[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1250 Reported in House (RH)]

                                                 Union Calendar No. 162

103d CONGRESS

  1st Session

                               H. R. 1250

                          [Report No. 103-307]

_______________________________________________________________________

                                 A BILL

   To amend the coastwise trade laws to clarify their application to 
                       certain passenger vessels.

_______________________________________________________________________

                            October 26, 1993

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed





                                                 Union Calendar No. 162
103d CONGRESS
  1st Session
                                H. R. 1250

   To amend the coastwise trade laws to clarify their application to 
                       certain passenger vessels.

                          [Report No. 103-307]


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 9, 1993

 Mr. Taylor of Mississippi (for himself, Mr. Studds, Mr. Lipinski, Mr. 
Fields of Texas, Mr. Bateman, and Mr. Tauzin) introduced the following 
   bill; which was referred to the Committee on Merchant Marine and 
                               Fisheries

                            October 26, 1993

Additional sponsors: Mr. Gene Green of Texas, Mr. Pastor, Mr. Dingell, 
  Mr. Parker, Mr. Hughes, Mr. Peterson of Minnesota, and Ms. Molinari

                            October 26, 1993

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
 [For text of introduced bill, see copy of bill as introduced on March 
                                9, 1993]

_______________________________________________________________________

                                 A BILL


 
   To amend the coastwise trade laws to clarify their application to 
                       certain passenger vessels.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``United States-Flag Passenger Vessel 
Act of 1993''.

SEC. 2. COASTWISE TRANSPORTATION OF PASSENGERS.

    (a) In General.--Section 8 of the Act of June 19, 1886 (46 App. 
U.S.C. 289), is amended to read as follows:

``SEC. 8. COASTWISE TRANSPORTATION OF PASSENGERS.

    ``(a) In General.--Except as otherwise provided by law, a vessel 
may transport passengers in coastwise trade only if--
            ``(1) the vessel meets the requirements of section 27 of 
        the Merchant Marine Act, 1920 and section 2 of the Shipping 
        Act, 1916 for engaging in the coastwise trade; and
            ``(2) for a vessel that is at least 5 net tons, the vessel 
        is documented under chapter 121 of title 46, United States 
        Code, with a coastwise endorsement.
    ``(b) Penalties.--
            ``(1) Civil penalty.--A person operating a vessel in 
        violation of this section is liable to the United States 
        Government for a civil penalty of $1,000 for each passenger 
        transported in violation of this section.
            ``(2) Forfeiture.--A vessel operated in knowing violation 
        of this section, and its equipment, are liable to seizure by 
        and forfeiture to the United States Government.
    ``(c) Definitions.--For purposes of this section--
            ``(1) the term `coastwise trade' includes--
                    ``(A) transportation of a passenger from a place in 
                any State or possession of the United States and 
                returning to that place, if during that transportation 
                no passenger departs from the vessel in a foreign 
                country; and
                    ``(B) transportation of a passenger between points 
                in the United States, either directly or by way of a 
                foreign port; and
            ``(2) the term `passenger' does not include a travel agent 
        on a voyage if--
                    ``(A) the purpose of the voyage is to promote 
                future trips on the vessel;
                    ``(B) money is not paid to the vessel owner or 
                charterer for the voyage; and
                    ``(C) the voyage goes beyond the territorial sea of 
                the United States.''.
    (b) Exception.--
            (1) In general.--Notwithstanding the amendment made by 
        subsection (a), an ineligible vessel may engage in transport of 
        passengers in coastwise trade (as those terms are defined in 
        that amendment) on a trade route, if--
                    (A) the vessel engaged, in the period beginning 
                January 1, 1990, and ending March 9, 1993, in transport 
                of passengers in coastwise trade on that trade route; 
                and
                    (B) within one year after the date of the enactment 
                of this Act, the owner files with the Secretary of 
                Transportation an affidavit certifying compliance with 
                subparagraph (A) and listing each trade route on which 
                the vessel engaged in transport of passengers in 
                coastwise trade in the period described in subparagraph 
                (A).
            (2) Scheduled expiration of exception.--Paragraph (1) does 
        not apply to an ineligible vessel after the later of--
                    (A) January 1, 2000,
                    (B) the date that is 15 years after the date of 
                completion of construction of the vessel, or
                    (C) the date that is 15 years after the date of 
                completion of any major conversion of the vessel that 
                is begun before the date of the enactment of this Act.
            (3) Expiration of exception for failure to recrew.--
        Paragraph (1) does not apply to an ineligible vessel after the 
        date that is 5 years after the date of the enactment of this 
        Act, unless--
                    (A) each individual employed on the vessel after 
                the one-year period beginning on the date of the 
                enactment of this Act is either a citizen of the United 
                States or an alien lawfully admitted to the United 
                States for permanent residence; and
                    (B) not more than 25 percent of the total number of 
                individuals employed on the vessel after the one-year 
                period beginning on the date of the enactment of this 
                Act are aliens lawfully admitted to the United States 
                for permanent residence.
            (4) Termination of exception upon entry of replacement.--
        Paragraph (1) does not apply to an ineligible vessel with 
        respect to a trade route after the date of the entry into 
        service on that trade route of an eligible vessel, if--
                    (A) the eligible vessel has a passenger carrying 
                capacity that is equal to at least 75 percent of the 
                passenger carrying capacity of the ineligible vessel, 
                as determined by the Secretary of the Department in 
                which the Coast Guard is operating;
                    (B) the person that is the owner or charterer of 
                the eligible vessel submits to the Secretary of 
                Transportation, by not later than 270 days before the 
                date of that entry into service--
                            (i) a notice of the intent of the person to 
                        enter into that service; and
                            (ii) such evidence as the Secretary may 
                        require that the person is offering and 
                        advertising that service;
                    (C) any individual employed on the ineligible 
                vessel after the one-year period beginning on the date 
                of the enactment of this Act--
                            (i) is not a citizen of the United States; 
                        and
                            (ii) is not an alien lawfully admitted to 
                        the United States for permanent residence; and
                    (D) more than 25 percent of the total number of 
                individuals employed on the ineligible vessel after the 
                one-year period beginning on the date of the enactment 
                of this Act are aliens lawfully admitted to the United 
                States for permanent residence.
            (5) Termination of exception upon sale of vessel.--
        Paragraph (1) does not apply to an ineligible vessel after any 
        date on which the vessel is sold after the date of the 
        enactment of this Act.
            (6) Definitions.--In this subsection--
                    (A) the term ``eligible vessel'' means a vessel 
                that is eligible under chapter 121 of title 46, United 
                States Code, for a certificate of documentation 
                authorizing the vessel to engage in coastwise trade;
                    (B) the term ``ineligible vessel'' means a vessel 
                that is not eligible under chapter 121 of title 46, 
                United States Code, for a certificate of documentation 
                authorizing the vessel to engage in coastwise trade; 
                and
                    (C) the term ``major conversion'' has the meaning 
                that term has under section 2101 of title 46, United 
                States Code.

SEC. 3. DOCUMENTATION OF VESSELS.

    (a)(1) Notwithstanding the first proviso of section 27 of the 
Merchant Marine Act, 1920 (46 App. U.S.C. 883), the Secretary of 
Transportation may issue a certificate of documentation with a 
coastwise endorsement for any of the vessels described in paragraph (2) 
if an application for that certificate is submitted to the Secretary by 
not later than 2 years after the date of the enactment of this Act.
    (2) The vessels referred to in paragraph (1)--
            (A) are vessels that engaged, in the period beginning 
        January 1, 1990, and ending March 9, 1993, in coastwise trade 
        described in section 8(c)(1)(A) of the Act of June 19, 1886, as 
        amended by section 2 of this Act, and
            (B) include the vessels EUROPA SUN (former United States 
        official number 596656), EUROPA STAR (former United States 
        official number 588270), and EMERALD PRINCESS (former United 
        States official number 530095).
    (b) Notwithstanding section 27 of the Merchant Marine Act, 1920 (46 
App. U.S.C. 883) and section 12106 of title 46, United States Code, the 
Secretary of Transportation may issue a certificate of documentation 
with a coastwise endorsement for the vessel M/V HELTON VOYAGER (Spanish 
registration lista 2A-Folio-592) if--
            (1) the person documenting the vessel entered a contract 
        before May 21, 1992, to purchase the vessel;
            (2) the vessel undergoes a major conversion (as defined in 
        section 2101 of title 46, United States Code) in a United 
        States shipyard under a contract signed before January 1, 1994;
            (3) the cost of the major conversion is more than the value 
        of the vessel before the major conversion; and
            (4) the major conversion is completed and the vessel is 
        documented under chapter 121 of title 46, United States Code, 
        with a coastwise endorsement before January 1, 1995.

SEC. 4. LIMITATION ON AUTHORITY OF STATES TO REGULATE GAMBLING DEVICES 
              ON VESSELS.

    Section 5(b)(2) of the Act of January 2, 1951 (15 U.S.C. 
1175(b)(2)), commonly referred to as the ``Johnson Act'', is amended by 
adding at the end the following:
                    ``(C) Exclusion of certain voyages and segments.--A 
                voyage or segment of a voyage is not described in 
                subparagraph (B) if it includes or consists of, 
                respectively, a segment--
                            ``(i) that begins and ends in the same 
                        State or possession of the United States;
                            ``(ii) that is part of a voyage to another 
                        State or possession of the United States or to 
                        a foreign country; and
                            ``(iii) in which the vessel reaches the 
                        other State or possession of the United States 
                        or the foreign country within 3 days after 
                        leaving the State or possession of the United 
                        States in which the segment begins.''.