[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 414 Reported in Senate (RS)]







105th CONGRESS
  1st Session
                                 S. 414

     To amend the Shipping Act of 1984 to encourage competition in 
international shipping and growth of United States imports and exports, 
                        and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 10, 1997

  Mrs. Hutchison (for herself, Mr. Lott, Mr. Breaux, and Mr. Gorton) 
introduced the following bill; which was read twice and referred to the 
           Committee on Commerce, Science, and Transportation

                            July ----, 1997

Reported by Mr. McCain, with an amendment in the nature of a substitute
 [Strike all after the enacting clause and insert the part printed in 
                                italic]

_______________________________________________________________________

                                 A BILL


 
     To amend the Shipping Act of 1984 to encourage competition in 
international shipping and growth of United States imports and exports, 
                        and for other purposes.

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

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Ocean Shipping Reform Act 
of 1997'' .</DELETED>

<DELETED>SEC. 2. EFFECTIVE DATE.</DELETED>

<DELETED>     Except as otherwise expressly provided in this Act, this 
Act and the amendments made by this Act take effect on March 1, 
1998.</DELETED>

   <DELETED>TITLE I--AMENDMENTS TO THE SHIPPING ACT OF 1984</DELETED>

<DELETED>SEC. 101. PURPOSE.</DELETED>

<DELETED>    Section 2 of the Shipping Act of 1984 (46 U.S.C. App. 
1701) is amended by--</DELETED>
        <DELETED>    (1) striking ``and'' after the semicolon in 
        paragraph (2);</DELETED>
        <DELETED>    (2) striking ``needs.'' in paragraph (3) and 
        inserting ``needs; and''; and</DELETED>
        <DELETED>    (3) adding at the end thereof the 
        following:</DELETED>
        <DELETED>    ``(4) to promote the growth and development of 
        United States exports through competitive and efficient ocean 
        transportation and by placing a greater reliance on the 
        marketplace.''.</DELETED>

<DELETED>SEC. 102. DEFINITIONS.</DELETED>

<DELETED>    (a) In General.--Section 3 of the Shipping Act of 1984 (46 
U.S.C. App. 1702) is amended by--</DELETED>
        <DELETED>    (1) striking paragraph (5) and redesignating 
        paragraph (4) as paragraph (5);</DELETED>
        <DELETED>    (2) inserting after paragraph (3) the 
        following:</DELETED>
        <DELETED>    ``(4) `Board' means the Intermodal Transportation 
        Board.'';</DELETED>
        <DELETED>    (3) striking ``the government under whose registry 
        the vessels of the carrier operate;'' in paragraph (8) and 
        inserting ``a government;'';</DELETED>
        <DELETED>    (4) striking paragraph (9) and inserting the 
        following:</DELETED>
        <DELETED>    ``(9) `deferred rebate' means a return by a common 
        carrier of any portion of freight money to a shipper as a 
        consideration for that shipper giving all, or any portion, of 
        its shipments to that or any other common carrier over a fixed 
        period of time, the payment of which is deferred beyond the 
        completion of service for which it is paid, and is made only if 
        the shipper has agreed to make a further shipment or shipments 
        with that or any other common carrier.'';</DELETED>
        <DELETED>    (5) striking ``in an unfinished or semifinished 
        state that require special handling moving in lot sizes too 
        large for a container'' in paragraph (11);</DELETED>
        <DELETED>    (6) striking ``paper board in rolls, and paper in 
        rolls.'' in paragraph (11) and inserting ``paper and paper 
        board in rolls or in pallet or skid-sized sheets.'';</DELETED>
        <DELETED>    (7) striking ``conference, other than a service 
        contract or contract based upon time-volume rates,'' in 
        paragraph (14) and inserting ``conference'';</DELETED>
        <DELETED>    (8) striking ``conference.'' in paragraph (14) and 
        inserting ``conference and the contract provides for a deferred 
        rebate arrangement.'';</DELETED>
        <DELETED>    (9) by striking ``carrier.'' in paragraph (15) and 
        inserting ``carrier, or in connection with a common carrier and 
        a water carrier subject to subchapter II of chapter 135 of 
        title 49, United States Code.''.</DELETED>
        <DELETED>    (10) striking paragraph (17) and redesignating 
        paragraphs (18) through (27) as paragraphs (17) through (26), 
        respectively;</DELETED>
        <DELETED>    (11) striking paragraph (18), as redesignated, and 
        inserting the following:</DELETED>
        <DELETED>    ``(18) `ocean freight forwarder' means a person 
        that--</DELETED>
                <DELETED>    ``(A)(i) in the United States, dispatches 
                shipments from the United States via a common carrier 
                and books or otherwise arranges space for those 
                shipments on behalf of shippers; and</DELETED>
                <DELETED>    ``(ii) processes the documentation or 
                performs related activities incident to those 
                shipments; or</DELETED>
                <DELETED>    ``(B) acts as a common carrier that does 
                not operate the vessels by which the ocean 
                transportation is provided, and is a shipper in its 
                relationship with an ocean common carrier.'';</DELETED>
        <DELETED>    (12) striking paragraph (20), as redesignated and 
        inserting the following:</DELETED>
        <DELETED>    ``(20) `service contract' means a written 
        contract, other than a bill of lading or a receipt, between one 
        or more shippers and an individual ocean common carrier or an 
        agreement between or among ocean common carriers in which the 
        shipper or shippers makes a commitment to provide a certain 
        volume or portion of cargo over a fixed time period, and the 
        ocean common carrier or the agreement commits to a certain rate 
        or rate schedule and a defined service level, such as assured 
        space, transit time, port rotation, or similar service 
        features. The contract may also specify provisions in the event 
        of nonperformance on the part of any party.'';</DELETED>
        <DELETED>    (13) striking paragraph (22), as redesignated, and 
        inserting the following:</DELETED>
        <DELETED>    ``(22) `shipper' means--</DELETED>
                <DELETED>    ``(A) a cargo owner;</DELETED>
                <DELETED>    ``(B) the person for whose account the 
                ocean transportation is provided;</DELETED>
                <DELETED>    ``(C) the person to whom delivery is to be 
                made;</DELETED>
                <DELETED>    ``(D) a shippers' association; 
                or</DELETED>
                <DELETED>    ``(E) an ocean freight forwarder, as 
                defined in paragraph (18)(B) of this section, that 
                accepts responsibility for payment of all charges 
                applicable under the tariff or service 
                contract.''.</DELETED>
<DELETED>    (b) Special Effective Date.--The amendments made by 
subsection (a) take effect on the date of enactment, except that the 
amendments made by paragraphs (1) and (2) take effect on January 1, 
1999.</DELETED>

<DELETED>SEC. 103. AGREEMENTS WITHIN THE SCOPE OF THE ACT.</DELETED>

<DELETED>    (a) Ocean Common Carriers.--Section 4(a) of the Shipping 
Act of 1984 (46 U.S.C. App. 1703(a)) is amended by--</DELETED>
        <DELETED>    (1) striking ``operators or non-vessel-operating 
        common carriers;'' in paragraph (5) and inserting 
        ``operators;'';</DELETED>
        <DELETED>    (2) striking ``and'' in paragraph (6) and 
        inserting ``or''; and</DELETED>
        <DELETED>    (3) striking paragraph (7) and inserting the 
        following:</DELETED>
        <DELETED>    ``(7) discuss and agree upon any matter related to 
        service contracts.''.</DELETED>
<DELETED>    (b) Marine Terminal Operators.--Section 4(b) of that Act 
(46 U.S.C. App. 1703(b)) is amended by--</DELETED>
        <DELETED>    (1) striking ``(to the extent the agreements 
        involve ocean transportation in the foreign commerce of the 
        United States)''; and</DELETED>
        <DELETED>    (2) striking ``arrangements.'' in paragraph (2) 
        and inserting ``arrangements, to the extent that such 
        agreements involve ocean transportation in the foreign commerce 
        of the United States.''.</DELETED>

<DELETED>SEC. 104. AGREEMENTS.</DELETED>

<DELETED>    Section 5(b) of the Shipping Act of 1984 (46 U.S.C. App. 
1704(b)) is amended by--</DELETED>
        <DELETED>    (1) striking ``and'' at the end of paragraph 
        (7);</DELETED>
        <DELETED>    (2) striking paragraph (8) and inserting the 
        following:</DELETED>
        <DELETED>    ``(8) provide that any member of the conference 
        may take independent action on any rate or service item upon 
        not more than 5 calendar days' notice to the conference and 
        that, except for exempt commodities not published in the 
        conference tariff, the conference will include the new rate or 
        service item in its tariff for use by that member, effective no 
        later than 5 calendar days after receipt of the notice, and by 
        any other member that notifies the conference that it elects to 
        adopt the independent rate or service item on or after its 
        effective date, in lieu of the existing conference tariff 
        provision for that rate or service item; and</DELETED>
        <DELETED>    ``(9) prohibit the conference from--</DELETED>
                <DELETED>    ``(A) prohibiting or restricting the 
                members of the conference from engaging in negotiations 
                for individual service contracts under section 8(c)(3) 
                of this Act with 1 or more shippers;</DELETED>
                <DELETED>    ``(B) requiring a member of the conference 
                to disclose the existence of a confidential individual 
                service contract under section 8(c)(3) of this Act, or 
                a negotiation on an individual service contract under 
                section 8(c)(3) of this Act, except when the conference 
                enters into negotiations with the same shipper; 
                and</DELETED>
                <DELETED>    ``(C) issuing mandatory rules or 
                requirements affecting individual service contracts 
                under section 8(c)(3) of this Act, except as provided 
                in subparagraph (B).</DELETED>
<DELETED>A conference may issue voluntary guidelines relating to the 
terms and procedures of individual service contracts under section 
8(c)(3) of this Act if the guidelines explicitly state the right of 
members of the conference not to follow the guidelines.''.</DELETED>

<DELETED>SEC. 105. EXEMPTION FROM ANTITRUST LAWS.</DELETED>

<DELETED>    (a) In General.--Section 7 of the Shipping Act of 1984 (46 
U.S.C. App. 1706) is amended by--</DELETED>
        <DELETED>    (1) inserting ``or publication'' in paragraph (2) 
        of subsection (a) after ``filing'';</DELETED>
        <DELETED>    (2) inserting ``Federal Maritime'' before 
        ``Commission'' in paragraph (6) of subsection (a);</DELETED>
        <DELETED>    (3) striking ``or'' at the end of subsection 
        (b)(2);</DELETED>
        <DELETED>    (4) striking ``States.'' at the end of subsection 
        (b)(3) and inserting ``States; or''; and</DELETED>
        <DELETED>    (5) adding at the end of subsection (b) the 
        following:</DELETED>
        <DELETED>    ``(4) to any loyalty contract.''.</DELETED>
<DELETED>    (b) Special Effective Date.--The amendments made by 
subsection (a) take effect on the date of enactment except the 
amendment made by paragraph (2) of subsection (a) takes effect on 
January 1, 1999.</DELETED>

<DELETED>SEC. 106. TARIFFS.</DELETED>

<DELETED>    (a) In General.--Subsection (a) of section 8 of the 
Shipping Act of 1984 (46 U.S.C. App. 1707) is amended by--</DELETED>
        <DELETED>    (1) inserting ``new assembled motor vehicles,'' 
        after ``scrap,'' in paragraph (1);</DELETED>
        <DELETED>    (2) striking ``file with the Commission, and'' in 
        paragraph (1);</DELETED>
        <DELETED>    (3) striking ``inspection,'' in paragraph (1) and 
        inserting ``inspection in an automated tariff 
        system,'';</DELETED>
        <DELETED>    (4) striking ``tariff filings'' in paragraph (1) 
        and inserting ``tariffs'';</DELETED>
        <DELETED>    (5) striking ``and'' at the end of paragraph 
        (1)(D);</DELETED>
        <DELETED>    (6) striking ``loyalty contract,'' in paragraph 
        (1)(E);</DELETED>
        <DELETED>    (7) striking ``agreement.'' in paragraph (1)(E) 
        and inserting ``agreement; and'';</DELETED>
        <DELETED>    (8) adding at the end of paragraph (1) the 
        following:</DELETED>
                <DELETED>    ``(F) include copies of any loyalty 
                contract, omitting the shipper's name.''; and</DELETED>
        <DELETED>    (9) striking paragraph (2) and inserting the 
        following:</DELETED>
        <DELETED>    ``(2) Tariffs shall be made available 
        electronically to any person, without time, quantity, or other 
        limitation, through appropriate access from remote locations, 
        and a reasonable charge may be assessed for such access. No 
        charge may be assessed a Federal agency for such 
        access.''.</DELETED>
<DELETED>    (b) Service Contracts.--Subsection (c) of that section is 
amended to read as follows:</DELETED>
<DELETED>    ``(c) Service Contracts.--</DELETED>
        <DELETED>    ``(1) In general.--An individual ocean common 
        carrier or an agreement between or among ocean common carriers 
        may enter into a service contract with one or more shippers 
        subject to the requirements of this Act. The exclusive remedy 
        for a breach of a contract entered into under this subsection 
        shall be an action in an appropriate court, unless the parties 
        otherwise agree.</DELETED>
        <DELETED>    ``(2) Agreement service contracts.--Except for 
        service contracts dealing with bulk cargo, forest products, 
        recycled metal scrap, new assembled motor vehicles, waste 
        paper, or paper waste, each contract entered into under this 
        subsection by an agreement shall be filed confidentially with 
        the Commission, and at the same time, a concise statement of 
        its essential terms shall be published and made available to 
        the general public in tariff format, and those essential terms 
        shall be available to all shippers similarly situated. The 
        essential terms shall include--</DELETED>
                <DELETED>    ``(A) the origin and destination port 
                ranges in the case of port-to-port movements, and the 
                origin and destination geographic areas in the case of 
                through intermodal movements;</DELETED>
                <DELETED>    ``(B) the commodity or commodities 
                involved;</DELETED>
                <DELETED>    ``(C) the minimum volume;</DELETED>
                <DELETED>    ``(D) the line-haul rate;</DELETED>
                <DELETED>    ``(E) the duration;</DELETED>
                <DELETED>    ``(F) service commitments; and</DELETED>
                <DELETED>    ``(G) the liquidated damages for 
                nonperformance, if any.</DELETED>
        <DELETED>    ``(3) Individual service contracts.--
        Notwithstanding subsection (a) of this section and paragraph 
        (2) of this subsection, service contracts entered into under 
        this subsection between 1 or more shippers and an individual 
        ocean common carrier--</DELETED>
                <DELETED>    ``(A) may be made on a confidential 
                basis;</DELETED>
                <DELETED>    ``(B) are not required to be filed with 
                the Commission; and</DELETED>
                <DELETED>    ``(C) shall be retained by the parties to 
                the contract for 3 years subsequent to the expiration 
                of the contract.'';</DELETED>
<DELETED>    (c) Rates.--Subsection (d) of that section is amended by--
</DELETED>
        <DELETED>    (1) striking ``30 days after filing with the 
        Commission.'' in the first sentence and inserting ``21 calendar 
        days after publication.'';</DELETED>
        <DELETED>    (2) striking ``less than 30'' in the next sentence 
        and inserting ``less than 21 calendar''; and</DELETED>
        <DELETED>    (3) striking ``publication and filing with the 
        Commission.'' in the last sentence and inserting 
        ``publication.''.</DELETED>
<DELETED>    (d) Marine Terminal Operator Schedules.--Subsection (e) of 
that section is amended to read as follows:</DELETED>
<DELETED>    ``(e) Marine Terminal Operator Schedules.--A marine 
terminal operator may make available to the public a schedule of rates, 
regulations, and practices, including limitations of liability for 
cargo loss or damage, pertaining to receiving, delivering, handling, or 
storing property at its marine terminal. Any such schedule made 
available to the public shall be enforceable as an implied contract, 
subject to section 10 of this Act, without proof of actual knowledge of 
its provisions.''.</DELETED>
<DELETED>    (e) Automated Tariff System Requirements; Form.--
Subsection (f) of that section is amended to read as follows:</DELETED>
<DELETED>    ``(f) Regulations.--The Commission shall by regulation 
prescribe the requirements for the accessibility and accuracy of 
automated tariff systems established under this section. The Commission 
may, after periodic review, prohibit the use of any automated tariff 
system that fails to meet the requirements established under this 
section. The Commission may not require a common carrier to provide a 
remote terminal for access under subsection (a)(2). The Commission 
shall by regulation prescribe the form and manner in which marine 
terminal operator schedules authorized by this section shall be 
published.''.</DELETED>

<DELETED>SEC. 107. AUTOMATED TARIFF FILING AND INFORMATION 
              SYSTEM.</DELETED>

<DELETED>    Section 502 of the High Seas Driftnet Fisheries 
Enforcement Act (46 U.S.C. App. 1707a) is repealed.</DELETED>

<DELETED>SEC. 108. CONTROLLED CARRIERS.</DELETED>

<DELETED>    Section 9 of the Shipping Act of 1984 (46 U.S.C. App. 
1708) is amended by--</DELETED>
        <DELETED>    (1) striking ``filed with the Commission'' in the 
        first sentence of subsection (a) and inserting a comma and ``or 
        charge or assess rates,'';</DELETED>
        <DELETED>    (2) striking ``or maintain'' in the first sentence 
        of subsection (a) and inserting ``maintain, or 
        enforce'';</DELETED>
        <DELETED>    (3) striking ``disapprove'' in the third sentence 
        of subsection (a) and inserting ``prohibit the publication or 
        use of''; and</DELETED>
        <DELETED>    (4) striking ``filed by a controlled carrier that 
        have been rejected, suspended, or disapproved by the 
        Commission'' in the last sentence of subsection (a) and 
        inserting ``that have been suspended or prohibited by the 
        Commission'';</DELETED>
        <DELETED>    (5) striking ``may take into account appropriate 
        factors including, but not limited to, whether--'' in 
        subsection (b) and inserting ``shall take into account whether 
        the rates or charges which have been published or assessed or 
        which would result from the pertinent classifications, rules, 
        or regulations are below a level which is fully compensatory to 
        the controlled carrier based upon that carrier's actual costs 
        or upon its constructive costs. For purposes of the preceding 
        sentence, the term `constructive costs' means the costs of 
        another carrier, other than a controlled carrier, operating 
        similar vessels and equipment in the same or a similar trade. 
        The Commission may also take into account other appropriate 
        factors, including but not limited to, whether--'';</DELETED>
        <DELETED>    (6) striking paragraph (1) of subsection (b) and 
        redesignating paragraphs (2), (3), and (4) as paragraphs (1), 
        (2), and (3), respectively;</DELETED>
        <DELETED>    (7) striking ``filed'' each place it appears in 
        subsection (b) and inserting ``published or 
        assessed'';</DELETED>
        <DELETED>    (8) striking ``filing with the Commission'' in 
        subsection (c) and inserting ``publication'';</DELETED>
        <DELETED>    (9) striking ``Disapproval.--'' in subsection (d) 
        and inserting ``Prohibition of Rates.--Within 120 days after 
        the receipt of information requested by the Commission under 
        this section, the Commission shall determine whether the rates, 
        charges, classifications, rules, or regulations of a controlled 
        carrier may be unjust and unreasonable.'' ;</DELETED>
        <DELETED>    (10) striking ``filed'' in subsection (d) and 
        inserting ``published or assessed'';</DELETED>
        <DELETED>    (11) striking ``may issue'' in subsection (d) and 
        inserting ``shall issue'';</DELETED>
        <DELETED>    (12) striking ``disapproved.'' in subsection (d) 
        and inserting ``prohibited.'';</DELETED>
        <DELETED>    (15) striking ``60'' in subsection (d) and 
        inserting ``30'';</DELETED>
        <DELETED>    (16) inserting ``controlled'' after ``affected'' 
        in subsection (d);</DELETED>
        <DELETED>    (17) striking ``file'' in subsection (d) and 
        inserting ``publish''.</DELETED>
        <DELETED>    (18) striking ``disapproval'' in subsection (e) 
        and inserting ``prohibition'';</DELETED>
        <DELETED>    (19) inserting ``or'' after the semicolon in 
        subsection (f)(1);</DELETED>
        <DELETED>    (20) striking paragraphs (2), (3), and (4) of 
        subsection (f); and</DELETED>
        <DELETED>    (21) redesignating paragraph (5) of subsection (f) 
        as paragraph (2).</DELETED>

<DELETED>SEC. 109. PROHIBITED ACTS.</DELETED>

<DELETED>    (a) Section 10(b) of the Shipping Act of 1984 (46 U.S.C. 
App. 1709(b)) is amended by--</DELETED>
        <DELETED>    (1) striking paragraphs (1) through (3);</DELETED>
        <DELETED>    (2) redesignating paragraph (4) as paragraph 
        (1);</DELETED>
        <DELETED>    (3) inserting after paragraph (1), as 
        redesignated, the following:</DELETED>
        <DELETED>    ``(2) provide service in the liner trade that--
        </DELETED>
                <DELETED>    ``(A) is not in accordance with the rates 
                contained in a tariff published or a service contract 
                entered into under section 8 of this Act unless 
                excepted or exempted under section 8(a)(1) or 16 of 
                this Act; or</DELETED>
                <DELETED>    ``(B) is under a tariff or service 
                contract which has been suspended or prohibited by the 
                Commission under section 9 or 11a of this 
                Act;'';</DELETED>
        <DELETED>    (4) redesignating paragraphs (5) through (8) as 
        paragraphs (3) through (6), respectively;</DELETED>
        <DELETED>    (5) striking paragraph (9) and redesignating 
        paragraphs (10) through (16) as paragraphs (7) through (13), 
        respectively;</DELETED>
        <DELETED>    (6) in paragraph (7), as redesignated, inserting 
        ``except for service contracts,'' before ``demand,'';</DELETED>
        <DELETED>    (7) in paragraph (9), as redesignated --</DELETED>
                <DELETED>    (A) inserting ``port, class or type of 
                shipper, ocean freight forwarder,'' after 
                ``locality,''; and</DELETED>
                <DELETED>    (B) inserting a comma and ``except for 
                service contracts,'' after ``deal or'';</DELETED>
        <DELETED>    (8) striking ``a non-vessel-operating common 
        carrier'' each place it appears in paragraphs (11) and (12), as 
        redesignated, and inserting ``an ocean freight 
        forwarder'';</DELETED>
        <DELETED>    (9) striking ``sections 8 and 23'' in paragraphs 
        (11) and (12), as redesignated, and inserting ``sections 8 and 
        19'';</DELETED>
        <DELETED>    (10) striking ``paragraph (16)'' in the matter 
        appearing after paragraph (13), as redesignated, and inserting 
        ``paragraph (13)''; and</DELETED>
        <DELETED>    (11) inserting ``the Commission,'' after ``United 
        States,'' in such matter.</DELETED>
<DELETED>    (b) Section 10(c)(5) of the Shipping Act of 1984 (46 
U.S.C. App. 1709(c)(5)) is amended by inserting ``as defined by section 
3(18)(A) of this Act,'' before ``or limit''.</DELETED>
<DELETED>    (c) Section 10(d)(3) of the Shipping Act of 1984 (46 
U.S.C. App. 1709(d)(3)) is amended by striking ``subsection (b)(11), 
(12), and (16)'' and inserting ``subsections (b)(8), (9), and 
(13)''.</DELETED>

<DELETED>SEC. 110. COMPLAINTS, INVESTIGATIONS, REPORTS, AND 
              REPARATIONS.</DELETED>

<DELETED>    Section 11(g) of the Shipping Act of 1984 (46 U.S.C. App. 
1710(g)) is amended by--</DELETED>
        <DELETED>    (1) striking ``section 10(b)(5) or (7)'' and 
        inserting ``section 10(b)(3) or (5)''; and</DELETED>
        <DELETED>    (2) striking ``section 10(b)(6)(A) or (B)'' and 
        inserting ``section 10(b)(4)(A) or (B).''.</DELETED>

<DELETED>SEC. 111. FOREIGN SHIPPING PRACTICES ACT OF 1988.</DELETED>

<DELETED>    Section 10002 of the Foreign Shipping Practices Act of 
1988 (46 U.S.C. App. 1710a) is amended by--</DELETED>
        <DELETED>    (1) by striking ``non-vessel-operating common 
        carrier,'' in paragraph (1) and inserting ``ocean freight 
        forwarder,'';</DELETED>
        <DELETED>    (2) by striking ``non-vessel-operating common 
        carrier operations,'' in paragraph (4);</DELETED>
        <DELETED>    (3) by inserting ``and service contracts'' after 
        ``tariffs'' each place it appears in subsection 
        (e)(1)(B);</DELETED>
        <DELETED>    (4) by striking ``filed with the Commission'' in 
        subsection (e)(1)(B); and</DELETED>
        <DELETED>    (5) by striking ``section 13(b)(5) of the Shipping 
        Act of 1984 (46 App. U.S.C. 1712(b)(5)'' in subsection (h) and 
        inserting ``section 13(b)(6) of the Shipping Act of 1984 (46 
        App. U.S.C. 1712(b)(6))''.</DELETED>

<DELETED>SEC. 112. SUBPOENAS AND DISCOVERY.</DELETED>

<DELETED>    Section 12(a)(2) of the Shipping Act of 1984 (46 U.S.C. 
App. 1711 (a)(2)) is amended by striking ``evidence.'' and inserting 
``evidence, including individual service contracts described in section 
8(c)(3) of this Act.''.</DELETED>

<DELETED>SEC. 113. PENALTIES.</DELETED>

<DELETED>    (a) Section 13(a) of the Shipping Act of 1984 (46 U.S.C. 
App. 1712(a)) is amended by adding at the end thereof the following: 
``The amount of any penalty imposed upon a common carrier under this 
subsection shall constitute a lien upon the vessels of the common 
carrier and any such vessel may be libeled therefor in the district 
court of the United States for the district in which it may be 
found.''.</DELETED>
<DELETED>    (b) Section 13(b) of the Shipping Act of 1984 (46 U.S.C. 
App. 1712(b)) is amended by--</DELETED>
        <DELETED>    (1) striking ``section 10(b)(1), (2), (3), (4), or 
        (8)'' in paragraph (1) and inserting ``section 10(b)(1), (2), 
        or (6)'';</DELETED>
        <DELETED>    (2) by redesignating paragraphs (4), (5), and (6) 
        as paragraphs (5), (6), and (7), respectively;</DELETED>
        <DELETED>    (3) inserting before paragraph (5), as 
        redesignated, the following:</DELETED>
        <DELETED>    ``(4) If the Commission finds, after notice and an 
        opportunity for a hearing, that a common carrier has failed to 
        supply information ordered to be produced or compelled by 
        subpoena under section 12 of this Act, the Commission may 
        request that the Secretary of the Treasury refuse or revoke any 
        clearance required for a vessel operated by that common 
        carrier. Upon request by the Commission, the Secretary of the 
        Treasury shall, with respect to the vessel concerned, refuse or 
        revoke any clearance required by section 4197 of the Revised 
        Statutes of the United States (46 U.S.C. App. 91).''; 
        and</DELETED>
        <DELETED>    (4) striking ``paragraphs (1), (2), and (3)'' in 
        paragraph (6), as redesignated, and inserting ``paragraphs (1), 
        (2), (3), and (4)''.</DELETED>
<DELETED>    (c) Section 13(f)(1) of the Shipping Act of 1984 (46 
U.S.C. App. 1712(f)(1)) is amended by striking ``or (b)(4)'' and 
inserting ``or (b)(2)''.</DELETED>

<DELETED>SEC. 114. REPORTS AND CERTIFICATES.</DELETED>

<DELETED>    Section 15 of the Shipping Act of 1984 (46 U.S.C. App. 
1714) is amended by--</DELETED>
        <DELETED>    (1) striking ``and certificates'' in the section 
        heading;</DELETED>
        <DELETED>    (2) striking ``(a) Reports.--'' in the subsection 
        heading for subsection (a); and</DELETED>
        <DELETED>    (3) striking subsection (b).</DELETED>

<DELETED>SEC. 115. EXEMPTIONS.</DELETED>

<DELETED>    Section 16 of the Shipping Act of 1984 (46 U.S.C. App. 
1715) is amended by striking ``substantially impair effective 
regulation by the Commission, be unjustly discriminatory, result in 
substantial reduction in competition, or be detrimental to commerce.'' 
and inserting ``result in substantial reduction in competition or be 
detrimental to commerce.''.</DELETED>

<DELETED>SEC. 116. AGENCY REPORTS AND ADVISORY COMMISSION.</DELETED>

<DELETED>    Section 18 of the Shipping Act of 1984 (46 U.S.C. App. 
1717) is repealed.</DELETED>

<DELETED>SEC. 117. OCEAN FREIGHT FORWARDERS.</DELETED>

<DELETED>    Section 19 of the Shipping Act of 1984 (46 U.S.C. App. 
1718) is amended by--</DELETED>
        <DELETED>    (1) striking subsection (a) and inserting the 
        following:</DELETED>
<DELETED>    ``(a) License.--No person in the United States may act as 
an ocean freight forwarder unless that person holds a license issued by 
the Commission. The Commission shall issue a forwarder's license to any 
person that the Commission determines to be qualified by experience and 
character to act as an ocean freight forwarder.'';</DELETED>
        <DELETED>    (2) redesignating subsections (b), (c), and (d) as 
        subsections (c), (d), and (e), respectively;</DELETED>
        <DELETED>    (3) inserting after subsection (a) the 
        following:</DELETED>
<DELETED>    ``(b) Financial Responsibility.--</DELETED>
        <DELETED>    ``(1) No person may act as an ocean freight 
        forwarder unless that person furnishes a bond, proof of 
        insurance, or other surety in a form and amount determined by 
        the Commission to insure financial responsibility that is 
        issued by a surety company found acceptable by the Secretary of 
        the Treasury.</DELETED>
        <DELETED>    ``(2) A bond, insurance, or other surety obtained 
        pursuant to this section--</DELETED>
                <DELETED>    ``(A) shall be available to pay any 
                judgment for damages against an ocean freight forwarder 
                arising from its transportation-related activities 
                under section 3(18) of this Act, or any order for 
                reparation issued pursuant to section 11 or 14 of this 
                Act, or any penalty assessed pursuant to section 13 of 
                this Act; and</DELETED>
                <DELETED>    ``(B) may be available to pay any claim 
                against an ocean freight forwarder arising from its 
                transportation-related activities under section 3(18) 
                of this Act that is deemed valid by the surety company 
                after providing the ocean freight forwarder the 
                opportunity to address the validity of the 
                claim.</DELETED>
        <DELETED>    ``(3) An ocean freight forwarder not domiciled in 
        the United States shall designate a resident agent in the 
        United States for receipt of service of judicial and 
        administrative process, including subpoenas.'';</DELETED>
        <DELETED>    (4) striking ``a bond in accordance with 
        subsection (a)(2)'' in subsection (c), as redesignated, and 
        inserting ``a bond, proof of insurance, or other surety in 
        accordance with subsection (b)(1)'';</DELETED>
        <DELETED>    (5) striking ``forwarder'' in paragraph (1) of 
        subsection (e) and inserting ``forwarder, as described in 
        section 3(18),'';</DELETED>
        <DELETED>    (6) striking ``license'' in paragraph (1) of 
        subsection (e) and inserting ``license, if required by 
        subsection (a),'';</DELETED>
        <DELETED>    (7) striking paragraph (3) of subsection (e), as 
        redesignated, and redesignating paragraph (4) as paragraph (3); 
        and</DELETED>
        <DELETED>    (8) adding at the end of subsection (e), as 
        redesignated, the following:</DELETED>
        <DELETED>    ``(4) No conference or group of 2 or more ocean 
        common carriers in the foreign commerce of the United States 
        that is authorized to agree upon the level of compensation paid 
to an ocean freight forwarder, as defined in section 3(18)(A) of this 
Act, may--</DELETED>
                <DELETED>    ``(A) deny to any member of the conference 
                or group the right, upon notice of not more than 5 
                calendar days, to take independent action on any level 
                of compensation paid to an ocean freight forwarder, as 
                so defined; or</DELETED>
                <DELETED>    ``(B) agree to limit the payment of 
                compensation to an ocean freight forwarder, as so 
                defined, to less than 1.25 percent of the aggregate of 
                all rates and charges which are applicable under a 
                tariff and which are assessed against the cargo on 
                which the forwarding services are 
                provided.''.</DELETED>

<DELETED>SEC. 118. CONTRACTS, AGREEMENTS, AND LICENSES UNDER PRIOR 
              SHIPPING LEGISLATION.</DELETED>

<DELETED>    Section 20 of the Shipping Act of 1984 (46 U.S.C. App. 
1719) is amended by--</DELETED>
        <DELETED>    (1) striking subsection (d) and inserting the 
        following:</DELETED>
<DELETED>    ``(d) Effects on Certain Agreements and Contracts.--All 
agreements, contracts, modifications, and exemptions previously issued, 
approved, or effective under the Shipping Act, 1916, or the Shipping 
Act of 1984 shall continue in force and effect as if issued or 
effective under this Act, as amended by the Ocean Shipping Reform Act 
of 1997, and all new agreements, contracts, and modifications to 
existing, pending, or new contracts or agreements shall be considered 
under this Act, as amended by the Ocean Shipping Reform Act of 
1997.'';</DELETED>
        <DELETED>    (2) inserting the following at the end of 
        subsection (e):</DELETED>
        <DELETED>    ``(3) The Ocean Shipping Reform Act of 1997 shall 
        not affect any suit--</DELETED>
                <DELETED>    ``(A) filed before the effective date of 
                that Act; or</DELETED>
                <DELETED>    ``(B) with respect to claims arising out 
                of conduct engaged in before the effective date of that 
                Act filed within 1 year after the effective date of 
                that Act.</DELETED>
        <DELETED>    ``(4) Regulations issued by the Federal Maritime 
        Commission shall remain in force and effect where not 
        inconsistent with this Act, as amended by the Ocean Shipping 
        Reform Act of 1997.''.</DELETED>

<DELETED>SEC. 119. SURETY FOR NON-VESSEL-OPERATING COMMON 
              CARRIERS.</DELETED>

<DELETED>    Section 23 of the Shipping Act of 1984 (46 U.S.C. App. 
1721) is repealed.</DELETED>

<DELETED>SEC. 120. REPLACEMENT OF FEDERAL MARITIME COMMISSION WITH 
              INTERMODAL TRANSPORTATION BOARD.</DELETED>

<DELETED>    (a) In General.--The Shipping Act of 1984 (46 U.S.C. App. 
1701 et seq.) is amended by--</DELETED>
        <DELETED>    (1) striking ``Federal Maritime Commission'' each 
        place it appears, except in sections 7(a)(6) and 20, and 
        inserting ``Intermodal Transportation Board'';</DELETED>
        <DELETED>    (2) striking ``Commission'' each place it appears 
        (including chapter and section headings), except in sections 
        7(a)(6) and 20, and inserting ``Board''; and</DELETED>
        <DELETED>    (3) striking ``Commission's'' each place it 
        appears and inserting ``Board's''.</DELETED>
<DELETED>    (b) Effective Date.--The amendments made by subsection (a) 
take effect on January 1, 1999.</DELETED>

   <DELETED>TITLE II--TRANSFER OF FUNCTIONS OF THE FEDERAL MARITIME 
      COMMISSION TO THE INTERMODAL TRANSPORTATION BOARD</DELETED>

<DELETED>SEC. 201. TRANSFER TO THE INTERMODAL TRANSPORTATION 
              BOARD.</DELETED>

<DELETED>    (a) Change of Name of Surface Transportation Board to 
Intermodal Transportation Board.--The ICC Termination Act of 1995 (Pub. 
L. 104-88) is amended by striking ``Surface Transportation Board'' each 
place it appears and inserting ``Intermodal Transportation 
Board''.</DELETED>
<DELETED>    (b) Functions of the Federal Maritime Commission.--All 
functions, powers and duties vested in the Federal Maritime Commission 
shall be administered by the Intermodal Transportation Board.</DELETED>
<DELETED>    (c) Regulations.--No later than January 1, 1998, the 
Federal Maritime Commission, in consultation with the Surface 
Transportation Board, shall prescribe final regulations to implement 
the changes made by this Act.</DELETED>
<DELETED>    (d) Authorization of Appropriations for Fiscal Year 
1998.--There is authorized to be appropriated to the Federal Maritime 
Commission, $15,000,000 for fiscal year 1998.</DELETED>
<DELETED>    (e) Commissioners of the Federal Maritime Commission.--
Subject to the political party restrictions of section 701(b) of title 
49, United States Code, the 2 Commissioners of the Federal Maritime 
Commission whose terms have the latest expiration dates shall become 
members of the Intermodal Transportation Board. Of the 2 members of the 
Intermodal Transportation Board first appointed under this subsection, 
the one with the first expiring term (as a member of the Federal 
Maritime Commission) shall serve for a term ending December 31, 2000, 
and the other shall serve for a term ending December 31, 2002. 
Effective January 1, 1999, the right of any Federal Maritime Commission 
commissioner other than those designated under this subsection to 
remain in office is terminated.</DELETED>
<DELETED>    (f) Membership of the Intermodal Transportation Board.--
</DELETED>
        <DELETED>    (1) Number of members.--Section 701(b)(1) of title 
        49, United States Code, is amended by--</DELETED>
                <DELETED>    (A) striking ``3 members'' and inserting 
                ``5 members''; and</DELETED>
                <DELETED>    (B) striking ``2 members'' and inserting 
                ``3 members''.</DELETED>
        <DELETED>    (2) Qualifications.--Section 701(b)(2) of title 
        49, United States Code, is amended by inserting after 
        ``sector.'' the following: ``Effective January 1, 1999, at 
        least 2 members shall be individuals with--</DELETED>
                <DELETED>    ``(A) professional standing and 
                demonstrated knowledge in the fields of maritime 
                transportation or its regulation; or</DELETED>
                <DELETED>    ``(B) professional or business experience 
                in the maritime transportation private sector, 
                including marine terminal or public port 
                operation.''.</DELETED>
<DELETED>    (g) Effective Date.--The amendments made by this section 
shall take effect on January 1, 1999, except as otherwise 
provided.</DELETED>

     <DELETED>TITLE III--AMENDMENTS TO OTHER SHIPPING AND MARITIME 
                             LAWS</DELETED>

<DELETED>SEC. 301. AMENDMENTS TO SECTION 19 OF THE MERCHANT MARINE ACT, 
              1920.</DELETED>

<DELETED>    (a) In General.--Section 19 of the Merchant Marine Act, 
1920 (46 U.S.C. App. 876) is amended by--</DELETED>
        <DELETED>    (1) striking ``Federal Maritime Commission'' each 
        place it appears and inserting ``Intermodal Transportation 
        Board'';</DELETED>
        <DELETED>    (2) inserting ``ocean freight'' after 
        ``solicitations,'' in subsection (1)(b);</DELETED>
        <DELETED>    (3) striking ``non-vessel-operating common carrier 
        operations,'' in subsection (1)(b);</DELETED>
        <DELETED>    (4) striking ``methods or practices'' and 
        inserting ``methods, pricing practices, or other practices'' in 
        subsection (1)(b);</DELETED>
        <DELETED>    (5) striking ``tariffs filed with the Commission'' 
        in subsection (9)(b) and inserting ``tariffs and service 
        contracts''; and</DELETED>
        <DELETED>    (6) striking ``Commission'' each place it appears 
        (including the heading) and inserting ``Board''.</DELETED>
<DELETED>    (b) Special Effective Date.--The amendments made by 
subsection (a) take effect on the date of enactment of this Act, except 
that the amendments made by paragraphs (1) and (6) of that subsection 
take effect on January 1, 1999.</DELETED>

<DELETED>SEC. 302. TECHNICAL CORRECTIONS.</DELETED>

<DELETED>    (a) Public Law 89-777.--The Act of November 6, 1966, 
(Public Law 89-777; 80 Stat. 1356; 46 U.S.C. App. 817 et seq.) is 
amended by--</DELETED>
        <DELETED>    (1) striking ``Federal Maritime Commission'' each 
        place it appears and inserting ``Intermodal Transportation 
        Board''; and</DELETED>
        <DELETED>    (2) striking ``Commission'' each place it appears 
        and inserting ``Board''.</DELETED>
<DELETED>    (b) Title 28, United States Code, and Cross Reference.--
</DELETED>
        <DELETED>    (1) Section 2341 of title 28, United States Code, 
        is amended by--</DELETED>
                <DELETED>    (A) striking ``Commission, the Federal 
                Maritime Commission,'' in paragraph (3)(A); 
                and</DELETED>
                <DELETED>    (B) striking ``Surface'' in paragraph 
                (3)(E) and inserting ``Intermodal''.</DELETED>
        <DELETED>    (2) Section 2342 of such title is amended by--
        </DELETED>
                <DELETED>    (A) striking paragraph (3) and inserting 
                the following:</DELETED>
        <DELETED>    ``(3) all rules, regulations, or final orders of 
        the Secretary of Transportation issued pursuant to section 2, 
        9, 37, 41, or 43 of the Shipping Act, 1916 (46 U.S.C. App. 802, 
        803, 808, 835, 839, or 841a) or pursuant to part B or C of 
        subtitle IV of title 49 (49 U.S.C. 13101 et seq. or 15101 et 
        seq.);''; and</DELETED>
                <DELETED>    (B) striking paragraph (5) and inserting 
                the following:</DELETED>
        <DELETED>    ``(5) all rules, regulations, or final orders of 
        the Intermodal Transportation Board--</DELETED>
                <DELETED>    ``(A) made reviewable by section 2321 of 
                this title; or</DELETED>
                <DELETED>    ``(B) pursuant to--</DELETED>
                        <DELETED>    ``(i) section 19 of the Merchant 
                        Marine Act, 1920 (46 U.S.C. App. 
                        876);</DELETED>
                        <DELETED>    ``(ii) section 14 or 17 of the 
                        Shipping Act of 1984 (46 U.S.C. App. 1713 or 
                        1716); or</DELETED>
                        <DELETED>    ``(iii) section 2(d) or 3(d) of 
                        the Act of November 6, 1966 (46 U.S.C. App. 
                        817d(d) or 817e(d));''.</DELETED>
<DELETED>    (c) Foreign Shipping Practices Act of 1988.--Section 
10002(i) of the Foreign Shipping Practices Act of 1988 (46 U.S.C. 
1710a(i)) is amended by striking ``2342(3)(B)'' and inserting 
``2342(5)(B)''.</DELETED>
<DELETED>    (d) Tariff Act of 1930.--Section 641(i) of the Tariff Act 
of 1930 (19 U.S.C. 1641) is repealed.</DELETED>
<DELETED>    (e) Effective Dates.--</DELETED>
        <DELETED>    (1) The amendments made by subsections (a), (b), 
        and (c) take effect January 1, 1999.</DELETED>
        <DELETED>    (2) The repeal made by subsection (d) takes effect 
        March 1, 1998.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Ocean Shipping Reform Act of 1997''.

SEC. 2. EFFECTIVE DATE.

    Except as otherwise expressly provided in this Act, this Act and 
the amendments made by this Act take effect on March 1, 1998.

            TITLE I--AMENDMENTS TO THE SHIPPING ACT OF 1984

SEC. 101. PURPOSE.

    Section 2 of the Shipping Act of 1984 (46 U.S.C. App. 1701) is 
amended by--
            (1) striking ``and'' after the semicolon in paragraph (2);
            (2) striking ``needs.'' in paragraph (3) and inserting 
        ``needs; and'';
            (3) adding at the end thereof the following:
            ``(4) to promote the growth and development of United 
        States exports through competitive and efficient ocean 
        transportation and by placing a greater reliance on the 
        marketplace.''.

SEC. 102. DEFINITIONS.

    (a) In General.--Section 3 of the Shipping Act of 1984 (46 U.S.C. 
App. 1702) is amended by--
            (1) striking paragraph (5) and redesignating paragraph (4) 
        as paragraph (5);
            (2) inserting after paragraph (3) the following:
            ``(4) `Board' means the Intermodal Transportation Board.'';
            (3) striking ``the government under whose registry the 
        vessels of the carrier operate;'' in paragraph (8) and 
        inserting ``a government;'';
            (4) striking paragraph (9) and inserting the following:
            ``(9) `deferred rebate' means a return by a common carrier 
        of any portion of freight money to a shipper as a consideration 
        for that shipper giving all, or any portion, of its shipments 
        to that or any other common carrier over a fixed period of 
        time, the payment of which is deferred beyond the completion of 
        service for which it is paid, and is made only if the shipper 
        has agreed to make a further shipment or shipments with that or 
        any other common carrier.'';
            (5) striking paragraph (10) and redesignating paragraphs 
        (11) through (27) as paragraphs (10) through (26);
            (6) striking ``in an unfinished or semifinished state that 
        require special handling moving in lot sizes too large for a 
        container,'' in paragraph (10), as redesignated;
            (7) striking ``paper board in rolls, and paper in rolls.'' 
        in paragraph (10) as redesignated and inserting ``paper and 
        paper board in rolls or in pallet or skid-sized sheets.'';
            (8) striking ``conference, other than a service contract or 
        contract based upon time-volume rates,'' in paragraph (13) as 
        redesignated and inserting ``agreement'';
            (9) striking ``conference.'' in paragraph (13) as 
        redesignated and inserting ``agreement and the contract 
        provides for a deferred rebate arrangement.'';
            (10) by striking ``carrier.'' in paragraph (14) as 
        redesignated and inserting ``carrier, or in connection with a 
        common carrier and a water carrier subject to subchapter II of 
        chapter 135 of title 49, United States Code.''.
            (11) striking paragraph (16) as redesignated and 
        redesignating paragraphs (17) through (26) as redesignated as 
        paragraphs (16) through (25), respectively;
            (12) striking paragraph (17), as redesignated, and 
        inserting the following:
            ``(17) `ocean transportation intermediary' means an ocean 
        freight forwarder or a non-vessel-operating common carrier. For 
        purposes of this paragraph, the term
                    ``(A) `ocean freight forwarder' means a person 
                that--
                            ``(i) in the United States, dispatches 
                        shipments from the United States via a common 
                        carrier and books or otherwise arranges space 
                        for those shipments on behalf of shippers; and
                            ``(ii) processes the documentation or 
                        performs related activities incident to those 
                        shipments; and
                    ``(B) `non-vessel-operating common carrier' means a 
                common carrier that does not operate the vessels by 
                which the ocean transportation is provided, and is a 
                shipper in its relationship with an ocean common 
                carrier.'';
            (13) striking paragraph (19), as redesignated and inserting 
        the following:
            ``(19) `service contract' means a written contract, other 
        than a bill of lading or a receipt, between one or more 
        shippers and an individual common carrier or an agreement 
        between or among ocean common carriers in which the shipper or 
        shippers makes a commitment to provide a certain volume or 
        portion of cargo over a fixed time period, and the common 
        carrier or the agreement commits to a certain rate or rate 
        schedule and a defined service level, such as assured space, 
        transit time, port rotation, or similar service features. The 
        contract may also specify provisions in the event of 
        nonperformance on the part of any party.'';
            (14) striking paragraph (21), as redesignated, and 
        inserting the following:
            ``(21) `shipper' means--
                    ``(A) a cargo owner;
                    ``(B) the person for whose account the ocean 
                transportation is provided;
                    ``(C) the person to whom delivery is to be made;
                    ``(D) a shippers' association; or
                    ``(E) an ocean transportation intermediary, as 
                defined in paragraph (17)(B) of this section, that 
                accepts responsibility for payment of all charges 
                applicable under the tariff or service contract.''.
    (b) Special Effective Date.--The amendments made by subsection (a) 
take effect on the date of enactment, except that the amendments made 
by paragraphs (1) and (2) take effect on January 1, 1999.

SEC. 103. AGREEMENTS WITHIN THE SCOPE OF THE ACT.

    (a) Ocean Common Carriers.--Section 4(a) of the Shipping Act of 
1984 (46 U.S.C. App. 1703(a)) is amended by--
            (1) striking ``operators or non-vessel-operating common 
        carriers;'' in paragraph (5) and inserting ``operators;''; and
            (2) striking ``and'' in paragraph (6) and inserting ``or''.
    (b) Marine Terminal Operators.--Section 4(b) of that Act (46 U.S.C. 
App. 1703(b)) is amended by--
            (1) striking ``(to the extent the agreements involve ocean 
        transportation in the foreign commerce of the United States)''; 
        and
            (2) striking ``arrangements.'' in paragraph (2) and 
        inserting ``arrangements, to the extent that such agreements 
        involve ocean transportation in the foreign commerce of the 
        United States.''.

SEC. 104. AGREEMENTS.

    (a) In General.--Section 5(b) of the Shipping Act of 1984 (46 
U.S.C. App. 1704(b)) is amended by--
            (1) striking ``and'' at the end of paragraph (7);
            (2) striking paragraph (8) and inserting the following:
            ``(8) provide that any member of the conference may take 
        independent action on any rate or service item upon not more 
        than 5 calendar days' notice to the conference and that, except 
        for exempt commodities not published in the conference tariff, 
        the conference will include the new rate or service item in its 
        tariff for use by that member, effective no later than 5 
        calendar days after receipt of the notice, and by any other 
        member that notifies the conference that it elects to adopt the 
        independent rate or service item on or after its effective 
        date, in lieu of the existing conference tariff provision for 
        that rate or service item; and
            ``(9) prohibit the agreement from--
                    ``(A) prohibiting or restricting the members of the 
                agreement from engaging in negotiations for service 
                contracts with 1 or more shippers;
                    ``(B) requiring a member of the agreement to 
                disclose a negotiation on a service contract, or the 
                terms and conditions of a service contract, other than 
                those specified by section 8(c)(3) of this Act; and
                    ``(C) issuing mandatory rules or requirements 
                affecting an agreement member's right to negotiate and 
                enter into service contracts.
An agreement may issue voluntary guidelines relating to the terms and 
procedures of agreement members' service contracts if the guidelines 
explicitly state the right of members of the agreement not to follow 
the guidelines and the guidelines are filed with the agreement.''.
    (b) Application.--Section 5(d) of that Act (46 U.S.C. App. 1704(d)) 
is amended by striking ``this Act, the Shipping Act, 1916, and the 
Intercoastal Shipping Act, 1933,'' and inserting ``this Act and the 
Shipping Act, 1916,''.

SEC. 105. EXEMPTION FROM ANTITRUST LAWS.

    (a) In General.--Section 7 of the Shipping Act of 1984 (46 U.S.C. 
App. 1706) is amended by--
            (1) inserting ``or publication'' in paragraph (2) of 
        subsection (a) after ``filing'';
            (2) inserting ``Federal Maritime'' before ``Commission'' in 
        paragraph (6) of subsection (a);
            (3) striking ``or'' at the end of subsection (b)(2);
            (4) striking ``States.'' at the end of subsection (b)(3) 
        and inserting ``States; or''; and
            (5) adding at the end of subsection (b) the following:
            ``(4) to any loyalty contract.''.
    (b) Special Effective Date.--The amendments made by subsection (a) 
take effect on the date of enactment except the amendment made by 
paragraph (2) of subsection (a) takes effect on January 1, 1999.

SEC. 106. TARIFFS.

    (a) In General.--Section 8(a) of the Shipping Act of 1984 (46 
U.S.C. App. 1707(a)) is amended by--
            (1) inserting ``new assembled motor vehicles,'' after 
        ``scrap,'' in paragraph (1);
            (2) striking ``file with the Commission, and'' in paragraph 
        (1);
            (3) striking ``inspection,'' in paragraph (1) and inserting 
        ``inspection in an automated tariff system,'';
            (4) striking ``tariff filings'' in paragraph (1) and 
        inserting ``tariffs'';
            (5) striking ``and'' at the end of paragraph (1)(D);
            (6) striking ``loyalty contract,'' in paragraph (1)(E);
            (7) striking ``agreement.'' in paragraph (1)(E) and 
        inserting ``agreement; and'';
            (8) adding at the end of paragraph (1) the following:
                    ``(F) include copies of any loyalty contract, 
                omitting the shipper's name.''; and
            (9) striking paragraph (2) and inserting the following:
            ``(2) Tariffs shall be made available electronically to any 
        person, without time, quantity, or other limitation, through 
        appropriate access from remote locations, and a reasonable 
        charge may be assessed for such access. No charge may be 
        assessed a Federal agency for such access.''.
    (b) Service Contracts.--Subsection (c) of that section is amended 
to read as follows:
    ``(c) Service Contracts.--
            ``(1) In general.--An individual common carrier or an 
        agreement between or among ocean common carriers may enter into 
        a service contract with one or more shippers subject to the 
        requirements of this Act. The exclusive remedy for a breach of 
        a contract entered into under this subsection shall be an 
        action in an appropriate court, unless the parties otherwise 
        agree. In no case may the contract dispute resolution forum be 
        affiliated with, or controlled by, any party to the contract.
            ``(2) Filing requirements.--Except for service contracts 
        dealing with bulk cargo, forest products, recycled metal scrap, 
        new assembled motor vehicles, waste paper, or paper waste, each 
        contract entered into under this subsection by an individual 
        common carrier or an agreement shall be filed confidentially 
        with the Commission. Each service contract shall include the 
        following essential terms--
                    ``(A) the origin and destination port ranges;
                    ``(B) the origin and destination geographic areas, 
                in the case of through intermodal movements;
                    ``(C) the commodity or commodities involved;
                    ``(D) the minimum volume or portion;
                    ``(E) the line-haul rate;
                    ``(F) the duration;
                    ``(G) service commitments; and
                    ``(H) the liquidated damages for nonperformance, if 
                any.
            ``(3) Publication of certain essential terms.--When a 
        service contract is filed confidentially with the Commission, a 
        concise statement of the terms described in paragraphs (2)(C), 
        (D), and (F) and the United States port range shall be 
        published and made available to the public in tariff format.
            ``(4) Disclosure of certain unpublished terms.--A party to 
        a collective-bargaining agreement may petition the Commission 
        for the disclosure of any service contract terms not required 
        to be published by paragraph (3) which that party considers to 
        be in violation of that agreement. The petition shall include 
        evidence demonstrating that
                    ``(A) a specific ocean common carrier is a party to 
                a collective-bargaining agreement with the petitioner;
                    ``(B) the ocean common carrier may be violating the 
                terms and conditions of that agreement; and
                    ``(C) the alleged violation involves the moment of 
                cargo subject to this Act.
            ``(5) Action by Commission.--The Commission, after 
        reviewing a petition under paragraph (4), the evidence provided 
        with the petition, and the filed service contracts of the 
        carrier named in the petition, may disclose to the petitioner 
        only such unpublished terms of that carrier's service contracts 
        that the Commission reasonably believes may constitute a 
        violation of the collective-bargaining agreement. The 
        Commission may not disclose any unpublished service contract 
        terms with respect to a collective-bargaining agreement term or 
        condition determined by the Commission to be in violation of 
        this Act.''.
    (c) Rates.--Subsection (d) of that section is amended by--
            (1) striking ``30 days after filing with the Commission.'' 
        in the first sentence and inserting ``30 calendar days after 
        publication.'';
            (2) inserting ``calendar'' after ``30'' in the next 
        sentence; and
            (3) striking ``publication and filing with the 
        Commission.'' in the last sentence and inserting 
        ``publication.''.
    (d) Marine Terminal Operator Schedules.--Subsection (e) of that 
section is amended to read as follows:
    ``(e) Marine Terminal Operator Schedules.--A marine terminal 
operator may make available to the public, subject to section 10(d) of 
this Act, a schedule of rates, regulations, and practices pertaining to 
receiving, delivering, handling, or storing property at its marine 
terminal. Any such schedule made available to the public shall be 
enforceable by an appropriate court as an implied contract without 
proof of actual knowledge of its provisions.''.
    (e) Automated Tariff System Requirements; Form.--Subsection (f) of 
that section is amended to read as follows:
    ``(f) Regulations.--The Commission shall by regulation prescribe 
the requirements for the accessibility and accuracy of automated tariff 
systems established under this section. The Commission may, after 
periodic review, prohibit the use of any automated tariff system that 
fails to meet the requirements established under this section. The 
Commission may not require a common carrier to provide a remote 
terminal for access under subsection (a)(2). The Commission shall by 
regulation prescribe the form and manner in which marine terminal 
operator schedules authorized by this section shall be published.''.

SEC. 107. AUTOMATED TARIFF FILING AND INFORMATION SYSTEM.

    Section 502 of the High Seas Driftnet Fisheries Enforcement Act (46 
U.S.C. App. 1707a) is repealed.

SEC. 108. CONTROLLED CARRIERS.

    Section 9 of the Shipping Act of 1984 (46 U.S.C. App. 1708) is 
amended by--
            (1) striking ``service contracts filed with the 
        Commission'' in the first sentence of subsection (a) and 
        inserting ``service contracts, or charge or assess rates,'';
            (2) striking ``or maintain'' in the first sentence of 
        subsection (a) and inserting ``maintain, or enforce'';
            (3) striking ``disapprove'' in the third sentence of 
        subsection (a) and inserting ``prohibit the publication or use 
        of''; and
            (4) striking ``filed by a controlled carrier that have been 
        rejected, suspended, or disapproved by the Commission'' in the 
        last sentence of subsection (a) and inserting ``that have been 
        suspended or prohibited by the Commission'';
            (5) striking ``may take into account appropriate factors 
        including, but not limited to, whether--'' in subsection (b) 
        and inserting ``shall take into account whether the rates or 
        charges which have been published or assessed or which would 
        result from the pertinent classifications, rules, or 
        regulations are below a level which is fully compensatory to 
        the controlled carrier based upon that carrier's actual costs 
        or upon its constructive costs. For purposes of the preceding 
        sentence, the term `constructive costs' means the costs of 
        another carrier, other than a controlled carrier, operating 
        similar vessels and equipment in the same or a similar trade. 
        The Commission may also take into account other appropriate 
        factors, including but not limited to, whether--'';
            (6) striking paragraph (1) of subsection (b) and 
        redesignating paragraphs (2), (3), and (4) as paragraphs (1), 
        (2), and (3), respectively;
            (7) striking ``filed'' in paragraph (1) as redesignated and 
        inserting ``published or assessed'';
            (8) striking ``filing with the Commission.'' in subsection 
        (c) and inserting ``publication.'';
            (9) striking ``Disapproval of Rates.--'' in subsection (d) 
        and inserting ``Prohibition of Rates.--Within 120 days after 
        the receipt of information requested by the Commission under 
        this section, the Commission shall determine whether the rates, 
        charges, classifications, rules, or regulations of a controlled 
        carrier may be unjust and unreasonable.'';
            (10) striking ``filed'' in subsection (d) and inserting 
        ``published or assessed'';
            (11) striking ``may issue'' in subsection (d) and inserting 
        ``shall issue'';
            (12) striking ``disapproved.'' in subsection (d) and 
        inserting ``prohibited.'';
            (15) striking ``60'' in subsection (d) and inserting 
        ``30'';
            (16) inserting ``controlled'' after ``affected'' in 
        subsection (d);
            (17) striking ``file'' in subsection (d) and inserting 
        ``publish''.
            (18) striking ``disapproval'' in subsection (e) and 
        inserting ``prohibition'';
            (19) inserting ``or'' after the semicolon in subsection 
        (f)(1);
            (20) striking paragraphs (2), (3), and (4) of subsection 
        (f); and
            (21) redesignating paragraph (5) of subsection (f) as 
        paragraph (2).

SEC. 109. PROHIBITED ACTS.

    (a) Section 10(b) of the Shipping Act of 1984 (46 U.S.C. App. 
1709(b)) is amended by--
            (1) striking paragraphs (1) through (3);
            (2) redesignating paragraph (4) as paragraph (1);
            (3) inserting after paragraph (1), as redesignated, the 
        following:
            ``(2) provide services, facilities, or privileges, other 
        than in accordance with the rates or terms in its tariffs or 
        service contracts in effect when the service was provided;'';
            (4) redesignating paragraphs (5) and (6) as paragraphs (3) 
        and (4), respectively;
            (5) striking ``except for service contracts,'' in paragraph 
        (4), as redesignated, and inserting ``for service pursuant to a 
        tariff,'';
            (6) striking ``rates;'' in paragraph (4), as redesignated, 
        and inserting ``rates or charges;'';
            (7) inserting ``(5) for service pursuant to a service 
        contract, engage in any unfair or unjustly discriminatory 
        practice in the matter of rates or charges with respect to any 
        location, port, class or type of shipper or ocean 
        transportation intermediary, or description of traffic;'' after 
        paragraph (4);
            (8) redesignating paragraphs (7) and (8) as paragraphs (6) 
        and (7), respectively;
            (9) striking paragraph (6) as redesignated and inserting 
        the following:
            ``(6) use a vessel in a particular trade to drive another 
        ocean common carrier out of that trade;'';
            (10) striking paragraphs (9) through (13) and inserting the 
        following:
            ``(8) for service pursuant to a tariff, give any undue or 
        unreasonable preference or advantage or impose any undue or 
        unreasonable prejudice or disadvantage;
            ``(9) for service pursuant to a service contract, give any 
        undue or unreasonable preference or advantage or impose any 
        undue or unreasonable prejudice or disadvantage with respect to 
        any location, port, class or type of shipper or ocean 
        transportation intermediary, or description of traffic;
            ``(10) unreasonably refuse to deal or negotiate;'';
            (10) redesignating paragraphs (14), (15), and (16) as 
        paragraphs (11), (12), and (13), respectively;
            (11) striking ``a non-vessel-operating common carrier'' in 
        paragraphs (11) and (12) as redesignated and inserting ``an 
        ocean transportation intermediary'';
            (12) striking ``sections 8 and 23'' in paragraphs (11) and 
        (12) as redesignated and inserting ``sections 8 and 19'';
            (13) striking ``or in which an ocean transportation 
        intermediary is listed as an affiliate'' in paragraph (11), as 
        redesignated;
            (14) striking ``Act;'' in paragraph (12), as redesignated, 
        and inserting ``Act, or with an affiliate of such ocean 
        transportation intermediary;''
            (15) striking ``paragraph (16)'' in the matter appearing 
        after paragraph (13), as redesignated, and inserting 
        ``paragraph (13)''; and
            (16) inserting ``the Commission,'' after ``United States,'' 
        in such matter.
    (b) Section 10(c)(5) of the Shipping Act of 1984 (46 U.S.C. App. 
1709(c)(5)) is amended by striking ``freight forwarder'' and inserting 
``transportation intermediary, as defined by section 3(17)(A) of this 
Act,''.
    (c) Section 10(d) of the Shipping Act of 1984 (46 U.S.C. App. 
1709(d)) is amended by--
            (1) striking ``freight forwarders,'' and inserting 
        ``transportation intermediaries,'';
            (2) striking ``freight forwarder,'' in paragraph (1) and 
        inserting ``transportation intermediary,'';
            (3) striking ``subsection (b)(11), (12), and (16)'' and 
        inserting ``subsections (b) (8), (9), (10), and (13)''; and
            (4) adding at the end thereof the following:
            ``(4) The prohibition in subsection (b)(13) of this section 
        applies to ocean transportation intermediaries as defined by 
        section 3(17)(A) of this Act.''.

SEC. 110. COMPLAINTS, INVESTIGATIONS, REPORTS, AND REPARATIONS.

    Section 11(g) of the Shipping Act of 1984 (46 U.S.C. App. 1710(g)) 
is amended by--
            (1) striking ``section 10(b)(5) or (7)'' and inserting 
        ``section 10(b)(3) or (6)''; and
            (2) striking ``section 10(b)(6)(A) or (B)'' and inserting 
        ``section 10(b)(4)(A) or (B).''.

SEC. 111. FOREIGN SHIPPING PRACTICES ACT OF 1988.

    Section 10002 of the Foreign Shipping Practices Act of 1988 (46 
U.S.C. App. 1710a) is amended by--
            (1) striking `` `non-vessel-operating common carrier', '' 
        in subsection (a)(1) and inserting `` `ocean transportation 
        intermediary', '';
            (2) striking ``forwarding and'' in subsection (a)(4);
            (3) striking ``non-vessel-operating common carrier'' in 
        subsection (a)(4) and inserting ``ocean transportation 
        intermediary services and'';
            (4) striking ``freight forwarder,'' in subsections (c)(1) 
        and (d)(1) and inserting ``transportation intermediary,'';
            (5) striking ``filed with the Commission,'' in subsection 
        (e)(1)(B) and inserting ``and service contracts,'';
            (6) inserting ``and service contracts'' after ``tariffs'' 
        the second place it appears in subsection (e)(1)(B); and
            (7) striking ``(b)(5)'' each place it appears in subsection 
        (h) and inserting ``(b)(6)''.

SEC. 112. PENALTIES.

    (a) Section 13(a) of the Shipping Act of 1984 (46 U.S.C. App. 
1712(a)) is amended by adding at the end thereof the following: ``The 
amount of any penalty imposed upon a common carrier under this 
subsection shall constitute a lien upon the vessels of the common 
carrier and any such vessel may be libeled therefore in the district 
court of the United States for the district in which it may be 
found.''.
    (b) Section 13(b) of the Shipping Act of 1984 (46 U.S.C. App. 
1712(b)) is amended by--
            (1) striking ``section 10(b)(1), (2), (3), (4), or (8)'' in 
        paragraph (1) and inserting ``section 10(b)(1), (2), or (7)'';
            (2) by redesignating paragraphs (4), (5), and (6) as 
        paragraphs (5), (6), and (7), respectively;
            (3) inserting before paragraph (5), as redesignated, the 
        following:
            ``(4) If the Commission finds, after notice and an 
        opportunity for a hearing, that a common carrier has failed to 
        supply information ordered to be produced or compelled by 
        subpoena under section 12 of this Act, the Commission may 
        request that the Secretary of the Treasury refuse or revoke any 
        clearance required for a vessel operated by that common 
        carrier. Upon request by the Commission, the Secretary of the 
        Treasury shall, with respect to the vessel concerned, refuse or 
        revoke any clearance required by section 4197 of the Revised 
        Statutes of the United States (46 U.S.C. App. 91).''; and
            (4) striking ``paragraphs (1), (2), and (3)'' in paragraph 
        (6), as redesignated, and inserting ``paragraphs (1), (2), (3), 
        and (4)''.
    (c) Section 13(f)(1) of the Shipping Act of 1984 (46 U.S.C. App. 
1712(f)(1)) is amended by--
            (1) striking ``or (b)(4)'' and inserting ``or (b)(2)''; and
            (2), striking ``(b)(1), (4)'' and inserting ``(b)(1), 
        (2)''.

SEC. 113. REPORTS AND CERTIFICATES.

    Section 15 of the Shipping Act of 1984 (46 U.S.C. App. 1714) is 
amended by--
            (1) striking ``and certificates'' in the section heading;
            (2) striking ``(a) Reports.--'' in the subsection heading 
        for subsection (a); and
            (3) striking subsection (b).

SEC. 114. EXEMPTIONS.

    Section 16 of the Shipping Act of 1984 (46 U.S.C. App. 1715) is 
amended by striking ``substantially impair effective regulation by the 
Commission, be unjustly discriminatory, result in a substantial 
reduction in competition, or be detrimental to commerce.'' and 
inserting ``result in substantial reduction in competition or be 
detrimental to commerce.''.

SEC. 115. AGENCY REPORTS AND ADVISORY COMMISSION.

    Section 18 of the Shipping Act of 1984 (46 U.S.C. App. 1717) is 
repealed.

SEC. 116. OCEAN FREIGHT FORWARDERS.

    Section 19 of the Shipping Act of 1984 (46 U.S.C. App. 1718) is 
amended by--
            (1) striking ``freight forwarders'' in the section caption 
        and inserting ``transportation intermediaries'';
            (2) striking subsection (a) and inserting the following:
    ``(a) License.--No person in the United States may act as an ocean 
transportation intermediary unless that person holds a license issued 
by the Commission. The Commission shall issue an intermediary's license 
to any person that the Commission determines to be qualified by 
experience and character to act as an ocean transportation 
intermediary.'';
            (3) redesignating subsections (b), (c), and (d) as 
        subsections (c), (d), and (e), respectively;
            (4) inserting after subsection (a) the following:
    ``(b) Financial Responsibility.--
            ``(1) No person may act as an ocean transportation 
        intermediary unless that person furnishes a bond, proof of 
        insurance, or other surety in a form and amount determined by 
        the Commission to insure financial responsibility that is 
        issued by a surety company found acceptable by the Secretary of 
        the Treasury.
            ``(2) A bond, insurance, or other surety obtained pursuant 
        to this section--
                    ``(A) shall be available to pay any judgment for 
                damages against an ocean transportation intermediary 
                arising from its transportation-related activities 
                described in section 3(17) of this Act, or any order 
                for reparation issued pursuant to section 11 or 14 of 
                this Act, or any penalty assessed pursuant to section 
                13 of this Act; and
                    ``(B) may be available to pay any claim against an 
                ocean transportation intermediary arising from its 
                transportation-related activities described in section 
                3(17) of this Act with the consent of the insured ocean 
                transportation intermediary, or when the claim is 
                deemed valid by the surety company after the ocean 
                transportation intermediary has failed to respond to 
                adequate notice to address the validity of the claim.
            ``(3) An ocean transportation intermediary not domiciled in 
        the United States shall designate a resident agent in the 
        United States for receipt of service of judicial and 
        administrative process, including subpoenas.'';
            (5) striking, each place such term appears--
                    (A) ``freight forwarder'' and inserting 
                ``transportation intermediary'';
                    (B) ``a forwarder's'' and inserting ``an 
                intermediary's'';
                    (C) ``forwarder'' and inserting ``intermediary''; 
                and
                    (D) ``forwarding'' and inserting ``intermediary'';
            (6) striking ``a bond in accordance with subsection 
        (a)(2).'' in subsection (c), as redesignated, and inserting ``a 
        bond, proof of insurance, or other surety in accordance with 
        subsection (b)(1).'';
            (7) striking ``Forwarders.--''  in the caption of 
        subsection (e), as redesignated, and inserting 
        ``Intermediaries.--'';
            (8) striking ``intermediary'' the first place it appears in 
        subsection (e)(1), as redesignated and as amended by paragraph 
        (5)(A), and inserting ``intermediary, as defined in section 
        3(17)(A) of this Act,'';
            (9) striking ``license'' in paragraph (1) of subsection 
        (e), as redesignated, and inserting ``license, if required by 
        subsection (a),'';
            (10) striking paragraph (3) of subsection (e), as 
        redesignated, and redesignating paragraph (4) as paragraph (3); 
        and
            (11) adding at the end of subsection (e), as redesignated, 
        the following:
            ``(4) No conference or group of 2 or more ocean common 
        carriers in the foreign commerce of the United States that is 
        authorized to agree upon the level of compensation paid to an 
        ocean transportation intermediary, as defined in section 
        3(17)(A) of this Act, may--
                    ``(A) deny to any member of the conference or group 
                the right, upon notice of not more than 5 calendar 
                days, to take independent action on any level of 
                compensation paid to an ocean transportation 
                intermediary, as so defined; or
                    ``(B) agree to limit the payment of compensation to 
                an ocean transportation intermediary, as so defined, to 
                less than 1.25 percent of the aggregate of all rates 
                and charges which are applicable under a tariff and 
                which are assessed against the cargo on which the 
                intermediary services are provided.''.

SEC. 117. CONTRACTS, AGREEMENTS, AND LICENSES UNDER PRIOR SHIPPING 
              LEGISLATION.

    Section 20 of the Shipping Act of 1984 (46 U.S.C. App. 1719) is 
amended by--
            (1) striking subsection (d) and inserting the following:
    ``(d) Effects on Certain Agreements and Contracts.--All agreements, 
contracts, modifications, and exemptions previously issued, approved, 
or effective under the Shipping Act, 1916, or the Shipping Act of 1984 
shall continue in force and effect as if issued or effective under this 
Act, as amended by the Ocean Shipping Reform Act of 1997, and all new 
agreements, contracts, and modifications to existing, pending, or new 
contracts or agreements shall be considered under this Act, as amended 
by the Ocean Shipping Reform Act of 1997.'';
            (2) inserting the following at the end of subsection (e):
            ``(3) The Ocean Shipping Reform Act of 1997 shall not 
        affect any suit--
                    ``(A) filed before the effective date of that Act; 
                or
                    ``(B) with respect to claims arising out of conduct 
                engaged in before the effective date of that Act filed 
                within 1 year after the effective date of that Act.
            ``(4) Regulations issued by the Federal Maritime Commission 
        shall remain in force and effect where not inconsistent with 
        this Act, as amended by the Ocean Shipping Reform Act of 
        1997.''.

SEC. 118. SURETY FOR NON-VESSEL-OPERATING COMMON CARRIERS.

    Section 23 of the Shipping Act of 1984 (46 U.S.C. App. 1721) is 
repealed.

SEC. 119. REPLACEMENT OF FEDERAL MARITIME COMMISSION WITH INTERMODAL 
              TRANSPORTATION BOARD.

    (a) In General.--The Shipping Act of 1984 (46 U.S.C. App. 1701 et 
seq.) is amended by--
            (1) striking ``Federal Maritime Commission'' each place it 
        appears, except in sections 7(a)(6) and 20, and inserting 
        ``Intermodal Transportation Board'';
            (2) striking ``Commission'' each place it appears 
        (including chapter and section headings), except in sections 
        7(a)(6) and 20, and inserting ``Board''; and
            (3) striking ``Commission's'' each place it appears and 
        inserting ``Board's''.
    (b) Effective Date.--The amendments made by subsection (a) take 
effect on January 1, 1999.

 TITLE II--TRANSFER OF FUNCTIONS OF THE FEDERAL MARITIME COMMISSION TO 
                  THE INTERMODAL TRANSPORTATION BOARD

SEC. 201. TRANSFER TO THE INTERMODAL TRANSPORTATION BOARD.

    (a) Change of Name of Surface Transportation Board to Intermodal 
Transportation Board.--The Surface Transportation Board shall be known 
as the Intermodal Transportation Board after December 31, 1998.
    (b) Transfer of Functions, Personnel, and Assets of the Federal 
Maritime Commission.--
            (1) Functions; powers; duties.--All functions, powers, and 
        duties vested in the Federal Maritime Commission are hereby 
        transferred to and shall be administered by the Intermodal 
        Transportation Board.
            (2) Transfer of Assets and Personnel.--Any personnel, 
        property, or records employed, used, held, available, or to be 
        made available in connection with a function transferred to the 
        Board under paragraph (1) shall be transferred to the Board for 
        use in connection with the function transferred, and unexpended 
        balances of appropriations, allocations, and other funds of the 
        Federal Maritime Commission shall be transferred to the Board. 
        Those unexpended balances, allocations, and other funds, 
        together with any unobligated balances from fees collected by 
        the Commission during fiscal year 1999, may be used to pay for 
        the closedown of the Commission and severance costs for 
        Commisssion personnel, regardless of whether those costs are 
        incurred at the Commission or at the Board.
    (c) Regulations.--No later than January 1, 1998, the Federal 
Maritime Commission, in consultation with the Surface Transportation 
Board, shall prescribe final regulations to implement the changes made 
by this Act.
    (d) Authorization of Appropriations for Fiscal Year 1998.--There is 
authorized to be appropriated to the Federal Maritime Commission, 
$15,000,000 for fiscal year 1998.
    (e) Commissioners of the Federal Maritime Commission.--Effective 
January 1, 1999, the right of any Federal Maritime Commission 
commissioner to remain in office is terminated.
    (f) Membership of the Intermodal Transportation Board.--
            (1) Number of members.--Section 701(b)(1) of title 49, 
        United States Code, is amended by--
                    (A) striking ``3 members,'' and inserting ``5 
                members,''; and
                    (B) striking ``2 members'' and inserting ``3 
                members''.
            (2) Initial terms.--Of the 2 additional members of the 
        Intermodal Transportation Board first appointed under section 
        701(b)(1) of title 49, United States Code, as amended by 
        paragraph (1), one shall serve for a term ending December 31, 
        2000, and the other shall serve for a term ending December 31, 
        2002.
            (3) Qualifications.--Section 701(b)(2) of title 49, United 
        States Code, is amended to read as follows:
            ``(2) At any given time, at least 3 members of the Board 
        shall be individuals with professional standing and 
        demonstrated knowledge in the fields of surface or maritime 
        transportation or their regulation, and at least 2 members 
        shall be individuals with professional or business experience 
        (including agriculture, surface or maritime transportation, or 
        marine terminal or port operation) in the private sector. At 
        any given time, at least 2 members of the Board shall be 
        individuals with professional standing and demonstrated 
        knowledge in maritime transportation or its regulation or 
        professional or business experience in maritime transportation 
        or marine terminal or port operation in the private sector, and 
        at least 2 members of the Board shall be individuals with 
        professional standing and demonstrated knowledge in surface 
        transportation or its regulation or professional or business 
        experience in agriculture or surface transportation in the 
        private sector. Neither of the 2 individuals appointed as 
        surface transportation members under the preceding sentence, 
        and neither of the 2 individuals appointed as maritime 
        transportation members under that sentence, may be members of 
        the same political party.''.

SEC. 202. SAVING PROVISIONS.

    (a) Legal Documents.--All orders, determinations, rules, 
regulations, permits, grants, loans, contracts, agreements, 
certificates, licenses, and privileges--
            (1) that have been issued, made, granted, or allowed to 
        become effective by the Federal Maritime Commission or the 
        Surface Transportation Board, any officer or employee of the 
        Surface Transportation Board that are in effect on December 31, 
        1998, (or become effective after such date pursuant to their 
        terms as in effect on such effective date), shall continue in 
        effect according to their terms until modified, terminated, 
        superseded, set aside, or revoked in accordance with law by the 
        Intermodal Transportation Board, any other authorized official, 
        a court of competent jurisdiction, or operation of law. .
    (b) Proceedings.-- The provisions of this title shall not affect 
any proceedings or any application for any license pending before the 
Federal Maritime Commission or the Surface Transportation Board at the 
time this Section takes effect, but such proceedings and applications 
shall be continued before the Intermodal Transportation Board. Orders 
shall be issued in such proceedings, appeals shall be taken therefrom, 
and payments shall be made pursuant to such orders, as if this Act had 
not been enacted; and orders issued in any such proceedings shall 
continue in effect until modified, terminated, superseded, or revoked 
by a duly authorized official, by a court of competent jurisdiction, or 
by operation of law. Nothing in this subsection shall be deemed to 
prohibit the discontinuance or modification of any such proceeding 
under the same terms and conditions and to the same extent that such 
proceeding could have been discontinued or modified if this Act had not 
been enacted.
    (c) Suits.--(1) This Act shall not affect suits commenced before 
the date of the enactment of this Act, except as provided in paragraphs 
(2) and (3). In all such suits, proceeding shall be had, appeals taken, 
and judgments rendered in the same manner and with the same effect as 
if this Act had not been enacted.
    (2) Any suit by or against the Federal Maritime Commission or the 
Surface Transportation Board begun before the effective date of this 
Act shall be continued with the Intermodal Transportation Board.
    (3) If the court in a suit described in paragraph (1) remands a 
case to the Board, subsequent proceedings related to such case shall 
proceed in accordance with applicable law and regulations as in effect 
at the time of such subsequent proceedings.
    (d) Continuance of Actions Against Officers.--No suit, action, or 
other proceeding commenced by or against any officer in his official 
capacity as an officer of the Federal Maritime Commission or the 
Surface Transportation Board shall abate by reason of the enactment of 
this Act. No cause of action by or against the Federal Maritime 
Commission or the Surface Transportation Board, or by or against any 
officer thereof in his official capacity, shall abate by reason of 
enactment of this Act.

SEC. 203. REFERENCES.

    Any reference to the Surface Transportation Board in any other 
Federal law, Executive order, rule, regulation, or delegation of 
authority, or any document of or pertaining to the Surface 
Transportation Board or an officer or employee of the Surface 
Transportation Board, is deemed to refer to the Intermodal 
Transportation Board, or a member or employee of the Board, as 
appropriate.

SEC. 204. EFFECTIVE DATE.

    This title, and the amendments made by this section shall take 
effect on January 1, 1999, except as otherwise provided.

        Subtitle B--Conforming Amendments to United States Code

SEC. 221. TITLE 5 AMENDMENTS.

    (a) Compensation for Positions at Level III.--Section 5314 of title 
5, United States Code, is amended by striking ``Chairman, Surface 
Transportation Board.'' and inserting in lieu thereof ``Chairman, 
Intermodal Transportation Board.''.
    (b) Compensation for Positions at Level IV.--Section 5315 of title 
5, United States Code, is amended by striking ``Members, Surface 
Transportation Board.'' and inserting in lieu thereof ``Members, 
Intermodal Transportation Board.''.

SEC. 222. TITLE 11 AMENDMENTS.

    Subchapter IV of chapter 11 of title 11, United States Code, is 
amended--
            (1) by striking section 1162 and inserting in lieu thereof 
        the following:

``SEC. 1162. DEFINITION

    ``In this subchapter, `Board' means the `Intermodal Transportation 
Board'.''; and
            (2) by striking ``Commission'' each place it appears and 
        inserting in lieu thereof ``Board''.

SEC. 223. TITLE 18 AMENDMENT.

    Section 6001(1) of title 18, United States Code, is amended by 
striking ``Surface Transportation Board'' and inserting in lieu thereof 
``Intermodal Transportation Board''.

SEC. 224. INTERNAL REVENUE CODE OF 1986 AMENDMENTS.

    (a) Section 3231.--Section 3231(a) of the Internal Revenue Code of 
1986 is amended by striking ``Surface Transportation Board'' and 
inserting in lieu thereof ``Intermodal Transportation Board''.
    (b) Section 7701.--Section 7701(a)(33)(c)(i) of such Code is 
amended by striking ``Surface Transportation Board'' and inserting in 
lieu thereof ``Intermodal Transportation Board''.

SEC. 225. TITLE 28 AMENDMENTS.

    (a) Chapter 85.--Chapter 85 of title 28, United States Code, is 
amended--
            (1) in the section heading to section 1336 by striking 
        ``Surface Transportation Board's'' and inserting in lieu 
        thereof ``Intermodal Transportation Board's'';
            (2) in section 1336 by striking ``Surface Transportation 
        Board'' each place it appears and inserting in lieu thereof 
        ``Intermodal Transportation Board'';
            (4) in the item relating to section 1336 of the table of 
        sections by striking ``Surface Transportation Board's'' and 
        inserting in lieu thereof ``Intermodal Transportation 
        Board's''.
    (b) Chapter 157 Amendments.--
            (1) In general.-- Chapter 157 of such title is amended--
                    (A) by striking ``SURFACE TRANSPORTATION BOARD'' in 
                the chapter heading and inserting in lieu thereof 
                ``INTERMODAL TRANSPORTATION BOARD''; and
                    (B) by striking ``Surface Transportation Board'' 
                each place it appears and inserting in lieu thereof 
                ``Intermodal Transportation Board''.
            (2) Table of chapters.-- The item relating to chapter 157 
        in the table of chapters of such title is amended by striking 
        ``Surface Transportation Board'' and inserting in lieu thereof 
        ``Intermodal Transportation Board''.
    (c) Chapter 158 Amendments.--

SEC. 226. TITLE 31 AMENDMENTS.

    Section 3726(b)(2) of title 31, United States Code, is amended by 
striking ``Surface'' and inserting ``Intermodal''.

SEC. 227. TITLE 39 AMENDMENTS.

    Title 39, United States Code, is amended--
            (1) in section 5005(b)(3) by striking ``Surface 
        Transportation Board'' and inserting in lieu thereof 
        ``Intermodal Transportation Board'';
            (2) in section 5201(1) by striking ``Surface'' and 
        inserting ``Intermodal''
            (3) in the section heading to section 5207 by striking 
        ``Surface Transportation Board'' and inserting in lieu thereof 
        ``Intermodal Transportation Board; and
            (4) in the item relating to section 5207 of the table of 
        sections of chapter 52, by striking ``Surface Transportation 
        Board'' and inserting in lieu thereof ``Intermodal 
        Transportation Board''.

SEC. 228. TITLE 49 AMENDMENTS.

    (a) Chapter 7.--Chapter 7 of title 49, United States Code, is 
amended by striking ``Surface Transportation Board'' each place it 
appears, and inserting ``Intermodal Transportation Board''.
    (b) Chapter 221.--Chapter 221 of such title is amended--
                    (1) in section 22101(a)(1) by striking ``Surface 
                Transportation Board'' and inserting in lieu thereof 
                ``Intermodal Transportation Board'';
                    (2) in section 22103(b)(1) by striking ``Surface 
                Transportation Board'' and inserting in lieu thereof 
                ``Intermodal Transportation Board'';
                    (3) in section 22107(c) by striking ``Surface 
                Transportation Board'' and inserting in lieu thereof 
                ``Intermodal Transportation Board''.
                    (c) Section 24301.--Section 24301(c)(2)(B) of such 
                title is amended by striking ``Surface'' and inserting 
                ``Intermodal''.
                    (d) Subtitle IV of such title is amended by 
                striking ``Surface Transportation Board'' each place it 
                appears and inserting ``Intermodal Transportation 
                Board''.

                      Subtitle C--Other Amendments

SEC. 241. AGRICULTURAL ADJUSTMENT ACT OF 1938 AMENDMENTS.

    Section 201 of the Agricultural Adjustment Act of 1938 (7 U.S.C. 
1291) is amended by striking ``Surface Transportation Board'' each 
place it appears and inserting in lieu thereof ``Intermodal 
Transportation Board''.

SEC. 242. ANIMAL WELFARE ACT AMENDMENT.

    Section 15(a) of the Animal Welfare Act (7 U.S.C. 6145(a)) is 
amended by striking ``Surface Transportation Board'' and inserting in 
lieu thereof ``Intermodal Transportation Board''.

SEC. 243. FEDERAL ELECTION CAMPAIGN ACT OF 1971 AMENDMENTS.

    Section 401 of the Federal Election Campaign Act of 1971 is amended 
by striking ``Surface'' and inserting ``Intermodal''.

SEC. 244. FAIR CREDIT REPORTING ACT AMENDMENT.

    Section 621(b)(4) of the Fair Credit Reporting Act (15 U.S.C. 
1681s(b)(4)) is amended by striking ``Surface'' and inserting 
``Intermodal.''

SEC. 245. EQUAL CREDIT OPPORTUNITY ACT AMENDMENT.

    Section 704(a)(4) of the Equal Credit Opportunity Act (15 U.S.C. 
1691c(a)(4)) is amended by striking ``Surface'' and inserting 
``Intermodal''

SEC. 246. FAIR DEBT COLLECTION PRACTICES ACT AMENDMENT.

    Section 814(b)(4) of the Fair Debt Collection Practices Act (15 
U.S.C. 1692l(b)(4)) is amended by striking ``Surface'' and inserting 
``Intermodal''.

SEC. 247. NATIONAL TRAILS SYSTEM ACT AMENDMENTS.

    Sections 8(d) and 9(b) of the National Trails System Act are each 
amended by striking ``Surface'' and inserting ``Intermodal''

SEC. 248. CLAYTON ACT AMENDMENTS.

    Sections 7, 11(a), and 16 of the Clayton Act (15 U.S.C. 18, 2l(a), 
and (22)) is amended

SEC. 249. ENERGY POLICY ACT OF 1992 AMENDMENTS.

    Subsections (a) and (d) of section 1340 of the Energy Policy Act of 
1992 (42 U.S.C. 13369 (a) and (d)) are each amended by striking 
``Interstate Commerce Commission'' and inserting in lieu thereof 
``Intermodal Transportation Board''.

SEC. 250. ADDITIONAL MERCHANT MARINE ACT, 1920, AMENDMENTS.

    Sections 8 and 28 of Merchant Marine Act, 1920 (46 U.S.C. App. 867 
and 883-1) are each amended by striking ``Surface'' and inserting 
``Intermodal''.

SEC. 251. RAILWAY LABOR ACT AMENDMENTS.

    The first and fifth paragraphs of section 1 of the Railway Labor 
Act (45 U.S.C. 151) are each amended by striking ``Surface'' and 
inserting ``Intermodal''.

SEC. 252. RAILROAD RETIREMENT ACT OF 1974 AMENDMENTS.

    Subsections (a)(1)(i), (a)(2)(ii), and (o) of section 1 of the 
Railroad Retirement Act of 1974 (45 U.S.C. 231) are each amended by 
striking ``Surface'' and inserting ``Intermodal''.

SEC. 253. RAILROAD UNEMPLOYMENT INSURANCE ACT AMENDMENTS.

    Sections 1(a), a(b), and 2(h)(3) of the Railroad Unemployment 
Insurance Act (45 U.S.C. 351(a), 351(b), and 352(h)(3) are each amended 
by striking ``Surface'' and inserting ``Intermodal''.

SEC. 254. EMERGENCY RAIL SERVICES ACT OF 1970 AMENDMENTS.

    Section 2(2) of the Emergency Rail Services Act of 1970 (45 U.S.C. 
661(2)) is amended by striking ``Surface'' and inserting 
``Intermodal''.

SEC. 255. REGIONAL RAIL REORGANIZATION ACT OF 1973 AMENDMENTS.

    Section 713 of the Regional Rail Reorganization Act of 1973 is 
amended by striking ``Surface'' and inserting ``Intermodal''.

       TITLE III--AMENDMENTS TO OTHER SHIPPING AND MARITIME LAWS

SEC. 301. AMENDMENTS TO SECTION 19 OF THE MERCHANT MARINE ACT, 1920.

    (a) In General.--Section 19 of the Merchant Marine Act, 1920 (46 
U.S.C. App. 876) is amended by--
            (1) striking ``Federal Maritime Commission'' each place it 
        appears and inserting ``Intermodal Transportation Board'';
            (2) striking ``forwarding and'' in subsection (1)(b);
            (3) striking ``non-vessel-operating common carrier 
        operations,'' in subsection (1)(b) and inserting ``ocean 
        transportation intermediary services and operations,'';
            (4) striking ``methods or practices'' and inserting 
        ``methods, pricing practices, or other practices'' in 
        subsection (1)(b);
            (5) striking ``tariffs of a common carrier'' in subsection 
        7(d) and inserting ``tariffs and service contracts of a common 
        carrier'';
            (6) striking ``use the tariffs of conferences'' in 
        subsections (7)(d) and (9)(b) and inserting ``use tariffs of 
        conferences and service contracts of agreements'';
            (7) striking ``tariffs filed with the Commission'' in 
        subsection (9)(b) and inserting ``tariffs and service 
        contracts''; and
            (8) striking ``freight forwarder,'' each place it appears 
        and inserting ``transportation intermediary,'';
            (9) striking ``tariff'' each place it appears in subsection 
        (11) and inserting ``tariff or service contract''; and
            (10) striking ``Commission'' each place it appears 
        (including the heading) and inserting ``Board''.
    (b) Stylistic Conformity.--Section 19 of the Merchant Marine Act, 
1920 (46 U.S.C. App. 876), as amended by subsection (a), is further 
amended by--
            (1) redesignating subdivisions (1) through (12) as 
        subsections (a) through (l), respectively;
            (2) redesignating subdivisions (a), (b), and (c) of 
        subsection (a), as redesignated, as paragraphs (1), (2), and 
        (3);
            (3) redesignating subdivisions (a) through (d) of 
        subsection (f), as redesignated, as paragraphs (1) through (4), 
        respectively;
            (4) redesignating subdivisions (a) through (e) of 
        subsection (g), as redesignated, as paragraphs (1) through (5), 
        respectively;
            (5) redesignating clauses (i) and (ii) of subsection 
        (g)(4), as redesignated, as subparagraphs (A) and (B), 
        respectively;
            (6) redesignating subdivisions (a) through (e) of 
        subsection (i), as redesignated, as paragraphs (1) through (5), 
        respectively;
            (7) redesignating subdivisions (a) and (b) of subsection 
        (j), as redesignated, as paragraphs (1) and (2), respectively;
            (8) striking ``subdivision (c) of paragraph (1)'' in 
        subsection (c), as redesignated, and inserting ``subsection 
        (a)(3)'';
            (9) striking ``paragraph (2)'' in subsection (c), as 
        redesignated, and inserting ``subsection (b)'';
             striking ``paragraph (1)(b)'' each place it appears and 
        inserting ``subsection (a)(2)'';
            (10) striking ``subdivision (b),'' in subsection (g)(4), as 
        redesignated, and inserting ``paragraph (2),'';
            (11) striking ``paragraph (9)(d)'' in subsection (j)(1), as 
        redesignated, and inserting ``subsection (i)(4)''; and
            (12) striking ``paragraph (7)(d) or (9)(b)'' in subsection 
        (k), as redesignated, and inserting ``subsection (g)(4) or 
        (i)(2)''.
    (c) Special Effective Date.--The amendments made by this section 
take effect on the date of enactment of this Act, except that the 
amendments made by paragraphs (1) and (10) of subsection (a), take 
effect on January 1, 1999.

SEC. 302. TECHNICAL CORRECTIONS.

    (a) Public Law 89-777.--Sections 2 and 3 of the Act of November 6, 
1966, (46 U.S.C. App. 817d and 817e) are amended by--
            (1) striking ``Federal Maritime Commission'' each place it 
        appears and inserting ``Intermodal Transportation Board'';
            (2) striking ``Commission'' each place it appears and 
        inserting ``Board''; and
            (3) striking ``they in their discretion'' each place it 
        appears and inserting ``it in its discretion''.
    (b) Title 28, United States Code, and Cross Reference.--
            (1) Section 2341 of title 28, United States Code, is 
        amended by--
                    (A) striking ``the Federal Maritime Commission,'' 
                in paragraph (3)(A); and
                    (B) striking ``Surface'' in paragraph (3)(E) and 
                inserting ``Intermodal''.
            (2) Section 2342 of such title is amended by--
                    (A) striking paragraph (3) and inserting the 
                following:
            ``(3) all rules, regulations, or final orders of the 
        Secretary of Transportation issued pursuant to section 2, 9, 
        37, 41, or 43 of the Shipping Act, 1916 (46 U.S.C. App. 802, 
        803, 808, 835, 839, or 841a) or pursuant to part B or C of 
        subtitle IV of title 49 (49 U.S.C. 13101 et seq. or 15101 et 
        seq.);''; and
                    (B) striking paragraph (5) and inserting the 
                following:
            ``(5) all rules, regulations, or final orders of the 
        Intermodal Transportation Board--
                    ``(A) made reviewable by section 2321 of this 
                title; or
                    ``(B) pursuant to--
                            ``(i) section 19 of the Merchant Marine 
                        Act, 1920 (46 U.S.C. App. 876);
                            ``(ii) section 14 or 17 of the Shipping Act 
                        of 1984 (46 U.S.C. App. 1713 or 1716); or
                            ``(iii) section 2(d) or 3(d) of the Act of 
                        November 6, 1966 (46 U.S.C. App. 817d(d) or 
                        817e(d));''.
    (c) Foreign Shipping Practices Act of 1988.--Section 10002(i) of 
the Foreign Shipping Practices Act of 1988 (46 U.S.C. 1710a(i)) is 
amended by striking ``2342(3)(B)'' and inserting ``2342(5)(B)''.
    (d) Tariff Act of 1930.--Section 641(i) of the Tariff Act of 1930 
(19 U.S.C. 1641) is repealed.
    (e) Effective Dates.--
            (1) The amendments made by subsections (a), (b), and (c) 
        take effect January 1, 1999.
            (2) The repeal made by subsection (d) takes effect March 1, 
        1998.

                  TITLE IV--MERCHANT MARINER BENEFITS.

 SEC. 401. MERCHANT MARINER BENEFITS.

    (a) Benefits.--Part G of subtitle II, title 46, United States Code, 
is amended by adding at the end the following new chapter:

                              ``CHAPTER 112--MERCHANT MARINER BENEFITS
``Sec.
``11201. Qualified service.
``11202. Documentation of qualified service.
``11203. Eligibility for certain veterans' benefits.
``11204. Processing fees.

``Sec.  11201. QUALIFIED SERVICE

    ``For purposes of this chapter, a person engaged in qualified 
service if, between August 16, 1945, and December 31, 1946, the 
person--
            ``(1) was a member of the United States merchant marine 
        (including the Army Transport Service and the Naval 
        Transportation Service) serving as a crewmember of a vessel 
        that was--
                    ``(A) operated by the War Shipping Administration 
                or the Office of Defense Transportation (or an agent of 
                the Administration or Office);
                    ``(B) operated in waters other than inland waters, 
                the Great Lakes, other lakes, bays, and harbors of the 
                United States;
                    ``(C) under contract or charter to, or property of, 
                the Government of the United States; and
                    ``(D) serving the Armed Forces; and
            ``(2) while so serving, was licensed or otherwise 
        documented for service as a crewmember of such a vessel by an 
        officer or employee of the United States authorized to license 
        or document the person for such service.

``Sec.  11202. DOCUMENTATION OF QUALIFIED SERVICE

    ``(a) Record of Service.--The Secretary shall, upon application--
            ``(1) issue a certificate of honorable discharge to a 
        person who, as determined by the Secretary, engaged in 
        qualified service of a nature and duration that warrants 
        issuance of the certificate; and
            ``(2) correct, or request the appropriate official of the 
        Federal government to correct, the service records of the 
        person to the extent necessary to reflect the qualified service 
        and the issuance of the certificate of honorable discharge.
    ``(b) Timing of Documentation.--The Secretary shall take action on 
an application under subsection (a) not later than one year after the 
Secretary receives the application.
    ``(c) Standards Relating to Service.--In making a determination 
under subsection (a)(1), the Secretary shall apply the same standards 
relating to the nature and duration of service that apply to the 
issuance of honorable discharges under section 401(a)(1)(b) of the GI 
Bill Improvement Act of 1977 (38 U.S.C. 106 note).
    ``(d) Correction of Records.--An official of the Federal government 
who is requested to correct service records under subsection (a)(2) 
shall do so.

``Sec.  11203. ELIGIBILITY FOR CERTAIN VETERANS' BENEFITS

    ``(a) Eligibility.--
            ``(1) In general.--The qualified service of an individual 
        referred to in paragraph (2) is deemed to be active duty in the 
        armed forces during a period of war for purposes of eligibility 
        for benefits under chapters 23 and 24 of title 38.
            ``(2) Covered individuals.--Paragraph (1) applies to an 
        individual who--
                    ``(A) receives an honorable discharge certificate 
                under section 11202 of this title; and
                    ``(B) is not eligible under any other provision of 
                law for benefits under laws administered by the 
                Secretary of Veterans Affairs.
            ``(b) Reimbursement for Benefits Provided.--The Secretary 
        shall reimburse the Secretary of Veterans Affairs for the value 
        of benefits that the Secretary of Veterans Affairs provides for 
        an individual by reason of eligibility under this section.
    ``(c) Prospective Applicability.--An individual is not entitled to 
receive, and may not receive, benefits under this chapter for any 
period before the date of enactment of this chapter.

``Sec.  11204. PROCESSING FEES

            ``(a) Collection of Fees.--The Secretary shall collect a 
        fee of $30 from each applicant for processing an application 
        submitted under section 11202(a) of this title.
            ``(b) Treatment of Fees Collected.--Amounts received by the 
        Secretary under this section shall be credited to 
        appropriations available to the secretary for carrying out this 
        chapter.''.
            (b) Clerical Amendment.--The table of chapters at the 
        beginning of subtitle II of title 46, United States Code, is 
        amended by inserting after the item relating to chapter 111 the 
        following:

``112. Merchant mariner benefits.............11201''.

            TITLE V--CERTAIN LOAN GUARANTEES AND COMMITMENTS

SEC. 501. CERTAIN LOAN GUARANTEES AND COMMITMENTS.

    The Secretary of Transportation may not issue a guarantee or 
commitment to guarantee a loan for the construction, reconstruction, or 
reconditioning of a vessel under the authority of title XI of the 
Merchant Marine Act, 1936 (46 U.S.C. App. 1271 et seq.) unless the 
Commissioner of the Federal Maritime Commission certifies that the 
operator of such vessel--
            (1) has not been found by the Commission to have violated 
        section 19 of the Merchant Marine Act, 1920 (46 U.S.C. App. 
        876), or the Foreign Shipping Practices Act of 1988 (46 U.S.C. 
        App. 1701a), within the previous 5 years;
            (2) is not currently under investigation by the Commission 
        concerning the suspected violation of section 19 of the 
        Merchant Marine Act, 1920 (46 U.S.C. App. 876), the Shipping 
        Act of 1984 (46 U.S.C. App. 1701 et seq.), or the Foreign 
        Shipping Practices Act of 1988 (46 U.S.C. App. 1701a);
            (1) has not been found by the Commission to have committed 
        a violation of the Shipping Act of 1984 (46 U.S.C. App. 1701 et 
        seq.), which involves unjust or unfair discriminatory treatment 
        or undue or unreasonable prejudice or disadvantage with respect 
        to a United States shipper, ocean transportation intermediary, 
        ocean common carrier, or port; and
            (4) is not currently under investigation by the Commission 
        concerning the suspected violation of the Shipping Act of 1984 
        (46 U.S.C. App. 1701 et seq.) which involves unjust or unfair 
        discriminatory treatment or undue or unreasonable prejudice or 
        disadvantage with respect to a United States shipper, ocean 
        transportation intermediary, ocean common carrier, or port.
    Amend the title so as to read ``A Bill to amend the Shipping Act of 
1984 to encourage competition in international shipping and growth of 
United States exports, and for other purposes.

                                 <all>