act (8 U.S.C. 1324b(a)(3))); or(iii)a partnership, association, corporation, organization, or other combination of persons organized under the laws of or having its principal place of business in a foreign country; and(B)includes—(i)any person (including an owner or operator of a vessel) owned by, controlled by, or subject to the direction of an entity listed in subparagraph (A);(ii)any person, wherever located, who acts as an agent, representative, or employee of an entity listed in subparagraph (A);(iii)any person who acts in any other capacity at the order, request, or under the direction or control, of an entity listed in subparagraph (A), or of a person whose activities are directly or indirectly supervised, directed, controlled, financed, or subsidized in whole or in major part by an entity listed in subparagraph (A);(iv)any person who directly or indirectly through any contract, arrangement, understanding, relationship, or otherwise, owns 25 percent or more of the equity interests of an entity listed in subparagraph (A);(v)any person with significant responsibility to control, manage, or direct an entity listed in subparagraph (A);(vi)any person, wherever located, who is a citizen or resident of a country controlled by an entity listed in subparagraph (A); or(vii)any corporation, partnership, association, or other organization organized under the laws of a country controlled by an entity listed in subparagraph (A).(6)Foreign entity of concernThe term foreign entity of concern means any foreign entity that is—(A)designated as a foreign terrorist organization by the Secretary of State under section 219 of the Immigration and Nationality Act (8 U.S.C. 1189);(B)included on the list of specially designated nationals and blocked persons maintained by the Office of Foreign Assets Control of the Department of the Treasury;(C)owned by, controlled by, or subject to the jurisdiction or direction of a government of a foreign country of concern;(D)alleged by the Attorney General to have been involved in activities for which a conviction was obtained under—(i)chapter 37 of title 18, United States Code (commonly known as the Espionage Act
) (18 U.S.C. 792 et seq.);(ii)section 951 or 1030 of title 18, United States Code;(iii)chapter 90 of title 18, United States Code (commonly known as the Economic Espionage Act of 1996
);(iv)the Arms Export Control Act (22 U.S.C. 2751 et seq.);(v)section 224, 225, 226, 227, or 236 of the Atomic Energy Act of 1954 (42 U.S.C. 2274, 2275, 2276, 2277, and 2284);(vi)the Export Control Reform Act of 2018 (50 U.S.C. 4801 et seq.); or(vii)the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.);(E)designated by the Federal Maritime Commission as a controlled carrier under chapter 407 of title 46, United States Code;(F)found by the Federal Maritime Commission to be practicing unfavorable conditions in foreign trade under chapter 421 or 423 of title 46, United States Code; or(G)determined by the Maritime Administrator, in consultation with the Secretary of Defense, the Secretary of State, the Director of National Intelligence, and the Chair of the Federal Maritime Commission, to be engaged in unauthorized conduct that is detrimental to the national security or foreign policy of the United States.(7)Vessel of the United StatesThe term vessel of the United States has the meaning given that term in section 116 of title 46, United States Code.<enum>I</enum><header>Oversight and accountability</header><section id="id394684e353ca4c62844909b4ea4fb022"><enum>101.</enum><header>Maritime Security Advisor; Maritime Security Board</header><subsection commented="no" display-inline="no-display-inline" id="id5c639ebf5db449ecb2e1210b1795468d"><enum>(a)</enum><header display-inline="yes-display-inline">Amendments</header><text display-inline="yes-display-inline">Chapter 504 of part A of subtitle V of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="ide8ed6804c1f14fcebd266a1366fad77d"><enum>(1)</enum><text>by striking the chapter heading and inserting the following: <quote><header-in-text level="chapter" style="USC">Oversight and Accountability</header-in-text></quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id8e6f46c758bd4bcb8235c8af88badd2a"><enum>(2)</enum><text display-inline="yes-display-inline">by redesignating section 50401 as section 50403; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idbc9111c376a34427833e3f0d0a037294"><enum>(3)</enum><text display-inline="yes-display-inline">by inserting before section 50402, the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id3F7FE600E0DE47B8B49501F3DB7E9EC8"><section id="id37aa049e7a29469488a948360733fbd9"><enum>50401.</enum><header>Maritime Security Advisor; Maritime Security Board</header><subsection id="ida3b7faf6c197441791c37971c1fca0fc"><enum>(a)</enum><header>Maritime Security Advisor</header><paragraph id="ide7316397874b474799018b6ffe5bada6"><enum>(1)</enum><header>In general</header><text>Not later than 60 days after the date of enactment of this section, the President shall appoint a Special Advisor to the President (to be known as the <quote>Maritime Security Advisor</quote>) for coordinating national maritime affairs and policy, including developing, updating, and implementing the National Maritime Strategy as required under section 50114 of this title.</text></paragraph><paragraph id="id874010ece9b4417d9fc96e418fb97eff"><enum>(2)</enum><header>Duties</header><text>The Maritime Security Advisor appointed under paragraph (1) shall serve as the Chair of the Maritime Security Board, shall be the principal advisor to the President on all issues related to the maritime industry, shipbuilding, and ship repair, and shall be responsible for developing, updating, and implementing the National Maritime Strategy under section 50114 of this title within and across the Federal Government.</text></paragraph><paragraph commented="no" id="id091c000707224f2e9de22d77a91f22b0"><enum>(3)</enum><header>Office of the Maritime Security Advisor</header><subparagraph commented="no" display-inline="no-display-inline" id="idc470c582817e4cec93861b7dbd57cb1f"><enum>(A)</enum><header>In General</header><text display-inline="yes-display-inline">There is established in the Executive Office of the President, an Office of the Maritime Security Advisor. The Maritime Security Advisor described in this subsection shall be the head of such Office.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id521ae80e74284e9380b21862188874eb"><enum>(B)</enum><header>Employees; contracts</header><text>In carrying out the functions under this section, the Maritime Security Advisor is authorized to—</text><clause commented="no" display-inline="no-display-inline" id="ida458dd98a3cf4fa089f2ade314a8bb4f"><enum>(i)</enum><text display-inline="yes-display-inline">appoint such officers and employees as the Maritime Security Advisor may deem necessary to perform the functions now or hereafter vested in the Maritime Security Advisor and to prescribe their duties; and</text></clause><clause commented="no" display-inline="no-display-inline" id="id103632d46ae54b909f6d2119692b006f"><enum>(ii)</enum><text display-inline="yes-display-inline">enter into contracts and other arrangements for studies, analyses, and other services with public agencies and with private persons, organizations, or institutions, and make such payments as the Maritime Security Advisor deems necessary to carry out the provisions of this section.</text></clause></subparagraph></paragraph></subsection><subsection id="id517bbdd73be949fd949f8e91efeb64e7"><enum>(b)</enum><header>Maritime Security Board</header><text>Not later than 90 days after the date of enactment of this section, the President shall establish a board, to be known as the <quote>Maritime Security Board</quote> (in this section referred to as the <quote>Board</quote>).</text><paragraph id="idc30125487c2d457fab233244f1556d36"><enum>(1)</enum><header>Composition</header><subparagraph id="idd8d80ea627e846ba812e05d613d5afdb"><enum>(A)</enum><header>In general</header><text>The Board shall be comprised of the following individuals and representatives:</text><clause id="id5af34775b3cb4e1bb171a177c26d5b20"><enum>(i)</enum><text>The Maritime Security Advisor described in subsection (a).</text></clause><clause id="id40f31d42f996471f8dbe55cab59c9000"><enum>(ii)</enum><text>The Maritime Administrator.</text></clause><clause id="idcf901a1532334b898acb30ca11187f5c"><enum>(iii)</enum><text>The Commandant of the Coast Guard.</text></clause><clause id="idff9d5e40110942cd9b02b66a4aaabb44"><enum>(iv)</enum><text>The Secretary of the Navy.</text></clause><clause id="id233f5bad737c469bb0502cd5928c1a41"><enum>(v)</enum><text>The Commander of the United States Transportation Command.</text></clause><clause id="id8cf75b98c43e40e7b8c9be41e1239fb0"><enum>(vi)</enum><text>The Chair of the Federal Maritime Commission.</text></clause><clause id="id95ecae9daa824cf08d2968880d035e26"><enum>(vii)</enum><text>The Assistant Secretary of the Army for Civil Works.</text></clause><clause commented="no" id="iddc171ac7b58846b397b53e994b1f58b0"><enum>(viii)</enum><text>The chief United States delegate to the International Maritime Organization.</text></clause><clause id="idc9df8b089ea64a2088d03f874483ff35"><enum>(ix)</enum><text>The Under Secretary of Commerce for Oceans and Atmosphere.</text></clause><clause id="id3ac4ef2c504d46e1876134bed359dbe5"><enum>(x)</enum><text>The Commissioner for Customs and Border Protection.</text></clause><clause id="id5e9cfd4319d24bb4a86d17e59862ca21"><enum>(xi)</enum><text>The Director of the Office of Management and Budget, or a designee.</text></clause><clause id="ideb22f253e17e465f935793b3cdc77c60"><enum>(xii)</enum><text>The Secretary of Transportation, or a designee.</text></clause><clause id="iddc38c9a8015e491f879dd678fdd49206"><enum>(xiii)</enum><text>The Secretary of Homeland Security, or a designee.</text></clause><clause id="id8afef93c2c4e4e808e5535bb61f7e45b"><enum>(xiv)</enum><text>The Secretary of State, or a designee.</text></clause><clause id="idbc33b8b789a34c9a8af30af63b342a06"><enum>(xv)</enum><text>The Secretary of Labor, or a designee.</text></clause><clause id="iddec4261cb1754f3291f78b156e0f1547"><enum>(xvi)</enum><text>The Secretary of Commerce, or a designee.</text></clause><clause id="id1533db28787f4894bcfca836345b0da4"><enum>(xvii)</enum><text>The Secretary of the Treasury, or a designee.</text></clause><clause id="id6cfa5ad1678d40f892edfb00fdab57f0"><enum>(xviii)</enum><text>The Administrator of the Environmental Protection Agency, or a designee.</text></clause><clause commented="no" display-inline="no-display-inline" id="idc127345734e9451e923fa734cb7c1a54"><enum>(xix)</enum><text>The United States Trade Representative, or a designee.</text></clause><clause commented="no" display-inline="no-display-inline" id="idcb4da64dfa3840cc8c30222b14303b46"><enum>(xx)</enum><text>The head of each agency with a statutory responsibility for administering the Food for Peace Act (<external-xref legal-doc="usc" parsable-cite="usc/7/1691">7 U.S.C. 1691 et seq.</external-xref>), or a designee.</text></clause><clause commented="no" display-inline="no-display-inline" id="ide0713668f66a4a19a8e48aa88c7a5818"><enum>(xxi)</enum><text display-inline="yes-display-inline">From the Department of Defense—</text><subclause id="id8652671708b3415fa9b71aa376d99a9d"><enum>(I)</enum><text>the Secretary of Defense, or a designee;</text></subclause><subclause id="id578355e0f83b4fb398e98017b724fd02"><enum>(II)</enum><text>The Commander of the Military Sealift Command;</text></subclause><subclause id="idf2deaf2ac6a64cc9baa0a7777c36cb61"><enum>(III)</enum><text>The Commander of Naval Sea Systems Command;</text></subclause><subclause id="id4f60faefb92f4dc7a846e61806b279c3"><enum>(IV)</enum><text>a representative of the Army, as appointed by the Secretary of Defense;</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id87a3bd1700ae4037b5521af59ff577d4"><enum>(V)</enum><text display-inline="yes-display-inline">a representative of the Air Force, as appointed by the Secretary of Defense; and</text></subclause><subclause commented="no" display-inline="no-display-inline" id="idad06b29c2b394a558fc85f0f516747c7"><enum>(VI)</enum><text display-inline="yes-display-inline">a representative of the Navy, as appointed by the Secretary of Defense.</text></subclause></clause></subparagraph><subparagraph id="idff5726794db2460ba546d84ee7d26089"><enum>(B)</enum><header>Nonvoting members</header><text>The individuals and representatives listed in clauses (xi) through (xxi) shall be nonvoting members.</text></subparagraph><subparagraph id="idbffb904d54b14f21bdee6b81ab041f87"><enum>(C)</enum><header>Chair</header><text>The Maritime Security Advisor shall serve as the Chair of the Board.</text></subparagraph></paragraph><paragraph id="id053a192bb38a4dfabafb938b09e014b1"><enum>(2)</enum><header>Duties</header><text>Consistent with the National Maritime Strategy under section 50114 of this title, the Board shall carry out the following duties:</text><subparagraph id="id375afb130a9d475fb58cf0bdc70b22bd"><enum>(A)</enum><text>Supporting the development of the marine transportation system of the United States, including—</text><clause id="id424d12333d4c4160b3d1f9970c9a4c85"><enum>(i)</enum><text>assessing the adequacy of the marine transportation system (including ports, waterways, channels, and their intermodal connections);</text></clause><clause id="id970e959a135f4b41811a0ecceddcc4c7"><enum>(ii)</enum><text>promoting the integration of the marine transportation system with other modes of transportation and other uses of the marine environment; and</text></clause><clause id="id19b36a871a844022a7cb5c3d04f6f3c9"><enum>(iii)</enum><text>coordinating, improving the coordination of, and making recommendations with regard to Federal policies that impact the marine transportation system.</text></clause></subparagraph><subparagraph id="id40458ed106b3470bbbafc7ec4e86d3ba"><enum>(B)</enum><text>Establishing policy priorities relating to, and conducting independent oversight over, the financial assistance programs under part C of subtitle V of this title, including—</text><clause id="idb404e7390f7d4d4e8500ddc1e8df8b5c"><enum>(i)</enum><text>not later than 1 year after the date of enactment of the <short-title>SHIPS for America Act of 2025</short-title> and annually thereafter, establishing targets for the number, type, and requirements of vessels to be included in each of—</text><subclause id="id72a3bc8d8c6d4d4fb9333dc0b16f27b0"><enum>(I)</enum><text>the Maritime Security Fleet (consistent with the most recent Mobility Capability Requirements Study produced by United States Transportation Command);</text></subclause><subclause id="id39d94378fb0e460cac87d7475803230d"><enum>(II)</enum><text>the Cable Security Fleet;</text></subclause><subclause id="idbdc68095a3fc4def90adafad174a2e0f"><enum>(III)</enum><text>the Tanker Security Fleet (consistent with the most recent Mobility Capability Requirements Study produced by United States Transportation Command);</text></subclause><subclause id="ide91ae6214df4482794cfa7f1b6f4a36b"><enum>(IV)</enum><text>the Strategic Commercial Fleet; and</text></subclause><subclause id="id6c0fc71884114f589c37571ade5cd5c5"><enum>(V)</enum><text>the Shipbuilding Financial Incentives Program;</text></subclause></clause><clause id="idfdfc8b9aec8442e3b49a75d1cc1bac59"><enum>(ii)</enum><text>submitting annual recommendations to the appropriate committees of Congress for any needed changes in the authorized number of vessels eligible to participate in the programs under part C of subtitle V of this title; and</text></clause><clause id="idc425c68223304c70b137004c22a8012d"><enum>(iii)</enum><text>conducting oversight of the administration of such financial assistance programs to ensure such programs support the strategic sealift objectives and policy of the United States, as established in section 59101 of this title.</text></clause></subparagraph><subparagraph id="id087709a8d7df41279464e09936cd9574"><enum>(C)</enum><text>Supporting the Maritime Administrator in all efforts to conduct independent oversight of passenger and cargo preference requirements and supporting efforts to enable cargo to be carried on vessels of the United States, including—</text><clause id="ide46ef842a7624694b38c5d3b6a33bf4d"><enum>(i)</enum><text>conducting oversight and coordinating interagency efforts to comply with cargo preference requirements established under chapter 553 of this title and section 2631 of title 10;</text></clause><clause id="id051586dc4be24f65869a369efdbf4d77"><enum>(ii)</enum><text>independently verifying that all Federal agencies follow the requirements for cargoes procured, furnished, or financed by the United States Government under section 55305 of this title, and notifying the appropriate committees of Congress of any identified violations of the requirements of such section;</text></clause><clause id="id10e034ab30be484e8783b98d7453c2da"><enum>(iii)</enum><text>conducting outreach among nongovernmental stakeholders, including private industry, to encourage more cargo to be moved on vessels of the United States;</text></clause><clause id="idcb2d2b02908344d4a335753c4adee702"><enum>(iv)</enum><text>developing recommendations for regulations to be issued by Federal agencies to preference the movement of cargo on vessels of the United States; and</text></clause><clause id="id00e706ba75b6451fba71dd75d925a0a3"><enum>(v)</enum><text>submitting recommendations to the appropriate committees of Congress for changes to laws relating to passenger and cargo preferences for the purpose of establishing a more robust fleet of vessels of the United States.</text></clause></subparagraph><subparagraph id="idcf75367e601b4091a86db649e79867cf"><enum>(D)</enum><text>Conducting independent oversight and developing guidance and recommendations related to the enforcement of the requirements of chapters 121 and 551 of this title.</text></subparagraph><subparagraph id="id4c4d7733806f491d8233a52d852d4610"><enum>(E)</enum><text>Coordinating national efforts to develop a robust maritime workforce that enhances the national security and strategic sealift readiness of the United States, including—</text><clause id="id5d94b87ac79542248f758b233fe28e90"><enum>(i)</enum><text>coordinating and conducting oversight of interagency efforts and partnerships with the maritime industry and qualified labor organizations to recruit, train, and retain qualified licensed and unlicensed merchant mariners; and</text></clause><clause id="idfcfc90453b4548cdb20468d214f3ad3b"><enum>(ii)</enum><text>coordinating and conducting oversight of interagency efforts and partnerships with the shipbuilding industry to recruit, train, and retain qualified workers in the shipbuilding industry of the United States.</text></clause></subparagraph><subparagraph id="id06205db06ea444f5b82eee5b3d326d9e"><enum>(F)</enum><text>Establishing national priorities for research and development of next-generation technologies to enhance United States leadership in the shipbuilding and maritime industries, including through the Center for Maritime Innovation established under section 50307.</text></subparagraph><subparagraph id="idea983845a4a8407988abdef065f89993"><enum>(G)</enum><text>Coordinating interagency efforts to ensure vessels of the United States operating in international commerce are privileged in regulation, taxation, fees, insurance, and policy compared to foreign vessels conducting trade with a United States-domiciled entity, while remaining consistent with the international obligations of the United States.</text></subparagraph><subparagraph id="ida197d051f86b48fa8a847fb5ed5a7a2b"><enum>(H)</enum><text>Coordinating efforts to protect vessels of the United States operating in international or domestic commerce from physical and cybersecurity threats.</text></subparagraph><subparagraph id="id5a02f758cc9c4def9187b7bed5f6ab90"><enum>(I)</enum><text>Conducting oversight of the use of funds from the Maritime Security Trust Fund established under section 50301(b) of this title, and making recommendations to Congress for expenditures from the Trust Fund.</text></subparagraph><subparagraph id="id758634aef5cb4e2eb987874883804728"><enum>(J)</enum><text>Conducting studies on subjects related to the maritime industry and international shipping, and undertaking other efforts related to strengthening the maritime security of the United States.</text></subparagraph><subparagraph id="idcc6d0de954db47d8bc7f73ade2bf1849"><enum>(K)</enum><text>Carrying out other duties, as assigned by the President in consultation with the Maritime Security Advisor, related to the maritime industry, shipbuilding, ship repair, strategic sealift, and the marine transportation system of the United States.</text></subparagraph></paragraph><paragraph id="id49b0bf2b661a4131b085e0226f9db301" commented="no"><enum>(3)</enum><header>Delegation</header><text>The Board may task agencies who are represented by individuals on the Board (as described under paragraph (1)(A)) to carry out any duties of the Board.</text></paragraph><paragraph id="id9d771cf6b2904f9680049eb3e0d51b00"><enum>(4)</enum><header>Meetings</header><text>The Board shall meet not less frequently than quarterly.</text></paragraph><paragraph id="id7693b6380ba44e11bef76d44f98e32f0"><enum>(5)</enum><header>Staff</header><text>The Board may hire staff to support its activities.</text></paragraph></subsection><subsection id="id95c7ce0cc36647d88ab06a6d53f88244"><enum>(c)</enum><header>Authorization of appropriations</header><text>There are authorized to be appropriated $5,000,000 for each of fiscal years 2026 through 2035, from the Maritime Security Trust Fund established under section 50301(b) of this title, to the Maritime Security Board to staff the Board and carry out the duties described in this section.</text></subsection><subsection id="id7b53ba4ab3e3480c9bb49b81847ed077"><enum>(d)</enum><header>Report to Congress</header><paragraph commented="no" display-inline="no-display-inline" id="iddadad43dc95648e78e1d60db33e64d97"><enum>(1)</enum><header>In General</header><text display-inline="yes-display-inline">Not later than 180 days after the President establishes the Maritime Security Board under this section, and annually thereafter, the Board shall submit a report to the appropriate committees of Congress describing—</text><subparagraph id="id9782a9e2226f467996aa13d4156e3de6"><enum>(A)</enum><text>the actions that the Board has taken to carry out the duties required of the Board under subsection (b)(2); and</text></subparagraph><subparagraph id="idde7f0a26c9c441349d9e2dca5979feb5"><enum>(B)</enum><text>a list of recommended actions that the Board recommends Congress take to enhance the strength of the United States maritime industry and support the economic and national security needs of the United States;.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id55f937905c4943e58e7cce2dcda6a695"><enum>(2)</enum><header>Appropriate committees of Congress</header><text display-inline="yes-display-inline">In this section, the term <term>appropriate committees of Congress</term> has the meaning given that term in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>.</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id23240fc99ec2452daac0e7e005d19070"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for chapter 504 of subtitle V of title 46, United States Code, is amended to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id3f3698246447400487e20b0c4eac008a"><toc><toc-entry bold="off" level="section">50401. Maritime Security Advisor; Maritime Security Board.</toc-entry><toc-entry level="section" bold="off">50402. Maritime Transportation System National Advisory Committee.</toc-entry><toc-entry level="section" bold="off">50403. United States Committee on the Marine Transportation System.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection id="id81e669b602f44f199c3b4899e490b2df"><enum>(c)</enum><header>National Maritime Strategy</header><text>Section 50114 of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id089cbe8aaf9c4af5a22359d547a6e277"><enum>(1)</enum><text display-inline="yes-display-inline">by striking subsection (a), and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idA163C31859AD4486919201836007CD99"><subsection commented="no" display-inline="no-display-inline" id="id3ebf180503a845d08594d091f221292f"><enum>(a)</enum><header>In General</header><paragraph commented="no" display-inline="no-display-inline" id="id7f1f8597cab640e6a2ad3d4081b81d57"><enum>(1)</enum><header>In General</header><text display-inline="yes-display-inline">Subject to paragraph (2), the Maritime Security Advisor, in consultation with the Maritime Security Board, shall develop a National Maritime Strategy and submit that National Maritime Strategy to the appropriate committees of Congress (as that term is defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>).</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id205d3544a78f4f45b4a0aff6546c14f1"><enum>(2)</enum><header>Transition</header><text>Notwithstanding paragraph (1), if a national maritime strategy has been developed and submitted in accordance with this section, as in effect on the day before the date of enactment of the <short-title>SHIPS for America Act of 2025</short-title>, in the 1-year period before such date of enactment, the Maritime Security Advisor shall implement and update that national maritime strategy and shall not develop a new national maritime strategy.</text></paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id03ff330b184a40c3a4599ae39050881f"><enum>(2)</enum><text display-inline="yes-display-inline">by striking subsections (c) and (d) and inserting the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="idB1992BA920AF4CF8993069CAE4A1DDD3"><subsection commented="no" display-inline="no-display-inline" id="id927afc2ac04e430a934908fa4dc4127a"><enum>(c)</enum><header>Implementation</header><text>Upon the release of a strategy under this section, the Maritime Security Advisor, in consultation with the Maritime Security Board, shall be responsible for implementing the contents and recommendations of the strategy. </text></subsection><subsection commented="no" id="id386ea85eb9d24e18ae7817604ba3da34"><enum>(d)</enum><header>Update</header><text>The Maritime Security Advisor, in coordination with the Maritime Security Board, shall submit to the appropriate committees of Congress (as that term is defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>) an update to the strategy developed under subsection (a) not less often than every 5 years.</text></subsection><subsection id="idde1a33fe0cae48fba8f52181771bed80"><enum>(e)</enum><header>Public availability; implementation plan</header><text>Not later than 6 months after the submission of a strategy or update under subsection (a), the Maritime Security Advisor, in consultation with the Maritime Security Board, shall make publicly available on an appropriate website each strategy or updated strategy and an implementation plan for such strategy or update.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection></section><section id="id711e65852c6c4714a108bf1196a91cb7"><enum>102.</enum><header>Maritime Transportation System National Advisory Committee</header><text display-inline="no-display-inline">Section 50402 is amended—</text><paragraph id="id16902ca4487947ef8aae1b88c079ff80"><enum>(1)</enum><text>in subsection (b), by striking <quote>Secretary of Transportation</quote> and inserting <quote>Maritime Security Advisor and Maritime Security Board</quote>; and</text></paragraph><paragraph id="id4790867a033c48b0a6ae7124dd562b4a"><enum>(2)</enum><text>in subsection (c)—</text><subparagraph commented="no" display-inline="no-display-inline" id="idfaa4ba69082540f1b7c481289048c5f6"><enum>(A)</enum><text display-inline="yes-display-inline">in paragraph (1), by striking <quote>by the Secretary of Transportation</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id684ce3a6f9a54feb8054c7de4a0ece9d"><enum>(B)</enum><text display-inline="yes-display-inline">by striking paragraph (3) and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idCAAD03F31F3B448993C9660976FECA70"><paragraph commented="no" id="id93ca6d7123d2459b823c38cd3f9d8ce2"><enum>(3)</enum><header>Representation</header><text>Members of the Committee shall be appointed as follows:</text><subparagraph commented="no" id="id5b024eed7479461a80d97ebbc35652a5"><enum>(A)</enum><text>The Maritime Security Advisor shall appoint the following members of the Committee:</text><clause commented="no" id="id548734f97cab4da3bbeccea5e191c1c9"><enum>(i)</enum><text>At least one member to represent the Environmental Protection Agency.</text></clause><clause commented="no" id="id1260ca463166470e8830391b1d7f15cc"><enum>(ii)</enum><text>At least one member to represent the Department of Commerce.</text></clause><clause commented="no" id="idd6eed69582754814abf74d0173a4b181"><enum>(iii)</enum><text>At least one member to represent the Corps of Engineers.</text></clause><clause commented="no" id="idb34e3894b1754a9bb489ceba8fe49d50"><enum>(iv)</enum><text>At least one member to represent the Coast Guard.</text></clause><clause commented="no" id="id1e194b39b59a44168fea027e601c692e"><enum>(v)</enum><text>At least one member to represent Customs and Border Protection.</text></clause><clause commented="no" id="id05b2519394a548d2993b7a948f5dd0b1"><enum>(vi)</enum><text>At least one member to represent the Maritime Administration.</text></clause><clause commented="no" id="id56006cf07f7b44c8b90249a96e88c4b4"><enum>(vii)</enum><text>At least one member to represent the Department of Agriculture.</text></clause><clause commented="no" id="id3e5a3868e8014919952d1c8ab7e08ba6"><enum>(viii)</enum><text>At least one member to represent the State Department.</text></clause><clause commented="no" id="id936544622cc8434e8680a67c8e23263b"><enum>(ix)</enum><text>At least one member to represent State and local governmental entities.</text></clause></subparagraph><subparagraph commented="no" id="idd43caa66927d4470acbded0b56fabdaa"><enum>(B)</enum><text>Additional members shall represent private sector entities that reflect a cross-section of maritime industries, including credentialed United States merchant mariners, port and water stakeholders, academia, and labor, of whom—</text><clause commented="no" id="id71d5979e5018467eb431ff312b6c16cf"><enum>(i)</enum><text>3 shall be appointed by the majority leader of the Senate;</text></clause><clause commented="no" id="ida5ee175d04524ff19b046d74b253cc2f"><enum>(ii)</enum><text>3 shall be appointed by the minority leader of the Senate;</text></clause><clause commented="no" id="idafaeb3a654a84ab3a3062e836ee5fa86"><enum>(iii)</enum><text>3 shall be appointed by the Speaker of the House of Representatives; and</text></clause><clause commented="no" id="id84a763c86590453b9fca94062b1b53df"><enum>(iv)</enum><text>3 shall be appointed by the minority leader of the House of Representatives.</text></clause></subparagraph><subparagraph commented="no" id="id4c507326446745129b6a0a7ab21a03e7"><enum>(C)</enum><text>The Maritime Security Advisor may appoint additional members of the Committee, including additional representatives from the United States Merchant Marine Academy, State maritime academies, or other Federal agencies, as the Secretary considers appropriate.</text></subparagraph></paragraph><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id705e8d1fb73e49409ea3a9eb2ccb4b81"><enum>(C)</enum><text>in paragraph (4), by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and adjusting the margins accordingly;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idfe7260da2b564b43b6961f2697e86ceb"><enum>(D)</enum><text>by redesignating paragraph (4) as subparagraph (A) and adjusting the margins accordingly;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id34e9dd4193e74b2a90806532d07b6b37"><enum>(E)</enum><text>by inserting after paragraph (3) the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id79F7E5FE23494D64BBE83289264A3684"><paragraph commented="no" display-inline="no-display-inline" id="ide1e0e45eeeac4406bd47cbe4d0cc33a2"><enum>(4)</enum><header>Restrictions on members</header></paragraph><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idae05601c853b404280e177f9bb84083c"><enum>(F)</enum><text>at the end of paragraph (4), as so designated, by inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id946F6ACF59DD4D2FA78F3E8C2E04E29B"><subparagraph commented="no" display-inline="no-display-inline" id="id6bf35ae4416442bf91c5137cedc1d6fb"><enum>(B)</enum><header>Restrictions on additional members</header><text>Members appointed under this paragraph that are not representing Federal agencies—</text><clause commented="no" display-inline="no-display-inline" id="id7e26d0483a5c49e58f9a43250fea65de"><enum>(i)</enum><text display-inline="yes-display-inline">shall remain on the Committee for a term of 3 years from the date that the member is appointed; and </text></clause><clause commented="no" display-inline="no-display-inline" id="id18d9936619f74a5fa4325be6c5f39bb5"><enum>(ii)</enum><text display-inline="yes-display-inline">may not serve more than 2 consecutive terms. </text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph></section><section id="id960de96e9b6d425f8dc4ad31aef26000"><enum>103.</enum><header>Direct hire authority; Authorization for administrative expenses</header><subsection id="id74f4a966e5544ccf8a504a93a89ea4f8"><enum>(a)</enum><header>Maritime Administration direct hire authority</header><paragraph id="id5f1ec627037c4233b4f98848fc63958a"><enum>(1)</enum><header>In general</header><text>The Maritime Administrator may appoint, without regard to the provisions of sections 3309 through 3319 of title 5, United States Code, candidates to positions in the competitive service within the Maritime Administration for which—</text><subparagraph id="id806b6150e1634d59906f395c3116cc30"><enum>(A)</enum><text>public notice has been given;</text></subparagraph><subparagraph id="id44cccd7e428345018b2b381d2df5b50c"><enum>(B)</enum><text>the Administrator has determined that a critical hiring need exists; and</text></subparagraph><subparagraph id="idd3eccd7160574e0a96a54c5a00d2986f"><enum>(C)</enum><text>the Administrator has consulted with the Director of the Office of Personnel Management regarding—</text><clause id="id7ccd387fc3ce4b7c9f2e38e3b25ead98"><enum>(i)</enum><text>the positions for which the Administrator plans to recruit;</text></clause><clause id="id018ddb73ec6849158f964586f2ae5cec"><enum>(ii)</enum><text>the quantity of candidates Administrator is seeking; and</text></clause><clause id="id1ef6d1a687744a59b9e2a383276a5cc7"><enum>(iii)</enum><text>the assessment and selection policies the Administrator plans to utilize.</text></clause></subparagraph></paragraph><paragraph id="id863a324904344584831fda3b3c002bbe"><enum>(2)</enum><header>Definition of critical hiring need</header><text>In this subsection, the term <term>critical hiring need</term> means personnel necessary for the implementation of this Act and associated work.</text></paragraph></subsection><subsection id="id5ab2b0890c9e450aa7f58a1a4e92293d"><enum>(b)</enum><header>Coast Guard direct hire authority</header><paragraph id="ida7726325b83146ff8c31563ec4dec200"><enum>(1)</enum><header>In general</header><text>The Secretary of the department in which the Coast Guard is operating may appoint, without regard to the provisions of sections 3309 through 3319 of title 5, United States Code, candidates to positions in the competitive service within offices under the Assistant Commandant for Prevention Policy of the Coast Guard, for which—</text><subparagraph id="id79e4f73ad89a45e5bb4dba97f4aedd88"><enum>(A)</enum><text>public notice has been given;</text></subparagraph><subparagraph id="id71d3593f75874b459010fc7dbd56842b"><enum>(B)</enum><text>the Secretary has determined that a critical hiring need exists; and</text></subparagraph><subparagraph id="id0bc4cc4cb6094c7b986df397706ea0b4"><enum>(C)</enum><text>the Secretary has consulted with the Director of the Office of Personnel Management regarding—</text><clause id="ideec9bcb28fe244f9a39e14e48e4bebc2"><enum>(i)</enum><text>the positions for which the Secretary plans to recruit;</text></clause><clause id="idc2af9c87532e4f6487b28d2c06c72833"><enum>(ii)</enum><text>the quantity of candidates Secretary is seeking; and</text></clause><clause id="idea21751cbd6049a68ccbd1430306af93"><enum>(iii)</enum><text>the assessment and selection policies the Secretary plans to utilize.</text></clause></subparagraph></paragraph><paragraph id="idf6459bcdde0a4693912764bfbee1119b"><enum>(2)</enum><header>Definition of critical hiring need</header><text>In this subsection, the term <term>critical hiring need</term> means personnel necessary for the implementation of this Act and associated work.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idfa4a5adce52f4ba6a9e5066efb137b7d"><enum>(c)</enum><header>Competitive service</header><text>In this section the term <term>competitive service</term> has the meaning given the term in section 2102 of title 5, United States Code.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id5b635778c0e7402cb8ee61635deb25eb"><enum>(d)</enum><header>Authorization of appropriations for administrative expenses</header><text>There is authorized to be appropriated from the Maritime Security Trust Fund established under section 50301(b) of title 46, United States Code—</text><paragraph id="id770ad8df1c2b457c8d1d1f7b5d28c392" commented="no"><enum>(1)</enum><text>$30,000,000 to the Secretary of Transportation for administrative expenses of the Maritime Administration to administer subtitle V of title 46, United States Code, for each of fiscal years 2026 through 2035;</text></paragraph><paragraph id="ideb392020c63540e88ec273f977f19b24" commented="no"><enum>(2)</enum><text>$30,000,000 to the Secretary of the department in which the Coast Guard is operating for administrative expenses of the Coast Guard to administer subtitle II of title 46, United States Code, for each of fiscal years 2026 through 2035; and</text></paragraph><paragraph id="idea335105f33d4769bad6e8edb3d5b07a" commented="no"><enum>(3)</enum><text>$2,000,000 to the Federal Maritime Commission for administrative expenses of the Federal Maritime Commission to administer subtitle IV of title 46, United States Code.</text></paragraph></subsection></section><section id="id1e68c1ea9c5d4f109b47b331c155de6a"><enum>104.</enum><header>Implementation plan</header><subsection id="ida7dc607c36364ec585ef8d3d4ced933a"><enum>(a)</enum><header>Implementation plan required</header><text>Not later than 60 days after the date of enactment of this Act, the Maritime Administrator and the Secretary of the department in which the Coast Guard is operating shall each submit to the appropriate committees of Congress and the Maritime Security Board a separate implementation plan for carrying out this Act, and the amendments made by this Act.</text></subsection><subsection id="ida8a5fe62987b4dd6ae42830a6583bb46"><enum>(b)</enum><header>Elements</header><text>Each implementation plan required under subsection (a) shall include, for each action required of the Maritime Administrator and the Secretary of the department in which the Coast Guard is operating (as applicable) in this Act, including the amendments made by this Act—</text><paragraph id="id5fd70f071948449ea1906563e58ffda5"><enum>(1)</enum><text>an identification of all administrative restructuring requirements;</text></paragraph><paragraph id="id2bd5e78f83134f1abcbc34072ba0e2cb"><enum>(2)</enum><text>an identification of each office or division within the Maritime Administration or Coast Guard principally responsible for each relevant section of this Act;</text></paragraph><paragraph id="id07bcbc0d38dc4c069c23d3eab68d1a12"><enum>(3)</enum><text>an identification of additional personnel needed to sufficiently implement this Act, a hiring plan, and a training plan;</text></paragraph><paragraph id="idb59ab1b08dde4858beab3a81af4a8a54"><enum>(4)</enum><text>an identification of any barrier (including any policy, law, or regulation) to implementation of any section of this Act, and recommendations to address those barriers;</text></paragraph><paragraph id="id3a67125130614f858b05dd5b55907697"><enum>(5)</enum><text>a descriptive implementation timeline, taking into account the administrative needs of the Maritime Administration or the Coast Guard; and</text></paragraph><paragraph id="idd0bf8cc53b0642359de6668edc30a7c6"><enum>(6)</enum><text>any additional components determined appropriate by the Maritime Administrator or such Secretary to ensure the success of implementation of this Act.</text></paragraph></subsection><subsection id="idd107d716b84e41b7ada0a3b8cda81887"><enum>(c)</enum><header>Briefing</header><text>Not later than 15 days after submitting each implementation plan required under subsection (a), the Maritime Administrator and the Secretary of the department in which the Coast Guard is operating shall provide a briefing to the appropriate committees of Congress on the status of that implementation plan required under subsection (a).</text></subsection><subsection id="idab73d3ffd6aa43d6a079b00f2ecdec9f"><enum>(d)</enum><header>Biannual update</header><text>Not less frequently than biannually following the submission of the plans under subsection (a) and for 2 years thereafter, the Maritime Administrator and the Secretary of the department in which the Coast Guard is operating shall submit to the appropriate committees of Congress separate reports containing any updates on the implementation of such plans.</text></subsection><subsection id="id7b214ccde85b4e66a3a91fe9877b41f8"><enum>(e)</enum><header>GAO review</header><text>The Comptroller General of the United States shall—</text><paragraph id="id3bf197643bb74b4b902a38f0763737c5"><enum>(1)</enum><text>not later than 2 years after the date of enactment of this Act, and biennially thereafter for 10 years, conduct a review of the activities carried out in accordance with this Act, and the amendments made by this Act; and</text></paragraph><paragraph id="id1a4680a7bd2f4e568e0f186028018769"><enum>(2)</enum><text>submit to the appropriate committees of Congress the results of each review.</text></paragraph></subsection></section><section commented="no" id="idb4de9788418a41dd883e6229344c4306"><enum>105.</enum><header>Federal Maritime Commission report on vessels of the United States</header><subsection id="id0c6b05673ee346a8a7124de4d851c79d"><enum>(a)</enum><header>In general</header><text>The Federal Maritime Commission shall annually submit a report to the Maritime Security Board and the appropriate committees of Congress evaluating the competitiveness of vessels of the United States in foreign commerce. The Maritime Security Board shall utilize the findings of such report to inform the National Maritime Strategy under section 50114 of title 46, United States Code, and other activities of the Board.</text></subsection><subsection id="id6c95cd9014de4e7fb9d00e19ad326392"><enum>(b)</enum><header>Contents</header><text>The report shall include—</text><paragraph id="id8f9605577c314502a00edf3c1fa54518"><enum>(1)</enum><text>metrics concerning carriage of foreign commerce on vessels of the United States;</text></paragraph><paragraph id="id9eb1e6aadaf34486b3ea156766cea81b"><enum>(2)</enum><text>information about the price parity of carriage of foreign commerce on vessels of the United States versus foreign vessels (as defined in section 110 of title 46, United States Code) by market;</text></paragraph><paragraph id="idb2e7384f0edd484eb2c130bcf5a60f64"><enum>(3)</enum><text>identification of markets of opportunity for the United States to compete in foreign commerce where rates are in relative parity to vessels of the United States;</text></paragraph><paragraph id="idd0c4cbb7760843a39e3ff86064b0660a"><enum>(4)</enum><text>markets in which United States interests paid above average rates for foreign commerce, including with foreign and domestic carriers; and</text></paragraph><paragraph id="idee9456e4649c4e7092b9023a388e5282"><enum>(5)</enum><text>an assessment of the foreign vessel registries of peer competitor countries to determine—</text><subparagraph id="id858232abad994137823f5c1f54be5833"><enum>(A)</enum><text>the roles of the governments of peer competitor countries in their vessel registry processes, including policy practices that may provide a disadvantage to the United States;</text></subparagraph><subparagraph id="id786e10b926224f828bd754a37cafacdf"><enum>(B)</enum><text>the sizes of the fleets of foreign vessels registered with such countries, including how many of such foreign vessels are domestically built and how many are built in other countries; and</text></subparagraph><subparagraph id="id3dd7528b89bf4044b592cfc788dd3abf"><enum>(C)</enum><text>the price parity of vessels of the United States, as compared to foreign vessels registered with peer competitor countries that are operating in global markets identified as a priority by the Federal Maritime Commission.</text></subparagraph></paragraph></subsection></section><enum>II</enum><header>Maritime Security Trust Fund</header><section id="id2a01b440630e4649bf91c50e86debee7"><enum>201.</enum><header>Maritime Security Trust Fund established</header><text display-inline="no-display-inline">Section 50301 of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id4830d9e8a4584ef6945b03553bb2d926"><enum>(1)</enum><text>by striking the section heading and inserting <quote><header-in-text style="USC" level="section">Funds established</header-in-text></quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id9ad7d30edb84405db18a30adbfc58555"><enum>(2)</enum><text display-inline="yes-display-inline">in subsection (e)—</text><subparagraph commented="no" display-inline="no-display-inline" id="idbb468b8b25e642f09200a8312ac76690"><enum>(A)</enum><text display-inline="yes-display-inline">in paragraph (2), by redesignating subparagraphs (A), (B), and (C), as clauses (i), (ii), and (iii), respectively, and adjusting the margins accordingly;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idf26add734ddf46bca4f1df5147b33f87"><enum>(B)</enum><text>by redesignating paragraphs (1), (2), and (3), as subparagraphs (A), (B), and (C), respectively, and adjusting the margins accordingly;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idfbe23c49215d42a2a0240fe98981d3a4"><enum>(C)</enum><text>in subparagraph (A), as redesignated by subparagraph (B), by striking <quote>paragraph (2)</quote> and inserting <quote>subparagraph (B)</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idb59127fac5594f97a3146002f8bf1372"><enum>(D)</enum><text>in subparagraph (B), as redesignated by subparagraph (B), in the matter preceding clause (i), by striking <quote>Paragraph (1)</quote> and inserting <quote>Subparagraph (A)</quote>; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idee8345867c2c4e64b76e60e752d9dc52"><enum>(E)</enum><text>in subparagraph (C), as redesignated by subparagraph (B), by striking <quote>Paragraph (1)</quote> and inserting <quote>Subparagraph (A)</quote>;</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id85ff175fe8ea4ff197455be7ff286ce9"><enum>(3)</enum><text>in subsection (f), by redesignating paragraphs (1) through (4) as subparagraphs (A) through (D), respectively, and adjusting the margins accordingly;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idc087023c261a471c84efb555e4fd050c"><enum>(4)</enum><text>by redesignating subsections (b) through (g) as paragraphs (2) through (7), respectively, and adjusting the margins accordingly;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id818e31f2a9e04dd3ba17e3282141dcec"><enum>(5)</enum><text>in subsection (a), by striking <quote><header-in-text style="OLC" level="subsection">In General</header-in-text></quote> and all that follows through <quote>There is a</quote> and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id03891FB5C2A542B0A97C37CF36750CBF"><subsection commented="no" display-inline="no-display-inline" id="id418d698cae8f43c2853cdd70c25ef85e"><enum>(a)</enum><header>Vessel Operations Revolving Fund</header><paragraph commented="no" display-inline="no-display-inline" id="idc4e67a07fafe456b86a19793df3a58a7"><enum>(1)</enum><header display-inline="yes-display-inline">In General</header><text>There is a</text></paragraph></subsection><after-quoted-block>;</after-quoted-block></quoted-block></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id7004b839847d412e9420c196d9520b3d"><enum>(6)</enum><text>in paragraph (4), by striking <quote>subsection (a)</quote> and inserting <quote>paragraph (1)</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id747840d05d204179924397424b470d90"><enum>(7)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idE6A52EBEAF4A4F03B3A3D949C936FB3C"><subsection commented="no" display-inline="no-display-inline" id="id66e1261f38654e9492489c5497e35ac4"><enum>(b)</enum><header>Maritime Security Trust Fund</header><paragraph id="id0c5fd1c557284a9da09b1e6fd903a9cb"><enum>(1)</enum><header>In general</header><text>There is a <quote>Maritime Security Trust Fund</quote> for use in carrying out programs or activities associated with supporting the merchant marine of the United States and the maritime industrial base, as authorized under the <short-title>SHIPS for America Act of 2025</short-title>.</text></paragraph><paragraph id="iddc44e8745b8a406990058ada48f33c13"><enum>(2)</enum><header>Transfer of amounts</header><text>The Fund shall be credited with amounts equivalent to the receipts from each of the following:</text><subparagraph id="id1bb9e86c66af441387b98a58ad08067a"><enum>(A)</enum><text>The taxes received in the Treasury under—</text><clause id="idcfb98f382a6c42dfbd0b185ff4450d89"><enum>(i)</enum><text>section 60301 of this title (relating to regular tonnage taxes);</text></clause><clause id="idd6ca1cc55d074524b8fae576e26bfca5"><enum>(ii)</enum><text>section 60302 of this title (relating to special tonnage taxes); and</text></clause><clause id="id3e611b838aec48b2b8439d06a5a87ef4"><enum>(iii)</enum><text>section 60303 of this title (relating to light money).</text></clause></subparagraph><subparagraph id="idddb0e5d3a7f14b8699ae186b0fc82a75"><enum>(B)</enum><text>The revenue collected from—</text><clause id="id653a92ea951446a2a7778908f3dedbdd"><enum>(i)</enum><text>duties imposed under section 466 of the Tariff Act of 1930 (<external-xref legal-doc="usc" parsable-cite="usc/19/1466">19 U.S.C. 1466</external-xref>) (relating to equipment and repair of vessels);</text></clause><clause id="id098a7955e3234a9fa611f2c992f791e1" commented="no"><enum>(ii)</enum><text>duties, fees, or monetary penalties imposed by the United States Trade Representative under section 301 of the Trade Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/19/2411">19 U.S.C. 2411</external-xref>) pursuant to the determination of the Trade Representative that the targeting of the maritime, logistics, and shipbuilding sectors for dominance by the People’s Republic of China is unreasonable and burdens or restricts United States commerce, notice of which was published in the Federal Register on January 23, 2025 (90 Fed. Reg. 8089); and</text></clause><clause id="id7e546582d046457eb782300866c20a0b"><enum>(iii)</enum><text>duties imposed under section 60502 of this title (relating to discriminating duty on goods imported in foreign vessels or from contiguous countries).</text></clause></subparagraph><subparagraph id="id8eae460c227a4235a2b69f370d084621"><enum>(C)</enum><text>Any penalties paid with respect to a vessel pursuant to any of the following sections of this title:</text><clause commented="no" display-inline="no-display-inline" id="id02d7e8e9122b404f904c394ad989a739"><enum>(i)</enum><text>Section 2017.</text></clause><clause commented="no" display-inline="no-display-inline" id="id83de066a9b7c48269f7e77f9e8a72582"><enum>(ii)</enum><text>Section 2302.</text></clause><clause commented="no" display-inline="no-display-inline" id="id4aa871d6805342a4a8580bf349cc021c"><enum>(iii)</enum><text>Section 3318.</text></clause><clause commented="no" display-inline="no-display-inline" id="id3fcdbca13af04284bd47751a81a8ea34"><enum>(iv)</enum><text>Section 3718.</text></clause><clause commented="no" display-inline="no-display-inline" id="idb33f9d1388354406acffe82655f3740b"><enum>(v)</enum><text>Section 4106.</text></clause><clause commented="no" display-inline="no-display-inline" id="id51f1a9fd85d8456bab51d4aa25abbe6b"><enum>(vi)</enum><text>Section 5116.</text></clause><clause commented="no" display-inline="no-display-inline" id="idf800baa8f8574889874ae0142bf27409"><enum>(vii)</enum><text>Section 11303.</text></clause><clause commented="no" display-inline="no-display-inline" id="id76fbfded29614eab827230c14d287619"><enum>(viii)</enum><text>Section 11501.</text></clause><clause commented="no" display-inline="no-display-inline" id="ida4511ca0dc0a49daa2a01b95ea0e4499"><enum>(ix)</enum><text>Section 12151.</text></clause><clause commented="no" display-inline="no-display-inline" id="id2e106bce79ff478e88d302c044b3c65d"><enum>(x)</enum><text>Section 12507.</text></clause><clause commented="no" display-inline="no-display-inline" id="id8adced8a00214880b7d62681ad5d31c5"><enum>(xi)</enum><text>Section 14701.</text></clause><clause id="id531e99f469bc4f0db0537818012c386e" commented="no"><enum>(xii)</enum><text>Section 30707, with respect to the portion of the fine that goes to the United States Government under subsection (c) of such section.</text></clause><clause id="id78119e6b08134505888085b5b26b2d05" commented="no"><enum>(xiii)</enum><text>Section 31309.</text></clause><clause id="id1f9ecf43dc0f44218aaf0c716b2c7160" commented="no"><enum>(xiv)</enum><text>Section 31330.</text></clause><clause id="id49e35b4e27f54be7be2a9e0f5f7ab7d9" commented="no"><enum>(xv)</enum><text>Section 41107.</text></clause><clause id="idf8186cba6f5040dbbff1cbb6c7f644f5" commented="no"><enum>(xvi)</enum><text>Section 41108.</text></clause><clause id="id735ccb5ec08b443396ba2f663048f442" commented="no"><enum>(xvii)</enum><text>Section 42108.</text></clause><clause id="id78b48efcdd1d4c13a812fe3ad4f4c22e" commented="no"><enum>(xviii)</enum><text>Section 44104.</text></clause><clause id="id6a406a6b8e8a40a6a0e1f6379d5be5d7" commented="no"><enum>(xix)</enum><text>Section 70052.</text></clause><clause id="idefc85b75691a4f6d8f2a108ed8d3bacc" commented="no"><enum>(xx)</enum><text>Section 70119.</text></clause><clause id="id46a1f889e55f4dad8204efc60a0e531c" commented="no"><enum>(xxi)</enum><text>Section 70506.</text></clause><clause id="id24776cc51a9f4c889ce667a935583b4f" commented="no"><enum>(xxii)</enum><text>Section 80509.</text></clause></subparagraph><subparagraph id="id73be2f31c4294c3ca4a62e746fa5a87f"><enum>(D)</enum><text>Any revenue generated in connection with the seizure and forfeiture of a maritime vessel under—</text><clause commented="no" display-inline="no-display-inline" id="id8f94c858fdcb4436a22f6edc9955ac7e"><enum>(i)</enum><text>section 3 of the Act of August 5, 1935 (49 Stat. 518, chapter 438; <external-xref legal-doc="usc" parsable-cite="usc/19/1703">19 U.S.C. 1703</external-xref>);</text></clause><clause commented="no" display-inline="no-display-inline" id="id7c203d4abe754c798cfd345032af1fd3"><enum>(ii)</enum><text>section 70052 of this title; and</text></clause><clause commented="no" display-inline="no-display-inline" id="idf06a645aec384319bff090e89947608a"><enum>(iii)</enum><text>section 70507 of this title.</text></clause></subparagraph></paragraph><paragraph id="id0adc997261db4455b7697cd68f831e02"><enum>(3)</enum><header>Total Balance</header><text>The total amount in the Maritime Security Trust Fund at any time shall not exceed $20,000,000,000.</text></paragraph><paragraph id="iddf750bee77ba4dd7a96c57f8320da39a"><enum>(4)</enum><header>Expenditures</header><text>Amounts in the Maritime Security Trust Fund shall be available for making expenditures before October 1, 2035, to meet those obligations of the United States heretofore and hereafter incurred which are authorized to be paid out of the Maritime Security Trust Fund under the SHIPS for America Act of 2025, including the amendments made in such Act.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><section id="id84dd577841c4454fb506d4d87d09c8fb" commented="no"><enum>202.</enum><header>Regular tonnage taxes</header><subsection id="idb16e2cb76aa74dadb05be39ebcd3dc94"><enum>(a)</enum><header>Rate updates</header><text>Section 60301 of title 46, United States Code, is amended—</text><paragraph id="id456711d42a5a486c8d5a7e5a83d5b480"><enum>(1)</enum><text>in subsection (a), by striking <quote>, for fiscal years 2006 through 2010, and 2 cents per ton not to exceed a total of 10 cents per ton per year, for each fiscal year thereafter</quote>; and</text></paragraph><paragraph id="idf5adf41a53894ff192feed445f2bb45f"><enum>(2)</enum><text>in subsection (b), by striking <quote>, for fiscal years 2006 through 2010, and 6 cents per ton, not to exceed a total of 30 cents per ton per year, for each fiscal year thereafter</quote>.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id4fabf417400c4e1dbe7e61915f6645a9"><enum>(b)</enum><header>Foreign shipyard of concern</header><paragraph commented="no" display-inline="no-display-inline" id="id270b5b94779147dfb1769ccf92bbc720"><enum>(1)</enum><header>Definition</header><text display-inline="yes-display-inline">The term <term>foreign shipyard of concern</term> means—</text><subparagraph id="idf2bf0c453db240e58af46caa23eafb84"><enum>(A)</enum><text>a shipyard owned by a firm owned or controlled by the government of a foreign country of concern or a foreign entity of concern, that has the capacity to produce both military and commercial vessels; and</text></subparagraph><subparagraph id="id230d994bc90440ccb30da40953301564"><enum>(B)</enum><text>a foreign shipyard designated under paragraph (2).</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ide30ea8daccc94fd9a374bc183606f04c"><enum>(2)</enum><header>Designation</header><subparagraph commented="no" display-inline="no-display-inline" id="idd366985742704073ad156c02aec19fb1"><enum>(A)</enum><header>In General</header><text display-inline="yes-display-inline">Beginning after October 1, 2027, the Maritime Security Advisor, in consultation with the Maritime Security Board, shall designate certain foreign shipyards that pose a threat to the national security or economic security of the United States as foreign shipyards of concern, in accordance with this paragraph.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id5741c5070c4f4fb3b3258fc712eb3a82"><enum>(B)</enum><header>Notice and comment</header><text>A proposed designation under subparagraph (A) shall be subject to notice and comment in the Federal Register.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id1668c52814ae485da13fae2ad7b64220"><enum>(C)</enum><header>Annual revisions</header><text display-inline="yes-display-inline">The list of shipyards designated under this paragraph shall be revised, and new shipyards may be designated, not more frequently than once a year.</text></subparagraph></paragraph></subsection><subsection id="id6de8bb58542a4475972e3dab1cb0d3c2" commented="no"><enum>(c)</enum><header>Penalty rates; inflation</header><text>Section 60301 of title 46, United States Code, is further amended—</text><paragraph commented="no" display-inline="no-display-inline" id="idb582033a25ec4b4da411421abb065c21"><enum>(1)</enum><text display-inline="yes-display-inline">by redesignating subsection (c) as subsection (e); and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id5921b09126b7495a9af51df1d6e7b937"><enum>(2)</enum><text display-inline="yes-display-inline">by inserting after subsection (b) the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id3cad832705f2445c8931ccdb9bf87bdd"><subsection id="idb08775f26926435183954608f6c5815a"><enum>(c)</enum><header>Penalty rate</header><paragraph commented="no" display-inline="no-display-inline" id="id428cfca9305f4ba5990705f8472b5761"><enum>(1)</enum><header>In General</header><text display-inline="yes-display-inline">In accordance with paragraph (2), and in addition to the tax imposed on a vessel under subsection (b), a penalty tax with no annual limit is imposed on a vessel subject to the tax imposed under subsection (b), at a rate of—</text><subparagraph id="id3c29fe309037457386163fbbd633c966"><enum>(A)</enum><text>$5 per ton for a vessel that—</text><clause id="id75e51a568c7348a3a697ded7fecbf061"><enum>(i)</enum><text>is owned or operated by a foreign entity of concern;</text></clause><clause id="id3fa57487ea5943b2955759b9184206c7"><enum>(ii)</enum><text>is a vessel registered under a registry of a foreign country of concern;</text></clause><clause id="id1229c3a0bad848c0ae5a419db7560ca9"><enum>(iii)</enum><text>was a vessel registered under a registry of a foreign country of concern at any time during the 3 years preceding the date of the determination of the application of subsection (a) or (b); or</text></clause><clause id="id6659da05e8624630ab7874a0d59b5590" commented="no"><enum>(iv)</enum><text>is owned or operated by an entity, with respect to which—</text><subclause commented="no" display-inline="no-display-inline" id="id57bf50f361ba4993aed78aaed269aef4"><enum>(I)</enum><text display-inline="yes-display-inline">an amount equal to 50 percent or greater of the total number of vessels ordered at the time of the determination of the application of subsection (a) or (b) are vessels ordered from a shipyard of concern; or </text></subclause><subclause commented="no" display-inline="no-display-inline" id="idb00922e222a74d338b864a89bea3ccdb"><enum>(II)</enum><text display-inline="yes-display-inline">an amount equal to 50 percent or greater of the total number of vessels that the entity expects to have delivered in the period of 24 months after the time of such determination are vessels expected to be delivered by a shipyard of concern;</text></subclause></clause></subparagraph><subparagraph id="id8d0829de16c8409180a8d392d879a014" commented="no"><enum>(B)</enum><text>$3.50 per ton for a vessel that is owned or operated by an entity, with respect to which—</text><clause commented="no" display-inline="no-display-inline" id="id28405cb78f0d4994a5d460a632dd528b"><enum>(i)</enum><text display-inline="yes-display-inline">an amount equal to 25 percent or more, but less than 50 percent, of the total number of vessels ordered at the time of the determination of the application of subsection (a) or (b) are vessels ordered from a shipyard of concern; or </text></clause><clause commented="no" display-inline="no-display-inline" id="idc06bf7c5768444ebb43ab38a632a55b2"><enum>(ii)</enum><text display-inline="yes-display-inline">an amount equal to 25 percent or more, but less than 50 percent, of the total number of vessels that the entity expects to have delivered in the period of 24 months after the time of such determination are vessels expected to be delivered by a shipyard of concern;</text></clause></subparagraph><subparagraph id="id382889a7d5234d288a78cc65eaabbb54" commented="no"><enum>(C)</enum><text>$1.25 per ton for a vessel that is owned or operated by an entity with a fleet of vessels, of which an amount equal to 50 percent or more of the number of such vessels were constructed or underwent any repairs (excluding necessary repairs as described in paragraph (1) of section 466(d) of the Tariff Act of 1930 (<external-xref legal-doc="usc" parsable-cite="usc/19/1466">19 U.S.C. 1466(d)(1)</external-xref>)) in a shipyard of concern at any time during the 3 years preceding the date of the determination of the application of subsection (b).</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ida0e3f97bbbd14fc3afaebde50c7a6eae"><enum>(2)</enum><header>Highest applicable rate</header><text>A vessel with respect to which the descriptions in 2 or more subparagraphs in paragraph (1) apply, shall be subject to the highest applicable rate described in that paragraph.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id7e5032aa68ee4a498af829f7e1738244"><enum>(3)</enum><header>Definitions</header><text>In this subsection—</text><subparagraph commented="no" display-inline="no-display-inline" id="ida4476ce894ee4173aa50ee18522dde9a"><enum>(A)</enum><text display-inline="yes-display-inline">the terms <term>foreign country of concern</term> and <term>foreign entity of concern</term> have the meanings given those terms in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id167d06ea34df4bb6bccd7c91ac94138e"><enum>(B)</enum><text>the term <term>foreign shipyard of concern</term> has the meaning give that term in section 202 of that Act. </text></subparagraph></paragraph></subsection><subsection id="id3b7d9526dfe84704a114344568cd6f56"><enum>(d)</enum><header>Index for inflation</header><text>The taxes imposed under this section shall be annually increased to account for inflation.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" section-type="subsequent-section" id="id27bf7ee2a42c4c53bcec568760345ad8"><enum>203.</enum><header display-inline="yes-display-inline">Presidential suspension of tonnage taxes and light money</header><text display-inline="no-display-inline">Section 60304 of title 46, United States Code, is amended to read as follows:</text><quoted-block style="USC" display-inline="no-display-inline" id="id0C449062F05B4E9C9784ABAEA1E9F8EB"><section id="id3ba481f30faf4a00ad255f3640088506"><enum>60304.</enum><header>Presidential suspension of tonnage taxes and light money</header><subsection id="idd6bcf2d3763f46aeb19906afabebbbf6"><enum>(a)</enum><header>In general</header><text>Except as provided in subsection (b), if the President is satisfied that the government of a foreign country does not impose discriminating or countervailing duties to the disadvantage of the United States, the President may suspend the imposition of special tonnage taxes and light money under sections 60302 and 60303 of this title on vessels of that country.</text></subsection><subsection id="idd80fea8226de4f1ea61d6d2f44e9fd76"><enum>(b)</enum><header>Exception</header><text>Subsection (a) shall not apply to any vessel that—</text><paragraph id="ida9e9bb4fd6134870b35dca7389cd24d0"><enum>(1)</enum><text>is owned or operated by a foreign entity of concern (as that term is defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>);</text></paragraph><paragraph id="id758d36cd8ad4417299dcb532dc0563ec"><enum>(2)</enum><text>is a vessel registered under a registry of a foreign country of concern (as that term is defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>); or</text></paragraph><paragraph id="ida9a5e8a828564fceb13ff2ed0972e520"><enum>(3)</enum><text>was a vessel registered under a registry of a foreign country of concern (as that term is defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>) at any time during the 3 years preceding the date of the determination of the application of subsection (a).</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></section><enum>III</enum><header>Sealift capability</header><section id="ida489501c4a0941fba4901551cc3de712"><enum>301.</enum><header>Sealift capability</header><subsection id="id280713e45df14606809c917b745b9602"><enum>(a)</enum><header>In general</header><text>Subtitle V of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id8AFC5E36A2424227B8A58316709833C9"><part id="idd9bf859230f64fda9a118bdeef6645f6"><enum>H</enum><header>Strategic sealift</header><toc><toc-entry level="section">Sec.</toc-entry><toc-entry level="section">59101. Objectives and policy.</toc-entry><toc-entry level="section">59102. Procurement, maintenance, and operation.</toc-entry><toc-entry bold="off" level="section">59103. Sealift prioritization.</toc-entry><toc-entry bold="off" level="section">59104. Report on privilege.</toc-entry></toc><section id="ide80ce3a6a42f477d9f55ee61d91426be"><enum>59101.</enum><header>Objectives and policy</header><subsection id="id925c3f61ab8141e5a817a28cb54d5c0e"><enum>(a)</enum><header>Objectives</header><text>It is necessary for the national defense and economic security of the United States that the United States have vessels of the United States capable of providing and supporting strategic sealift—</text><paragraph id="id0c6f2958cd6448229d54c33c8561d211"><enum>(1)</enum><text>sufficient to meet surge defense deployment and essential economic activities for the United States in times of crisis or war;</text></paragraph><paragraph id="id75cec208fc854e71893a1eb3f3e780d9"><enum>(2)</enum><text>sufficient to respond unilaterally to national security threats in geographic areas not covered by alliance commitments and ensure economic security resilience for United States trade; and</text></paragraph><paragraph id="ide129c6110a20440db9363f54f478f7f0"><enum>(3)</enum><text>built, operated, and maintained during all times, primarily in the United States to protect and ensure national security resiliency and avoid foreign coercion of critical supply chains.</text></paragraph></subsection><subsection id="id5091bb36fe1f4b519ab5db0d67b4f510"><enum>(b)</enum><header>Policy</header><text>It is the policy of the United States to encourage and aid the development and maintenance of vessels of the United States with strategic sealift capabilities satisfying the objectives described in subsection (a).</text></subsection><subsection id="idbcbf0c5f2e1d4a51b6a1f604971847f0"><enum>(c)</enum><header>Strategy required</header><paragraph id="id605744b31acf4f5c872318ac646fba3f"><enum>(1)</enum><header>In general</header><text>The Maritime Security Board shall annually develop a strategy to leverage the financial assistance programs established under part C of this subtitle to expand the number of vessels of the United States needed to accomplish the objectives described under subsection (a).</text></paragraph><paragraph id="idcab9a85c6e1140cbb18e72ce471e4d34"><enum>(2)</enum><header>Strategy components</header><text>The strategy developed by the Maritime Security Board shall include—</text><subparagraph id="iddc8c8849c89847309a355de25ec2adbc"><enum>(A)</enum><text>annual goals for the number of vessels that will be brought into the fleet of vessels of the United States capable of providing strategic sealift utilizing the Maritime Security Fleet under chapter 531 of this title, the Cable Security Fleet under chapter 532 of this title, the Tanker Security Fleet under chapter 534 of this title, the Strategic Commercial Fleet under chapter 536 of this title, and the Shipbuilding Financial Incentives program, consistent with the most recent Mobility Capability Requirements Study produced by United States Transportation Command; and</text></subparagraph><subparagraph id="id8e546d795bfa4e8a9d344453c1c1e477"><enum>(B)</enum><text>an assessment of domestic shipbuilding capacity and a strategy to increase the capacity of the domestic shipbuilding industry utilizing the Shipbuilding Financial Incentives program.</text></subparagraph></paragraph><paragraph id="id33099eb8c8da47ce93088d5715b710ae"><enum>(3)</enum><header>National maritime strategy</header><text>The strategy developed by the Maritime Security Board under paragraph (1) shall be consistent with the National Maritime Strategy developed under section 50114.</text></paragraph></subsection><subsection id="idc398458130894694975a5eee8e68089b"><enum>(d)</enum><header>Report required</header><paragraph commented="no" display-inline="no-display-inline" id="idb3ce38fa85da46f682efcec05d608a7a"><enum>(1)</enum><header>In General</header><text display-inline="yes-display-inline">Upon completion, the Maritime Security Board shall transmit to the appropriate committees of Congress a summary of the strategy developed under subsection (c), with a classified annex as necessary.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id9284ff315981408c856bddbb2b0fea10"><enum>(2)</enum><header>Definition</header><text>In this part, the term <term>appropriate committees of Congress</term> has the meaning given that term in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>.</text></paragraph></subsection></section><section id="idee1df94a90cb4fdcbf2713a80cb4921a"><enum>59102.</enum><header>Procurement, maintenance, and operation</header><subsection id="idd6e8b51edd934915ba3b28e00d752f4c"><enum>(a)</enum><header>Statement of policy</header><text>The Maritime Administrator, in coordination with the Secretary of Defense and the Secretary of Homeland Security, shall build, acquire, maintain, coordinate, support, and operate a sufficient and privileged fleet of vessels of the United States with commercial and military sealift capability.</text></subsection><subsection id="id3f36c349dd6946d79029b64d70a55990"><enum>(b)</enum><header>Supplemental capability</header><text>In developing sealift capability under this part, the Secretary of Transportation and the Secretary of Defense shall continue to support a sufficient Maritime Security Fleet under chapter 531 of this title, a Cable Security Fleet under chapter 532 of this title, a Tanker Security Fleet under chapter 534 of this title, the Strategic Commercial Fleet under chapter 536 of this title, a Military Sealift Command of the Department of the Navy, and a Ready Reserve Force component of the National Defense Reserve Fleet under section 57100 of this title, to provide capacity and resiliency for unilateral United States strategic sealift in peace, crisis, and war.</text></subsection><subsection commented="no" id="id5fbd94465d6341b8bc912451c234a25f"><enum>(c)</enum><header>Judicial review</header><text>No court shall have jurisdiction to review decisions made by the Maritime Administrator, the Secretary of Defense, or the Secretary of Homeland Security with respect to this section.</text></subsection></section><section id="id8c573c2b3c374b0b851eafdba5843595"><enum>59103.</enum><header>Sealift prioritization</header><subsection commented="no" display-inline="no-display-inline" id="idc16738be2f0642fea8cef162b6451d96"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">In acquiring, maintaining, coordinating, and supporting a fleet of vessels capable of providing sealift capacity during wartime and crisis, the Maritime Administrator, in coordination with the Secretary of Defense, shall ensure the availability of vessels, in the following order of priority:</text><paragraph id="id96e3db64def1490b9cf5d82acab66439"><enum>(1)</enum><text>Commercial vessels of the United States.</text></paragraph><paragraph id="id2f9eb7cb22204dc28eafa61b5e25d3c4"><enum>(2)</enum><text>Vessels of the United States that are owned and operated by the United States Government.</text></paragraph><paragraph id="id5ac421f8075f48fa89d3b56a83014362"><enum>(3)</enum><text>Vessels of countries that are defense treaty allies of the United States.</text></paragraph><paragraph id="id9f31e37e36a54e4dbf84e0143efeba16"><enum>(4)</enum><text>Vessels of countries that are strategic partners of the United States.</text></paragraph></subsection><subsection commented="no" id="id3afdcf40a6c54d96b63ad42810380ea8"><enum>(b)</enum><header>Judicial review</header><text>No court shall have jurisdiction to review decisions made by the Maritime Administrator or the Secretary of Defense with respect to this section.</text></subsection></section><section id="idc146642317ee4f44935398bb897522a1"><enum>59104.</enum><header>Report on privilege</header><subsection id="id088b6fd66bb14553b51322f0f0549afa"><enum>(a)</enum><header>In general</header><text>Not later than March 1, 2026, the Secretary of Transportation, in coordination with the Secretary of Commerce, the Chair of the Federal Maritime Commission, and the Director of the Office of Management and Budget, shall submit to the appropriate committees of Congress a report including ways to ensure vessels of the United States operating in foreign commerce are privileged in regulation, taxation, fees, insurance, and policy compared to foreign vessels conducting trade with a United States domiciled entity, while remaining consistent with the international obligations of the United States.</text></subsection><subsection id="id477dcc4865b54823927fd13c2e5e398b"><enum>(b)</enum><header>Contents</header><text>In submitting the report under subsection (a), the Secretary of Transportation shall include options for regulating trade with foreign vessels in order to sustain and grow the Maritime Security Fleet under chapter 531 of this title, the Cable Security Fleet under chapter 532 of this title, the Tanker Security Fleet under chapter 534 of this title, the Strategic Commercial Fleet under chapter 536 of this title, and other vessels of the United States operating in foreign commerce.</text></subsection></section></part><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id93BD3613D94140E1BE6728A58E7FC4E5"><enum>(b)</enum><header>Clerical amendment</header><text>The table of chapters for subtitle V of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id440D01A7AE984FA3BEF4D5C98C1A9149"><toc><toc-entry bold="off" level="part">Part H—Strategic sealift</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id852c7f8484bc436e8cfb9e7ffc3d8954"><enum>302.</enum><header>National Freight Strategic Plan</header><text display-inline="no-display-inline">Section 70102(b) of title 49, United States Code, is amended—</text><paragraph id="idd34a3876b09a4e3790733347019dec71"><enum>(1)</enum><text>in paragraph (16), by striking <quote>and</quote> after the semicolon;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id73e84769bd7b40d484b27bcf8ba5d3e4"><enum>(2)</enum><text display-inline="yes-display-inline">in paragraph (17), by striking the period at the end and inserting <quote>; and</quote>; and</text></paragraph><paragraph id="idf1bb6e3704af40ca964a804e42fc6c9e"><enum>(3)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id1adc48e61b79484dbca65c7c18eb785d"><paragraph id="idd9f3c25e986e49b9a8aadd86f841f717"><enum>(18)</enum><text>consideration of United States strategic sealift objectives and strategies established under section 59101 of title 46; and</text></paragraph><paragraph id="idce08cd32f9d14067b6ae04b7a3713792"><enum>(19)</enum><text>consideration of maritime networks in multimodal freight corridors.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><section id="id6d7c052591e24bddae2c5297c204e8f0"><enum>303.</enum><header>Foreign shipping practices; controlled carriers</header><subsection id="id89c149e5698641359085854f62db772c"><enum>(a)</enum><header>Foreign shipping practices</header><text>Section 42301(b) of title 46, United States Code, is amended—</text><paragraph commented="no" id="id711b8effe88d4d0b81e56bcc7f9ce336"><enum>(1)</enum><text>in paragraph (2), by inserting <quote>or passengers</quote> after <quote>transportation of cargo</quote>; and</text></paragraph><paragraph commented="no" id="idd557db85827f4e41944368656e0620c9"><enum>(2)</enum><text>in paragraph (5), by inserting <quote>or passengers</quote> after <quote>carriage of cargo</quote>.</text></paragraph></subsection><subsection id="id9fb120acb46145eb94d4ea32fb3e3bdb"><enum>(b)</enum><header>Controlled carriers</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/407">Chapter 407</external-xref> of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="idfd33f5a4212b48b1801551a910951c25"><enum>(1)</enum><text>in section 40701—</text><subparagraph commented="no" id="idc68a816fe894434f8d22e89b18d70676"><enum>(A)</enum><text>in subsection (a)—</text><clause commented="no" id="id74b3450587814fcba06af92ae051128b"><enum>(i)</enum><text>in paragraph (1), by striking <quote>or</quote> at the end;</text></clause><clause commented="no" display-inline="no-display-inline" id="idd8e524be7408462190733eefbb3eb7ea"><enum>(ii)</enum><text>in paragraph (2), by striking the period at the end and inserting <quote>; or</quote>; and</text></clause><clause commented="no" id="idd2d3b202f7174e94860cfd182fcca9b8"><enum>(iii)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id0D9BB34E1A6B4917B0E7DB4F4B9DA136"><paragraph commented="no" id="ide636e9af50b641b5ac0295574c075297"><enum>(3)</enum><text>arrange or provide passenger transportation at a fare that is below a just and reasonable level.</text></paragraph><after-quoted-block>; </after-quoted-block></quoted-block></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id220aa8e00ce047489b4c7d119521809e"><enum>(B)</enum><text>in subsection (b), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idd93a47e12af945e6a836771c7f4acedc"><enum>(C)</enum><text display-inline="yes-display-inline">in subsection (c), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote>; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id95a8bfd7e33d44b1bc7c6466e7b934fb"><enum>(D)</enum><text>in subsection (d), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote>;</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id15560eed9a3d46419a585d40181bdc4b"><enum>(2)</enum><text>in section 40702(b)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id291871fc95e64b16b973ad36bb6a2ca9"><enum>(A)</enum><text display-inline="yes-display-inline">in the matter preceding paragraph (1), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote>;</text></subparagraph><subparagraph commented="no" id="iddb088c454b074d5db4202502a0dfe71b"><enum>(B)</enum><text>in paragraph (1), by striking <quote>rate or charge</quote> and inserting <quote>rate, charge, or fare</quote>; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id88c469313444458c977f00b48d43315e"><enum>(C)</enum><text>in paragraph (2), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote>;</text></subparagraph></paragraph><paragraph id="id011b8e9713ff4d98a6d9667f5faf946e"><enum>(3)</enum><text>in section 40703, by striking <quote>a rate, charge,</quote> and inserting <quote>a rate, fare, charge,</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id7ece292d3b21431b96b4c11dcff6a5e4"><enum>(4)</enum><text display-inline="yes-display-inline">in section 40704—</text><subparagraph commented="no" display-inline="no-display-inline" id="idadb4329ab0cb4803881e31298fd6ddad"><enum>(A)</enum><text display-inline="yes-display-inline">in subsection (a), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ida5cd6ed8f9164972a7a847427fcd9641"><enum>(B)</enum><text>in subsection (b), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id83081d77489b46ba83b2a0f2366ed333"><enum>(C)</enum><text>in subsection (c), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote> each place the term appears;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="iddc4a7398dc914b66b598791c553d983d"><enum>(D)</enum><text>in subsection (d)—</text><clause commented="no" display-inline="no-display-inline" id="idc4243fe62f87447ead37002949cd4e9a"><enum>(i)</enum><text display-inline="yes-display-inline">in paragraph (1), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote> each place the term appears; and</text></clause><clause commented="no" display-inline="no-display-inline" id="id081abc1f8c2e4d0b823998df56ea6de2"><enum>(ii)</enum><text>in paragraph (2), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote> each place the term appears; and</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id8976550fe6bb4906a55b3b93c11d0bb8"><enum>(E)</enum><text>in subsection (e), by striking <quote>rule, or regulation</quote> and inserting <quote>rule, regulation, or fare</quote> each place the term appears.</text></subparagraph></paragraph></subsection></section><enum>IV</enum><header>Vessels of the United States in international commerce</header><subtitle id="iddd4646ad105f4a03ad1fc8aca996dea8" style="OLC"><enum>A</enum><header>Strategic sealift programs</header><section id="id9f432e34eabc4c5ea3d818bfdc7a838f"><enum>401.</enum><header>Strategic Commercial Fleet</header><subsection commented="no" display-inline="no-display-inline" id="idadac371c8c6a4b289c381f19c0e2d535"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Part C of subtitle V of title 46, United States Code, is amended by inserting after chapter 535 the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="idc2a6eb079a074d26b9129ae732aa95b3"><chapter id="id5ef4701c40a649d688a25fd8e45cafca" style="OLC"><enum>536</enum><header>Strategic Commercial Fleet</header><toc><toc-entry level="section">Sec.</toc-entry><toc-entry level="section">53601. Definitions.</toc-entry><toc-entry level="section">53602. Establishment of Strategic Commercial Fleet.</toc-entry><toc-entry level="section">53603. Operating agreements.</toc-entry><toc-entry level="section">53604. Payments.</toc-entry><toc-entry level="section">53605. National security requirements.</toc-entry><toc-entry level="section">53606. Regulations.</toc-entry></toc><section id="idCCB2E0D00A7D4E26B35DF27C7FBA1C50"><enum>53601.</enum><header>Definitions</header><text display-inline="no-display-inline">In this chapter:</text><paragraph commented="no" display-inline="no-display-inline" id="id1fe872d658cd4ea68e3bf4177d3316c3"><enum>(1)</enum><header>Administrator</header><text>The term <term>Administrator</term> means the Maritime Administrator.</text></paragraph><paragraph id="id1cebd177ea0c4dff8496ebc163ad6bdd"><enum>(2)</enum><header>Appropriate committees of congress</header><text>The term <term>appropriate committees of Congress</term> means—</text><subparagraph id="idf33dd266cabc4db285500ffda6f253e3"><enum>(A)</enum><text>the Committee on Armed Services, the Committee on Commerce, Science, and Transportation, and the Committee on Appropriations of the Senate; and</text></subparagraph><subparagraph id="id759b124552744f77a174aac958f1353a"><enum>(B)</enum><text>the Committee on Armed Services, the Committee on Transportation and Infrastructure, and the Committee on Appropriations of the House of Representatives.</text></subparagraph></paragraph><paragraph commented="no" id="idcc7f69283a324f5bb208840259f6d2e1"><enum>(3)</enum><header>Coastwise trade</header><text>The term <term>coastwise trade</term> means commerce or trade that is subject to the requirements of section 55102.</text></paragraph><paragraph id="id56ef328f8dd04f8b8a0e65ff1bc613f6"><enum>(4)</enum><header>Covered entity</header><text>The term <term>covered entity</term> means—</text><subparagraph commented="no" display-inline="no-display-inline" id="id94b264c791b841cab25c3157d05f7bce"><enum>(A)</enum><text display-inline="yes-display-inline">any owner or operator of a vessel eligible under section 53602(d); or</text></subparagraph><subparagraph commented="no" id="idd68ecf55adb74008a5710fa90ed90562"><enum>(B)</enum><text>a bid team consisting of—</text><clause commented="no" display-inline="no-display-inline" id="idcecfdf4de5b24d69a6de45f6d3f6f4df"><enum>(i)</enum><text display-inline="yes-display-inline">an entity eligible under subparagraph (A);</text></clause><clause commented="no" display-inline="no-display-inline" id="id58cc330618694ddc8ee54eff5221ab92"><enum>(ii)</enum><text display-inline="yes-display-inline">a shipyard in the United States with the ability, experience, financial resources, and other qualifications necessary for—</text><subclause commented="no" display-inline="no-display-inline" id="ideea410062e2f407bb7792a212863cf57"><enum>(I)</enum><text display-inline="yes-display-inline">the construction of a vessel eligible for inclusion in the Strategic Commercial Fleet; or</text></subclause><subclause commented="no" display-inline="no-display-inline" id="idf592a674967e4b2cb74eec4f6722b48e"><enum>(II)</enum><text display-inline="yes-display-inline">the repair of such a vessel; and</text></subclause></clause><clause id="idbb79e3edf8dd452287f66d0630079356"><enum>(iii)</enum><text>another legal entity that is not a foreign entity of concern.</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idd09d4dd31aa44bf5a5c1516a46c4b13b"><enum>(5)</enum><header>Fleet</header><text>The term <term>Fleet</term> means the Strategic Commercial Fleet established under section 53602.</text></paragraph><paragraph commented="no" id="id819d30c7d0a844358e76ec3e2ec5931b"><enum>(6)</enum><header>Foreign commerce</header><text>The term <term>foreign commerce</term> means—</text><subparagraph id="idb3b30bfff7884361adec79ad39123ad4"><enum>(A)</enum><text>commerce or trade between the United States, its territories or possessions, or the District of Columbia, and a foreign country; and</text></subparagraph><subparagraph id="id46b7288ab9204c1ea308ee1ecb79f2b2"><enum>(B)</enum><text>commerce or trade between foreign countries.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id877c04fe60834d58b0ba36eae0bd9ee1"><enum>(7)</enum><header display-inline="yes-display-inline">Foreign country of concern; foreign entity of concern</header><text>The terms <term>foreign country of concern</term> and <term>foreign entity of concern</term> have the meanings given such terms in section 4 of the <short-title>Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025</short-title>.</text></paragraph><paragraph id="id087da537e7454e2ea6efbe3a39aa8ef7"><enum>(8)</enum><header>Qualified foreign built vessel</header><text>The term <term>qualified foreign built vessel</term>—</text><subparagraph id="ida17f9e51fe374daf98a66e28c9e36902"><enum>(A)</enum><text>means a vessel that—</text><clause commented="no" display-inline="no-display-inline" id="idf86b50b4169a46ae99f2caf1fc49c1d1"><enum>(i)</enum><text display-inline="yes-display-inline">is not more than 14 years of age;</text></clause><clause id="idcdc1fdabf60f40e3822e8f5d7167ea17"><enum>(ii)</enum><text>is, prior to entry into the Fleet, documented under the laws of the United States; and</text></clause><clause commented="no" display-inline="no-display-inline" id="idaedbc2ced7794d108d49fbecdf73aaf6"><enum>(iii)</enum><text display-inline="yes-display-inline">was constructed (or reconstructed) outside the United States; and</text></clause></subparagraph><subparagraph id="id0c3e00032d6f4789b7e03e9b723af01c"><enum>(B)</enum><text>does not include a vessel that—</text><clause id="id51cfcb52c53a430bae9b4ba33c7c67d2"><enum>(i)</enum><text>was owned or operated by a foreign entity of concern;</text></clause><clause id="id44932c164c9b43eaabc05d787f9f7364"><enum>(ii)</enum><text>is a vessel of a foreign country of concern;</text></clause><clause id="id14ae9990d6954ced99c20d68cd42a092"><enum>(iii)</enum><text>was constructed by a shipyard that was owned or operated by a foreign entity of concern or located in a foreign country of concern; or</text></clause><clause id="idf7efe585742c43438c41984ae4fcb7a9"><enum>(iv)</enum><text>was registered as a vessel of a foreign country of concern at any time during the 3 years prior to entry into the Fleet.</text></clause></subparagraph></paragraph><paragraph id="idab8f87fa451b4f43ac9b63fc7047a298"><enum>(9)</enum><header>United States built vessel</header><text>The term <term>United States built vessel</term> means a vessel that is constructed in the United States (and, if reconstructed, reconstructed in the United States).</text></paragraph><paragraph id="id86a9b373ec964fbd82cc5b4cadd76143"><enum>(10)</enum><header>United States citizen trust</header><text>The term <term>United States citizen trust</term> has the meaning given such term in section 53201.</text></paragraph></section><section commented="no" display-inline="no-display-inline" section-type="subsequent-section" id="idf915bae268914ed09478004798a448e7"><enum>53602.</enum><header display-inline="yes-display-inline">Establishment of Strategic Commercial Fleet</header><subsection id="id0a3636d45a394afd90049f2246388067"><enum>(a)</enum><header>In general</header><text>The Administrator, in consultation with the Secretary of Defense, shall establish a fleet, to be known as the <quote>Strategic Commercial Fleet</quote>, of active, commercially viable, militarily useful, privately owned vessels to meet national defense and other security requirements and maintain a United States presence in international commercial shipping.</text></subsection><subsection id="id60a82d1094ea4deb8a0e90281d086209"><enum>(b)</enum><header>Number of vessels</header><text>The Administrator shall seek to select eligible vessels described in subsection (d) for the Fleet through an annual competitive selection process in accordance with the annual target number for the Fleet recommended by the Maritime Security Board under section 50401(b)(2)(B)(i). Through such annual selection process, the Administrator shall—</text><paragraph id="id3ddb4b6b423a40fcb936129b2756876e"><enum>(1)</enum><text>select for inclusion in the Fleet not fewer than 10 vessels in the 12-month period that begins on the date that is 2 years after the date of enactment of this section;</text></paragraph><paragraph id="id2d5e23a451ae454794b6a77dc6267b6e"><enum>(2)</enum><text>increase the number of vessels selected for inclusion in the Fleet annually such that not later than 5 years after such date of enactment, not fewer than 20 vessels are selected for such inclusion annually; and</text></paragraph><paragraph id="id99acc3b725ff4f62a7844fe4ee2dcfd1"><enum>(3)</enum><text>ensure that the total number of vessels included in the fleet shall be not more than 250 vessels at any point in time.</text></paragraph></subsection><subsection id="id57bd8a8fec294621bc9af255f71a26f5"><enum>(c)</enum><header>Solicitation; entry into fleet</header><paragraph id="idd1a5d775d7a041cfaed9d4f75a4e22ab"><enum>(1)</enum><header>Solicitation</header><subparagraph commented="no" display-inline="no-display-inline" id="idb3434e90865448a0a81ccc25d8caba08"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text>Not later than 1 year after the date of enactment of this section, the Administrator shall solicit applications from covered entities to competitively select vessels that are eligible under subsection (d) and meet the requirements of this subsection for inclusion in the Fleet.</text></subparagraph><subparagraph id="idd179220344114fcf9c1c69475d1885a2"><enum>(B)</enum><header>Public solicitation requirements</header><text>In soliciting applications under subparagraph (A), the Administrator—</text><clause commented="no" display-inline="no-display-inline" id="id22f4b8537e334a299b1ca27c71ab0101"><enum>(i)</enum><text display-inline="yes-display-inline">shall—</text><subclause commented="no" display-inline="no-display-inline" id="idd9d9d9c9a46047a5aab905185269c835"><enum>(I)</enum><text display-inline="yes-display-inline">publish a notice in the Federal Register, which, at a minimum, identifies the requirements for the number of vessels as established by the Administrator and the Maritime Security Board under subsection (b); and</text></subclause><subclause commented="no" display-inline="no-display-inline" id="ide157dde1541b4593a3c0434f43a8ba91"><enum>(II)</enum><text display-inline="yes-display-inline">allow applicants not less than 30 days to submit an application for entry into the Fleet; and</text></subclause></clause><clause id="id40b9d3662b99407887676ade42af9399"><enum>(ii)</enum><text>may, in coordination with the Maritime Security Board, include in the notice in the Federal Register—</text><subclause id="id35b6048f0f3a4fcfb3a3e4e354844c61"><enum>(I)</enum><text>target numbers for each vessel type that will be selected for inclusion in the Fleet each year; and</text></subclause><subclause id="idf424f7ec377a461cb34bccaf13b7efc9"><enum>(II)</enum><text>guidance on proposed annual operating support payments and annual capital support payments for each vessel type solicited, to ensure—</text><item commented="no" display-inline="no-display-inline" id="id6ccc998952d34016902c485703f4bded"><enum>(aa)</enum><text display-inline="yes-display-inline">covered entities submit applications that are priced competitively and meet the needs of the Fleet; and</text></item><item commented="no" display-inline="no-display-inline" id="idadfd7d88a2224b188b65542374cf13a8"><enum>(bb)</enum><text display-inline="yes-display-inline">there is a competitive selection process as described in this section.</text></item></subclause></clause></subparagraph></paragraph><paragraph id="idc12eb2351ebe4e51b8b810db08ac7ca0"><enum>(2)</enum><header>Eligible applications</header><text>The Administrator shall solicit and accept applications in separate processes for each of the following:</text><subparagraph id="id5f12b1d20544498ea0e34c80c94c7dda"><enum>(A)</enum><header>Newly constructed vessels</header><clause id="id4edc637112fc485c9981e3a740eccaec"><enum>(i)</enum><header>In general</header><text>A covered entity may submit an application for the Fleet that involves the construction of a United States built vessel and operation of such vessel as a vessel of the United States in foreign commerce.</text></clause><clause id="idb86f9b40206f488d981917453d93d143"><enum>(ii)</enum><header>Interim vessel</header><text>An application described in clause (i) from a covered entity may include a proposal for the use of an interim vessel, if such proposal provides that—</text><subclause id="id641ff5b310c4495eb239c759a5fa4e52"><enum>(I)</enum><text>the covered entity will operate a qualified foreign-built vessel as a vessel of the United States in foreign commerce as part of the Fleet until the United States built vessel described in such clause enters the Fleet, in accordance with the milestones established within the operating agreement under section 53603(c)(1);</text></subclause><subclause id="id198beb29367e45b3a2421ac52d4944f9"><enum>(II)</enum><text>when the United States built vessel enters the Fleet or the covered entity fails to meet milestones established in the operating agreement, the qualified foreign-built vessel shall be removed from the Fleet; and</text></subclause><subclause id="id47382e6dff414aa1b502793885c7cad5"><enum>(III)</enum><text>the covered entity may then transfer and register the qualified foreign-built vessel under a registry of any foreign country that is not a foreign country of concern.</text></subclause></clause></subparagraph><subparagraph id="id0d30a797d22e495e831c5aec6dcf3da5"><enum>(B)</enum><header>Qualified foreign-built vessels</header><clause id="id4c3a0cd1b96d4c0ea4c6d3b370decae5"><enum>(i)</enum><header>In general</header><text>Through fiscal year 2030, a covered entity may submit an application for the Fleet that involves the operation of a qualified foreign-built vessel as a vessel of the United States in foreign commerce.</text></clause><clause id="id2b94f3e48f65443c98dcc750c023f8a4"><enum>(ii)</enum><header>Exception</header><text>After fiscal year 2030, the Administrator may not enter into a new agreement to bring a qualified foreign-built vessel into the Fleet unless—</text><subclause id="id2c4b6ae06fbf4305bfcc5a680e139577"><enum>(I)</enum><text>the vessel is operating as an interim vessel under subparagraph (A)(ii); or</text></subclause><subclause id="id896a7d62f2c24dfc99e70952b9e459c1"><enum>(II)</enum><text>the Administrator and Secretary of Defense, in consultation with the Maritime Security Board, jointly certify to the appropriate committees of Congress that adding additional qualified foreign-built vessels to the Fleet is necessary for the national security of the United States until replaced by a newly constructed vessel to meet the schedule under subsection (b).</text></subclause></clause></subparagraph></paragraph><paragraph id="id397acfb7290d4b1d9675a48db2f8df5e"><enum>(3)</enum><header>Procedure</header><subparagraph commented="no" display-inline="no-display-inline" id="id9e708da42e2943b88fdcc74f8bf2f6db"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">A covered entity desiring to have a vessel selected for the Fleet shall submit an eligible application under paragraph (2) as at such time, in such manner, and containing such information as the Administrator may require. Such application shall include—</text><clause id="id970476c5e3c649bdb7af8f91660c5436"><enum>(i)</enum><text>a proposed annual operating support payment, which may cover the difference in operating costs (including costs associated with vessel repair) associated with operating the vessel as a vessel of the United States as compared to a fair and reasonable estimate of the cost of operating that type of vessel under the laws of a foreign country;</text></clause><clause commented="no" id="idca3c8b3107284f8abf63cf84ec4f7300"><enum>(ii)</enum><text>in the case of an application described in paragraph (2)(A), a proposed annual capital support payment, which may cover the difference in capital costs associated with constructing the vessel in the United States as compared to a fair and reasonable estimate of the cost of constructing that type of vessel in a foreign shipyard; and</text></clause><clause id="idf545f75e32bf4051bcbb6249eb3946d9"><enum>(iii)</enum><text>any other support payments needed to make a vessel commercially viable in foreign commerce.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id6688ed84e1c2443d9d1c46890a1aaa26"><enum>(B)</enum><header>Bid team</header><text>In the case of an eligible entity that is a bid team described in section 53601(4)(B), such team shall jointly submit an application under this subsection for inclusion in the Fleet.</text></subparagraph></paragraph><paragraph id="id2ae8c371da9d47f2b42f53d6ed8c0953"><enum>(4)</enum><header>Acceptance into fleet</header><subparagraph id="idf5e21ff089474a929a025879574677a2"><enum>(A)</enum><header>In general</header><text>The Administrator shall evaluate eligible applications submitted under this subsection in order to, in accordance with this paragraph, select applications that meet the requirements of this section for acceptance in the Fleet.</text></subparagraph><subparagraph id="id62be2746481f4ef9939ed3551f8ceaa7"><enum>(B)</enum><header>Citizenship preference</header><text>In selecting applications to meet the requirements of this section, the Administrator shall ensure, to the extent sufficient qualified applications are received under this subsection, that not less than 25 percent of vessels selected for the Fleet shall be owned or operated by a covered entity that is, or a bid team led by, a citizen of the United States under section 50501.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id5403c021b4884a0b9946f77544061886"><enum>(C)</enum><header>Priority</header><text>In evaluating eligible applications for selection in the Fleet and subject to subparagraph (B), the Administrator shall give priority to—</text><clause id="id7d3accb71f79406abcf6a05808fec073"><enum>(i)</enum><text>applications that represent the best value to the Federal Government; and</text></clause><clause id="id68102483add14175841bf83b7e137030"><enum>(ii)</enum><text>applications for vessels, or for vessels providing services, that are determined by the Maritime Security Board to have capabilities critical to the national and economic security of the United States.</text></clause></subparagraph><subparagraph commented="no" id="id12c29a8137e44907a28ae47855e0ff9a"><enum>(D)</enum><header>Relationship to the tanker security fleet</header><text>If the most recent Mobility Capability Requirements Study produced by United States Transportation Command identifies a need for a fleet of tanker vessels that are vessels of the United States that exceeds the size of the Tanker Security Fleet established under chapter 534 of this title, the Administrator, in coordination with the Maritime Security Board, may select for inclusion in the Fleet a number of tanker vessels that is consistent with the requirements of the Study.</text></subparagraph><subparagraph id="id8bb2bb4dfd6140c58fffa7bf28117d76"><enum>(E)</enum><header>Considerations for review</header><text>In evaluating eligible applications submitted under this subsection for selection in the Fleet, the Administrator shall—</text><clause id="idef27ddcd436240ca8abd35cd04f4def7"><enum>(i)</enum><text>determine that any vessel so selected will be suitable for use by the United States for national defense or military purposes in time of war or national emergency;</text></clause><clause id="idb245edad4f8340dcbc4971c74b44ce2a"><enum>(ii)</enum><text>determine that any vessel so selected will aid in the promotion and development of foreign commerce;</text></clause><clause id="id056f0754e30543c4a3350f997e68fe0c"><enum>(iii)</enum><text>determine that—</text><subclause commented="no" display-inline="no-display-inline" id="id1790978352464fc5869b277bc592e908"><enum>(I)</enum><text display-inline="yes-display-inline">the proposed use of the vessel in commercial service is reasonable; and</text></subclause><subclause commented="no" display-inline="no-display-inline" id="idfbc2de8bb6d84633b041013877d32b66"><enum>(II)</enum><text display-inline="yes-display-inline">the owner or operator of the vessel possesses the ability, experience, financial resources, and other qualifications necessary for the operation and maintenance of the vessel;</text></subclause></clause><clause id="id7ad248c05fdd4ac69ae45b575a9a60fe"><enum>(iv)</enum><text>determine that a shipyard selected to construct a vessel under this section possesses the ability, experience, financial resources, equipment, and other qualifications necessary to properly construct the vessel;</text></clause><clause id="idcc59469e38974997a9a4253b8a985c35"><enum>(v)</enum><text>determine that the price for the construction (if applicable) and operation of a vessel under this section is fair and reasonable;</text></clause><clause id="idac011c174612452397e189546c39b5cf"><enum>(vi)</enum><text>consider whether the covered entity commits to—</text><subclause commented="no" display-inline="no-display-inline" id="idb5ed7dea59344895b2b028d41ad72e0d"><enum>(I)</enum><text display-inline="yes-display-inline">use equipment, materials, and supplies that are produced in the United States; and</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id10014d342c034919888df45a7ed6d935"><enum>(II)</enum><text display-inline="yes-display-inline">utilize, to the maximum extent practicable, subcontractors and suppliers that are based in the United States;</text></subclause></clause><clause id="idbefb51a950b54a57978e94eaeebfaf19"><enum>(vii)</enum><text>consider whether the covered entity commits to repair, repower, and recondition a vessel under this section in a shipyard in the United States; and</text></clause><clause id="idbacb049124d94b989fac07a08f7edb14"><enum>(viii)</enum><text>consider whether the covered entity has made commitments to worker and community investment, including through—</text><subclause id="id3235008eb31e44b6a55d501420faf5bb"><enum>(I)</enum><text>programs to expand employment opportunity for economically disadvantaged individuals; or</text></subclause><subclause id="iddf944e31569f4688b757d0e70216cdc6"><enum>(II)</enum><text>securing commitments from regional educational and training entities and institutions of higher education, as defined in section 102 of the Higher Education Act of 1965 (<external-xref legal-doc="usc" parsable-cite="usc/20/1002">20 U.S.C. 1002</external-xref>), to provide workforce training, including programming for training and job placement of economically disadvantaged individuals.</text></subclause></clause></subparagraph></paragraph><paragraph id="id8b23338960a34d18a43292f6f8e8523d"><enum>(5)</enum><header>Timing</header><subparagraph id="id0ea55e5ddb9e46ca83efb6b90b3a5096"><enum>(A)</enum><header>Qualified foreign vessel</header><text>Not later than 180 days after entering into an operating agreement under section 53603 with a covered entity for inclusion of a qualified foreign-built vessel into the Fleet, such vessel shall be placed into service as part of the Fleet.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id9a6af33d55e34101836da4ceebc63ba3"><enum>(B)</enum><header>Newly constructed vessel</header><text display-inline="yes-display-inline">Not later than 36 months after entering into an operating agreement under section 53603 with a covered entity for inclusion of a newly constructed United States built vessel described in paragraph (2)(A), such vessel shall be placed into service as part of the Fleet.</text></subparagraph><subparagraph id="idcc5a0fe321f34b46b234a70eca54b817"><enum>(C)</enum><header>Delayed admission</header><text>The Administrator may delay the entry of a vessel selected to participate in the Fleet for—</text><clause id="idd61b837b8a034cbf8bfb47fa8d1987ef"><enum>(i)</enum><text>a delay in the construction of such vessel; or</text></clause><clause id="idc1ea1619dcef496f994890eaff455ec8"><enum>(ii)</enum><text>difficulty of the owner or operator of such vessel in recruiting United States mariners as required under section 53603(b)(1)(A).</text></clause></subparagraph></paragraph></subsection><subsection id="id42ace90d5c5f4526873b726bc7e584d1"><enum>(d)</enum><header>Vessel eligibility</header><text>A vessel is eligible to be included in the Fleet if—</text><paragraph id="id2b63f67223474f1eb2c32999a6e2033b"><enum>(1)</enum><text>the vessel—</text><subparagraph id="id7ba309bf66e44796a9b67e4e3331e398"><enum>(A)</enum><text>is a vessel of the United States; or</text></subparagraph><subparagraph id="idfc20c27e62e94ad1a30595cd490a4880"><enum>(B)</enum><text>is not a vessel of the United States, but—</text><clause id="id919aeea21449443e839488f95de27413"><enum>(i)</enum><text>the owner of the vessel has demonstrated an intent to have the vessel documented under chapter 121 of this title if it is included in the Fleet; and</text></clause><clause id="idc1fdcf73612f48469d242e4362ca9463"><enum>(ii)</enum><text>by the time an operating agreement is entered into under section 53603, the vessel is documented under chapter 121 of this title;</text></clause></subparagraph></paragraph><paragraph id="id59b18ee9f81a49ab92cfa9dc4b426cae"><enum>(2)</enum><text>the vessel is a United States built vessel or a qualified foreign-built vessel;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ida997f6683d6345c481e94ff3e337e50d"><enum>(3)</enum><text display-inline="yes-display-inline">the vessel is—</text><subparagraph id="idf0f6d9944d914aee8491e8d03f779d60"><enum>(A)</enum><text>a bulk carrier vessel;</text></subparagraph><subparagraph id="idd97d91073bcd435c99d584b5333a2eac"><enum>(B)</enum><text>a tanker vessel;</text></subparagraph><subparagraph id="id2502fb9782a74e008f672292ca0840d4"><enum>(C)</enum><text>a roll-on/roll-off vessel;</text></subparagraph><subparagraph id="id6f75c4ac353a497fa721dcfe5a85a9c9"><enum>(D)</enum><text>a liquefied natural gas tanker vessel;</text></subparagraph><subparagraph id="idae17878be7fb41b48111b0a80738d38d"><enum>(E)</enum><text>a container vessel;</text></subparagraph><subparagraph id="id26e6b53598a34191805ae7e88aebfc13"><enum>(F)</enum><text>a multi-purpose vessel;</text></subparagraph><subparagraph id="id82aca87207a840c9ab09dafe3f93d717"><enum>(G)</enum><text>a cable vessel (as defined in section 53201 of this title);</text></subparagraph><subparagraph id="id0f820e0cf60049f680c38849a2c9a197"><enum>(H)</enum><text>a heavy-lift vessel; or</text></subparagraph><subparagraph id="id3e2d6d9129914a9d9721e3b0592bf289"><enum>(I)</enum><text>any other type of vessel determined appropriate by the Administrator, in consultation with the Maritime Security Board;</text></subparagraph></paragraph><paragraph id="id1a4f49cc111f4d9ba04d7641d49f454d"><enum>(4)</enum><text>the vessel is operated (or will be operated) in providing transportation in foreign commerce;</text></paragraph><paragraph id="id920af7e5ac6f49bba288f6c726c3eb75"><enum>(5)</enum><text>the vessel meets the requirements of paragraph (1), (2), (3), or (4) of subsection (e);</text></paragraph><paragraph id="id0b14e962984049e89c4a46923d61cc35"><enum>(6)</enum><text>the vessel—</text><subparagraph id="ide98fa4bd17944ad58fd9555cdb581eac"><enum>(A)</enum><text>is suitable for use by the United States for national defense or military purposes in time of war or national emergency, as determined by the Secretary of Defense;</text></subparagraph><subparagraph id="id2b33785818a14180831bd08d24e72135"><enum>(B)</enum><text>is commercially viable, as determined by the Administrator; and</text></subparagraph><subparagraph id="id0fbf3ea495914c2c9b300beab687fe1f"><enum>(C)</enum><text>has dedicated space for the training of—</text><clause id="id65bc4634f17d4314884065011c0ebac6"><enum>(i)</enum><text>cadets of the Merchant Marine Academy consistent with the requirements of section 51307(b);</text></clause><clause id="iddfe2570cb9754d1dbddf89a99e61cee3"><enum>(ii)</enum><text>students of a State maritime academy, consistent with the requirements of section 51507; or</text></clause><clause id="id9ab65a8a6192436c9133ca68b1d1c7b3"><enum>(iii)</enum><text>participants in another workforce training program identified by the Administrator; and</text></clause></subparagraph></paragraph><paragraph id="idd8cac0646e654563acca81aa8b48fb07"><enum>(7)</enum><text>the vessel will, for the period of an operating agreement under section 53603 that applies to the vessel, meet any other requirement determined appropriate by the Administrator.</text></paragraph></subsection><subsection id="idb0afcd46a2314911a1a52afbd9e27cce"><enum>(e)</enum><header>Requirements regarding citizenship of owners, charterers, and operators</header><paragraph id="ide9281c1b24cc42e5bbb06de6503a4e92"><enum>(1)</enum><header>Vessel owned and operated by section 50501 citizens</header><text>A vessel meets the requirements of this paragraph if, during the period of an operating agreement under this chapter that applies to the vessel, the vessel will be owned and operated by 1 or more persons that are citizens of the United States under section 50501.</text></paragraph><paragraph id="id6d612a4422a94bbdbf37965a251d869c"><enum>(2)</enum><header>Vessel owned by section 50501 citizen or United States citizen trust and chartered to documentation citizen</header><text>A vessel meets the requirements of this paragraph if—</text><subparagraph id="idcecbbcb8573e4cbc92fe8125ea35ab42"><enum>(A)</enum><text>during the period of an operating agreement under this chapter that applies to the vessel, the vessel will be—</text><clause id="id8e0a6a338c114877b70a601dac9b8fb2"><enum>(i)</enum><text>owned by a person that is a citizen of the United States under section 50501 of this title or that is a United States citizen trust; and</text></clause><clause id="id18203e3b5ab749feb7aca6695ec9f51b"><enum>(ii)</enum><text>demise chartered to a person—</text><subclause id="id325694af30c14ec8b0f75fa6b46d2255"><enum>(I)</enum><text>that is eligible to document the vessel under chapter 121 of this title;</text></subclause><subclause id="idb0aa271e5b8e489f9820e25a33fce0f5"><enum>(II)</enum><text>the chairman of the board of directors, chief executive officer, and a majority of the members of the board of directors of which are citizens of the United States under section 50501 of this title, and are appointed and subjected to removal only upon approval by the Administrator; and</text></subclause><subclause id="id5948920130714fcb8f18a268829f4ecf"><enum>(III)</enum><text>that certifies to the Administrator that there are no treaties, statutes, regulations, or other laws that would prohibit the covered entity for the vessel from performing its obligations under an operating agreement under this chapter;</text></subclause></clause></subparagraph><subparagraph id="id9f21909a174142a5a28bd22b4cfd1cf7"><enum>(B)</enum><text>in the case of a vessel that will be demise chartered to a person that is owned or controlled by another person that is not a citizen of the United States under section 50501 of this title, the other person enters into an agreement with the Administrator not to influence the operation of the vessel in a manner that will adversely affect the interests of the United States; and</text></subparagraph><subparagraph id="idba9701e505b344eea3f527ec7f400f07"><enum>(C)</enum><text>the Administrator and the Secretary of Defense notify the appropriate committees of Congress that they concur with the certification required under subparagraph (A)(ii)(III) and have reviewed and agree that there are no other legal, operational, or other impediments that would prohibit the covered entity for the vessel from performing its obligations under an operating agreement under this chapter.</text></subparagraph></paragraph><paragraph id="idc51a02966acb4b9cb5115a44368388f0"><enum>(3)</enum><header>Vessel owned and operated by defense contractor</header><text>A vessel meets the requirements of this paragraph if—</text><subparagraph id="id7015589a19724e2ab8b1de4ebe999cca"><enum>(A)</enum><text>during the period of an operating agreement under this chapter that applies to the vessel, the vessel will be owned and operated by a person that—</text><clause id="id1b370918d96b43599d094e62e17f9818"><enum>(i)</enum><text>is eligible to document a vessel under chapter 121 of this title;</text></clause><clause id="id8e171dccc7404a4cadd69bca593cd207"><enum>(ii)</enum><text>operates or manages other United States-documented vessels for the Secretary of Defense, or charters other vessels to the Secretary of Defense;</text></clause><clause id="idd946752d2bea4b0bab5561fa17298c3e"><enum>(iii)</enum><text>has entered into a special security agreement for purposes of this paragraph with the Secretary of Defense;</text></clause><clause id="id7d1bcd4e34884a2db6d32e9eb7f40f58"><enum>(iv)</enum><text>makes the certification described in paragraph (2)(A)(ii)(III); and</text></clause><clause id="idef82a52bcd424ee49e002590f9e6025d"><enum>(v)</enum><text>in the case of a vessel described in paragraph (2)(B), enters into an agreement referred to in that paragraph; and</text></clause></subparagraph><subparagraph id="id1d0182db08414c58b785d4b0d2e0312a"><enum>(B)</enum><text>the Administrator and the Secretary of Defense notify the appropriate committees of Congress that they concur with the certification required under subparagraph (A)(iv), and have reviewed and agree that there are no other legal, operational, or other impediments that would prohibit the covered entity for the vessel from performing its obligations under an operating agreement under this chapter.</text></subparagraph></paragraph><paragraph id="id03bac3c51fca42998d150405fbdf0364"><enum>(4)</enum><header>Vessel owned by documentation citizen and chartered to section 50501 citizen</header><text>A vessel meets the requirements of this paragraph if, during the period of an operating agreement under this chapter that applies to the vessel, the vessel will be—</text><subparagraph id="id37f53b85f1514e3c978c6c825cdf9f00"><enum>(A)</enum><text>owned by a person that is eligible to document a vessel under chapter 121; and</text></subparagraph><subparagraph id="id7e63e3baa1ac40e581282ef12f21a0fa"><enum>(B)</enum><text>demise chartered to a person that is a citizen of the United States under section 50501.</text></subparagraph></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="id4f22d32dc55a4a35b1e2b88e0298b468"><enum>53603.</enum><header>Operating agreements</header><subsection id="idb82851eb374a4f5f90f7e533656dc760"><enum>(a)</enum><header>In general</header><text>The Administrator shall require, as a condition of including any vessel in the Fleet, that the covered entity for the vessel enter into an operating agreement under this section.</text></subsection><subsection id="id6cbdd4b6b8034433b5965d24bb6384f0"><enum>(b)</enum><header>Requirements</header><paragraph commented="no" display-inline="no-display-inline" id="idcf541595cab44552b2e51043237c28dc"><enum>(1)</enum><header>General requirements</header><text display-inline="yes-display-inline">An operating agreement required under subsection (a) shall require the vessel subject to such agreement to meet the following requirements:</text><subparagraph commented="no" display-inline="no-display-inline" id="idd21bbbffdae8483fa909850f40b5f0ad"><enum>(A)</enum><text display-inline="yes-display-inline">During the period in which the vessel is operating under the agreement—</text><clause id="id7b62f35fe0ec4b0e8b8dd61a374fbba1"><enum>(i)</enum><text>the vessel will be crewed in accordance with section 8103 of title 46, United States Code;</text></clause><clause id="id170b3db02bea4a86aa0f52bb2a0fd3f3"><enum>(ii)</enum><text>the vessel shall be operated within the Fleet exclusively in foreign commerce and not in coastwise trade;</text></clause><clause id="id9a4d8530e01f4d05abc892bef7290a32"><enum>(iii)</enum><text>the covered entity will have in effect an emergency preparedness agreement described in section 53605 for the period of such agreement; and</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idbd48d7a1b0e444389eaf550fa0855bd9"><enum>(B)</enum><text display-inline="yes-display-inline">Beginning on the first day of the operating agreement, the vessel will be permanently ineligible for a coastwise endorsement under section 12112 of this title or to otherwise participate in the coastwise trade, even if the operating agreement is terminated or not renewed.</text></subparagraph></paragraph><paragraph id="idb33abdf8ad5443169610dc46ee2c5fc6"><enum>(2)</enum><header>Vessel repair requirements</header><subparagraph commented="no" display-inline="no-display-inline" id="id8f3ea163b81e497c9eca46d54e73d7e3"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Subject to subparagraphs (B) and (C), the operating agreement required under subsection (a) shall—</text><clause id="id0fbc3ab40d344c5288a7771696bf937c"><enum>(i)</enum><text>require that the vessel subject to such agreement undergo a set percentage, agreed to between the Administrator and the covered entity, of repair work (excluding necessary repairs as described in paragraph (1) of section 466(d) of the Tariff Act of 1930 (<external-xref legal-doc="usc" parsable-cite="usc/19/1466">19 U.S.C. 1466(d)(1)</external-xref>)) at a shipyard in the United States; and</text></clause><clause id="id1efe55c435b14b088b9b25fdd815a892"><enum>(ii)</enum><text>prohibit the vessel subject to such agreement from receiving repairs at a shipyard in a foreign country of concern (as defined in section 4 of the SHIPS for America Act of 2025).</text></clause></subparagraph><subparagraph id="id3e3ea258713c47edb7eaa77647fd1361"><enum>(B)</enum><header>Exception for interim vessels</header><text>The requirements of clauses (i) and (ii) of subparagraph (A) shall not apply to interim vessels included in the fleet under 53602(c)(2)(A)(ii).</text></subparagraph><subparagraph id="id2d481c5ace41493c9bf9a69e39d8d782"><enum>(C)</enum><header>Authority of the Secretary of Transportation</header><text>Notwithstanding any other provision of law, the Secretary of Transportation may modify or waive any requirement of subparagraph (A) only if the Secretary, in consultation with the Maritime Security Board—</text><clause commented="no" display-inline="no-display-inline" id="id98817da7da01426fbe6a2512368cbc61"><enum>(i)</enum><text display-inline="yes-display-inline">determines that waiving such requirements are in the national security interest of the United States; and</text></clause><clause commented="no" display-inline="no-display-inline" id="id2fe937a26aec4938b3e1e9fb5fb483e7"><enum>(ii)</enum><text display-inline="yes-display-inline">makes such a determination publicly available in writing and submits the determination to the appropriate committees of Congress (as defined in section 4 of the <short-title>Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025</short-title>).</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idad66673146cf48a7b994952fffc99126"><enum>(3)</enum><header>Coordination with Coast Guard regarding coastwise trade prohibition</header><text>The Administrator shall coordinate with the Secretary of the Department in which the Coast Guard is operating to ensure that any vessel that is, or was, covered by an operating agreement under this chapter is permanently ineligible for a coastwise endorsement under section 12112 of this title or to otherwise participate in the coastwise trade, as required under paragraph (1)(B).</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ide1da1902b5f34854bdd233eb23ffecbb"><enum>(c)</enum><header display-inline="yes-display-inline">Milestones and payments</header><text>The operating agreement shall—</text><paragraph commented="no" display-inline="no-display-inline" id="id7bed94d6d49c449484e0aa88d2052ea1"><enum>(1)</enum><text display-inline="yes-display-inline">prescribe specific milestones for project completion, as agreed upon between the Administrator and the covered entity; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id4f790e0b513e4ff49f0b6f9d5eb1c3c2"><enum>(2)</enum><text display-inline="yes-display-inline">specify the schedule of operating support payments, and as applicable, capital support payments and other incentives and payments, based on completion of such milestones and consistent with the eligible application submitted by the covered entity under section 53602(c)(3)(A), as agreed to by the Administrator and the covered entity.</text></paragraph></subsection><subsection id="id3c286ab86cb340af9242015cc215ad80"><enum>(d)</enum><header>Incentives</header><paragraph commented="no" display-inline="no-display-inline" id="idf0b3c99ac5854e9a9e1600895d45f80f"><enum>(1)</enum><header>State-of-the-art technology incentives</header><text display-inline="yes-display-inline">An operating agreement required under subsection (a) may include incentives to support the testing or adoption of state-of-the-art technology, including artificial intelligence, advanced shipbuilding techniques, automation, modern propulsion systems, environmental performance, crew safety, national defense features, and other technologies identified by the Maritime Security Board to be relevant in advancing the military and economic security of the United States.</text></paragraph><paragraph id="idd24a01f972ef463dba734df4e323ba08"><enum>(2)</enum><header>Performance incentives</header><text>The operating agreement may include incentive payments for eligible entities that exceed the milestones established under subsection (c)(1).</text></paragraph></subsection><subsection id="idd24e623ba0444dc09db65e23676c2161"><enum>(e)</enum><header>Term of operating agreement</header><paragraph id="id8cedd7610a1d46c0b0dca1713e26d3ca"><enum>(1)</enum><header>In general</header><text>An operating agreement to participate in the Fleet shall be for a period of 7 years.</text></paragraph><paragraph id="ida924bbfb8a844281b5063c9e6700e177"><enum>(2)</enum><header>Renewal of agreement</header><subparagraph id="id74ae1016b0e6495ba4975b0ab85880e9"><enum>(A)</enum><header>In general</header><text>A covered entity for a vessel participating in the Fleet under an operating agreement under this section may apply to renew such operating agreement.</text></subparagraph><subparagraph id="id0ad0657f42c040a3aa645ad927ab31d3"><enum>(B)</enum><header>Renewal limitation</header><text>An operating agreement under this section may be renewed not more than 2 times.</text></subparagraph></paragraph><paragraph id="id9bf37f8d2bfb410bb526579eb5b5662d"><enum>(3)</enum><header>Termination payment</header><subparagraph id="id7a6a895fe3d4487a8fdc4c7ce0e63490"><enum>(A)</enum><header>No-fault termination during contract</header><text>Subject to subparagraph (B), a covered entity for a vessel operating under an operating agreement under this section shall receive a termination payment if any of the following applies:</text><clause id="idd325a25f80fe4ffebe0fc403bc430766"><enum>(i)</enum><header>No-fault termination</header><text>Capital support payments provided to a covered entity under an operating agreement are terminated during a contract term.</text></clause><clause id="idd4e58338b56449a39e9dd4f016a8c3e5"><enum>(ii)</enum><header>No-fault non-renewal</header><text>An operating agreement is not selected to be renewed under paragraph (2).</text></clause></subparagraph><subparagraph id="id0433a88a764346a7a2bfde37fb2b8574"><enum>(B)</enum><header>Administrator determination for material lack of compliance</header><text>In any case in which the Administrator determines under subsection (f) that a covered entity for a vessel operating under an operating agreement under this section materially fails to comply with the terms of the operating agreement and, due to such failure to comply, the operating agreement is terminated or not selected for renewal, the Administrator may determine that the covered entity is not entitled to a termination payment and subparagraph (A) shall not apply.</text></subparagraph><subparagraph id="idea0610fdbe2e434290c575a762cf5dab"><enum>(C)</enum><header>Termination payment defined</header><text>In this paragraph, the term <term>termination payment</term> means a payment in an amount that equals the product of—</text><clause id="ided61d2f554e442ff94a332b395b915bd"><enum>(i)</enum><text>the percentage of the remaining useful life of the vessel, calculated using 21 years as the maximum useful life of the vessel; multiplied by</text></clause><clause id="ided3002a157f74423be2b26519d29de2f"><enum>(ii)</enum><text>the difference in the cost of constructing the vessel in the United States and the cost of constructing the vessel in a foreign country, to the extent such cost difference was not recovered by the covered entity through payments received under any operating agreement under this section.</text></clause></subparagraph></paragraph></subsection><subsection id="ide98324a81dd94df4930c5962a25e006b"><enum>(f)</enum><header>Termination by Administrator for lack of program participant compliance</header><text>If a covered entity for a vessel operating under an operating agreement under this section materially fails to comply with the terms of the operating agreement—</text><paragraph id="idc65c7862d4c64f27a94dc9056e674dcd"><enum>(1)</enum><text>the Administrator shall notify the covered entity and provide a reasonable opportunity to comply with the operating agreement; and</text></paragraph><paragraph id="id269058e0d5b34f9da2adf3d5a5a259eb"><enum>(2)</enum><text>if the covered entity fails to achieve such compliance, the Administrator—</text><subparagraph commented="no" display-inline="no-display-inline" id="id54a3b91d18304daf917419dcfdfc70b0"><enum>(A)</enum><text display-inline="yes-display-inline">shall terminate the operating agreement;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idf1601f66b75d42f4b1e9a7d953e8a730"><enum>(B)</enum><text display-inline="yes-display-inline">shall not renew the operating agreement under subsection (e)(2); and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id8f548c2665c8496dab55c71cb59582d5"><enum>(C)</enum><text display-inline="yes-display-inline">may take steps to recover an amount equal to the payments and incentives provided to the covered entity under this chapter.</text></subparagraph></paragraph></subsection><subsection id="id8abfbcaa332143ff9022fe2e144df116"><enum>(g)</enum><header>Nonrenewal for lack of funds</header><text display-inline="yes-display-inline">If, by the first day of a fiscal year, sufficient funds have not been appropriated under the authority provided by this chapter for that fiscal year, then the Administrator shall notify the appropriate committees of Congress that operating agreements authorized under this chapter for which sufficient funds are not available will not be renewed for that fiscal year if sufficient funds are not appropriated by the 60th day of that fiscal year.</text></subsection><subsection id="id2d22ed76721b4bb2be1873d87956369f"><enum>(h)</enum><header>Release of vessels from obligations</header><paragraph id="id8a47665082e4448da934fb055eceade1"><enum>(1)</enum><header>In general</header><text>A vessel covered by an operating agreement under this chapter is released from any further obligation under the operating agreement, except for the requirements of paragraph (2), if—</text><subparagraph id="idc2373814e8ed40448bba115c1772830d"><enum>(A)</enum><text>the Administrator terminated or did not renew the operating agreement under subsection (f);</text></subparagraph><subparagraph id="ida1b7973982de46ec88c18cb0cc6f95dd"><enum>(B)</enum><text>the covered entity elects to not renew its operating agreement with the Administrator;</text></subparagraph><subparagraph id="id64555b2be19743369d52de3ab769cfd0"><enum>(C)</enum><text>the vessel is ineligible for renewal under subsection (e)(2); or</text></subparagraph><subparagraph id="id7dc9e5be4b1e4f65a0200a0b49a2abeb"><enum>(D)</enum><text>funds are not appropriated to the Administrator for payments under the operating agreement under this chapter for any fiscal year by the 60th day of that fiscal year.</text></subparagraph></paragraph><paragraph id="id84b26cfbf9a6493f921df6eaee84b703"><enum>(2)</enum><header>Coastwise trade</header><text>Consistent with the requirements of subsection (b)(1)(B), a vessel released from obligations under paragraph (1) shall remain permanently ineligible for a coastwise endorsement under section 12112 of this title or to otherwise participate in the coastwise trade.</text></paragraph><paragraph id="id4b68b759811f49a7ae9534df357fd44d"><enum>(3)</enum><header>Authority to transfer vessel</header><subparagraph commented="no" display-inline="no-display-inline" id="id3f349cd596e743a29024e23d6cc7f6b6"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">After a vessel is released from obligations under paragraph (1), the covered entity may transfer and register such vessel under a foreign registry that—</text><clause id="id17da6c5117034fbbba686c1f2dd83260"><enum>(i)</enum><text>is acceptable to the Administrator and the Secretary of Defense, and allows the requisitioning of the vessel for title or use, notwithstanding section 56101 of this title; and</text></clause><clause id="idbb7d0d152b3644ecbf8f811d71aeb2c4"><enum>(ii)</enum><text>is not a foreign country of concern.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idf23ada9c76a74ca394f568abb26cc4e1"><enum>(B)</enum><header>Emergency acquisition of vessels</header><text display-inline="yes-display-inline">If chapter 563 of this title is applicable to a vessel after registration in a foreign registry described in subparagraph (A), then the vessel is available to be requisitioned by the Secretary of Transportation pursuant to such chapter.</text></subparagraph></paragraph></subsection><subsection id="id2a65aa8cc2ac4d629c7e0037755d8504"><enum>(i)</enum><header>Judicial review</header><text>No court shall have jurisdiction to review the Administrator's decision with respect to the award or non-award of an operating agreement issued under this chapter.</text></subsection></section><section commented="no" display-inline="no-display-inline" id="ide0e4e967f08640bc9aa83cfab368b28c"><enum>53604.</enum><header>Payments</header><subsection id="id593af8302abf4c72982f61be3b7fe4d0"><enum>(a)</enum><header>In general</header><text>An operating agreement under this chapter shall require that the Administrator make payments to the covered entity, in accordance with the milestones established under section 53603(c)(1) and the operating agreement under section 53603 and subject to the availability of appropriations under subsection (e).</text></subsection><subsection id="id80e01974b70d40a6bbc85a73a073df0e"><enum>(b)</enum><header>Limitations</header><text>Notwithstanding any other provision of this chapter, the Administrator shall not make any payment under this chapter for a vessel—</text><paragraph id="id98a8bea1462f4857bd274874a3283aa4"><enum>(1)</enum><text>with respect to any day for which—</text><subparagraph id="id5e40b2da0b1541f5bcdec3ff18f208ca"><enum>(A)</enum><text>the vessel is not operated or maintained in accordance with an operating agreement under this chapter;</text></subparagraph><subparagraph id="id20f11d8c546547bf9f3b494d71702518"><enum>(B)</enum><text>the vessel is under a charter to the United States Government; or</text></subparagraph><subparagraph id="idbd4fe8540de5474fa6e178a831c15a0b"><enum>(C)</enum><text>except as provided under subsection (c), the vessel is engaged in transporting military or other preference cargoes under section 55302(a), 55304, 55305, or 55314 of this title, section 2631 of title 10, or any other cargo preference law of the United States; or</text></subparagraph></paragraph><paragraph commented="no" id="idcfc8c1ffac9d4f4291ffe89bf25a1d3a"><enum>(2)</enum><text>that participates in the coastwise trade in violation of the operating agreement and section 53603(b)(1)(B).</text></paragraph></subsection><subsection id="id2558dc4c1e0d40b287e003eb2ca75894"><enum>(c)</enum><header>Preference cargos</header><paragraph commented="no" display-inline="no-display-inline" id="ida8af746365994674b595295dc61f71e8"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Secretary of Transportation may waive the requirement of subsection (b)(1)(C) to the extent, in the manner, and on the terms the Secretary prescribes, only if—</text><subparagraph id="idfe2cac2745aa496bbc54e2964885858d"><enum>(A)</enum><text>the Administrator, acting in the Administrator's capacity as Director of the National Shipping Authority—</text><clause commented="no" display-inline="no-display-inline" id="id6303536985d6404689e7b4abc3a577e5"><enum>(i)</enum><text display-inline="yes-display-inline">determines the non-availability of qualified vessels of the United States that are not enrolled in the Strategic Commercial Fleet; and</text></clause><clause commented="no" display-inline="no-display-inline" id="id9244f2e2f6894a0299981672d37a82a2"><enum>(ii)</enum><text display-inline="yes-display-inline">notifies the Secretary of such determination;</text></clause></subparagraph><subparagraph id="id56471a008e5b4a9387b756a027090e16"><enum>(B)</enum><text>the Secretary ensures reasonable notice has been provided to the owners and operators of qualified vessels of the United States that are not enrolled in the Strategic Commercial Fleet prior to making the waiver determination; and</text></subparagraph><subparagraph id="id38a61cb045274627a3ecf076a6f398ba"><enum>(C)</enum><text>by not later than 7 days after issuing a waiver under this subsection, the Secretary notifies the appropriate committees of Congress and posts such waiver on a public website of the Maritime Administration.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id960344a2af7a47f393a155020dcb18e7"><enum>(2)</enum><header>Non-delegation</header><text>The Secretary of Transportation shall not delegate the waiver authority provided under paragraph (1).</text></paragraph></subsection><subsection id="idfd82a1603ac442f4a62fc13c0f0829e9"><enum>(d)</enum><header>Operating agreement is obligation of United States Government</header><text display-inline="yes-display-inline">An operating agreement under this chapter constitutes a contractual obligation of the United States Government to pay the amounts provided for in the agreement, subject to the availability of appropriations under subsection (e).</text></subsection><subsection id="id91fe195066a14dbaaabe35e3bb50ae40"><enum>(e)</enum><header>Appropriations from the Maritime Security Trust Fund</header><paragraph commented="no" display-inline="no-display-inline" id="idc5e2bd945f5b4f44801017432a4fe234"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">There is authorized to be appropriated to the Administrator for payments to covered entities under this section, out of the Maritime Security Trust Fund established under section 50301(b) of this title—</text><subparagraph id="id34642c786cd8493c9954f3ce3372270b" commented="no"><enum>(A)</enum><text>for fiscal year 2026, $150,000,000;</text></subparagraph><subparagraph id="idea9cb03bc38142a2984ec3da6999c962" commented="no"><enum>(B)</enum><text>for fiscal year 2027, $300,000,000;</text></subparagraph><subparagraph id="id2bc19b5d62924ce78a5cdce64ab2e93f" commented="no"><enum>(C)</enum><text>for fiscal year 2028, $550,000,000;</text></subparagraph><subparagraph id="id570ef9c87752464cbb5a4b02a49e36d4" commented="no"><enum>(D)</enum><text>for fiscal year 2029, $800,000,000;</text></subparagraph><subparagraph id="id571f3fb317244f4c9594b3d035c7f932" commented="no"><enum>(E)</enum><text>for fiscal year 2030, $1,000,000,000;</text></subparagraph><subparagraph id="id520aa13975cb4a4097fa92df45b28826" commented="no"><enum>(F)</enum><text>for fiscal year 2031, $1,200,000,000;</text></subparagraph><subparagraph id="ide84a730f59dc4e029e6ffe5ee2154f1c" commented="no"><enum>(G)</enum><text>for fiscal year 2032, $1,400,000,000;</text></subparagraph><subparagraph id="idf6a8ff09702e46bcb3b6a9f410f977ce" commented="no"><enum>(H)</enum><text>for fiscal year 2033, $1,600,000,000;</text></subparagraph><subparagraph id="ida7e9e7fc3d414b06a833b499f3496cc9" commented="no"><enum>(I)</enum><text>for fiscal year 2034, $1,900,000,000; and</text></subparagraph><subparagraph id="id8db8d7cb24e249979c3a101720bb2abe" commented="no"><enum>(J)</enum><text>for fiscal year 2035, $2,100,000,000.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id03ab4fae041544b5a8bb0b0d2cd93926"><enum>(2)</enum><header>Availability</header><text>Amounts made available under paragraph (1) shall remain available until expended.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id721effd88c7b4090889a92c82aab8540"><enum>(f)</enum><header>Clarification</header><text display-inline="yes-display-inline">The provision by the Administrator of a payment under this section shall not be considered to be a major Federal action under the National Environmental Policy Act of 1969 (<external-xref legal-doc="usc" parsable-cite="usc/42/4321">42 U.S.C. 4321 et seq.</external-xref>) or an undertaking for the purposes of division A of subtitle III of title 54, United States Code.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id9bec70f80abf45758d45309c9e8679e0"><enum>(g)</enum><header>Buy America</header><text display-inline="yes-display-inline">Section 54101(d)(2) shall apply to any funds obligated by the Administrator under this section that are used to construct or repair a United States-built vessel.</text></subsection></section><section id="ida77fab4d895a4fbbba448427f4796aae"><enum>53605.</enum><header>National security requirements</header><subsection id="idc4b7cb5c2bce4bf08bf2b9d153ad9978"><enum>(a)</enum><header>Emergency preparedness agreement required</header><text>The Administrator, in coordination with the Secretary of Defense, shall establish an emergency preparedness program under this section under which the program participant for an operating agreement under this chapter shall agree, as a condition of the operating agreement, to enter into an emergency preparedness agreement with the Administrator. The Administrator shall negotiate and enter into an emergency preparedness agreement with each program participant as promptly as practicable after the program participant has entered into the operating agreement.</text></subsection><subsection id="idb8ee88aa12314f8882325fe97d4b69f3"><enum>(b)</enum><header>Use of existing program</header><text>The Administrator may use an existing emergency preparedness program, as of the date of enactment of the <short-title>Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025</short-title>, to satisfy the requirements of subsection (a).</text></subsection><subsection id="id9b3d3bf9c18542f0916311aba5671829"><enum>(c)</enum><header>Terms of agreement</header><text display-inline="yes-display-inline">The terms of an emergency preparedness agreement under this section shall—</text><paragraph id="id1fc8b907f6a1484389a2c5fa5ceb8055"><enum>(1)</enum><text>provide that upon request by the Secretary of Defense during time of war or national emergency, or whenever determined by the Secretary of Defense to be necessary for national security or contingency operation (as that term is defined in section 101(a) of title 10), the program participant shall make available commercial transportation resources (including services) described in subsection (e) to the Secretary of Defense;</text></paragraph><paragraph id="id5c255620cae3439a88017268eb6f2766"><enum>(2)</enum><text>shall include such additional terms as may be established by the Administrator and the Secretary of Defense; and</text></paragraph><paragraph id="id15316d534f7543b7986f48272774691e"><enum>(3)</enum><text>shall allow for the modification or addition of terms upon agreement by the Administrator and the program participant and the approval by the Secretary of Defense.</text></paragraph></subsection><subsection id="id06f38d8885584be6904f7057eecd401d"><enum>(d)</enum><header>Participation after expiration of operating agreement</header><text>The Administrator may not require, through an emergency preparedness agreement or an operating agreement, that a program participant covered by an operating agreement continue to participate in an emergency preparedness agreement after the operating agreement has expired according to its terms or is otherwise no longer in effect. After the expiration of an emergency preparedness agreement, a program participant may voluntarily continue to participate in the agreement.</text></subsection><subsection id="id3b1e642709334c15b9f22032223c1065"><enum>(e)</enum><header>Resources made available</header><text>The commercial transportation resources to be made available under an emergency preparedness agreement shall include vessels or capacity in vessels, terminal facilities, management services, and other related services, or any agreed portion of such nonvessel resources for activation as the Secretary of Defense may determine to be necessary, seeking to minimize disruption of the program participant's service to commercial customers.</text></subsection><subsection id="id691614292fcc465cab148ff09128ee19"><enum>(f)</enum><header>Compensation</header><paragraph id="idb79b256da51c4e13bf54f3c6ca6175c7"><enum>(1)</enum><header>In general</header><text>The Administrator shall include in each emergency preparedness agreement provisions approved by the Secretary of Defense under which the Secretary of Defense shall pay fair and reasonable compensation for all commercial transportation resources provided pursuant to this section.</text></paragraph><paragraph id="idb067882c933e411cbf64d75ee4481ad4"><enum>(2)</enum><header>Specific requirements</header><text>Compensation under this subsection—</text><subparagraph id="idf1c7497399d64cd19b48a235df282e5a"><enum>(A)</enum><text>shall not be less than the program participant's commercial market charges for like transportation resources;</text></subparagraph><subparagraph id="id850ed86d7613400aa9836aa76e5faf05"><enum>(B)</enum><text>shall be fair and reasonable considering all circumstances;</text></subparagraph><subparagraph id="id8e5b3020f57d4134a87011fb4623b6fe"><enum>(C)</enum><text>shall be provided from the time that a vessel or resource is required by the Secretary of Defense until the time it is redelivered to the program participant and is available to reenter commercial service; and</text></subparagraph><subparagraph id="idcd2149fc74054ace98d394ca49d2ab4f"><enum>(D)</enum><text>shall be in addition to and shall not in any way reflect amounts payable under section 53604 of this title.</text></subparagraph></paragraph></subsection><subsection id="id6c5764104e2e434981c1d25f3f45daab"><enum>(g)</enum><header>Temporary replacement vessels</header><text>Notwithstanding section 55302(a), 55304, 55305, or 55314 of this title, section 2631 of title 10, or any other cargo preference law of the United States—</text><paragraph id="id140a56e46ed140f2b6c2b438a5ad65e5"><enum>(1)</enum><text>a program participant may operate or employ in foreign commerce a foreign vessel, or capacity in a foreign vessel, as a temporary replacement for a vessel of the United States or vessel of the United States capacity that is activated by the Secretary of Defense under an emergency preparedness agreement or a primary Department of Defense sealift-approved readiness program; and</text></paragraph><paragraph id="id6792cb6973b345b192842060cbc16840"><enum>(2)</enum><text>such replacement vessel or vessel capacity shall be eligible during the replacement period to transport preference cargoes subject to sections 55302(a), 55304, 55305, and 55314 of this title and section 2631 of title 10, to the same extent as the eligibility of the vessel or vessel capacity replaced.</text></paragraph></subsection><subsection id="id46bc9ce6c376472abc7eeb44fd9b14ce"><enum>(h)</enum><header>Redelivery and liability of the United States for damages</header><paragraph id="id06a95bce88434a3fb8adb83c662ab72d"><enum>(1)</enum><header>In general</header><text>All commercial transportation resources activated under an emergency preparedness agreement shall, upon termination of the period of activation, be redelivered to the program participant in the same good order and condition as when received, less ordinary wear and tear, or the Secretary of Defense shall fully compensate the program participant for any necessary repair or replacement.</text></paragraph><paragraph id="id70de9a758ceb4ceebeaf87931635985b"><enum>(2)</enum><header>Limitation on United States liability</header><text>Except as may be expressly agreed in an emergency preparedness agreement, or as otherwise provided by law, the Government shall not be liable for disruption of a program participant's commercial business or other consequential damages to the program participant arising from the activation of commercial transportation resources under an emergency preparedness agreement.</text></paragraph></subsection></section><section id="id894f916f5f2d48d1b1c818209032685a"><enum>53606.</enum><header>Regulations</header><text display-inline="no-display-inline">The Administrator and the Secretary of Defense may each prescribe rules as necessary to carry out their respective responsibilities under this chapter.</text></section></chapter><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" id="id361f5483ea1346cfb79c00fff1a003aa"><enum>(b)</enum><header>Conforming amendments</header><text>Section 51307(b) of title 46, United States Code, is amended—</text><paragraph commented="no" id="id6e1e1c298ae9465ab68130414853946b"><enum>(1)</enum><text>in paragraph (1)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id7af6051526594c94ba9453df5de94880"><enum>(A)</enum><text display-inline="yes-display-inline">in the matter preceding subparagraph (A)—</text><clause commented="no" display-inline="no-display-inline" id="id5d1af00fc29b49f894cf1eefa0af4c55"><enum>(i)</enum><text display-inline="yes-display-inline">by striking <quote>, or the</quote> and inserting <quote>, the</quote>; and</text></clause><clause commented="no" display-inline="no-display-inline" id="id6753ed112b6845c08af90bc4db613312"><enum>(ii)</enum><text>by inserting <quote>, or the Strategic Commercial Fleet under chapter 536 of this title</quote> before <quote>to—</quote>; and</text></clause></subparagraph><subparagraph commented="no" id="id5bc66e46cb274ae18a6df4ddb5fbc03d"><enum>(B)</enum><text>in subparagraph (A), by striking <quote>or Tanker Security Fleet vessel</quote> and inserting <quote>Tanker Security Fleet vessel, or Strategic Commercial Fleet vessel</quote>; and</text></subparagraph></paragraph><paragraph commented="no" id="idf2139e14c09544b3aad98776db458688"><enum>(2)</enum><text>in paragraph (2), by striking <quote>or 534</quote> and inserting <quote>534, or 536</quote>.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idb2e1802661f641b682ce1ffdbf6c8a20"><enum>(c)</enum><header>Clerical amendment</header><text display-inline="yes-display-inline">The table of chapters for subtitle V of title 46, United States Code, is amended by inserting after the item relating to chapter 535 the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idec3961d0723d4005a1faf97dc57c1c98"><toc><multi-column-toc-entry bold="off" level="chapter"><toc-enum>536.</toc-enum><level-header level="chapter">Strategic Commercial Fleet</level-header><target>53601</target></multi-column-toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id5e77112879ef4f58a9455c1961087f95"><enum>402.</enum><header>Fleet testing and briefing requirement</header><subsection id="idacb5980ab8a44720940b7dbc9d0991dc" commented="no"><enum>(a)</enum><header>Test</header><text>Not later than 180 days after the date of enactment of this Act, the Commander of the United States Transportation Command, in coordination with the Secretary of the Navy and the Maritime Administrator, shall devise a tabletop exercise to test the effective control of the Maritime Security Fleet under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/531">chapter 531</external-xref> of title 46, United States Code, and the Tanker Security Fleet under chapter 534 of such title, in case of crisis or war.</text></subsection><subsection id="id868f72c5bcf24e1a9e8f8c1731cf864c" commented="no"><enum>(b)</enum><header>Briefing</header><text>After completion of the tabletop exercise under subsection (a), the Commander shall submit to the appropriate committees of Congress a briefing on the results of such tabletop exercise.</text></subsection><subsection id="idc31d0521e1c6459e97ac74e81f572916" commented="no"><enum>(c)</enum><header>Annual testing</header><text>Beginning not later than 1 year after the briefing is submitted under subsection (b), the Commander shall—</text><paragraph id="idc7d87cd2cd0640e3b076338839ec1a8d" commented="no"><enum>(1)</enum><text>carry out tabletop drills to test effective control of the Maritime Security Fleet under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/531">chapter 531</external-xref> of title 46, United States Code, and the Tanker Security Fleet under chapter 534 of such title; and</text></paragraph><paragraph id="id14aa10bff0a54816bc1c62877776f8aa" commented="no"><enum>(2)</enum><text>provide to the appropriate committees of Congress a briefing after each such drill on the results of such drill.</text></paragraph></subsection></section><section id="id3757d20143ee4198bf82a92b79a93ea7"><enum>403.</enum><header>Assessment of undersea cable repair contingencies</header><subsection id="ide72bc67dc2174af7859be81fc9ee0384"><enum>(a)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of this Act, the Secretary of Defense, in coordination with the Maritime Administrator, the Federal Communications Commission, and other relevant Federal agencies, shall submit to the appropriate committees of Congress an assessment on the ability and preparedness of the USNS Zeus and the Cable Security Fleet under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/532">chapter 532</external-xref> of title 46, United States Code, to repair transoceanic submarine fiber optic cables that may be damaged or cut by adversaries.</text></subsection><subsection id="id2b92c1df449048aea890ebfe7adb63a5"><enum>(b)</enum><header>Contents</header><text>The assessment under subsection (a) shall include—</text><paragraph id="id1a4c75fb828a47b48be71c04471681f3"><enum>(1)</enum><text>a description of preparedness to address a situation in which the cables of partner countries in both the Pacific and Atlantic Oceans are damaged or severed at or around the same time;</text></paragraph><paragraph id="id5d6b3525c41c416fbca747414662c8c8"><enum>(2)</enum><text>a determination as to how long it would take for the Cable Security Fleet, in coordination with partner countries, to repair such cables; and</text></paragraph><paragraph id="id88fed8fcb7b842088a8deab0b162ccd7"><enum>(3)</enum><text>the options available to provide connectivity in an emergency or crisis caused by, or related to, the damaging or severing of such cables.</text></paragraph></subsection></section><section id="id10f2fd865b2c41049ac71ae92c5fe5fc"><enum>404.</enum><header>Modification to duties relating to equipment and repair of vessels</header><subsection commented="no" display-inline="no-display-inline" id="id061243947d8e4eb8abd986dd7b6b9da8"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Section 466 of the Tariff Act of 1930 (<external-xref legal-doc="usc" parsable-cite="usc/19/1466">19 U.S.C. 1466</external-xref>) is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="ida16ff041a3f54277a93ec353d981fbbc"><enum>(1)</enum><text>in subsection (a), in the first sentence, by striking <quote>50 per centum on the cost thereof in such foreign country</quote> and inserting <quote>70 percent of the cost thereof in such foreign country or, in the case of a foreign country of concern (as defined in section 4 of the <short-title>Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025</short-title>), 200 percent of the cost thereof in such country</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id9221d84460744aa5b617c9e3f8ce5c44"><enum>(2)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id6277b5b1837b43e8a510011ad8ff02fd"><subsection id="id557db54b53574f57804e0e4f7e927bf4"><enum>(i)</enum><header>Temporary exception for repairs made in certain countries</header><paragraph commented="no" display-inline="no-display-inline" id="id7dfed27e3e3149ca948fb33408df3357"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">During the period beginning on the date of enactment of the <short-title>Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025</short-title> and ending on December 31, 2035, the duty imposed under subsection (a) shall, except as provided by paragraph (2), not apply to the cost of equipment, or any part of equipment, purchased for, or expenses of repair parts or materials to be used for, or repairs made in a foreign country on, a vessel engaged in foreign trade if the Maritime Administrator confirms that—</text><subparagraph commented="no" display-inline="no-display-inline" id="ide9ac6191595140508ff72d6322a11f74"><enum>(A)</enum><text>the vessel—</text><clause commented="no" display-inline="no-display-inline" id="id48a3814ae32e4648902569c22c3cfa31"><enum>(i)</enum><text>is participating in—</text><subclause commented="no" display-inline="no-display-inline" id="id40611519e47e466da426683ecbf91c97"><enum>(I)</enum><text>the Maritime Security Fleet under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/531">chapter 531</external-xref> of title 46, United States Code;</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id4e12ab81e03242c2b535776c18974e39"><enum>(II)</enum><text>the Cable Security Fleet under chapter 532 of such title;</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id32c16dd1760849f6a7b4552c3b95e65c"><enum>(III)</enum><text>the Tanker Security Fleet under chapter 534 of such title; or</text></subclause><subclause commented="no" display-inline="no-display-inline" id="idf620f9cde89043d997018c2bb0b49749"><enum>(IV)</enum><text>the Strategic Commercial Fleet under chapter 536 of such title; or</text></subclause></clause><clause commented="no" display-inline="no-display-inline" id="id439a8989cceb4a88b9ca08bdb086b323"><enum>(ii)</enum><text>has entered into an emergency preparedness agreement under section 53107 or 53407 of title 46, United States Code, or a contingency agreement under section 53207 of such title, or has otherwise entered into a voluntary agreement and plan of action with the Maritime Administrator as authorized under section 708(c) of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4558">50 U.S.C. 4558(c)</external-xref>); and </text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idedec73ac5b6d4a568f0c645ec685b814"><enum>(B)</enum><text>the owner or master of the vessel certifies to the Maritime Administrator in writing that a good faith effort was made to purchase equipment or carry out repairs in a shipyard in the United States.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id0439a33d076348eaafeb33e76ed08da2"><enum>(2)</enum><header>Inapplicability to foreign countries of concern</header><text display-inline="yes-display-inline">Duty-free treatment under paragraph (1) does not apply with respect to the cost of equipment, or any part of equipment, purchased for repairs made in a foreign country of concern (as defined in section 4 of the <short-title>Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025</short-title>) on a vessel engaged in foreign trade, or expenses of repair parts or materials to be used for such repairs, or other expenses of such repairs.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="id0346ae0a01624a57a896b7eb05814691"><enum>(b)</enum><header>Report required</header><text>Not less than 2 years after the date of enactment of this Act, and every 2 years thereafter through December 31, 2035, the Maritime Administrator shall submit to the appropriate committees of Congress a report—</text><paragraph id="idf27ecfdcfdd44de6b505d6397db4ec71"><enum>(1)</enum><text>describing the number of vessels that paid the duties under section 466 of the Tariff Act of 1930 (<external-xref legal-doc="usc" parsable-cite="usc/19/1466">19 U.S.C. 1466</external-xref>), and the location where the repairs described in such section occurred;</text></paragraph><paragraph id="ida9f054a3151f4d629f51ea72fbb824d1"><enum>(2)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="id155de267cb9c4a73b3236bad5c616680"><enum>(A)</enum><text>identifying shipyards of the United States that have capacity to carry out vessel repairs; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idcd4c4715e9254fd1ba1e88813a66d810" indent="up1"><enum>(B)</enum><text display-inline="yes-display-inline">describing the extent to which vessels of the United States chose to conduct repairs in such shipyards during the period covered by the report;</text></subparagraph></paragraph><paragraph id="id00045956b782477bbece748bc605d4cd"><enum>(3)</enum><text>evaluating the effectiveness of section 466 of the Tariff Act of 1930 (<external-xref legal-doc="usc" parsable-cite="usc/19/1466">19 U.S.C. 1466</external-xref>) in encouraging the repair of vessels of the United States in shipyards of the United States; and</text></paragraph><paragraph id="id718378cd1c904b0292f02309400e8a36"><enum>(4)</enum><text>making recommendations for additional regulatory or legislative steps which could be taken to support the United States vessel repair industrial base.</text></paragraph></subsection><subsection id="id13d18a2eac70409caa70901f6705ca1f" commented="no"><enum>(c)</enum><header>Effective date</header><text>The amendments made by subsection (a) apply with respect to parts, materials, and equipment purchased, and repairs to vessels initiated, after the date of enactment of this Act.</text></subsection></section></subtitle><subtitle id="id771a80ae017e43259a04ef55fcf16e32" style="OLC"><enum>B</enum><header>Cargo preference</header><section commented="no" display-inline="no-display-inline" id="id1a6caf0a4611486fa596f42a440c4486"><enum>411.</enum><header>United States Government cargo</header><subsection id="ide7ad8a57b3b145bdb038388edb5c444b"><enum>(a)</enum><header>Sense of congress</header><text>It is the sense of Congress that—</text><paragraph id="idcc84542e10ee4c49894065c70ce8661d"><enum>(1)</enum><text>only the Maritime Administrator, acting in the Administrator’s capacity as Director of the National Shipping Authority, has the authority to determine the non-availability of qualified capacity of vessels of the United States (referred to in this subsection as <quote>qualified United States flag capacity</quote>) at fair and reasonable rates for commercial vessels of the United States to meet the requirements of section 55305 or 55314 of title 46, United States Code;</text></paragraph><paragraph id="iddb428e0cf4ca4106bf304749166e4f15"><enum>(2)</enum><text>the requirements of section 55305 or 55314 of title 46, United States Code, may only be waived temporarily by the President, the Secretary of Defense, or the Secretary of Transportation during a declared emergency justifying such a temporary waiver, following a determination by the Maritime Administrator, acting in the Maritime Administrator's capacity as Director of the National Shipping Authority, of the non-availability of qualified United States flag capacity at fair and reasonable rates for commercial vessels of the United States pursuant to section 55305(d) of title 46, United States Code; and</text></paragraph><paragraph id="id877e024e2b3f4f378a90731b20b6960d"><enum>(3)</enum><text>nothing in title II of the Food for Peace Act (<external-xref legal-doc="usc" parsable-cite="usc/7/1721">7 U.S.C. 1721 et seq.</external-xref>) authorizes an agency to waive the requirements of section 55305 or 55314 of title 46, United States Code, without first obtaining—</text><subparagraph id="idd76139381eab424f88560184e4bc1feb"><enum>(A)</enum><text>delegated authority from the President of the United States;</text></subparagraph><subparagraph id="id3ab2b383391e4bde8fd7380661282663"><enum>(B)</enum><text>an emergency declaration justifying such a temporary waiver, pursuant to section 55305(d) of title 46, United States Code; and</text></subparagraph><subparagraph id="id54da1c0396e041a2bb7afd9f5818f45b"><enum>(C)</enum><text>a determination by the Maritime Administrator, acting in the Maritime Administrator’s capacity as Director of the National Shipping Authority, on the non-availability of qualified United States flag capacity at fair and reasonable rates for commercial vessels of the United States pursuant to section 55305(d) of title 46, United States Code.</text></subparagraph></paragraph></subsection><subsection id="idf1c113d9e0e74e18855d7fb6ea04bfc7"><enum>(b)</enum><header>Applicable percentage</header><paragraph id="ide8bd37ce164442bc916fd685a6c4ec26"><enum>(1)</enum><header>In general</header><text>Section 55305(a) of title 46, United States Code, is amended by striking <quote>at least 50</quote> and inserting <quote>100</quote>.</text></paragraph><paragraph id="idd3f766ae8ab24417a6466902cc6f2db3"><enum>(2)</enum><header>Effective date</header><text>The amendment made by paragraph (1) shall take effect on the date that is 180 days after the date of enactment of this Act.</text></paragraph></subsection><subsection id="id4f416931ebc14f86b08e8f0301be7540"><enum>(c)</enum><header>Waiver</header><text>Section 55305(d)(1) of title 46, United States Code, is amended to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id70e0bc97ec22473390e5c6777fe7125a"><paragraph id="idaddbce5e3ec547118a234e34eadd3a9c"><enum>(1)</enum><header>Waiver authority</header><subparagraph id="id37cea14fa15147f1bfc8ba57f9db033f"><enum>(A)</enum><header>In general</header><text>Notwithstanding any other provision of law, when the President, the Secretary of Defense, or the Secretary of Transportation declares the existence of an emergency justifying a temporary waiver of this section or section 55314 of this title, the President, the Secretary of Defense, or the Secretary of Transportation, following a determination by the Maritime Administrator, acting in the Administrator’s capacity as Director, National Shipping Authority, in consultation with the Maritime Security Board, of the non-availability of qualified United States flag capacity at fair and reasonable rates for commercial vessels of the United States to meet the requirements of this section or section 55314 of this title, may waive compliance with such section to the extent, in the manner, and on the terms the Maritime Administrator, acting in such capacity, prescribes, and no other waivers of the requirements of this section or section 55314 of this title shall be authorized.</text></subparagraph><subparagraph id="idb9c527523f5142188df25735d5a0edad"><enum>(B)</enum><header>Interagency agreement for the determination of non-availability</header><clause id="id88e868da99504c5287a39b09e9691633"><enum>(i)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of the <short-title>SHIPS for America Act of 2025</short-title>, the Maritime Security Advisor shall facilitate an interagency agreement between the Maritime Administrator and the head of each agency subject to the requirements of subsection (a).</text></clause><clause id="id2bbfe702d6b74c058ca7434b56fd0669"><enum>(ii)</enum><header>Contents</header><text>Each interagency agreement shall include—</text><subclause id="id820052c9c71343088a8ef4179d99665b"><enum>(I)</enum><text>an explanation of the process the agency shall follow to request a determination of non-availability by the Maritime Administrator under subparagraph (A);</text></subclause><subclause id="id0f19b57c8eb54567b6364a8bf6c8a315"><enum>(II)</enum><text>a standard process that the Maritime Administrator shall follow for making such a determination of non-availability; and</text></subclause><subclause id="id00a3752dee8341b6857f301b93580064"><enum>(III)</enum><text>deadlines—</text><item id="id39ff88d98320414dbe7fa3584bbc40cb"><enum>(aa)</enum><text>for when an agency shall submit a request for such a determination of non-availability prior to the transportation of equipment, materials, or commodities subject to subsection (a); and</text></item><item id="id4bb30dc6af0947ada88db1b4713db4e7"><enum>(bb)</enum><text>for when the Maritime Administrator shall make such a determination of non-availability after receiving a request for a temporary waiver under subparagraph (A).</text></item></subclause></clause><clause id="id482ed9d83d054745aa84e932f4a3676e"><enum>(iii)</enum><header>Congressional notification</header><text>The Maritime Security Advisor shall notify the appropriate committees of Congress—</text><subclause id="id6483f1ffeb98467c9fcd9c3f7be10853"><enum>(I)</enum><text>when each interagency agreement required under this subparagraph is finalized; and</text></subclause><subclause id="id05c82231ed0c4e35b7f489def42c66c5"><enum>(II)</enum><text>any time that an interagency agreement required under this subparagraph is updated.</text></subclause></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection id="id01387daffe394ec6b0d6ada47b791f1c"><enum>(d)</enum><header>Clarification</header><text>Section 55305(d)(3)(B) of title 46, United States Code, is amended by inserting <quote>Maritime Security Board and the</quote> after <quote>to the</quote>.</text></subsection></section><section id="id31f7d54bfe5d4f9786008eab80c5a012"><enum>412.</enum><header>Cargo preference implementation regulations</header><subsection id="id94b05e7456c6420f925c12a8bd18ed2b"><enum>(a)</enum><header>Regulations and guidance</header><text>Not later than 180 days after the date of enactment of this Act, the Maritime Administrator, notwithstanding any other provision of law, regulation, or administrative order, shall—</text><paragraph id="id058fd1aed2f9419a83484912a81b9dc3"><enum>(1)</enum><text>promulgate regulations under subchapter III of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/5/5">chapter 5</external-xref> of title 5, United States Code, to fully implement and ensure compliance with sections 55305, 55314, 55315, and 55316 of title 46, United States Code;</text></paragraph><paragraph id="id47b2aba5cd3c4833bad6268183bb3464"><enum>(2)</enum><text>issue interagency guidance to other Federal departments and agencies on how to administer the programs that are subject to such sections in accordance with those sections, as applicable; and</text></paragraph><paragraph id="id8ea318b344e9403b962c109a71c64b90"><enum>(3)</enum><text>publish such guidance in the Federal Register and on the website of the Maritime Administration.</text></paragraph></subsection><subsection id="id00d0a3c7293e4e328deaf659703d4edd"><enum>(b)</enum><header>Consultation</header><text>The Administrator may consult with the Food Aid Consultative Group established by section 205 of the Food for Peace Act (<external-xref legal-doc="usc" parsable-cite="usc/7/1725">7 U.S.C. 1725</external-xref>) in carrying out this section.</text></subsection><subsection id="idf3ae8d2d988346788a0fdadfaa719086"><enum>(c)</enum><header>Repeal of earlier regulatory deadline</header><text>Subsection (a) of section 3502 of the James M. Inhofe National Defense Authorization Act for Fiscal Year 2023 (<external-xref legal-doc="usc" parsable-cite="usc/46/55305">46 U.S.C. 55305</external-xref> note; <external-xref legal-doc="public-law" parsable-cite="pl/117/263">Public Law 117–263</external-xref>), is repealed.</text></subsection></section><section commented="no" display-inline="no-display-inline" id="id4b54357804c84d42b23aa5aa3b7edb41"><enum>413.</enum><header>Cargo preference oversight and audit</header><text display-inline="no-display-inline">Section 55301 of title 46, United States Code, is amended—</text><paragraph id="idaad4d02b63da4cee8a710d89b28579a9"><enum>(1)</enum><text>in subsection (a)(2), by striking <quote>section 55305</quote> and inserting <quote>sections 55305, 55314, 55315, and 55316</quote>; and</text></paragraph><paragraph id="idfdea9c1d4f12429ba5230bee8772e8e3"><enum>(2)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="ida38d8425116f4b8aa1c95d263fcff842"><subsection id="idd6ea521e0dfd472cb08173b89d65d138"><enum>(d)</enum><header>Notification of violation</header><text>The Maritime Administrator shall—</text><paragraph commented="no" display-inline="no-display-inline" id="id8c3138801aca44b691609631515cbf87"><enum>(1)</enum><text>upon receiving any credible information, as determined by the Administrator, that a Federal department or agency that administers a program covered by a report required under subsection (a) was not in compliance with the requirements of section 55305, 55314, 55315, or 55316 of this title (as applicable), notify the Committee on Commerce, Science, and Transportation of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives not later than 14 days after receiving such information; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id776e27c557214963951874b95f73dfbd"><enum>(2)</enum><text>upon receiving any credible information, as determined by the Administrator, that a Federal department or agency that administers a program covered by a report required under subsection (a) was not in compliance with the requirements of section 2631 of title 10, United States Code, notify the Committee on Commerce, Science, and Transportation and the Committee on Armed Services of the Senate and the Committee on Transportation and Infrastructure and the Committee on Armed Services of the House of Representatives not later than 14 days after receiving such information.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><section commented="no" display-inline="no-display-inline" id="id5e69eb7e594b4d04be96919bd2169b17"><enum>414.</enum><header>Financing the transportation of agricultural products and other cargo</header><subsection commented="no" display-inline="no-display-inline" id="id892260a7ac05402d96891a3e1262e45c"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Subchapter II of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/553">chapter 553</external-xref> of title 46, United States Code, is amended by inserting after <external-xref legal-doc="usc" parsable-cite="usc/46/55315">section 55315</external-xref> the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="ide8ae62d74b41456ab383313a4017827c"><section id="iddddaf24d1ecd4119ad5e87ece49c9337"><enum>55316.</enum><header>Financing the transportation of agricultural products and other cargo</header><subsection id="id7bfb7d9083e6413880a4d0b9da1cde21"><enum>(a)</enum><header>Financing of increased costs</header><text>The Secretary of Transportation shall finance any reasonable increased ocean freight costs, as assessed by the Maritime Administrator, incurred in any fiscal year by a covered agency that result from the application of section 55305 of this title, including the application of such section to the activities specified in section 55314(b) of this title.</text></subsection><subsection id="idda4eec41b36a4436b1708f24045d5258"><enum>(b)</enum><header>Reimbursement of increased costs</header><paragraph id="id10dd947ea9e74b4db070a9005d6fe992"><enum>(1)</enum><header>In general</header><text>The Secretary of Transportation shall reimburse a covered agency for the amount by which, in any fiscal year—</text><subparagraph id="id71ddc77ab68c4965b7a6c2898a16bae6"><enum>(A)</enum><text>the total cost of ocean freight and ocean freight differential for which obligations are incurred by the covered agency under section 55305 of this title, including pursuant to the application of such section to the activities specified in section 55314(b) of this title; exceeds</text></subparagraph><subparagraph id="id4ae0ac11e22f4f2fb35c133042d2e18e"><enum>(B)</enum><text>20 percent of the total value of the cargo, including agricultural products, transported under such section 55305, including pursuant to the application of such section to such activities, and the cost of the ocean freight and ocean freight differential, as assessed by the Maritime Administrator, on which obligations are incurred by the covered agency during that fiscal year.</text></subparagraph></paragraph><paragraph id="id7c4742bacb9a40a8a0c72c53d7c94f49"><enum>(2)</enum><header>Agricultural products shipped from inventory</header><text>For purposes of this subsection, agricultural products shipped from the inventory of the Corporation shall be valued as provided in section 412(d) of the Food for Peace Act (<external-xref legal-doc="usc" parsable-cite="usc/7/1736f">7 U.S.C. 1736f(d)</external-xref>).</text></paragraph></subsection><subsection id="ida7ef3a2867f8477da43ea69640d319a5"><enum>(c)</enum><header>Interagency agreement</header><paragraph id="id2d58aaa45a7a402397e67965b5355a52"><enum>(1)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of the <short-title>SHIPS for America Act of 2025</short-title>, the Secretary of Transportation shall enter into an interagency agreement with the head of each agency entitled to a reimbursement under subsection (b)(1).</text></paragraph><paragraph id="id4f57b44a8dd54c5db82b7cbc7d016f50"><enum>(2)</enum><header>Contents</header><text>Each interagency agreement shall include—</text><subparagraph id="idbe12f802dec74cb1a286c7557270b99c"><enum>(A)</enum><text>an explanation of the process the agency shall follow to receive a reimbursement from the Secretary of Transportation under this section;</text></subparagraph><subparagraph id="id50e5008f071b4b73a7823a13a4d96b4b"><enum>(B)</enum><text>a standard methodology for calculating the reimbursement an agency is entitled to under this section; and</text></subparagraph><subparagraph id="id3bae46257ff94b36b13f2ca5a2be690f"><enum>(C)</enum><text>deadlines—</text><clause commented="no" display-inline="no-display-inline" id="id992b2ba9b56442758ef26b3d93d96341"><enum>(i)</enum><text display-inline="yes-display-inline">by which an agency shall submit a reimbursement request in order to receive reimbursement; and</text></clause><clause commented="no" display-inline="no-display-inline" id="idf4dded8560c049e38c0170bd7c4aeaf2"><enum>(ii)</enum><text display-inline="yes-display-inline">by which the Secretary of Transportation shall approve a properly filed reimbursement request, which date shall not be more than 90 days after the date on which the reimbursement request is submitted.</text></clause></subparagraph></paragraph><paragraph id="id07ee672a1e5a429ea63b3d0915648568"><enum>(3)</enum><header>Congressional notification</header><text>The Secretary of Transportation shall notify the appropriate committees of Congress—</text><subparagraph commented="no" display-inline="no-display-inline" id="id33a25d7751114d708be981f0dad9e7d7"><enum>(A)</enum><text display-inline="yes-display-inline">when each interagency agreement required under this subsection is finalized; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idebd614a0ad4a403aa816bc1740a8f773"><enum>(B)</enum><text display-inline="yes-display-inline">any time that an interagency agreement required under this subsection is updated.</text></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id6372eb8ba7614bb3971741d65904f6e0"><enum>(d)</enum><header>Agricultural product defined</header><text>In this section, the term <term>agricultural product</term> has the meaning given the term in section 55314 of title 46, United States Code.</text></subsection><subsection id="id0ce3622e20614b4c83a5e55f85327863"><enum>(e)</enum><header>Audit required</header><paragraph id="id245c1b70a4034d008fac84a17e4c4c6a"><enum>(1)</enum><header>In general</header><text>For each fiscal year, the Inspector General of the Department of Transportation shall conduct an audit of all reimbursements made by the Secretary of Transportation under this section during such fiscal year to ensure all such reimbursements were made in accordance with the requirements of this section.</text></paragraph><paragraph id="idd851f1fbfdb34912acf159363a1196f7"><enum>(2)</enum><header>Documents required</header><text>Each agency entitled to reimbursement under subsection (b) shall—</text><subparagraph id="idFEA1E93CF537439A8AF5CD5C18F0986B"><enum>(A)</enum><text>provide to the Inspector General any documents or other information requested by the Inspector General in order to complete the audit, including the information described in subparagraph (B); and</text></subparagraph><subparagraph id="idEACF2CB539254E99A4EE78A7705DD7B7"><enum>(B)</enum><text>require any party that enters into a contract with such agency related to the implementation of section 55305 of this title, or any activities specified in section 55314(b) of this title, to provide the agency, as a condition for entering into such contract, with information relevant for the audit as determined by the Inspector General.</text></subparagraph></paragraph><paragraph id="ide15f3fccf8cf44c2aded922b8b6dda73"><enum>(3)</enum><header>Report</header><text>Not later than 90 days after the end of each fiscal year, the Inspector General shall submit a report detailing the findings of such audit with respect to such fiscal year to the appropriate committees of Congress and make the report publicly available.</text></paragraph></subsection><subsection id="id3ebb4e9ff76a49a4a0d92b7847722075"><enum>(f)</enum><header>Authorization of appropriations</header><text>For each fiscal year, there is authorized to be appropriated, out of the Maritime Security Trust Fund established under section 50301(b) of this title, an amount sufficient to reimburse the Secretary of Transportation for the costs incurred under this section, including administrative expenses.</text></subsection><subsection id="id77631e63bc7c43549b73f66cd3f6e8f6"><enum>(g)</enum><header>Definition of covered agency</header><text>For purposes of this section, the term <term>covered agency</term> means any agency that administers an activity specified in section 55314(b) of this title.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="ide3d5a4f277f74a5aa9c8a8a61d72e6bc"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for subchapter II of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/553">chapter 553</external-xref> of title 46, United States Code, is amended by inserting after the item relating to <external-xref legal-doc="usc" parsable-cite="usc/46/55315">section 55315</external-xref> the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id9d756b0d8bda44ee92ef8f99f2d1a2f1"><toc><toc-entry bold="off" level="section">55316. Financing the transportation of agricultural products and other cargo.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id60f50a00dc1045e89ffe3c5815eababb"><enum>415.</enum><header>Importation from China on American ships</header><subsection commented="no" display-inline="no-display-inline" id="ida3038427059f4ab7b15603ba4b1e9dd2"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/605">Chapter 605</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="idce35892946244569b22cefdb0245ac1c"><section id="id7d5ef83d73974d5b9c04e3cd423445cd"><enum>60508.</enum><header>Importation on American ships</header><subsection id="idfed06415e40c49009edad7b6eb6bd7ac"><enum>(a)</enum><header>In general</header><text>Notwithstanding any other provision of law, not less than the covered percentage, as described in subsection (b), of covered goods by tonnage imported into the United States from a foreign port shall be imported on a vessel that is—</text><paragraph id="idf47314f681a443ca806d8aadd0f27197"><enum>(1)</enum><text>a vessel of the United States;</text></paragraph><paragraph id="idab53f98c25e141ee8e858cc9f441d30b"><enum>(2)</enum><text>crewed by United States mariners; and</text></paragraph><paragraph id="ida1f6d8a314f1478ea2ac3e7371eb29a9"><enum>(3)</enum><text>built in the United States.</text></paragraph></subsection><subsection id="idadfe11b529954057a1cc0fab297a0a99"><enum>(b)</enum><header>Percentage</header><text>A covered percentage under this section is the following:</text><paragraph id="id0d8f7205a17648b38ceacb002fdaea94"><enum>(1)</enum><text>One percent in the year that is 5 years after the date of enactment of this section.</text></paragraph><paragraph id="id440a34a3375d419b91f47d066c6c4a65"><enum>(2)</enum><text>Two percent in the year that is 6 years after the date of enactment of this section.</text></paragraph><paragraph id="id824c99bc461a4fa0ac28638e35c140d2"><enum>(3)</enum><text>Three percent in the year that is 7 years after the date of enactment of this section.</text></paragraph><paragraph id="idf1dd42fa752d45eb998e3997d3dee3af"><enum>(4)</enum><text>Four percent in the year that is 8 years after the date of enactment of this section.</text></paragraph><paragraph id="id78117a07a2224a4f832a29a952f89665"><enum>(5)</enum><text>Five percent in the year that is 9 years after the date of enactment of this section.</text></paragraph><paragraph id="id8523df500deb45c3b01127f065f326bf"><enum>(6)</enum><text>Six percent in the year that is 10 years after the date of enactment of this section.</text></paragraph><paragraph id="id51b1f56d134542dea5874db23353e871"><enum>(7)</enum><text>Seven percent in the year that is 11 years after the date of enactment of this section.</text></paragraph><paragraph id="idf9907641df2840ffb6d5fb2c9984ddce"><enum>(8)</enum><text>Eight percent in the year that is 12 years after the date of enactment of this section.</text></paragraph><paragraph id="ida7801f071083452f8251513f707c58bb"><enum>(9)</enum><text>Nine percent in the year that is 13 years after the date of enactment of this section.</text></paragraph><paragraph id="id3877e55474824b50802846eea4a84b90"><enum>(10)</enum><text>Ten percent in the year that is 14 years after the date of enactment of this section.</text></paragraph></subsection><subsection id="id937529189922487f9242fa8b02471d18"><enum>(c)</enum><header>Application</header><text>The requirement under subsection (a) shall be applied to any shipper importing goods into the United States that originates from a foreign port or place.</text></subsection><subsection id="id017572f7a1fc4a3bb3ca4484f133177b"><enum>(d)</enum><header>Fine for failure To comply</header><paragraph commented="no" id="id4b5e99f06d4b43499a1e38e38e445235"><enum>(1)</enum><header>In general</header><text>On an annual basis, the Maritime Administrator shall issue a fine to any entity failing to comply with the requirements under this section.</text></paragraph><paragraph commented="no" id="id8107cdc7c93a44a7ac836a8d19d10d87"><enum>(2)</enum><header>Amount</header><text>The amount of a fine under this section shall be in an amount set by the Maritime Administrator that is greater than the difference in cost between—</text><subparagraph commented="no" id="id2bd0eeecb06041238e188d5e4bdffcff"><enum>(A)</enum><text>the cost of employing a vessel of the United States that is built in the United States and crewed by United States mariners; and</text></subparagraph><subparagraph commented="no" id="id400a94b3bbcb401ea99951eecc075fb1"><enum>(B)</enum><text>the cost of employing a foreign vessel that is registered under the laws of a country with an open registry and is built outside of the United States.</text></subparagraph></paragraph><paragraph commented="no" id="idecbc04519e4c48f2a58a9c6d8ce8cf17"><enum>(3)</enum><header>Use of amounts</header><text>Any amount collected under this subsection shall be deposited in the Maritime Security Trust Fund.</text></paragraph></subsection><subsection id="id875e0f6fdf0e4f0cb283988160cc4784"><enum>(e)</enum><header>Rulemaking required</header><text>Not later than 4 years after the date of enactment of this section, the Maritime Administrator, in coordination with the Secretary of Homeland Security and the Chairman of the Federal Maritime Commission, shall promulgate a final rule that establishes a system that—</text><paragraph commented="no" display-inline="no-display-inline" id="id65e5c5b09f3f40399b35f00299445d48"><enum>(1)</enum><text display-inline="yes-display-inline">identifies persons and goods that are subject to the requirements of this section;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ide8d0db773ada42bca6eb44b4d953f441"><enum>(2)</enum><text display-inline="yes-display-inline">establishes requirements for such persons and goods that meet the applicable percentages established under subsection (b);</text></paragraph><paragraph id="id82264f47343245ccad5eb43e22ca31ea"><enum>(3)</enum><text>establishes clear enforcement mechanisms to ensure compliance with this section; and</text></paragraph><paragraph id="id06d09db39ddc4b2bbc1f77aed0200826"><enum>(4)</enum><text>determines the amount of a fine issued under subsection (d).</text></paragraph></subsection><subsection id="id0c59668e83184eb6aa7ae386b1d93f08"><enum>(f)</enum><header>Definitions</header><text>In this section:</text><paragraph id="ida48d727a05254ce7a58590fc3254f136"><enum>(1)</enum><header>Country with an open registry</header><text>The term <term>country with an open registry</term> means a country that allows vessels to be documented under the laws of the country, without regard to the citizenship of the owner of the vessel or the citizenship of the crew of the vessel.</text></paragraph><paragraph id="id64A6CD5E7E4E45378CE74C4094DFB44D"><enum>(2)</enum><header>Covered goods</header><text>The term <term>covered goods</term> means goods manufactured in the People’s Republic of China.</text></paragraph><paragraph id="id01c6b21fa001469b927091fe182729ee"><enum>(3)</enum><header>Shipper</header><text>The term <term>shipper</term> has the meaning given such term in section 40102 of this title.</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id0f3caa999429499b836462f9057fd914"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/605">chapter 605</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id7d984c00bfd440e0a4859a573c2f70da"><toc><toc-entry bold="off" level="section">60508. Importation on American ships.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section commented="no" id="ida2b678c31d744a60999bab99e5554d8b"><enum>416.</enum><header>Priority for vessels of the United States</header><subsection commented="no" display-inline="no-display-inline" id="idcac367d9ac12438db2164670bf8a580c"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Part D of subtitle V of title 46, United States Code, is amended by inserting after chapter 553 the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id50a58b27c0634d21bb336eee8108d31e"><chapter id="id703cd82cff57491a84b0daf61aa976a7" style="OLC"><enum>555</enum><header>Priority for vessels of the United States</header><toc><toc-entry level="section">Sec.</toc-entry><toc-entry level="section">55501. Priority for vessels of the United States.</toc-entry></toc><section commented="no" display-inline="no-display-inline" id="id07760bdef7a44c078a92feb88346bc7c"><enum>55501.</enum><header>Priority for vessels of the United States</header><subsection commented="no" display-inline="no-display-inline" id="id2258407094ad4c9bb03873d7dad53162"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Secretary of Transportation may allow a vessel of the United States to be given priority at any port in the United States, ahead of a waiting vessel of a foreign country of concern (as defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>) or owned by a foreign entity of concern (as so defined).</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id1a676e3c2acb492dbb38e97d584ca64d"><enum>(b)</enum><header>Exception</header><text display-inline="yes-display-inline">Notwithstanding subsection (a), if the Secretary of Transportation finds that it is in the national interest, the Secretary may eliminate the priority under this section at any port. The Secretary shall report to the appropriate committees of Congress, as defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>, by not later than 30 days after an action eliminating priority under this section.</text></subsection></section></chapter><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id4b33e29e1eea4bfca89f0a71db4e27d5"><enum>(b)</enum><header>Clerical amendment</header><text>The table of chapters for subtitle V of title 46, United States Code, is amended by inserting after the item relating to chapter 553 the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id273d2f3d0f554129af3fcb79947ef1ce"><toc><multi-column-toc-entry bold="off" level="chapter"><toc-enum>555.</toc-enum><level-header level="chapter">Priority for vessels of the United States</level-header><target>55501</target></multi-column-toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id1e9280f9ef7044c7bf4f532ce56d8d67"><enum>417.</enum><header>Moving cargo on vessels of the United States</header><subsection id="idddf7c7078f40485ea9666462b89b9bf8"><enum>(a)</enum><header>Assessment required</header><text>Not later than 180 days after the date of enactment of this Act, the Maritime Security Advisor, in consultation with the Secretary of Transportation, the Secretary of Commerce, the Chairman of the Federal Maritime Commission, and the United States Trade Representative, shall—</text><paragraph commented="no" display-inline="no-display-inline" id="idb820035cb9cc4cdcab6d7fe3a4fd7b23"><enum>(1)</enum><text display-inline="yes-display-inline">conduct an assessment that identifies authorities available under current Federal law, as of the date of such identification, that may be utilized to incentivize the movement of commercial cargo on vessels of the United States in international commerce;</text></paragraph><paragraph id="idd7fff1266fc34b189244ed26b702af2c"><enum>(2)</enum><text>review methods for greater assurances of access, in crisis and conflict, to vessels of international allies and partners of the United States; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id64134e3863a84bd8ba421659551c22ba"><enum>(3)</enum><text display-inline="yes-display-inline">makes recommendations to the President to utilize such authorities.</text></paragraph></subsection><subsection id="id74b3cfa119e9413e9fde16d9dc632ff3"><enum>(b)</enum><header>Inclusions</header><text>The assessment required under subsection (a) shall include an evaluation of—</text><paragraph id="ide110dbe4bd5c4c27b256b8801602e05f"><enum>(1)</enum><text>tax benefits for taxpayers who ship goods aboard vessels of the United States;</text></paragraph><paragraph id="id3e096ec33d144590be56d2e250225feb"><enum>(2)</enum><text>modifications to import and export duties for goods imported or exported aboard vessels of the United States;</text></paragraph><paragraph id="id6cc83ad09d654284b8b7dc8d33c25383"><enum>(3)</enum><text>privileges for vessels of the United States that enable vessels of the United States to provide improved service relative to other vessels in international commerce; and</text></paragraph><paragraph id="id701542350f76467cb653252438e3d4cc"><enum>(4)</enum><text>any other authorities that would incentivize the movement of goods aboard vessels of the United States.</text></paragraph></subsection><subsection id="id0ce37f6744af480dbe9abe6bdd12d318"><enum>(c)</enum><header>Report to Congress</header><text>Upon carrying out the assessment required under subsection (a), the Maritime Security Advisor shall submit to the appropriate committees of Congress—</text><paragraph commented="no" display-inline="no-display-inline" id="id321e451cf6674f99b005975390d7b6ca"><enum>(1)</enum><text display-inline="yes-display-inline">a list of the recommendations made under subsection (a)(3); and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ida71e0798a48d4ff5abba29af7e751492"><enum>(2)</enum><text display-inline="yes-display-inline">a list of additional actions that could be taken by Congress to further incentivize the movement of commercial cargo on vessels of the United States.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idf31896d49b5f42a4937f88f4942bc2e6"><enum>(d)</enum><header>Definition</header><text>In this section, the term <term>vessel of the United States</term> has the meaning given the term in section 116 of title 46, United States Code.</text></subsection></section><section id="iddf72a6a64109418bb44353433c585aa0"><enum>418.</enum><header>Transportation requirements for certain exports sponsored by the Secretary of Agriculture</header><text display-inline="no-display-inline">Section 55314 of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="idf54b2fb41dc94b3ab8cdf7904b02241a"><enum>(1)</enum><text>by inserting before subsection (b) the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id4d647cf13a9e4e0d89e1f2d36fb2f214"><subsection commented="no" display-inline="no-display-inline" id="id60bcdb8f1b3448cd9adf36b7aa4effe9"><enum>(a)</enum><header>Applicability</header><text>The requirements under section 55305 of this title shall apply with respect to the activities specified in subsection (b).</text></subsection><after-quoted-block>;</after-quoted-block></quoted-block></paragraph><paragraph id="id2cddfdd810e046538c0a1978307d07ea"><enum>(2)</enum><text>in subsection (b)—</text><subparagraph commented="no" display-inline="no-display-inline" id="idd469697e568d433ea1aa3e5aaf1075a9"><enum>(A)</enum><text>in the matter preceding paragraph (1), by striking <quote>Secretary of Agriculture or the Commodity Credit Corporation</quote> and inserting <quote>Federal Government</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id6ad0dc6f2548457a9d0daad11b0b38bf"><enum>(B)</enum><text>in paragraph (1), by inserting <quote>titles I, II, or III of</quote> after <quote>carried out under</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id2a0390bb2aad4df2b26d5a5198224103"><enum>(C)</enum><text>in paragraph (4), by striking <quote>agricultural commodities or their products</quote> and inserting <quote>agricultural products</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id285bc8a24a814f089d2b1d01dfd99ac7"><enum>(D)</enum><text>in paragraph (5), by striking <quote>agricultural commodities or their products</quote> and inserting <quote>agricultural products</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id72cb87438edc424696e52e40f8d95610"><enum>(E)</enum><text>in paragraph (6), by striking <quote>agricultural commodities or their products</quote> and inserting <quote>agricultural products</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id2134eb062021438ca9eb40063b7b4f57"><enum>(F)</enum><text>in paragraph (7), by striking <quote>agricultural commodities</quote> and inserting <quote>agricultural products</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id4d22f2ad217540468914e95cabfdb843"><enum>(G)</enum><text>by redesignating paragraphs (4), (5), (6), and (7) as paragraphs (6), (7), (8), and (9), respectively; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id3695339aeec84621bbe463df19983392"><enum>(H)</enum><text>by inserting after paragraph (3) the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id17cf0c1b7e3d46c1a4c28e1e6f4c380d"><paragraph commented="no" display-inline="no-display-inline" id="id63972172cff64311bf216106587115b3"><enum>(4)</enum><text display-inline="yes-display-inline">carried out under the Food for Progress Act of 1985 (<external-xref legal-doc="usc" parsable-cite="usc/7/1736o">7 U.S.C. 1736o</external-xref>);</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id44098c8d5cc049ed915a403c4dc00ec3"><enum>(5)</enum><text display-inline="yes-display-inline">carried out under the McGovern-Dole International Food for Education and Child Nutrition Program under section 3107 of the Farm Security and Rural Investment Act of 2002 (<external-xref legal-doc="usc" parsable-cite="usc/7/1736o-1">7 U.S.C. 1736o–1</external-xref>);</text></paragraph><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph></paragraph><paragraph id="id4169325b93414ead8f7f653c61c6ce1c"><enum>(3)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id09e2bce4c0c64f8e8b61258fe5e1777e"><subsection commented="no" display-inline="no-display-inline" id="id1d8e222d3e734ced888e25d34dbfe2b2"><enum>(c)</enum><header>Agricultural product defined</header><text>In this section, the term <term>agricultural product</term> means any food product, including an agricultural commodity (as such term is defined in section 402 of the Food for Peace Act (<external-xref legal-doc="usc" parsable-cite="usc/7/1732">7 U.S.C. 1732</external-xref>)), specialty crop (as such term is defined in section 3 of the Specialty Crops Competitiveness Act of 2004 (<external-xref legal-doc="usc" parsable-cite="usc/7/1621">7 U.S.C. 1621</external-xref> note)), or processed food product, exported from the United States.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><section id="id55f79ae9d7314053bb41fff8d6a8086f"><enum>419.</enum><header>Clarifying amendments</header><subsection id="idf84fef714f944dde815f2e3b9d4ff935"><enum>(a)</enum><header>Agricultural commodities emergency assistance clarification</header><text>Section 202(a) of the Food for Peace Act (<external-xref legal-doc="usc" parsable-cite="usc/7/1722">7 U.S.C. 1722(a)</external-xref>) is amended by striking <quote>Notwithstanding</quote> and inserting <quote>Subject to the requirements of sections 55305 and 55314 of title 46, United States Code, and notwithstanding</quote>.</text></subsection><subsection id="id19ce75a57b3d4c80944a63786f86d083"><enum>(b)</enum><header>Administrative provisions clarification</header><text>Section 407(b)(2)(A) of the Food for Peace Act (<external-xref legal-doc="usc" parsable-cite="usc/7/1736a">7 U.S.C. 1736a(b)(2)(A)</external-xref>) is amended by striking <quote>Notwithstanding</quote> and inserting <quote>Subject to the requirements of sections 55305 and 55314 of title 46, United States Code, and notwithstanding</quote>.</text></subsection><subsection id="id0865234777a94761926975eb0dd17279"><enum>(c)</enum><header>Emergency food security program clarification</header><text>Section 491(c)(1) of the Foreign Assistance Act of 1961 (<external-xref legal-doc="usc" parsable-cite="usc/22/2292">22 U.S.C. 2292(c)(1)</external-xref>) is amended by inserting <quote>and the requirements of sections 55305 and 55314 of title 46, United States Code</quote> after <quote>section 492</quote>.</text></subsection></section><section id="id657e86ff355c45259b3d6653d87e11ac"><enum>420.</enum><header>Energizing American shipbuilding</header><subsection id="id0f38d3f8326d498782677f79e8790a73"><enum>(a)</enum><header>National policy on strategic energy asset export transportation</header><paragraph id="idc0b5da17428b42528bde55a9cb75dada"><enum>(1)</enum><header>Requirement for transportation of exports of natural gas on vessels documented under laws of the United States</header><text>Section 3 of the Natural Gas Act (<external-xref legal-doc="usc" parsable-cite="usc/15/717b">15 U.S.C. 717b</external-xref>) is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id7f231d8a906d41239de91a3fe95e63f8"><subsection id="id1cda18fb27ba4b46a7215134c1d76022"><enum>(g)</enum><header>Transportation of exports of natural gas on vessels documented under laws of the United States</header><paragraph id="idc19351891e494e84b5d14fb187c84414"><enum>(1)</enum><header>Condition for approval</header><text>Except as provided in paragraph (7), with respect to an application to export natural gas under subsection (a), the Commission shall include in the order issued for that application the condition that the person transport the natural gas on a vessel that meets the requirements described in paragraph (3).</text></paragraph><paragraph id="idf6d79d3067114129a9259bcaf8ecb472"><enum>(2)</enum><header>Purpose</header><text>The purpose of the requirement under paragraph (1) is to ensure that, of all natural gas exported by vessel in a calendar year, the following percentage is exported by a vessel that meets the requirements described in paragraph (3):</text><subparagraph id="id93c99b6c96c242fdabd3aa1babd74718"><enum>(A)</enum><text>In each of the 7 calendar years following the calendar year in which this subsection is enacted, not less than 2 percent.</text></subparagraph><subparagraph id="idbc267f64ba664c238162b35328f49d99"><enum>(B)</enum><text>In each of the 8th and 9th calendar years following the calendar year in which this subsection is enacted, not less than 3 percent.</text></subparagraph><subparagraph id="idda4995e4c9674be58f01d3c81ad7d6a9"><enum>(C)</enum><text>In each of the 10th and 11th calendar years following the calendar year in which this subsection is enacted, not less than 4 percent.</text></subparagraph><subparagraph id="ida3abfed14382417dab57efcc94d5e318"><enum>(D)</enum><text>In each of the 12th and 13th calendar years following the calendar year in which this subsection is enacted, not less than 6 percent.</text></subparagraph><subparagraph id="idbdafcf141d634947ad249ffb8f9f7388"><enum>(E)</enum><text>In each of the 14th and 15th calendar years following the calendar year in which this subsection is enacted, not less than 7 percent.</text></subparagraph><subparagraph id="idf736c367981e439bb2b4a6668f2bbbcf"><enum>(F)</enum><text>In each of the 16th and 17th calendar years following the calendar year in which this subsection is enacted, not less than 9 percent.</text></subparagraph><subparagraph id="idb5abd20a5d5c4e8a8efe6234b5113554"><enum>(G)</enum><text>In each of the 18th and 19th calendar years following the calendar year in which this subsection is enacted, not less than 11 percent.</text></subparagraph><subparagraph id="id3d1612ce7a42498282fbdc0b8714395e"><enum>(H)</enum><text>In each of the 20th and 21st calendar years following the calendar year in which this subsection is enacted, not less than 13 percent.</text></subparagraph><subparagraph id="id0382de8ff5dd490e894d7c2d008a69e8"><enum>(I)</enum><text>In the 22nd calendar year after the calendar year in which this subsection is enacted and each calendar year thereafter, not less than 15 percent.</text></subparagraph></paragraph><paragraph id="id6ea2ca89ea2247daa51f95e046f1c072"><enum>(3)</enum><header>Requirements for vessels</header><text>A vessel meets the requirements described in this paragraph—</text><subparagraph id="idbf36a1a1cd704fb1bdc1a5581ab630d4"><enum>(A)</enum><text>with respect to each of the 5 calendar years following the calendar year in which this subsection is enacted—</text><clause id="id596cf7d06f8c46848a849e6353f33879"><enum>(i)</enum><text>if—</text><subclause id="id87b5e13f093f4667bf1408c1497a39f5"><enum>(I)</enum><text>the vessel is documented under the laws of the United States; and</text></subclause><subclause id="idca026912aee54e4d8639317a87830bb3"><enum>(II)</enum><text>with respect to any retrofit work necessary for the vessel to export natural gas—</text><item id="id37a31cd340b746c5b7649baafcf3773b"><enum>(aa)</enum><text>such work is done in a shipyard in the United States; and</text></item><item id="id29f7bcf7cd384bb389771253597d285c"><enum>(bb)</enum><text>any component of the vessel listed in paragraph (4) that is installed during the course of such work is manufactured in the United States; or</text></item></subclause></clause><clause id="id690070679edd48e3827658c93fdba2ed"><enum>(ii)</enum><text>if—</text><subclause id="id1909fc4c93344e9cbddaf95f8887a948"><enum>(I)</enum><text>the vessel is built in the United States;</text></subclause><subclause id="id1b765bc02b2b4796a3fe91f9aea13bea"><enum>(II)</enum><text>the vessel is documented under the laws of the United States;</text></subclause><subclause id="id02f5c47267f94c83ad9872458ef80a93"><enum>(III)</enum><text>all major components of the hull or superstructure of the vessel are manufactured (including all manufacturing processes from the initial melting stage through the application of coatings for iron or steel products) in the United States; and</text></subclause><subclause id="ide1705b34674a48fa954e92376131d38b"><enum>(IV)</enum><text>the components of the vessel listed in paragraph (4) are manufactured in the United States; and</text></subclause></clause></subparagraph><subparagraph id="id9c59ffc05d584267be777773327b9510"><enum>(B)</enum><text>with respect to the 6th calendar year following the calendar year in which this subsection is enacted, and each calendar year thereafter, if the vessel meets the requirements of subparagraph (A)(ii).</text></subparagraph></paragraph><paragraph id="id44fedfa811a6456da6bfd5f4c3c1b89f"><enum>(4)</enum><header>Components</header><text>The components of a vessel listed in this paragraph are the following:</text><subparagraph id="idbf6378cd56ff41fdbb6ac56fbf4040d7"><enum>(A)</enum><text>Air circuit breakers.</text></subparagraph><subparagraph id="id48aa8c5acbb14509873e594b2c56a94e"><enum>(B)</enum><text>Welded shipboard anchor and mooring chain.</text></subparagraph><subparagraph id="idefb17ba62ccf4614931217da50ec4f61"><enum>(C)</enum><text>Powered and non-powered valves in Federal Supply Classes 4810 and 4820 used in piping.</text></subparagraph><subparagraph id="id57e8a214fbbf4cbdb7ac1e26fbcf6de8"><enum>(D)</enum><text>Machine tools in the Federal Supply Classes for metal-working machinery numbered 3405, 3408, 3410 through 3419, 3426, 3433, 3438, 3441 through 3443, 3445, 3446, 3448, 3449, 3460, and 3461.</text></subparagraph><subparagraph id="id3b24f87b655344759d86f187ab095672"><enum>(E)</enum><text>Auxiliary equipment for shipboard services, including pumps.</text></subparagraph><subparagraph id="id62d18197eff54b5e99c8369359ee5b48"><enum>(F)</enum><text>Propulsion equipment, including engines, propulsion motors, reduction gears, and propellers.</text></subparagraph><subparagraph id="idddb83d8912f14c9cb51594413d4c371c"><enum>(G)</enum><text>Shipboard cranes.</text></subparagraph><subparagraph id="idb726edb2e2b2425d81d04557910a5d4c"><enum>(H)</enum><text>Spreaders for shipboard cranes.</text></subparagraph><subparagraph id="idd4d0643ace8144e6b463ffa1fd740935"><enum>(I)</enum><text>Rotating electrical equipment, including electrical alternators and motors.</text></subparagraph><subparagraph id="id11ab8f9fb4654c3c82c3efa67e3e5daa"><enum>(J)</enum><text>Compressors, pumps, and heat exchangers used in managing and re-liquefying boil-off gas from liquefied natural gas.</text></subparagraph></paragraph><paragraph id="idce7a0b0780b04922a9be014e62348475"><enum>(5)</enum><header>Waiver authority</header><text>The Commission may waive the requirement under clause (i)(II)(bb) or (ii)(IV), as applicable, of paragraph (3)(A) with respect to a component of a vessel if the Maritime Administrator determines that—</text><subparagraph id="id0b5141f4303f471089be6d6b2e399295"><enum>(A)</enum><text>application of the requirement would—</text><clause id="id11e8fa92e5ab4c60921243ed1266423c"><enum>(i)</enum><text>result in an increase of 25 percent or more in the cost of the component of the vessel; or</text></clause><clause id="id724bd31aa1184c8c90cf3f61f2981a4e"><enum>(ii)</enum><text>cause unreasonable delays to be incurred in building or retrofitting the vessel; or</text></clause></subparagraph><subparagraph id="id10abc6c953a84cd99962883561cf2d66"><enum>(B)</enum><text>such component is not manufactured in the United States in sufficient and reasonably available quantities of a satisfactory quality.</text></subparagraph></paragraph><paragraph id="id96a245cbd6704fdfaef44a21751c6168"><enum>(6)</enum><header>Opportunities for credentialed merchant mariners</header><text>Except as provided in paragraph (7), the Commission shall include, in any order issued under subsection (a) that authorizes a person to export natural gas a condition that the person provide opportunities for individuals with a merchant mariner credential (as defined in section 2101 of title 46, United States Code) to receive experience and training necessary to become credentialed in working on a vessel transporting natural gas.</text></paragraph><paragraph id="id867ef55d58344e29999b3359931b6cbd"><enum>(7)</enum><header>Exception</header><text>The Commission may not include in any order issued under subsection (a) authorizing a person to export natural gas to a nation with which there is in effect a free trade agreement requiring national treatment for trade in natural gas a condition described in paragraph (1), or a condition described in paragraph (6), if the United States Trade Representative certifies to the Commission, in writing, that such condition would violate obligations of the United States under such free trade agreement.</text></paragraph><paragraph id="id1bdfaef8ebf44457990e57e2b95f9d2e"><enum>(8)</enum><header>Use of Federal information</header><text>In carrying out paragraph (1), the Commission—</text><subparagraph id="id89ec72cc14654d4099db4882d7dd6fdb"><enum>(A)</enum><text>shall use information made available by—</text><clause id="id5e4f0c40ab124eb5b44444c40b9f763d"><enum>(i)</enum><text>the Energy Information Administration; or</text></clause><clause id="id9700d1fe8a3649bcbb23dd300a0c2bf6"><enum>(ii)</enum><text>any other Federal agency or entity the Commission determines appropriate; and</text></clause></subparagraph><subparagraph id="id1a32ad6bb9b34bb68f31ff13658b52e4"><enum>(B)</enum><text>may use information made available by a private entity only if applicable information described in subparagraph (A) is not available.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph><paragraph id="idae6021dcc6ff426593db4e7cb71e8ba1"><enum>(2)</enum><header>Conforming amendment</header><text>Section 3(c) of the Natural Gas Act (<external-xref legal-doc="usc" parsable-cite="usc/15/717b">15 U.S.C. 717b(c)</external-xref>) is amended by striking <quote>or the exportation of natural gas</quote> and inserting <quote>or, subject to subsection (g), the exportation of natural gas</quote>.</text></paragraph></subsection><subsection id="idb1c5b59e6c9048c59f49e745ce1ef87b"><enum>(b)</enum><header>Crude oil</header><text>Section 101 of title I of division O of the Consolidated Appropriations Act, 2016 (<external-xref legal-doc="usc" parsable-cite="usc/42/6212a">42 U.S.C. 6212a</external-xref>) is amended—</text><paragraph id="idd913e54d4ae847629f7d9b23c471cd25"><enum>(1)</enum><text>in subsection (b), by striking <quote>subsections (c) and (d)</quote> and inserting <quote>subsections (c), (d), and (f)</quote>; and</text></paragraph><paragraph id="id0c27db1b04714629ae759fa78f8eb3e8"><enum>(2)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idffdeafcc6c0a4eecaf50762dc2605cb6"><subsection id="id55d5de957854413989e912078d4ce54f"><enum>(f)</enum><header>Transportation of exports of crude oil on vessels documented under laws of the United States</header><paragraph id="id3dee38ae97d94b2b8e4b836e3b6bd74c"><enum>(1)</enum><header>In general</header><text>Notwithstanding any other provision of law and except as provided in paragraph (6), as a condition to export crude oil, the President shall require that a person exporting crude oil transport the crude oil on a vessel that meets the requirements described in paragraph (3).</text></paragraph><paragraph id="id5d8a2ca823a64684b2b5a11e892050c9"><enum>(2)</enum><header>Purpose</header><text>The purpose of the requirement under paragraph (1) is to ensure that, of all crude oil exported by vessel in a calendar year, the following percentage is exported by a vessel that meets the requirements described in paragraph (3):</text><subparagraph id="id1b1e16deaa654fc2ad977f2f4c02dff1"><enum>(A)</enum><text>In each of the 7 calendar years following the calendar year in which this subsection is enacted, not less than 3 percent.</text></subparagraph><subparagraph id="id009517dea1b347799a2db42a231bf8d0"><enum>(B)</enum><text>In each of the 8th, 9th, and 10th calendar years following the calendar year in which this subsection is enacted, not less than 6 percent.</text></subparagraph><subparagraph id="id29cc75c715824e92805d2e4f52e9c45e"><enum>(C)</enum><text>In each of the 11th, 12th, and 13th calendar years following the calendar year in which this subsection is enacted, not less than 8 percent.</text></subparagraph><subparagraph id="id9efe086dcdfd487abdfa90c51e73d2f7"><enum>(D)</enum><text>In the 14th calendar year following the calendar year in which this subsection is enacted and each calendar year thereafter, not less than 10 percent.</text></subparagraph></paragraph><paragraph id="id823be975257d45e1942ece653c9e663a"><enum>(3)</enum><header>Requirements for vessels</header><text>A vessel meets the requirements described in this paragraph—</text><subparagraph id="idd217f0b241784833a86c68f69ebddc73"><enum>(A)</enum><text>with respect to each of the 4 calendar years following the calendar year in which this subsection is enacted—</text><clause id="id2352d44fbf2f4b6fbd9804951f6071cf"><enum>(i)</enum><text>if—</text><subclause id="idb0ce0a8749eb4be6ae44d448e8e094ca"><enum>(I)</enum><text>the vessel is documented under the laws of the United States; and</text></subclause><subclause id="idf4f026ce668d4e38b922d7ffe518ce78"><enum>(II)</enum><text>with respect to any retrofit work necessary for the vessel to export crude oil—</text><item id="id520b53996b66499a889986412cd68906"><enum>(aa)</enum><text>such work is done in a shipyard in the United States; and</text></item><item id="idadd27f67c25d402990ebb55e87d76828"><enum>(bb)</enum><text>any component of the vessel listed in paragraph (4) that is installed during the course of such work is manufactured in the United States; or</text></item></subclause></clause><clause id="id825be828df9a44918a232b8e835fefd2"><enum>(ii)</enum><text>if—</text><subclause id="id5db2e4b220c549caa8885e6d438bc875"><enum>(I)</enum><text>the vessel is built in the United States;</text></subclause><subclause id="idf1f6ce69b6674c508d08d5275e797f03"><enum>(II)</enum><text>the vessel is documented under the laws of the United States;</text></subclause><subclause id="id2c838072161f4181bedfbdfc5238d4b4"><enum>(III)</enum><text>all major components of the hull or superstructure of the vessel are manufactured (including all manufacturing processes from the initial melting stage through the application of coatings for iron or steel products) in the United States; and</text></subclause><subclause id="idf0fe880a4696442cb598905ad3ca1889"><enum>(IV)</enum><text>the components of the vessel listed in paragraph (4) are manufactured in the United States; and</text></subclause></clause></subparagraph><subparagraph id="id3e61f392af50439dabc0b7fdb1e68e57"><enum>(B)</enum><text>with respect to the 5th calendar year following the calendar year in which this subsection is enacted and each calendar year thereafter, if the vessel meets the requirements of subparagraph (A)(ii).</text></subparagraph></paragraph><paragraph id="idb824c17e5ba6443c9fa6f3b63b33af85"><enum>(4)</enum><header>Components</header><text>The components of a vessel listed in this paragraph are the following:</text><subparagraph id="id1a37d3bff55a4769b659901ac4c78031"><enum>(A)</enum><text>Air circuit breakers.</text></subparagraph><subparagraph id="ida140c89ba9c34a3a9eb33d675da78c58"><enum>(B)</enum><text>Welded shipboard anchor and mooring chain.</text></subparagraph><subparagraph id="ideae0df3de7a34ce5be843d947820858b"><enum>(C)</enum><text>Powered and non-powered valves in Federal Supply Classes 4810 and 4820 used in piping.</text></subparagraph><subparagraph id="id5a488987c94e4f72abad9e73f6546182"><enum>(D)</enum><text>Machine tools in the Federal Supply Classes for metal-working machinery numbered 3405, 3408, 3410 through 3419, 3426, 3433, 3438, 3441 through 3443, 3445, 3446, 3448, 3449, 3460, and 3461.</text></subparagraph><subparagraph id="id935c2ea33e8a4c29901b3e957bb1fc8f"><enum>(E)</enum><text>Auxiliary equipment for shipboard services, including pumps.</text></subparagraph><subparagraph id="id1a8707f8a7d04ac38e48eec9bded56ec"><enum>(F)</enum><text>Propulsion equipment, including engines, propulsion motors, reduction gears, and propellers.</text></subparagraph><subparagraph id="id8400c0f31ac94e598cd717a77859f660"><enum>(G)</enum><text>Shipboard cranes.</text></subparagraph><subparagraph id="idfd4dbc762ddf4e3caf8a670c750578c3"><enum>(H)</enum><text>Spreaders for shipboard cranes.</text></subparagraph><subparagraph id="id00c0bb9d1fd0447db494ffd74a1b162a"><enum>(I)</enum><text>Rotating electrical equipment, including electrical alternators and motors.</text></subparagraph></paragraph><paragraph id="id7d60f5d6e5534f65a1dd7f36b32667a9"><enum>(5)</enum><header>Waiver authority</header><text>The President may waive the requirement under clause (i)(II)(bb) or clause (ii)(IV), as applicable, of paragraph (3)(A) with respect to a component of a vessel if the Maritime Administrator determines that—</text><subparagraph id="id15dd4067719d4df890e420dd2d33890f"><enum>(A)</enum><text>application of the requirement would—</text><clause id="idb95f7dbc81c54a26ad4d10a66a1a11a6"><enum>(i)</enum><text>result in an increase of 25 percent or more in the cost of the component of the vessel; or</text></clause><clause id="id0c4156620e2042da9929bbd3659a4575"><enum>(ii)</enum><text>cause unreasonable delays to be incurred in building or retrofitting the vessel; or</text></clause></subparagraph><subparagraph id="id4c3baf3449e940a18e77b629c859b846"><enum>(B)</enum><text>such component is not manufactured in the United States in sufficient and reasonably available quantities of a satisfactory quality.</text></subparagraph></paragraph><paragraph id="id5c70259e45624f2a9382008855135481"><enum>(6)</enum><header>Exception</header><text>The President may not, under paragraph (1), condition the export of crude oil to a nation with which there is in effect a free trade agreement requiring national treatment for trade in crude oil if the United States Trade Representative certifies to the President, in writing, that such condition would violate obligations of the United States under such free trade agreement.</text></paragraph><paragraph id="id7292ee3ec16346dcae7ba9e932ea6f95"><enum>(7)</enum><header>Opportunities for credentialed merchant mariners</header><text>The Maritime Administrator shall ensure that the owner or operator of a vessel transporting crude oil provides opportunities for individuals with a merchant mariner credential (as defined in section 2101 of title 46, United States Code) to receive experience and training necessary to become credentialed in working on such vessels.</text></paragraph><paragraph id="id96ffdc0e29114d4bb4f6f8013bf36b5b"><enum>(8)</enum><header>Use of Federal information</header><text>In carrying out paragraph (1), the President—</text><subparagraph id="id50d1e33bacc44ee782d784da824d2114"><enum>(A)</enum><text>shall use information made available by—</text><clause id="id63c0e039185442e6b67b0cb84024efcf"><enum>(i)</enum><text>the Energy Information Administration; or</text></clause><clause id="id8ad1de77338e435eb8a43563101850c4"><enum>(ii)</enum><text>any other Federal agency or entity the Commission determines appropriate; and</text></clause></subparagraph><subparagraph id="idf4416b4789594742864ba4ad73811281"><enum>(B)</enum><text>may use information made available by a private entity only if applicable information described in subparagraph (A) is not available.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="idbe72239a6d9646acbd2da3eb9930a3bd"><enum>(c)</enum><header>Energy Information Administration information</header><text>The Secretary of Energy, acting through the Administrator of the Energy Information Administration (referred to in this section as the <quote>Secretary</quote>), shall collect, and make readily available to the public on the internet website of the Energy Information Administration, information on exports by vessel of natural gas and crude oil, including—</text><paragraph id="id3381c5f77d7a4427b8fd0fc3bff0eb34"><enum>(1)</enum><text>forecasts for, and data on, those exports for the calendar year following the calendar year in which this Act is enacted and each calendar year thereafter; and</text></paragraph><paragraph id="id1bbb3202391141daa94720b08b570b96"><enum>(2)</enum><text>forecasts for those exports for multiyear periods after the date of enactment of this Act, as determined appropriate by the Secretary.</text></paragraph></subsection></section><section id="ide8e389ee6e5f40ccbbcfc3ae469300d6"><enum>421.</enum><header>Goods imported on vessels of the United States</header><text display-inline="no-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/605">Chapter 605</external-xref> of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="ida4eaac09c7fc44dd8c0638c0f3445e82"><enum>(1)</enum><text display-inline="yes-display-inline">in section 60502(a)(1)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id22d64c20ef9c45cfb92a275d3f904d65"><enum>(A)</enum><text display-inline="yes-display-inline">in the matter preceding subparagraph (A), by striking <quote>the vessel</quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ide5c24cfc33554137906087d1338c61b4"><enum>(B)</enum><text>in subparagraph (A), by striking <quote>is entitled</quote> and all that follows through <quote>imported in</quote> and inserting the following: <quote>the cost of importing goods aboard the vessel is comparable to or greater than the cost of importing goods aboard</quote>; and</text></subparagraph><subparagraph id="id27f37eba1af542a39e451e626a3ae653"><enum>(C)</enum><text>in subparagraph (B)—</text><clause commented="no" display-inline="no-display-inline" id="ideb9dfcf8a6ff4785922d31044c3dd445"><enum>(i)</enum><text display-inline="yes-display-inline">by striking <quote>(i) is owned</quote> and inserting the following:</text><quoted-block style="OLC" display-inline="yes-display-inline" id="idde635cafb4944804a4a13421ad736d26"><text>the vessel—</text><clause commented="no" display-inline="no-display-inline" id="id2d18e6c9e6344f6aaec6fc10eae3816a"><enum>(i)</enum><text display-inline="yes-display-inline">is owned</text></clause><after-quoted-block>; and</after-quoted-block></quoted-block></clause><clause commented="no" display-inline="no-display-inline" id="idd5887dde6f3247128c89ba1ef709ce24"><enum>(ii)</enum><text>by adjusting the margins of clause (ii) appropriately; and</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id217a8ff980104b7bac38de08cdc9e705"><enum>(2)</enum><text>in section 60503(a), by inserting <quote>, except for the duties imposed under section 60502 of this chapter,</quote> after <quote>suspension of discriminating duties</quote>.</text></paragraph></section><section id="id4f1e219bb979411da3c4fdcbf6c27d0d"><enum>422.</enum><header>Ship America Office</header><subsection id="ida3f1080307734607a97129812c82190f"><enum>(a)</enum><header>In general</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/553">Chapter 553</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="idb62ceb5c740a449fbaa3d5c487d3e982"><subchapter id="id503efa4e17584256892a29f1707a4678" style="USC"><enum>IV</enum><header>Ship America Office</header><section commented="no" display-inline="no-display-inline" id="id298182e4f4e64a8bad4e8977f6b7f931"><enum>55341.</enum><header>Establishment of Ship America Office</header><subsection commented="no" display-inline="no-display-inline" id="id6282c4b93f5e4688a8d135d95ba6cf27"><enum>(a)</enum><header>Establishment</header><text>The Maritime Administrator shall establish within the Maritime Administration an office to be known as the <quote>Ship America Office</quote>. The Maritime Administrator shall appoint the head of the Ship America Office (in this section referred to as the <quote>Ship America Associate Administrator</quote>).</text></subsection><subsection id="id99695e680c3e46b7a9280298213b69ae"><enum>(b)</enum><header>Duties</header><text>The Ship America Associate Administrator shall have the following duties:</text><paragraph id="idb12b16c5ff1c4219badaf4c613ea392f"><enum>(1)</enum><text>Providing assistance to private sector entities, Federal financial assistance recipients, Federal agencies, Federal contractors, and owners and operators of oceangoing vessels of the United States to facilitate the movement of commercial and government cargo on vessels of the United States in international commerce.</text></paragraph><paragraph id="idcc20318c60be421b9d9476a6fa2523ee"><enum>(2)</enum><text>Maximizing compliance across Federal agencies with this chapter, section 2631 of title 10, and any other cargo preference law of the United States.</text></paragraph><paragraph id="id9edfc27725e24c8c9f45daf42e8cc668"><enum>(3)</enum><text>Providing training and assistance to Federal employees, in all Federal agencies responsible for shipping preference cargo, on the legal obligations under this chapter, section 2631 of title 10, United States Code, and any other cargo preference law of the United States.</text></paragraph><paragraph id="ida6037804bc384b46af95b2fb5b2a8ae5"><enum>(4)</enum><text>Developing a ‘Ship America’ verification program to develop self-certification industry standards, in partnership with private sector entities, to allow private sector entities to verifiably demonstrate that a product was transported to the United States aboard a vessel of the United States.</text></paragraph><paragraph id="id3200ab426e254059993ff48e458d7fa7"><enum>(5)</enum><text>Supporting the efforts of the executive branch to develop and sustain a fleet of vessels of the United States and maritime industrial base to meet the sealift needs of Federal agencies.</text></paragraph><paragraph id="ide8c1dd681e694ca7a19cbbf3a1add32b"><enum>(6)</enum><text>Where practicable, making accessible, and regularly updating, the publicly available contact information for oceangoing vessels of the United States for the purposes of moving international commerce.</text></paragraph><paragraph id="ida422f6f6f24448a0bfc88b7bc3ca6421"><enum>(7)</enum><text>Publishing, and regularly updating, centralized information on the commercial benefits available to private sector entities for moving commercial cargo on oceangoing vessels of the United States.</text></paragraph><paragraph id="id5a7297ca372b408bba5ebce521e794b0"><enum>(8)</enum><text>Preparing the reports under subsection (c).</text></paragraph></subsection><subsection id="iddc9635c2cffd4976af9f016b62e946fe"><enum>(c)</enum><header>Reports required</header><text>Not later than 1 year after the date of enactment of this section, and biennially thereafter, the Maritime Administrator, acting through the Ship America Associate Administrator, shall report to the appropriate committees of Congress (as defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>) and the Maritime Security Board on—</text><paragraph commented="no" display-inline="no-display-inline" id="idbdcfc3def068488aaf7c22e20dca810d"><enum>(1)</enum><text display-inline="yes-display-inline">the opportunities and challenges faced by commercial entities to move cargo on oceangoing vessels of the United States; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idd8b4637e52844047b3af47a1d971d634"><enum>(2)</enum><text display-inline="yes-display-inline">recommendations to increase international commerce moving on vessels of the United States.</text></paragraph></subsection></section></subchapter><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="idc96552dd73c6492683365a7c879bf716"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/553">chapter 553</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><toc><toc-entry level="subchapter" idref="id503efa4e17584256892a29f1707a4678">“SUBCHAPTER IV—Ship America Office</toc-entry></toc><quoted-block style="OLC" display-inline="no-display-inline" id="idF122F780937141B7BA7F958BD38A7980"><toc><toc-entry level="section">55341. Establishment of Ship America Office.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section></subtitle><subtitle id="idb813f3834de746929441aac27ff713d0" style="OLC"><enum>C</enum><header>Regulatory reform</header><section id="id5c982133763d481bbdf06aee9f62c49d"><enum>431.</enum><header>Alternate standards</header><subsection commented="no" display-inline="no-display-inline" id="id3532c8045dd1446d8bf3a205e9f86c74"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/33">Chapter 33</external-xref> of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="idf5f373fea208489aae30bfbbf73d578d"><enum>(1)</enum><text>by redesignating sections 3317 and 3318 as sections 3318 and 3319, respectively; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id1143941dac7e407583bd33ae729daf64"><enum>(2)</enum><text display-inline="yes-display-inline">by inserting after section 3316 the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id8834a69690ed43bfba29d18a29638348"><section id="id5170194d1e2048e5b41103335b945b15"><enum>3317.</enum><header>Alternate standards</header><subsection id="idd94b04df9a744374bb98f41ff3e8430a"><enum>(a)</enum><header>In general</header><text>Not later than 1 year after the date of enactment of the <short-title>Shipbuilding and Harbor Infrastructure for Prosperity and Security for America Act of 2025</short-title>, the Secretary, in consultation with the Maritime Administrator, shall establish alternate standards to allow self-propelled vessels providing oceangoing transportation that are not documented under chapter 121 of this title to receive a certificate of inspection if the vessel will become a documented vessel. </text></subsection><subsection id="id4f69c8f7fd394cc9902bfff74d532560"><enum>(b)</enum><header>Requirements</header><text>Under the program established under subsection (a), a self-propelled vessel used to provide oceangoing transportation that is not documented under chapter 121 of this title shall be eligible for a certificate of inspection if the Secretary determines that—</text><paragraph id="idd0f21391753844518ca77ce6c16ad0ed"><enum>(1)</enum><text>the owner of the vessel has agreed to apply to have the vessel documented under chapter 121 upon receiving the certificate;</text></paragraph><paragraph id="idabd48384d4e54f7e90b3fc036afef81f"><enum>(2)</enum><text>at the time of the receipt of such certificate, the vessel is eligible for documentation under such chapter;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id15ddbb8178c0406ab97ec2b49214e96f"><enum>(3)</enum><text display-inline="yes-display-inline">the vessel is classed by and designed in accordance with the rules of a classification society accepted by the Secretary; </text></paragraph><paragraph id="id73bc7aebc0424554983a5afb0754bc9d"><enum>(4)</enum><text>the vessel complies with applicable international agreements and associated guidelines, as determined by the country in which the vessel was documented immediately before becoming documented under chapter 121, notwithstanding any other law including any regulation; </text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id2a12b0d39f70424f84f7daa463ac1c62"><enum>(5)</enum><text display-inline="yes-display-inline">the vessel has been assessed for cybersecurity and surveillance risks; and</text></paragraph><paragraph id="id1ca6813496944d72a8a42257de0bccd4"><enum>(6)</enum><text>the country in which the vessel was documented immediately before becoming documented under chapter 121 has not been identified by the Secretary as inadequately enforcing international vessel regulations as to that vessel.</text></paragraph></subsection><subsection id="idf0d85066beb4405ebbf3ec97ffd319e9"><enum>(c)</enum><header>Continued eligibility for certificate</header><text>This section does not apply to a vessel after any date on which the vessel fails to comply with the applicable international agreements and associated guidelines referred to in subsection (b)(4).</text></subsection><subsection id="id92d02579167545a88482f96f1b8cacf5"><enum>(d)</enum><header>Reliance on classification society</header><paragraph id="idb7041cc8aec0496894f36e32d9a87434"><enum>(1)</enum><header>In general</header><text>The Secretary may rely on a certification from the American Bureau of Shipping or, subject to paragraph (2), another classification society accepted by the Secretary to establish that a vessel is in compliance with the requirements of paragraphs (3), (4), and (6) of subsection (b) and of subsection (c).</text></paragraph><paragraph id="id95c700bd300149638104e27ad58bb61a"><enum>(2)</enum><header>Foreign classification society</header><text>The Secretary may accept certification from a foreign classification society under paragraph (1) only—</text><subparagraph id="id66d8d2cb37b742f884af1279b6a4e2a2"><enum>(A)</enum><text>to the extent that the government of the foreign country in which the society is headquartered provides access on a reciprocal basis to the American Bureau of Shipping; and</text></subparagraph><subparagraph id="id13e60ba862a342b1bafb5b8e457e6ff7"><enum>(B)</enum><text>if the foreign classification society has offices and maintains records in the United States.</text></subparagraph></paragraph></subsection><subsection commented="no" id="idba98a3660c124d208f4c03fa215098e5"><enum>(e)</enum><header>Rulemaking procedure</header><text>The Secretary may initiate a rulemaking procedure to implement this standard.</text></subsection><subsection id="idde2a561d06c34845bdaaaa55d5130eb9"><enum>(f)</enum><header>Savings provision</header><text>Nothing in this section shall be interpreted to affect requirements related to merchant seamen credentials under part E of subtitle II of this title or the requirements related to manning of vessels under part F of such subtitle.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id212de8c7a1554ddc828124a9e014c46b"><enum>(b)</enum><header display-inline="yes-display-inline">Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/33">chapter 33</external-xref> of title 46, United States Code, is amended by striking the items relating to sections 3317 and 3318 and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idb88bf469ef944c489310f30fb0d587ba"><toc><toc-entry bold="off" level="section">3317. Alternate standards.</toc-entry><toc-entry bold="off" level="section">3318. Fees.</toc-entry><toc-entry bold="off" level="section">3319. Penalties.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id4fc78e8bc84e4faeb80d34238e87f116"><enum>432.</enum><header>Rulemaking committee on commercial maritime regulations and standards</header><subsection id="id7df4a9d24b4f4b2192a42686396b5c6b"><enum>(a)</enum><header>Definitions</header><text>In this section:</text><paragraph commented="no" display-inline="no-display-inline" id="id4800543e61e9431f8114a43bcd1f36ea"><enum>(1)</enum><header>Covered regulation</header><text display-inline="yes-display-inline">The term <term>covered regulation</term>—</text><subparagraph commented="no" display-inline="no-display-inline" id="id1e9ae18f97d34139b8f7bcf42c5cac5d"><enum>(A)</enum><text display-inline="yes-display-inline">means a commercial regulation or standard issued by the Coast Guard relating to the operation of vessels in foreign commerce, including—</text><clause id="idb84bccf779d14e7ebbea09e3b38629c3"><enum>(i)</enum><text>vessel design and engineering standards;</text></clause><clause id="id9eef028cad9f44889a1ed4f3db357676"><enum>(ii)</enum><text>merchant mariner training and credentialing; or</text></clause><clause id="idf884eb9ac0c54b5aa37a118fbf868bca"><enum>(iii)</enum><text>vessel operating and environmental standards; and</text></clause></subparagraph><subparagraph id="id784caf3659914340a9bbc4c7ba1f865f"><enum>(B)</enum><text>does not include any commercial regulation or standard issued by the Coast Guard that exclusively applies to vessels in domestic commerce.</text></subparagraph></paragraph><paragraph id="id10d3c761509748528aeb733e1376b3c2"><enum>(2)</enum><header>Rulemaking committee</header><text>The term <term>rulemaking committee</term> means the committee established under subsection (b).</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id0fa23d460d254f1898b4d029fa9dba5c"><enum>(3)</enum><header>Secretary</header><text>The term <term>Secretary</term> means the Secretary of the department in which the Coast Guard is operating.</text></paragraph></subsection><subsection id="id088f051c1c65498489616a74ad6a9f2b"><enum>(b)</enum><header>Establishment of rulemaking committee</header><text>There is established, in the department in which the Coast Guard is operating, a rulemaking committee on commercial maritime regulations and standards to—</text><paragraph commented="no" display-inline="no-display-inline" id="id3ccc6a43571e42249fb55df568c829f8"><enum>(1)</enum><text display-inline="yes-display-inline">review, and develop findings and recommendations regarding, the covered regulations; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idff59babf23f44687a88a0ca0d1506f6b"><enum>(2)</enum><text display-inline="yes-display-inline">provide to the Secretary a report on opportunities to review and update regulations governing vessel design and engineering, vessel and facility operation and environmental standards, and merchant mariner credentialing, in order to—</text><subparagraph commented="no" display-inline="no-display-inline" id="id18d60dcc348a4d3aa016d40f1ac61555"><enum>(A)</enum><text display-inline="yes-display-inline">revitalize the merchant marine and the commercial maritime industry in the United States; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id3903f4dc49b6483d98ef889e16e382b9"><enum>(B)</enum><text display-inline="yes-display-inline">better align, and limit redundancies between, the regulatory standards of the Coast Guard and the International Maritime Organization and international treaty requirements, while protecting United States mariners and the United States maritime industry from foreign regulations that undermine the maritime industrial competitiveness of the United States.</text></subparagraph></paragraph></subsection><subsection id="id8deb313da35f4ac79491c6a8ab58c6a5"><enum>(c)</enum><header>Members</header><paragraph commented="no" display-inline="no-display-inline" id="id9c9066c321b44eed85bca531b876dbd0"><enum>(1)</enum><header display-inline="yes-display-inline">Composition of rulemaking committee</header><text>The Secretary shall appoint the following as members of the rulemaking committee:</text><subparagraph commented="no" display-inline="no-display-inline" id="iddb7190d94cd343c2b24c75f4b074e0d1"><enum>(A)</enum><text>Each of the following Federal officers or employees, or their designees:</text><clause commented="no" display-inline="no-display-inline" id="idcb18204c9ae8495f9d244d3a54bcc54f"><enum>(i)</enum><text>The Maritime Security Advisor.</text></clause><clause id="id27d9fa5f56c04b138e97f70a58301f0e"><enum>(ii)</enum><text>The Maritime Administrator.</text></clause><clause id="id691e97e3f6e244c2925a28bad8b18339"><enum>(iii)</enum><text>The Commandant of the Coast Guard.</text></clause><clause id="iddcd8f68c94db49aea1c24240d5205d34"><enum>(iv)</enum><text>The Secretary of Commerce.</text></clause><clause commented="no" display-inline="no-display-inline" id="id5690c393807f4542946b7e5bbb754255"><enum>(v)</enum><text>The Administrator of the Environmental Protection Agency.</text></clause><clause id="id0cd3ef414b384ddcb60f99fa037c599d"><enum>(vi)</enum><text>The Chair of the Federal Maritime Commission.</text></clause><clause commented="no" display-inline="no-display-inline" id="id25917f75ae2a4de7935b1df243c0de9a"><enum>(vii)</enum><text>The chief United States delegate to the International Maritime Organization.</text></clause></subparagraph><subparagraph id="id33cac7850f304321a2ac5958bbcac943"><enum>(B)</enum><text>Representatives from recognized classification societies, including the American Bureau of Shipping.</text></subparagraph><subparagraph id="id1c39d3437726487b85ca6f6127b36e9d"><enum>(C)</enum><text>Representatives of industry, including—</text><clause id="id5b10c3b085e041d5b5e0d0d065a3b782"><enum>(i)</enum><text>owners and operators of vessels in domestic and foreign commerce of the United States;</text></clause><clause id="id11af207a9b1e43a8afb2909b78e84a9e"><enum>(ii)</enum><text>shipbuilders; and</text></clause><clause id="idbc72d934b9254e1dac4da6900ed67b16"><enum>(iii)</enum><text>other representatives of industry the Secretary determines appropriate.</text></clause></subparagraph><subparagraph id="iddbe9d4a9d4e840e190e1954aced3488f"><enum>(D)</enum><text>Individuals with a merchant mariner credential, as defined in section 2101 of title 46, United States Code.</text></subparagraph><subparagraph id="idfe0d12c742be429585314844c381f72b"><enum>(E)</enum><text>Representatives of maritime labor organizations.</text></subparagraph><subparagraph id="id070f12fcad174c4981f345de3d5e1f6a"><enum>(F)</enum><text>Experts in maritime safety and regulatory matters.</text></subparagraph><subparagraph id="idd13bd2d1651546fc8c73d3ed493da3a2"><enum>(G)</enum><text>Other stakeholders the Secretary determines appropriate.</text></subparagraph></paragraph><paragraph commented="no" id="idc5829e9b43f14610bbbb4b410854e890"><enum>(2)</enum><header>Period of appointment; vacancies</header><subparagraph commented="no" id="id9b60ba4fdc5b4805af7084268602c447"><enum>(A)</enum><header>In general</header><text>A member of the rulemaking committee shall be appointed for the life of the rulemaking committee.</text></subparagraph><subparagraph commented="no" id="id816c8fd0927147089ee86b3114f2f1fc"><enum>(B)</enum><header>Vacancies</header><text>A vacancy in the rulemaking committee—</text><clause commented="no" id="id60d6692771cd4c1685d1c024418b7ba0"><enum>(i)</enum><text>shall not affect the powers of the rulemaking committee; and</text></clause><clause commented="no" id="ide1b138d3576c46bcacaefd5647f6ab6a"><enum>(ii)</enum><text>shall be filled in the same manner as the original appointment.</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id65eaffaab6b0499090fd5785565ec367"><enum>(3)</enum><header>Chairperson and vice chairperson</header><text>The Secretary shall select a Chairperson and Vice Chairperson from among the members of the rulemaking committee.</text></paragraph></subsection><subsection id="id32ccb3501ce64a0e8f1ca4eec30befce"><enum>(d)</enum><header>Meetings</header><paragraph id="ide7d4297064204fe193528351654ea0d9"><enum>(1)</enum><header>Initial meeting</header><text>Not later than 180 days after the date of enactment of this Act, the Secretary shall convene the rulemaking committee for the first meeting of the rulemaking committee.</text></paragraph><paragraph commented="no" id="id7306e66678c140e08be2c9d2525fb511"><enum>(2)</enum><header>Quorum</header><text>A majority of the members of the rulemaking committee shall constitute a quorum, but a lesser number of members may hold hearings.</text></paragraph></subsection><subsection id="id4f70f42ea79d4582a212d3970515f7f7"><enum>(e)</enum><header>Duties of committee</header><paragraph commented="no" display-inline="no-display-inline" id="id1f8ed02ddbb6483f92212cfdd8e6c191"><enum>(1)</enum><header>Considerations</header><text display-inline="yes-display-inline">The rulemaking committee shall consider each of the following:</text><subparagraph id="ida8712b96d88c4fa19b3d07fdda2bec23"><enum>(A)</enum><text>How the covered regulations interact with and compare to the treaty requirements and regulations established by the International Maritime Organization, including comparisons and interactions on the basis of—</text><clause id="id9b1811f6a4cb4ca1a93f0429daa6f75c"><enum>(i)</enum><text>safety;</text></clause><clause id="id0e4bd7f14c6448518048bffb256abe76"><enum>(ii)</enum><text>cost;</text></clause><clause id="id7e0030be130c49bc81cd519af42c546b"><enum>(iii)</enum><text>enforceability and compliance; and</text></clause><clause id="id422e14d865db4be9982056b81a9d0806"><enum>(iv)</enum><text>international competitiveness.</text></clause></subparagraph><subparagraph id="id410e862320ca4d9c9eaf5878ca7f62d1"><enum>(B)</enum><text>The benefits and challenges vessel owners and operators and United States mariners encounter when complying with both regulations of the International Maritime Organization and the covered regulations.</text></subparagraph><subparagraph id="id942bf497d8cb4ac8a5b82ef370c29059"><enum>(C)</enum><text>The role that covered regulations play in enhancing the size and strength of the merchant marine and the domestic and international fleet of the United States.</text></subparagraph><subparagraph id="id961ee0d4730b4341bd5c955d875accdb"><enum>(D)</enum><text>Recommended changes to covered regulations, and regulatory frameworks, to better promote alignment with international standards and the standards of countries that are allies and partners, with a focus on—</text><clause id="id58fd8e9133cc4801bcdc244970b80003"><enum>(i)</enum><text>increasing opportunities for qualified mariners that enter the merchant marine and reducing the barriers that lead qualified mariners to leave the merchant marine;</text></clause><clause id="id0340a55e5fef4c15aaf817e7272125fe"><enum>(ii)</enum><text>increasing the number of vessels documented under the laws of the United States that are operating in domestic and foreign commerce;</text></clause><clause id="id0a8f07e1251d47a9889a12b1a1740d16"><enum>(iii)</enum><text>enhancing United States leadership within the International Maritime Organization and other international treaty organizations with a focus on the maritime industry;</text></clause><clause id="id0232076e68ed41b68473a9ba8b50b420"><enum>(iv)</enum><text>streamlining regulatory processes and processing timelines to minimize duplicative reviews and eliminate preventable delays; and</text></clause><clause id="idda6d2fef1c91418aa892d12ab64d2b23"><enum>(v)</enum><text>maintaining and enhancing the safety and security of the merchant marine.</text></clause></subparagraph><subparagraph id="id3f3b6d737c924cb1a8b64773b2e372e6"><enum>(E)</enum><text>Recommended changes to covered regulations and regulatory frameworks that govern mariner education training requirements, which may include—</text><clause id="id2eed8cf25cf2454da22be69f33becfd9"><enum>(i)</enum><text>expanding the pool of qualified instructors for mariner training programs;</text></clause><clause id="ide6e9cda9627b4543a9675d369145bfc6"><enum>(ii)</enum><text>streamlining requirements related to training facility size and design to improve operational efficiencies at mariner training facilities, including requirements related to classroom size and design;</text></clause><clause id="id2b2a1616eddd4951bd5b254936aeff23"><enum>(iii)</enum><text>standardizing and streamlining training course and curriculum approval and evaluation to provide more certainty to mariner training programs; and</text></clause><clause id="idc74b8cac9e99480e8eeba37eeabb7915"><enum>(iv)</enum><text>enhancing opportunities for mariner training programs to flexibly integrate sea-time into course instruction, consistent with treaty requirements and regulations established by the International Maritime Organization.</text></clause></subparagraph><subparagraph id="id588426e70587407ab3d5654b67715863"><enum>(F)</enum><text>Any other matters the Secretary determines appropriate.</text></subparagraph></paragraph><paragraph id="id0ca1ff0e4aa14322aa0f1be45e9874e9"><enum>(2)</enum><header>Report</header><text>Not later than 12 months after the date of enactment of this Act, the rulemaking committee shall submit to the Secretary a report that includes the findings and recommended changes to covered regulations of the rulemaking committee, as required under paragraph (1).</text></paragraph></subsection><subsection commented="no" id="id4efaad048a0a49cdaae5ce2fcfdc5d63"><enum>(f)</enum><header>Powers of rulemaking committee</header><paragraph commented="no" id="id43605f79af4c44308cac1351aee8b710"><enum>(1)</enum><header>Hearings</header><text>The rulemaking committee may hold such hearings, sit and act at such times and places, take such testimony, and receive such evidence as the rulemaking committee considers advisable to carry out this section.</text></paragraph><paragraph commented="no" id="idf4b68d09bf0942c5ad659129b06509e6"><enum>(2)</enum><header>Information from Federal agencies</header><subparagraph commented="no" id="id6515282bd8a441278089170c5a271bff"><enum>(A)</enum><header>In general</header><text>The rulemaking committee may secure directly from a Federal department or agency such information as the rulemaking committee considers necessary to carry out this section, as permitted by law.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id4db3285a96a24d53af023c9ef070d83b"><enum>(B)</enum><header>Furnishing information</header><text>On request of the Chairperson of the rulemaking committee, the head of the department or agency shall furnish the information to the rulemaking committee.</text></subparagraph></paragraph></subsection><subsection commented="no" id="id961db9f318b041189091bf3f0712c3b3"><enum>(g)</enum><header>Rulemaking committee personnel matters</header><paragraph commented="no" id="idf12d2d4896a3453dac0b213e6e6c4db1"><enum>(1)</enum><header>No compensation</header><text>A member of the rulemaking committee shall not be compensated for service on the rulemaking committee.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ida29e6875d4e2426db300d9c2732d0d1c"><enum>(2)</enum><header display-inline="yes-display-inline">Travel expenses</header><text>A member of the rulemaking committee shall be allowed travel expenses, including per diem in lieu of subsistence, at rates authorized for employees of agencies under subchapter I of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/5/57">chapter 57</external-xref> of title 5, United States Code, while away from their homes or regular places of business in the performance of services for the rulemaking committee.</text></paragraph></subsection><subsection id="idafa5b99737f04ce88d3be65b73d739e9"><enum>(h)</enum><header>Administration</header><text>Except as specified otherwise in this section, the rulemaking committee shall be treated as a committee established under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/151">chapter 151</external-xref> of title 46, United States Code, for purposes of section 15109 of such title and shall not be considered a temporary organization under section 3161 of title 5, United States Code.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="ideacebaf3265d45e4b7b557933e724c70"><enum>(i)</enum><header>Termination</header><text display-inline="yes-display-inline">The rulemaking committee shall terminate on the earlier of—</text><paragraph commented="no" display-inline="no-display-inline" id="id318513262c454b479844a2d6fa7908b9"><enum>(1)</enum><text display-inline="yes-display-inline">the date that is 90 days after the date on which the rulemaking committee submits the report under subsection (e)(2); or</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id7fc17d406be64e7baba22bab78401da6"><enum>(2)</enum><text display-inline="yes-display-inline">the date that is 7 years after the date on which the rulemaking committee is established.</text></paragraph></subsection><subsection id="idbba647b7cc5c42a38dd641b5c9a48e31"><enum>(j)</enum><header>Duties of the Secretary</header><text>The Secretary shall—</text><paragraph id="id05146d4c5f0b40209de7ab12e024235e"><enum>(1)</enum><text>not later than 30 days after receiving the rulemaking committee’s report under subsection (e)(2), submit to the appropriate committees of Congress, and make publicly available, a copy of such report and the Secretary’s views on the recommendations of the committee; and</text></paragraph><paragraph id="id5a698a541ef94fa1aa88c908054c2a32"><enum>(2)</enum><text>not later than 90 days after submitting the report under paragraph (1)—</text><subparagraph commented="no" display-inline="no-display-inline" id="ided6ff2ded94e46afbd87fbacbe0505fc"><enum>(A)</enum><text display-inline="yes-display-inline">initiate a rulemaking activity and make such policy and guidance updates determined necessary by the Secretary to address the consensus recommendations reached by the rulemaking committee under subsection (e);</text></subparagraph><subparagraph id="idc50828e9c0164bb18a50261d74139d54"><enum>(B)</enum><text>submit a report to the appropriate committees of Congress identifying the recommendations of the rulemaking committee that require legislative changes; and</text></subparagraph><subparagraph id="id1a49970c66b944eeb69222ea9cd329ce"><enum>(C)</enum><text>submit a report to the Secretary of State identifying recommendations of the rulemaking committee that require changes to treaty requirements and regulations established by the International Maritime Organization, including recommendations that should inform the policy of the United States as a member of the International Maritime Organization.</text></subparagraph></paragraph></subsection></section><section id="id42d8c3caf31f4d47882bfc6802921c63"><enum>433.</enum><header>Amendments to Shipowners' Limitation of Liability Act of 1851</header><subsection id="idcc283ccbe3db471193034388723a3c93"><enum>(a)</enum><header>In general</header><text>Section 30523 of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id51d98b6a872447dd9bc3a8fc9335e8fe"><enum>(1)</enum><text display-inline="yes-display-inline">by striking subsection (a) and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id67a7f96147174e4cb99d3c60d46e674b"><subsection id="idab2333b05786412498451515b2fea197"><enum>(a)</enum><header>Limit of owner liability</header><paragraph id="id597beb74227642baaf190de7b836addb"><enum>(1)</enum><header>In general</header><text>Except as provided in section 30524 of this title, the liability of—</text><subparagraph id="id46f1a0367bea43489f29f1985985ec24"><enum>(A)</enum><text>the owner of a vessel of the United States for any claim, debt, or liability described in subsection (b) shall not exceed the value of the vessel and pending freight; and</text></subparagraph><subparagraph id="id1caceefe5cf34d8ba95ad2cb1e989a0b"><enum>(B)</enum><text>the owner of a foreign vessel for any claim, debt, or liability described in subsection (b) shall not exceed the amount that is 5 times the value of the vessel and pending freight.</text></subparagraph></paragraph><paragraph id="id06e065507b1743c7971d19dc67118e83"><enum>(2)</enum><header>Multiple owners</header><text>If a vessel has more than one owner, the proportionate share of the liability under paragraph (1) of any one such owner shall not exceed that owner’s proportionate interest in the vessel and pending freight.</text></paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idc7ad285cde4f4901b746f910d062b4c4"><enum>(2)</enum><text>by striking subsection (c) and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id2c2b947b80d5438cba29bf90f31c0a02"><subsection commented="no" display-inline="no-display-inline" id="idb1d516d0872c4e6fbf83ad1204a65f7b"><enum>(c)</enum><header>Claims not subject to limitation</header><text display-inline="yes-display-inline">Subsection (a) does not apply to—</text><paragraph id="idc7a7c96b8e98446b88a58652d7fc3095"><enum>(1)</enum><text>a claim for wages; or</text></paragraph><paragraph id="id038c6fd87bda439da8ce48c0b9cb82e6"><enum>(2)</enum><text>with respect to the liability of an owner of a foreign vessel, a claim, debt, or liability arising from personal injury or wrongful death of a person who was not a crewmember or passenger of the foreign vessel at the time the injury (including fatal injury, if applicable) occurred.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="id981b94cd31124422bed01f850dde6b0f"><enum>(b)</enum><header>Amendment to cessation of certain actions</header><text>Section 30529(c) of title 46, United States Code, is amended by striking <quote>the matter in question</quote> and inserting <quote>a matter subject to consideration for limitation under section 30523 or section 30524</quote>.</text></subsection><subsection id="idadef62d29f9f451e854e857e38730cb0" commented="no" display-inline="no-display-inline"><enum>(c)</enum><header>Effective date</header><text>The amendments made by subsections (a) and (b) shall apply to any liability subject to section 30523(a) of title 46, United States Code, that arises on or after the date of enactment of this Act.</text></subsection></section></subtitle><enum>V</enum><header>Shipbuilding</header><subtitle commented="no" id="id0592ce58a41d4f0eac550c4780faf6d5" style="OLC"><enum>A</enum><header>Shipbuilding financial incentives</header><section id="id972304d8d42a4a599997d2d969678c81"><enum>501.</enum><header>Shipbuilding financial incentives</header><subsection commented="no" display-inline="no-display-inline" id="id1de0b524d7cc48608a364134145aa79f"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text>Part C of subtitle V of title 46, United States Code, is amended by inserting after chapter 537 the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="ide26d00a1f9d3437d94d3abbf38bbc718"><chapter id="id485F9AB83F9242888F1ADD3BBD9771E2" style="OLC"><enum>538</enum><header>Shipbuilding financial incentives</header><section id="id481f6d2ac71c4b03a2de356a60c8fa9e"><enum>53801.</enum><header>Shipbuilding financial incentives</header><subsection commented="no" display-inline="no-display-inline" id="id7ba2bc503ad8400c85bed20d48eeddcc"><enum>(a)</enum><header>Establishment</header><text>The Maritime Administrator shall establish a program that, in accordance with the requirements of this section, provides Federal financial assistance to covered entities to—</text><paragraph id="idd8372919293747a486c8781a1eaddf7b"><enum>(1)</enum><text>aid in the construction of a vessel that shall be documented under the laws of the United States; or</text></paragraph><paragraph id="id8a14a028c96d403a988a186a62014110"><enum>(2)</enum><text>incentivize a qualified shipyard investment.</text></paragraph></subsection><subsection id="ida6caed9f8b3848d2a353e547ea381d51"><enum>(b)</enum><header>Definitions</header><text>In this section:</text><paragraph id="id79a1e74eaadd42a8a113b490f91f0876"><enum>(1)</enum><header>Appropriate committees of congress</header><text>The term <term>appropriate committees of Congress</term> means the Committee on Commerce, Science, and Transportation and the Committee on Appropriations of the Senate and the Committee on Armed Services and the Committee on Appropriations of the House of Representatives.</text></paragraph><paragraph id="id9057675e96bf4799becfbf882bdbdc9b"><enum>(2)</enum><header>Covered entity</header><text>The term <term>covered entity</term> means—</text><subparagraph id="id6836fbd42940486a9afd33146aa578f0"><enum>(A)</enum><text>any proposed vessel purchaser who is a citizen of the United States; or</text></subparagraph><subparagraph id="id5d7c5abd95c34cc793625aae614e87b7"><enum>(B)</enum><text>any shipyard of the United States with the ability, experience, financial resources, and other qualifications to construct or repair a military vessel or a vessel to be used in the foreign commerce of the United States.</text></subparagraph></paragraph><paragraph id="idfdcf2eb781b14b9ebacb1a1469b8004c"><enum>(3)</enum><header>Foreign commerce</header><text>The term <term>foreign commerce</term> means—</text><subparagraph id="iddf7be52b88874ff38eea3819fdaaa884"><enum>(A)</enum><text>commerce or trade between the United States, its territories or possessions, or the District of Columbia, and a foreign country; and</text></subparagraph><subparagraph id="id3ce5d48c7ba84d1ca8655f3600694963"><enum>(B)</enum><text>commerce or trade between foreign countries.</text></subparagraph></paragraph><paragraph id="idf991ed83c151487c89560e0dafca9d38"><enum>(4)</enum><header>Foreign country of concern; foreign entity of concern</header><text>The terms <term>foreign country of concern</term> and <term>foreign entity of concern</term> have the meanings given such terms in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idb1c4cd55df6840ae92eb09c9281ea8bd"><enum>(5)</enum><header>Qualified shipyard investment</header><text display-inline="yes-display-inline">The term <term>qualified shipyard investment</term> means an investment to construct, modernize, or expand—</text><subparagraph id="idc88f11d0f1f74f25b892971cfee00280"><enum>(A)</enum><text>a shipyard of the United States that constructs or repairs civilian or military vessels; or</text></subparagraph><subparagraph id="ida1aa85f4c71248bd8f464bc0011ac153"><enum>(B)</enum><text>a manufacturing facility—</text><clause id="idfd82e88939c14c13a796fff6a643387a"><enum>(i)</enum><text>that is—</text><subclause id="id71e8cb1a9e484b7298ba48d22c021262"><enum>(I)</enum><text>a component supplier;</text></subclause><subclause id="idc5d2328c9faf41d68de40f4b7782b538"><enum>(II)</enum><text>a subcomponent supplier; or</text></subclause><subclause id="id6fff3ee64dd9466a88e7a135e5c3babe"><enum>(III)</enum><text>a manufacturing equipment supplier;</text></subclause></clause><clause id="id3a88c43c548f4acb9e778ec7c7d24601"><enum>(ii)</enum><text>that is based in the United States; and</text></clause><clause id="id5a89df6f61f24727bfbfe4de4a3ff090"><enum>(iii)</enum><subclause commented="no" display-inline="yes-display-inline" id="id02396b8b23a640279df06c1142e17ad2"><enum>(I)</enum><text>at which at least 50 percent of the products produced will be sold to shipyards of the United States or used to construct vessels of the United States; or</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id9c0b6558d6f24058b35954e7041c99ac" indent="up1"><enum>(II)</enum><text>at which the investment will more than double the facility’s capacity to produce products to be sold to shipyards of the United Sates or used to construct vessels of the United States, as determined by the Administrator.</text></subclause></clause></subparagraph></paragraph></subsection><subsection id="ida3d9c31338de47a08a456dbbe0c33cf2"><enum>(c)</enum><header>Procedure</header><paragraph id="id4078309b8869409393e8973939ec7f6f"><enum>(1)</enum><header>Application</header><text>A covered entity desiring financial assistance under this section shall submit an application to the Maritime Administrator.</text></paragraph><paragraph id="id6698fae78eeb4b358f7d0b438047a737"><enum>(2)</enum><header>Requirements</header><text>In order for a covered entity to qualify for financial assistance under this section, the covered entity shall—</text><subparagraph id="idf4a7c96f010946d88f66c76560a1cca0"><enum>(A)</enum><text>for financial assistance related to construction of a vessel of the United States as described in subsection (a)(1)—</text><clause id="id8e7286d10bc24bcbaf4d8881aa5b96b1"><enum>(i)</enum><text>enter into an agreement with the Maritime Administrator establishing that the vessel that is constructed with Federal financial assistance shall be, for a period of not less than 10 years, documented under the laws of the United States; and</text></clause><clause id="id3302fbf525be45ab9dc1de2ff36067a8"><enum>(ii)</enum><text>agree to carry out all construction in a shipyard of the United States as the result of competitive bidding, after due advertisement, with the right reserved by the Administrator to disapprove any or all bids;</text></clause></subparagraph><subparagraph id="ide6dcfc5655fb413496ad1a3194da7761"><enum>(B)</enum><text>for financial assistance related to qualified shipyard investments as described in subsection (a)(2), use the financial assistance award amounts to incentivize investments in—</text><clause id="id79b2ef94fa5045abb6f77e569d55c761"><enum>(i)</enum><text>facilities or equipment related to shipbuilding or ship repair; or</text></clause><clause id="iddeb3c4efb1bb49648bc542d4f7faa4a3"><enum>(ii)</enum><text>maritime component suppliers and subcomponent suppliers with over 50 percent maritime use in each such investment; and</text></clause></subparagraph><subparagraph id="id4f78f89a31c248fda019a88da7f41b4b"><enum>(C)</enum><text>make commitments to worker and community investment, including through—</text><clause id="id9ee6312ba93e43f89a4f4d79321941e9"><enum>(i)</enum><text>programs to expand employment opportunity for economically disadvantaged individuals; and</text></clause><clause id="id300f73b68b964ca09759605868d14172"><enum>(ii)</enum><text>securing commitments from regional educational and training entities and institutions of higher education to provide workforce training, including programming for training and job placement of economically disadvantaged individuals.</text></clause></subparagraph></paragraph><paragraph id="idac5f0ddf4f66493a9b9ce12642cb02dd"><enum>(3)</enum><header>Review of applications</header><subparagraph id="id4127cb5263984ce9ae5077343d8f7ab0"><enum>(A)</enum><header>Considerations for review</header><text>With respect to the review by the Maritime Administrator of an application submitted—</text><clause id="id3f1d7ad3b62d4a52989c6f3fabd9e5ee"><enum>(i)</enum><text>the Maritime Administrator may not approve an application for construction of a vessel as described in subsection (a)(1) unless the Administrator—</text><subclause id="idce0fc83bcb7d465bb517b56d96f7c91d"><enum>(I)</enum><text>determines that a vessel funded through the program—</text><item id="id8c910dba002141f2a8a457fd470156ce"><enum>(aa)</enum><text>will aid in the promotion and development of foreign commerce; and</text></item><item id="id675b0a320e424719b25510a2402f42ad"><enum>(bb)</enum><text>will be suitable for use by the United States for national defense or military purposes in time of war or national emergency;</text></item></subclause><subclause id="id78b1882c4bc94981935f4945f28688ef"><enum>(II)</enum><text>determines that the vessel purchaser applying for funding under this section possesses the ability, experience, financial resources, and other qualifications necessary for the operation and maintenance of the proposed new vessel;</text></subclause><subclause id="id9ce0deaf3e7b4a5697f133212f589440"><enum>(III)</enum><text>determines that the shipyard that will construct a vessel under this section possesses the ability, experience, financial resources, equipment, and other qualifications necessary to properly construct the proposed vessel;</text></subclause><subclause id="id51fa1bd91384490ab4f0fb2a34edb5b1"><enum>(IV)</enum><text>confirms that any newly constructed vessel has dedicated space for the training of cadets of the United States Merchant Marine Academy (consistent with the requirements of section 51307(b)), State maritime academies (consistent with the requirements of section 51507), or other workforce training programs identified by the Administrator; and</text></subclause><subclause id="id7cff9aca28374f2fb826a1aeec302a93"><enum>(V)</enum><text>has notified the appropriate committees of Congress not later than 15 days before making any commitment to provide Federal financial assistance to any covered entity; and</text></subclause></clause><clause id="id3bad3287f612463f8879f80fbdfd54b9"><enum>(ii)</enum><text>the Maritime Administrator may not approve an application to incentivize qualified shipyard investments as described in subsection (a)(2) unless the Administrator—</text><subclause id="idc82972417d69438ab8589d1877c15956"><enum>(I)</enum><text>confirms that the covered entity has received an incentive offered by a governmental entity to a covered entity for the purposes of supporting a qualified shipyard investment within that jurisdiction;</text></subclause><subclause id="id9a7f606d8eef4ec09fd32c3bc55495b4"><enum>(II)</enum><text>ensures that the covered entity has an executable plan to sustain the facility without additional Federal financial assistance under this subsection for the facility;</text></subclause><subclause id="id6b77f5d79f0948f387d459b7e5ae3927"><enum>(III)</enum><text>determines that the project to which the application relates is in the economic and national security interests of the United States; and</text></subclause><subclause id="id9e9d465536a24a6eb557e737c2874958"><enum>(IV)</enum><text>receives detailed information on—</text><item id="idd1dbbbdd849f43bfabdabfb9a206f57d"><enum>(aa)</enum><text>the customers, or categories of customers, which the covered entity plans to serve;</text></item><item id="ida0c0ba3ac03e4b98ade0142ed6237d1a"><enum>(bb)</enum><text>the type of expenditures which the covered entity plans to make; and</text></item><item commented="no" display-inline="no-display-inline" id="idf694483352be4d339b6a596057ee2152"><enum>(cc)</enum><text>the workforce positions that the covered entity plans to employ, including any required recruitment, training, and hiring; and</text></item></subclause></clause><clause id="idf165168c080e4f23a795658364631c4f"><enum>(iii)</enum><text>the Maritime Administrator may consider—</text><subclause id="idbac2c8fc03ab47df92ef8d50d9b4fcbd"><enum>(I)</enum><text>whether the covered entity has previously received financial assistance under this section;</text></subclause><subclause id="id50366b99f6fb4a8f88444c231401c386"><enum>(II)</enum><text>the price for the construction or repair of a vessel that has been negotiated between a shipyard and proposed vessel purchaser, and whether the negotiated price is fair and reasonable;</text></subclause><subclause id="idb695313f99c44ccba0b514ee300801c2"><enum>(III)</enum><text>whether the covered entity commits to use equipment, materials, and supplies that are produced in the United States, and utilize, to the maximum extent practicable, subcontractors and suppliers that are based in the United States; and</text></subclause><subclause id="idd1d5ce431dad459fa51b7eac8b0ac1da"><enum>(IV)</enum><text>whether the covered entity commits to utilizing new or emerging technologies.</text></subclause></clause></subparagraph><subparagraph id="idfa8ecdd2c7734268af4c3c7b81a16f10"><enum>(B)</enum><header>Records</header><text>The Maritime Administrator may request records and information from the covered entity. The covered entity shall provide the records and information requested by the Administrator.</text></subparagraph><subparagraph id="idd1d2bb91910c43d1b32dc1063bc688e0"><enum>(C)</enum><header>Priority</header><text>In providing Federal financial assistance to covered entities under this section, the Maritime Administrator may—</text><clause id="id484d0298d2144f2bae59bb5338f1c3e4"><enum>(i)</enum><text>for an application for construction of a vessel as described in subsection (a)(1), give priority to applicants that—</text><subclause id="id1560007b418e43a885f1997c60b25689"><enum>(I)</enum><text>propose the construction of vessels of higher transport capability and productivity;</text></subclause><subclause id="idf5622a3ecd404beb96a2d3cc735070b0"><enum>(II)</enum><text>commit to have modifications done in the United States to a vessel constructed with such financial assistance; or</text></subclause><subclause id="id492a26e588644d1da3b9c08323830552"><enum>(III)</enum><text>propose the construction or modification of a vessel to meet the national security needs of the United States; and</text></subclause></clause><clause id="id8b82018bd5944f61905f47255a34243e"><enum>(ii)</enum><text>for an application to incentivize a qualified shipyard investment as described in subsection (a)(2), give priority to applicants that—</text><subclause id="idb341fdd27af34483b85dff62cc57dee3"><enum>(I)</enum><text>propose to expand production capacity to enable more military or commercial vessels to be constructed or repaired in the United States;</text></subclause><subclause id="id4d219bb675414ec59ed2136cfccaff9c"><enum>(II)</enum><text>commit to using new or emerging technologies or vessel design processes that increase production times or lower production costs; or</text></subclause><subclause id="id27a42cbbf9c3456bb2ab170d954e8fde"><enum>(III)</enum><text>have experience making qualified shipyard investments or operating shipyards for commercial or military oceangoing vessels.</text></subclause></clause></subparagraph></paragraph><paragraph id="id9861b3423e47415694d3664da0d4f3ea"><enum>(4)</enum><header>National defense features</header><subparagraph id="id6d194bf685f74431889310f3db23ba33"><enum>(A)</enum><header>In general</header><text>Upon receiving an application for the construction of a vessel under this section, the Maritime Administrator shall submit to the Secretary of the Navy the plans and specifications for the proposed vessel for review.</text></subparagraph><subparagraph id="id948a7059f0bd49ec87521e28f15b8a76"><enum>(B)</enum><header>Recommendations</header><text>Not later than 30 days after the date of receiving the plans and specifications for a vessel as provided for under subparagraph (A), the Secretary of the Navy may make recommendations to the Maritime Administrator for the design of the vessel, which would enable the economical and speedy conversion of the vessel into a vessel suitable for use of the United States Government in times of war or national emergency.</text></subparagraph><subparagraph id="id1c3c4ddcbce74707a8eb54f9b4ecd3c3"><enum>(C)</enum><header>Requirement to implement recommendations</header><text>If the Maritime Administrator agrees with such recommendations, the Maritime Administrator shall require the covered entity to carry out such recommendations as a condition of receiving Federal financial assistance under this section with respect to that vessel.</text></subparagraph></paragraph><paragraph commented="no" id="id2a60d25259bb420db7d6f09f270e2c0f"><enum>(5)</enum><header>Relationship to other financial assistance programs</header><text>A covered entity may not receive financial assistance under this section for a vessel which is enrolled in the Strategic Commercial Fleet Program.</text></paragraph></subsection><subsection id="idab9ee3fd7f05473b8755a3d10c49fd6c"><enum>(d)</enum><header>Award amounts</header><paragraph id="idb8950313292c41d78b85834234233ddc"><enum>(1)</enum><header>Construction of a vessel of the United States</header><subparagraph commented="no" display-inline="no-display-inline" id="id674ffa3056e34706b1176cd03f744d9d"><enum>(A)</enum><header>In General</header><text display-inline="yes-display-inline">For financial assistance related to construction of a vessel of the United States, as described in subsection (a)(1), the Maritime Administrator shall determine the appropriate amount and funding for each financial assistance award made under this section.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id7ce6a60229fc48c79823850955a871c9"><enum>(B)</enum><header>Determination</header><text display-inline="yes-display-inline">In making the determination under subparagraph (A), the Maritime Administrator shall consider the difference in the cost of constructing the proposed vessel within the United States over the fair and reasonable estimate of cost of the construction of that type of vessel if it were constructed under similar plans and specifications (excluding national defense features as described in subsection (c)(4)) in a foreign shipbuilding center that is deemed by the Administrator to furnish a fair and representative example for the determination of the estimated foreign cost of construction of vessels of the type proposed to be constructed.</text></subparagraph></paragraph><paragraph id="idf9b3a94bb7224f9695dad684b77a62d5"><enum>(2)</enum><header>Qualified shipyard investments</header><text>For financial assistance provided to incentivize qualified shipyard investments as described in subsection (a)(2), the Maritime Administrator shall determine the appropriate amount for each financial assistance award made to a covered entity to maximize private sector investments and to expand shipyard and ship building capacity of the United States.</text></paragraph><paragraph id="idb15e80c325bb4e8f935b233503e677a2"><enum>(3)</enum><header>Use of funds</header><text>A covered entity that receives a financial assistance award under this section may only use the financial assistance award amounts to—</text><subparagraph id="id288a0a8332974491bf4c02f088a3cadc"><enum>(A)</enum><clause commented="no" display-inline="yes-display-inline" id="ida7b368f479104ca79659016c9a89c279"><enum>(i)</enum><text>finance the construction of a vessel to be built in the United States and documented under the laws of the United States; or</text></clause><clause id="id11b439d0c69742cf958601553f830bc0" indent="up1"><enum>(ii)</enum><text>support site development, construction, and modernization for qualified shipyard investments; and</text></clause></subparagraph><subparagraph id="id58cbd3e96c804372a8d072002c7dad00"><enum>(B)</enum><text>support workforce development for a shipyard or qualified shipyard investment.</text></subparagraph></paragraph></subsection><subsection id="id7e0d2b44e56b4c56a4e55ddc5ff79c9e"><enum>(e)</enum><header>Applications for reconstruction, conditioning, or repowering</header><text>The Maritime Administrator may, if determined to be in the national and economic security interests of the United States and consistent with the requirements of this section, consider an application as described in subsection (a)(1), and award financial assistance under this section, for the reconstruction, reconditioning, or repowering of an existing vessel in a shipyard of the United States.</text></subsection><subsection commented="no" id="idd1456a45a77646fc90ea632320aaecd8"><enum>(f)</enum><header>Pilot program for vessels in domestic commerce</header><paragraph id="id4b4ba999c9fc4b57a1126ee1decf1501"><enum>(1)</enum><header>In general</header><text>The Maritime Administrator may, if determined to be in the national and economic security interests of the United States and consistent with all other requirements of this section (except the requirement under subsection (c)(3)(A)(i)(I)(aa)), establish a pilot program to consider an application as described in subsection (a)(1), and award financial assistance under this section for the construction of a vessel for use in service other than the foreign commerce.</text></paragraph><paragraph id="idc52b19c7af8b4f80a2dc809cbfdf5ab2"><enum>(2)</enum><header>Eligible vessels</header><text>In addition to all other requirements of this section (except the requirement under subsection (c)(3)(A)(i)(I)(aa)), a vessel qualifying for funding through the pilot program under this subsection shall only be eligible if the Administrator certifies that the vessel of the United States that will be constructed—</text><subparagraph commented="no" display-inline="no-display-inline" id="idff3e6af650b541eba494346ec7d69f2e"><enum>(A)</enum><clause commented="no" display-inline="yes-display-inline" id="id181a65a20dd24a4088abb5d8028f1c9c"><enum>(i)</enum><text display-inline="yes-display-inline">will operate in an emerging industry or a new trade lane;</text></clause><clause indent="up1" commented="no" display-inline="no-display-inline" id="id2edbd447751343a69dfe54f2d41ecbf0"><enum>(ii)</enum><text display-inline="yes-display-inline">will not compete with existing vessels of the United States; and</text></clause><clause indent="up1" commented="no" display-inline="no-display-inline" id="idd8c85f89cc01493eb022b431d8d9e3b7"><enum>(iii)</enum><text>will not serve a market already served by a vessel of the United States with a coastwise endorsement;</text></clause></subparagraph><subparagraph id="idf758211e6d664541ad442cb57e47205b" commented="no"><enum>(B)</enum><clause commented="no" display-inline="yes-display-inline" id="idb72da66e9c9a442da66b0eefeb2ef7be"><enum>(i)</enum><text>will replace an existing vessel of the United States that is or will be acquired by the Administrator to be placed in the National Defense Reserve Fleet, pursuant to section 57101; and</text></clause><clause id="id931006eee65247b7ad1ec90c07f3245e" indent="up1" commented="no"><enum>(ii)</enum><text>will operate for not longer than 21 years and upon disposition will be placed in the National Defense Reserve Fleet, pursuant to section 57101; or</text></clause></subparagraph><subparagraph id="id20778beddaa7435a93060d1afda8c66a"><enum>(C)</enum><text>will be an oceanographic research vessel (as defined in section 2101 of this title).</text></subparagraph></paragraph><paragraph commented="no" id="idc11f90f11add4e8982d785d72dd7bf49"><enum>(3)</enum><header>Rule of construction</header><text>Nothing in this subsection shall be construed to alter the requirements under section 55102.</text></paragraph></subsection><subsection id="idf29cbf6aa32643ff9fb683da0eb916a8"><enum>(g)</enum><header>Clawback</header><paragraph id="id2a822751ce9c44eaab57ae1ff85de6a0"><enum>(1)</enum><header>Milestones</header><text>For all awards to covered entities under this section, the Administrator shall, before the award is made, determine target milestones by which the vessel’s construction or a qualified shipyard investment shall be completed.</text></paragraph><paragraph id="ide5ae4e471dd14632befe4e30afa81f25"><enum>(2)</enum><header>Progressive recovery for delays</header><text>Subject to paragraph (3), if a covered entity does not meet such target milestones, the Administrator shall progressively recover up to the full amount of an award provided to a covered entity under this section.</text></paragraph><paragraph id="id6192d454d0b04cb98def3836bf6781ba"><enum>(3)</enum><header>Waiver</header><text>In the case of delays that do not meet such target milestones, the Administrator may waive elements of the progressive recovery described in paragraph (2) that is incorporated in each award after—</text><subparagraph id="id86758bf5469045c08cdf8232c5a4fa98"><enum>(A)</enum><text>making a formal determination that circumstances beyond the ability of the covered entity to foresee or control are responsible for delays; and</text></subparagraph><subparagraph id="id0a5ee08eeb224d4bb96e415afa462234"><enum>(B)</enum><text>submitting congressional notification.</text></subparagraph></paragraph><paragraph id="id9201374f65ae4d2983f74d97ef5c3fe3"><enum>(4)</enum><header>Congressional notification</header><text>The Administrator shall notify the appropriate committees of Congress—</text><subparagraph id="id9d96bf2669a0453b9fcd58c9fe339aa8"><enum>(A)</enum><text>of the target dates described in paragraph (1) for each award; and</text></subparagraph><subparagraph id="id558d35c5d7c74c88a7c6f411ab044896"><enum>(B)</enum><text>of any waivers provided under paragraph (3) not later than 15 days after the date on which such a waiver was provided.</text></subparagraph></paragraph></subsection><subsection id="id79592cde989e4a9eb9dede7db9c73c93"><enum>(h)</enum><header>Emergency preparedness</header><text>The Maritime Administrator shall require any vessel that is constructed with financial assistance under this section to participate in an emergency preparedness program that is approved by the Secretary of Defense.</text></subsection><subsection id="id3fac522084b04b5295350ba08f0de668"><enum>(i)</enum><header>Clarification</header><text>The provision by the Administrator of Federal financial assistance for a project described in this section shall not be considered to be a major Federal action under the National Environmental Policy Act of 1969 (<external-xref legal-doc="usc" parsable-cite="usc/42/4321">42 U.S.C. 4321 et seq.</external-xref>) or an undertaking for the purposes of division A of subtitle III of title 54, United States Code.</text></subsection><subsection id="ide3185e0e0b094f02948aa11e513afbd4"><enum>(j)</enum><header>Buy America</header><text>Section 54101(d)(2) shall apply to any funds obligated by the Administrator under this section.</text></subsection><subsection id="idb215bdacea784fd09d5a2516e6cb8b71"><enum>(k)</enum><header>GAO review</header><text>The Comptroller General of the United States shall—</text><paragraph id="ide289a4a4cd8b4352a46780a1b8a864f1"><enum>(1)</enum><text>not later than 2 years after the date of disbursement of the first financial award under this section, and biennially thereafter for 10 years, conduct a review of the program under this section; and</text></paragraph><paragraph id="idaedd7d0288b04e01a37b383ca81fb887"><enum>(2)</enum><text>submit to the appropriate committees of Congress the results of each review.</text></paragraph></subsection><subsection id="id19cad2657f6f4901b88c175461e3b8ed"><enum>(l)</enum><header>Prohibition on use of funds</header><paragraph id="id7da9c72d88c24b16ac3e14ecbb81f3d4"><enum>(1)</enum><header>In general</header><text>No funds made available under this section may—</text><subparagraph id="id5bf75b04324c4185a2924f8140624433"><enum>(A)</enum><text>be used to construct, modify, or improve a facility outside of the United States;</text></subparagraph><subparagraph id="id7b664af81d45497bb4830f9e6c98900b"><enum>(B)</enum><text>be provided to a foreign entity of concern or to support a foreign entity of concern; or</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id09d09758111f4c03bd11a4adcab61957"><enum>(C)</enum><text>be used to purchase materials that are procured or sourced from a foreign entity of concern, if such funds are for construction of a vessel as described in subsection (a)(1).</text></subparagraph></paragraph><paragraph id="id40fc6e084cd044d9bb1a2db7178905fd"><enum>(2)</enum><header>Stock buybacks</header><text>An entity receiving financial assistance under this section may not engage in any stock buyback for a period of 5 years after receiving such assistance.</text></paragraph></subsection><subsection id="ideefc682b598d4f419097fa3b73d51ca7"><enum>(m)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated to the Administrator, out of the Maritime Security Trust Fund established under section 50301(b) of this title, $250,000,000 for each of fiscal years 2026 through 2035 to provide financial assistance to covered entities under this section, to remain available until expended.</text></subsection></section></chapter><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" id="idc3ea6213e8cb48919058194e9ebba679"><enum>(b)</enum><header>Clerical amendment</header><text>The table of chapters at the beginning of part C of subtitle V of title 46, United States Code, and at the beginning of subtitle V of such title, are each amended by inserting after the item relating to chapter 537 the following new item:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id0FC1C94671B74F988CF96EBF9E4580B8"><toc><multi-column-toc-entry bold="off" level="chapter"><toc-enum>538.</toc-enum><level-header level="chapter">Shipbuilding financial incentives</level-header><target>53801</target></multi-column-toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection id="id449ED3F58AC4428C85A7DF05A7341D0D"><enum>(c)</enum><header>Conforming amendment</header><text>Title V of the Act of June 29, 1936 (49 Stat. 1995; chapter 858) is repealed.</text></subsection></section><section id="idee69c11067634d59bedf7e9483d9a8fd"><enum>502.</enum><header>Assistance for small shipyards</header><text display-inline="no-display-inline">Section 54101 of title 46, United States Code, is amended—</text><paragraph id="id9189aff8bbad4bc384a9e82c257a7d83"><enum>(1)</enum><text>in subsection (b)(1)—</text><subparagraph id="idc70043c9252345f1a6b2506f771b7319"><enum>(A)</enum><text>in subparagraph (A), by striking <quote>; and</quote> and inserting a semicolon;</text></subparagraph><subparagraph id="idf42403c4a9104d50a2afaf42002759f0"><enum>(B)</enum><text>in subparagraph (B), by striking the period and inserting <quote>; and</quote>; and</text></subparagraph><subparagraph id="id3bd37f0d6e684fa9a320602685f7cb15"><enum>(C)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idd8190a777a2942c58c6f64f291b83a7d"><subparagraph id="idc4d6a62809144f8bbad47522ce8a4fa0"><enum>(C)</enum><text>long-term industrial base growth that supports the national security and economic security needs of the merchant marine of the United States.</text></subparagraph><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph></paragraph><paragraph id="id7d926a7fa6a148f1a26f8634c760187d"><enum>(2)</enum><text>in subsection (i)—</text><subparagraph id="idd7d88352ab9e4e309b17a6c72c6433cf"><enum>(A)</enum><text>by inserting <quote>out of the Maritime Security Trust Fund established under section 50301(b) of this title</quote> before <quote>to the Administrator of the Maritime Administration</quote>; and</text></subparagraph><subparagraph id="idd5cf1b66d9994737bdb6d85cea2826c2"><enum>(B)</enum><text>by striking <quote>for fiscal year 2021 to carry out this section $20,000,000</quote> and inserting <quote>$100,000,000 for each of fiscal years 2026 through 2035</quote>.</text></subparagraph></paragraph></section><section id="idb001fe3fb33341399988058f8350560e"><enum>503.</enum><header>Federal Ship Financing (title XI) Program</header><subsection id="idbd1adf6220094c1cbae5037f6f56afe6"><enum>(a)</enum><header>Establishment of revolving loan fund</header><text>Section 53702 of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id2b654f556e8d4e96b6fbd666f30151bf"><subsection id="id08cdac959a054126aa6fc4b22c547d86"><enum>(c)</enum><header>Establishment of revolving loan fund</header><text>Not later than 30 days after the date of enactment of the <short-title>SHIPS for America Act of 2025</short-title>, the Secretary shall establish a revolving loan fund to be administered by the National Surface Transportation and Innovation Finance Bureau established under section 116 of title 49. Any funds appropriated to carry out this chapter shall be deposited in the fund, along with any proceeds generated from the loan guarantee program under this chapter including any fees collected under section 53713 or 53714. The Secretary or Administrator shall make a guarantee of payments or commitment to guarantee payments under subsection (a) or for the Secretary to make direct loan obligations under subsection (b) out of the revolving loan fund.</text></subsection><subsection id="ida2dc038972fc4805917bdd782f26f179"><enum>(d)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated, out of the Maritime Security Trust Fund established under section 50301(b) of this title, $100,000,000 for fiscal year 2026 to be available until expended to the revolving loan fund established under subsection (c).</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection id="id540a5be89d4441a3a906dfa79b789a96"><enum>(b)</enum><header>Funding limits</header><text>Section 53704 of title 46, United States Code, is amended—</text><paragraph id="idcef924e3232f48cbb83bfc90acff4002"><enum>(1)</enum><text>in subsection (a), by striking <quote>facilities.</quote> and inserting <quote>facilities, and not less than 50 percent of obligations guaranteed under this chapter shall be for projects that do not receive any payments or Federal financial assistance from financial assistance programs established under this part.</quote>; and</text></paragraph><paragraph id="id03e601e7c59847a48917defc6013b81b"><enum>(2)</enum><text>in subsection (c), by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idb57374283e3f48f8833d09539904ad4a"><paragraph id="id9d4fdee304e5436c8e6bbf63e1a7fe6a"><enum>(5)</enum><header>Vessel of National Interest</header><text>The Administrator shall ensure that the system of risk categories under paragraph (2) takes into consideration whether a project subject to a guarantee under this chapter is a project to construct, reconstruct, or recondition a Vessel of National Interest.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="id663c77b9688844d88b1de1e2893f59b9"><enum>(c)</enum><header>Eligible purposes of obligations</header><text>Section 53706(a)(8) of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="idc3cccb319918402b86c9861856b86c53"><enum>(1)</enum><text>by striking <quote>States.</quote> and inserting <quote>States that is required—</quote>; and</text></paragraph><paragraph id="id561c6de926c6402eb8aed3b66c2c0bc7"><enum>(2)</enum><text>by adding at the end the following new subparagraphs:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id56fa3cd896234208bcaa526406f59f99"><subparagraph id="idd9065fdb1b7e4b91b8669e57f311d47a"><enum>(A)</enum><text>for the vessel to be a vessel of the United States;</text></subparagraph><subparagraph id="id459e3c152548412db95d566bd8dcb06f"><enum>(B)</enum><text>for the vessel to be issued a coastwise endorsement under chapter 121;</text></subparagraph><subparagraph id="idbac8ef97b2424c959c041222e700e6fa"><enum>(C)</enum><text>to convert a civilian vessel of the United States to a more useful military configuration;</text></subparagraph><subparagraph id="idf18c9f1865da44278dac2eceef223515"><enum>(D)</enum><text>for any vessel under contract to the Federal Government; or</text></subparagraph><subparagraph id="idbab26263251b4f0f807e8aede40cbf52"><enum>(E)</enum><text>for any United States-built vessel participating in—</text><clause id="id14e4af905f884feeb2bc73dee3acca10"><enum>(i)</enum><text>the Maritime Security Program or the Emergency Preparedness Program under chapter 531;</text></clause><clause id="iddb4811eb59094b25bfd3ec5716dec28d"><enum>(ii)</enum><text>the Cable Security Fleet under chapter 532;</text></clause><clause id="id2a8c2dff21b04787844a8f27df972612"><enum>(iii)</enum><text>the Tanker Security Fleet under chapter 534;</text></clause><clause id="ida01d79bfc53d454580f7df2a1f9cc420"><enum>(iv)</enum><text>the Strategic Commercial Fleet under chapter 536;</text></clause><clause id="id61fe62270b5240fdb42443f5e291ffa4"><enum>(v)</enum><text>the Shipbuilding Financial Incentive under chapter 538; or</text></clause><clause id="ida522e88e24d549bd8500c3d2f9582ef6"><enum>(vi)</enum><text>the National Defense Reserve Fleet under section 57100.</text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="ida602a2ac069346ad878a44478944dbde"><enum>(d)</enum><header>Buy America</header><text>Section 53733 of title 46, United States Code, is amended by striking subsection (f) and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id875643b0f1d440c18e2ef001db0f7b08"><subsection id="idb7abde379d2c43399631049b481e09e8"><enum>(f)</enum><header>Buy America</header><text>Section 54101(d)(2) shall apply to any funds obligated by the Administrator under this section.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id37a1634d3c4b4c1fb4f0209130ec4805"><enum>504.</enum><header>Construction Reserve Fund</header><subsection id="ida734fb1543fb436588f5aed4457e3fca"><enum>(a)</enum><header>Definitions</header><text>Section 53301(a) of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id7cc81b3421e8489ebca746db0c3bb4c9"><enum>(1)</enum><text>in paragraph (1), by striking <quote>a new vessel</quote> and inserting <quote>an eligible vessel</quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id6e0c2367a3964ff182b31838f9d73748"><enum>(2)</enum><text>in paragraph (2)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id5acc1fb2d1bc40f78344a0ab69c8614c"><enum>(A)</enum><text>in the paragraph heading, by striking <quote><header-in-text level="paragraph" style="USC">New vessel</header-in-text></quote> and inserting <quote><header-in-text level="paragraph" style="USC">Eligible vessel</header-in-text></quote>;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idddb53cbcb977487f8e863f6b93f9d8f9"><enum>(B)</enum><text>in the matter preceding subparagraph (A), by striking <quote>new vessel</quote> and inserting <quote>eligible vessel</quote>; and</text></subparagraph><subparagraph id="id76b56adfd9b6490ab54bcb777aba9705"><enum>(C)</enum><text>in subparagraph (A)—</text><clause id="idf79b408690eb4dc3b85d91a73fdcc54f"><enum>(i)</enum><text>in clause (i), by striking <quote>after December 31, 1939</quote>;</text></clause><clause commented="no" display-inline="no-display-inline" id="id0b4e0f85ff6945a6b94cf0c2bcfae134"><enum>(ii)</enum><text display-inline="yes-display-inline">in clause (ii), by striking <quote>and</quote> after the semicolon;</text></clause><clause commented="no" display-inline="no-display-inline" id="ide417f8f0ca904ae4ac17f17f9aa515aa"><enum>(iii)</enum><text>by redesignating clause (iii) as clause (iv); and</text></clause><clause id="idfb352548dbaf42718aed722d222d790b"><enum>(iv)</enum><text>by inserting after clause (ii), the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idf378152905d44dd1ace4ed4d1641b928"><clause id="id43081addac5d4ea3a242c64ed3b896c5"><enum>(iii)</enum><text>operated in foreign commerce or domestic commerce of the United States or in the fisheries; and</text></clause><after-quoted-block>; and</after-quoted-block></quoted-block></clause></subparagraph></paragraph><paragraph id="ide0b186fdda414ca6a03e5df2903133dc"><enum>(3)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id4c762814bef444dabbecc39579d1407b"><paragraph id="id843c2afcdce541478a9499bcc62f3e18"><enum>(3)</enum><header>Foreign commerce</header><text>The term <term>foreign commerce</term> means—</text><subparagraph id="id93b0cd57fe2149a59cf68592a6bf5e63"><enum>(A)</enum><text>commerce or trade between the United States, its territories or possessions, or the District of Columbia, and a foreign country; and</text></subparagraph><subparagraph id="ide0e322bf4ec94607b55eda6aa757e78a"><enum>(B)</enum><text>commerce or trade between foreign countries.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="ide76fe4386691484ea64b408e7c0cfccc"><enum>(b)</enum><header>Authority for Construction Reserve Funds</header><text>Section 53302(a) of title 46, United States Code, is amended by striking <quote>or acquisition of a new vessel</quote> and inserting <quote>repowering, or acquisition of an eligible vessel</quote>.</text></subsection><subsection id="id1ab6a243b1654202bbb6558dbc76c91b"><enum>(c)</enum><header>Persons eligible To establish funds</header><text>Section 53303 of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id1a41027c6af54b8f8a3e3ac456912e47"><enum>(1)</enum><text>by striking the matter preceding paragraph (1) and inserting the following: <quote>A citizen of the United States may make an agreement with the Secretary of Transportation under this chapter to establish a construction reserve fund if that citizen—</quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id03D98BE222414C528E94AD0530CE63C7"><enum>(2)</enum><text>in paragraph (1), by striking <quote>in the foreign or domestic commerce of the United States</quote> and inserting <quote>documented under the laws of the United States and operating in foreign commerce or domestic commerce of the United States</quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idA586EA5970DC4AD999524EC9997F99C3"><enum>(3)</enum><text>in paragraph (2), by striking <quote>being operated in the foreign or domestic commerce of the United States</quote> and inserting <quote>documented under the laws of the United States and operating in foreign commerce or domestic commerce of the United States</quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id85A94F070B5B4D8698E811224DE9A5F8"><enum>(4)</enum><text>in paragraph (3), by striking <quote>in the foreign or domestic commerce of the United States</quote> and inserting <quote>documented under the laws of the United States and operating in foreign commerce or domestic commerce of the United States</quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id667910c78aac4c2789063c02098455d5"><enum>(5)</enum><text>in paragraph (4)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id087CC67BCF3C40469F3E70DD48E53784"><enum>(A)</enum><text>by striking <quote>being operated in the foreign or domestic commerce of the United States</quote> and inserting <quote>documented under the laws of the United States and operating in foreign commerce or domestic commerce of the United States</quote>; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idC4008E800BB145F2A1EB9CF957F8582B"><enum>(B)</enum><text>by striking <quote>or</quote> after the semicolon;</text></subparagraph></paragraph><paragraph id="id275b1ed1679a46638f4d9b82387138ff"><enum>(6)</enum><text>in paragraph (5)—</text><subparagraph id="id78666A0C64354AE7A164739F752D416C"><enum>(A)</enum><text>by striking <quote>in the foreign or domestic commerce of the United States</quote> and inserting <quote>documented under the laws of the United States to operate in foreign commerce or domestic commerce of the United States</quote>; and</text></subparagraph><subparagraph id="idF99B75932CA643D5A2B2011EFE3F6F2B"><enum>(B)</enum><text>by striking the period at the end and inserting <quote>; or</quote>; and</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id9a146a273b114706adebc7aa236f9e4a"><enum>(7)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id3C9116C9EB8C45B99B4DFC22CB53A151"><paragraph id="ida2a08fb04b62423ea2e56498b13f74a0"><enum>(6)</enum><text>commits, as a part of the agreement with the Secretary under this chapter, to construct, reconstruct, recondition, repower, or acquire, and operate, an eligible vessel by not later than 5 years after the date on which the construction reserve fund is established.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="id9c22e49f7b7c47239498e878014041fb"><enum>(d)</enum><header>Vessel ownership</header><text>Section 53304 of title 46, United States Code, is amended by striking <quote>constructed or acquired</quote> each place the term appears and inserting <quote>constructed, reconstructed, reconditioned, repowered, or acquired</quote>.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id345738991e1a4381a76e0ba855cb054a"><enum>(e)</enum><header>Basis for determining gain or loss</header><text display-inline="yes-display-inline">Section 53307 of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="idc3ea185a338a4f39856c54dc00249777"><enum>(1)</enum><text>in the section heading, by striking <quote><header-in-text level="section" style="USC">new vessels</header-in-text></quote> and inserting <quote><header-in-text level="section" style="USC">eligible vessels</header-in-text></quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id7e9727f5de064f959a0c5986cb613e0f"><enum>(2)</enum><text display-inline="yes-display-inline">by striking <quote>a new vessel</quote> and inserting <quote>an eligible vessel</quote>;</text></paragraph><paragraph id="id31e6e3ce4bb34cba95c31ff8548bfa66"><enum>(3)</enum><text>by striking <quote>the new vessel</quote> and inserting <quote>the eligible vessel</quote>;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idc4632e0fa135468082fc8d660b269221"><enum>(4)</enum><text>by inserting <quote>repowered,</quote> after <quote>reconditioned,</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="iddc7683e998d04c7caea851e28804e3cd"><enum>(5)</enum><text>by inserting <quote>repowering,</quote> after <quote>reconditioning,</quote>.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idd211ffd7dbe8495b96c78a5b25b8ff22"><enum>(f)</enum><header>Obligation of deposits</header><text>Section 53310 of title 46, United States Code, is amended—</text><paragraph id="id3255bd93d46b4eb6bf872e5baa43fe70"><enum>(1)</enum><text>in subsection (a)—</text><subparagraph commented="no" display-inline="no-display-inline" id="id3a8a9dfb41884f188105a272e8a790bd"><enum>(A)</enum><text display-inline="yes-display-inline">by striking <quote>a new vessel</quote> each place the term appears and inserting <quote>an eligible vessel</quote>; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idb57623395aa44f62a794be12440029e9"><enum>(B)</enum><text>in paragraph (1)(A), by striking <quote>or reconditioning</quote> and inserting <quote>, repowering, or reconditioning</quote>; and</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idfa2c43f2bc10499aadb56320f7b8b799"><enum>(2)</enum><text>by striking subsections (b) and (c) and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idE135805BD53A4F2899DD462641D911A6"><subsection id="idcbcbe4ec6e6b4ff79e93784489181bce"><enum>(b)</enum><header>Additional requirements for certain vessels</header><text>In addition to the requirements of subsection (a)(1), for an eligible vessel not constructed under the construction-differential program or not bought from the Secretary of Transportation, construction shall commence with reasonable dispatch after the date of the construction contract, as determined by the Secretary of Transportation and certified by such Secretary to the Secretary of the Treasury.</text></subsection><subsection id="idd3d1470845bd4a5d8e8b6ca2b9f299de"><enum>(c)</enum><header>Extensions</header><text>The Secretary of Transportation may grant extensions of the period within which the deposits must be expended or obligated, except that such extensions may not be for a total of more than 15 years for the expenditure or obligation of deposits.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id3cc6ea7bf1d94a3f9b08a4ac1c1ac871"><enum>(g)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/533">chapter 533</external-xref> of title 46, United States Code, is amended by striking the item relating to section 53307 and inserting the following:</text><toc><toc-entry bold="off" level="section"><quote>53307. Basis for determining gain or loss and for depreciating eligible vessels.</quote>.</toc-entry></toc></subsection></section><section commented="no" display-inline="no-display-inline" id="id2edbb7091f9441de8af75aa4b8142b5f"><enum>505.</enum><header>Capital Construction Fund</header><subsection commented="no" display-inline="no-display-inline" id="ide9d36b9688b64c91a3b90665aea1d34e"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Chapter 535 of subtitle V of title 46, United States Code, is amended—</text><paragraph id="ida5b7112fb5dd4164b257464211d55c87"><enum>(1)</enum><text>in section 53501—</text><subparagraph id="id22E5FF1353DC44F3A0A0D1D982D69AE8"><enum>(A)</enum><text>by redesignating paragraphs (2), (3), (4), (5), (6), (7), (8), and (9), as paragraphs (3), (5), (7), (8), (9), (10), (11), and (12), respectively;</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id4f698490697645c9869db46a029907f6"><enum>(B)</enum><text>by inserting after paragraph (1) the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idEF338C2B205A42759477571341F96C61"><paragraph id="id19745c3571954fff8b0bc677c732f032"><enum>(2)</enum><header>Cargo handling equipment</header><text>The term <term>cargo handling equipment</term> means any vehicle or land-based equipment (excluding marine container chassis), and the associated marine terminal or port landside infrastructure, used at a marine terminal to lift or move cargo—</text><subparagraph id="id0a2cba77a8df4761adeabdb87f1c5dea"><enum>(A)</enum><text>manufactured in the United States (including any territory or possession of the United States); or</text></subparagraph><subparagraph id="id95ef8b7326db44a5b7c97e650c95adeb"><enum>(B)</enum><text>manufactured outside of the United States, if such equipment is not produced in the United States in sufficient and reasonably available quantities or of a satisfactory quality as determined by the Secretary.</text></subparagraph></paragraph><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idc40897867cf545b4975f79bcebc5c5dd"><enum>(C)</enum><text>by inserting after paragraph (3), as redesignated by subparagraph (A), the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id7EB82521084640F78D2E7C629481039F"><paragraph id="id4290782c837948cda124b621876aa16d"><enum>(4)</enum><header>Foreign commerce</header><text>The term <term>foreign commerce</term> means—</text><subparagraph id="ide44413c474aa42af940c047f5575c289"><enum>(A)</enum><text>commerce or trade between the United States, its territories or possessions, or the District of Columbia, and a foreign country; and</text></subparagraph><subparagraph id="id6ca52f9055ec4a518f0d5a5c14ae1d23"><enum>(B)</enum><text>commerce or trade between foreign countries.</text></subparagraph></paragraph><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id533982a3bc494e0489531ebb44fb96c3"><enum>(D)</enum><text>by inserting after paragraph (5), as redesignated by subparagraph (A), the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id6F98D8B290004F66B8CDD533774196C3"><paragraph id="idadd49534124049018c7256f6e332dbb3"><enum>(6)</enum><header>Marine terminal</header><text>The term <term>marine terminal</term> means wharves, bulkheads, quays, piers, docks, and other berthing locations and adjacent storage or adjacent areas and structures associated with the primary movement of cargo or materials from vessel to shore, or from shore to vessel, including structures which are devoted to receiving, handling, holding, consolidating, loading, or delivery of waterborne shipments, including areas devoted to the maintenance of the terminal or equipment.</text></paragraph><after-quoted-block> ; and</after-quoted-block></quoted-block></subparagraph><subparagraph id="idecbc5f1af4854451ab008868c4edec8b"><enum>(E)</enum><text>in paragraph (3)(A)(iii), as redesignated by subparagraph (A), by striking <quote>foreign or domestic trade of the United States</quote> and inserting <quote>foreign commerce or domestic trade of the United States</quote>; and</text></subparagraph><subparagraph id="idd5fd391dbd224723bcc80df5cd0c03e3"><enum>(F)</enum><text>in paragraph (8)(A)(iii), as redesignated by subparagraph (A), by striking <quote>foreign or domestic trade of the United States</quote> and inserting <quote>foreign commerce or domestic trade of the United States</quote>;</text></subparagraph></paragraph><paragraph id="id0dd0b8df9e174ef2a1056e423ef66de1"><enum>(2)</enum><text>in section 53503—</text><subparagraph commented="no" display-inline="no-display-inline" id="id99922a9cdf0b4449b2e869f073c73288"><enum>(A)</enum><text display-inline="yes-display-inline">by striking subsection (a) and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id96EEB6B9F6034EF7849F2F4E54D8F46A"><subsection commented="no" display-inline="no-display-inline" id="id10c6397700994a66a6ea6b4455f5e9f9"><enum>(a)</enum><header>In General</header><paragraph commented="no" display-inline="no-display-inline" id="idbdb6dabf9acc406cbff9c24aba87c05f"><enum>(1)</enum><header>Citizen agreements</header><text display-inline="yes-display-inline">A citizen of the United States may make an agreement with the Secretary under this chapter to establish a capital construction fund for a vessel if that citizen—</text><subparagraph commented="no" display-inline="no-display-inline" id="id4805a8f11c67400fa82f26ffc416cecf"><enum>(A)</enum><text display-inline="yes-display-inline">owns or leases an eligible vessel; or</text></subparagraph><subparagraph id="idb405ab410ca540cca569501e23463a4d"><enum>(B)</enum><text>commits, as a part of such agreement, to build and operate an eligible vessel not later than 5 years after establishing the capital construction fund.</text></subparagraph></paragraph><paragraph id="id5c24ab4e365a4a378fff7d31bbea730e"><enum>(2)</enum><header>Operator agreements</header><text>An operator of a United States marine terminal may make an agreement with the Secretary under this chapter to establish a capital construction fund for the marine terminal.</text></paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph><subparagraph id="ida3dc54c71dfb4612815f1d959f985eb5"><enum>(B)</enum><text>by striking subsection (b), and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id969e096f1e9241829faf9898c9765d7d"><subsection commented="no" display-inline="no-display-inline" id="id17eac3fc4f0b496ea1c401a3a6384e46"><enum>(b)</enum><header>Allowable purpose</header><text display-inline="yes-display-inline">The purpose of the agreement shall be to provide—</text><paragraph id="id887aaaa9ecd04e1a903de0567a5b8385"><enum>(1)</enum><text>replacement vessels, additional vessels, or reconstructed vessels, built in the United States and documented under the laws of the United States, for operation in the foreign commerce or domestic trade of the United States or in the fisheries of the United States; or </text></paragraph><paragraph commented="no" id="id61103d32dd06443d8e8ff00526c8a9be"><enum>(2)</enum><text>replacement cargo handling equipment, additional cargo handling equipment, or reconstructed cargo handling equipment for operation at marine terminals in the United States.</text></paragraph></subsection><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph></paragraph><paragraph id="iddea1c7b73d534e60b569aa445c51da85"><enum>(3)</enum><text>in section 53504(b), by inserting <quote>or United States marine terminal</quote> after <quote>agreement vessel</quote>;</text></paragraph><paragraph id="id17c6a6ff51484a61b2342f6c85ded50d"><enum>(4)</enum><text>by striking section 53505 and inserting the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="idA95ABD7485F4412CB4A1BC0F5DAFDEDB"><section commented="no" id="ida4db1ae321724d629f62cc210efdea1d"><enum>53505.</enum><header>Ceiling on deposits</header><subsection commented="no" id="id72d4702332d74861bf6548369e976b27"><enum>(a)</enum><header>Maximum deposits</header><text>The amount deposited in a capital construction fund for a taxable year may not exceed the amount specified in the agreement under section 53503(a), which shall be an amount that is related to a commitment to invest the revenue from the capital construction fund into funding the construction of new vessels or funding cargo handling equipment.</text></subsection><subsection commented="no" id="ide63de4052283412d8e02065331bb8d98"><enum>(b)</enum><header>Revenue</header><text>For the purposes of subsection (a), the revenue from the capital construction fund may include—</text><paragraph id="id9b6ad13cf0154808970f42dfca74c844"><enum>(1)</enum><text>income attributable to the operation of the agreement vessel in foreign commerce or domestic trade or fisheries or the operation of a marine terminal in the United States;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idefd1fc4f14464431bf059ac999ff4107"><enum>(2)</enum><text>the amount allowable as a deduction under <external-xref legal-doc="usc" parsable-cite="usc/26/167">section 167</external-xref> of the Internal Revenue Code of 1986 for the taxable year with respect to the agreement vessels or cargo handling equipment;</text></paragraph><paragraph id="ida36d75dfdfc6448eb36090a90db30226"><enum>(3)</enum><text>the net proceeds from the disposition of an agreement vessel or cargo handling equipment or insurance or indemnity attributable to the vessel or cargo handling equipment; and</text></paragraph><paragraph id="id183c500f4b6449b08e39c35852c52207"><enum>(4)</enum><text>the receipts from the investment or reinvestment of amounts held in the fund.</text></paragraph></subsection><subsection commented="no" id="idE4DEF542EA4B4CB1BE57C32AC1AB728F"><enum>(c)</enum><header>Reductions for lessees</header><text>For a lessee, the maximum amount that may be deposited for an agreement vessel under subsection (a) for any period shall be reduced by any amount the owner is required or permitted, under the capital construction fund agreement, to deposit for that period for the vessel under subsection (a).</text></subsection></section><after-quoted-block>;</after-quoted-block></quoted-block></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id10b9bd74060f4c8ca2989df99619f203"><enum>(5)</enum><text>in section 53506—</text><subparagraph id="id9e8d64e438ca42d1aa9cafa9285b8d17"><enum>(A)</enum><text>in subsection (a), by striking <quote>Except as provided in subsection (b), amounts in the fund may be invested only in interest-bearing securities approved by the Secretary.</quote>; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id5e4eb4f0b82847d6821cebdf239f43f9"><enum>(B)</enum><text>in subsection (b), by striking <quote>With the approval of the Secretary, an agreed percentage (but not more than 60 percent) of the assets of the fund</quote> and inserting <quote>An agreed percentage of the assets of the fund</quote>;</text></subparagraph></paragraph><paragraph id="id2eed8b32f36e40359d06ebc7f329bde6"><enum>(6)</enum><text>in section 53509—</text><subparagraph id="id0fa192d4fa7c47979c13bed013d34ba9"><enum>(A)</enum><text>by striking subsection (a), and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idd3915a7c8ca94af1bb1be3cde4034206"><subsection id="id67e05a87eade49fb9882323af6fc1cca"><enum>(a)</enum><header>In general</header><text>Subject to subsections (b) and (c), a withdrawal from a capital construction fund is a qualified withdrawal if it is made under the terms of the agreement and is for—</text><paragraph id="idd93c12e420bf4cadb6ee4ffded3552e3"><enum>(1)</enum><text>the acquisition, construction, repowering, or reconstruction of—</text><subparagraph id="idfd37fc2745374c1fb612d7f7435bbb79"><enum>(A)</enum><text>a qualified vessel or a barge or container that is part of the complement of a qualified vessel; or</text></subparagraph><subparagraph id="idaa40751a64bd4309ba1ddcdf6f2cd8b1"><enum>(B)</enum><text>cargo handling equipment; or</text></subparagraph></paragraph><paragraph id="id2ed0ae044251413cab0e9b43f38c38c3"><enum>(2)</enum><text>the payment of the principal on indebtedness incurred in the acquisition, construction, repowering, or reconstruction of—</text><subparagraph id="idbec3f404d8b7451eb914aeedfe822538"><enum>(A)</enum><text>a qualified vessel or a barge or container that is part of the complement of a qualified vessel; or</text></subparagraph><subparagraph id="idfed62cae7f0b47229d088c9756e95ace"><enum>(B)</enum><text>cargo handling equipment.</text></subparagraph></paragraph></subsection><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph><subparagraph id="idc29a558291464211afc334b31e8da8a0"><enum>(B)</enum><text>by redesignating subsection (c) as subsection (e); and</text></subparagraph><subparagraph id="id5055543de3044d628be0bc54dcea364d"><enum>(C)</enum><text>by inserting after subsection (b) the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id0259bfb0065c4c24a61ddbdbccb53f75"><subsection id="ida0adf0af4ddb432d97df4358f76c2920"><enum>(c)</enum><header>Restriction</header><text>No withdrawals may be made from a capital construction fund to purchase fully automated cargo handling equipment that is remotely operated or remotely monitored with or without the exercise of human intervention or control, if the Secretary determines such equipment would result in a net loss of jobs within a marine terminal.</text></subsection><subsection id="id38f22068cb7941d3be060cf326f1bbee"><enum>(d)</enum><header>Prohibition on certain cranes</header><text>No withdrawals may be made from a capital construction fund to purchase cranes manufactured in the People’s Republic of China or by foreign entities of concern (as defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>).</text></subsection><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph></paragraph><paragraph id="id7fb8f1405c8143039d5dae665ac8739c"><enum>(7)</enum><text>in section 53510—</text><subparagraph id="id060157d8c0d844909850732a4f4c5010"><enum>(A)</enum><text>in subsection (b), by inserting <quote>cargo handling equipment,</quote> after <quote>barge,</quote> both places the term appears;</text></subparagraph><subparagraph id="id8e1f1bf53d7941f7b3a12991f69ccb9a"><enum>(B)</enum><text>in subsection (c), by inserting <quote>cargo handling equipment,</quote> after <quote>barge,</quote> both places the term appears; and</text></subparagraph><subparagraph id="id4425c23ab24b478eb8716288dfaf17e1"><enum>(C)</enum><text>in subsection (d), by inserting <quote>cargo handling equipment,</quote> after <quote>barges,</quote>;</text></subparagraph></paragraph><paragraph id="id26b1c21e1ca546d6ada0fe877d7904b0"><enum>(8)</enum><text>in section 53511(e)(1), by striking the table contained therein and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idA30E114870D64A18996F6C140B0E80DB"><table table-type="Leaderwork" table-template-name="Tax (No Calculation) 1 text, 1 num (9 chars) and extra long heads" align-to-level="section" frame="none" colsep="0" rowsep="0" line-rules="no-gen" rule-weights="0.0.0.0.0.0"><tgroup cols="2" rowsep="0"><colspec coldef="txt" colname="column1" min-data-value="55" colwidth="275pts"></colspec><colspec align="justify" coldef="fig" colname="column2" min-data-value="9" colwidth="138.94pt"></colspec><thead><row><entry align="left" morerows="0" namest="column1" colname="column1"><bold>If the amount remains in the fund at the close of the-</bold></entry><entry align="justify" morerows="0" namest="column2" colname="column2"><bold>The applicable percentage is-</bold></entry></row></thead><tbody><row><entry align="left" rowsep="0" stub-definition="txt-ldr" colname="column1">16th taxable year</entry><entry align="right" rowsep="0" colname="column2">20 percent</entry></row><row><entry align="left" rowsep="0" stub-definition="txt-ldr" colname="column1">17th taxable year</entry><entry align="right" rowsep="0" colname="column2">40 percent</entry></row><row><entry align="left" rowsep="0" stub-definition="txt-ldr" colname="column1">18th taxable year</entry><entry align="right" rowsep="0" colname="column2">60 percent</entry></row><row><entry align="left" rowsep="0" stub-definition="txt-ldr" colname="column1">19th taxable year</entry><entry align="right" rowsep="0" colname="column2">80 percent</entry></row><row><entry align="left" rowsep="0" stub-definition="txt-ldr" colname="column1">20th taxable year</entry><entry align="right" rowsep="0" colname="column2">100 percent</entry></row></tbody></tgroup></table><after-quoted-block>;</after-quoted-block></quoted-block><continuation-text continuation-text-level="paragraph">and</continuation-text></paragraph><paragraph id="id6a2cf21c92614a259b358021ddfa3bc5"><enum>(9)</enum><text>in section 53512(b)(1), by adding <quote>cargo handling equipment,</quote> after <quote>advanced</quote>.</text></paragraph></subsection><subsection id="idc2b0b667462d44808f7d6f9c7480588e"><enum>(b)</enum><header>Cargo handling equipment availability</header><text>The Secretary shall annually publish in the Federal Register a request for information regarding the availability of cargo handling equipment manufactured in the United States and shall share the results of such request for information with capital construction fund holders.</text></subsection></section><section id="id43ab53bfb1be405880221945b7a8f508"><enum>506.</enum><header>Anticipated commercial vessel construction survey</header><subsection commented="no" display-inline="no-display-inline" id="id335f40ed91c040f3ac769b222d921df7"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/501">Chapter 501</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id82462A41CD474AE78390647C7E50084F"><section id="id2d956e02860c40cd8f09260245dd12e5"><enum>50115.</enum><header>Anticipated commercial vessel construction survey</header><subsection id="idc3e91fc2a4114b8cb5d3404578f2ec72"><enum>(a)</enum><header>Definition</header><text>In this section, <term>commercial vessel of the United States</term> means a vessel that is documented under the laws of the United States, not less than 6,000 deadweight tons, and operated in the domestic trade of the United States or foreign commerce, and may include—</text><paragraph id="idedf98360c24b4f90b5446cd9075173fd"><enum>(1)</enum><text>a bulk carrier vessel;</text></paragraph><paragraph id="id6eaaa1b3846e4ac8bc19db189a02e42c"><enum>(2)</enum><text>a tanker vessel;</text></paragraph><paragraph id="id340b4dc5ad2f443398b19bd6115730fa"><enum>(3)</enum><text>a roll-on/roll-off vessel;</text></paragraph><paragraph id="id4d6640db426343b88500339eb44ef196"><enum>(4)</enum><text>a liquefied natural gas tanker vessel;</text></paragraph><paragraph id="id43078895b80d450db63cae24f5dd1693"><enum>(5)</enum><text>a container vessel;</text></paragraph><paragraph id="id73395e344cee4247b70286ca3ae43193"><enum>(6)</enum><text>a multi-purpose vessel;</text></paragraph><paragraph id="id0d61ccea42d5497c8da9bb47e74a733d"><enum>(7)</enum><text>a cable vessel (as defined in section 53201);</text></paragraph><paragraph id="ideb8bf3fab40a481a8456039fe07959dc"><enum>(8)</enum><text>a heavy-lift vessel; or</text></paragraph><paragraph id="id923fbdba04464481ae5f1d395d1ad342"><enum>(9)</enum><text>any other type of vessel determined appropriate by the Administrator, in consultation with the Maritime Security Board.</text></paragraph></subsection><subsection id="id3de3643758494f0b9b35ffdf9a2ef60b"><enum>(b)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of this section, and annually thereafter, the Maritime Administrator shall conduct a survey of owners, agents, or operators of commercial vessels of the United States to identify plans for the construction, maintenance, and modernization of commercial vessels of the United States.</text></subsection><subsection id="id83581c2701db493db782ade91fa1b8b6"><enum>(c)</enum><header>Purpose</header><text>The purpose of the survey conducted under this section is to inform the maritime industrial base of the future need for the construction of commercial vessels.</text></subsection><subsection id="idc7c2ec3eb50b46c5b86742aecbbf7704"><enum>(d)</enum><header>Inclusions</header><text>In conducting the survey under this section, the Maritime Administrator shall collect the following information from owners, agents, or operators of commercial vessels of the United States who participate in the survey:</text><paragraph id="id11a14983e29d4116880af55f5cb7c58e"><enum>(1)</enum><text>The number of commercial vessels of the United States the participant is looking to construct during the 10-year period beginning on the date on which the participant takes the survey.</text></paragraph><paragraph id="id13950dc692cf4ee9baace0e7ad04f6c6"><enum>(2)</enum><text>The capabilities of the vessels described in paragraph (1) that the participant is seeking in constructing such vessels.</text></paragraph><paragraph id="id04baa17e60754a2487f476b964fc6011"><enum>(3)</enum><text>Estimated timelines for when the participant aims to place each such vessel into service.</text></paragraph><paragraph id="id4e2f20a882ec44589bb55a8c869fb3d5"><enum>(4)</enum><text>The number of major repairs of commercial vessels of the United States and overhauls of such commercial vessels the participant is looking to carry out during the 10-year period described in paragraph (1).</text></paragraph><paragraph id="id7cb3347f1df84b45934e20994d5079d3"><enum>(5)</enum><text>The major components that a shipbuilder would need from industrial base suppliers to support the construction, overhaul, or repair of commercial vessels of the United States during such 10-year period.</text></paragraph><paragraph id="id6b25e515ffb44397b9e5588d9ebd8c17"><enum>(6)</enum><text>Estimates for the capital expenditures the participant is planning to make for the construction, overhaul, or repair of commercial vessels of the United States during such 10-year period.</text></paragraph><paragraph id="id29ab21b54d3d47ca89a83aabf56b4937"><enum>(7)</enum><text>Any additional information the Maritime Administrator determines appropriate.</text></paragraph></subsection><subsection id="id00b8f267dfd54ff9a90141d3079f03bf"><enum>(e)</enum><header>Participation</header><text>The Administrator may not require any owner, agent, or operator of a commercial vessel of the United States to participate in the survey unless that owner, agency, or operator is participating in a financial assistance program established under part C of this subtitle.</text></subsection><subsection id="ida49fa7bc0eb84d81993d7c779588c42f"><enum>(f)</enum><header>Release of findings</header><paragraph commented="no" id="id83eef7ba95ae4e038c14fc9e03793d9a"><enum>(1)</enum><header>Distribution</header><text>Each year, the Maritime Administrator may release the findings of the survey with shipyards in the United States and other maritime industrial base stakeholders the results of the survey conducted under this section for such year in such a manner as the Administrator determines appropriate.</text></paragraph><paragraph id="id40607049857c4f50ab7866d1bde93a8a"><enum>(2)</enum><header>Proprietary information</header><text>Notwithstanding any other provision of law, including section 552 of title 5, United States Code, at the request of a survey participant, the Maritime Administrator shall withhold proprietary information provided as a part of a survey conducted under this section.</text></paragraph><paragraph id="id9ca742c7878d4eb6bc8578b040409b65"><enum>(3)</enum><header>Coordination</header><text>To the maximum extent practicable, the Maritime Administrator shall seek to conduct the annual surveys under this section and publish the results of such surveys on a similar timeline as the timeline for the annual naval vessel construction plans under section 231(a)(1) of title 10 and other shipbuilding construction surveys published by other Federal agencies.</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id7a996f616ab246e69810a3d529e29568"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/501">chapter 501</external-xref> of title 46, United States Code, is amended by inserting after the item relating to <external-xref legal-doc="usc" parsable-cite="usc/46/50114">section 50114</external-xref> the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idC5BC9F1430D54305909ECD843B6FDA7C"><toc><toc-entry bold="off" level="section">50115. Anticipated commercial vessel construction survey.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id9c59f9734b38494780863c56ee5f48ad"><enum>507.</enum><header>Streamlined environmental review</header><text display-inline="no-display-inline">Section 41001(6) of the Fixing America's Surface Transportation Act (<external-xref legal-doc="usc" parsable-cite="usc/42/4370m">42 U.S.C. 4370m(6)</external-xref>) is amended—</text><paragraph id="idb05feaff594d486f8b7b94b97f486d15"><enum>(1)</enum><text>in subparagraph (A)—</text><subparagraph id="id85ea6072f89a486eacfa4d51567b1afd"><enum>(A)</enum><text>in the matter preceding clause (i), by inserting <quote>the maritime industry</quote> after <quote>waterways,</quote>;</text></subparagraph><subparagraph id="id3137e95af0e4433f90b4ead123006c5c"><enum>(B)</enum><text>by redesignating clauses (iii) and (iv) as clauses (iv) and (v), respectively; and</text></subparagraph><subparagraph id="id9102b57e150f431bbda196b43557bc4e"><enum>(C)</enum><text>by inserting after clause (ii) the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="iddf3b4c96935e45a6bc9624cedc6dacee"><clause id="id52ac7c801cf04cf59edf597e6e234846"><enum>(iii)</enum><text>is covered by a programmatic plan or environmental review developed for a project related to the maritime industry;</text></clause><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph></paragraph><paragraph id="idcda9b1fca1eb4edda61dc9e3c15449e8"><enum>(2)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id991f0782d0484c7cb49f12f6f68cfd97"><subparagraph id="idf6aae684d2f84245b9e106406978684e"><enum>(D)</enum><header>Maritime industry</header><text>For the purposes of subparagraph (A), the term <term>construction of infrastructure</term> for the maritime industry includes construction of—</text><clause id="id66818f10a5804d67b63daa9891880588"><enum>(i)</enum><text>shipyards and ship repair facilities;</text></clause><clause id="idef42c174e0544613830af74149d8e29f"><enum>(ii)</enum><text>port terminals and other port facilities;</text></clause><clause id="id8091ff37824f43e08ee58e3b3a549009"><enum>(iii)</enum><text>manufacturing facilities for equipment and technology instrumental to the facilitation of maritime trade and commerce, as defined by the Council; and</text></clause><clause id="id7516eae81c7a48a1b95be5d9ec1debff"><enum>(iv)</enum><text>other industrial base facilities that support the Navy or the merchant marine of the United States.</text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><section id="id4fb4a13fc487430fb0425335b8671284"><enum>508.</enum><header>Eligibility for loan guarantees</header><text display-inline="no-display-inline">Section 1703(b) of the Energy Policy Act of 2005 (<external-xref legal-doc="usc" parsable-cite="usc/42/16513">42 U.S.C. 16513(b)</external-xref>) is amended by inserting at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id1fef9e8273ff4481bbf54c22ad3da4cc"><paragraph id="idb8a1a09578654cdcb2520790bf8401c5"><enum>(14)</enum><text>Marine transportation systems, including commercial vessels of the United States, shipyards, marine terminals, and port facilities.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></section><section id="id7ef83c6d8ac947879e53a1abe63d5d52"><enum>509.</enum><header>Reports</header><subsection id="idd5359063024945f9983e2fb0e2468325"><enum>(a)</enum><header>Report on National Defense Reserve Fleet</header><paragraph id="idef64fae83edf452297c6111c010d1b7c"><enum>(1)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of this Act, and every 2 years thereafter, the Maritime Administrator, in consultation with the Commander of the United States Transportation Command and the Secretary of the Navy, and in accordance with paragraph (2), shall submit to the appropriate committees of Congress and the Maritime Security Board a report—</text><subparagraph id="id13538b57f28444818f01c2a7fdd14b75"><enum>(A)</enum><text>outlining a plan for using the shipbuilding financial incentives program authorized under section 53801 of title 46, United States Code, as added by section 501, and the financial incentive programs under subpart C of subtitle V of title 46, United States Code, to supplement the size and readiness of the National Defense Reserve Fleet and to improve national shipbuilding and shipping infrastructure; and</text></subparagraph><subparagraph id="id2ed0bcfbcde940a5aa661d77b5663718"><enum>(B)</enum><text>describing ways in which an expanded and creative view of the make-up of vessels with Voluntary Intermodal Sealift Agreements or Voluntary Tanker Agreements and the shipbuilding financial incentives program authorized under such section can be used to ensure government access to other vessels that are critical to national security, such as icebreakers, oil and natural gas tankers, floating dry docks, salvage vessels, dredges, ocean tugs, offshore construction vessels, multi-use workboats, and commercial shipping vessels using small nuclear reactors.</text></subparagraph></paragraph><paragraph id="id6453E852499D4F4EB03AB10B59852D3E"><enum>(2)</enum><header>Additional consultation</header><text>In preparing the report under paragraph (1), the Maritime Administrator shall also consult with the Secretary of Commerce and the Secretary of Energy with respect to shipping vessels or mobile maritime power plants using small nuclear reactors.</text></paragraph></subsection><subsection id="id76babe13dacf49f3a2b2ec6addaa04ac"><enum>(b)</enum><header>Report on de-Risking maritime sector</header><text>Not later than 180 days after the date of enactment of this Act, and every 2 years thereafter, the Secretary of Defense and the Secretary of Homeland Security, in coordination with the Secretaries of Treasury and State, the Maritime Administrator, the United States Trade Representative, and the Director of the Office of Management and Budget, shall submit to the appropriate committees of Congress and the Maritime Security Board a report outlining a comprehensive strategy for de-risking the United States maritime domain from the People’s Republic of China and other asymmetric or emerging maritime threats.</text></subsection><subsection id="id042c6f3ccb0341cf9c40978ca9e8a269"><enum>(c)</enum><header>Report on restricting flow of capital to CCP</header><text>Not later than 180 days after the date of enactment of this Act, the Secretary of Transportation, the Secretary of Defense, the Secretary of Commerce, the Secretary of State, and the Secretary of the Treasury shall submit to the appropriate committees of Congress and the Maritime Security Board a report on ways and means for restricting the flow of capital from the United States to Chinese Communist Party maritime industries, which shall include recommendations for promoting the flow of capital within and between the United States and treaty allies of the United States. The report shall also include a survey of banks, pension funds, and large financial institutions, with recommendations for ways the United States can incentivize domestic financial investments in the maritime industry.</text></subsection></section><section commented="no" id="id5f0d18be7bef4259a14071de3e01000a"><enum>510.</enum><header>Export control report</header><text display-inline="no-display-inline">Not later than 1 year after the date of enactment of this Act, the Secretary of State and the Secretary of Commerce shall jointly submit to Congress a report assessing methods to reduce the use of export controls and other restrictions under the Arms Export Control Act (<external-xref legal-doc="usc" parsable-cite="usc/22/2751">22 U.S.C. 2751 et seq.</external-xref>) and the International Traffic in Arms Regulations under subchapter M of chapter I of title 22, Code of Federal Regulations, and the Export Control Reform Act of 2018 (<external-xref legal-doc="usc" parsable-cite="usc/50/4801">50 U.S.C. 4801 et seq.</external-xref>) and the Export Administration Regulations under subchapter C of chapter VII of title 15, Code of Federal Regulations, or successor regulations, that limit the ability of foreign-owned marine industrial base companies to participate in the United States shipbuilding industry, specifically including shipbuilding for the Federal Government, while ensuring appropriate safeguards for United States-based firms and American workers.</text></section></subtitle><subtitle id="id079736D516244F0BA32AB3CAD2BDAA20" style="OLC"><enum>B</enum><header>Department of Defense Programs</header><section commented="no" display-inline="no-display-inline" id="id72f681342d19486ba18ba4347b2dcd97"><enum>511.</enum><header display-inline="yes-display-inline">Assessment of the use of commercial best practices for Navy shipbuilding</header><subsection id="id7d65c7f80d984602badc3958a5cc1543"><enum>(a)</enum><header>Assessment</header><paragraph id="idaf04a5f938ff4a17b3f6eb1fe2dd13d3"><enum>(1)</enum><header>In general</header><text>The Secretary of the Navy, in coordination with the Secretary of Transportation and the Secretary of the Department in which the Coast Guard is operating, shall—</text><subparagraph id="id90afa4fe4d674c8ca40f4bc33b0e0b55"><enum>(A)</enum><text>conduct an assessment of best practices used in the construction and repair of commercial, oceangoing maritime vessels; and</text></subparagraph><subparagraph id="idc675da16452842fb83162a9fb2b0b00c"><enum>(B)</enum><text>identify—</text><clause id="idc9a2986ff11345dbbcaa35de2379ff0e"><enum>(i)</enum><text>opportunities for the Navy and Coast Guard to leverage those best practices to make ship construction and repair efforts of combatant and non-combatant vessels more efficient; and</text></clause><clause id="idbccb841391f747728d01e39de746e76e"><enum>(ii)</enum><text>advanced technologies that can be leveraged to improve the overall readiness and dominance of the United States maritime fleet (both commercial and military), to specifically include small modular reactors for ship power and propulsion.</text></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id416c0f9439314e19ba9025c2728f056a"><enum>(2)</enum><header>Elements</header><text display-inline="yes-display-inline">The assessment required by paragraph (1) shall include the following:</text><subparagraph id="id0e150f84f589402e80c772ddb5cba80c"><enum>(A)</enum><text>An evaluation of the best practices described in subparagraph (A) of such paragraph, including best practices used by commercial shipyards in foreign allied countries, consideration of commercial design standards, and the vessel construction manager model used to construct the National Security Multi Mission Vessel Program, that could improve the efficiency of shipbuilding and repair by the Navy and Coast Guard.</text></subparagraph><subparagraph id="ided3e545cb810409e8960536eb59bf685"><enum>(B)</enum><text>An identification of commercial-grade components and capabilities being used in state-of-the-art commercial, oceangoing maritime vessels and an assessment of whether the Navy and Coast Guard could better use commercial off-the-shelf components or capabilities to reduce costs, improve efficiencies, or enhance capabilities in the construction of new naval vessels and cutters, and in repair of naval vessels and cutters.</text></subparagraph><subparagraph id="id62185bb79d874ec0860d7f471a208a02"><enum>(C)</enum><text>A determination as to whether shipbuilding and acquisition programs of the Navy and Coast Guard use modern best practices from the commercial maritime industry in terms of contracting, ship design, construction, overhaul, and maintenance.</text></subparagraph><subparagraph id="ideb1393266cc04952acaf61c4e17e7af6"><enum>(D)</enum><text>An identification of technologies and procedures that are used in commercial shipbuilding that, if used by the Navy and Coast Guard, would improve the efficiency of designing and constructing new naval vessels.</text></subparagraph><subparagraph id="ida4c00de2ad144111b3040af818cdf973"><enum>(E)</enum><text>An identification of technologies and procedures that are used in commercial shipbuilding and repair that, if used by the Navy and Coast Guard, would improve the efficiency of repairing naval vessels.</text></subparagraph><subparagraph id="id277ef7c8ad5f4e2e91b4f3d15d7f00f8"><enum>(F)</enum><text>An identification of opportunities to improve commonality in ship design, ship components, and shipbuilding procedures between commercial, oceangoing maritime vessels, naval vessels, and cutters that could lead to improved efficiencies and a more resilient industrial base to support shipbuilding and repair for military and civil maritime vessels.</text></subparagraph><subparagraph id="id90ff3fe88782408c880843079c44d065"><enum>(G)</enum><text>An identification of advanced nuclear technologies that are under development for use in commercial shipbuilding that, if used by the Navy and Coast Guard, would improve the operational capability of naval vessels and cutters.</text></subparagraph><subparagraph id="id968e1fe5ce9448b2b66ee67c72e70160"><enum>(H)</enum><text>An identification of the barriers preventing or making prohibitive the use of small modular reactors in naval or commercial, oceangoing maritime vessels, including—</text><clause id="id5bef66c255214a64a03d1f88cdf559eb"><enum>(i)</enum><text>ambiguity in regulations governing nuclear propulsion restricting the commercial maritime industry from utilizing nuclear propulsion or collaborating between United States and foreign entities under export controls requirements, including section 744.5 of title 15, Code of Federal Regulations (or a similar successor regulation); and</text></clause><clause id="idb454e4fb6e804e9ca08002cc1dec1f11"><enum>(ii)</enum><text>a lack of clarity in the meaning of <term>maritime (civil) nuclear propulsion plant projects</term> contained in the Export Administration Regulations and <term>Naval Nuclear Propulsion</term> contained in the International Traffic in Arms Regulations (Cat VI).</text></clause></subparagraph><subparagraph id="idfa422e0406534fa8b5468a8cc99b13f5"><enum>(I)</enum><text>An evaluation of education and technology development best practices used by commercial shipyards in foreign allied countries, and an identification of education and technology development opportunities, that could improve the efficiency of shipbuilding and repair by the Navy and Coast Guard.</text></subparagraph><subparagraph id="id3881e7e444494fa99385885407733fd0"><enum>(J)</enum><text>An evaluation of whether adoption of the best practices evaluated under subparagraph (A) for the construction and repair of naval vessels and cutters would support the domestic commercial maritime shipbuilding industry, the commercial maritime industrial base, and the merchant marine of the United States.</text></subparagraph></paragraph></subsection><subsection id="id789dc3ac81c2445b9c35007b9310dca5"><enum>(b)</enum><header>Briefing</header><text>Not later than 180 days after the date of the enactment of this Act, the Secretary of the Navy shall provide to the congressional defense committees a briefing on—</text><paragraph id="id5ee3dff5cc7a4692a70d1c7f890d53ad"><enum>(1)</enum><text>the results of the assessment required by subsection (a); and</text></paragraph><paragraph id="id6223ff4ae3d94f6f82bc71a5f4b2ca71"><enum>(2)</enum><text>a plan to execute any measures pursuant to such assessment.</text></paragraph></subsection><subsection id="id2c14d68ecb404514a196ed2107484a01"><enum>(c)</enum><header>Strategy Required</header><text>Not later than 1 year after the date of enactment of this Act, and biennially thereafter, the Secretary of the Navy and Secretary of the Department in which the Coast Guard is operating shall—</text><paragraph commented="no" display-inline="no-display-inline" id="idfc245b2dea6f477facb1b4cc8969dfd5"><enum>(1)</enum><text display-inline="yes-display-inline">provide to the appropriate committees of Congress strategies describing how measures identified as a result of the assessment required by subsection (a) will be incorporated into shipbuilding programs for the Navy and Coast Guard; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ide6c2f9a24ee541f09c69d6d55fc8cb38"><enum>(2)</enum><text display-inline="yes-display-inline">publish a public version of the strategies.</text></paragraph></subsection><subsection id="id25efd60f2b57422ca5086791cf282401"><enum>(d)</enum><header>Congressional defense committees defined</header><text>In this section, the term <term>congressional defense committees</term> has the meaning given that term in section 101(a) of title 10, United States Code.</text></subsection></section><section id="id9f6af6e3392346cf9ddc99fe37ee09b0"><enum>512.</enum><header>Plan of action for use of Defense Production Act of 1950 authorities</header><subsection id="id6758df64e9594e5fb5095c9f8070d744"><enum>(a)</enum><header>In general</header><text>Not later than 180 days after the date of the enactment of this Act, the President shall submit to the appropriate committees of Congress a report on a plan of action for any use of authorities available under title III of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4531">50 U.S.C. 4531 et seq.</external-xref>)—</text><paragraph id="id6981f6da25b04ce9aac126ed42792ccc"><enum>(1)</enum><text>to establish or enhance a domestic production capability for the construction of militarily useful, commercial maritime vessels that can be operated in foreign commerce or the domestic commerce of the United States;</text></paragraph><paragraph id="id050f038f7058480b9c3cb5f80af04889"><enum>(2)</enum><text>to establish, improve, or enhance the defense shipyard industrial base; or</text></paragraph><paragraph id="id96d4f6bc7b3d487caaeee8ddd0dfd602"><enum>(3)</enum><text>to establish, improve, or enhance maritime port infrastructure of the United States, including containers and ship-to-shore cranes that were built in the United States and are owned by citizens of the United States.</text></paragraph></subsection><subsection id="idc0fc99756feb4a16bba5634cc6ad4078"><enum>(b)</enum><header>Coordination</header><text>The President shall develop the plan of action required by subsection (a) in consultation with—</text><paragraph commented="no" display-inline="no-display-inline" id="id59ed8b13d40c4d00a91030b92af088b8"><enum>(1)</enum><text display-inline="yes-display-inline">the maritime security advisor (as established by this Act);</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id975453bde06744e396474f45792a648a"><enum>(2)</enum><text>the Maritime Security Board (as established by this Act);</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idf0f1094cffd94959b0e939693709df4a"><enum>(3)</enum><text display-inline="yes-display-inline">an advisory committee established under section 708(d) of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4558">50 U.S.C. 4558(d)</external-xref>); and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id11d2a5a5edde47e6ab8804b12e80ae85"><enum>(4)</enum><text display-inline="yes-display-inline">such stakeholders in the private sector as the President considers appropriate.</text></paragraph></subsection><subsection id="id8db62ff45f8c4a608bdf6d2f62c2c788"><enum>(c)</enum><header>Appropriate committees of Congress defined</header><text>In this section, the term <term>appropriate committees of Congress</term> means—</text><paragraph commented="no" display-inline="no-display-inline" id="idcbad86e0ceaf4a2bba575ee596f34c3d"><enum>(1)</enum><text display-inline="yes-display-inline">the Committee on Armed Services, the Committee on Commerce, Science, and Transportation, and the Committee on Appropriations of the Senate; and</text></paragraph><paragraph id="id7bc96221aee740769e022e02b874af92"><enum>(2)</enum><text>the Committee on Armed Services, the Committee on Transportation and Infrastructure, and the Committee on Appropriations of the House of Representatives.</text></paragraph></subsection></section><section id="idd1cd48497d4b4d31bf1ba93c967b69f3"><enum>513.</enum><header>Military Sealift Command</header><subsection id="id35ce029d5d694bb3bdba6c632aee390e"><enum>(a)</enum><header>Authority To offer increased paid leave accrual</header><text>The Secretary of the Navy is authorized to offer government merchant mariners employed by Military Sealift Command paid leave accrual at a faster rate than provided pursuant to the standard General Schedule (GS) system to make government seafaring jobs more competitive with the commercial sector.</text></subsection><subsection id="idb0c7f63b31ac4eb890ab5ef9cb3e3614"><enum>(b)</enum><header>Report on recruiting and retention efforts</header><paragraph commented="no" display-inline="no-display-inline" id="id74e7da4354544feeb1eef4091527373a"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text>Not later than 180 days after the date of the enactment of this Act, and annually thereafter, the Secretary of the Navy, in coordination with the Commander of the Military Sealift Command and the Maritime Security Board, and in consultation with the Commander of United States Transportation Command, the Commander of United States Fleet Forces Command, and the Assistant Secretary of the Navy for Research, Development and Acquisition, shall submit to the appropriate committees of Congress a report on efforts to improve recruitment and retention of Military Sealift Command Mariners.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id116883c2cba346368510a3ade5794576"><enum>(2)</enum><header>Elements</header><text display-inline="yes-display-inline">The report required under paragraph (1) shall consider—</text><subparagraph id="iddbb85cc80bef4a6e9a643e010abbb8c4"><enum>(A)</enum><text>opportunities to enhance the integration of Military Sealift Command civilian mariners into the military command structure;</text></subparagraph><subparagraph id="id6dd8c8db9852477ba5f7b4ab374fa88d"><enum>(B)</enum><text>providing training on the roles and significance of Military Sealift Command civilian mariner workforce to relevant military commands; and</text></subparagraph><subparagraph id="id0fdb90494f9b48d3a9b5889af17d122e"><enum>(C)</enum><text>authorities required to improve recruitment and retention of civilian mariners in Military Sealift Command.</text></subparagraph></paragraph></subsection><subsection id="id00556ff9c0034b38adec61d074d37ccc"><enum>(c)</enum><header>Report on extending charter durations</header><text>Not later than 90 days after the date of the enactment of this Act, the Secretary of the Navy shall submit to the appropriate committees of Congress a report assessing the merits of extending the maximum charter durations of commercial and specialty vessels for the Military Sealift Command.</text></subsection></section></subtitle><subtitle id="id77E177A9B0F541C8B77B6F36C969A086" style="OLC"><enum>C</enum><header>Shipbuilding innovation and infrastructure</header><section id="ide8397b6c25e8474c9ee92e2d286101ea"><enum>521.</enum><header>United States Center for Maritime Innovation</header><subsection commented="no" display-inline="no-display-inline" id="id35ceb6bdd3be4f039ec370e1d4687d09"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Section 50307(e) of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id314f079dac364e4ab5ea675aca635643"><enum>(1)</enum><text display-inline="yes-display-inline">in paragraph (1), by inserting <quote>through the establishment, management, and coordination of geographically and topically diverse maritime incubators</quote> after <quote>maritime transportation system</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id58f9f8bd1bf64e7391149d12ee140944"><enum>(2)</enum><text>by striking paragraphs (2), (3), and (4), and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idDBC6EED9D5D84EABB21DF2F5748A41CB"><paragraph id="id85fa3ff1592647c18ce539797e22d109"><enum>(2)</enum><header>Cooperative agreement</header><text>The cooperative agreement shall be with an organization or persons with substantial experience in the maritime industry, as determined by the Secretary, in consultation with the Maritime Security Board. </text></paragraph><paragraph commented="no" id="id1a6b562a256945818a34b305b8551235"><enum>(3)</enum><header>Selection</header><text>The Center shall be—</text><subparagraph commented="no" id="id5f424ca321364bbba811ba4da9c01d66"><enum>(A)</enum><text>selected through a competitive process of eligible entities, and if a private entity, a domestic entity;</text></subparagraph><subparagraph commented="no" id="id4c9e69bee9e14095b7e3f078c728648d"><enum>(B)</enum><text>based in the United States with technical expertise in emerging marine technologies and practices related to the maritime transportation system; and</text></subparagraph><subparagraph commented="no" id="id895a938e61b947af8e725c26eb9e53ad"><enum>(C)</enum><text>located in close proximity to eligible entities with expertise in United States emerging maritime technologies and practices.</text></subparagraph></paragraph><paragraph commented="no" id="ida3a5fc40e07d4c708858e9270dd13ba5"><enum>(4)</enum><header>Coordination</header><text>The Secretary of Transportation shall coordinate with the Maritime Security Board and other agencies critical for science, research, and regulation of emerging marine technologies for the maritime sector, including the Department of Defense, the Department of Energy, the Environmental Protection Agency, the National Science Foundation, the Coast Guard, the National Oceanic and Atmospheric Association, and the Marine Board of the National Academies when establishing the Center. </text></paragraph><paragraph commented="no" id="id1e7e49cc9d574bb0ac35724ba6a1f3d8"><enum>(5)</enum><header>Responsibilities</header><text>The Center shall carry out the following activities: </text><subparagraph commented="no" id="idC80ECFB5934B48219194084D4D92AA5A"><enum>(A)</enum><text>Establish and support maritime incubators in accordance with paragraph (6).</text></subparagraph><subparagraph commented="no" id="id2D5EF718541749DC8221084BA282B8A5"><enum>(B)</enum><text>Accelerate the adoption or integration of commercial technologies within the maritime industry to transform the capacity and capabilities of the merchant marine of the United States.</text></subparagraph><subparagraph commented="no" id="idcf052738c9554479b582653f5cc97b80"><enum>(C)</enum><text>Serve as the principal liaison between the Maritime Security Board and maritime incubators.</text></subparagraph><subparagraph commented="no" id="id9545ac333f0e478a93392c5b88904670"><enum>(D)</enum><text>Carry out programs, projects, and other activities to strengthen the merchant marine of the United States and the maritime industrial base.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id53a50002aa4d489092b3f264e03a8cf0"><enum>(E)</enum><text display-inline="yes-display-inline">Coordinate and harmonize the activities of other organizations and elements of the maritime industry on matters relating to commercial technologies, dual use technologies, and the innovation of such technologies.</text></subparagraph><subparagraph commented="no" id="id30fb39f036ff4edebd09415d656e6118"><enum>(F)</enum><text>Coordinate and advise efforts among elements of the maritime industry on matters relating to the development, procurement, and fielding of nontraditional capabilities and connect entities developing those capabilities with the relevant incubators.</text></subparagraph><subparagraph commented="no" id="ideda20875f7644b9c8eb96cfd696454a7"><enum>(G)</enum><text>Coordinate with maritime industry stakeholders to identify operational challenges that have the potential to be addressed through the use of nontraditional capabilities, including dual-use technologies that are being developed and financed in the commercial sector.</text></subparagraph><subparagraph id="idf580791d56f04323b75aaa6126a03f60"><enum>(H)</enum><text>Coordinate with maritime industry stakeholders and relevant Federal agencies to enhance the capacity and performance of seaports of the United States, including through hardening security, enhancing preparedness, and developing United States-based supply chains for port technologies and equipment.</text></subparagraph><subparagraph id="id1e68561b8df84f8f9ecb06a13908c623"><enum>(I)</enum><text>Coordinate with other research and development programs and centers focused on modes of transportation besides maritime to develop intermodal interoperability with the maritime industry. </text></subparagraph><subparagraph commented="no" id="idb63e1997b3e042fd85f7d7fbd6151b75"><enum>(J)</enum><text>Develop a standard design for commercial vessels and components and features of commercial vessels to be manufactured in the United States, using mature, proven designs, which—</text><clause commented="no" id="id9a9ad3107ff9479ba962d4f66a594900"><enum>(i)</enum><text>includes, to the maximum extent practicable, included parts, components, and material manufactured in and sourced from the United States;</text></clause><clause commented="no" id="idb4655cc7c82b4c0a82a6dde2dba0e0a6"><enum>(ii)</enum><text>does not include any parts, components, or materials manufactured by foreign entities of concern or which are produced in foreign countries of concern (as such terms are defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>); and</text></clause><clause commented="no" id="id22667d48e58842389c631977ccf27de5"><enum>(iii)</enum><text>includes priorities for design identified in consultation with the Secretary of the Navy, as necessary for strategic sealift, informed by requirements to sustain a wartime economy and military operations.</text></clause></subparagraph><subparagraph commented="no" id="idddaa027514474ca28e8a1cb9f4ef0ea4"><enum>(K)</enum><text>Lead engagement with industry, academia, labor organizations, and other nongovernmental entities to develop—</text><clause commented="no" id="id6bd6bf04457443ef94b85f72ef6596e7"><enum>(i)</enum><text>innovative, commercial, and dual-use manufacturing technologies and processes to construct, rehabilitate, or repair maritime vessels of the Armed Forces or the merchant marine of the United States;</text></clause><clause commented="no" id="id82ef0811d5a042439e6e8c7ca4d8dd13"><enum>(ii)</enum><text>additional naval architecture programs at institutions of higher education in the United States and to expand existing naval architecture programs;</text></clause><clause commented="no" id="idb1eefda58bd24862bca2b6cc447d4815"><enum>(iii)</enum><text>next-generation propulsion technologies for the merchant marine of the United States, to include small modular reactors, low-emission or carbon capture propulsion technologies, and other renewable energy solutions;</text></clause><clause id="id5ad74b8b848f4555b1ddf1527079b788"><enum>(iv)</enum><text>new and innovative hardware, software, and systems for remote or autonomous operations at ports, intermodal facilities, or aboard oceangoing vessels;</text></clause><clause id="id7577f55ab4f8457092339954cf5c1cfb"><enum>(v)</enum><text>technology and infrastructure solutions that enhance the safe operation of oceangoing vessels to protect lives, property, and the environment;</text></clause><clause id="ide025db63ca304e50b60b5f804062dd69"><enum>(vi)</enum><text>solutions to recruit, train, and retain a skilled workforce capable of supporting a vibrant and growing United States maritime industry; and</text></clause><clause id="id44608a6f152b4041841d6782429d6103"><enum>(vii)</enum><text>the capacity of international allies and partners of the United States, with respect to manufacturing technologies and processes, to construct, rehabilitate, or repair maritime vessels.</text></clause></subparagraph><subparagraph id="id82fa03b18131413fac4e8db8e7d21bbb"><enum>(L)</enum><text>Work with academic and private sector response training centers and Centers of Excellence for Domestic Maritime Workforce Training and Education to develop maritime strategies and workforce development plans applicable to various segments of the United States maritime industry, including the inland, deep water, and coastal fleets. </text></subparagraph><subparagraph commented="no" id="id43bc024a57bf47a78772d5c11312828d"><enum>(M)</enum><text>Establish programs and initiatives to share—</text><clause commented="no" display-inline="no-display-inline" id="id8d2e54ff3a604ad7969812fdb17b4758"><enum>(i)</enum><text display-inline="yes-display-inline">shipbuilding best practices and maritime technology between vessels of the Department of Defense and commercial vessels of the United States; and </text></clause><clause id="id338f58f8d1964e968ce5edfd5e44519d"><enum>(ii)</enum><text>port technology and logistics best practices between the Department of Defense and commercial port operators and port authorities within the United States.</text></clause></subparagraph><subparagraph commented="no" id="id7a1a065b92ad42b185a962c19c99ef15"><enum>(N)</enum><text>Carry out such other activities as the Maritime Security Board determines appropriate. </text></subparagraph></paragraph><paragraph commented="no" id="id801655e254a64d7f861f1a812c28098a"><enum>(6)</enum><header>Establishment of maritime incubators</header><subparagraph commented="no" display-inline="no-display-inline" id="idd9bceb8224a34877821128e4a37582ca"><enum>(A)</enum><header>Establishment</header><text display-inline="yes-display-inline">The Center shall, in consultation with the Maritime Security Board, seek out, identify, and support the development of and experimentation with commercial technologies that have the potential to be implemented within the maritime industry, through the establishment of a series of maritime incubators.</text></subparagraph><subparagraph commented="no" id="idf164e28b435c4787bc93d800c531fc08"><enum>(B)</enum><header>Reflection</header><text>Each incubator shall reflect the unique nature of the region’s capabilities and academic and investor base.</text></subparagraph><subparagraph commented="no" id="idc38f7449d9e843e8947d93001dcb6b21"><enum>(C)</enum><header>Selection</header><text>Incubators shall be—</text><clause commented="no" id="id63562a89ee4748f7b52c6c5b76dfd805"><enum>(i)</enum><text>selected through a competitive process of eligible entities, and if a private entity, a domestic entity;</text></clause><clause commented="no" id="id232ba13776ec4ed9ab7779c4de337909"><enum>(ii)</enum><text>based in the United States with technical expertise in emerging marine technologies and practices related to the maritime transportation system; and</text></clause><clause commented="no" id="idcaf48041f096491d9526f3043c1050bd"><enum>(iii)</enum><text>topic-specific, according to regional maritime expertise in United States emerging maritime technologies and practices, to include designated incubators focused on—</text><subclause commented="no" id="ide43f91b948a14e4082cf54c8221505f3"><enum>(I)</enum><text>clean energy, carbon capture, and alternative fuels;</text></subclause><subclause commented="no" id="id36ab2f095a33424d92d0bbaf822437bd"><enum>(II)</enum><text>ports and shoreside infrastructure;</text></subclause><subclause commented="no" id="iddd1cac808b4f4795b0ed9bd8552bf715"><enum>(III)</enum><text>vessel design and naval architecture;</text></subclause><subclause commented="no" id="ide9d15c0075bb451e80abe64d2d620293"><enum>(IV)</enum><text>shipbuilding and next generation manufacturing; </text></subclause><subclause commented="no" display-inline="no-display-inline" id="id89272abfc86e44699314d443bf6a8c1a"><enum>(V)</enum><text display-inline="yes-display-inline">advanced materials for ship construction; and</text></subclause><subclause commented="no" id="id75b9c67a4b684eeca7b12a053d0edea3"><enum>(VI)</enum><text>other areas for maritime innovation and technology, as determined by the Center in coordination with the Maritime Security Board.</text></subclause></clause></subparagraph><subparagraph commented="no" id="idc68c28752eac4580a7a68d235cb6bc61"><enum>(D)</enum><header>Incubator Responsibilities</header><text>Each maritime incubator shall—</text><clause commented="no" id="id2EDC8BC77D6C46FCB0425E19AF7ED19E"><enum>(i)</enum><text>serve as the principal liaison between the Center and individuals and entities that can contribute to innovation within the maritime industry, including other maritime incubators under this subsection, entrepreneurs, startups, commercial technology companies, and venture capital sources; and</text></clause><clause commented="no" id="id6E2B4CA7D1164D4996C114EEE004B7E8"><enum>(ii)</enum><text>establish and support multi-stakeholder research and innovation partnerships, as described in subparagraph (G).</text></clause></subparagraph><subparagraph commented="no" id="id652fb1f289ee485abc02edad8007abac"><enum>(E)</enum><header>Report</header><text>Each incubator shall submit quarterly activity and status reports to the Center.</text></subparagraph><subparagraph id="id9855ea6cb45a4bf29b27571dad7b0d91"><enum>(F)</enum><header>Review and termination</header><clause id="id623be7c934ff489996261776563ab493"><enum>(i)</enum><header>In general</header><text>The Maritime Administrator may, in consultation with the Maritime Security Board, terminate an agreement with an eligible entity selected to lead a maritime incubator if the Administrator certifies that the eligible entity is failing to meet the requirements of this section.</text></clause><clause id="id3d92b435bf3a41cc9ad050d3cd5649be"><enum>(ii)</enum><header>Reselection</header><text>If the Administrator terminates an agreement with an eligible entity to lead a maritime incubator, the Center shall initiate a new selection process as required under subparagraph (C) to select a new eligible entity.</text></clause><clause id="ida04a83069f9d41959f05b511823980fd"><enum>(iii)</enum><header>Review of Eligible Entities</header><text>Not later than 5 years after the establishment of maritime incubators under this paragraph, and every 5 years thereafter, the Administrator, in coordination with the Maritime Security Board, shall conduct a review of all eligible entities selected to lead a maritime incubator and confirm the entity is adequately fulfilling the requirements of this section. </text></clause></subparagraph><subparagraph id="id8637778e264643f79ae1b51f9a9b23fa"><enum>(G)</enum><header>Multi-stakeholder partnerships</header><clause id="id732155540b4c4c37830d74eb0aced2e4"><enum>(i)</enum><header>In general</header><text>The maritime incubators established under this subsection shall establish and support multi-stakeholder research and innovation partnerships that—</text><subclause id="id4ff968abf212406d8e2bd577cd1b7954"><enum>(I)</enum><text>have the potential to generate technologies, processes, products, or other solutions that support the United States maritime industry;</text></subclause><subclause id="id50c5fea793f444db841f7fbd70842ec2"><enum>(II)</enum><text>have as an objective the technology transfer or commercialization of the work product generated by the partnership, which may include work product that incorporates intellectual property developed by the Federal Government and licensed to the partnership in accordance with clause (iii); and</text></subclause><subclause id="id9eea5ba2d12b4df6865b05dd16d8ff9e"><enum>(III)</enum><text>incentivize and expand geographically diverse participation in graduate and undergraduate institutions of higher education, community college, and other workforce programs relevant to the maritime industry. </text></subclause></clause><clause id="id15c6137c615043dcb9cbad10d106fb7b"><enum>(ii)</enum><header>Support provided</header><text>Support provided by the maritime incubator to a multi-stakeholder research and innovation partnership under this subsection may include—</text><subclause id="id0f451e8258c847a3ad814fb481adebf6"><enum>(I)</enum><text>providing funding or other resources to the partnership;</text></subclause><subclause id="idc000a3797baa4644b21587772fec43fb"><enum>(II)</enum><text>participating in the partnership;</text></subclause><subclause id="ida9ff68fac22540d09507f44d1bffaea9"><enum>(III)</enum><text>providing technical and technological advice and guidance to the partnership;</text></subclause><subclause id="id34f381fdc6a1492f8ed29ae85d3c9709"><enum>(IV)</enum><text>suggesting and introducing other participants for inclusion in the partnership;</text></subclause><subclause id="id2f5fdd2fee76482ba740736843a83a04"><enum>(V)</enum><text>providing the partnership with insight into desired solutions for defense and security needs;</text></subclause><subclause id="idc8424f395b77445fb9e0bf19c490cd03"><enum>(VI)</enum><text>providing access to Ready Reserve ships for testing new technologies and conducting research, as the maritime incubator determines appropriate, in coordination with the Center and the Administrator; and</text></subclause><subclause id="id6149d5a55d4343b5b179d569e7fa4fb0"><enum>(VII)</enum><text>such other forms of support as the Center, in consultation with maritime incubators and Maritime Security Board, determines appropriate.</text></subclause></clause><clause id="idbeeca75994344e96b49ce7ec5af83383"><enum>(iii)</enum><header>Availability of intellectual property</header><text>To the extent the Center determines appropriate, the Center, in coordination with the maritime incubators, shall seek to actively inform potential participants in multi-stakeholder research and innovation partnerships of the availability of intellectual property developed by the Federal Government that may be licensed to the partnership.</text></clause></subparagraph></paragraph><paragraph id="id984d9cf198a748a59b245f466e6f718a"><enum>(7)</enum><header>Report</header><text>Not later than 180 days after the date of enactment of the <short-title>SHIPS for America Act of 2025</short-title>, and annually thereafter, the Center shall submit to the Maritime Security Board and the appropriate congressional committees a report on the activities, advances, outcomes, and work product of the maritime incubators and the multi-stakeholder research and innovation partnerships supported under this subsection.</text></paragraph><paragraph id="id691f1a7d397b4af7a1afcc79dd196fe0"><enum>(8)</enum><header>Authorization of appropriations</header><text>In addition to the funding contributed under subsection (a)(4), there is authorized to be appropriated, out of the Maritime Security Trust Fund established under section 50301(b) of this title, $50,000,000 for each of fiscal years 2026 through 2035. </text></paragraph><paragraph id="idea1d7f03a5444f9aab3804eaf1c6709b"><enum>(9)</enum><header>Definitions</header><text>In this subsection: </text><subparagraph id="id70f35110aeb54c59954d16033b9b0ce4"><enum>(A)</enum><header>Multi-stakeholder research and innovation partnership</header><text>The term <term>multi-stakeholder research and innovation partnership</term> means a partnership composed of any combination of 2 or more of the following:</text><clause id="id0a3a8c7027d442a7bffc297d798317ee"><enum>(i)</enum><text>Institutions of higher education (as defined in section 102 of the Higher Education Act of 1965 (<external-xref legal-doc="usc" parsable-cite="usc/20/1002">20 U.S.C. 1002</external-xref>)) with research and innovation capability.</text></clause><clause id="id09f58b3cb64449458c1fed01a691a058"><enum>(ii)</enum><text>Nonprofit organizations that provide policy, research, outreach, operations, organizational, management, testing, evaluation, technology transfer, legal, financial, or advocacy expertise.</text></clause><clause id="idd6e6983b0e9041208bc7239361483533"><enum>(iii)</enum><text>For-profit commercial enterprises that may be publicly or privately owned, early stage or mature, and incorporated or operating by another ownership structure.</text></clause><clause id="idd397a7ce1a114665bca650210eea52f6"><enum>(iv)</enum><text>Centers of excellence for domestic maritime workforce training and education (established under section 51706).</text></clause><clause id="id876b3416eb7744fc9cf318f3641884ac"><enum>(v)</enum><text>Maritime labor organizations. </text></clause><clause id="id2307ce8cc7f14d9d9292fdcc15b416b1"><enum>(vi)</enum><text>Departments or agencies of the Federal Government with expertise, operations, or resources related to the objectives of the multi-stakeholder research and innovation partnership.</text></clause><clause id="idf6ad477c155f43cd99dea456bbfb9a93"><enum>(vii)</enum><text>State maritime academies (as defined in section 51102(4)).</text></clause><clause id="id847572d58ba64cda8ae6cf74484af56c"><enum>(viii)</enum><text>The United States Merchant Marine Academy.</text></clause><clause id="idddcfa8810e0e4154a71386abf9a37e77"><enum>(ix)</enum><text>National research laboratories with expertise, operations, or resources related to the objectives of the partnership.</text></clause><clause id="id80583dbe6413420fbf5ff96682854289"><enum>(x)</enum><text>Operators and users of vessels of the University-National Oceanographic Laboratory System.</text></clause></subparagraph><subparagraph id="idf2d8248efa294d8e9940c0a7b5026d8f"><enum>(B)</enum><header>Nontraditional capability</header><text>The term <term>nontraditional capability</term> means a solution to an operational challenge that can significantly leverage commercial innovation or external capital with minimal dependencies on fielded systems.</text></subparagraph><subparagraph id="ide06cc41dafc24dd28f5742f304f27382"><enum>(C)</enum><header>Maritime industry</header><text>The term <term>maritime industry</term> includes—</text><clause id="id04fef93de4cd43518693da3330437780"><enum>(i)</enum><text>shipbuilders and ship repair facilities;</text></clause><clause id="id4ede2573f6234d1f80ed90d5dc5bf43b"><enum>(ii)</enum><text>ship owners;</text></clause><clause id="idb5c2ec61f4ca4b9db399f55bc77e2fa6"><enum>(iii)</enum><text>port operators;</text></clause><clause id="id544f7c569b814e39a6726627716bb361"><enum>(iv)</enum><text>personnel of the merchant marine of the United States; </text></clause><clause id="idb5c90629d2974ecbb71a0a3c1897bb84"><enum>(v)</enum><text>manufacturers of equipment, software, and technology instrumental to the facilitation of maritime trade and commerce; and </text></clause><clause id="id03ca65c4d6d64696a2fcc323bb0fa505"><enum>(vi)</enum><text>other members of the industrial base that support the Navy or the merchant marine of the United States.</text></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection commented="no" id="id77e770ab458f46ebbc0aefa8031b13d1"><enum>(b)</enum><header>Transition</header><text>A Center for Maritime Innovation established by the Secretary of Transportation through a cooperative agreement pursuant to section 50307 of title 46, United States Code, as of the day before the date of enactment of this Act shall—</text><paragraph commented="no" id="ide7950df0191e4405b45a50a955952847"><enum>(1)</enum><text>be deemed to be the United States Center for Maritime Innovation under section 50307 of title 46, United States Code, as of the date of enactment of this Act, with all the authorities granted by such section; and</text></paragraph><paragraph commented="no" id="id5646c5fb34774671afa2e15febfd3d1a"><enum>(2)</enum><text>coordinate activities of the Center with the Maritime Security Board pursuant to subsection (e)(4) of such section, as amended by this Act.</text></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="idfa45bfc7e39f4215a47d4243f6533982"><enum>522.</enum><header>National Shipbuilding Research Program</header><text display-inline="no-display-inline">Section 50105(c) of title 46, United States Code, is amended to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id14DFDB395358442FA110ED8617BB0C9B"><subsection id="id52d3f5433dfb4f71b8ebb5a42e67df18"><enum>(c)</enum><header>National Shipbuilding Research Program</header><paragraph id="id15FE2289E7AF432A9E990227F8AD89BF"><enum>(1)</enum><header>In General</header><text>The Maritime Administrator shall establish and carry out, in coordination with the Secretary of the Navy, the National Shipbuilding Research Program.</text></paragraph><paragraph id="ida5f703ac607746f5b8c35e7706d6bbba"><enum>(2)</enum><header>Purposes</header><text>The purpose of the National Shipbuilding Research Program shall be to develop 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.</text></paragraph><paragraph id="id8922e44f4acc47429fed4c51f94c7b0b"><enum>(3)</enum><header>Activities</header><text>The National Shipbuilding Research Program shall—</text><subparagraph id="id66dda151299344848d47e89da183afab"><enum>(A)</enum><text>support technology transfers and industry networking;</text></subparagraph><subparagraph id="idf36e24798cd649589ee4b24dbd14ff8c"><enum>(B)</enum><text>select and execute research and development projects, which may include—</text><clause id="id1d25c20d7e9a41b4bb320ac9100f3c1b"><enum>(i)</enum><text>advancing best practices in shipbuilding and ship repair, including alternative project management and project financing arrangements for shipyards, such as public-private financing;</text></clause><clause id="id6309d434ae99474c9f99c92106f5d80e"><enum>(ii)</enum><text>improving efficiency across the shipyard industrial base of the United States; and</text></clause><clause id="id5cbf04d2965742518848b0593ee686c6"><enum>(iii)</enum><text>developing, maturing, and implementing industry-relevant shipbuilding and sustainment technologies;</text></clause></subparagraph><subparagraph id="id47f09ab275634c4d8f32499c88929f38"><enum>(C)</enum><text>carry out ad hoc initiatives focused on specific target areas in shipbuilding and ship repair; and</text></subparagraph><subparagraph id="idbec22ac438b0424da933feec111b7c2b"><enum>(D)</enum><text>carry out additional activities as determined by the Maritime Administrator or the Secretary of Defense.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section><section id="id8ec9edaa4f3340729412abf7a08531bb"><enum>523.</enum><header>Assessment on maritime infrastructure readiness</header><subsection id="id10c73e633f974e33ab53b2527811768f"><enum>(a)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of this Act, the Maritime Administrator shall submit to Congress a report on the status and resources and authorities needed to execute and complete necessary vessels, harborcraft, port, shipyard, and other infrastructure improvements to ensure the national security interests of the United States and support the domestic and foreign commerce of the United States.</text></subsection><subsection id="id2bc56eeec0b14717b9dab6b4ead96378"><enum>(b)</enum><header>Contents</header><text>The report under subsection (a) shall include—</text><paragraph id="id51fb51dbe16548bfa9287a811938e6bf"><enum>(1)</enum><text>consideration of existing literature and reporting from Federal and non-Federal sources;</text></paragraph><paragraph id="id82a8ae4501804061b8f11882b76f6051"><enum>(2)</enum><text>an assessment of the number of commercial shipping vessels by class required to sustain a peace-time and wartime national economy;</text></paragraph><paragraph id="ida3f151c251a04531a13961d83eabf4eb"><enum>(3)</enum><text>an assessment of opportunities to leverage private sector funding to enhance the capability of marine infrastructure of the United States;</text></paragraph><paragraph id="id5db789f8dc9040d29073596c194bacaf"><enum>(4)</enum><text>an evaluation of future infrastructure needs to support alternative fuels for vessels and harborcraft;</text></paragraph><paragraph id="idc20f759d4f9b4ce1af191c72be411eed"><enum>(5)</enum><text>an assessment of an ability to construct and repair seaports and shipyards during national security emergencies, including readiness to construct temporary facilities, and carry out marine salvage and firefighting operations; and</text></paragraph><paragraph id="id3d1fe2f60aeb44eda925003d996a3386"><enum>(6)</enum><text>an evaluation of the possible effects on the commercial operations of United States ports and other critical infrastructure of prohibiting any entity that owns or operates a port or terminal in the United States from using or sharing data with—</text><subparagraph commented="no" id="iddba0225309d14cf985a101f4b8b36892"><enum>(A)</enum><text>LOGINK;</text></subparagraph><subparagraph commented="no" id="idd5d93c3887004b328a16850a7c4bebf8"><enum>(B)</enum><text>any logistics platform controlled by, affiliated with, or subject to the jurisdiction of the Chinese Communist Party or the Government of the People’s Republic of China; or</text></subparagraph><subparagraph commented="no" id="id55f3f76b13444df9b81c142ed20ca684"><enum>(C)</enum><text>any logistics platform that shares data with a system described in subparagraph (A) or (B).</text></subparagraph></paragraph></subsection><subsection id="id8614c5e274f84904b7f069d25d031367"><enum>(c)</enum><header>Definitions</header><paragraph id="id0d9e81e9dbf2476eb7309bc273239b9d"><enum>(1)</enum><header>Critical infrastructure</header><text>The term <term>critical infrastructure</term> has the meaning given the term in section 721(a) of the Defense Production Act of 1950 (<external-xref legal-doc="usc" parsable-cite="usc/50/4565">50 U.S.C. 4565(a)</external-xref>).</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id0629a2f901524467869e55e094c6f532"><enum>(2)</enum><header>LOGINK</header><text>The term <term>LOGINK</term> means the public, open, shared logistics information network known as the National Public Information Platform for Transportation and Logistics by the Ministry of Transport of the People’s Republic of China.</text></paragraph></subsection></section></subtitle><enum>VI</enum><header>Workforce Development</header><subtitle id="id29C37CBB388446418C5F433B3EA59974"><enum>A</enum><header>Workforce incentives</header><section id="id5a849925ff8947edae48633677dd0af1"><enum>601.</enum><header>Public service loan forgiveness for Merchant Marines</header><text display-inline="no-display-inline">Section 455(m) of the Higher Education Act of 1965 (<external-xref legal-doc="usc" parsable-cite="usc/20/1087e">20 U.S.C. 1087e(m)</external-xref>) is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id0449a458fcc04166aeb4fc4194c36f3f"><enum>(1)</enum><text display-inline="yes-display-inline">in paragraph (3)(B)(i), by inserting <quote>the United States Merchant Marine (as described in paragraph (5)), a United States shipyard,</quote> after <quote>law enforcement,</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id54716940ff354bbd810d1d094833903e"><enum>(2)</enum><text display-inline="yes-display-inline">by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idC506A74225F0424D8DCE58D3F37722F4"><paragraph commented="no" display-inline="no-display-inline" id="ide16269a03c4b41d6bf08bae36c04a46f"><enum>(5)</enum><header>Full-time job in United States Merchant Marine</header><text display-inline="yes-display-inline">For purposes of loan cancellation under this subsection, a full-time job in the United States Merchant Marine shall mean possession of a Merchant Mariner Credential authorized by the Coast Guard and employment on board a vessel of the United States for not less than 150 days in a calendar year.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><section id="id3e675953ac7042f69d3e830af73f3f0a"><enum>602.</enum><header>Eligibility for educational assistance</header><subsection commented="no" display-inline="no-display-inline" id="idfa54508dd89a4ceea1406756da032719"><enum>(a)</enum><header display-inline="yes-display-inline">In General</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/521">Chapter 521</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id315B54D1560749DA84E8D64D3C7D646F"><section commented="no" display-inline="no-display-inline" id="id0fd7e6310ac14fbb8ef385fe922cd09f"><enum>52102.</enum><header>Eligibility for educational assistance</header><subsection id="id6AA8C9ED03CF4E1EAE63954C274DAC4D"><enum>(a)</enum><header>Eligibility</header><text>A covered individual shall be treated as an individual described in section 3311(b)(1) of title 38, United States Code, for purposes of entitlement to educational assistance under chapter 33 of such title.</text></subsection><subsection id="id246C227E7AE944BD80C75995DD843485"><enum>(b)</enum><header>Covered individual</header><paragraph commented="no" display-inline="no-display-inline" id="idc2fd508723534956a4dd9ebcd6a840c2"><enum>(1)</enum><header>In General</header><text display-inline="yes-display-inline">In this section, the term <term>covered individual</term> means an individual who—</text><subparagraph id="idfaf9c85da08f48468d64cb908d455694"><enum>(A)</enum><text>served as a full-time, credentialed United States Merchant Mariner for not less than 10 years;</text></subparagraph><subparagraph id="idd2a62e5f8bdf47e0b99457a6ef5825d6"><enum>(B)</enum><text>as a result of such service received the Merchant Marine Expeditionary Medal or another award for service in a designated combat zone after the date of enactment of this section; and</text></subparagraph><subparagraph id="id5b65ffe681bb4dc9ae225f328f0b6be1"><enum>(C)</enum><text>is not eligible under any other provision of law for benefits under laws administered by the Secretary of Veterans Affairs.</text></subparagraph></paragraph><paragraph id="id3b3f4e483a3f4dcf9d7a4f4d9f7d5354"><enum>(2)</enum><header>Full-time, credentialed United States Merchant Mariner</header><text>For purposes of paragraph (1), serving as a <term>full-time, credentialed United States Merchant Mariner</term> means possession of a Merchant Mariner Credential authorized by the Coast Guard and employment on board a vessel of the United States for not less than 150 days in a calendar year.</text></paragraph></subsection><subsection id="id783491f2771d49c5a6e5ea31e8f9f7b6"><enum>(c)</enum><header>Reimbursement</header><text>There is authorized to be appropriated to the Secretary of Veterans Affairs such sums as may be necessary to carry out this section from the Maritime Security Trust Fund established under section 50301(b) of this title.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="idF67F55CF373443239457AAB68921AA3E"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/521">chapter 521</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idCADCCCAF1D194F8C8741B73415900F15"><toc><toc-entry bold="off" level="section">52102. Eligibility for educational assistance.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="ide908b63fb3a5479bb01fc5cbd72863f6"><enum>603.</enum><header>Eligibility of mariners to attend Naval Postgraduate School</header><subsection commented="no" display-inline="no-display-inline" id="id2a71fa3964244a77888b4479549a9c16"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Section 8545 of title 10, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="id18d4f0a4995b4dbb9ecf94f0e800c0c0"><enum>(1)</enum><text>in subsection (a), by adding at the end the following new paragraph:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idDC7BCC7FE3204A79AF964F78528E3AD7"><paragraph id="id2ce363435a034efaafcf34a873cf34de"><enum>(3)</enum><text>The Secretary may permit an officer or unlicensed mariner of the United States Merchant Marine to receive instruction at the Naval Postgraduate School.</text></paragraph><after-quoted-block>; </after-quoted-block></quoted-block></paragraph><paragraph id="id9b3fb36a59224af0b04bd4b9d33b4adf"><enum>(2)</enum><text>in subsection (b)(1), by adding at the end the following new sentence: <quote>The Secretary of Transportation shall bear the cost of the instruction received by officers and unlicensed mariners of the United States Merchant Marine detailed for that instruction.</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idf1c01c22a7884fec94062a09381eae37"><enum>(3)</enum><text>in subsection (c), by inserting <quote>, and officers and unlicensed mariners of the United States Merchant Marine,</quote> after <quote>Coast Guard</quote>.</text></paragraph></subsection><subsection id="idfbc922c479ff46f3b990e99cfbe4f1f7"><enum>(b)</enum><header>Report required</header><text>Not later than 180 days after the date of enactment of this Act, the Secretary of Transportation, in consultation with the Secretary of Defense, shall submit to Congress a report assessing what matters relating to military training it would be beneficial for mariners to study at the Naval Postgraduate School.</text></subsection></section><section id="id68a1aeefa8744d51944f7c4d41cb29b6"><enum>604.</enum><header>Reimbursement of qualifying spouse relicensing costs and business costs</header><subsection commented="no" display-inline="no-display-inline" id="idbc20401faa8d46588665f10fe57aca8e"><enum>(a)</enum><header display-inline="yes-display-inline">In General</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/521">Chapter 521</external-xref> of title 46, United States Code, as amended by section 602, is further amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id9303739EC6B94A22A7684513118AEF65"><section commented="no" display-inline="no-display-inline" id="id845100a2c7d3459f836733db9c33cd26"><enum>52103.</enum><header>Reimbursement of qualifying spouse relicensing costs and business costs</header><subsection id="idABCC55C3DFDD4B868D9F0A97E6FE4894"><enum>(a)</enum><header>In General</header><text display-inline="yes-display-inline">The Secretary of Transportation shall establish a program to reimburse an individual serving in the merchant marine of the United States for qualified relicensing costs and qualified business costs of the spouse of that individual when the individual relocates to a new jurisdiction or geographic area as the result of a reassignment as a result of service as a commissioned officer in the Navy Reserve (including the Strategic Sealift Officer Program, Navy Reserve), the Coast Guard Reserve, or any other reserve component of the Armed Services of the United States.</text></subsection><subsection id="id775d69f78c4b4452b53be9e5839461e0"><enum>(b)</enum><header>Limitations</header><paragraph id="idA50930BCEE21423F99649058028E064A"><enum>(1)</enum><header>Relicensing</header><text>Reimbursement provided to a member under this subsection for qualified relicensing costs may not exceed $1,000 in connection with each relocation described in paragraph (1).</text></paragraph><paragraph id="idf120343f816c4d8bbe069bb4e4d02c88"><enum>(2)</enum><header>Business costs</header><text>Reimbursement provided to a member under this subsection for qualified business costs may not exceed $1,000 in connection with each relocation described in paragraph (1).</text></paragraph><paragraph id="id2C59FE4FD9BE461F8FB4C9E66547FBE0"><enum>(3)</enum><header>Deadline</header><text>No reimbursement may be provided under this subsection for qualified relicensing costs or qualified business costs paid or incurred after December 31, 2035.</text></paragraph></subsection><subsection id="id3d672477636f4f3587b2405af3f131de"><enum>(c)</enum><header>Qualified relicensing costs</header><text>In this section, the term <term>qualified relicensing costs</term> means costs, including exam, continuing education courses, business license, permit, and registration fees, incurred by the spouse of an individual serving in the merchant marine of the United States if—</text><paragraph id="id125ba13d7f86462188a889c7d257a483"><enum>(1)</enum><text>the spouse was licensed or certified in a profession, or owned a business, during the individual's previous assignment and requires a new professional license or certification, or business license or permit, to engage in that profession in a new jurisdiction because of the individual's relocation described in paragraph (1); and</text></paragraph><paragraph id="id51e907c6f652450d95a671adcbe0ce0b"><enum>(2)</enum><text>the costs were incurred or paid to secure or maintain the professional license or certification, or business license or permit, from the new jurisdiction in connection with such relocation.</text></paragraph></subsection><subsection id="id3c73350d2b9e430e8230a68b3fadf70b"><enum>(d)</enum><header>Qualified business costs</header><text>In this section, the term <term>qualified business costs</term> means costs, including moving services for equipment, equipment removal, new equipment purchases, information technology expenses, and inspection fees, incurred by the spouse of an individual serving in the merchant marine of the United States if—</text><paragraph id="id54f9eff22aef474c98da416d104e5c12"><enum>(1)</enum><text>the spouse owned a business during the individual's previous assignment and the costs result from the individual's relocation described in paragraph (1); and</text></paragraph><paragraph id="idcb408ecb46084b21b785c564ede00070"><enum>(2)</enum><text>the costs were incurred or paid to move such business to a new location in connection with such relocation.</text></paragraph></subsection><subsection id="id2c84f16175154d1ab01011bf46f3e5ea"><enum>(e)</enum><header>Authorization of Appropriations</header><text>There is authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of this title, to carry out this section, $500,000 for each of fiscal years 2026 through 2035.</text></subsection></section><after-quoted-block> . </after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id83500C721FE840A18296C7414DACC149"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/521">chapter 521</external-xref> of title 46, United States Code, as amended by section 602, is further amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idDAE83045769742EBB4367F8D8BB92C25"><toc><toc-entry bold="off" level="section">52103. Reimbursement of qualifying spouse relicensing costs and business costs.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id27f8bfba603949d7bd3a6616a2305440"><enum>605.</enum><header>Noncompetitive eligibility for Federal employment</header><subsection commented="no" display-inline="no-display-inline" id="id02A9B6AD03AE4F5DB538D31F02F6DC4F"><enum>(a)</enum><header display-inline="yes-display-inline">Amendment</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/521">Chapter 521</external-xref> of title 46, United States Code, as amended by sections 602 and 604, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id300CE46C4B2C4F76B05088310036A53F"><section commented="no" display-inline="no-display-inline" id="id07820b8d9a6d4cfead454120e266c43c"><enum>52104.</enum><header>Noncompetitive eligibility for Federal employment</header><subsection commented="no" display-inline="no-display-inline" id="id29c44623d5c04b73b8892d86077ae12b"><enum>(a)</enum><header display-inline="yes-display-inline">Definition of agency</header><text display-inline="yes-display-inline">In this section, the term <term>agency</term>—</text><paragraph commented="no" display-inline="no-display-inline" id="id0390c2e0a0df41ae9c754c49a8a1220e"><enum>(1)</enum><text>has the meaning given the term <quote>Executive agency</quote> in section 105 of title 5, United States Code;</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id718f6cac12774b208ce53e5d6bead86b"><enum>(2)</enum><text>includes the United States Postal Service and the Postal Regulatory Commission; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id9d1bb7930bff42ce81c39c032f47bba2"><enum>(3)</enum><text>does not include the Government Accountability Office.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idb2af1281ae1f46898007717ad1a50a24"><enum>(b)</enum><header>Appointment authority</header><text>The head of an agency may appoint noncompetitively—</text><paragraph id="id4e0d51b1376d46ea85d8df3306b52435"><enum>(1)</enum><text>a graduate of the United States Merchant Marine Academy who has met all of the requirements of their cadet commitment agreement under section 51306 of title 46, United States Code; or</text></paragraph><paragraph id="idfe337c0e64a945968b0ce57239ebd743"><enum>(2)</enum><text>a credentialed United States Merchant Mariner with an officer or rating endorsement who has completed not less than 7 years of service aboard a vessel of the United States.</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id0A080C415E6F4A8AA773CE772A77B0F5"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/521">chapter 521</external-xref> of title 46, United States Code, as amended by sections 602 and 604, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id643D898D1106440882C08132A10A7393"><toc><toc-entry bold="off" level="section">52104. Noncompetitive eligibility for Federal employment.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id0e8c8b1b885c4d1ea6682dbc00e8affa"><enum>606.</enum><header>United States Merchant Marine Career Retention Program</header><subsection commented="no" display-inline="no-display-inline" id="idf73c8298ae144594a73df7e455ea7453"><enum>(a)</enum><header display-inline="yes-display-inline">Sense of Congress</header><text>It is the sense of Congress that—</text><paragraph commented="no" id="idB8B028F113A24ACB902887C930A416F1"><enum>(1)</enum><text>it takes years of training and experience, and costly license trainings, to earn mariner qualifications;</text></paragraph><paragraph id="id36c91d2a1ea54376bb3389de066bde08"><enum>(2)</enum><text>with just around 12,000 merchant mariners of the United States operating oceangoing vessels, compared with China’s more than 1,700,000 seafarers, the United States may not have a sufficient number of mariners to fully power the strategic sealift vessels necessary in a future prolonged conflict;</text></paragraph><paragraph commented="no" id="id72E427AB23A4432390E851D85CD2D239"><enum>(3)</enum><text>the United States requires a qualified workforce of sufficient size that is ready and available to crew vessels of the United States for national defense or national emergency; and</text></paragraph><paragraph commented="no" id="id0512530755ca49009a125567378ca5ea"><enum>(4)</enum><text>a workforce committed to take all measures possible to expand, develop, and protect the domestic maritime workforce should—</text><subparagraph commented="no" id="idb43ace2f0a814f99abab3e37e36563d5"><enum>(A)</enum><text>support a retention program to permit credentialed merchant mariners to maintain recency through a coordinated Federal program, in coordination with maritime labor organizations; and</text></subparagraph><subparagraph commented="no" id="idee3d5caa44d5418c925c028a2d8daa8b"><enum>(B)</enum><text>implement civil service, workplace, and hiring protections.</text></subparagraph></paragraph></subsection><subsection id="id773a5b5bf6a8490a8d4e58303c91e940"><enum>(b)</enum><header>Amendment</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/521">Chapter 521</external-xref> of title 46, United States Code, as amended by sections 602, 604, and 605, is further amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="idfea3d2300b8c403f94f379385e93fd38"><section id="idfa382f7db5cd44118b95122d5284dd47"><enum>52105.</enum><header>United States Merchant Marine Career Retention Program</header><subsection id="id1d6131182ca8488bbd4ad394eea4e774"><enum>(a)</enum><header>Establishment</header><text>The Maritime Administrator shall establish a program, to be known as the <quote>United States Merchant Marine Career Retention Program</quote>, to ensure that a qualified workforce of sufficient size is ready to crew strategic sealift vessels in the event of a national defense or national emergency activation. Through the United States Merchant Marine Career Retention Program, the Maritime Administrator shall establish and administer mechanisms to register merchant mariners and mariner employers to participate in the Program.</text></subsection><subsection id="idfef999f778ab4e75969cba4c8c708a5b"><enum>(b)</enum><header>Implementation</header><text>The Maritime Administrator shall—</text><paragraph id="id4b21d5bb7a6d44f0b4e8093a1df59f98"><enum>(1)</enum><text>appoint a board of directors to oversee the United States Merchant Marine Career Retention Program;</text></paragraph><paragraph id="id58a8f1034aa5424fba8699aabf3851c0"><enum>(2)</enum><text>appoint and facilitate a working group to recommend policies, procedures, and a prioritization matrix for the United States Merchant Marine Career Retention Program, which shall be composed of representatives from major stakeholders, including maritime labor organizations, credentialed United States Merchant Mariners, vessel owners, vessel operators, the United States Merchant Marine Academy, State maritime academies, United States Military Sealift Command, and other likely employers of members of the United States Merchant Marine Career Retention Program; and</text></paragraph><paragraph id="id032747ff76024213b14025039c7c432e"><enum>(3)</enum><text>submit to Congress an annual evaluation of the United States Merchant Marine Career Retention Program.</text></paragraph></subsection><subsection id="id35ce12f83c4c4bc1b45faa87d7408d1c"><enum>(c)</enum><header>Membership in United States Merchant Marine Career Retention Program</header><paragraph id="id6bb345e882b24d1ebe2024e4161ef508"><enum>(1)</enum><header>In general</header><text>There shall be 2 paths to enrollment in the United States Merchant Marine Career Retention Program as described in paragraphs (2) and (3).</text></paragraph><paragraph id="idcaa56c44b5d240b0aeb502ec204ef6f5"><enum>(2)</enum><header>Members who work ashore who hold mariner qualifications</header><subparagraph id="ide4af1e4809414d8682132fde9ca37860"><enum>(A)</enum><header>Opportunities</header><text>The United States Merchant Marine Career Retention Program shall provide individuals who hold Coast Guard issued mariner qualifications who work ashore with an opportunity to maintain, or potentially upgrade, their mariner qualifications and credentials by—</text><clause id="id3551babebdec42dd9be2bb52c99b6dac"><enum>(i)</enum><text>providing qualified service at sea on vessels of the United States; and</text></clause><clause id="idb20b19737afe4f19875abaf9436cb10f"><enum>(ii)</enum><text>participating in compulsory training.</text></clause></subparagraph><subparagraph id="id68054b9e70164f56bdca2ef9a094daab"><enum>(B)</enum><header>Structure</header><text>The United States Merchant Marine Career Retention Program shall be open for enrollment to both licensed and unlicensed mariners and provide members with an 8–3–1 schedule as follows:</text><clause id="idca038dcda11b4a55a180c6b1ae321c09"><enum>(i)</enum><text>8 months shoreside employment.</text></clause><clause id="idea01543fafeb456e941d048b09f02552"><enum>(ii)</enum><text>3 months sailing employment designed to ensure that members meet the minimum sea-time requirement to maintain the credentials required by the Standards of Training, Certification, and Watchkeeping certification, or, depending on mariner and employer requirements, more frequent, but shorter-duration sailing assignments.</text></clause><clause id="id426d5f89f1e34afcbf53fa92bbd765fe"><enum>(iii)</enum><text>1 month vacation, which is in addition to vacation provided by the shoreside employer.</text></clause></subparagraph><subparagraph id="id9f6d99ffebff4501a46d8d6479fe06d6"><enum>(C)</enum><header>Ashore employers</header><clause id="idb0205081c517454a8329b07b99ceaf86"><enum>(i)</enum><header>Employer obligations</header><text>The employer of a member of the United States Merchant Marine Career Retention Program described under this paragraph shall grant the member—</text><subclause id="idce9a4d91fac84eb4a5fa6963135dec80"><enum>(I)</enum><text>an unpaid leave of absence for the duration of the member’s training, sailing, and vacation with the United States Merchant Marine Career Retention Program; and</text></subclause><subclause id="id55e1ff214cf74db1bf5a67eb03ea4df0"><enum>(II)</enum><text>the same or an equivalent position with the employer when the member returns from training, sailing, or vacation with the United States Merchant Marine Career Retention Program.</text></subclause></clause></subparagraph><subparagraph id="id791f3165958f42c580bca123691f251c"><enum>(D)</enum><header>Sea day assignments</header><text>The United States Merchant Marine Career Retention Program shall, with respect to members described under this paragraph—</text><clause id="idd79a7f7ffe5e4ecab633a9ed48940164"><enum>(i)</enum><text>maintain records of each member’s qualifications, sea time, and availability, and prioritize assignments on these and other factors with the goal of maximizing the United States Merchant Marine Career Retention Program readiness to support strategic sealift;</text></clause><clause id="ide2139b5c3e994747b50ee945fc336fbe"><enum>(ii)</enum><text>maintain a <quote>job call</quote> program office that coordinates how jobs become available for members from State maritime academies, vessel operating companies, maritime labor organizations, United States Military Sealift Command, and other organizations responsible for crewing vessels of the United States of qualifying tonnage or horsepower;</text></clause><clause id="id72fbe002af4643dfa330218336d79f44"><enum>(iii)</enum><text>establish partnerships with State maritime academies and the United States Military Sealift Command that aim to establish reliable crewing jobs with job cycles that maximize the readiness of United States Merchant Marine Career Retention Program;</text></clause><clause id="id70a3b4239c044c4db5a1ca8c5de4799f"><enum>(iv)</enum><text>dispatch members to fill available jobs, prioritizing maximizing readiness for strategic sealift, taking into consideration mariner availability and credentials, sea time requirements to maintain merchant mariner credentials, predicted program demand for specific ratings, and expected expansion or contraction of the program’s membership; and</text></clause><clause id="id25e2d6726198427d83f9c1ca29ea2cfc"><enum>(v)</enum><text>coordinate with vessel operators and labor organizations to ensure that members in the United States Merchant Marine Career Retention Program are given opportunities to fulfill their sea time and maintain the credentials required by the Standards of Training, Certification, and, Watchkeeping certification.</text></clause></subparagraph><subparagraph id="idaef14a5fe24a48ff898a560eff93d526"><enum>(E)</enum><header>USERRA protections</header><text>Members of the United States Merchant Marine Career Retention Program described under this paragraph shall be entitled to protections and obligations under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/38/43">chapter 43</external-xref> of title 38 (commonly known as the <quote>Uniformed Services Employment and Reemployment Rights Act</quote>).</text></subparagraph><subparagraph id="id75aa75ed9c504875b8c34a2a47325bf4"><enum>(F)</enum><header>Requirement</header><text>A member in the United States Merchant Marine Career Retention Program described under this paragraph may not fail to accept a sea day assignment and remain in good standing with the Program, unless a hardship exemption is provided by the Maritime Administrator under subsection (e).</text></subparagraph></paragraph><paragraph id="id4c2b5d1779654bc0b2e23fa8b6528a4f"><enum>(3)</enum><header>Members serving on foreign vessels</header><subparagraph id="id113a65a50b94459798fea686cde42e3c"><enum>(A)</enum><header>In general</header><text>The United States Merchant Marine Career Retention Program shall be open for enrollment to individuals who—</text><clause id="id2af98926174b46c0b6e23ec078ffeca1"><enum>(i)</enum><text>hold Coast Guard issued merchant mariner credentials required by the Standards of Training, Certification, and Watchkeeping Certification;</text></clause><clause id="ida77f5165cfd04674a3800b0fd169c94d"><enum>(ii)</enum><text>have completed their service obligations with respect to any previous enrollment in a Federal or State maritime academy, if applicable; and</text></clause><clause id="id2c97009bf51e4427a7d4a8822a186486"><enum>(iii)</enum><text>are serving on a foreign vessel (as defined in section 110) that is not owned by a foreign entity of concern (as that term is defined in section 4 of the <short-title>SHIPS for America Act of 2025</short-title>) or a vessel registered under a registry of a foreign country of concern or operated under the authority of a foreign country of concern (as that term is defined in such section 4).</text></clause></subparagraph><subparagraph id="idf4149559e5574a429339124bdee6f569"><enum>(B)</enum><header>Requirement</header><text>Members of the United States Merchant Marine Career Retention Program described under this paragraph shall maintain—</text><clause id="id732b030f83cf4e1696c62ebb3c6850ed"><enum>(i)</enum><text>Standards of Training, Certification, and Watchkeeping Certification currency;</text></clause><clause id="id45fd0dfb4e6d406e932d50a2a204288b"><enum>(ii)</enum><text>a valid merchant mariner credential, unlimited as to horsepower or tonnage, issued by the United States Coast Guard as an officer in the merchant marine of the United States, accompanied by the appropriate national and international endorsements and certifications required by the Coast Guard for service aboard vessels on domestic and international voyages, without limitation;</text></clause><clause id="ideacea868ff4b4c22944e3073085e3740"><enum>(iii)</enum><text>a valid transportation worker identification credential;</text></clause><clause id="idb0f7685600f243a0a342efc2db527b5c"><enum>(iv)</enum><text>a Coast Guard medical certificate; and</text></clause><clause id="ide678b9915b734cfcabc74a1dbbf2a725"><enum>(v)</enum><text>classes and certifications described in subparagraph (C).</text></clause></subparagraph><subparagraph id="id20b042fdeda946c5a6629578d5cbcdf2"><enum>(C)</enum><header>Certifications</header><text>The Administrator shall publish a list of classes and certifications required for individuals described in subparagraph (A) to be eligible for the United States Merchant Marine Career Retention Program.</text></subparagraph><subparagraph id="ideeed2e66d57f4558ac2907657b51f151"><enum>(D)</enum><header>Rule of construction</header><text>Nothing in subparagraph (A) shall be construed to allow the United States Coast Guard to prevent or delay a merchant mariner who is otherwise eligible from attaining a more advanced rank or credential for Merchant Mariners sailing on foreign vessels.</text></subparagraph><subparagraph id="id0ca04c44648c490894c0a8c50098b8bd"><enum>(E)</enum><header>USERRA protections</header><text>Members of the United States Merchant Marine Career Retention Program described under this paragraph shall be entitled to protections and obligations under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/38/43">chapter 43</external-xref> of title 38 (commonly known as the <quote>Uniformed Services Employment and Reemployment Rights Act</quote>).</text></subparagraph></paragraph></subsection><subsection id="id40c845c73e7d4c4cb488e1ff85f54605"><enum>(d)</enum><header>Enforcement</header><text>The Maritime Administrator shall ensure all members of the Merchant Marine Career Retention Program remain in good standing with the requirements of the Program.</text><paragraph id="id146fa86786b947a3a391fee6616093f8"><enum>(1)</enum><header>Enforcement</header><text>Subject to paragraph (2), members found to be in noncompliance with the requirements of the Program shall—</text><subparagraph id="id226175d5b6764f1c871b4e714cf7450d"><enum>(A)</enum><text>have their reservist status terminated; and</text></subparagraph><subparagraph id="id0562da6f24fd49b388297f724e50762c"><enum>(B)</enum><text>forfeit the protections provided under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/38/43">chapter 43</external-xref> of title 38 (commonly known as the <quote>Uniformed Services Employment and Reemployment Rights Act</quote>).</text></subparagraph></paragraph><paragraph id="id7302c8a64356493ca793afa674db2bc7"><enum>(2)</enum><header>Exception</header><text>In cases where the Maritime Administrator determines a hardship exists, which prevents the mariner from meeting the requirements of the Program, the requirements of paragraph (1) shall not apply.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idb0a76874fa544127bca8a7d4ded1900a"><enum>(e)</enum><header>Authorization of appropriations</header><text display-inline="yes-display-inline">There is authorized to be appropriated out of the Maritime Security Trust Fund established under section 50301(b) of this title, to carry out this section, $2,000,000 for each of fiscal years 2025 through 2034.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection id="ida0b5fa5ba97b4d59bed6995627ccc967"><enum>(c)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/521">chapter 521</external-xref> of title 46, United States Code, as amended by sections 602, 604, and 605, is amended by adding at the end the following:</text><quoted-block style="USC" id="id7cb1f6ea-f6b3-4376-a2df-700a5dfcd378"><toc><toc-entry level="section" idref="idfa382f7db5cd44118b95122d5284dd47">52105. United States Merchant Marine Career Retention Program.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section></subtitle><subtitle id="id01BF5797B3CA495386717DA8765D2AFD"><enum>B</enum><header>Workforce Pipeline</header><section id="idad63f5d67b054236a59dee46242c6578" commented="no"><enum>611.</enum><header>Maritime workforce promotion and recruitment</header><text display-inline="no-display-inline">Section 539A of the Servicemember Quality of Life Improvement and National Defense Authorization Act for Fiscal Year 2025 (<external-xref legal-doc="public-law" parsable-cite="pl/118/159">Public Law 118–159</external-xref>), is amended—</text><paragraph id="ide15353ca94af4fcfbc88267d8e108f31"><enum>(1)</enum><text>in subsection (a), by striking <quote>the heads of such other Federal agencies as the Secretary determines appropriate</quote> and inserting <quote>the Maritime Security Board</quote>; and</text></paragraph><paragraph id="id08dd53653ae04a2aaa26ddbe0bd176a3"><enum>(2)</enum><text>by amending subsection (f) to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id15e20c8fa8904f67ad7469700badf094"><subsection id="id5209dd65667a4224b42b0a31dffc13dd"><enum>(f)</enum><header>Authorization of appropriations</header><paragraph id="id7258f1b4382b4ac681c22cf2738f6eb6"><enum>(1)</enum><header>Fiscal years 2025 through 2028</header><text>There are authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of title 46, United States Code, to the Secretary of the Navy, for each of fiscal years 2025 through 2028, $15,000,000 to carry out this section.</text></paragraph><paragraph id="id0af72323a8924190b5df04eeeebfe8fb"><enum>(2)</enum><header>Fiscal years 2029 through 2034</header><text>There are authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of title 46, United States Code, to the Secretary of the Navy, for each of fiscal year 2029 through 2034, $25,000,000 to carry out this section.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><section id="idf489390c426a47bb849fdd9e884e043d"><enum>612.</enum><header>Centers of Excellence for Domestic Maritime Workforce Training and Education</header><text display-inline="no-display-inline">Section 51706 of title 46, United States Code, is amended—</text><paragraph commented="no" display-inline="no-display-inline" id="ida4e6de5e07f5419dae7f4c140115a725"><enum>(1)</enum><text>in subsection (c)(1)(B)(iii), by striking <quote>nonprofit entity</quote> and inserting <quote>entity</quote>; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idf6f2e2174dfc404e8f39604e5d843617"><enum>(2)</enum><text display-inline="yes-display-inline">by adding to the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id0c49280224ea425683177aa2e449d41a"><subsection id="idc2a27a69aa4a4ab88d4926e38346d2d8"><enum>(d)</enum><header>Authorization of Appropriations</header><text>There is authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of this title, to carry out this section, $25,000,000 for each of fiscal years 2026 through 2035.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section><section commented="no" id="id5ec119124728437f95c172dc6a0cd5d5"><enum>613.</enum><header>Maritime Career and Technical Education Advisory Committee</header><subsection commented="no" display-inline="no-display-inline" id="id9ddefb0bc7b5451eb923fef08a8f22b2"><enum>(a)</enum><header display-inline="yes-display-inline">Definitions</header><text>In this section:</text><paragraph commented="no" display-inline="no-display-inline" id="id54dc0da6a6744bddb2965139ce426628"><enum>(1)</enum><header>Administrator</header><text display-inline="yes-display-inline">The term <term>Administrator</term> means the Maritime Administrator.</text></paragraph><paragraph id="id922d60880da840699e8c7d1cdd22d31e"><enum>(2)</enum><header>Advisory Committee</header><text>The term <term>Advisory Committee</term> means the Maritime Career and Technical Education Advisory Committee established under subsection (b).</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id3b972a1d38e347adb8f84fcfe3a9b0b7"><enum>(b)</enum><header>Advisory Committee plan and establishment</header><paragraph commented="no" display-inline="no-display-inline" id="id0bec42de4c2841e1929744c97330d0f1"><enum>(1)</enum><header>Plan</header><text display-inline="yes-display-inline">Not later than 180 days after the date of enactment of this Act, the Administrator shall develop a plan, and notify Congress of such plan, to establish a Maritime Career and Technical Education Advisory Committee to—</text><subparagraph commented="no" display-inline="no-display-inline" id="id2e8ba304e2d5438bb40eb01ec71e81e9"><enum>(A)</enum><text display-inline="yes-display-inline">bring representatives of maritime industrial base employers and education providers together to identify joint opportunities to train needed workers for maritime careers; and</text></subparagraph><subparagraph id="id90af5c46271b4ed5bab387b69e8566cc"><enum>(B)</enum><text>develop and disperse best practices and recommendations for the improvement of shipbuilding education and training programs, naval architecture education programs, and merchant marine training and certification programs.</text></subparagraph></paragraph><paragraph id="id45366d1b85b44e12b6151e80b5a5742f"><enum>(2)</enum><header>Establishment</header><text>Not later than 1 year after the date of enactment of this Act, the Administrator shall establish the Advisory Committee.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id3b8bd982d5c7463390855fff73c791b7"><enum>(c)</enum><header>Membership</header><paragraph commented="no" display-inline="no-display-inline" id="idb69755b75c524d5a8344e878afeaf54e"><enum>(1)</enum><header>Administrator</header><text display-inline="yes-display-inline">The Advisory Committee shall include the Administrator (or a delegate of the Administrator) who shall serve as Chair of the Advisory Committee.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id86d1b17299d44423b86c7e13a09ce682"><enum>(2)</enum><header>Representatives</header><text display-inline="yes-display-inline">The Advisory Committee shall be composed of representatives from each of the following, to be appointed the Administrator:</text><subparagraph id="id73522f2ae81a46128d722dda579f274d"><enum>(A)</enum><text>Maritime education, including representatives from—</text><clause commented="no" display-inline="no-display-inline" id="idf5cfcab87132473a9e0fa4087c2bd6e3"><enum>(i)</enum><text display-inline="yes-display-inline">the Centers of Excellence for Domestic Maritime Workforce Training and Education designated by the Maritime Administration, taking into consideration—</text><subclause commented="no" display-inline="no-display-inline" id="id84638ff7e3a649f0988912b79ea6ba2c"><enum>(I)</enum><text display-inline="yes-display-inline">geographic diversity;</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id659832bdfc1d41df89e83645956e92e9"><enum>(II)</enum><text display-inline="yes-display-inline">the rate of employment after graduation;</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id48297f293b164ee592b438950b84a369"><enum>(III)</enum><text display-inline="yes-display-inline">training or skillset diversity; and</text></subclause><subclause commented="no" display-inline="no-display-inline" id="idf8ad6d447f5b439881674f8215f82518"><enum>(IV)</enum><text display-inline="yes-display-inline">other qualities as determined by the Administrator;</text></subclause></clause><clause id="id42b650b9eaa2470b91b42cbf4d565085"><enum>(ii)</enum><text>the United States Naval Sea Cadet Corps;</text></clause><clause id="idaf577b24d4c54acd87584310e2700f93"><enum>(iii)</enum><text>kindergarten through grade 12 maritime education programs designated by the Maritime Administration;</text></clause><clause commented="no" display-inline="no-display-inline" id="id560de93e64544b4d8dfee4458b1bf6a2"><enum>(iv)</enum><text>the oceanographic science community, including from a University-National Oceanographic Laboratory System institution; and</text></clause><clause commented="no" display-inline="no-display-inline" id="id764e14559bbf4b81aa69a83ebf99e71b"><enum>(v)</enum><text>institutions of higher education.</text></clause></subparagraph><subparagraph id="idaf27e457830c4e8f839a8e6a74af7203"><enum>(B)</enum><text>The maritime workforce, including representatives from—</text><clause id="id780ddc51846549ed988fdbf40d84d65c"><enum>(i)</enum><text>skilled workers representing a wide swath of the career and technical maritime industry both onshore and offshore;</text></clause><clause id="idafc1c702170a419db13d1528051f19a4"><enum>(ii)</enum><text>career and technical education certified instructors; and</text></clause><clause id="idf7532ad485544a5b9c39853fbbf2ccb2"><enum>(iii)</enum><text>maritime labor organizations.</text></clause></subparagraph><subparagraph id="idb2ea135cb4134bcd9fd98d7a9cd285f6"><enum>(C)</enum><text>Maritime industry, including representatives from—</text><clause id="idf10b394829094609b3b7b954ab92d65d"><enum>(i)</enum><text>shipbuilding, ship repair, and shipyard industry stakeholders;</text></clause><clause id="id8687a005578346b983c7780c0f22b823"><enum>(ii)</enum><text>maritime industrial base coalitions;</text></clause><clause commented="no" display-inline="no-display-inline" id="id2a0006912f054f5d9ad638109e67a27a"><enum>(iii)</enum><text display-inline="yes-display-inline">shipping industry stakeholders; and</text></clause><clause id="idd21d6581f3e14bcbaada0a9276627f02"><enum>(iv)</enum><text>owners and operators of vessels of the United States.</text></clause></subparagraph><subparagraph id="id3954cc22289f47c48ed824152dabd5a1"><enum>(D)</enum><text>Technical nonprofit organizations with expertise in the maritime industry, including representatives from—</text><clause id="idb377916bea5e42e69d9836863dcd2f13"><enum>(i)</enum><text>think tanks;</text></clause><clause commented="no" display-inline="no-display-inline" id="ida5f88d5efcef414392bfb6a42cf4cde9"><enum>(ii)</enum><text display-inline="yes-display-inline">recognized classification societies; and</text></clause><clause id="ide5605614a0e84f9787a9df480035b4e9"><enum>(iii)</enum><text>professional societies.</text></clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id69abe81449b04ab890212ce26178c7fb"><enum>(E)</enum><text>The Federal Government, including representatives from—</text><clause id="id36ed8e29b9e44d0cabe406bb72b47f70"><enum>(i)</enum><text>the Department of Education;</text></clause><clause id="ida7dd3ed6058d4cafa517b6d90bf351f5"><enum>(ii)</enum><text>the Department of Labor;</text></clause><clause id="id689e0d452487410abbf83281acf30de2"><enum>(iii)</enum><text>the Department of Transportation;</text></clause><clause id="idb48a59d526844a46a1b4cb0343495e2b"><enum>(iv)</enum><text>the Department of the Navy;</text></clause><clause id="id2675a83e4a894e319019656c0d4a0b68"><enum>(v)</enum><text>the United States Coast Guard;</text></clause><clause id="id15ae1b678e85431dad19baa035087d93"><enum>(vi)</enum><text>the National Oceanic and Atmospheric Administration;</text></clause><clause id="idfd25c73252eb47a088277ead1c4eb844"><enum>(vii)</enum><text>the Army Corps of Engineers; and</text></clause><clause id="id6adc844e057c49e8b5b9c37e3660c823"><enum>(viii)</enum><text>the Federal Maritime Commission.</text></clause></subparagraph><subparagraph id="id5a350372b0dd410ca388dc4e531cffca"><enum>(F)</enum><text>Any other representatives that the Maritime Administrator determines appropriate to appoint.</text></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id856aaba788de4a53901f6a482eed3693"><enum>(d)</enum><header>Meetings</header><paragraph id="ida9679c2982f946ceb42326aedf2d11d5"><enum>(1)</enum><header>In general</header><text>The Advisory Committee shall meet not less often than annually.</text></paragraph><paragraph id="id3ba9088abe7c48b9ac190c209b4e1ff0"><enum>(2)</enum><header>Quorum established</header><text>Two thirds of all members appointed by the Administrator under subsection (c) shall constitute a quorum for a meeting of the Advisory Committee.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idbea5e2a606f44cf08eaaf322e2bf36a0"><enum>(3)</enum><header>Working groups</header><text>The Advisory Committee shall include working groups that shall meet not less often than quarterly each year.</text></paragraph></subsection><subsection id="id73c215cf45b84b9b9af5b0681a45729b"><enum>(e)</enum><header>FACA</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/5/10">Chapter 10</external-xref> of title 5, United States Code, shall apply to the Advisory Committee.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="idaf1159e8dc04417c81122debcb878f4e"><enum>(f)</enum><header display-inline="yes-display-inline">Development of curricula</header><text>Consistent with the purposes of the Advisory Committee established in subsection (b) and applicable law (including regulations), the Advisory Committee shall recommend curricula for key skills for maritime professionals and make such curricula publicly available to institutions of higher education, career and technical education schools, and State maritime academies.</text></subsection><subsection commented="no" id="id883b5b3512ae4abca29db783ac9c9938"><enum>(g)</enum><header>Reporting</header><text>The Advisory Committee shall submit to the appropriate committees of Congress and the Maritime Security Board and publish on the website of the Maritime Administration, an annual report that includes best practices and policy recommendations, as described in subsection (b).</text></subsection><subsection id="id971ad42c5dbb4073bfb05a8f27dbdd55"><enum>(h)</enum><header>Rule of construction</header><text>Nothing in this section shall be construed to create new regulatory authority or supersede existing law (including regulations) as of the day before the date of enactment of this Act, relating to shipbuilding education and training programs, naval architecture education programs, and merchant marine training and certification programs.</text></subsection></section><section id="id5043001ae4664f1a84031e12bad74bec"><enum>614.</enum><header>Military candidates to Mariner Careers Recruitment Exchange</header><subsection id="id235A2FBA23CB4848A0FFF4B7C3EAB3F6"><enum>(a)</enum><header>Duties of Secretary of Defense</header><text display-inline="yes-display-inline">The Secretary of Defense shall—</text><paragraph commented="no" display-inline="no-display-inline" id="id058ae0b9df674972bc2460379f70ee6d"><enum>(1)</enum><text display-inline="yes-display-inline">encourage and incentivize military recruiters to recommend the United States Department of Transportation Maritime Administration to potential recruits who do not qualify for military service in the Armed Forces; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id82c38ed083f940bfa33914293b7942f8"><enum>(2)</enum><text display-inline="yes-display-inline">establish a mechanism for military recruiters to introduce recruits described in paragraph (1) who are interested in maritime service to representatives from the Maritime Administration, in accordance with the procedures established under subsection (b).</text></paragraph></subsection><subsection id="id1689bf16cbcf4e9daf4b8e9852d74fb1"><enum>(b)</enum><header>Duties of the Maritime Administrator</header><text>The Maritime Administrator shall—</text><paragraph id="idb0fe0646c10049a0a9443aa7d80f5198"><enum>(1)</enum><text>establish a mechanism to receive recruitment referrals from military recruiters;</text></paragraph><paragraph id="ide7c2f6ad3ddf419a938739fd4a549c95"><enum>(2)</enum><text>provide hand-off services to connect recruits with educational resources and institutions, recognized Maritime Centers of Excellence, eligible maritime industry employers, and other maritime industry career services, as appropriate;</text></paragraph><paragraph id="id458aa425a6aa4b22a4fa24b5453c386b"><enum>(3)</enum><text>track the number of referrals from the Department of Defense; and</text></paragraph><paragraph id="idcaa68284336b403fb47d365d602762e5"><enum>(4)</enum><text>track the number of recruits who enroll in maritime industry programs, to the extent practicable.</text></paragraph></subsection><subsection id="id94301bd0f1544b04876f8a65bd316dd2"><enum>(c)</enum><header>Reporting requirement</header><paragraph id="id95c7b11930df47c9bc9111764dd65390"><enum>(1)</enum><header>Briefing on the implementation strategy</header><text>Not later than 90 days after the date of enactment of this Act, the Maritime Administrator, in coordination with the Secretary of Defense, shall submit a briefing to the appropriate committees of Congress about a strategy for implementing the activities required under this section, including—</text><subparagraph commented="no" display-inline="no-display-inline" id="id53e77cb060c9498d81cd305720d7a675"><enum>(A)</enum><text display-inline="yes-display-inline">a timeline for implementation; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id30996d4dd66e46d28334cc5b9ca7355e"><enum>(B)</enum><text display-inline="yes-display-inline">the identification of the Department of Defense recruiter incentives and training required for maximum utility in carrying out such activities.</text></subparagraph></paragraph><paragraph id="idd1586cecfb414f82b1c577aa0fb1dacb"><enum>(2)</enum><header>Annual report on program efficacy</header><text>One year after the date of enactment of this Act, and annually thereafter, the Maritime Administrator, in coordination with the Secretary of Defense, shall submit a report to the appropriate committees of Congress on the efficacy and utility of the activities carried out under this section, including—</text><subparagraph id="id4f5d69c63473460b88355539742c3d29"><enum>(A)</enum><text>the number of Department of Defense referrals to the Maritime Administration;</text></subparagraph><subparagraph id="id2034888655b34cc2a4e5a799934c57ab"><enum>(B)</enum><text>the number of Maritime Administration hand-offs to the maritime industry;</text></subparagraph><subparagraph id="id0703d69bbf0a4a38b5c3e64c2c8eaab5"><enum>(C)</enum><text>an assessment of the efficacy of the activities carried out under this section; and</text></subparagraph><subparagraph id="id34215534399c46759532da5deb646702"><enum>(D)</enum><text>challenges and recommendations relating to such activities.</text></subparagraph></paragraph></subsection></section><section id="id848841f5eeee418280fb496bbc714a7d"><enum>615.</enum><header>Maritime worker data collection</header><subsection id="idf041855d19d3455094ee21a6abdea1c4"><enum>(a)</enum><header>Publication of report</header><text>The Maritime Administrator shall publish an biennial report on the state of the merchant mariner workforce.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id4102b7e2ce664c5886175183f6d2e78b"><enum>(b)</enum><header>Completion of report</header><text display-inline="yes-display-inline">The Maritime Administrator shall complete the biennial report required under subsection (a) or enter into a contract with another entity to complete the report.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="ide7451d2b04a84d0ea2fdeb5e43a44953"><enum>(c)</enum><header>Content of report</header><text display-inline="yes-display-inline">The biennial report required under subsection (a) shall include, at minimum—</text><paragraph id="iddd93ed7c79054d8784fcc00a9c48f1a6"><enum>(1)</enum><text>a count of United States Merchant Mariners with valid merchant mariner credentials and credentials in continuity endorsement;</text></paragraph><paragraph id="id2b8e97c0f2b5451cbc83c2101e9e2dc7"><enum>(2)</enum><text>a count of inactive but credentialed and formerly credentialed United States Merchant Mariners, to the extent practicable, and an evaluation of—</text><subparagraph id="id4119caeed1ee4f7685ff45617d57406d"><enum>(A)</enum><text>the challenges to identifying such individuals;</text></subparagraph><subparagraph id="id2bc3f324099f4d3aa5b0499a40315da1"><enum>(B)</enum><text>opportunities to partner with Federal, State, local, and non-government entities to identify such individuals; and</text></subparagraph><subparagraph id="idbc36df5a66324c0e97c53f0c2819739e"><enum>(C)</enum><text>an action plan of how to implement the opportunities described under subparagraph (B);</text></subparagraph></paragraph><paragraph id="id58b5eba373414de7bdc94b052ed99545"><enum>(3)</enum><text>a count of United States mariners and foreign workers employed on vessels, rigs, platforms, and other vehicles or structures off the coast of the United States and an evaluation of the percentage of United States and foreign workers employed on—</text><subparagraph id="idcb8ffe23a6e041f5bc28d3fbf0f66857"><enum>(A)</enum><text>coastwise-endorsed vessels; and</text></subparagraph><subparagraph id="idf59f81e0258442d592650611d345641e"><enum>(B)</enum><text>vessels of the United States which do not have a coastwise endorsement;</text></subparagraph></paragraph><paragraph id="id5d3c561cf05e490ba7a6d6c0233de78e"><enum>(4)</enum><text>a listing of actively operating vessels of the United States;</text></paragraph><paragraph id="id598d1e8d2f9b4cfb9bf42c7b3dd9961d"><enum>(5)</enum><text>a report of merchant mariner requirements needed in the event of a national defense sealift operation and any gaps identified in quantity and quality, and other variables of concern, as determined by the Administrator;</text></paragraph><paragraph id="id40bb1549e3b7435fb56b4fd6fb04b311"><enum>(6)</enum><text>a general outlook for the future of the merchant mariner industry and potential gaps or surpluses of merchant mariners;</text></paragraph><paragraph id="id359c85cb1a9b46cc91dcb43eb705137f"><enum>(7)</enum><text>identification of any concerns in the credentialing of merchant mariners, which may include general processing issues, shortage of training providers or instructors, and barriers to entry due to costs to the economically disadvantaged; and</text></paragraph><paragraph id="id5a406b6826104a149cde1335db3495a8"><enum>(8)</enum><text>recommendations, based on data collected, on ways to—</text><subparagraph id="id5531f58794a1468181f0763743b47e66"><enum>(A)</enum><text>improve retention of existing merchant mariners;</text></subparagraph><subparagraph id="id3ea46c6ae99a41f7b58d426b039609fe"><enum>(B)</enum><text>create expedited pathways for mariners with expired credentials to renew their credentials; and</text></subparagraph><subparagraph id="idbd8f968a976a4d859a391fded20d0bfe"><enum>(C)</enum><text>encourage new merchant mariners to enter the industry.</text></subparagraph></paragraph></subsection><subsection id="id146f16ad35e24c0fb183a815a9df5d57"><enum>(d)</enum><header>Accessibility of data</header><paragraph id="id09fa1c31d3b3412fa564e9afbcdc72b8"><enum>(1)</enum><header>In general</header><text>Except as provided in paragraph (2), the Maritime Administrator, and any authorized agent of the Maritime Administrator, shall have full access to available Coast Guard mariner credentialing data, in a manner that ensures the protection of personally identifiable information, in order to complete the report required under subsection (a).</text></paragraph><paragraph id="id8b75957a4fee4f0585d0c76e49a286aa"><enum>(2)</enum><header>Exception</header><text>The Maritime Administrator, and any authorized agent of the Maritime Administrator, may not have access to confidential medical information pursuant to paragraph (1).</text></paragraph></subsection><subsection id="id21ad8e42485c4a0daceba19450a48b92"><enum>(e)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of title 46, United States Code, to carry out this section, $1,000,000 for each of the fiscal years 2026 through 2030.</text></subsection></section><section id="id7be47d2536f743578f23f3c0fca9e483"><enum>616.</enum><header>Military to maritime transition</header><subsection id="idb390412e23c44286a31af190d43e50ab"><enum>(a)</enum><header>Recommendations required</header><text>Not later than 180 days after the date of enactment of this Act, the Secretary of Defense, in consultation with the Secretary of the Navy, the Secretary of the Air Force, the Secretary of the Army, the Secretary of the department in which the Coast Guard is operating, the Maritime Security Board, the Department of Veterans Affairs, and the Department of Labor, shall submit a report to the appropriate committees of Congress containing—</text><paragraph commented="no" display-inline="no-display-inline" id="idbd2dabc02b254a379df436e0da7f4d62"><enum>(1)</enum><text display-inline="yes-display-inline">recommendations about how to increase and improve opportunities for transitioning servicemembers to secure employment in the maritime industry at sea and shoreside; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idd3b00f1d7fd945c0ae8f376e8a9f9d0d"><enum>(2)</enum><text>a plan to implement those recommendations.</text></paragraph></subsection><subsection id="id57cd1bbbc98d4316b653342b0d2dad4e"><enum>(b)</enum><header>Considerations</header><text>In carrying out subsection (a), the Secretary of Defense shall—</text><paragraph id="id8fd562de201c495bb62b284d7a8d4e7c"><enum>(1)</enum><text>identify barriers that servicemembers face when trying to transition to the United States maritime industry, including the merchant marines, shipbuilding, ship repair, and shipping;</text></paragraph><paragraph id="ida39ce46adbc14d3fab9f2b470663ecf0"><enum>(2)</enum><text>consider opportunities to improve, expedite, and alleviate the burdens on servicemembers transitioning to the maritime industry, including efforts to—</text><subparagraph id="id43233e7990d5428f902e09ee5b57e05e"><enum>(A)</enum><text>inform transitioning servicemembers of employment opportunities in the United States maritime industry;</text></subparagraph><subparagraph id="idd7d562d95adc4da8b748b9277c95e5cd"><enum>(B)</enum><text>assist transitioning servicemembers in determining how their military credentials and experience translate to credentialed civilian employment in the maritime industry;</text></subparagraph><subparagraph id="id5d155d4f8e644df7ba9b3ff927e92423"><enum>(C)</enum><text>increase the establishment and uptake of accelerated or bridge programs to assist separating members of the Armed Forces in translating military credentials and experience into maritime industry credentials and employment;</text></subparagraph><subparagraph id="id0081d53d77244620b074bec03095ba72"><enum>(D)</enum><text>increase the availability and accessibility of preparatory activities under the SkillBridge program established under section 1143(e) of title 10, United States Code, in the United States maritime industry;</text></subparagraph><subparagraph id="iddf1b5094aa7849f793d4bf880d8d436f"><enum>(E)</enum><text>incorporate the maritime industry in the Transition Assistance Program, as described in <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/10/58">chapter 58</external-xref> of title 10, United States Code; and</text></subparagraph><subparagraph id="id48967a7704cc4ca4864aa60a5426a355"><enum>(F)</enum><text>enhance the activities carried out pursuant to the Military to Mariners Act of 2022 (section 11514 of division K of the James M. Inhofe National Defense Authorization Act for Fiscal Year 2023 (<external-xref legal-doc="public-law" parsable-cite="pl/117/263">Public Law 117–263</external-xref>)); and</text></subparagraph></paragraph><paragraph id="idbc6ad9bd5e8747be8631169d83c35669"><enum>(3)</enum><text>specifically consider the transition of servicemembers to employment in the shipbuilding and ship repair maritime industries.</text></paragraph></subsection></section><section id="id879a69e495634104bcc88882e66ac9e8"><enum>617.</enum><header>Early maritime education and youth involvement</header><subsection commented="no" id="id56112e848b514539983d34611f5c1cc5"><enum>(a)</enum><header>Secretary of the Navy budget request</header><text>In the Secretary of the Navy's annual budget submission to Congress, the Secretary of the Navy shall include, as a distinct item, the funding request for the United States Naval Sea Cadet Corps.</text></subsection><subsection id="id409348f729db4932932a63c14f9653a7"><enum>(b)</enum><header>Engagement with elementary school and secondary school students</header><text>The Maritime Administrator shall encourage designated Centers of Excellence for Domestic Maritime Workforce Training and Education to engage with students in kindergarten through grade 12.</text></subsection></section><section id="id0ce6411221204fa5a3cbd3283fcde43c"><enum>618.</enum><header>International scholarship for mariner and naval architecture exchanges</header><subsection id="idec3576cf510446d391a9b65cc19225ba"><enum>(a)</enum><header>In general</header><text>The Maritime Administrator shall establish an international exchange program for mariners, naval architects, and marine engineers between the United States and countries described in subsection (b).</text></subsection><subsection id="idaf15617fc7f949589f9945740eb1b199"><enum>(b)</enum><header>Eligible participants</header><text>In carrying out the program under this section, the Administrator shall limit participation to United States citizens and citizens of—</text><paragraph id="id3357c7cb8be140fd83bd06535ed054ef"><enum>(1)</enum><text>member countries of NATO;</text></paragraph><paragraph id="idf46b533e46c04e789366157e9d3615b2"><enum>(2)</enum><text>treaty allies of the United States; and</text></paragraph><paragraph id="idad4969bd06e74c5caf5f48038b64a5d3"><enum>(3)</enum><text>major non-NATO allies of the United States.</text></paragraph></subsection><subsection id="idc05dd7a71ef0494ab376051f829a97ec"><enum>(c)</enum><header>Placements</header><text>In carrying out the program under this section, the Administrator shall seek corporate and government partners for placement of eligible participants of the program.</text></subsection><subsection id="id7a33b387c7554d10a80d54867de4478c"><enum>(d)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of title 46, United States Code, $2,000,000 to carry out this section for each of fiscal years 2026 through 2035.</text></subsection></section></subtitle><subtitle id="idcdb408eb99ec48e78d54c2d2a7f2f291"><enum>C</enum><header>United States Merchant Marine Academy and State maritime academies</header><section id="idb7c1557962b941bc99ec287e5b120959"><enum>621.</enum><header>Authorization of appropriations for United States Merchant Marine Academy infrastructure and facilities modernization</header><subsection id="id0030eea18ef34f338680a87c92b6a083"><enum>(a)</enum><header>Findings</header><text>Congress finds the following:</text><paragraph id="idd38abe94a4eb4e078e8e2dcbf81c76f2"><enum>(1)</enum><text>The United States Merchant Marine Academy plays a critical role in training service-obligated licensed merchant mariners to operate commercial vessels, in peacetime and during times of conflict.</text></paragraph><paragraph id="id48781af0485f41489ee39fca6de88231"><enum>(2)</enum><text>The United States Merchant Marine Academy is 1 of the 5 Federal service academies and plays a critical role in maintaining a domestic, commercial maritime industry, with each graduate having a commitment to serve not less than 8 years in the foreign and domestic commerce and the national defense of the United States, which may include service on a merchant vessel documented under <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/121">chapter 121</external-xref> of title 46, and graduates make up more than 80 percent of the United States Navy’s Strategic Sealift Officer Program.</text></paragraph><paragraph id="idd96c10fd90704447b43caaec1767edb6"><enum>(3)</enum><text>The United States defense readiness and economic security relies on a strong investment in training and cultivating United States Merchant Marine officers at the United States Merchant Marine Academy.</text></paragraph><paragraph id="idd8328d686cbf4962979a610ce0dd8c6b"><enum>(4)</enum><text>Most of the facilities at the United States Merchant Marine Academy date back to the Academy’s founding, have not been modernized since, and are not conducive to the immersive training and demanding coursework today’s Midshipmen are required to complete.</text></paragraph><paragraph id="idacf3d583ed7b4621919dca44e635a221"><enum>(5)</enum><text>Rehabilitating and modernizing the campus infrastructure at the United States Merchant Marine Academy is necessary to ensuring current and future generations of Midshipmen receive a first-class education.</text></paragraph></subsection><subsection id="id57b1124de42046558a5d27e5b3262997"><enum>(b)</enum><header>Sense of the Senate</header><text>It is the sense of the Senate—</text><paragraph id="idd37e492fda7942a5913a1a500a05e0c3"><enum>(1)</enum><text>to ensure that the United States continues to have a sufficient number of service-obligated licensed merchant mariners to meet current and future economic and national security needs, the Maritime Administration and the Department of Transportation have a responsibility to provide suitable academic, training, and dormitory facilities at the United States Merchant Marine Academy by rapidly implementing a comprehensive plan for campus-wide modernization in accordance with section 51329 of title 46, United States Code, (referred to in this section as the <quote>Campus Modernization Plan</quote>) and providing sufficient accountability and oversight to ensure that milestones in such plan are met;</text></paragraph><paragraph id="id76ed1b6a44184015b94bdb99556c79b7"><enum>(2)</enum><text>in developing the comprehensive Campus Modernization Plan for the United States Merchant Marine Academy, the Maritime Administration, and the Department of Transportation should utilize, to the maximum extent practicable, the <quote>Merchant Marine Academy Full Speed Ahead Plan</quote> developed by the Maritime Security Infrastructure Council as summarized in the Congressional Record, dated February 28, 2024;</text></paragraph><paragraph id="id493ffecb755e41d8998c410208ca505b"><enum>(3)</enum><text>given the conditions of the United States Merchant Marine Academy as of the date of enactment of this section, a comprehensive, campus-wide modernization is needed to significantly upgrade or replace facilities throughout the campus; and</text></paragraph><paragraph id="ided9d285bd3cb4084b23d22dae58e3b30"><enum>(4)</enum><text>the Maritime Administration and the Department of Transportation should identify opportunities to utilize design-build contracts to increase delivery times and reduce costs.</text></paragraph></subsection><subsection id="id4da44fd342034c51b2ac38e949529094"><enum>(c)</enum><header>Campus Modernization Plan</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/513">Chapter 513</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id8b0f1f27899e4a579f4079499f30507c"><section id="iddea2096e3edc4dceaaa85be496d89503"><enum>51329.</enum><header>10-year Campus Modernization Plan</header><subsection commented="no" id="id06dd58f8499649438062295678c6fe7d"><enum>(a)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of this section, the Secretary shall develop and begin to implement a comprehensive Campus Modernization Plan (referred to in this section as the <quote>Campus Modernization Plan</quote>), informed by the <quote>United States Merchant Marine Academy Full Speed Ahead Plan</quote> developed by the Maritime Security Infrastructure Council as summarized in the Congressional Record, dated February 28, 2024, to carry out a campus-wide modernization at the United States Merchant Marine Academy.</text></subsection><subsection id="id65da294132394e2f9795692ff8a5f7c5"><enum>(b)</enum><header>Objectives</header><text>In carrying out the Campus Modernization Plan authorized under subsection (a), the Administrator shall prioritize the following objectives:</text><paragraph id="id20ae0833790d419e9f577e907a8b304d"><enum>(1)</enum><text>Promoting modern education best practices by constructing learning facilities that leverage state-of-the art technologies and learning best practices.</text></paragraph><paragraph id="id1425dfcd80224e0aa3c11d0e3976fc23"><enum>(2)</enum><text>Providing Midshipmen with access to facilities needed to pass the United States Coast Guard License Exam for Third Mate or Third Assistant Engineer Unlimited.</text></paragraph><paragraph id="idac59c5652d754d4ea6a3532f92001ee0"><enum>(3)</enum><text>Ensuring Midshipmen have access to facilities sufficient to enable Midshipmen to maintain physical readiness standards required of United States Navy officers.</text></paragraph><paragraph id="idd438184aaf6d4daf992f8768ec58efbb"><enum>(4)</enum><text>Developing campus infrastructure to ensure the Academy attracts a diverse pool of applicants.</text></paragraph><paragraph id="idce1eb0ab2ce24504a7c4d4b385fc027b"><enum>(5)</enum><text>Providing facilities that enable industry engagement and continuing education opportunities.</text></paragraph><paragraph id="id3bcda908b1304cd6823e85c2928b5673"><enum>(6)</enum><text>Maintaining a safe and secure campus environment for all Midshipmen, which shall include any facilities or infrastructure needed to meet the requirements of sections 51326, 51327, or 51328 of this title.</text></paragraph><paragraph id="ida0bbd390fd0c46b09d63259c514fbfb5"><enum>(7)</enum><text>Implementing, to the extent practicable, the facilities and infrastructure recommendations in chapter 4 of the report titled <quote>Organizational Assessment of the United States Merchant Marine Academy: A Path Forward</quote> issued by the National Academy of Public Administration in November 2021.</text></paragraph></subsection><subsection id="id17da22e33d0e4d55957a13cd6993ae80"><enum>(c)</enum><header>Inclusions</header><text>In meeting the objectives of subsection (b), the Campus Modernization Plan authorized under subsection (a) shall include—</text><paragraph id="idae57dac8d4ea4cafaf664c56c9567e51"><enum>(1)</enum><text>construction of new facilities or significant renovation of existing facilities to provide—</text><subparagraph id="id99a4bece4bcf411bb897d71fee9df8a4"><enum>(A)</enum><text>Standards of Training, Certification, and Watchkeeping applications laboratories;</text></subparagraph><subparagraph id="id0ede015a6a6843caa340b6d80dc45c9b"><enum>(B)</enum><text>a Safety Of Life At Sea training pool;</text></subparagraph><subparagraph id="id4653d77d8ecf41df84ffcb2828182fd6"><enum>(C)</enum><text>engineering power plant laboratories;</text></subparagraph><subparagraph id="id7ff8ab7ace3041e38091c6ac00b8e272"><enum>(D)</enum><text>athletic facilities that meet the needs of both male and female students;</text></subparagraph><subparagraph id="id3a6f11fad156432ca58ce513248694e5"><enum>(E)</enum><text>enhanced waterfront facilities, to include a new pier;</text></subparagraph><subparagraph id="idc94d6510f1264fec9f64d61efb77b3d5"><enum>(F)</enum><text>a visitor welcome center and main campus security office building;</text></subparagraph><subparagraph id="id3464e834a00b4f20ac0d569c9a4bb299"><enum>(G)</enum><text>housing facilities for senior staff and faculty; and</text></subparagraph><subparagraph id="id6bfa574315ed4d08ae37a6c08bd853f6"><enum>(H)</enum><text>sufficient parking facilities for faculty, staff, and campus visitors;</text></subparagraph></paragraph><paragraph id="id304e04d057f34eacb82751b9a726ff75"><enum>(2)</enum><text>upgrades to all classrooms and laboratories with modern information technology infrastructure;</text></paragraph><paragraph id="id791da4235e5b467a90f50844c3579e50"><enum>(3)</enum><text>a campus-wide upgrade and retrofit of—</text><subparagraph id="id8cbfd2d1eab24015a1b0488f41207995"><enum>(A)</enum><text>the electric distribution power grid;</text></subparagraph><subparagraph id="idb0f02d0bcab64cf897ea2bf038e33409"><enum>(B)</enum><text>the sanitary sewer system piping;</text></subparagraph><subparagraph id="id0c91e71e19db4e23a8af3f4e84019641"><enum>(C)</enum><text>the storm drainage system; and</text></subparagraph><subparagraph id="idcce97b53e41942b2903b1379c511e87b"><enum>(D)</enum><text>the drinking water system, including development of a separate and redundant fire suppression system; and</text></subparagraph></paragraph><paragraph id="id8dc7db41641943cd9a49ec7c7eab99c8"><enum>(4)</enum><text>renovations of existing campus facilities to ensure all campus facilities—</text><subparagraph id="ida709d110361b4688852482410a9b20e7"><enum>(A)</enum><text>are structurally sound;</text></subparagraph><subparagraph id="idaa5ee2d367ba4ac5a36fff1f924eb085"><enum>(B)</enum><text>have reliable heating and air conditioning systems;</text></subparagraph><subparagraph id="id63a17293471349f4bf6441f1b8dbaf6b"><enum>(C)</enum><text>have functioning plumbing and electrical systems;</text></subparagraph><subparagraph id="idd9dac7629d9f45b9ba5b4e8bb4094f8e"><enum>(D)</enum><text>are protected from the elements, including through roof replacements and window repairs or replacements, as needed;</text></subparagraph><subparagraph id="id2c06dbecfdc7476886a9724174abc8b1"><enum>(E)</enum><text>are accessible in accordance with the Americans with Disabilities Act of 1990; and</text></subparagraph><subparagraph id="idc3ae9e096ad54d1c81b34f29f64d27e6"><enum>(F)</enum><text>have working fire alarm and fire suppression systems.</text></subparagraph></paragraph></subsection><subsection id="idccec32d5bc6243a69d6ecb98a8851a14"><enum>(d)</enum><header>Requirements</header><text>For the duration of the Campus Modernization Plan authorized under subsection (a), the Administrator shall ensure that the Academy remains fully operational.</text></subsection><subsection id="ide6b01e0262bb423aa56f5792e2cf0e39"><enum>(e)</enum><header>Use of a Federal construction agent</header><text>Consistent with the requirements of section 3515(d)(3) of the James M. Inhofe National Defense Authorization Act for Fiscal Year 2023 (<external-xref legal-doc="public-law" parsable-cite="pl/117/263">Public Law 117–263</external-xref>), the Administrator shall seek to enter into an agreement with a Federal construction agent to carry out the Campus Modernization Plan authorized under subsection (a).</text></subsection><subsection id="id8b85e13153ce478f809ae1a601dd0533"><enum>(f)</enum><header>Authorization of appropriations</header><text>There are authorized to be appropriated to the Department of Transportation, out of the Maritime Security Trust Fund established under section 50301(b) of this title, for fiscal years 2026 through 2035, for the phased rehabilitation, modernization, and construction of facilities and infrastructure at the United States Merchant Marine Academy, in accordance with this section, including the Campus Modernization Plan authorized in subsection (a), $1,020,000,000 of which—</text><paragraph id="idd80bfe48163d4802829a999e5b0913e5"><enum>(1)</enum><text>$54,000,000 is authorized to be appropriated for fiscal year 2026 for design and planning purposes, which shall be used for the development of a design-build plan for the phased rehabilitation, modernization, and construction of facilities and infrastructure at the United States Merchant Marine Academy in accordance with the Campus Modernization Plan; and</text></paragraph><paragraph id="id07a2bd2a2a3740d29981b4c590dc8d94"><enum>(2)</enum><text>for fiscal years 2027 through 2035, $107,333,333 is authorized to be appropriated for each year for construction and contingency purchases necessary to execute the Campus Modernization Plan.</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id209E716A7AB24CD589511FA8553E73EF"><enum>(d)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/513">chapter 513</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idA90CCE58E52E413DAC24B6E6CF26926E"><toc><toc-entry bold="off" level="section">51329. 10-Year Campus Modernization Plan.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id84DEF64BC7784423A661F1D02C6721A7"><enum>622.</enum><header>United States Merchant Marine Academy</header><subsection commented="no" display-inline="no-display-inline" id="id3ea58519a25b4af587b9ea0541269475"><enum>(a)</enum><header display-inline="yes-display-inline">Sense of Congress</header><text display-inline="yes-display-inline">It is the sense of Congress that—</text><paragraph id="id530c9c64a1134e5c959b6213b2c4f9c0"><enum>(1)</enum><text>the United States Merchant Marine Academy, one of our Nation’s 5 Federal service academies, is vital to our national security, and modernizing the Academy's aging infrastructure and investing in faculty and students must be congressional priorities;</text></paragraph><paragraph id="idc07feed40c1b4196b8c5545559075f9e"><enum>(2)</enum><text>sufficient funding must be provided to enable the maximum student enrollment that the campus infrastructure of the United States Merchant Marine Academy can support; and</text></paragraph><paragraph id="idd6714e44186d4c33b5bcf3b82cc55b9b"><enum>(3)</enum><text>considering the Academy’s role as a co-equal military service academy, the United States Merchant Marine Academy should be included in the rotation of presidential attendance at graduations.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id6308923bec7745d5928214e95c83998b"><enum>(b)</enum><header>Authorization of appropriations</header><text>Section 51301 of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id3649A41A5A9D4CF8B2DF238B2FAD554A"><subsection id="ide3b202426547492396459269ef167f7e"><enum>(d)</enum><header>Authorization of appropriations</header><text>There are authorized to be appropriated to the Department of Transportation out of the Maritime Security Trust Fund established under section 50301(b) of this title, $125,000,000 for each of fiscal years 2026 through 2035 for Academy operations.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id99679ebd5bd54fb2b9609649c841d36f"><enum>(c)</enum><header>Report on enrollment</header><text>Not later than 180 days after the date of enactment of this Act, the Maritime Administrator shall submit a report to the appropriate committees of Congress identifying the additional resources needed to increase enrollment at the United States Merchant Marine Academy.</text></subsection></section><section id="id19d05c8fd545498b80b203e20c5f89ef"><enum>623.</enum><header>Retirement service credit for service as a midshipman at the United States Merchant Marine Academy</header><subsection commented="no" display-inline="no-display-inline" id="id45c2226b05ce40b0acefbd819de06196"><enum>(a)</enum><header>Civil service retirement system</header><text>Section 8331(13) of title 5, United States Code, is amended, in the flush text following subparagraph (C), by inserting <quote>or the United States Merchant Marine Academy</quote> after <quote>Naval Academy</quote>.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="idc87a75f69ef742ddabbe0776b6a8cb8c"><enum>(b)</enum><header>Federal employees’ retirement system</header><text>Section 8401(31) of title 5, United States Code, is amended, in the flush text following subparagraph (C), by inserting <quote>or the United States Merchant Marine Academy</quote> after <quote>Naval Academy</quote>.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id0ba07302e083432893da6621a2611e2c"><enum>(c)</enum><header>Applicability</header><text>The amendments made by this section shall apply to—</text><paragraph commented="no" display-inline="no-display-inline" id="id15de827ac2ac480e81a8a607bcce6051"><enum>(1)</enum><text>any annuity, the eligibility for which is based on a separation occurring before, on, or after the date of enactment of this Act; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id4e4825f595704a79bf7a2e6ed2a3b547"><enum>(2)</enum><text>any period of service as a midshipman at the United States Merchant Marine Academy occurring before, on, or after the date of enactment of this Act.</text></paragraph></subsection></section><section id="idd9c0f50bf28840d99605f435a4af76ea"><enum>624.</enum><header>State maritime academies</header><subsection id="idf6ef94aeb99a4927aaf56c70ffc2c918"><enum>(a)</enum><header>In general</header><text>Not later than 1 year after the date of enactment of this Act, the Maritime Administrator shall submit a report to Congress containing the results of a study to evaluate the additional resources needed to allow State maritime academies to increase enrollment and produce additional mariners.</text></subsection><subsection id="idba74c61c5dbb42e28c03669691c4c0bd"><enum>(b)</enum><header>Need for additional State maritime academies</header><text>Such study shall consider whether there is a need for additional State maritime academies in States that do not operate a maritime academy.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id473e25b619b24f43ac2ce9bd52c2eee3"><enum>(c)</enum><header>Authorization of appropriations</header><text>Section 51501 of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block display-inline="no-display-inline" id="id511945DE7ECC44D59C6C9338F424371E"><subsection id="id4df485e5111745ee8d5cd76429c14511"><enum>(d)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated out of the Maritime Security Trust Fund established under section 50301(b) of this title, $10,000,000 for assistance to State maritime academies under subsection (a) for each of fiscal years 2026 through 2035.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id1E4639A932D74727905306270A8CD0F4"><enum>625.</enum><header>Enforcement of service obligation requirements</header><subsection id="id6d44690ba4bd48bf8423626f11897fc9"><enum>(a)</enum><header>In general</header><text>The Maritime Administrator shall ensure that—</text><paragraph id="idBCCF8BE33A5A4651BEF9DECA037D422E"><enum>(1)</enum><text>each citizen who is appointed as a cadet at the United States Merchant Marine Academy and signs a cadet commitment agreement under section 51306 of title 46, United States Code, meets the service obligation requirements of that agreement; and</text></paragraph><paragraph id="idF40346C59E08413C9FE89382DBB17514"><enum>(2)</enum><text>each individual that signs a student incentive payment agreement under section 51509 of title 46, United States Code, meets the service obligation requirements under that agreement.</text></paragraph></subsection><subsection id="id7a266578a1984963b9a30bc1a6a7c067"><enum>(b)</enum><header>Reporting requirement</header><text>The Maritime Administrator shall establish an electronic system through which each individual with a service obligation under such section 51306 or 51509 (referred to in this section as a <quote>service-obligated mariner</quote>) shall annually demonstrate that they are meeting their service obligation or have a valid deferment consistent with section 51310 of title 46, United States Code, or section 51510 of title 46, United States Code, as applicable.</text></subsection><subsection id="id55029a9b30b64393beb7d70c0b6e8f52"><enum>(c)</enum><header>Notification of violation</header><text>The Maritime Administrator shall transmit a written notice to each service-obligated mariner who fails to meet the reporting requirement of subsection (b), notifying such individual of the applicable penalties established under section 51306 of title 46, United States Code, or section 51509 of title 46, United States Code, for failure to carry out the applicable service requirements, including cost recovery.</text></subsection><subsection id="idaa47fe48239046e798577ac6b731b768"><enum>(d)</enum><header>Report to Congress</header><text>Not later than 180 days after the date of enactment of this section, and annually thereafter, the Maritime Administrator shall submit to the appropriate committees of Congress a report on the status of all service-obligated mariners, which shall include—</text><paragraph id="ida48f7617ac1543bd8ab34bbbceb64529"><enum>(1)</enum><text>information about how each service-obligated mariner is meeting their service obligation requirement, which shall be based on the results of the data collected under subsection (b);</text></paragraph><paragraph id="id64471f522bff4525b148edae74eb3c61"><enum>(2)</enum><text>the number of service-obligated mariners who have not met their service obligation and have not complied with the reporting requirement under subsection (b); and</text></paragraph><paragraph id="ida67709f344a34b2095744bd2aa4ef686"><enum>(3)</enum><text>the number of actions taken by the Maritime Administrator under sections 51306(b), 51306(d), 51306(f), and 51509(g) to recover costs from service-obligated mariners who have not demonstrated that they have met their service obligation requirements.</text></paragraph></subsection></section><section commented="no" id="ide17eccbef95042ebadbd653df1dabf1b"><enum>626.</enum><header>Fuel funding for training ships operated by State maritime academies</header><subsection commented="no" display-inline="no-display-inline" id="idd1f730b2ffb94dee9d75a10b4e2e5fcb"><enum>(a)</enum><header display-inline="yes-display-inline">Conforming Amendment</header><text>Section 51504 of title 46, United States Code, is amended by striking subsection (f) and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id6991FA721CD94ECB8310635EF851C137"><subsection commented="no" display-inline="no-display-inline" id="id3AC92EAC737E40B18556A2AD58DB7BDD"><enum>(f)</enum><header>Fuel costs</header><text>Subject to the availability of appropriations, the Secretary shall pay to each State maritime academy the costs of fuel used by a vessel provided under this section while used for training in accordance with section 51512.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="idF6529A2855254A67BBCD2F43F16E20DC"><enum>(b)</enum><header display-inline="yes-display-inline">Amendment</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/515">Chapter 515</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id0714B0FEEBC646859A63CF10C6E6301C"><section id="idcb515d56e08d47a3be939724bb121969"><enum>51512.</enum><header>Funding for training ships operated by State maritime academies</header><subsection id="idc92275694aa440adbb867cb93852eaab"><enum>(a)</enum><header>Fuel funding</header><paragraph commented="no" display-inline="no-display-inline" id="iddb6e107095c046d1958ef2587763d16b"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text>Subject to the availability of appropriations, the Secretary shall pay to each State maritime academy the costs of fuel used by a vessel that is loaned to the State maritime academy in accordance with section 51504 while used for training.</text></paragraph><paragraph id="idabb7c81ad76b42559cca4878e3cff871"><enum>(2)</enum><header>Maximum amounts</header><text>The amount of the payment to a State maritime academy under subsection (a) may not exceed $20,000,000 for each of fiscal years 2026 through 2035.</text></paragraph><paragraph id="id5da8115e0dda4c1d9a36def970235393"><enum>(3)</enum><header>Prohibition</header><text>Maritime academies that receive funding under subsection (a) may not—</text><subparagraph commented="no" display-inline="no-display-inline" id="idd9b1eec11dc04a7c9f7a4a041f081a62"><enum>(A)</enum><text display-inline="yes-display-inline">profit from charging cadets to go to sea for their licensing when using federally provided fuel; or</text></subparagraph><subparagraph id="id2af08e83bf9f464e816ef8ddc96aae29"><enum>(B)</enum><text>utilize the vessel as housing for students outside of seasonal training cruises, unless students elect voluntarily to live aboard the vessel.</text></subparagraph></paragraph><paragraph id="idfbbad1e5eb5a4d3daed3acb055f7f9e8"><enum>(4)</enum><header>Requirement</header><text>Each State maritime academy that receives fuel costs under this section shall offer billets for liaison officers from each military service during the time such vessel is provided to that State maritime academy.</text></paragraph></subsection><subsection id="idf44ae17262a9497e8db303e7096fbe1f"><enum>(b)</enum><header>Crew</header><paragraph id="id8a070d45c7694fc8bb2a0ebaf63bdb9a"><enum>(1)</enum><header>In General</header><text>Each State maritime academy shall make crew positions available on a vessel that is loaned to the State maritime academy for mariners enrolled in the United States Merchant Marine Career Retention Program established under section 52105.</text></paragraph><paragraph id="id70a2a345426e4f13adb3b9a465d18d52"><enum>(2)</enum><header>Crew funding</header><text>For each crew slot filled by a mariner enrolled in the career retention program, as provided for under paragraph (1), the Secretary shall pay the crew costs for that mariner, subject to the availability of appropriations.</text></paragraph></subsection><subsection id="ID4d58459e67df4733881d41d32f595ce9"><enum>(c)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of this title, $120,000,000 to carry out this section for each of fiscal years 2026 through 2035.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="ida9903028344e4018b79507a989a22be1"><enum>(c)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/515">chapter 515</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id5F666709D19B43B0BA5886CD486070E1"><toc><toc-entry bold="off" level="section">51512. Fuel funding for training ships operated by State maritime academies.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id8e514390254b4276a32f4c44d5afa475"><enum>627.</enum><header>State Maritime Academy Sea Term Scholarship Programs</header><subsection commented="no" display-inline="no-display-inline" id="idf5244f04a9484ca19498151fe575d17a"><enum>(a)</enum><header display-inline="yes-display-inline">In General</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/515">Chapter 515</external-xref> of title 46, United States Code, as amended by section 627, is further amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id4009385c5e8943659c50f61c719a5f6f"><section id="id646fcfe8d33742eaa29e18ab87336200"><enum>51513.</enum><header>State Maritime Academy Sea Term Scholarship Programs</header><subsection id="ida5db8c2818ce43c5aaf9e071eb1df52f"><enum>(a)</enum><header>In general</header><text>The Maritime Administrator shall work with private entities in the maritime industry to establish a scholarship program—</text><paragraph commented="no" display-inline="no-display-inline" id="id1a7014b6481f4070a6867cd6e08db85a"><enum>(1)</enum><text display-inline="yes-display-inline">for students at State maritime academies to offset expenses associated with completion of a summer sea term to receive sea-time required to earn a Coast Guard license; and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id5ed69712aa2145eab4f3e8bd1d61a0f6"><enum>(2)</enum><text display-inline="yes-display-inline">which is entirely or predominantly funded through contributions from a private entity.</text></paragraph></subsection><subsection id="idf0e671d9ba8a42e89976cf32f0a3613e"><enum>(b)</enum><header>Contributed funds</header><text>The Maritime Administrator shall enter into a cooperative agreement, or other agreement, with private entities in the maritime industry to accept funding from private entities for the purpose of establishing such a scholarship program. The cooperative agreement may include any terms considered necessary by the Maritime Administrator.</text></subsection><subsection id="idbdddeb4418d14e6dbe7c9d164e848a49"><enum>(c)</enum><header>Privileges</header><text>The Maritime Administrator may provide certain privileges to a private entity who contributes funds for a scholarship program under this section, including opportunities to provide information about employment opportunities with the private entity to students enrolled in the scholarship program.</text></subsection><subsection id="idab367e671a024f0b8eace18435225101"><enum>(d)</enum><header>Structure</header><text>In establishing a scholarship program to offset expenses associated with a summer sea term—</text><paragraph id="idf95f1f332e104a85bcc1e11054702fd0"><enum>(1)</enum><text>the Maritime Administrator may enter into an agreement with a student at a State maritime academy that has an agreement with the Secretary of Transportation under section 51505 of this title, to offset expenses associated with completion of a summer sea term; or</text></paragraph><paragraph id="idc6ef8b7fb0e74a2296c9bd9927977ab0"><enum>(2)</enum><text>the Maritime Administrator may enter into an agreement with a State maritime academy that has an agreement with the Secretary of Transportation under section 51505 of this title, to offset expenses for all students who participate in a summer sea term program.</text></paragraph></subsection><subsection id="idf337f45391434d15905ba8552133b76a"><enum>(e)</enum><header>Relationship to financial assistance programs</header><text>Recognizing the need for licensed merchant mariners, the Maritime Administrator shall encourage participants of the financial assistance programs under part C of this subtitle, to enter into agreements under this section to establish scholarship programs to offset expenses associated with summer sea term.</text></subsection><subsection id="ida2268658cbda4fdfb9e377f8924afce8"><enum>(f)</enum><header>Requirements for students</header><text>Any student who benefits from a scholarship program under this section shall enter into an agreement with the Maritime Administrator which requires the student to—</text><paragraph id="id6e60f21513994955a0a0baa7356477f2"><enum>(1)</enum><text>complete the course of instruction at the academy the individual is attending;</text></paragraph><paragraph id="idf1785e99a34c467883a4eb67d17bdd60"><enum>(2)</enum><text>obtain a merchant mariner license, without limitation as to tonnage or horsepower, from the Coast Guard as an officer in the merchant marine of the United States, accompanied by the appropriate national and international endorsements and certification required by the Coast Guard for service aboard vessels on domestic and international voyages, without limitation, within 3 months of completion of the course of instruction at the academy the individual is attending;</text></paragraph><paragraph id="idb6bdd3adc53246ffaa6d5573a7f9a6ba"><enum>(3)</enum><text>serve in a position that supports the foreign and domestic commerce and the national defense of the United States for at least 1 year after graduation from the academy—</text><subparagraph id="id3473535d00e94a3087ff6ce4f94792d2"><enum>(A)</enum><text>as a merchant marine officer on a documented vessel or a vessel owned and operated by the United States Government or by a State; or</text></subparagraph><subparagraph id="id52abdfeaa7414b709eb196562ed4627a"><enum>(B)</enum><text>as a commissioned officer on active duty in an Armed Force of the United States, as a commissioned officer in the National Oceanic and Atmospheric Administration, or in other maritime-related Federal employment which serves the national security interests of the United States, as determined by the Maritime Administrator; and</text></subparagraph></paragraph><paragraph id="id2ab17656179d48a4bcad44c78fa25785"><enum>(4)</enum><text>report to the Maritime Administrator on compliance with this subsection.</text></paragraph></subsection><subsection id="id0603b2a2d0914d7c862e5d4eded83550"><enum>(g)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of this title, $2,500,000 to carry out this section for each of fiscal years 2026 through 2035.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="id72ABD04FD5B94C698F4F9B0ABAFBAA92"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/515">chapter 515</external-xref> of title 46, United States Code, as amended by section 627, is further amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idD7C6CA9E58684C2585CBD470A714F93B"><toc><toc-entry bold="off" level="section">51513. State Maritime Academy Sea Term Scholarship Programs.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id3feb94d36a3e48d2a3bcf2a47f38d74a"><enum>628.</enum><header>Naval joint exercise involvement for training ships operated by State maritime academies</header><subsection id="id102d675ad2124e399a071b75ac7c3237"><enum>(a)</enum><header>In general</header><text>The Secretary of the Navy, in coordination with the Maritime Administrator, shall, to the extent practicable, include in national and international maritime warfare exercises not less than 1 training vessel used by a State maritime academy and maintained pursuant to section 51504 of title 46, United States Code, in order to provide an opportunity to integrate merchant mariners with naval and military operations.</text></subsection><subsection id="ida0794bbfed46438a846f994c79ee3c70"><enum>(b)</enum><header>Participants</header><text>Subject to guidance issued by the Secretary of the Navy and Maritime Administrator, an individual may participate in the exercise aboard that training ship if the individual is—</text><paragraph commented="no" display-inline="no-display-inline" id="id4dc1f3797a6a4d7aac02adcbaf5dc872"><enum>(1)</enum><text display-inline="yes-display-inline">a licensed merchant mariner; or</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idefeb90dfeb1648bf8c2b3f14d97b8aee"><enum>(2)</enum><text display-inline="yes-display-inline">a student from the United States Merchant Marine Academy, a State maritime academy, a Center of Excellence for Domestic Maritime Workforce Training and Education, or a merchant marine center established under section 147 of the Workforce Innovation and Opportunity Act (<external-xref legal-doc="usc" parsable-cite="usc/29/3197">29 U.S.C. 3197</external-xref>), as added by section 612 of this Act.</text></paragraph></subsection><subsection id="idb049888acef74f46a0cffc7b70d1f49e"><enum>(c)</enum><header>Priority</header><text>In selecting participants under subsection (b) the Administrator shall give priority to students described in paragraph (2) of subsection (b).</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id94d7cbaa92fc40ecafd09392abd3016d"><enum>(d)</enum><header>Vessels</header><text display-inline="yes-display-inline">In coordination with the Secretary of the Navy, the Maritime Administrator shall rotate training vessels to ensure that each training vessel described in subsection (a) has an equal opportunity to participate in such exercises.</text></subsection></section></subtitle><subtitle id="ide14c42b4384043939a7e785066dc15e5"><enum>D</enum><header>Maritime Credentialing Modernization</header><section id="id9b95f420907b4337bf7f58033ecbdc15"><enum>631.</enum><header>Merchant mariner credentialing modernization</header><subsection id="idcc4b68cc77774d32a999a88145bc5fbc"><enum>(a)</enum><header>Merchant mariner credentialing modernization</header><text>The Secretary of the department in which the Coast Guard is operating shall carry out necessary system and process changes to carry out the activities described in paragraphs (1) through (4).</text><paragraph id="id8B62B99495524B3AA27D982918E7B0EC"><enum>(1)</enum><header>Licensing, certification, and documentation database</header><text>Replacement of the merchant mariner licensing, certification, and documentation database such that the database allows for—</text><subparagraph id="idb01f48d346704015a9b6d1b3a2f31e5a"><enum>(A)</enum><text>the electronic submission of merchant mariner credential applications (including sea service, professional qualifications, course completion data, safety and suitability, and medical records) and course approval requests;</text></subparagraph><subparagraph id="id5b68a632aaf9482390ba57f588ec8966"><enum>(B)</enum><text>direct submission of sea service information from employers and course completion data from training providers and other stakeholders to provide data securely and directly so that documentation does not need to be submitted later by the merchant mariner; and</text></subparagraph><subparagraph id="id78987edfbc1b46049fcb59ad76885302"><enum>(C)</enum><text>the electronic processing and evaluation of information for the issuance of credentials and course approvals, including the capability for the Secretary to complete remote evaluation of the information submitted.</text></subparagraph></paragraph><paragraph id="id48c807e05d904918ae3e76831e7fe4ee"><enum>(2)</enum><header>System for data exchange</header><text>Implementation of a system that provides for the exchange of data with government agencies and industry stakeholders, which provides the Maritime Administration and other agencies, as appropriate, anonymized and aggregated data showing the following:</text><subparagraph id="id3a5a4dff6b2c49cbb25f3d047aeacffb"><enum>(A)</enum><text>The total amount of sea service for individuals with a valid merchant mariner credential.</text></subparagraph><subparagraph id="id3de770e1561c4db0bd1f8d2d687bbf44"><enum>(B)</enum><text>The number of credentialed mariners by individual rating and the capability to filter data by endorsements.</text></subparagraph><subparagraph id="idecc2caacc77d4ba696b01a042c1a5739"><enum>(C)</enum><text>Demographic information, including age, gender, ethnicity, and address or location.</text></subparagraph><subparagraph id="idbe87ec687f9d40a58ddddb18722884c7"><enum>(D)</enum><text>National Maritime Center processing times.</text></subparagraph><subparagraph id="id2d9f6c8be38646caa63f265960d082be"><enum>(E)</enum><text>The number of Coast Guard approved training providers, and, for each such training provider, the number of courses taken by individuals who have, or who are applying for, a merchant mariner credential from that training provider.</text></subparagraph></paragraph><paragraph id="id642e6b7b5572444a9b772a319c5d62b8"><enum>(3)</enum><header>Public facing portal</header><text>Implementation of a system that includes a public facing portal in the .gov domain instead of the .mil domain to accept merchant mariner applicant information, including credential applications, course completion data, and course approval requests, that complies with the requirements for cybersecurity and privacy information of electronic systems in the .gov domain.</text></paragraph><paragraph id="id21601cc90a7d4421ac468fcdacf39a2d"><enum>(4)</enum><header>Examination processes</header><text>Upgrading the examination processes for merchant mariner examinations, by—</text><subparagraph id="id04d1f418e8ac41e3926d36a30a0ad6bd"><enum>(A)</enum><text>implementing an examination regime that provides for electronic and third party administration of examinations;</text></subparagraph><subparagraph id="id374072b70d8a4c6383548448addf5ce0"><enum>(B)</enum><text>reassessing the content of tests through the development of job task analysis for all credentials; and</text></subparagraph><subparagraph id="ida5989c02b4784aa28e3fe3b40a0a09da"><enum>(C)</enum><text>implementing a robust system to analyze examination data.</text></subparagraph></paragraph></subsection><subsection id="id43bd6274265f458d8261836bf0e5285a"><enum>(b)</enum><header>Report</header><text display-inline="yes-display-inline">The Secretary of the department in which the Coast Guard is operating shall submit—</text><paragraph commented="no" display-inline="no-display-inline" id="id381e8c3dff704fcca506294ffbb2b072"><enum>(1)</enum><text display-inline="yes-display-inline">an annual report to the Committee on Commerce, Science, and Transportation, the Committee on Appropriations, and the Committee on Armed Services of the Senate, and the Committee on Transportation and Infrastructure, the Committee on Appropriations, and the Committee on Armed Services of the House of Representatives, on the progress of the system and process changes required under subsection (a); and</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="iddfd46fd0245942639e01c74aaa2f22e7"><enum>(2)</enum><text display-inline="yes-display-inline">a final report to those Committees 1 year after full operating capability of the complete system, comprised of all 4 systems required under subsection (a).</text></paragraph></subsection><subsection id="id897a4e809fca4d108dd7f3ae5fdb5ae0"><enum>(c)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated out of the Maritime Security Trust Fund, established under section 50301(b) of title 46, United States Code, to carry out this section, $20,000,000 for fiscal year 2026, to remain available until expended.</text></subsection></section><section id="idc89c85c6833142a2b7a9e71380eb5b52"><enum>632.</enum><header>Revising merchant mariner deck training requirements</header><subsection id="id15479950380f41b38ef4a8c784cd3e1e"><enum>(a)</enum><header>General definitions</header><text>Section 2101 of title 46, United States Code, is amended—</text><paragraph id="id7ddd6055fa5d48679bb2af91eb14dffc"><enum>(1)</enum><text>by redesignating paragraphs (20) through (56) as paragraphs (21) through (57), respectively; and</text></paragraph><paragraph id="id1e9bd4789c5146728aa2e7f2c7282bef"><enum>(2)</enum><text>by inserting after paragraph (19) the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id4c145561553c4747837c233a07a1ef21"><paragraph id="idd907b3fe9232460a9ab5e0fe510c2eaf"><enum>(20)</enum><text><quote>merchant mariner credential</quote> means a merchant mariner license, certificate, or document that the Secretary is authorized to issue pursuant to this title.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="id5414e8272ea24a378c19c204ee5f05d6"><enum>(b)</enum><header>Examinations</header><text>Section 7116 of title 46, United States Code, is amended by striking subsection (c).</text></subsection><subsection id="id27178cde8f304fe787f9266133e8ed5a"><enum>(c)</enum><header>Merchant mariners documents</header><paragraph id="id4734e7b53b5e4791b0f09b5254cbd055"><enum>(1)</enum><header>General requirements</header><text>Section 7306 of title 46, United States Code, is amended to read as follows:</text><quoted-block style="USC" display-inline="no-display-inline" id="idf65669dc484e469eb57d58921289c4d1"><section id="id851ba9459b57434ca0938f2b34449045"><enum>7306.</enum><header>General requirements and classifications for members of deck departments</header><subsection id="id8a1ca67fe4b7427ca2cefba4309163bd"><enum>(a)</enum><header>In general</header><text>The Secretary may issue a merchant mariner credential, to members of the deck department in the following classes:</text><paragraph id="idf4c203e941294640b8da83039402e29b"><enum>(1)</enum><text>Able Seaman-Unlimited.</text></paragraph><paragraph id="id86a29a7bc9b34e569987094711f3c45b"><enum>(2)</enum><text>Able Seaman-Limited.</text></paragraph><paragraph id="id73baf503bbc14dcca0aab672184018a6"><enum>(3)</enum><text>Able Seaman-Special.</text></paragraph><paragraph id="id294abcf41ecd48edb80410b4de0d0cec"><enum>(4)</enum><text>Able Seaman-Offshore Supply Vessels.</text></paragraph><paragraph id="idd6dba32760e8447a8860af6d4b35a51f"><enum>(5)</enum><text>Able Seaman-Sail.</text></paragraph><paragraph id="id888cc4252c6f4500aa94c6ec9e17533b"><enum>(6)</enum><text>Able Seaman-Fishing Industry.</text></paragraph><paragraph id="ide0b2fab616a046e7bf9205b49cff2269"><enum>(7)</enum><text>Ordinary Seaman.</text></paragraph></subsection><subsection id="id3d76865478e1474298347cb2ca7bb2d8"><enum>(b)</enum><header>Classification of credentials</header><text>The Secretary may classify the merchant mariner credential issued under subsection (a) based on—</text><paragraph id="id4b57c689de514654b636e19987638477"><enum>(1)</enum><text>the tonnage and means of propulsion of vessels;</text></paragraph><paragraph id="id867e9efe34b343b884ff76ef9645f26e"><enum>(2)</enum><text>the waters on which vessels are to be operated; or</text></paragraph><paragraph id="idfd4bfe1aa1844bcdad8993723d8f8f56"><enum>(3)</enum><text>other appropriate standards.</text></paragraph></subsection><subsection id="id4d7d79114b274a20953b0c3855186497"><enum>(c)</enum><header>Considerations</header><text>In issuing the credential under subsection (a), the Secretary may consider the following qualifications of the merchant mariner:</text><paragraph id="id7deeb6ec1868482a980dc2cda8a27186"><enum>(1)</enum><text>Age.</text></paragraph><paragraph id="id950aacde2f314da798140293f05e3b9a"><enum>(2)</enum><text>Character.</text></paragraph><paragraph id="id4998db2eb7fd4dd3ba46095e4afb49f0"><enum>(3)</enum><text>Habits of life.</text></paragraph><paragraph id="id850c166ac03d45789e7be2be4a3974a9"><enum>(4)</enum><text>Experience.</text></paragraph><paragraph id="id62786a5f57fe4011ba452c956c2de051"><enum>(5)</enum><text>Professional qualifications demonstrated by satisfactory completion of applicable examinations or other educational requirements.</text></paragraph><paragraph id="id778854b3175140509648d6aa79277df2"><enum>(6)</enum><text>Physical condition, including sight and hearing.</text></paragraph><paragraph id="idbc3bcaf4f94e40058f764b95b7caecfe"><enum>(7)</enum><text>Other requirements established by the Secretary, including career patterns and service appropriate to the particular service, industry, or job functions the individual is engaged.</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></paragraph><paragraph commented="no" id="idd8d1913b07304ab1a6ba5a3e7cefd52f"><enum>(2)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/73">chapter 73</external-xref> of title 46, United States Code, is amended by striking the item relating to section 7306 and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id05D1961CC0054349B31D05E068825F92"><toc><toc-entry bold="off" level="section">7306. General requirements and classifications for members of deck departments.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></paragraph><paragraph id="iddf7f7cd902f34ed5b3672fde03485b8b"><enum>(3)</enum><header>General requirements for members of engine departments</header><text>Section 7313(b) of title 46, United States Code, is amended by striking <quote>and coal passer</quote>.</text></paragraph><paragraph id="idec94f047ddb24372bd17d578a60fa482"><enum>(4)</enum><header>Training</header><text>Section 7315 of title 46, United States Code, is amended—</text><subparagraph id="idd842928c2bd449108b8b5231504dd08b"><enum>(A)</enum><text>by amending subsection (a) to read as follows:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idc7732e5a2b684cff85eda0adee980f86"><subsection id="id6445b4ebb86843fca2bfa949bcb1deca"><enum>(a)</enum><text>Graduation from a nautical school program approved by the Secretary may be substituted for the service requirements under sections 7307 through 7311a and 7314.</text></subsection><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph><subparagraph id="id3d92367330dd4f3abcf4b630234a9694"><enum>(B)</enum><text>in subsection (b)—</text><clause id="id9845fbb8638144c9b9615474df937e98"><enum>(i)</enum><text>by striking <quote>one-third</quote> and inserting <quote>one-half</quote>; and</text></clause><clause id="idc205440b81b04d05aa0610dc0c86e712"><enum>(ii)</enum><text>by striking <quote>7307–7311 of this title</quote> and inserting <quote>7307–7311a and 7314</quote>; and</text></clause></subparagraph><subparagraph id="id0831fcb5e77f4557895fdb9e38ad01c8"><enum>(C)</enum><text>by striking subsection (c).</text></subparagraph></paragraph></subsection><subsection id="idd9137a93fa724a0296155dd2cb1a1ab5"><enum>(d)</enum><header>Reduction of lengths of certain periods of service</header><paragraph commented="no" id="id13c6b28d287043aba446c7de901c8a80"><enum>(1)</enum><header>In general</header><text>Title 46, United States Code, is amended—</text><subparagraph commented="no" id="id9931fd342d914ae18512bc22fbf8545d"><enum>(A)</enum><text>in section 7307, by striking <quote>3 years</quote> and inserting <quote>18 months</quote>;</text></subparagraph><subparagraph commented="no" id="id6e6bc145fad4441387cba0e09d29e85a"><enum>(B)</enum><text>in section 7308, by striking <quote>18 months</quote> and inserting <quote>12 months</quote>; and</text></subparagraph><subparagraph commented="no" id="id8f19ec91b8a743efbdf0622875a694b1"><enum>(C)</enum><text>in section 7309, by striking <quote>12 months</quote> and inserting <quote>6 months</quote>.</text></subparagraph></paragraph><paragraph commented="no" id="id762b0cf0e4a24747a459f76822067d40"><enum>(2)</enum><header>Temporary reduction of lengths of certain periods of service</header><text>Section 3534(j) of the National Defense Authorization Act for Fiscal Year 2024 (<external-xref legal-doc="public-law" parsable-cite="pl/118/31">Public Law 118–31</external-xref>) is repealed.</text></paragraph></subsection><subsection id="id1f8316131b8044648f77c1a075058db6"><enum>(e)</enum><header>Merchant mariner credentials</header><text>Section 7510 of title 46, United States Code, is amended by striking subsection (d).</text></subsection><subsection id="id109f6a801ccf4dd49a7c37c855da683b"><enum>(f)</enum><header>Implementation</header><text>The Secretary of the department in which the Coast Guard is operating shall implement the amended requirements under subsections (c)(3), (c)(4), and (d)(1) of this section without regard to chapters 5 and 6 of title 5, United States Code, and Executive Orders 12866 and 13563 (<external-xref legal-doc="usc" parsable-cite="usc/5/601">5 U.S.C. 601</external-xref> note).</text></subsection></section><section commented="no" id="id8b4f6ceda1694366a13cc1b690434220"><enum>633.</enum><header>Inspections for transportation security</header><subsection commented="no" display-inline="no-display-inline" id="idc6e1db1b74834c20940d8eeda8da0866"><enum>(a)</enum><header display-inline="yes-display-inline">In General</header><text display-inline="yes-display-inline">Chapter 81 of part F of subtitle II of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="idea9eb260256f47d092d7ef3f476ec31d"><section id="id0deeb5da3da2437eb4185101970a0964"><enum>8109.</enum><header>Inspections for transportation security</header><subsection commented="no" display-inline="no-display-inline" id="id0d40b487cc5e4d9690b167923a91922a"><enum>(a)</enum><header display-inline="yes-display-inline">In General</header><paragraph commented="no" display-inline="no-display-inline" id="id0272a2c84ce34b8db3bc0a3ecc1b57d6"><enum>(1)</enum><header>Inspection</header><text display-inline="yes-display-inline">The Secretary shall periodically, but not less than once annually, inspect each covered facility to verify that the owner or operator of the covered facility has a valid exemption under subsection (c) of section 30 of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1356">43 U.S.C. 1356(c)</external-xref>).</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id6729f92a2d264f769722dbcded0c265d"><enum>(2)</enum><header>Covered facility</header><text>In this subsection, the term <term>covered facility</term> means a vessel, rig, platform, or other vehicle or structure that, but for an exemption under subsection (c) of section 30 of the Outer Continental Shelf Lands Act (<external-xref legal-doc="usc" parsable-cite="usc/43/1356">43 U.S.C. 1356(c)</external-xref>) would otherwise be subject to the regulations under subsection (a)(3) of such section.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idfb9c826f4bfa426c93b5f952544ae750"><enum>(b)</enum><header>Transportation security card</header><text display-inline="yes-display-inline">During an inspection under this section, the Secretary shall confirm that all crew members that are required to have a transportation worker identification credential pursuant to section 70105 have such a credential.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" id="idACDC8ED56FB34E3E8659BD1CB00F302F"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/81">chapter 81</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id5B462CCF1F4F46BE80E05852BBD6C97F"><toc><toc-entry bold="off" level="section">8109. Inspections for transportation security.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section><section id="id585e9784ec5142f88662cdb2c7bb12fd"><enum>634.</enum><header>Renewal of merchant mariner licenses and documents</header><text display-inline="no-display-inline">Section 7507 of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id420b3e43b028489f974c1f63f00c387c"><subsection id="ide62a3b7db64740d1bf671ff310431112"><enum>(d)</enum><header>Renewal</header><text>With respect to any renewal of a valid merchant mariner credential issued under this part that is not an extension under subsection (a) or (b), the validity period of such credential shall begin the day after the expiration of the current credential.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section><section id="id207007b959f5414a9075b4a0816f1fa4"><enum>635.</enum><header>Merchant seamen licenses, certificates, and documents; manning of vessels</header><subsection id="idebbdc49b91a7464583c9003e7eef517c"><enum>(a)</enum><header>Citizenship or noncitizen nationality</header><paragraph id="ida70feca6a1564f0ead72d73a955ff58d"><enum>(1)</enum><header>In general</header><text>Section 7102 of title 46, United States Code, is amended—</text><subparagraph id="idccbeff29694a477cb97540f7c5b2f830"><enum>(A)</enum><text>in the section heading, by inserting <quote><header-in-text level="section" style="USC">or noncitizen nationality</header-in-text></quote> after <quote><header-in-text level="section" style="USC">Citizenship</header-in-text></quote>; and</text></subparagraph><subparagraph id="id764803586e154950a62b11eac8a2a241"><enum>(B)</enum><text>by inserting <quote>or noncitizen nationals (as such term is described in section 308 of the Immigration and Nationality Act (<external-xref legal-doc="usc" parsable-cite="usc/8/1408">8 U.S.C. 1408</external-xref>))</quote> after <quote>citizens of the United States</quote>.</text></subparagraph></paragraph><paragraph id="id994dfb84380b461cae81faef1dbd0991"><enum>(2)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/71">chapter 71</external-xref> of title 46, United States Code, is amended by striking the item relating to section 7102 and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idF7518CA6CD9844FABB474A0E3F7ECB21"><toc><toc-entry bold="off" level="section">7102. Citizenship or noncitizen nationality.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="id3f1b27fb3b334755ab9fcf9f43dcabb5"><enum>(b)</enum><header>Citizenship or noncitizen nationality notation on merchant mariners’ documents</header><paragraph id="id5838d3d3c287478fad354d235af6b50d"><enum>(1)</enum><header>In general</header><text>Section 7304 of title 46, United States Code, is amended—</text><subparagraph id="id1f38df7a71104cb4b736240ad1ca8a6a"><enum>(A)</enum><text>in the section heading, by inserting <quote><header-in-text level="section" style="USC">or noncitizen nationality</header-in-text></quote> after <quote><header-in-text level="section" style="USC">Citizenship</header-in-text></quote>; and</text></subparagraph><subparagraph id="id60ada3e2d48b4c4ea1cd82636db5163d"><enum>(B)</enum><text>by inserting <quote>or noncitizen national (as such term is described in section 308 of the Immigration and Nationality Act (<external-xref legal-doc="usc" parsable-cite="usc/8/1408">8 U.S.C. 1408</external-xref>))</quote> after <quote>citizen of the United States</quote>.</text></subparagraph></paragraph><paragraph id="id6de7890dd0704dc9b7a524e4a31cc4e4"><enum>(2)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/73">chapter 73</external-xref> of title 46, United States Code, is amended by striking the item relating to section 7304 and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idC3927E0215274FFDBDA5D94EDC47FC04"><toc><toc-entry bold="off" level="section">7304. Citizenship or noncitizen nationality notation on merchant mariners’ documents.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="ida36b0ad17f834dc187160f2af4d64da3"><enum>(c)</enum><header>Citizenship or noncitizen nationality</header><paragraph id="id0a417d94c2ad40cf96c17622009203ad"><enum>(1)</enum><header>In general</header><text>Section 8103 of title 46, United States Code, is amended—</text><subparagraph id="iddda76abd2f074f1baad2e4edcc1bc346"><enum>(A)</enum><text>in the section heading by inserting <quote><header-in-text level="section" style="USC">or noncitizen nationality</header-in-text></quote> after <quote><header-in-text level="section" style="USC">Citizenship</header-in-text></quote>;</text></subparagraph><subparagraph id="id5d9436fe73424962863223ba928addaa"><enum>(B)</enum><text>in subsection (a), by inserting <quote>or noncitizen national</quote> after <quote>citizen of the United States</quote>;</text></subparagraph><subparagraph id="ida7361258f5ae44c385188cda733e7293"><enum>(C)</enum><text>in subsection (b)—</text><clause id="id4be4979e3481457195f587eee896a23d"><enum>(i)</enum><text>in paragraph (1)(A)(i), by inserting <quote>or noncitizen national</quote> after <quote>citizen of the United States</quote>; and</text></clause><clause id="id2b0daab05c2944e1849b26c233c6b9c6"><enum>(ii)</enum><text>in paragraph (3)—</text><subclause commented="no" display-inline="no-display-inline" id="iddb23aed030d54ab5a91868e28020ba5f"><enum>(I)</enum><text display-inline="yes-display-inline">in the matter preceding subparagraph (A), by inserting <quote>or noncitizen nationality</quote> after <quote>citizenship</quote>; and</text></subclause><subclause id="id2d7099077f88403680b28c6c0793476f"><enum>(II)</enum><text>in subparagraph (C), by inserting <quote>or noncitizen nationals</quote> after <quote>citizens of the United States</quote>;</text></subclause></clause></subparagraph><subparagraph id="id0941be073ca348369c41a21afcb571f0"><enum>(D)</enum><text>in subsection (c), by inserting <quote>or noncitizen nationals</quote> after <quote>citizens of the United States</quote>;</text></subparagraph><subparagraph id="id319b703e3921470aa4c0de2b6136e0ea"><enum>(E)</enum><text>in subsection (d)—</text><clause id="idb9dd5dc869ca45aa892f19c9e2cfc417"><enum>(i)</enum><text>in paragraph (1), by inserting <quote>or noncitizen nationals</quote> after <quote>citizens of the United States</quote>; and</text></clause><clause id="idf91ab67501844cdc9861f8e2fdb3239c"><enum>(ii)</enum><text>in paragraph (2), by inserting <quote>or noncitizen national</quote> after <quote>citizen of the United States</quote> each place it appears;</text></clause></subparagraph><subparagraph id="idf04fabc78894475088b55495b9ffd13a"><enum>(F)</enum><text>in subsection (e), in the matter preceding paragraph (1), by inserting <quote>or noncitizen national</quote> after <quote>citizen of the United States</quote> each place it appears;</text></subparagraph><subparagraph id="ide927f17f0cd246c38311ab17dcc2f705"><enum>(G)</enum><text>in subsection (i)(1)(A), by inserting <quote>or noncitizen national</quote> after <quote>citizen of the United States</quote>;</text></subparagraph><subparagraph id="id7709186162254842bdb1239d6666df5a"><enum>(H)</enum><text>in subsection (k)(1)(A), by inserting <quote>or noncitizen national</quote> after <quote>citizen of the United States</quote>; and</text></subparagraph><subparagraph id="id10def643e4364f1d80562a9fd4a567f1"><enum>(I)</enum><text>by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="id18fdea6070d04ba58eee3d2aebd0916c"><subsection id="id9b729b5aedf445eb83b322f84724038d"><enum>(l)</enum><header>Noncitizen national defined</header><text>In this section, the term <term>noncitizen national</term> means an individual described in section 308 of the Immigration and Nationality Act (<external-xref legal-doc="usc" parsable-cite="usc/8/1408">8 U.S.C. 1408</external-xref>).</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph><paragraph id="id09598817f3be43d18c19b652c64b34d1"><enum>(2)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/81">chapter 81</external-xref> of title 46, United States Code, is amended by striking the item relating to section 8103 and inserting the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idC6599433840143C5898BB57FE4C0B0EE"><toc><toc-entry bold="off" level="section">8103. Citizenship or noncitizen nationality and Navy Reserve requirements.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection><subsection id="id3b31385a6bd148ffa2b5a63820b92b2c"><enum>(d)</enum><header>Command of documented vessels</header><text>Section 12131(a) of title 46, United States Code, is amended by inserting <quote>or noncitizen national (as such term is described in section 308 of the Immigration and Nationality Act (<external-xref legal-doc="usc" parsable-cite="usc/8/1408">8 U.S.C. 1408</external-xref>))</quote> after <quote>citizen of the United States</quote>.</text></subsection><subsection commented="no" display-inline="no-display-inline" id="idc9f513bf457e4071be8909bd57ea77fc"><enum>(e)</enum><header>Invalidation of certificates of documentation</header><text>Section 12135(2) of title 46, United States Code, is amended by inserting <quote>or noncitizen national (as such term is described in section 308 of the Immigration and Nationality Act (<external-xref legal-doc="usc" parsable-cite="usc/8/1408">8 U.S.C. 1408</external-xref>))</quote> after <quote>citizen of the United States</quote>.</text></subsection></section><section id="id8d96736a13884c79b028c0ff8a4c5f57"><enum>636.</enum><header>Reactivation of expired license</header><subsection commented="no" display-inline="no-display-inline" id="id80e61ec4fa1e4240930d424821b6e2f0"><enum>(a)</enum><header display-inline="yes-display-inline">In General</header><text display-inline="yes-display-inline">Chapter 75 of subtitle II of part E, of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="USC" display-inline="no-display-inline" id="id0DEC8EF559A745F0A5E115344A7E6244" act-name=""><section id="id8200FD3C267F4CABAB727BC417D7F188"><enum>7512.</enum><header>Authority for reactivation of United States Merchant Mariner credentials</header><subsection id="idfc91f2e89b4e4c599220bb2f3a05fe58"><enum>(a)</enum><header>Licenses and certificates of registry</header><text>Notwithstanding sections 7106 and 7107, the Secretary of the department in which the Coast Guard is operating may renew for not more than 2 years an expired license or certificate of registry issued for an individual under chapter 71 if the Secretary determines that the renewal is in response to a national emergency declared by Congress or declared under section 201 of the National Emergencies Act (<external-xref legal-doc="usc" parsable-cite="usc/50/1621">50 U.S.C. 1621</external-xref>), as deemed necessary by the Secretary.</text></subsection><subsection id="idf45da4eefd2f4292b74a32fc71cadc43"><enum>(b)</enum><header>Merchant mariner documents</header><text>Notwithstanding section 7302(g), the Secretary may renew for not more than 2 years an expiring merchant mariner's document issued for an individual under chapter 73 if the Secretary determines that the renewal is in response to a national emergency proclaimed by the President or declared by Congress, as deemed necessary by the Secretary.</text></subsection><subsection id="id7d182074de1a4a70b69503eac66fed4f"><enum>(c)</enum><header>Manner of renewal</header><text>Any renewal granted under this section may be granted to individual seamen or a specifically identified group of seamen.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection><subsection commented="no" display-inline="no-display-inline" id="idA97DF74DE1314DC7AD2F005748E7B71E"><enum>(b)</enum><header>Clerical amendment</header><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/46/75">chapter 75</external-xref> of title 46, United States Code, is amended by adding at the end the following:</text><quoted-block style="OLC" display-inline="no-display-inline" id="idE436AA5FB53343A69FFF7AA17D482820"><toc><toc-entry bold="off" level="section">7512. Authority for reactivation of United States Merchant Mariner credentials.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section></subtitle>